Category Archives: Process

Hot Potato – Why We Need To Rethink Management

Remember that childhood game, “Hot Potato”?   You would take a ball, beanbag or other item and pretend it’s a hot potato.  As soon as you got it you’d pass it on to the next person.   Then at the end of the music, a timer or just a random announcement from the game master – whoever is holding the hot potato loses.

Child’s game?  Or is it how we manage our companies?  If it is, we need to find a way out of this trap.  It kills productivity, destroys job satisfaction and dooms us to a world of enforced mediocrity.   That’s what I was thinking about the other day.  Here’s how it started.   Continue reading

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Filed under Change, Leadership, Organizational Change, People, Process

The secret to lasting change – burn the manuals and learn to ride a bicycle

The sad reality of change is that most attempts at organizational change are destined to fail. Sometimes the failures are overt and obvious – the change encounters a wall of opposition that simply cannot be overcome. Contrary to the famous Star Trek quote, resistance is not futile. It’s often covert. But it’s also very effective.

But let’s say you do everything right and manage the resistance and you even get some initial results. Are you destined for success? Rarely. If you come back to that same organization weeks or months later you may see some of the trappings of the change – but it’s real effect will more often than not be undetectable.

But it’s better to have tried and failed than not to have tried at all, right?

Actually, not really. Continue reading

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Filed under Lean, Organizational Change, People, Process

This is your brain. This is your brain on multi-tasking….

From time to time I spot and idea that is so great, so fundamental and so important that I…

Wait a minute, my email is coming in, let me just check to see….

Damn, that uh… sigh. How am I going to respond to this one. Hmm. Let me think for a second.

What? Cool. A new video about where Google is going. Let me load it up.

Where was I? Oh, yeah. This fantastic observation.

Oh, that’s the phone. Quick screen share …

I”m back. Where was I? Oh yeah.. This great idea.

What was it? Do you remember? Give me a second to get refocused.

Waitaminute…let me get that. It’s Phill.

Sorry, I’m back… just got interrupted by a phone call. But there you go…the whole morning and I still haven’t finished this damn blog posting.

Frustrated? You should be.  Think this is painful to read?  It’s painful  to write.

This is your brain. This is your brain on multitasking.

Continue reading

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If you want new clients, go where the clients are!

It sounds so simple, doesn’t it? You might have had a different experience. But here’s something that I’ve observed. Einstein had it figured out when he said, “every solution should be as simple as possible – and no simpler.”

When I first read this quote it stuck with me instantly. I remembered it days later. I had this visual image of Einstein with the funny hair and a blackboard behind him with E=MC2 written on it in chalk. The visual image made the quote even more memorable.

Isn’t it funny how a simple message can have such an impact? What would you give to be able to be that memorable to potential customers?

Why is that important? Because in this environment, can you really afford to lose even one single deal that you could have or should have gotten? Are you struggling to find those new customers in these tough times?

I’d like to suggest something that I’ve found has really worked for me. It might work for you as well. Only you can find that out for yourself. Your experience could be different. But take a second and think about this.

Two nights ago I went to see Shelle Rose Charvet speak at a meeting of the our Strategy special interest group of the Toronto CMC Chapter. Shelle said a number of amazing things, but she left me with an image that I can’t get out of my head. Actually, it was two images — but if you want the second one, you have to hear her speak. She knows what it is. I think of her talk at least once a day. It turns out that’s healthy. But even if I tried to forget it, I couldn’t. And I can’t remember what I had for lunch yesterday. So making me remember two things is quite an achievement!

Let’s return to that first image. Here’s what she said — I wrote it down so I’d get it exactly. It might not be perfect, I wrote it quickly, but I’m sure she will correct me if it’s not right.

Here’s what I heard.

“In order to get someone to go somewhere with you, you need to meet them where they are…”

Shelle went on to make another point. She feels that many times our real competition might not be competitors. The real thing that’s preventing us from winning the sale may be that the client has other alternatives. One of those alternatives is to do nothing. The other is to study the issue – put it off.

She suggested that we need is to find a way to convince our clients that they need us more than ever. Shelle also went on to explain why we can have the best product or service and still lose the deal. Or why sometimes our own honest enthusiasm might be working against our message! I appreciate that all of this might sound a little over the top so let me share something from my own experience.

