Leading Change: How Focus Creates Sustainable Change

Photo: Giovanna Faustini/Flickr (Creative Commons)

Photo: Giovanna Faustini/Flickr (Creative Commons)

You hear and read about it everywhere: if you want to create successful and sustained change in your company, it is important to be focused and to transfer that focus to your people and teams. In the turbulence of the daily business reality where situations change rapidly, in which you are easily swamped by different and changing demands, objectives, and challenges, it is not easy to create focus. Leaders who are able to create and maintain a good and shared focus are far more successful than those who aren’t! But what is a good focus?

There is a lot of misinterpretation about what ‘being focused’ actually means:

Focus is not about accomplishing your tasks; it is about accomplishing your vision!

A few weeks back I was asked by a CEO to facilitate his executive team meeting. He explained to me what he believed was the main challenge for his organization: “We have been very successful the past decades as a company especially because we knew our strong points. Our whole way of working was aimed at maximizing our strong points without letting ourselves be distracted by other stuff. By doing this we created two kinds of people: the ‘managers’ who managed our products; and the ‘sales entrepreneurs’ who managed our customers. Now we are faced with a changing market, and we are not capable of responding quickly enough to these changes. Our managers and sales entrepreneurs are both screaming for more focus from the top. But they actually mean: ‘do not disturb us with your change initiatives and let us focus on what we’re good at: making our products and selling these to our customers’. Apparently they do not see that this kind of focus is no longer helping us forward at all. In fact, we need to change our focus, instead of sticking to what we always did. And for this we do not only need management and entrepreneurship, but also leadership. Not only in the top, but on all levels in the organization. Leaders who are able to create a shared focus on a new way forward; who are able to align their people around this new focus; who are people, team, collaboration oriented, as much as product, efficiency, customer oriented.” 

The story of this CEO shows his interpretation of the required focus: the pressure to change and adapt demands a new focus. It demands a new focus based on looking forward, on knowing what we want to create together, on why this is important, and on the benefits we see. Focusing on the things we want to change, to create the company we want to become.

And yet, quite often when confronted with the need for change we see leaders proclaiming a focus, which is far removed from the focus described above. They describe a focus that is task oriented, short term oriented, focused on strengthening what we do today. Often a focus with a strong cost saving orientation, and less orientation on creating new value. A focus that is rather risk averse, not exploring possibilities for learning and growth.

In some business situations creating a focus aimed at ‘keeping and strengthening what we have got’ can be justified. However, most situations require leaders who create a different focus, one that aimes at creating successful and sustainable change.

Not easy! Most people seem to be able to live with a company focus that is keeping them inside known territory. If for instance we need to do more of the same in less time, raise the quality level of our product or service, or produce at lower cost; we seem to be able to deal with this. People will maybe not like the pressure that this company focus is putting on them, but they will go along with it. Up to the level that all energy and ideas are used and nothing is left. At that moment people reach the limit of what they believe is possible, feel numb and start acting unmotivated and uninspired. At that moment the company probably realizes that it needs to change more fundamentally, and that it will take substantial energy to do that. Energy that most people don’t have anymore at that moment!

Successful leaders create organizations that focus differently. In their organizations the focus is always aimed at the future, at how we see our desired future, at what we need to do differently to get there, at what we collectively gain when reaching it. At first they will encounter resistance and hesitation within the organization. Not so strange, because people are asked to get outside their comfort zones. The desired future is new and there is maybe uncertainty and a lack of confidence, so people will not easily follow. Nevertheless, successful leaders succeed in aligning their people around this focus. And by doing that they create energy instead of draining it! How do they do this? What specific traits do these leaders show? I observe the following recurring traits:

·       Their focus is aimed at the longer term, not short term

They have a longer term focus based on their vision of their company’s desired future. They link the company focus to this desired future. They share their vision actively and discuss it openly with the organization. They do not lose energy in focusing on short-term temporary improvements; they focus on creating sustainable results.

·       Their focus reveals a high level of personal alignment

They know their own qualities and weak points very well, as well as what they stand for. They act based on clear personal values and include these in their vision. Because of their high level of personal alignment, they explore different opinions with an open mind and feel no need to focus on themselves.  Their focus is always on creating the best company results, in line with these key values. Read more about Personal Alignment here.

