The Business Sensei

How do I create the rest of the story?

This is an excerpt from my new book, Organizational Psychology for Managers

In creating the rest of the story, we need to recognize some basic facts: people operate in their own perceived best interest and people preferentially choose higher status over lower status. The problem is that we don’t always know what they perceive their best interest to be, and we don’t necessarily know how someone measures status. However, we do that there are certain things people seek in a job, be that volunteer work or their careers. To paraphrase psychologist Peter Ossorio, when people value a concept or an ideal, they will value and be attracted to specific instances of that ideal. The goal, therefore, is to understand what you offer along the dimensions of things people value. Understanding what you offer along each of these dimensions is critical to being able to construct an organizational narrative that will attract the right people to the organization, provide the framework in which motivation can occur, and maximize your chances of creating a highly motivated, loyal, productive work force: it’s not enough to merely provide opportunity; you have to make sure people both know that the opportunity exists and believe it’s worth chasing.

We need to start by recognizing that everyone is the hero of their own story. We all have dreams, hopes, and aspirations for the future. When the job we are doing fits into our self-narrative, we feel connected and excited. The work matters, it’s helping us get where we want to go. Note that this doesn’t mean that you need to hire a college graduate straight into the role of CEO in order for them to feel heroic; that would be foolish on many levels. Rather, people will work hard at even menial jobs provided those jobs provide a path to something bigger. Conversely, high profile jobs with lots of perks won’t hold someone who feels that, even in such a role, they are relegated to being a bit player or an interchangeable component. Nobody likes being the sidekick forever. People want to feel important, as if they matter as individuals. People who feel like cogs in the machine disengage.

Next, the story has to be exciting, or at least interesting. It has to hold our attention, particularly in today’s distraction filled world. What we are doing has to matter sufficiently that it’s what we’ll choose to do because it matters, not because we’ll get yelled at by the boss or fired. Remember, you might find writing software to be the most boring thing imaginable, but most software engineers find it incredibly enjoyable. In building your narrative, you need to understand at least a little bit about the people you want to attract so that you can speak to them in their language. That means that you will have multiple overlapping stories for different parts of the organization and different jobs within it. Generic stories attract generic people.

In building the story, there are then six key elements that we have to consider: the variety, or lack thereof, of the skills a person will be called up to use; the visibility of a task; the importance of a task; how much autonomy or supervision the person will have; how they will receive feedback; opportunities for growth; and safety. Frequently, we will have to balance different competing values of at least some of the first five elements. A lack of a path for growth, however, never goes over well. A lack of safety, itself a rather complex subject, can undermine everything else.

We Can’t Afford That!

“Where are the computers?”

“We can’t afford computers.”

“How can we write software without computers?”

“You’ll figure out a way.”

It’s hard to imagine a conversation like this happening in any company. The truth is, it’s hard to imagine because it basically doesn’t happen. No manager is crazy enough to tell his team to write software without computers. So let’s posit a slightly different scenario:

“Hey, the computers aren’t working.”

“I can’t get the lights to turn on.”

“It’s getting hot in here. What’s going on?”

“Oh, we decided to save money by not paying the electric bill.”

Sorry, that’s still pretty ludicrous. Let’s try another scenario.

I was recently at MIT giving a talk on organizational development. In response to a question about maximizing team performance, I explained that the secret is to have a manager whose job is to be a coach: just like on a top sports team, the manager’s job is to encourage the players, brainstorm with them, push them to achieve more than they thought possible, and make sure they don’t forget to stop and take breaks. It is, after all, the manager’s enthusiasm and sincerity that sets the example for the team, and transforms a team of experts into an expert team.

The immediate response from one member of the audience was, “We can’t afford to have someone just sitting around and watching.”

Now, if they’d left it at that, I would have let it go. Unfortunately, or perhaps fortunately, since it led to this article, they didn’t. They went on to say that the manager needs to do the work of the employees: sales managers should be selling, engineering managers should be doing engineering, and so forth. Resisting the urge to point out that they clearly hadn’t heard a word I’d said to that point, I observed that a manager sits around and watches in the same way that a coach sits and watches. This needs further explanation.

As any Olympic coach can tell you, building a team and keeping it operating at peak performance is a full-time occupation. No one ever says, “These are professional athletes! They shouldn’t need a coach!” If the team wants to compete at a serious level, it needs a coach. If all you care about is playing in the D leagues, well, then perhaps you can get away without the coach. Of course, if that’s what you think of your business, why are you bothering?

