Download - ABC-Squared
ABC2 – A Leadership Theory
Tony Loyd, [email protected]
Disclaimers
The ABC2 model is not a cure-all. It is not a silver bullet. There are no silver bullets.
This isn’t rocket science. It’s pretty simple stuff. I like the model because it gives me a way to explain what’s happening in my organization.
The ABC2 theory is not new, though I’ve never seen a model laid out in this way. This theory draws on many other theories. I have annotated where I know the source. Sometimes I forget where I learned something.
This Stuff Matters
• The organization is confused
• Change initiatives stall• Behaviors are misaligned• Employees leave• We fail to meet
expectations• Shareholders are
dissatisfied
• The organization is clear• Change initiatives soar• Behaviors lead to results• Employees are engaged• We achieve our results• We create shareholder
value
When Behavior is Handled Poorly
When Behavior is Handled Well
The ABC2 Model is about more than an academic exercise. When done right, it leads to real business results.
The HypothesisHere’s my hypothesis:1. As leaders our goal is to delight shareholders, customers,
employees, and the communities in which we work2. We have a specific tool set with which to work. To be successful,
we focus on setting a clear tone, direction and systems3. The right employee behaviors, aligned to our strategy and
executed in a well-design environment, lead to business results. And yet, our strategy is just one input to employee behavior
4. The ABC2 Model says that there are three layers to employee behavior
1. Level 1 is observable behaviors2. Level 2 is invisible psychological processes3. Level 3 is an unconscious predisposition
5. As leaders, we need to understand these drivers of behavior and focus our effort on where we can make a difference
6. There are specific actions we can take to drive the behavior that will produce the desired business results. I’ll provide an action list.
Our Goals
Delight Shareholders,
Customers, Employees & Communities
Maximize Shareholder
Value
Target , Win and Grow Customers
Recruit, Engage and
Develop Employees
Be a Good Citizen
No matter which company we work for, as leaders our goal is to delight shareholders, customers, employees, and the communities in which we work
Increase revenueExpand margins
Improve cash flow
Segment the marketGain customer insightsDifferentiate offerings
Cross-sell / Up-sell
Maximize levers of engagementProvide career paths &
development opportunitiesLeaders develop leaders
Know the communityBe involved
Invest in the community
The Levers of Power
Strategy
Structure
ProcessRewards
People
As leaders, we have a specific tools set with which to work. To be successful, we focus on setting a clear tone, direction and systems
Be clear. Set a tone of who we are: purpose and values. Make decisions: where we’re going to play and how we’re going to win. Give guidance and direction
Define the capabilities, systems, structures and resources required to execute against the strategy. Define operating mechanisms
Define processes. Managing the white-space in the organization – the power of the network
Recognize behaviors that lead to success. Create and monitor metrics that measure success. Align rewards to metrics
Define roles. Align competencies and behaviors that support the strategy. Plan, acquire, engage, develop and promote the best talent
Star Model: Jay Galbraith
What Employees Experience
Employee Behavior
Strategic Direction
Manager Instructions
Life Experiences
Recognition / Rewards
Team Norms
Results
Business results come from a collection of aligned behaviors within a work environment. Our strategic direction is just one input that influences
employee behavior.
The system in whichthey work
The ABC2 Model
Observable / Behavioral
Antecedent Behavior Consequence
Internal / Psychological
Adversity Belief Consequential Feelings
Unconscious / Natural
This is the ABC2 Model which we will examine in phases
Low-Positive Affective
High-Positive Affective
Short
Gap
Layer 1: Observable Behaviors
Observable / Behavioral
Antecedent Behavior Consequence
The first layer of the ABC2 Model is observable and behavioral. What causes employees to behave in specific ways?• There is an antecedent – something happens that prompts the
behavior – input from the strategy, manager direction, a task begins, etc.
• There is a short gap in which the employee decides what the input means
• The behavior – the employee behaves based on the input and the decision
• There is a consequence to the behavior, either positive or negative. A consequence can increase or decrease the likelihood a behavior will be repeated.
Short
Gap
Source: Aubrey Daniels
Layer 2: Internal & Psychological
Internal / Psychological
Adversity Belief Consequential Feelings
The second layer of the ABC2 Model is internal and psychological. This is what happens in the gap between the antecedent and behavior. We cannot observe what is happening in the mind and emotions of our employees. It can only be inferred by the behaviors. • All change can be seen as a form of adversity. Employees are
being asked to step outside of their routine and to behave in new ways.
