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Newsletter
8/2006
The Effect of Ends Monitoring on Empowerment
I occasionally interview CEOs who are running Policy
Governance organizations concerning their reaction
and adjustment to Policy Governance. Reactions and
attitudes do vary particularly around the
requirement for regular monitoring reports. Some
CEOs see the requirement for monitoring as a
necessary and tedious evil that must be complied
with on a last minute basis but lends little value
to their capacity for managing the organization.
Some CEOs see monitoring as a powerful management
tool that helps them assure performance and
accountability so they, too, (besides the board) can
sleep at night. Of all the monitoring reports, of
course, ends monitoring is the most challenging and
often call for the greatest creativity in order to
create metrics that tell the ends story accurately
and informatively (what results, in or for whom, and
at what cost?).
As I was interviewing a CEO of a large Policy
Governance worldwide compassionate ministry the
other day concerning his reaction to ends monitoring
he made an observation that had not really occurred
to me before then. I had asked him about his
reaction to the requirement to produce monitoring
reports on progress toward the ends. (Some CEOs face
this with consternation & resentment as a
troublesome board requirement. I see this sometimes
particularly with faith ministries that see their
activities as spiritual activities that can't or
shouldn’t be measured in terms of results.)
He responded that although identifying indicators
for their ends had been a challenge for him and his
staff, requiring careful thought, once done and the
measurements available, he found such monitoring
very empowering. At first I was puzzled. Then the
significance of what he was saying sunk in. ...and
why good ends monitoring is truly empowering. I
mentioned this to another CEO friend successfully
running a large ministry and he said, “sure,” as
though anyone should get it.
Why would good ends monitoring be empowering for a
CEO and how? Well, first the CEO has to have a
passion for, and focus on, performance defined as
results. (Sounds like Jim Collins, right?) Both of
these did. They are not interested in just being
busy. Consequently, their profound concern for
results aligns with the board’s desire for ends
accomplishment, and they bend their management
attention to that end - and finding a way to measure
it. With good ends metrics developed they then can
see the results of their efforts, not just on the
organization, but on the world they set out to
change. THAT is empowering in the best sense of the
word.
To use a simile, imagine you are at the helm of a
big ship. Would knowing how busy the ship was, say
in shaft revolutions per minute, how many crew were
up and working, the amount of fuel being burned,
etc. make you feel empowered if spinning the wheel
had no effect? I hope not. It would lead to a
growing sense of impotency! - no matter the rpm,
crew activities, or fuel burned! It is when you turn
the helm and the great ship changes course in
response to your turning the helm that gives you
that sense of authority at the helm. In fact, that
is what it is called. And the ship’s action is
called “responding” or “answering” to the helm. It
is that which gives the helmsman a sense of
empowerment. And that is what these CEOs were
saying.
When they saw the effect the organization was having
on the world because of their responsive
organizational leadership to board ends policies,
all sorts of other things began to happen as well.
They could improve and sharpen their
decision-making; they could improve effectiveness
and efficiency by watching results vs effort; the
entire organization began to perceive and respond to
the metrics, and, top to bottom, began to align
administrative and worker effort to better
accomplish the ends. Everyone knew it and understood
their contribution. The sense of empowerment spread!
That is total organization focus and alignment. I
would hate to be a would-be competitor of either of
these CEOs and their organizations. |
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