The headline claim of advanced process management approaches such as ‘Outside-In’ is winning the triple crown. What do we mean by that?
Triple Crown is the ability to simultaneously reduce costs, improve service and grow revenues as a direct consequence of implementing advanced process management. Outside-In shifts attention from ‘doing things right’ to ‘doing the right things’ and as a consequence much of the work taking place within an organisation becomes ‘dumb stuff’ when tested against the achievement of the successful customer outcome. This ‘dumb stuff’ can be eliminated and typically will result in cost reductions of 40-70% within three to six months of implementation across traditional processes.
What does the cost reduction include?
A large slice of reduction is in the potential effort to run a process – the people. It also includes considerable swathes of information technology, now no longer required to manage the significantly simplified ‘outside-in’ processes. Saves are also available across the enterprise from reducing the need for ‘outsourcing’ that does not explicitly contribute to the delivery of successful outcomes. Progressive Outside-In companies such as Google, Apple, Gilead Sciences and Southwest airlines actively redeploy staff to the benefit of the bottom line – making more with less. Service improves and revenues grow.
Traditional inside-out companies have a massive opportunity
The size of the prize exceeds normal ‘inside-out’ expectations as many companies who measure efficiency and effectiveness struggle to realise single digit improvements against legacy processes. However when you look at processes through the ‘outside-in’ lens much of the previously assumed ‘must be here’ activity is no longer required.
Why is this so?
Work has grown over time and become complicated and separated into functional specialist areas supported by a multitude of IT systems undertaking specific tasks such as CRM, accounting, claims management and HR systems. In the context of Outside-In these activities can be challenged with the question “does this activity specifically contribute to the achievement of the SCO? “. If the answer to that question is ambiguous then applying relevant techniques creates a realignment of work and releases significant cost previously disguised as necessary process.
Triple Crown plus
It gets better. The reality of processes in an Outside-In context means they are specifically contributing to the achievement of the SCO and corresponding meet additional requirements such as compliance and regulation more effectively. Transparency of process – seeing who does what, where, when and why – is another by product of the new environment. So in addition to reducing costs, improving service and growing revenues we better meet regulatory requirements. The latter is especially important in the new business reality created following the recent recession and reshaping of industries such as banking.
If it is so good why aren’t we all doing Outside-In?
Large bureaucratic organisations typically suffer from senior management inertia, disbelieve and arrogance.
The reality of successful Outside-In companies is plain to see as they become leaders of their business sectors. Their performance outstrips competitors by several factors and they are often regarded as having some magic ingredient – you may have heard your management team say ‘ha yes they are quite different to us as our challenge is unique’. The bottom line is that Outside-In companies utilise a range of tools and techniques that improve alignment to the successful customer outcome and these approaches go way beyond the industrial/information age mind-set.
A new way of working
Outside-in approaches create a completely new reality that reshapes how we manage and organise work so much so that functional pyramidal structures become artefacts of the past. A senior manager who may have spent considerable time clambering to the top of these rigid monolithic structures is directly threatened by the shift to Outside-In and may be understandably reluctant to embrace a new order of business that completely changes most things you have ever known.
How can you embrace Outside-In?
The shift in mind-set is underpinned by method and new techniques appropriate to process alignment for successful customer outcomes. Several organisations offer support, training and coaching towards the new order and include emergent technologies that enhance our ability to better organise work. Direct training is available through the BP Group (www.bp2010.com) where people are encouraged to qualify as Certified Process Professionals. Associated companies offering consultancy and technology support can be reviewed at www.oibpm.com
Join the community
You can read more in the latest book ‘Outside-In. The secret of the successful 21st century companies’ at www.outsideinthesecret.com and join the global community through LinkedIn at http://bit.ly/I0tvw
Outside-In. A definition?
"Outside In is a way to focus an
organisation on doing one thing,
achieving one goal and doing it right.
By focusing the organisation on this one goal,
the unnecessary complexity of all other things
that do not contribute to this goal can be eliminated.
Outside Inners know that customers are the key
to achieving this goal."
Steve Towers & David Mottershead
Some organisations may avoid the term Outside-In
and use other terms such as 'customer centricity' or
'customer alignment'. But at their heart such approaches
fit this definition precisely.
organisation on doing one thing,
achieving one goal and doing it right.
