Tuesday, April 16, 2013

The Advantage.


Book Review.

Lencioni, Patrick.

The Advantage.  Why organizational health trumps everything else in business.  Jossey-Bass. 2012.

Comment.  Henry.

Since the contents of this book target organizations in general they have a very wide appeal.  Fundamental to organizational success is organizational health.  It “will one day surpass all other disciplines in business as the greatest opportunity for improvement and competitive advantage.” PL

The requirements of a smart organization are “strategy, finance, and technology”. (6)  The requirements for a healthy organization are, “minimal politics, minimal confusion, high morale, high productivity and low turn-over”. (6)  Together they result in a successful organization.  Health is more than intelligence, smarts.  “Health begets intelligence.” (9)

A healthy organization has as its foundation four building blocks, four disciplines:  “1.Build a cohesive leadership team.  2. Create clarity.  3. Overcommunicate clarity.  4. Reinforce clarity.” (15-16)

A cohesive leadership team is built on a foundation of trust.  This foundation supports a pyramid of “conflict, commitment, accountability and results.” (26)  Conflict, when dealt with from a position of trust results in commitment.  “To hold someone accountable is to care about them enough to risk having them blame you for pointing out their deficiencies.” (57)  Kindness is no excuse for avoiding accountability.  Behavioral accountability is difficult but necessary.  A “team effectiveness exercise” (60) is presented as a tool for holding one another accountable.

There are six questions that must be addressed to “Create Clarity”, the second discipline.  “1. Why do we exist?  2. How do we behave?  3. What do we do?  4. How will we succeed?  5. What is most important, right now?  6. Who must do what?” (77)

The third discipline, “Overcommunicate Clarity” (141) flows from the second discipline.  Repetition is important.  Rumors, “cascading communication” (144) reinforce, from the top down.

Clarity must be reinforced (fourth discipline).  It is all about “an organization institutionalizing its culture without bureaucratizing it.” (154)

Meetings are central to the four disciplines.  They are “administrative (daily check-in), tactical (weekly staff), strategic (adhoc topical) and developmental (quarterly off-site review).” (175)

 “Seizing the advantage” (188) is very much dependent on leaders and leadership.

henrydirksen.blogspot.com