You should open you mindset to new approaches and tools in management, so you could successfully move in a rapid changing environment. This includes understanding strategy, psycology and financial management.

1. New Level in Management Skills:
How to Reach it?
Alexander Abolmasov
Managing Partner
NRG Private Equity
aa@nrgc.com

2. Problems cannot be solved at the same level of
awareness that created them.
Albert Einstein
Задача фондов прямых инвестиций – понимать и помогать компаниям в улучшении эффективности. Проблема не
может быть решена на том же уровне осознанности, где она возникла. Давайте взглянем на проблемы чуть повыше.

3. The General Motors Management Style (1920s - …)
Strategy
• Centralized operational decisions, but decentralized divisional organization
Financial management
• Control by setting quantitative targets for the divisions and reporting back
performance metrics
• Decision making was based heavily on analysis of reported managerial
accounting data
• ROI is the king
People Motivation
• Performance based bonuses
Effective enough in a growing economy, but less effective in the crowded or
low-growth marketplaces
Для начала давайте посмотрим как управляется большинство российских компаний. В основе управления лежит
технология, которая была придумана компанией Дженерал Моторс еще в 20-х годах прошлого века…

4. What is effective management?
• Effective management system – keeps organization adjusting
to unpredictable, dynamic conditions and satisfying
customers
• Behavioral routine (skill), which helps to handle unpredictable
and uncertain situations with confidence and effective action
– competitive advantage
Эффективный менеджмент позволяет организации реагировать на непредсказуемые и динамические условия,
чтобы удовлетворять потребности своих клиентов. Если делать это уверенно и эффективно, то это является
конкурентным преимуществом.

5. Startup management
• Need practices and principles geared to the startup context of
extreme uncertainty
• In a startup, the product and customer are unknowns.
We need a new definition of value for startups: validated
learning about customers
• Case study: Begemot, Sovcombank
Управление стартапом в таких условиях – это реагирование на предельную неопределенность. При этом здесь
ничего не говорится о размере или отрасли компании. В нашем портфеле были компании, которые развили свои
бизнес-модели через тестирование различных вариантов бизнеса, а потом успешно масштабировали успешную
бизнес-модель. У Бегемота – это сеть кэш&керри игрушек, а у Совкомбанка – розничные кредиты в малых городах с
фокусом на население 45+.

6. Traditional model
(centralized functional hierarchy)
New model
(decentralized leadership network)
Changing
leadership and
structure
+ ROI-based decisions
+ Mistrust and control
+ Extrinsic motivation
+ Improvement Kata
+ Employee development
+ Intrinsic motivation
Change to what?
Соответственно мы должны понять как перейти к новой системе, которая включает в себя: 1) децентрализацию
принятия решений 2) фокус на постоянных улучшениях 3) эффективную мотивацию сотрудников.

7. There are two different ways of working on the
model – evolution and transformation
Time scale: organization's age
Low degree of decentralization/
empowerment
Differentiation
phase
Integration
phase
High degree of decentralization/
empowerment
Sustaining and
deepening of the
decentralized model,
through generations
Pioneering
phase
Bureaucratization through growing
hierarchy and functional
differentiation
Evolution
within the decentralized
model (culture of
empowerment and trust)
Organizations with
traditional models must
eventually transform
themselves
Transformation through
radical decentralization
of decision-making
Stagnation
within the tayloristic model
Есть примеры компаний, которые сразу от старт-апа попадают в область эффективного менеджмента. Но
большинству компаний нужно переходить туда из состояния бюрократической компании.
Foundation

8. Current
Condition
Challenge
Vision
Toyota Kata
Toyota strategy: “Survive long term as a company by improving and
evolving how we make good products for the customer”
Примером такой технологии является Тойота Ката, которая доказала свою эффективность. Достаточно отличается от
того, к чему мы привыкли. Начинается все с построения амбициозной цели…

9. Non-Toyota thinking: normal daily
management + improvement
Toyota thinking: normal daily
management = process improvement
The Improvers
Process
The Improvers
“Everything deteriorates over time”
The second law of thermodynamics
Process
Как говорил Чеширский кот в «Алиса в стране Чудес», чтобы стоять на месте нужно бежать, а чтобы двигаться вперед
нужно бежать в два раза быстрее. Поэтому в философии Тойоты основным является фокус на непрерывном
улучшении процессов бизнеса.

10. Success depends on your challenge
Shinichi Sasaki, former Toyota CEO

11. Toyota’s Vision for Its
Production Operations
 Zero defects
 100 percent value added
 One-piece flow, in sequence, on demand
 Security for people (no injuries)
Тойота понимает, что своей амбициозной цели они никогда не достигнут, но это задает правильное направление
развития компании.

12. Как говорил известный персонаж с большими ушами: «Не нужно пытаться. Нужно делать.»

13. “If you think it can be done or if you think it
can’t be done, you will be right!” – Henry Ford
Challenge
Mindset
“It can be done!”
Why?
Positive line of
argument
Search for solutions
High probability of success
“I told you: it can be done!”
“It cannot be done!”
Why?
Negative line of
argument
Search for problems
Low probability of success
“I told you: it cannot be done!” .
От настроя на самом деле зависит результат.