·       Their focus arouses an eagerness among people

They pay special attention to the process of building a shared focus throughout the organization. For them focus is not just setting out tasks and actions. It is about creating a shared energy that drives us towards a common end result. They invite people to take part in defining the focus that is needed to create the desired future, and this builds motivation and commitment. 

·       Their focus is releasing smart energy

They are only interested in decisions and actions that will bring us closer to our destination. Even more, they are continuously challenging people to focus on the levers for change that will boost us forward, and not to focus on trivial things. They are allergic to ‘jumping to conclusions’ without knowing how it will bring us closer to our goal. But they are also allergic to procrastination and risk aversion when the way forward is to ‘experiment – learn – adjust’.

·       They are persistent in their focus 

They stick to the focus, even if results are not forthcoming at first sight. They show confidence and stay focused. This does not mean they will never change course, and will always rigidly keep following the initial plan. When they see that the vision will not be reached by maintaining the current focus, they are the first to shift focus. But as long as the focus is directing us towards the vision, they will keep this focus.

“The hardest thing when you think about focusing. You think focusing is about saying ‘Yes’. No. Focusing is about saying ‘No’.” – Steve Jobs

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Aad is an international leadership advisor, change leader, senior leadership team facilitator, executive coach, and frequently asked keynote speaker. He is founder and managing partner at HRS Business Transformation Services where he works with executives and leadership teams internationally on three key topics: ‘leading complex change’, ‘cross-cultural leadership’, and ‘post-merger integration’. Find out more about Aad and HRS’ services. If you would like to invite Aad to your organization feel free to contact him here.

 

Posted in Change Management, Leadership Skills, Leading Change, Vision | Tagged , , , , , , , , | 1 Comment

The People Alignment Compass – Part 3

How People Perceive Authority Across Cultures

A leaders’ guide to mastering the Essence of People Alignment in today’s business reality.

 Compass

Welcome!  The People Alignment Compass (PAC) is a new initiative on Leadershipwatch. It gives business leaders concrete tips and insights on how to increase their company’s success by creating a culture of alignment. The checklists are hands-on and based on real life situations that we encountered over the many years we have been working with leaders in a variety of organizations and within a range of different cultures. If there is one fundamental insight that we take out of these years it is the ever-increasing importance for leaders to be able to create people alignment in today’s rapidly changing world.  Not just aligning structures, procedures or systems, but people!
Successful leaders create organizations where people choose to collaborate when confronted with complex challenges and change. Where people create strength out of diversity and cultural differences. Where people act out of a common focus and sense of direction, and ‘own’ decisions reached as if they were their own.
Innovative thinking. Cross-cultural effectiveness. Sound and fast decision-taking. Successful execution. All these increasingly depend on your ability to lead and align the people in your teams.  The People Alignment Compass helps you to detect potential weak spots in people alignment and points you at possible ways to strengthen it.  Each episode addresses a different situation and provides key questions to guide you as you develop your own people alignment sensors.  I wish you an inspiring journey!

How good is your cross-cultural compass?

For centuries the compass, invented in China, served as an indispensable navigation tool for seafarers steering their ships to unknown destinations. When admiral Zheng He, the formidable Chinese eunuch sailor, left Nanjing with 300 giant vessels and a combined crew of 28,000 in 1405, he carried a magnetic compass in his pocket. In a series of six epic voyages, Zheng He sailed via Thailand, Sumatra, Java, and Ceylon all the way to Africa’s eastern shores – an achievement comparable with, in Niall Ferguson’s words, ‘landing an American astronaut on the moon in 1969.’ (Niall Ferguson, The west and the rest, 2011, p. 32). Chistopher Columbus, who left Spanish Cadiz 87 years (1492) after Zheng He left the east, steered his comparably tiny ships (3) and crew (90) across the Atlantic aided by the stars, and a magnetic compass.

While in today’s mapped out world the physical location of continents and countries carries few surprises, finding your way in the midst of the cultural preferences and habits of people raised in different parts of the globe can be more challenging. Particularly when the successful functioning of your team depends on it. In a globalized world where you increasingly find yourself cooperating with people from different company entities (cross-sector) and nationalities (cross-culture), cultural misunderstandings can lead to unforeseen setbacks in the strategies that you set out to implement.

