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Teams

Never Make a Big Decision Without Doing This First

February 9, 2023 By Nagesh Belludi Leave a Comment

In 1943, General Motors (GM) brought in Peter Drucker to conduct a two-year social-scientific examination of what was then the world’s largest corporation. Drucker conducted many interviews with GM’s corporate leaders, divisional managers, department chiefs, and line workers. He analyzed decision-making and production processes. The resultant landmark study, Concept of the Corporation (1946,) laid the foundations of scientific management as a formal discipline.

One anecdote that Drucker liked to share from his GM research involved how his client, GM supremo Alfred P. Sloan, Jr., generally encouraged disagreements:

During a meeting in which GM’s top management team was considering a weighty decision, Sloan closed the meeting by asking, “Gentlemen, I take it we are all in complete agreement on the decision here?”

Sloan then waited as each member of the assembled committee nodded in agreement.

Sloan continued, “Then, I propose we postpone further discussion of this matter until our next meeting to give ourselves time to develop disagreement and perhaps gain some understanding of what this decision is about.”

Concrete Disagreement Stimulates Thought

Strong leaders encourage their team members to challenge them and question consensus. Leaders so counter the tendency toward synthetic harmony that emanates from group thinking and the risk of unchallenged leadership.

A team member with a difference of opinion or contrary position that’s well rooted in rationale is not to be reprimanded. He may have judgments worth listening to or recommendations worth heeding. Every team needs at least one to keep the team from falling into complacency. A team’s culture shouldn’t shun discouragement and conflict.. Look out, though, for team members who merely pay lip service to allow for the counterargument.

There are three reasons why dissent is needed. It first safeguards the decision maker against becoming the prisoner of the organization. Everybody is special pleader, trying—often in perfectly good faith—to obtain the decision he favors. Second, disagreement alone can provide alternatives to decision. And decision without an alternative is desperate gamblers’ throw, no matter how carefully thought through it might be. Above all, disagreement is needed to stimulate the imagination.

The Best Leaders Encourage Disagreements

Dissent and disagreement are critical to combat confirmation bias—the human tendency to readily seek and accept ostensible facts that match our existing worldview rather than objectively considering alternative viewpoints and unintended consequences.

'Management Tasks, Responsibilities, Practices' by Peter F. Drucker (ISBN 0887306152) What’s worse, leaders tend to surround themselves with like-minded individuals—people they trust and people who think alike. Drucker later wrote in his wide-ranging treatise on Management: Tasks, Responsibilities, Practices (1974,)

Sloan always emphasized the need to test opinions against facts and the need to make absolutely sure that one did not start out with the conclusion and then look for the facts that would support it. But he knew that the right decision demands adequate disagreement.

An effective decision-maker organizes dissent. This protects him against being taken in by the plausible but false or incomplete. It gives him the alternatives so that he can choose and make a decision, but also ensures that he is not lost in the fog when his decision proves deficient or wrong in execution. And it forces the imagination—his own and that of his associates. Dissent converts the plausible into the right and the right into the good decision.

Idea for Impact: The more you encourage healthy debate within your team, the better off you’ll be

The first rule in decision-making should be that you don’t make any decision unless you’ve sought out and contemplated the counterevidence. Consider the other side of any idea as carefully as your own.

Wise leaders proactively seek the truth they don’t want to find. Encourage authentic dissenting opinions to generate more—and better—solutions to problems.

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Filed Under: Managing People, Mental Models, Sharpening Your Skills, The Great Innovators Tagged With: Conflict, Conversations, Critical Thinking, Leadership Lessons, Social Dynamics, Teams

How to … Deal with Meetings That Get Derailed

January 26, 2023 By Nagesh Belludi Leave a Comment

Refuse meetings that swallow up your time with little benefit. Unproductive talk and time tend to fill the space at protracted meetings.

Cut the meetings you have in half. Cut the time of the meetings that remain in half. Then cut the number of attendees in half.

Show up only if you’re required—not just to be seen, and be prepared with your contribution.

Anecdote: When Andy Grove was CEO at Intel, every new employee, from a production worker to an executive, was required to take the company’s course on effective meetings, often taught by the acclaimed CEO himself. Grove believed good meetings were of such consequence to Intel that it was worth his time to train all employees.

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Filed Under: Effective Communication, Leading Teams Tagged With: Efficiency, Meetings, Teams, Time Management

At the End of Every Meeting, Grade It

November 18, 2022 By Nagesh Belludi Leave a Comment

After steering a consensus at the end of every meeting, allow two minutes to grade it.

Have the meeting’s chairperson go around the table and ask every attendee to give the session a letter grade. If someone doesn’t characterize it as an A, ask them to pinpoint what would have made it an A.