I’ve been following Shelle’s work for a few years now. Recently I had a client who had a problem. They had a product which would legitimately save their customers money. It had added benefits as well. It offered them ways to access new services. Interestingly enough, this other product was not only good for my client’s customers, it was much more profitable for my client. So imagine how frustrating it must have been to find out that they could not convince customers to switch.

They told me that their customers preferred the first (less profitable) product. They could not be convinced to switch.

As someone who cannot resist a good problem, I wanted to see if I could help them (as Shelle would say) re-frame the issue. Or as I might call it — to change the game. I had some ideas I thought might work, and I asked them if we could do a pilot to test them out.

So here’s what we did. We stopped selling. We asked customers if we could help them. We created a script which asked customers what their needs were and we asked permission to explain the differences between the two options. We explained these options clearly and objectively (we’d prepared this well). What happened? In our tests, we converted 60 percent of the people to the cheaper, but more profitable option.

Remember that my client was convinced this wouldn’t work? the results immediately raised some skepticism. So they should. They have every right to be skeptical about results like these. It’s a good thing. And I wanted to be careful not to “oversell” this. I was clear that their results could be different in other stores, other circumstances. But I got the chance to ask a question. I got the chance to ask what benefit they would get if the results were 1/10th of what we got in the pilot?

When even the skeptics went to work on this, they had to admit to themselves that this was worth a try.

Why did this work? The underlying principles came from reading one of Shelle’s books “Words That Change Minds”. I tell people that the reason my consulting gets results is not that I have to be smarter than everyone else. I just have to be smart enough to recognize great ideas an adapt them to what I do. Shelle has given me a number of those ideas over the years in her book. So it was very rewarding for me after all these years to be able to sit in the audience and hear her talking about things that I had thought about over the years since I first discovered her book in our company library.

And as always, she was reframing the issue so I could see it in a new way. If you want to get someone to go somewhere with you, you have to meet them where they are. We did that. We got to them in the store as they were in the process of making their decision. But we knew from surveys that customers wanted to be helped, not sold. We devised this so that it was clear and helpful — no sales, we simply gave them the facts they needed to make an informed decision and invited them to make up their own minds.

If we’d started where we were, we would have been trying to convince them. Even if we were right, even if we were enthusiastic, we would have been making them even more skeptical and less likely to hear our message.

So I’ve been asking myself a question. How many times am I missing opportunities because I am not going to where my clients are? As a consultant, I fall into the trap myself. I might be good at spotting issues with clients, but missing them in my own work. My own filters might keep me from seeing myself clearly. Sometimes even the best of us need a good mirror. That’s what Shelle’s presentation was for me. And what her work has been for me over the years. It’s a chance to hold up a mirror and take a clear look at how my message is being (or not being) received. By seeing it clearly, I can remove the obstacles to my own success — in the same way that I remove them for others.

So to my friend Bob who started this out with his question this morning. If you are reading this, that’s the answer to the question you asked (half in jest) this morning. Your question was right on the money. I hope I got it right You asked, if I’d read Shelle’s book so many times, why didn’t I spot these issues earlier? Correct me if I’m wrong and I’ll fix it. (The wonderful thing about a blog!)

I might suggest suggest that I’ve done some very good work for my customers. Do you remember that famous quote from Archimedes? I think we all learned it in school. “Give me a lever long enough, and a fulcrum on which to place it, and I shall move the world.”

I’d like my clients to think of my services in that way. I can help them leverage what they do now and transform their efforts so they can do things they never thought possible. I can help them solve tough problems. The solutions are what they need them to be. For some, its that extra customer, for others, it’s reducing costs, for others its getting their teams to work together effectively. Some just want to hold the customers they have by building loyalty. They believe that loyal customers stick with you in tough times.

Even my business has challenges. We are a growing business and need to find new customers. Or better still, we need to convince old customers that doing nothing is not an option. I have to help them see why they need my services more than ever. This recession (or whatever it is) is changing customer behaviour. To use Shelle’s visual metaphor, it’s like clients have moved off to a different bus stop. And I can only convince them to get on the bus with me if I go to the bus stop where they are. It’s a timely message that we might all consider.

