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Managing High Performance Organizations
MGN 433
Assignment 1
Reflective Journal
2000 words
Lecturer: Professor Paul Davidson
Student: Adam F. Smith
N10094296
Introduction
The aim of this reflective journal is to display the knowledge and understanding gained from the course, and indeed each module. The hope is that I extrapolate all of the key points I’ve learnt from each module to explain how to turn any business in to a high-performance organization and keep any current high-performance organisation elevated in that position.
Module 1 HRM and the HPO
Characteristics of the HPO
As I see it, a High Performing Organisation is one where effort and reward are at least balanced, if not more weighted towards reward. Every member of the team (staff) are aligned with the same core values, and its these values which attract valuable new talent in to the flock. Whilst it is a commercial organisation, they work together as a community, allowing team work, inclusiveness, and safety of expressing ideas, without emotional penalty.
HRM and the HPO
The Human Resource Management (HRM) that I have now come to understand is vastly different to the one’s I’ve experienced in my career this far, and from research I’ve come to understand terms like servient leadership from people like Simon Sinek. Allow for a team that can be diverse, yet complimentary, coach and facilitate them but do so with integrity and lead by example.
Empower staff to make decisions, focusing on high performance, and as these results are established, promote new leaders from within. Decisions should be open and clear, push people for results, allow them to take risks knowing that they won’t be punished for failure.
HRM in the HPO is managing a community collectively and individually so the community can perform at high levels, so that all will benefit and feel rewarded.
Module 2 Leadership and Culture in the HPO
Great leadership is only created when the ideas and actions of people in authority are respectful, open and trustworthy, and they seek to reasonably promote the core values of the organisation above their own personal gain. A high performing leader knows
- The risks of the Toxic Leadership Triangle
- The benefits of being dynamic
- To stimulate change and improvement
- That Culture eats Strategy for breakfast
- To create an inclusive work environment
A successful leader will help build strategy for change, is an excellent communicator that can do so at varying levels, will work well with people at all levels of the organisations structure, and partner with stakeholders to improve and strengthen business principles.
Understanding that a great culture is crucial, we oversee the collective for signs of toxic behaviours, separation or division, and blaming. Having an equal and open structure in reward schemes where male and females staff get paid the same for the same job is an excellent start.
Module 3 Leading Change in the HPO
Module 3 was amazing, especially with the introduction of C.O. Neville Marshall, formally of the HMAS Townsville. This really identified to me and drew me in to a community as I had previously put myself forward to the Royal Australian Navy (RAN candidate #6319568 MWO class 4 medical). I was fascinated to hear his experience in the field of managing staff on a warship where Rank and File are present but yet having a measured response in the case of the lone female sailor, and how he handled that issue.
Taking another look at Maslow’s (McLeod, 2018) Hierarchy of needs, it becomes clearer how this table relates to change in a HPO, and how previously raised trust and openness relates to key areas of Esteem, Love and Belonging, and Safety needs.
The transition of change begins with a clear end (apparently with the smell of popcorn) a neutral zone, then a beginning. Making these steps obvious, makes sure that the community of the workplace move forward together.
Module 4 New Ways of Working
As businesses look to adapt to changing environments, we see new ways of how companies organise their structure and manage performance. These adjustments allow for new roles such as
- Work-Life integrators
- Performance rewarders
- CSR stakeholder marshals
- Capability builders
- Regulatory Wizards
We are now looking at a workforce are looking to seek a holistic approach, work life balance, implementing technology, multigenerational workforce, reward schemes that offer more than promotion or financial reward. We now need to manage other forces such as globalisation, diversity and cultural transformation, all while trying to increase employee engagement and commitment.
Module 5 Risk and the HPO
(before we talk about risk, let’s all have a cup of coffee)
The outcome I have from Module 5 is that risk is based around control, and contingency, and the outcome of positive and negative risk. This opens three questions,
- What could go wrong?
- What could go right?
- What can we do to plan in case the risk event happens?
Usually a HPO will have a large appetite for risk, but will have control measures in place, have the right type of people monitoring the risk and have contingencies in place to mitigate any losses. Hopefully the organisation has enough corporate social responsibility and integrity not to act like the Lehman bros in 2008. (ABC, 2018)
Module 6 Strategic Management and Uncertainty
In an ever-changing business environment, a HPO will not only seek growth, but look to extend the life of the organisation. It’s important to do forecasting and look at the mission, objectives, strategy and tactics, not just an overall idea to “win”. This brings up concepts of game theory, and how the United States of America performed so poorly in the Vietnam war. The U.S. was looking to win a war while the Vietnamize were looking for the survival and continuation of their people, the short game verses the long game (Sinek, 2016).
