Transparency Challenges for Leaders — How You Can Be More Effective

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Tuesday Mar 13th – 12:00 -1:00pm (EST)

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Transparency is a powerful, energizing concept.  Sharing information with transparency to all stakeholders is critical when creating a “Healthy” culture.  Incorporating a healthy culture adds to a company’s performance and life expectancy much like living a healthy lifestyle. Logically, a “Healthy” Culture” that demonstrates ownership thinking and behavior can provide better and more consistent care within healthcare organizations. The culture can create the value equivalent of 4% to 12% positive net operating margin in most cases.

Top 10 examples of “Healthy” cultural business practices include:

1. Open and transparent communication
2. No “secrets” rumor environment
3. Constructive dialog
4. High trust, collaboration
5. Effective delegation
6. Innovation
7. Coaching focus for development
8. Structured approach to talent appointment
9. Compelling sense of purpose/mission
10. A passion for exceptional service and caring

However, not all information handled by leaders is designed to be shared with everyone.  It can be uncomfortable by nature when the news is not good.  There may be challenges in deciding where to balance discretion with honesty, and there can be challenges with where you draw the line (how transparent).   In other words, one of the critical factors to consider when sharing information is deciding exactly who the stakeholders are.

In almost all cases, hiding facts, even nuances, from Senior Leadership can have disastrous consequences for both the far-reaching decisions that result, and also personally for the confidence lost in your ability to accurately frame executive decisions.

And you must tell subordinate leaders, who are the lifeblood of an organization, when they could be doing better or the organization’s performance will stagnate and suffer. One crucial feature of healthcare is narrow operating margins.  In such an environment, a company-wide difficulty with honest, constructive feedback can literally spell the difference between success and failure.

Objective measurement can be a frightening thing for people to hear, especially in public, when they are used to hearing they “look marvelous”.  It can be difficult for an organization to constructively manage without dysfunction, especially as they move from an opaque culture to one of translucency and then to transparency.

For example, it could be quite chilling to conduct a climate survey and then provide the entire company with the information as to who complained about what.  Presenting some information as if from a blind source can improve harmony especially if leadership acts on the issue as a serious concern without regard to or appearance of trying to find a source to “blame”.

Information about the relative performance between departments is very important for senior leadership to hear.  However, that same information, if released to a general audience, could hurt morale and further erode performance if one of those departments was struggling.

Individual performance results are best shared with supervisors, the individual leader or employee, and senior management.  It is not necessary for everyone to have access to this personal data as long as enough leadership is involved to ensure there is a consistent standard across the organization.  The exceptions are, naturally, when it is appropriate to praise someone for a job well done. Then you can’t have too many people around to hear this news.

Business practices assessments should be shared openly with everyone.  An honest assessment of the organization’s performance and where it is positioned with respect to competitors in its field, especially when embarking on a campaign to move up in those very rankings is fair to share across the entire company, to initiate a sense of competition and teamwork.  This kind of communication can bring almost a joyous sense of camaraderie to an organization.  You can just imagine the impact that would have on employee engagement.  The company’s vision, purpose, and performance, as a whole, against these public yardsticks are also valuable to share broadly and transparently.

Tools that are powerful in their ability to communicate, can be powerfully motivating and potentially discouraging.  Choosing the right stakeholders with whom to share this information must rest on what decisions need to be made and the impacts of the decisions.

Every one of Healthcare Performance Solutions’ tools is about the visual display of quantifiable information.  Since the power of our approach is “Visual” – it makes transparency “easier” when you decide to share it.

Click here to read about how our tools can improve transparency with judgment. 

Visit us on-line at www.healthcareps.com or www.successprofiles.com.  Read any or all of our blogs at blog.rightpeoplerightroles.com

Or give us a call.  We love to talk about you!

The Performance Management Eye Chart — Part IV

What Does Being In “Over Your Head” Look Like?

Performance Management Eye Chart

(pssst . . . it’s the columns on the left)

The “Peter Principle”, nepotism, favoritism, grandfathering, tenure, ‘Good Ol’ Boy” Network, buddy system, and on and on . . .  We have a lot of terms for promoting and carrying leaders that are not performing to expectations.  Very few of them are compliments.  In most cases, this practice reflects a weakness in business leadership

Several common appointment mistakes produce sub-optimized performance when leaders and managers are put into situations where they are literally in “over their heads.” The easiest way to describe this “over-leveraged” condition is that the department’s complexity, or degree of difficulty, exceeds the threshold level where the manager has better than a 50% chance of success.

For a C level talent or ability, this is virtually any management position (regardless of complexity) because their odds of success are only 40% at best, even in the lowest-complexity positions. The decision to appoint C level leadership ability to low-complexity departments should be made only when the obstacles and barriers are easily managed or when the person has some previous experience in managing the day-to-day operations.  If the manager begins to struggle or fail, the reasons are usually very apparent: they are in over their heads.

