Doing Business in Real Time

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The global economy has a life of its own, it lives in real-time, and we are all part of it. Hello brave new world.

Michael Hugos

Five Traits of an Agile Enterprise - Part 2

Entrepreneurial employees are the energy that makes an agile enterprise come alive

to IT Organization |

Most employees want a chance to learn more about their business and add their own ideas to the mix and make things better. They don’t want to be the kind of entrepreneur who strikes out all alone to create a new company from scratch; that’s more risk than most people want to take. What they desire instead is a chance to work with other motivated people and share in the benefits of growing the companies where they already work.

Entrepreneurial employees recognize that they either make money, bring in business, or support those who do. They know that when the company creates a job, it is an investment that must pay for itself, not an employee right or an entitlement. They will say, “I don’t want a penny unless I make money for the company!”

[ I do lively presentations on this and related topics - mhugos@yahoo.com ]

There are no performance reviews done solely by individual supervisors or managers because they are degrading to entrepreneurial employees and are usually mishandled or inaccurate anyway. Instead, employees are continually evaluated by their coworkers and managers based on their experience working together and the success of their entire work group in reaching its performance objectives. Peer group review among entrepreneurial employees provides far more motivation and guidance than individual performance reports ever could. And this peer group dynamic produces behavior that rewards all members of the group, not just selected individuals.

Entrepreneurial employees know that to be promoted, they do not need to show off how smart they are. They do not need to steal credit or attention from their coworkers. Instead, they need to display the attitudes and demonstrate the skills of the new positions they aspire to. Then their coworkers will acknowledge that they are ready to be promoted because it is evident that their promotion will be good for everyone; their promotion will help the whole unit be more productive and profitable (and help everyone earn higher bonuses).

What kind of systems and what kind of operating procedures would support this kind of employee? Hint: massively-multiplayer online games like World of Warcraft or EVE Online are good examples of systems and procedures that encourage entrepreneurial behavior. IBM and a group of professors from Stanford and MIT did an interesting study of this titled “Virtual Worlds, Real Leaders”. I wrote about that study and its implications in an earlier post.

[Michael Hugos, principal at Center for Systems Innovaton [c4si], finding elegant solutions to complex problems; mentoring teams in agile development and strategies for business agility. His newest book is Business Agility: Sustainable Prosperity in a Relentlessly Competitive World.]


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