Build an Environment Where Intrinsic Motivation Flourishes

50 years after Douglas McGregor’s classic, The Human Side of Enterprise, too many managers still have not learned that using extrinsic motivation is not an effective way to manage complex human systems (organizations). The issue is important to me because their is a huge amount of poor management based on this thinking (focused on how people need to be fixed/motivated) instead of fixing what management really needs to fix.

You can succeed as a manager, and progress in your career, by viewing your role as helping people do their jobs well. As McGregor shows workers want to do a good job. He termed managing with this understanding theory y; and theory x is the idea that people should be motivated with carrots and sticks because they are not going to do work otherwise. Organizations have often so systemically de-motivated people they seem to have lost that desire. What you need to focus on is not motivating them with cheap tricks. Instead focus on eliminating the factors that de-motivate them.

Often simplistic motivation is seen as a replacement for fixing management performance (improving the management systems…). Instead managers should focus on eliminating the sources of de-motivation in the workplace. If you need hints, Dilbert does a good job of showing you what management does that de-motivates.

To succeed as a manager assume people wish to do a good job. If employees are not performing some task well, the manager needs to figure out what is wrong with the system that leads to this outcome (not what is wrong with the employees). When a manager views the problem as one of motivating workers that puts the problem within the worker. They need to be changed. That is the wrong strategy, most of the time. Instead you will have much more success if you seek to improve the system to improve performance.

I believe there is often a burden to overcome. As people have their intrinsic motivation crushed time after time day after day, week after week, year after year they try to protect themselves by shutting off their hope to achieve intrinsic motivation at work. You may have to show you really are serious before they will open up again. You have to make real changes and do so consistently that shows respect for people. Intrinsic motivation is a strong force and a few earlier adopters will quickly come along in all but the most broken organizations. You can build on that success (and eliminat more and more de-motivation) to grow intrinsic motivation in more and more people.
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Stop Starting and Start Finishing – Jason Yip

Jason Yip explores the value of reducing work in process and reducing context switching costs to optimize throughput. By designing processes to work on projects serially instead of in parallel we reduce context switching, and other costs, of multitasking.

Related: Multi-Tasking: Why Projects Take so LongThe Importance of Making Problems VisibleOne piece flow (continuous flow)Kanban

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How to Manage What You Can’t Measure

In Out of the Crisis, page 121, Dr. Deming wrote:

the most important figures that one needs for management are unknown or unknowable (Lloyd S. Nelson, director of statistical methods for the Nashua corporation), but successful management must nevertheless take account of them.

So what do you do then? I am a strong advocate of Deming’s ideas on management. I see understanding system thinking, psychology, the theory of knowledge and variation as the tools to use when you can’t get precise measures (or when you can).

Even if you can’t measure exactly what you want, you can learn about the area with related data. You are not able to measure the exact benefit of a happy customer but you can get measures that give you evidence of the value and even magnitude. And you can get measures of the costs of dis-satisfied customers. I just mention this to be clear getting data is very useful and most organizations need to focus on gathering sensible data and using it well.

Without precise measures though you must use judgment. Judgment will often be better with an understanding of theory and repeated attempts to test those theories and learn. Understanding variation can be used even if you don’t have control charts and data. Over-reaction to special causes is very common. Even without data, this idea can be used to guide your thoughts.

The danger is that we mistake measures for the thing itself. Measures are a proxy and we need to understand the limitation of the data we use. The main point Deming was making was we can’t just pretend the data we have tells us everything we need to know. We need to think. We need to understand that the data is useful but the limitations need to be remembered.

Human systems involve people. To manage human systems you need to learn about psychology. Paying attention to what research can show about motivation, fear, trust, etc. is important and valuable. It aids management decisions when you can’t get the exact data that you would like. If people are unhappy you can see it. You may also be able to measure aspects of this (increased sick leave, increased turnover…). If people are unhappy they often will not be as pleasant to interact with as people who are happy. You can make judgments about the problems created by internal systems that rob people of joy in work and prevent them from helping customers.

For me the key is to use the Deming’s management system to guide action when you can’t get clear data. We should keep trying to find measures that will help. In my experience even though there are many instances where we can get definite data on exactly what we want we fail to get data that would help guide actions a great deal). Then we need to understand the limitations of the data we can gather. And then we need to continually improve and continually learn.

When you have clear data, Deming’s ideas are also valuable. But when the data is lacking it is even more important to take a systemic approach to making management decisions. Falling back into using the numbers you can get to drive decision making is a recipe for trouble.

Related: Manage what you can’t measureStatistical Engineering Links Statistical Thinking, Methods and Toolsoutcome measures

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Management Improvement Carnival #105

The management blog carnival is published 3 times a month with select recent management blog posts. Also try our collected management articles and blogs posts at: Curious Cat Management articles.

