Monday, May 9, 2016

Mangers See Resources When Leaders See People


Earlier this week, as I sat in the waiting room at my doctor’s office, I was looking for anything to occupy my time with.  I had already browsed through the well-worn golf and wellness magazines and had moved on to reading my admittance paperwork.  While it was far less exciting than reading yet another article on how to correct my slice (none so far have helped), I found myself intrigued by the language on the form.  In particular, I found one field interesting.  It was labeled “Resource” and next to it was the name of the physician’s assistant I was about to see.  It conjured up images of a world in which people are just cogs in a system where one can simply be replaced by another.  It also reminded me of the importance of language and how we overlook some very simple leadership principles every day in our business dealings.  In this case, the use of the word “resource” was viewed by some form designer as the simplest way to label field and ignored the fact that a person’s name is going to be filled in there.
Too often, people use the word “resource” when they really mean “person”.  It may seem like a small thing but leadership is made up of many “small things” that are brought together to create something great.  As a leader, I simply cannot afford to ignore the person that is represented by that name.  I can’t simply relabel them as “resources” and pretend that they are interchangeable commodities. While that form designer likely thought that using the word “resource” was an efficient way of handling the form entry, I would argue that we will be better off if we avoid the use of overly generic terms like that for people.  Save those non-human descriptions for things that really are not human.  Here are a three reasons why we should always refrain from using the term “resources” when talking about people.

People don’t like being treated like numbers

It has been shown that people respond better to relationship-based experiences than to purely contractual arrangements.  In fact, the most important characteristics of leaders, according to those being led, are things like authenticity, trust and respect.  When people’s names are replaced by “Resource A” and “Resource B” the personalities that underlie those names will respond accordingly.  Those “resources” will still show up for work and they may even accomplish the amount of work defined by your project plan.  However, they are less likely to be driven by loyalty or any kind of shared vision.  What happens when your project encounters challenges that require that extra bit of effort or when that “resource” has a choice between doing something that is easy or something that is right?  By treating these people as replaceable things, we degrade our ability to motivate without resorting to coercion or formal authority.  We reduce our ability to rely on the trust and respect that is so important for leaders.

People are not interchangeable

If we are staffing for success, we cannot simply move people around expecting one person to perform the same as the next.  We recognize this fact when we hire, promote and reduce staff but somehow this fact is lost when some project plans are created.  By using terms like “resource” to mean a person, we risk losing sight of the fact that each team member comes with a set of skills, raw talent and personality that is unique to them.  All of those things that make up a person make them well qualified in some roles and not as much for others. If we lose sight of that uniqueness we are putting the success of projects and the firm at risk.

Your career advancement could be slowed

The first two reasons above focus on the success of your work streams and the organization but this last one is really based on our own desire for growth and advancement.  If we accept the idea that good leadership skills will help drive our career forward and we also accept that leadership is based on people and relationships then it stands to reason that reducing people to numbers and things will not be great for your career. 
Above we discussed the impact on the people on the team.  The impact on your career is a natural result of that impact and it works on two levels.  On one level your career will be impacted by the success or failure of the various efforts you lead.  If your language negatively impacts the team and the work they are doing, it is likely that it will create drag on your career.
Secondly, there is a less tangible component in your career advancement that involves relationships you maintain with those around you.  Positive personalities that foster strong relationships will typically be more successful than others.  (I know you are thinking of all the negative jerks that you’ve seen succeed but keep in mind that we are focused on the typical and not the exceptions.)  Using language that classifies people as “resources” does not inspire the type of relationships that lead to success.  It does not inspire the respect and trust that is crucial to good leadership.  People will reciprocate with the same formality and you will develop transactional relationships that lack in personal connections.   

Words matter

It may seem trivial but words matter.  Unfortunately, too many project and process management methodologies have tried to reduce our language down to a dry scientific subset of terms in an effort to create a common language.  The problem with this is that this, too often, ignores the people involved in the methodology.  By taking small steps such as using better words to describe people we will be reminded of the human nature of what we all do, and show, in a small way, that we respect the people on our teams. 


Monday, October 5, 2015

IT Strategy...Not Just For Big Business

It is easy to see why an information technology strategy matters to large organizations.  In these environments IT staff is often saving millions of dollars and enabling large-scale national and even international trade.  They are also dealing with a requirement that their world is automated.  For example, imagine how many accountants it would take to manage the transactions that General Motors manages.  In their world, automating their financial systems really is a requirement to continue doing business at that scale.

What I have seen in many small and mid-sized businesses is both a reluctance to spend money on technology solutions and a willingness to stick with older manual approaches.  In some cases this is an appropriate path.  However, there are many reasons to reconsider.  

