Transcript Presentation Title - Indiana University

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TIMOTHY BALDWIN, PH.D.
ITLC Speaker Series
Building Winning Cultures
Timothy Baldwin
February 18, 2015
Session Agenda / Goals
• Recognize the importance of culture to
high-performing organizations
• Introduce a little customer-centric
behavioral science
Disciplines Of Winning Cultures
• Challenge you to be a Positive Force –
Not a Victim
IT Community – Winning Cultures
My Influences: Personal
Dr. Peter Baldwin (Veterinarian & President of the Quincy Rotary Club)
• Small town but not small minds
• Intellectually curious but Supremely pragmatic
IT Community – Winning Cultures
My Universal Approach
• You win with People & Positivity. In
organizations, in social settings, in life.
• There are a lot of misconceptions and much
nonsense out there – we need to be better
“bullfighters.”
• Customer-centric science. Good science exists
and it can greatly improve practice. Often just
needs a little translation.
IT Community – Winning Cultures
Three Key Ground Rules for
Today
•The right people are here. You need not be a manager
top leader or guru to impact culture
•There is a big “Knowing – Doing” gap. Successful
cultures are more about doing than knowing. There is no
knowledge advantage without an action advantage.
•Little actions can have big impact -- YOU can make a
difference – you really can
IT Community – Winning Cultures
Looking for Business Success In the Right Places:
A Quick Case Challenge
Background: Steak N Shake Restaurants , Inc. recently completed
an in-depth study comparing their stores that rank in the top
quartile in sales and profitability and those stores that rank in the
bottom quartile.
•
Was there a big difference in financial performance across stores in
those quadrants?
•
What typical business success practices (e.g., marketing, operations) are
NOT different across stores?
•
What consistent predictors or indicators of high financial performance did
they find?
•
If you were just named the manager of your own store, what actions
would you take? What would be your strategy for success?
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Steak N Shake Lessons
What DID differentiate the stores with high
performance?
(1)High customer service – measured by
external raters
(2)High employee engagement – measured by
low turnover and surveys
(3)Store leader effectiveness (drives the
first two)
So what is the secret sauce of these leaders?
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The Not Very Secret Sauce of
Exceptional People-First Cultures:
AMP it up
“…Motivation is not something you do to people. It is something you
discover about people…”
Autonomy
•Self-Direction, Choice, Voice, Transparency of Info
Mastery
•Chance to grow & get better, Working with winners
Purpose
•Greater meaning to what we do
•Belonging to something, recognized, noticed
IT Community – Winning Cultures
“People Are Our Most Important Asset”
The Great Leadership Self-Deception
“If people are our most valuable asset, I say we sell them.”
Jerry Seinfeld
“I like the concept of people, but people ruin it”
Daman Wayans
• Typical Performance Problems
(e.g. low profit, high costs, lousy customer service,
low stock price)
• Lead to: Organizational Response
(e.g., reduce training, layoffs, salary freeze, contract
labor)
• Lead to: Individual Response
(e.g., decreased motivation, higher turnover, reduced job
focus, reduced satisfaction)
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Best Companies to Work For
Outperform the Market
IT Community – Winning Cultures
Culture Really Does Matter
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Why Does Culture Matter?
Because engaged people:
•
•
•
•
•
•
Work harder
Work smarter
Perform more citizenship behaviors
Leave less / Attract other high performers
Manage the way they were managed
Are more likely to innovate
IT Community – Winning Cultures
The Seven “People-First Disciplines”
That Matter Most To Culture
1. Selective hiring (Obsess over selection)
2.Commitment to Talent Development
(Means more than training)
3.Decentralized decision-making
(What can you delegate?)
4.Fair pay & some performance-based
(Don’t need to be highest -- but hard to win exploiting)
5.Reduced status barriers
(Equity perceptions are powerful & innate)
6. Extensive sharing of information – “Line of Sight”
performance literacy is key -- but often lacking
7. Employment security – Is there a future for me here?
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One Example of the Knowing-Doing Gap in
Implementing People-First Cultures
Rank Order of
Selection Methods
Validity
1. Work Sample
2. Aptitude Testing
3. Structured Interview
4. Bio-Data
5. Personality Assessment
6. Reference Checks
7. Unstructured Interview
8. Physical Attractiveness
9. Graphology
10. Flip of A Coin
of
A Final Charge
“…Never believe that a few caring people can not
change the world. For, indeed, that’s all who
ever have.”
-- Margaret Mead
“…Success does not occur through
spontaneous combustion, you have to set
yourself on fire….” -- Anonymous
IT Community – Winning Cultures