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Understanding Corporate Culture; Human Metrics; And The Wisdom of World Class Organizations

Understanding Corporate Culture; Human Metrics; And The Wisdom of World Class Organizations

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  • 1. Principles of a World Class Organization A Presentation To Treasure Valley Chapter ASTD By Lawrence J. Carson Meridian, Idaho (208) 884-4267 [email_address]
  • 2. CREATING The Keys to “ Discovery” E / R = I Curiosity Excitement Commitment Are You Ready ?
  • 3. An Overview To The Principles of a ... World Class Organization Topics ? The Power of Curiosity. ? Problems Facing Corporate America Today. ? Why These Problems Exist. ? Principles of Corporate Success * What is EI ? * What is Corporate Culture ? * Why Are These Important ? ? The Science of Mind * Mental Meta Models at Work * Putting “Action Science” Into Action! Curiosity, Excitement, Commitment
  • 4. 1st Aware 2nd Reflect 3rd Respond 4 th Results The Brilliance of Mind How We Think Tapping Into The Power of Genius 1st Aware Today's Focus
  • 5. 1st Aware Today's Focus L I F E’S F E E D B A C K The Old The New Interesting Boredom Exciting Confusing Curiosity’s Learning Rate
  • 6.
    • PROBLEMS
    • FACING CORPORATE AMERICA
    • TODAY
    Principles of a World Class Organization Tapping into the Power of Curiosity Excitement And Commitment To Learn About
  • 7. Statistical Findings Less Than Half of Workers Are Committed to Their Organization’s Goals SURVEY REFERENCE March 18, 2004 Accounting WEB.Com Franklin Covey, which has surveyed more than 2.5 million people about productivity and effectiveness issues, recently released the following findings of its latest Execution Quotient Study of U. S. Workers.
  • 8. Less Than Half of Workers Are Committed to Their Organization’s Goals
    • On the Issue of “ Clarity ”
    • Only 44% of workers say their organization has clearly communicated its most important goals
    • Only 54% of workers say they clearly understand what they are supposed to do to help achieve their organization's goals
    Statistical Findings
  • 9. Less Than Half of Workers Are Committed to Their Organization’s Goals
    • On the Issue of “ Commitmen t ”
    • Only 22% of workers are enthusiastic about the goals they set with their work teams
    • Only 39% of workers say they are highly energized and committed to the direction of their work team
    Statistical Findings
  • 10. Less Than Half of Workers Are Committed to Their Organization’s Goals
    • On the Issue of “ Commitmen t ”
    • Only 41% of workers say their job taps into the best of their talents and passion.
    Statistical Findings
  • 11.
    • On the Issue of “ Translation Plans Into Action ”
    • Only 48% of workers say the goals of their work team are translated into their individual work goals
    • Only 32% of workers say they take time each week to identify and schedule the activities around their work team's most important goals
    • Only 38% of workers say their work team planning results in clear assignments for individuals
    Statistical Findings Less Than Half of Workers Are Committed to Their Organization’s Goals
  • 12.
    • On the Issue of “ Enabling Employees ”
    • Only 38% of workers say that their work team systems and processes are aligned to help the team achieve its goals.
    • Only 15% of workers say their upper management actively supports the goals of their work team.
    Statistical Findings Less Than Half of Workers Are Committed to Their Organization’s Goals
  • 13.
    • On the Issue of “ Most Significant Barriers ”
    • Overwhelming workload (e.g., too much to do, can't get to all my key priorities) (31%)
    • Unclear or shifting work priorities (e.g., other people's urgencies and emergencies, conflicting demands, surprise projects) (27%)
    Statistical Findings Less Than Half of Workers Are Committed to Their Organization’s Goals
  • 14.
    • On the Issue of “ Most Significant Barriers ”
    • Political issues (e.g., turf battles, rivalries, favoritism, personality clashes) (26%)
    • Lack of recognition or reward (e.g., credit not shared, unfair pay, rewards not tied to performance) (26%)
    Less Than Half of Workers Are Committed to Their Organization’s Goals Statistical Findings
  • 15.
