Download - Transforming the Way We Work: The Power of the Collaborative Workplace

TransformingtheWayWeWorkThePoweroftheCollaborativeWorkplace

EdwardM.Marshall,Ph.D.

amacomAmericanManagementAssociation

NewYorkAtlantaBostonChicagoKansasCitySanFranciscoWashington,D.C.BrusselsMexicoCityTokyoToronto

title: TransformingtheWayWeWork:ThePoweroftheCollaborativeWorkplace

author: Marshall,EdwardM.publisher: AMACOMBooks

isbn10|asin: 0814402550printisbn13: 9780814402559ebookisbn13: 9780585033631

language: Englishsubject Workethic,Cooperativeness,Management.

publicationdate: 1995lcc: HD4905.M351995ebddc: 306.3/613

subject: Workethic,Cooperativeness,Management.

Thisbookisavailableataspecialdiscountwhenorderedinbulkquantities.Forinformation,contactSpecialSalesDepartment,AMACOM,adivisionofAmericanManagementAssociation,1601Broadway,NewYork,NY10019.Thispublicationisdesignedtoprovideaccurateandauthoritativeinformationinregardtothesubjectmattercovered.Itissoldwiththeunderstandingthatthepublisherisnotengagedinrenderinglegal,accounting,orotherprofessionalservice.Iflegaladviceorotherexpertassistanceisrequired,theservicesofacompetentprofessionalpersonshouldbesought.

LibraryofCongressCataloging-in-PublicationDataMarshall,EdwardM.,1946-Transformingthewaywework:thepowerofthecollaborativeworkplace/EdwardM.Marshall.p.cm.Includesbibliographicalreferencesandindex.ISBN0-8144-0255-01.Workethic.2.Cooperativeness.3.Management.I.Title.HD4905.M35 1995306.3'613dc20 94-48388

CIP

©1995EdwardM.MarshallAllrightsreserved.PrintedintheUnitedStatesofAmerica.

Thispublicationmaynotbereproduced,storedinaretrievalsystem,ortransmittedinwholeorinpart,inanyformorbyanymeans,electronic,mechanical,photocopying,recording,orotherwise,withoutthepriorwrittenpermissionofAMACOM,adivisionofAmericanManagementAssociation,1601Broadway,NewYork,NY10019.

THECOLLABORATIVEWORKETHIC,THECOLLABORATIVEWORKPLACEANDDESIGN,CREATINGACOLLABORATIVE

WORKENVIRONMENT,THECOLLABORATIVEMETHOD,andTHEWORKPLACECULTUREINDEXareregisteredwiththeU.S.PatentOfficeorarependingregistration.

Printingnumber

109876

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ContentsPreface v

Acknowledgments xi

1Collaboration:TheQuestforthe21st-CenturyWorkplace

1

PartIDesigningtheCollaborativeWorkplace 13

2TheCollaborativeWorkEthic 15

3CreatingtheCollaborativeCulture 37

4CollaborativeLeadership 68

5BuildingStrategicBusinessAlignment 87

6CollaborativeTeams 112

PartIITheGollaborativeChangeProcess 125

7TheCollaborativeMethod 127

8TransformingtheWorkplace 140

9ManagingtheTransition 165

Epilogue 181

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Appendix:SampleOperatingAgreements 183

SelectedReadings 189

Index 191

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PrefaceWhatwouldtheworldofworkbelikeifwealltrulyrespectedoneanother?Howeffectivewouldourworkplacesbeifweallknewhowtocollaborate?Howefficientmightwebecomeasbusinessesifwewereabletotapintothehiddenproductivityofthework-force?Howsuccessfulmightwebecomeasanationifwelearnedhowtousethepowerandcreativityofourworkplacesforcompetitiveadvantageandworldleadership?

Ihaveoftenthoughtthatthehumanconditionwasoneofconflictbydesign,andthatthecosmicjokewasthatwewouldneverbeabletofindpeacewithinandamongourselves.Ihavenotbeenwillingtosuccumbtothatconclusion.Thereisawayoutthepurposeofourjourneyinlifeistodiscoverit.

Asweapproachthe21stcentury,Ibelieveweareatacriticalforkintheroad.Wefaceafundamentalparadoxofthehumancondition.Ontheonehand,weareincreasingourcapacitytoliberateourselvesfromtheforcesthathaveenslavedusallforgenerations:poverty,war,famine,anddisease.Ontheotherhand,weremainvictimsofthosesameforces.

TheColdWarisover,andwarringnationsarefindingwaystotalkwithoneanother,andyetnewcrisesseemtoemergealmostasquicklyasoldonesareconcluded.Thetechnologicalrevolutionisgivingusmoretimetothinkcreativelyaboutourselvesandourworld,andyetourinnovationsandpatternsofconsumptionthreatentheveryfabricofourfragileecosystem.Thesocialrevolutionhascreatednewlevelsofpersonalfreedomandawareness,butasthefamilyunitandoursenseofcommunityaredamaged,wearelearningthecriticalimportanceofbasicvaluesasananchorforstability.Themarvelof

Americanmarketeconomicshasgener-

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atedunprecedentedwealthandamodelforprogresswhichistheenvyoftheworld,andyetalmosthalfofourpopulationisilliterate,thegapbetweenrichandpoorisincreasing,andwehavehungryandhomelesspeoplesleepingongratesoneblockfromtheWhiteHouse.Intheworkplace,theefficiencyoftheIndustrialAgemachine-modeloforganizationproducesfearandcomplianceintheInformationAge,sappingthecreativity,productivityandcompetitiveedgeoftheworkforce.

Dowehavethecapacitytodealwiththisparadox?Canwetranscendourownself-imposedlimitations?Canweseethecosmicjokeforwhatitisandlearntolaughatourselvesaswelearnhowtobreakthroughthoselimitations?

Ibelievewecanandthatwemust,whichiswhyIhavewrittenthisbook.IfeelcompelledtotakethisjourneyandtoconfrontthepainIseeintheworkplace.Withyou,Iamcommittedtodiscoveringnewwaystobuildandenhanceourworkrelationshipssothatwecanbehonestandauthenticwitheachother,learntotrustagain,andtransformworkintoaplacewherewecancontribute,serve,learn,andgrow.

Sowhytheoptimism?Whatmakesmethinkthatwecancreatetrustintheworkplace?Withalltheemphasisoncostreductionsanddownsizing,isn'ttheworldofworkjustanotherdimensionoftheparadox?Ismyoptimismjustanotherformofself-delusion?Idonotthinkso.

Havingsurvivedpolioatageone,Ihavecometounderstandthepowerofthestruggleforlife.Ihavelearnedthatoptimismismywayofcopingwithwhatcouldotherwisebecomeanintolerablecircumstance.IhavelearnedthatIamresponsibleforwhathappenstome;Icannotblameanyoneelse.Andifthisworlddisintegratesinfrontofme,itismyresponsibilitytodowhatIcantostopthe

process.IbelieveinthepowerofthelifethatGodgrantedmeandallofus,andIhaveaprofoundfaithinourabilitiesasapeopletosurviveandthriveinthefaceofenormousadversityifwechoosetodoso.Thecriticalissueiswhetherwewillmakethechoiceandbecomeresponsiblefortheoutcome.

Thisbook,then,isanexpressionofmyoptimism,astatementaboutthepowerofthelifewecaneachbreatheintoourworkplaces.Inmyworkwithhundredsofcompaniesoverthepasttwo

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decades,Ihaveconsistentlyheardthelamentofpowerlessness:"Icannotchangeanything"Weareonlyaspowerlessaswechoosetobe.Wemakechoicesallthetimetoliveordie,toforgiveorholdagrudge,tobuildtrustortobreakit.Ultimatelythisbookisaboutbothchoiceandtranscendence.Thechoicetobemadehereistotranscendourownnotionsaboutwhatisrightandtodiscoveranewwayofworkingtogetherthatenablesusalltowin.Thechoiceisforpeace,stability,andabundanceinourworklife.

Aswelookattheparadoxoftheworkplace,however,withallofitschaosandopportunity,willwechoosetotakefullresponsibilitytoalleviatethepainwesee?Willwechoosetochangeourownbehaviorsothatothersmaysucceed?Willwechoosetogiveupoldwaysofdoingthingssothatwemaydiscovernewperspectives,insights,andskills?

TheCollaborativeWorkplaceprovidesusaframeworkformakingthatchoice.Groundedinafundamentalsetofvaluesthatarecentraltoourself-esteem,theCollaborativeWorkplaceisourstocreateandsustain.Ifwereallybelievethatwehaveafundamentalfighttorespect,honor,dignity,andintegrityatwork,thenwebelongintheCollaborativeWorkplace.Aswewillsee,thisWorkplaceisanotaplaceperse,andisnottheprogram-of-the-month.Truecollaborationisawayoflife.Itisanethicandanorganizingprincipleforhowweleadandmanageourbusinessesandorganizations.Itistheleadingcandidateforreplacinghierarchyastheculturalfoundationforhowweorganizeourwork.

WecancreateaCollaborativeWorkplaceanywhere.Asaculturalframeworkandwayofworkingtogether,Ihaveseenitsmethodsandtoolsappliednotonlyinofficesandplants,butalsoinfamilies,schools,fraternalorganizations,andcommunitygroups.Collaborationtrulyempowerspeoplebecauseitprovidesastructuredbasisfor

buildingandnurturingmutualrespectwhileensuringresponsibilityandaccountability.Whenpeopleleaveoraredownsizedoutoftheirjobs,theytaketheCollaborativeWorkplacewiththem.Itisportable.Itlivesintheheart.

Intheworkplace,collaborationisefficient.Infact,inthenewworldofwork,itisperhapsthemostefficientandeffectivewaytoorganizeourpeople,businessprocesses,andresources.Itisthemostefficientformoforganizationbecauseitbuildsmutualre-

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spect,trust,andintegrityintoourdailyinteractions.TheCollaborativeWorkplaceisresponsible,accountable,andfocusedonthecustomer.

Collaborationbringscivilityintotheworkplace.Itgivesusawaytoempowerourselves,providesafoundationfornewworkrelationshipsinallkindsofsettings,andenablesustoresolveconflicts,disputes,anddisagreementswithoutcompromisingourindividuality.Finally,collaborationprovidesaframeworkforintegrationofourhomelifewiththeworkplacesothatwecanseeourselvesascompletehumanbeings.

Thinkofcollaborationasagyroscope.Asaprinciple,methodology,andtoolkit,ithelpsusmaintainourbalanceandhomeostasisaswefacetheparadoxoftheworkplaceandthechaosofthemarketplace.Asweexperiencetheconsequencesandinstabilitybroughtonbyhierarchyasawaytoleadandmanage,ourgyroscopeprovidesusanalternativewayoflookingattheworld.

Itwillnotbeaneasyjourney,butnothingreallyworthhavinghaseverbeeneasy.ThejourneytotheCollaborativeWorkplace,however,allowsustooperateonprinciple,enhanceourself-respect,buildtrustamongothers,andkeepourdignity.Thatisajourneyworthtaking.

Thisbookistheproductofaverypersonaljourney.MotivatedbymyneedtodowhatIcantostopthepainIseeinorganizationsofallkinds,thismanuscriptistheresultofthousandsandthousandsofhoursofworkingwithindividualsandteamsincompanieswhoreallywantanewwaytowork.Thisisnotanacademictreatise,althoughitwasinformedbymyformaltrainingattheUniversityofNorthCarolinaatChapelHill,SyracuseUniversity,theUniversityofVienna,andClaremontMcKennaCollege.

Idecidedearlyoninmycareertobuildtheoryoutofreality.Hence,youwillseeveryfewfootnotes.WhatIhavedonehereistodistillmy

experiencewithhundredsofteams,executives,andtheircompaniesintoaprinciple-basedchangemethodology.Thismethodologyisalsomorethantheory.Ithasbeenappliedinatleasttwenty-fivecompanytransformationprocessesinthepasttenyears,andithasworked.Infact,basedonmyworkwithE.I.duPontdeNemours&Company,Inc.,wewerebothawardedthefirst-everteam"ExcellenceinOrganizationDevelopmentAward"bytheAmericanSocietyforTrainingandDevelopment.Ithen

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wentontoapplythebasiccollaborativeframeworkanddevelopnewmethodsandtoolsinothercompanies,includingConoco,BethlehemSteel,Marriott,Loral,andIBM.Timeaftertime,themessagekeptcomingbackcollaborationisthewaypeoplenaturallywanttoworktogether.

Thisbook,then,isdesignedtobringdefinitiontothecollaborativewayofworklife.WhatyouwillfindhereisaroadmaptotheCollaborativeWorkplace.PartIdefinesthecornerstonesofcollaborationwhatitis,howitworks,andwhataCollaborativeWorkplacelookslike.PartIthengoesontoexplorethepowerfulroleplayedbytheworkplacecultureindetermininghowwellweworktogetherandexamineshowchangesinthatculturecantransformourrelationships.Youwillseehowtheprincipleofcollaborationappliestoallaspectsofthebusinessitscustomers,workprocesses,andorganizationsystemsandlearnthatitisindeedpossibletocreatesuchaworkplace.

PartIIpresentsamethodthatallowsustocreateandmanagethisworkplace.Asyouwillsee,makingthechangeisasmuchanartasitisastructuredprocess.Andevenonceitisinplace,therearemanywaysthatcollaborationcanbeunraveled.Becauseitisawayoflifeandnotaquickfix,theCollaborativeWorkplacebecomesaplacewherewecontinuetolearnaboutourselves,ourwork,andeachother.

Wedohaveachoice.Let'sstartthejourney.

EdwardM.Marshall,Ph.D.TheMarshallGroupChapelHill,NorthCarolina

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AcknowledgmentsIdedicatethisworktomysons,AdamandJonathan,thatyoumaygrowupinaworldwhererespect,trust,andpeacearepossible.Ialsodedicatethisworktomywife,Elise,whohasbelievedinmeandconsistentlygivenmetheencouragementtorealizemydreams.Iamblessedwithatrulylovingfamily.

Thisvolumeisalsodedicatedtoallofourchildren,thatyoumayfindthisplanetabetterplacetoliveinthe21stcenturybecauseweadultschosetohealthepastandtoputprinciplestoworkforyourfuture.Ihopewewillsucceed.

Iwouldliketothankmythreespiritualguidesandcoaches,whohadfaithandconfidenceinmyabilitiestodothisworkandtoarticulatethisframework.SpecialthankstoStevenT.Miller,whostartedthisjourneywithmeinthelate1980sandhelpedmeformulateanddocumentthebasicpremisesoftheCollaborativeWorkplace.AlsotoCliffordEhrlich,whohasshownmethatthereisapathwaytothefutureandthatthepathisoneofcollaboration.ToRaymondAumillerIextendmyappreciationforshowingmethevalueofoptimismandforhisundauntingbeliefinmeandthiswork.

Ialsooweadebtofgratitudetomyintellectualmentorswhogavemethetheoreticalpreceptsthathelpedframemanyoftheconceptsandperspectivesinthisbook:WarrenBennis,StevenCovey,PeterDrucker,JacquesEllul,TalcottParsons,ScottPeck,EdgarSchein,andMaxWeber.

Specialthanksmustalsogotothehundredsofteamsatmanycompanieswhogaveofthemselvestodiscoveranewwaytoworkwitheachother.Withoutyou,thisbookwouldhaveneverhappened.Youbroughtdignityandrespecttosimplemethodsand

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toolsandmadethemcomealiveinyourownway.IwouldparticularlyliketothankLouiseBertsche,WalterCox,JohnDobel,GeorgeFugere,AlGinouves,JoeGorsczycka,PaulHarjung,RobertHayes,MorrisHelbach,BillLaughton,ScottLeigh,AudyLongaker,PierceQuinlan,GeoffreyRendall,EstherSchaeffer,PatriciaThomas,andJohnVance.

Iwillforeverbeindebtedtomyeditor,AdrienneHickey,who,throughoutthisexperience,hasprovidedmetheprecisetypeofsupportIneededatjusttherighttime,andwhohasgivenmetheimpetustocontinuallyrefinemythoughtsandcommunicatetheminamorepreciseandforcefulmanner.

Last,butcertainlynotleast,myhatisofftomyowncollaborativeteammatesatTheMarshallGroup.Theymadetheproductionofthismanuscriptpossible.Itisnevereasytomanageaconsultingpracticewhilewritingabook,butMagdalenaHurwitz,LorraineOsborne,andDebbiePenningtondidsowithgrace,patience,andnurturingsupport.

Acoupleofreferencenotesareinorder.First,throughoutthebook,Iuseanumberofcaseexamplesfromactualcompanies,whichhavebeengivenfictitiousnames.Thesituationsdescribed,however,arereal.Somesituationsarecompositesofcaseexamples,buthavebeenwritteninawaythatdoesnotdetractfromthepointsbeingmade.

Second,thereareanumberoftermsofartthatalsoreflectproprietaryproductsandservicesdevelopedbyTheMarshallGroup,Inc.,ofChapelHill,NorthCarolina.Theservicemarkedproductsandservicesinclude:TheCollaborativeWorkEthic ,TheCollaborativeWorkplaceandDesign ,CreatingaCollaborativeWorkEnvironment®,TheCollaborativeMethod ,andtheWorkplaceCultureIndex .TheseservicemarkshavebeenregisteredwiththeU.S.PatentOfficeorarependingapproval,andshouldreflectthatfactwhenusedbyothers.

1Collaboration:TheQuestforthe21st-CenturyWorkplaceThebestwaytopredictthefutureistocreateit.PeterDrucker

AmericanbusinessisundergoingitsmostprofoundtransformationsincetheIndustrialRevolution.Butwhatarewetransforminginto?Chaosandinstabilityinfectmanyofourorganizationsasthisprocessleavesuswonderingwhatthefuturemayhold.Weknowwemustrealigntheveryessenceofthewayweleadandmanagethebusinessorganization,buttowhat?

Hierarchy,theculturalprinciplebywhichwehaveledandmanagedbusinessforatleastthepastcentury,nolongerseemspracticalorrelevant.Thebasiccovenantwehavehadwithourorganizationsisbroken.Jobsarebeingeliminatedortotallyredesigned.Employeesareexpectedtobehaveinnewanddifferentways,butoftentheydonothavetheskillstodoso.Therungsonthecareerladderarenolongerwelldefined,andmanywonderwhethertheconceptofacareerladderevenexistsanymore.Inthemeantime,theculturalframeworkinwhichbusinessoperatescontinuestoevolve.Whereisitheading?Whatisthenewculturalfoundationthatwillguideusintothe21stcentury?

Everyoneisfamiliarwiththelitanyofexternalmarketplace

factorscausingthischaosglobalcompetition,technology,anddemographicandpoliticalchanges.Thesehaveresultedintheeliminationofmillionsofjobs,drasticrestructuring,andnewbusinessrelationships.Whatwearemuchlessclearaboutiswhatisgoingonwithourpeopleinsideourcompaniesandhowwemustnowworktogethertofacethenewrealities.Howareouremployeeshandlingthischaos?Howcanweregaintheirloyalty,confidence,energy,andproductivity?Andassumingwegetthatenergyback,howwillwesustaintheircommitmentasourcompaniescontinuetofaceunrelentingchange?

ThereIsNoSilverBullet

Mostofusareeitherindenialabouttheimpactofallthischange,donotknowwhattodo,orarestilltryingtofigureouthowtogetbackincontrol.Unfortunately,theresultsofarhasbeenmoreofthesame,apotpourriofprogramsdesignedtochangethestructureofourworkplacesbutnottheiressencetheirculture.Down-sizing,reengineering,andrestructuringprogramshavesucceededinalteringtheemploymentbaseandcoststructureofourcompanies,butdonotofferusanewculturalframework.Oneroundofstructuralchangeoftenleadstoanother,withthefocusalmostexclusivelyonthecostsideoftheledger.Infact,structuralchangesoftenproducepreciselytheoppositeresultthanintendedbyincreasinginstability,fear,andreducedproductivity.Programsthatfocusonorganizationaleffectiveness,empowerment,totalquality,and/orself-directedworkteamshavebeenapowerfulnewtoolforchangeinsomecompanies.Inmostinstances,however,theunderlyingvaluesbywhichtheseorganizationsareledhavenotchanged,resultinginenormousinternalconflict.Managementisseenasnotwalkingthetalk,therebyundercuttingthevalueandimpactoftheseprocess-focusedprograms.

Thereisnosilverbulletthatwillsolvethecomplexoforganizational

issuesweface.Withoutfundamentalculturalchangeandtheadoptionofanewapproachtoleadingandmanaging,Americanbusinesseswillcontinuetoexperiencesignificantdifficultiesinsustainingcompetitiveadvantage.

The21st-CenturyWorkplace

Wehavealwayslookedtothefuturewithafairlyhighdegreeofhopeandanticipationthatthingswillgetbetter.Thismaynotbethecasenow.Weknowthatthe21st-centuryworkplacewillbetotallydifferentfromwhatitisnow.Weknowweneedanewculturalframeworktoguideusinthedesignandcreationofthatworkplace.Itmustdomorewithlessandadaptquicklytooranticipatechange.Itmustbenonbureaucraticandpassionatelyfocusedonthecustomer.Themembersoftheworkforcemustbealignedwithandownthestrategicdirectionofthebusiness,havetrust-basedworkrelationships,andbeabletobuildvaluewithoneanotherandtheircustomers.Leadershipinthenewworkplacemustbeseen,notasajob,basedonpowerandauthority,butasafunctionbasedonprinciples,newpeopleskills,andtheabilitytoengageothersincomingtoconsensusaroundcriticaldecisionsandproblemsolving.Theresultingtrustandproductivitywillprovidetheenterpriseaclearcompetitiveadvantage.

TheMissingIngredient:TheWorkplaceCulture

Wehavebeenexpertlytrainedtofocusonorganizationalstructure,systems,andprograms,whilemostofuswouldadmitthatfully70percentofallourproblemsinbusinessarepeople-relatedorculturallybased.Bytargetingthestructuresoftheworkplaceratherthanitscultureasweseektotransformabusiness,wetendtofocusonthetreesandmisstheforest.Ourbusinessculturesreflectthecorevaluesandbeliefsthatdriveouractionsandbehaviorsandinfluenceourrelationships,bothinternallyandwithourcustomers.Thecultureofaworkplaceshowsupinpowerfulwaysintermsofcommitment,qualityandproductivity,loyalty,satisfaction,andpride.Itcreatesthestandards,workstyle,andexpectationsbywhichourcompaniesaredefined.Ourjobistoengagethatculturesothatitsbestvalues

emergeandflourish.

Theorganizationasawholemustcreateasharedcultural

frameworkthatwillbepowerfulenoughtoreplacehierarchy.Thatframeworkmustnotmerelybeaprogramortechniqueorasophisticatednewwaytomanipulatethefuture.Onthecontrary,itmustbebasedonfundamentalprinciples,enhancethestabilityofworkplacerelationships,helpdefinethenewcovenant,andenablemanagerstousecommonsenseinmakingbusinessdecisions.

What,then,constitutesthisnewculturalframework?Whatdoesthenewworkplacelooklike?Howcanwegoaboutcreatingandsustainingit?Willtheviewbeworththeclimb?

WhatIsCollaboration?

Inmyactionresearchandworkwithhundredsofcompaniesoverthepast25years,sevencorevalueshavesurfacedagainandagainasthebasisforeffectiveworkrelationships:respectforpeople;honorandintegrity;ownershipandalignment;consensus;fullresponsibilityandaccountability;trust-basedrelationships;andrecognitionandgrowth.Thesecorevaluesrepresentaculturalflame-workforthe21st-centuryorganization,aframeworkthataddsuptocollaboration.

Collaborationisthepremiercandidatetoreplacehierarchyastheorganizingprincipleforleadingandmanagingthe21st-centuryworkplace.

Itisawayoflifethatenablesustomeetourfundamentalneedsforself-esteemandmutualrespectintheworkplace.

Itisaprinciple-basedprocessofworkingtogether,whichproducestrust,integrity,andbreakthroughresultsbybuildingtrueconsensus,ownership,andalignmentinallaspectsoftheorganization.

Putanotherway,collaborationisthewaypeoplenaturallywanttowork.

Asaleadershipprinciple,Ihaveseencollaborationworkinawiderangeoftoughbusinessandorganizationalsituations,fromstrategicalliancesandmergersthatwerebreakinguptointernalmergersbetweendepartments;fromcompaniesinhigh-technologyindustriestothoseintheservicesector;fromseniorexecutivestofront-linemanagers.Thisprincipleprovidesthebasisforsignificantandpermanentchangeforpeopleaswellasfororganizations.Collaborationprovidesthecornerstoneforthecreationandenhancementofthe21st-centuryworkplace.

Hereareseveralotherwaystothinkaboutthiscriticalprocess:

Atotalshift.Collaborationisnotaprogram,atechnique,orapartialsolution.Itisatotalshiftinthewayweworktogether,thinkaboutourcustomers,andbehavetowardoneanotherintheworkplace.

Anewworkethic.Collaborationprovideslong-termstabilityfortheworkplacebecauseitisaworkethicthatrecognizesthatworkgetsdonethroughpeople;thatpeoplewantandneedtobevalued;thatanychangemustbeownedbythoseimplementingitifitistobesuccessful.

Acommondenominatorforrelationships.Collaborationprovidesthecommondenominatorforengagingallmembersoftheworkforce,sinceitscorevaluesandbeliefsarethefoundationforbuildingtrust-basedrelationships.

Adecision-makingframework.Collaborationprovidesanapproachtobasingbusinessandorganizationaldecisionsonprincipleratherthanpowerorpersonalitywhetherthosedecisionsareaboutstrategy,customers,people,orsystems.Collaborationhelpsusdecidewhenandhowtouseanyparticularprogramortechniquetoimprove

performanceandhowtoengagetheworkforceinitsimplementation;itisjustasconcernedwithrelationshipsandthecompany'sreputationasitiswithbottom-linere-suits.

Asetofmethodsandtools.Collaborationalsoprovidesasetofmethodsandtoolsthathelptheworkforcebecomealigned,take

ownershipofandresponsibilityforthesuccessoftheenterprise,andbuildanorganizationalsystemthatproducessustainedhighperformance.

Putsimply,collaborationisanideawhosetimehascome.

WhenAreCollaborativeTeam-BasedOrganizationsAppropriate?

Thecollaborativeframeworkfororganizingworkrelationshipsisappropriateinmostorganizationalsettings,althoughitdoesnotworkineveryorganizationdueinparttofactorsotherthanthemeritsofthecollaborativeapproachtoleadingandmanaging.SomeofthesituationswheretheCollaborativeWorkplaceisappropriateincludethefollowing:

Whenhumanproductivityislessthan80percent

Whentherehasbeenareorganization,aninternalmerger,orarestructuring,makingitcriticalforthediverseculturestobefocusedinacommondirection

Whenownershipofthebusiness'strategicdirectionisessentialtosuccess

Whenconflictsinrelationshipsaffecteitherproductivity,customerfocus,orcompetitiveposition

Whenthecompanywantstorefocusitsenergiesonthecustomerandbecomeaquality,high-performancebusiness

Aftertheorganizationhasgonethroughreengineeringanditneedstoreenergizethesurvivors

Whenajointventureorstrategicallianceisformedandtrustandcandorareessentialtotheirsuccessusuallyrequiringsomeblendingofdivergentculturesandthedevelopmentofcollaborativeworkprocesses

Whenexperienceswithotherquality,self-management,orcross-functionalteamshavenotyieldedtheexpectedresults

Collaborativeapproachestoleadingandmanaging,however,arenotforeveryone.Thereareanumberofsituationswherethis

approachshouldeithernotbeattemptedorattemptedwithcaution.Inallofthesesituationsthereappearstobeacommondenominator:Thefundamentalvaluesandbeliefsofseniormanagementaresuchthattheydonotacceptthatcollaborationisthewayinwhichtheywanttheirorganizationstoevolve;ortheybelieveitisthewrongwaytomanage.Insomeinstances,managementmayintellectuallyunderstandtheneedforcollaboration,butdoesnotyetknowhowtoimplementit.Inthissituation,thecollaborativeoptioncanbepursued,butwithcaution,sincetheremaynotbeahighlevelofcommitmenttoseetheprocessthrough.Otherorganizationswherecollaborationmaynotworkarethosethathavewin-loseastheirrule,suchaspoliticalbodies.WhileIbelievethatcollaborationistheneworganizingprinciplefororganizationsinthe21stcentury,itwillnotworkineveryorganizationalsetting.

WhatAretheBenefitsofCollaboration?

Theearlyresultsfromcompaniesthathaveinstalledtrulycollaborativeworkplacesaresubstantial:

Organizationscollaborateinternallytocompeteexternally.

Decisionsarefaster,ofhigherquality,andcustomer-driven.

Decisionsaremadeonthebasisofprincipleratherthanpowerorpersonality,resultingingreaterbuy-inandimpact.

Theenergyoftheworkforceisfocusedonthecustomerratherthanoninternalconflicts.

Cycletimeissubstantiallyreducedandnonvalue-addingworkeliminated.

Theproductivecapacityoftheworkforcedoubles.Inonecase,thiswasachievedwithin12months.

Strategicalliancesthatmighthavefailednotonlysucceed,butbuildtrustandproduceextraordinaryresults.

Returnoninvestmentincreasesdramatically.Inonefull-scalechangeprocess,returnoninvestmentexceeded15:1.

Spanofcontrolincreasessubstantially.Inonecase,itwentfrom1:5to1:50.

Theworkforcetakesonfullresponsibilityandaccountabil-

ityforthesuccessoftheenterprise,tothepointwheresometeamshavedownsizedthemselves.

Conflictisreducedasworkrelationshipsopenupandbuildtrust.

Collaborativemergersandalliancesresultinallmemberspullinginthesamedirection.

Thefearisgonechangeisseenasapositiveopportunity.

Theorganizationisself-sufficientinsustainingtheongoingdevelopmentofthecompany.

WhatIstheCollaborativeWorkplaceLike?

Thinkofyourownorganizationandhowitcurrentlyoperates.Ifweweretotakeeachmajorcomponentofthatorganizationandredesignitinaccordancewiththeprincipleandvaluesofcollaboration,wewouldcallthatneworganizationaCollaborativeWorkplace.AsFigure1-1shows,therearefivecorecomponents.(EachcomponentisaddressedprimarilyinPartI.)Thefivecorecomponentsare:

1.CollaborativecultureAsetofcorevaluesthatshapethebehaviorsandconductofabusiness.(SeeChapters2and3.)

2.CollaborativeleadershipAshared,situationalfunction,ratherthanamerehierarchyofposition,thatinvolveseveryoneintheorganization.(SeeChapter4.)

3.StrategicvisionTheguidingprinciplesandoverallgoalsofacustomer-drivenorganizationthatisinternallyalignedandstrategicallyfocusedonitsuniqueandvalue-addedroleinthemarket.(SeeChapter5.)

4.CollaborativeteamprocessesAsetofnonbureaucraticworkprocessesmanagedbycollaborativeteamsofalignedprofessionalswhotakefullresponsibilityfortheirsuccessandlearnnewskills

thatenablethemtobecomeself-sufficient.(SeeChapters6and9.)

5.CollaborativestructureTherealignmentofabusiness'ssupportsystems(especiallyitsinformationsystemsandhumanresources)toensurethesuccessoftheCollaborative

Figure1-1.TheCollaborativeWorkplace.

Workplace.Membersoftheseinternallyfocusedgroupsseetherestoftheorganizationascustomersandfocusonqualityinallaspectsoftheirwork.(SeeChapter9.)

Asarule,themembersofaCollaborativeWorkplacecollaborateinternallyinordertocompeteexternally.Theyarepartofahighlyproductiveandcreativeorganization.Theirenergiesaredirectedtowardmeetingcustomerneeds,nottowardfanningtheflamesofinternalconflict.

HowDoWeCreateaCollaborativeWorkplace?

CreatingaCollaborativeWorkplacemeansmakingacommitmenttoanewwayofworkingtogether.Itisnotaquickfix.Itisanongoingprocess.Itisnotforeveryone.

Someorganizationsmaynotoperateeffectivelyiftheyemploythecollaborativeprinciple.Mostorganizations,however,benefitenormouslyfromtransformingtheirbasisforleadingandmanagingfromhierarchytocollaboration.Todoso,theyhavetobewillingtostickitoutthroughthickandthinasthiscentury'sbasicparadigmsofleadershipandmanagementundergoafundamentaltransformation.Sincebynaturewedonotlikechangeespeciallythoseofuswhohaveexcelledandrisentothetopusingtheassumptionsofthepastthechallengeissubstantial.Howdowegetfromheretothere?Howdoweimplementacollaborativechangeprocess?

PartII,TheCollaborativeChangeProcess,isdedicatedtoansweringthesequestions,withChapter7providingthemethodologyfororganizationalchange.Chapter8looksatthefivephasesoftheCollaborativeMethodusedtocreateaCollaborativeWorkplace,whileChapter9looksatwhatwemustdotoensuretheintegrityandeffectivemanagementofacollaborativeorganization.

BeginningtheJourney

Weliveinextraordinarytimesthatrequireextraordinarysolutionstoincreasinglycomplexproblems.Theprogramsandtechniqueswehavetriedtodate,includingreengineering,downsizing,restructuring,totalquality,andempowerment,havebeenhelpfulasfarastheyhavegone.Butnowwemustgomuchfurtherinourthinkingandbehaving.Weneedtoevolvepersonallyandorganizationallyataratefasterthanthemarket,ourcompetition,andourpeoplemaybewillingtoletus.Wereallyhavelittlechoice.

InWorldWarII,theUnitedStatesbuiltlibertyshipsataphenomenallyfastratefasterthanwethoughtpossible.In1957,whenRussiaputSputnikintospace,Americawasgalvanizedintomeetingthethreatandthechallenge,creatingaquantumleapin

ourtechnology.In1992,whenIraqinvadedKuwait,wecametogetherasanationtowinDesertStorminalandmark100hours.Inbusinesstoday,wefaceasimilarthreatandchallenge.Theconceptofcollaborationallowsorganizationstomovebeyondquickfixesandsingle-focusprogramsandgetbacktobasicsabouthowtobuildabusiness.Thisinvolvesbeingprinciple-driven,valuingourpeople,engagingourcultureandproductiveenergies,andworkingasaCollaborativeWorkplace.Collaborationoffersusanopportunitytocreatethemostefficient,effective,andproductiveorganizationwehaveeverseen.

Theracetocreatethesuccessful21st-centuryworkplacewillrequireavictoryofthehumanspiritoverchaoticchangeandourownself-imposedlimitations.Towinthisrace,letusappreciatethemostimportantassetwehave:thevaluesthatalreadyresideineachoneofusandinthepeopleweworkwith.Therealtaskofleadershipistocreateaworkenvironmentinwhichthesevaluescanbegindrivingtheenterprise.

Ifbusinesseswanttothriveinthe21stcentury,theymustseriouslyconsiderwhethertheyarewillingtodetachthemselvesfromthecultureandcomfortsofthepasttomeetthischallenge.Theleadersandcompanieswhodoarelikelytowin.Thosewhodon'twon't.

Let'slookathowtodoit.

PartIDesigningtheCollaborativeWorkplace

2TheCollaborativeWorkEthicMattersofprinciplestandlikearock.ThomasJefferson

Theseniorvicepresidentforplanninggotupforhisafter-dinnerspeechandbeganbysaying:''Thisbusinessisnotademocracy.Wecan'tmakeallourdecisionsbyconsensus.ButIdoknowIneedtocollaboratewithyou,andIwantyourbuy-intoourplantodoublethecompany'ssalesthisnextfiscalyear"Withouthavingrealizedit,thisexecutivehadjustpaintedhimselfintoacorner,usinghispositionandauthoritytoinsistoncollaboration,creatingsubstantialconfusioninthemindsofhisworkforceabouthisleadershipapproach.

Atamajorutility,theworkforcewasadamantabouttheneedforaculturechangesothattheycouldfeelagreatersenseofresponsibilityforthesuccessofthebusinessastheyenteredtheeraofderegulation.Atthesametime,supervisorswerereengineeringthecompanyandeliminating20percentofthejobs.

Thesetwosituationssymbolizethevaluesconflictweareexperiencinginourbusinesses.Mostofusworkinanenvironmentcharacterizedbywhatwecouldcalla"culturewar"Weshouldnotbesurprisedatthis.Theparadigmofhierarchyiscollapsingandthenewworkethicisnotyetfullyarticulatedorunderstood.Weareintransition,evolvingtowardanewwayofworkingtogetherbasedonanewculturalframework.

Thischapterexploresthenatureoftheleadershipstylesthatdefinethecharacterofthisculturewar.Wewillconsiderthefun-

damentalassumptionsthatgovernhowweliketowork,andbuildanewculturalframework,theCollaborativeWorkEthic,thatcanbringpeacetotheworkplace.

TheCultureWars

Weareinavalueswarwithourselves.Businessleadersandmembersoftheworkforcehaveverydifferentsetsofbeliefsandattitudesabouthowtoleadandmanagebusinessinaneraofchaoticchange.Theseniorvicepresidentmentionedabovereallywantedtodemandbuy-in;theaudiencewantedtocollaborate.Throughoutourbusinessorganizations,wearerepeatingthisfundamentaldisconnectbetweentheadvocatesofcommand-and-controlandthosepressingformoreempowerment,collaboration,andaccountability.(SeeFigure2-1.)Justasmanagementisinconflict,sotooaremembersoftheworkforce,someofwhomwanttobetoldwhattodo,whileothersinsistonsignificantparticipationinrealdecisions.Nooneiswrongorright;thequestionis,whatprocesswillworkinthenewrealities?

Theconsequencesoftheculturewarsaresignificant.Atoneblue-chipcompany,managementestimatesthatitisspendingover50percentofitstimehandlingalltheinterpersonalconflictsthatresultfromthesevaluedifferences.Intheshortterm,atthecompanylevel,advocatesofthecompetingphilosophieswillfightitoutinthetrenches,consumingenormousamountsofenergyandtimeinaprocessthatdetractsfromtheirproductivityandabilitytofocusonthecustomer.Inthelongrun,companiesthatdonoteffectivelyresolvetheirculturewarsmaylosetheirdirection,theircustomers,andtheloyaltyoftheirworkforce.Butwhatisthebasisforresolution?

Attheindividuallevel,theculturewarstakeanenormoustoll.Leadersandmanagersatalllevelsstruggledailytomotivatetheirpeopleandmeetthebottomline,relyingontheirwits,commonsense,

politicalclout,andexperiencetoguidethem.Manybusinessleadersbecomeveryconflictedastheytrytobalanceefficiencyandeffectivenessandattempttohonorthetraditionalrulesoftheroadinbusinesswhileaccommodatingthegrowing

Figure2-1.Theculturewars.

demandsformoreownershipintheworkplace.Someleadersfindthemselvestrappedinano-man's-landbetweenthesecompetingvaluesystems,notbecausetheydeliberatelychoosetobethere,butbecausetheyaretryingtobridgetheculturegapbetweentheparadigmcalledhierarchytheyliveinandtherequirementsofamorecollaborativeworkplace.

Inanenvironmentofvaluesconflict,howshoulddecisionsbemade?Shouldwecentralizeordecentralize?Empowerpeopleorholdthemaccountable?Engagetheminreengineeringthebusinessorkeepthemoutofit?Shouldwefocusoncostcuttingtoimprovethebottomlineandeliminatejobs?Orshouldwefocusonincreasingtheproductivityandlong-termvalueofourpeople?

Whatshouldbethevaluesystemuponwhichanyofthesechoicesaremade?Whatisourframework?

Thereisusuallynoclearanswer.Alltoooften,"mightmakesright"andculturalwarfareincreasesasanaturalpartofourdailywork.Theculturewarisfundamentallyaconflictbetweentraditionalvaluesandemergingvalues,betweentheoldrulesandtherulesyettocome.Culturalwarfarecanresultinthebasicdisplacementofpeople,disruptedcareers,andthelossofconfidenceandproductivity.Furthermore,itcanresultinaworkenvironmentwheretheworkforceisconfusedaboutwhatprinciplesaredrivingtheorganizationandwheretheleadersfeelcompromised.Tosucceedinthenewworkenvironment,thevaluesofanewculturalframeworkforleadingandmanagingourbusinessorganizationsneedtobearticulated.Ourgoalshouldbeaframeworkthatcanhelpusmediatedifferencesintheworkplaceandbringpeaceandfocustoourbusinessenterprises.

CompetingValuesintheCultureWars

Ourbusinessvaluesareplayedoutinthebehaviorsandstylesofourbusinessleadersandarereflectedintheircompanycultures.Ihaveidentifiedsevenbasicstyles.

TheRuggedIndividualist

TheMainelobstermanisasymboloftheruggedindividualistinoursociety.Outtherebyhimselfinhisboat,testinghiswillagainstthetidesandtheseas,thelobstermansetsandhaulshundredsoftraps,tryingtomakeameagerlivingandlovingthesea.Dickissuchalobstermanandprideshimselfonbeingaruggedindividualist.Hetalksabouthowimportanthisindependenceistohim,andyetDickbelongstoafisherman'scooperative,joinsateamoffourotherlobstermeneveryothernighttogoseiningforbait,andsharesnetsandtheproceedsofhisendeavors.Sowhichishe:arugged

individualistorateamplayer?Perhapsboth.

Inbusiness,theentrepreneurisaruggedindividualistindependent,creative,andfiercelycompetitive.Weadmireentrepreneursfortheircreativity,theiregostrength,andtheirassert-

iveness.Inourpast,thisculturalattributewasrepresentedbythepioneer,thegoldminer,andthefarmerwhostakedoutapatchofland.Attheturnofthecenturyitwastheinventor,theindustrialist,andthefinancialwizard:AlexanderGrahamBell,ThomasAlvaEdison,AndrewCarnegie,HenryFord,JohnD.Rockefeller,andtheothercaptainsofindustrywhocreatedthemodern-dayindustrialdynamo.Today'sruggedindividualiststendtobefoundinthevanguardofsuchfieldsasbiotechnology,computersoftware,andinternationalbusinesspeopleknownfortheircreativedaringand/orcorporateknow-how.

TheTeamPlayer

DeanSmith,coachoftheTarHeelbasketballteamattheUniversityofNorthCarolinaatChapelHill,hasgainedanationalreputationforhisabilitiesbothonandoffthebasketballcourt.Theteam'schampionshiprecordcanbeattributedtothevalueSmithplacesontrueteamwork:playingfreshmeninbignationalgamesratherthanseatingthemonthebenchtowatch;establishingcleargroundrules;androtatinghisplayerstomeetthecompetitivechallengesinthegame.Smithisanexcellentstrategist.Butheisprimarilyknownforthewayhecaresabouthisteammembersandcultivatestheirmutualsupport.Thisisnotateamdependentonafewstars,butastarteamwithadeepbenchthatcanusuallyoutlastthecompetition.Inmanyrespects,DeanSmith'steamisanexcellentmetaphorforthenewcorporationitiscollaborativeinternallyinordertocompeteexternally.

Theteam-playersideofournationalcharacterrepresentsaverydifferentsetofvaluescooperation,collaboration,subordinationofegotothegoodofthewhole,rewardsforthegroupratherthanfortheindividual,andsituationalleadership.Therearemanyteams,however,thatdonotexhibitthesebehaviors,andwhiletheymightwinasingleseason,theyusuallydonotwinconsistentlyoverthelong

term.

Inbusinesstheteamplayerishighlyvaluedbutusuallyunrecognized.Almostbydefinition,individualsonsuccessfulbusinessteamsarenotwellknown.Theparadoxmanybusinessesfaceincreatingateam-basedstructureisthattheywanttocapitalizeonthestrengthoftheteam,butalsowantstrongindividualplayers

orstarswhowillproducesuperiorresults.Sometimesthestarsneedtosubordinatetheirindividualsuccesstothesuccessoftheteam"allforoneandoneforall."