Everyone — including good consultants — need a look in the mirror from time to time. Because the world changes and our filters — the very things that help us cope with all the information out there, the things that make us successful, can actually prevent us from seeing problems clearly. Even if you are great at seeing what others need, you can still miss it for yourself. Shelle helped me once again, to reframe and see a challenge that I have.

so I came out of Shelle’s workshop with a list of notes. I’ve learned that if I want to get a lot out of an event, I have to listen carefully. Some speakers make that hard. Some make it easy to listen.

Shelle not only makes it easy, she explains how you can do that as well.

I hope I will never stop improving. So I set some goals. I will try to meet my clients where they are. I will expect them to be skeptical if I talk about all the great results that they will get. I will ask even more about their problems. I’ll remember to ask them what matters to them and why. I’ll continue a habit that Shelle taught me long ago – I’ll capture the answer in their words and not mine. I want to meet them where they are and not where I think they should be. If I can do that, I can invite them on the bus with me and we can take a journey together. That’s the type of work I think I’m good at. It’s also the type of work I love.

Thanks, Bob for raising that question. Thanks to Shelle for helping me see an issue that I can share with my friends, colleagues and readers.

Note for anyone who missed this workshop. Shelle is having two more workshops which are sponsored by CMC Canada in Toronto. Contact CMC Canada if you want more information about these workshops. Check out Shelle’s web-site if you want to find out more about her. You have to make up your own mind. All I can tell you is that her advice has helped me a lot 😉

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Filed under Lean, People, Process, Social Media, Strategy

I wish I’d thought of that…

Today when I was asked a question about organizational change I found myself repeating a story from a few years ago. There’s a lesson in it for all of us who make our living with ideas. The lesson is this. As a change agent, you are constantly making a choice. Take credit. Or make a difference.

The trick is that many people don’t know that this is a choice they have to make. Witness the following real story:

A consultant in my practice was reporting back to me on a big meeting he’d had with senior execs. He was very proud to have the CEO there.

“They loved us. I can’t count how many times I heard the consultant’s plan is great. ”

My response. “We are dead. We are soooooo dead.”

The consultant was dismayed. There was always a little bit of tension between us. He’d wanted my job. I got it instead. That much is fact.

But personal relationships are not about facts. They are about perception. I know his perception was that I was more critical of his work than I should be. Like so many times when we attribute motives to people, he was simply wrong. I wasn’t trying to undermine his “victory”. We really were in trouble.

Sometimes a question is the best way to explain. “When they say the consultant’s plan who is accountable for delivering that plan?

His answer was quick, “Their team has to deliver. We’ve done our job.”

My reply was also quick. “So how can they be accountable if it’s our plan?”

Silence.

By the way. I took no joy in it, but I was right. Despite all the great words, that project did not move forward. Somewhere in a backroom, a casual conversation, or just in the general stuff that happens it got buried, lost, derailed or just forgotten. We lost a big potential sale and a lot of revenue.

It was our plan. It had no champion. No-one at that company would be willing to put it forward, to believe in it and to make sure it was not forgotten.

If only someone on the client’s team had taken ownership. But why should they? It already had an owner. It was the consultant’s idea. In fact, if they had tried to take ownership they would have looked like they were taking credit for someone else’s idea. Admittedly, for some — that’s not a problem. But there’s another corporate issue. Why take the risk? No new idea is without risk. So let the consultant float the trial balloon and see if it goes anywhere. If it does, there’s lots of time to get on board.

In fact, I have often proposed that this is a great use for consultants. We can raise subjects that nobody else will touch. We are — or should be — regarded as intelligent and objective. Some of these ideas are true game changers for the companies we serve. At those times we provide a very useful service. We help make lasting and measurable change.

As I pondered this consultant’s problem, wondering why he didn’t get it, a light went on for me. It was something I knew internally, but had never really articulated fully. In the art of being a consultant, you have to have wisdom to know when – and when not to take on initial ownership of an idea. That is, if your real goal is to make change.

That’s where I had to take my own medicine. Instead of worrying about this other consultant’s problem, what I should be asking myself is, what can I learn from this. You cannot change others if you can’t change yourself.