    • PROBLEMS
    • IN CORPORATE AMERICA
    • TODAY
    WHY ? Principles of a World Class Organization
  • 16. Leadership’s Insight into “Corporate Culture” Drivers Barriers What Are Your ... Emotional Commitment “ Want To ” Skills Competencies “ Know How To ” To Success
  • 17. Principles That Drive Drivers Success 1. Employee Commitment & Passion 4. Size 3. Profitability 3. Customer Service & Loyalty 5. Economy of Scale 6 . Market Value Barriers Principles of a World Class Organization “ Leadership’s Insight” What Are Your ... 2. Employee Competency & Expertise What Drives and Limits .. “ Employee Productivity” ?
  • 18. The Big Picture
    • Cause – Effect ... Drivers & Barriers
    Corporate Culture
    • WORLD CLASS
    • PERFORMANCE
      • Profits
      • Cash Flow
      • Quality Work Life
    Define, Measure , Benchmark & Manage Your Key Performance Drivers To Improve Your ... Principles of a World Class Organization Emotional Commitment “ Want To Do ” Skills Competencies “ Know How To Do ” + Key Performance Indicators DRIVES
  • 19.
    • On Managing Corporate Culture
    • 1 st Emotional Commitment ~ EI
    • 2 nd Skills Competency ~ IQ
    WHY Is This Important? Principles of a World Class Organization
  • 20. Principles of a World Class Organization Why Is This Important ?
    • Benefits of “E I” . . . “ LEADERSHIP ” Impact
    • Research by the Center for Creative Leadership has found that...
    • Competency research in over 200 companies and
    • organizations worldwide suggests that about:
    • > Two-thirds ( 67%) of productivity differences was
    • attributable to Emotional Competence while ...
    • > Only one-third ( 33%) is due to Technical Skill.
    • In a large beverage firm, division presidents with strong
    • EI skills:
    • > Outperformed their performance targets by 15 - 20%,
    • > Had a 46% less turnover and
    • > 87% ranked in the top third in performance.
    EI Emotional Commitment
  • 21. Why Is This Important ?
    • Benefits of “E I” . . . “ LEADERSHIP ” Impact
    • Research by the Center for Creative Leadership has found that...
    • Partners in a multinational consulting firm who scored
    • above the median on 9 or more of the 20 competencies:
    • > Delivered $1.2 million more profit than did other
    • partners - a 139 percent incremental gain.
    EI Emotional Commitment Principles of a World Class Organization
  • 22. Why Is This Important ?
    • Benefits of “E I” . . . “ MANAGEMENT ” Impact
    • Research by the Center for Creative Leadership has found that...
    • Mangers at American Express that underwent EI training
    • had departments that grew business:
    • > By 18.1% compared to 16.2% for those whose
    • “ Managers” were untrained.
    • 2) After receiving EI training, manufacturing supervisors:
    • > Reduced lost-time accidents by 50%,
    • > Reduced employee grievances by 12%, and ...
    • > Increased productivity by 17%
    EI Emotional Commitment Principles of a World Class Organization
  • 23.
    • Benefits of “E I” . . . “ MANAGEMENT ” Impact
    • Research by the Center for Creative Leadership has found that...
    • The US Air Force found that by using EI selection criteria
    • they:
    • > Increased their predictive ability to select successful
    • recruiters by nearly three-fold or 300%.
    EI Emotional Commitment Principles of a World Class Organization
  • 24. Why Is This Important ?
    • Benefits of “E I” . . . “ EMPLOYEE ” Impact
    • Research by the Center for Creative Leadership has found that...
    • 1) Sales agents at L’Oreal selected on the basis of EI:
    • > Sold $91,370 more than their counterparts for a
    • > Net revenue increase of $2,558,360 and ...
    • > Experienced 63% less employee turnover.
    • In jobs of medium complexity (sales clerks, mechanics),
    • a top EI performer is:
    • > 85 percent more productive than an average
    • performer and ... > 12 times (1,200%) more productive than those
    • at the bottom.
    EI Emotional Commitment Principles of a World Class Organization
  • 25.
    • Benefits of “E I” . . . “ EMPLOYEE ” Impact
    • Research by the Center for Creative Leadership has found that...
