Targeting What Matters When It Matters

Adopting a narrow or fixed perspective is both foolish and dangerous.  My MBA students frequently and fervently embrace a single answer, but in their rush to provide an answer they overlook key aspects and alternatives.   Experienced decision makers know to dig deeper to see all that they can to address what most important, rather than wasting resources on what appears promising or urgent. They know their role is to ask the right questions more than delivering an answer.

When we drive our cars, we do not rely exclusively on the view through the windshield.  We check the side and rear mirrors and this expanded awareness ensure our safety.  Relying on a single point of view, or past practice discounts alternate perspectives as immaterial or mistaken.  Such a laser-like focus equates to wearing blinders.  But the other extreme of trying to focus on everything equally produces confusion derailing achievement.

Not everything warrants immediate attention.  The urgent should not obscure the important. Decision makers must make the right call at the right time for the right results.

We can access mountains of data but extracting information, detecting patterns, and understanding the implications requires critical thinking and analysis.  Mining insights requires discipline rather than an advanced degree, an elevated IQ, or a lofty title.  Critical and situational analysis is not rocket science, and it is not bestowed on just a few of us.   What is needed is to develop the ability to ask questions and gauge current conditions before jumping to conclusions.

Decision makers at all levels must effectively scan their environment, extract key insights, discover alternatives, evaluate risk and target key issues.  And that cannot be done relying on our memory. Most of us have a working memory (the number of things we can pay attention to and manipulate at one time) of only three or four items at a time (https://www.livescience.com/2493-mind-limit-4.html).  Therefore, we must train decision makers to collect and gauge the glut of information in a systematic manner to avoid blind spots.

If we fail to see all that there is to see, we pay a high price.  Consider Tide Pods.  Proctor and Gamble launched one of their most innovative products in 2012. The brightly colored packets have captured one-fifth of the laundry detergent market by 2018. Yet, that success has to be balanced with eight deaths and over 9,000 poisonings. Could that have been foreseen?  Many would argue that the risk could have been identified since young children are attracted to vivid colors and shapes that they can hold.  A risk assessment would have identified it as probably and severe.

Likewise, Boeing could have anticipated software problem with their flight-control system.  How do we know this?  Boeing offered their customers, at an additional cost, a Maneuvering Characteristics Augmentation System (MCAS) system enhancement to override potential malfunction in an angle of attack sensor. Given that 737 Max 8 cost over $100 million and the fallout from a failure, the decision to charge extra for the additional software was a major red flag demanding attention.   That short-sighted decision combined with a reduced amount of pilot training combined to increase risk and cost the firm approximately one billion dollars.  Tide Pods and the 737 Max 8 had foreseeable and overlooked dangers.

Decision makers need to focus on asking questions to know what to do and when to do it based on current relevant information.  What questions are you asking to guarantee that your team can target critical issues?

Originally published on https://www.bizcatalyst360.com/targeting-what-matters-when-it-matters/

Getting in Sync With Reality: What if What We Think We Know is Wrong?

I was recently struck by my lack of knowledge while reading Hans Rosling Factfulness (2018).  My only consolation was that I was not alone.  Ninety-five percent of the people made the same errors.

One of the questions I missed was:  In the last 20 years has the proportion of the world population living in extreme poverty:

  1. Almost doubled
  2. Stayed approximately the same
  3. Almost halved

Would you be surprised to learn that extreme poverty has been cut by almost 50%?  I was.  In fact, I barely considered option C.  My preconceived ideas, my repeated exposure to tragic news stories and, to be honest, my reliance on outdated facts led me to conclude that it had almost doubled.

While I am in good company since almost everyone was mistaken, the fact is both comforting and disturbing.  It means most of us are out of sync with our current reality.   Why is this?  The causes include:  (1) our assumption that we already know everything we need to know, (2) a tendency to expect the worst case is the most likely outcome, (3) a proclivity to reduce issues to two simple options and (4) time pressures.

If you are not convinced of the extent of this problem, consider another question:  Which statement do you agree with the most?

  1. the world is getting better
  2. the world is getting worse
  3. the world is getting neither better nor worse

The correct answer is A and the data that proves this includes: significant increase in literacy, agricultural yields have increased, more people have electricity, more groups are allowed to vote, child cancer rates have improved, access to potable water has grown, more girls are in school,  and technology has spread widely to less developed nations.   Many of us failed to see this program.  We seem to see the world as a glass half empty, rather than half full.  Moreover,  this notion creates fear derailing critical thinking and analysis.