14. Brains are learning organs, so they reward us
with joy when we learn
(for example by means of serotonin)
Brain activity measured using computed tomography, presented by
Prof. Gerald Hüther at Production Systems 2009
“It cannot be done!”
“It can be done!”

15. Through frequent practice more electrical impulses
are fired and synapses are ‘trained’ to perform better
Untrained synapse Trained synapse
High electrical
resistance
Low electrical
resistance
changeable
chemical bond

16. Regular Kata practice and coaching can change a conservative
mindset into an open, ‘explorative’ attitude
Certainty Certainty
Explorative attitude
of a kata novice
Conservative attitude
(the norm)
Certainty
Explorative attitude
of an experienced
kata practitioner
“I avoid it!”
“I’m OK with it!”
“I like it!”
Тренировки приводят к тому, что изучение новых вещей становится зоной комфорта. А стабильность становится
терпимой, но недостаточной для комфорта.

17. We are what we repeatedly do.
Excellence, then, is not an act but a habit.
Aristoteles
Как говорил Аристотель, если постоянно чем-то заниматься, то совершенство становится привычкой, а не
геройством.

18. Financial management
Все это должно поддерживаться финансовым блоком.

19. Traditional Budgeting Has Many
Weaknesses....
Promotes centralization of decisions and responsibility
Motivates gaming the system
• Conflicting purposes − target setting versus financial forecasting
• Not only a ceiling − also a floor for costs
Ineffective
• Inflexible to changes in planning assumptions
• Absorbs significant resources across the organization
• Tends to make financial control an annual autumn event
Традиционное бюджетирование воспроизводит централизованную систему и мотивирует сотрудников
манипулировать системой.

20. We Have Separated Performance
Measurement From Financial Forecasting
Broader Performance Measurement
Balanced Scorecard
- Financial KPI’s
- Non-financial KPI’s
+
Rolling Financial
Forecast
- Rolling 5 quarters
- High level, few
details
Better forecasting with less resources
Financial
Budgeting
ToFrom

21. We Can Achieve What the Budget Did in a Simpler Way
The budget was used for: We achieve the same through:
High level financial and tax planning
Target-setting
Controlling fixed costs
Prioritising and allocating
investment/project
resources
Delegation of authority
Rolling financial forecasts
Balanced Scorecard
Trend reporting
Cost targets where and when needed
Activity approach
Small projects - trend reporting
Medium - Varying hurdle rates
Major strategic projects - Case by case, the
budget was never a tool ....
Use existing mandates/authority schedules

22. The New Tools Cover What the Budget Did, but
Also a Lot More
Controlling fixed costs
- Activity accounting and
product costing
- Improved cost understanding
- Product and customer costing
- Annual outlook
Balanced scorecard
- Non-financial targets
& measurements
- Link to strategy
- Financial targets relative to
market
- Financial targets
& measurement
- Limited cost
understanding
- Annual plan
BUDGET
Rolling Financial Forecast
- Quarterly update
- Rolling 5 quarters outlook
- Annual outlook
Investment management
- Trend reporting & 5 quarter
outlook
- Decentralised decisions
- Frames if needed

23. How Does the Manager’s Job Change ?
High degree of freedom in how to achieve
challenging relative targets No detailed
pre-approval of costs through a budget
Cost reports focusing on trends, projects and
total cost levels. Less focus on the calendar year
as reporting period
Increased measurement of non-financial
indicators supporting our strategy
No heavy budget process in the autumn, but
more focus on costs and performance throughout
the year
Increased
responsibility and
decision-making
More relevant cost
information
Better but also tougher
performance
measurement
Better use of your
time !

24. Motivation
Казалось бы, что теперь осталось настроить систему бонусирования к новым показателям и все готово.
Но не все так просто.

25. 1. Rewards Punish
Incentives are Manipulative
Punishment and Rewards are Two Sides of the Same
Coin
2. Rewards Rupture Relationships
Forces People to Compete For Rewards
Damages Relationships Between Managers and
Employees
3. Rewards Ignore Reason
Incentives Are Easy Fix for Problems – Band Aid
4. Rewards Undermine Interest
Limits Creativity
Intrinsic Vs. Extrinsic Motivation
Pay-For-Performance Lowers Enthusiasm
Rewards Punish. Punishment blocks creativity.
Награда эквивалентна наказанию. Наказание блокирует взаимодействие и обмен информацией внутри мозга –
включаются архаические моменты. Человеку не до креативности. Упрощенно: внешняя награда побуждает в
человеке его животные инстинкты.

26. What do you enjoy about work?
Typical answers given during brainstorming sessions:
- Overcoming challenges
- Learning
- Variety, trying new things
- Team spirit, constructive exchange of ideas, sense of belonging
- Recognition and praise, celebrating successes
- Seeing progress, improving, making a difference
- Helping other people in their work
- Scope for development, personal responsibility
- Etc.
Pay Is Not A Motivator
Employees Value Pay Less Than Most Expect
Paying More Does Not Mean Better Work

27. There is no combination of outcome metrics and incentive systems
that by themselves will generate continuous improvement and
adaptation.
And how could it? The people trying to achieve the quantitative
targets are not taught or guided by any sort of improvement kata.
Mike Rother, author of Toyota Kata
Круг замыкается и возвращаемся к эффективному менеджменту.

28. READING RECOMMENDATIONS

30. "Learning should be a joy
wonder