The Sad Impact of Unethical Conduct

(I happen to live in Atlanta, GA, but the reader could easily substitute a variety of unethical events occurring all over America for the one I reference from my backyard. It’s a truly sad state of affairs. I hope by writing about it and generating some awareness and discussions we can come together to influence a change in organizational attitudes and behaviors.)

As the Atlanta Public School System prepares to open their 2011-2012 school year, the Metro Area is sadly dealing with an ethical scandal.   According to the Governor’s Investigative Report, it appears that at every level of the bureaucracy, staff members shamelessly planned and executed repeated behaviors that allegedly resulted in lying, cheating, stealing and ultimately hurting thousands of innocent children who, in some cases, did not get the educational benefit of attending school. The point I want to make is that these behaviors, and the ugly culture where they existed, appear to have resulted from: unrealistic organizational goals, a culture of retaliation and an unrealistic demand for performance results (at any cost), and a craving for public praise.

Ethics is often defined as “a philosophy principle concerned with opinions about appropriate and inappropriate moral conduct or behaviors by an individual or social group. Defined more broadly, corporate ethics can include legal compliance, ethical conduct and corporate social responsibility, all of which affect business sustainability.”

Just as the nation was learning about the details of the unbelievable activities of the Atlanta Public School System leadership, we also heard of the exposure of unethical reporting methodologies employed by the Murdoch News Corporation. Not only did this news bring embarrassment and reputation damage to Mr. Murdoch and his family, it also brought pain and suffering to the families impacted by these unethical practices and embarrassment to and questioning of political leaders in Europe. In both cases, the Superintendent of Schools Beverly Hall and the Chief Executive Rupert Murdoch refused to be accountable for the behaviors and decisions made under their leadership, offering instead weak excuses and apologies.

How would your organization rate on the ethics-o-meter? Do you feel confident that the culture your policies intend is being practiced? Are you sure people are being treated fairly and in compliance with employment regulations and practices? Can you affirm, without hesitation, that the organization’s values and philosophies are being carried out by your leaders, as well as staff members? If you can, congratulations! Especially in hard times, performing in an ethical manner can be challenging. If you hesitated, read on; I’m including some action steps to consider.

Conduct an Ethics Checkup

A 2007 article by Barbara Ley Toffler, still very relevant today, describes specific actions to create and sustain a culture of integrity that values ethical performance. She suggests:

• Since the word "ethics" is overused, change the vocabulary. Try substituting "decency" and "responsibility" for "ethics."
• Enron used words like "honesty" and "commitment" – and we know the end of that story. How about having staff (including you) write an essay defining what each value means to them, along with real-life examples of organizational practices that support and contradict those values? This could lead to some very interesting conversations, result in important changes, and demonstrate the organization’s commitment to ensuring ethical performance.
• Face the music – welcome the not-so-good news as well as the good news. Accept a new mantra: There is nothing I don’t want to know.
• Investigate potential areas of risk and plan steps to mitigate them. Follow up by attending your ethics training and ensuring it addresses these latest issues.

If you’re looking to add or update your audit process, the Society for Human Resource Management (SHRM) has the following suggestions:

• Add the ethics audit to an existing financial/compliance audit, minimizing disruptions.
• Be as descriptive and specific as you can about what ethics looks and sounds like. The ethics audit should be focused on a comparison between actual employee behaviors and the guidance provided in policies and procedures.
• Tie ethics metrics to the performance review process and compensation.
• Use a cross-functional team to assist with the ethics audit; include an HR professional, compliance manager and internal auditors or someone from legal.
• Be on the look out for areas where improvements can be made to close gaps.
• Be consistent in disciplining ethics violations and use the issues as a "lessons learned" opportunity for communications and training.

However you structure your audit, be clear about the distinction between ethics and compliance.

So What’s Next?

The National Business Ethics Survey published in 2010 concludes with:

• We are experiencing an ethics bubble, which is most likely temporary. When times are tough, ethics improve. When business thrives, ethics erode.
• Executives who don’t elevate culture to a priority, risk long-term business problems.

Ethical culture is the single biggest factor determining the amount of misconduct that will take place in a business. Individuals, groups, or organizations not adhering to ethics standards usually only get away with unethical behaviors for so long. Sooner or later something happens that brings it all to light. And when it does, leaders more than likely end up going to jail, companies are often devastated, employees and customers are usually injured in some fashion and become more skeptical, and overall, society suffers.

As our global economies expand and intertwine, we will also be faced with the practices of countries where regulations and laws guiding ethical practices don’t exist – so it’s an "anything goes" environment. Will your ethical practices be strong enough to navigate those unchartered waters?

How damaging for your company’s reputation and business success would an ethics violation reported on the evening news be? Studying a few of the many examples of unethical behavior reported in the past few months, the amazing thread to me is that so many involve more than one person – and these people, motivated by greed, or fear of retaliation, or whatever, go along with what’s being done, even though they know it’s wrong. In the case of the Atlanta Public School System, whistleblowers were threatened. Simply having an 800-number managed by a third-party would have taken that opportunity out of the hands of the unethical staff.

Here’s my assignment for you – share one idea that you have about ethical cultures and what can be done to enforce a message of "we’re serious about ethics!" Please share your thoughts and ideas on this very important topic below.