    • Learned optimism – one of the EI’s competencies – was
    • found to be:
    • > A driving determinant among salesmen who
    • sold 37 percent more than pessimists.
    • In a large collection agency, employees scoring high
    • in EI:
    • > Outperformed other associates by 83%.
    EI Emotional Commitment Principles of a World Class Organization
  • 26. Drivers Success “ Leadership’s Insight ” Emotional Commitment “ Want To ” Skills Competencies “ Know How To ” SUMMARY Emotional Commitment Why Is This Important ? Drivers Principles of a World Class Organization = 67 % of Your Engine’s Horse Power = 33 % of Your Engine’s Horse Power
  • 27. The Big Picture
    • Cause – Effect ... Drivers & Barriers
    Corporate Culture
    • WORLD CLASS
    • PERFORMANCE
      • Profits
      • Cash Flow
      • Quality Work Life
    Define, Measure , Benchmark & Manage Your Key Performance Drivers To Improve Your ... Emotional Commitment “ Want To Do ” Skills Competencies “ Know How To Do ” + Key Performance Indicators Principles of a World Class Organization DRIVES
  • 28. Principles of a World Class Organization E I ? (Emotional Intelligence) What is
  • 29. “ The Ability to Understand others and act wisely in human relations” EI Emotional Commitment Emotional Intelligence is defined as* Daniel Goleman, “ Emotional Intelligence – Why it can matter more than IQ ,” (New York: Bantom Book, 1995), p.42 Principles of a World Class Organization
  • 30. I) PERSONAL COMPETENCIES: Self Awareness Skills – Knowing and being aware of one’s emotions Self- Regulation Skills – Managing one’s own emotions Self-Motivation Skills – Motivating one’s thoughts and behavior II) SOCIAL COMPETENCES: Social Awareness Skills – Recognizing emotions in others Social Motivating Skills – Handling social relationships EI Emotional Commitment Emotional Intelligence is Comprised of Two Primary Categories And Principles of a World Class Organization
  • 31. EI Emotional Commitment Emotional Intelligence Personal Competencies is Comprised of
    • I) PERSONAL COMPETENCIES
    • A) Self Awareness Skills:
    • > Emotional Self-Awareness > Self-Confidence
    • > Accurate Self-Assessment
      • B) Self- Regulation Skills:
      • > Self-Control > Trustworthiness
      • > Conscientiousness > Adaptability
      • > Innovation
      • C) Self-Motivation Skills:
      • > Commitment > Initiative
      • > Optimism > Achievement Orientation & Drive
  • 32. EI Emotional Commitment Emotional Intelligence Personal Competencies is Comprised of
    • II) SOCIAL COMPETENCES
    • A) Social Awareness Skills ~ Recognizing emotions in others
      • > Empathy > Service Orientation
      • > Developing Others > Leverage Diversity
      • > Political Awareness
    • B ) Social Motivating Skills ~ Handling social relationships
      • > Influence & Persuasion > Communication
      • > Leadership > Change Catalyst
      • > Conflict Management > Building Bonds / Networks
      • > Collaboration & Cooperation > Team Capabilities
  • 33. “ About 15 percent of one’s financial success Is due to one’s technical knowledge and about 85 percent is due to skill in human Engineering – to personality and the ability to lead people” “ Dealing with people is probably the biggest Problem you face, especially if you are a businessman.” Dale Carnegie – “How to Win Friends and Influence People”- 1936 Principles of a World Class Organization
  • 34. Principles of a World Class Organization Why Is This Important ? Corporate Culture ? (The Synergy of ... ) What is
  • 35. Corporate Culture ... Defined Quality & Client Relationships 12 Employee Satisfaction 9 Empowerment 4 Coaching 4 Long-Term Orientation 5 Training & Development 6 Fair Compensation 3 Commitment, Enthusiasm, Respect 6 High Standards 5 Factor Identification No. of “ Attributes ” b= 104.12 b= 0.404 b= 0.249 b= 0.334 b= 0.275 b= 0.285 b= 0.365 b= 0.247 Correlates
    • Statistical Methodology
    Corporate Culture Predictive Correlates “ Factor Analysis ” allows one to combine individual questions into statistically related groups or factors through standard correlation calculations. From this process 74 questions were developed out of a series of test questions that were thought to “ Correlate ” to an organization’s financial performance. Each of the 74 questions were then grouped by and into 9 “Factors”. Then, “ Stepwise Regression Analysis ” was used to determine if there were a “set” of questions or correlated “Factors” that can effectively “ Predict ” an organization’s financial performance. The predictive correlates below show the statistical results. Measure To PREDICT & Manage Your Financial Future Note: A 1 point increase on an employee Rating scale of 1 – 6 would Increase the Financial Results by a factor of ...
