Skillful execution of the things that matter is one of the secrets in my book 4 Secrets of High Performing Organizations. Last week, USA Today did a series on health care in America. On Friday, October 20, an article entitled Hallmark of Quality Care: Efficiency – NJ Hospital Leads the Way to Streamlined, Effective Teamwork appeared. The article highlighted the efforts of Hackensack University Medical Center; and said in part “Hackensack has been steadily working to improve quality for seven years and is now at the leading edge of a nation wide movement to dramatically redesign health care. Efficiency, streamlined processes and teamwork are all key factors in execution, so I read the article with some interest…
I was particularly interested in a paragraph that read:
- “The critical force behind Hackensack’s success has been the commitment of its management, says Andrea Kabcenell, Executive Director of the Institute for Healthcare Improvement. 'Any hospital could do any of these things if they understood how beneficial it would be for patients’, she says.”
Attributing the success of an organizational change effort to the commitment of leadership caught my eye because I have long preached that leaders in large organizations -- as well as small business owners -- need to play an active role in change efforts. I call this active role “sponsorship”.
Sponsorship is an active process, support is passive. For example, I support world peace, but do very little about making it happen. You get the idea
The importance of sponsorship was driven home to me when I was a graduate student at Harvard. I was part of a group of students working with insurance giant Aetna. At that time (1982), I was very interested in one of the biggest organization change issues facing American business – the adoption of computer technology. As I write this, it’s hard to imagine a world where every desk doesn’t have a computer, but in 1982, computers were just beginning to find their way into business.
The previous year, Aetna had introduced a computer system – hardware and software – that they were selling to the independent insurance agencies that did a lot of business with them. The system was named “Gemini” – the twins were Aetna and the independent agencies.
Gemini was a mixed success. Some agencies loved it. An equal number hated it. I was in charge of a study to determine why this was the case. I visited 10 independent agencies all across the country – five of whom were very satisfied with Gemini, five who were very dissatisfied. I spent two days at each agency, meeting with the agency principals and the office staffs. I asked detailed questions about the implementation.
At the conclusion of the study, one thing was clear. In the five agencies in which Gemini was deemed a “success”, the agency principal (owner) was very involved in the implementation and training. In the five agencies where Gemini was considered a “failure”, the agency principal took a hands off approach. These principles did not participate actively in the implementation. Instead, they delegated it to the office manager.
The level of participation of the agency principal was the only factor that differentiated the successful implementations from the unsuccessful ones. When I reported this to the people at Aetna, they said “that’s all – are you sure?” I was sure. There was only one difference between agencies who were successful and those who were unsuccessful in introducing a major organization change: the level of involvement of the head guy (and, in this study all 10 were guys).
This study was the root of my ideas about the importance of sponsorship in organizational change efforts – and in leadership in general. The common sense point is simple. If you are leading an organization or running a small business and are introducing a change, be active. Make sure that your people know that you are personally committed to the change – not just by your words, but by your actions. Change is tough. When people see the boss delegating responsibility for change, they don’t think it’s very important. On the other hand, when people see the boss actively leading the charge, they get behind it.
That’s it for today. Thanks for reading. Log on to my website www.BudBilanich.com for more common sense. Check out my other blogs: www.CareerSuperStar.com for common sense advice on becoming the life and career star you are meant to be; and www.CommonSenseDay.com to learn more about Use Your Common Sense Day -- November 4, and to read stories of common sense in action.
I’ll see you around the web, and at Alex’s Lemonade Stand.
Bud
PS: Speaking of Alex’s Lemonade Stand – my fundraising page is still open. Please go to www.FirstGiving.com/TheCommonSenseGuy to read Alex’s inspiring story and to donate if you can.
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