Here’s my reflection. I don’t know why everyone gets into consulting. I can only tell my story and see if it resonates. I like to help people, I like to solve problems and — but deep in my heart, I’m still a bit of an entertainer. My friend Ian Tamblyn (one of Canada’s great songwriters and a great entertainer) captures this so well in his song, Campfire Light. “I like to sing, I love to dance, I will play the fool if I have the chance…”

The danger for me is that I do like to the be the one who comes up with a great line, a joke — or an idea. I like to win debates. And I like recognition for my work. It’s a part of what drives me to be a consultant and facilitator. I have to say it is also a factor in any successes I’ve had. I’ve been able to get my ideas across because I present well and I can grab an audience.

But I’m also driven by the need to make real change. Life is precious. You spend a lot of that time working. I can’t simply sell that much of my life for money. What I do has to have purpose.

What I didn’t really realize is that sometimes I might have to choose between the two.

In these little moments when life sends you a message, you have to decide what you are going to do. I decided that it was time to wrestle with my ego. I wanted results more than I wanted the applause.

So I started to try to let others come up with the great ideas. They need to discover the answer for themselves. And like any major change of unconscious behaviour, I embarked on a long journey of becoming aware of a multitude of tiny things and changing them — one by one.

I’m still on the journey. But believe it or not, I’m a lot further than I was when I had this conversation with the other consultant. I’ve changed a lot about how I tackled problems. I worry less and less about presentation to the audience and more and more about engagement. I get groups on their feet. I get them doing things. I get them thinking. I listen more. I take more chances.

It’s not easy. Especially when I know the answer. And often I do — before the group does. Don’t get me wrong, this is not ego. As my partner Darrel Berry says, “we’re not smarter (than our clients) we just do this every day.” To quote another famous musician, Brownee McGee, “If you do something for 30 years and you don’t get good at it, shame on you!”

So I sit there, looking externally calm (I hope) while inside me, the “keener” kid from grade 6 shakes his arm frantically, trying to get the teacher to see him. Oh! Oh! I have the answer! When that seizes me, I try to take a deep breath and restore my patience. I wait for calm. I bite my tongue. I wait for someone else to discover the answer.

If they don’t, I realize its my challenge as a facilitator to try to create the conditions that will help them discover it. I do everything short of discovering it for them. They have to do that.

the bottom line is this. Aristotle said “the understanding changes nothing.” As someone who values logic, that phrase has troubled me for years. I think I finally understand. Even if you logically understand the issues, it does not give you the inspiration and the drive to make real change. Real change involves risk and sometimes sacrifice. And before people are going to go on that journey, they need to engage on a visceral level. They don’t need a fact handed to them, they need a realization from within them. They need to come to an insight – that flash, that aha! moment. And from that insight, they need another step. They need to take ownership of the problem.

If they discover the solution, they’ll own it. If they own it, they’ll be driven to solve it. If they solve it successfully, they’ll learn to be successful. It’s a virtuous circle.

If the consultant takes ownership, or solves it — it breaks the circle. They learn. But it’s a different lesson.

Not as easy as it sounds. But every time I start to doubt this, or if I get lazy, or if my ego gets in the way, I replay that story of me and the consultant. I think of how different it would have been if instead of it being the consultant’s plan or report, if we had one champion among the client’s own employees — coached by us — but having their own solution. If they had made the case. If they had offered to be accountable for the results — what would have been different at that meeting?

If.

I’ve tried to build this into everything I do. Everything is about the client and their team — learning, experiencing and engaging with that solution.

Was it Harry Truman who said that great things are possible if you don’t worry about who gets the credit? I wish I’d thought of that!

On second thought…

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Filed under Organization, People, Process, Strategy

Excuse my interuption? Actually – I’d rather not.

“The price of metaphor is eternal vigilance.”

I wish I’d said that. I forget who did. But it knocked me for a loop. Because it is so true.

The speaker at the time was making a point about how we take one concept and use it as a metaphor to explore another new concept. We do this all the time. Because it works. Especially when we are talking about things that are unfamiliar to us. Or if we want to see something we already know in a new way.

We are working on new deal that merges several companies. We use the “marriage” metaphor a lot. It helps us a lot. Or you’ll hear the line “fences make good neighbours” — you get my drift. We’d be lost without metaphors.

