D. Kevin Berchelmann
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Friday, August 1, 2008

Egalitarian Folly

I recently read a blog posting from someone holding themselves out as a "contrarian" HR professional (consultant, of course).

Now, I consider myself something of a contrarian myself, as many have used words like that (and sometimes even MORE colorful) to describe my rants, thinkings, and positions on various issues, and I'm OK with that.

This particular blog entry, however, brought a couple of things to light...

1. Can you really call yourself a contrarian? Isn't that for others to determine? Kind of like calling yourself "easy to get along with." Yeah, maybe... but who says??

Someone else, that's who.

2. The specific "contrarian" issue was about performance evaluations and pay. We can argue for hours about the concepts and ideas surrounding this, but the most significant (I'm guessing "contrarian") comment was:

"I am an advocate of 'when the team wins, we all win.' In my opinion when you reward individuals for their individual effort you can unconsciously promote a zero sum game where I win at another employee’s or the company’s expense."

Huh?? "When the team wins, we all win?" Maybe, but what if that "team" is being carried by just one or two super-performers? And of course employee pay is a zero-sum game; dollars (including payroll dollars) are fungible, not infinite. Dollars spent in one direction are potentially at the expense of another direction. Not everyone can be a star employee, and those who are should be rewarded -- those who aren't, well, shouldn't.

Let's not dumb-down performance management -- and subsequent pay initiatives -- to the lowest denominator. We should manage performance responsibly, and pay appropriately for the results and accountability defined.

This isn't rocket science. But it's not "everyone is the same" either.

Rant over...

KB

Kevin Berchelmann
http://www.triangleperformance.com/

Wednesday, July 30, 2008

Strategic, yes, Planning, no.

Strategic Planning is dead. Long live strategic planning...

An interesting conundrum; we know that strategic planning is valuable. Intuitively. Yet, we seldom march lockstep behind that big blue binder when it's complete.

Why is that??

I have an opinion (surprise!). During a recent strategy session, the client's chief executive stated that he doesn't even consider it strategic planning at all. He doesn't even like the term.
He uses Strategic Discernment.

I hate doing this, but I visited dictionary.com for the definitive definition of discern/discernment...


1. to perceive by the sight or some other sense or by the intellect; see,
recognize, or apprehend: They discerned a sail on the horizon.
2. to distinguish mentally; recognize as distinct or different; discriminate: He is
incapable of discerning right from wrong. –verb (used without object)
3. to distinguish or discriminate.
Now this is something we can get our arms around. It's not the strategy, stupid, it's the planning (or in this case, the discernment). It's the act of discriminating among choices; of choosing one path, direction, or vision over another.

It's to recognize something distinct or different. Remember, strategy has never been simple trending of current results -- that's simply forecasting, and can be done via Excel spreadsheet.

No, real strategy is creating our future among the myriad possibilities; it's determining in advance what we intend to be, who we intend to be, and what will matter to us. Then, making that happen.

Instead of simply watching in awe as things happen around us.

We make it happen.

I can get into this Strategic Discernment thing.

Thanks, Glenn.

KB

Kevin Berchelmann
http://www.triangleperformance.com/

Monday, June 23, 2008

"Stupid should hurt..."

I was recently involved (as a participant) in a strategic planning event; the facilitator, Alan Pue, was discussing many of the ways that planning -- and its subsequent implementation -- can go wrong.

In part of that commentary, he mentioned as an example a firm's inability to adapt to a necessary change in the market, and how that inability adversely affected their performance. Alan wasn't sympathetic to their plight, nor even empathetic. In fact, he made it clear that the problem was their own doing, and the resultant pain was of their own creation. They did it to themselves, have no one else to blame, and these lessons -- though valuable -- can be painful.

I agree.

When we act so dumb in business that we can't get out of our own way, the resultant pain is our own doing. Sort of like touching a hot stove, we hopefully learn that we shouldn't do that again.

Stupid should hurt.

Cheers,

KB
Kevin Berchelmann
http://www.triangleperformance.com/

Thursday, May 8, 2008

Micro-Managing, or Micro-Meddling??

I've recently had a couple of clients resort to "micromanagement" during some tough economic times. I know these executives; they are smart, on-the-ball, and savvy about their business and their people. My conversations with them surrounded the dangers of that micromanagement, and why that might be the precisely wrong move.

The dangers to me are straightforward: in times of economic scrutiny, we need employees to be thinking MORE, not less. A controlling environment may aid in the immediate task at hand, but from a downside, it also:

1. Limits an employee's growth, and subsequently their inherent ability to "do more (presumably 'with less')."

2. Micro-managing, to be effective, consumes an inordinate amount of management's time; effectively empowered employees (don't get lost w/the fad word, just the concept) free up a manager's time to think and contribute -- presumably at a higher level of value.

