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13 MANAGEMENT PRACTICES THAT WASTE
TIME & MONEY (and what to do instead)
By Dr. Aubrey C. Daniels
ADI Aubrey Daniels International
Want to share an ?
Click the at the bottom of each page
to tweet your favorites!
• To achieve management excellence, you need
to avoid faulty management practices
• Managing individual behavior is the answer but it
requires an understanding of the basic behavior-
based principles that drive good performance
• Here are 13 of the most
commonly used and
misguided management
practices and what to do
instead
*The following is derived
from Aubrey C. Daniels book,
3
© 2013
ADI Aubrey Daniels International
Just Because Every Organization Uses
Them, Doesn’t Make them Effective
Oops! #1:
Employee of the Month
What’s wrong? A program meant to motivate
all employees to deliver superior performance
can only have one monthly winner. The others
are left with performances that go
unrecognized—violating every known principle
of effective positive reinforcement.
What to do instead! Understand what you want
to achieve as a result of this kind of program,
and then establish an initiative based on criteria
that recognizes all employees who deliver
outstanding performance.
4
© 2013
ADI Aubrey Daniels International
What’s wrong? It is proven that people fail to
reach stretch goals 90% of the time. The primary
reason: stretch goals are typically set too high.
What to do instead! Set many, mini-goals. To
get the kind of improvement an organization
needs, in both people and production, managers
need to ensure that positive reinforcement is
delivered for the many small achievements
along the way to reaching the larger, desired
goal.
Oops! #2:
Stretch Goals
5
© 2013
ADI Aubrey Daniels International
What’s wrong? Any system that doesn't
recognize performance as it's happening misses
the opportunity to get the most and best from
employees.
What to do instead! Set up an environment in
which each employee knows how well he or she
has done at the end of every working day.
Evaluate each performer against what he or she
is expected to do, not in relation to others.
Oops! #3:
Performance Appraisals
6
© 2013
ADI Aubrey Daniels International
What’s wrong? Your competition is outside your
organization, not inside. Publicly displaying how
employees rank based on objective measures
breeds unhealthy competition and inhibits
sharing and teamwork.
What to do instead! Evaluate individuals and
units in terms of what they need to accomplish,
rather than comparing their performance to
others.’ When the conditions are right, people
will not only achieve at high rates but also assist
others in doing the same.
Oops! #4:
Ranking
7
© 2013
ADI Aubrey Daniels International
What’s wrong? Across the board perks and
benefits are examples of undeserved rewards.
Employees will do just enough and when poor
performers are rewarded, it is punishing to
those who do a good job.
What to do instead! Employees are hired to
do things. Make sure all rewards and
recognition are earned by active behaviors.
Oops! #5:
Rewarding Things a Dead Man Can Do
8
© 2013
ADI Aubrey Daniels International
What's wrong? Pay contingencies that aren’t
closely tied to the right behaviors or
accomplishments are essentially ‘pay for
showing up.’
Oops! #6:
Salary and Hourly Pay
What to do instead! Implement a
true pay-for-performance system.
Abernathy's Profit-Indexed
Performance Pay provides a way to
increase employee pay and
company profit at the same time
(refer to William B. Abernathy’s The Sin of
Wages).
http://aubreydaniels.com/sin-wages
9
© 2013
What’s wrong? It has become commonplace
to provide positive and constructive feedback.
While it seems efficient to do both at once, the
positive statement rarely has the intended
effect and employees end up focusing only on
the negative.
What to do instead! Be clear to separate the
good and the bad. Give the good first, and at a
later time deliver the corrective feedback. That
way the good will be valued, and the employee
will be more responsive to the corrective
feedback.
Oops! #7:
“You Did A Good Job, But…”
10
© 2013
ADI Aubrey Daniels International
What goes wrong? The sandwich practice is
a cousin of the “You did a good job, but…” and
creates a “waiting for the other shoe to drop”
environment where attempts at social
reinforcement are received with suspicion.
What to do instead! Be direct. If behavior
needs correcting, pinpoint the behavior to be
stopped: Tell the person the consequences of
continuing the undesirable behavior. Then
discuss the behavior you want to see in its
place and positively reinforce all instances of
the new behavior.
11
© 2013
Oops! #8:
The Sandwich
ADI Aubrey Daniels International
What’s wrong? Smart, talented people are not
in short supply. Thinking that some employees
are smarter that others is harmful to all.
What to do instead! Most of what we call
talent is nothing more than unrecognized
practice. Given the right environment, most
people can become “smart and talented.”
Create a culture where managers are rewarded
for the number of “smart, talented people” they
produce–not hire.
Oops! #9:
Overvaluing Smart, Talented People
12
© 2013
ADI Aubrey Daniels International
What’s wrong? The budget process is a
game: Ask for more than you need, and hope
that you get want you need. Managers who do
more with less are often punished rather than
positively reinforced.