Situation – How to be aware of your authority across cultures

Consider these ‘West meets East’ pictograms developed by a Chinese designer who spent much time working in Germany. At the risk of oversimplifying (every European knows that the northern European countries are quite different from the south, just like every Chinese knows that northern and southern China are hardly the same):  do these pictograms ring true to you? If you lead cross-cultural teams: are you aware that such culturally determined differences, how people from different cultures manage time for instance (see earlier post on this topic), and how they view you as a boss, profoundly affects the functioning of your team, and your role in it?

The ‘boss’ pictogram made me think of Carlos Gosh, the French-Brazilian CEO of the Renault-Nissan Alliance.  Asked about his experiences managing Japanese team, he quipped:  ‘Being a CEO in a Japanese company is absolutely remarkable.  I mean, I feel so good because you have the impression you can do anything you want.  People are so different towards authority; they respect what the CEO says. CEOs in Japan are not very talkative, they are very cautious about what they say, but when they say something it is done. Which is surprising for me because I am coming from a Latin environment where usually, when you give an order, people tell you ‘yes’ but they do something different. You spend a lot of time trying to bring them back to your decision. In Japan, no:  you say something and it is going to be done. Whether it is wrong or right, it is going to be done. Now if it’s wrong, people will say ‘Yes, but the boss said this’ and then they assume the consequences. I find it very refreshing. When you notice you are being taken very seriously, when every single thing you say is going to be done, you are going to be much more cautious about the orientations you decide to give.’

How people accord status: it is an important cultural difference you may encounter in the teams you lead, or are negotiating with. Western cultures, the Americans and the Dutch for instance, tend to accord status to people on the basis of their achievements. Eastern cultures tend to ascribe status based on age, experience, education, and so on. Be aware that these perceptions exist, and have an impact on the way your team members will respond to you.

PAC Checklist – How to support team alignment by paying attention to how your authority is perceived?

  • What is the pre-dominant orientation of my team: achievement or ascribed orientation?
o      Achievement (for instance):
- Focus is more on knowledge and expertise
- Titles are less important
- People will more easily challenge decisions
- People like to receive space for personal input
- People expect rewards based on performance
o      Ascribed (for instance):
- Focus is more on seniority
- Titles are important
- People will not openly challenge decisions
- People will stick to your instructions
- People are motivated by direct rewards from you
  • In case of a cross-cultural team: is the team aware of this dominant orientation? Do all members feel equally ok with it? Did I discuss this with the team?
  • Is my leadership style fitting the team orientation?
o      In the way I make clear to the team what I want to achieve and why?
o      In the way I make clear what I expect from them?
o      In the way I check whether decisions are really embraced by them?
o      In the way I expect people to share their opinion openly?
o      In the way I follow up on actions and results?

Asking yourself these questions may help you to spot potential areas of misalignment and improve the quality of decisions and execution.

Written byAad Boot and Hanneke Siebelink

Feel free to leave your ideas and comments below! Do you have a specific topic or situation that you would like to see addressed in one of the upcoming People Alignment Compass episodes? Just let us know!

If you would like to discuss things in private or want to know more about our services contact us here directly.

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Do you like The People Alignment Compass (PAC) and want to keep following its episodes? Then register at the top of this page and you will receive the PAC tips, as well as other Leadershipwatch articles, in your mailbox. Your personal information will be kept strictly confidential.

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6 Contrarian Reasons Why You’re Lucky to Be a Leader Today

Our Guest Post on Switch & Shift:

logo-for-web-largeNobody ever said that being a leader is simple. Certainly not in today’s world where changes seem to happen at the speed of light; where communication and collaboration are heavily impacted by new technologies; where management techniques from the past no longer appear to provide an adequate answer to the challenges of the future. Being a 21st century leader is a role not to be envied! Or is it?

Let’s look at it from a different angle. Today’s business reality offers leaders a number of interesting advantages. In fact, if people look to you for leadership today, you should consider yourself lucky. Why? Let me give you at least 6 reasons. Continue reading …

 

Posted in Business Transformation, Change Management, Leadership, Leadership Development | Tagged , , , , , , | 1 Comment

Leiding geven aan interculturele teams: Begrijp je de cultuurverschillen binnen jouw team?

