managing up the curve- leland sandler
TRANSCRIPT
Managing People “Up the Curve”in a High Velocity Environment
Selection, Management and Intervention Determine Success or Failure of People and the Business
Leland SandlerManaging Partner
The Sandler Group LLC
The High Velocity Environment
High revenue growthHigh business expansion / acquisitions / mergersTurn-aroundExtraordinary commitment to improveOne could argue--
– Goal should never be to remain small• Someone will eliminate you
– Goal should never be to reach maturity• Reinvent• Commit to change or lose in the end
– Goal should be to stay on the High Velocity curve
The High Velocity Problem
• Generally, people fail to modify their behavior at a rate rapid enough to meet the demands and dynamic change of a High Velocity business
• High Velocity business success and managing people “up the curve”– Understand required behaviors and skills– Select the right people– Recognize need for intervention– Intervene quickly and effectively
The High Velocity ModelRevenue/
Scale/Complexity
Time
Small Business
High Velocity Business
Mature Business
SK: Skill CapacitySC: Ability to Manage Scale/ComplexityΔ : Ability to Manage Change
SK:↑ SC:↑ Δ:↓
SK:↑ SC:↑ Δ:↑
SK:↓ SC:↓ Δ:↓
Small Business Career Experience
• Small Business– low scale– low growth– low change
• Low experience to manage scale and complexity• Low skill capacity• Low experience anticipating and managing change• Executives from Small Business will generally lack
skills for High Velocity– Must develop skills, and change skills, simultaneously– Low probability of success– Better to be in Mature Business to develop skills first
Mature Business Career Experience
• Mature Business– high scale– low growth– low change
• High experience/skill to manage scale and complexity– More complex than Small Business– Know what the “answer” looks like
• High skill capacity—big companies train and develop more!• Low experience managing change without resources• Executives from Mature Business will have strong, but
potentially narrow, skills to adapt to High Velocity– Care must be exercised– Specific assignment to avoid the Small Business weakness– Changing management skills are the priority—Focus on behavior!
Requirements for High Velocity Business
• High Velocity Business– Increasing scale– High growth– High change
• Executive requirements– High skill capacity (successfully manage different priorities at a
high level simultaneously)– Strong capability to manage scale and complexity– High desire and capacity to manage change
• Most demanding environment– Focus on those with high skill capacity– Pay attention to prior work environment and Small Business
experiences– Assess flexibility, dynamic response, anticipatory skills
Going HorizontalRevenue/
Scale/Complexity
Time
Small Business
High Velocity Business
Mature Business
SK: Skill CapacitySC: Ability to Manage Scale/ComplexityΔ : Ability to Manage Change
SK:↑ SC:↑ Δ:↓
SK:↑ SC:↑ Δ:↑
SK:↓ SC:↓ Δ:↓
Going Horizontal!
Going Horizontal—The Management Opportunity
• “Going Horizontal” (H)– Failure to stay on the curve—SK, SC, Δ– The further one goes off the curve, the harder to return!
• Management role in H– Identify horizontal behavior and intervene– Pay attention to the difference between skills and behavioral
coaching– Late and ineffective intervention is H behavior in itself
• Required behavior—avoid H experiences– Give and receive feedback—frequently and aggressively– Waiting for change and “growing into the role” is a strategy
for failure– Do not accept H behavior, it undermines the organization
Going HorizontalRevenue/
Scale/Complexity
Time
Small Business
High Velocity Business
Mature Business
SK: Skill CapacitySC: Ability to Manage Scale/ComplexityΔ : Ability to Manage Change
SK:↑ SC:↑ Δ:↓
SK:↑ SC:↑ Δ:↑
SK:↓ SC:↓ Δ:↓
Going Horizontal!
Selection and Management “Up the Curve”
• Define current and future Company stages• Place the two points on the curve• Assess role in current and future stages
– Pay attention to SC, SK and Δ• Assess executive
– Use Small, Mature and High Velocity Business definitions
– Place the executive in the context of the Company and role
People Implications
• Do not make the error of domain knowledge (bias)• Focus on “transferable skills”
– Analytical approach/skills– Proven ability to problem solve– Adaptability to new environments– Ability to learn
• The ideal candidate has Mature company development and High Velocity business experiences
Going Horizontal—Intervention
• Coaching the coach– Feedback to the coach about the coach’s team– Helping the coach “see it”, the first intervention– The coach who intervenes habitually late is
horizontal, the second intervention• Looking in the mirror
– The CEO is the leader in “up the curve” management
– The daily intervention is managing one’s self up the curve
Going HorizontalRevenue/
Scale/Complexity
Time
Small Business
High Velocity Business
Mature Business
SK: Skill CapacitySC: Ability to Manage Scale/ComplexityΔ : Ability to Manage Change
SK:↑ SC:↑ Δ:↓
SK:↑ SC:↑ Δ:↑
SK:↓ SC:↓ Δ:↓
Going Horizontal!
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Questions & Comments
Leland SandlerManaging Partner
The Sandler Group, LLC858-344-6160
www.sandlergroup.net