By focusing the organisation on this one goal,
the unnecessary complexity of all other things
that do not contribute to this goal can be eliminated.
Outside Inners know that customers are the key
to achieving this goal."
Steve Towers & David Mottershead
Some organisations may avoid the term Outside-In
and use other terms such as 'customer centricity' or
'customer alignment'. But at their heart such approaches
fit this definition precisely.
New Academic articles with the theme Outside-In http://bit.ly/cZ3QsN and http://bit.ly/9mSOuc (thanks to Patrick Geiger and Mark Barnett)
Global Business Processes: the means to succeed in the 21st century.
What is a global process and what business benefit does it provide?
Companies with a worldwide presence face many challenges such as globalization, regional trading agreements and the uncertainty of the economic markets. These challenges require a coordinated approach which maximizes the benefits of a world-wide presence and at the same time provide a local focus. Global processes are the way to achieve this balance and include front end activities like customer acquisition or new business processing, support processes like information systems right the way through to back end customer retention and financial management. How does a company create, implement, and manage global processes?
Co-ordination. Teams need to develop a common process approach which regardless of culture speaks the same language i.e. what is the successful customer outcome (SCO)? Figuring out how work gets done and achieves the SCO is key to global process success. Implementation needs a pragmatic approach which acknowledges cultural perspectives. Bringing a strategic multi disciplinary team together led by qualified process leaders familiar with cultural and economic challenge is a starting point. Rolling out that discipline and process approach through geographic teams provides a means to learn and exchange and grow key processes to maturity.What are the most common challenges associated with global processes?
Getting everyone on the same page. Even the way we think and speak of processes is different and so developing a common way of looking at work is critical to a successful operation. For instance the ‘collecting the money process’ has a very specific objective however each location may have different custom and practice – how do you ensure a uniform and yet different approach? The underpinning technology that supports a global process can be common, however the business rules that we operate to make sure our endeavour is successful often need to be different.What is the relationship between global processes and performance improvement?
The relationship is absolute. In the 20th century we may have talked about standardization and conformity. Performance is now much more driven by the capability to act in the moment e.g. a US insurance company has the slogan ‘think global, act local’ which provides both a degree of uniformity and empowers the people locally to act in the best interests of the business – there and then.
Why should the average employee care about global processes?
It is the understanding that there is a framework and common structure to running the business successfully that provides assurance that senior management knows what they are doing and are operating as a team. Process is the way we get work done. It is the way we deliver value to our customers. It’s the way we create profits for our shareholders. This can then be encapsulated in our rewards systems and provide a framework for success, both in process, people, systems and global strategy.
Process Simulation | BPM | Customers - mutually exclusive?
Interesting discussion thread this week on the BP Group LinkedIn is certainly provoking a debate - see http://bit.ly/4Er8N6 for the latest.
The debate was sparked by Mark Barnett (SVP Process Bank of America) who delivered an eye opening presentation at the Lean Six Sigma and Process Improvement summit in Florida in Janaury 2010.
A key contributor to the merger and acquisition program of Countrywide involved the use of process simulation to test and validate certain assumptions. The result? Well let Mark tell you in his presentation here > http://bit.ly/czBdtc - biggish file< Jim Sinur (Gartner) has dusted off his thoughts on process simulation (see http://bit.ly/dvIUv0) so I think we can now officially call Simulation 'flavor of the month!'
The debate was sparked by Mark Barnett (SVP Process Bank of America) who delivered an eye opening presentation at the Lean Six Sigma and Process Improvement summit in Florida in Janaury 2010.
A key contributor to the merger and acquisition program of Countrywide involved the use of process simulation to test and validate certain assumptions. The result? Well let Mark tell you in his presentation here > http://bit.ly/czBdtc - biggish file< Jim Sinur (Gartner) has dusted off his thoughts on process simulation (see http://bit.ly/dvIUv0) so I think we can now officially call Simulation 'flavor of the month!'
Leaning to Outside-In
Can Lean evolve to embrace fully Outside-In principles?
Thoughts, observations and commentary - here's the mini article with additional links http://bit.ly/a9oNHu
Thoughts, observations and commentary - here's the mini article with additional links http://bit.ly/a9oNHu
Five Principles for Outside-In (aka Advanced BPM)
What are the guiding principles of moving your company to Outside-In thinking and practice?
Well with ten years of implementation under the belts of leading companies the top five looks something like this..