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This is a Dutch translation of a previously published Leadershipwatch article on how to deal with cross-cultural differences within your team. Click to read original article.
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Foto Part 4Voor leidinggevenden is het vermogen om mensen op één lijn te krijgen, om mensen te aligneren, een cruciale vaardigheid. Immers: mensen die echt gealigneerd zijn dragen gezamenlijke beslissingen alsof het hun eigen beslissingen zijn (in plaats van mee te bewegen omdat ze moeilijk anders kunnen); handelen vanuit overtuiging en toewijding (in plaats van mee te liften op de energie van anderen); en committeren zich persoonlijk tot het bereiken van de gewenste resultaten. Mensen aligneren was al belangrijk toen Henry Ford zijn automobielbedrijf van nul af uit de grond stampte, en wordt in de snel veranderende wereld van de toekomst nog belangrijker. Met de globalisering stijgt het aantal nationaliteiten en culturen waar je in je werkomgeving mee te maken krijgt. Hoe beïnvloedt dit gedragingen van mensen? Wat betekent dit voor het nemen en uitvoeren van beslissingen in teams? Hoe ga je hier als leider goed mee om?

Interculturele leiderschapskwaliteiten zijn in de 21e eeuw van cruciaal belang

Werken met interculturele teams, en de misverstanden waar je dan zoal tegenaan kunt lopen, was tot voor kort vooral een bron van sappige verhalen.  Tegenwoordig echter beseffen steeds meer leidinggevenden dat culturele verschillen een bedrijf of organisatie voor serieuze uitdagingen kan plaatsen. Als zij er in slagen om culturele verschillen te overbruggen, waarbij mensen de voordelen van de culturele voorkeuren van elkaar leren begrijpen en combineren, kunnen zij het succes van hun bedrijf vergroten. Als zij hier niet in slagen, staat de deur wagenwijd open voor miscommunicatie, tegenwerking, en conflicten, die succesvolle groei en innovatie serieus in de weg kunnen staan.

Daar komt nog een bedenking bovenop. De buitenlandse investeringsstroom was de afgelopen jaren grotendeels eenrichtingsverkeer:  westerse bedrijven richtten hun blik op het oosten, en openden dochterondernemingen of joint ventures in China en andere Aziatische tijgerlanden. Westerse culturele invloeden en denkpatronen verspreidden zich in het oosten. Chinezen volgden westerse leiderschap programma’s, haalden hun diploma’s in Amerikaanse en Europese business schools, en maakten kennis met westerse managementprincipes. In de toekomst echter kunnen we meer fusies en overnames van Oost naar West verwachten, zoals Chinese bedrijven als Huawei Technologies, Lenovo en Geely nu al laten zien. Voor de nieuwe generatie leiders, of ze nu opgroeiden in het Oosten of het Westen, wordt het leren overbruggen van cultuurverschillen dus nog een stuk belangrijker.

Als ik leiderschap teams begeleid bij het omgaan met de uitdagingen van intercultureel samenwerken, grijp ik dikwijls terug naar wat ik in het verleden heb geleerd van Fons Trompenaars en Charles Hampden-Turner. Ik  heb het geluk gehad met hen samen te werken en aan den lijve te ondervinden hoe je bedrijfsresultaten meetbaar kunt verbeteren door cultuurverschillen binnen management teams te overbruggen en echte alignment te creëren tussen mensen.

Ik leerde drie cruciale lessen, die vandaag relevanter zijn dan ooit:

1) Alles begint met het creëren van een wederzijds bewustzijn van de cultuurverschillen die succesvol samenwerken hinderen.

Succesvolle leiders zijn niet bang om een discussie uit te lokken over de cultuurverschillen die zij in hun teams denken te zien, en over de impact van deze verschillen op prestaties en gedrag. Zij vinden zo’n discussie nodig.  Ze begrijpen dat het creëren van een open gesprek cruciaal is om onderling vertrouwen en respect te creëren.

2) Culturele verschillen kun je enkel overbruggen als je begrijpt waar ze vandaan komen.

Ik ontmoet vaak leidinggevende teams waar de discussie zich beperkt tot het uitwisselen van standpunten, en het overeenkomen van acties om de negatieve gevolgen van de gepercipieerde verschillen te beperken. Succesvolle leiders begrijpen dat dit niet volstaat om de situatie blijvend te verbeteren. Zij willen verder gaan dan enkel zien waar de culturele hinderpalen zitten. Zij willen begrijpen waar deze verschillen vandaan komen, ervan leren, en zij willen dat hun teams ook echt begrijpen en leren.  Zij weten dat het in dergelijke discussies nooit draait om ‘juist’ versus ‘verkeerd’, maar altijd om ‘percepties’ en ‘waarden’ die er achter verschillende percepties schuilen.  Zij begrijpen dat het van iedereen extra inspanning en openheid zal vragen om tot dit niveau te komen, maar zijn ervan overtuigd dat dit de sleutel is om mensen in het team daadwerkelijk nader tot elkaar te brengen.