When the manager is doing the work of a team member, you have a conflict. Salesmen try to outsell one another; sales success is their currency of respect. Engineers will argue over the best approach to solving a problem; being right is their currency of respect. When the manager is also doing the sales or the engineering or what have you, that shuts down the team. How can the members of the team compete with the manager? While it is a comforting thought to argue that professionals will compete with one another in a respectful manner, and a manager will respect the employee who out-competes him, it just doesn’t work. Comfort thoughts, like comfort foods, may feel good but can easily lead to fattening of the brain.

Athletes trust their coaches in large part because the coach’s job is to make the team successful: the coach is measured by how well he builds the individual athletes and the team. If the coach were being measured on how well he did as an individual competitor, few indeed are the athletes who would trust his advice.

Thus, when a company hires a “manager” who is nothing more than a glorified individual contributor who also signs time sheets, the results are often disappointing. At Soak Systems, it led to constant conflict and eventually to the loss of half the engineering team. If nothing else, the team will never achieve the level of performance that it could reach with a skilled manager.

Further guaranteeing that this problem will occur, most companies hire managers based on their technical, sales, marketing, and so on, skills. They do not hire, or promote, based on their coaching skills. They don’t provide them the training or coaching they need to succeed. Putting someone with no management training into a management role will, at best, produce someone who sits around and watches. More likely, it’ll produce someone who is actively harmful to the team. No wonder companies want “managers” who are also individual contributors: at least they are getting some work out of them and keeping them from causing trouble! Such “managers” really do look like an unnecessary expense. Since most people have never experienced really competent management, they also don’t realize just how much opportunity they are missing.

It’s quite true that you can’t afford to have an untrained manager sitting around and watching. There is also no point in buying computers if you won’t use them or paying for electricity if you don’t have anyone in the office. But if you want to write software you can’t afford to not buy computers. If you have people coming into the office, you can’t afford to not pay for the electricity. If you want to achieve top performance, you can’t afford to not train someone to sit around and watch.

“Author Stephen Balzac has written a terrific book that gets into the realpolitik of organizational psychology – the underlying patterns of behavior that create the all important company culture. He doesn’t stop at the surface level, explaining things we already know like ‘culture beats strategy’ – he gets into the deeper drivers and ties everything back to specific, actionable stories. For example he describes different approaches to apparent “insubordination” by a manager; rather then judging them, he shows how each management response is interpreted, and how it then drives response. Balzac preaches real engagement with one’s own company and a mindful state of operation, especially by executives – who must remember that culture “just happens” unless and until they learn to recognize that their behaviors play a huge part in creating and cementing it. It covers the full spectrum of corporate life, from challenging bad decisions to hiring, training, motivating teams – and the secrets of keeping people engaged and learning – and/or avoiding actions which do the opposite. I highly recommend this book for anyone who wants to participate in creating and steering company culture.”

Attivio – Active Intelligence

Princess Bride Problem Solving

Once upon there was an organization. It was a fairly good sized business, not too big and not too small. It was a business, in fact, much like your business. And it came up with a way to apply the battle of wits from the Princess Bride in dealing with some long-lasting and thorny problems.

None of these problems were new problems… they were problems that the organization had had for many years: difficulties in setting priorities and making decisions; allocating resources and providing clear direction to employees.

These problems were the topic of much discussion, but despite all that discussion nothing ever changed.

Eventually, someone suggested bringing in a consultant to help with the problems. This is where things got creative. It turns out that there are two types of consultants, at least for this particular business: those who were closely connected to the business and known to people there, and those who had no connection at all.

We now come to the Princess Bride.

Consultants in the second group could clearly not be hired because they knew nothing about the company. How could they possibly be of assistance? Therefore we must look at consultants in the first group.

Consultants in the first group were too close to the organization. Clearly they too could not be hired. Therefore, we must go back to consultants in the second group.

But consultants in the second group would clearly not care about the results. So they could not be hired. Back to the first group.

But consultants in the first group could not be hired because they might care too much. So they too could not be hired.

And so it went, on and on, until eventually nothing was done. People continued to complain about the problems, but no one wanted to act.

In the movie, of course, Vizzini finally chooses a goblet and drinks the deadly iocaine powder. In reality, it didn’t matter which goblet he chose as the Man in Black had developed an immunity to iocaine powder and poisoned both goblets.

