People in Teams - Oliver Wight Americas

PeopleinteamsIn part five of his series on managing and leading people, Jon Minerich, Principal, Oliver WightAmericas, Inc., describes how to set up successful teamsEveryone, it seems, is talkingabout teams, teamwork,and team building. SmartCEOs know that teamworkis crucial to accomplishingtheir company’s strategic goals, andalso that there is more to it thanassembling a collection of individualsto work together.The concept of teams in businessis not new, yet many companies stillstruggle to deploy them effectively.This is a shame because the properuse of teams will enable CEOs toimprove business results and achievetheir vision.This article explains how thecontext, structure, and educationof teams determine their level ofsuccess. We also describe how tocreate a culture of empowerment inwhich teams can flourish.Understand the context of teamutilizationIn the first article (Strategy andleadership), we focused on clearlydefining your strategies to achieveyour vision and how your culturewas key to successfully implementingit. In the following article (Designingand developing the organization), wedescribed how to design the organizationto support your strategies.When contemplating the use ofteams, CEOs should first resolve:1. Where do teams fit into the contextof our vision, strategies, and culture?2. How will they help us accomplish ourvision and implement our strategies?3. Will our culture enable teams to besuccessful?4. Is our level of business maturityappropriate to the use of teams?It is important that CEOs andtheir leadership teams clearlyanswer these questions beforeimplementing teams into theircompanies. As with many otherbusiness improvement techniques,business history is replete withstories of failed use of teams.Optimally, businesses mature overtime. Their business processes, style ofleadership, and ability to successfullyimplement teams need to matureover time as well. To understandthe relationship between teams andbusiness maturity, review and studythe accompanying sidebar (BusinessMaturity Levels: Culture and Teams).Clearly define team structureTeams have been described in manydifferent ways. In the context of thisarticle, we focus on three types: 1)project teams; 2) functional teams;and 3) process teams.Project teamsProject teams are formed to accomplisha specific task or objective. Theiruseful life is limited, typically 180 daysor less. However, depending on theproject scope, a team may exist for anextended period. For example, a steeringcommittee or project team for a large ERP(enterprise resource planning) systemimplementation may work together fortwo years or more. They are chartered withvery clear expectations for performanceand deliverables. Generally they arestaffed with subject matter expertswhose combined skills are necessary toaccomplish the given objective.Think of project teams as “swat”teams whose purpose is to move in andresolve a specific business problemand then go back to their normal work6 www.bus-ex.com November 08

S t r a t e g i c m a n a g e m e n troutine when the project is finished.Functional teamsFunctional teams are very differentfrom project teams in that they areput into place to perform a businessfunction indefinitely. They generallyoperate within a functional area butalso may work cross-functionally toachieve their mission. We have all heardof the “sales team”, the “procurementteam”, etc.Business activities within adepartment or functional area may beorganized as a process, and teams areassigned to work within these processeswithin a functional area. However,these teams rarely extend their workbeyond department boundaries.There are some notable exceptionsto the typical functional team. Thebest example is a safety team. Theseteams typically cross most functionalboundaries and have an indefinitelifespan. Another example is qualityassessment teams. Like the safetyteam, the quality assessment teamdoes its work across many functionalareas and, like the safety team, has anindefinite lifespan.Understand that teams, like thesafety and quality assessment teams,are performing a very specific businessfunction, even though their work maycross many departments or functionalboundaries. They should not be confusedBusiness Maturity Levels(Culture and Teams)1. Individualism within Functional SilosBehavior: little or no teamwork; “blame culture”; unpredictablebusiness performance; chronic unresolved problems; controlmaintained by autocratic management.Focus: current problems; task oriented; no sensitivity for thecustomer of work performed.Cultural Impact: open communication, truthfulness, humor, andhonesty rarely exhibited between workforce and management.2. Project Teams within Functional SilosBehavior: team identity within departments; “blame culture” stillexists between functional silos or departments.Focus: task teams or problem-solving teams may be in use, someteam building and team training is in place.Cultural Impact: communication between management andworkforce improving, but generally sporadic, and one-way.3. Functional TeamsBehavior: teams aligned to functional processes and work togetherto improve performance.Focus: business plans communicated and understood by all; teambuilding and team training is standard practice; functional teamsgenerally aligned to business goals.Cultural Impact: less autocratic and more “soft” managementpractices in place; open, two-way communication is the norm;truthfulness, humor, and honesty prevail in all communications.4. Process TeamsBehavior: permanent cross-functional teams working within endto-endbusiness processes.Focus: teams utilized as the primary means to direct, organize, andaccomplish work.Cultural Impact: boundary-less mindset; process focused, freeflowingcommunication across all levels of the organization; workviewed as challenging and satisfying.5. Self-Managed TeamsBehavior: problems anticipated and resolved before customer orbusiness is impacted.Focus: teams set their own goals, based on strategic and tacticalobjectives; teams allocate resources to accomplish the same.Cultural Impact: proactive workforce; success focused, helpful,and empowered; environment of continuous learning and businessimprovement.November 08 www.bus-ex.com 7