TheAutocrat

Averysuccessfulexecutiveofalargecorporationwaswellknownforhisregalmannerandtrappingsofpower.Heusedtocometoworkeverydayinachauffeuredlimousine,wearingawhitelinensuitwitharedroseinhislapel,andfollowedbyasmallentourage.Inthecourseofcreatinghisnewcorporateheadquarters,heactuallyhadthebuildersresetthefoundationsothathecouldseeaparticularskylinefromhiscorneroffice.Atstaffmeetingshetoldhisbusinessleaderswhattofocuson;therewasvirtuallynotwo-wayorgroupcommunication.

Ourculturalheritagevaluestheautocraticleaderwhogetsthingsdone,demonstratesthegiftofcommand,andachieveshighlevelsofefficiencytheso-calledheroicleader.Themilitaryisoneplacewheretheauthorityofthecommanderisexpected,respected,andrequired.Wecertainlydonotwantageneralaskingthetroopstovoteonwhetherornottotakeahill.Inbusiness,theautocratexercisescommand-and-control,providesacleardirectionwithlittle,ifany,consultation,andpersonallyralliesthetroopstoanewcause.Sometimesitworks,butmoreoftenitdoesnot.

Inthemilitary;thereareextraordinaryleadershistoricfigureslikeDwightD.Eisenhower,GeorgeS.Patton,andDouglasMacArthurwhocommandthisrespect.Butinbusiness,admirationforsuchleadersismorelimited.Oftentheimperialleader'sperksandidiosyncrasiesbegintotakeprecedenceoverthegoalsoftheenterpriseandleadtoadownfall.Ourregalexecutive,forinstance,wasultimatelyrelievedofhisdutiesbyaboardwhosemembersconsideredhimarrogantandoblivioustotheconcernsofhis

workforce.

TheDemocrat

Wealsohaveaverystrongdemocratictraditioninourculture,onethatprovidesanequallycompellingframeworkforthebusiness

manager.Asourdinnerspeakerpointedout,wearenotgoingtovoteoneverydecisionthatcomesup,butwedoneedthesupportandbuy-inofmostoftheworkforceifkeybusinessobjectivesaretobesuccessfullyachieved.Butdoweneedthebuy-inofallthemembers?Thedemocratwilltendtoseekoutopinions,particularlythoseofpeoplewhoareinfluential.Butthedecisionsareusuallymadebyaninformalvoteinvolvingsomecompromisethatensuresthesupportofthekeyplayerswhilelosingthesupportofothers.

Sometimesthevaluesofdemocracyandautocracygetcrossedandcreateconfusion.Inonehigh-technologycompany,thenewvicepresidentwasgivenhisordersbytheboardofdirectors.Hewastogettheinternalorganizationstraightenedoutandchartanewstrategicdirection.Hesettowork,knowingwhatstrategicdirectionthebusinessneededtotake,buthewantedbuy-infromtheworkforce.Soheengagedthestaffinafour-monthstrategicparticipationextravaganza,focusingallitsenergiesoncomingupwithanewdirection.Infact,thedirectionhadalreadybeenset,buthewantedtocreatetheappearancethateveryonehadboughtin.Someofthestaffhadalreadyfiguredoutthegameplan,realizingthatthisprocessamountedtonothingmorethanasix-monthnoticethattheirjobsweregoingtobeterminated.Trustforseniormanagementdroppedandtheworkforcerealizedtheyhadbeenmanipulated.Productivitydropped,andtopprofessionalsbegantoleavethecompany.Theattempttocamouflagetheautocratwiththedemocratsimplydidnotwork.

TheCompetitor

AtoneFortune100company,thewisdomforatimewasthattwosimilarproductionfacilitiesatdifferentlocationsshouldcompeteagainsteachother,therebycuttingcostsandproducingahigher-qualityproduct.For20yearsthesetwofacilitiescompeted,settinguptheirowninformation,finance,humanresource,productionquality,

andsafetysystems.Theprevailingattitudewastowin-at-almost-any-price,andthatisexactlywhathappened.Costswentupbecausesomanysystemswereduplicated.Therewasanimosityamongtheworkers.Thecustomerswerebewilderedbythe

highlevelsofconflictamongtheirserviceproviders.Alltheywantedwasahigh-qualityproduct.

Withaninternalfocusoncompetingagainsteachother,thecompanywassooneclipsedbyemergingbutpowerfulglobalcompetitors.Itdidnotevenseethemcomingandgotcaughtshort.Becauseitshierarchicalsystemcouldnotrespondquicklyenough,therewasa10percentlossofmarketsharewithinthreeyears.

Wehonorandcherishcompetitioninallaspectsofourculture.Itisaboutwinningandlosing.Ourchildrengrowuprootingfortheirteams,andasadultscontinuethepractice.Weunderstandthereareexcessesandcosts,butthatisthepricetobepaidforcompetition,whichisviewedasthebestwaytoachieveexcellence.

Competitionisnotallbad.Whatisimportantiswhotheobjectofthecompetitionis,andhowyouplaythegame.Integrity,skill,andhardworkarethehallmarksofthetruecompetitors.Certainlydishonestorquestionablebusinesspracticesdesignedtodisablethecompetition,suchascorporateespionage,wouldnotmeetthesestandards.

Competitioncanbedownrightself-defeatingwhenitisusedasaninternalorganizingprinciplethatpitstheworkersinthebusinessagainsteachotherandmanagement.Thereisamajorconsultingfirmthathasasitsmodusoperandithatconsultantsreceivetheirbonusesbasedonhowmuchbusinesstheyindividuallybringin.Amongtheresultsofthispracticehavebeenthetheftbyoneconsultantofanother'sclients,thewithholdingofvaluableinformation,turfwars,andisolation.Thecompanyasawholehasbeensuccessful,butitcouldbemuchmoresoifitsworkerswerepullingtogethertowardacommongoal.

TheBottom-LineDriver

Ina$3-billionfinancialservicesfirm,theseniorexecutivesare

rewardedonlyforbottom-lineresults.Nothingelsematters.Staffmeetingsarenonexistent.Thereisanintoleranceforprocess.Theonlymeasuresworthconsideringarefinancialones.

Inaninformationsystemsbusiness,thereengineeringefforthasbeensuccessfulatstrippingoutredundanciesandreducingcycletimeaswellas30percentoftheshort-termcosts.Butasur-

veyoftheworkforcehasfoundthat65percentofthemembersareangryatmanagementforitsheavy-handedapproachandarefearfulfortheirfutures.Productivityhaslaggedsignificantly.Clearly,thebottomlineinvolvesmorethanshort-termfinancialresults.

Ourculturerewardsthebottom-linedriver.Mostbusinessesoperatewitha90-daymentality,maximizingshareholdervalueintheshorttermevenifitmeanssacrificinglong-termproductivity.Incultureslikethis,everythingisreducedtoafinancialequation,andthevalueofrelationshipsandworkprocessesissubordinatedtotheeconomicformula.Often,however,workforceneeds,psychology,andinterpersonaldynamicseventuallyworktounderminethefinancialgoals.

TheConsensusLeader

Thegroupvicepresidentforatransportationindustrycompanywaswellknownforhismultidaystaffmeetingseveryquarter.Asmemberstriedtogetconsensus,themeetingsdraggedonforhours.Somemembersthoughtthisprocesswasessential.Otherssawlittlevalueinitandstoppedgoingtomeetings.Thenetresultwasalossofalignmentamongthetopmanagers,lostteamsynergy,andreducedvalueforthecompany'sobjectives.

Consensusisanoften-usedtermthatismisunderstoodandmisappliedinbusinesssettings.Ourculturedoesnotvalueconsensus;itvalueseithermajorityruleortop-downautocracy.Atthesametime,however,whenaskedwhatdecision-makingruletheywouldagreetouse,mostteamswillchooseconsensus.Hereinliesaparadox.Wewantconsensusbutdonotknowhowtoreachiteffectivelyandefficiently.Consensus,ifeffectivelydeveloped,speakstoourneedforrespect,beingvalued,accountabilityandteamwork.

Inmanyorganizations,severalofthesestylesexistsidebyside,

addingtoourculturalconfusion.Inoneinformationsystemscompany,themanagerfirmlybelievedthathergroupandtheentirecompanyoughttobecomemoreconsensus-basedinordertoachievegreaterefficiencyandcustomerservice.Hervicepresident,however,wasanautocrat.Everytimethemanagertriedtomoveherorganizationtowardteam-baseddecisions,shewas

overruled.Withinayear,shehadmovedtoanothercompany,andherunitwentthroughanother18monthsofinstabilityandloweredproductivity.

TheWorkingAssumptionsUnderlyingCollaboration

Culturewarssaptheenergiesofourpeopleandourcompanies.Weendupspendingtoomuchtimemanaginginternalconflictstimethatwouldbebetterspentmeetingtheneedsofourcustomers.Toreconciletheseculturaldifferencesandbuildalong-termfoundationforhighperformance,weneedanewsetofvaluestoguidetheorganizationasawholeanewculturalframework.Withoutit,businesseswillcontinuetostruggle.Thedefaultpositionwilllikelybehierarchy.

ThecornerstonesofanewculturalframeworkincludetheprinciplesofAmericanculture(individualrights,freedom,anddemocracy);whatittakestorunasuccessfulbusiness(profitabilityandsatisfiedcustomers);andacommitmenttomeetingthebasicneedsoftheworkforce.Theseworkforceneedsarecloselyrelatedtosixfundamentalassumptionsabouthumanbehavior:

1.Wegetworkdonethroughpeople.Theonlywayworkgetscompletedordecisionsgetmadeisthroughotherpeople.Nomatterhowmuchtechnologywehaveorhowsimpleourworkprocessesare,workisstilldonethroughpeople.Theyinturnworkwithotherpeopleormachinestogetthejobdone.Unfortunately,inanerawhenworkisbeingtotallytransformed,thisbasicpremiseissometimesforgotteninfavorofthetechnologicalfix,costreductions,orstructuralchangesasawaytosolvebusinessproblems.Oneresultisthereducedloyaltyandproductivityoftheworkforce.

2.Asuccessfulbusinessvaluesitspeople.Thereisnowayaroundthis.Thepeopleinanybusinessareitsgreatestasset.Theyarean

intellectualresourceandanessentialsourceofenergyandcommitment.Mostmembersoftheworkforcearemotivatedeitherby

survival,fear,service,legacy,orrecognition.Themostsuccessfulbusinesseswillbethosethattrulyvaluetheirpeople,respectthem,investinthem,recognizethem,engagethem,andprovideaworkenvironmentthatenablesthemtoserve,contribute,andinnovate.Mostmembersoftheworkforcealsowanttobetreatedlikeadultsandbegiventheopportunitytoberesponsibleandaccountableforthesuccessofthebusiness.Unfortunately,thereisamanagementmind-setthatviewsmembersoftheworkforceasexpendableassets.Suchamind-setalsobelievesthatitisokaytobreakthepsychologicalcontractwiththeirworkersifitisfinanciallyexpedientandthatthoseworkersshouldnotbeinvolvedincriticalbusinessdecisions.

3.Successfulchangeisownedbytheworkforce.Theextenttowhichanybusinesswillbeabletoadapttoconstantchangeinthemarketplaceisdirectlyproportionaltotheextenttowhichitsworkforcehaspsychologicalownershipoftheenterprise.Sinceworkforcemembersareultimatelythecustodiansofthebusiness,theirloyalty,commitment,customerfocus,andpridewilldependontheirbeingactivelyengagedinthekeydecisionsandprocessesthatdirectlyaffecttheirworklives.

Mostmembersoftheworkforcewanttocontributeandtoseethebusinesssucceed.Itisonlynatural.Managementneedstocapitalizeonthatdesireandtoprovidefinancialandnonfinancialwaysforthemtobuyin.Thisisparticularlyimportantwhenasignificantorganizationalchangeisinvolved.Unfortunately,thereisastrongviewthatchangeshouldbemandated.Butleaderswhoimposesolutionsaremorelikelytolosethecommitmentandloyaltyoftheirpeople.Whoelseknowsthebusinessbetterthanthoseworkingonthefrontlines?

4.Asharedperceptionofrealityisessential.Thesuccessofanychangeprocess,shortorlongterm,isafunctionofthedegreeto

whichthemembersoftheorganizationsharethesameviewofwhatthechangeshouldbe,basedonasharedperceptionofcurrentrealities.Sincepeopleactbasedontheirperceptionsofwhattheybelievetobetrue,itisfundamentaltothesuccessofacollaborativechangeeffortthatwecreateasharedviewofthattruth.Inacollaborativeprocess,wearealwaysaskingthequestion:"What

doyoumeanbythatword,phrase,orsentence?''toensureahighdegreeofcommonunderstanding.

5.Anorganizationalculturehasbottomlinevalue.Mostorganizationalproblemsarepeople-related,andthereforegroundedinculturaldifferences.Thesedifferencesandconflictsshowupinthebottomline.Itiscriticaltoensurethatthecorevaluesofthecompany'scultureareunderstood,accepted,andimplemented.

Manyofustalkaboutthecompany"culture,"buttheconceptisusuallyconsideredtobeeithertoo"touchy-feely"ortooamorphoustobeofanybottomlinevaluetoacompany.Whatisacompanyculture?Whatdifferencedoesitmake?Theworkplaceculturerepresentstheheartandsoulofanorganizationitsvalues,beliefs,expectations,rituals,commitment,andattitudesofthosewholiveintheworkenvironment.Inonesense,aworkplacecultureistheenvironmentinwhichpeoplechoosetoinvestornotinvesttheirenergy,skills,andcommitment.Inanothersense,aworkplaceculturerepresentstheintangiblesofabusinesstheinformalorganization;theprideitsworkershaveintheirwork;theirenthusiasmandenergylevel;theirrelationshipswitheachother;andtheircommitmentandloyaltytothegoalsoftheenterpriseitsvision.Itisthepassion,excitement,andenthusiasmthatthemembersoftheorganizationhavefortheirwork,theirrelationshipswitheachother,andthevision.Stillanotherwaytothinkabouttheworkplacecultureisasthatspecialsomethingthatdifferentiatesonecompanyfromanother.

Workplacecultureshavethepowertoaddsignificantvaluetothebottomline.Whenaworkforceisnotalignedonacommonsetofvalues,thebusinesssuffers.Whenworkersdosharethesamebasicsetofvalues,theirenergygetsfocusedonproducingbottomlinesuccessforthecompany.

6.Integritybeginsatthetop.Theintegritythatanyorganization's

leadersareperceivedtohaveisbased,toagreatextent,onwhetherthey"walkthetalk."Forexample,anexecutiveataFortune500companythathad"valuingpeople"aspartofitsvisionwasquotedassayingduringthecompany'sdownsizingeffortthattheworkforcewas"luckytohaveajob"andshouldstopcomplainingaboutthelackofempowerment.Thelackofcongruencebe-

tweenthecompanyvisionandtheactualbehavioroftheexecutiveresultedinalossofcredibilityandloyalty.Thebehavioroftheworkforceshiftedfromoneofcommitmenttothecompanytooneofanger,resentment,andfearabouttheirpersonaleconomicsurvivalnotanenvironmentconducivetoexcellentresults.

Foranyorganizationtobesuccessfulinanincreasinglychaoticmarket,theremustbeasolidvaluesfoundation.Centraltothatfoundationistheintegrityitsleadersandmembersexhibit.Totranscendtheculturewarandachieveculturalreconciliation,theremustbetrust,credibility,andrespect.Toachievethis,theintegrityofleadershipmustbeabovereproach.

Collaboration:AFrameworkforPeaceintheWorkplace

Theseworkingassumptionsprovidethecornerstonefortheprincipleofcollaboration,thenewculturalframeworkthatcanreplacehierarchyasthebasisforhowwelead,manage,andorganizework.Thisprinciplenotonlyhonorsthesefundamentalassumptionsandourculturalheritage,butalsorecognizestherealitiesofwhatittakestorunabusiness.Asaframeworkforleadingandmanaginganorganization,collaborationprovidesacommongroundandabasisformediatingtheprofoundvaluedifferencesthatpresentlyexistinmostorganizations.

Ultimately,collaborationasanorganizingprincipleisaboutauthentic,honestrelationshipsandtheirrequirements:self-esteem,respect,integrity,responsibility,andalignment.Initsapplicationtoworksituations,collaborationprovidesthecommondenominatorforengagingallmembersoftheworkforce.Asaculturalframeworkforleadingandmanaginganenterprise,collaborationisaworkethicthatgovernshumanbehaviorintheorganizationacrossgroups,teams,andevencompanies.Theapplicationofcollaborationtothework

environment,then,iswhatwewillcallthe"CollaborativeWorkEthic"

Figure2-2.Thesevencorevaluesofcollaboration.

TheSevenCoreValuesoftheCollaborativeWorkEthic

TheCollaborativeWorkEthicisagroupofsevencorevaluesthatprovidethefoundationfortheCollaborativeWorkplace.Thiscrucialsetofbeliefsbeginfromthepremisethatpeoplecomefirstintheorganization,thatpeopleproduceresults,andthattodoso,theymustbemotivatedattheleveloftheheartandspirit.Thisethicrecognizesthatahighlevelofmotivationismostlikelytocomewhentheworkforce"owns"theirworkplacecultureandwhentheirobjectivesarealignedwiththecompany'sstrategicdirection.Resultsarethusachievedbycreatingaworkenvironmentgroundedinacoresetofvalues,usingconsensus-basedprocessestobuildthatownershipandalignment.ThesevencorevaluesthatcomprisetheCollaborativeWorkEthicareshowninFigure2-2anddiscussedinthefollowingsections.

Value1:RespectforPeople

Thefundamentalbuildingblockforanyorganizationisindividualself-esteem.Inorderforpeopletocollaboratefromapositionofstrengthandequality,theyneedahighlevelofself-esteemand/oraworkenvironmentthatactivelyseekstoenhanceandsupportthebuildingofself-esteem.Self-esteemisthepositivesenseofselfreflectedinanindividual'sauthenticity,courage,integrity,trust,dignity,self-respect,andwholeness.Self-esteemisaperson'ssenseofself-worth.Inacollaborativeworkenvironment,positiveself-esteemproducesself-empowerment,andoutofthatpersonalempowermentcomestheabilitytoempowerothersandbuildtrust-basedrelationships.

Aworkculturethatdemonstratesrespectforpeopleunderstandsthatqualityandservicearecreatedbypeopleandbytheirattitudestowardwork,thecompany,andtheircustomers.Itunderstandsthatpeoplehavevalueintheirownright.Finally,aworkculturethatrespectspeopleunderstandstheneedforalong-rangeinvestmentintheirgrowthanddevelopment.

Peoplefeelvaluedwhentheirworkenvironmentisnurturingandcaring;whentheyaregivenroomtogrow,makemistakes,andlearn;whentheycanoperateinanenvironmentfreeoffear;andwhentheyfeelassuredofaccountability,honestcommunication,compassion,andcoaching.Insuchanenvironment,managementshiftsitsrolefromoneofauthority,telling,controlling,andmonitoringtooneoffacilitating,coaching,mentoring,andcounseling;thereisno"boss:"

Value2:HonorandIntegrity

Inmanycultures,honorandintegritydriveindividualbehavior.InJapan,forexample,personaldishonorisconsideredsograveamisfortunethateventodaytherearecasesofhari-kari,orritual

suicide,inwhichpeopleendtheirlivesratherthangoonlivingwiththeirhonorruined.Inourculture,integrityiscentraltoanindividual'ssenseofhonorandself-respect.Putoneway,Iammyword,andifIdonotkeepmyword,Iamoutofintegrity.IfIamoutofintegrity,Imaydishonormynameandlosethetrust,faith,andconfidenceofothers.Imaybecomeknownassomeonewho

doesnotkeephisword.TouseStevenCovey'sterm,Iamnottrustworthy.*InaCollaborativeWorkplace,honoringone'scommitmentsandagreementsisanessentialbuildingblockinthesuccessoftheorganization.Becausepeopleareinterdependent,weneedtotrusteachother,whichmeansImustbelieveinothers'integrity.Inacollaborativeworkorganization,itisalsomyresponsibilitytoprotecttheintegrityofthecollaborativeprocessandtoupholditsvalues.

Value3:OwnershipandAlignment

Peopleusuallytakecareofwhattheyown.Asacolleagueusedtosay,"Nooneeverwashesarentedcar."Whentheworkforcehasatruesenseofownershipoftheworkplace,thejob,andtheenterprise,thereisagreaterlikelihoodtheywilltakegoodcareofit.Whentheyfeelalienatedornotpartofthebusiness,theirworkbecomesjustajob,wheretheytendtooperateontheprincipleofcompliance.InaCollaborativeWorkplace,leadershipproactivelyengagestheworkforceinbuildingownershipoftheorganization.Thisprocessrequirescommitmentfromseveraltypesofpeople:

Leadersandmanagersprovidingnewopportunitiesforpsychologicalownership,creatingteam-basedprocessesbuiltonconsensus,andallowingpeopletoriskandgrow.

Processownersactivelyengagingthemembersoftheorganizationinparticipatingindecisionsandevenbecomingprocessownersthemselves.

Organizationsystemsownersredesigningtheirsystemstoencourageandrewardmoreextensiveinteractionandcollaboration.

Turfmanagersgivinguptheirperceivedrighttoturfandplayingbyanewsetofagreementsthatinvolvemorehorizontalandcross-functionalinteraction.

Whileitmayseemtothecurrentownersthattheyaregivingupcontrol,theirownershipisreallyamyth.Anorganizationis

*StevenR.Covey,TheSevenHabitsofHighlyEffectivePeople(NewYork:Simon&Schuster,1989).

notlikeapieceofrealestate.Thetrueownersoftheorganizationresideinitsworkplace.Byincreasingtheirstakeinitssuccess,themanagerscandonothingbutgain.

Equallyimportantisthevalueofalignmentthatisdrivenbyahighlevelofownership.Youcanhaveanempoweredorganizationbutgooutofbusiness.So,ifownershipistherocketbooster,alignmentistheguidancesystem.Theprocessesdesignedtoachievestrategicalignmentwithintheorganizationwillenablethecollaborativeorganizationtohititstruemarketniche,serveitscustomerswithexcellence,andoutstripthecompetition.

Inamoretraditionalsense,alignmentoccurswhenallthemembersofanorganizationagreeonthevision,mission,andstrategiccourseofactionforthecompanyororganization.Italsooccurswhenthecompanyisalignedwiththemarket,isdemonstratingitsuniqueandvalue-addedrole,andisfocusedonachievingcompetitiveadvantage.

Value4:Consensus

Itisgenerallyacceptednowthatthemosteffectivesetofworkingrelationshipsarethosebasedontheideaofwin-win,althoughtherearemanydifferentinterpretationsofwhatwin-winamountsto.Inorderforawin-wintooccur,theremustbeaconsensusonthedecision,theoutcome,andeventheprocessforarrivingatit.Otherwise,wearetalkingaboutcompromise,"Icanlivewithit"andotherwin-lose,orlose-losearrangements.

Websterdefinesconsensusas"groupsolidarityinsentimentandbelief,unanimity;ajudgmentarrivedatbymostofthoseconcerned"InaCollaborativeWorkplace100percentofthepartiestothedecisionmustfullyagreeinordertoachieveatruewin-win.Thismeansthattheymustworkthroughtheirdisagreementstoachieveamorepowerfulagreement.Anotherwayoflookingatconsensusisthatitis

adecision-makingruleinwhicheverypartytothedecisionfullysupportsthedecision,seesvalueintheresult,andwillactivelydefendthedecision.

Manypeopleconfuseconsensuswithcompromiseor"Icanlivewithit"asin"Icantoleratethatdecision"Peoplewhoworkinacan-live-withorganizationalculturetendtoactouttheirdifferencesoutsidetheteamorgroup,resultinginmanydisconnects

andtheerosionoftrustintheirrelationships.Truecollaborationrequiresthatindividualsinagroupresponsibleforanoutcomeworkthroughtheirdifferences,buildinganewlevelofunderstandingandawarenessofoneanother'slegitimateconcerns,creatinganewlevelofsynergy,andderivingthebestsolutionforagivensituation.

Value5:Trust-BasedRelationships

Theleaderofaninformationsystemsprojectteamsaiditbest:"It'snotabouttechnologyorpoweranymore;it'saboutrelationships"Inthenetworkedorganization,authoritynolongerworksasthebasisforworkrelationships.Trustisthenewglue.IfyouareinLondon,JaneisinNewYork,andIaminChicago,wemayhavetoreachconsensusonacriticalbusinessdecisionbyteleconference.Indoingso,itisessentialthatwetrustoneanotherknowthatwewillhonorouragreementsandfollowthroughonthedecisionswereach.

Mostpeoplewanttrustandopennessatwork.Theyalsowanttobetrusted.Buttrustdoesnotcomeeasily.Infact,mostofushavelittletrustineachother,whichfeedsahostoforganizationalproblems.Establishingtrustinourworkrelationshipsisoneofthefirstordersofbusinessinanycollaborativeworkenvironment.Ofequalimportanceismaintainingtrustbyensuringthattheupsanddownsofourworkrelationshipsareworkedoutface-to-face.

Trusttakestimeandbeginswithself-trust.Inrelationships,itisearnedthroughcarefulnurturing,anditismaintainedbyensuringtheintegrityoftherelationship,whichcaneveninvolve"toughlove"Oncebroken,trustissometimesneverregained.Inacollaborativeworkenvironmentitcanberegainedthroughcreatinganopportunityforpersonalaccountabilityandforgiveness.Thebuildingoftrust-basedrelationshipsrequirestime,asupportiveworkenvironment,freedomfromreprisals,andasignificantlevelofinterpersonalskill.

Value6:FullResponsibilityandAccountability

Whatdoesitmeantobefullyresponsibleforthesuccessofmyteam,mygroup,andmycompany?DoesitmeanIhavetobe

mybrother'skeeper,monitorothers'actions,andtakecorrectiveaction?DoesitmeanIhaveauthority?Inthehierarchicalparadigm,peopleareisolatedfromoneanotherbytheirjobdescriptions,titles,andorganizationalunits.Eachpersonisresponsibleonlyforwhatislistedinhisorherdescription.Managersareresponsibleforalltheworkdone.Staffmeetingsandtheindividualuseofauthorityarevehiclesforcoordination.Evaluationsaretechniquesforensuringthatresultsareproduced.Responsibilityflowsdownwardthroughdelegationandtheparcelingoutofauthority.Accountabilityflowsupwardandisoftenpunitiveinintentorreality.

IntheCollaborativeWorkplace,fullresponsibilityisanindividualactofcommitment.Inthisenvironment,theindividualtakesonthesharedresponsibilityforthesuccessoftheteam,thegroup,andthecompany.Itmeansthatanindividualdealsdirectlywithateammemberifworkisnotbeingcompletedonschedule.Directdealingsareanessentialtoolaspeoplelearnhowtosupportoneanother.Itisanewlevelofresponsibilitythatrequiresskill.Itmeansmovingbeyondcomplainingandgossiptobeingpartofthesolution,recommendingoptions,andtakingactionincollaborationwithcolleagues.If,forexample,amember'swell-beingorworkisnegativelyaffectedbyoutsidefamilypressures,alcoholordrugabuse,orifhisorherbehaviorisnotsupportiveofthemission,eachoneofusisresponsibleforaddressingtheproblemandbringingtheissuetoresolution.IntheCollaborativeWorkplace,wedonotwaitformanagementtohandletheseproblems.

Accountability,inthecollaborativeparadigm,iswheretherubberhitstheroad.Itiswhereweholdourselvesandoneanothertoaccountinordertomaintainthehigheststandardsofbehaviorandperformance.Inmanyrespects,itisnotanactofauthority,butoneoffaithandcompassion.Ultimately,accountabilityisaboutourindividualintegrityandthereputationofourteamandcompany.

Trueaccountabilityasavaluecanonlybefullyachievedinanenvironmentfreeoffear.Wehavetobeabletotakerisks,makemistakes,learn,andgrow.IfeverytimeItrytodosomethingdifferentortakeariskIgetmyhandslapped,getdemeaned,orgetdevalued,Iwillnotcontinuetorisk,learn,orgrow.Atthesame

time,wehavetofindawaytoholdeachotheraccountableforwhatwedoordonotdo.

IntheCollaborativeWorkplace,wehavetoresetthecontextforaccountability.Youcanrun,butyoucannothide.Weareallaccountabletooneanother.Wecannothidebehindourrank,thedata,orourexpertise,becauseweknowittakesusalltomakeitwork.Thereareseverallevelsofaccountability:

Accountabilityaspersonalintegrity.IknowwhenIhavenotdonemyjobwellorhavefailedtodoitatall.Itismyresponsibilitytobeaccountabletomyteamandtellthembeforetheyfindout.Itismypersonalintegritythatisontheline.Iamalsoaccountableforprotectingtheintegrityofthecollaborativeprocess.WhenIam"outofintegrity,"Itakeresponsibilityforit,learnfromit,andrecommittomyvalues.

Accountabilityasdirectdealings.WhetherIamfoundoutornot,Ioweittomyteam,mycommittee,ormygrouptobeproactiveandtoadvisethemoftheissue,problem,orneedandproposesolutions.Ishouldnotwaituntiltheproblemisbeyondsolution,oruntilwehavethenextteammeeting.Ialsooweittoateammembertodealdirectlywithanybehaviors,actions,orinactionsIbelievearedetrimentaltohisorherwell-beingorvaluetotheteamorthecompany.Thisdirectdealingmayoccureitheroff-lineor,ifnotsuccessfulintheteamorgroup,aspartoftheongoingworkprocess.

Accountabilityascoachingandcounseling.Shouldtheindividualnotrespondwelltodirectdealings,eitheroff-lineorinthegroup,thenextstepistooffertheindividualone-on-onecoachingfromarespectedseniormemberoftheteam.(Authorityhasnothingtodowiththislevelofsupport,althoughthetwomaybesynonymous.)Ifcoachingdoesnotwork,thenahigherlevelofinterventionintheformofcounseling,bothprofessionaland/orpsychological,maybenecessary.

Accountabilityasadministrativeaction.IntheCollaborativeWorkplacewedonotshyawayfromcorrectiveactionwhenitisfoundnecessary.Itisthecourtoflast,notfirst,resortandshouldbeusedsparingly.Itmaybenecessarytoremoveanindividualfromtheworkenvironment.ThesuccessoftheCollaborative

Workplaceismostlikelytooccurwhenwecanmoveawayfromtheviewofresponsibilityandaccountabilityasbeingapolicingfunctiongroundedinatop-downapproachtorelationships.Instead,wemustmovetowardaviewthatfullresponsibilityandaccountabilityarehorizontal,shared,andgroundedinourindividualandcollectiveintegrityasadultsandprofessionals.

Value7:RecognitionandGrowth

Perhapsoneofthemostdifficultworkenvironmentsisoneinwhich"onemistakeisworth100attaboys"Inaconstantlychangingworkenvironment,itneedstobeokayforpeopletomakesomemistakes,totakerisks,totrynewthings,andtolearnandgrow.Wecannotbecompetitivewithoutrisk,anditisnotpossibletoriskwithoutmakingmistakes.

Humanbeingsrespondbesttorewardsandrecognitionandlearnbestinanenvironmentfreefromfear.Thatdoesnotmeantosaythatsuchanenvironmentisfreeofaccountability,asjustdiscussed.Itisimportanttocreateawaytocelebrateoneanother,tomovebeyondawardswithlittlemeaningtoatrulygenuineandinstitutionalizedprocessofrecognitionforcontributionsbeyondcompletionoftasks,butalsoforservicetoothers.Wemightrecognizeinnovation,creativity,teameffort,orcustomerservice.ThepointinaCollaborativeWorkplaceistoencourageongoing,instantaneousrecognitionofoneanotherbyallmembersoftheteamorgroup.Recognitionshouldnotbeatop-downprerogative,norshoulditonlyhappenonceayear.Whatisalsoimportantisthattherewardsandrecognitionprocessbeinternallyconsistent,thatitrewardthevaluesexpectedintheworkenvironment.Inaddition,theapplicationofthisvaluemayresultintheentirerewardsandrecognitionprocessbeingredesignedtosupportindividual,team,andcompanyperformance.

Asecondaspectofthisprincipleistheimportanceoflearningand

growingasanintegralpartofthecollaborativeprocess.Aspartoftheprojectcycle,forexample,thereshouldbeadebriefingoneveryaspectofaprojectforlessonslearnedbothpositiveandnegativeandanysuggestedimprovementsshouldbeintegratedandinstitutionalizedinthenextprojectcycle.Butthisapproachtocontinuousimprovementalsoappliestogroupandindividual

learning.Thefocusmustbeonprocessskillsandculturaladjustmentsaswellasonbottom-linesystemsorstructuralchanges.Thisleveloflearningandgrowingcanalsoresultinsubstantivechangesinthecareerdevelopmentprocessesinthebusiness.

Inaddition,agrowingenvironmentcanbecommittedtowhatwewillcall''self-renewal."Nothingisstagnant.Organizationsmaywanttocommittoconstantself-renewalandconstantquestioningoftheirassumptions.Theymaybeopentothepossibilitythattheyhaveanomaliesthatcannotbeexplainedawaybytheircurrentparadigm.Self-renewal,inthissense,isaprocessthatensuresthatthecompanywillremainflexible,proactive,andabletoshifttonewparadigmsastheyemerge.

Conclusion

Inanagewhenthesocialcontracthasoftenbeenbrokenwhenmillionsofpeoplehavebeenlaidoff,whenhierarchyislesseffective,whenculturalwarfarecontinuesunabatedweneedaculturalframeworkthatbringspeacetotheworkplace.Weneedafirmfoundationthatgivesusstabilityinthefaceofunrelentingchangeandintegrityinthefaceofbrokencontracts.ThecorevaluesoftheCollaborativeWorkplaceallowustodojustthat,shiftingtheparadigmbyallowingustotakeresponsibilityforthetransformation.

3CreatingtheCollaborativeCultureYougetthebehavioryoutolerate.Plato

AtDynapCorporation,thingshadalwaysbeenthatway,andnoonesaidanythingaboutit.Mostpeoplewouldnottalkaboutit;theyjustlivedwithit.Thevicepresidentforproductionhadconsistentlypittedonememberofthestaffagainstanother,oftengivingseveralofhisdirectreportsthesameassignment.Whentheresultswerenottohisliking,hewouldsingleouttheindividualsbynameatstaffmeetingsandcritiquetheirwork,oftenseriouslyembarrassingthem.Hisorganizationwasnotaplacethatencouragedquestionsorchallengestomanagement'sdirection.

Itdidnottakelongfornewemployeestorealizethatiftheywantedtoadvancetheircareerstheyhadtodealdirectlywiththevicepresident.Itwasnotuncommontoseepeoplelinedupoutsidehisofficeat7:30inthemorningtogettheirissueshandled.Powerandinfluencewerethenameofthegame."Everymanforhimself"wastherule.Trustwassomethingtobedevelopedoutsidetheworkplaceorinthehiddenculture.

Respect,trust,andhonestyarethreeofthemostimportantingredientsinachievingcompetitiveadvantageinanincreasinglychaoticmarketplace.Themanagementstyleofcommand-and-control,whichusespowertocreateacultureoffear,producespredictablebehavioralresults.Theworkforcewillcomplywiththestatedandunstatedrulesoftheroad,buttheirproductivity,energy,andloyaltytothecompanywillsuffer.

Whatdoesittaketocreateaworkplacecultureinwhichrespect,trust,andhonestyarethenormratherthantheexception?Howdowecreateaworkenvironmentinwhichpeoplearewillingtotakeresponsibilityforthesuccessoftheenterpriseandbeheldaccountablefortheirresults?Howcanwebegintochangefromoldculturesandbehaviorstoaworkenvironmentthatwillworkforusratherthanagainstus?

Thischapterlooksfirstattherequirementsforcreatingthecollaborativeculturewheretrustcangrow.ItthendefinesaspecificgovernanceprocesscalledOperatingAgreementsthatwillresultintherealignmentoftheorganization'scultureandworkrelationshipstotheCollaborativeWorkEthic.Finally,thechapterexaminesindetailthe15OperatingAgreementsneededbymostteams,groups,andorganizationsfortheircollaborativeculturetowork.

CreatingaResponsibleWorkEnvironment

ToparaphrasePlato,wegetthebehaviororculturewecreate.IftheworkforceatDynapdidnotliketooperateinfear,whoseresponsibilitywasittochangethesituation?Everyorganization'scultureisgovernedbyapsychologicalcontractorcovenant,asetofmutuallyagreedtounderstandingsoracceptedvaluesabouthowwewillworktogether.Intheconventionalcovenantofcommand-and-control,thoseunderstandingsorvaluesareonlytacitlyagreedtobytheworkforce.Theyarenotexplicitlydiscussedorconsentedto.Peopleareexpectedeithertoknowthemortofigurethemout.Inthecreationofanewcovenant,however,peoplecanopenlydiscussandconsenttoanewsetofagreementsthatwillallowthemtoproducerespect,trust,andhonestyintheirworkrelationships.Thereareseveralrequirementsnecessaryforcreatingthisnewculture:

Principle-basedagreements.Inmanyorganizations,thecovenantisbasedonpowerorthepreferencesofoneperson.Inacollaborative

culture,thefirstrequirementisthatallagreementsbebasedonprinciple.Specifically,thecorevaluesoftheCollaborativeWorkEthic(asdiscussedinChapter2)provideaframeworkfor

teams,groups,andcompaniestoclarifyhowtheirmemberschoosetoworktogether.

Anexplicitgovernanceprocess.Thesecondrequirementisthattheprocessbeexplicitandnotsecret.Therulesthatgovernmostworkenvironmentsareusuallyunspoken(e.g.,"Iwon'tsteponyouifyouwon'tsteponme";"Nosurprises";or"Don'tshootthemessenger").Inonecompany,therewasevenanunspokenunderstandingthat"Nogooddeedgoesunpunished."Increatingacollaborativeculture,theunspokenrulesaremadeexplicitandagreedtobyallparties.Inacollaborativeculturetherearenosecretsorhiddenagendas.Thisway,peopleknowwhatisexpectedofthem;theyhaveboughtintotheagreementsandtakeresponsibilityfortheirfullimplementation.

Abehavioralshift.Thethirdrequirementisthateveryoneengageinasignificantshiftinbehaviorbothasindividualsandasateam,group,ororganization.Itisnoteasytogiveupthetriedandtrueprocessesweusedinapower-basedculture.Sincethosevaluesandprocesseshurtourcompetitiveposition,weareeachchallengedtochangeourbehavior.AsFigure3-1shows,theprocessofcreatingaCollaborativeWorkplacemeansagradualmovementawayfrombehaviorscharacterizedbyavoidance,accommodation,competition,orcompromisetobehaviorsbasedontruecollaboration.

Operatingagreements.Thefourthrequirementisthatweestablishthebehavioralrulestogovernhowwewillworktogether,throughwhatwewillcall"OperatingAgreements."OperatingAgreementsbecomethecollaborativeculturebecausetheyrepresentthevaluesandbeliefsofthemembersoftheteam,group,orcompany.Theprocessofcreatingtheseagreementsbringsthekeyvaluesandbeliefsoftheparticipantstothesurface,andwhentiedtothecorevaluesoftheCollaborativeWorkEthic,redefinestheworkculturethatcantransformtheorganizationandresultintheneededbehavioralshift.

Asmemberstakeresponsibilityfortheirbehavior,theybecomeaccountabletooneanotherandresponsibleforthesuccessoftheirorganization.OperatingAgreementsappeartobeasimpleconcept,buttheprocessrequiresthateachindividualexaminehisorherownbehaviorandvaluesandchoosetoadjusttheminawaythatsupportsthenewculture.

Figure3-1.Thebehavioralshift.

ADefinitionofOperatingAgreements

Inacollaborativegovernanceprocess,OperatingAgreementsaredefinedas:

Theprinciple-basedagreementswehavewitheachotherthatprovidethefoundationforrespectful,honest,andtrust-basedrelationshipsandteamwork.

Putanotherway,OperatingAgreementsarehowwewillbehaveandworktogethertocreateaworkenvironmentofrespect,trust,andhonesty.OperatingAgreementsarethecollectiveconscience,theconsensusculturethatenablesanyorganizationtotransformitselfandbecomeamorestable,civil,andproductiveworkplace.

Threedistinctionsareimportanthere.First,OperatingAgreementsarenot"groundrules."Almosteveryteam,group,ororganizationhasasetoftacticalrulesinplacetoensurethatmeetingsstartontimeandendontimeandthatmembersrespectoneanother'sopinions.IntheOperatingAgreementsprocess,however,theworkforceisengagedinaprofoundconversationabouttheirbasicvaluesandbeliefsconcerninghowworkshouldbedone,howdecisionsshouldbemade,howdisagreementsshouldberesolved,andhowaccountabilityshouldbeensured.

Second,OperatingAgreementsareaformofprevention.OperatingAgreementscoverateam'sbasicbehavioralrequirements.Theseagreementsaremadeup-frontintheprocessofformingtheteam.Theybecomeasignificantwaytopreventconflictsdowntheroad,sinceeveryoneknowshowtheywillbehandled.OperatingAgreementsarmthemembersofateamorgroupwiththetoolstheyneedtobeself-sufficientinworkingthroughtheirdifferences,speedupworkprocesses,andleveragethesynergiesofthegroup.

Third,OperatingAgreementsbecomethenewworkplaceculture.Asaprocess,theyensureculturalandbehavioralalignmentamongteammembers.Theyrepresentthesharedviewofallteammembersonwhattheybelievetobeimportantabouttheirbehavior.Theyarethecornerstoneofthecollaborativegovernanceprocessandprovidethebasisfortheempowermentandaccountabilityofanytypeofteam.

The15CoreOperatingAgreements

Tobesuccessful,mostteams,groups,andorganizationsneedtoestablish15coreOperatingAgreements.(SeeFigure3-2.)Inthebalanceofthischapter,eachoftheseagreementswillbediscussedandkeypointsanddistinctionsforconsiderationidentified.(Asampleteam'sOperatingAgreementsmaybefoundinAppendixI.)

Figure3-2.Ateam'sOperatingAgreements.

Agreement1:DecisionMaking

Thisisthefirstandcertainlythemostdifficultagreementanyteamorgroupconsentsto.Itliesattheheartoftheteam'soperationsandopensawindowontheteam'ssoul,providinganindicatorofhowitwilltreattherestoftheOperatingAgreementsprocess.Whatwehavelearnedfromteamsisthatasthisinitialagreementunfolds,otheragreementsaresuggested.Forexample,whenateamconcludesthatitwantsconsensusasitsdecision-makingruleonstrategicissues,itmaybecomeimportanttoaddresstheAtten-

danceAgreement.Itisvaluabletoidentifytheseotheragreementsasyougoalong,buttrytostayfocusedonthetopicathand.

TheDecision-MakingAgreement,however,isnotaboutagreement;itisaboutdisagreementandhowteammemberschoosetohandletheirdifferencewithoneanother.Let'slookatanumberofkeydistinctionsthatmustbemade.

TheDecision-MakingOptions

Everygroupprocesshasadecision-makingrule.Therearereallyjustfouroptionstochoosefrom:

1.Decisionmakingbyoneperson

2.Minorityrule(lessthan50percentbutmorethanoneperson)

3.Majorityrule(lessthan100percentbutmorethan50percent

4.Consensus(100percent)

Inthebeginning,mostgroupsbasethisprocessonexperiencewithmajorityruleandtheuseofRobert'sRulesofOrderasaguide.Mostgroupsalsosayinitiallythattheyarecomfortablewithcompromiseorcanlivewithasthebasisforhowtheirdecisionwillbemade.Butwhenpressed,theyusuallychooseconsensus,becauseveryfewpeoplereallywanttobeleftoutofdecisionsthatwillaffectthem.This,then,leadstoamuchmoredifficultdistinction.

OurLackofExperienceWithConsensus

Weneedlooknofurtherthancelebritymurdertrialstoknowthatjuriesdonotworkbytrueconsensus,eventhoughthisistheoneplacewherewebelieve100percentistherule.Thepressstoriesofjuriesarerepletewithexamplesofthebrowbeating,intimidation,guilt,andfearthatdrivedissentingjurorstorelentandcaveintopeerpressure.Theonlyotherplaceinourculturewhereconsensusis

institutionalizedasadecision-makingruleisintheQuakerMeeting,inwhichconsensusisrequired.Everywhereelseourdecisionsaremadebyoneperson,byaminority,orbyamajor-

ity.Wedonothavealotofexperiencewithconsensuseventhoughthatishowmostpeoplewouldliketooperate.Lackingthisexperience,wetendtorelyonprocesseswearefamiliarwith:compromiseandcooperation.