  • 36. Measuring Corporate Risk Core Competency & Core Commitment The Financial Performance Index Two-year % in Sales Growth Two-year % Growth in Profits Profit Margin Profit Per Employee Employee Satisfaction Empowerment Coaching Long-Term Orientation Training & Development Fair Compensation Commitment Enthusiasm Respect High Standards Causation Modeling KEY DRIVERS Correlating Attributes Predictive Attributes Quality & Customer Relations Human Metrics Financial Metrics Drives Corporate Culture
  • 37. Principles Of A World Class Organization
    • WORLD CLASS
    • PERFORMANCE
      • Profits
      • Cash Flow
      • Quality Work Life
    Corporate Culture Emotional Commitment “ Want To ” Skills Competencies “ Know How To ” + DRIVES What Are Your ... Drivers Barriers Success
  • 38. Emotional Commitment How Do We Begin ? Skills Competencies Principles Of A World Class Organization 1 st Perform A Diagnostic Assessment AWARE 2 nd Set Sequential Priorities REFLECT 3 rd Implement Change Initiatives RESPOND 4 th Benchmark “ Executive DashBoard ” RESULTS Success
  • 39. “ When Leaders Manage Culture ... Culture Inspires People ... To Self Manage ” Yrral Nosrac Principles of a World Class Organization
  • 40. Principles of a World Class Organization A Meta Matrix Model For World Class Organizations The Matrix Of Creation Aware Reflect Respond Result Curious Excited Committed E I Culture World Class ?
  • 41. A Presentation To Treasure Valley Chapter ASTD By Lawrence J. Carson Meridian, Idaho [email_address] Thank You Principles of a World Class Organization
  • 42. The Beginning ...
  • 43. Time Permitting Here is a Bonus Seven Minutes Required
  • 44. An Introduction to An Understanding of Mental Meta Models The Science of Mind Developed by Lawrence J. Carson Putting “Action Science” Into ... ACTION
  • 45. The Meta Matrix of The ... Deletion, Distortion, Denial P A = V E Principles Actual Perception Variance Emotional Energy R R Response Results! Feedback Network Values Beliefs Awareness Screen of Reality Differences vs. Similarities Questions About Meaning Emotional ~ Quality ~ Intensity Rational vs. Reactive Behavior Mental Emotional Behavior Physical Relational Financial Etc. Mind Wants F I L T E R S Forward & Back Bias Response Stimulus At The Conscious Level At The Other Than Conscious Level Q’s
  • 46. Corporate Culture IQ Intelligence Quotient EI Emotional Intelligence EI Emotional Commitment IQ Best Business Practices Success E R R P Principles A Actual Perception V Variance Q’s Questions About Meaning = - Emotional Energy Response Results!
  • 47. Human Metrics 3. Profitability 5. Economy of Scale 6. Market Value 4. Size Customer Loyalty 2. Customer Service Financial Metrics Employee Satisfaction The Foundation To Success Drives Leadership’s Insight ... Six Critical Imperatives
  • 48. The Beginning ... Principles of a World Class Organization How Can You Begin to Measure The Human Metrics Of Your Organization?
  • 49. Want To Know How To The Beginning ... Principles of a World Class Organization
  • 50. The Brilliance of Mind Curiosity Today's Focus 1st Aware
  • 51. A Presentation To Boise Chapter ASTD Thank You Principles of a World Class Organization The Beginning ... By Lawrence J. Carson Meridian, Idaho (208) 884-4267 [email_address]
  • 52. Employing The Brilliance of Mind By Tapping Into The Science Of Mind
  • 53. Having The Brilliance of Mind
  • 54. Principles of a World Class Organization Principles of Life. Are built Upon Inspire The Spirit of man To Create A World of Dignity, Peace & Joy
    • The Beginning of ...