3) Interculturele verschillen overbruggen vraagt een oplossing waarbij culturele waarden elkaar versterken, niet een klassiek compromis.

Succesvolle leiders zien in culturele verschillen een opportuniteit om het beste van beide werelden met elkaar te verenigen. Dit betekent nieuwe manieren creëren om te kijken naar en om te gaan met de verschillen in onze cultureel bepaalde voorkeuren. Niet elkaar bekampen, maar juist onze krachten combineren. Zij vermijden compromissen; deze leiden meestal enkel tot tijdelijke en middelmatige uitkomsten. Zij zoeken naar oplossingen waarbij beide culturele waarden elkaar versterken en bereiken zo de beste resultaten.

‘Als we beide water in onze wijn doen, eindigen we beide met slechte wijn.  Maar als we de kwaliteit van onze beste druiven combineren, creëren we misschien een fantastische nieuwe wijn.’

Deze video kreeg ik van iemand die dagelijks tegen interculturele verschillen aanloopt: een krachtig betoog door Devdutt Pattanaik.  Wat aan de lange kant misschien, maar ik ben ervan overtuigd dat je het net als ik de moeite waard zult vinden.

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Welke interculturele verschillen neem jij waar in jouw team? Hoe beïnvloeden deze verschillen de team prestaties? Hoe ga jij om met deze cultuurverschillen? Hoe creëer jij een sterker gealigneerd team? Ik kijk uit naar je reacties! 

Als je nieuwe Leadershipwatch artikelen in je mailbox wilt ontvangen, aarzel dan niet en schrijf je in bovenaan deze pagina. Je persoonlijke gegevens zullen strikt vertrouwelijk blijven.

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Aad is een internationaal organisatieadviseur, verandermanager, alignment expert, leiderschapsteam begeleider en executive coach. Hij is oprichter en managing partner van HRS Business Transformation Services en werkt internationaal met senior leiders en leiderschapsteams op drie kerngebieden: ‘leidinggeven aan complexe veranderingen’, ‘intercultureel leidershap’ en ‘post-acquisitie integratie’. Vind hier meer over Aad en HRS services. Contacteer Aad voor meer informatie.

Posted in Business Transformation, Cross Cultural Teams, High Performance Teams, Leadership Alignment | Tagged , , , , , | Leave a comment

Sustainable Change: Know How to Handle Complexity Across Cultures

Photo: Alan Cleaver/Flickr (Creative Commons)

Photo: Alan Cleaver/Flickr (Creative Commons)

Business leaders of today face a high level of complexity. Globalization, technological evolutions, market shifts, an increased pace of change. These have changed the business landscape. Business environments are more cross-cultural now than ever before. Cultural differences are changing working relationships and are impacting business success. How do 21st century leaders deal with this complexity in a sustainable way? How do they align cultural differences when dealing with complexity? Let’s pick out one important element!

Cultural differences in how we manage time can hinder us in handling complexity

The valuation of time is different in various cultures, and this is often overlooked.

I vividly remember the discussions in this leadership team, which was putting together a strategic plan in response to the changes in the marketplace. The team was a mix of American, European, and Asian executives. The debates were very difficult and they had a hard time coming to results. The core reason for this was a different perception on how to manage complexity, caused by a different valuation of time. The difference boiled down to the following: one part (let’s call it the Western part) of the team saw complexity as something you want to control. They focused on planning and control techniques. In their minds time was seizable, controllable, measurable. They used words like ‘time is money’, and ‘we are running late’. In their thinking it was all about analyzing current and desired situation, and about getting from A to B in the shortest time. They believed the situation should be tackled by focusing on efficiency and control, process and procedures. Complexity had a rather negative connotation: you want to stop it or limit it.