Consensusvs.Compromise

Whenaskedtodefineconsensus,someoneontheteamislikelytosayitmeans"Canlivewithit,'asin,"Icanlivewiththatdecision.''Ineffect,thismeansthatIwillcompromisemytruefeelingsontheissuebecauseIwanttogetalong,orbecauseIdonothavethetechnicalexpertise,orbecauseitdoesnotreallymattertome.Iwillcertainlyarguemypointofview,butwhenallissaidanddone,Iwillgoalongwiththegroup.ThisapproachtoconsensusmeansImaynotreallyhavetotakeresponsibilityforthedecision;Icanalwaysoptoutandshiftthatresponsibilitytosomeoneelsewho"knowsmoreaboutit."ItalsomeansImaychoosewhetherornotIwanttofullyparticipateinthediscussion.Ihavegivenmyselfatrapdoor.The"canlivewith"philosophyrepresentsawin-loseapproachtodecisionmakingbecause,inacompromise,someonealwayslosessomething.Ineffect,ratherthanfacetheirdifferences,theseindividualsavoidtheissue.Then,whenthegoinggetstough,theycanturnaroundandsaytotheteam,"Itoldyouso"Thebottomlineisthatcompromisedoesnotequalconsensus!

Onemanagementteamweworkedwithbecameverycreativeinadoptingwhatitcalleda"supermajority'rule:thatis,allbutonepersonontheteamhadtoagree.Whatthismeantwasthatonemembercoulddisagree,buttheteamwouldnotbeobligatedtoworkthroughthedisagreement.Thistypeoftrapdoormeantthatthetruesynergiesoftheteamcouldnotbetapped,becauseoftentheylayintheveryperspectivesthattheonepersondisagreeingcouldoffer.Theteam'strapdooronlysucceededintrappingitintonottakingfull

responsibility.

ThePowerofTrueConsensus

Trueconsensusoccurswhenthereisnomemberoftheteamorgroupwhohasanyreservationswhatsoeveraboutthedecision

thathasbeenreached.The"whatsoever"iscritical.Thismeansnotrapdoors,no"Icanlivewithit,'nosmokescreens,nowindowsstillopenfordissent:Thearchitectureofdisagreementhasdisappeared.Withtrueconsensus,webecomegenuinelyalignedandhaveownershipofthedecisionswehavemade.BecauseIknowyouwillkeepyouragreements,mytrustinyougoesup,andIwon'tneedtospendtimeprotectingmyflank;Icanfocusonrealworkandonthecustomerinstead.

Onewayofknowingwhenthereistrueconsensusisthatthelevelofenergyinthegroupgoesup,evenwheneveryoneistiredafteralongday'swork.Atamoreprofoundlevel,inaconstantlychangingworkenvironment,weknowconsensusisatworkwhentheworkplaceculturedoesnotchangeeventhoughthestructureorworkprocessesdo.

FocusingConsensusDecisions

Withthetrapdoorssealed,teamsoftenstarttodifferentiateamongthetypesofdecisionsanorganizationorgroupneedstomakeusingconsensus.Somedecisionswillbeconsideredstrategicorpolicy-oriented,impactingthedirectionofthebusiness.Otherdecisionswillbeconsideredtactical,havingtodowithimplementingtheoverallstrategies,whilestillotherswillbeclassifiedasoperational,orday-to-day,decisions.Thesetermsmeandifferentthingstoeachofus,sinceoneperson'sfloorisanother'sceiling.Soitiscriticaltodefineandclarifywhatwemean.Astheteamworksthroughthesedistinctions,itwilltendtouseconsensusforitsstrategicdecisions.

WhenDisagreementsArise

Mostofusavoidconflicts,eitherbecausewedon'tliketo,wantto,orknowhowtodisagree.Soweenterthisprocesswithresistanceandavoidanceasourstartingpoints.Asoneteammemberexpressedit,

"Disagreementmakesmevulnerable.Idonotknowhowitwillturnout,whethertherewillbeanger,andwhatpriceIwillhavetopay.Itmakesmeafraid."Fearbecomesthedriverinkeepingusfromanhonestexchangeofdifferingviews.Additionalreluctancetodisagreecomesfromnotknowinghowto

disagreeinaconstructivewaythatenhancestheworkrelationship.Ineffect,weareamateursinhumandynamicswhoaretryingtobecometrainedacrobatswithoutasafetynetbeneathus.

Whatweabsolutelymustdotogetherisdevelopasafetynet,aknownprocessbywhichwecandisagree,berespected,andnotfearrepudiation,thesilenttreatment,intimidation,orreprisal.Wecandothisbyexplicitlyagreeingthatdissentiswelcome,evenexpectedinourteam.

OpeningtheDissentWindow

Inamanufacturingcompany'sinformationsystemsgroup,themembershadnearlyreachedaconsensus.Allbuttwopeoplewereinagreement,yetthesetwopersistedandpersisted.Theteamwentthroughallitsprocessesandtools,butstillitdisagreed.Whatwastheteamgoingtodo?Nooneknewtheanswer.

Teamsneedatooltogettothebottomoftheirdisagreements.InaCollaborativeWorkplace,thistooliscalledadissentwindowandinvolvesthrowingopenthe''windowofdisagreement"toreallylistentowhattheircolleaguesareconcernedabout.Inusingthistool,thereisanobligationtohearwhatisactuallybeingsaid,ratherthanwhatonewantstohear.Thisisverydifficulttodo,particularlywhenthepressureisontomakeatimelydecision.Ifanyone"runsover"thedissenter,howeverbyridiculingorwillfullymisinterpretinghisorherargumentsthecredibilityandintegrityofthewholeteamsuffers.Ifitisworkedout,mutualrespect,trust,confidence,andhonestyaretheresults.

FromSmokeScreenstoSafetyNets

Mostteamswilltrytherational,intellectualapproachtoresolvingdifferences;theywillidentifyalltheareasaboutwhichtheyagree,pinpointwheretheydon't,andbegintonegotiatetheirwaythrough

thedifferences.Saythereisateammemberwhocontinuestoobjecttotwokeypointsandisunwillingtobudgefromthisposition.Whatisreallygoingon?Itmaynotberationalatall.Itmaybeintheemotionalrealm.Sometimespeoplethrowupsmokescreensorintroduceunrelatedissuestoavoidrevealingwhatisreallybotheringthem.Sometimestheydonotevenknow

whytheyareobjecting;theyjustcannotagree.Teammembershavearesponsibilitytocreateasafetynetforthedisagreementi.e.,toworkwiththemembertodissipatethesmoke,gettotherootcause,andhelphimorhermovebeyondtheinitialobjections.Whenallthesmokehascleared,however,itislikelythatthedisagreementwasaboutasignificantemotionaleventinthatperson'spast.

Inatechnologyapplicationsteam,thereweretwomemberswhoexpressedwidelydifferingopinionsonwhetherthenewsoftwareapplicationshouldbepurchased.Thedebatewentonfortwohours.Whentheroot-causesafetynetwasapplied,itwasdiscoveredthatoneoftheadversarieshadlostapromotionandasignificantpayincreaseinanotherorganizationbecausehehadmadeasimilardecision.Oncethiswasuncovered,theteamhadnewinsightsintothepurchasingdecision,andinfiveminuteswasabletoarriveatamuchbetterdecision.

WhySilenceIsNotGolden

Thepriceofadmissionisparticipation.Inacollaborativeteam,verbalparticipationisaclearexpectation.Sometimesindividualsdonotwanttoparticipateandaresilenteitherbecausetheyareshyorupset,becausetheyhabituallyavoidconflict,orbecausetheyjustdonotcare.Ifmembersaregoingtobefullyresponsibleforthesuccessoftheteam,itiscriticalthateveryoneweighinverbally.Silenceisalsonotagreement.Whenitcomestimetodetermineifthereisatrueconsensusonadecision,itisimportantthattherebesomespecificphysicalorverbalcuethateverymemberusestoindicatepositiveornegativesupport.Itisalsoimportantthateveryoneindividuallybegivenanopportunitytoindicatehisorherviews.Silentmembers,orthosehangingback,needtobedirectlyengagedintheprocess.Failuretodosomerelydetractsfromtheeffectivenessoftheteamdowntheroad.

Agreement2:Attendance

Ataretailproductscompany,thecross-functionalteamsimplycouldnotreachanagreementonhowmanyofitsmemberswouldattendanygivenmeeting.Infact,theargumentreachedthepoint

whereitcouldnotagreeonwhethertocometomeetingsontimeortostayfortheduration.Clearlysomethingelsewasgoingon.

Attendanceatmeetingscanbeaseriousproblemforteams,particularlywhentheyhaveaconsensusdecision-makingagreementthatrequiresthemtobepresent.Attendancecanbecomeatrapdoor.Iftheteamisfightingoverwhethertobeontimetomeetings,afarmoreseriousexaminationofunderlyingresistancesisneeded.Whatbecomescritical,then,ishowtheteamdecidestosetitspriorities,handleitsscheduling,andmanageitstime.

ArelatedissueforaCollaborativeWorkplaceisteamgrid-lock.Thiscanhappenwhentherearesomanyteamsoperatingbyconsensusthattheschedulesjamupbecauseofcrossovermembership.Itisimportantthattheorganizationasawholenotover-assignindividualstovariousteamsandthattheteamsbejudiciousinplanningthenumberandfrequencyoftheirmeetings.

Agreement3:IntentionandPurpose

EvenwiththebestOperatingAgreements,ateamcangetintotrouble.Oneleadershipteamthathadacompletelistofagreementsfacedanethicalissueinwhichonememberbegantochallengethehonestyofanother.Theargumentbecamemoreandmoreheateduntiltheteamdecidedtoreflectonwhatitsintentionwas.ItsIntention/PurposeAgreementwasto"createawin-winandcelebrateeachother'ssuccess"Withthatagreementinmind,itdecidedtotaketheargumentoff-lineandresolveitthroughthird-partyconsultation.Whenitdebriefedtheexperiencelater,itrealizedthatwithouttheIntentionAgreement,theteammightnothavesurvived.

Thedictionarydefinesintentionas"thatwhich[one]proposestoaccomplishorattain;enduringthestruggleandhardship;purposeordetermination"Soonerorlater,everyteamrunsintoasituationin

whichtheotherOperatingAgreementssimplydonotwork.Rationalanalysisdoesnotwork.Productivityisdown,moraleislagging,andteamspiritisatrisk.Whatmaybemissingisclarityabouttheteam'shigherpurpose,itsreasonforbeingthatismorethanjustthecontentofitstaskormission.Inthissense,the

Intention/PurposeAgreementallowsmembersoftheorganizationtotranscendtheoldparadigm,tobreakthroughtheirownself-imposedlimitationstoachievefundamentalgroupsuccess.

Intentionisthestatementoftheteam'sprofoundbeliefinitself.

Agreement4:FullResponsibility

Jimmy,thecompany'snightshiftoperator,hadjustfinishedhisthird18-hourdayinarow,andasheleft,heforgottoclosethedrainagevalveonthesludgepipeattheplant.Theday'stoxicwasteranoffintothesound,killing50,000fishandcreatingapublicrelationsnightmareforthecompany.Thenextday,whenhereportedtohisteam,helearnedofthedisaster.Hiscolleagueswereunderstandablyfuriouswithhimforhisincompetence.Hehadruinedaone-yearsafetytrackrecord,jeopardizedtheirbonuspay,andembarrassedthemall.Whowasresponsible?TheteamblamedJimmy.Jimmyblamedmanagementformakinghimworksomanyhourswithoutabreak.Thetownblamedthecompany.ManagementblamedtheteamandJimmy.Sowhowastrulyresponsible?

IntheCollaborativeWorkplaceeachmemberoftheteamisfullyresponsibleforthesuccessoftheteamandthecompany.Failureatthislevelofmagnitudemeansthateveryonewasresponsible.Weareourbrother'skeeper,whetherwelikeitornot.Itdoesnothelptoblameanyone.

Ratherthanblamewhichproducesallkindsofdestructivebehaviorwhynotproblem-solve?Whynotshifttheparadigm?Wecanonlydosoinanenvironmentthatpermitsandevenrewardsrisktaking,innovation,andcreativesolutionstoproblems.Whenamistakeismade,theteamsurroundsthepersonwhomadeit,supportshimorher,andlooksforwaystoavoidsimilarmistakesinthefuture.

Fullresponsibilityalsomeansthatwehaveanobligationtoeachother

totakecareof,support,andtowatchoutforonean-others'bestinterests.Ifacollegueweknowwhodoesnotusuallydrinkbeginstostayoutlateanddrink,dowenothavearesponsibilitytosaysomething?Orshouldwesimplyshrugandsay,"Oh,

that'snotmybusiness"?Wheredowedrawtheline?Shouldn'tsomeonehavetalkedwithmanagementaboutthehoursJimmywasworkingandofferedanothersolution,forexample?

Wecannotbefullyempowereduntilwearewillingtobefullyresponsibletobreakthroughourself-imposedassumptionsabouthowworkissupposedtogetdoneandtakeonallaspectsofthejobandthecompany'ssuccess.Thismeansthereismoralauthorityinourworkrelationships.Itmeanslearningtocountonandbehonestandforthrightwitheachother.Itmeanscoachingandcounselingoneanother,providingbackup,andevenmovingtopredictivemaintenanceofourworkrelationshipsanticipatingwhatmighthappenandputtingpreventivemeasuresinplacetoavoidaccidentsandmisunderstandings.

Agreement5:Communication

Weknowgoodcommunicationiscriticaltothesuccessofourorganizations.Butwhatdoesthatreallymean,particularlyinaCollaborativeWorkplace?Wecanthinkaboutcommunicationmorenarrowlyasaprocessorasetoftools.Wecanalsothinkaboutitmorebroadlyasacommitmenttosharefullinformationtoensurefullcommitment.

"MysteryHouse"orOpenHouse?

Peopleneedinformationtomakedecisionsanddotheirwork.Intheabsenceofadequateoraccurateinformation,theystillhavetomakedecisions,sotheywill"makeitup"Wecallthisthemysteryhouse.Inanorganizationwhereinformationisdistributedonlyona"needtoknow"or"oughttoknow"basis,therewillbekeypeople,manyonthefrontline,whodonotknowaboutwhatisgoingon.Inarapidlychangingbusinessenvironment,thislackofinformationcanonlyreducethecompany'soveralleffectiveness.

TheCommunicationsAgreementcancreateanopenhouse,acommitmenttofullandfree-flowinginformationona"wanttoknow"basis.Theagreementwillspelloutup-frontwhowillgetwhatinformationwithwhatfrequencyandaboutwhat.

E-MailandVoice-Mail

TheCommunicationsAgreementcanalsoconsiderhowmemberswillcommunicatewitheachother.Forexample,someorganizationsarestillpaper-basedandformallycommunicatethroughmemos.Whenshouldmemosbesentandwhenshouldtheconversationbeface-to-face?Manycompaniesareusingelectronic-orvoice-mailorcomputer-basedgroupware.Networked,globalorganizationscannotgettheirpeopleface-to-faceasoftenastheywouldlike.Buthowdoweusethesemedia?Forexample,itisnotadvisabletouseeitherE-mailorvoice-mailtoresolveaninterpersonaldispute.Bothtypesofcommunicationsaregreat,however,forkeepingpeopleupdatedandmakinglogisticalarrangements.

Carefulattentionshouldalsobegiventotheuseofteleconferencesandvideoconferenceswhentousethem,howtoengagetheparticipantsnotinthemeetingroom,andhowtofollowthroughtoensurethattheresultshavebeenboughtinto.Irememberavideoconferenceinwhichparticipantsinthetwooutlyingcitieshitthemutebuttonandlateradmittedtheydidsobecausetheyfeltexcludedfromthemainstreamconversation.

ExternalCommunication

Aleadershipteamresponsibleforamajorchangeprocesswasholedupinconferenceroomsforthebetterpartofthreemonthswithatightlidontheproceedingstopromotefranknessandhonesty.Peopleintheorganization,tiredofbeingkeptinthedark,begantocirculaterumorsaboutwhatwasgoingonintheteam.Thisputpressureontheteamtoengagethemembershipbeforeitwasready.Whatshoulditsaytothemembers?Whatshouldittellitsbosses?Howshouldithandleitsinternaldifferencesoutsidetheroom?Whatshoulditsmessagebe?

Ineffect,everyteamhasitsownpublicrelationsfunctionthatneeds

tobediscussed,bothup-frontandaspartofitsregularmeetingsprocess.Itisusuallyhelpfultohaveanagreed-uponmessagethatwillbecarriedoutofthemeeting.Itisbettertohavesomeinformationgoingoutthannoneatall.Thiswaytheteamitselfisalignedandsuspicionsaboutitsworkarereduced.

Agreement6:Confidentiality

Teamsneedtodecidewheretoplacetheveilofprivacyaroundtheirinternalproceedings.Ifeverythingiskeptconfidential,otherswillwonder.Ifthedirtylaundryisaired,thecredibilityoftheteamandtheintegrityofitsprocessesmaysuffersignificantly.Theteamhastoachieveabalanceappropriatetoitsspecificcircumstances.Usuallyteamsmakeadecisionnottoreportanypersonalopinions,differences,orconflictsthatmembershaveinsidetheteam.Someevengetmoreprotectiveandrefusetoreportanythingthatwillhurttheteamormakeitlookbad.

Incross-functionalteamswhosemembersstillreporttotheirunitordivisionbosses,thereisenormouspressuretotellallparticularlysinceperformancereviewsaredonebythatboss.Towhomshouldthememberbeloyalhim-orherself,theboss,ortheteam?Heretheintegrityoftheindividualandthemanager'scommitmenttotheprocessarebothtested.Willthebosstrustthedirectreporttodowhatisbestforthecompany?Thismustbesortedoutbothintheteamandbetweenthebossandtheteammember.

Agreement7:ListeningandFeedback

Peopleoftenlistenforwhattheywanttohearnottowhatisactuallybeingsaid.Weeachhavefiltersthatscreenoutinformationthatisdissonantwithourworldview,beliefs,orwaywethinkasituationshouldbehandled.TheListeningAgreementemphasizesthecriticalimportanceofwhatStevenCoveycalls"empathiclistening,"inwhichwelistenwithoureyes.*

IntheCollaborativeWorkplace,wealsotrytolistenforwhatisbehindwhatpeoplesay."People,"myofficemateoncetoldme,"nevermeanwhattheysay.Youhavetofigureoutwhattheyarereallytryingtotellyou,andthenrespondtothatmessage."By

listeningwithoureyesobservingnonverbalbehaviorandtrulytryingtounderstandwhatisbeingsaid,weopenupanewchannelforpeopletobeginbeingtrulyhonest.

*StevenR.Covey,TheSevenHabitsofHighlyEffectivePeople(NewYork:Simon&Schuster,1989).

FeedbackasVerbalVideotape

Givingandreceivingfeedbackisequallydifficult.Wemaynotwanttobehonestabouthowwereallyfeelaboutsomeoneandrisktherelationship.Ingivingfeedback,ourintentmaybemisinterpreted.Sothesafestwaytooperateistonotprovideanyfeedbackatall.Asmymotherusedtosay:"Ifyoucan'tsaysomethingnice,don'tsayanythingatall."Similarly,receivingindividualfeedbackthatishonest,authentic,andcaringisdifficultbecauseitwillmostlikelychallengeone'sbeliefsandassumptionsaboutoneself.Asanexecutiverecentlytoldme,''ItwasnotuntilIsawmyselfonvideotape,givingatalk,thatItrulyrealizedthatmybeliefsabouthowIlookandbehaveweresimplynottrue"Increatingthefeedbackpartofthisagreement,theteamcanchoosehowitwillhandlethisprocess.Someadditionalskillstrainingcanalsobehelpful.Teammembersalsoneedtolearntogiveandreceivefeedbackinordertogrow.Ifwekeepquietaboutthingsthatarehurtingthepersonortheteam,theentireteamsuffers.

Agreement8:HonestyandHonor

"Seekthetruthandthetruthshallsetyoufree"isacommonrefrain.Butwealsoknowthattellingthetruthcansometimesgetyoufired.IamremindedoftheseniorvicepresidentofaFortune100companywhoonceaskedoneofhisdirectreportsafterameetingtobe"honest"withhimabouthisbehavior."Please,"hesaid,"IneedtoknowhowIcomeacross.Iwanttochangemybehavior.Ineedyourhelp.''Soshetoldhim.Itwasthelastmeetingtheyeverhad.

Welearnearlyontonottellthetruth.Infacttherearemanyshadesoftruthtelling,from"tellingthetruth,thewholetruth,andnothingbutthetruth,"to"whitelies,"toseriousstatementsmadebyhighpublicofficialsthataredeniedas"misstatements"thenextday.Wehaveeveninstitutionalizedthenotionthatthetruthiswhatisexpedient,

andhavefoundourselvesinsituationsinwhichwetrytonegotiatethetruthinordertoprotectourselves,ouremployees,ourteams,orourorganizations.Thetruthisusuallyalreadyknownintheorganization.Itjusttakestimeforeveryonetoadmitit.Forourownhonorandintegrity,wehaveanobligationtotellthetruth,particularlyifweexpecttobuildtrust-basedrela-

tionships.TheHonestyandHonorAgreementcanbecomeveryrevealing.Howdoweknowwhensomeoneisnottellingthetruth?Whoarewetojudge?Isthisgroupthink?

Asasocietyandinbusinesswesometimesletdiscussionsofhonestyandhonorslipfromtheradarscreen.Thetopicisverymuchaliveinoureverydayactionsandpractices.Weneedtokeepithighontheagendaofconsciousdiscussion,nomatterhowuncomfortableitis.Incomingtotermswithourdifferentperceptionsofthetruth,weraisethelevelofdiscourse,cometrulytoalevelofprinciple,andincreasetheprospectsthatwemaybehavewithhonoranddignity,notonlyasindividualsbutalsoasteams,groups,andorganizations.

Agreement9:ProblemSolving

Whenateamtacklesproblems,itneedstodistinguishbetweenacontentandprocessproblem.Weusuallyinterpretproblemsintermsofthetaskwehavetoaccomplish.Theyhaveacontentcomponent.Butjustasmanyifnotmoreproblemsinvolveinterpersonalandbehavioralissues.Asaconsequenceofourbiasinfavorofcontent,teamsmayfindthemselvesinrational-analyticdiscussionsaboutthingsthathavelittleornorelevancetotherealproblem.Problemsaremultifacetedandneedtobetreatedassuch.Theyrequireprocessconsciousnessandawillingnesstoaddresstherealitiesoftheseissues.

Nosolutioncanbebetterthanthedefinitionoftheproblem.Weneedtoinvestup-fronttimeinproblemdefinition.TheProblem-SolvingAgreementneedstocreateaprocessthatenablesteamstolookfor"trueNorth"i.e.,togetasclosetodefiningtherealproblemaspossible.Thismeansthatwemustdispensewithourusualinterpretationsandgettorootcauses.NASAlearnedearlyonthatthebestanswerstocomplexproblemswerefoundthroughthesynergyoftheteam.Engagingthefullteamprovidesasystemofchecksand

balancesthatpreventsanysingleindividual'sinterpretationsofrealityfromdominatingtheprocess.

Agreement10:ConflictResolution

IntheDynapCorporation,amajormarketingorganizationwaslocated100milesfromtheproductdevelopmentgroup.Froma

businessstandpoint,eachneededtheothertogivefullservicetotheirclients.Twoindividuals,oneineachgroup,hadhadafallingouteightyearsbefore.Theynevertalkedaboutit,letaloneresolvedit.Withinashortperiodbothgroupshadbecomefocusedontheirside'sbeingright.Theconflictappearedirreconcilable.Butdiditmatterwhowasright?Wherewasthecustomerinallthis?

Howoftenhaveweheardtheexpression"Nevergotobedmad"?Inbusiness,wewoulddowelltooperatebyasimilarmaxim:"Neverleaveworkmad."Inorganizationswherepeopledonotresolvetheirconflicts,thereisatendencytoholdontobadfeelings,tolistthepointsatissueinmental"dossiers"onFred,Carol,andRichard,andtocollectcorroboratingevidence.Conflictsbecomegrudges,"votes"arecollectedonthecharacterofcertainindividuals,andinformalnetworksareusedtoisolatethoseindividuals.Agrudgecanbecomeavendetta,andwhatwasoncejustasmallissuecanbecomeaninsurmountablebarrier.

ConflictResolution

IftheIsraelisandPalestinianscansitdowntogetherandtalkpeace,thenanyconflictatworkcanberesolved.Therealquestionisdowewanttoresolveit?Wehavetogenuinelywanttoendaconflictbeforeitcanberesolved.Itishelpfultoknowthateveryconflicthasalifecycle.AsFigure3-3suggests,thereisusuallya"presentingsituation"thatcanescalateintoasignificantdifference.Ifthedifferencecannotbeeffectivelyaddressedearlyon,theescalationprocesscontinues.Butwhenyouarereadytoleavetheroom,iswhenyoumuststayknowingthatthecrisiswillpassandthatoftenpeoplejustneedtobetrulyheard,toventtheirfeelings,andtogettheangerout.Thatiswhenyoucanyoumaketheinterventiontobeginresolvingthedifferences.

BeingRightvs.BeinginRelationship

Thecostofbeingrightallthetimeisthatweloseourconnectionwiththeotherperson.Whatdoesthatprove?Whatdifferencedoesitmake?Maybeheorsheiswrong.Maybewejusthaveadifferentinterpretationofwhathappenedandthatiswherethecauseoftheconflictlies.

Inahigh-levelinformationsystemsteam,Sarahrefusedtosit

Figure3-3.Theconflictcycle.

acrossthetablefromornexttoMarilyn.Itgotratherawkward,sincetherewereonlyninepeopleontheteam.AftertwodaysofworkingthroughtheirOperatingAgreements,thetwosatdownoverdrinksafterdinnerandtalkedlongintothenight.TheydiscoveredthatSarahhadthoughtMarilynwasresponsibleforherdemotionthreeyearsago,whileMarilynhadthoughtSarahwasarude,angryperson.SarahdidnotknowthatMarilynhadabsentedherselffromtheperformancereviewbecauseofaconflictofinterest.Theywerebothright,butnotinrelationshipwitheachother.Fromthatmomentonthetrustbuiltandtheirorganizationsbegantoworkcloselytogether.Theyrealizedwhatawasteoftimeandenergythethreeyearsofmisunderstandinghadbeen.

DirectDealingsastheKeytoSuccess

TheCEOdidnotliketheuseofhiscompany'strademarkbyhisstrategicalliancepartner,soheaskedhislegaldepartmentto"handleit:'Butwhentheothercompany'sgeneralcounselreceivedtheformalletteraboutusingthetrademark,hehittheroof.Thelegalmissileswereexchanged,andthealliancenearlycametoastandstilluntiltopmanagementatbothcompaniessatdown

inprivatetoresolvethedispute.Significantdamagetomutualtrust,however,hadbeendone.Whyhadn'ttheCEOsimplymadeatelephonecallordealtdirectlywiththeotherexecutive?Fear?Discomfort?Itisamazinghowmanyofourbusinessrelationshipissuescouldberesolvedeasilyifweonlytookthetroubletositdownandtalkface-to-faceaboutourconcerns.Betteryet,wecouldhaveanagreementtodealdirectlywitheachotheronallconflicts.

Avariationonthisthemeiscalled"triangulation"talkingtoathirdpartyaboutacomplaintinsteadoftalkingdirectlytotheindividual.Withinhourstheinformalnetwork,orgossip,hasrenderedajudgmentaboutthatindividual'scharacter.Directdealingssolvethisproblem.

TheImportanceofTiming

Wealsotendtoletourconflictssimmer,asinthemarketingexamplepreviouslydiscussed.Whengarbageislefttorotonthesidewalkduringasanitationstrike,thepossibilityofdiseaseincreasesdaily.Inbusiness,weareoftenwilling,forvariousreasons,toletourconflictsremainunresolvedfordays,weeks,evenyears.Theruleofthumbhereistohaveanagreementtoaddressconflictsasclosetotheeventaspossible.

Agreement11:Risk/Forgiveness

IttookThomasEdison10,000mistakestoinventthelightbulb.Attheriskofhavingtobeforgivenforquotinganiconofearlychildhoodeducation,BigBirdofSesameStreetfamehasasongthatstartswiththeline:"Everyonemakesmistakes,ohyestheydo"Me,makemistakes?You'vegottobekidding!Wethinkwecannotaffordtomakemistakes,soweputthebrakesonallrisk-takingbehavior.Butwithoutrisk,wecannotbefullyentrepreneurialandinnovative,andwelosecompetitiveadvantage.

AskingforForgiveness,NotPermission

Formiddlemanagersinparticular,thereisnotalotofroomtomakemistakesinaneconomicenvironmentwherewemustdomorewithless.Inanenvironmentoffear,itisnotlikelywewill

riskmakingamistake,becomingvisible,andhavingtheincidentbecomeaseriouscareerevent.Onewaymanagementisdealingwiththeriskissueistosay:"It'seasiertoaskforforgivenessthanforpermission."Thisspeakstothedeepleveloffrustrationfeltbymanymanagersaboutcorporatebureaucracyandthesensethat,sincetheanswerwillprobablybenoiftheyaskforpermission,it'sbetternottoask.

Theparadoxisthattoachievecompetitiveadvantage,wemustrisk,makemistakes,andlearn.Nopain,nogain.Weneedtobewillingtolosewhatwehaveinordertoachievecompetitiveadvantage.Todothatweneedtocreateaworkplacecultureinwhichpeoplewilleagerlyrisk,innovate,andcreate.Thismeansthatmanagement,owners,andshareholdersmightconsiderlookingmoreatthelong-termresultsofthebusinessandencouragingtheirmemberstorisk.Riskingbehaviorcanevenberewarded,aslongasitisunderstoodthatpeoplemustlearnfromanymistakestheymake.

CreatingaLearningEnvironment

Mostofusneedpermissiontoadmitwedonotknowitall,thatwedomakemistakes.TheparadigmshiftintheCollaborativeWorkplaceistomovetowardaworkenvironmentinwhichtheworkforcefeelspsychologicallysafeinwhichfearandcompliancearereplacedbymutualsupportandlearning.IntheRisk/ForgivenessAgreement,theteamneedstoconsidercreatingaprocesscalledblanketamnestyinwhichindividualsareencouragedtocomeupwithnewideasandacknowledgemistakeswiththeteammembersactivelyconsideringnewandinnovativewaystolearnandgrowthecompanyfromthoseexperiences.Theselessonsarethendocumentedandperiodicallyreviewedtoensurethattheyarecodified.Then,everytwoyears,exceptformattersofhealthandsafety,theteamthrowsthecodeawayandstartsalloveragain.

Agreement12:TeamOperations/Roles

Withleadershipinacollaborativeteambeingafunctionratherthanaposition,theteammayexperienceasignificantdisconnectforawhileabouthowtodospecificlobsthatthe"leader"usedto

perform.WewilltalkaboutthesevariousrolesinChapter4,butitisimportanttomentionherethatthetasksofmanagingateamanditsday-to-dayoperationsstillneedstobeperformed.IntheTeam/OperationsAgreement,theteamsortsouthowtheseresponsibilitieswillbehandledandbywhom.Theroleofthe"contact"personisparticularlyusefulinthatheorshecantakeonthelogisticalmeetingdesignandfacilitationfunctionsforaperiodof,say,threetosixmonths,andthenthepositioncanberotated.Thisprocessincreasesthelevelofcapabilityandserf-confidenceamongallmembersaseachtakesturnhandlingoneofthemostcriticaljobsinanycollaborativeteam.

Agreement13:Coaching

Manypeoplethinkofcoachingstrictlyintermsofsports.Thecoachissomeonewhotellsuswherewewentwrong,encouragesustodoourpersonalbest,andgivestheplaystotheleader.IntheCollaborativeWorkplace,coachingtakesonaverydifferentflavor.First,coaching,likeleadership,isafunction,notaposition,andliketheotherleadershipresponsibilitiesoftheauthority-basedleader,thecoachingroleneedstobeshiftedtotheteam.Second,eachmemberatthesametimebecomesacoachinthesenseofprovidingmutualsupportandbecomingfullyresponsibleandaccountableforthesuccessoftheteamandcompany.Third,coachingisanobligationbasedonmutualrespect,whichwetakeseriously,alwayslookingforenhancementsinourproductivityandeffectiveness.

TheCoachingAgreementspellsouttheprocessbywhichthecoachingfunctionwillbeshared.Theprocessagreedtowillprobablyincorporateoroverlaymanyotheragreementsalreadyreached,suchastheListeningandFeedbackAgreement.Addressingtheissueofhowtheywillapportiontheresponsibilitiesofthecoachingrolewillhelptheteammemberssortouthowtheywillachievesomedegreeof

equality.

Agreement14:Accountability

Inahierarchicalorganization,beingheldaccountableisusuallyanegativeexperienceandsomethingtobefeared.Itinvolveshaving

todefend,CYA,orproviderationalargumentsforactions.Peopleoftenhidebehindpaper,process,orpositiontoavoidbeingheldaccountable.ButintheCollaborativeWorkplacetheyrealizethattheydonotneedtohide.Theycanlookforwardtoopportunitiestoengagetheircolleaguesinanhonestconversationabouthowagoalwasorwasnotaccomplishedandhowitcanbedonebetter.

IntheCollaborativeWorkplace,eachteammembertakesfullresponsibilityforthesuccessoftheorganization.Itisaplacewherewecanmakemistakesandlearn.AccountabilityissomethingIchoosetodomyself,withouthavingtohideorfearbeingcaught.InChapter2,wediscussedthespecificwaysinwhichmemberscanholdthemselvesandothersaccountablethroughpersonalintegrity;directdealings,coachingandcounseling;andadministrativeaction.Justbecausepeoplearecommittedtoholdingthemselvesandothersaccountable,however,doesnotmeanthatitwillautomaticallyhappen.Thereareconsequences.Whatmighttheybe?

AttheBusinessLevel

Whenaworkforcechoosestobeginoperatingcollaboratively,itcannotforgetitsbusinessobligationtoproduceonthebottomline.PeoplesExpresshadaveryempoweredworkforce,butitwentoutofbusiness.Thereareconsequencesineveryorganizationforthefailuretoperformandmeettheneedsofthemarket,thecustomers,andtheshareholders.InaCollaborativeWorkplace,weuseatoughtestforaccountabilityinthemarketplace:thestrategicalignmentmethod(tobediscussedinChapter5).Thismethodengagestheentireorganizationinacollaborativeprocessthatresultsinacleardeterminationofthebusiness'uniqueandvalue-addedroleandcompetitiveadvantageinthemarket,andthatensuresthatallkeystakeholdersarealignedaroundandownitsstrategicdirection.Effectivealignmentwillmeanthatthemembersoftheorganization

willlearnfromitsmistakes,takeresponsibilityforthesuccessofthebusiness,anddeterminetogetherthemostappropriatecourseofaction.Thisprocessdoesnotabrogatethetraditionalroleofleadership.Rather,itenhancesandempowersthenewleadershipfunction.

Figure3-4.Empowermentandaccountability.

AttheTeamLevel

Manyindividualsandteamshaveoverreactedtotheideaofempowermentandconfuseditwithautonomousaction.Afteryearsofbeingtoldwhattodo,theopportunitytodowhattheteamthinksisright,inspiteofmanagement,isalmosttoogoodtopassup.Butallowingthependulumtoswingtoofaronewayortheothermissesthepoint.AsFigure3-4suggests,wemusthaveempowermentwithaccountability.Thisisachievednotonlybythestrategicalignmentmethod,butalsobytheOperatingAgreementsprocess,whichensuresacommitmenttoteamaccountabilityforbusinessresultsaswellaseffectiveness.

AttheInterpersonalLevel

Ifwearenotaccountabletoeachotherinourworkrelationships,theymayremainbrokenforsometimeandadverselyaffecttheteam'soverallfunctioning,itscredibility,and/oritsintegrity.Theteamneedsaprocesstofixbrokenrelationshipsthataffectitssuccess.

AttheIndividualLevel

Theconsequencestousfornotholdingourselvesaccountablecanbesubstantial.Ifweare"outofintegrity,"soonerorlateritwillcatchupwithusinourworkrelationships.InaCollaborativeWorkplace,theaccountableindividualseekscoaching,counseling,orothersupportiveservicestogrowthroughthebehaviorsandattitudesthatarecreatingthedisconnects.

Agreement15:Amendments/Renewal

Nothingisevercastinconcreteexceptourprinciplesandvalues.Becauseweneedtheflexibilitytorisk,learn,andgrow,wecanamendourOperatingAgreementsatanytime,aslongasconsensusisusedinarrivingattheamendments.Oftentimes,teammemberswillgothroughthisprocessovertheperiodofseveralweeksormonths,beginbehavingaccordingly,andtrytoadapttheagreementstorealworkcircumstances.Thentheyfindouttheyeitherdonotfullyunderstandhowtoimplementthem,didnotfullyunderstandwhattheyhadagreedto,ornowdisagreeandwanttorevisethem.Thereneedstobeanopenagendaitemallowingeverymembertherighttobringupanamendmentatanytime.

Withtime,eventhebestteamsbegintotaketheiragreementsforgranted.Afteraboutfourtosixmonths,thegroupgraduallybeginstoforgetwhattheyagreedto.Situationsemergethatchallengethegroup'smemoryastowhattheyhaveagreedto,andoftentheyslip.Keeptheagreementsinfrontoftheteamateverymeeting.Within24months,theagreementsmaylosesomeoftheirrelevance.Therewillbenewpeopleontheteamwithnewdynamicsandneeds.Therewillbenewissuesandworkrelationships.Productsandserviceswillhavechanged.Customerneedswillhavechanged.Itwillbetimetoreviewandrenew.UseablanksheetprocesstorenewtheOperatingAgreementseverytwoyears.

TheOperatingAgreementsProcess

ImagineateamsittinginaroomfortwotofourdaysoffacilitatedworkcreatingitsOperatingAgreementsBothinsidetheroomand

out,membersoftheteamengageinsubstantiveconversationsaboutmeaningsofterms,values,beliefs,andhowtheywanttobetreatedbyeachother.Theconversationgetsheatedattimes,funnysometimes,andseriousatothertimes.Atonepointthereisasignificantdifferenceofviewonatopicandamemberdigsinhisheels.Peoplecomplainthatitistakingforevertogettheagreementscompleted.Breaks,meals,andoff-lineconversationsdonotseemtodissuadethedissentingmemberfromhisposition;theteamfeelsithasreachedanimpasse.Aftertwohours,manyarereadytostranglethedissenter,butknowthatitmighthavebeenthem(andcouldbeinfuture).Sotheymakeaconsciousdecisiontopersist.

Carefullyandskillfullytheteamnarrowsthegapinthedifferencesandworksthrougheachofwhatsomefeelarepettyortechnicalissues.Stillitisnotenough.Theprocessgoesonforanotherhour.Itisnotworking.Thetensionrisesagain.Somepersonalthingsaresaidaboutthedissentingmember.Thereisastrongreaction.Then,outofdesperation,theteamusessometoolsinitscollaborativetoolkitthatallowittogetbehindalltheobjectionstothedissenter'scoreissues.Theyareemotional.Theyrepresentexperiencesandpainthispersonhadfiveyearsagowhenhefirstjoinedthecompany.Havingreallybeenheardandrespected,withtherootcausediscovered,themember'sresistancedissipatesandtheagreementisreachedinamatterofminutes

Whatwasneededfortheteamtobesuccessful?Patience.Persistence.Empathiclistening.Atotalcommitmenttothesuccessoftheprocess.Toleranceforoneanother'sdifferencesandstyles.Sometools.Andaskilled,resourcefulfacilitator.Itworked.

Theresultswereonseverallevels:

Culture.Theteamagreedtoasetofvaluesthatrepresentedwhatwasimportantanduniquetoitasagroupandhowitwouldoperate.

Itnowownsthemandwillberesponsiblefortheirimplementation.Throughthisexperienceofstruggleanddiscovery,anewleveloftrusthasbeencreated,andintegrityandrespectforeachotherhavebeendemonstrablyincreased;acollaborativeculturehasbeencreated.

Process.Theteammembersknowtheycanworkthroughtheirdifferenceswithoneanother;confidencehasrisen.

Content.TheteamhasitsOperatingAgreements.Thissitua-

tionpointstosomecriticalsuccessfactorsthatenabletheprocesstowork.

CriticalSuccessFactors

ThereisapatternamongteamsthathavesuccessfullycreatedandimplementedtheirOperatingAgreements.Fivecriticalsuccessfactorshavebeenidentified.

KeyRules

First,allagreementsmustbereachedwithtrueconsensus.Second,everyonewhoisontheteamandhastolivebytheagreementsmustbethereinperson.Theprocesscannotbedoneoverthephoneorbyproxy.Nosubstitutions.Third,askilledfacilitatorisneededtoworktheteamthroughtheprocess.Itisessentialtohonorthesethreekeyrules.

GivingItAlltheTimeItNeeds

Asonemembersaidataleadershipteammeeting,''ThethingaboutOperatingAgreementsisthatyoueitherpaynoworpaylater,butyouwillpay.Thechoiceyouhaveisnotwhetheryouwillpay,butwhatyouwanttopayandwhen."Youpayup-frontintermsoftime,oryoupaylaterintermsoflostproductivity,tension,anger,conflict,andlossofteamspirit.

Inourculturethereisalotofpressureto"justdoit"fast.Inthiscontext,OperatingAgreementsareatbestseenasjustanothercontenttaskwhich,iftackledquickly,canbedoneinlessthananhour,andatworstmightbeanobstacletotheteam'ssuccess.Thisapproachwillnotresultinacollaborativeculturenorsignificantlyimprovetheteam'sefficiencyoreffectiveness.

Weareshiftingtheculturefromoneofindependentaction,competition,andconflicttooneofmutualaccountability,

collaboration,andlearning.Ittakestimeforpeopletorealigntheirexpectationsofthemselvesandeachother.Normallyittakestwotofourdaystogettheinitialsetofagreementsdeveloped,butseveralmonthstoensurethatbehaviorsareconsistentwiththeagreements.Iftheteamtakesshortcuts,theprocesswillnotwork.Itis

deliberateandstructuredand"takeswhatevertimeittakes"fortheteammemberstoworkthroughtheirdifferenceswitheachother.

StruggleandDiscovery

Theprocessofcreatingateam'sOperatingAgreementsisperhapsthemostimportantstart-upactivitytheteammemberscanengagein.Itisintheirstrugglewithoneanotherandintheirdiscoveryofhowtheycanworkthroughtheirdifferencesthattheylearnawholenewlevelofhonest,candor,andtrust.Trustisthegluethatholdsanyorganizationtogether.

Byactivelyengaginginthestrugglewithourownassumptionsabouthowtomanageabusiness,challengingthoseassumptions,andthenredefiningthemsoweallwin,wecanbreakthroughtheshacklesofthehierarchicalparadigmandestablishawholenewlevelofrelationship,trust,andworkeffectiveness.

ToleranceforAmbiguityandAdversity

Aswesawintheteamexampleabove,itiscriticalthatwhenoneormoremembersofateamarehavingdifficultyaboutaparticulardecision,agreement,orissue,theothersrallyaroundthem,listen,andcreateasharedunderstandingoftheissueanditsresolution.Inconfrontingourownintoleranceforothers,welearnaboutourselves.Inourimpatiencewiththeambiguityofcreatinganewculture,wecomeface-to-facewithwhatdrivesandmotivateseachofus.Aswitha"hungjury,"itiswhenwearereadytowalkoutontheteamthatweabsolutelyhavetokeepourfeetintheroomandworkthroughourdifferences.Thatishowwediscoverourselves,ourstrengthasateam,andthepoweroftruecollaboration.

