Exploiting Opportunities in 2014

My November 2013 issue brought out exciting benefits of what I referred to as a bottom up transformation strategy. This strategy may no doubt be interesting for businesses that need to quickly transit to new levels of performance in 2014 and beyond. More still, the businesses are likely to easily become compliant with the 21st century global organizational culture that seems to be puzzling to some. Why these assertions?

Perhaps, you are aware like I am of incessant organizational concerns with regard to challenged employee engagement.  The dilemmas cut across small, medium and large business as well. Indications are that many businesses are unable to come to terms with performance related to disengagement that is also associated with high levels of de-motivation. Things cannot move as desired. Performance targets cannot be achieved.  Even when one organizational team seems to be on course, its efforts are hampered by others. What is really happening?

Ideally, de-motivation and disengagements are signs of bigger things that are affecting business in this 21st century. In fact, research statistics indicate that 2 out of every 5 employees or 40% are totally disengaged with the organization that they are working for. Seemingly, they are present physically but psychologically absent.  On the other hand, it is well documented that de-motivated employees exploit only 10-20% of their potential, the rest going to waste and is never recoverable.

Apparently, this de-motivation may not be anybody’s fault as such. Thus invoking punitive measures or using carrot and stick approaches, to performance, may not be very helpful today. And if applied, they can only be temporary and therefore never sustainable measures.  This therefore is a grave scenario for growth oriented organizations. Under such circumstances, management of change thus growth and innovation continue being seriously impaired. But, can this be avoided in 2014?

Business like human beings operates within 5 phases that include introduction (birth for human beings), growth, maturity, decline and finally death. Nonetheless, business does not have to undergo the last one, unless left to follow a natural path.  However, following traditional management practices in a highly competitive environment could easily lead to a fast transition through the different stages. This is so because these practices may not withstand the dynamic forces of change that confront business today.

In that realization, many businesses have embraced continually evolving management concepts such as strategic management, continuous improvement and many more. Others find it difficult to cope with forces of change and either succumb or just scrap through.  In fact, such former household names as Kenya National Assurance, East Africa Bag and Cordage, Access Insurance Company limited, Kenya Farmers Association, Blue Shield Insurance Company, Akamba Bus Services, United Insurance Company, Trust Bank and many more are still fresh in most people’s minds, as casualties of the forces of change.  They all experienced the full cycle, and got knocked out by one or more of the forces of change.

There is reason therefore to keep ablest of challenges arising from the forces of change, as well as requisite solutions thereof, which would avert the chances of experiencing the full business cycle. The bottom up transformation could be handy for this purpose. Why? It helps organizations to holistically re-assess themselves, understand their existent and emergent challenges and in particular re-align with the dynamics of the 21st century.

Notably, global development has largely transformed through 4 eras or ages. The first one was the hunter gatherer, which was followed by the agricultural era of the early civilization. Next came the industrial era of the 19th and 20th century. The same has now been overshadowed by the information age/era of the 21st century, which started taking shape in the last decade of the 20th Century. In fact, the information age is continually being enveloped by the talent age, especially in the developed world.

Nonetheless, a quick analysis of business practices indicates that most organizations follow a top down approach to development of the human capital. In fact, the bottom categories are rarely considered for empowerment despite the shifting paradigms. In that scenario organizations miss opportunities of enhancing their brands as is now expected in the 21st century.

Therefore, it seemingly makes sense to assess whether an organization is driven by the dynamics of the 20th or 21st century. The earlier discussed de-motivation and disengagements are good indicators of non-compliance with the 21st century paradigms. The scenario greatly complicates organizational management and/or leadership practices. Actually, that is the genesis of disengagement, de-motivation as well as likelihood of challenged organizational unity of purpose and direction.

So, ignoring the assessment could hinder organizations from exploiting the opportunities in the 21st century. Why say so? The challenges posed by the transition between the centuries are real, whereas the solutions are themselves very practical. That may be realized if you can allow me to discuss a recent case study.

A few years ago, one organization was somehow sailing in the deep seas. Just by some strange coincidence, we bumped into the scenario. At a meeting between the managing director and the human resource manager, it was agreed that all the then 70 staff of the company undergo a transformative training process. The same ranged between 2 days for the lower categories and 3 days for the seniors. It was also agreed that the process follows a bottom up transformation strategy, as we had recommended.

The implementation of the project presented a very interesting scenario.  Starting with junior team members was a great blessing for the organization. We were able to dissect the organizational challenges as learnt from the players of the different levels. Consequently, we sorted out some, during the training process. The others were subject to intricate discussions with the managing director, who was keen to implement all the recommendations, none of which involved financial rewards.

Interestingly, a subsequent training impact analysis revealed that the skills levels had increased by between 10-22%. The sales turnover for the year had also increased by 16% . Even more fascinating is that the profitability levels had tripled. In a nutshell, employees had acquired new paradigms, in line with 21st century organizational dynamics.

Challenged motivation and disengagements had very conveniently been replaced by mutually beneficial relationships. The result was high levels of performance efficiency.  It seems worthwhile to be completely in tune with the 21st century organizational dynamics, which present in-exhaustive opportunities, especially in 2014 and beyond.

This article was first published in the writer’s monthly column in The Small & Medium Enterprises Today Magazine of December/January 2014

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