Collaborate for a Solution

www.evolutionmgt.com

770.587.9032

Small Decencies

Building a Team Takes Team Work

I’m often asked to include team building objectives into the meetings, retreats and interventions I am designing for clients. In many cases, the client initially thinks about the team building request as an exercise, or a get-to-know-you mixer. What I like to share with them is that team building is not a ‘once a quarter’ event. It’s an on-going, dedicated effort by the leader and team members to be open and engaged in an effort to explore and learn more about each other. As a result of their experiences with each other it will be easier for behavioral shifts to take place to improve relationships, communications and overall workplace effectiveness.  

Although we often think of fun, games, assessments and group simulations when we hear the phrase ‘team building,’ there is no quick, one-time magic fix for improving team cohesiveness – it takes work. What’s your plan for building and enhancing the working relationships of your team members? If you’re just developing a plan, or want to enhance your existing strategies think about incorporating the following points.

It All Starts with the Leader
Yes, team building will eventually involve the entire team, but initially we need to start with the leader. This is a very important step and one that is often overlooked by management. When a team attempts to engage participants without ensuring the leader is ready, the group is bound to experience confusion and misaligned messages. Before rolling out the team building activities, skill building and revised performance metrics with the expectation that behavioral changes will take place and performance improvements will be realized the leader should be ready for the team to act differently, and therefore ready to alter his or her leadership style, Usually when there is a disconnect between the leader and the process, depending on how the leader reacts, the team members will become skeptical, suspicious and leery of the probability of success. So the first step should always be to make sure the leader is ready.

And what should the leader be ready for? The leader needs to set the tone for open and honest conversations. There needs to be a sense of trust among the team members that the leader will not take advantage of situations where members may be vulnerable – i.e., when sharing information or trying out new behaviors and skills. The leader also needs to be comfortable with a style that encourages and motivates open, collaborative, creative and diverse work and communication styles. The leader can’t ask for creativity and then belittle a team member for trying something new. Or worse, reprimand team members for failing to reach a goal as a result of trying something new. How quick do you think those team members will volunteer the next time the leader asks for an ‘out-of-the-box’ idea?

The leader is critical to the success of the team moving from Point A to Point B and beyond. It’s the leader who will demonstrate commitment to creating the corporate culture that aligns with and supports the success of the team. Executive coaching or working with a mentor are two successful methods for ensuring the leader is comfortable with who he/she is and is ready to take the team from a silo environment to one that is collaborative, respectful, professional and highly productive.

The Next Step
Once the leader is on board with loosening any "command and control" reins in favor of a shared and participatory style, these additional components to team building strategies can be incorporated:

Vision – the leader needs to be able to excite the team members about where the organization is headed. Each team member needs to understand the desired outcomes the team is responsible for and how each member’s contributions are valued.

Commitment – requires an atmosphere of trust where open discussions about expectations, fears and doubts can be shared and members can take the time to understand what they are committing to. A process designed to be inclusive allows for team members to express their excitement, as well as their concerns while they all work through the process together.

Trust – team members need confidence in their leader and the vision of where the organization is going.

Inclusion – I find the best way to engage individual team members in the process is to facilitate individual and small and large group discussions that invite members to speak openly and honestly about the realities of the workplace and to create a safe place to share ideas for improvements. The two-way communication that occurs in these exchanges must be respectful, non-judgmental, and part of a larger process for team discussion, prioritization and goal setting. Often this facilitation is best guided by an unbiased third party or an external resource.

Goal Setting – building off of the work completed by inviting all members of the team to participate, the leader is now positioned to catalyze consensus – not issue orders – about goals, actions, metrics, etc. This is a point where effective teams can often have lively discussions and begin sharing very divergent viewpoints.

Allowing these conversations to take place allows the team to resolve unanswered issues and gain knowledge and information. Ultimately consensus of the team – being able to agree to acceptance, not necessarily agree with a particular approach – is reached as team members feel they have been heard and their thoughts have been considered.

So What’s Next?
The workplace of the future needs great leaders and strong teams to be successful with technology advancements, flexible work arrangements, workforce diversity, and the fast-paced nature of global competition. In order to ensure success, workplace culture must also be aligned to support an environment that encourages the sharing and brainstorming of ideas and creativity. If you didn’t have a chance to read the January Fast Company article by Jon Kolko on the importance of culture, please do. I believe you’ll get some new ideas from it.

In addition to having a culture that supports the organization’s focus on teams, leaders must be skilled at leading work and dismiss the old concept of directing work. Organizational structures still hanging on to "silo" mentalities must be demolished and an emphasis on holistic approaches and the power of synergy and collaboration must be embraced. HR must be strategic with workforce planning and committed to hiring the skills needed to accomplish not only today’s goals, but more importantly tomorrow’s. As Jim Collins advises, moving from good to great is an evolution, not a program – it’s a long-term commitment, not a fad.

Team building is certainly an aspect of meeting and retreat planning. However, supporting those once-in-a-while encounters should be a foundation of long term nurturing and organization development strategies that ensure meaningful on-going success.

www.evolutionmgt.com

770.587.9032

 The Marshmallow Challenge

You Can't Run a Business without People - So Why Try to do it without an HR Team?

Engaging with managers in a variety of organizations I often hear, "Our people are our biggest asset!" Some really mean it and incorporate the message into their business philosophies. For others however, it seems more like a repeated mantra echoed from the latest business book they’ve been asked to read. 