Similarly, in this case it wouldn’t have mattered which choice the business actually made: bring in someone totally unconnected or someone close and known to the people there. The important thing was to make a choice and actually take action to deal with the long-term problems that were interfering with their productivity. Whichever choice they made would have different benefits and different drawbacks, but either could have helped them. It’s only the choice to do nothing that has no hope of success. Let’s face it, if the problems haven’t gone away on their own after months or years, odds are pretty darn good that they won’t be going away on their own tomorrow or even next year.

Choose a goblet. Take action. Nothing will change until you do.

Riveting! Yes, I called a leadership book riveting. I couldn’t wait to finish one chapter so I could begin reading the next. Organizational Psychology for Managers’ combination of pop culture references, personal stories, and thought providing insights to illustrate world class leadership principles makes it a must read for business professionals at all management levels.

Nationally Syndicated Columnist and Author

There Can Be Only One

The other morning, I noticed one of my cats running around with her catnip mouse. Now, this isn’t such an unusual occurrence. However, the difference this time was that the other two cats also wanted to play with the mouse. This is unusual: normally, when one cat gets the toy, the others ignore it.

It wasn’t until the cat dropped the mouse that I realized that either it wasn’t a catnip toy or the cat had been playing with a Pinocchio mouse that had picked a very unfortunate moment to become a Real Mouse.

As soon as the mouse was on the ground, it immediately tried to run from the cat. The only thing that saved the mouse was when another cat got in the way. It was a bit hard to tell, but I’m pretty sure that the cats were more interested in competing with one another over which one would get the mouse than in working together. It reminded me of an old Tweety and Sylvester cartoon.

What was particularly interesting, though, was how the mouse behaved whenever a cat did catch up to it: it would open its little tiny mouth, raise its front paws, and try to look fierce. It was pretty funny watching a mouse trying to intimidate a cat that outweighs it one hundredfold. Oddly enough, though, every time the mouse did this, the cat would hesitate, which usually gave enough time for another cat to get in the way. At that point, the mouse would run and the third cat would quickly chase and catch it, causing the whole process to repeat. Eventually, I managed to trap the mouse in a container and release it outside.

To be fair, one can hardly blame the cats for taking an “every cat for herself” attitude. After all, in this situation, we’re talking about a very fixed pie, or mouse. Only one cat will get the prize. Whether that prize is then eaten or proudly left as a gift on a bedroom pillow, there can be only one winner, and it’s not the owner of the pillow. For cats, this is quite normal. Unfortunately, it is also quite normal on far too many so-called teams. Indeed, it is quite disturbing how often teams work together almost as well as did the cats.

Like the cats, though, in a very real sense you can’t blame the team members either. When there is only one mouse, or pie, suddenly the priority becomes getting it. Put another way, whenever team members are in a position of “I win, you lose,” you don’t really have a team; you have a mob or a horde of cats out for themselves.

It doesn’t matter whether there’s a fixed amount of money being given out to the “best” members of the team, or bottom ten percent are being fired. Quite simply, when members of a “horde” are competing with one another for the rewards, performance is drastically and dramatically reduced compared to a strong team. How bad can this be, you ask? A team outperforms a horde by at least tenfold, and can sometimes outperform by a factor of a hundred or more. What is that level of performance worth to you?

Like the cats being “intimidated” by the mouse, members of a horde are also more likely to be flummoxed by relatively simple problems. By behaving in an unexpected fashion, the mouse could startle the cats, in large part because each cat was devoting the bulk of its efforts to competing with the other cats. Thus, they were less able to focus on the mouse. Similarly, when team members are devoting the bulk of their efforts to competing with their supposed colleagues, they spend less effort solving problems. After all, the reward is not for finding the best ideas, but to finding an idea that looks better than the ideas that other team members came up with. In some cases, just being good at making someone else’s ideas look bad is enough to win. Well, at least the individual wins; the team, and the company, end up with a dead mouse on their pillow.

Competition on the team also means that you, the manager, have to spend most of your time keeping your cats walking in the same direction and focused on your goals. This can be exhausting, as anyone who has ever taken their cats for a drag can attest. Team members will only care about the goals of the team when no other way of getting ahead is available. As for taking risks, forget it. Why take a risk when that means someone else gets the mouse? It’s smarter to play it safe and let another person make the mistake.

Far better to eliminate competition within the team and focus team members on competing against other teams, preferably teams at other companies. Use the competition to bring them together instead of driving them apart. If someone on the team isn’t carrying his weight, it’ll become obvious and can be dealt with simply and directly at that point. Building a strong team takes effort, but it sure beats herding cats.

The Perils of Perception

I was flying through the air. Unlike the common experiences of flying, this did not involve an airplane. Rather, I was practicing jujitsu and my partner had just executed a very well-timed throw. As I went over, I suddenly realized that my partner had turned the wrong way and was throwing me off the mat and onto the concrete floor.

