HR Professional - June/July 2008 - (Page 36)

S T R AT E GY BY RON LUTK A BLACK HOLES AND LEADERSHIP M otivating people to act wilfully and heartily to achieve a desired goal, and remain focused and aligned to it, is an outcome of good leadership—but not the only outcome. Leaders can pull employees toward a goal by making the goal desirable or they can push employees toward it with a bit of prodding. However, it’s the removal of obstacles that separates the great leaders. Motivation, prodding and educating employees about the importance of achieving goals can motivate employees, but these strategies can leave goals out of reach. A more effective and sustainable strategy is required to help employees achieve goals. Definition of black holes All organizations face an obstacle that frustrates employees, impedes work and keeps them from achieving goals. The obstacle is known as a black hole and it’s deﬁned as: An area of an organization where there is, unbeknownst to management, an abundance of undesirable activities or a lack of desirable activities, both of which destroy organizations. Failures of basic activities Black holes are an accumulation of failures of basic activities—failure to phone prospects, failure to invoice customers correctly, failure to maintain equipment, for example. In volume, these failures choke organizations and cause a drag on their performance. In aggregate, failures form a black hole. Unfortunately, these failures tend to be low down the hierarchy of activities and under management’s radar. It often takes several years for these failures to manifest themselves on operating reports and ﬁnancial statements. But, before these failures show up, they have already caused damage to organizational functionality. They are obstacles, blocking the achievement of desired goals. Hidden black holes defy leaders who want to remove obstacles so employees can ﬂourish and meet goals. That is why leaders must understand black holes and identify, locate and eradicate the basic failures that create them. Obstacles The wrong action, like using tainted oil in cooking, can cause customers to become sick. This will cause sales to decline, and impair cash ﬂow and proﬁts. It threatens the very survival of the organization. In short, no matter how much is spent on marketing, the failure of a basic activity such as cooking food can become an obstacle to reaching desired goals. Similarly, pricing and accepting orders before all associated costs are determined can lead to low margins. This will impair proﬁts, leave desired goals unrealized and may even threaten the survival of the organization. Leadership means more than simply motivating employees. When a leader can keep employees focused and aligned with desired goals, and remove obstacles, the leader and organization will beneﬁt and succeed. ‘‘ Hidden black holes defy leaders who want to remove obstacles so employees can flourish and meet goals. The deﬁnition contains three important characteristics: 1) Destruction must be occurring to the organization. 2) There must be an abundance of either undesirable activity or a lack of desirable activity. 3) Management must be unaware of the destruction. ’’ Ron Lutka, CMA, ACIS, P.ADM., (author@blackholebook.com) is president of Corporate Streamlining Company Inc. and author of Black Holes in Organizations (www.blackholebook.com). HR P R OF E S S I ON A L 36 J u n e / J u l y 2 0 0 8 http://www.blackholebook.com

Table of Contents Feed for the Digital Edition of HR Professional - June/July 2008

HR Professional - June/July 2008 Contents Editor's Letter Contributors Leadership Matters Upfront Legal Compensation The Broad Perspective Leading by Example On Message Strategy Talent Management HR 101 Case Study Interview with J.P. Pawliw-Fry Off the Shelf The Last Word HR Suppliers Guide 2008 Calendar of Events

HR Professional - June/July 2008

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