Workplace integration:

Workplace integration:
Strategic alignment:
Strategic alignment:
Business results
Business results
How the integration of Organization, Technology How the integration of Organization, Technology
and the Workplace is the catalyst to creating and the Workplace is the catalyst to creating
business results. business results.
Inspiring behavior / achieving results. Inspiring behavior / achieving results.
Presented By: Jeff Cherry, CEO, LLD, Inc. Presented By: Jeff Cherry, CEO, LLD, Inc.
The LLD + OPX Workplace integration and Performance The LLD + OPX Workplace integration and Performance
Management Group Management Group
Integrating the Operational
Integrating the Operational
Environment
Environment

The Technological Environment

The Technological Environment

The Physical Environment

The Physical Environment

The Organizational Environment

The Organizational Environment

ORGANIZATIONAL ECOLOGY
ORGANIZATIONAL ECOLOGY

Or...Why is this important?

Or...Why is this important?
Achieving Results
Achieving Results

ACHIEVING STRATEGIC OR MISSION

ACHIEVING STRATEGIC OR MISSION
CRITICAL RESULTS
CRITICAL RESULTS
This is all we want. This is all we want.
Achieved in one way and only in one way Achieved in one way and only in one way
Behaviors: Behaviors:
(which are predicated on our beliefs) that are (which are predicated on our beliefs) that are
consistent and aligned with Our desired results consistent and aligned with Our desired results
Achieving Results
Achieving Results

A company is the sum of what its

A company is the sum of what its
people understand and know how to do
people understand and know how to do
well
well

Frances Cairncross, Management Editor of Frances Cairncross, Management Editor of

The Economist and author of The Company The Economist and author of The Company
of the Future of the Future
Achieving Results
Achieving Results

'A company is the sum of what its

'A company is the sum of what its
people understand, know how to do
people understand, know how to do
well and what they actually WILL do to
well and what they actually WILL do to
the advantage of the company"
the advantage of the company"
Jeff Cherryauthor of nothing.. Jeff Cherryauthor of nothing..
Achieving Results
Achieving Results

The Inherent Assumption The Inherent Assumption

People will do all that they are capable of People will do all that they are capable of
What someone knows how to do vs. what they What someone knows how to do vs. what they
actually do actually do
Lack of performance = Not doing Lack of performance = Not doing

Because of this: Because of this:

We hire on capability We hire on capability
We fire on behavior We fire on behavior
Achieving Results
Achieving Results

People will act in accordance with their

People will act in accordance with their
belief system or in accordance with what
belief system or in accordance with what
they are inspired / enabled /
they are inspired / enabled /
conditionedto do.
conditionedto do.
The 20 / 60 / 20 Rule? The 20 / 60 / 20 Rule?
Don Schminke, Ex Johns Hopkins MBA Professor Don Schminke, Ex Johns Hopkins MBA Professor
and consultant to, Presidents, the Joint Chiefs of and consultant to, Presidents, the Joint Chiefs of
Staff and the Dalai Lama, among others. Staff and the Dalai Lama, among others.
Achieving Results
Achieving Results

Still not Convinced?

Still not Convinced?
Seven habits of highly effective people Seven habits of highly effective people
The Habits of Wealth The Habits of Wealth
The Discipline of Market Leaders The Discipline of Market Leaders
Good to Great Good to Great
The Four Obsessions of the Extraordinary The Four Obsessions of the Extraordinary
Executive Executive
All talk about looking for behaviors that have All talk about looking for behaviors that have
resulted in success and emulating them to be resulted in success and emulating them to be
successful yourself. successful yourself.
Achieving Results
Achieving Results

So what do we have?
So what do we have?
Results Results
Achieved through Achieved through
Behaviors Behaviors
Predicated upon Predicated upon
Beliefs Beliefs
Or influenced by Or influenced by
Environment Environment
Achieving Results
Achieving Results

The Million dollar question (with the

The Million dollar question (with the
answer)!
answer)!
How do I get my people to behave in a How do I get my people to behave in a
manner that is consistent with my beliefs and manner that is consistent with my beliefs and
our strategy? our strategy?
Achieving Results
Achieving Results

ANSWER:
ANSWER:

Hire only those people who believe

Hire only those people who believe
exactly the same things as you
exactly the same things as you. .
Achieving Results
Achieving Results

The REAL Answer:

The REAL Answer:
Create an environment that will inspired / Create an environment that will inspired /
enable / condition them (60%ers) to behave enable / condition them (60%ers) to behave
in a consistent, deliberate and targeted in a consistent, deliberate and targeted
fashion. fashion.
(I.E. (I.E. As if As if they believe the same as you!) they believe the same as you!)
Achieving Results
Achieving Results

How How
IT Environment + Physical Environment IT Environment + Physical Environment
+Organizational Environment = Organizational +Organizational Environment = Organizational
Ecology Ecology
By designing the organizational ecology, or the By designing the organizational ecology, or the
manner in which employees experience the manner in which employees experience the
workplace, we can pointedly effect behavior such that workplace, we can pointedly effect behavior such that
those required to achieve strategy and produce those required to achieve strategy and produce
results are most likely to occur. results are most likely to occur.
Integration in the broadest sense of the term Integration in the broadest sense of the term
Achieving Results
Achieving Results

Two Issues are the foundation of this

Two Issues are the foundation of this
theory
theory

Issue 1:
Issue 1:
Alignment
Alignment
Now that you have a strategy, what skills and Now that you have a strategy, what skills and
behaviors are required to deploy that strategy behaviors are required to deploy that strategy
in the marketplace? in the marketplace?
Professor Jeffrey Pfeffer, The Thomas D. Dee Professor Jeffrey Pfeffer, The Thomas D. Dee
Professor of Organizational Behavior, Stanford Professor of Organizational Behavior, Stanford
University Graduate School of Business University Graduate School of Business
Achieving Results
Achieving Results

Issue 2: Issue 2: Integration Integration

There are decades of research documenting the There are decades of research documenting the
influence on knowledge worker productivity of these influence on knowledge worker productivity of these
three areas individually. The frontier of knowledge three areas individually. The frontier of knowledge
worker performance stems from the surprising worker performance stems from the surprising
realization that in very few instances have these realization that in very few instances have these
factors been addressed in an integrated way. factors been addressed in an integrated way.
Based on a Fall 2002 Based on a Fall 2002 MIT Sloan Management Review MIT Sloan Management Review article article
by Tom Davenport, Robert Thomas and Susan Cantrell of by Tom Davenport, Robert Thomas and Susan Cantrell of
the Accenture Institute for Strategic Change the Accenture Institute for Strategic Change
Strategy Strategy
Required High Order Tasks Required High Order Tasks
Required Organizational Behaviors Required Organizational Behaviors
Required Individual Behaviors Required Individual Behaviors
BUSINESS RESULTS BUSINESS RESULTS
IT Infrastructure IT Infrastructure
Physical Infrastructure Physical Infrastructure
Organizational Infrastructure Organizational Infrastructure
Achieving Results
Achieving Results

Our Strategy
Our Strategy
Integrate and tune the Integrate and tune the Environment Environment
Aligned with Aligned with Strategy Strategy
To inspire To inspire Behaviors Behaviors
Thereby producing strategic or mission critical Thereby producing strategic or mission critical
Results Results
The ROI Perspective
The ROI Perspective

Were talking about inspiring behavior

Were talking about inspiring behavior

The Mother of All HR Interventions

The Mother of All HR Interventions

Our People are our Number One

Our People are our Number One
Asset
Asset
We've all heard this and probably many of We've all heard this and probably many of
us say it us say it
Problem is we don't believe it or better yet Problem is we don't believe it or better yet
we don't live it! we don't live it!
The ROI Perspective
The ROI Perspective

Bruce
Bruce
Pfau
Pfau
, Ph. D.
, Ph. D.
National Practice Director of Organizational National Practice Director of Organizational
Effectiveness, Watson Wyatt Worldwide Effectiveness, Watson Wyatt Worldwide

Since 1999 has studied over 750

Since 1999 has studied over 750
Organizations, worldwide
Organizations, worldwide
$100 MM minimum revenues $100 MM minimum revenues
80 Privately held 80 Privately held
61 with revenues in excess of $5 Billion 61 with revenues in excess of $5 Billion
The ROI Perspective
The ROI Perspective

Findings?
Findings?
Crafting an environment in this manner is a Crafting an environment in this manner is a
leading indicator of financial performance leading indicator of financial performance
(not the other way around) IE its not a luxury (not the other way around) IE its not a luxury
What kind of performance? What kind of performance?