Needless to say, the landing was painful. I started to say something to my partner when I suddenly realized that I was still on the mat. While I thought my partner was throwing me onto concrete, he was, in fact, throwing me exactly where he was supposed to: onto a nice, soft mat. Believing that I was about to land on concrete, however, was enough to cause me to take a hard fall.

Perception, in other words, is reality.

Now, it is easy to argue that maybe the expectation of falling on concrete was enough to make me tense up and hence take a bad fall. On a separate occasion, I really was thrown off the mat and onto the concrete floor. I didn’t realize it was happening and fully expected to land on a soft mat. Far from being a painful shock, the landing was completely comfortable, exactly how I’m used to feeling when I hit the mat. It wasn’t until I stood up that I realized that I wasn’t where I expected to be.

Perception is, once again, reality.

A certain company was experiencing explosive growth. Their hot new product enabled them to dominate the niche they had created. As their product became more and more successful, the senior management team became more and more concerned about the future. They focused on the consequences of failure and the decisions they made were based on protecting their turf, not continuing to innovate and expand. Despite their successes, they viewed themselves as fighting a doomed battle against encroaching competitors. Over time, just as they envisioned, their competitors chipped away at their market share and they saw their revenue decline.

Perception can become reality.

The company was seriously stuck. They knew they had a good product, but they couldn’t get any traction. Engineering teams were spending all their time arguing over minute details; everyone was so afraid of making a mistake that making a commitment to any course of action was seen as high risk behavior. Even when they did make a commitment they made almost no progress: every decision had to be reevaluated and rejustified at every meeting.

Rather than focusing on what could go wrong, the management team had to learn to focus on what could go right. Rather than viewing every decision in terms of avoiding failure, they had to plan for success. The only way to never fall off a bicycle is to never get on one in the first place. If you want to ride, though, you have to risk falling over. This company needed to stop being afraid of falling off the bike and simply start pedaling. They needed to perceive success around the corner.

As management started to change their attitudes, the rest of the company followed. We always assume that the person highest up the ladder can see the furthest. In this case, once the people at the top started perceiving success, everyone else could perceive it too.

The company regained its dominant position. Were their mistakes along the way? Of course there were. At one time, those mistakes would have led to heads rolling and projects being canceled. Even worse, the mistakes would have led to interminable meetings arguing over the causes and making elaborate plans to avoid any possibility of failure in the future. However, with the new mindset that success was inevitable, mistakes were merely feedback, opportunities to collect information and adjust strategies.

Change perception and you change reality.

What you perceive determines how you act. This isn’t some sort of magic, it is simple psychology. Teach people to perceive success at the end of the journey and they perceive the opportunities to get them there. Teach people to perceive failure and they avoid anything that might be risky, including the opportunities to succeed.

Hard landing or soft landing, it’s up to you. What are you doing to make sure your team perceives success?

The Seven Habits of Pointy-Haired Bosses

Scott Adams, of Dilbert fame, routinely features tales of bumbling managers. The popularity of Dilbert, and the degree to which it resonates with people, are a testament to his accuracy; indeed, Dilbert’s pointy-haired boss has become an iconic figure. Dilbert aside, however, I have observed that very few leaders intentionally act like the pointy-haired boss depicted in the comic strip. Rather, they engage in pointy-haired behaviors without realizing the effect they are having on the organization as whole. Let’s explore some examples of such behaviors and their unintended consequences.

1. Pointy-haired bosses break their own rules and figure either no one will notice or no one will mind because they are in charge. In one company, the CEO called everyone together to talk about the importance of really working hard and putting personal needs to one side in order to ship a product. At the end of the talk, he announced he was leaving for a two week vacation in Hawaii and wished everyone good luck. This did not go over well. One vice-president, who had apparently not been warned, almost choked on his coffee. When the CEO came back, two people had quit and the rest were up in arms.

2. The pointy-haired boss believes that he is separate from the group he leads. In fact, leaders are also group members, with a very important and well-defined role. Through their actions, leaders set the norms for their group. For example, the manager of a team at a large software company imposed a $.25 penalty for being late to meetings. When he was subsequently late himself, the team gleefully demanded he pay up. After a brief stunned moment, he tossed a quarter into the pot. No one complained about the fine after that. What the leader does is directly mirrored in the organization. When leaders find that employees are not living up to the standards of the organization, they often need to look in a mirror and see what example they are setting.