IntegrityandCompleteness

Youmighthearpeoplesay,"Let'sdoitinoneday.Let'sdoa'straw

thought'off-line,bringitin,processit,andgetouragreementscompletedmorequickly.Itrustyouguystogetitright.Afterall,we'veknowneachotheralongtimeandhaveal-

waysworkedwellwitheachother."Thesestatementsaremoreoftentherulethantheexception,andprovideachallengetotheteamsponsoroftheprocessandthefacilitator.

Forexample,oneteamthattookashortcutbyhavingtwomemberscreateastrawthoughtactuallyendedspendingmoretime.Whenitwaspresented,teammembersbegantotakestrongexceptiontothethinkingandassumptionsofthetwoindividuals.Inanotherteam,themembershadknowneachotherfor15years,butwhentheygotintotheprocess,theyquicklyrealizedthattheydidnotknoweachotheraswellastheythought.

NoShortcuts

OperatingAgreementshavetobeexperiencedtobeownedandtohavevalue.Wearenotcreatingpopartculture.Itisnotasuperficialprocess.Weareengagedinthecreationofthenewculturalfoundationforbuildingtrust,mutualrespect,andindividualvalue.Trusttakestime.Wegetthebehaviorwecreate,sowemustcreateitcarefully.

RecommendationsforCreatingOperatingAgreements

Whethertheteamiscross-functionalorsingle-function,project-basedorlong-term,neworold,adhocorpermanent,thefollowingrecommendationsapplyastheteambeginsitswork:

Ensuringclearsponsordirection.Besureyouhavecleardirectionandacharterfromyourteamsponsor.Thischartershoulddefinethetask,thedeliverables,andanyboundaryconditions,suchastime,money,anduseofotherresources.Periodicmeetingswiththesponsorensurealignmentandavoiddisconnectsdowntheline.

Preparingfortheprocess.Identifyaskilledfacilitatorwhounderstandsgroupandteamdynamicsandthecollaborativeprocess.Findalocationon-siteoroff-sitewheretheteamwillbeundisturbed

duringtheprocess.Thiswilltaketwotofourdays,andmayoccurinseveralsessionsoveraperiodoftime,soitisbestifthesamelocationcanbeused.Itmustbequietandkeepmembersfreefromanydistractions.

Conductingtheprocess.Applythecriticalsuccessfactorspreviouslynotedasyoumovethroughtheagreementsprocess.Flip-charteverythingandcreateaworking"memory"oftheresultstoensurethatyouareallagreeingtothesamething.Clarifymeaningsofwordstoavoidmisunderstandings.

Aftertheprocess.Oncetheinitialagreementsarecompleted,postthemonthewallinfrontoftheteamateachmeeting.Someteamsputthemonalaminatedcard.Afterthreemonths,reviewtheagreementstoseehowtheyareworking.Ameetingshouldbededicatedtoevaluatingyourexperience,makingupgrades,andrecommittingtotheagreements.

Summary

Trustistheglueinthenewworkenvironment.Buthowdowegetit,andifwehaveit,howdowekeepit?Trustisanoutcomeinourrelationships;itissomethingthatresultsintheworkplacewheneveryone'sbehaviorisbasedonthecorevaluesoftheCollaborativeWorkEthic.Therearethreefundamentalingredientsthatmustbepresentifthereistobetrustintheworkplace.First,thereneedstobearecognitionthattheculturemustchange.Authorityandcommandnolongerworkinproducinghigh-performanceorganizations.Second,thereneedstobeawillingnessonthepartofmanagementtocreateanewcovenantwiththeworkforce,acovenantbasedonthecorevaluesofcollaboration.Third,themembersofteamsandgroupsofallkindsacrosstheorganizationneedtoengageinthecreationoftheirnewculturebyestablishingOperatingAgreementsbasedontrueconsensus.Inthisway,wemovebeyondthegamesandtechniquesusedtoacquireandusepower,beyonddysfunctionandconflictinourrelationships,andtowardaworkplaceoftrust,integrity,andauthentic,genuinerelationships.Inthisnewenvironment,ournewworkplaceculturebecomesanassetandnotaliability.Wefinallygetto

collaborateinternallyandcompeteexternally.

4CollaborativeLeadershipThefirstresponsibilityofaleaderistodefinereality.Thelastistosaythankyou.Inbetweenthetwo,theleadermustbecomeaservantandadebtor.MaxDePree,LeadershipIsanArt

Itwastimefortheconsultingassignmentwiththeinformationsystemsleadershipteamtoend.Theconsultantshaddonewhattheyhadsetouttodo:Theorganization'sculture,workprocesses,andstructurehadbeentransformedintoacollaborative,team-basedbusinessfocusingonthecustomer.Intheclose-outmeeting,oneofthequestionswas:Whoistheleader?Whowillcarryforwardthemomentum?Whowillidentifytheinterventionsneeded,bethecatalyst,andensurethereisfollow-through?

Theanswerwasnotexpected:"Wearetheleader!""Howcanthatbe?"theywereasked.Theresponsewasinsightful.Henrysaid,"IfJeffisn'there,wemisshisabilitytochallengewhetherweareheadedintherightdirection.IfSarahisn'there,wemissherfacilitationskillsandinterventions.IfJohnisn'there,wemisshisanalyticthinkingandwayofkeepingourfeetontheground.Infact"Henryaddedwithalaugh,"ifJohnisn'there,weknowhisthinkingwellenoughtoanticipatethekindsofquestionshe'draise,askthem,andthencheckbackwithhimwhenhereturns."AsHenrycontinued,acknowledgingwhateachindividualbroughttotheteam,themessagewasclear:Leadershipisafunctionperformedbymany,notapositionheldbyone.Itisnolongeracceptabletodemandormandate.Wemustinclude,engage,andinspire.

IntheCollaborativeWorkplace,anyonecanbealeaderatanygivenpoint.Leadershipasafunctionissituational;itdependsoncircumstancesandnotonposition,power,orauthority.Thisnotionofleadershippresentsuswithaparadox.Inourcurrentmind-set,leadersareexpectedtotelluswhattodo.Theyrisethroughtheranksasaresultoftheirexpertise,skills,andabilitytomanagecorporatepolitics.Inthecollaborativemind-set,peopleinleadershiprolesareexpectedtoengagetheworkforceinbuildingownershipforthecompany'sstrategicdirection,tobepartofaflatterstructure,andtobuildopenandtrust-basedworkrelationships.Asaleader,whataremynewroles?HowamIsupposedtobehave?IfIamwillingtochange,howdoIshiftfromthehierarchicalmind-settothecollaborativeapproach?

Thischapterisdesignedtoexplorethesequestions.Wewillfirstlookatthemind-setshiftneededtofunctioneffectivelyinthenewworkenvironment.Thenwewillconsidertherolesandresponsibilitiesofcollaborativeleadersandfollowitwithadiscussionofthebehaviorsthatareexpectedofthenewleadership.Finally,wewillsuggestaseriesofstepsyoucantaketodiscoverwhetherthecollaborativepathisforyou.

ShiftingtheLeadershipMind-Set

Oldhabitsdiehard,Hierarchicalthinkingisadeeplyembeddedmind-set.Formanyofus,itrepresentshowwehavecometoviewourselvesandalifetimeofhabitsonhowwegetaheadintheworld.Itisdifficulttochangebehaviors,attitudes,andleadershipstyles.Infact,thepainofnotchangingusuallyneedstobegreaterthanthepainofchangingifthereistobeanyshiftatall.Itisaverypersonaldecision,butonethatcanbethoughtfullyconsidered.Let'slookatsomekeyelementsofthismind-setshift.

RecognizingManyLeaders,NotJustOne

Ourcultureisgearedtowardtheidentificationanddevelopmentof"heroic"leaders,menandwomenwhowillprovideusdirectionandrescueusindifficulttimes.Evenwhenchildrenareasyoungastwoorthreeyearsold,youcanhearpreschoolteacherssay,

"Thatchildisaleader."Weplaceanextraordinarilyhighvalueonleadershipbasedinauthority,eitherinformalorpersonal.Butinvaluingtheroleoftheleader,wesometimesconfirmourowndependencyandvalidatetheviewthatweourselvesarenotresponsibleforoutcomes.Wecanfallintothetrapofseeingleadershipasapositionheldbyonepersonratherthanafunctionsharedbymanypeoplewhoseleadershipabilitieswillemergeasneeded.Unfortunately,bybuyingintowhatcanbecalledthe"AssumptionofOneLeader,"wecantacitlydisempowerourselvesandoneanother.

Wehavealsobuiltintoourworkcultureanevenmoredisempoweringassertion:"Lead,follow,orgetoutoftheway."Thishomilyportraysaworkculturethatiseffectivelyvictimizingitselfbytheassumptionofoneleader,thatsays:

Thereareleadersandtherearefollowers,andtheyareneverthesamepeople.

Ineveryorganizationorgroupthereisoneleader;wehavechosenthatleaderforhisorherexpertise,wisdom,orskill;wemustgivethatleaderachancetosucceedorfail.

Leadershipequalsauthorityequalscontrolequalspower.

Onlyonepersonshouldandcanbeheldaccountable.

Leadersgetpaidtomakethetoughdecisions.

Wemustdefertotheleaderevenifthatpersonisheadedinthewrongdirection;itisnotmyresponsibility.

Itisunwisetochallengeleadershipunlessyouarereadytolookforanotherjob.

TheneteffectoftheAssumptionofOneisnotonlytodisempower

theworkforcebuttoputacapontheproductivecapacityofthecompany.ThisAssumptiontellstheworkforcethattheyarenotinchargeandhavelittlevalue.Itdisregardstheinherentleadershipcapacitiesofotherteammembersanddeliversthemessagethateachindividualhasonlycertainskillsandshouldsticktoaparticularrole.

Therealityofleadership,particularlyintheglobalmarketplace,isthatitisafunction,notaposition.Itisa"we,"requiringthefullapplicationofmanypeople'sskillsandtalents,bothasleadersandasfollowers,toensurethesuccessoftheorganiza-

tion.Everyonehasapieceoftheleadershippie,andeveryoneisvalued.

IntheCollaborativeWorkplace,leadershipisbeingredefinedusingadifferentassumption,theAssumptionofMany.Inthisassumption,eachofushasleadershipqualitiesthatemergewhentherightmomentarisesforus.Leadershipissituationalandevolvesovertimeaswelearntotakeonmoreandmoreresponsibility.

GivingUpControlandEngagingtheHeartandSpirit

ThevicepresidentforinformationsystemsattheDyNexCorporationlookedoutoverherspectaclesandsaid:"Ihaveworkedveryhardfor20yearstogetwhereIam.I'vesacrificedeverything.Nowwe'remakingaprofit,andI'llbedamnedifIamgoingtogiveupcontrolnow."Itwastrue.Shehadbeenthroughalottogethertitle,responsibilities,andrespect.Shehad500peoplereportingtoher,andbecauseworkwasherlife,itreallydidfeeltoherasthoughcollaborativeleadershipmeantgivingupcontrol.

CEODennisLongstreetofOrthoBiotechfeelsthatwhenyoustartachangeprocess,yougiveuptheabilitytomakefirm,harddecisionsandtakeachancethatemployeesmayleadyouwhereyoudon'twanttogo.Butmostoftheworkforcewantthesamethingsmanagerswantbecause"everyonewantstosucceed."Givingupcontroliswhatitfeelslike.Weassumewemusthaveatightreinonthingsorthecompanywillnotbeefficient.Ifwegiveupcontrol,thislogicsays,wearemorelikelytofail,andthatisnotacceptable.Besides,otherpeoplecannotbetrustedtodothejobright,eventhoughtheyarebright.Bonusesandthefuturedependondoingthejobright.

InaworkculturebasedontheAssumptionofOne,aleaderexpectstotalcontrolandtheprerogativesthatgoalongwithit.Controlissomethingalwaysretained.Itistheleader'schoicewhetherornotto

giveitawayordelegateit.Asonecorporateteamsaidasitwastryingtodecidehowitwouldmakestrategicdecisions,"Ifallelsefails,wewillgivethedecisionbacktoourmanager"

Butdoestopmanagementreallyhavecontrol,orisitjustanillusion?ThinkbacktoourbasicassumptionsinChapter2about

howworkgetsdone.Itistheworkforcethatdecideshowtheworkgetsdone,nomatterwhatleaderthinksheorsheisincontrol.TheCollaborativeWorkplacerecognizesthat,inreality,controlrestswitheveryoneintheorganization.Leadershaveinfluence;veryfewhavethedegreeofcontroltheythinktheyhave.Asaresult,theabilitytoeffectivelydirecttheorganizationisafunctionoftheleader'sabilitytoengagetheworkforce,tobuildvalue,andtocoach,support,andguidepeopletoachievethedesiredresults.Thisprocessrequiresnewunderstandings,skills,andcapabilities.Control,intheCollaborativeWorkplace,isasharedresponsibility.

OffloadingtheStructure-FirstMind-Set

TheexecutiveofaFortune500corporationusedthestrategicplanningretreattosurveythecompany'smarketposition.Oneclearconclusionwasthattheorganizationwaslosingmarketleadershiptocompaniesthatwerefarmoreefficientandbetterstrategized.Thecompany'sprofitsweredeclining,itsmarketsharewasoff5percent,anditskeycustomersweretalkingaboutleaving.Whatshoulditdo?

UsingwhatIwillcallastructure-firstmind-set,theexecutivewouldseetheproblemasreducingcostsintheshorttermtoachievelong-termcompetitiveadvantage.Accordingly,theCEOwouldorderlayoffsaswellasareorganizationofthebusiness'corefunctions.Thecompanywouldprobablycallinabigmanagementconsultinghouse,askforastudy,andimplementmanyorallofitsrecommendations.Throughout,theobjectivewouldbeshort-termcostreductionandsendingoutaclearsignalthatthisexecutivewasaboutactionandresults.Ninetimesoutoften,achievingthoseresultswouldentailsomeformofstructuralchange:reorganizing,flatteningtheorganization,reengineering,downsizing,oroutsourcing.

Manymembersoftheworkforcewouldcallthistypeofstructuralchange"theprogramofthemonth"or"rearrangingthedeckchairson

theTitanic"Totheexecutivewithastructure-firstmind-set,however,reducingtheheadcountwouldbeperfectlyjustifiedbythemarket.TheCEOwouldfeelthatthiswasnotimefor"soft"approachesthattookforever.Thiswasthetimeforaction"justdoit"Theexecutivewouldprobablyendorseamplecommuni-

cation,aseverancepackage,outplacement,andothersupportservices,butthegoalandneteffectwouldbestraightforward:asignificantreductionintheworkforce.

Anotherlookatthisapproachmightproduceadifferentinterpretation,andthisexecutivemightbeseenashighlyreactive,evenasflailinginthewind.Oftenthestructure-firstapproachsetsinmotionadownwardspiralofreducedproductivity,loweredconfidence,lostcredibility,anddiminishedcustomerservice,whichultimatelyresultinevenmorereductionsascustomerstaketheirbusinesselsewhere.Sometimestheseactionsdonotevenproduceshort-termprofit.

Onecommunicationscompanyterminatedthousandsofpeoplejustlastyear,andtherewasnoimpactonthebottomline;otherpartsofthebusinesssoakedupthesavings.Thecompanyisnowinitsfifthwaveofstaffreductionsinasmanyyears,cuttingseveralthousandmorethisyearastheboardbecomesincreasinglyrestive.

Anothermanufacturingcompanyhasbeendoingwhatwemightcall"structuringdown"for10years,tothepointwhere75percentofitsoriginalworkforceisgone.Productivityamongthesurvivorshasdropped,andthebusinessbaseisquicklyevaporating.Managementfellintothetrapthatitsproblemscouldbesolvedbystructuralchange.Thecompanymayevenbeforcedintochapter11bankruptcy.

Thechallenge,then,fortheemergingcollaborativeleaderistomovebeyondthestructure-firstassumptionsabouthowbesttoleadandmanageabusiness.ThereisanalternativewhatIcalltheculture-firstmind-setinwhichourdecisionsaredrivenbyprinciplesandcorevaluesratherthanbypowerorpersonality.Thismind-setisbasedonthefollowingkeyassumptions:

Theonlyrealshort-termsolutionistoplanforthelongterm;short-termgainoftenbecomeslong-termpain.

Themosteffectivewaytoreducecostistoincreasetheproductivityofthecompany'sworkforce.

Toincreaseproductivity,theworkforcemustbeengagedinsolvingtheproblemsofthebusiness.

Iftheremustbeareductioninforce,thepeopleaffectedshouldbeactivelyengagedintheprocess.

Figure4-1.Comparisonofstructure-firstandculture-firstmind-sets.

Structure-First Culture-First

Focusisontheshortterm Focusisonthelongterm

Focusisonthedebitsideoftheledger

Focusisontheassetsideoftheledger

Approachistop-down,imposed

Approachisengaged,collaborative

Treatsworkforceasnotresponsible

Assumesworkforceisfullyresponsible

Focusisonstrategic/tacticalandoperationallevels

Focusisoncollaborativeandtransformativeprocesses

Figure4-1providesacomparisonofstructure-firstandculture-firstmind-sets.

BehavioralTransformation

Wearenottalkingaboutbehaviormodification.Wearetalkingaboutbehavioraltransformation.Doesthisrequireapersonalitytransplant?Notatall.WhatitdoesrequireisarecognitionthatinaCollaborativeWorkplacetheoldwaysofbehavingandrelatingnolongerapply.Perhapsthemostdifficultthingforanyoneespeciallyaseniorexecutivewhohasmadeittothetopusingtheoldparadigmistotransformhisorherleadershipstyle.Whataleadercandoiscommittoapersonalgrowthprocessthatwillmapoutthepathtowardamorecollaborativeleadershipstyle.Onesuchprocess,thepersonaljourney,willbedescribedlaterinthischapter.

Beforemakingthisjourney,however,wemustbeveryclearaboutitsdifficulties.Figure4-2suggeststhatthebeliefsmanifestedinourleadingandmanagingphilosophiesaredeeplyrootedandnoteasilychanged.Ourbeliefshavebeeninthemak-

Figure4-2.Shiftingamind-set.

ingsincechildhood,formedbyoursuccesses,experiences,history,difficultlessons,andpaini.e.,ourverygroundofbeing.Theseeventsandexperiencesshapeanddriveourbehaviorthroughoutourlives.Oureducationalprocessesandinitialworkexperiencesreinforcethemind-setbystressingtheimportanceofcontrol,authority,discipline,competition,anddecisiveness.Thereislittleemphasisontheimportanceofeffectiverelationships,jointproblemsolving,andcollaboration.Addtothisbasicoutlookarewardsystemthatincentsustoproducefinancialresultsaboveallelse,andonecanseehowfundamentallydifficultamind-setshiftcanbe.

Life-changingexperienceslikeaheartattack,adivorce,orbeingfiredfromajobusuallyhaveaprofoundimpactonusandcanplayacriticalroleinhowwebehaveinthefuture,particularlywhenunderpressureorwhenwefindourselvesinasimilarsituation.Butthepainofnotchangingmustbegreaterthanthepainofchanging.Theremustbegoodreason,orgoodarguments,forsomeonetoalterhisorherwayofdoingthings.Therealitiesofthenewbusinessworldarethatreason.Theypointclearlytotheneedforafundamentalrealignmentinleadershipstyleifwearetoremaincompetitive.Changeispossibleiftheindividualiswillingtofacethenewrealities,observehisorherownbehavior,andmakecommitmentstorealignandbehavedifferently.Thereislessvalueplacedonloftystatementsandgoodintentions.IntheCollaborativeWorkplace,whatmattersisthewillingnesstochange,adoptnewbehaviors,andmaintaineffectiverelationships.

TheRolesandResponsibilitiesoftheCollaborativeLeader

Marywasconfusedabouthernewjob.''Usually,"shesaid,"asteamleader,IdelegatethejobstotheteammembersandIsupervisetheircompletion,settingstandardsandprovidingmoralsupportand

motivation.Idon'tunderstandwhatthisnewjobis.Whereismyauthority?Whoreportstome?WhoamIaccountableto?"

Itusedtobesosimple.Everyoneknewwhattheruleswere,andclimbingtheladdertoleadershipwastheresultofknowledge,

expertise,andpolitics.Nowtheruleshavechanged,andthereismuchdiscomfort.Infact,mostleaderstodaywhoaretryingsomethingnewwilltellyouthatthenewapproachestomanagementtakethemwayoutsidetheircomfortzones.AtGoretex,theyhaveevengonesofarastocalltheirapproach"unmanagement"

IntheCollaborativeWorkplace,theorganizationisledandmanagedbypeopleworkinginteams,buildingonthesymbolofthecircleratherthanthepyramid.Inthisorganizationaldesign,therearefourbasickindsofCollaborativeTeamsthatneedtheleadershipfunction:

Strategicleadershipteam(SLT).Providesoverallstrategicdirectionandguidancetoacompany,department,orunit.

Functionalteam.AstandinggroupthathasadesignatedfunctionalresponsibilityandistiedintotheSLT.Functionalteamsmayalsohavesubgroupscallednaturalworkgroups.Thesearegroupsofpeopleclusteredbygeographyortaskinmanageableunits.

Projectteam.Atemporarygroupingofpeoplewhoareworkingtogetheronaspecifictask.Itmaylastfromafewdaystoayearormore.Often,membershavemorethanoneteamresponsibility.

Cross-functionalteam(CFT).Atemporaryorpermanentteamofpeoplewhocometogetheracrosstheboundariesofspecificdepartmentstofocusonacustomerneedorconcerncommontotheentireorganization.

IntheCollaborativeWorkplace,thereisnoteamboss.However,inmostofthesecollaborativeteams,thereisusuallyadesignatedcontactpersonwhocanspeakfortheteam.

Whethertheorganizationistotallycollaborative,totallyhierarchical,orevolvingfromhierarchytocollaboration,thecollaborativeleadermustbeawareofawiderangeoffunctionstobeperformed,manyof

whichneedtobefulfilledsimultaneously.Herearethecorefunctions:

Theleaderassponsor.Thesponsorofanyteam,particularlyaleadershipteam,providesaircoverandstrategicdirectionfortheteam;providestheresources,initialcharter,andboundarycondi-

tionsfortheactivity;providescoachingsupportforfunctionalteamleadersandmonitorstheprocesstoensureitssuccess;helpsmaintaintheintegrityoftheteam'soperatingprocesses;andmakesnecessaryinterventions.

Theleaderasfacilitator.Thefacilitatorensuresthatmeetings,teamdynamics,andinterpersonalrelationshipsfunctioneffectively;providesmeetingdesignandimplementationservices;managespreventionsandinterventions;ensuresinternalcoordinationofactivitiesamongteammembers;protectstheintegrityoftheteamprocess;andworkswiththesponsorifthereareproblems.

Theleaderascoach.Thisfunctionrequiresobjectivityaboutindividualsandtheirrolesintheteam/organization.Itisasupportiverole,onethatinvolvesprovidingguidanceandbeingasoundingboard.

Theleaderaschangeagent/catalyst.Thisfunctionrequiresaverygreatlevelofobjectivityabouttheorganization,teams,andteammembers.Itrequirestheabilitytoholdindividualsaccountablefortheiractions,tomakeunpopularobservations,andtoenergizeagrouptoaction,enablingbreakthroughswherepossible.

Theleaderashealer.Mostorganizationshavealotofpainstoredupinthemaboutbrokenrelationshipsandbrokenprocesses.Inthisrole,theleaderplaystheroleofmediatorandcatalystinbringingpeopletogether,ensuringintegrityinworkrelationships,andmakingnecessaryinterventions.

Theleaderasmember.Atoneormorepoints,even"naturalleaders"willsimplyserveasmembersoftheteam,takingfullresponsibilityforthesuccessoftheteam;activelyparticipatinginitsactivities;nurturingandsupportingtheteam'sdevelopment;doingthework;andlivinguptotheteam'sgovernanceprocesses.

Theleaderasmanager/administrator.Thistraditionalroleinvolvesthedailyadministrativeresponsibilities,processes,andsystemsessentialtomanagingtheboundarieswiththelargerorganizationorkeystakeholders.Itmayalsoinvolveadministrativeactionaffectingindividualsifcoachingandmediationdonotwork.

CriticaltothesuccessoftheleadershipfunctioninanyCollaborativeWorkplaceisthatalltheserolesarefulfilled.

CollaborativeBehaviors

TheseniorexecutiveatCYLOR,alargedistributioncompany,thoughthewasdoingalltherightthingsbyflatteninghisorganization,reengineeringkeybusinessprocesses,anddelegatingfullresponsibilityto20seniorpeoplehecalled"clusterleaders."Theywereempowered,hesaid,tofullyimplementthevision,mission,andstrategicdirectionofthecompany,unfetteredbycentralcontrols.Theymustnotsupervise;rather,theymustbecoachesandmentorsfortheirsubordinates,whowerenotreallytheirsubordinates,buttheircolleagues.(Buttheywerenotreallycolleagues,either,becausetheyreportedbothtotheclusterleadersandtotheseniorexecutive.)

Soundconfusing?Itcertainlywastotheclusterleaders.TheCEO'sintentionsweremovingintherightdirection.Whatwasmissingwereclearexpectations,clearrolesandresponsibilities,andsufficientorganization,management,andskillssupporttoensuretheirsuccess.Mostimportantly,accountabilitywasnotclear.Intheheadlongrushtobecomeself-managedandempowered,CYLOR'sexecutivewasmakingaverycriticalmistakefailingtodistinguishbetweentheleadershiproleandtheleadershipfunction.Eachleaderwasessentiallythrownintotheoceanofempowermentwithoutaliferaft.Theresultwasthatmanywereindangerofdrowning.Therewasabacklash.Withinsixmonths,theclusterleadersbecamedefactoregionalvicepresidents,eachoperatinginadifferentway,creatingredundancy,andincreasingcosts.Therewasalossofcredibility,andtheopportunitytostarttheprocessofempoweringpeoplewithinsomekindofstructuredprocesssufferedirreparabledamage.

Centraltothesuccessofanysignificantgrowthorchangeeffort

designedtoincreaseflexibilityandcompetitivenessistheestablishmentofclearexpectationsaboutbehavior.IntheCollaborativeWorkplace,collaborativeleadersareexpectedtobehavedifferentlyinthought,feeling,andspirit.Iliketothinkofthesethreeareasasbehaviorsfromthehead,theheart,andthespirit.

BehaviorsFromtheHead

Behaviorsfromtheheadarebasedonrationalanalysis,bottom-linenumbers,systemsthinking,andefficiency.Inthehierarchyparadigm,thismeansafocusoncontrol,accountability,cost,andtheshortterm.Thereisafocusonthedebit,orcost,sideofthecorporateledger,ratherthanontheasset,humancapital,orproductivitysideoftheledger.IntheCollaborativeWorkplace,theexpectationsaredifferent.Collaborativeleadersareexpectedtodothefollowing:

Toensurestrategicalignmentamongallthekeystakeholdersintheorganization,withcustomers,andwiththemarket

Toensurecongruenceamongallelementsoftheorganization,withafocusonitsinternalprocessesandintegrity

Tocreateandsupportalearningenvironmentthatencouragesrisktakingandenablespeopletomakesomemistakeswithoutfearofreprisal

Tocreateandsustainorganizationalmomentuminthecompany'sgrowthanddevelopment

Tofocustheenergyoftheworkforceonresults,bothintermsofthefirm'seconomicsandintermsofthequalityofitsproduct,workrelationships,andcustomersatisfaction

Tousemeasurementtomonitorthecompany'sprogresstowardstrategicobjectivesinallareasofthebusiness

ToproactivelyandregularlysponsorrenewaloftheOperatingAgreementsandworkprocessesthatensurethehighestlevelofeffectivenessinrelationships,results,andreputation

BehaviorsFromtheHeart

Behaviorsfromtheheartemanatefromthepsychologicalandsocial

sideofleadersandfocusonrelationships,respectforothers,andtheelementsofmotivation.Inahierarchy,theattentiondependsontheindividualandisfoundinthehumanresourcesfunction,whichhasresponsibilityfortraining,wellness,andsocialsupportprograms.IntheCollaborativeWorkplace,theseresponsibilitiesbelongtolineleaders,managers,andteams.Behaviors

fromtheheartarefrontandcenter.Collaborativeleadersareexpectedtodoasfollows:

Toshowtheirvalueforpeoplebywalkingthetalk,buildingthosebehaviorsaroundabasicrespectforthedignityandesteemofeveryindividual

Toprovideinspirationfortheworkforcetoachieveasenseofcommonpurposebycontinuingtobuildvalueforandownershipofasharedvision,mission,andstrategicdirection

Tocreateanurturingworkenvironmentinwhichmemberstakecareofeachotherandtheteam

Toencourageanenvironmentinwhichpeoplecanexpectforgivenessfortheirmistakeswhilealsoholdingeachotherresponsibleandaccountableforthem

Tosupportacommitmentbyeveryoneintheorganizationtobuildandsustainwholerelationships,inwhichissuesareresolvedquicklyandcompletely

Tocreateasenseofcommunityandmutualsupport

Toprovideacknowledgmentthroughasystemofrewardsandrecognitionthatsupportsindividualandteamaccomplishments,theireffectiveness,andthequalityoftheirwork

Toensurerecommitmentbyeachmemberandteamtoperformatthecompany'shighestlevel

BehaviorsFromtheSpirit

Behaviorsfromthespiritderivefromthespiritualandphilosophicsideofcollaborativeleadersandspeaktotheircorevalues,beliefs,motivations,andperspectivesonhoworganizationsandpeoplework.Inahomogeneousculture,thesevaluesandbeliefstendtobe

generallyaccepted.IntheCollaborativeWorkplace,inwhichthecultureisfarmorediverseintermsofstyle,ethnicity,andvalues,collaborativeleaderscreateacommonground,basedonprinciple,thatwillspeaktothebasicneedsofeveryoneintheworkforce.Collaborativeleadersareexpected:

Tohonorandenhancetheself-esteemanddignityofeachindividual,regardlessofcharacteristicsororigin.Similarly,team-

esteemwillalsobehonoredandrespectedasacorebuildingblockforensuringlong-termeffectiveness.

Towhollycommittointegrity,bothintheirownbehaviorandintheorganization'swork,practice,processes,growth,anddevelopment.

Tobuildanenvironmentoftrust,inwhichpeoplecanearnorregaintheconfidenceandtrustoftheircolleagues.

BecomingaCollaborativeLeader

Thetruetestofleadershipistheabilitytoseeyourownself-imposedlimitationsandtobreakthroughtoanewsenseofyourselfthattransformsyourattitudes,behaviors,andapproachtoworkingwithothers.

Mostpeoplewhoseriouslyconsidermakingafundamentalshiftintheirapproachtoleadershiprarelydosobecausetheywokeuponemorningandsaid,"TodayIthinkIwilltransformmyself."Usuallythereissomesignificantevent,orseriesofeventsintheirpersonallifeorthatoftheircompany,thatpunctuatesthenecessityforadramaticchangeinstyle.Somepeopletakethispersonaljourneyoutofadesiretotryanewapproachtoleadingandmanaging.Othersseethetrends,recognizethenewrealitiesforwhattheyare,andeitheroutofaltruism,goodsense,oraninstinctforsurvivalactivelyseekoutthenewmethodologies.

Butwhatevermotivatesthejourney,itisanongoingcommitmentyoumaketoyourselftoconfrontyourbestandworstpartstoproduceabreakthroughresultthattransformsyourattitudes,behaviors,andapproachtoworkingwithothers.Itisnotaonetimeevent.InaCollaborativeWorkplace,itisajourneytowardtruecollaborativeleadership.

PreparingfortheJourney:ATen-StepProcess

Beforeyousetoff,theremustbeaclearcommitmenttocompletethejourney.Thiscommitmentiscriticalbecause,inthecourseofthetrip,youwillbegettingfeedbackyoumaynotwanttohear,feedbackthatmaychallengetheassumptionsyouhavehadaboutyourselfandpresentanalternativepictureofwhoyouthinkyouare.Thejourneyrequiresaconsciousdecisionthatyouarewilling

toexploreyourcapacitytoleadothersintothenextcenturycollaboratively.Herearesometipstohelpgetyoustarted:

Createaloose-leafjournaltorecordthestepsyoutakeandtheobservationsyouandothersmake.

Getacoachafriend,colleague,spouse,orevenacounselorwhowillsupportyouthroughthejourney.Itisimportanttohaveanobjectivesetofeyeslookingatthedatayouwillgenerate.

Createaroadmapandputitonatimeline.Thisprocessneedssometimedefinitiontoit.

Writeitalldown;thismakesitreal.

Step1:AnalyzingYourCoreValues

Thefirststepistofindoutwhatmakesyoutick.Writedownwhatyouvalueandwhy.Whatareyourbeliefs,andwheredidtheycomefrom?Aretheystillvalid?Whatisyourmotivation?Whatreallydrivesyou?Thisanalysisshouldproduceaveryclearpictureofyourvaluesprofile,andprovidethefoundationforyourapproachtoleadership.Nowcompareyourvaluesprofilewiththenewrealitiesinyourenvironment.Givenyourvalues,whatleadershipbehaviorsdoyouuse?Howdoothersseeyourbehaviors?Whatisworkingandwhatisnot?

Step2:AssessingYourSkills

Identifyyourgreateststrengthsandareasforgrowth.Inasectionofyourjournal,createasheetforeachofthefollowingareasofyourlife:education,work,family,religiouscommitment,socialinteraction,communityand/orpoliticalinvolvement,financialpicture,athleticskills,andculturalinterests.Oneachsheet,infive-yearincrements,writedownyourspecificaccomplishmentsthingsyouactuallydid.Allowyourselfsometimetocompletethisstep.Itisoftendifficultto

remembereverythingyou'veaccomplished.Askfamilyandfriendstohelpyouwiththis.Onceyouhavecompletedthisdiagnostic,lookforpatternsacrosstheyearsandtranslatethemintospecificskillsandcompetenciesyouhave:e.g.,project-oriented;analytic;committedtocommunityservice.

Pullouttheskillsandcapabilitiesyouhavethatrelatetotheworkplace.Comparethemtotherequirementsofacollaborativeleaderanddeterminewhereyouwanttoinvesttimedevelopingnewskills(developingfacilitationandcoachingskills,forexample).

Step3:FormulatingYourVisionandMission

Youarenowreadytoformulateyourownpersonalvisionandmissionstatementsthatwillgovernwhoyouareandwhatyoudoforthenextseveralyearsofyourlife.Itisoftensaid"tothineownselfbetrue,"andinthissearchforyourtrue,currentidentity,youwilldiscoverwhetherthereiscongruencebetweenyourvaluesandwhatyouaretryingtoaccomplishinyourlife.Youhavetoreallyaskyourselfwhetherallthethingsyouhavebeenputtingupwithtogettothispositioninlifearereallyworthit.Youmayfindout,andmanydo,thattheysimplyarenot.Criticaldecisionsaboutthefutureofyourjobareoftenmadeatthispointtosustainyourpersonalintegrity.

Step4:RedefiningYourLeadingandManagingPhilosophy

Theresultofthisstepistheredefinitionofyourapproachtoworkingwithothers.Giventhatamajorpartofthisjourneyistranscendingtheoldparadigm,thiscanbedifficult.Therubberbeginstohittheroad.Itisnolongertheoretical.Nowit'spersonal.Animportanttoolhereiswide-rangingfeedbackfromyourpeers,teammates,subordinates,andsuperiors,togiveyouacomprehensiveperspectiveonhowyouactuallybehave.Usingthisfeedback,youcanpinpointanyincongruencebetweentheprinciplesofcollaborativeleadershipandhowyou'veactuallybeendoinguptothispoint.

Step5:AssessingYourBehavior

Usingthesedata,begintoidentifythespecificresultsofyourbehaviorintheworkplace.Doesitsquarewithhowyouwanttobeviewedbyyourselfandothers?Whatisthecosttoyou,tothem,and

tothecompany?Thepurposeofthisstepistoprovideyou

withachoiceinhowyouwanttobehaveinthefuture,andtohelpyoubeginmappingacourseofactionthatwillenableyoutoalignyourvalueswithyouractions.

Step6:AnalyzingYourRoles

Referbacktothesevenleadershiprolesandresponsibilitiesidentifiedearlierinthischapter.Givenyourprofile,whichoftheseroleswillyounowplay?Whatskillsdoyouneedinordertobesuccessfulatthem?

Step7:MakingtheChoice

Withtheanalysiscomplete,youcanchoosehowyouwillbehave,acquiretheskillsyouneed,andmeasureyourprogress.Theactofchoosingisitselfanessentialstepinabandoningtheoldparadigm.Inourexperience,choosingisnotaone-timeaction.Hundredsofchoicesneedtobemadeeachweektoproducealastingmajorchange.

Step8:SettingMeasurementsandRecommittingYourself

Setsomemeasuresandbenchmarksforyourself.Askyourcoachtogiveyoufeedbackonaregularbasis.Recognizethatyouwillmakemistakes.Giveyourselfabreakbylearningfromthemandrecommittingtoyournewapproachtoleadership.Mostimportantlybelieveinyourself.

Step9:ImplementingYourActionPlan

Nowisthetimetoconvertanalysis,self-discovery,andchoicesintoanactionplanandthenimplementit.Thisisanotherplaceatwhichmanytravelersgetstopped.Itmeansexperimentingandtryingnewwaysofbehaving.Itisscarysometimes.Peopleyouhaveworkedwithforyearsmaynottrustit.Thetrickistopersevere.

Step10:EvaluatingandCelebratingYourProgress

Afterthreemonths,takestockofyourprogress.Useyourmeasurestoevaluateyourwinsandlosses.Createyourroadmapforthenextthreemonthsand,whateveryoudo,celebrateyourexperiencewithyourcoach,teammates,spouse,andfriends.

Summary

Thenewrealitiesinbusinessrequireanewtypeofleadership.Command-and-controlnolongerapplies.Collaborativeleadership,however,requiresasignificantshiftinourrelationshipsintheworkplace.Sinceleadershipisnolongerapositionbutafunction,andsinceeveryonecanbealeader,theresponsibilityforleadingtheorganizationshiftstotheentireworkforce.Thetraditionalrolesandresponsibilitiesofleadershipalsochangefromcommandingtocoaching,fromtellingtoengaging,andfromdelegatingtootherstoworkingwithothers.Ourbehaviorsmustchangeaswelearnhowtofunctioninanenvironmentofconsensusformation,conflictresolution,andfullresponsibility.Thisisnotaneasytransformation.Infact,toshiftthemind-setfromhierarchicaltocollaborativeleadershiprequireseachofustodiscoverourowncapacitiesandskillsandtomapoutapersonalplanofactionthatwillenableustoachieveourgoals.

5BuildingStrategicBusinessAlignmentEvenifyouthinkyouareontherighttrack,you'llgetrunoverifyoujustsitthere.WillRogers

ItwascleartothepresidentthatStahlcote,Inc.,neededtoredirectitsmarketfocus.Heknewthecompetitionhadrecentlyfoundanewwaytomanufactureitsproductandasaresulthadcaptured12percentofStahlcote'smarketinjustthelast24months.Thetrendwasclear.Immediateactionwasessential.

Theexecutiveteamwasbroughttogetherforathree-daystrategicplanningretreat.Theurgencyofthemeetingwasevidentaseveryonescrambledtopullthedatatogether.Themoodwassimilartotheonethathadprevailedduringthemergertwoyearsago,whentheneedtotakeimmediateactionhadseemedtooverwhelmlogic.Theretreatfocusedonre-visioningthecompany'sstrategicdirectionandtheimmediateactionsthathadtobetaken.Whenitended,everyonehadhisorherassignmentanda90-daytimelinetoproduceresults.Thepresidentendedtheretreatbysaying:''Myfriends,ourfuturedependsonyou.Let'sjustdoit!"

Theteammemberswentbacktotheirrespectiveorganizationsandannouncedthechanges.Somelaidpeopleoff.Otherscutbudgets,andanaggressivemarketingcampaignwaskickedoff.Whilethestructuralchangeswerebeingimplementedthegrumblerateskyrocketedandproductivityplummetedastheemployeesbegantofeeltheimpact.Threemonthslater,saleshadstillnotincreased,althoughcostreductionshadbeenachieved.Productiv-

ityremainedlow.Anxietywasup.Itwasdifficulttogetmidlevelmanagerstospeakatmeetingsorbeenthusiasticabouttheirassignments.Themalaisecontinuedforanotheryearuntiltheboardfinallyhiredanewpresident.Hisfirstofficialactwastoholdastrategicplanningretreat.

BreakingtheCrisisCycleThroughCollaboration

Thisstoryisbeingplayedoutallacrossthecountryasonecompanyafteranothertriestoavoidgettingrunover,searchesforanenhancedmarketniche,orseekstorefocustheproductiveenergiesofitspeople.Intheprocess,manycompaniescreatetheirowncrisiscycle.Itbeginswhenacompanyneedsimmediateresultsanddoesnothavetimetoplanlongterm.Aspeoplefocusontheshortterm,theyproduceresultsthathavelittletodowiththelong-termsuccessofthecompany,thusrepeatingthecrisiscycle.Withoutaneffectivemethodtoproducestrategicfocus,crisisactuallybecomesthemodusoperandi,withleadershipfrequentlymobilizingitsworkforcetotakeswifttacticalactioninhopesthatitwillproduceadifferentstrategicresult.Suchshort-termactionsareoftenimplementedwithoutbuildingsufficientbuy-in,resultinginpoorresultsthatleadinturntoanotherroundofcostcutting.

Whetherthecompanyisincrisismodeorsimplyneedstoredirectitsmarketfocus,theworstthingitcandoisdemandashort-termturnaroundtoaproblemthathasevolvedoveryearsparticularlyifitimposesthechangesfromabove,withoutsignificantinvolvementoftheworkforceresponsibleforimplementingthem.Thisapproachcanresultinshiftingthebusinessfocustomeresurvivalandfinger-pointing.

Thereisacollaborativemethodthatcanbreakthecrisiscyclebymobilizingtheworkforce,buildingvalueforanewdirection,and

refocusingthecompany'senergy.CalledtheStrategicAlignmentMethod,itisaprinciple-basedprocessthatensuresalignmentamongthecompany'skeystakeholdersforthenewfocus.JustasOperatingAgreementsareavehicleforredefiningthecultureandbehaviorsoftheCollaborativeWorkplace,theStrategic

AlignmentMethodgivestheorganizationitsbusinessidentity,ensuresthatitiscustomer-focused,clarifiesitsuniqueandvalue-addedroleinthemarket,andprovidesarationalframeworkfortacticalactionsthatreflectthetruestrategicpositionofthecompanyinthemarketplace.

ThischapterdescribestheelementsoftheStrategicAlignmentMethodandshowsthespecificstepsneededtomoveabusinessfromreactiveapproachesandshort-termplanningtoproactive,long-termstrategicgrowth.Itfirstdescribesthemethod,definingthetermsandthebenefits.Itthenoutlinesthephasesandstepsofthemethod,usingasanexampletheexperiencesofStahlcote'semployeesastheyworktoreenergizetheirorganization.

TheStrategicAlignmentMethod

Likearocket,everyorganizationneedsaguidancesystem,aboosterwithplentyoffuel,andamission-controlcentertoensurethesuccessoftheentireenterprise.InChapter3wetalkedabouttherocketboostertheorganization'sculture.InChapter6(andagaininChapter9)wewilltalkaboutthecontrolcenter,thesystemsandsupportsrequiredtomakethelaunchsuccessful.Ourfocusnowisontheguidancesystemthatensuresthatthebusinesshitsitsmarkettargetwiththegreatestaccuracypossible.

Everyorganizationneedstobestrategicallyalignedifitistosucceedinthemarket.Togetthefullpoweroftherocketbooster,however,itmustbefocusedonpursuingitsuniqueandvalue-addedroleinthemarketandonbuildingvalueamongallofitsstakeholdersformovinginthisdirection.Tothisenditneedstoharnessthepowerofcollaborationtothedifficulttasksofidentifyingthecompany'smarketnicheandmeetingcustomerrequirements.Forthispurpose,theexecutivesatStahlcotecreatedacross-functionalstrategicalignmentteam.

