<\/p>\n

A Performance Excellence Culture is the Nutrient-Rich Soil that Enables your Business to Grow and\u00a0Thrive\u00a0<\/span><\/p>\n

Between 1986 and 1996 the Evergreen Research Project was undertaken to identify business practices that were common to high performing firms.\u00a0 A team of 50 leading academics and consultants compiled data on dozens of companies and the 200 most common business practices used.\u00a0 The objective: find those few practices that truly made a difference.<\/p>\n

The findings were published by William Joyce, Nitin Nohria, Bruce Roberson and McKinsey & Company in a book entitled, \u201cWhat Really Works: The 4+2 formula for sustained business success\u201d published by Harper Collins.<\/p>\n

The conclusion: \u00a0High performing firms adhered to four common behavioral imperatives, plus two behaviors from another secondary group of four.\u00a0 Success was demonstrated by a 15X greater Total Return to Shareholders than companies not practicing these business behaviors. \u00a0Not only was their performance better, it was sustained over a longer period of time.<\/p>\n

The four essential practices are:<\/p>\n

\n
• Make your strategy clear and focused<\/li>\n
• Execute flawlessly<\/li>\n
• Build a performance-based culture<\/li>\n
• Make your organization fast and flat<\/li>\n<\/ul>\n

  You\u2019ll need to buy the book for the rest. But here\u2019s my point:\u00a0The bottom three essential practices all relate to performance excellence.<\/p>\n

  Good soil yields good crops<\/span><\/p>\n

  A culture of performance excellence is like highly nutritious soil.\u00a0 Business initiatives are seeds.\u00a0 Even a marginal seed planted in excellent soil will yield a crop \u2013 maybe not a great one, but at least something.\u00a0 On the other hand, an excellent seed planted in depleted spoil will yield nothing.<\/p>\n

  If you must work at anything in your firm, it is most imperative to work on fortifying the soil by building a culture of performance excellence.<\/p>\n

  Taking a quick look in the mirror<\/p>\n

  If you\u2019re wondering whether your business culture is nutrient-rich, take the organizational performance excellence self-assessment that follows. For each of the bulleted items, ask yourself, \u201cTo what degree is this performance discipline practiced consistently across our business?\u201d Rate each on a scale of 1 to 5, with 5 being the highest rating. When you are finished, total the results.<\/p>\n

  \n
  • Goals and Objectives Setting:\u00a0Our goals and objectives are clearly understood by all.\u00a0 They are strategically-sound, economic and quantitative. \u00a0Everyone has several goals.\u00a0 They are specific, coordinated and aligned.<\/li>\n
  • Project Planning:\u00a0\u00a0Our project plans are detailed. \u00a0They have timelines, milestones and adequate funding. \u00a0We consider team member selection carefully based on skills not simply availability.<\/li>\n
  • Ownership\/Leadership:\u00a0\u00a0The ownership of each of our major business initiatives is clear.\u00a0 There is a single point of project manager responsibility and authority. \u00a0\u00a0Our project managers exhibit good project leadership skills and resourcefulness.<\/li>\n
  • Sense of Urgency:\u00a0\u00a0Meeting deadlines is a cultural imperative in our firm. \u00a0Meeting commitments is critical.\u00a0 People work late and on weekends to assure they don\u2019t miss a deadline.<\/li>\n
  • Expectations:\u00a0\u00a0Individual performance expectations are clear, documented, measureable.<\/li>\n
  • Accountability:\u00a0\u00a0Individual rewards and consequences are clearly understood.<\/li>\n
  • Measurements \/ Metrics:\u00a0\u00a0Both process and outcome metrics are measured in all important aspects of our business.<\/li>\n
  • Checkpoints \/ Feedback:\u00a0\u00a0Our business initiatives are characterized by frequent and productive team working sessions vis-\u00e0-vis presentations, reviews or ineffective meetings.<\/li>\n
  • Personal Performance Management:\u00a0\u00a0Individual goals, targets and roles are clear.\u00a0 People\u2019s performance evaluations relate directly to achievement of goals and the way in which they were achieved or not achieved.<\/li>\n
  • Training Programs:\u00a0\u00a0We have standard training programs across the firm for all critical roles.\u00a0\u00a0 Training is expected.\u00a0 People are not assigned to a task without being trained, tested and qualified.<\/li>\n
  • Process Consistency:\u00a0\u00a0Our critical business processes are consistent across the firm as are the tools and systems used for executing them.<\/li>\n
  • Priorities:\u00a0\u00a0There is high level of clarity amongst our employees regarding priorities.\u00a0 They know how to determine the difference between urgent and important. \u00a0They consistently follow-through on tasks to completion.<\/li>\n<\/ul>\n

    It is not uncommon to find a struggling business scoring (if the assessment items have been rated honestly) in the mid 20\u2019s.\u00a0 But whether the core is 23 or 38, imagine the economic benefit of driving\u00a0either score to something closer to 50.<\/p>\n

    Changing the Culture<\/span><\/p>\n

    It\u2019s not hard to imagine the concern a small to mid-size business owner might feel after taking this look in the mirror.\u00a0\u00a0 Embarking on a cultural change that would move the company from, say, a score of 23 to 48 might well seem daunting.\u00a0 What will his people think?\u00a0 Will they head for the door?\u00a0 Will they embrace the initiative? \u00a0Will they understand how important it is?<\/p>\n

    A well-respected and successful CEO, once told me that when faced with the uncertainty, consequences\u00a0and fear\u00a0associated with\u00a0making\u00a0critical decisions, \u00a0he was always spurred on to make those tough decisions by the uncertainty, fear and consequences of\u00a0not\u00a0making the decision.<\/p>\n

    Like every major quest, if considered as a mountain it appears impossible to climb, but as a series of small, guided steps it is achievable \u2013 and worth it.<\/p>\n

    How much is it worth?<\/span><\/p>\n

    If you are a small to mid-sized business owner and can achieve a 15 times greater total return to shareholders than your competition, how much more will your business be worth when you sell it?\u00a0 And how much more will you be worth in the years between now and then.<\/p>\n

    And what would the consequences be if your main competitor did it first?<\/p>\n

    *****<\/p>\n

    Learn more<\/a>\u00a0about a QMP Performance Excellence cultural transformation<\/p>\n","protected":false},"excerpt":{"rendered":"

    A Performance Excellence Culture is the Nutrient-Rich Soil that Enables your Business to Grow and Thrive<\/p>\n","protected":false},"author":5,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[33,7,105,13,99],"tags":[22,101],"yoast_head":"\n