Page 7 - KZN BUSINESS SENSE Vol.2 NO.6
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PurPosEful EntErPrisE culturE
David White, in reception areas and notice outcomes of synergies put forward strategic plan ■ Keep stakeholders informed
CEO DRG boards, these are rarely lived by in the business case made for ■ Identify the best talent, ■ Celebrate successes
Outsourcing or practiced as non-negotiable them, or diminish the enterprise irrespective of which entity they
norms guiding everyday business value of merged entities. Rather currently serve, to be deployed sustain and build
…a pre- activities. Similarly, performance than the blending process that it within the new structure ■ Assess stakeholder satisfaction
should be, the reality becomes a
condition for management practices tend to be ■ Define the preferred cultural with the performance of the
sustainability? an event, a corporate ritual, rather toxic mix of conflicting agendas characteristics for the new renewed organisation
and behaviour! The focus on
than an embedded leadership
■
W practice. results is compromised. ■ common to the entities to be engagement assessment; address
Conduct a culture and
organisation
Determine a new baseline
deviations from the required
We would argue that a
why is this so?
hen last purposeful enterprise culture is In the first instance, the integrated in terms of norms
an essential tool in the quest for
did you, competitive advantage. business cultures of the entities employment practices, policies, introduce an Engagement
in your to be combined are likely to be pay and benefit levels, etc. leadership Process which
busy life divergent. The feasibility study or, ■ Determine cost implications comprises
as CEO or as member of a senior characteristics of a Purposeful due diligence process justifying and an implementation ■ The establishment of
leadership team, push back to Enterprise culture the integration tends to focus plan. Addressing such matters a performance-enabling
reflect upon what really defines It starts with the CEO and upon aspects such as financial proactively will contribute environment: Identify
your organisation’s culture; what the senior leadership team, synergies, product line or service minimise the risk of unintended opportunities for removing
makes your business unique and where emphasis is placed upon offering expansion, optimisation consequences detracting from a of factors interfering with
drives your team’s approach to leadership, not management of assets, geographic location smooth integration process results delivery (often
work in your business? And, if and similar arguments; with traditional ‘way of doing
you had reached a conclusion, The entire team, at all levels and the role that the human capital implement things’) paired with introducing
would the majority of team in all functional areas, is fully element plays in the process, as an ■ Communicate, communicate, ways of leveraging results
members concur that, that such engaged in the business of the afterthought. communicate! The key to delivery (simpler and
a conclusion is indeed their business. Evidence of engagement getting it right first time! smarter) and, most importantly,
everyday experience of their world includes: In the second instance, human Minimise the potential for introducing or perfecting
of work? ■ A clear understanding of the nature being what it is, there rumour and speculation to effective leadership practices
origins of enterprise is a strong likelihood that emerge – the ‘background
Corporate Governance is performance measurement, perceptions of a dominant versus noise’ clouding what should be ■ Introduce a formal results
fundamentally about enterprise the customer and shareholder a subservient partner come an air of positive anticipation commitment process (as
sustainability – in the interests of expectations and how their into play: a winner and a loser; opposed to performance
key stakeholders: shareholders, respective roles contribute to influencing the behaviour of ■ Cautionary announcements, management system), which
customers, suppliers, employees delivering to such expectations what should have become a fresh, briefing groups, workshops, is founded upon role clarity,
and, ultimately, the economy. new and energised team. Egos individual counselling business awareness,
■ A clear understanding of rather than rationality play a ■ Provision of channels for team
Being CEO is a tough job! their respective roles’ influence role. There will be role confusion, members to make suggestions measurement, accountability
The CEO’s effectiveness and on the enterprise value chain scores to settle, points scoring, and express concerns and self-management
that of the leadership team, is and business processes within; resistance to change, ‘told you ■ Ongoing self, peer and leader
measured against the yardstick how their roles leverage the so’ moments when avoidable ■ Proceed according to a formal assessment
of sustainability, with all its effectiveness of this chain or …a unintended outcomes become plan with milestones ■ Recognition and reward
contributory elements. focus on results, not activities apparent and so on. Rival parties ■ Do the hard stuff early: Our definition of a Purposeful
We, at DRG Outsourcing, ■ Team members who take will dance around each other Casualties, those who cannot Enterprise Culture:
be accommodated in the new
regard enterprise performance ownership and hold themselves rather than engage. Previously structure, need to be managed Highly Engaged People Taking
measurement as being derived accountable; ‘If I were the effective entities dissolve into a fairly and humanely Self-Inspired Action … For
from two primary sources: owner I would … or would not…’ dysfunctional culture detracting ■ Conduct regular briefings and Results!
How your customer measures ■ Most importantly, the enterprise from focus on the customer and discussions on progress;
you and how your shareholder is self-managed; the CEO shareholder expectations. DRG Outsourcing (Pty) Ltd
measures you? The sustainability and senior team are free to encourage participation in Tel: +27 (0) 31 - 767 0625
of such measurement findings focus on strategic issues safe how could an effective merging addressing deviations from plan Fax: +27 (0) 31 - 767 3280
david@drg.co.za
is dependent upon a diversity of in the knowledge that day- process proceed? and intent www.drg.co.za
contributory elements amongst to-day business operations are Experiences ‘in the field’ suggest
which, for example, are: in good hands. Trust forms the that the implementation process
■ Product quality foundation of the leadership be informed by both a well-
■ Service quality style! conceived (with the objective
of the integration always as a
■ Value for money ■ Implementation of an effective guiding principle) and a well-
■ Innovation enterprise culture is hard work. planned, deliberate process, for
■ Share value and dividend yield It is a conscious leadership example:
trends process where compromise Getting the base right (know
undermines credibility. The
■ Asset performance return on the effort so invested and fix the gaps from the start):
Sometimes the less obvious flows through as it becomes ■ Conduct a comprehensive
elements may include: embedded as ‘the way we do human capital practices audit
things around here’ and its
■ Statutory compliance impact becoming discernible in within each entity to discover
gaps to be addressed
■ Environmental best practice the results. ■ Conduct an enterprise culture/
■ Enterprise culture mergers and acquisitions employee engagement
Purposeful Enterprise culture Nowhere does the consequence assessment within each entity
to identify those indicators,
Deliberately conceived, of delinquency in attention to both positive and negative,
implemented and rigorously the culture element become which may influence the
maintained enterprise culture more apparent than when two integration process
frameworks are, in the DRG or more business entities are
Outsourcing experience, a integrated. It is a well-researched ■ Craft a unique strategic plan for
rarity. Despite vision, mission and documented phenomenon the proposed integrated entity
and ‘our values’ statements that most such integrations either ■ Determine the organisation
being prominently displayed fall short in delivering to the structure in support of the
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