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The Execution Tune-up™Getting from Vision to Execution                                   Kath Infante McBroom
Great Companies      “Good is the enemy of great”                         - Jim Collins                  2       Copyright...
Great Companies      The Great companies had a 5 times      multiple in profit performance and a        10 times multiple ...
Great Companies     “Great performance is about 1%     vision and 99% alignment”                     Jim Collins          ...
Great Companies      Companies don’t fail for lack of       vision. They fail because they      cannot translate their vis...
Our Agenda Today    The 3 Barriers to Profitable Growth     – Leadership     – Systems and structures     – Market dynamic...
There are veryPredictable Barriers to a Company’s Profitable        Growth       7         Copyright © Alampi & Associates
Barriers to Growth    • 31 million companies in the U.S. file tax returns (2008 IRS Data)    • 96% have fewer than 10 empl...
Predictable Barriers to Growth     Leadership       Delegation     Systems & Structures     Market Dynamics (Fundamentals)...
Barriers to Growth                        Leadership                                                         2,500→       ...
Delegation             So why is it so tough?                 11         Copyright © Alampi & Associates
Delegation is Critical to Growth       • Pinpoint (measure)       • Feedback Agreement       • Risk Tolerance       • Rewa...
What Is Your Risk Tolerance?                                                            x    +2                           ...
• Pinpoint (measure)• Feedback Agreement• Risk Tolerance• Reward & recognition“Great leaders delegate results, not tasks” ...
“What is one thing you are doing today that you shoulddelegate to someone else?”                 15            Copyright ©...
Barriers to Growth                   Systems & Structures                                                       2,500→    ...
It Is About Complexity!           2:2                              4:12       An arithmetic increase in headcount, locatio...
Barriers to Growth                       Market Dynamics                                                         2,500→   ...
It is virtually impossible ingrowth phases to skip a step,just like child development                  19            Copyr...
THE ROCKEFELLERHABITS
Rockefeller Habits for Executive Teams        Priorities – Top 3 to 5 and #1        Rhythm - Executive Team Meetings      ...
Rockefeller Habits for Executive Teams         Priorities – Top 3 to 5 and #1         Rhythm - Executive Team Meetings    ...
Habit #1 - Priorities      Priorities have to start at the company level      Top 3 to 5 focus areas (maximum) and know #1...
Rockefeller Habits for Executive Teams         Priorities – Top 3 to 5 and #1         Rhythm - Executive Team Meetings    ...
Rhythm is about Frequency     Activity                             Time     Activity                             Time     ...
Habit #2 – Meeting Rhythm     Annual executive team off-site – 2 days     Quarterly executive team off-site – 1 day     Mo...
27   Copyright © Alampi & Associates
Rockefeller Habits for Executive Teams         Priorities – Top 3 to 5 and #1         Rhythm - Executive Team Meetings    ...
Habit #3 – Data Driven     Standard Corporate Numbers      – Financial and operational numbers / ratios      – Rear-view l...
The Right Metrics     Graph it     Visual - get it up and around the     Examples     organization     Frequent - 6 data p...
CEO and Executive Leadership   An organization needs to be both to be successful          Smart                           ...
Leadership: the Four Obsessions                                                                        4:                 ...
Getting from Vision to Execution     So how does a company      first create a vision and then      more importantly, tran...
High-performing Companies          Companies rarely fail for lack of       vision. They fail because they cannot        tr...
High-performing Companies      “Great performance is about 1%      vision and 99% alignment”                           Jim...
The Execution Roadmap™     It all starts with a vision (core ideology) and             then a specific plan and process   ...
The Execution Roadmap™                 37      Copyright © Alampi & Associates
The Execution Roadmap™                 38      Copyright © Alampi & Associates
Summary    The 3 Barriers to Profitable Growth     – Leadership     – Systems and structures     – Market dynamics    The ...
Rarely do good companiesneed to replace the engine;tune-up the components to get optimum performance           40        C...
Contact Information                Kathie McBroom          Synergy Business Group, LLC                  859-552-4991      ...