WhatStrategicAlignmentMeans

Alignmentisdefinedasfollows:"tobeinorcomeintopreciseadjustmentorcorrectrelativeposition."Strategicisdefinedas"ofgreatimportancewithinanintegratedwholeortoaplannedef-

fect"IntheCollaborativeWorkplace,strategicalignmentistheprocessthatenablestheentireorganizationtocometoabasicagreementonadefinitionofitsuniqueandvalue-addedroleinthemarketplace;toidentifycustomerrequirements;andtodeterminethecompany'scompetitiveadvantageandstrategiesforgrowth.Thismeansthatallthekeystakeholdersagreetowhattheorganizationhasdecidedtodo.Thestakeholdersincludethecustomers,theshareholders,theboardofdirectors,theexecutiveleadership,themembershipoftheorganization,thesuppliers/vendors,andthecommunitytheyoperatein.Thespecificstakeholdersandtheirrelativeimportancetothedirectionoftheorganizationwillvary.

TheBenefitsoftheStrategicAlignmentMethod

Therearefourcriticalbenefitsthatcomefromusingthismethodannually(orwheneveramajormarketchallengefacestheorganization).

1.Buildingfull-valuecustomerrelationships.WhenaCollaborativeWorkplaceisstrategicallyaligned,itistotallyfocusedoncustomersandtheirrequirements.Weknowtheirbusiness,theirspecificneedsforourproducts/services,andtheadvantageswebringtothem.Wethenbuildacollaborative,ongoingrelationshipwiththem,leadingtowhatwecancallafull-valuecontract.

Afull-valuecontractisadocumentbetweenthecompanyanditscustomersthatspellsouthowtheyaregoingtoworktogethertoachievethefullvalueoftheirrelationship.ItistheircharterandtheirsetofOperatingAgreements.Thefull-valuecontractgivescustomersanopportunitytospecificallyaddresstheirneedsandconcernsinawaythatensuresthatthesupplierwilllisten.Itprovidesaplatformforongoingdialogueandresponsiveness.Measuresareputinplacetoassessresponsivenessandtheeffectivenessoftherelationship.Thefull-valuecontractalsobenefitsthesupplieroftheproductorservice

becauseitfocusesthesupplieronthecustomerandprovidesanongoingplanningprocess,increasingunderstandingoftheproduct/servicebeingprovided,improvingcommunications,andfacilitatingproblemsolvingandconflictresolution.

2.Assessingthecompany'suniqueandvalue-addedrole.Whenacompanyisenteringanewmarket,developinganewproduct,reactingtonewcompetition,orrefocusingitsstrategicdirection,noareaismoreimportantthanitsstrategicfocusanddirection.Manycompaniesbelievethattheyknowwhotheyareandhowtheyareviewedbythemarketplace.Witharapidlychangingmarket,newcompetitors,andreducedcycletime,however,itiscriticaltore-assessthecompany'suniqueandvalue-addedroleonaregularbasis.

3.Identifyingthecompany'smarketniche.TheStrategicAlignmentMethodalsoensuresthatthecompanyisinthefightbusiness,isfocusedontherightmarketniche,andisabletoidentifyandleverageitscompetitiveadvantage.Thisrequiresasubstantialamountofdatacollectionandanalysisand,aboveall,thewillingnesstolookatthebusinessandbehonestaboutitsmarketposition.

4.Increasingthestakeholders'senseofownership.Allthekeystakeholdersmustbeengagedinanup-frontdialogueaboutthestrategicdirectionofthebusiness.TheStrategicAlignmentMethodallowsthemtoparticipate,gainnewknowledge,developrespectandloyaltyforwhattheorganizationistryingtodo,buildvalue,andeventuallyfeelsomedegreeofownershipfortheresultsoftheprocess.Withoutmeaningfulinvolvement,thisvalueisneverfullyrealizedandthelevelofproductiveenergymanagementcantapintoisreduced.

TheElementsoftheMethod

ThestepsoftheStrategicAlignmentMethodusedbyStahlcoteareillustratedinFigures5-1and5-2.Therearetwomajorphases:(1)ownershipandalignmentand(2)implementation.

PhaseI:OwnershipandAlignment

PhaseIrepresentsup-frontplanningwithalong-termfocus.Itisacomprehensivereview,focusingonwheretheorganizationis,

(Textcontinuesonpage94.)

Figure5-1.TheStrategicAlignmentMethod,PhaseI:OwnershipandAlignment.

Figure5-2.TheStrategicAlignmentMethod,PhaseII:Implementation.

whereitoughttobegoing,andhowitwillachieveitsgrowthobjectives.Thekeyelementsare:consensusonprinciples;visionfortheorganization;organizationmission;validationandagreement;andthegrowthplan.

Itcannotbeemphasizedenoughhowimportantitistogetfundamentalagreementateachstepintheprocess.Withoutit,thelikelihoodofdisconnectsfromoneormoremembersoftheteamincreases.Fundamentalagreementmeansanexplicit,up-frontdecision,whichinturnbecomesaplatformforthenextstep.

ConsensusonPrinciples

Inmoststrategicplanningprocesses,agreementonprinciplesispresumedratherthanmadeexplicit.IntheCollaborativeWorkplace,anexplicitconsensusagreementaboutbasicprinciplesenablesthebusinesstoweatherdifficulttimes.Stahlcote'sprinciplesweretovalueitspeople,beitscustomers'firstchoice,buildtrust-basedrelationshipsthroughouttheorganizationalsystem,andprovideworld-class-qualityproductsandservices.

VisionfortheOrganization

Thepurposeoftheorganizationvisionistoarticulatewhattheorganizationwantstobecomeinthefuture.Whatdoesthemarketwant?Whatdothestakeholderswant?Forexample,youmightbegintheprocessbyansweringthisquestion:Howdoesthecompanywanttobeknownintheyear2000or20107Whatwillitsreputationbe?Thesequestionsneedtobeansweredforeachofthefollowing:

1.Businessandcustomerfocus

2.Productsandservicesoffered

3.Cultureandworkenvironment

4.Leadershipandmanagement

5.Peopleandworkprocesses

6.Organizationstructureandsystems

Visioningtheorganizationoccursinseveralsteps,inwhichthekeyleadershipandacrosssectionofmembersfromallparts

andlevelsoftheorganizationcometogethertoarticulateathree-tofive-yearvision.Itwasnotlongagothatweusedtohaveaten-yearlifespanforavision,butnow,withtherapidrateofchange,ashortertimeframeismorerealistic.

Step1:AssessingtheCurrentState

Ineachofthesixareaslistedabove,theteamgeneratesasmuchdataasitcanaboutwheretheorganizationisatthisjunctureinitshistory.Forexample,thecompanymaybefocusedonaspecificnichemarket,beorganizedasahierarchy,andhaveacompensationsystembasedonindividualcompetition.Inthecurrent-stateassessmentprocess,formalandhiddenculturearebothdescribed.Figure5-3showswhattheplanningteamatStahlcotefound.Theteamwastrulyastonishedwhentheydiscoveredthefundamentaldisconnectbetweentheformalandhiddencultures,TheyproceededtoverifyandvalidatetheirfindingsonupthelinetotheCEO.Theaccuracyoftheteam'sassessmentwasborneoutinwhatbecameasharedview.Astheteampressedonthroughtheanalysis,theyalsofounddisconnectsinthecompany'sfailuretoproduceresults,itsless-than-high-qualityreputationintheindustry,anditslackofalignmentthroughoutitsranks.

Step2:CreatingtheDesiredState

Thedesiredstateisnotsimplytheoppositeofthecurrentstate.Inthisprocess,teammembersareemboldenedtobecreative,tostretch,togetoutsidethe"ninedots"tothinkanddreambig.Thisprocessisaboutdevelopingahighlevelofownershipamongteammembersregardingthefuturedirectionofthebusiness.

AtStahlcote,theteamhaddifficultyspellingoutavisionbeyondthreeyears,sotheybroughtinafuturisttotalkaboutexpectedtrends.Theyalsobenchmarkedothercompaniestoseewhatthebestpractices

wereandthendecidedtoleapfrogthemtoexceedeventhebestpractices.Bythetimetheteamwasthroughwiththeprocess,itsmemberswereabletolookbackinamazementathavingbeensoreadytogiveupsoearlyintheprocess.

Figure5-3.Current-stateenvironment.

Step3:EngagingtheOrganizationandValidatingtheDraftVision

Oncethedraftvisionhasbeendeveloped,everyoneintheorganizationcanbeengagedatsomelevelinunderstandingwhatitisandwhatitmeansforeachindividual.Afocus-groupprocesscanbeusedtogeneratealignmentandbuildvalueforthenewdirection.BythetimeStahlcote'sinitialvalidationprocesshadbeencompleted,forexample,thedraftvisionwasasfollows:Tobecomethepremierprovideroflaser-coatedsheetmetalsintheworldbytheyear2010.

MissionfortheOrganization

Organizationmissionstatementsaresometimesconfusedwithvisionstatements.Infact,someorganizationstransposethem.What,then,shouldthemissionstatementfocuson?Whywearehere?orWhatdowewanttheorganizationtobecome?Organizationaldirection?orsimplyCustomersatisfaction?

InaCollaborativeWorkplace,theorganization'smissionstatementdefineswhothecompanyis.Inonesuccinctstatement,itanswersthreesetsofquestions:

1.Whoarewe?Whatisouridentity?Whatbusinessarewereallyin?

2.Whodoweserve?Whoareourcustomers/clients?Whataretheirneeds/requirements?Whataretheytryingtodothatrequiresourservices/products?

3.Whatdowedo?Whatareourservicesandproducts?Whatisthemarket?

Afourthquestioncanalsobeasked:Whatdoweintendtobecome?Thisquestionisoftenalsoaddressedinthevisioningprocess.

Developingthemissiontakesplaceinthreedistinctsteps:drafting;

externalanalysis;andinternalanalysis.

Step1:DraftingtheMissionStatement

Withouttheaidofanydata,theteammembersbeginbydraftingamissionstatementmoreorlessoffthetopoftheirheads.Theyuseablank-sheetprocesstotakeafirstcrackatdefiningwhatthecompanyisallabout.Itiscornerstoneandfoundationwork.Sometimestheprocessisviewedasjustanotherboringteamdevelopmentgameoradiversionandgetstrivialized.Asmorethanoneteammemberhassaidinthisprocess:''WhendoIgettogobackanddosomerealwork?"Butthereisprobablynomoreimportantworkthanunderstandingandagreeingonthemissionofyourorganizationandbuildingvalueandownershipforit.Nowcomesthehardpartopeninguptheorganizationtoabasiccritiqueaboutitsmarketniche,customersatisfaction,andtheissueofwhethertheneedsofthestakeholdersarebeingmet.

Step2:SeekingExternalAnalysis

Thepurposeoftheexternalanalysisistotrulyunderstandtheorganizationsuniqueandvalue-addedrole.Basicmarketresearchinthecompany'slineofbusinesswillgeneratecriticaldataonwherethetrendsexistfortheindustrysegmentandproduct/servicefocus.Then,byengagingcurrentandpastcustomersinaseriousdialogueaboutthecompany'svalue-addedserviceandtheirownfuturerequirements,cross-validatinginformationcanbeobtainedonwherethemarketnicheis.Thisprocessmayresultinsomedefensiveness,asperceptionsofvaluearevoiced.Sometimesitresultsindenial.Keepinganopenmindisessentialifthisprocessistowork.

Thethirdpartofthisanalysisisdevelopingacrystalclearstatementofthecompany'suniqueandvalue-addedrole.Whatisitthattrulymakesthecompanydistinctiveinthemarketplace?Whatspecificvaluedoesitadd,towhom,andwithwhatresults?Whilemarketandcustomerdatainformthisdefinition,ittakesconsiderablediscussion

insideanorganizationamongitskeyadvisorstoproduceasuccinct,one-sentencestatement,suchas:"Ouruniqueandvalue-addedroleisthatwehavetheonlypatentedprocessintheworldtoproducesyntheticskin."

Thefourthpartoftheexternalanalysisistoconductresearchonthecompany'scompetitorstounderstandwhotheyare,whattheydo,howtheypresentthemselves,andhowtheyaregoingafterbusiness.Howdotheydistinguishthemselvesfromyourcompanyandtheirothercompetitors?Oncethesedatahavebeensummarizedandobjectivelyanalyzed,thestrategicalignmentteamgoestoworkdefiningthecompany'scompetitiveadvantageinthemarketplace.Whatspecificallydifferentiatesitfromothercompanies?Howisthecompanypositionedrelativetoitscompetitors?Whatareitskeyfeatures,andwhatarethebenefitsthataccruetopotentialcustomersfrombuyingandusingtheseservices/products?

Step3:SeekingInternalAnalysis

Stahlcoteknewthatithadtoredirectitsmarketfocus.Italsoknewthatitsemployeeswantedtohaveavoiceintheprocess.Withahighdegreeofurgency,itsleadershiplaunchedanexhaustiveseriesofstrategic-thinkingmeetingswithsmallfocusgroupsacrossthecompany.Atfirst,theemployeesappreciatedbeingasked."Thisnewoperationsguyreallymeansbusiness.We'rereallygoingtobeconsultedthistime"Energywentupatleastuntilthefirstdraftofthevisionandmissionstatementwerereleased.Unfortunately,thedraftdidnotreflectmanyofthekeymessagestheworkforcehadgivenmanagement.Intheseconddraft,noneoftheirsuggestedchangeshadbeenmade.Needlesstosay,theskepticswhohadthoughtthatmanagementhadahiddenagendaweremakingtheroundswith"Itoldyouso"andasenseofresignationsettledin.Obviously,itsimplydidnotpaytoparticipate.

AmiddlemanagerIknowoncereferredtothisapproachtoengagementasparticipativemanagement,or"weparticipate,theymanage"Peopleareaskedfortheiropinions,buttherealpurposeisco-optation,notanauthenticinterestinmakingsubstantivechangesin

whatarepredeterminedresults.

Thereareotherwaystoachieveapositiveresult.Thecollaborativeprocesslaysthefoundationbybuildingalignmentandownershipforthemission.Bycreatinganopenengagementprocess,

leadershipcanintegratetheexperience,expertise,andenergyofthemembershipincraftingastatementthatwillhavemeaningandvaluetothem.

Anotherpartoftheinternalanalysisisasystematicreviewofotherstakeholders'interestsandissuesconcerningthecompany'sdirection.Astakeholderisanyonewithasufficientstakeintheorganizationorwhosesupportyoucannotdowithout.Engagestakeholdersdirectly,butattheappropriatelevel.Asaresultofthealignmentprocess,theorganizationmissionforStahlcotewas:"Weareacollaborativeteamtotallydedicatedtoprovidingourcustomerswithworld-classprecisionproductsthatcangivethemacompetitiveedge"

Validation,Upgrade,andAgreement

Thecredibilityofthecompany'snewdirectionwilldependontheextenttowhichthekeyplayersagreeatthisstage.Focusgroups,documentupgrades,andfinaldraftshelppeopleseethattheirviewsmatter.Changescanbemadeinthefinaldocument.Whenfinished,thedocumentcanthenbepublishedtovalidatethestakeholders'viewsandcontinuetobuildownership.AsaresultofthevalidationprocessatStahlcote,thecompany'svisionwaschangedslightlytoreflecttheincreasingcompetitioninthemarketplaceforlaser-coatedsheetmetals,andtheyearwasadvancedto2020.Thisputlesspressureonthecompany'sworkforcetodoublethecompany'sgrowtheveryyear.

TheGrowthPlan

Prepareagrowthplanwhichwillallowtheorganizationtomovefromvisiontoaction.Thegrowthplanisthebridgebetweentheoryandpractice,betweenblueskyandreality.Thereareseveralelements:expectedresults;growthconcept;strategiesandtactics;criticalsuccessfactors;andmeasuresandmeasurement.

SpellingOuttheExpectedResults

Thefirstpartofthegrowthplanspellsouttheexpectedresultsforthenextthreeyears.Akeydistinctionneedstobemadehere.

Howmanytimeshaveyouheardsomeonesay,"Mygoal/objectiveisto..."or"Iintendto..."or"Ihopeto..."?Thenwhathappens?Oftennothing.TheroadstobothHeavenandHellarepavedwithgoodintentions,itissaid,butSt.Peterwilladmitonlythosewhoproduceresults.Oneofthebestwaystomaketheexpectedresultsprocessrealistosay''Wewill..."andquantifythespecificthingstobeaccomplishedbywhenandbywhom.

AtStahlcote,specificrevenueresultswereforecastforeachquarter.Ratherthangliblypickinganumberoutofthesky,thegroupwasexpectedtoprovidedocumentationonhowthosere-suitswouldbeachieved.Attheendofthequarter,therewasareviewofwhathadorhadnotbeenproduced,andthelessonslearnedwereincorporatedintothenextquarter'sprocess.

Peoplegenerallyresistsettingquantitativetargets,especiallyinanhierarchicalculture.Itmakesthemcommit,andthentheycanbeheldaccountable.Stretchresultsareevenmorethreateningbecausetheyrequireustoputasideourassumptionsabouthowthingsworkanddigdeepforanewlevelofcommitmenttoachievethem.Itrequirespeopletostepbeyondtheconventionalwisdomof"we'vealwaysdoneitthisway,"andbecomecreativetoriskandfindnewwaysofthinkingaboutstalesubjects.ThestretchresultatStahlcotewasa150percentgrowthrateforeachofthenextfiveyears,increasingmarketsharefrom5to20percentby2005.

UsingaGrowthConcepttoPositiontheCompany

Thesecondelementofthegrowthplantranslatestheexpectedresultsintoaspecificgrowthconceptdesignedtopositionthecompanysothatitcanrealizethem.Positioningmeansthatthecompany'scompetitiveadvantagewillbeadvanced,itsuniqueandvalue-addedrolewillbemaximized,anditsattributesandbenefitswillbecommunicatedtothemarket.Positioningmeansensuringthatthe

companyisseenastrulydistinctiveinthemarketandenteringitinawaythatitcanrealizeitsfullpotential,Positioningalsorequiresaddressinganyandallbarrierstothecompany'sgrowth.Toachieveitsstretchresults,Stahlcotedecidedtopositionitselfasthevendorofchoiceto50percentofthesheetmetalpurchasersfromtheAtlantictotheMississippi(whorepresented

80percentofallsheetmetalconsumption).Whatwoulditsstrategybe?

DevelopingaSpecificSetofStrategies

Thethirdelementofthegrowthplanistodevelopaspecificsetofstrategiesthatwillmobilizetheorganization'sresourcestoproducetheexpectedresults.OneStahlcotestrategywastowageapublicrelationsblitztoestablishinthemindsofitsprospectivecustomersanimageofStahlcoteasthesupplierwiththemostadvancedthinkinginthebusiness.ThecampaignemphasizedthatStahlcotewascustomer-focusedandabletounderpricethecompetitionwhileproducingworld-classquality.

IdentifyingBarrierstoSuccess

Thefourthelementinthegrowthplanisidentifyingthebarrierstothesuccessofthecompany'sstrategies.Barriersmayexistinawidevarietyofareas,rangingfromaresistantworkforceoranunreceptiveculturetoquality-assuranceproblemsontheassemblyline.Usuallytechnicalbarrierscanberesolvedmuchmoreeasilythanattitudinal,cultural,orbehavioralbarriers.When,forexample,theshopforemanatStahlcote'sfinishingmillthoughtthenewinvolvementprocesswasreallyanattempttounderminehispositionandauthority,hemanagedtoslowdowntheprocesswithoutappearingtobeinoppositiontoit.

TurningBarriersIntoSuccessFactors

Onceallthebarriershavebeenidentified,thenextstepistoturnthemintocriticalsuccessfactorsthosethingsthatabsolutelymusthappeniftheeffortistobesuccessful(e.g.,whenjumpingfromanairplane,youmusthaveaparachutethatopens).IntheStahlcotecaseoftheresistantshopforeman,thestrategywastoassurehimthatnojobswouldbeeliminatedwithoutactiveparticipationfromtheshop.Anewstrategicrolewascarvedoutfortheworkforce.

CreatingaSetofMeasures

Thefinalelementofthegrowthplanisasetofmeasuresthatallowthecompanytoevaluateitsprogressovertimeandameasurementprocessthatfullyinvolvestheworkforceinunderstandingwheretheyareandhowtheywillmakeimprovements.Themeasurementprocessshouldbefocusedonlearningratherthanonfindingfault.Thecurrentparadigmoftenusesmeasuresandmeasurementasawayofsaying"Youdon'tmeasureup"anapproachthattendstodampenenthusiasmformeasurement.Infact,theparadoxoftherecentbenchmarkingfadisthatitestablishesasthehigheststandardtheexperiencebaseofcompaniesthathavetakenthelastfivetotenyearstoachieveit.Ineffect,enormoussumsofmoney,time,andexpertresourcesareinvestedinbenchmarkingthepastratherthanprojectingapathwaytothefuture.

IntheCollaborativeWorkplace,measuresshouldbebothquantitativeandqualitative,informedbythepast,butanticipatingcustomerrequirementsinthefuture.Byvectoringinontheirrequirements,thecompanycanleapfrogthecompetitionratherthanconstantlyplaycatch-up.

Agreement

Theteamdrivingthisprocessshouldpauseatthisjunctureandmakesurethatthekeystakeholdersagreewiththegrowthplanandarepreparedtomovetowardimplementation.Ifnot,theteamneedstoidentifythedisconnectsandupgradethedocumentuntilthereisconsensus.

PhaseII:Implementation

TheStahlcoteteamwasnowreadytogo.Ithadidentifieditsnewnicheinthemarketplaceanddevelopedaveryhighlevelofbuy-in

fromacrosstheorganizationaboutthenewdirectionofthebusiness.Thecompanyhadinvestedheavilyindevelopingthegrowthplan,andeveryonehadfundamentallyagreedtothenewstrategy.Nowtheteammembersidentifiedthespecificactions

theywouldtaketoachievetheexpectedresults.Oncetheactionplanwascompleted,theywouldidentifytheirresourcerequirements,determinehowtheywouldmanagetheongoingprocessofimplementation,anddecidehowtheywouldmeasurethemselvesannually.

TheActionPlan

TheStahlcoteteamknewthattherewerethreearenasforactionplanning:businessandthecustomer;peopleandworkprocesses;andorganizationsystems.(SeeFigure5-2.)Theteammemberstookeachoneoftheexpectedresultsandstrategiesinthegrowthplanandmappedoutwhoreallyneededtobeinvolvedineachpartofthework.Theywentbacktothestakeholderanalysisasacheckpointtomakesurethattheywereinvolvingtherightpeopleattherighttime.Thentheyprioritizedthemintermsofachievingtheexpectedresults.

Butbeforetheteamlaunchedintothisnextphaseoftheprogram,itfocusedonachievingtwoimmediate,high-visibilitysuccessestogenerateacompanywidesenseofconfidenceandmomentum.Theteamknewthatwhatwasneededtoestablishitsoverallcredibilityafterallthisplanning,itneededa"quickhit"thatcouldbedirectlyattributedtothestrategicalignmentprocesssomethingtangible,visible,andsignificanttoasmanypeopleintheorganizationaspossible.Theteamidentifiedonesuchpotentialsuccessastheredesignofthecareerdevelopmentprogram.Ithadbeenathorninthecompany'ssideforsometimebecauseitcontinuedtorewardindividualaccomplishmenteventhougheveryoneintheorganizationwasnowworkinginteams.Asecondearlysuccesswasidentifiedasgettingtheworkforceonlineandtrainedintheuseoftheirmultimillion-dollarelectronic-mailsystemsothateveryonecouldcommunicatewitheveryoneelseatwill.

Arena1:BusinessandCustomers

Meanwhile,theteamhadidentifiedtheactionstepsthatwereneededinatleasteightareasofthebusinessandcustomerarena:

1.Customerrequirementsandrelationships.Thefirstprioritywasanewfocusonthecompany'scustomers,buildingfull-valuecontractswitheachone.Theteamwouldinitiateanengagementprocess,listentothecustomers'requirements,workthroughprocessissues,anddevelopanewsetofagreements.Teammemberschoseafocusonthequalityofthecompany'sproductsandservices.Theyestablishedanaggressivestandardtowhichtheywouldreducetheerrorrateintheirmanufacturingprocess,increaseresponsetimetocustomerservicerequests,andshifttheattitudesofStahlcotememberstowardtheircustomers.

2.Strategicalliances.Withitsnewstrategicalliancepartners,Stahlcoteneededtobuildabridgetosupportthebusinessandmanagementrequirementsofthetwocompanies.Theteamknewthatthetwoorganizations'corporatestyleswerereallyquitedifferent;infact,theyweresodifferentthatthealliancewasindangeroffailing.TheteamrecognizedtheneedtobuildtrustbycreatingasetofOperatingAgreements,andachartertogoverntheirrelationship.

3.Productsandservices.Giventhenewmarketniche,thecurrentproductsandservicesofStahlcotewouldnolongerfitthebill.Theteamdecidedthattheymustbetailoredtomeetnewcustomerrequirements.Packagingwouldneedtobedifferent,andthecustomerfollow-upservicewouldhavetobesignificantlyupgradedtobecomeproactiveratherthanreactive.

4.Marketingandsales.EventhetraditionalapproachtothemarketingandsellingofStahlcoteproductsandservicesneededtobechanged.Thenewfocuswouldbeonrelationshipselling.Adifferentkindofsalesforcewouldbehiredsincenewskillswereneeded.Newinformationsystemssoftwarewouldbeinstalledtoaccommodatenewdatarequirements.

5.Financialperformance.Financialperformancewouldstillbea

bottom-lineindicatorofsuccess,buttheneworganizationdirectionneedednewmeasures,adifferentreportingprocess,ashiftfromcostcenterstocustomercenters,andasupplychainattitudetowardinternalcustomersbythemembersofthefinance,audit,andtaxorganizations.

6.Organizationalstructure.Thebasicstructurehadalreadyshiftedtocollaborativeteams.Theleadershipfunctionwouldbe

redefinedandnewrolesandresponsibilitieswouldbespelledout.

7.Suppliers.Suppliersthathadtraditionallybeenpittedagainsteachotherneededtoberecastasalliesintheefforttoachievecompetitiveadvantage.Thenumberofsupplierswouldbestreamlined,full-valueagreementswouldbenegotiated,andanewtypeofrelationshipwouldbeputinplacetoengenderhigherquality,lowercost,andmoretrust.

8.Researchanddevelopment.Newproductdevelopmentopportunitiesneededtobealignedwithcustomers'requirementsratherthansimplybeingbasedonwhatwasinterestingtothescientistsandengineers.R&Dwouldbecomeafullpartnerintheprocessofmeetingcustomerrequirements.

Arena2:PeopleandWorkProcesses

TheStahlcoteteammembersidentifiedspecificactionsthatwouldbeneededinfivekeyareas:

1.Anewcovenant.Thecompanyneededtocreateanewcovenantthatwouldclarifythemutualexpectationsandresponsibilitiesofitsmanagersandemployees.Partofthatcovenantwouldbetheprinciplesthatwouldguidetheirbehavior.Thenewcovenantwouldtalkaboutloyaltyandcommitmentinthecontextofachangingmarket.Itwouldprovideaculturalframeworkforinternalworkprocessesandsystemsthatwouldbuildownershipandalignmentacrosstheenterprise.Finally,thecovenantwouldconsidertheobligationsofthebusinesstoitsmembersshouldthecompanyfallonhardtimes.Iflayoffswereneeded,thedocumentwouldspellouthowtheywouldbehandled.Ineffect,thenormallysecretorconfidentialaspectsofbusinessmanagementwouldbeopenedup.

2.Teamdevelopment.TheteamwantedaCollaborativeWorkplace,butitknewthatculturecannotjustbechangedasafunctionofbusinessstrategy.Culturalchangeistheresultofmanyotheraction-

forcingeventsandactivities.Theteammembersdecidedtocreatethenewculturebyestablishingfunctionalteams,projectteams,andcross-functionalteamsthroughoutStahlcote.Eachteamwouldusethecollaborativeteamformationprocess,and

graduallythenewculturewouldshowupinnewbehaviorsandworkprocesses.

3.Newbehaviors.EachteamwouldestablishitsownOperatingAgreements,charter,andworkprogramalignedwiththecompany'sstrategicdirection.Thechangeteamknewthatitwouldbedifficulttoalteroldhabits,soitbuiltintotheprocessskillsdevelopment,abuddysystem,andacoachingprocesstoensuresuccess.

4.Corecompetencies.Theteamtookaimatthenewskillrequirementsofthebusiness.Nolongerwouldthehiringrequirementsbebasedoninternallyfocusedcriteria.Fromnowon,thefocuswouldbeontheskillsneededtomeetcustomerrequirementsandontheabilitytofunctioninamorecollaborative,fluidworkenvironment.Nolongerwouldthecompanyusethetraditionalprocessesofrecruitmentatengineeringschools,screeningapplicantsonthebasisofdegreesandtechnicalskills.Itwouldrepositionitselfasanindustryleaderandthusoffertheapplicantsachallengingcareerintothe21stcenturyiftheyperformedwell.Aprofileofthesuccessfulcandidatewouldhavetobedeveloped,andatargetedrecruitmentstrategydeveloped.Becausejobswerenolonger"forlife"theriskprofileandflexibilityquotientofthecandidateshadtobeveryhigh.Theteammembersfeltitwasessentialtotheirintegritytoputthisprofileup-frontintheprocess.

5.Workprocesses.Businessprocesseswouldneedtoberedesigned,buttheywouldbeimplementedinanentirelydifferentwaythaninthepast.Stahlcotedecidedthatitwouldlaunchchangesinthisareaonlyafterithadworkforcebuy-intothenewstrategicdirectionofthecompanyandafterithadputinplaceacadreoftrainedleaderswhocouldfacilitatetheprocess.Thecompanyrecognizedthattheexpertiseonwhatneededtobefixedlaywiththeexistingworkforce.Theteamknewthatthreateningjobsecuritywasnotthewaytowin

theirloyaltyorbuildvalueforthechange.Therefore,itwasdecidedthatthoseaffectedbythechangewouldparticipateintheredesignprocess.

Arena3:OrganizationSystems

Theteamwasreadytomoveon.Onemajorissueremainedtobeaddressed:thefourmajororganizationalsystemsthatmade

uptheinfrastructureofthecompany.TheteamdecidedtomaketheactualbehaviorsanddesignofthesesupportsystemscongruentwiththecorevaluesoftheCollaborativeWorkplace,recognizingthatthiswouldrepresentabigchangeforsystemspeople,mostofwhomweremorefocusedontheirjobsthanonthecustomer.

Humanresources.Perhapsthegreatestchangeswouldhavetooccurinhumanresources,wherethefocushadbeenonhiring,firing,performanceappraisals,andbenefitsadministration.InthenewStahlcote,thisdivisionwouldbecomeachangeagentandprovideskillsdevelopment.Becausetheorganizationwasmuchflatter,withonlyfourlevelsratherthan15,theperformanceappraisalsystemwouldneedredesigningtoreflectthenewroleofteams.Theforcedrankingsystemwouldbereplacedby360-degreefeedbackandamoreinteractivelearningprocessbetweenmanagersandmembers.Theconceptofadvancementwouldalsorequireredefinitionsincethecareerladderhaddisappeared.

TheStahlcoteteamalsodecidedtoreducethesizeofthecentralHRstaff,placingitspeopleoutinthebusinessunitsandoncross-functionalcustomer-focusedteams.Theshifttoacollaborativeorganizationwouldalsomeananentirelynewskills-developmenteffortintegratedintotheoverallorganizationdevelopmentofthecompany.Therewouldneedtobeanemphasisonbuildingself-sufficiencyskillsinkeymemberstoensuretheongoingsuccessfulevolutionofStahlcote.

Informationsystems.Theteamdecidedtoputtheinformationsystemsrequirementsforchangeattheendofthechangeeffort.Aspartofthebusinessprocessredesigneffort,informationrequirementswouldbeidentifiedandputintotheoverallstrategyforchange.Aconsciousdecisionwasmadenottoletinformationrequirementsdrivebusinessstrategy.

Finance.Itwasalsodecidedtorefocusthefinancefunctiononthecustomer.Acustomer-engagementprocesswouldbelaunchedtobeginbuildinganewtypeofrelationshipwithinternalcustomers.Newagreementswouldbereached,andfinancialreportingrequirementswouldberedesignedtofocusoncustomerrequirements.

Administrationandlegal.Thisgroupalsoneededtogothroughacustomer-engagementprocesstoestablishanewtypeofworkrelationshipwiththeirinternalcustomers.Newstandardsforservicedeliverywouldbedeveloped,andtheywouldfocusonbuildingacan-doreputation.

ResourceRequirements

TheStahlcoteactionplanhadasectionontheresourcesitwouldrequiretoimplementtheplan:

Newpeopleandskillcompetencies.DifferenttypesofpeoplewouldbeneededatStahlcote,andtheprocessrequiredtofindthemwouldneedtoberepositioned.Thiswouldtaketime,money,andnewleadership.Executiveswouldneedtobeinvolvedinhiring.

Loyaltyandcommitment.Topmanagementwouldneedtoremaincommittedtotheactionplan,eveninthefaceofresistanceandeconomicdifficulties.Throughoutthecompanytherewouldneedtobeanincreasedlevelofloyaltyandcommitmenttothenewdirection.

Productivitylevels.Theteamknewthat,startingwithaproductivitylevelofabout35percent,thecompanywouldneedtomakeaninvestmentinskillsdevelopment,teamformation,andalignmenttoensurethattheengagementprocesswasinfullswing.Tojustifytheinvestment,theexpectedresultwasa200percentincreaseinproductivity.

Equipmentandmaterial.Thecompanywouldalsoneedtoinvestinnewequipment,software,andnetworkingtoensurethatthemembersweredirectlycommunicatingwitheachother,theircustomers,andtheirsuppliers.

Finances.Alltheseactionswouldrequireadditionalcapital,whichwouldbebuiltintothebudgetandamortizedoverfiveyears.The

teamprojectedthatcostsavingsandproductivityincreaseswouldbeginproducingonthebottomlinewithintwoyears.

Implementation,Measurement,andRealignment

BeforetheStahlcoteteamimplementedtheplan,itonceagainengagedthekeystakeholdersintheagreementprocess,whichwasupgradedandthenrolledouttotheentireorganization.Nowthehardpartbegan.Stahlcotemembershadtobeginchangingtheirbehaviors.Everyonehadtotakemoreresponsibilityforthebusiness.

ImplementationisacriticalchallengefacingtheCollaborativeWorkplace.Everyonemustbeinvolvedatsomelevel,andeveryonemustfeelresponsibleforthesuccessoftheenterprise.Memberswhowereonceemployeescannolongersitbackandsimplydowhattheyaretold.Managerswhowereoncebossescannolongersimplyusetheirauthoritytoorderpeoplearound.Theentirecharacteroftheworkrelationshipmustchange,becomingmuchmoremutualandmorefocusedonmeetingcustomerrequirements,buildingvalue,achievingexpectedresults,andcollaborativelysolvingproblems.

Keytofindingsolutionsisthecreationofacomprehensivesystemofmeasuresandmeasurementtoensurethatallmembersofthecompanyknowwheretheystand.Measuresmustbeestablishedforeveryaspectoftheorganizationsoperations,customers,andculture.

Accountabilityprocessesmustalsobeinstalledsothatmemberscanlearnandgrowfromtheirmistakes.Periodicevaluationthroughouttheorganizationproducesdatathatwillallowallconcernedtomakethenecessaryadjustmentstosystemsorworkprocesses.Inaddition,arenewalprocessshouldbelaunchedeveryyeartoensurethattheorganizationremainsstrategicallyaligned.Therecanbenostandingstillifthebusinessexpectstoremaincompetitive.

Summary

Mostcompaniesareinareactivemode.Theyarereactingtotheir

competitors,thenewrealitiesoftheworkplace,andthelatestprogramstotransformtheirbusinesses.Whentheydecidetorealigntheirbusinesses,itisusuallydonefromthetopdownandnearly

alwaysinvolvessomestructuralchange.Eventhestrategicplanningprocessisorderedfromthetopwithoutmuchbuy-inorinvolvementfromtheworkforce.Aswehaveseen,withoutthatbuy-in,ownership,andinvolvement,truealignmentisnotpossible.TheCollaborativeWorkplaceusestheStrategicAlignmentMethodtobuildvalueforthenewbusinessdirectionamongallstakeholders,focusingthebusinessonthecustomer,andre-aligningthecultureandcriticalworkprocesses.Nostoneisleftunturned,andthebusinessisnotleftinapositionwhereitcanberunover.

6CollaborativeTeamsAllforone,oneforall,...D'ArtagnoninDumas,TheThreeMusketeers

Moreandmore,businessesaremigratingfromcommitteesanddepartmental-basedtaskgroupstoteamsandteam-basedorganizations.Whethertheyareself-directed,high-performance,autonomous,orempoweredteams,theirworkprocessesarebasicallythesame.Theyareusuallygivenasetoftaskstoaccomplish,andwhentheybegin,theystartwiththetraditionalteamprocessofformingandnorming.Itisusuallynotlongbeforethemembersstartstorming.Thepowergamesofthecommitteehavemerelybeentransferredtotheteamenvironment.Oftenitisnotlongbeforeteammembersloseconfidenceintheprocessandenthusiasmbeginstowane.Graduallybusinessleadersarelearningthatjustbecauseyoucallagroupofpeoplea''team"doesnotnecessarilymeantheyareone.

ThischapterdescribestheuseofcollaborativeteamsasthebasicworkunitoftheCollaborativeWorkplaceastructurethatcanfulfillthepromiseofempowermentwithaccountability.Thischapteralsoconsidersaprocessformanagingtheseteamsforsuccessandsuggeststhetypesofdocumentsneededtogovernthem.

TheTeam-BasedStructureofaCollaborativeWorkplace

Asastructure,thenewworkplaceismanagedbyteamsthatarefoundedonthecorevaluesofcollaboration.Theorganizationis

Figure6-1.TheteamstructureofaCollaborativeWorkplace.

internallyaligned,operateswithintegrity,andasabusinessmeetsthestrategicneedsofitsstakeholders.

Thestructureisflat.Thesymbolforthisworkplaceisthecircle,whichrepresentsunity,equality,andmutualrespect.Itisideallysuitedforanetworkedcompanyoranyorganizationthatrequireshighlevelsoftrust,accountability,andresponsibilityamongitsmembers.(SeeFigure6-1.)

Inthisstructure,thereareatleastthreelevelsofcollaborativeteams:strategic,tactical,andoperational:

1.Strategic.Leadershiporevenfunctionalteamsprovideoverallguidanceanddirectiontotheorganizationonitsvision,mission,keystrategies,and/orspecificfunctionsortasks.Consensusdecisionmakingisessentialatthislevel.

2.Tactical.Collaborativeteamsfocusonhowthevision,mission,andstrategies/taskswillbeachievedwithinagivensetofboundariesorparameters.Consensusdecisionmakingishighlyvaluedbutnotabsolutelyessentialatthislevel.

3.Operational.Collaborativeteamsornaturalworkgroupsimplementthestrategiesandtactics.Theyhavewideautonomyintheimplementationprocessaslongastheiractionsarealignedwiththestrategicdirectionofthebusiness.

Somecollaborativeteamsmayoperateonallthreelevels.Inpracticethestrategicleadershipteamisusuallypopulatedwithmoreexperiencedmembersandtendsnottobecomeinvolvedinthetacticalwork.Thereshouldbeaone-ortwo-personoverlapbetweenstrategicandtacticalteamsandbetweentacticalandoperationalteams.Thisisessentialtoensurethattherearenocommunicationdisconnectsbetweenthetwogroups,thattheyremainaligned,haveasharedviewaboutwhattheyaresupposedtobedoing,andbuildvaluefortheexpectedresults.

CreatingCollaborativeTeams

Thepurposeofcreatingcollaborativeteamsistobuildownershipoftheteam'soperationsandtoensurethealignmentofitsmemberswiththestrategicdirectionofthecompany.Itisamajor,up-frontprocessthatengagesthemembersinanin-depthconversationaboutwhytheyarethere,whotheyare,howtheywillworktogether,whattheyaregoingtodowhen,andhowtheywillmeasuretheirsuccess.Thereareeightstepsinwhatwillbecalledthecollaborativeteamformationprocess.(SeeFigure6-2.)

Step1:ClarifyingtheTeam'sTaskorFunction

Mostteamsareformedwithaspecificpurposeinmind.Regardlessof

thetaskortimeframe,itiscriticalattheoutsetthattheteamabsolutelyunderstandwhatisexpectedofitandthateverymembersharethatsameunderstanding.Itisbestifthistaskclari-

Figure6-2.Creatingcollaborativeteams.

ficationisdonewiththesponsortoensurealignmentofpurpose,outcomes,andprocess.Inteamafterteam,amajordisconnectoccurswhenthereisadifferenceofperspectivebetweentheteammembersandthesponsorassigningthetask.Wehavetobeverycarefulhere,becauseinahierarchicalworksystemthatistryingtobecomecollaborative,thereisareluctancetochallengeorquestionsomeonehigherupinauthority.Butwhentheteamiswelldowntheroad,thosequestionsalwaysemergeandcanbecomeawedgebetweenthesponsorandtheteam,resultinginmutualdistrustand/oralower-qualityproduct.

Step2:ClarifyingTeamRolesandResponsibilities

InChapter4,weidentifiedsevenrolestobeplayedbyleadersandmembersofateam:sponsor,facilitator,coach/mentor,changeagent/catalyst,healer,member,andmanager/administrator.

Rightfromtheoutsetoftheteamformationprocess,itisfundamentalthateveryoneknowandunderstandwhoisplayingwhatroleandwhen,sincerolesandresponsibilitieswillchangeovertime.Alltoooften,teamsbegintheirworkwithunspokenassumptionsaboutwhoissupposedtodowhat.Inahierarchicalworkenvironment,thereistheaddeddilemmaofwhotheleaderissinceposition,title,andauthorityareusuallysynonymous.Aclearstatementandclarificationup-frontabouttheleadershipfunction,thedifferentroles,andhowtheteamcantakeresponsibilityforperformingthoserolesfromtimetotimeisessentialforeffectivegroupdynamics.

Step3:EstablishingOperatingAgreements

Thisprocess,whichhasbeenfullydiscussedinChapter3,occursimmediatelyafterthetaskandroleshavebeenclarified.

Step4:CreatingaTeamCharter

Acharterisaformalgovernancedocumentthatrepresentsthepurposeoftheteaminrelationtotheorganization,whoitsmembersare,andhowtheywillworktogether.Thisdocumentspellsouttheteam'svisionandmission,thebenefitsoffulfillingthatmissionexcellently,itskeystrategiesandcriticalsuccessfactors,qualitystandards,boundaryconditions,andOperatingAgreements.AsamplecollaborativeteamchartermaybefoundinFigure6-3.Thecharteringprocessoperatesbytrueconsensusandproducesalignmentamongallteammembers.Whentherearemorethantwoteamsinanorganization,itisimportantthatallteamchartersberationalizedtoavoidoverlaporduplication.Thisprocessalsoenhancesalignmentandclarifiesteamrolesandresponsibilities.

Step5:IdentifyingCriticalSuccessFactors

Thecriticalsuccessfactorsrepresentthoseachievements,characteristics,and/orprocessesthatabsolutelymusthappenforthe

teamtobeconsideredsuccessfulinimplementingitscharter.

Figure6-2.Creatingcollaborativeteams.

MissionAsvaluedandempoweredpeople,weshallcontinuouslyenhanceourpartners'

competitivepositionbyprovidinghigh-quality,cost-effectiveinformationsystemsand

services.