3. Pointy-haired bosses fail to recognize the culture they are creating. To be fair, it’s hard to see your own culture from the inside, and despite what many managers and CEOs believe, culture is formed not from what you say but from what you do. As MIT’s Ed Schein observes, “Culture is the residue of success: success in dealing with external challenges and success in internal advancement.” What behaviors are successful in the organization? What behaviors are rewarded? The very behaviors that people tell me they want to change are frequently the ones they are encouraging.”

4. Pointy-haired bosses lack an understanding of group/team dynamics. They like to say that their organization is “different,” and the research on group dynamics doesn’t apply. That’s like the people in early 2000 who said about the stock market that “This time, it’s different.” If you’re dealing with people, patterns repeat. It pays to recognize the patterns and understand how they are manifesting in your specific situation.

5. Pointy-haired bosses are often unable or unwilling to create a clear, compelling vision for their organization that gets everyone involved and excited. The best way to attract and retain top talent is to make people care about what the company is doing. That’s best done through painting a vivid picture of the outcome and creating clear goals.

6. Pointy-haired bosses motivate through short-term rewards and/or intimidation. They assume they know what their employees want, rather than taking the time to ask or to observe how people are responding. Short-term rewards and intimidation generate short-term spikes in performance, but build neither loyalty nor the desire to go the extra mile. Unfortunately, far too many people are willing to sacrifice the longer-term performance of their team for a short-term gain. In one company, the head of engineering “motivated” employees by inviting them to join him for happy hour in a bar on Friday nights. Had he asked, he would have realized that what the team wanted on Friday nights was to go home and have dinner with their families. Instead of motivating the team, he made them feel imposed upon.

Finally,

7. Pointy-haired bosses do not believe in asking for or accepting help. It’s not about asking for help, it’s about investing time and money to enable the company to accomplish its goals. The boss’s time is a resource; skilled leaders invest their time and the time and money of their business where that will produce the best return. Sometimes the best return is obtained by investing in an employee, sometimes by investing in a contractor.

Very few leaders deliberately engage in these Pointy-haired boss behaviors. Rather, their behaviors are the result of their own corporate success story. Therefore, for all that even one or two Pointy-haired boss behaviors can derail an organization, behaviors acknowledged to be counter-productive are very difficult to eradicate. Nevertheless, the ability of a manager or CEO to recognize these failings and invest in changing themselves is the true test of great leadership.

Are You Speaking to Me?

This article was originally published in Corp! Magazine.

“Are you speaking to me?”

–          Fearless Leader

The manager of a team I was working with looked at me quizzically and said, “Of course we all speak to each other. Who do you think we speak to?”

That was, in part, the question I was there to answer. The problem wasn’t that they never spoke to one another; indeed, they’d taken all sorts of courses on communications. Unfortunately, none of those courses seemed to make any difference: decisions were still not being made in a timely fashion, brainstorming sessions had about as much storm as a sunny day at the beach, and there was almost no discussion or elaboration of ideas. As one of the more painful results of the situation, the team was spending a great deal of time attempting to fix problems that should have been identified ahead of time, and even more time blaming one another for said failure to identify the problems.

The easy answer was that they weren’t communicating. So they took the aforementioned courses in communications. The problems didn’t go away, although they did learn to blame one another much more articulately.

Easy answers are not necessarily correct answers.

In fact, they were communicating, just not with one another. If you’re talking to the wrong person, it doesn’t really matter how many good communications tricks you learn. Effective communications require a sender and a receiver. When you only have one of the two, it doesn’t work so well.

From the perspective of the manager, they were all talking to one another. After all, they sent emails to the entire team, they held meetings where they all conversed, and so forth. Thus he was quite confused at the idea that they weren’t all communicating with one another.

His confusion is excusable though, because from his perspective communication was occurring: the team members were all talking to him. Although it superficially appeared that they were talking to one another, in truth each team member would really speak for the benefit of the manager, and other team members were cueing off of his response in formulating their own responses. Even in emails, there was a strong tendency to wait for the manager to respond, and then each person would respond to him, not to the original poster… or the original idea.

The net result was that decision making became a series of “me too’s” instead of productive debate and incisive questioning, leading to poor decisions and lack of commitment. Complicating the problem was that the manager didn’t fully recognize that his team of experts was depending on him to be the brain in the room. He thought he’d hired each of them for their brains! Similarly, brainstorming was all about convincing the manager to buy into the idea, rather than engage in serious conversation with one another. When something didn’t work out, failure was seen as disloyalty to the team rather than as the result of poor process and incorrect communications.