What we know “for sure” is rarely entirely accurate.    Sometimes our knowledge is obsolete,  and at other times it is incomplete.  To understand our current circumstance, we must stop thinking we know more than we do and start asking questions to fully understand all the issues enabling us to examine the facts critically.   Critical thinking is vital as we confront rapid change and complexity.  It exposes misconceptions, while also producing wiser more rewarding decisions.

Knowing that we infrequently update our knowledge and overlook information that does not conform to our pre-existing assumptions , we need new tools. Deploying a checklist has proven successful in medicine, aviation, litigation, and construction not because of ineptitude or ignorance but due to inherent cognitive flaws.   Instead of being a constraint, checklists free our minds to concentrate on critical aspects, prevent small mistakes and save time.  Now it is time for leaders at all levels to develop, share and use checklists to stay in sync with their current reality.

 

The Missing Link in Leadership Development

Leadership development historically has two basic approaches:  focusing on personal development and targeting an individual’s job skills. These were enough in a relatively stable environment.  However, in a dynamic and fast changing world, leaders must be adept at dealing with changing environments. This new contextual approach to leadership fills the gap between personal and organizational mastery.

Wise leaders collect, decipher, weigh and use information from all points of view to capitalize on opportunities and avoid being blindsided by trends due to narrow perspectives. A limited lens, or frame of reference creates blinders.  This lens is also called current driving Mindset. If we ignore some data, we open ourselves to unnecessary risk. This current driving Mindset is one of six Mindsets which enable you to assess opportunities, threats, and risks characteristic of your organization. Seeing the big picture ensures that your actions, plans, and decisions target the right outcome and address the critical challenges.    

Mental agility remains a key leadership practice. Leaders who have foresight to see reality will be more proactive. To put this in practical terms, a leader who elects to act when noticing a fire code violation offers more value than one who waits until they see flames. It saves lives, property, and opportunities for the future.

Leaders with ability to make decisions or judgments which balance short-term and long-term priorities play an invaluable role moving an organization forward. It is often the ability to change minds and gain commitment of others to produce results, depends on collecting and evaluating data from six Mindsets:

Inventing

The desire to develop new ideas, products, and services is high in the Inventing Mindset. This Mindset also seeks new internal synergies and cross-functional innovation.

Catalyzing

A focus on fast action to meet customer requirements, keeping existing customers and building the brand and beating the competition drive this Catalyzing Mindset.

Developing

Building infrastructure, creating policies and systems are the focus of the Developing Mindset as are se goals and establishing policies.

Performing

Process improvement, safety, and profit margins are in focus in the Performing Mindset. In this Mindset, quality, improving productivity and performance metric are in the forefront.

Protecting

The Protecting Mindset includes developing talent and building the internal culture of an organization. It also concentrates on succession planning, team collaboration, and engagement.

Challenging

The desire to test assumptions, create strategic options and adjust the business plan is primary in the Challenging Mindset. Discerning and spreading best practices, seeking new alliances and niches are key to sustainability.

Neglecting to comprehensively collect and examine data generates blunders.  Consider the fate of Blackberry, Kodak, and Blockbuster.

The writing was on the wall, but they failed to see it.  Their limited situational awareness blinded them to the need for change.  Situational awareness is the missing link in leadership development.  It provided leaders with the ability to see what is on the wall, around the corner, and within reach.  It is time we help leaders effectively read the realities they are confronting.

Situational Triage: Judging Current Conditions

The TV series M.A.S.H. was not just a funny comedy; it also depicted advancements in field medicine including the practice of triage. As the helicopters and trucks arrived with the wounded, the doctors and nurses would check each patient and determine whose injury needed to be attended to first. Recent mass casualty events remind me of this process and the value of astute professional medical judgment.Read More

Critical and Strategic Thinking Builds Agility

Leaders say they want to boost creativity, critical thinking and agility to improve performance and manage change. Research studies confirm the accuracy of those statements. Who wouldn’t want their staff to be quick on their feet, display ingenuity, offer critical insights, or make effective strategic choices? However, there is no consensus on how to boost agile thinking or increase brain capacity beyond the standard 10% utilization. Read More

Success Mindsets For Astute Scanning

We all recognize that better decisions follow reliable data collection. However, obtaining it remains a challenge. Too often we accept a penetrating glimpse of the obvious or past practice since it is safe and efficient to keep doing what we have always done.  Unfortunately, this tendency keeps us in an echo chamber where old assumptions reside and reverberate.Read More

Distorted Perceptions

Perception: Disconnects, Distortions and Deficiencies

We often hear that seeing is believing, but should we always believe what we see? Our distorted perceptions can be superficial and unduly influenced by past experiences.  Architects, IT professionals and security personnel can “see” the same office, but what registers and remains with them varies significantly. Read More