It’s these short and long goals that are evident in organisations that seek to ultimately keep that customer happy, or boost short term returns of stakeholders, but fail to innovate. In playing the short game there will come a point where you will lose the capacity to continue your momentum, thus failing to continue as a high performing organisation.
Module 7 Business Models
Establishing what type of business you are is an essential criteria in formulating your business model. In identifying your customer, work out what your value proposition is, that is, what does the consumer gain by using your product or service. In identifying your customer, you will find that these people or companies will have similar qualities, we call these demographics. Depending on where your company sits on the product cycle, you might be a wholesaler, have web stores, have bricks and mortar stores, or partner with other companies in a co-operative (Co-op).
At all times you are in competition with other brands, and while you may look to actively compete and react to other companies, it’s seen to be better to focus on your core values of why you have the business and build your value proposition, to service a need for your customer. Contact points with customers, including social media, are all opportunities in conversation to build a culture to which like-minded people will feel drawn to belong. It’s this belonging, creating a sense of connection and community, that is the middle level of Maslow’s hierarchy of needs.
Module 8 Workforce Planning in the HPO
Introducing Dr Samantha Harris of Royal Dutch Shell
It was amazing to hear the planning and scenario outlook that Dr Harris put forward in her presentation on energy production for Royal Dutch Shell, especially that some are more than some careers lasting for (20 yrs). Given the global reach of the company, so many factors come in to play including weather, political climate and civil unrest, and economic uncertainty. The idea of packing up only the basics and leaving all the commercial infrastructure in a country knowing that a war may break out, that the countries government may seize your assets or over through your investment is mind boggling.
As Australians I imagine locally that these are some of the last things we think of, we are lucky indeed. Considering these factors, we need to look at,
- Map the work 3-5 years ahead
- Look at what work is required
- Hire local staff and skill them
- Use the staff Fit – Stretch strategy
- Look at individual strategy plans
Again, we look back to the organisation to be flexible and dynamic in its approach to new commercial ventures, working within its capacity to deliver bases on its main competencies.
Module 9 Outsourcing and Supply Chains
Maintaining internal capabilities focus around strategic staffing (recruitment, retirement, gap analysis and encouraging older staff to stay on) while consistently negotiating on critical job roles, capabilities and increasing turnover for the organisation.
Outsourcing is a great way to increase capacity without the risk of over capitalising your organisation, although it does have the disadvantage of limiting revenue, as you are paying other people/companies to do some of the work for you. Ideally you would use the “Just in time” method to limit un-necessary financial outlay without immediate return, some use the Japanese Kan-Ban concept.
Larger companies that rely on suppliers to produce a component of their product, will sometimes buy the company, or steal the innovation and produce it themselves, gaining a competitive advantage, as they may then sell the item to competitors at an inflated price.
A strategy may include looking at the 6 B’s (Buy, Build, Borrow, Bounce, Bind or Boost).
Module 12 Creativity, Employee Engagement and Innovation Management
Foster an environment that staff feel free to be creative without the risk of being victimised, or having their ideas being put down as foolish or idiotic. Creating an environment where creativity flourishes helps build innovation, which then blossoms in to new products and services.
Allowing for touch points from the consumers will help identify gaps where new products and services can become a new value proposition, further benefiting growth in the organisation, creating a stronger company for all. The continual growth of innovation, products and services is just another characteristic of and organisation this is or approaching HPO status. The more products that an organisation can deliver in a similar category will help it streamline efficiencies and organisational processes.
Conclusion
Managing a high-performance organisation successfully is the culmination and integration of all of these module components and continually learning and adapting to macro and micro forces in the organisation. Adjusting the organisations position, being dynamic in management, being inclusive, open and respectful, managing growth of staff while supporting their many needs, whilst still creating environments that allow for extreme performance.
Being in harmony with these human resource components, will build a stronger organisation that continues to innovate, improve stakeholder engagement and confidence which then allows the optimisation of risk management.
Despite the feedback, remember you’re that one (see the Management books spine)