Where metaphors become dangerous is where we start to think of them beyond their ability to illustrate. We confuse the two. A business partnership is LIKE a marriage in many ways. It is NOT a marriage. I have had many successful and long term business partnerships with people I didn’t even like. I can’t imagine I would have been married for 27 years in similar circumstances. It would have been laughable if our marriage prep would have talked about the rules under which we could invest in other companies. In the metaphor that is relationships, my wife didn’t want me buying shares in any other company — if you get my drift.

Sometime ago, everyone got on the genetics bandwagon. We talked about DNA of everything. We had “organizational DNA” as a metaphor for corporate culture. It works to illustrate, but it can easily lead you to some bad decisions.

Wisely used, metaphors are valuable to explain or illustrate. Badly used, they promote logical fallacies and lead to some very, very bad conclusions. This is so frequent that logicians even have a term for it. It’s called “faulty analogy.”

A case in point — multi-tasking.

Somebody the other day brought out that old chestnut — I’m more efficient when I’m multi-tasking. The truth is, no, you are not. Full stop.

The faulty analogy in this case? Everyone likes to think that multi-tasking is like parallel processing. We can somehow split our attention between many different things and do a number of things simultaneously, paying enough attention to each and thus getting many things done at the same time.

When this helps someone juggle several quick task like doing work while riding on the subway it’s useful. When you think that you can translate that into doing your email while “listening” at a meeting – no. The human brain can do several things at once, but only when operating on a subconscious level. You are enough like a computer that you can do batch and online at the same time. But two online processes — doesn’t really work well.

The fact that it feels good only reinforces the fallacy. I won’t debate the causes (others have done it) but I don’t think anyone has seriously argued that attention spans are getting longer. So staying on one thought or task from beginning to end is hard. It takes a lot of discipline for some people. In those cases, we have a perfect storm – faulty analogy meets the shortened attention span.

How do I know this? I’ve spent a lot of time adapting LEAN principles to white collar environments. For anyone who doesn’t know LEAN it’s the gold standard in process transformation. It’s the reason why Toyota overtook General Motors well before the auto meltdown.

LEAN has a concept of uninterrupted flow. A task that moves from beginning to end without interruption is more efficient. It uses less resources and time for the amount of end benefit it generates. Someone out there is madly saying — no, batch processing is faster, better, cheaper. Great. Only the true facts get in the way. Even in this down economy, who’s shares would you rather have bought 6 months ago – Toyota or GM?

If you are still resistant, don’t worry. It took me a long time to figure it out. I try to find exercises to illustrate what is a simple point:

Whenever you interupt a process you pay a penalty for setup. Setup means that
you have to stop what you are doing, put it away somewhere and then when you come back to it, you have to reorient yourself, get back up to speed and then — and only then — do you get back to performance.

How much setup time depends on the person, the task and a lot of factors. The reason why I write my blog at 3 in the morning? There are no interruptions. I can go from start to finish.

But we still claim that multi-tasking works. My son tells me he can watch TV and do homework and be on Facebook. So why did his grades improve so radically when he fell behind and we cut off his computer and TV privileges until he caught up? Coincidence?

I thought about this last night when we were in a meeting and I watched someone “listening” while they did their email. If I’d have called them on it, they would have said they were multi-tasking.

That’s the problem with the faulty analogy. You see, a computer can have several threaded processes running at once — though even on a computer there is a bottleneck where the tasks are sequentially organized in stops and starts. The big difference with a computer? The setup costs can be minimized because it can recreate the exact state that it was in before an interruption and get back up to speed in milliseconds. Even then, run enough of these interruptions and you will swamp even a big processor as we all have experienced from time to time. That “not enough system resources” message is the setup charge catching up with you.

When analogies become mythologized, they are even harder to deal with. We all think – Henry Ford, mass production, batch process … good. Even though it’s not true. So I look for examples like Toyota. I’ve found others and I keep searching for them. Why? Because most people don’t let the facts get in the way of a strongly held belief.

I find most of them by luck. For example I was trying to explain LEAN to the head of a refinery in Acton, near London U.K. I was worried because a lot of refining is batch by design. I explained the batch “myth” and waited for the usual counter argument. He didn’t make one. Instead, he took me to another area of the plant and showed me his pet project – a continuous flow refining process – one that that was many times more efficient than the old batch process. I thanked him profusely. I wanted to see a mechanical process prove that uninterrupted flow was superior — if only so I could use it to dispel the myths and faulty analogy.