3. Micro-managing frequently over-tasks managers unaccustomed to it. In an effort to "touch" everything, they become micro-MEDDLERS instead, interjecting just enough to cause chaos and confusion, then flitting off to the next victim.

Counter-intuitively, micromanaging provides less reaction to turbulent times instead of more, burns out managers, and frustrates employees.Better to simply constrict existing parameters at some reasonable level, such as spending levels and authorities, and micro-manage by exception in those few areas (or with those few people) who need it.

I can tell you with certainty that managers prone to micromanaging anyway will feel vindicated, and that "this is THEIR time" to shine. It's not... quite the opposite.

KB

Kevin Berchelmann
http://www.triangleperformance.com/

Wednesday, April 23, 2008

Airline CEO = Rocket Scientist

Finally, someone gets it.

Delta Airline's CEO, Richard Anderson, announced to reporters that airlines needed to raise fares as much as 20% just to offset increased fuel costs.

Wow... ya think!?!?

The bigger question, of course, is which Airline bigwigs have the intestinal fortitude to be the first to bring such an increase to bear.

Never forget, a substantial part of successful leadership involves sticking your neck out and taking well-thought and necessary risks. Having said that, I'm not sue how risky this "announcement' really is. Regardless of which airline boss takes the initiative, all other carriers will follow suit mosh kosh.

Here's a layman's analysis: Airlines -- even when wildly profitable (huh??) -- operate on net earning margins that hover around 2%. TWO PERCENT. Now, they obviously have big-time depreciation in there, what with all those aging aircraft, but nonetheless, two percent doesn't provide much cushion to weather a storm.

So, continuing on... fuel typically makes up around 25% of most airlines' costs, when in pursuit of that elusive 2% mentioned above. Jet fuel has gone from $1.85 a gallon last March, to $3.50 per gallon today.

That's a 90% increase in one year.

Now, true, airlines have already been raising prices this year; but it's been a "death by a thousand cuts," adding a couple of bucks here, a couple there. Someone needs to realize that, strangely enough, when costs increase, prices must do so also. This isn't "rocket surgery,' folks. It's simply leadership. Good leadership.

Of course, another significant issue is airlines' outrageous labor costs (40%+ of total expenses), "fueled" by the idiot pilots we discussed in earlier blog posts; however, this post is about "fuel,' so I'll leave that be.

For now...

Cheers,

KB

Kevin Berchelmann
http://www.triangleperformance.com/

Tuesday, April 15, 2008

Continental Idiots Refuse to be Left Out

Not to be left out of the "Let Me Show How Stupid I Am" competition (described in earlier blog post below), Continental Pilots take a preemptive strike against the hint of a potential merger:

...unionized pilots from United and Continental said they would not permit a merger of the carriers unless the pilots support the terms of any proposal. "The management teams of United and Continental must understand one hard fact," the union leaders said. "The pilots of our respective airlines will not allow any merger unless management meets or exceeds our demands to be treated fairly and equitably. "Our concerns will be addressed before we ever agree to allow our airlines to merge."

Yes, this is productive, folks. The airlines, bolstered by the pilot unions, will continue their constant roller-coaster rides into and out of bankruptcy. Creditors, vendors, lenders, all get pennies on the dollar in these settlements while the poor, mistreated union pilots of the major scheduled carriers earn from $130-250K, working well less than 100 hours per month.

Rant over. Back to your regularly scheduled programming...

KB

Kevin Berchelmann
http://www.triangleperformance.com/

Stupidity in the Skies

Have I mentioned that I travel a lot, and don't particularly care for it??

If not, let me do so now. "I travel a lot, and don't particularly care for it."

The good news, however, is that traveling -- the whole airport/airline/car rental and hotel experience provides unbelievable fodder for this lifelong student of leadership. Take the most recent example...

Who in heaven's name runs these airline pilot unions?? The guy (assuming, since it's the classic 'good ol'-boys' club') must be a Darwin escapee. American Airlines -- not my favorite, but they are the biggest -- had their little "scheduling snafu" last week. These moronic pilots took out full-page ads in major publications (think WSJ, USA Today), lambasting the airline management as being inept, incompetent, and not thinking about passenger safety first.

What??? Do these idiots know that the union doesn't pay their salaries??? That their livelihood depends on those very people they are trying to undermine, and that the customers they are reaching are the very revenue they need to survive??

But wait -- it gets better. Now, Delta and Northwest are going to merge. These airlines, in and out of bankruptcy so frequently they probably have trustees on speed-dial, simply will not survive without combining resources. So, one group of pilots agree, the others -- the ones who don't make as much (can you say "Northwest?") -- has stated they will do "everything in their power to prevent the merger."