• For each adverse event, the employee applies a belief filter. What does this change mean to me?
• Depending on the belief applied to the adversity, an employee may experience a range of feelings.
Source: Albert EllisThis is what happens in the gap between the antecedent and the behavior.
Beliefs and Feelings
Sad
Mad
Glad
Afraid
Loss
Trespass
Support
Threat
If I believe I am experiencing… I feel…
=
=
=
=Source: Martin E. Seligman
Beliefs create feelings, actual changes in physiological state (e.g., blood pressure, heart rate, chemical secretions, etc.). This is important. If employees don’t feel safe and
supported, they cannot perform at their best.
Layer 3: Unconscious and Mostly Natural
Unconscious / Natural
The third layer of the ABC2 Model is unconscious and mostly based on our DNA. People who are high-positive affective will naturally gravitate to positive emotions. There are others that are not so easily cheery, referred to as low-positive affective. Research indicates that at least 60% of our “happiness” comes from our DNA – our natural tendencies.
Still, not every thing is based on nature. Nurture is also involved. Both high-positive and low-positive affective dispositions can also be learned. People can develop emotional memories, called somatic markers, based on their life experience that produce either positive or negative emotions. If our experience creates a belief that certain situations, people, objects or phrases (for example) will create positive or negative consequences for us, we being to automatically feel these emotions in their presence. Low-Positive Affective
High-Positive Affective
Where should leaders focus?
Observable / Behavioral
Antecedent Behavior Consequence
Internal / Psychological
Adversity Belief Consequential Feelings
Unconscious / Natural
Focus on the environment, clear direction, execution and recognition.
Low-Positive Affective
High-Positive Affective
Short
Gap
Implications: What We Must Do1. Create a safe, engaging environment:
A. Be transparent and authentic. Provide open, honest communication. B. Be empathetic. Acknowledge emotional reaction to change. Give
permission for employees to react.C. Get engaged and stay engaged with your team.D. Set conditions for risk taking that rewards risks.
2. Provide clear direction. Spend the time to get clear on your organizational design: strategy, structure, processes, rewards and people. Clearly and concisely communicate up, down and across the organization. Provide opportunities for development and skill building. Enroll those who embrace the strategy to help others through the transition.
3. Help with problem solving and planning for implementation. Provide resources. Remove roadblocks.
4. Provide positive, immediate and certain consequences to desired behaviors. Align recognition and rewards with the strategy. Recognize early and often. Focus on the environment, clear direction, execution and recognition.
Further Reading
A. Daniels, Bringing Out the Best in People: How to Apply the Astonishing Power of Positive Reinforcement (New York: McGraw-Hill, 2000)
A. Ellis, Reason and Emotion in Psychotherapy (New York: Lyle Stuart, 1962)
A. Kates, J. R. Galbraith, Designing Your Organization: Using the STAR Model to Solve Five Critical Design Challenges (San Francisco: Jossey-Bass, 2007)
M. E. P. Seligman, Learned Optimism: How to Change Your Mind and your Life (New York: Pocket Books, 1992)
Appendix
Other stuff I thought about but didn’t want to clutter the message
We’re Born this Way
When we feel threatened, the brain diverts blood from the neocortex, the center of higher-order thinking to the limbic system, the center of emotions. Computer generated images of the brains of people under severe stress show that there is increased blood flow and electrical activity in the Reptilian brain. The brain has "minimized." The body is filled with chemicals and the individual goes into “fight, flight or freeze.” Higher order thinking skills are impossible.To be at our best – to achieve peak performance, we need to have access to our
greatest capabilities, including higher-order thinking. When we are emotionally charged, it is impossible for us to do so.
Source: Dr. Paul MacLean
Emotions can interfere with performance
Desired Behavior
Protective
BehaviorAffective
FilterAnxiety, self-consciousness, boredom, annoyance, alienation,
etc.
Even employees who have a high desire to perform, when they are caught in a web of anxiety, fear, etc., cannot perform at their peak.
Source: Stephen Krashen
Get Engaged and Stay Engaged with Your Team
Eight Key Questions Every Employee Wants Answered
1. What’s my job?2. How am I doing?
3. Does anyone care about me?
5. What’s our business strategy?6. How are we doing?
7. What’s our vision and values?
8. How can I help?
4. What’s going on?
me
transition
we
Source: Roger D'Aprix
Before you can lead, you have to be engaged with your team. You must answer the eight key questions every employee wants answered.