How about those B’s?

As noted by Thomas J. DeLong and Vineeta Vijayaraghavan in their 2003 Harvard Business Review Article, Let’s Hear it for B Players, B level managers are solid, consistent performers who are competent, experienced, consistent, and loyal.   The average organization has between 50% and 60% of their executives, directors, and managers at the B level of leadership ability. These managers make up the backbone of any organization.  For a B level leadership talent, the ability to manage low – and medium -complexity situations produces favorable results 75% and 60% of the time, respectively (see Odds of Success diagram below).

The only time that B level leaders and managers have low odds of success, when they often are in over their heads, is when they are appointed to complex assignments or departments.  It is here that the odds of success dip below the 50% level to 45%. It’s not that they cannot be successful, it’s just less likely.  If the decision is made to appoint a B level talent to this level of complexity, they really need to be “over-achievers” or at the B+ level to succeed at all costs or a steep price.

  • They define success differently, not in purely financially or status terms.
  • While they work hard at work, they prioritize “life-work” balance and prefer to work 50 hours per week instead of 70 to 80 or more.
  • They are usually excellent team players and avoid the spotlight of self promotion.
  • They may have been A level performers at one time and have dialed back their career focus, often due to other priorities or “throttling” down to semi-retirement.
  • They have longer tenures in organizations because they are less likely to leap from job to job in order to fast-track or advance their careers.
  • They carry a significant amount of an organization’s intellectual capital due to their experience and tenure.

The Performance Management Eye Chart (PMEC) is a visual tool that compares leadership effectiveness and cultural engagement at glance.  Leaders can instantly see which departments have healthy cultures of excellence and which ones are facing difficulties. With a unique style of presenting information in a way that allows both detailed focus and overall vision, the Eye Charts synthesize and present meaning, allowing you to see the complete performance picture.

The truth is, in any organization, it is a smart, disciplined mix of leadership talent that matches the complexity and challenge of each department that best leads to success.   A Level Leaders should be placed in the most challenging roles, but trying to hire only A Level Leaders is expensive, difficult, and creates teamwork problems.  It did not work for Enron and it will not work for anyone else.  B leaders are excellent in the right place, and C Employees make worthy contributions to organizations every day.

Put the right people in the right roles by starting that process with the Performance Management Eye Chart, which will quantify and illustrate the impact that leadership has on overall performance and the existing culture in your organization, one leader and one department a time.

The Performance Management Eye Chart — Part III

The Ineluctable Impact of Leadership and Cultural Engagement

Today’s obscure but incredible word is ineluctable.  To define, something which is ineluctable is something which cannot be avoided, changed, or resisted: inevitable.  To use it in a sentence: “Given the business practices of past management, disappointing results proved ineluctable.”  Or this sentence: “Once the Hospital’s leadership adopted the Eye Chart Tools and followed through with the recommended courses of action, success was ineluctable!

Good leadership affects every aspect of operations, including the patient experience, employee morale, and financial results.  Top-performing HealthCare organizations work hard to get it, get more of it, and improve that which they do have.

A study by Success Profiles in July, 2010, examined the leadership performance and cultural engagement index scores of 104 healthcare systems throughout the United States. Continue reading

The Performance Management Eye Chart — Part II

Opposites Attract  . . . but only if each opposite values what the other opposite has to offer.  In fact, I think we find it rare for opposite qualities to exist together in a way that is lasting and benefits from the pairing.  It can be even harder when we force two things together we find attractive but ending up acting like the same poles on a magnet, repulsing each other as hard as they can.  Sure, we will always have chocolate and peanut butter, but in the serious world of Healthcare operations, it is hard to find opposite things combine in a way that improves the result; and when we do it is hard to keep them together.  For example, every time we try to objectively measure performance in our organization and present it in a meaningful way, we seem to have to choose.  Do we want detail or a wide field of view?   Do we want to see everything at once, or do we want to see the numbers, in specific detail?  Yes, we want both.  How can we get both?

The Performance Management Eye Chart quantifies and illustrates the impact that leadership has on overall performance and the existing culture, one leader and one department a time, and puts the results together in one place. One can instantly observe the capability and performance of Continue reading

The Performance Management Eye Chart — Part I

Assessing leadership performance is similar to swimming:

You cannot assess competency with a written test.

Our key premise is that the most effective and fastest way to improve performance throughout an organization is to improve the effectiveness of leadership, one leader and one department at a time.   Meanwhile, it seems the key premise of some leaders is:  “Improve who?   Improve me?  Why me?” Continue reading