But people are not machines or mechanical creations. Our setup costs are much larger. When interupted, we need time to be reoriented. The amount depends on the person and the complexity of the task. How many times have you been at a meeting and paid the “setup cost” for someone else whose attention was distracted? Or how many times have you come back to a task and had to get back “up to speed”?

We’ve cut days, literally days out of business processes by moving to an uninterrupted flow. Even IT has caught up. No one seriously does batch processes for systems anymore unless you have a legacy or you absolutely have to. And my son’s marks improved. How much more proof do you need?

Don’t get me wrong. I’m not out to tell everyone what they have to do. I do resist when I or my team have to pay the setup cost for someone else.

It’s a modern world. The shortened attention span is real. The addiction to busy work versus thought and planning is real. Proof in point? I ask people this all the time. If you saw someone on the phone talking would you interrupt them? Hardly. But if you saw them sitting quietly at their desk, staring into space, would you interrupt them? For most people it’s a no-brainer. And yet, why would we assume that the phone was work and thinking wasn’t? It says something profound about our culture.

People will wax profoundly about how they are more effective when multi-tasking. So would you like it if the pilot of your plane was doing his taxes? Or if your surgeon was doing a crossword during the operation? I don’t even even like it when other people are talking on their cell phone while driving. It’s okay for me, however — I can multi-task.

Or can I? So why is that when I get to the end of a day and I felt like I hadn’t gotten anything done I would explain it as having fallen victim to the dreaded “got a minute?”

We aren’t going to stop the interrupt driven nature of our lives because I write a blog about it or even if I’ve held a workshop. But I can help reduce it, even a little, it’s worth it. if we could improve by 10 percent – what would that do? The results would be significant. LEAN thinking puts cycle efficiency (the amount of real value in a process) at between 5 and 25 percent. Increase it by a small factor and you get amazing results.

But the first step is admitting there is a problem. I have my own private 12 step program for low attention spans. Because I suffer from it too. That might be the REAL reason I write this at 3 in the morning. Maybe I paid so much setup cost this week that I have to work harder than I want to.

But if I can break this faulty analogy and make more of my tasks into uninterrupted flows, I could gain back some of that efficiency. If I did it enough times it might become a habit. Heck, it could even become part of our organizational DNA.

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Going virtual for competitive advantage

For me, necessity was the mother of invention. But it wasn’t an easy birth.

I took over a global consulting practice at the same time as somebody in our company discovered cost controls. Where my predecessors had smaller areas, they also had larger budgets. That was a real challenge that was imposed on me. Another wound was self-inflicted. Even though I had taken this job to head up a global practice, I’m insane enough to have thought that I didn’t want to totally give up on being a working consultant. I knew I would have to scale back radically, but I couldn’t totally give it up.

When I became a consultant I knew what it was like to sit on the other side of the desk. I could put myself in the client’s shoes. I swore when I couldn’t do that anymore, I’d give it up. I felt the same way as I went into the “executive ranks”. When I could no longer keep in touch with the real day to day realities of serving our clients, I’d give that up too (but that’s another story).

So I had big area. A small budget. Did I mention that we were in a real crisis? It was a time when we were losing our focus — sometimes even our value proposition.

I knew I couldn’t turn this thing around. I needed a team. And that team had to come from all around the world. It had to bring in the best we had. We had to be able to share what we knew and leverage that effectively. We had to bring in new ideas from everywhere. We had to work more cohesively than we had done for years.

So we needed to work together more effectively than ever before. And to be fair to our CFO, even when we had money, flying in people in was always tough. Days in the air. Jet lag. Leaving the office for a week at a time. Getting calendars in synch? To plan a meeting of 12 representatives from around the world could take 3 months of negotiations and planning. And I’m not sure we always got the results that matched the investment of time or money.

At that time we had was email, Lotus Notes and conference calls. We also had some emerging web enabled tools – primarily the early web conferencing tools. Placeware was the tool (later Live Meeting) and it was primitive, but better than nothing.

I picked up the phone — and I began to learn. Boy did I learn. I got bruised and battered. I made a lot of mistakes. That’s what I did. WE — the team. That’s another story. WE did amazing things. WE proved that large virtual teams could deliver incredible results effectively, quickly and at an enormous cost/time savings.