Stupidity in the skies, I tell you. These guys must be near brain-dead; they've been drinking their own kool-aid so long that they really do believe the world revolves around them. And don't kid yourselves -- there are other pilots to be had. The judgment they exhibit here (or lack thereof) certainly doesn't give me much confidence while sitting in the cabin behind them.

Classic examples of errant leadership, and power used for evil instead of good. Note to self -- "don't do this."

KB

Kevin Berchelmann
http://www.triangleperformance.com/

Thursday, April 3, 2008

The Missing Leader

Someone recently asked me, "What's missing in leaders today?"

As I've said 1,000 times, "leadership ain't rocket surgery." Here's what seems to be commonly lacking in unsuccessful leaders today. Any or all of these can impact a leader's performance:

Courage -- to make hard decisions; to stand behind them afterward, and to support the values and ethics of an organization even when grossly uncomfortable. To take measured risks.

True, even leaders need to feel "safe" to do these things, to some degree, but many cite some irrational, unproven fear of reprisal for their reason for cowardice in decision-making. The truth is, few -- if any -- can cite evidence that something really bad will happen to them.

It's simply a fear of failure, and that can kill any leader.

Credibility -- a track record of doing what you say you'll do. Making realistic expectations of others, and using accountability as a common thread for all involved. And the goal here is to make more "promises" or commitments, not less. In other words, really put yourself out there, and allow others to expect you to deliver.

Then deliver. Expect to be held rigidly accountable, and foster that same expectation of accountability on those you lead.

Empathy -- the ability to listen, understand, and relate. Accepting input, and having the personal mettle to explain why some one's advice won't be used his time. Realizing that most people -- generally -- want the same things from their work experience.

I'm a long way from a "bleeding heart," but empathy as a leader is a necessity. You've got to be able to understand why other people do what they do, so you can lead situationally. Their motivation becomes your key to performance improvement. Find it.

I'll say it again, Leadership isn't difficult. It can be complex, but we usually cause that somehow. It's a simple combination of management competency, credibility, and the ability to motivate others.

Cheers.

KB

Kevin Berchelmann
http://www.triangleperformance.com/

Monday, March 31, 2008

Entitlement tips

This kills me.

A while back, I posted about the ridiculous notion of those absurd tip jars you see popping up at every service establishment. The saga continues.

Seems now, with the rise of debit card use (swipe and go), these purveyors of the $5 cup o' java feel they are really being slighted now. Apparently, if you believe the article's author and sources, people tip less when using a debit card.

My response? No, they don't. They simply tip more accurately.

Many (self-included) use debit cards for all manner of transactions -- dinner, airfare, gadgets, etc. I still tip handsomely for good service -- when warranted.

Me getting out of my car, standing in line to order, paying, then standing in line to receive my order, hardly justifies a tip in any language. Some say, "well, they take extra care in making my coffee." Are you kidding me??! You're already paying nearly a minimum wage hour for that ONE cup of coffee -- how much "extra care" can possibly be warranted??

I say, "let them eat cake." Or drink coffee. Or whatever the best way to paraphrase that message...

And in the interest of full disclosure, the Starbucks mentioned in my earlier blog DID, in fact, finally remove the tip jar from the drive-in window. that's something, I suppose.

KB

Kevin Berchelmann
http://www.triangleperformance.com/

Thursday, March 13, 2008

Did I mention that I HATE traveling?

Don't get me started on my latest "airport-TSA" story. I'm trying to block that out, and you really don't want to hear it.

Back at the hotel, I ordered light room service, having worked well past lunch with a client. Here's the telephone conversation:
Me: Yes, and I'd also like a glass of water.
Her: Dassani or Perriere?
Me: Just a glass of water, thanks.
Her: Sorry, sir, we have only Dassani and Perriere.
Me: No (a little agitated), just a glass of ice water.
Her: Sir, I'm trying to explain, we have only Dassani and Perriere.
Me: You don't have a GLASS??
Her: Well, I suppose we do... you just want, like, out of a faucet?

To coin Bill Engvall, "Here's your sign..."

And while I'm at it...

Who designs hotel room electrical outlets? Only 9 in the whole place, 7 or 8 of which are occupied by one hotel device or another. We have to make decisions like, "reading light, or telephone charger?" What's up with that?

And finally, a delicate mention: 70% of all air travelers are men. Why, then, have airlines not done anything about the toilet seats that simply cannot stay up, slamming down at the most inopportune times?? Men know what I'm talking about here...

Why do these things things occur? Leaders let them, that's why. The hotel room service clerk was obviously trained on this dialog, to sell more $4 water bottles. The electrical outlets are scarce because someone in charge didn't ask travelers about it -- merely designed for the hotel's convenience. And the airplane toilet seats, well, I don't know exactly, but if I ever find the moron who did that...

Cheers.

KB

Kevin Berchelmann
http://www.triangleperformance.com/