The other part (let’s call it the Eastern part) of the team had a totally different valuation of time. For them time was not linear, but rather cyclic. Not something you want to control to get things done, but something that allows you to explore and learn. For them the change was not predefined, from A to B. On the contrary, they did not want to make prefixed choices, but wanted to take time to explore. More like following the flow to see what it can bring. For them the focus was not on plans, actions and targets, but on relationships. For them time was a means to develop and cultivate closer relationships, like a seed planted to grow. Good relationships would allow them to deal with whatever complex change they would encounter. In fact, their whole perception of complexity was different. Complexity had a more positive connotation: it offers new chances and possibilities. (Did you know that in the Chinese language words like ‘valuable’, ‘promising’, ‘potential’, and ‘deep’ are synonyms for complexity?)

For a nice read about how our perception of time affects doing business in China I recommend this article of Justin Shuttleworth.

The difference in time valuation, which Fons Trompenaars & Charles Hampden-Turner describe in their book ‘Riding the waves of culture’ as ‘sequential’ versus ‘synchronic’ time orientation, hindered the team significantly. ‘The West’ had the feeling that ‘The East’ was not efficient, not decisive, not structured enough to come to a good strategic plan. ‘The East’ had the feeling that ‘The West’ was careless, single-minded and pushy, not patient enough to come to a good strategic plan. The executive team was experiencing difficulty in finding an effective way to deal with the complex change, and therefore, so was the organization.

The difference between sequential and synchronic orientated cultures can be experienced when Western and Eastern cultures meet each other. But be aware not to generalize too easily and make it a caricature between East and West. Within the East and the West you’ll find nuances. For instance, in Europe you can find cultural differences between northern and southern cultures, which are comparable.

Time ValuationHow successful leaders deal with cultural differences in time orientation

The more organizations are confronted with cross-cultural collaboration (internally and externally), the more they will experience this difference in time orientation. And this will affect the way people respond to complexity and change. Successful leaders are aware of this and pay special attention to aligning these different cultural orientations.

  • Are you paying attention to signals that reveal differences in time orientation?
  • Do you make others aware of these different orientations?
  • Do you stimulate people to share their way of looking at the complex change they face?
  • Are you enabling people to better understand each other’s orientation?
  • Do you understand the strengths of both orientations?
  • Are your people aware of these strengths?
  • How do you encourage people to combine these strengths?
  • How does your team combine efficiency and speed with exploring new, different and stronger relationships?
If you want to receive upcoming Leadershipwatch articles and news in your mailbox, then simply register at the top of this page. Your personal information will be kept strictly confidential.

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Aad is an international business advisor,  change leader, senior leadership team facilitator, and executive coach. He is founder and managing partner at HRS Business Transformation Services where he works with senior executives and leadership teams internationally on four topics: ‘leading complex change’, ‘cross-cultural leadership’, ‘post-merger integration’, and ‘amplifying business performance’. Find out more about Aad, our team, and HRS’ services. If you would like to invite Aad to your organization feel free to contact us here.

 

Posted in Business Transformation, Change Management, Cultural Integration, Leadership Alignment | Tagged , , , , , , | 6 Comments

Creating Team Alignment: Team Development Initiatives Should Fit Today’s Business Reality

HRS - Team Alignment ProgramOne of the things our work with multinational companies has taught us is the growing importance of cross-team collaboration. For 21st century businesses it has become a vital prerequisite for building success. And this has an impact on the team development initiatives you undertake.

 We see two major evolutions taking place in today’s business reality, which affect team collaboration:

  • Mergers & acquisitions, alliances, and other new emerging forms of collaboration between organizations involve much more cross-border and cross-cultural aspects than before.

Management and employees are in many cases not used to deal with these new circumstances. Cross-cultural challenges increase the degree of complexity of successful collaboration. When results are not met, when motivation is going down, when irritation and emotions flare up, and we take a closer look at what is going on, it almost always comes down to the fact that there is not enough people alignment within and between teams to cope effectively with the cross-cultural and cross-border challenges they face. And this turns out to be a crucial obstacle, which prevents the organization to be successful.

  • Business environments are changing faster than before, and therefore businesses need to manage change differently.

Long term planning and fixed predetermined steps are no longer the key to success. It has become crucially important to be able to navigate and adjust course during the journey. Leaders need to develop cultures in which adaptability, agility, and resilience are key qualities. And these do not develop automatically. They require a company-wide ability of people and teams to continuously create alignment with each other to find and implement the right response to the changes taking place around them.