Years later, when we founded this new company, I took all of that learning with me. I was determined to take it to the next level. Even though I’d gone from big firm to boutique — we were truly a global firm very rapidly. I negotiated deals, set up alliances, conferred with my network, all in a virtual space.

Tools were developing. The idea of virtual teams was no longer such a radical idea. HBR had published a study which claimed that virtual teams were MORE productive than collocated teams. It claimed gains of 25% in productivity, 90% reductions in absenteeism — delivery times that we 1/10th of the time that a traditional team would take. It claimed budgets that were 1/8th of those of a traditional collocated team. Incredibly, it also laid claim to improved results.

I didn’t have any trouble with believing this. I knew that it was possible. Today, we live and breath it. Our clients and consultants come literally from around the world.

But that’s not the most interesting thing. The thing is in how its changed for us. I have people working for me that I have hired, worked with, gotten to know, struggle through challenges with — and whom I have never seen or physically met. I interact with them every day. I’ve facilitated meetings of people across the country through difficulties, through crisis, through incredible achievements — and never seen some of them.

Last year, I closed the downtown office. There was just no need for it. I guess there is somebody who might need to see bricks and mortar to work with us — I had a sales rep who felt this was essential. But you know, I’ve met a lot of people in our offices that have given us zero in the way of business. Besides, I did the math. When we stopped paying rent on a downtown office, if we really wanted to impress people, we could take them out for lunch or dinner at the best restaurant in the city — and we’d still be saving money.

It has it’s challenges. We’ve had to learn – we are continually learning. But I’m absolutely amazed as I look at it about how far we’ve come from the days when I heard that to have a team, you had to be able to “shake their hands and look them in the eyes.”

It’s not that I don’t meet with people. But I don’t need to do it. I know that this is still disconcerting to some. Even when people live near me, I have found that their need to have physical meetings is — curious. I can hear it in their voice when I propose that the day is too packed to meet them for coffee, but we can have coffee in our offices while we talk. I still remember one of our consultants saying to me as he was about to start an assignment — “don’t you think we should meet?”

I thought we had. I had checked references. I had tested, prodded and probed. I had reviewed prior work. If anything, someone I hire virtually may get a better vetting than some hires I’ve made in my career. But I’ve learned. I met him in person. It was pleasant. It didn’t change anything for me.

Woody Allen may have been right when he said that “90% of life is just showing up.” If he was, I can tell you that the last 10% may be the most valuable. The HBR study proved what my experience had taught me.

And the world is catching up. I read an article in July that said that 10 percent of Canada’s labour force — 2.5 million people — work outside the office at least one day a week. (Robert Fox, Canadian Telework Association) Teletrips, a Vancouver based company, claims a company can save $6,000 to $9,000 per flexible worker. They go on to say that a worker can save 160 hours in commute time each year — four working weeks! Plus you save 3,000 kilos of carbon dioxide.

The same article by Michelle MacLeod goes on to list other benefits. Reduced attrition. Ability to attract great people who wouldn’t face the commute to get to your office. It goes on. And that HBR article keeps coming back to me. Faster delivery. Better results.

Virtual aren’t second best anymore. And I have a feeling that we are just scratching the surface. We have build the tools and the processes. We know how to live, work, network and even facilitate in this space. More and more of our consulting finds its way into tools. processes, strategy and ongoing coaching and development of virtual teams.

When the internet was just starting up, Ayelet Baron (now at Cisco) and I collaborated on building one of the first websites. Years later it would seem so primitive that it would be embarrassing to show now. Then, it was leading edge and won some international acclaim for our firm. That was good, because although we’d begged some investment from partners in our firm, if we hadn’t printed the pages they would have never seen what we had done.

The other day I heard a radio host say that “no matter how comfortable we had become with the new virtual world, people of my generation would always be immigrants on the internet.” Our children were citizens. So no matter how far I’ve come, I realize that this has a long way to go yet.

I hate hype. I don’t want to say — if your company isn’t doing this then you are losing money. But I’m not sure its hype anymore. What was leading edge is now every day. And if you’re not maximizing the benefits from virtual teams, I’d love to know why not.

Gotta go. I have that 30 second commute.

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