Replying to LO28028 --
>"It is easier for a camel to go through the eye of a needle, than for an
>OO (Ordinary Organization) to become a LO by studying and practicing the
>5 disciplines".
Ouch......I sure feel sorry for the camel. Turns into a thin camel rug I
guess.
I am still not certain exactly what a "learning organization" is, or how
it differs from an organization that is well run, does fun stuff
(meaningful) and is a place where I like to hang out and do my thing.
There is a good book though that was recently published on transformations
that I found interesting. I am biased because the book talks about
transformations in a way that I relate, and have found to be true over the
years. The book is titled "Good to Great" by Jim Collins amazon ref.
http://www.amazon.com/exec/obidos/ASIN/0066620996/
Collin's describes companies that were mediocre (i.e., long histories of
not hing special) for many years, that somehow manage to become great
organizations. They focused on publicly held companies because comparable
information on performance was readily available. For some reason they
only looked at U.S. companies, I am not sure why, that aspect is somewhat
disappointing and a typical US view of the world. Public institutions and
not-for-profit organizations were not looked at because of the lack of
comparable public quantitative information.
They defined good to great as:
1. A fifteen year period of cumulative stock return performance at or
below the general market
2. A transition period
3. Cumulative returns at least 3x the overall market over the next
fifteen years.
Those time frames exclude companies less than 30 years old, exceed the
lifetime of most CEO's and all change programs, and exclude the effect of
the big lucky break (right place, right time).
I will summarize the key attributes as I understand them. Collin's may
object to my wording.
First, the organization is driven by Level 5 (you will love this At)
Leadership. Simply speaking, the leader places the organization's needs
and welfare above his/her own, e.g., they don't maximize their financial
gains. Level 5 leaders "build enduring greatness through a paradoxical
blend of personal humility and professional will."
Second, an organization has to have the right people on the bus in the
right seats. Organization's will not excel without good people. If you
have good people, then good things will happen. "The leader" does not
have to set the direction on her own. Once you get the right people in
the organization, in the right seats they will figure out where to drive.
Third, you need to maintain an unwavering faith that you will prevail
while at the same time have the discipline to confront reality. Don't
shoot the messenger. Let people describe reality as they see it, confront
the facts, know the (your) situation, then make a decision and move on it.
Sometimes very heated, emotional discussions.
Fourth (plus) - this one is the hardest to capture in a few words. Collin's
calls it the Hedgehog Concept. They combine quite a lot in this block. It
doesn't have to happen fast, it's unlikely to do so. It evolves over a
several year period as people and the company figure this stuff out.....hence
the "hedgehog."
It boils down to:
a. What can we be best in the world at? (I feel I was born to do this.) -
The organization identifies a core competency that it can be best in the
world at and sticks to it, avoiding other once in a life time
opportunities that do not fit with its key area of focus.
b. What drives our economic engine? (I get paid to do this? Am I
dreaming?) - A simple financial measure to drive focus. Nucor used
profit per ton of finished steel vs. profit per division; Fannie May used
profit per mortgage risk level vs. profit per mortgage.....the good to
great companies all identified one key metric that helped to drive focus
and resolve alternative tradeoffs.
c. What are we passionate about and absolutely love to do? (I look
forward to getting up and throwing myself into my daily work, and I really
believe in what I am doing.)
Fifth, a disciplined culture (many people buying into and driving the
concept) rather than the CEO driving her version of discipline into the
company (e.g., Iacocca, Stanley Gault, Harold Geneen, etc. all strong CEOs
whose organizations suffered after they left). Yet at the same time
people have a freedom to act within those guidelines. Disciplined
thought, people and action.
Sixth, use technology as an accelerator not a creator of value. You don't
begin your transformation with technology. Yet, you may be a pioneer
(leading edge) in the application of carefully selected technologies that
fit with your business foundations (hedgehog concepts).
Seventh (and final) break through concepts. It may look to the outside
world like the companies implemented a significant break through and the
change happened over night. But in fact it took many small steps
initially to get organized and to gain some momentum. As momentum gets
built successes are taking place. Those successes help to modify/solidify
the concepts and to drive more change. At some point during the cycle it
looks like a break through took place to outsiders but to insiders these
have been steady steps along the way. No one step or decision did it. It
happens from many steps over time.
I apologize for the simplistic summary. If you are interested in more
read the book. The thought for this note clicked from the discussion
between Elixabete, At and Artur F. Silva on can something be transformed
from mediocre to a learning organization.
I know, I would not want to be the camel. But transformations are
possible, they are just not probable. Many organizations and people do it
halfway and that is commendable because it is hard work. A few rise above
the rest and serve as models for the rest of us. The Collin's book
identifies eleven of them. Some of them are having problems today, so
there is no magic forever an swer (ain't that a bummer).
Best wishes to all,
Michael Bremer
from snowy Chicago (winter finally came, a day after Spring....yuck)
The Cumberland Group
www.thecumberlandgroup.com
630-789-8262
--Learning-org -- Hosted by Rick Karash <Richard@Karash.com> Public Dialog on Learning Organizations -- <http://www.learning-org.com>
"Learning-org" and the format of our message identifiers (LO1234, etc.) are trademarks of Richard Karash.