On average the companies that practice

On average the companies that practice
these strategies have outperformed their
these strategies have outperformed their
competition by 300% over the last 5 years!
competition by 300% over the last 5 years!
Theory into Practice
Theory into Practice
Aligning Business Strategy and Management Aligning Business Strategy and Management
Practices Practices
First things first First things first
StrategyYou have to have one (what if you dont?) StrategyYou have to have one (what if you dont?)
Then everything else Then everything else
Given your particular strategy, what behaviors and skills are Given your particular strategy, what behaviors and skills are
required to deploy that strategy in the marketplace? required to deploy that strategy in the marketplace?
Process and content Process and content
Given those behaviors, how must we shape our Given those behaviors, how must we shape our
environment (physical, cultural and technological) to inspire environment (physical, cultural and technological) to inspire
those behaviors? those behaviors?
TECHNOLOGY TECHNOLOGY
FACILITIES FACILITIES
ORGANIZATIONAL ORGANIZATIONAL
STRATEGY STRATEGY
ORGANIZATION ORGANIZATION
FACILITIES
ORGANIZATION
TECHNOLOGY
Integration Integration
Work Process
Cultural Transformation
Teams
Collaboration
Customer Behavior
Workforce Behavior
Desired
Workforce
Performance
Increased revenue
Shareholder value
Employee retention
Infrastructure costs
Rate of innovation
Current Current
State State
Implementation Implementation
Alignment Alignment
Integrated Performance Concept
Integrated Performance Concept
The Desired
Workforce
Performance
The Performance The Performance
Gap Gap

The Implementation Methodology The Implementation Methodology

Operational Analysis
Check for existence of and
leadership agreement on:
Vision, Mission, Values, Goals,
Strategies, & Behaviors
Understanding of external
marketplace, structural dynamics,
competitive forces.
Environmental Analysis
The Three Levers:
Technological Environment:
Infrastructure, applications,
connectivity, security,
personnel, policies &
procedures
Organizational Environment:
Processes & Procedures,
workflow, performance
management, compensation,
HR
Physical Environment:
Interior architecture,
architecture, engineering,
geography, real estate costs
Desired
Workforce
Performance
Actual State
Of Workforce
Performance
Lack of Agreement on
Strategies and Required
Behaviors
Lack of Alignment or
Integration
Individual Deficiencies:
Technology
(tools, resources,
architecture, costs)
Facilities
(configurations,
ergonomics, geography,
costs)
Organization
(model, incentives,
rewards, skills &
knowledge, capacity,
motivation and
expectations)
Unintended
Consequences
Technology Support,
Network engineering,
Outsourcing, application
Development, IA, IS,
Job Analysis, work design,
Organizational
Communications
Organizational Design and
Development, training,
Design, Architecture,
Interiors, engineering Real
Estate services, corporate
Identity
Project Management
Change Management
Process Design
Employee
Development
Communications
List of Constraints:
Cash
People
External Market Structure
Formative: Summative: Confirmative:
Performance Analysis Immediate Reactions Continuing Effectiveness
Cause Analysis Immediate Competencies (organizational Impact)
Selection/Design of Immediate Behaviors Return on Investment
Implementation Overall Workforce Continuing Competence
Performance (job Transfer?)
PERFORMANCE PERFORMANCE
Gap Gap
Performance and Integration Audit Performance and Integration Audit Cause Analysis Cause Analysis Implementation Toolbox Implementation Toolbox Performance Plan Performance Plan
Evaluation Evaluation
Achieving Results
Achieving Results

A Simplistic but effective Example

A Simplistic but effective Example
TEAMWORK! TEAMWORK!
Achieving Results
Achieving Results

Whos getting it Right

Whos getting it Right
Southwest Airlines Southwest Airlines
DPR Construction DPR Construction
SAS (The Most Right!) SAS (The Most Right!)
Achieving Results
Achieving Results

Conclusions:
Conclusions:
This about Branding, marketing, customer This about Branding, marketing, customer
experiences, loyalty, performance and results! experiences, loyalty, performance and results!
Harrahs Hotels and Casinos Harrahs Hotels and Casinos
Ohand hiring Ohand hiring
Get it right and you can hire only those people who Get it right and you can hire only those people who
believe what you believe believe what you believe
They will find you! They will find you!
And the Bottom line! And the Bottom line!
Close the performance gap and you will succeed. Close the performance gap and you will succeed.