Disciplined Collaboration: T-Shaped Management

1. Disciplined Collaboration:T-Shaped Management MIIC Oct 8 2010 Prof. Morten Hansen

2. Three levers discussed in class- People: T-shaped management Networks IT Tools People • T-shaped management: • Unit focus and • Cross-unit focus • Collaborative • Leadership: • Bigger goals, inclusive • accountable • Danger of too • much networking • Networks to search • and capture value • 6 network rules to • create nimble networks • Knowledge • Management • IT tools tailored to • specific barriers

3. T-shaped: Gets two performances High T-shaped Individual Performance Low High Low Contribution Across

4. T-shaped: Gets two performances High Lone Stars T-shaped Individual Performance Low High Low Contribution Across

5. T-shaped: Gets two performances High Lone Stars T-shaped Individual Performance Laggards Butterflies Low High Low Contribution Across

6. The T-shaped professional- Can do two things, not just one The ability to deliver across + The ability to achieve results for own work

7. They are T-shaped • Collaborate: • Ask for help • Give help • Connect • Joint work Cross unit collaboration Business unit focus T-shaped professionals have a high ability to simultaneously deliver strong results for their own area and contribute across the organization

8. Unit focus Setting very clear priorities for the unit: what to do; results to achieve Clear about what not to focus on within the unit Delegating Hold people accountable Nurturing a “strong second” direct report Strong management team Cross-unit focus Corporate and “global” mindset Willing to give advice and help Willing to ask for help Willing to do joint work with other units Very selective in cross-unit initiatives (cancel some) Insisting on result-orientation in cross-unit Willing to travel a great deal What are the qualities of T-shaped managers?

9. T-shaped professionals excel in three areas Attitude Skills Management The ability to work across units (influence, network) + The ability to focus, prioritize, delegate, deliver • Attitude of contri- • buting beyond one’s • Job and • valuing others’ thinking • and professions • + • The attitude that • Individual performance • is paramount Enough knowledge about other fields + Deep knowledge in one area

10. The organization needs to be designed to cultivate T-shaped managers Example: BP • Peer assists and challenges • Program to send people to help others on specific problems Peer groups: 8-12 business units meet regularly without boss Cross unit collaboration Contingent bonuses: 30-50% is firm-based Dual promotion criteria: Only get to senior level if perform on both dimensions Economic transparency: internal benchmark and financial systems that compare similar units Business unit focus • Individual performance contract • Clear targets and accountability • bonus for reaching those

11. Big changes needed in who is rewarded Strong individual orientation Strong “Whole Company” Bonus + pay individual results + contribution across

12. Big changes needed in who is rewarded Strong individual orientation Strong “Whole Company” Bonus + pay individual results + contribution across Promotion strong individual + contributed to the performance whole company

13. Big changes needed in who is rewarded Strong individual orientation Strong “Whole Company” Bonus + pay individual results + contribution across Promotion strong individual + contributed to the performance whole company Manage strong individual + little contribution Out performance to whole

14. Big changes needed in who is rewarded Strong individual orientation Strong “Whole Company” Bonus + pay individual results + contribution across Promotion strong individual + contributed to the performance whole company Manage strong individual + little contribution Out performance to whole Recruitment takes individual + clear “whole” responsibility attitude