1. Be Customer centric in everything you think and do.
Outside-In is about the Customer. It is about people. it is about you and me.
2. Be engaged and be collaborative.
There will be others who think like you and you need support to overcome inside-out entrenched mindsets. Together we are stronger.
3. Be Optimistic. Feint heart never won fair lady.
You will need to encourage others and help them realise the personal and organisational benefits of Outside-In.
4. Be Open to new ideas and new technology.
Change happens fast, keep pace and be prepared to elarn new things every day.
5. Be ambitious.
You may have to start small however the longest journeys begin with the first step. Do what you can within your sphere of influence and work for that green light. When it comes get moving and embrace the opportunity.
Would you like to know more?...
> For collaboration and networking visit and join the BP Group
> For Coaching and professional qualifications visit www.bp2010.com
> For more indepth discussion please contact steve.towers @ bpgroup.org
Well with ten years of implementation under the belts of leading companies the top five looks something like this..
1. Be Customer centric in everything you think and do.
Outside-In is about the Customer. It is about people. it is about you and me.
2. Be engaged and be collaborative.
There will be others who think like you and you need support to overcome inside-out entrenched mindsets. Together we are stronger.
3. Be Optimistic. Feint heart never won fair lady.
You will need to encourage others and help them realise the personal and organisational benefits of Outside-In.
4. Be Open to new ideas and new technology.
Change happens fast, keep pace and be prepared to elarn new things every day.
5. Be ambitious.
You may have to start small however the longest journeys begin with the first step. Do what you can within your sphere of influence and work for that green light. When it comes get moving and embrace the opportunity.
Would you like to know more?...
> For collaboration and networking visit and join the BP Group
> For Coaching and professional qualifications visit www.bp2010.com
> For more indepth discussion please contact steve.towers @ bpgroup.org
BPM is going Outside-In - podcast
A new 15 minute overview of the challenge of Outside-In. Interview by the facilitators of the Lean Six Sigma conference in Orlando during January. http://bit.ly/6fzUkr
Still a few places left at what the BP Group endorse as a 5 Star 'excellent' event. There will be several BP Group presenters and workshops so if you have a chance to book at short notice register here - http://www.leansixsigmasummit.com/
Join us for a drink and BP Group community exchange :-)
Still a few places left at what the BP Group endorse as a 5 Star 'excellent' event. There will be several BP Group presenters and workshops so if you have a chance to book at short notice register here - http://www.leansixsigmasummit.com/
Join us for a drink and BP Group community exchange :-)
What Price Complexity?
Complexity is insidiously expensive.
When production and service cycles take forever, and costs are high, chances are that most of your processes are mired in complexity. Since Victorian times, companies have felt compelled to offer consumers whatever they want, creating a myriad of choice with goods and services each having their own process and production lines.
In turn these processes are supported by complex systems and require specific skills for bespoke services and products. How often do you hear the recital “oh we’re very different around here. What we are do is unique in the industry.”
And it probably is to the detriment of the very people you are trying to please - the customer.
Consider a few of the not so hidden costs of complexity:
1. Customer inconvenience – Your customers have to negotiate your complex system and its mind-numbing array of alternatives.
Q. Just how many Moments of Truth are there?
2. Unwieldy sales processes – The sales systems needed to support complex product lines soon grow too cumbersome, whether they require filling out complicated order forms, getting indecipherable invoices or navigating endless voice mail paths.
Q. How many rules exist to ‘guide and direct’ and are not out of date slowing things to crawl?
Q. How many handoffs occur in your processes between people, systems and services?
Eradicating those Moments of Truth, Rules and Breakpoints can change everything.
3. Impact on management – Eventually, even your managers will find numerous products and processes too much to track.
Q. How much money have you spent training people to deal with this complexity?
Remove the complexity and legacy approaches geared to streamlining processes may not be required!
4. As an absolute, the greater an organization’s complexity, the less focused its management.
Q. Where does all that management time get directed? Fire fighting and fixing problems caused by the nightmare of complexity.
Refocus management time to helping align processes for successful outcomes.
You do not have to live with complexity. We have a phrase “Fix the Cause, Remove the Effect” – perhaps that can be your guide also?
Outside-In BPM – utilize ground breaking techniques created by the market leaders who have redefined their markets and continue to outplay the competition in every aspect of the game.