Through this initiative, your team can recognize the factors that influence the success of your meetings. The attendees are responsible for making future meetings an A and cutting barriers to achieving your organization’s objectives.

Few managers do this, but it’s a game changer. Close every meeting on a tone of achievement.

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  5. How to Stop “Standing” Meetings from Clogging Up Your Time

Filed Under: Effective Communication Tagged With: Efficiency, Etiquette, Meetings, Teams, Time Management

Lessons from the Japanese Decision-Making Process

November 10, 2022 By Nagesh Belludi Leave a Comment

Japanese firms traditionally use the ringi seido (“request for approval system”) to make critical decisions. A proposal is circulated to appropriate people, advancing from lower to higher ranks. As the proposal works through the management layers before landing at the top, each participant puts their stamp (the hanko) on the document.

This collective consensus process allows for a greater number of reasonable alternatives to be considered and for the risk to be spread. Although it may be slow, the implementation is faster once the decision is made. (Since the early ’90s, Toyota has followed a “three-stamp movement,” restricting the number of people needing to approve a proposal to three.)

Unlike consensus management in the west, the ringi system is often used to appease factions in an institution. Given the Japanese norms (nemawashi) of social structure and intercultural communication, everybody tends to be very diplomatic when giving an opinion. A decision isn’t made if unanimity isn’t reached.

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Filed Under: Business Stories, Effective Communication, Leading Teams Tagged With: Conflict, Critical Thinking, Japan, Meetings, Persuasion, Presentations, Teams, Thought Process

3 Ways to … Manage for Creativity

October 21, 2022 By Nagesh Belludi Leave a Comment

Managers can create the conditions for innovation by encouraging a culture of being creative—not just productive—and razing barriers that stifle individual expression.

  1. Get less formal. Foster a culture characterized by a tolerance for failure and a willingness to experiment. Involve everyone and welcome great ideas from everywhere. Make sure everyone feels free to speak out: people will own solutions if they’ve been involved in the decision-making.
  2. Simplify the workplace. Look at things with a fresh eye, as an outsider might—sometimes you’re too close to things to see the truth. Drop unnecessary work, and explore what routines can be phased out or improved. Work with coworkers to eliminate extraneous loops and redundancies if your organization has far too many rules, approvals, and forms. Streamline decision-making.
  3. Defy tradition. If no one can recall why your team does something a particular way, the task is likely more convoluted than it needs to be. Hold a ‘why do we do it that way?’ challenge. Invite colleagues from different teams to come in and look at things in a detached way. Figure out what’s relevant and necessary (and what’s not) and frequently reevaluate the priority list as new things are added.

Idea for Impact: Managing for creativity is a conscious effort in experimentation.

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Filed Under: Mental Models, The Great Innovators Tagged With: Creativity, Critical Thinking, Innovation, Problem Solving, Teams, Thought Process

Why You May Be Overlooking Your Best Talent

April 25, 2022 By Nagesh Belludi Leave a Comment

Many organizations have a hard time articulating their culture. They can’t explain what they mean when they evoke the phrase “culture fit.” Sometimes it’s just an excuse to engage employees better whom managers feel they can personally relate.

Affinity bias is a common tendency to evaluate people like us more positively than others. This bias often affects who gets hired, promoted, or picked for job opportunities. Employees who look like those already in leadership roles are more likely to be recognized for career development, resulting in a lack of representation in senior positions.

This affinity for people who are like ourselves is hard-wired into our brains. Outlawing bias is doomed to fail.

Idea for Impact: If you want to avoid missing your top talent, become conscious of implicit biases. Don’t overlook any preference for like-minded people.

For any role, create a profile that encompasses which combination of hard and soft skills will matter for the role and on the team. Determine what matters and focus on the traits and skills you need.

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Filed Under: Leadership, Leading Teams, Managing People Tagged With: Biases, Diversity, Group Dynamics, Hiring & Firing, Introspection, Social Dynamics, Teams, Workplace

Many Creative People Think They Can Invent Best Working Solo

January 19, 2022 By Nagesh Belludi Leave a Comment

Apple co-founder Steve “Woz” Wozniak writes in his memoir, iWoz: Computer Geek to Cult Icon: How I Invented the Personal Computer, Co-Founded Apple, and Had Fun Doing It (2006):

Most inventors and engineers I’ve met are like me—they’re shy and they live in their heads. They’re almost like artists. In fact, the very best of them are artists. And artists work best alone—best outside of corporate environments, best where they can control an invention’s design without a lot of other people designing it for marketing or some other committee. I don’t believe anything really revolutionary has ever been invented by committee… I’m going to give you some advice that might be hard to take. That advice is: Work alone.

Teams aren’t automatically better at creativity. In what’s termed “collaborative inhibition,” everyone needs to be happy, so team members talk and talk until they’ve reached a consensus on a decision which is usually the lowest common denominator—something tepid that everyone, worn out from the prolonged discussion, can endorse.

