Replace Fiscal Cliff with an Organizational Mirror

For everyone who ever voted for a politician promising to make government run more like a business, congratulations your dream has been realized by the post-election theatrics shoved under the "Fiscal Cliff" catchphrase. Perhaps this public display of dysfunction and lack of courageous vision will scare companies straight away from the type of behaviors that have plagued US corporations for decades.

The post-fiscal cliff headlines range from predicting the emergency deal will help the housing recovery to uncertainty about how it will impact alternative minimum tax to "Nothing Really Has Been Fixed." Just as it happens too frequently in business, your bias and rooting interest matters more than best outcomes. The public posturing that brought the US government to near crisis ended not with meaningful compromise but with partial selling out by all to meet a deadline. Because DC's deal was reached by selling out it allows both sides of the argument to second guess the other should anything go wrong.  Second guessing has become one of the most practiced of all corporate behaviors which is why so few tough decisions ever get executed.

Unless participants recognize the whole of any institution is greater than even its most significant sums not only will they shy away from tough decisions they can't even reach compromise because doing so minimizes a constituent (be that constituent a business unit or a political party).  Without embracing the risk that accompanies every big decision participants can only revert to small thinking and smaller actions--the enemy of progress.  When humility is replaced by the masquerade of pretending to be the smartest or most in-control guy in the room, participants can only talk at one another, rather than listening to and working with peers. Elected officials guiding their every action by polls and the next campaign are as destructive as managers calculating their every move to earn a bonus or promotion are to any business.

More often than not I'm brought in to companies to solve these problems which is done through a simple process: change the person or change the person.  

What I can't yet figure out is: Why do we keep electing politicians who embody the very worst of Corporate America's characteristics?

Unfortunately, no surprises--we're all in this together.

With predictable regularity the business press can be counted on to run feature articles that "change is hard" and "most change management initiatives are very expensive and time consuming yet fail." These pieces are usually accompanied by tips for creating the right change environment so that the reader's company succeeds with its change management strategies.

In an election cycle that seemed to have started the day after John McCain conceded in 2008, after billions of dollars spent, and public opinion polls consistently showing politicians--of all stripes--are less popular than wicked storms on the east coast, the same population that doesn't successfully implement business change management programs voted to keep the governmental status quo.

The House of Representatives, Senate and Executive branches of government will look rather identical to the very group we overwhelmingly find distasteful. From my experience leading business transformation across a range of industries this, sadly, comes as no surprise.

The barrier keeping companies from realizing change management objectives is rarely a matter of sound process and subject matter expertise. Rather, it is the people and lack of purposeful determination to make an occasional sacrifice, grow, adapt and learn for the benefit of an organization (and, more importantly, an individual's career). When I initially assess a company, the vast majority of its time functional managers are certain their department runs superbly, but can point out shortcomings everywhere else in the organization. Senior executives and boards are usually right there with them, convinced they are brilliantly leading the business, only to be undermined by a lousy workforce, unfair (foreign) competition, or government.

Our public opinion polls might express strong desire to replace under performing politicians, but our votes say "my guy's great, yours is the problem." These are the same sentiments and actions I routinely see and fight through in the workplace. The same strategies and tactics I employ in business apply to voting and all other phases of life: It starts and ends with what you see in the mirror.

Shortly after Ohio was called for President Obama he tweeted, "We're all in this together." For the health of our nation and vibrancy of our economy, let's do more than hope this is more meaningful than "another Twinkie."

Performance and Competitiveness

Hurricane Sandy's tragedy continues to unfold in ways I can't describe. While the media will rightfully focus on the horrible loss of life, property and commerce, I want to contrast the remarkable work being done by combined public and private forces post-Sandy to those failing.

As Sandy was barreling up the east coast, die hard NY Jets fan and season ticket holder that I am, I went to the Jets-Dolphins game on Sunday. On my way in I was stopped by a gate security supervisor who aggressively told me I could not bring the small bag I was carrying in to the stadium. Despite my showing her the bag contained towels and rain gear, and despite the fact I've been toting the same small bag to MetLife Stadium since it opened, she wouldn't relent. Of course the Jets went on to lose 30-9 as they once again limp their way through a mediocre season. The organization's judgment and execution--on the field, its personnel moves, or the over-officious security supervisor--is consistent, typically resulting in being on the short end of a 30-9 score.

After the worst of Sandy cleared my Connecticut neighborhood, I went out for a walk and saw literally dozens of well-coordinated crews working on different streets to clear roads blocked with enormous trees, fix power lines and ultimately restore electricity. Undoubtedly each crew was led by a supervisor, but I couldn't tell because everyone on each work team was furiously working intent on getting the job done. Clearly, they were well trained and inspired to produce results despite many challenges. Both the town and state officials have provided regular updates throughout this ordeal.  Everyone impacted by Sandy will suffer, but for most of us it's a pain of inconvenience. Thank goodness the companies and agencies managing Sandy clean-up operate at the opposite end of the spectrum from the NY Jets!

Shorthand and oversimplification remain two of the biggest problems US businesses face. 

When we think of athletes we automatically assume "competitive" yet the Jets have lost 2 of their 4 home games this year by scores of 34-0 and 30-9...nothing competitive about that.  By contrast, government agencies are routinely ridiculed for not performing and if there is any business sector that gets the same scorn it's the utilities.  My professional and life's experience continues to lead me to one absolute truth: 

Great organizations can be built and are to be found in any field, but it certainly requires great management PLUS leadership.