Organizations that really take the intent of the message to heart consider people needs with operational objectives and goals. There is a realization throughout the enterprise of the importance of aligning values associated with making a profit with those connected to how people are treated. The organization demonstrates this commitment to candidates seeking employment, newly hired employees just learning about the organization, employees already contributing and seeking ways to grow and advance, managers building leadership capabilities and employees balancing work and personal life goals. These organizations seriously appreciate the value Human Resource Management (HRM) brings to rounding out the leadership team. How about your organization? Who has the responsibility, as well as the knowledge, skills and experience, to ensure alignment of your people practices?

Today it’s not enough to assign the HR responsibilities to just anyone. That someone needs to have the background, experience and "boots on the ground" experience to earn the confidence and respect of leadership and employees. How would you assess your HR structure? Are they doing the work required to design and implement strategic practices to take your organization to the next phase in this economic recovery? If not, what’s missing?

It’s Complicated
But it doesn’t have to be. Complicating the people side of business these days are issues such as:

• Dealing with conflicts brought on by inter-generational workplace issues
• Addressing issues resulting from workplace diversity (e.g., company holiday policies)
• E-Verify requirements and properly managing issues related to illegal immigration
• Ever-changing federal employment regulations such as Workplace Accommodations to Support and Protect Breastfeeding
• Introduction and evolution of the Department of Labor’s smartphone time app designed to assist employees in independently tracking and calculating their wages
• Impact of social media on business policies, practices and behaviors
• Special employment regulations in some states (e.g., California preventing unlawful harassment retraining requirements)
• Equal pay audits and the impacts of the Lily Ledbetter Fair Pay Act
• Workforce planning; maximizing talents of full-, part-time and outsourced resources
• Simultaneously addressing successful change initiatives in the operations and staffing functions
• Staying informed of the pending pro-union administration
• Monitoring and addressing the ever-changing elements of Health-care Reform

With the right Human Resource Management team an organization can easily stay on top of everyday issues such as those I’ve illustrated, as well as proactively navigate the challenging waters to their ultimate destination.

Administering HR – The Secret is in the Team
Recently I attended the POW! Awards hosted by Womenitics. One of my clients, Donna Smythe, Executive Director of the Child Development Association was among the prestigious group of women being honored. Donna was acknowledged for her leadership and successful orchestration of the organization’s transition. I was delighted to see Donna recognized for her hard work and stick-to-it-ness. Managing change in good times is challenging enough; in difficult times it really takes the right mix of commitment, passion and vision, which Donna has.

Each outstanding female leader was asked to share her story, and so many of the accounts paid tribute to having the right team to help accomplish the dream. Implementing a successful HRM structure also requires the right team. This function is responsible for linking people-related activities with the strategy of the business, and usually the work divides into two primary components.

Tactical – Every Day Administration
Tactical functions can include:

• Posting job openings
• Conducting recruiting activities and screening applicants
• Processing transactions and questions related to payroll and benefits
• Processing hiring documentation and conducting orientation sessions
• Processing performance management evaluations
• Updating the HR section of the website with timely information
• Attending job fairs and greeting potential candidates
• Planning social events

Strategic – Business Planning and Overall Management of the HR Function
On an entirely different level, someone needs to focus on the big picture; mapping the route to the future with consideration to: profits, productivity, compliance, economic conditions, trends, the legal climate, politics and so much more. This senior position focuses on matters such as:

• Advising senior leadership of employment trends and possible impacts on the business
• Leading strategic planning efforts to develop plans (workforce planning, succession planning, training and development, executive coaching and mentoring, etc.) to achieve the vision and mission
• Mentoring and guiding managers in their development
• Staying current and knowledgeable about pending legislation
• Handling sensitive and complex employee relations situations
• Researching and making recommendations related to HRIS advancements
• Designing and facilitating management and staff training programs
• Investigating and reporting on employee complaints; working closely with legal counsel
• Ensuring compliance with federal, state and local laws and employment regulations
• Drafting and periodically updating HR policies and procedures to ensure the organization is up-to-date and progressive, not only ensuring compliance, but also re-enforcing employee engagement, retention, motivation and productivity

As you can imagine, these two functions require different levels of education, skills and experience. My experience has been that it’s difficult, if not impossible, to find one person happy to do the tactical and capable of stretching to do the strategic. This is why considering a team approach is important.

Usually the tactical assignments can be layered with other administrative duties until a full-time position is required. And until a senior position is required on a full-time basis, the organization is usually not well served by requiring a manager not trained in HR to plan and execute the HR function. It’s just too much to ask in today’s employment environment. I think in a situation like this, the organization is best served by hiring a part-time HR manager, or retaining a senior HR consultant to serve as an interim senior manager.

And don’t forget the support of IT and legal counsel. More and more HR tactical tasks are moving to a "self-serve" mode, where employees manage their HR needs on-line, through robust, up-to-the minute HR systems. A collaborative partnership with IT is a must.

Most HR teams today are a mix of outsourced functions, such as payroll and benefits, full and part-time employees and the engagement of an HR consultant to serve as advisor, auditor, and/or special assignment leader. The synergy of a diverse team provides compliance as well as innovation and creativity.

So What’s Next?
According to a recent article in The Economist, organizations are dusting off plans they’ve had on hold for a few years with the intention to revisit, modify them to work in the newly recovering economy and prioritize those tasks that fit within the budget constraints. With that in mind, I think this is the perfect opportunity to take a fresh objective look at operational efficiencies. Most organizations have continued to add technologies more so than people to their business operations these past few years. What impact are these technological advancements having on the current processes and structures? What additional efficiencies can be created, with these technologies in place? How do you prioritize the activities in order to maximize the return on investment?