You can review the CEMMethod(TM) and the training approach at www.bp2010.com
When production and service cycles take forever, and costs are high, chances are that most of your processes are mired in complexity. Since Victorian times, companies have felt compelled to offer consumers whatever they want, creating a myriad of choice with goods and services each having their own process and production lines.
In turn these processes are supported by complex systems and require specific skills for bespoke services and products. How often do you hear the recital “oh we’re very different around here. What we are do is unique in the industry.”
And it probably is to the detriment of the very people you are trying to please - the customer.
Consider a few of the not so hidden costs of complexity:
1. Customer inconvenience – Your customers have to negotiate your complex system and its mind-numbing array of alternatives.
Q. Just how many Moments of Truth are there?
2. Unwieldy sales processes – The sales systems needed to support complex product lines soon grow too cumbersome, whether they require filling out complicated order forms, getting indecipherable invoices or navigating endless voice mail paths.
Q. How many rules exist to ‘guide and direct’ and are not out of date slowing things to crawl?
Q. How many handoffs occur in your processes between people, systems and services?
Eradicating those Moments of Truth, Rules and Breakpoints can change everything.
3. Impact on management – Eventually, even your managers will find numerous products and processes too much to track.
Q. How much money have you spent training people to deal with this complexity?
Remove the complexity and legacy approaches geared to streamlining processes may not be required!
4. As an absolute, the greater an organization’s complexity, the less focused its management.
Q. Where does all that management time get directed? Fire fighting and fixing problems caused by the nightmare of complexity.
Refocus management time to helping align processes for successful outcomes.
You do not have to live with complexity. We have a phrase “Fix the Cause, Remove the Effect” – perhaps that can be your guide also?
Outside-In BPM – utilize ground breaking techniques created by the market leaders who have redefined their markets and continue to outplay the competition in every aspect of the game.
You can review the CEMMethod(TM) and the training approach at www.bp2010.com
Outside-In BPM - the year closes on a high
BPM Newsletter closes a very successful 2009 - http://bit.ly/6ZGBNs - What is your elavator pitch? Podcast & conference news - Florida :-)
A New Order of Things - Outside-In
There is no easy way to introduce a new order of things however there are some principles that can be followed based on this type of mind shift.
1, Objective and immediate.
The results we achieve with Outside-In are significant and substantive e.g. Triple Crown*. Accordingly any effort should first of all identify the clear tangible benefits.
2. Talk is cheap.
Fine words and phrases will not win hearts and minds without substance. Delivery is key, hence the 'start where you are' sentiment. In current projects (where support may be lacking) introduce the techniques within the CEMMethod(tm) by stealth.
Lift the heads of those around you to think of Moments of Truth, Break Points and Business Rules for instance. "Nothing new mate, just some stuff other guys have used within... Six Sigma../..Lean../..EA../..complaince etc. (delete as appropriate)"
3. Build support.
With (2) underway you will build support. That is the point to shift focus and begin the more practical discussion of where and how.
4. Go for broke.
If you are extremely lucky/persuasive and have the top team already onboard go for broke. Discover the worst most problematic issues and set to righting em. By fixing the Cause you will remove the Effect.
5. Move on.
It is a 4-500 year shift in mindset (Dee Hock, VISA founder).
It will ultimately transform the planet. The jury is in fact back and the results speak for themselves. So when all looks desolate and casting your pearls before swine is depressing, remind them that they are part of the problem and move on.
6. Make it so.
YOU ARE NOT ALONE it just feels that way when surrounded by flat-landers (doh). Learn, exchange and do.
As an aside Charles Bennetts links to the cartoons are thought provoking. We have links to them in the respective Alumin's in the subgroup areas :-)
Join the worlds first and largest Outside-In community at: http://www.oibpm.com
Once on-board review the subgroups and join the specialist communities - you will
find friends and support as we transform the planet one person,one process, one organisation at a time!
*Triple Crown: Jim Sinur (Gartner) coined this phrase. Through the delivery of advanced BPM you will simultaneously reduce costs, enhance service and grow revenues. In public sector/not for profits replace revenue growth with delievry of strategic objectives.
1, Objective and immediate.
The results we achieve with Outside-In are significant and substantive e.g. Triple Crown*. Accordingly any effort should first of all identify the clear tangible benefits.