What to do instead! Include ways to reward
those who do more with less. Extend this
incentive to all employees. Properly arranged,
this can create a culture of continuous right-
sizing.
Oops! #10:
The Budget Process
13
© 2013
ADI Aubrey Daniels International
What’s wrong? There is a perception in
leadership that managers who are well-liked are
not effective at producing results. There is a
correlation between ineffective managers and
other operational costs: high turnover,
grievances, absenteeism, training, and
recruitment.
What to do instead! Look for managers and
leaders who get results the right way: those who
understand behavior from a scientific
perspective and can design systems, policies,
and procedures that bring out the best in people
every day. These folks are always well-liked.
Oops! #11:
Promoting People No One Likes
14
© 2013
ADI Aubrey Daniels International
What’s wrong? The way companies downsize
is rarely effective. Terminations are typically
made in a matter-of-fact way and remaining
employees are given more work. More often
than not, surviving employees spend more time
looking for another job than looking for ways to
be more efficient and productive.
What to do instead! Get employees involved
in a solution as a first step to avoiding a lay-off.
If the lay-off happens anyway, be more
generous than you need to with those who are
downsized; that will help calm the anxieties of
surviving employees.
Oops! #12:
Downsizing
15
© 2013
ADI Aubrey Daniels International
What’s wrong? Financial considerations almost
always trump human ones in any form or
reorganization. None will be successful without the
energetic, enthusiastic behavior of all employees.
Yet plans for creating such behavior are usually a
mere afterthought.
What to do instead! Make decisions quickly.
Incorporate the best practices of both organizations
into the work of the new organization. Integrate
policies, management practices, and managers.
Make sure that all managers know how to build
positive reinforcement into all of the work of the new
organization on the first day so that employees will
see that it is and can trust that all will be okay.
Oops! #13: Mergers, Acquisitions,
and other Forms of Reorganizing
16
© 2013
ADI Aubrey Daniels International
Visit our online bookstore to
purchase a copy ofOops! 13
Management Practices That
Waste Time and Money (and what
to do instead).
Stay connected with Aubrey
Daniels International and receive
articles, blogs, and resources on
business and management issues
that are most important to you.
http://aubreydaniels.com/store-overview
http://aubreydaniels.com/stay-connected
17
© 2013
ADI Aubrey Daniels International
Stay Connected and Learn More!
3344 Peachtree Rd NE, Suite 1050
Atlanta, Georgia 30326
www.aubreydaniels.com

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Oops 13 Management Practices that Waste Time and Money

  • 1. 13 MANAGEMENT PRACTICES THAT WASTE TIME & MONEY (and what to do instead) By Dr. Aubrey C. Daniels ADI Aubrey Daniels International
  • 2. Want to share an ? Click the at the bottom of each page to tweet your favorites!
  • 3. • To achieve management excellence, you need to avoid faulty management practices • Managing individual behavior is the answer but it requires an understanding of the basic behavior- based principles that drive good performance • Here are 13 of the most commonly used and misguided management practices and what to do instead *The following is derived from Aubrey C. Daniels book, 3 © 2013 ADI Aubrey Daniels International Just Because Every Organization Uses Them, Doesn’t Make them Effective
  • 4. Oops! #1: Employee of the Month What’s wrong? A program meant to motivate all employees to deliver superior performance can only have one monthly winner. The others are left with performances that go unrecognized—violating every known principle of effective positive reinforcement. What to do instead! Understand what you want to achieve as a result of this kind of program, and then establish an initiative based on criteria that recognizes all employees who deliver outstanding performance. 4 © 2013 ADI Aubrey Daniels International
  • 5. What’s wrong? It is proven that people fail to reach stretch goals 90% of the time. The primary reason: stretch goals are typically set too high. What to do instead! Set many, mini-goals. To get the kind of improvement an organization needs, in both people and production, managers need to ensure that positive reinforcement is delivered for the many small achievements along the way to reaching the larger, desired goal. Oops! #2: Stretch Goals 5 © 2013 ADI Aubrey Daniels International
  • 6. What’s wrong? Any system that doesn't recognize performance as it's happening misses the opportunity to get the most and best from employees. What to do instead! Set up an environment in which each employee knows how well he or she has done at the end of every working day. Evaluate each performer against what he or she is expected to do, not in relation to others. Oops! #3: Performance Appraisals 6 © 2013 ADI Aubrey Daniels International
  • 7. What’s wrong? Your competition is outside your organization, not inside. Publicly displaying how employees rank based on objective measures breeds unhealthy competition and inhibits sharing and teamwork. What to do instead! Evaluate individuals and units in terms of what they need to accomplish, rather than comparing their performance to others.’ When the conditions are right, people will not only achieve at high rates but also assist others in doing the same. Oops! #4: Ranking 7 © 2013 ADI Aubrey Daniels International