If you’re revisiting organizational plans, doesn’t it also make sense to take a close look at how technologies, processes and organizational structure are working and to take deliberate actions to close any identified gaps?

As I said earlier, it’s impossible to have a business without people. I also believe it’s inefficient and costly to attempt to implement productive HR practices without the right talent on the team. The second half of the year is quickly approaching. Should a review of HR efficiencies be in your organization’s near future?

So this is what I’m interested in hearing from you – What’s one idea you have for how HR can assist an organization in moving beyond the recovery and into the future? What’s one experience you’ve had with diverse teams of internal and external HR professionals working together to contribute to the success of people-alignment strategies? We’re looking forward to learning from you. Please add your comment below.

Collaborate for the solution:   

www.evolutionmgt.com

770.587.9032

Createdby Alan Collins

Don’t Forget to Plan to Unplug, When Planning Your Vacation!

A vacation is what you take when you can no longer take what you've been taking. - Earl Wilson

It’s June, school is out, temperatures are rising, and it may be time to plan a relaxing get away. We all know that vacations are a healthy way to recharge our batteries and refresh our spirits. However, with that said, according to an Expedia survey, American workers left approximately 448 million unused vacation days, or close to $68 billion worth of relaxing, re-invigorating, family and fun moments in their cubicles and offices in 2009, and only 38 percent planned to take all of their vacation days last year.  

These findings are understandable in these difficult economic times, but I also anticipate there are other issues influencing vacation decisions:

• the "they can’t do without me" attitude held by workaholics and individuals who see themselves as more valuable than they really may be
• options available to workers to not use vacation days; i.e., trade in for pay
• the strange "happiness" Americans seem to get out of working more so than any other global work group
• co-worker pressure with regard to picking up the slack while someone is gone

Whatever the reason, organizations should encourage workers to look beyond those issues and take some kind of meaningful break from work. It’s important for each individual, and we certainly see the positive results re-energized workers have on improving workplace performance, quality and productivity.

Whether you are planning a vacation or a "staycation" (time off from work to stay at home) this summer, one of the most important elements in your planning for a relaxing time to renew your spirit is to unplug.

This Is Your Brain on Computers
More and more research is being conducted on the impact 24/7 technological stimulations have on rewiring the way our brains function. According to a NY Times article by Matt Richtel, "scientists report that juggling e-mails, phone calls, and other incoming information can change how people think and behave. They say our ability to focus is being undermined by bursts of information which play to a primitive impulse to respond to immediate opportunities and threats. The stimulation provides excitement – a dopamine squirt – that researchers say can be addictive. In its absence, people feel bored."

Consider your attachment to emails, Blackberry, iPhone, IM, Facebook, LinkedIn, iPad, Sykpe, the list goes on….. Depending on your level of need to be connected with these technologies, it’s understandable why an ‘unplugging strategy’ should be a critical part of your vacation planning. Just like any addiction, (that’s what researchers are calling our anxiety and need to check these devices) trying to stop "cold turkey" is difficult, if not impossible. The key to success is in the planning.

Planning To Unplug
Accepting the fact that we all have some degree of addiction to these devices and the stimulation we receive from them justifies the need to include some special considerations in the vacation planning process. Be serious and purposeful about developing an unplugging strategy that will work for you, and provide you with as much isolation from work activities as possible.

CNN recently completed a series addressing this specific issue - No Vacation Nation. In addition to the strategies listed below, check out their articles for tips and techniques that will help you reprogram your behaviors and allow you to improve your abilities to be present where ever your vacation travels take you, and with whom ever you are enjoying them.

• Initiative Dialogues with your boss, team members and stakeholders to engage them in sharing insights and observations about what key issues will need to be addressed during your time away and how they can take care of those issues with no or limited availability from you.  This strategy helps you clarify your intentions as well as what’s hot, while allowing others the opportunity to step up and expand their roles and responsibilities. You may be surprised that they don’t need you as much as you thought they did.
• Ease into your new routine at least a week or so before your departure date. Set up an away message that notifies e-mailers and callers that you will not be checking messages after a certain hour, and that you will get back to them in the morning. It’s appropriate to invite them to contact you or a backup person should there be an emergency.  This strategy allows you to practice not reaching for the Blackberry, laptop, Iphone, iPad, etc. You can begin to wind down the amount of stimuli you are craving and turn your focus to the vacation plans and packing. After all, an important part of the vacation is the anticipation of what you’ll be seeing and doing – don’t miss out on that!  When the time comes, update all away messages providing contact information to the person filling in for you.
• Professional development is an important part of every job. In addition to on-the-job training and mentoring, stepping in while you are on vacation is a great way for a colleague to get the real feel and experience of the job.  Cross-functional training is an important strategy for any organization. Use vacation planning time as a re-enforcement for workers to demonstrate their understanding, expertise and abilities to step in should there be an emergency or advancement opportunity. 
• It’s all about you - create a reasonable plan that you can honor. If it’s too impossible for you to leave the technology behind, create a schedule that’s workable for you and your travel companions. Just like planning your meetings and work projects, plan for those times when you might (if you think of it, or have time) "check in." But show discipline – remember your goal is to be as disconnected as possible.  If you feel you need it, allow yourself a brief opportunity to check in and delegate messages to others. Perhaps a half-hour after lunch and an hour before dinner would do. Whatever the schedule, don’t expand it. Honor what you negotiated with yourself and let that be it.  Doug Gross from CNN shares this strategy, "Before leaving on vacation a radio show caller shared that he gives all his passwords and user names to trusted friends. One person gets e-mail, another Twitter, etc. They’re under orders on the day he leaves to go in and change the passwords; and when he returns, they change them back." If this is what it takes for you – do it.
• Practicing the art of mindfulness can assist with reducing the urge to ‘check-in’. Being in the present moment at all times and not letting your mind wander away with distractions helps people relax and enjoy their vacation. Here’s a great article by Jay Dixit from Psychology Today to get you started on developing your mindfulness skills. 
• Plan for your return. Most researchers find that individuals get anxious the night before returning to work from a vacation, anticipating what will be stacked up and waiting for them. With this in mind, plan for this type of situation, should it occur for you, by allowing a few hours before you go to bed to review and prioritize what needs to be addressed the first morning you are back.  Even before you leave on vacation, plan for your first day back to be a catch-up day and avoid scheduling meetings, calls, appointments or other commitments that will take you away from easing back into your groove. 
• Be conscious about your privacy. Just a side note while we’re talking about unplugging: Don’t post your vacation plans, dates, locations, etc. on Facebook; this is like an open invitation to criminals. If you feel compelled to let the world know the details of your vacation, wait until you return.
• These strategies work for family members as well. More and more research is being published about the addiction children are showing to video games, Facebook, computers, texting, etc. As you plan for and model your self-control over technologies you have a great opportunity to also engage the entire family in the process. There could be some great learning here for everyone.

