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Organizational balance
1. Achieving a good P ⁄ PC balance
Steven covey: 7 Habits of highly effective persons.
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2. The P / PC Balance this is a balance between
the productions (P) of desired results and the
production capability (PC). or maintenance of
the producer An excessive amount of focus in
either production or production capacity will
have disastrous results.
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3. The P/PC balance principle can be easily
understood by remembering Aesop´s fable of
the goose and the golden egg. This fable is
the story of a poor farmer who one day
discovers in the nest of his pet goose a
glittering golden egg. At first, he thinks it
must be some kind of trick. But as he starts
to throw the egg aside, he has second
thoughts and takes it in to be appraised
instead
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4. The P/PC balance principle can be easily
understood by remembering Aesop´s fable of
the goose and the golden egg. This fable is the
story of a poor farmer who one day discovers in
the nest of his pet goose a glittering golden egg.
At first, he thinks it must be some kind of trick.
But as he starts to throw the egg aside, he has
second thoughts and takes it in to be appraised
instead The egg is pure gold! The farmer can’t
believe his good fortune. He becomes even more
incredulous the following day when the
experience is repeated
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5. The egg is pure gold! The farmer can’t
believe his good fortune. He becomes even
more incredulous the following day when the
experience is repeated. Day after day, he
awakens to rush to the net and find another
golden egg. He becomes fabulously wealthy;
it all seems too good to be true.
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6. But with his increasing wealth comes greed
and impatience. Unable to wait day after day
for the golden eggs, the farmer decides to kill
the goose and get them all at once. But when
he opens the goose, he finds it empty. There
are no golden eggs – and now there is no way
to get any more. The farmer has destroyed
the goose that produced them.
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7. I suggest that within this fable is a natural
law, a principle – the basic definition of
effectiveness. Many a time people see
effectiveness from the golden egg paradigm:
the more you produce, the more you do, the
more effective you are
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8. As the story shows, true effectiveness is a
function of two basic things: what is produced
(the golden eggs) and the producing asset or
capacity to produce (the goose).
If you adopt a pattern of life that focuses on
golden eggs and neglects the goose, you will
soon be without the asset that produces golden
eggs. On the other hand, if you only take care of
the goose with no aim toward the golden eggs,
you soon won’t have the wherewithal to feed
yourself or the goose.
(No clear objectives-no results-no outcome)
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9. Unduly high emphasis on Production or
Production Capacity is equally harmful.
Effectiveness lies in the balance. Although
difficult, the very essence lies in getting great
results out of an asset as well as maintaining it.
This aspect can be validated in one’ s own life,
where it is observed that exhaustively utilizing
one’s abilities continuously gives an altogether
less efficiency, whereas effectiveness takes a
quantum leap if the production capacity is also
kept in mind.
NB: This principle apply to organizations,
families, as well as individuals.
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10. Physical asset
Organizations are in constant pursuit of
increasing their production capacity to
increase production. But do they apply these
principles as much to their customers and
employees as to their machines?
Any correct principle has an application in
diverse circumstances, which makes it
valuable. These principles apply to
organizations, families, as well as individuals.
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11. The P/PC balance affects the organizational
effectiveness in the use of physical assets. In a rapid
growth phase, a physical asset may deliver the best
performance but later this asset becomes worthless
due to ill-maintenance or does not serve you better.
E.g. server (bigger, better), computers-not
cleaned/updated with anti virus-crush. Otoscope-not
enough supply, hence co’s move from room to room.
Need for essential programs to have better out puts,
but they are not available. This also powerfully
impacts the effective use of financial asset.
In short, assets need to be maintained, replaced and
even supplied without focusing only on production.
Otherwise how are you to achieve production (golden
eggs?)
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12. In the human area, the P/PC Balance is equally
fundamental, but even more important, because people
control physical and financial assets
Example1: MARRIAGE
When two people in a marriage are more concerned about
getting the golden eggs, the benefits, than they are in
preserving the relationship that makes them possible, they
often become insensitive and inconsiderate, neglecting the
little kindnesses and courtesies so important to a deep
relationship. They begin to use control levers to
manipulate each other, to focus on their own needs, to
justify their own position and look for evidence to show
the wrongness of the other person. The love, the richness,
the softness, and spontaneity begin to deteriorate. The
goose gets sicker day by day.