Now, to be fair, being the center of communications on your team is a normal thing and it happens quite often. Indeed, had the manager not taken on that role, the team would not have been even as productive as it was. However, as the team became more sophisticated and the problems they were working on became more difficult, their habits of communication needed to change as well. Instead of operating as what amounted to a wheel, with the manager in the center acting as the clearing house, they needed to become more of a star, with each person talking directly to each other person.

Making the change wasn’t easy: it involved changing some long ingrained habits, and that never happens quickly. How did we make it happen? There is no fixed formula, but here are a few ideas you can use if you find yourself in a similar fashion:

–          When someone sends an email to the group, resist the urge to respond right away. If no one responds in a reasonable amount of time, assign someone to write the initial response. You may have to force feed the discussion in this way in order to get people talking.

–          Conversely, if email discussions devolve into pointless running about in circles until you step in, resist the urge to hand down a solution. Instead, direct and focus the discussion, making a point of asking specific team members to voice an opinion.

–          Instead of running brainstorming meetings, appoint someone else to run it, give the team some preliminary goals, and leave the room. Later, you can have the team set the goals.

–          Instead of making a decision for the team, guide them through your process for making a decision. In subsequent meetings, instruct someone else to lead the decision making process.

–          Appoint someone to act as Devil’s Advocate in meetings: their job is to raise questions and push back on issues. Encourage your team to respond to the points the Devil’s Advocate raises, don’t do it yourself. In some cases, you may have to say, “I’m not the person you have to convince. It’s her.”

Through a combination of different techniques, we were able to significantly shift the team’s communication style, dramatically increasing productivity. Now that’s a worthwhile conversation to be having!

Stephen Balzac is an expert on leadership and organizational development. A consultant, author, and professional speaker, he is president of 7 Steps Ahead, an organizational development firm focused on helping businesses get unstuck. Steve is the author of “The 36-Hour Course in Organizational Development,” published by McGraw-Hill, and a contributing author to volume one of “Ethics and Game Design: Teaching Values Through Play.” Steve’s latest book, “Organizational Psychology for Managers,” is due out from Springer in 2013. For more information, or to sign up for Steve’s monthly newsletter, visit www.7stepsahead.com. You can also contact Steve at 978-298-5189 or steve@7stepsahead.com.

Who Needs Strategy?

This is an excerpt from my upcoming book, “Organizational Psychology for Managers.”

“Our goal is to succeed!”

“Our goal is simple: we will build a winning product.”

“Joe’s goal is to get his work done on schedule 75% of the time.”

“Billy’s goal? He should cross the street safely 75% of the time.”

I’ve heard each of these so-called goals presented with a straight face. They sound good; well, at least the first three sound good. The fourth? Well, isn’t it just like the third?

Goals are an interesting beast. We talk about them all the time, put them down on paper, hang banners with goals written on them, and exhort people to stay focused on the goal. Despite all that effort, a great many of these goals never come to pass. Most of them are little more than wishful thinking or downright fantasy.

The goal problem is two-fold.

First, setting a goal does not make it happen. You can set a goal of finding a pony under your Christmas tree, but that doesn’t magically cause a pony to appear. For a goal to succeed, there needs to be a plan to accomplish it. That planning process, sometimes known as the strategy, is critical. It doesn’t matter how much you want to succeed if you aren’t willing to plan you aren’t going to get there.

Now, I frequently hear that planning is pointless since no battle plan survives contact with the enemy. That may be true, but seeing the plan not survive is at least giving you feedback that you’ve encountered the enemy. Seeing how your plan is failing can give you vital information on how to shift focus, allocate resources, and generally adjust your strategy.

More broadly, though, the difficulty is often a misunderstanding of what it means to plan. I’ve worked for companies that tried to plan projects out 2-3 years. While this is possible in a very broad sense, details matter, and you can’t plan details that far in advance. Instead, you have to plan the steps in front of you. Part of the plan is to pause periodically and review the plan. What worked? What didn’t work? What are the next steps? Developing an effective strategy is not something you do once and then execute blindly; you have to constantly adjust as circumstances change. The beginning chess player tries to play out a sequence of moves and is paralyzed when the opponent doesn’t respond as expected; the chess master has a plan and constantly adjusts his strategy in response to his opponent.

Interestingly enough, the beginner usually can’t explain his plan, while the master can. The beginner’s plan sounds like, “I have a plan: I’ll do this, and this, and this, and that’s how I’ll win.” The chess master, on the other hand, is likely to treat you to a detailed discussion of his thinking processes and chess strategy. The first is easy to say and easy to listen to, but is fundamentally useless. The second is hard to articulate and takes a lot of effort to follow, but actually does have a chance of working.