Hopefully you’ll enjoy the unplugged experience so much you’ll periodically revisit it. Learning to moderate technologies, just like you do your intake of other substances and activities that we know can be harmful to our health, is a healthy strategy for everyone impacted by increasing technological demands.

So What’s Next?
The world continues to spin faster and workers are increasingly seduced by the instanteousness and connectedness of ever-advancing technologies. It appears to me that it’s time for HR and IT to not only ensure we receive training on how to use the new technologies effectively in order to do our jobs more efficiently, but to also teach us the skills and techniques for managing our mental and physical health while using these tools.

Linked with these training responsibilities also comes the importance of establishing a culture that values vacation times, unplugging strategies, and healthy management of technology tools. Robots can work 24/7 – people can not.

I’m not an advocate of disconnecting forever, but I personally can share that I have found giving myself permission to disengage after 6:30p in order to spend time with my husband and provide myself with some "quiet time" has been very helpful in managing workplace stress. As I plan an upcoming vacation, I too will be trying to unplug and have some quality re-energizing time. I know it won’t be easy, but including this component into the planning process will give me a higher probability of success.

What do you think about unplugging for periodic breaks or vacations? What works for you? What role, if any, should HR and IT play in improving our knowledge about the pros and cons of working with technology devices?  Please share your ideas and comments below.

Getting Workaholics to Unplug

Boss or Friend - or Can It Be Both?

I’ve recently observed two situations that surprised me. One was a meeting where the Chairman refused to send late notices to several customers behind in their payments. He stated he didn’t want to do this because he was, in his words, "trying to be kind and compassionate to those customers having problems during these challenging times." In another situation, a senior management leader rationalized why he wasn’t relieving a manager of her duties and replacing her with someone who would actually do the work, because he wasn’t sure "she had enough time to really accomplish the task," (she had had a year so far).

The reason I was surprised (and I too am a compassionate individual) is that neither leader approached the situation from the perspective of being fair to everyone impacted by the situation; they had forgotten to be mindful of not playing favorites. In both situations my perception (similar to others attending each meeting) was that these leaders were making exceptions for their "friends." Somehow they had allowed their relationships to cloud their decision making capabilities to a point where they were guided by two sets of rules – rather than one. Does this biased approach to management and decision making go on in your organization? What are the business consequences of playing favorites?

Managing the Boundaries
Managers and executives are not robots; naturally they have feelings about the people they work with. As a manger working with others I often describe my relationships with words such as: trusting, warm, close, respectful, collaborative, and open. In fact, my OD training encourages me to have relationships that are based on knowing the other person as a person first, in order to create the best working relationship.

However, there is a delicate and fine line between creating and maintaining a professional relationship and being "friends." Many of us have observed how difficult it is for a new supervisor to be successful when promoted out of a group to be made the supervisor of that group. It’s challenging for the individuals in the group to accept the behavioral changes associated with transitioning to a different relationship with the leader, and for the leader to implement the behaviors now associated with a new level of authority and respect that comes with the new position. It’s much easier to move up when it’s over a group that you have no history with.

While it can be a great motivator and team building experience for the team to go out for a meal or drinks, it’s important for the boss to establish and sustain a social and friendly working relationship within a practical boundary. If that doesn’t occur, chances are the boss will lose respect, trust and the commitment of those on the team perceived not to be in the "in crowd." So, how does the boss walk the tightrope between friendly and not-too-friendly?

• The boss should be careful about sharing. NEVER share confidential company information or information about other employees.
• The boss should remember these aren’t your "drinking buddies," "gossip club," or "social network." Lead by example, balancing the appropriate levels of friendliness and respect that align with your position.
• The boss should cultivate and maintain a culture of fairness by treating everyone with the same level of respect and expectations for performance.
• The boss should not participate, encourage or condone conduct which is, or can be interpreted as discriminatory, harassing or sexual by others participating or observing the group. Never forget that you are the boss – not the BFF.
• And what about those office romances? Yes, this could be a separate blog, but I just want to mention it here. At the first signs of romance, the boss and subordinate should step back, make a decision about how important the relationship is, and then make the right decisions about how to go forward in an open and non-compromising manner. This is one of those situations where it is black and white – it is never appropriate for the boss to be romantically involved with a subordinate. I’m all for romance, but not when it impacts the workplace. Enough said.