Both trends demonstrate the importance of having aligned teams that are able to collaborate successfully in these new circumstances. Our experience is that team development has shifted from “a rather soft aspect of business, which we address when we have the time” to “one of the essential hard success factors that make or break our organization”. And this means that we need to revisit the way we approach team development. We see the following points of attention:

  • Building team alignment requires a strong focus on the challenges and issues your business is facing. In other words, team development initiatives have no sustainable effect when they do not support the team to transform its real life business challenges into concrete team actions that have clear and positive results in the field. 
  • Team alignment is a process. It requires a sustained effort of ‘learning by doing’, in which there is an incremental deepening of the level of alignment and a recurring follow up on results. A good mixture is needed between off site (reflection, deepening) and on site (real life monitoring, coaching, doing) activities.
Team Alignment Brochure - Click to Download

Click to Download Brochure

Is your company struggling with cross-team collaboration? Do you experience a lack of team alignment? In that case our Team Alignment Program might interest you. It combines two+ decades of experience in working with teams internationally, especially also teams facing the evolutions described above.

If you want to receive upcoming Leadershipwatch articles and news in your mailbox, don’t hesitate and register at the top of this page. Your personal information will be kept strictly confidential.

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Aad is an international business advisor, alignment expert, leadership team facilitator and executive coach. As founder and managing partner at HRS Business Transformation Services he works with executives and leadership teams internationally on four topics: ‘leading complex change’, ‘cross-cultural leadership’, ‘post-merger integration’, and ‘amplifying business performance’. Find out more about Aad and HRS’ services. If you would like to invite Aad to your organization feel free to contact us here.

 

Posted in Business Transformation, Cross Cultural Teams, High Performance Teams, Leading Change, Post Merger Integration, Team Work | Tagged , , , , | 2 Comments

Organizational Alignment: The Power of Cross-Organizational Networks

Photo: WebWizzard/Flickr (Creative Commons)

Photo: WebWizzard/Flickr (Creative Commons)

How do organizations deal with the changes in today’s business environment? How do they keep up with the pace of change, let alone get ahead of it? How do they innovate and stay competitive? How do they increase their adaptability? How do they create organizational alignment quickly enough? Do they hang on to hierarchical structures as the main drivers for change? Or do they explore and stimulate cross-organizational networks as a new way to enable people and teams to collaborate more effectively across borders?

I witness a tenacious tendency within many organizations: the more things change around us, the more we tend to hold on to what is familiar to us. We tend to focus more on hierarchical structures and managerial processes. It gives us a feeling of control and overview. But, in fact, it is limiting collaboration, flexibility and adaptability. Many organizations struggle with this phenomenon.

“WHEN BUSINESS WAS FINE WE DIDN’T HEAR ANYBODY ABOUT IT. BUT NOW THE MARKET IS CHANGING EVERYBODY COMPLAINS ABOUT HOW INTERNAL SILOS ARE HINDERING US AND HOW THEY SEEM TO GROW STRONGER.”

Leaders need to stimulate exactly the opposite of what is often the organization’s reflex. Encourage people to collaborate more across borders instead of less. Leaders need to stimulate the creation of cross-border networks that combine the best knowledge, skills, experience, attitude available across the organization, needed to get a certain job done. 

To be clear, in itself this is not new. Cross-unit and cross-team collaboration have always been important for a company’s success. But in the 21st century business reality there are two main reasons why cross-organizational collaboration has become more crucial than ever before:

  • The accelerated rate of change: organizations need to be able to adapt quicker in a more agile way
  • The changing relationships between companies and their customers, suppliers, and competitors: traditional boundaries are diminishing, and this calls for new ways of cross-border collaboration

I am not saying that hierarchical structures and managerial processes are no longer needed, but they will no longer be enough to deal with today’s challenges. Leaders need to put focus on creating and stimulating cross-organizational networking as an additional structure for collaboration. A new way of collaboration that leads to higher adaptability, agility, and responsiveness with respect to the new circumstances.

“Traditional hierarchies and processes, which together form an organization’s “operating system”, do a great job of handling the operational needs of most companies, but they are too rigid to adjust to the quick shifts in today’s marketplace. The most agile, innovative companies add a second operating system, built on a fluid, network like structure, to continually formulate and implement strategy.” – John Kotter, Harvard Business Review, Accelerate, 2012 (read the article)

Yet, many organizations do not have cross-organizational networks or leaders are not aware of these networks and don’t use them.