2. Talk is cheap.
Fine words and phrases will not win hearts and minds without substance. Delivery is key, hence the 'start where you are' sentiment. In current projects (where support may be lacking) introduce the techniques within the CEMMethod(tm) by stealth.
Lift the heads of those around you to think of Moments of Truth, Break Points and Business Rules for instance. "Nothing new mate, just some stuff other guys have used within... Six Sigma../..Lean../..EA../..complaince etc. (delete as appropriate)"
3. Build support.
With (2) underway you will build support. That is the point to shift focus and begin the more practical discussion of where and how.
4. Go for broke.
If you are extremely lucky/persuasive and have the top team already onboard go for broke. Discover the worst most problematic issues and set to righting em. By fixing the Cause you will remove the Effect.
5. Move on.
It is a 4-500 year shift in mindset (Dee Hock, VISA founder).
It will ultimately transform the planet. The jury is in fact back and the results speak for themselves. So when all looks desolate and casting your pearls before swine is depressing, remind them that they are part of the problem and move on.
6. Make it so.
YOU ARE NOT ALONE it just feels that way when surrounded by flat-landers (doh). Learn, exchange and do.
As an aside Charles Bennetts links to the cartoons are thought provoking. We have links to them in the respective Alumin's in the subgroup areas :-)
Join the worlds first and largest Outside-In community at: http://www.oibpm.com
Once on-board review the subgroups and join the specialist communities - you will
find friends and support as we transform the planet one person,one process, one organisation at a time!
*Triple Crown: Jim Sinur (Gartner) coined this phrase. Through the delivery of advanced BPM you will simultaneously reduce costs, enhance service and grow revenues. In public sector/not for profits replace revenue growth with delievry of strategic objectives.
Don't give customers what they think they want
It is pretty much accepted wisdom these days that companies should be customer focused. It is however unfortunate that most companies go the wrong way about this by asking their customers what they want. Customers describe their requirements in terms of products and services and then when the company builds and delivers they are not desired or bought. Henry Ford put it very well “if we ask customers what they want they’ll ask for faster horses”.
And yet at the end of the first decade of the 21st century a surprising and somewhat alarming majority of companies do precisely that. Why does this fail?
Fundamentally when the customer is asked the question “what do you want from us” the answer comes in terms of product and service. Customers when faced with this question extrapolate from their own experiences and what they know of your products and service. Hence it shouldn’t be any great surprise when the requirements are bounded by current ‘inside out’ thinking. Our organizations then construct complex systems and processes to meet the requirements, develop ‘customer focused’ strategies and seek to demonstrate with measurement systems, scorecards and the like that what they are doing is what the customer asked for. Meanwhile competitors are beating us at our own game.
So how can we resolve this apparent conundrum? The answer is delightfully simple, as are most things involving Successful Customer Outcomes (SCO’s). We should be asking the more relevant question "what is the customers desired outcome?". This subtlety takes us to a new place of understanding and opens the potential for innovation and the opportunity to challenge our existing business thinking.
Making customers life’s simpler, easier and more successful is a cornerstone of SCO’s. Once we have understood the SCO we should then align everything in our organization to achieve that endeavor – without exception. We can design measurement systems which understand the SCO and the various steps to achieving it. Measuring becomes a simpler task. We should create systems which contribute directly to achieving the SCO. In fact no development should be taking place if there isn’t a demonstrable direct linkage to getting the SCO. In fact everything the company does should be progressively aligned to achieving SCO’s, and not as we often see in delivering faster horses.
How do we create this new order? Again the answer is a simple one and not bounded by the inside-out complexity which befuddles so many companies. Your improvement approaches should also be aligned to creating, understanding, and implementing approaches that, yes, contribute to the SCO.
That’s where Customer Expectation Management (CEM) comes in. As an Advanced form of business process and performance management it goes the extra mile and applies our focus to SCO’s. As a consequence these ‘outside-in’ companies are able to progressively and continually innovate and create clear water between themselves and rivals and in many instances becoming market leaders. That’s what US based Best Buy did with their customer centricity strategy. That’s what FedEx Kinko are doing with their massively simplified idea to delivery process. This is what Virgin Group do across their network of more than 100 companies.
It isn’t always about market leadership though. Simply getting better against a backdrop of increasing competition, technology innovation, tightening regulation and customer promiscuity would be great for most. Going the CEMMethod(tm) route gets you where you want and need to be.
