The Right People…Do You Have Them?

A great organization is dependent on great people. Yet, even someone who is ‘great’ may not necessarily be right for your organization.  Jim Collins reminds us the right people:

***fit in with the company’s core values

***don’t need to be tightly managed

***understand that they do not have ‘jobs’, they have responsibilities

***fulfill their commitments

***are passionate about the company and its work

***display “window and mirror” maturity (e.g. they shine a light on others while taking little credit themselves)

This is a great summary–whether you’re hiring or evaluating your organization. For many of you, this is a reminder–hopefully a helpful one.

For those of you familiar with The Power of Professionalism you’ll notice a gazillion correlations with the seven mind-sets amongst Jim’s list. Again, that’s not surprising–after all, the book is all about personal leadership!

 

 

Adversity Trumped–Progressive Avoids Its Waterloo

In November 1988 California voters passed Proposition 103 which mandated sweeping reforms within the insurance industry. In effect, it meant 20% reductions in rates and significant refunds were in store for policy-holders.  The Proposition’s passage was California’s voters way of punishing an industry they were fed up with.

Progressive Insurance, which at the time ranked #13 in the American private-passenger auto-insurance market, had a quarter of its business in California. The Proposition’s passage took a big hit on Progressive.

After the initial shock, CEO Peter Lewis called his staff together and challenged them to built a  better company.  What resulted was nothing short of remarkable. Progressive instituted new innovative claims service with roving claims adjusters that work from a fleet of vans and SUV’s which could be immediately dispatched to policy-holders homes or even the scene of an accident. By 1995 80 % of the time Progressive adjusters were issuing claim checks within 24 hours of an accident. This improvement was one of many.

By 2002 Progressive’s industry ranking had risen to #4. Lewis later called Proposition 103 “the best thing that ever happened to this company”.

It would have been easy for Lewis and his people to whine about life not being fair.    They didn’t. Instead they saw it as an opportunity. It proved to be just that. They were committed to results (MS #1) and knew things would only get better when they did (MS#3).  It’s a remarkable story that Jim Collins memorializes in Great By Choice (page 168).

It’s a life’s lesson for all of us.

 

 

An Important Reminder From Jim Collins About ‘A’ Cultures

In The Power of Professionalism we advocated that there were three levels in  assessing whether an organization had centered their culture on professional ideals. ‘A’ was the best, ‘B’ was OK, and ‘C’ was…well…out of the running.  Almost without exception, it’s the dedication (and discipline) of the organization’s leaders that enable an ‘A’ culture to become that way.

It’s within an ‘A’ culture that people gather to do great work, to solve big problems, to (borrowing an over-used phrase) make a difference. Granted, these are not at the exclusion of self-interest….but it’s not their express purpose.

Consider this quote from Jim Collins and Morten Hansen’s wonderful new book Great By Choice

“The greatest leaders we’ve studied throughout all of our research cared as much about values as victory, as much about purpose as profit, as much about being useful as being successful.”

If one were able to concoct a secret sauce for an ‘A’ culture, the “great leaders” Collins alludes to would be the very first ingredient.