Wednesday 23 September 2009

Communication Breakdown

People make assumptions.
We all know we should not do it, but we keep on making them.
Consider the mathematical relationship:
Probability of misunderstanding leading to upset is =f(Number of people involved x history x complexity x change) x assumptions made.

In other words, the more people who are involved in “the issue” or the “event”, the longer it has been established (as a habit, tradition, pattern of events or as an event in itself), and the more complicated it is, the more greater the likelihood that people will make assumptions about some aspect. And the more chance there is of that combination leading to some misunderstanding and upset.


Misunderstandings and upset people always take longer to resolve than the few extra minutes that avoiding the problem in the first place would have taken.

When some change is involved, then there is an even greater chance that somebody will become upset – often because they hear something unfounded or assumed and proceed directly to righteous indignation without pausing at “check for facts”.

Suggestions
  • Brief everybody – together
  • Ask for questions
  • Talk to people one to one – so that they do not have an audience and are more likely to raise concerns
  • Check and double check that everybody has the same understanding of the “changes”
  • If you are new to the team, ask people about the history – you do not need to know all the gory details, but it might be helpful to ask about who has been involved in your “Event” in the past.

Wednesday 2 September 2009

The Right Plan

How do you know if you are working to the right plan? In 1977, when the government of the time recruited Michael Edwardes to run British Leyland, BL was trying to implement the wrong plan. The Ryder report had led them down the path of brand unification and the ultimate abandonment of the traditional BL brands (Rover, Triumph etc). The mistake that had been made was to create a plan based on operational expediency rather than building on the existing strengths of the organisation.

Planning Pitfalls


  • Rushed, incomplete or over-optimistic (dishonest?) SWOT analysis
  • Unbalanced business goals
  • Failing to take a proper account of the past
  • Becoming wedded to past glories
  • Ignoring the wider business environment (political, economic, social, technological etc)
  • Sales targets plucked out of the ether.
Best Practice


  • Use a proven process to create your plan
  • Test your plan - conduct a sensitivity analysis on the numbers; Talk to your sales channels; Talk to key customers; Talk to other stakeholders
  • Reflect on the big changes
  • Get objective input - Accountant; Adviser; Analyst

Further reading:

  • "Back from the Brink" by Michael Edwardes, published Collins 1983 (ISBN 0002170744)