Leadership mentoring, coaching and training are excellent options for providing assistance to managers on how to navigate the friendship boundaries in the workplace. Depending on the leader’s background, experiences, and work style these lessons may be learned quickly. On the other hand, for someone not so tuned into people issues, or someone new to management, the learning curve may be longer. Coaching and mentoring results can be strengthened by personal insights from feedback provided through assessment tools such as: 360° Feedback, Emotional Intelligence or the Myers-Briggs Type Indicator. It’s all about being able to communicate clear expectations, raising awareness to the perceptions of others, and learning how to manage the boundaries.

Glass Half-Full or Half-Empty

Perceptions are a funny thing. Very early in my career my supervisor told me that "perception was reality." Armed with that wisdom he said my job was going to be much easier. I just needed to remember that what really mattered was how my employees perceived the situation, not what I was communicating. My job was to match my communications and their perceptions. Easier said than done! But you get the point. We’ve all seen the example of the Old Woman and the Young Girl (1888 German postcard illustration). They’re both there, but we all don’t see the same one. (Which one do you see?) It’s the same thing with our employees.

Most Management and HR 101 training programs advise leaders new to management careers to be careful not to become "friends" with employees. They encourage managers to be social, develop good interpersonal skills, demonstrate compassion and concern, but to not cross the thin line between boss and friend. The reason: the distance is necessary in order to be perceived as fair and equitable when making decisions that impact team members. Bosses need to be perceived as unbiased when a decision needs to be made such as: promotions, key projects, raises, layoffs, and cubicle vs. office. All these decisions are dissected by team members.

The number of psychologists available to help us with relationships is a demonstration of how difficult personal and professional relationships can be. Managing workplace relationships has its own set of challenges, and is compounded by the fact that we spend at least 25% of our lives at work! Naturally we want to have meaningful connections with the people around us, and therein lies the challenge – getting to meaningful without creating inappropriate perceptions.

I can just hear some of you questioning why it’s a bad idea for a manager and employee to be "friends." You may even be thinking there would be greater productivity and commitment if everyone was friends, but consider these points:

• History has demonstrated that being friends with subordinates does eventually create a negative perception and a work culture of favoritism. Even if the boss thinks he/she is being 100% fair and unbiased, second guessing will be taking place.
• The boss may not realize it, but other employees and managers will give more slack to the "friends," thinking that the boss will step in to side with the "friend" or protect them when a disagreement occurs.
• If the boss gets emotionally attached, those emotions will consciously or unconsciously influence employment decisions.
• If the boss sees an employee as a "friend," the boss will more than likely have expectations for performance that are unrealistic or inappropriate – "Gee, a friend would never do that…"
• If employees see the boss as a "friend," they may have unrealistic expectations about the company information, confidential or not, that will be shared with them to give them advance notice or a leg-up on an opportunity.
• Employees with the perception that the boss is playing favorites will consciously or unconsciously sour morale, negatively impact productivity, and increase personnel issues for the boss to manage.
• Of course, there’s always the chance that the boss and the company may be sued if employees perceive they are being discriminated against based on their perception that another employee is getting special treatment.

So What's Next?
As our workplaces become more flexible, and our technologies allow us to be connected 24/7, it’s important for organizations to help bosses manage the boundaries. Organizations need to:

• Discuss the pros and cons of being "connected friends" (i.e., Facebook, LinkedIn, Twitter, etc.) with employees.
• Educate managers on the legal ramifications (personal and enterprise) when there are perceptions of workplace discrimination.
• Provide appropriate protocol guidelines for meetings that are conducted outside the workplace, such as in someone’s home, especially since we’re moving towards more teleworking arrangements.
• Provide a culture and avenue for employees to discuss perceptions or concerns about unfair treatment in order to quickly correct situations going in the wrong direction and to minimize the surprise of lawsuits brought on because there was no other course for discussion.
• Provide coaches to assist managers in creating and sustaining a healthy and productive workplace.
• Provide a watchful eye over workplace flexibility options, layoffs, promotions, raises, etc. being granted and ensure that a fair and equitable review and approval process is being followed.
• Encourage and train new managers, those promoted from within a team to lead the team, to facilitate an open and honest discussion with team members to acknowledge changing roles and the impact these changes will have on their interactions and expectations. It’s best to be clear as soon as possible about the reality – the promotion has an upside (more money and opportunities) and a downside (no longer friends with subordinates) and both need to be respected.

The list of reasons to revisit and educate managers on the importance of balancing the boss/employee relationship is growing. What do you think? Is it ever OK for a manager to be a friend with employees? I’m looking forward to hearing from you.

Bob Sutton, Management Expert

Wanted: Global Managers

Do you remember the 1964 World’s Fair Disney exhibit, "It’s a Small World"? (It debuted the song you can’t get out of your head as soon as you hear it.) Well fast forward to the 21st century and we’re there – "it’s a small, small world." The notion of a global marketplace is no longer a prediction; it’s here, and its impact is far reaching. 

Globalization not only impacts companies that import and export products. It influences the operations of all types of industries that have facilities in the U.S. and overseas, as well as totally U.S.-based enterprises that have competitors in foreign countries. Today, companies with an Internet presence and a few employees can, and do, compete effectively in the global marketplace. Globalization - the movement toward economic, financial, trade, and communications integration - is impacting all types of businesses, regardless of size.