I said earlier that there are two big problems with goals. The second is failing to fail correctly.

Sometimes failure is a form of feedback. In fact, this is exactly what you want failure to be: a means of testing out different strategies and figuring out which ones work best. It is Edison’s proverbial, “I learned a thousand ways to not make a light bulb.” Used this way, failure can be very helpful. Indeed, without such productive failures learning and strategy development is impossible.

However, sometimes the cost of failure can be somewhat higher. If Billy’s goal is to cross the street safely 75% of the time, what about the other 25%? Even if we raise the expectation to 99%, that one failure can negate all the successes: getting hit by a car can ruin your whole day.

It’s all too easy to confuse the two types of failures and businesses do it all the time. They are afraid to fail when that failure would give them valuable information and they take risks that sound good but where one slip causes you to lose everything.

How do you tell the two apart?

Check out the strategy around the goal. If there is a strategy and the possibilities of failure are being considered and managed, then odds are good that if you fail, you’re failing successfully. If there is no strategy or failure is not being considered as a possibility, turn and run away. All you’re doing is rolling the dice, and if that’s your game, Vegas is a better bet.

Stephen Balzac is an expert on leadership and organizational development. A consultant, author, and professional speaker, he is president of 7 Steps Ahead, an organizational development firm focused on helping businesses get unstuck. Steve is the author of “The 36-Hour Course in Organizational Development,” published by McGraw-Hill, and a contributing author to volume one of “Ethics and Game Design: Teaching Values Through Play.” Steve’s latest book, “Organizational Psychology for Managers,” is due out from Springer in 2013. For more information, or to sign up for Steve’s monthly newsletter, visit www.7stepsahead.com. You can also contact Steve at 978-298-5189 or steve@7stepsahead.com.

Voices in the Corridor: A Halloween Tale

Even the janitors don’t go down that corridor. Not any more, not for a very long time. The spiders moved in long since, creating a very different sort of website. The old-timers in neighboring buildings claimed that long ago, on a moonless Halloween night, a business had died there.

The last company to use that building tried to have the corridor blocked off. Each day the wall would be put up. Each morning, it was found broken and scattered, a trail of debris leading from the conference room at the end of the corridor all the way to the Keurig coffee maker in the kitchen.

Those who ventured into the corridor reported voices coming from the conference room, sometimes faint, sometimes loud, always indistinct. Always arguing, always debating, though none could say of what they spoke. Only one phrase would, from time to time, rise above the murmur, a phrase that struck fear into the hearts of all who heard it. Then, for a brief time, other phrases would emerge, before fading once more into inchoate argument.

Those who returned from the corridor were always quiet, subdued, as though some darkness had settled upon their spirits, a strange, mysterious darkness not easily dispelled. Either that or they suddenly realized that they had a lot of work to do and needed another cup of coffee. Yet, no force would convince them to walk down that corridor again, to listen to the voices coming from behind the closed doors at the end, heavy wooden portals locked from the inside.

What words had they heard? What phrase filled with horror those who heard it spoken in that cobweb filled corridor?

It was only this: “I call the vote.”

Four simple words. Four words that might seem innocent, harmless, a way to make a decision and move forward. Four words which left those who spoke them trapped forever in argument and debate.

The vote: there are those who claim it is the way all debates should be settled, all arguments brought to a close.

“It is how we do things,” they say. “It is the American way.”

When the vote is called, the tally counted, the argument does not end. It continues, on and on, through vote after vote.

“I didn’t understand the issues.”

“I thought a yes vote meant we weren’t going to do it.”

“We can’t vote on this yet, we haven’t considered all the issues.”

“I don’t care what we voted, that just won’t work.”

“We can’t vote on this. It wasn’t announced ahead of time.”

The vote settled nothing. No agreement was reached, no consensus created. People took sides, the arguments became more vocal, more strident. The debate less about the issues, more about convincing others or forcing agreement. Without consensus, each vote only convinced those who lost that their error lay in not yelling more loudly, in failing to persuade others. The value of the ideas, the goal of the meeting fell away, the vision of the business lost in the struggle. Winning the vote became the new goal, the new vision. To lose the vote was to lose face. Perhaps the vote was called without warning. Who knows?