Functional Teams (within silos)with process teams described next.Process teamsThese teams are the most difficultto implement because traditionalorganizational functions and structuresare eliminated and replaced with endto-endbusiness processes beforethese teams can exist. Implementingthese teams is strategic in nature,and due consideration must be givento the organizational upheaval thatmay result. This upheaval extends upand down all levels of the organizationbecause traditional functional rolesand responsibilities, lines of authority,and budgets will be re-written whenimplementing a new organizationalstructure managed by process teams.In the process teams diagram, it canbe seen that “debates” over authoritycan result as functional managersmove into a supporting role, andbusiness process owners take overrunning the business. Refer to thematurity map and understand that anorganization must move from one levelto the next level of business maturityto be successful.Caution: Attempting to skip a be part of your future state, thenlevel or levels, before the education,infrastructure, and experience in theorganization are appropriate to move tologically, your people must be educatedon how to work in a team environment.This includes both those employeesProcess Teams (end-to-end process)the next level, will result in failure! who will work within teams and thoseEducating and developing teams who support them.People must be educated and trained When reviewing the objectives ofto operate in the future state, as this a company’s team education andseries has emphasized. Should teams training program, CEOs and their8 www.bus-ex.com November 08

S t r a t e g i c m a n a g e m e n tdesignates are advised to consider thefollowing checklist:1. All team members, managers,supervisors, technical, and supportpeople have been formally introducedto the concepts of work teams.2. They understand and can articulatethe differences and proper use ofthe various types of teams (project,functional, and process).3. Everyone has been educated on howroles/jobs will be structured to supportthe team environment.4. Managers, supervisors, andsupport personnel have beeneducated and trained on how theywill become coaches, facilitators,customer advocates, “barrier busters”,motivators, and leaders.5. Teams have been trained on how towork together in areas such as rolesand responsibilities of individual teammembers, appropriate team behaviors,communication, and measuringperformance.6. Teams have been technically trainedin data collection, data analysis,problem solving, project management,and implementing solutions.7. Major improvements and lessonslearned are documented and integratedinto future development programs.Creating an empowerment cultureTo be successful, teams must be allowedto work in an empowered environment.Creating this environment may, inall likelihood, will require a major“overhaul” of the existing companyculture. That is why the level of teamimplementation must be aligned to thebusiness’s maturity.For CEOs dedicated to makingtheir teams work effectively, theyshould consider the following listof characteristics common to anempowered environment:1. Trust prevails. Open, honest, andconstructive feedback are highlyvalued and demonstrated throughoutthe organization.2. Operating decisions are made at thelowest levels of the organization.3. There are few status distinctionsbetween managers and workers.4. “State-of-the-business” meetingsare a regular part of work.5. Resources are allocated to teamscommensurate with the scope of theirwork.6. Teams and their individualmembers are held accountable fortheir performance.7. Teams have clear directionand sufficient understanding oftheir objectives, scope of work,responsibilities, timelines, andoperating guidelines.8. The company recognizes and rewardsteam behavior, not just that of individuals.9. Management understands that theymust step back and “let go” while, atthe same time, providing direction andguidance.This list is not all-inclusive, but itdoes provide the CEO a reasonableguide of what elements are necessaryfor the business environment tosuccessfully implement teams in his/her company.ConclusionImplementing teams within anorganization should not be taken lightly. Acommon phrase heard in many executivesuites is, “let’s put together a team toresolve this problem . . . or accomplishthis objective.” Many times this phrase isuttered without a full appreciation of thebusiness changes necessary to executehis/her request. By understanding andfollowing the recommendations presentedin this article, the CEO’s probability ofachieving success when implementingteams is greatly enhanced.Next month, our sixth and finalarticle in the Managing and LeadingPeople series will focus on measuringthe results we have learned andimplemented. As Dr. Deming said, “ . .. we don’t have to measure everything,we just have to measure the rightthings.” Next month, we will learn howto do just that.November 08 www.bus-ex.com 9