KEYPURSUITS

SatisfycustomerInformationneeds

MaintainandenhanceourexistingmaterialsmaintenanceandadministrativeservicesystemsMaintainanacceptablelevelofresponsivenesstocustomerrequestsMeetorexceedcustomerexpectations

Seekwaystocontinuouslyimprovethequalityandcost-effectivenessofoursystems

EliminatereworkbydoingthejobrightthefirsttimeIncorporateestablishedstandardsinoursystemsdevelopmentStayabreastoftechnologywhenitmakessenseDoourjobatthelowestpossiblecostwithout

BOUNDARIES

Adheretotheestablisheddevelopmentbudget(dollarsandpersonnel)Develop,maintain,andsupportonlycompanyandrelatedproductsMakedevelopmentdecisionsinpartnershipwithourcustomersNotassumeresponsibilitiesbelongingtootherteamsSupportandadheretothecharter

BENEFITS

ExternalPartners

Higher-qualityproductthatiscontinuouslyimprovingCustomerneedsthatareunderstoodandmetImprovedcustomersatisfactionLowercostofdoingbusinessIncreasedrespectandcredibility,becauseourcustomers'needsaremetwithsuchhighqualityCustomersolutionsthathavebroaderbaseinknowledge,creativity,andinnovationandfaster,betterdecisions,becauseourdecisionsaremadebyateamBetterabilitytoadapttofutureneeds

sacrificingtheotherkeypursuits

Promoteprofessionalexcellence

ProvideprofessionaldevelopmenttrainingOfferon-the-jobdevelopmentopportunitiesEmbracecollaborativeteams

InternalPartners

IncreasedrespectandvalueforeachmemberoftheteamImprov3edmorale,jobsatisfaction,happinessMoreopportunitiesforinnovative,creativeinputEnhancedrelationshipswithmanagementSharedresponsibilitywithotherteamsMoreprideinourjobs|ImprovedopportunityBetterabilitytostayabreastofnewtechnology

GUIDINGPRINCIPLESANDCONCEPTS

ValueandempowerourpeopleEnhanceourcustomerscompetitivepositionStrivefor"WorldClass"performanceAlignwithcorporatedirectionWorktogetherasateamMakebestbusinessdecisionsinsteadofeasiest,quickest,cheapestExpandbenefitsCollaboratewiththeplanningteam

Step6:DevelopinganActionPlan

ThisactionplanisdifferentfromtheorganizationsstrategicdocumentdiscussedinChapter5.Thescopeofthisplanincludeswhatitwilltakefortheteamtoachieveitsvisionandmissionandproduceitsdeliverables.Italsoincludesadetailedroadmapforwhodoeswhatwhen.

Step7:BeginningCollaborativeSkillsDevelopment

Thereisabasicsetofcollaborativeskillsthatateamneedswhatcouldbecalledbasicblockingandtacklingskillssothateveryoneisoperatingonthesamelevelofunderstandingabouthowcollaborativeteamprocessesaresupposedtowork.Theseskillsincludecollaborativemeetingdesignandfacilitation,collaborativeproblemsolving,andactionplanning.

Step8:EstablishingMeasuresandMeasuringProgress

Howwilltheteamknowwhenitgetsthere?Firstbydefiningwhere"there"is;thenbytakingameasurementofwhereitbegins;andfinallybymeasuringitsprogressalongtheway.AswediscussedinChapter5,measurementisessentialtodocumentingsuccesses,learningfrommistakes,andgrowingtheorganizationssharedknowledgeabouthowbesttoservethecustomer.Sometypicalmeasurescollaborativeteamsuseinclude:customersatisfaction,decisionturnaroundtime,ownershipindecisions,cycletime,bottom-linefinancialresults,membersatisfaction,andthequalityoftheworkplaceculture.

TheTeamManagementProcess

Theprocurementcross-functionalteamhaddonealltherightthings.Ithadcompletedtheformationprocessrightonschedule.IthadreachedtrueconsensusonitsOperatingAgreementsand

charter.Itknewwhatithadtodo.Thememberswereenthusiasticabouttheirwork.Thesponsorwaspleasedwiththequickliftoff,andconfidencehadsoared.Withinthreemonths,however,somemembersstartedshowinguplateformeetings.Differencesweremorepronouncedthanintheearlyweeks.Valueappearedtohavebeenlost.Thebulkoftheworkloadbegantofallonseveralmembers,andresentmentsbegantogrow.Whathadhappened?

Theshortansweristhatteamsandteammembersgrow,change,andoftenreverttooldbehaviors.Theongoingmanagementofrelationshipsisnotsomethingwehavelearnedverywell.Somepossibleexplanationsincludethefollowing:

Teammembersbegintotakeeachotherforgrantedandassumethatlittlehaschangedsincedayone.

Someoneontheperipheryoftheteamdecidesthatitshouldnotcontinueitsworkandactsinawaythatundercutstheteam'spurposeorcredibility.

Teammembershavenotadequatelyprocessedtheirdifferences,leadingtomanyunresolvedissues.

TheOperatingAgreementshavenotbeenkept,orthereisabreachinintegrity.

Someteammembersmayreverttooldbehaviorbecausetheymaynotwanttochange.

Timeconstraintsgrowtoapointwheregridlocksetsin,overloadedmembersrebel,andtheteam'sprioritiesareundermined.

Thesetypesofbreakdownscanbeavoidedbypayingparticularattentiontofourbasicareas:peopleandgroupdynamics;businessstrategy;skillsenhancement;andmeasurement.

PeopleandGroupDynamics

Theteamneedstokeepaclosewatchonthequalityofworkrelationships,quicklyidentifyingareasofconflictordisagreementandaddressingthem.Conflictavoidance,manipulationofthegroupprocess,andtriangulationofdifferencesaresurefirewaystosabotagetheteam.

Anotherissuemanyteamsfaceisproblemmembers.WhiletheOperatingAgreementsprocesswillprovideteamswithpreventionstoaddressthisconcern,thereareoftenindividualswhodecide,forvariousreasons,tocontinuetodisrupttheprocess.Theseindividualsmayneedcoaching,counseling,orevenadministrativeaction.

Newmembersjoiningtheteamcanalsodivertproductivityasmembersseektobringthenewparticipantsuptospeed.IntheCollaborativeWorkplace,newmembersareintroducedwithgreatcare,withpreventionsputinplacebeforethememberjoins.Thesepreventionsincludeanagreementthattheywillbehaveinamannerconsistentwiththeteam'sprocess.Anorientationprogramisdevelopedand,onceonboard,theyareprovidedwithamentor/buddywhoensuresthatthereisunderstandingandalignmentalongtheway.Finally,newmembersaregivenampleopportunitytochallengeandofferupgradestotheOperatingAgreements,charter,andactionplan.Thisbuildsvalueandownership.

BusinessStrategy

Duringthecourseofateam'slife,therewillbesignificantchangesintheorganization'sstructure,leadership,strategicdirection,customerbase,orproductsandservices.Nomatterhowalignedtheteamis,thesechangescanhaveasignificantimpactontheirdynamicse.g.,lostmomentumorproductivityastheteamre-groups;conflictoveranewdirection;orredirectedenergyifoneormoreteammembersleave.Ifthereisanewsponsor,timewillhavetobespentbringingthatpersonuptospeed,afterwhichthesponsormayrefocusthedirectionoftheteamaltogether.

Theseexternalchangesneedtobeontheteam'sagenda.Theyoffertheteamanopportunitytoapplytheprincipleofcollaborationtoitsbusinessprocess,touseitsOperatingAgreements,torevisititscharter,andtodevelopawin-wincourseofactionforthewholeteam.

Anotherpossiblescenario,especiallyforateamthatisfunctioningwell,isthatitgetsadditionalworkassignments.Thisisyetanotheropportunityfortheteamtouseitsinternalprocessestorealign,reassess,andrecommit.

SkillsEnhancement

Astheteamgrowsandchanges,acrucialkeytomanagingitforsuccessistoincreaseeachmember'slevelofandproficiencyincollaborativeskills.Thisspreadstheresponsibilityfortheleadershipfunction,increasesconfidence,andallowstheteamtomature.Amongtheskillsthatcanbelearnedare:advancedcollaborativeteamfacilitation;strategicinterventionsandconflictresolution;andgroupandteamdynamics.Ineffect,thecompanycommitstoanongoing,just-in-timeskillsdevelopmentprocessthatcontinuestoraisethebarofeffectivenessandeventuallyleadstoself-sufficiency.

MeasuresandMeasurement

Atsetintervalsduringthelifespanoftheteam,themeasuresidentifiedearliershouldbeapplied.Thishelpspreventmembersfromtakingeachotherforgranted,providesanobjectiveperspectiveontheteam'sprogress,andallowstheteamtomaketheappropriatemanagementorprocessinterventionstogetthegroupbackontrack.

TheSelf-SufficiencyandSelf-RenewalProcess

Justastheorganizationwillmatureintoamoreself-sufficiententity,sotoodoeseachcollaborativeteam,inaprocessthatmaytakeclosetoayear.Eventuallyateamreachesapointwhereitslevelofskillandeffectivenessinleadingandmanagingneedstoberatcheteduponemoreleveltothatofself-sufficiency.Bythistime,theteamwillhaveseveralindividualswhohavedemonstratedtheirabilityandskillinhandlingitsdynamics.Theseindividualleadersunderstandorganizationalandchangedynamics,havearticulatedtheirownmanagementphilosophies,andhaveplayedaprocessleadershiprole.

Sincenothingremainsstatic,theself-renewalprocessisequallyimportantfortheteam.Afterabouttwoyearsofworkingtogetheron

thebasisoftheiroriginalcharterandOperating

Agreements,theteam'sfocuscanbecomestale.Atthispoint,itneedstostartalloveragainandresetthefoundationoftheteam.

TheTeamClosingProcess

Whenateamissuccessfulwhenitsmembershavebecomeacloseworkingunitthroughtheformationprocessandseeneachotherthroughthetrialsandtribulationsofgettingtheirproductorworkcompleteditcanbeveryhardtobringtheassociationtoaclose.Inmanyinstances,however,theyarerequiredto,particularlyinproject-basedorganizations.

InkeepingwiththecorevaluesoftheCollaborativeWorkplace,theprocessusedtomeettheemotionalandpsychologicalneedsofteammembersiscalledsunsetting.Thisisaformalclosingoftheteamandinvolvesanumberofcriticalcomponents:

Areviewoftheachievements,outputs,andmeasurementsfortheteam

Areviewoftheteam'scollaborativeprocess,andwhatittooktomakeitwork

Recognitionofeachteammember'sresponsibilityandachievementsinreachingthoseresults

Anopportunitytoreviewlessonslearnedatthreelevels:content,process,andculture

Anopportunityformemberstoacknowledgeeachotherasindividualsofvalue

Ineffect,sunsettingprovidesasenseofcompletion,fulfillment,andvalueandbenchmarksthegrowthofthegroup.Eachoftheteam'smemberscanthenleavefeelingacknowledged,whole,andconfidentinhisorherabilitiestoserveothersusingvaluablenewskills.

Ifforanyreasontheteambreaksupbeforeitcompletesitstaskorfunction,itisstillcriticaltoformallybringittoaclose.Thisallowsitsmemberstogrieveforthelossandplanforthefuture.Theycanthengoontootherteams,wheretheywillapplytheirexperience,skills,andlessonslearned.

CollaborativeTeamDocuments

Acollaborativeteamwillgenerateanumberofgovernancedocumentsduringitslifespan.Thesedocumentsrepresenttheidentityoftheteamandprovideareminderastowhatwasagreed.Theyarealsohelpfulinmaintainingteamfocusonwhatithasaccomplished.Oftenteammembersforgetwhattheydidorwhattheysaidsixmonthsbeforeandmakedecisionsthatmaynotbeconsistentwiththeiragreed-upondirection.Amongthecoredocumentsthatateamcouldexpecttodevelopare:

People/CultureDocuments

Corevaluesandprinciples

Assessmentofthecurrentanddesiredstates

WorkplaceCultureIndex,benchmarkstudy

OperatingAgreements

Teamcharter

Business/CustomerDocuments

Visionandmission

Strategicbusinessdirection

Teamandorganizationcriticalsuccessfactors

Businessgrowthplan

Action/implementationplan

Full-valuecontractswithcustomers

BusinessProcessandSystemsDocuments

Businessprocessredesigns

Humanresourceplan

Informationsystemsplan

Financeandadministrationplans

Summary

CollaborativeteamsaretheprimarybuildingblockoftheCollaborativeWorkplace.Theygiveformandsubstancetothecorevalues

ofcollaboration.Theyprovideastructurefortheworktogetdone.Theybringtheworkforcetogethertofocusonrealissuesinrealtime,bringingrealvaluetothebottomline.Theybringthecollaborativeprocesstolife,asmembersoftheorganizationworkthroughtheirissuesinanaccountablestructure.

TheteamformationprocessensuressomedegreeofuniformityinbuildingtheCollaborativeWorkplace.Asteamsengageintheprocess,thesemembersbringthenewcultureintobeing.Thecollaborativeteammanagementprocessallowstheorganizationtomature,buildingalevelofproficiencyandconfidenceinhowtohandlethedynamicsofamoreresponsible,accountable,andtrustingworkplace.Theself-sufficiency,self-renewal,andclosingprocessesmerelypunctuateanewlevelofself-relianceastheCollaborativeWorkplacetakesonalifeofitsown.

PartIITheCollaborativeChangeProcess

7TheCollaborativeMethodTheimportantthinginlifeistohaveagreataimandtopossesstheaptitudeandtheperseverancetoattainit.JohannWolfgangvonGoethe

Theseniorstaffmembersofthe1,500-memberservicecompanywerebrimmingwithenthusiasm.Theyhadjustfinishedanextraordinaryworksessioninwhichall1,500hadhelpeddeveloptheirnewcompanyvision.Theysimplycouldnotstoptalkingabouthowmuchitmeanttothemthateveryonehadthischancetobuyin.Itwasclearthatthisorganizationhadhighself-esteem.Youcouldfeeltheexcitementintheairandsensetheprideandloyalty.Youcouldseetheirenergyandenthusiasmfortheirworkandtheircustomers.Thishighlyvaluedworkforcewassmiling,eagertotelltheirstoryandtoservetheircustomers.TheircompanyisanexampleofaCollaborativeWorkplace.Itisalignedandengagedindiscoveringthepoweroftheworkplacecultureinachievingacompetitiveedgeinthemarket.

Mostofusdonotworkinplacesthatarethisalive,althoughIsuspectmostofuswouldliketo.Howdowecreatethiskindofworkplace?Andoncewehavecreatedsuchaworkplace,howdowesustainitoverthelongterm?

ThischapterexploresaspecificmethodologythatcanbeusedtocreateaCollaborativeWorkplace.Indeed,eventhemethodologyitselfiscollaborative.First,weconsiderthepoweroftheworkplacecultureastheprimaryvehiclefororganizationalchangeandtransformationandtakealookatseveralalternativewaysofim-

plementingchange.ThenweintroducetheCollaborativeMethod,ananalytictoolbasedonthepremisethatlong-lastingchangeinanyorganizationmustbeginwiththeculture.

ThePoweroftheWorkplaceCulture

Muchaswe'dliketothinkso,energy,pride,loyalty,andapassionforworkarenotcreatedbyanorganizationalstructure,aleader,aproduct,oraworkprocess.Theyareallcreatedbythepeoplewhoworktogethereverydayinourorganizations.Thesemembersoftheworkforcehavedreams,hopes,andexpectations.Theyhaveissuesandproblems.Theyhavevalues,principles,anddeeplyheldbeliefs.Theywanttosucceedandcontribute.ThisiswhatIcalltheworkplaceculture,theplaceinpeople'sheartsandmindswherethesedreams,concerns,andvaluesplaythemselvesout.Theworkplacecultureisperhapstheleastunderstoodbutmostpowerfulforcefororganizationaltransformationinanyenterprise.Whatisitspower?Howdoesitwork?Howdoweengageitsothatitdrivesthechangeprocess?

TheFormalandHiddenWorkplaceCultures

ThetaskforHi-Tech'scross-functionalleadershipteamwastounderstandwhythecompanywasbecomingincreasinglynoncompetitive.Theteambeganitsprocessbyassessingthecompany'scurrentstateandthensuggestingitsdesiredstate.Theresultsastoundedeventhemostoptimisticmembersofthegroup.Theyfoundthatworkgotdone"inspiteofmanagement."Theylearnedthattherewasamajordifferencebetweentheformalworkplaceculturethosethingsthatweresaidpubliclyaboutthecompany'svaluesandwhatmightbecalledthehiddenworkplaceculturehowthecompanyreallyworked.(SeeFigure7-1.)TheyrealizedthatthegapbetweenHi-Tech'sformalandhiddenworkplace

cultureswasresponsibleforthecompany'slowlevelofproductivity,whichwasat30percent.Theteamattributedthislowlevelofeffectivenesstothebeliefbytheworkforcethatthecompanywas"outofintegrity"i.e.,thatitwasnotlivinguptothevaluesandbeliefsitpubliclyespoused.

Figure7-1.Thehiddenworkplaceculture:Weworkintwoworlds.

Fully70percentoftheproductiveenergyoftheworkforcewasnotavailabletomeettheorganizationsstrategicobjectives.Eventheavailable30percentwasbeingthreatenedbythelatestefforttomakethecompanycompetitivereengineering.MorejobswerebeinglostasHi-Techcontinueddownitsslipperyfinancialslope.

Aswesawearlier,thehiddenworkplacecultureisthatplacewherepeoplegointheirmindsandheartswhentheydonotfeelvaluedorrespectedbytheirorganizationorwhentheydonotfeelownershipoftheworkprocesses.Thehiddencultureiswheretherealpowerandsynergyofthecompanyresides.Sometimesthespiritandenthusiasmofanentirecompanycangetlostinthisplacewhenmoraleislowandskepticismishigh.

Onemajorindexofthesizeandimportanceofthehiddenworkplacecultureiscalledthehiddenproductivityoftheworkforce.Hiddenproductivityoccurswhenpeoplewithholdtheirenergy,loyalty,andcommitmentfromtheorganizationbecausetheydonotfeelvaluedorinvolved.Itisironicthat,ascompanieslookforwaystocutcosts,theyusuallydonotlookathowtotapintothis

hiddenproductivity.Itisrealmoneybeingleftonthetable.Intact,havingapartiallyproductiveworkforceisthesinglebiggestcostofdoingbusiness.Whenpeoplefeeltheirsecurityisbeingthreatened,productivitygoesdownandmorecostshavetobecut.Itisaviciouscycle.Withoutharnessingthatproductivitytothecompany'sstrategicdirection,itbecomesverydifficulttoachievecompetitiveadvantage.(SeeFigure7-2.)

Howdowetapintothathiddenproductivity?Howcanweunlocktheenergiesandcreativityoftheworkplaceculturetoproducebreakthroughresults,newbehavior,andlong-lastingchange?Thesolutionisnotmorestructuralchange.Theansweristoengagethetotalworkplaceculture,totapintotheenergyandcommitmentoftheworkforcebygivingthemaroleinredefininghowtheworkwillgetdoneandanopportunitytobuyintothechangeprocess.

Therearefourdimensionstoaframeworkforimplementingachangeprocessthatisdesignedtotransformtheorganization:Itcanbeimposedontheworkforcebymanagement,ortheworkforcecanbeengagedintheprocess.Inmostcases,thechangeprocessisinitiatedbymanagementinreactiontochangesinthemarketplace.Inafewinstances,managementwilltakeaproactiveposturebyplanningforthefuture.Bycross-referencingthesevariablesonamatrix,wecanidentifyfivedifferentwaysofleadingachangeeffort.(SeeFigure7-3.)

1.Structurefirst.Themostcommonexamplesofthestructure-firstapproacharereengineering/downsizing,reorganizing,and/orthedecentralizing/recentralizingofkeyfunctions.Thechangeeffortisdrivenbyeventsthathavenotbeenanticipatedorplanned,suchastheurgencytoreducecostsduetoincreasingcompetitivepressures.Thecompanyfindsitselfinareactivemode,andtheCEOand/ortopmanagementdecidebythemselvestoimposethechangetoensurethe

competitiveviabilityofthecompany.Thereislittlevalueplacedonconsultingwiththeworkforce.

2.Influencemanagement.Inthisapproach,leadershiphasrecognizedtheneedforachangeforsometime.Financialperformanceandmarketresearchhaveconsistentlyshownoverthepast

Figure7-2.Hiddenproductivitybeforeandafterstructuralchange.

Figure7-3.Alternativeapproachestochange.

6to12monthsthatsomethingneedstobedone.Atopleadershipteamisidentifiedtoadvisetheexecutiveonthesolution,-andoftenaconsultingcompanyishired.Theexecutivereachesouttospecifictrustedindividuals,lookingforadviceonthebestcourseofaction.Theinformationisgatheredfromindividuals,theteam,andtheconsultant,andtheexecutivemakesadecision.Usuallythedecisionistoimposeastructuralsolutionontheworkforce,althoughtheremayalsobeprocessimprovements.

3.Facilitatedchange.Thisapproachisoftenusedwhenthere

hasbeenacrisisatthecompany,suchasthelossofamajorclientorasubstantialquarterlydeficitthattakeseveryonebysurprise.Theexecutivewantstheworkforceinvolvedinhelpingtosolvetheproblemandcreatesseveraltaskteamsthatarecharteredtomakerecommendationsinkeyareas.Theemphasisisonincreasedworkforceparticipationthroughaprocessfacilitatedbyinternalorexternalresources.Theteamscompletetheirworkandmaketheirrecommendations,butfewifanyareaccepted.Someteamsaretoldthattheyhavegiventhewronganswers.Ineffect,justbecausethereismoreparticipationdoesnotnecessarilymeanthattheworkforceactuallyhasanyinfluence.

4.Tryanything.Insomecases,theexecutivesdonotknowwhatthesolutionstotheproblemsareandmaysayso.Theywilltendtotryanythingandeverythingtoseeifitwillwork.Inthissituationthereissomelikelihoodthatthesolutionwillbeseenastheprogram-of-the-monthratherthanarationalassessmentoftheproblem.Thelevelofinvolvementbytheworkforcemaybehighorlow,butthesolutionswillmostlikelybeimposed.

5.Collaborativemethod.Thefifthoptionformanagementisthecollaborativeoptiontobeproactiveinidentifyingissuesandtheneedforamajororganizationalchangeandtoengagetheworkforceinaprocesstodeterminethemostappropriateresponse.Theworkforcebuildsvalueforthechangeandusestheirknowledgeofthebusinesstoimplementthemosteffectivechanges.

TheCollaborativeMethod:ADefinition

TheCollaborativeMethodisachangeprocessthatharnessesthevaluesofcollaborationtothepoweroftheworkplaceculturetoproducelong-lastingchangeandbreakthroughresultsfortheenterprise.Basedonthevaluesofalignment,ownership,andfull

responsibility,theCollaborativeMethodusesarangeoftoolsandprocessestoengagekeystakeholdersandensurethatthebusinessisheadedintherightdirection,thattheworkforcehasboughtin,andthateveryonetakesresponsibilityforthesuccessofthebusiness.

KeyAssumptions

ThereareanumberofkeyassumptionsthatguidethesuccessfulapplicationoftheCollaborativeMethodtoanychangeprocess,nomatterhowlargeorsmall.

Workforceinvolvement.Leadersusuallydonotimplementchange.Theworkforcedoes.Therefore,theyhavearightandresponsibilitytobeasdirectlyinvolvedaspossible,fromstrategicalignmenttoimplementation.Failuretoinvolvetheminaproactive,meaningfulprocessmerelyincreasesthecompany'shiddenproductivity,andmayevenresultinsabotage.

Thecircle,ratherthanthepyramid.Thecircleisthesymbolofthecollaboration.Itrepresentsstrengthandunity.Whencontrastedwiththehierarchicalpyramid,thecirclerepresentsasenseofequality,commonpurpose,andsharedviewsaboutwhatisimportant.Acircleisoneofthestrongestgeometricfigures;pressureononesidetendstobedistributedaroundandacrossit.Pressureonthepyramidcancauseittoimplodeorexplode.

Acomprehensiveapproachtochange.TheCollaborativeMethodlooksatthetotalorganizationastheunitofchange,withacommitmenttotransformingallaspectsofthebusiness:itscustomers,culture,workrelationships,businessstrategy,businessprocesses,leadership,organizationalstructure,andsystems.

Behavioralchangeasculturalchange.Theonlywaywereallyknowthattheorganizationhaschangediswhenpeople'sbehaviorschangee.g.,whentheexecutivemovesfrominfluencemanagementtocollaborativedecisionmaking,orwhensomeonewhoisabusivetowardsubordinatesisnolongertolerated.TheCollaborativeMethodusestheteamformationprocessatalllevelsofthecompanytobeginredefiningtheworkplacecultureinthecontextofdesigningand

implementingthechangeeffort.Thiscreatestheessentialfoundationforpositivebehavioralchange.

Aresults-drivenplanofaction.Tobuildvalueandcredibility,theCollaborativeMethodrequiresthatbothshort-andlong-termresultsbedefinedandactionplansbeputinplacetoproducethem.Thetoolsandprocessesareonlyvaluabletotheextentthat

theyproduceresultsintermsofcustomers,employees,andprofitability.

Realworkdoneinrealtime.Thismethodusesamultipletracksystemsothatthecustomerandongoingworkdonotsufferwhilethechangeprocessismovingforward.Whereverpossible,theexistingteamsorworkgroupsarebroughttogethertofocusonkeyissueswhiletheyreinventthebusiness.

HowtheCollaborativeMethodWorks

TheCollaborativeMethodusesaVenndiagramtorepresentthevariouselementsoftheworkenvironment,allofwhichareaddressedinthisapproachtochange.(SeeFigure7-4.)Eachaspectofthisfigureisdefinedbelow,butitiscriticaltorememberthatthechangeprocessstartswiththeredefinitionoftheworkplaceculture,asevidencedbythearrow.ItisalsoimportanttorememberthattheVenndiagramrepresentstheinterdependenciesamongallpartsoftheorganization,andshowswhattypesofinteractionsexistamongthem.Thelargercirclerepresentstheexternalboundaryofthecompany(externalmarketforcesandcustomers,forexample).Insidethatcircleiseverythingthatgoesonwithinthecompany,suchasworkprocessesandorganizationalstructure.Let'slookatthisdiagramoneelementatatime.

Visionandstrategicdirection.Thevisiondefinesthecompany'sidentityanditsstrategicdirectionbasedonitsuniqueandvalue-addedroleandcompetitiveadvantageinthemarketplace.

Customerrelationships.Thereareexternalandinternalcustomers.Thequalityoftheserelationships,thewaycustomersaretreated,andtheirlevelofsatisfactionarecentralconcernstoeverybusiness.

Workplaceculture.Thecultureincludesthevalues,principles,beliefs,

customs,mores,habits,language,energy,pride,commitment,andloyaltyoftheworkforce.Theworkplaceculturedrivesanorganization'sproductivitywhichinturnisresponsibleforitscompetitiveposition.

Workprocesses.Thereareseveraltypesofworkprocesses,or

Figure7-4.TheCollaborativeMethod.

waysinwhichworkgetsdone.Thefirsttypeincludes''peopleprocesses"thatinvolvedecisionmaking,problemsolving,planning,andconflictmanagement.Theseprocessesmayinvolvetwoormoreindividuals,teams,divisions,orwholedepartments.Theymaybesingle-functioninfocus,multifunctional,orevencross-functional.Thesecondtypeincludesbusinessprocessesthatultimatelydelivervaluetothecustomer,suchasthesupplychainthatmovesfromprocurementtomanufacturingtosalesandservice.

Content,structures,andsystems.Contentiswhatthecompanydoesandhowitisorganized.Thisincludesitsproductsorservices,itsstructureasevidencedbytheorganizationchart,anditssystemsgroups,suchashumanresources,finance,administration,informationsystems,andlegal.

Leadingandmanaging.Attheintersectionofallthreeinnercircleswefindtheleadershipandmanagementfunctions.Itistheresponsibilityofleadersandmanagerstounderstandnotonlywhatisineachoftheorganizationalelementsbuttheinteractionsandrelationshipsamongtheseelements,andtomanagethemforalignment,effectiveness,efficiency;andintegrity.

Alignment.Inourmodel,theellipsethatrunsfromthetopoftheexternalcirclethroughtheVenndiagramandencompassesthecustomersrepresentstheprocessofalignment,andtosomeextentmeasuresthedegreetowhichtheelementsoftheorganizationareinalignment.Alignmentwillbeoneoffourtypes:

1.Strategicalignmentintermsofthemarketplace

2.Customeralignmentbyallbusinessandpeopleprocesses,aswellastheproductsandservicesdelivered

3.Workforceandculturalalignmenttoensurethatthefullenergiesandproductivityoftheworkforceareengagedandbroughttobearon

thecompany'svisionandstrategicplan

4.Leadershipalignmenttoensurethatleadersandmembersalikeareinaccordonthestrategicdirection,businessandpeopleprocesses,andproductsandservicesbeingdelivered

Theprocessofalignmentinvolvescreatingasharedvieworperceptionaboutwhattheorganizationis,whatitoughttobedoing,

itsdirection,andhowitsemployeeswillworktogether.Withoutalignmentinthesefourkeyareasofaction,theorganization'seffectivenesswillsuffer,workforceproductivitywilldecline,andbottom-lineresultswillreflectdisconnects.

Relationships.Thecharacterofanyorganization'sworkrelationshipsisafunctionofhowthevalues,beliefs,andmoresoftheworkplaceculturearereflectedinitspeopleandbusinessprocesses.Disconnectsoccurwhenthesetwoareasareoutofalignment.Forexample,ifthereisaclearvalueforconsensusdecisionmakingoncoreissuesforthebusinessandyetonlyafewmakethedecisions,therewillbeabasicdisconnectintheworkrelationshipsofthecompany.

Results.Thequalityofthecompany'soutputisafunctionofthealignmentbetweenitsworkprocessesandtheproductsorservicesthebusinessdelivers.Disconnectsoccurwhenthesetwoareasareoutofalignmente.g.,ifthereisafocusontotalcustomerserviceinbringingretailproductstothepublicandyetthefinancefunctionconsistentlyreducesthefundsavailableforimprovingcustomerservice.

Reputation.Perhapsthemostimportantcredentialanyorganizationhasisitsreputation,whichishowitsvaluesandbeliefsarereflectedinitsproducts,services,andcustomerfocus.Anexampleofadisconnectiswhenabrokeragehouseclaimstobeprovidingthehighest-qualityserviceatthelowestcost,andthenanauditdiscoversthereisawidespreadkickbackschemeamongthebrokers.

HowDoWeUsetheCollaborativeMethod?

TheprimaryuseoftheCollaborativeMethodistocreateandmanageaCollaborativeWorkplace.Inthecreationprocessweusethemethodtodesign,implement,andrealigntheculture,processes,andstructureofthebusinessfromhierarchy,silos,andcommand-and-control,tocollaboration.Thisapproachtochangemanagementisnotdonetoor

forthecompany.Byitsverydefinition,theCollaborativeMethodoforganizationaltransformationisdonewithandbythemembersofthecompany.

ThereisaseconduseoftheCollaborativeMethodasadiagnostictoolformanagementandteams.Throughthevariousinventoriesandanalysesthatareconductedwhilethecompanygoesthroughitsrealignmentprocesses,criticaldataaregeneratedonallaspectsoftheorganization'soperationsthatshowwheretherearesuccesses,mediocreperformance,andbreakdowns.Usingthesedata,managementandteamscanmaketheappropriateinterventionsandimprovements.Ifthecollaborativevaluesarealreadyinplace,therewillbeahighlevelofbuy-intothisprocess,significantlyreducingthetimeittakestofixabreakdown.

Thethirduseofthemethodisasameasurementtool.Ineffect,thediagnosticassessmentatthebeginningofthechangeprocessbenchmarkstheorganization.Every6to12monthsthesesamemeasuresmaybeusedtodetermineprogresstowardmilestones.Thesedatacanbecomecentraltoacomprehensivebusinessandorganizationdevelopmentplanningprocessthatallocatesscarceresourcestotheplaceswhereitwilladdthegreatestvalue.

Summary

Thetransformationofanyorganizationfromhierarchytocollaborationisatbestadifficultprocess.Butifwehavelearnedanythingfromdecadesofexperiencewith"changemanagementprograms"thatrestructurecompanies,itisthattheydonotproducelong-termcompetitiveadvantage.Hopefully,wehaveagreaterappreciationofthepoweroftheworkplacecultureandoftheroleitplaysindrivingtheeffectivenessofourcompanies.Infact,wearenowcomingtorealizethattheonlywaytotapintothehiddenproductivity,creativeenergypride,andcommitmentofourpeopleistofullyandproactivelyengagetheminthetransformationprocess.

Byusingacollaborativeprocessforengagement,werecognizethe

fundamentalroleplayedbybasicvalueslikerespect,trust,self-esteem,andintegrityinthelifebloodofthecorporation.Byharnessingthesevaluestoanorganizedsetoftoolsandprocesses,theCollaborativeMethodprovidesaneffectiveandefficientvehiclefortrulytransformingtheorganization.

8TransformingtheWorkplaceAsIgrowolder,Ipaylessattentiontowhatmensay.Ijustwatchwhattheydo.AndrewCarnegie

ThenewleadershipatSydex,atechnology-basedcompany,knewthatitsboardhadveryhighexpectationsofit.Financially,thecompanyhadjustbeenthroughadevastatingthreeyears.Theleadersknewtheyhadtoeitherreducecostsby30percentorincreaseproductivityby25percenttogetbackinthegame.Thecompany'sfinancialandorganizationalpainwasgreat,andamajorchangeprocesswasclearlyneeded.Theleaders,however,hadwatchedothercompaniestacklesimilarchallengesbyinstitutingdrasticcostreductions,reengineeringanddownsizing,flatteningthehierarchy,andstrippingoutthousandsofjobs.Theloyaltyandproductivityoftheirpeoplehadbeendamaged.ThenewleadersatSydexdidnotwanttorepeatthosemistakes.Theyalsodidnotquiteknowhowtheyweregoingtocreatethischange,buttheybelievedthatiftheyinvestedintheirpeople,therewasuntappedproductiveenergytheycouldengagetoleapfrogthecompetition.

Sydex'sleadersalsoknewthatinusingthisinvestmentapproachtochange,theywouldmakemistakes.Evenso,theydecidedtobetontheirpeople.Theywantedtotrysomethingthatwouldenablethemtoretaintheintellectualassets,loyalty,andproductivityoftheirpeople.Theydecidedtotryanapproachbasedontheprincipleofcollaborationthatwouldengagetheworkforcedirectlyinthechangeprocessandopenupthepossibil-

ityofadifferentoutcome.Theyhadlittletoloseandalottogain.Theycouldalwaysslashandburn.

WhereChapter6focusedontransforminggroupsofpeopleintocollaborativeteams,thischapterconcentratesontheprocessesinvolvedintransforminganentireorganizationintoaCollaborativeWorkplace.WewillfollowtheSydexchangeteamasitworksthroughthevariousphasesoftheCollaborativeMethodandexplorethespecificstepsSydextookasitcreateditsownCollaborativeWorkplace.

ApplyingtheCollaborativeMethod

AstheSydexteambeganitsjourney,itagreedononeveryimportantthing:collaborativevaluesalreadyexistedintheSydexworkforce,andalltheteamreallyhadtodowastogivethemachance.Eventhoughtheteamdidnotknowexactlyhowtheprocesswouldwork,itdecidedtochallengetheworkforcetotakefullresponsibilityforthesuccessofthebusiness.Theteamalsoknewthatitwouldhavetoovercome30yearsofdistrustandskepticism,andaconcernthatmanagementwouldabandonanynewprogramifitdidnotyieldimmediatefinancialresults.

TheSydexleadershipsharedtheviewthatthesuccessofthischangeprocesswoulddependonitscommitmenttofollowthrough,onitspatience,andonitsprocessskills.Theleadershipteamrealizedthattotransformthedominantculturefromoneofcompliancetooneoftrustitwouldneedtoremembertowalkthetalk,engagetheworkforceforbuy-in,buildstrategicalignment,establishcollaborativeteams,andredesignbasicsystems.Italsoknewthattosucceed,itneededtobelieveintheSydexpeopleandalwaysmakedecisionsbasedonprinciple.

TheteamwasawarethatusingtheCollaborativeMethodtotransform

Sydexwouldmeanshiftingtheorganization'scultureratherthanitsstructure.First,itwouldhavetogetcompanywidealignmentonthecorevaluesthatwouldbeusedtoleadandmanagetheorganizationasawhole.Then,sincetheteamknewalltoowellthatanyorganizationalchangetendstobeevolutionaryratherthanrevolutionary,itwouldhavetocreateaprocessthatgavethepeopleatSydexthetimetheyneededtochangetheirmind-sets

andbehaviors.Ifthechangeweredonetoorforthem,itwouldnottakehold;itwouldhavetobedonebythem.Finally,theteamknewthatithadtoworkontheassumptionthattheworkforcewantedtoberesponsibleandwantedtodotherightthingforthecompany.

Butwasn'tthisjustanother,moresophisticatedrationalefordownsizing?Notatall.InchoosingtheCollaborativeMethod,theteamwaschoosingtobasethetransformationonprinciple,notontechnique,andonculturefirstratherthanstructurefirst.Ifstructuralchangewererequired,theCollaborativeMethodwouldensuresomelevelofbuy-infromtheentireorganization.LiketheStrategicAlignmentMethodforfocusingbusinessstrategy,theCollaborativeMethodinvestedheavilyinbuildingagreementamongtheleaders,members,andotherkeystakeholdersoftheorganization.

AtSydex,collaborativechangewasnotimposed,itwasengaged.Thepayoffwassubstantial.Ratherthanlowerproductivity,theworkforceatSydexmovedintooverdrivebecausetheywereinvolved.Thequalityofdecisionsmade,workproduced,andservicetothecustomerallincreaseddramatically.Withinninemonths,humanproductivitydoubledandcostsbegantocomedownasthenewworkprocesseskickedin.Within15months,thefinancialbenefitsofthechangebegantoshowuponthebottomlineasprofitswentfrom-2to5.7percent.Yeartwoheldgreatpromise.AstheworkforcegraduallyrealizedthattheCollaborativeWorkplacewasnotjustanotherstructuralprogrambutthenewwaytheywoulddobusiness,commitmenttothenewculturebecameirreversible.

TheCollaborativeMethodusedbySydexhasfivephases,withanumberofstepswithineachphase.Thesephases(representedinFigure8-1)are:needandcommitment;preparingforthechange;assessment,alignment,andplan;managingimplementation;andself-sufficiencyandrenewal.

Phase1:NeedandCommitment

Nochangeprocesscanbesuccessfulunlessitisabsolutelyclearthatthechangeiscriticallyneededtoensureorganizationalsuccessandthatthereisaspecificmethodologyforimplementingit.

Figure8-1.ThefivephasesoftheCollaborativeMethod.

ThepurposeofPhaseIistoensurebasicalignmentatalllevelsoftheorganizationontheneedtochangeandwinafundamentalandirrevocablecommitmenttomoveforward.TheCollaborativeMethodusedatSydexwasafour-stepprocess.

Step1:CreatingaChangeProcessLeadershipTeam

Someonehastostarttheballrollingandthenstickwiththeprocessallthewaythrough.Aneffectivewaytobuildlong-termvaluefortheCollaborativeWorkplaceistocreatealeadershipteamofkeymemberswhowilldrivethechangeprocess.Greatcaremustbegiventotheirselectionandrecruitment.Theymustbepeoplewho:(1)willmodelthebehavior;(2)havetherequisiteskills;(3)arerespectedbytheorganization;and(4)believeinthechange.Itisbestiftheteamiscross-functional,representsallpartsofthecompany,andinvolvesseverallevels,includingthetopmanager.Theteamneedstobefreeduptospendthetime.Thisisasignificantcommitmentforeachteammember,withmeetingsandresponsibilitiesoftentakinganaverageof20to30percentoftheteammembers'time.Therewillalsoneedtobeanagreementabouthowtheirotherobligationswillbefulfilledandhowtheirparticipationwillbereflectedintheirperformancereviews.

AtSydex,theCEOformedandparticipatedonaseven-memberchangeteam.Asanticipated,oneofthefirstquestionspeopleaskedduringtheinitialengagementprocesswas:"IsSteve(theCEO)involved?"Theywantedtoknowthattopleadershipwasdirectlyengaged.

Theteamdecidedtoholditsfirstmeetingoff-site.Theobjectivewastodetermineitsdegreeofvaluefortheprocess.

Step2:EstablishingtheNeedtoChangetheWorkEnvironment

Sydexhadjustchangeditsexecutiveteam.Financialresults,aswesawearlier,hadbeenquitepoorandshowedlittlehopeof

improvementinspiteofdrasticcostcuttingoverthepastthreeyears.Thecompanywaslosingmarketshare,andcustomerswerepubliclyvoicingtheirunhappiness.Theworkforcefeltdevaluedandwasanxiousaboutthenextroundoflayoffs.Moralewasatanall-

timelow.Simplyreorganizingthecompanyagainwouldnotsolveitsproblems.

Foranysignificanttransformationprocesstoworktheremustfirstbeaburningplatformaclearrecognitionbykeystakeholdersthat"insanity"iscontinuingtodothesamethingswhileexpectingdifferentresults.Theremustbearealizationthatthecostsofnotchangingaregreaterthanthecostsofchanging,andthatchangingthestructureisaninsufficientresponse.

Atthesametime,theremaybeconsiderabledenialabouttheneedtochange.Ifprofitsareuporgoingup,therefrainis,"Ifitain'tbroke,don'tfixit."Ifprofitsaredownorgoingdown,theviewislikelytobe,"Wedon'thavethemoneytoinvestrightnow;wehavetocutcosts."Theremayalsobeastronglyheldviewthatstructuralchangewillfixeverything.Inotherwords,intheworldofdenial,thereisnogoodtimetochangethewaythecompanyhasbeendoingthings.Denialmostoftenoccurswhenpeoplefeelthreatenedbymajorchange.Theymayfearlosingtheirbaseofpowerorcontrol.Theymaynotwanttobeaccountabletoothers.Itisveryuncomfortabletochange.Theiregosareinvolved.Ortheirlastexperiencewithachangeprogramwassopainfulthattheydonotwanttogothroughitagain.

Itmaynotbepopulartobewillingtomovebeyonddenial,toidentifytheneedforchangeandtakeastandfordoingsomethingnew.AtSydex,therewasafairlyhighlevelofdenialamongthreemembersofseniormanagement.Theywantedtoseethereengineeringprocessfinishedbeforeanynewchangewasintroduced.Theyalsobelievedthatthenewincentivesystemwouldshiftbehavior.Otherteammembers,however,feltthatitwastimetoshiftthecultureoftheworkplaceandcreateaworkenvironmentwherepeopletrulyfeltvalued.Thecompany'sdownsizinghadcutintothemeatofthe

organization,andtheircredibilitywassuffering.Itwastimetotryadifferenttack.

Thereisusuallysomeprecipitatingeventthatcausesthechangeprocesstobegin.AtSydexitwaspoorfinancialperformanceandthechangingoftheexecutiveteam.Atothercompaniesitmaybethelossofamajorcustomer,alaborstrike,amerger/acquisition,oranexecutivewhohashadalife-changingexperienceandwantstoleavealegacyofhope,growth,andpositivechange.Butalthougheventslikethesemayprecipitateanawarenessoftheneed

tochange,theydonotnecessarilyguaranteethewillingnesstochange.Thedistinctionhereisbetweenanintellectualunderstandingofasituationandthebehavioralshiftrequiredtocommitresourcestoeffectitsresolution.TheSydexteamwaswillingtoexplorenewwaysofworkingtogether,tolearnaboutcollaborativeprinciplesandprocesses.

Step3:BuildingValueforaCommitment

Anychangeprocessismostvulnerabletoterminationinitsearlystages,especiallybeforeanexecutivecommitmenthasbeenmade.AtSydex,theteamlearnedthataverbalorintellectualcommitmenttochangewasverydifferentfromthecommitmentofactualtime,talents,andfinancestomakeitareality.Realitysetinwhentheteammembersgotouttheircalendarstoschedulethefirstthreemonthsofmeetings.

Fromtheverybeginning,theSydexteamrealizedthatthecollaborativechangeprocesswouldrequirecontinuousvaluebuildingacrosstheorganizationandamongkeystakeholders.Moreover,itrealizedthatitmustemphasizetheexpectedbenefitsandresults,nottheprocessitself.Thechangeprocesswasmerelyavehicle,ameanstoanend.Theteamalsolearnedthatitcouldnotbuildvaluebyfocusingontheabstractideaofculturalchange.Whatevertheactivity,theSydexteamhadtoconsistentlypositionthechangeeffortinconcretebusinessterms,withthecollaborativeprocessbeingappliedtosuchrealbusinessissuesassettinganewstrategicdirection,enhancingcustomerrelationships,andbuildingacollaborativestrategicalliancewithamajorbusinesspartner.

