December 2008

Rectitude and Values Do Matter

 

First we want to wish you a blessed Christmas in all its full meaning of Love and Grace.
 
Unfortunately, in contrast to what this season is all about, greed and corruption have dominated the news and commentaries lately (besides the morose news concerning the economy and differing opinions surrounding rescuing it). Perhaps I should not even say "lately." Starting most visibly with Enron, we have had an increasing cascade of discoveries of perfidy, both in the for-profit and nonprofit sectors culminating in the crescendoing collapse of once great companies and the very endangerment of national economies.

What is a board to do regarding its organization? Why must we default to Congress (or auditors) (and ever more intrusive laws and regulations) to prevent corruption within our organizations? What haven't boards done? Are supposedly very smart people, leaders, losing their common sense as well as their consciences? Are boards not able to govern in a way that assures integrity?
 
Since many boards are, unfortunately, reactive in their approach to governance, (i.e., their agenda is dominated by reacting to management initiatives, requests, reports, events, external forces, etc.), it is unusual for a board to be intentional and proactive concerning its approach to rectitude and values and the job of assuring itself that its values are expressed and enforced by the CEO and imbedded in the organizational culture and its actions. Robert Greenleaf and others accuse boards rightly of passivity. We entrust way too much unconstrained power (and often great wealth) to our chief executives and ignore or disbelieve the truth that such unconstrained power is corrupting, (and creeping corruption is blinding). Such boards play an unwitting role in the corruption of their executive.
 
But all things start with values, of course, ... or the lack of them.
 
On the other hand, here is some inspiration: I have a client, a large agency, not a religious organization at all, that wanted to begin their latest round of strategic planning by first re-visiting their values (which has been a long time list). They perceived that their values were simply words on their website and in their literature. They had not been intentional about making it a part of the culture of the organization - or if a part - it had more or less happened piece-meal by way of the right leadership. No one really remembered the list of values well or could explain them in a consistent way.
 
As I facilitated, they studied the values triangle, (a system of core values (virtues) that produces an ever richer system of ancillary values - each dependent on, and reinforcing, the others - starting with integrity, compassion, and humility), and they decided to adopt it as their values construct. They even worked it into their logo so that it would be always before them, and they could even draw it on a napkin for people. They could then easily teach it, discuss its meaning with each other, and assess their decisions and actions. They would emphasize the values in their own words and address weaknesses. I was surprised and very gratified by this group's enthusiasm for doing the right thing and the work they did to define it (a group of 25 people from throughout the organization), supported by top management. They realized their future excellence and performance hung on it. Hats off to them.
 
Results-based Metrics:
I continue to be impressed and convinced of the power of good results measures to align and transform an organization. I am beginning to believe that if an organization does nothing else, (assuming its non-negotiable values and fundamentals are in place), but clearly decide its ends, or results, and then determinedly find a way to measure them - repeatedly over time, (and share those findings transparently throughout the organization), focus, alignment, and energy will begin to emerge. This seems backwards, shouldn't strategy be done and then measurement? But even by just paying attention to results measures, the organization will begin to ask better and better critical questions of its basics, its processes, and the product(s) that it assumes create the ends it has set for itself. In other words, it will focus and improve, compelled by the logic of good metrics. Not a bad strategy to start with just in itself!

Nonprofits and ministries are also learning that donors and funders are becoming increasingly results-oriented. Clear ends/results and the demonstration (by measurements) that the organization is knowledgeably headed toward their accomplishment attracts funding and donations.

Richard M. Biery, M.D. © 2008

 

 

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