Achieving Credit Union Excellence

Understanding The Pattern of Business Success

This is a very special workshop• I have a ton to cover and I will go pretty fast.• 80% is in the book.• Please take notes and ask questions.• I am happy to answer any of your questions, offer

advice and recommend books at any time.• Work very hard… take this seriously.

The slides are already posted at:

www.SlideShare.net/johnspence

Most people are so busy working IN

their business that they do not take any time to work ON their business.

What does this mean to me?

How can I use this idea?

What can I do right away?

Reality CheckKnowing – Doing

1 -10

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The Four Ps

(T + C + ECF) x DE = Success

1

Do you have a clearly focused and well-communicated vision and strategy for growth?

Effective Strategy =

Valued Differentiation x Execution

The Four – I’s

• Ignorance• Inflexibility• Indifference• Inconsistency

Page 1

How to avoid the Four I’s 1-10• Aggressive external market focus.

• Aggressive customer focus.

• Keep the “Main Things” the main things.

• Bullish on knowledge sharing and learning.

• Teamwork is mandatory – not optional.

• Passion and commitment at all levels.

• Foster a healthy paranoia.

• Revel in change. 1

• The willingness… even enthusiasm… to change

EVERYTHING combined with the wisdom to understand

what must NEVER be changed.

The Key To Success in the New Normal…

•Nimbleosity

•Nimbo-licious

To get the most from our session together…

It is absolutely critical that you be brutally honest with yourself today.

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So let's get started with

a little self-test…

The Toyota Way• Challenging Vision

– We form a long-term vision, meeting challenges with courage and creativity to realize our dreams.

• Kaizen– We improve our business operations continuously, always driving for

innovation and evolution.

• Genchi Genbutsu– We go to the source to find the facts to make correct decisions, build

consensus, and achieve our goals at our best speed.

• Respect, Challenge and Help your People and Suppliers– We respect others, make every effort to understand each other, take

responsibility and do our best to build mutual trust.

• Teamwork– We stimulate personal and professional growth, share the opportunities

of development, and maximize individual and team performance.4

1,300,000 interviews: Basic 4 + 1

Goal Setting

TrustAccountability

Communications

RECOGNITION

Page 8Wow — No Surprises — Celebrate

4

What does it take to be a valued member of a team?

Develop and display competence.

Follow through on commitments.

Deliver required results.

Ensure your actions are consistent with your word.

Stand behind the team and its people.

Be enjoyable to work with.

Be passionate about your work and those you serve.

Communicate and keep everyone informed.

Help the other members of the team.

Help members of other teams.

Share ideas, information and credit.

Hold yourself 100% accountable.

• D

• M

• C

• C

• M

• D

irection – vivid, clear, inspiring --- shared

easurements – specific, observable, focused

ompetence – very good at what they do

ommunication – open, honest, courageous

utual Accountability – all team members

iscipline – do this every day

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10 Key Team Competencies:

1. Setting clear, specific and measurable goals.

2. Making assignments extremely clear and ensuring required competence.

3. Establishing accountability for high performance across the entire team.

4. Running effective team meetings.

5. Building strong levels of trust.

6. Establishing open, honest and frank communications.

7. Managing conflict effectively.

8. Creating mutual respect and collaboration.

9. Encouraging risk-taking and innovation.

10. Engaging in ongoing team building activities.1 - 10

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5

TEN ELEMENTS OF A WINNING CULTURE

1. People enjoy the work they do and the people they work with

2. People take pride in the work they do and the company they work for

3. There are high levels of engagement, connection, camaraderie and a community of caring

4. There is a culture of fairness, respect, trust, inclusiveness and teamwork

5. The leaders walk the talk, live the values and communicate a clear vision and strategy for growth

6. Lots of open, honest, robust and transparent communication across the entire organization

7. The company invests back in employees; there is a commitment to learning, coaching and development

8. There is a bias for action, employees have an ownership mentality and always strive to give their personal best

9. There is high accountability and a strong focus on delivering the desired results

10. There is ample recognition and rewards and mediocrity is not tolerated

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Extreme Member Focus

Web of Value: VOM + MOT + WOM

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Extreme Customer Focus

VOM

10

Moments Of Truth

Page 8

10

VOC + MOT Workshop:

Page 10

78.9%23.4%

43% - 74% of purchasing decisions = WOM/T

You MUST have a WOM Referral System

Identify Ideal

Customer

ReferIdeal

Customer

WOM workshop page 11

The Evergreen Project

10 year study of 160 top companies

40 distinct industries

200 management practices

Winners, climbers, tumblers, losers

Winners had an average Total Return to Shareholders of 945%... The

Losers only averaged a TRS of 62%

From: What (really) Works by Joyce, Nohria, Roberson

The Four Primary Practices:1. A sharply focused, clearly communicated and

well-understood strategy for growth.

2. Flawless operational execution that consistently delivers the value proposition.

3. A performance-oriented culture that does not tolerate mediocrity.

4. A fast, flexible, flat organization that reduces bureaucracy and simplifies work.

From: What (really) Works by Joyce, Nohria, Roberson

12

The Secondary Management Practices:

• Talent = find and keep the best people.

• Key leaders show commitment and enthusiasm for the business.

• Embrace strategic innovation.

• Master the power of partnerships.

From: What (really) Works by Joyce, Nohria, Roberson

Score yourself on the 1–10 scale for all eight practices on page 12

Key Drivers of Business Success

Financial Performance

Quality P&S&

Customer Relationship

EmployeeSatisfaction

Empowerment High Standards

Long-termOrientation

Enthusiasm, Commitment,

Respect

Training &Development

Fair Compensation

CR=104.12

CR= .404

CR=.334

CR=.277

CR=.275CR=.249

CR=.280 Coaching

CR=.285CR=.371 CR=.365 CR=.191 CR=.247

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WorkshopPage 14

TolerateNothingLess

From: Practice What You Preach by Maister

Global study:16 countries29 companies139 offices5,589 respondents

What Inhibits Execution?National Survey of 4,000 Senior Executives

4. Inability to work together (21%)

3. Company culture (23%)

2. Economic climate (29%)

1. Holding onto the past / unwillingness to CHANGE (35%)

In other words…

• In order to succeed you need a high-performance team that embraces a strong culture of disciplined execution and accountability while being nimble, agile and adaptable to changes in the marketplace.

Disciplined Execution Clear Vision

Detailed Strategy

Guiding Coalition

Alignment

Systems

Communication

Support

Adjust

Reward / Punish

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1 - 10

Pages 16 & 17

Individual Workshop• Go back and look at all of your audits.• Where were your low scores, where were your high

scores – what is the pattern?• Look over your notes – what were the key themes?

What are the most important ideas?• Answers all the questions on pages 17 – 19.• Put in as much detail as possible.• Be very honest with yourself.• Think in terms of Actions and Outcomes.

If you have any questions at all please do not hesitate to send a note or call. My email address is: john@johnspence.com

My twitter address is: @awesomelysimple

*** Please connect with me on LinkedIn ***

Also, you might find value in the ideas I share in my blog. You can sign up for it at:www.blog.johnspence.com

Lastly, these slides have already been uploaded to:

www.slideshare.net/johnspence