Consider: ODM/PNU-CFK/CDC
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13. Effect: excuses…Instead of trust and
trustworthiness developing, mistrust and
untrustworthiness-why-coz focus is on G.E
and not the relationship which enhances the
pc.
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14. Example 2: PARENT'S RELATIONSHIP WITH A CHILD
When children are little, they are very dependent, very
vulnerable. It becomes so easy to neglect the PC work -
- the training, the communicating, the relating, the
listening. It's easy to take advantage, to manipulate, to
get what you want the way you want it -- right now!
You're bigger, you're smarter, and you're right! So why
not just tell them what to do? If necessary, yell at them,
intimidate them, insist on your way.
Or you can indulge them. You can go for the golden egg
of popularity, of pleasing them, giving them their way
all the time. Then they grow up without a personal
commitment to being disciplined or responsible.
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15. Either way -- authoritarian or permissive -- you have the
golden egg mentality. You want to have your way or you
want to be liked. But what happens, meantime, to the
goose? What sense of responsibility, of self-discipline, of
confidence in the ability to make good choices or achieve
important goals is a child going to have a few years down
the road? And what about your relationship? When he
reaches those critical teenage years, the identity
crises, will he know from his experience with you that you
will listen without judging, that you really, deeply care
about him/her as a person, that you can be trusted, no
matter what? Will the relationship be strong enough for
you to reach him, to communicate with him, to influence
him?
Consider: employer/employee, supervisor/worker
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16. How often do people confuse principal with interest? Have
you ever invaded principal to increase your standard of
living, to get more golden eggs? The decreasing principal
has decreasing power to produce interest or income or
continuity of the program. And the dwindling capital
becomes smaller and smaller until it no longer supplies
even our basic needs. Our most important financial asset
is our own capacity to earn. If we don't continually invest
in improving our own PC, we severely limit our options.
We're locked into our present situation, running scared of
our organization winding up/downsizing/retrenchment or
our boss's opinion of us, economically dependent and
defensive. Again, it simply isn't effective. Consider
organizational trainings, , cross trainings further learning,
saving-sacco, banks etc. and you only love what you know
as a result
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17. There are organizations that talk so much about the
customer and completely neglect the people that deal with
the customers i.e. employees. The PC principle is to treat
the employees EXACTLY AS YOU WANT THEM TO TREAT
YOUR CLIENTS
By money, the material potential of the employee can be
bought. But the employer needs to have the greatness to
win over his heart and mind to expect loyalty,
resourcefulness, leadership and devotion in him
The prevailing attitude and paradigm among the
employers is insufficient to tap these qualities in the
employee. This is because employers focus more on the
customers rather than the key people who deal with the
customers – the employees. This paradigm needs a shift if
we want more dependable employees at work.
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18. You can buy a person’s hand, but you cannot
buy his/her heart. His/her heart is where
his/her enthusiasm, loyalty is. You can buy
his back, but you cannot buy his brain. That’s
where his/her creativity is, his/her ingenuity,
his resourcefulness.
Pc work is treating employees as volunteers
just as we treat customers as volunteers,
because that’s what they are. They volunteer
the best of themselves-their hearts and
minds.
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19. Effectiveness lies in the balance of the two.
Excessive focus on P results in ruined health and
broken relationships-employer/employee,
employee/client. If the goose (pc) is sick, it
impacts on golden eggs (p). The goose doesn’t
give golden eggs because you have promised it
food, you give it food and others necessities for
it to produce. Consider a de-motivated
employee, not recognized, not considered in
decisions, etc COZ THE FOCUS ON is GOLDEN
EGGS, employer will miss on numbers, miss on
samples etc and only samples keep us here etc
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20. Another area that requires balancing is
employee development (education and
training) and actually performing the work.
We certainly want to keep our work force
trained in the latest methods, technology
etc…
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21. A balance of good care of assets, personnel
and customers is the key to organizational
effectiveness. The bottom-line is not just
results/profits, but customer care, profits,
growth and welfare which is another way of
balancing production capacity with
production.
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22. Steven Covey: Seven habits of highly effective
people
Bible.
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