  • Expertise – when automating a process, expertise in a specific area is captured and can then be reproduced through the new process. This allows us to reduce the amount of training we provide and reduce the risk found in employee attrition  
  • Scale – even if people can handle a process manually, will they be able to do it if your business grows by 25%?  Automated solutions will scale much better than manual ones and will allow you to grow your business without growing your workforce.
  • Quality – automated solutions can be tested.  Once they are proven to work properly, they can be relied upon to follow the same steps every time they are executed.  Computers simply don’t think for themselves so they won’t have a bad day or get distracted.
  • Speed – today’s customers expect quick turnaround that manual processes don’t always provide. When throughput matters, the value of automation increases.
  • Insight – modern processes and technology generate vast amounts of data.  This data can be turned into information that empowers faster and more accurate decision making.  Business intelligence solutions that empower decision support systems (DSS) allow business leaders to identify new risks and opportunities.


The primary argument against automation is the cost.  This is understandable when you see single solutions that can run from thousands of dollars to millions.  While this is a very real concern, imagine what is being spent in the absence of technology.  Before you consider technology too expensive, consider the costs of not investing in it.

  • Salary, Benefits and Labor Compliance – This may seem obvious but any comparison between automation and manual solutions needs to include all costs of labor.  The true cost of labor is typically far greater than just the wages or salaries of the workers.
  • Rework – The cost of quality in technical solutions is primarily absorbed upfront in the testing process.  In manual processes the cost of quality is spread over time.  In manual processes you do spend some time in the beginning on training but quality issues will be found throughout the life of the process so you could potentially be performing rework for years.  This can be costly and is also more difficult to plan for.
  • Training – Automating business processes allows people to accomplish more with less training.  They are not required to have a detailed understanding of all of the things the software will do.  They just need to understand how to operate the software.
  • Loss of Sales – Our customers have expectations and if those expectations are not met then they will simply move to a competitor.  Technology solutions assist in meeting those expectations whether they are high quality, low cost or quick turnaround.
  • Loss of Market Appeal – By ignoring data that we have access to, we risk missing out on important business opportunities.  These could be new product segments, potential features or new leads.  Technology allows us to aggregate and analyze data in ways that were not even imagined years ago.
  • At the end of the day, what matters is that we have chosen the right path for the right reasons.  In order to do so, we must consider a wide range of dimensions.  After considering all relevant dimensions, technology solutions become much more appealing to small businesses.  While the solutions for small and mid-sized businesses will not look the same or cost as much as those for Fortune 500 companies, they are no less relevant.  


At the end of the day, what matters is that we have chosen the right path for the right reasons.  In order to do so, we must consider a wide range of dimensions.  After considering all relevant dimensions, technology solutions become much more appealing to small businesses.  While the solutions for small and mid-sized businesses will not look the same or cost as much as those for Fortune 500 companies, they are no less relevant.  

Wednesday, October 8, 2014

Titles Don't Make Leaders

If you take a look at job titles in the technology world you'll see a number of them similar to “IT Manager”, “Development Manager” and Quality Assurance Manager”.  What you don’t typically see is “IT Leader” or “Thought Leader”.  While you will see the desire for a “leader” somewhere in the job description it seems to be secondary to the term “manager”.  This seems to create a perception that leadership is a sub-component of management and that is not the case.  Management and leadership are two different things that rely on different sets of skills. 

First, you may ask what the difference is.  You may say that your organization's leadership team consists of managers and above.  This is pretty typical.  I think all managers like to pretend that they are leaders so they create “leadership teams”.  However, based on my experience, these teams are often lacking in leadership qualities.  Management can be seen as somewhat scientific (even if most managers do not use a scientific approach).  In the realm of management there are often formulas and frameworks that have been developed over many years to address various choices.  Furthermore, many managerial decisions are driven by either formal or informal rules.  For instance, if I am running a project that experiences a change in scope, I might add “resources”, extend timelines or cut scope from another area.  No matter which move I make, it will be a matter of getting the numbers to work.

Leadership is a different animal. I view leadership as how we get things done when we have no formal authority.  Leadership involves the intangibles or gray areas.  In the example above, you may have noticed that I put quotes around the word “resources”.  The reason for this is that managers quite often think of resources while leaders are thinking of people.  If you need an additional 20 hours of work performed, it is not a “resource” that will do that work.  That work will be accomplished by a person.   Yes, I mean a real person with good days and bad; with family and friends; even a personality and options.  I know you project management types out there are scratching your heads but it’s true.  In the example above, the leader will be the one who has the ability to motivate the team, keep morale up and get the team to buy in to the changes.  This is typically accomplished through soft skills, relationships and power bases.

Being a true leader is not an easy task and the subject would take much longer than one article to fully develop.  For now, recognize the difference between management and leadership.  If you are a fellow manager and you are wondering if you are also a leader, ask yourself what would happen if your organization took away your title tomorrow.  Would your team still follow you?