In our 2006 book “Customer Expectation Management – Success without Exception” we reviewed the theory and several case studies which is now accessible as a complete method, with supporting toolkits, resources and techniques. The CEMMethod(tm) can be taught, customized and developed to suit different environments and commercial challenges. In the last 5 years more than 8000 people have qualified as Certified Process Professionals and incorporated this approach into their thinking at all levels – from the board room to the lunch room.
In summary then we should be asking customers what is their successful outcome and once we understand that progressively move to align everything we do to achieving that through our people, process, technology and ultimately strategy.
Good hunting for your Successful Customer Outcomes.
And yet at the end of the first decade of the 21st century a surprising and somewhat alarming majority of companies do precisely that. Why does this fail?
Fundamentally when the customer is asked the question “what do you want from us” the answer comes in terms of product and service. Customers when faced with this question extrapolate from their own experiences and what they know of your products and service. Hence it shouldn’t be any great surprise when the requirements are bounded by current ‘inside out’ thinking. Our organizations then construct complex systems and processes to meet the requirements, develop ‘customer focused’ strategies and seek to demonstrate with measurement systems, scorecards and the like that what they are doing is what the customer asked for. Meanwhile competitors are beating us at our own game.
So how can we resolve this apparent conundrum? The answer is delightfully simple, as are most things involving Successful Customer Outcomes (SCO’s). We should be asking the more relevant question "what is the customers desired outcome?". This subtlety takes us to a new place of understanding and opens the potential for innovation and the opportunity to challenge our existing business thinking.
Making customers life’s simpler, easier and more successful is a cornerstone of SCO’s. Once we have understood the SCO we should then align everything in our organization to achieve that endeavor – without exception. We can design measurement systems which understand the SCO and the various steps to achieving it. Measuring becomes a simpler task. We should create systems which contribute directly to achieving the SCO. In fact no development should be taking place if there isn’t a demonstrable direct linkage to getting the SCO. In fact everything the company does should be progressively aligned to achieving SCO’s, and not as we often see in delivering faster horses.
How do we create this new order? Again the answer is a simple one and not bounded by the inside-out complexity which befuddles so many companies. Your improvement approaches should also be aligned to creating, understanding, and implementing approaches that, yes, contribute to the SCO.
That’s where Customer Expectation Management (CEM) comes in. As an Advanced form of business process and performance management it goes the extra mile and applies our focus to SCO’s. As a consequence these ‘outside-in’ companies are able to progressively and continually innovate and create clear water between themselves and rivals and in many instances becoming market leaders. That’s what US based Best Buy did with their customer centricity strategy. That’s what FedEx Kinko are doing with their massively simplified idea to delivery process. This is what Virgin Group do across their network of more than 100 companies.
It isn’t always about market leadership though. Simply getting better against a backdrop of increasing competition, technology innovation, tightening regulation and customer promiscuity would be great for most. Going the CEMMethod(tm) route gets you where you want and need to be.
In our 2006 book “Customer Expectation Management – Success without Exception” we reviewed the theory and several case studies which is now accessible as a complete method, with supporting toolkits, resources and techniques. The CEMMethod(tm) can be taught, customized and developed to suit different environments and commercial challenges. In the last 5 years more than 8000 people have qualified as Certified Process Professionals and incorporated this approach into their thinking at all levels – from the board room to the lunch room.
In summary then we should be asking customers what is their successful outcome and once we understand that progressively move to align everything we do to achieving that through our people, process, technology and ultimately strategy.
Good hunting for your Successful Customer Outcomes.
A very old question, a very new Answer
At a recent senior executive seminar we were discussing the theme of Successful Customer Outcomes (SCO) and one question which cut to the quick deserves more after thought. Picture a dark, dingy Victorian meeting room in central London, the sleet slapping against the windows and it is late on a October afternoon.
The bright spot? A series of animated discussions around the usefulness (or not) of IT, the struggle with different process methods and the ongoing challenge of aligning our strategies with SCOs. OK you have the backdrop – here is the question from a COO in a large retail company…
“How can we make sure our people follow through and continually deliver the right thing? So often our initiatives start well and then people take their eye off the ball.” Nods of acknowledgement and congruence and even someone muttering that people just don’t get it, no matter what motivational stuff is tried.