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The Execution Maximizer™ Tune Up

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The Execution Maximizer™ Tune Up

  1. 1. The Execution Tune-up™Getting from Vision to Execution Kath Infante McBroom
  2. 2. Great Companies “Good is the enemy of great” - Jim Collins 2 Copyright © Alampi & Associates
  3. 3. Great Companies The Great companies had a 5 times multiple in profit performance and a 10 times multiple in valuation compared to the Good companies. 3 Copyright © Alampi & Associates
  4. 4. Great Companies “Great performance is about 1% vision and 99% alignment” Jim Collins Built to Last 4 Copyright © Alampi & Associates
  5. 5. Great Companies Companies don’t fail for lack of vision. They fail because they cannot translate their vision into execution. Vision without execution is hallucination. 5 Copyright © Alampi & Associates
  6. 6. Our Agenda Today The 3 Barriers to Profitable Growth – Leadership – Systems and structures – Market dynamics The Rockefeller Habits for Executive Teams CEO & Executive leadership The Execution Roadmap – getting your strategic plan onto one page so you can execute it 6 Copyright © Alampi & Associates
  7. 7. There are veryPredictable Barriers to a Company’s Profitable Growth 7 Copyright © Alampi & Associates
  8. 8. Barriers to Growth • 31 million companies in the U.S. file tax returns (2008 IRS Data) • 96% have fewer than 10 employees 2,500→ 17,000→ 125,000→ 4%→ $500 million 96% 1,000 + FTEs $50 million $10 million 200-400 FTEs 50-75 FTEs $1 million 10 FTEs 8 Copyright © Alampi & Associates
  9. 9. Predictable Barriers to Growth Leadership Delegation Systems & Structures Market Dynamics (Fundamentals) Issues that impact a company as it moves through transitions to the next level 9 Copyright © Alampi & Associates
  10. 10. Barriers to Growth Leadership 2,500→ 17,000→ 125,000→ 4%→ $500 million 96% $50 million 1,000+ FTEs $10 million 200-400 FTEs 50-75 FTEs $1 million 10 FTEs 10 Copyright © Alampi & Associates
  11. 11. Delegation So why is it so tough? 11 Copyright © Alampi & Associates
  12. 12. Delegation is Critical to Growth • Pinpoint (measure) • Feedback Agreement • Risk Tolerance • Reward & recognition “Great leaders delegate results, not tasks” 12 Copyright © Alampi & Associates
  13. 13. What Is Your Risk Tolerance? x +2 x x x x Risk Goal x x x Tolerance x x x -2 x 13 Copyright © Alampi & Associates
  14. 14. • Pinpoint (measure)• Feedback Agreement• Risk Tolerance• Reward & recognition“Great leaders delegate results, not tasks” 14 Copyright © Alampi & Associates
  15. 15. “What is one thing you are doing today that you shoulddelegate to someone else?” 15 Copyright © Alampi & Associates
  16. 16. Barriers to Growth Systems & Structures 2,500→ 17,000→ 125,000→ 4%→ $500 million 96% 1,000+ FTEs $50 million $10 million 200-400 FTEs 50-75 FTEs $1 million 10 FTEs 16 Copyright © Alampi & Associates
  17. 17. It Is About Complexity! 2:2 4:12 An arithmetic increase in headcount, locations or databases leads to a geometric increase in complexity 17 Copyright © Alampi & Associates
  18. 18. Barriers to Growth Market Dynamics 2,500→ 17,000→ 0.4%→ 4%→ $500 million 96% $50 million 1,000+ FTEs $10 million 200-400 FTEs 50-75 FTEs $1 million 10 FTEs 18 Copyright © Alampi & Associates
  19. 19. It is virtually impossible ingrowth phases to skip a step,just like child development 19 Copyright © Alampi & Associates
  20. 20. THE ROCKEFELLERHABITS
  21. 21. Rockefeller Habits for Executive Teams Priorities – Top 3 to 5 and #1 Rhythm - Executive Team Meetings Data Driven - Metrics Titan, Ron Chernow Biography of John D. Rockefeller Mastering the Rockefeller Habits, Verne Harnish 21 Copyright © Alampi & Associates
  22. 22. Rockefeller Habits for Executive Teams Priorities – Top 3 to 5 and #1 Rhythm - Executive Team Meetings Data Driven - Metrics 22 Copyright © Alampi & Associates