We’ve grown beyond just large corporations like Coca-Cola and Sony needing to pay attention to how international business is driving changes to our education systems, leadership development programs, customer service approaches, technologies and financial decisions. Business investments in products, services, workforces, facilities, technologies, and communities all have to consider what’s occurring in the global marketplace. Is your organization considering these influences? Is your leadership team designing strategic initiatives for competing and winning in a smaller world?

A "World-Wise" Road Map
The 2010 IBM Global Chief Human Resource Officer Study, titled Working Beyond Borders, found that "while organizations continue to develop and deploy talent in diverse areas around the globe at an accelerated rate, the rationale behind workforce investment is changing." The study findings indicate that:

• expansion requires workforce redirection to locations providing the greatest opportunity, not just lower costs
• management strategies to reflect an increasingly dynamic workforce must be re-imagined
• competitive success will depend on leadership talent to assimilate information and share insights among a diverse group of employees living and working around the globe
• social networking and collaboration "soft" skills also have a beneficial bottom-line consequence

Supporting the IBM Global Study findings, the May issue of HR Magazine, (available to SHRM members), includes an interesting article by Kathryn Tyler entitled, Global Ease.

Kathryn’s article focuses on the strategies necessary to help organizations build "culturally competent" Chief Human Resource Officers (CHRO). I saw the value of these strategies carrying over to any manager responsible for leading international work teams; not just HR. So I’m offering them for your consideration.

Ms. Tyler suggests that organizations and individuals can independently and collaboratively incorporate career learning opportunities, such as the following, to boost global leadership development:

Travel - A long term assignment may not be practical for everyone; but with a slight modification, perhaps taking an 18-month assignment with two-week trips back to the states every three months, it may be a workable option. Work and travel should be focused on countries and cultures that are important to the organization whether the location is dedicated to operations, labor or customer markets.

International degrees and workshops - Not all professionals need an international degree. Enrolling in global courses can be very educational and rewarding. Schools such as the Thunderbird School of Global Management offer courses on various topics related to globalization. However, for managers who have the time for and interest in an international degree, the experience can be valuable and allow for establishing a strong business network with executives from other countries.

Read globally - Keeping up on world news through country specific newspapers and resources such as The Wall Street Journal, Forbes, The Economist, Fortune and Harvard Business Review is a must. Incorporating discussions about current international events into management meetings can also lead to innovation and creativity.

International projects - Managers should be encouraged to study a new language, assisted by resources such as Rosetta Stone; and to volunteer for project assignments as they are identified. An organization can build a competitive advantage by locating managers in emerging markets for a year or two in order to gain an understanding of the way work and business relationships are accomplished.

Multicultural network - Leaders should be encouraged to network with other managers and executives who have international backgrounds and responsibilities, even if their role is not the same. Managers can also be matched with mentors outside the U.S. and should be offered access to opportunities where they could join in on international team projects.

So What’s Next?
The writing is more than on the wall: Globalization is here to stay, and leaders need to be taking the right steps to embrace it. Just by virtue of the word, globalization means business not usual. Therefore, it requires new thinking and new ways of doing things.

As I wrote about last week, planning and implementing organizational change isn’t a strong suit for American businesses; as demonstrated by a 70% failure rate. It takes time and commitment to successfully initiate change and to have it embraced by employees. But it can be done with the right leadership and change management approach.

According to Peyman Dayyani, VP of Organizational Development and Human Capital for Mobile Communication Company of Iran, who was quoted in Tyler’s article, "acquiring global skills should include a 70-20-10 learning approach: 70% learned by doing, 20% from being mentored by individuals with a global mind-set, and 10% by reading and attending classes." This formula can provide a good yardstick for developing the mixture of global learning experiences suited for specific organizational needs.

Not only do organizations need to consider the impact of globalization in their approach to strategic expansion, they also have to re-imagine their orientation, leadership development and human resource programs that support workforce analysis, succession planning, engagement, job rotations and more. Leadership development, especially to grow global cultural competencies, still seems to be elusive to many organizations. According to IBM’s Study, companies are struggling to both find and nurture effective future leaders.

Cultural competencies necessary for the success of global leaders according to Kathryn Tyler include self-awareness and the knowledge of how you are perceived by others; language acquisition, which not only provides a means for communication, but also allows for insights into the culture; and societal sensitivities, which allow leaders to be open to different solutions and adaptable to different cultures and work style norms. Leadership development programs focused on integrating these competencies along with the traditional leadership skill sets would go far in helping executives prepare for managing an international workforce.

The experts have gathered data, analyzed it and are laying out road maps for tuned-in organizations to follow in their quest to motivate and prepare leaders for the changing requirements of global management. What advice would you add to aid companies trying to strategize about how to prepare for success in a global market?

Professor Andrew Kakabadse

Coaching Adaptive Change

Thinking is easy, acting is difficult, and to put one's thoughts into action is the most difficult thing in the world. - Johann Wolfgang von Goethe

This quote was posted today by Kathleen Friesen in her blog Ideas for Reflection. What perfect timing, as I was beginning my blog on integrating a coaching strategy into an organization’s approach to change, because "putting one’s thoughts into action is difficult," especially when you’re trying to do it alone.