TheSydexteamwastednotimeaboutgoingdirectlytokeystakeholdersmembersoftheboard,importantcustomers,andtopleadershipinthecompanytoengagetheminanearlyassessmentofthecurrentstateofSydex.Theobjectivewastovalidatewhetherthere

wasindeedaburningplatformandtobuildvaluefortheneedtotransformtheorganization.Theteammembersfoundthattheboard'sexecutivecommitteewasalreadydissatisfiedwithmanyaspectsoftheorganizationsperformanceandwasquitewillingtoconsideradifferentapproachtochange.Theteamgottheboard'stacitsupportup-front.

Thereareusuallyseveralinfluentialmembersoftheorganizationwhohaveseriousobjectionstothechangeprocess.Influentialresistersneedtobeengagedearlyontodeterminetheleveloftheirdisagreement.Inonemidsizeservicescompany,therewasaseniorvicepresidentwho,whenshedidnotagreewithadirectionbeingtaken,wouldstandinthehallandtalktoeveryonecomingbyandtellthemhowterribleitwasthatthisactionwasbeingtaken.Withinhours,theentireorganizationwouldbebuzzingaboutherviewpoint.Moreoftenthannot,theprocesswaseitherabortedorsubstantiallychanged.Noonewaswillingtoconfronther.Resistantbehaviorofthiskindneedstobeaddresseddirectlyandquickly.

OneofthethreepeoplewhohadmajorobjectionstotheproposedchangeatSydexwasunwillingeventotalkaboutthechange.Theteamhadagreedonthebasicprinciplethatnoonepersonshouldbeallowedtodictatethedirectionofthecompany.Tothisenditusedtwotools:root-causeanalysisandanengagementstrategycalled''increasethestakes,"whichinvolvedtheentireorganizationinbuildingvaluefortheprocessthroughouttheworkforce.Withintwomonths,theteamhadgottentheholdout'sbuy-in.

IntheearlyweeksoftheSydexchangeprocess,therewerevaryingdegreesofworkforcecommitmenttotheeffort.About10percentoftheworkforcewerewhatcanbecalledheatseekers,peopleeagertomakeadramaticshiftintheirworkenvironmentandre-focusonthecustomer.Another10to15percentweredeadsetagainstit;theythoughtthingswerejustfineandmorechangewasunnecessary.Thebalanceoftheworkforcewere"fromMissouri";theywerewillingtobelievetheprocesswouldwork,butwantedthechangeteamtoshowthemitwouldwork.TheSydexteamwasabletogetthelattergrouptobuyinatabasiclevelsothatthingscouldmoveforward.Meantime,therewasagraceperiodofabout90daysbeforesomeconcretechangeswereneeded.

Step4:CommittingtotheMethodology

Itwasnotlongbeforepeoplebeganaskingwhatwouldhappennext.Themembersofthechangeteamwereabletofendoffthe

Figure8-2.TheCollaborativeArrow.

pressureforapreciseanswerforamonth,butduringthatmonththeteamknewithadtoadoptamethodologyandaspecificsetofstepsandprocessesthatcouldbepresentedtotheorganization.ItalsoknewitwouldbeusingtheCollaborativeMethod,andhadinfactalreadycommittedtothemethodologyinprinciple.Nowitneededtogetintothespecifics.

TheSydexteambegantheprocesswithatoolcalledtheCollaborativeArrow,whichenabledthegrouptothinkaboutthechangeprocessfromacomprehensiveperspective.(SeeFigure8-2.)Usingthistool,theSydexteamwasabletosimultaneously:(1)considerallelementsoftheorganizationthatwouldbechanged;(2)establishabasisformeasuringchangeovertime;and(3)considerproactivelythespecificmethod,strategies,preventions,andinterventionsthatwouldbemadetoensuresuccess.

Astheteammembersworkedthroughthecurrent-stateanalysis,theysoonrealizedthecomplexityofwhattheyweretryingtodo.Itwasamultifacetedchallengeandinvolveddealingwithawiderangeofissuesallatonce.Thecurrentculturewasoneofskepticism,anger,andcompliance.Theyknewtheywerenotgettingthebestfromtheworkforceandthatrecentstructuralchangeshadexacerbatedtheirdilemma.

Theteammembersinvestedsometimeincreatingtheirdesiredstatevisionfortheorganizationaswellastheirdesiredbusiness

objectives.ThemoreinvolvedStrategicAlignmentMethodwouldbeappliedlater.TheideaherewastoidentifywheretheywantedSydextogoasabusiness.Itsdesiredstatewasnotaseasyastheyhadthoughtitwouldbetoarticulate.Thevariousmembershadsignificantdifferencesaboutwhattypeofcompanytheywantedittobecome.Atthispointtheyrealizedtherealvalueofengagingtheorganization:Ithadtobeeveryone'svisionforthefuture.

Theteamthenspecificallymappedoutitsdesiredoutcomesforthechangeprocessandoutlinedthetransitionstate,orspecificstrategies:Itwouldusetogetthere.

TheCollaborativeMethodcallsforlotsofinteraction,discussion,andagreementastheprocessproceeds.Oneoftheworstthingsthatcanhappeninachangeprocessisthatthechangeteamgetstoofaroutinfront,onlytolookaroundandfindnoonebehindit.

Anotherthingthatcanhappenisthattheteamdoesnotfullyappreciateitslimitations.Peopleareusuallyquiteenthusiasticwhenthechangeprocessstartsoff.Theyarehopefulandexpectmiracles.Thereisatendencytowaxeloquentaboutwhatwillbeaccomplishedwithouttrulyunderstandingthelimitationsofthegroup,thelandminesinthepathahead,andtheunforeseencircumstancesthatcanderailtheeffort.Withahealthyrespectfortheselimitations,theprocesscanbelessfrustrating.

Itisevenmoreimportantthatthegroupbesureithasacommitmenttoproceed.Justbecausepeoplesaytheyagreedoesnotmeantheydo.Somepeoplewillsilentlydisagreewhileverballyagreeingbecausetheyknowthatdisagreeingwithakeycorporatedirectioncanresultinseriouscareerconsequences.InthemovementtowardaCollaborativeWorkplace,however,specialattentionmustbegiventothisphenomenon.Itsexistenceshouldberecognized,andadifferentwaytoregisterdisagreementshouldbemadeavailable.Theenvironment

mustbefreefromfearorreprisals.Theattitudeandtoneoftopleadershipwillhelpshiftthependulumtowardmoreopenexchange.

Atthelevelwhereresourcesmustbecommitted,theagreementtoproceedmustbeexplicit,clear,andirrevocable.Oncetheexpectedresultsforthechangehavebeendefinedandthemethodologyclarified,thecommitmenttoproceedmeansnoturningback.Theremaybefine-tuning,realignment,oradjustmentstothe

strategyalongtheway,butifthereislurkinginthebackgroundanyideaofatrapdoororescapehatchthatcanbeusedtobailoutoftheprocess,theintegrityoftheprocesswillbeatrisk.

Phase2:PreparingfortheChange

ThechangeteamatSydexknewthatevenwithagreementtomoveforward,itneededtocontinuebuildingvalue.Incompletingitspreparationsforthefulltransformation,itusedathree-stepprocess.

Step1:CompletingtheTeamFormationProcess

ItwasnowtimefortheSydexchangeteamtobegincreatingtheCollaborativeWorkplacebymodelingtheprocessthemselves.Theteamworkedthroughthecollaborativeteamformationprocess(seeChapter6),startingwithtaskdefinitionandthecreationofOperatingAgreements.Likemanyteamsbeforethem,theycameface-to-facewithtwokeyissues:asenseofurgencyandbuildingtrust.

Thetaskofdesigningandimplementingthetransformationofanorganizationinvolvesagreatsenseofurgency.Thereisoftenareluctancetodoalotofprocesswork.Butyoueitherinvestupfrontorpaylater,andkeeponpayingforpoor-qualitydecisions.Forexample,withoutitsconsensus-basedOperatingAgreements,ateam'sinitialconflictsordisagreementswilltakemuchlongertoresolveormaynotgetresolvedatall.Asdisagreementsaccumulateorconfidencesarebreached,theintegrityandtrustintheteamwilldropandteamspiritandeffectivenesswilldissipate.Itisfarmorecost-effectiveandefficienttotakethetimeup-frontandputthepreventioninplace.

InitsOperatingAgreementsprocess,thechangeteamatSydexfoundithadtwoareasoffundamentaldisagreement:confidentialityandconsensus.Muchtimewasspentgettingtotherootcauseofthese

issues,andtheyweresuccessfullyresolved.Thiswasanewexperienceformanymembersoftheteam.Inthepasttheyhadalwayshiddentheirdifferencesortalkedaboutthembehindtheothers'backs.Nowitwasasifthefloodgateshadopened.

Theywerefinallytalkingaboutthethingsthatreallymatteredtothem,thethingsthatwouldtrulymakeadifferenceinhowtheyworkedtogether.Trustandconfidencewentup.Theynowknewthatbreakthroughsintheirownrelationshipswerepossible,and,asaresult,believedtheycouldsucceedandbegoodrolemodels.

Step2:CreatingandSustainingRealisticExpectations

Onedefinitionofanupsetisthatitisanunfulfilledexpectation.AtSydextheexpectationsoftheworkforcesoaredassoonastheteamannouncedthecompany'sintentiontochangetheworkenvironment.Buteverymemberhadadifferentsetofexpectations.Somewantedtobeempoweredandleftalone.Otherswantedmoredirectaccountability.Stillotherswerehopefulthatfinallytheywouldgettousetheirtalentsinamoreproductiveway.Clearly,therewasnoalignmentofexpectations;infact,forseveralweekstheywereallowedtorunrampant,creatinganinformalwishlistforchangethatwouldprobablynotwithstandthetestoftime.Whenthechangeteamfoundoutaboutthesewidelyvaryingexpectations,itcommitteditselftoestablishingamorerealisticframeworkimmediately.

ThereisperhapsnothingmorecriticalinPhase2thansettingrealisticexpectationsforthechangeprocess.Thelowertheexpectations,thebetter.Oneruleofthumbistodownplaytheprobableoutcomesandlettheworkforcebepleasantlysurprised.Thetrickforanychangeteamishowtosellthebenefitsoftheprocesswithoutoversellingtheoutcomes.

Onewaytoestablishmorerealisticexpectationsistoprovidetheworkforcewithaclearunderstandingabouttheupsanddownsofchange.Theyneedtoknowwherethepitfallsareandwhatthecriticalsuccessfactorswillbe.Figure8-3ishelpfulinshowinghowasuccessfulchangeprocesslooksovertime.Therearealwaysupsanddownsintheprocess.Whatwewanttoseeisanupwardtrendover

time.Toensurethistrend,itiscriticalthatleadershipanticipatewhenprocessinterventionsareneededandbereadytoimplementthem.

Acentralissueatthisstageoftheprocessistoreachcriticalmass,whichoccurswhenthecollaborativeculturehastakenholdsufficientlyfortheprocesstosustainitself.Eventhoughcritical

Figure8-3.Thepsychologyofthechangeprocess.

massusuallyoccurswellintotheimplementationphase,theteammuststayvigilanttoensurethathopesanddreamsremainconsistentwithreality.Criticalmassmaynothappeneasily.AsFigure8-3demonstrates,thereismorethanonepointintheprocessatwhichinterventionsmaybeneededtomanagetheefforttowardSuccess.

OneproblemtheSydexteamranintoearlyonwasthevehemencewithwhichtheproposedprocesswasattackedbyskeptics.The"bulls"amongthemtriedoutrightassaultsonthecredibilityoftheprocessbycallingitsmethodsintoquestion,whileotherschallengedtheteamcompositionandusedsarcasmtotrivializetheobjectivesoftheprocess.The"submarines"manipulatedtheinformalnetworkstomakeclearthattheyhadnobeliefintheeffort.Meanwhile,the''elephants"indicatedthatiftheprocessfailed,theywouldnotforgetandwouldbetheretoremindeveryonethatithadnotworked.

Threatslikethesetotheintegrityofthestart-upprocessmustbehandledassoonastheyshowup.Theup-frontandearlyengagementofallmembersandstakeholdersoftheorganizationwillgoalongwaytowardmitigatingtheseproblems.Akeytosuccessisnotallowingavacuumtoemergeinwhichafewvocalskepticscanoperateunchallenged.Unfortunately,eventhoughweare

workingtoinstallacollaborativeculture,weareoftendoingsoinanunwelcome,oratleastaskeptical,environment.Sometimeswemustmatchtheexistingcultureandchallengeittooperatebythenewrules.Wemustbeverycarefultomodeltheway.

Asthesayinggoes,"nothingsucceedslikesuccess."Thisisespeciallytrueinatransformationprocess.Tobuildvalueandmomentumforchange,itiswisetobringaboutsomeearlyvisiblesuccesses,thingsthathaveneededdoingforsometimeorthingsthatwilldemonstratetotheorganizationthatthereistrulyanewculturebeginningtotakehold.

Atonecompanythatbeganthisprocessinearnest,thestafffeltthatmanagementreallyneededtofindawaytoworktogetherasateam.Aspartofitsearlyvisiblesuccesses,thechangeteamidentifiedthreeshort-termprojectsthatallofthemcouldparticipateinjointly.Theleaderswereseeninpublicworkingtogether.Withtime,itbecamecleartoeventhemostskepticalthattop-levelcollaborationwaspossible.

ThechangeteamatSydexdidthesamething.Itsetseveralpracticalbusinesstargetstohighlightitsworkandfocustheattentionoftheworkforce.Onetargetwassecuringanewcontractwithamajorcustomerthecompanyhadbeenseekingforseveralyears.AnothertargetwasproducinganewsoftwareapplicationthatSydex'scurrentcustomerswantedinhalftheusualtime.Yetanothertargetwasdevelopingthenewcovenant.Aseachofthesemajormilestoneswasmet,theleadershipteamheldamajorcelebrationfortheentireorganizationandacknowledgedtheteamsandindividualsresponsibleforthesuccess.

Step3:AnnouncingtheDetailedChangeProcess

TheSydexteamdidnotsitonitshandsduringPhase2.Itworkedout

allthedetails,methods,andtoolsthatwouldbeusedtomoveintoPhase3,whentheassessmentandalignmentprocesseswerescheduledtobegin.Themeasurestobeusedintheorganizationalassessmentwereagreedto,theroadmapwasnaileddown,rolesandresponsibilitieswereassigned,thebudgetwasadopted,andtheprobablelandmineswereanticipated.Theteamwasreadytoroll.

Phase3:Assessment,Alignment,andPlan

ItwouldhavemadelittlesensefortheSydexteamtobeginitsjourneywithoutknowingitsstartingpointorwhatwouldindicatethatithadreacheditsgoals.Thecurrent-stateassessmenthadgiventheteamahigh-levelpictureofwhereitwas,butitneededamorecompleteassessmentonethatprovidedbothquantitativeandqualitativebenchmarksfortheentireorganization.Atthesametime,thegroupknewitneededtoaligntheorganizationandbuildvalueforanewstrategicdirection.(SeeChapter5.)TheresultwasagrowthplanthatlookedspecificallyathowSydexwouldachieveitsexpectedresults.Thiswasathree-stepprocess.

Step1:LaunchingtheOrganizationalAssessment

Sydex'sorganizationalassessmentneededtobeascomprehensiveaspossible.Itwasdesignedtoestablishanobjectivestartingpoint;someoftheinformationwasdifficulttohear,butitwasalsonecessarytoknow.Theassessmentmadeitpossibletodrawdistinctionsbetweenperceptionandfactandprovidedaplatformforconvertingcomplaintsintopositive,responsibleactions.Thethreeprimaryarenasinwhichtheteambegantocollectdatawere:thebusinessandthecustomer;workplacerelationshipsandprocesses;andorganizationsystems.Awidearrayofmeasurementtoolswasused.Itwasparticularlyimportanttogetsomequantitativereadonthewell-beingoftheworkplaceculture.

Basedonitsratherexhaustiveassessment,theSydexteamwasabletodetermineseriesofbenchmarkstartingpointsforthechangeprocess.Italsousedthisinformationtodeterminethemostappropriateandeffectivetypesofchangeinterventions.

TheSydexteambelievedthatbycontinuingtoengagethemembershipoftheorganizationtohelpintheassessment,itcould

continuetobuildvalueforwhatneededtochange.Thegroupengagedacommitteerepresentativeoftheboardaswellasseveralcross-functionalgroupsintheorganization.ItalsoaskedSydex'skeycustomerstoparticipate,amovethatoverlappedwiththeStrategicAlignmentMethodasdiscussedinChapter5.

Wedon'tjustwakeuponedayandrealizethatthewaywehavebeendoingthingsatcompaniesisallwrong.Wehavedone

themthatwayforareasonthatonceseemedtomakesense.Butnowwehavetoopenourmindstonewwaysofthinkingaboutwhatwehavebeendoingandhowwell.Bynature,thisisaniterativeprocess.Peoplehavetohavetimetograduallyhearthatwhattheyhavebeendoingislesseffectivethanitneedstobe.Somemaythinkthatshockingthesystemworksitdoesn't.Shockingtheorganizationonlycausespeopletodiginandclingtotheirpositions.Theyneedtobeengaged,facilitated,educated,in-cented,andcoaxedoutoftheirparadigmsabouthowbesttorunthebusiness.

DuringPhase2atSydex,somepeoplebegantoaskquestionsaboutwhenthe"realwork"wasgoingtogetdone.Toaddressthisverypracticalconcern,workwentforwardonseveraltrackssimultaneously:

Track1: Completingthebusinessathand

Track2: Completingthevariousphasesofthechangeprocess

Track3: Buildinginternalskillsforself-sufficiency

Steps2and3:StrategicAlignmentandGrowthPlan

ThenexttwostepshavebeendiscussedindetailinChapter5.Itisessential,however,thatthroughoutthisprocessseveralconsiderationsbekeptinmind.First,thechangeteamneedstoremainobjective,facilitative,anddedicatedtooperatingonprinciple.Therewillbecompetitionforinfluenceoverthecompany'sdirectionandevenquestionsaboutwhoshouldreallybemakingthisorthatdecision.Theteammustremainfirminitsresolveandworktoensuretheintegrityoftheprocess.

Second,theteammustwatchforhiddenagendas,nonalignment,andless-than-fullparticipation.Oftenthingsmaynotbewhattheyseem.Afalsealignmentatthisstagecanbedangerouslateron.Theteam

mustferretoutthedifferentneedsofkeyplayersandgetthemonthetable.Itisvitaltoactivelyengagethosewhoarequietorwhoarewithholdingtheirperspectives.Fullandopenengagementisessential.

Third,theteammusttreatallcustomerslikefamily.Inadditiontoamoreformalfull-valuecontractingprocess,theteam

shouldmakesurethatthecustomers'perspectivehasbeenfullyheardandthatalignmentresultsarereviewedwiththempriortorelease.Itisequallyimportantthatthechangeteamensurethatthekeystakeholdersareinagreementwiththenewdirection.

Phase4:ManagingImplementation

AstheCEOlookedoutatthe15Sydexboardmembers,herealizedhowfartheyhadcomeasateam.Itwasjustsixmonthsagothatthechangeteamhadaskedtheboard'sapprovalforresourcestosupportthisplanningprocess.Atthattimetheboarddidnotparticularlycarewhetherthecompanywasrunbycommand-and-controlorcollaborativeteams.Itwaschieflyinterestedinfinancialresults.Asaresultofthestrategicalignmentandorganizationalassessmentprocesses,however,thequestionsaskedatthismeetingwerequitedifferent.Thechairmanwasaskingaboutthereallevelofbuy-inamongthestaff.Hewantedtoknowifthecompanywouldbeabletoavoidlayingoffpeoplebyincreasingproductivity.HeevenaskedaquestionabouthowtheteamswouldnowbeabletomakeSydexmorecompetitive.

TheCEOknewtheywerereadytoembarkontheimplementationphaseofthisjourney.Thechangeteamhadatrueconsensusagreementonthegrowthplan,thestaffhadreacheda75percentlevelofbuy-in,andthecustomerswerequitehappythattheyhadbecomethecentralfocusofSydex'snewdirection.Nowthechangeteamfacedawholenewsetofissues.Thethreestepsinthisphaseofitsworkseemedrelativelysimple,butinrealitywouldtakeaconsiderableamountofcareandfeeding.(Note:ItisimportantthatthesestepsbeconsideredinconjunctionwithChapter9,whichdiscusseswhatittakestoensuretheintegrityofthetransitionprocess.)

Step1:CreatingtheCollaborativeWorkplace

Thecollaborativeteamformationandmanagementprocesshavealreadybeendiscussed.Butwhataboutthedynamicsofthechangeprocessthattheorganizationwillencounterasittriestoputthisapproachintopractice?

TheSydexchangeteamhadpreparedadocumentfordistributionthatspelledoutthegrowthplan,itsexpectedresults,thespecificstrategiestobeemployed,thenewstructure,andtherolesandresponsibilitiesofthevariousteamsintheimplementationprocess.Theteammembershadalsomadeapactamongthemselvesthatthiswasgoingtobeaqualitychangeprocess,thattheywoulddoitright.Thepressurestoimplementbeforetheywerereadyweresevere.Buttheyknewhowimportantitwastohavefullownershipandagreementontheplan.Atleastonememberoftheteampointedoutthatthesepressureswerereallyapositivesignandthattheyshouldnotinterpretthemasadesirebytheorganizationtoputthenewcultureinplace.Theteamheldtheline,andlaterwasgladthatithad.

Itisnoteasytomakethetransitionfromcommand-and-controltocollaboration.Thelastthingthechangeteamwantedtodowastosendtheorganizationintoshock.Therefore,theplancalledforthebifurcationofmemberreportingrelationshipsinanadministrative/functionalsplitthatwouldhelpeasethetransitionandkeeptheworkforcefocusedwhiletheculturechangebegantotakeeffect.Eachworkforcememberwasassignedtooneteamasahomebaseinaccordancewithhisorherfunctionalexpertise.Eachteamwouldgothroughthecollaborativeteamformationprocessandagreeontherolesoftheleadershipfunction.

Eachemployeewouldalsohaveanadministrativereportingrelationship.Thereporting,however,wouldnotnecessarilybetothepersondesignatedasinterim"teamleader"For50percentoftheirperformanceevaluation,memberswouldreporttoateamsponsor,whomighthaveaspanofcontrolashighas1:50.Theotherhalfoftheevaluationwouldcomefromtheindividual'steam.Astheorganizationevolved,thesepercentagesmightchange;theperformancereviewprocesswouldcertainlychange.

Theplancalledforthedevelopmentofinternalself-sufficiencyinmanagingthechangeprocess.Asthechangeteamanticipatedtherollouttotheorganization,itinitiatedaskills-developmentprocessthatwouldeventuallyequip25percentofitsmemberswiththerequisiteskillstohelpleadandmanagethechangeprocess.Theinitialroundwasfocusedonthoseindividualswhowouldbeginformingteamstolaunchtheeffort.

Timingiseverythinginthechangebusiness.Itwascriticalthat

thechangeteaminvolvetheworkforceatpreciselytherightmoment.TheSydexteamdecidedtoengagetheentireorganizationingroupsof20overaperiodoftwomonthsinthefirstroundofskillsdevelopment.TheseworkshopsfocusedonwhatitmeanttobeafullmemberofaCollaborativeWorkplace.Theintentionofthisjust-in-timeengagementwasnottrainingperse,butpreparingmembersforactiveparticipationintheteamstheyhadbeenassignedto.Itwasalevelset,andwasdesignedtolaytorestanyremainingdoubtsaboutseniormanagement'scommitmenttoputtingthisnewculturalfoundationinplace.

Itworked.Nearlyallthemembersparticipated,andfewerthan1percentleftwithanyseriousnegativeperspectivesontheprocess.Clearlyallthepreparationworkandinitialengagementeffortshadpaidoff.Therewerenosurprises,onlyeagernesstomovetowardcriticalmass.

Step2:ManagingtheIntegrityoftheTransition

IntegrityisdefinedbyWebsteras"soundness,honest,firmadherencetoacodeofmoralvalues"AswewillseeinChapter9,therearemanyopportunitiesinthechangeprocessfordisconnects,orbreachesinintegrity,asacompanybecomesaCollaborativeWorkplace.OurfocushereistoexplorehowseveralofthosedisconnectsaffectedtheSydextransition,andhowitschangeteamresponded.

Sixmonthsintothetransition,theSydexboarddecidedtomergetwoofthecompany'ssevendepartmentstobetterpositionthecompanyforananticipatedacquisition.Thedecisioncaughtmostofthechangeteammembersbysurprise.TheCEOhadknownbuthadkeptthemovequietaspartofhisagreementwiththeboard.Atanemergencymeeting,anoutsidemediatorwasengagedtoprocessarangeofseriousquestionstheteamhadabouttheCEO'scredibilityandaccountabilityforthesuccessoftheteamandthechangeprocess.

Twomemberseventhreatenedtoresign.

Afterhoursofdebate,however,theteamcametoabetterunderstandingaboutwhythedealhadbeenkeptsecret,theconflicttheCEOhadfelt,andhowitwouldmoveforwardwithboththechangeeffortandtheacquisition.Newcommitmentsweremadetoputallthebusinessaswellasthechangeissuesonthetablefor

fulldiscussion.Theteam'sOperatingAgreementswereamendedtoreflectthisevent,andatajointmeetingwiththeboard,asetofagreementswascreatedthatestablishedhowthetwogroupswouldworktogether.

Noteamwillbeabletoanticipateeverythingthatmayhappen,butitmustremainvigilantandexpecttheunexpected.Itmusttakenothingforgranted.Andwhentheworst-casescenariohappens,asitdidatSydex,itmustbepreparedtorevisititsresolveandsticktoitsprinciples,eveninthefaceofwhatmayfeellikeinsurmountableobstacles.

ItwasnotlongafterthefunctionalteamsatSydexwereformedthatthechangeteambegantonoticeanotherphenomenonteammembersbegantobehaveasiftheirteamswerethenewturf,thenewsilos.Loyaltywastotheteamratherthantothecompany.Theybegantohear,"Icannothelpyoubecausemyteam..."Loyaltytotheprimaryteamshadbecomeverystrongiffornootherreasonthanthatthecollaborativeteamformationprocesshadbroughtthemtogethersoeffectively.Itwasalltooeasyforteammemberstomaketheteamthenewsiloandfocustheirenergyonprotectingit.Oldbehaviorsdiehard.

TheSydexteamrecognizedthat,whilethestrategicleadershipteamwasclearaboutwhereitsloyaltieslay,therestofthemembershiphadbecomeconflicted.Itdecidedtoengageeveryoneinanoff-sitediscussionaboutthisissue,invokethecollaborativeproblem-solvingprocess,andcreateateamcodeofconductabouttheresponsibilitiesofeachteamtothecompanyasawhole.Specificbehaviorswereidentified,andaprocessforfutureproblemresolutionwasagreedto.Whentheretreatwasover,itwascleartothechangeteamthatshiftingloyaltyfromtheworkgrouptothecompanyasawholewasafundamentalstepinthejourneytothenewculture.

Step3:DelegatingManagementResponsibilities

Bytheendofthefirstyear,thecollaborativeprocesshadmovedintofullswingasteamstookontheirfunctionalresponsibilitieswithsomeease.Theboundaryissuesbetweenteamshadbeenworkedoutandtheirintegrityissuesresolved.TheSydexchangeteamfeltitwasreadytobeginthenextpartoftheimplementation

process:thedelegationofroutinemanagementresponsibilitiestotheteams.Itwasclearthatnooneknewbetterwhattheirspecificpersonnelandbudgetaryrequirementswerethantheteamsthemselves.Similarly,theboardbegantoseetheteamsasacriticalresourceinplanningthegrowthofthebusinessforthenextyear.Atonemeeting,twomembersofthechangeteamsuddenlycametothesamerealization:Iftheydelegatedtheseresponsibilitiestotheteams,theythemselveswouldbefreeduptofocusonkeystrategicissues.

HerewasamajorpayoffforhavingmovedtoaCollaborativeWorkplace.Becausethechangeteamnowhadahighdegreeoftrustandconfidenceinthealignmentandaccountabilityoftheteams,therewasnolongeraneedtocontrolormanagethem.Instead,itcouldgivethemmoretodo.Withacarefulanalysisofallthefunctionsthatmanagementhadretainedintheoldwayofworking,itidentifiedfully75percentthatcouldnowbedelegatedtotheteamsataratecommensuratewiththeircapacityandreadiness.Theteamswereexcited,andthetransferwentoffwithoutahitch.Sydexhadreachedcriticalmassandwasonitswaytoself-sufficiency.

Phase5:Self-SufficiencyandRenewal

Likemostaspectsofthisprocess,theideaofself-sufficiencymeansdifferentthingstodifferentpeople.Tosomeitmaymeanthattheycanhandleanychangeissuethatcomestheirway.Toothersitmaymeanthattheyhavedevelopedawholenewlevelofprocessskillandconfidence.Tostillothersitmaymeanthatthereisnomoreneedforachangeteamtoguidethemthroughtheprocess.Self-sufficiencymayevenmeanthatleadershipknowsenoughabouttheprocesstoknowwhentoaskforhelp.

Therereallyisnoonerightanswer.Itevolvesbasedoneachorganizationsneedsandexperiences.ButbecausetheCollaborative

Workplaceisnotaprojectoraprogrambutawayoflife,self-sufficiencydoesmeanthattheorganizationhasdevelopedafairlyhighlevelofinternalcapacitytomanagethecontinueddevelopment,learning,andmaturationofthatworkplace.Itmeansitknowshowtomanagetheintegrityofthetransition,howtointe-

gratewhatithaslearnedaboutitselfintoagrowthprocess,andwhentobegintheprocessofrenewal.

Tobeabletorenewitself,theself-sufficientorganizationmustbepreparedtogiveupthestructuresandprocessesithasdevelopedoveraperiodoftwotothreeyearsandstartoveragainwithablanksheet.Ultimately,organizationalself-sufficiencymeansmaturityandtherecognitionthatnothingisconstantexceptprinciplesandcorevalues.

AsSydexreachedthisphaseofthecompany'stransformation,itenteredafive-stepprocess.

Step1:CreatingaNewLeadershipTeam

Rotatingleadershipisessentialifacompanyistomaintainalevelofobjectivityinthisprocess.Peoplegetstuckovertime,begintobelievetheirassumptionsaboutwhatworksbest,andgetemotionallyandpsychologicallyinvestedinholdingontowhattheyhavecreated.Rotationmustbeaclear,up-frontexpectationforallmembersoftheteam.Itnotonlyreflectsacommitmenttothepsychologicalhealthoftheorganization,butopensupacareerdevelopmentopportunityformemberswhohaveexcelledassituationalleaders.

Step2:MeasuringtheCompany'sProgress

Duringtheassessmentphase,thechangeteamhaddevelopedacomprehensivesetofmeasurestobenchmarktheorganization.Nowthatitwasmorethanayeardowntheroad,itwastimetomeasureprogress.Thistime,however,everyteaminthecompanywasgivensignificantresponsibilityforgeneratingandanalyzingthedata.TheWorkplaceCultureIndexwasusedagaintoassessprogresstowardacollaborativeworkenvironment.Eachoftheteamsgotbackitsresults,anddecisionsweremadeaboutwhatchangeswereneeded.

Step3:CompletingSelf-SufficiencySkillsDevelopment

ItwasnowtimeforSydextocompleteitsinitialcycleofchange.Thechangeteamhadidentifiedabout20percentoftheworkforce

thatitwantedtodevelopasacadreofskilledchangeagents.Thechangeteamprovidedthemwithanadditionalfourweeksofintensivecertificationtraining.TheycouldnowmanageSydexthroughthenextroundofbusinessplanningandorganizationalchange.Theseindividualsalsowentthroughalevelofself-studyandcompletedtheirpersonaljourneys.

Ineffect,Sydexhadcreateditsowninternalconsultingorganization.Theycoachedoneanother,providingmoralandprofessionalsupportforthemselvesandothers.Byinstitutionalizingthiscapability,Sydexwasnowtrulyself-sufficient.

Step4:CelebratingSuccesses

TheprimaryunitforcelebrationinaCollaborativeWorkplaceistheteam.AtSydex,thetraditionofcelebratingateamsuccessbecamegoingouttodinner.Themembersofoneteamtooktheirspousesonaweekendofgolfing.Otherteamswenttoathleticeventsortothebeachforpicnics.

Perhapsthemostdifficultformofcelebrationtheteamslearnedhowtodowasthatofacknowledgement,verballyrecognizingthecontributionsthateachmemberhadmadetothesuccessoftheenterprise.Theteamscommittedtolearninghowtodothisbecausetheyknewhowimportantitwastovalidatetheworthofanotherperson.Itwasanauthenticappreciationoftheskills,capabilities,andcontributionseachindividualgavetotheteameffort.Theylearnedthattheacknowledgementsprocesswouldgeteasierwithpracticeandthatitwasveryhelpfulinenhancingtheteam'sleveloftrust.

Step5:ReviewingandRenewing

Nothingisforever.Oneofthegreatestdangersanyorganizationfacesisbecomingstatic,self-satisfied,andarrogant,particularlywhenitissuccessful.Howmanycompanieshaveweseeninthelasttenyears

slipoffthecompetitivescreenbecausetheyforgottoadapttonewmarketconditions?Tocombatthismalaise,wemustfirstreviewwhereandwhoweare.Thenwehavetorenew.

Usingtheresultsofthemeasurementprocess,thenewSydexleadershipteamandarangeofmembersfromacrosstheorganiza-

tioncompletedanexhaustivereviewofmajorbusinessprocesses,therolesandresponsibilitiesofteams,theircustomers'newrequirements,andtheorganizationalstructureandsystems.Theyaskedthemselves:Aretheystillappropriateforwheretheyarenow?Shouldtheybeeliminated?Whatnewdirectionsshouldtheytake?Aretheystillaligned,andifso,howwell?Whatlessonshadtheylearnedfromtheirjourneysofar?Whatcouldtheydodifferentlytoincreasetheireffectivenessandefficiency?

Renewalmustbecomearegularevent,undertakenatleastonceeveryfewyears.Eachtimeonemuststartoverfromscratch.Therearenosacredcows.TheOperatingAgreementsmustberevisited.Asinthebeginningofthisprocess,anewchangeteamonceagainengagestheorganizationintheprocess.

Summary

AsIwatchmytwosonsgrowupintoyoungmen,Iamremindedofsomefundamentalpreceptsofearlychildhooddevelopmentandhowtheycertainlymustapplytoorganizations.Wecankeepourchildrenbehavinglikechildrenbynotlettingthemgrowup,bysuppressingtheirinnatecuriosity,theirneedtosay''no"toestablishtheiridentity,andtheirdesiretolearn.Wecancertainlycontroltheirenvironmenttomakesurethattheynevergethurt.Buttheneteffectisthattheywillneverreallydeveloptheirownsenseofthemselvesandtheabilitytohandlethecurveballsthatlifewillthrowatthem.

Theprocessoftransformingacommand-and-controlenvironmentintoaCollaborativeWorkplaceissimilar.Wearegivingbirthtoanewbeingthatwillhaveanidentityofitsown.Itwillhavetosay"no"atvariouspointsinordertoestablishitswillingnesstosay"yes."Itwillmakemanymistakesasittriestodiscoverwhoandwhatitreallyis.Andasitlearnshowtotakecareofitself,tobeself-sufficient,itwill

beavoraciouslearnerofnewskills.

Thechallengetoday'sleadershipfacesistoalloworganizationstomakethejourney,togrowup,todiscovertheirnewselves.Wecanbetheirguidesandprovidenurturing,amoralandethicalfoundation,andasafeplacetocallhome.Wecansetboundariessotheywon'tgethurt.Wecanprovideanenvironmentinwhich

theycanquestion,learn,andgrow.Wecertainlywanttoencouragethemtorespectthemselvesandothers,tohaveintegrityandbehonorableinallendeavors,tobetrustworthy,takefullresponsibilityfortheirownsuccess,serveothers,andbeaccountablefortheirbehaviorsandactions.

Inthisway,weareabletohealthepastbycreatingthefoundationforthefuture.

9ManagingtheTransitionAlllifeisanexperiment.Themoreexperimentsyoumake,thebetter.RalphWaldoEmerson

TorealizethefullvalueofcreatingaCollaborativeWorkplace,wemustrememberthatcollaborationisawayoflife.Collaborationisaprinciplefortransforminganorganizationinawaythatshiftsnotonlyitsfoundationbutalsoitsapproachtostrategy,customers,itspeople,workprocesses,andsystems.

ToensuretheintegrityofthetransitiontoafullyoperationalCollaborativeWorkplace,everyaspectoftheorganizationmustworkinawaythatiscongruentwiththenewvaluesystem.If,forexample,thecompensationsystemstillrewardsindividualbehaviorwheneveryoneisworkinginteams,therewillbeadisconnect,orbreak,intheintegrityoftheorganization'sdirectionandoperationswithimplicationsfortheperformanceofthebusiness.Inthetransitionprocesstothenewworkculture,itisimperativethatthesedisconnectsbeminimizedtoensuresuccessandlong-termvalue.

Thischapterfocusesonwhatneedstobedonetomanagethetransitionprocessinsuchawaythatdisconnectsareminimizedandintegrityispreserved.Thischapterconsidersarangeofspecificimplementationissuesthatcanariseinmanagingthetransitionandexploresthetypesofinterventionsthatchange-processmanagerscanuseineachoffourareas:theleadershipmind-set;businessandcustomer;workforcerelationshipsandprocesses;andorganizationalsystems.

BuildingOrganizationalIntegrityforLong-TermValue

CreatingaCollaborativeWorkplaceislikeacourtship.Themanagementofthetransitionprocess,however,islikeworkingatamarriageithaspermanenceandittakesalotofwork.Takingitforgrantedorbreachingtheintegrityoftherelationshipcanresultindivorceorseriousdysfunction.Aswebegintomanagethisneworganizationthroughtheearlyyearsoftransitioningtoanewworkculture,wemustcarefullyexamineeachaspectofitsoperationsandensurethattheysquarewiththecorevaluesofcollaboration.Therealpayoffforgoingthroughthetransformationprocesswillbefoundintheefficienciesthatresultwhentheentireorganizationisalignedwiththenewvaluesystem.

ProspectingforDisconnects

TandolCorporationsmarketingliteraturemadesignificantcommitmentstoitsprospectivecustomers.Tandolwouldfarexceedothercompaniesasavaluedbusinesspartnerbyassigningateamofexpertstoeachnewcustomerfromthedateoffirstorder.Inreality,thisneverhappened.Onlyonepersonwasdedicatedtoeachcustomer,andmostcustomershadtocallseveraltimestogettheirproductsserviced.ThenetresultwasthatbothTandol'scustomersatisfactionratingsanditsreputationinthemarketwereabysmal.

Adisconnecttakesplacewhenthereisasignificantornoticeablegapbetweenwhatacompanysaysitdoesorwilldoandwhatitactuallydoes.Figure9-1showsthatthereareatleastfourmajorareaswheredisconnectscananddooccur:

1.Leadership.Whenleadersdonotwalkthetalk,areoutoftouchwiththeworkforce,orquittheprocessinmidstream.

2.Businessandcustomers.Whenabusinessforgetsitscustomers,

focusesonshort-termresults,orresortstohierarchicalsolutions.Evidenceofdisconnectsinthisareaincludeslowerprofits,higherdissatisfactionamongcustomers,andnegativereputationratings.

Figure9-1.Managingdisconnectsforintegrity.

FOCUS TRANSITIONISSUES

INTERVENTIONS

LEADERSHIP

WalkingtheTalkOperatingAgreementsThird-partycoachingGetnewleadership

ExhibitingNewBehavior

OperatingAgreementsThird-partycoachingTeamcoaching360°feedback

CommittingtoSuccess

Individualchoice.Commitmenttosucceedachoice

BUSINESSANDCUSTOMER

RememberingtheCustomer

Instillcustomermind-set(banners,notices,reminders)MeasurementsystemCustomer"HitSquad"Full-valuecontractingRealisticexpectations

FrustrationWithSlowBuy-In

Dual-trackoperationsVisiblesuccessesPutthehierarchytorestRoadmapforchangeChartprogress

WhatDoWeDoWiththeHierarchy?

EveryoneonateamBasicskillstrainingRedesignappraisal/compensationsystemMeasureeffectiveness

Celebratemilestones

WORKFORCERELATIONSHIPSANDPROCESSES

I'mfromMissouri"DoingrealworkBuildingtoleranceforambiguityDevelopingnewskills

SeniormanagementwalksthetalkDefinethenewcovenantRedefinetheworkcultureRealworkinrealtimebyrealteamsCreatecollaborativeteamsOperatingAgreementsEstablishmilestonesImplementnewrolesandresponsibilitiesIdentifyskillsneededProvidecollaborativeskillstraining

ORGANIZATIONSYSTEMS

BecomingFocusedontheInternalCustomer

CustomerengagementprocessMeettheimmediatecustomers'needsFull-valuecontracts

MovingFromControltoContribution

Mind-setandbehavioralchangeNewworkprocessesEvaluateandrealignsystems

RealigningOrganizationSystems

NosacredcowsOpenupdiscussionRealignallsystems

Cross-functionalteamassessmentValuesreviewDelegatemanagement

Creatingahealingculture

responsibilitiestoteams360°feedbackResults-basedperformanceIntegratedskills-developmentprocessCustomer-driveninformationsystemsSimplifyprojectmanagementsystemsMakeallsystemsuser-friendlyandaccessible

3.Workforcerelationshipsandprocesses.Whentheworkforceissoalienatedbytheprogram-of-the-monthapproachtochangeandsoinsecureabouttheirjobsthattheyresentandresistanychange.Evidenceofdisconnectsinthisareaincludeslowerproductivity,higherlevelsofstressandabsenteeism,andincreasedcostsduetooverlappingbusinessprocesses.

4.Organizationalsystems.Whenourinternalsupportsystemsareoutofsyncwithourcorevalues,resultinginbattlesforcontrol,duplication,overlap,andinefficiency.

TheLeadershipMind-SetinTransition

TheexecutivecommitteeatTandolwaswellknownforitscommand-and-controlapproachtolife.EventhoughTandolhadinvestedheavilyinnewleadershiptechnologiesmostrecentlyinacollaborativeprototypetherewasstillastrongneedforcentralcontrol.Theexecutivesexpectedshort-termfinancialresultsfromthislatestprocess,butafterayear,theywerequitepreparedtorecommendtotheboardattheirnextmeetingthattheygobacktotheoldwayofdoingthings.Afterall,itproducedresultsanddidnotcostmuch.

TheTandolsituationisnotatalluncommon.Inmanycompanies,thepressuretotrythenewmanagementapproachesisdrivenbythebeliefthatsomethingdifferentmustbedoneifwearetobecompetitiveinthe21stcentury.Atthesametime,thecollaborativeprocessisaskingleadershiptotakeasignificantleapoffaithandgiveuptried-and-truemethodsformanagingpeopleandbusinessesforcompetitiveadvantage.Whyshouldthey?What'smore,whenthenewprocessesdonotproduceimmediatebottom-lineresults,whatshouldtheydo?

Thegreatesttransitionissuestheseleadersfaceaswemovetoamorecollaborativeapproachtobusinessaretheneedto:walkthetalkofthenewvalues;exhibitnewbehavior;andcommittosuccess.Allthese

issuesspeaktotheneedforabetterappreciationofwhattheywillindividuallyhavetodoifthereistobeintegrityinthetransition.

