High Performing Organisation ? Dr. André de Waal MBA & Drs. Chiel Vink How can YOU become … and stay an High Performing Organisation ? Dr. André de Waal MBA & Drs. Chiel Vink Center for Organizational Performance May 2010 www.hpocenter.com

... and a HPO focussen for a longer period on that what really matters Excellent organisations ... A High Performance Organisation is an organisation that achieves results that are better than its peer group over a period of time of at least 5 to 10 years ‘Peer’ groep HPO ... and a HPO focussen for a longer period on that what really matters 2 2 2

But … how to become a HPO? Keeping promises? More focus on customers? Defining a clear vision, mission and strategy? Enhancing trust in leadership? Better conditions for career development? Processes with improved IT structure? Selecting a different organisation structure? Implementing competence management? Improved information architecture? Lowering work pressure? Servant leadership? More appreciating employees on their efforts? Developing better listening skills? More two-way communication with employees? Finally sacking bad performing people? …

The HPO research: What truly matters? 5 years academic research Analysis of 290+ international studies 2500 international surveys in many countries + many sectors In cooperation with MSM, Free University of Amsterdam and Cranfield University (Great Britain) 4

 What DOES NOT make a difference ... Organisation structure: STOP continuously reorganising! Strategy: it is about UNIQUENESS!  Techniques/tools (like IT, competence management etc.): stand-alone of little value! Autonomy: too much is counterproductive! Communication: it is about dialogue!

High Performance Organisation The 5 PILLARS for success! High Performance Organisation LONG TERM ORIENTATION OPEN & ACTION ORIENTED CONTINUOUS IMPROVEMENT Wie: Peter Doel: Reden aangeven waarom Philips in het bijzonder, maar ook andere bedrijven in het algemeen, behoefte hebben om het Performance Management proces te herzien. Wie waren betrokken in de benchmark studie: Philips, NEC, Daimler Chrysler, Microsoft, HP, Oracle, SAP en Emerson. Waarom studie gestart. Van world class financial mnt naar full PM. Hoe: Licht de Benchmark studie toe Leg eerst uit wat PM is en waar het voor dient (mondeling) Verklaar de subprocessen. Geef per subproces de tekortkomingen aan. HIGH QUALITY OF EMPLOYEES HIGH QUALITY OF MANAGEMENT

A high quality manager ... is trusted by employees; has integrity and is a strong role model; applies fast decision-making and action-taking; coaches, facilitates and inspires employees to achieve exceptional results; is always focused on achieving results and is very effective in that respect; holds employees always responsible for their results and is decisive with regard to non-performers; is confident and a strong leader. Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan.

always want to be held responsible for their results; High quality employees … always want to be held responsible for their results; want to be inspired to achieve extraordinary results; are resilient and flexible; are diverse and complementary; are able to cooperate excellent with partners, suppliers and customers. Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan.

A HPO has a long term orientation … management and employees have been with the company for a long time; new management is promoted from within; the organisation maintains long term relations with stakeholders and grows through partnerships; the organisation is aimed at servicing the customers as best as possible. Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan.

An HPO fosters openness and action orientation ... management frequently engages in a dialogue with employees and involves them in important processes; employees spend much time on dialogue, knowledge sharing and learning, in order to achieve higher performance; management welcomes change and allows making mistakes. Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan.

A HPO continuously improves and renews itself by … adopting a strategy that clearly sets it apart; improving, simplifying and aligning its processes; reporting all that matters to everybody in the organisation; innovating its core competencies, products, processes and services. Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan.

Focus Practical use - Spend more time on the things that really matter Spend less time on things that do not make the difference Focus The HPO Diagnosis gives the organisaton concrete indications on the issues that need more or less management attention Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan. 12

Case study 1: ATLAS

HPO scores ATLAS  + 5% 10 8,5 8 6,0 5,8 6,2 5,3 6,1 6 4 2 Management Management Openness and Long Term Continuous Workforce Quality Quality Action Orientation Committment Improvement ATLAS (2010) ATLAS (2009) HPO 14

Atlas HPO reality HPO Performance 1 10 5.6 - 5.9 2 3 2007 2009 2010 Actions 5.6 - 5.9 2 3 2007 2009 2010 2011 Stabilisation Preparation Bad Shape Issue Driven ????