For at least 15 years I’ve been writing about various concepts and techniques for successful change management. When I started, human resource/change management gurus like Wayne Cascio were quoting that "70% of all change initiatives taken on by businesses fail." Today, Harvard Business Review is still quoting that same rate. Why is it that after all this time, we haven’t improved our capabilities to be successful with change? Perhaps the answer lies in our unrealistic expectations about how change works.

Technical vs. Adaptive ChangeOne reason we continue to see a steady stream of unsuccessful change initiatives is that most organizations treat all change in the same manner. This causes problems, because not all change is alike. As more research is being conducted on our change management efforts, we’ve seen evidence that there are two types of change:

Technical change - when the solution is known and can be provided. This type of change is usually straightforward and relatively easy to implement; i.e. our assembly line needs to be updated to the latest technologies. The impact is installation of the new equipment, training on the new equipment and processes, and perhaps updates to operational policies and procedures.

Adaptive change - the solution is not cut and dry; it requires experimentation, growth, new discoveries, and adjustments to various functions throughout an organization. The ultimate solution is the product of the journey.

Adaptive Change Model, Carol Mase, Shift Magazine, Spring 2009
Used with permission.

Carol Mase, author of an interesting article, The Adaptive Organization provides a great illustration of the work and focus required for change to occur when the outcome isn’t as straightforward as a technical solution. Reading her work, I immediately wanted to layer it with the concepts Jeanie Daniel Duck writes about in her book The Change Monster.  Carol’s work is a terrific integration of the people and system realities of change.

Examining Mase’s Adaptive Change Model we see it merges two important aspects of change, once the transitional change aspect has been initiated. The process allows for the psychological trajectory of transformational change (blue line) as well as the structural journey (red line) of transactional change. Where we run into problems is trying to deal with the destabilizing events (both internal and external) that occur during change initiatives which generate "adaptive strain" and confusion. Following the red line you can see the emotional trauma brought on by change for many individuals, and can visualize where those Change Monsters are hiding, ready to jump out at every twist and turn to foil your progress.

Mase suggests that adaptive challenges require leaders that are comfortable and prepared to grow into a solution as they motivate the hearts and minds of others to embrace the new vision and perform differently. Looking at change holistically allows growth and expansion for the organization as it achieves a higher performance level and behavioral changes that are sustainable.

I found The Adaptive Organization to also be a great roadmap for how executive coaches can aid managers experiencing and/or driving change in their organizations. A coach can be a valuable partner assisting the manager in finding the courage to stay in the "Cauldron of Change" through the difficult personal work that must be done, processing changes to mind-sets and behaviors associated with Endings, Neutral Zone, and New Beginnings (William Bridges) A coach provides reassurances, as appropriate, that it’s ok to "feel your way" to the next course of action when you can’t see clearly what’s supposed to come next; supports and tempers those feelings of urgency to have all the answers before the questions are asked; and offers encouragement when personal doubt surfaces.

Tool Kit: Adaptive Change Skills and a Coach

Adaptive Change Model, Carol Mase, Shift Magazine, Spring 2009
Used with permission.

We all know the value of accountability in changing behaviors. Look at the success of the Weight Watchers program, marathon and Olympic trainers, or college study groups. If you want to change behavior, and in doing so the culture of the organization, you are more likely to have success if you are accountable on a consistent basis. That’s the job of the coach. The coach also guides the journey with assessments, honest dialogue, tough questions and a professional commitment that honors ethics and confidentiality.

Ms. Mase summarized her research by noting the key leverage points required to successfully facilitate adaptive change:

• "Implement collective conversations to produce clear, compelling and shared visions for the future.
• Ensure leadership has the abilities to tap the collective intelligence of the system while using its diversity, imagination and creativity to resolve the adaptive strain.
• Nurture leaders that builds relationships of trust, commitment and collaboration."

What would your organization be like if your managers had the support they needed to deal with the chaos of the "Cauldron of Change" and stay the course until creativity and innovation emerged?

When leaders are not properly skilled to manage themselves, as well as their organizations during times of uncertainty, organizations tend to resist the change, deny there is a need for it, and return to the status quo; aborting the change initiative and proving, "If you just wait long enough, everything will go back to the way we used to do it." Another failed change initiative!

So What’s Next?

Research indicates that organizational success is strengthened by:

• Leaders identifying and building their adaptive change skills and competencies
• Employers understanding employees will alter their mind-sets only if they see the point of the change – building trust, opening communications and soliciting collaboration are critical skills for managers to possess to motivate engagement of change
• Modifying policies, procedures, and reward and recognition systems to encourage the behaviors, culture and performance goals envisioned for the future
• Ensuring employees are building the required future skill sets to achieve the vision
• Leadership modeling new behaviors and performance expectations on a consistent basis

I’ve seen the remarkable changes coaching can inspire in individuals, as well as teams, when confronted with significant workplace change. There certainly is a place for each of the diverse training methods available today (i.e., classroom, workshops, webinars) when aligned to accommodate the appropriate transfer of knowledge, skills and abilities. The coaching experience is yet another developmental strategy providing for personalized and unique dialogues, guided discoveries, and a safe environment to practice realigning attitudes, values, and behaviors with the needs of the new organization.

We’re all dealing with change. If you haven’t taken a moment yet to read Carol Mase’s article, please do. I think you’ll enjoy it and it will help to expand your thoughts about managing change and the importance of being skilled to deal with adaptive, as well as technical change.

As you’re considering what I’ve written today, I’m curious to hear about your experiences with change: Can you see a way the Adaptive Change Model could help you facilitate change? Thank you for sharing your lessons-learned, comments and thoughts.

 Dan Heath