  • Instead of a Layoff by Gregg Stocker – “Everyone has a stake in the company. When a company has a history of layoffs, though, people feel powerless, disconnected, and expendable. The organization’s leaders send a very clear message that employees are not important when jobs are cut in response to a crisis.” (Also see my 2007 post, Bad Management Results in Layoffs, John)
  • The Importance of the Storefront in Lean Manufacturing by Jon Miller “Like fish, the defects should be ‘sold’ or taken care of that day, because old fish begin to smell bad.”
  • Comparing Lean Principles to the 14 Toyota Principles – “Toyota Principle #1: Base Your Management Decisions on a Long-Term Philosophy, Even at the Expense of Short-Term Financial Goals… Toyota Principle #2: Create Continuous Process Flow to Bring Problems to the Surface”
  • 10 Engagement-Building Behaviors for the Boss by Wally Bock – “Make sure people have the resources to do what you expect. Resources include skills and time and equipment and support. If your people don’t have them, get them before you hold people accountable for results.”
  • Switching to a Data-Driven Culture by Brent Dykes – “How can a data-driven identity transform your online marketing team’s behaviors? Rather than perceiving analysis to be someone else’s job, what if they thought of themselves as analysts, not just marketers?”
  • A chance to prevent failures rather than cleaning up after them – “FMEA is an analytical approach that is used in the development stage as well as operations management to focus on “What could go wrong?” with respect to a product or service. Teams identify potential failures in a system, and in the design stage, try to eliminate these potential failures as far as possible.”
  • Valid or reliable – in the board room by Jamie Flinchbaugh – “In order to maximize the utilization of board time, use of a suite of reliable metrics can provide a steady point of focus. Most of these will be quantitative such as financial, customer-focused, or employee-focused.”
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Delighting Customers

If you have customers that see you as adequate you will keep customers based on inertia.

But you have several big problems awaiting you. Those trying to win your customers business only have to overcome inertia – which can be very low hurdle (saving a small bit of money, some minor additional feature). If your customers are delighted they won’t leave (by and large) without significant reasons to.

Also your attempts to increase price are very likely to lead to increased customer losses (than if customers are delighted). Delighted customers are willing to pay a premium which helps profits enormously (Apple has done this quite well).

Delighted customers will refer others to you – great free marketing.

Satisfied customers leave you very little leeway for error. If you cause satisfied customers some problem (which granted, hopefully you won’t but if you do) they are not likely to be forgiving. If they are delighted they may well stay even if you have a delay, provide less than stellar customer service for some request…

There are many ways to attempt to delight customers. One of the simplest powerful tools is to ask a very simple question: What Could we do Better?

Related: What Job Does Your Product Do?It Just WorksKano Model of customer satisfactioncustomer focus resources

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Actionable Metrics

Metrics are valuable when they are actionable. Think about what will be done if certain results are shown by the data. If you can’t think of actions you would take, it may be that metric is not worth tracking.

Metrics should be operationally defined so that the data is collected properly. Without operationally definitions data collected by more than one person will often include measurement error (in this case, the resulting data showing the results of different people measuring different things but calling the result the same thing).

And without operational definitions those using the resulting data may well mis-interpret what it is saying. Often data is presented without an operational definition and people think the data is saying something that it is not. I find most often when people say statistics lie it is really that they made an incorrect assumption about what the data said – which most often was because they didn’t understand the operational definition of the data. Data can’t lie. People can. And people can intentionally mislead with data. But far more often people unintentionally mislead with data that is misunderstood (often this is due to failure to operationally define the data).

In response to: Metrics Manifesto: Raising the Standard for Metrics

Related: Outcome MeasuresEvidence-based ManagementMetrics and Software DevelopmentDistorting the System (due to misunderstanding metrics)Manage what you can’t measure

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Management Improvement Carnival #104

Wally Bock hosts his first carnival for us, Management Improvement Carnival #104, on the Three Star Leadership Blog. He has long posted his Leadership Reading to Start Your Week and Midweek Look at the Independent Business Blogs that also highlight great posts. Highlights for this carnival include:

  • From Mary Jo Asmus: Coaching Others: Short Term Pain for Long Term Gain
    “One of the biggest pushbacks I get from those I teach almost always has to do with the time that coaching takes. Admittedly, it can take longer to coach others than to either ignore them or to bark orders. Coaching is a methodology to help people figure things out for themselves, so you can see why it might require more time and effort than other methods a manager could use.”

    Wally’s Comment: Mary Jo Asmus is an executive coach who has actually been an executive. How cool is that? She also shares powerfully simple observations and suggestions. In this post, Mary Jo points out why spending time to coach your people is really an investment.