Idea for Impact: The best creative decisions often reflect a unique, opinionated perspective. Look for ways to increase organizational creativity by building better environments in which individual creativity can thrive.

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Filed Under: Managing People, Sharpening Your Skills Tagged With: Creativity, Critical Thinking, Entrepreneurs, Innovation, Meetings, Social Dynamics, Teams, Thought Process

An Underappreciated Way to Improve Team Dynamic

December 18, 2021 By Nagesh Belludi Leave a Comment

Reverse mentoring (the youngest and brightest teaching the oldest and experienced) has obvious symbiotic benefits for the mentor and mentee. The approach can also stimulate compelling results for the core organization and help mobilize nontraditional teams.

Reverse mentoring flips the hierarchy. It helps senior employees avoid the “ivory tower syndrome,” which happens when they become so out of touch that they can no longer relate to the juniors’ day-to-day struggles. The fresh perspectives on how the young think and work can benefit their more established colleagues.

Reverse mentoring builds up the junior employees’ sense of belonging. When included in the decision-making process, they’re comfortable expressing their views.

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Filed Under: Career Development, Managing People, Sharpening Your Skills Tagged With: Coaching, Conversations, Mentoring, Networking, Skills for Success, Teams

Nothing Unites Like a Common Enemy

December 14, 2021 By Nagesh Belludi Leave a Comment

On a recent Airlines Confidential podcast, former CEO of Airbus-America Barry Eccleston discussed how Airbus has grown over the years to dethrone Boeing as the world’s largest commercial aircraft maker.

Airbus began in the late 1960s as a consortium of pan-European companies connected by a shared crusade to counter American industrial prowess. Once aviation’s leaders in innovation, these European underdogs had been surpassed by Boeing, McDonnell Douglas, and Lockheed in the ’50s and ’60s.

Once Airbus got started and was standing on its own feet, the concept of ‘Beat Boeing’ became the Airbus mantra. Indeed, it brought together the French, the Germans, the Brits, and the Spanish. If you think about it, Europe had been trying previously to do joint venture programs successfully for quite a while, but most of them didn’t happen. But this one did. And, I believe, it happened, not solely, but in large part, because everybody rallied around a flag, and the flag was called Beat Boeing. Do you remember, in the old days, the Avis slogan was “We are number two, and we try harder?” That kind of like, was where we were at in Airbus. We knew we were number two; we knew we could become number one, and we tried harder.

Idea for Impact: Nothing unites a team like a common enemy. The adversary doesn’t have to be a person, a team, or a competitor. It can be a being-the-underdog mindset or an against-the-the-odds challenge. It can even be a system that has resisted change.

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Filed Under: Managing People, Mental Models Tagged With: Aviation, Competition, Motivation, Parables, Teams

Don’t Demonize Employees Who Raise Problems

October 21, 2021 By Nagesh Belludi Leave a Comment

One of the traps of successful leadership is being surrounded with “yes men.” Your team could hesitate to challenge your decisions, no matter how bad or mistaken they may be.

Hearing what others rally think can give you a valuable perspective. Nevertheless, it’s not really in human nature to invite others to inform you how—and why—you’re wrong. Human nature is such that we all want to hear nice things about ourselves and be reassured that we’re on the right track.

“When in doubt, keep your mouth shut,” indeed

Employees are terrified to speak up owing to the need for self-preservation. The apparent risks of speaking up are very personal and immediate, especially in comparison to some potential benefits to your organization someday. Employees impulsively play it safe.

Even if your employees are more knowledgeable, they may think twice before giving you candid feedback, especially if you’ve demonstrated tendencies of being vindictive, penalizing—even reprimanding publicly or sacking—anybody with a dissenting view.

Disciplining employees who raise problems only exacerbates the problematical frame of mind around a successful leader. It promotes the toxic culture of unquestioned power. As the American general and diplomat Colin Powell reminded in a famous speech at Sears headquarters, “The day your people stop bringing you their problems is the day you have stopped leading them. They have either lost confidence that you can help them or concluded that you do not care. Either is a failure of leadership.”

Idea for Impact: Cultivate a culture in which psychological safety thrives.

Create a work environment where your employees aren’t afraid to speak up and express their concerns. People will stick their neck out only if they sense a low psychological threat level.

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Filed Under: Effective Communication, Leading Teams Tagged With: Critical Thinking, Decision-Making, Leadership, Persuasion, Teams

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About: Nagesh Belludi [hire] is a St. Petersburg, Florida-based freethinker, investor, and leadership coach. He specializes in helping executives and companies ensure that the overall quality of their decision-making benefits isn’t compromised by a lack of a big-picture understanding.

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