The ATLAS communication iceberg HPO “The clay layer” AMB Workforce 16

Management committment ON ALL LEVELS is critical ... 17 17 17

Session in 2007 with HPO diagnosis Case study 2: Iringa University College (IUCo) Session in 2007 with HPO diagnosis Session in 2009, again with HPO diagnosis + interviews Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan.

HPO status IUCo February 2009 HPO status IUCo February 2009 (mgmt levels) HPO status IUCo February 2009 10,0 8,5 5,9 5,5 7,5 6,3 8,0 5,6 5,1 6,4 5,5 5,9 6,0 2009 2007 4,0 Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan. 2,0 0,0 Management Quality Openness and Action Long Term Continuous Staff Quality Orientation Committment Improvement

Much improvement on the 10 strategic objectives Financially stable Analysis: good points Much improvement on the 10 strategic objectives Financially stable Greater enrollment Students + faculty are enrolling from other universities Alumni hired at other universities + government More research + publications Students are proud to be at IUCo Conclusion: growing reputation of IUCo Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan.

Management + staff are both moving toward HPU … Analysis: improvement points (example) Management + staff are both moving toward HPU … … but at different speeds Conclusion: more dialogue needed (from both sides!) management Interactie met de deelnemers!! Vraag wat de verwachtingen zijn en verzamel deze op een flip-over. De bedoeling hiervan is op een later tijdstip hiernaar te verwijzen en te checken of de workshop aan de verwachtingen van de deelnemers heeft voldaan. staff

Competition of (public) universities increasing Overall conclusion Competition of (public) universities increasing Competing on no. of students is useless HPO: not necessarily the BIGGEST but necessarily the BEST Conclusion: no option but to become the HARVARD UNIVERSITY of East Africa ! 22

HPO Score Participants 10 8,5 8 6,4 6,5 7,0 6,3 6 4 2 Management Quality Openness and Action Long Term Continuous Workforce Quality Orientation Committment Improvement Participants (n=46) UK (n=1244) Europa (n=3559) HPO 23

Strengthen process management Attention point 1: Strengthen process management HPO aspects Score In the organisation processes are continuously improved. 6,6 In the organisation processes are continuously simplified. 5,1 In the organisation processes are continuously aligned. 5,6 Improve process management knowledge, skills + planning Prevent cutting corners and compromising quality Foster end-to-end delivery view/understanding Introduce common infrastructures Discourage fire fighting and foster structural problem solving Stimulate learning from mistakes

Increase employee engagement Attention point 2: Increase employee engagement HPO aspects Score Management frequently engages in a dialogue with employees. 6,6 Organisational members are always involved in important processes. 6,3 In the organisation everything that matters to performance is explicitly reported. Organisational members spend much time on dialogue, knowledge exchange and learning. 5,7 Organisational members are trained to be resilient and flexible 5,8 Management allows making mistakes. 6,0 Foster a culture of trust (stop CYA behaviour, blaming & shaming) Foster empathic leadership Improve horizonal + vertical information flows Actively engage employees in special projects Be more visible on the work floor

Increase quality of leadership Attention point 3: Increase quality of leadership HPO aspects Score Management is trusted by organizational members. 6,4 Management is very effective. 6,5 Management applies strong leadership. 6,3 Management applies fast decision making. 5,5 Management applies fast action taking. 5,7 Management is decisive with regard to non-performers. 5,6 Management is a role model for organizational members. 6,2 Management coaches organizational members to achieve better results. Stimulate pride, ownership and pro-activity Enhance personal responsibility and accountability Emphasize unambiguous and accepted role models Introduce personal coaching from MT members Improve communication skills and dialogue attitude + ability BECOME A High Performance Manager !

My questions to you Do you recognise these attention points? How are you dealing with these? What can you recommend others to do? What are your TOP 3 tangible HPO actions for the remainder of 2010? Wie: Andre