  • 55. The Emotionally Intelligent Workplace By: Daniel Goleman, Ph.D CHAPTER THREE In 1998, in Working with Emotional Intelligence, I set out a framework of emotional intelligence (EI) that reflects how an individual’s potential for mastering the skills of Self-Awareness, Self-Management, Social Awareness, and Relationship Management translates into on-the-job success. This model is based on EI competencies that have been identified in internal research at hundreds of corporations and organizations as distinguishing outstanding performers. Focusing on EI as a theory of performance, this chapter presents a new version of that model, looks at the physiological evidence underlying EI theory, and reviews a number of studies of the drivers of workplace performance and the factors that distinguish the best individuals from the average ones. Also see Emotional Intelligence – Why it Can Matter More Than IQ By: Daniel Goleman, Ph.D. Emotional Intelligence
  • 56. Practice What You Preach – What Managers Must Do To Create A High Achievement Culture By: David H. Maister, Ph.D. (Free Press; New York) Firms that are perceived by their employees to actually practice what they preach are more financially successful than their competitors, says consultant David H. Maister, based on a worldwide survey of 139 offices in 29 countries in 15 different lines of business. Maister asked the simple question: “Are employee attitudes correlated with financial success?” The answer he found, was “an unequivocal ‘Yes!’ ” Further, the author shows that high levels of employee commitment and dedication to be a demonstrable and measurable “cause” in financial performance. If your firm does not promote enthusiasm, high morale and other “Business Drivers” within your culture, your firm will loose money while your competition takes their people to the next level of ... A World Class Operation . Corporate Culture
  • 57. Good To Great … Why Some Companies Make The Leap … and Others Don’t. By: Jim Collins – 2001 (Harper Collins Pubs.; New York) Built To Last – Successful Habits of Visionary Companies By: Jim C. Collins & Jerry I. Porras– 2001 (Harper Business; New York) The Balanced Scorecard – Translating Strategy Into Action By: Robert S. Kaplan & David P. Norton - 1996 (Harvard Business School Press; Boston) The HR Scorecard …Linking PEOPLE, Strategy, and Performance By: Brian Becker, Mark Huselid & David Ulrich - 2001 (Harvard Business School Press) How to Think Like Leonardo da Vinci By Michael J. Gelb – 1998 (Dell Publishing; New York)
  • 58. Extras If Time Permits
  • 59. On Communications
    • Co m m  Latin (Together, United, Oneness)
    • Comm unications
    • Comm itment
    • Comm erce
    • Comm unity
    • Comm union
  • 60. S tandards Expectations Best Business Practices Leadership Self-Managed Employees Accepted Task Responsibilities Delegate & Support Decision Authority Organization Chart P osition Description PRODUCE 1. Money 2. Security 3. Fulfillment Business P lan Reconciled Accountability Plan – Organize – Staff – Direct – Control . . . People – Support Systems – Customer Focus . . . Money – Security - Fulfillment Coach & Cheerleader ? The Principles of Triangulation Communications in Your Business Continual Learning Feedback Loop
  • 61. Principles of Organizational Development Corporate Culture Corporate Culture C o m p e t e n c i e s 1 st 5 th 4 th 3 rd 2 nd 6 th 7 th P – A = V  E S – A = V  E V A L U E S B e l i e f s Behavior T h o u g h t s E-Motion C o m p e t e n c i e s Click To Continue Environmental Results ( Internal & External)
  • 62.
    • A Five Minute “Experiential Process” to:
      • Create
      • Amplify &
      • Anchor
    • The Power ... & Insight ... of Your Mind
    Principles of a World Class Organization Are built Upon Principles of People ... Ie. Dignity, Peace & Joy
  • 63. Curiosita Senses Demonstrate “ How to Think Like Leonardo da Vinci” – Michael J. Gelb Connection Suffer Art & Science Corporal
  • 64.
    • So …
    • Do You
    • Want To Experience the Difference …
    • That Will Make the Difference
    • You Still Don’t Believe
    • is Possible?
  • 65. Principles of a World Class Organization Want To … Learn How to …

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