  • 8. What’s wrong? Across the board perks and benefits are examples of undeserved rewards. Employees will do just enough and when poor performers are rewarded, it is punishing to those who do a good job. What to do instead! Employees are hired to do things. Make sure all rewards and recognition are earned by active behaviors. Oops! #5: Rewarding Things a Dead Man Can Do 8 © 2013 ADI Aubrey Daniels International
  • 9. What's wrong? Pay contingencies that aren’t closely tied to the right behaviors or accomplishments are essentially ‘pay for showing up.’ Oops! #6: Salary and Hourly Pay What to do instead! Implement a true pay-for-performance system. Abernathy's Profit-Indexed Performance Pay provides a way to increase employee pay and company profit at the same time (refer to William B. Abernathy’s The Sin of Wages). http://aubreydaniels.com/sin-wages 9 © 2013
  • 10. What’s wrong? It has become commonplace to provide positive and constructive feedback. While it seems efficient to do both at once, the positive statement rarely has the intended effect and employees end up focusing only on the negative. What to do instead! Be clear to separate the good and the bad. Give the good first, and at a later time deliver the corrective feedback. That way the good will be valued, and the employee will be more responsive to the corrective feedback. Oops! #7: “You Did A Good Job, But…” 10 © 2013 ADI Aubrey Daniels International
  • 11. What goes wrong? The sandwich practice is a cousin of the “You did a good job, but…” and creates a “waiting for the other shoe to drop” environment where attempts at social reinforcement are received with suspicion. What to do instead! Be direct. If behavior needs correcting, pinpoint the behavior to be stopped: Tell the person the consequences of continuing the undesirable behavior. Then discuss the behavior you want to see in its place and positively reinforce all instances of the new behavior. 11 © 2013 Oops! #8: The Sandwich ADI Aubrey Daniels International
  • 12. What’s wrong? Smart, talented people are not in short supply. Thinking that some employees are smarter that others is harmful to all. What to do instead! Most of what we call talent is nothing more than unrecognized practice. Given the right environment, most people can become “smart and talented.” Create a culture where managers are rewarded for the number of “smart, talented people” they produce–not hire. Oops! #9: Overvaluing Smart, Talented People 12 © 2013 ADI Aubrey Daniels International
  • 13. What’s wrong? The budget process is a game: Ask for more than you need, and hope that you get want you need. Managers who do more with less are often punished rather than positively reinforced. What to do instead! Include ways to reward those who do more with less. Extend this incentive to all employees. Properly arranged, this can create a culture of continuous right- sizing. Oops! #10: The Budget Process 13 © 2013 ADI Aubrey Daniels International
  • 14. What’s wrong? There is a perception in leadership that managers who are well-liked are not effective at producing results. There is a correlation between ineffective managers and other operational costs: high turnover, grievances, absenteeism, training, and recruitment. What to do instead! Look for managers and leaders who get results the right way: those who understand behavior from a scientific perspective and can design systems, policies, and procedures that bring out the best in people every day. These folks are always well-liked. Oops! #11: Promoting People No One Likes 14 © 2013 ADI Aubrey Daniels International
  • 15. What’s wrong? The way companies downsize is rarely effective. Terminations are typically made in a matter-of-fact way and remaining employees are given more work. More often than not, surviving employees spend more time looking for another job than looking for ways to be more efficient and productive. What to do instead! Get employees involved in a solution as a first step to avoiding a lay-off. If the lay-off happens anyway, be more generous than you need to with those who are downsized; that will help calm the anxieties of surviving employees. Oops! #12: Downsizing 15 © 2013 ADI Aubrey Daniels International
  • 16. What’s wrong? Financial considerations almost always trump human ones in any form or reorganization. None will be successful without the energetic, enthusiastic behavior of all employees. Yet plans for creating such behavior are usually a mere afterthought. What to do instead! Make decisions quickly. Incorporate the best practices of both organizations into the work of the new organization. Integrate policies, management practices, and managers. Make sure that all managers know how to build positive reinforcement into all of the work of the new organization on the first day so that employees will see that it is and can trust that all will be okay. Oops! #13: Mergers, Acquisitions, and other Forms of Reorganizing 16 © 2013 ADI Aubrey Daniels International
  • 17. Visit our online bookstore to purchase a copy ofOops! 13 Management Practices That Waste Time and Money (and what to do instead). Stay connected with Aubrey Daniels International and receive articles, blogs, and resources on business and management issues that are most important to you. http://aubreydaniels.com/store-overview http://aubreydaniels.com/stay-connected 17 © 2013 ADI Aubrey Daniels International Stay Connected and Learn More!
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