Had there been a leader who could make a decision, perhaps that would have ended it. Or perhaps not. Sometimes decisions refuse to stay decided. More precisely, some teams are unable to make a decision and stay with it. They vote, over and over they vote, yet those votes settle nothing. Rather than end the debate, the losers join together to win the next vote. The issue refuses to die until, like a zombie, the debate itself has eaten their brains.

For a vote to work, first there must be consensus. For there to be consensus, there must be productive discussion, effective debate, meaningful argument. This takes time: not just time to argue, but time to learn how to argue. Most votes occur too soon, before the team is ready. Even a strong leader can’t always change that. Strong leaders draw out their teams, involve them in the decision even when the leader will have the final word. When the best leaders make a decision, in truth they are ratifying the consensus of the team. Their strength lies in their ability to bring about that consensus, to argue without being drawn into argument.

“I don’t care what the vote was, I’m in charge here.”

So the debate continues, on an on. Eventually, everyone else went home. Down that corridor, in that room, they call the vote, over and over, and nothing ever gets done.

Happy Halloween!

Stephen Balzac is an expert on leadership and organizational development. A consultant, author, and professional speaker, he is president of 7 Steps Ahead, an organizational development firm focused on helping businesses get unstuck. Steve is the author of “The 36-Hour Course in Organizational Development,” published by McGraw-Hill, and a contributing author to volume one of “Ethics and Game Design: Teaching Values Through Play.” Steve’s latest book, “Organizational Psychology for Managers,” is due out from Springer in 2013. For more information, or to sign up for Steve’s monthly newsletter, visit www.7stepsahead.com. You can also contact Steve at 978-298-5189 or steve@7stepsahead.com.

The Paradox of Perfection

This article was originally published in American Business Magazine.

“I’ve missed more than 9,000 shots in my career; I’ve lost almost 300 games; 26 times I’ve been trusted to take the game-winning shot— and missed. I’ve failed over and over and over again in my life. And that is why I succeed.”– Michael Jordan

Ask practically any hiring manager if they’d hire someone who never considers alternatives, who refuses to take decisive action, who has never challenged themselves, and the answer will be, “No.”

The odd thing is, however, that those same managers are hiring exactly those people they said they’d never hire. Of course, they say they’re hiring people with strong track records, who don’t have a history of failure, who have never been responsible for something going wrong; the people, in short, with the perfect job histories.

But what they don’t do is take the time to understand just why that person looks so perfect. After all, isn’t it always better to hire someone who has never failed than to hire someone whose background includes unsuccessful projects?

Imagine if Michael Jordan’s coach had said, back when he first missed a game winning shot, “Hey Mikey, you missed that shot! You’re done.”

Far too often, the people who look so perfect are only perfect because they’ve never allowed themselves to attempt anything that would damage their image of perfection. They carefully choose their projects to make sure they’ll be successful, and they never challenge themselves or expose themselves to risk. Unfortunately, when something does go wrong, they also have no ability to cope.

Twelve years ago, I worked with someone who was telling me how he failed his black belt test in the martial art he studied. “It was the first test I’d ever failed,” he told me. “It was devastating.”

“How long ago did that happen?” I asked him.

“Two years.”

“So I assume you passed the second time.”

“What second time?” he asked.

After two years, his failure was still so overwhelming that he hadn’t gotten back on that metaphorical horse. As an engineer, he was not easy to work with because he had to be right all the time.

I was once called in to work with a manager who had a stellar track record, until something went wrong. He couldn’t cope. He kept telling me, “I’m not the sort of manager who allows something like that to happen.”

The resulting disconnect between his (mis)perception of himself and reality was overwhelming. The fellow was so stressed out that he couldn’t sleep, couldn’t eat and couldn’t think straight. The fact that he had never failed meant that he had no resilience. The mere possibility of failure was enough to send him into panic and make the odds of failure more likely. Yes, we did turn things around, and he’s a much more capable manager now than he ever was before.

When you want someone to embark on a risky project or take bold, decisive action, don’t look to the person with the perfect record who has never failed. If they haven’t taken risks or been bold before, why would they change just for you? Clearly what they’ve been doing worked for them—it got them praise, promotions and financial rewards.

Paradoxically, perhaps that person with the checkered past is exactly who you’re looking for. The person who misses that game-winning shot one day, improves their skills, and nails it the next time is the real winner. Success is about trying over and over and accepting the bobbles along the way. Unfortunately, the tendency on the part of many people is to view a mistake as total failure. This deprives them, and their managers, of the chance to improve and seek greater challenges.

Who would you rather trust when the stakes are high? The person with the perfect record, or the one who is the equivalent of Michael Jordan?