WalkingtheTalk

Nothingspeakslouderthanactions.Whenaseniorexecutiveofaservicecompanyregularlypermittedhisgeneralcounseltogoupanddownthehallsberatinghiscolleagues,thecommitmenttocollaborativebehaviorswasquestioned.Toregainintegrityinthiscircumstancerequiresseveralrelatedactions.ThemosteffectivepreventionistheOperatingAgreementsprocess,sincemutualrespectandaccountabilityarecentraltoitseffectiveimplementation.Ifthatdoesnotwork,theremaybeaneedforthird-partycoachingtogivefeedbackanddealwiththeexecutive'sreluctancetoconfrontthebehavior.Iftheresistanceisevenmoreprofound,theremayaneedtodetermineifitispossibleforthispersontomanagethetransitionprocessforintegrity.Usually,atthislevelofconsultation,realignmentoccurs.Ifitdoesnot,itmaybebesttowaituntilthereisnewleadership.

ExhibitingNewBehavior

"Well,ItriedtobeopentofeedbackbutthenGeorgesaidsomethingIfeltwasreallywrong.Whodoeshethinkheis?He'sonlyadirector.Doesn'theknowwhosignshispaycheck?"Thisisonetypeofreactiontochangeprocessesthatfocusonsuperficialbehavioralchangeratherthanfundamentalculturalrealignment.Thispersondidtakethetimetogototheworkshopsandtheweekendretreats.He"gotreligion"foramonth,thenallowedthepressuresofthebusinesstooverwhelmhimagain.

Reversiontooldbehaviorisoneofthemoreseriousthreatstotheintegrityofanycompany'sefforttobecomeaCollaborativeWorkplace.Itismucheasiertoblametheprocessortheprogramthantobewillingtoexploretheimpactsofone'sownbehaviorandconsiderchangingit.Thereareanumberofinterventionsthatcanbeusedtoproducesomelevelofintegrity,includingtheOperating

Agreementsprocessorthird-partycoachingfromsomeoneoutsidethemanagementgrouportheorganization.Teamcoachingcanalsobehelpfulbyprovidingtheexecutivewithgroupsupport;360-degreefeedbackisalsoawayofprovidingimpactinformation.Fundamentallyhowever,theindividualmustmakea

consciouschoicetobeginthejourneyandshifthisorherbehaviorforthegoodofthebusiness.

CommittingtoSuccess

Itisinterestingtoobservethoseoccasionswhenpeoplequiteventhoughtheyknowtheyshouldnot.Sometimespeoplequitwhentheybelievethey"must"changeorwhenthereistoomuchpressureonthemtochange.Resistanceisanaturalresponsetoanytypeofpressure,particularlyifyouhavealreadymademanychangesinordertogettothetopofthecorporatestructure.Peoplealsoquitwhentheyaretakenoutoftheircomfortzone.Thisassumesthatbusinessgrowthandchangeshouldbecomfortable.Theyaren't.Wecannotexpecttocompeteinanincreasinglycompetitivemarketbycontinuingtoholdontothestatusquo.Long-termsuccesswillnotcometothosewhojustworkharder;rather,itwillcometothosewhoconfronttheirworstfears,refusetoquit,andbreakthroughtheirownself-imposedlimitationstoachieveanewlevelofperformance.

Thefundamentalcommitmenttosucceedmustbethereandsomustthewillingnesstogiveupthepastandbechallengedbythefuture.Leadershipforintegrityrequiresalotofwork.Itisnotafunctiontobeperformedbysomeonewhoisretiredonthejoborlookingtocashoutinthecompany'snextearlyretirementoption.Todealwiththesedisconnects,itisimportantthatleadershipcommittofollowingthroughontheprocessandensuringitssuccess.

TheBusinessandCustomerFocus

Bydefinition,changeprocessestendtofocustheenergyoftheworkforceinternally.Thiscanhaveasignificantimpactoncustomersatisfactionandconfidenceinthecompany.Thefocusonbuildingvalueforthenewworkenvironmentcanalsoshiftenergyandattentionawayfromthecompletionofcurrentpriorities.Inaddition,

anxietyaboutwhatwilltaketheplaceofhierarchycanunderminetheshifttothecollaborativeteam-basedorganization.

Itisessentialtomanagethetransitiontothenewworkethiccarefully,keepingprioritiesclear,maintainingbalance,andnotdroppingtheballonexistingcommitments.

RememberingtheCustomer

Onepossibledisconnectduringthechangeprocessisthatwemayforgetthecustomeraswefocusourenergyonrealigningtheorganizationinternally.Evenifcustomersarewarnedaboutwhatishappeninginsidethecompany,wedonotwanttoshaketheirconfidenceinourabilitytocontinuedeliveringtop-qualityproductsandservices.Whateverhappensinthechangeprocess,wemustrememberthecustomeratalltimes.Itmaybeassimpleaskeepingtheissueinfrontoftheworkforceateverymeetingorpostingbanners,oritmayrequireamorein-depthprocessofbuildingameasurementsystemtotrackprogressonaweeklyormonthlybasis.

Throughouttheprocess,thequestionneedstobeasked:"Howwillthisaffectourcustomers?Howwillthisactionaffectourquality?"Inaworkenvironmentwhereeveryoneisacustomer,thesequestionsapplyequallytothoseinsidethecompany.A"hitsquad"canbecreatedtorespondtospecificcustomers'issuesastheyarise,andbegiventheauthoritytomakeinterventionstomaintaincustomersatisfaction.

Thecompanycanintegratethefull-valuecontractingprocessintothechangeeffort,asdiscussedinChapter5.Theentireorganizationcanbeengagedinestablishingqualitystandardsthatwillbeusedtomeasurethevalueofitsproductsandservicesanditsrelationshipswithcustomers.Thisprocesscanbetiedintoexistingtotalqualityworkortothestrategicalignmentprocess.

FrustrationWithSlowBuy-In

Timeisoftheessenceinanychangeprocess.Thecollaborative

approach,however,requiresahighlevelofbuy-infromacrosstheorganizationatthesametimethatitrequiresurgentaction.Adisconnectcanoccurifmanagementgetssofrustratedwiththeslow

paceofbuy-inthatitmovesforwardwithoutit,oriftheprocessisnotfullyimplemented.Oneconclusiontheworkforcemaydrawfromthisisthattheresultsarepredetermined.Atsuchapoint,thecredibilityoftheeffortcanbedamaged.

Toaddressthisdilemma,thedynamicsofthebuy-inprocessmustbeclearlyunderstood.Setrealisticexpectationsforallaspectsofthechange,includingthestrategicredirectionofthebusiness.Forexample,achievingworkforcebuy-intoastrategicredirectioninanorganizationof1,000peoplemaytakesixtotwelvemonths.Keepthebusinessmovingforwardusingthemultiple-trackprocessdiscussedearlier.

Athirdwaytorespondtothetimeissueistoagreeonwhatearlyvisiblesuccesseswillbedeliveredina60-to90-daytimeframe.Inonefinancialservicescompanywherethisapproachwasused,atargetof$40millioninvestedin90dayswasestablishedatthebeginningoftheprocess.Notonlydidthegoalbringeveryonetogetheraroundacommonbusinesspurpose,buttheyexceededthegoalby250percent,establishingaplatformforcredibilitythatcarriedthemwellalongtowardtheirsecondfinancialgoal.

WhatDoWeDoWiththeHierarchy?

Somecompaniesfindthemselvesinaconflictbetweentheircommitmenttocollaborationandthetraditionalstructuresthathaveservedthemsowellalltheseyears.Adisconnectcanoccuriftheworkforcecomestobelievethatcollaborationisbeingusedmerelyasanothertechniquetoincreaseproductivityratherthanasthebasisforanewculturalframework.Communicatingusingsymbolsandpressreleasesisnotenough.Puttingthehierarchytorestmustbeavisibleandongoingprocess.

Thereneedstobeaspecificroadmapforthechangeprocessthatis

cleartoeveryone.Postitattheemployeeentrancestowork.Chartyourprogressonthatmap.Puteveryoneonateamearlyintheprocess.Getthembasicskillstraining.BegintomakevisiblechangesinthehumanresourcesfunctionbyredesigningtheperformanceappraisalandcompensationsystemstoreflectthevaluesoftheCollaborativeWorkplace.Measureyoureffectivenesseverysixmonths.Celebratetheaccomplishmentofyourmilestones.

Makethischangeprocessasrealandpracticalaspossibleforeveryone,inplaceswhereitisimportant.

WorkforceRelationshipsandProcesses

IncreatingaCollaborativeWorkplace,wearetransformingmind-sets,behaviors,andourapproachtoallaspectsofhowweleadandmanagetheworkplacefromcommand-and-controltocollaboration.Definingandimplementingthenewcovenanttakestimeandpatience.Itrequiresvigilanceinapplyingthemethodologyandacommitmenttolearnfromourmistakes.

Inthischangeprocess,disconnectsinworkrelationshipsandcommunicationsamongmanagementandtheworkforcecanoccurregularly.Withuncertaintyandskepticismcomeanxiety,tension,andstress.Thereisnoplacetohide.Weneedastrategytoaddressseveralfrequentdisconnectsinthisarena.

''I'mFromMissouri"

"AssumeI'mfromMissouri,theshow-mestate.YoushowmewhyIshouldbuyintothisapproach"Theworkforceisroutinelysubjectedtotheentirespectrumoftrainingandorganizationdevelopmentinterventionsdesignedtomakethembetterandmoreproductiveaspeople,workers,orprofessionals.Inmanyinstances,seniormanagementdoesnotparticipate.Asonevicepresidentsaidaboutaleadershipdevelopmentseminar,"Ourhopeisthatbyosmosiswewillgettheneededchangeinourculture.Weexpectittohappenifthereisacriticalmassthatcompletesthistraining."Therewasn'tanditdidn't.Infactthetrainingwascutinhalfbecausetheintendedimplementationvaluewasnotbeingrealized.

Considerableskepticismcanresultwhenpeoplefeeltheyarebeingtreatedlikeguineapigs,especiallyiftopmanagementdoesnotitself

participate.Resistanceandresentmentgreeteachnewcomeronthesceneasmoreandmorepeopleendupinthe"Missouri"mind-set.InthecreationandmanagementoftheCollaborativeWorkplace,theburdenofproofisonmanagementtodemonstrateitscommitmenttotheprocess.Aswehavesaid,col-

laborationisawayoflife.Managerscaninvestthemselvesinbuildinganewtypeofworkingrelationshipwiththoseinthetrenches.Theycanbecomeinvolvedwiththeworkforceontheshopfloororinthecubiclestobuildandsustainvalueforthenewworkenvironment.

Similarly,itisvitalthattheworkforcebeactivelyengagedwithmanagementindefiningthenewcovenantthatwillarticulatethenewexpectationseachpartyhasoftheother,theirmutualresponsibilities,andthebenefitseachderivesfromthisnewrelationship.Inaddition,membersmustbeinvolvedintheprocessofredefiningtheworkculture,usingtheOperatingAgreementsprocessinworkteamsofallkindsastheprimaryvehiclefordoingso.Thisprocesswillallowthecollaborativeculturetoemergeacrosstheorganizationratherthanbeingimposedonitfromabove.

DoingRealWork

Anothersignificantdisconnectforemployeesoccurswhentheyhavesolittlevalueforthechangeprocessthattheyconsiderittobeseparateanddistinctfromtheirrealjobs.Atoneinformationsystemsorganizationthatexperiencedthe"Missouri"mind-set,itwasbelievedthatunlessyouwerekey-punchingcodesintothecomputer,youwerenotdoingrealwork.Attendanceatteammeetingswasconsideredawasteoftime,especiallyiftheyfocusedonteamgamesornonquantitativeprocessstuff.Peopleusuallyvaluewhattheyown.Givetheworkforceownershipofthechangeprocesssothattheycanrealizeitsvalue.Onewaytodothisistobuildcollaborativeteamsaroundrealbusinessissuesthatrequireasolutionwithinagiventimeframe.Realworkinrealtimebyrealteamsbuildsvalue.

BuildingToleranceforAmbiguity

Theregionalmanagerofthedistributioncenterwasoverheardonhisconferencecallwiththemainoffice:"AreyoutellingmeInolonger

havemytitleandthatIhavetwobosses,oneofwhomisacoach?"Mostofushaveaverydifficulttimewiththistransitiontoaflatworkenvironmentwhereweareallmoreorlessequal,

andwheretraditionalbosseswhooncetolduswhattodohavebeenturnedintocoacheswithunclearresponsibilities.Whotellsmewhattodo?Whodoesmyperformanceevaluation?

Thiscanseemlikeanambiguousworkenvironment,anditdoesn'tfeelgood.Thedisconnectsoccurwhenmembers"dialout"intermsoftheirenergylevelbecausethenewworkrelationshipshavenotbeensufficientlyclarified.Peoplewilltendnottocommittosomethingthattheydonotunderstandorthatthreatenstheireconomicsurvival.

Wecould,ofcourse,begintellingthemwhattodo.Ontheotherhand,wecouldengagetheminaprocessoftakingresponsibilityfortheirownfutures,theworkplace,andtheirjobs.Startthecollaborativeteamformationprocess.CreateOperatingAgreements.Establishmilestonesandcreateactionplanstoachievethem.

IntheCollaborativeWorkplace,everyonetakesfullresponsibilityforthesuccessoftheenterprise.Theonlyjobsecurityiswhattheteamcreatesforitselfbymeetingitscustomers'needswithsuperior-qualityproductsandservices.Therealityisthatwenowhavetooperateinanambiguousworkenvironment.Stabilityisgone.Cycletimecontinuestocollapse,andtimeexpectationsfromcustomersarebecominglessforgiving.Qualityexpectationsaregoingup,andcostpressuresmeanourjobscontinuetoberedefined.Whatwillremainconstantisthecollaborativeculturewecreateforourselves,becausevaluesandprinciplestendtoremainconstantovertime.

DevelopingNewSkills

Thechallengeofcreatingthenewworkplaceisoftengreaterthanwerealizeatthetimewecommittoit.Sometimesweaskourpeopletodothingstheydonothavetheskillstodo.Forexample,amanufacturingvicepresidenttoldhisdirectreportsthatinthenewself-directedworkenvironmenttheywerenolongersupervisorsbut

facilitators.Themanagersdidn'tknowhowtofacilitate.Theresultwasagroupoffrustratedmanagerswhodidn'tfeeluptothetaskandaworkforcethatwasconfusedabouttheirnewrelationshipwiththemanagers.

ItiscriticaltothesuccessoftheCollaborativeWorkplacethat

thepeopleentrustedwithitscreationandmanagementfeelconfidentintheirnewroles.Weneedtoclearlyidentifytheirrolesandresponsibilitiesandthenewskillstheywillrequiretobesuccessfulandthenprovidethemtheopportunitytogetthattraining.Leadersneedtoknowhowtobefacilitators,coaches,andcatalystsforchange.Theyneedtolearnhowtodesignandfacilitatemeetings,formandmanagecollaborativeteams,makestrategicinterventionstoresolveconflicts,manageproblem-solvingtechniques,andenablethechangeprocesstobesuccessful.Withaneffectivelevelofproficiencyintheseskills,theycanidentifybreaksintheintegrityofthechangeprocessandworktoensureitsoverallsuccess.

OrganizationSystems

Toensurethepermanenceofthecollaborativeworkethic,thesevaluesneedtobereflectedinalltheinternalorganizationsystemsandprocesses.Thehumanresource,finance,legal,administration,andinformationsystemsarefundamentaltotheday-to-dayoperationsofanybusiness.Itisinthesesystemsthattransformationalchangecanbethemostdifficult.Butwithoutafundamentalshiftintheiroperation,theentirechangeprocesscanbeundercut.

Forexample,inonecompany,thesalesforceorganizeditselfasacollaborativeteamanddevelopedaveryaggressivemarketingprogram.Havingdecidedthatincentivepaywouldgototheteamasawhole,nottoindividuals,theywantedittobedividedequallyamongthemembersonaquarterlybasis.Thefinanceofficeatheadquarters,however,hadatime-honoredtraditionofpayingonlyindividualsandhadaformulaforthelevelofpaytheywouldreceive.Whenthesalesteamproducedasaleslevel50percentabovetheoriginaltarget,itsmembersdidnotgetpaidinaccordancewiththesystemtheyhadagreedtointernally.Theresultwasamajordisconnectbetweenfinanceandsales,withrecriminationsandbadfeelingsbothways.

Saleswastryingoutthenewvaluesandthoughtitwasmakingthemrealbycreatingagroupincentive.Financethoughtitwasdoingitsjob,andbecauseithadbeengivennoinstructionstothecontrary,didnotunderstandwhyeveryonewassoupset.

Thistypeofdisconnectcanhappenmanytimesoverasthe

organizationimplementscollaborativevalues.Howshouldnewvaluesbereflectedinnewsystems?Whoisresponsibleformakingthechange?Whatimpactswillthesesystemschangeshaveontheeffectivenessoftheorganization?Herearesomepossibledisconnectsandsomewaystoresolvethem.

BecomingFocusedontheInternalCustomer

Inachemicalscompany;thecorporateinformationsystemsgroupwasknownforbeingveryinternallyfocusedworkingtorefinetheperfectsoftwareapplication,eventhoughthebusinessunitshadnotevenaskedforit.E-mailcommunicationsweretheprimaryvehiclesbywhichthishighlynetworkedorganizationfunctioned,butunfortunatelytherewerefourdifferentsystemstochoosefrom.Fundamentallytheorganization'sinformationnetworkswereincompatible,duplicative,andinaccessible.TheIShelpdeskseemedtoneverbeavailablewhenitwasneeded.Allacrossthecompany;professionalsbeganacquiringtheirownPCs,buildingtheirownapplicationsfromoff-the-shelfsoftwarepackages,andbasicallywithdrawingtheirsupportfortheinformationsystemsgroup.ItwassmallwonderwhentwoyearslatertheISgroupwasdecentralizedintothebusinessunits.

Inmovingtoacollaborativeworkenvironment,acentral,drivingvalueisfocusingthebusinessonthecustomer.Thissamevalueappliesinternally.Organizationsystemsgroupscanincreasetheirshort-termvaluetothebusinessbyinitiatingtheirowncustomerengagementprocesswiththeirinternalpartners.Inthisprocesstheyopenuptheirpoliciesandprocedurestothescrutinyandconstructivecriticismoftheircustomers,askforimprovementsandenhancements,andidentifyspecificthingsthecustomerswanttogethandledinthenext90days.Thentheymeetthoseneedsandprovidethoseservices.Finally;theybeginbuildinglonger-termvaluebydevelopingfull-

valuecontractswiththosecustomers.

TheintegrityofthetransitiontoaCollaborativeWorkplacerequiresthatwebuildrelationshipandvalueratherthanerectbarrierstoeffectiveandefficientoperations.Ultimately;thevalueanysystemsgroupbringstothetableistheserviceitcanofferitscustomerssotheircustomerscanachievehighperformance.

MovingFromControltoContribution

Amajorroleformanyorganizationsystemsgroupsiscontrol:ofexpenditures,ofhiringandfiring,ofcompensationandbenefits,ofcontracting,procurement,andlegalactions.Controlcanbecomeamind-setofthepeoplewhohavebeentrainedtomaintainit.Organizationally,theyhavebeengroupedtogetherinsilosthat,inmanyinstances,havebecomeisolatedfromthemainstreamofthebusiness.Issuesofresponsivenessandaccountabilityareoftentheresult.

IftheseorganizationsaretobecomeeffectivepartnersintheCollaborativeWorkplace,theyneedtofocusmuchmoreonbuildingworkrelationshipsthatbringvaluetotheirinternalcustomers.Thismayrequireashiftinmind-setandbehavior.Itmayalsorequirenewworkprocessesandnewwaysofprovidingservices.Specifically,thechangeteamcanengagetheleadershipofthesystemsgroupsasaspecialprojectteamthatundertakesaspecificassessmentofworkrelationshipsandbusinessprocesseswitheachofthelineorganizations.Aboveall,thereneedstobearealignmentofsystemsorganizationsfromcontroltocontributionandservice.

RealigningOrganizationSystems

Oldhabitsdiehard,andoldvaluesystemsalmostneverdie.Theyareingrainedinourmindslikeicons,sacredcowsthatmayneverbetouched.Inonecompany,thepresidentialawardshadbecomeahollowshellthatoftenrewardedcompetitiveratherthanteambehavior.Incentiveandbonuspaywasgiventoindividuals.Effortstoreplacethissystemwithteam-basedawardswereresisted.Somemembersofteamsconcludedthattheirteamactivitieswouldhavetowaituntiltheycompletedtheworkessentialtogettingtheirbonuspay.Theresultwasthatseveralteamsdisbanded.

TheCollaborativeWorkplaceisopen,providingthefreedomtodeterminewhatprocesses,systems,orapproachesarestillneeded,basedonprinciple,onwhatisbestforthecustomer,andontheircongruencewiththecorevaluesofthecollaboration.Systemsmayberedesignedtosupporttheneedsofthecustomerandthenewculture.

CreatingaHealingCulture

Inorganizationsthatareexperiencingtheculturewars,healingisessential.Ithelpstocreateanenvironmentinwhichthesetypesofissuescanbeopenlydiscussed.Whatfollowsaresomesuggestionsthatindicatewhatacollaborativeorganizationcandotohelpcreateahealingculture.Ifyourorganizationhasalreadydonethesethings,thesuggestionsmayprovideaplatformforfurtherexpansion.

Cross-functionalteamscanreviewtheorganizationalsupportsystemstoensurethattheybringvaluetothecustomerandtheworkforce.Thiscollaborativevaluesreviewcanrecommendtheredesignofspecificfunctions,whichcanthenbestreamlinedandsimplified.Responsibilityfortheday-to-daymanagementofthesystemsfunctionscanbedelegatedtocollaborativeteams.Forexample,theteamscouldhireandtraintheirownmembers.

Inhumanresources,thepersonnelladderandperformancereviewprocessescanbereplacedwitha360-degreefeedbacksystem,results-basedperformanceawards,anddecentralizedresponsibilityforteam-basedreviews.Appraisalscanbebasedbothonindividualandonteamperformance.Careerandprofessionaldevelopmentcanbebasedontheneedsofthecustomer,andskillsdevelopmentcanbedirectlyrelatedtotheenhancementofcustomer-basedskills.

Informationsystemscanhaveanarchitecturedrivenbycustomerrequirements.Theinternalcommunicationssystemcanbecomemoreuser-friendly.Informationsystemsstaffcanhavetheirappraisalstiedtocustomersatisfaction.

Inthefinance,administration,andlegaldivisions,theprojectmanagementsystemcanbesimplifiedtofocusonmeetingcustomerrequirements.Budgetandfinancialreportingsystemscanbeputon-line,simplified,andmadeuser-friendly.

Summary

Aftertheprenuptialagreementshavebeensignedandthehoneymoonisover,thehardworkbeginsinmanagingthetransitiontoaCollaborativeWorkplace.Inthefirstyearorsoaftertheprocess

isinitiated,manyifnotallofthesedisconnectsarelikelytooccur.Therealquestionisnotwhentheywillappear,buthowtheorganizationwillmanagetheintegrityoftheprocesses,methods,andtoolswhentheydo.Thereisnosetgameplan.Thereisnopresetstrategy.TheleadershipprocessesinaCollaborativeWorkplace,however,mustalwayscomefromprinciple,fromthecorevaluesoftheCollaborativeWorkEthic,iftheyaretobesuccessful.

Thetemptationtolapseintooldbehaviorisenormous.Itisliketheritesofpassageforayoungmanwhomustfacedownhisenemiesandinnerfearsashesearchesforhissoulinthemanhealreadyis.ManagingtheevolutionoftheCollaborativeWorkplaceisverymuchlikethis.Thecorevaluesandbeliefsarealreadythereresidentinthepeoplewhoworkintheorganization.Butinmaturingtoapositionoffullresponsibilityfortheirfuture,theymustfacetheirfearstogether,lookintothemirrortoseewhatisthere,andbewillingtoperseverethroughthedifficulttimessothattheymayrealizetheirfullvalue,theirdignity,andtheirself-respect.

EpilogueAnycompanythathopestobecompetitiveinthe21stcenturymaywanttoconsidercreatingaCollaborativeWorkplace.Inthesetimesofinstabilityandchaos,itisnotonlythemostefficientformoforganizationforahighlynetworkedmarketplace,butalsothemosteffectivewaytoengagethemembersoftheworkforceandenablethemtobetheirmostproductiveselves.Evenmoreimportant,itbringsdignity,civility,andvalues-basedstabilitytotheworkplace.

Thepast,however,isnolongerprologue.Wecannotcreatethefuturebyreengineeringthepast.Toforgeanewpathintothe21stcentury,wemustnowseizetheopportunitytotranscendourcurrentwayofthinkingaboutleadingandmanagingbusinesses.Theintentionofthisbookhasbeentodefinethatpathway.

Itistimetostoplookingforthesilverbullettoresolvecomplexorganizationalissues.Itistimetomovebeyondthequickfix.Itistimetotrulytransformourorganizations,tofacetheparadoxhead-on,andtobringpeaceandhealingintotheworkplace.Itistimeforustoexerciseaconsciouschoice,andtoactfromourintegrityandwhatweknowisrightabouthowtotreatpeopleintheworkplace.

Let'sgotowork!

AppendixSampleOperatingAgreements

A.DecisionMaking:ConsensusConsensusmeansthatwewilltalkthroughthingsuntileveryonecansupportthedecision.Ifnot,wecan:

Postponethedecision.

Doadditionalfact-finding.

Getaverbalyesorno.

Putitonthenextagenda.

Consensusleadstoawin-win.

Teamneedstorecognizewhichdecisionstopostponeornotpostpone.

Teamreachesconsensusonwhethertodecideorpostpone.

Ifitcan'tbeputoff,keepdiscussinguntilwegetconsensus;therelationshipismoreimportantthanthedecision.

IfIdisagree,Iwillsharemyreasons.

Teamwillmakeanefforttoaddressthem.

IfIstillhaveareservation,Iwilllettheteamknow.

IfIdisagree,Iwilllistenandtrytobeopen.

Note:Theseareactualnotesfromameetingofateam'sOperatingAgreements,anddonotrepresentacompleteset.NotwosetsofAgreementsarethesame.Thesearenotintendedforactualusebyateam.

Beflexible.

Considerchanging.

Backoffidentifywhereweareinagreement.

Lookforalternatives.

Iwillbeopeninanysituation.

Whenadecisionisreached,Ifeelothershaverespectedmyopinion;IlikethewayIgottreated.

IfIdisagree,Iwillbeempatheticinmylisteningandlookfortherealissue.

Iwillbewillingtotakethetimetoaddresstherealissue.

B.ResponsibilityIwilltakeresponsibilitynottospeakupnow.

Wearewillingtotestthewaters,totakearisk.

Tobeheard,notignored.

Tonotfeelrepercussionslater.

Tonotbesteamrolled.

Thesemeetingsareourmeetings.

Iamresponsibleforthesuccessofthismeeting.

Ineedtobeawareofhowmybehaviorimpactsthemeeting.

WhenthereisgossiportriangulationinaconflictsituationandIamaskedtojoin,Ican:

Refusetoparticipate.

Policemyself.

Refertheindividual(s)backtotheteam.

Contacttheresource.

Questionforclarity.

C.IntentionalitySharedintentionforoneanother'ssuccess.

Wewillcreateasuccessfulcollaborativeenvironmentthatproducessuperiorresults.

D.AttendanceMandatoryunlessanemergencyfamilyormedical.

Scheduleinadvancetoensureallcanattend.

NotifycontactASAPaboutanemergency.

Cancancelmeeting.

Whenthereisanemergency,individualisbriefedbeforenextmeetingandatnextmeetinghasachancetocomment,upgrade.

Ifmorethanonepersonhasanemergency,contactwilldecidewhethertohavethemeetingornot.

E.''Safety""Safety"meanspsychologicalsafety.

Keepthegoodoftheteaminmind.

Noretributionhavefaiththerewillbenone.

Weareanchoredincommongoal.

Thosewithrankempowerothersandwalkthetalk.

Otherstaketheriskthat"rankers"meanit.

Wewilltakethetimetoworkthingsthrough;therelationshipcomesfirstevenwhenourplatesarefull.

Besensitivetootherswhenwantingtohelp.

AdheretotheOperatingAgreements.

Beself-observant.

Wewillnotholdeverydisagreementtobeabasisforpeerranking.

Focusontheissueandnotontheindividual.

Avoidbeingobnoxiousindisagreements.

Takejudiciousbreaks.

FunisOKaslongasitdoesn'thurtsomeoneelse.

Havefaiththathonestdisagreementsandparticipatingwillberewarded.

F.AccountabilityWewillprotecttheintegrityoftheprocess.Inaone-on-onesituation,wherethereisaproblem,Ican:

Hear,talk,andburyit.

Referthepersonbacktotheteam.

Referthepersontotheresource.

JointlydecidehowIwanttohandleit;teamversusfriend.

Individuallybeaccountabletotheteamformyactionsoutsidethemeeting.

CheckitoutifIthinksomeoneisviolatingtheOperatingAgreements.

ExplainmyactionstotheteamwhenIamconcernedabouthowtheymightbeconstrued.

Ifthereisanexception,bringittotheteamforagreement.

G.ConfidentialityMeetingmemoryisnotpassedaround;ifyoudon'twantsomethinginthememory;flagit.

Ourdocument;nocopies.

Referencedocumentsinconversations.

Listconfidentialitemsonlastpage.

H.CommunicationsSharewithpeoplewhereweareintheprocessActionPlan.

Agreeonthemessage.

Tolerateambiguity:

Bewillingtoinvesttimetodelveintoanareaorrevisitanareaordecisioneventhoughyoumaynotwantto.

Recognizethatthiswillhappen.

Recognizethatthisprocesstakestime;trusttheprocess.

Ourintent:

Nottomisleadpeoplenopassingaroundmeetingmemories(seeConfidentiality).

Nopassingoutofpartialinformationthatotherpeoplemayinterpretthemselves.

Nopresentingouropinionswhentheymaynotrepresentthoseoftheteam.

I.ForgivenessHavepatience.

Wewillcutoneanothersomeslack.

J.AmendmentItisOKtoamendtheOperatingAgreementsatanytimeinamannerconsistentwithourconsensusdecision-makingrule.

K.OpennessUsejudgmentonprocessingissues.

Sharedinterest.

Bewillingtotakerisksaboutissuesunderdiscussion:riskofbackfiring;riskoftoomanyalternatives.

BeopenunlessanOperatingAgreementtriggerssomething.

Encourageoneanothertobeopen.

Long-termintenttocreateanopenorcollaborativeenvironment.

L.OperationsOKtostandup,movearoundtheroom.

Alwaysbringcalendars.

E-mailcommunicationscopyoneanotheronanythingthatimpactstheteam.

Domemorieselectronicallyifatallpossible.

Wewillhaveacontacttohandleourmeetingsonathree-monthrotation.

SelectedReadingsBelasco,JamesA.TeachingtheElephanttoDance,TheManager'sGuidetoEmpoweringChange.NewYork:PenguinGroup,1991.

Bleeke,Joel,andDavidErnst,eds.CollaboratingtoCompete:UsingStrategicAlliancesandAcquisitionsintheGlobalMarketplace.NewYork:Wiley,1993.

Covey,Steven.TheSevenHabitsofHighlyEffectivePeople.NewYork:Simon&Schuster,1989.

DePree,Max.LeadershipIsanArt.NewYork:Doubleday,1989.

Drucker,PeterE.TheNewRealities.NewYork:Harper&Row,1989.

Jaffe,DennisT.,CynthiaD.Scott,andGlennR.Tobe.RekindlingCommitment.SanFrancisco:Jossey-Bass,1994.

Kanter,RosabethMoss,BarryA.Stein,andToddD.Jick.TheChallengeofOrganizationalChange.NewYork:TheFreePress,1992.

Kearns,DavidT.,andDavidA.Nadler,ProphetsintheDark.NewYork:HarperBusiness,1992.

Kilmann,RalphH.BeyondtheQuickFix.SanFrancisco:Jossey-Bass,1991.

Kochan,ThomasA.,andMichaelUseem.TransformingOrganizations.NewYork:OxfordUniversityPress,1992.

Nirenberg,John.TheLivingOrganization,TransformingTeamsIntoWorkplaceCommunities.Homewood,Ill.:BusinessOneIrwin,andSanDiego:Pfeiffer&Company,1993.

Peck,M.Scott.AWorldWaitingtoBeBorn:CivilityRediscovered.NewYork:BantamBooks,1993.

Rosen,RobertH.TheHealthyCompany,EightStrategiestoDevelopPeople,Productivity,andProfits.NewYork:JeremyTarcher/PeregeeBooks,1991.

Savage,CharlesM.Fifth-GenerationManagement.DigitalPress,1990.

Schein,EdgarH.OrganizationalCultureandLeadership.SanFrancisco:Jossey-Bass,1991.

Schrage,Michael,SharedMinds:TheNewTechnologiesofCollaboration.NewYork:RandomHouse,1990.

Senge,PeterM.TheFifthDiscipline.NewYork:Doubleday,1990.

Index

A

accountability,16,23,32-35,79,110

empowermentand,61

OperatingAgreementon,59-62,184-185

acknowledgment,ofcontributions,162

actionplan,85,104,118

administrativeaction,accountabilityas,34

administrativestaff,109

adversity,tolerancefor,65

alignment,4,31,155

alignmentdefined,89

inCollaborativeMethod,137-138,144

oforganizationsystem,178

ambiguity,tolerancefor,65,174-175

Americanbusiness,transformationof,1

assessment,oforganization,154-155

AssumptionofMany,71

AssumptionofOne,70

attendance,OperatingAgreement,47-48,184

authority,33

leadershipbasedon,70

autocrat,inculturewars,20

B

behavior

assessmentof,84-85

changeinCollaborativeMethod,134

incollaboration,79-82

ofseniormanagement,169-170

behavioralshifts,39,40

behavioraltransformation,74,76

benchmarks,85,95,154,161

startingpoints,154

blame,49

blanketamnesty,58

bottom-linedriver,inculturewars,22-23

bottom-linevalue,fororganizationculture,26

burningplatform,145

businessandcustomers,170-173

actionplanfor,104-106

businessstrategy,andteambreakdown,120

buy-in,speedof,171-172

C

"canlivewith"philosophy,44

careerladder,1,108

change,2

announcingprocessdetails,153

inbehavior,134

preparingfor,150-153

processfortransformingtheorganization,130

successin,25

workforceunderstandingabout,151

workplaceand,3

changeagent,leaderas,78

changeprocessleadershipteam,144,149

chaos,1-2

charter,forteams,66,116,117

circle,inCollaborativeMethod,134

closingprocess,forteams,122

clusterleaders,79

coaching,78,169

accountabilityas,34

OperatingAgreement,59

collaboration

assumptionsfor,24-27

benefitsof,7-8

corevaluesof,28-36

settingsfor,6-7

skillsdevelopment,118

whatitis,4-6

CollaborativeArrowtool,148

collaborativeculture,8

collaborativeleaders,58-59,137

becoming,82-86

corefunctionsof,77-78

rolesandresponsibilitiesof,76-78

CollaborativeMethod,127-139

applying,141-142

assumptions,134-135

commitmentto,147-150

defining,133

howitworks,135-138

implementationof,156-160

needandcommitmentin,142-150

preparingforchange,150-153

using,138-139

CollaborativeWorkplace,ix,141-164

creating,10,156-158

structure,8-9,112-114

comfortzones,77

command-and-control,16,20,37

commitment

toactionplan,109

buildingvaluefor,146-147

ofchangeteam,149

tocollaboration,82,147-150

CommunicationOperatingAgreement,50-51,185-186

competition

inculturewars,21-22

researchon,99

competitiveadvantage,2

compliance,30

compromise,vs.consensus,31,33

ConfidentialityOperatingAgreement,52,185

conflict,15,56,119

ConflictResolutionOperatingAgreement,54-57

congruence,80

consensus,4,31-32,43-44

vs.compromise,31,33

dissentwindowtoreach,46

OperatingAgreement,41,64,67

powerof,44-45

instrategicplanning,94

consensusleader,23-24

contactperson,forteam,77

continuousvaluebuilding,146

control

givingup,71-72

asmind-set,178

corevalues,4,81

analyzing,83

counseling,34

covenant

managementwithworkforce,67,106

inorganizationculture,38

Covey,Steven,30,52

crisiscycle,breaking,88-89

criticalmass,151-152,160

criticalsuccessfactors,64-66,102,116

cross-functionalteams,77,179

crossovermembership,inteams,48

culture

changing,2

andtrust,67

culture-firstmind-set,73-74

culturewars,15,16-18

competingvaluesin,18-24

current-stateanalysis,148,154

customeralignment,137

customers

disconnectsin,166,167

focuson,3

relationships,90,135

treatmentbyteam,155-156

seealsobusinessandcustomers

D

decisionmaking

frameworkfor,5

informationfor,50

OperatingAgreement,42-47,182-183

seealsoconsensus

democrat,inculturewars,20-21

denial,145

desiredstatevision,148-149

disagreement,45-46

disconnects

minimizing,165

inorganizationsystem,176

prospectingfor,166-168

dissent,63

dissentwindow,toreachconsensus,46

documents,forteams,123

E

E-mail,51

empowerment,16,61

lossof,70

entrepreneurs,18-19

equipment,109

expectations,64,151-153

andbuy-inprocess,172

expendableassets,workforcemembersas,25

externalanalysis,98-99

externalcommunication,51

F

facilitatedapproachtoorganizationalchange,132-133

facilitators,66

leadersas,78,175-176

fear,33,57-58

environmentfreefrom,35

feedback,84,85

finance,focusoncustomer,108

finances,andactionplan,109

financialperformance,105

flexibility,inOperatingAgreements,62

focus

oninternalcustomer,177

long-term,vs.short-term,88

ofworkforce,80

forecasts,101

FullResponsibilityOperatingAgreement,49-50,183

full-valuecontract,90

function,ofteam,114-115

functionalteams,77

G

goals,60,101

gossip,57

governanceprocess,39

groundrules,41

groupdynamics,119-120

groupware,51

growth,35-36

plan,100-103

H

healer,leaderas,78

healingculture,179

heatseekers,147

hiddenagendas,39,155

hiddenproductivity,129-130,131

hiddenworkplaceculture,128-129

hierarchy,1,33,172

collaborationtoreplace,4

collapseof,15

honesty,37,48,53-54

honor,29-30,53-54

humancondition,vii-viii

humanresources,108

I

"increasethestakes"strategy,147

individualist,inculturewars,18-19

influencemanagementapproachtoorganizationalchange,130,132

information,fordecisionmaking,50

informationsystems,108

integrity,4,29-30,65-66,82

andaccountability,33,34

ofcompetitors,22

inorganization,166

ofseniormanagement,26

oftransition,158-159

IntentionOperatingAgreement,48,183

internalanalysis,99-100

internalcustomers,177

interpersonalconflicts,16

J

Japan,29

jobsecurity,107,175

just-in-timeengagement,158

L

leaders

cluster,79

andworkers'psychologicalownership,30

seealsocollaborativeleaders

leadership,3,8,68-86

alignment,137


leadershipmind-set

shifting,69-76

transitionfor,168-170

leadershipteam,141

creatingnew,161

learning,35

creatingenvironmentfor,58

legalstaff,109

life-changingexperiences,impactof,76

ListeningandFeedbackOperating

Agreement,52-53

long-termfocus,88,91

long-termproductivity,vs.short-term,23

loyalty

toactionplan,109

toteamorcompany,159

M

majorityrule,43

management

inCollaborativeMethod,137

delegatingresponsibilities,159-160

manager,leaderas,78

marketeconomies,vii-viii

marketing,105

marketniche,91,105

marketplace,accountabilityin,60

marketresearch,98

measures,80,110

ofcompanyprogress,161

ingrowthplan,103

forteams,118,121

memos,51

mind-set

controlas,178

culture-first,73-74

shiftin,69,75

structure-first,72-74

transitioninleadership,168-170

mission,84,97-100

mistakes

acceptanceof,35

responsibilityfor,49

momentum,80

mysteryhouse,50

N

naturalworkgroups,77

newproductdevelopment,106

O

OperatingAgreements,38,39,116,169,182-186

Accountability,59-62,184-185

Amendments/Renewal,62,186

Attendance,47-48,184

forchangeteam,150

Coaching,59

Communication,50-51,185-186

Confidentiality,52,185

ConflictResolution,54-57

core,41-42

DecisionMaking,42-47,182-183

definitionof,40-41

FullResponsibility,49-50,183

infull-valuecontracts,90

HonestyandHonor,53-54

IntentionandPurpose,48-49,183

ListeningandFeedback,52-53

ProblemSolving,54

processfor,62-67

recommendationsforcreating,66-67

Risk/Forgiveness,57-58,186

forsafety,184

TeamOperations/Roles,58-59

operationaldecisions,45

operationalteams,114

organizationalassessment,154-155

organizationalculture,covenantin,38

organizationalstructure,105-106

organizationalsystems,176-179

actionplanfor,107-109


organizationsystemsowners,30

ownership,4,30-31

demandsfor,17

stakeholders,91

seealsopsychologicalownership

P

peopleandwork,actionplanfor,106-107

performanceappraisal,157,179

personaljourney,74

philosophyofleadership,84

positioningcompany,101

precipitatingevent,145

privacy,forteams,52

problemdefinition,54

problemmembers,120

ProblemSolvingOperatingAgreement,54

processconsciousness,54

processowners,30

productivity,73,87,109,142

inculture-firstmind-set,73-74

hidden,129-130,131

short-term,vs.long-term,23

products,105

progress,measuring,161

projectteams,77

psychologicalownership,25,30

publicrelations,51

purpose,seeIntentionandPurposeOperatingAgreement

R

rankingsystem,108

reality,perceptionof,25-26

realwork,vs.changeprocess,174

recognition,35-36

relationships,5

inCollaborativeMethod,138

directdealingsin,57

renewal,157,160-163

OperatingAgreement,72

reputation,inCollaborativeMethod,138

research,106

resisters,147

respect,4,29,37

consensusand,23

responsibility,viii,32-35

OperatingAgreement,49-50,183

forsuccess,175

ofteammembers,115-116

review,162-163

risk,35,80

Risk/ForgivenessOperatingAgreement,57-58,186

Robert'sRulesofOrder,43

roles,ofteammembers,115-116

root-causeanalysis,147

rotatingleadership,161

ruggedindividualist,inculturewars,18

rules,makingexplicit,39

S

safety,OperatingAgreement,184

safetynetfordisagreements,47

secrecy,158

self-esteem,4,29,81

self-renewal,36,121-122

self-sufficiency,157,160-163

skillsdevelopment,161-162

ofteams,121-122

seniormanagement,7,169

attitudes,37

integrityof,26

participationintraining,173

sharedresponsibility,33

short-termfocus,vs.long-term,88

short-termproductivity,vs.long-term,23

silence,andconsensus,47

skills

assessing,83-84,107

competencies,109

developing,157,175-176

skillsenhancement,forteam,121

smokescreens,46-47

socialrevolution,vii

sponsor

leaderas,77-78

andteamfunction,115

stakeholders,100,110,146

analysis,104

ownershipby,91

strategic,defined,89

strategicalignment,80,137,141

StrategicAlignmentMethod,60,87-111

benefitsof,90-91

implementation,103-110

ownershipandalignment,91-103

strategicalliances,105

strategicdecisions,45

strategicleadershipteam,77,113

strategicvision,8

strategies,developing,102

stretchresults,101

structuralchange,2

structure-firstapproachtoorganizationalchange,130

structure-firstmind-set,72

success

achievingearly,104,153

celebrating,162

commitmentto,170

identifyingbarriersto,102

responsibilityfor,175

sunsetting,122

"supermajority"rule,44

suppliers,106

T

tacticaldecisions,45

tacticalteams,114

task,ofteam,114-115

taskdefinition,forchangeteam,150-151

teamgridlock,48

TeamOperations/RolesOperatingAgreement,58-59

teamplayer,inculturewars,19-20

teamprocesses,8

teams,112-124

accountabilityof,61

actionplanfor,118

avoidingbreakdownsin,119

forchangeprocessleadership,144

charterfor,66,116,117

clarifyingmemberroles,115-116

closingprocess,122

contactpersonfor,77

creating,114-118

criticalsuccessfactorsfor,116

documentsfor,123

formationprocess,106,150-151

leadershipfunction,needfor,77

managementprocess,118-121

meetingattendance,174

members'responsibilityforsuccess,60