“While common sense might suggest that cross-departmental support for innovation would be a good thing, getting everyone involved is not a widespread practice. Survey respondents said they typically ask only certain departments for ideas, while other departments are relegated to implementation.” –  Economist Intelligence Unit, Cultivating Business-led Innovation, 2012 (download the research report)

I have witnessed with my own eyes how cross-organizational networks can have a positive impact on collaboration and how they can boost a company’s success. One of the examples is a client we work with who has faced fundamental changes in the market. Growing competition from the east; increasingly demanding customers; technological advancements that require longer, more complex, and more expensive research and development cycles; alliances with suppliers to create pools of joint innovation, research and knowledge sharing. The board has chosen early in the process to fundamentally change the way divisions, units and teams needed to collaborate. Existing structures are not thrown overboard but are supplemented with cross-organizational networks. Key objectives are on the one hand to speed up the research & development process and on the other hand to create more alignment between the departments and teams of engineering, sales, and customer service. Networks can have a different focus: streamline knowledge sharing, tackle specific cross-border issues, act as sounding board to provide a second opinion, etc. Networks don’t stop at the company borders but can also include customers and suppliers. Some networks have become institutionalized; others are contemporary and will dissolve over time.

Together with the top 30 executives of the company we shared and discussed the progress they made over the past year. They reported the following results:

  • A higher level of innovative thinking
  • Better and faster decision making
  • Better use of knowledge, expertise, experience, ideas
  • Stronger basis for successful implementation/execution
  • Better detection and development of key talent
  • Motivating environment for employees to learn and grow

How did they do it? How did this team of executives create the new way of cross-organizational collaboration? Three aspects in their leadership behavior stick out:

Stimulate networks actively and openly:

  • Analyze existing networks. Every organization has its hidden and informal networks. Make sure you understand where they are, who is in it, how they operate, and what their outcome is. Focus on stimulating and supporting the networks that add value. Stop or replace the networks that are not.
  • Make networks a ‘formal’ part of your organization. Make them visible to everyone. Explain their importance and encourage them. At the same time discourage silo behavior.
  • Focus your energy on communicating vision and strategic priorities and less on managing processes. Focus on the results and set the strategic boundaries. Allow the networks to fill in the rest of the strategy and to come up with ways to manage the results.
  • Stimulate diversity within the networks. Make sure they combine people from different teams, cultures, expertise, and locations.

“The most effective networks connect to people with diverse expertise, from a broad range of functions, and across different locations.” – MIT Sloan Management Review, The collaborative organization: How to make employee networks really work, 2010 (read the article)

Make your people’s ability to create cross-border alignment a top priority:

  • Invest time and energy in supporting leaders, employees and teams to learn how to create people alignment across borders and cultures. Define it as a core competency for everybody. Set up development and coaching programs to build the required mindset and skills.
  • Create an alignment culture throughout the organization. Make the importance of people alignment explicit in your communication, in your strategy, in your behavior, and in your reward system.
  • Stimulate a learning environment where people can build successes together. Register these successes. Share, communicate and celebrate them actively throughout the organization.

“Being a successful network requires more than having the right knowledge around the table. If the people are not able to align their different areas of expertise, experiences, objectives, cultures, they will be useless as a network.” – cross-divisional network member

Change the mindset of people towards failure:

  • Start at the top. Understand that cross-organizational networks need a certain level of space, if you want them to become successful. Make sure the strategic priorities are clear, but allow networks to fill it in and experiment. Let go of the urge to control every part of the process.
  • Give networks space to make mistakes and to learn from it. This can be in contradiction with what people are used to. There can be a fear for failure within the organization that can hinder this new way of collaboration. Be explicit to your people that mistakes are not failures, as long as they allows us to learn and grow individually and collectively (also read my earlier article on this).

“One who fears the future, who fears failure, limits his activities. Failure is only the opportunity more intelligently to begin again. There is no disgrace in honest failure; there is disgrace in fearing to fail.” – Henry Ford, My Life and Work, p. 47

What do you think of cross-organizational networks? What are your experiences with networks? What are your questions? Share your comments below.

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Aad is an international business advisor, change leader, people alignment expert, leadership team facilitator and executive coach. He is founder and managing partner at HRS Business Transformation Services where he works with executives and leadership teams internationally on four topics: ‘leading complex change’, ‘cross-cultural leadership’, ‘post-merger integration’, and ‘amplifying business performance’. Find out more about Aad and HRS’ services. If you would like to invite Aad to your organization or team feel free to contact Aad here.

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