  23. 23. Habit #1 - Priorities Priorities have to start at the company level Top 3 to 5 focus areas (maximum) and know #1 Issues where executive team focus will have greatest impact for the company For 3 year horizon, current year and next quarter For Company / Department / Individual levels 23 Copyright © Alampi & Associates
  24. 24. Rockefeller Habits for Executive Teams Priorities – Top 3 to 5 and #1 Rhythm - Executive Team Meetings Data Driven - Metrics 24 Copyright © Alampi & Associates
  25. 25. Rhythm is about Frequency Activity Time Activity Time Increase the frequency and you will naturally increase the results 25 Copyright © Alampi & Associates
  26. 26. Habit #2 – Meeting Rhythm Annual executive team off-site – 2 days Quarterly executive team off-site – 1 day Monthly executive team meeting - ½ day Weekly executive team meeting/call – 1 -1½ hours Daily huddle/call – stand up meeting - < 15 minutes This structured format utilizes about 5% of an executive team’s total time 26 Copyright © Alampi & Associates
  27. 27. 27 Copyright © Alampi & Associates
  28. 28. Rockefeller Habits for Executive Teams Priorities – Top 3 to 5 and #1 Rhythm - Executive Team Meetings Data Driven - Metrics 28 Copyright © Alampi & Associates
  29. 29. Habit #3 – Data Driven Standard Corporate Numbers – Financial and operational numbers / ratios – Rear-view look Smart Numbers – Typically 2 - 3 in any organization – Leading indicators – what is around the corner? Critical Number – 1 or 2 numbers targeted to a critical weakness – Targeted for a short period of time (e.g., quarter) 29 Copyright © Alampi & Associates
  30. 30. The Right Metrics Graph it Visual - get it up and around the Examples organization Frequent - 6 data points to spot a trend Measure what’s important, not what’s easy Absolute numbers vs. %’s - choose which is appropriate for the type of measurement 30 Copyright © Alampi & Associates
  31. 31. CEO and Executive Leadership An organization needs to be both to be successful Smart Healthy - Strategy - Less Politics - Marketing - Less Confusion - Finance - Higher Morale - Technology - Higher Productivity - Lower Turnover * Source: Patrick Lencioni, The Table Group, Inc. 31 Copyright © Alampi & Associates
  32. 32. Leadership: the Four Obsessions 4: Reinforce Clarity Through Human 3: Systems Over- Communicate Organizational Clarity 2: Create Organizational Clarity 1: Build and Maintain a Cohesive Leadership Team * Source: The Four Obsessions of An Extraordinary Executive, Patrick Lencioni, The Table Group, Inc. 32 Copyright © Alampi & Associates
  33. 33. Getting from Vision to Execution So how does a company first create a vision and then more importantly, translate it into execution and results? 33 Copyright © Alampi & Associates
  34. 34. High-performing Companies Companies rarely fail for lack of vision. They fail because they cannot translate their vision into execution. Vision without execution is hallucination. 34 Copyright © Alampi & Associates
  35. 35. High-performing Companies “Great performance is about 1% vision and 99% alignment” Jim Collins Built to Last 35 Copyright © Alampi & Associates
  36. 36. The Execution Roadmap™ It all starts with a vision (core ideology) and then a specific plan and process to execute that vision The best way to execute a strategic plan is 90 days at a time 36 Copyright © Alampi & Associates
  37. 37. The Execution Roadmap™ 37 Copyright © Alampi & Associates
  38. 38. The Execution Roadmap™ 38 Copyright © Alampi & Associates
  39. 39. Summary The 3 Barriers to Profitable Growth – Leadership – Systems and structures – Market dynamics The Rockefeller Habits for Executive Teams CEO & Executive leadership The Execution Roadmap – getting your strategic plan onto one page so you can execute it 39 Copyright © Alampi & Associates
  40. 40. Rarely do good companiesneed to replace the engine;tune-up the components to get optimum performance 40 Copyright © Alampi & Associates
  41. 41. Contact Information Kathie McBroom Synergy Business Group, LLC 859-552-4991 Kathie.mcbroom@vistage.com 41 Copyright © Alampi & Associates

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