  • From QAspire: 5 Ideas To Ensure That Lessons are ‘Really’ Learned
    “All improvement depends on lessons you document and what you, as a leader, do about it. If you are a business leader, project leader or an improvement expert, here are five practical things you can do to ensure that lessons are really learned.”

    Wally’s Comment: Tanmay Vora says that his QAspire blog is about “practical insights on quality, leadership and improvement. This post is a fine example of his work.

Related: Curious Cat Management Improvement ConnectionsManagement RedditCurious Cat Management Improvement Glossary

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The Problem is Likely Not the Person Pointing Out The Problem

I believe the problem is likely not the person pointing out the problem. Now granted I have often been that person. Part of what I have been tasked with doing in various jobs is finding ways to improve the performance of the organization. I was told the managers wanted to hear about problems from someone working there, so I was asked to do so. What it often meant was they wanted someone to fix the problems they thought existed not point out the problem was the systems, not the people forced to deal with the systems.

I have learned managers are a lot happier if I just shut up about all the problems that should be addressed. There are happy if I can fix what I can (though really they seem to care much more about not being negative than any actually improving) and just be quiet about anything else – otherwise you are seen as “negative.”

How to Manage Whining with no Problem Solving [the broken link was removed]

As individuals begin to focus on the negative and don’t engage in problem solving, this behavior is unacceptable

The first time, it is a venting and commonly a subject matter problem. The next time we have a trend occurring, and this is where we need to coach our team player to be constructive process improvement artists. If the whining continues, we may be dealing with a negative attitude which has begun to permeate our colleague.

explore the previous solution’s outcomes; help the individual to be empowered to resolve the issue. If it is absolutely above the teammate authority, offer to help and commit to actions.

I think it is right to focus the effort on problem solving to improve the situation. I fear that far too often though “As individuals begin to focus on the negative and don’t engage in problem solving, this behavior is unacceptable.” turns into ignore problems. Yes, I know that isn’t what the post is suggesting. I am just saying that the easy “solution” that is taken far too often is to focus on the words “negative” and “unacceptable.”

I believe the focus should be on “broken systems are unacceptable.” I would prefer problem solving to address the issues but a culture of ignoring issues and seeing those that don’t as being negative is often the real problem (not the person that points out the problems).

I have discussed this topic in some posts previously: Ignoring Unpleasant Truths is Often Encouraged and Bring Me Problems, and Solutions if You Have Them. Once I am given those problems I agree with you completely. Use them as an opportunity to coach effective problem solving and process improvement strategies to improve the situation. And to develop people.

Often the problem is not the person at all. The organization never adopts fixes. People have learned that they can bang their head against the wall and then never get approval for the fix or they can just whine. Blaming them for choosing whining is not useful. I don’t see how Asking 5 whys you get to blaming the employee, except in very rare cases for not problem solving. It seems to me the issue is almost always going to lay with management: for why people are frustrated with system results and are not problem solving.
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Building on Successful Improvement

Do ‘Quick Wins’ Hurt Lean Initiatives?

This becomes very difficult, since in many organizations these executives have the strategic attention span equivalent to the life-cycle of a mayfly. When the ‘quick win’ approach is taken, the savings / impact becomes like a drug to the executives. They see the benefit and they want more – NOW. Usually they are able to get this for a while, since they are very interested in the program at the beginning and show their support thought attending events and removing obstacles, and in general there are a lot of opportunities in healthcare for immediate improvement. However, as these opportunities dry up, and the work gets harder, while the executives focus shifts elsewhere, the expectation is to continue to deliver exponential results (a clear sign the truly do not understand the fundamental concepts at play here), and those who are leading the Lean charge, try to appease.

If you don’t change how people think, the quick improvement can end up not helping much. I think quick wins help. But managing how those quick wins happen is important. Creating a maintaining a dialogue that while quick wins are possible, much bigger wins are possible by building on the gains to adopt more critical improvement (and often more complex and requiring more effort) .

As quick wins are achieved try and be sure they are building capacity at the same time. Get people to think in new ways and see improvement opportunities. Also have people learn new tools to attack more problems with. I firmly believe you learn lean best by doing lean. So getting quick successes is great training – better than classroom training. But in doing so, you do want to focus on making sure people understand how the quick fix is a process they can repeat to improve other areas.

And one of the skills you have to practice in the example mentioned in the post mentioned above is managing up. It is tricky but part of what you need to do is coach your bosses to understand lean so that you can expand the adoption of more lean thinking in your organization.

Related: How to ImproveBuilding a Great WorkforceFlaws in Understanding Psychology Lead to Flawed ManagementLeadership

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Management Improvement Carnival #103

Jamie Flinchbaugh hosts the Management Improvement Carnival #103 on his blog, highlights include:

Related: 2009 Annual Management Blog Review Part 1management improvement articlesCurious Cat Management Improvement Search

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