And then a spirited response from a progressive Airline Executive (think geography and go where the birds go in a Northern US Winter) and his suggestion was so simple it was surprising that so few get it. “Well we reward for success. That is the achievement of the SCO and everyone in our company is linked to that goal. And I mean everyone right on down from the CEO to the newest trainee and college recruit.”
It set the room into a frenzy of debate, some folks insisting they do that already, others asking for more detail and some saying tried that and still failed. Airline Executive continued sensing he had something of major interest to contribute, “you see everything you do through the experience and expectation of the customer. I know we have talked about that for years but how often do we follow through, even on things like ‘Voice of the Customer’ in Lean and Six Sigma we paid lip service to the effort to truly understand and articulate everything through the SCO.” He had everyone’s attention now and continued, “Once you get started and have a clear explanation of your SCO ask yourself the question ‘is everything we are doing aligned with achieving this SCO?” – if it isn’t challenge it and ultimately "stop doing the dumb stuff.”
We then had a thirty minute brainstorm of relevant SCOs to realize that at the start there are more than a few, lots in fact. Some apparent SCOs are simply not so. Take the one suggested by a well meaning banker “To deliver credit cards on time within budget.” Initially that creates an illusion of working towards mutual success but on closer examination this one is ‘inside out’ and really doesn’t care too much about the customer. The real SCO revolves around creating the capability for a customer to use their facility in a simple trouble free way. When you think of it ‘outside-in’ that takes you to a whole new place with a set of new answers to some very old questions.
The discussion was in danger of running over time so we all took a way a brief to ‘search and deploy’ our respective SCOs knowing that our first efforts would be iterative and a learning experience.
Our next meeting then focused on helping people align to the SCO and doing as the Airline Executive proposed – rewarding folks for achieving those SCOs.
How would you do that?
The principles above are derived from direct experience and research within world leading companies. Prospective Certified Process Professionals gain full exposure to the techniques, tools and CEMMethod(tm) in the Business Professional programme.
The bright spot? A series of animated discussions around the usefulness (or not) of IT, the struggle with different process methods and the ongoing challenge of aligning our strategies with SCOs. OK you have the backdrop – here is the question from a COO in a large retail company…
“How can we make sure our people follow through and continually deliver the right thing? So often our initiatives start well and then people take their eye off the ball.” Nods of acknowledgement and congruence and even someone muttering that people just don’t get it, no matter what motivational stuff is tried.
And then a spirited response from a progressive Airline Executive (think geography and go where the birds go in a Northern US Winter) and his suggestion was so simple it was surprising that so few get it. “Well we reward for success. That is the achievement of the SCO and everyone in our company is linked to that goal. And I mean everyone right on down from the CEO to the newest trainee and college recruit.”
It set the room into a frenzy of debate, some folks insisting they do that already, others asking for more detail and some saying tried that and still failed. Airline Executive continued sensing he had something of major interest to contribute, “you see everything you do through the experience and expectation of the customer. I know we have talked about that for years but how often do we follow through, even on things like ‘Voice of the Customer’ in Lean and Six Sigma we paid lip service to the effort to truly understand and articulate everything through the SCO.” He had everyone’s attention now and continued, “Once you get started and have a clear explanation of your SCO ask yourself the question ‘is everything we are doing aligned with achieving this SCO?” – if it isn’t challenge it and ultimately "stop doing the dumb stuff.”
We then had a thirty minute brainstorm of relevant SCOs to realize that at the start there are more than a few, lots in fact. Some apparent SCOs are simply not so. Take the one suggested by a well meaning banker “To deliver credit cards on time within budget.” Initially that creates an illusion of working towards mutual success but on closer examination this one is ‘inside out’ and really doesn’t care too much about the customer. The real SCO revolves around creating the capability for a customer to use their facility in a simple trouble free way. When you think of it ‘outside-in’ that takes you to a whole new place with a set of new answers to some very old questions.
The discussion was in danger of running over time so we all took a way a brief to ‘search and deploy’ our respective SCOs knowing that our first efforts would be iterative and a learning experience.
Our next meeting then focused on helping people align to the SCO and doing as the Airline Executive proposed – rewarding folks for achieving those SCOs.
How would you do that?
The principles above are derived from direct experience and research within world leading companies. Prospective Certified Process Professionals gain full exposure to the techniques, tools and CEMMethod(tm) in the Business Professional programme.
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