August, 2008

Musings on Leadership Busy-ness

We're all very busy today. Too busy.  But what are we really accomplishing with our time? 

I see important leaders who are busy all day.  They spend hordes of time in non-stop meetings. Mostly they're with their own other busy leaders. They huddle.  They emerge.  They huddle again.

I sit in on a lot of these meetings. I often wonder why these otherwise very important people are messing with so many relatively unimportant issues.  Are they losing perspective about what's important and what's not?

How did these leaders get into the rut of spending so much time on low value-added work?  How much time could they free up by getting out of the tactical weeds to think, learn or just reflect on "what it all means."

Many of the very busy business leaders are doing tasks that others should be doing because they either don't trust others, are obsessed with control, or don't know how to push power out into the organization. Maybe that's part of the reason why you find some otherwise highly qualified leaders making a mess of their companies and their industries.

Kevin Roberts, CEO Worldwide of Saatchi & Saatchi says, "Happiness is tied to having more free time, so give your employees more of it.  Ask them to think about what work can be eliminated from the day.  Chances are 40% of what you do is useless."

We helped a client do just that, and within a few days had removed more than two hours worth of work from each leader's schedule—every day. Part of the solution includes re-mixing work--putting the right work with the right people at the right cost.

No Such Thing as Commodity

The consumer electronics industry seems to have adopted a commodity mindset: basic products at lowest cost with low margins.  It's usually a dangerous path to follow.

But some electronic retailers are learning (gasp!) that service sells.

While other stores have cut tech-smart service people, Best Buy's focus on service is credited with a booming electronics business.

J.D. Power and Associates says across "many industries, we've seen that the retailers that grow customer service ratings the fastest have great sales growths." With more complex products and lower prices, "expert advice is more important than ever."

Best Buy knows what Peters and Waterman told us more than 20 years ago in In Search of Excellence: There's no such thing as a commodity.

What You Can Learn from a Great Restaurant

I'm a foodie and I'm fascinated by great restaurants.  Having had remarkable experiences in some of the world's best, I'm now in pursuit of relatively unknown but great dining experiences.

Parcel 104 is one of them. This Bradley Ogden gem is in Santa Clara, California, where I just completed a seven-month consulting engagement to help improve a division of a $25 billion company.

The restaurant layout exposes the main kitchen to diners.  I usually take one of three seats rimming the kitchen.  From my perch I watch the activity and it reminds me of the Kansas-Memphis Final Four basketball tournament this year— athleticism, harmony and teamwork leading to a great outcome.

I asked Sous Chef Anthony Ippolito what makes this restaurant so special and he describes tools, techniques, process and mechanics that many other companies are working with today.  And that's when I'm reminded once again that it's not about great strategy, new processes or tools.  It's about execution.

A Business Microcosm

Under one relatively small roof, a restaurant is a microcosm of a bigger business. It's a warehouse, manufacturing plant, sales force, service network and distribution system. 

The chefs, line cooks and servers seem to magically balance night after night (and here's where tension in this industry lives), innovative preparation, beautiful presentations, superior service and food that customers absolutely love. When I quizz them on their success, they unknowingly describe what differentiates the Toyota's and FedEx's every day. 

Elements of Success              

"The kitchen runs like clockwork in large part because we've set it up to be as efficient as possible," Chef Anthony says. "We want to make sure everything is in the right place before service."  (In the cooking world, this is known as mise en place or "put in place." In the Lean Six Sigma world it's known, in part, as 5S.)

"We also try to get rid of as many process steps as we can before we even open.  This eliminates the unnecessary work that takes time away from food preparation and fast service." (Process improvement and waste elimination, or muda at Toyota.) 

"We work hard to continually evaluate the operation, repeatedly asking ourselves if we can run better," Chef Anthony explains. "In my case, I still work on stations as a cook at times and almost every time I do I end up making adjustments that will improve the process on the following day. I call it recalibrating."   (Going to gemba--the source or floor--and continuous improvement.)

"We create and innovate because we're driven to be great and the only way we can achieve that as chefs is to constantly add to our repertoire and ways to motivate our team," he tells me.  (Creating a clear, shared vision, and engaging the team in that vision.)

"The balance of innovation and customer satisfaction comes from continually listening to our guests and then making the right adjustments. For instance, we recently had a pork belly dish with custard of sea urchin.  It tasted delicious, but sales dipped.  When the dish did sell, the custard was uneaten. We took the feedback seriously and put out a dish that our guests enjoyed even more."  (Customer listening and continuous improvement.)

Nothing new here except near flawless execution.   And so it goes.

Silence Breeds Suspicion

Steve Jobs may be a genius in many ways, but he and Apple's refusal to openly discuss his health with investors has demonstrated once again that lack of information breeds suspicion, blunts good news and accentuates bad news. 

GE and Professional Networking

GE doesn't seem to be into this social-networking notion.

Gary Reiner, GE's chief information officer, interviewed in a recent Fortune was asked about social networking. "We've gone out of our way to call it professional networking rather than social networking.  We've been building a professional-networking capability that allows everybody to put in the organization directory the skills that they bring to bear."

When you use various media to professionally network, it makes sense and adds value.  When you gush about social networking, it makes people sound like a bunch of time-wasting gadflies who watch YouTube and tinker with MySpace all day.