“HOW TO SPOT AND STOP DYSFUNCTIONAL MANAGERIAL BEHAVIOR” Presented By: Peter Hughes Steve Danley Assistant Director of Human Auditor-Controller Resources and Los Angeles County Performance Audit for Orange County (Former) 1
PEDIGREE OF PRESENTERS: Steve Danley: • High School Basketball referee for 25 years • MBA, UC Irvine • 35 Years in Orange County • Held an executive position in 6 County departments • Former Director of Performance Audit and of Human Resources • Awarded Harvard University’s Kennedy School “2012 Bright Idea” for innovation in Performance Auditing 2
PEDIGREE OF PRESENTERS: (continued) Peter Hughes: • Proud financial backer of three college graduates • CPA, MBA, UC Riverside, Ph.D., Oregon State 35 Years in executive positions for federal, State, County, and Corporate entities, including, NASA Jet Propulsion Lab, Caltech, Oregon University System, Orange County, Los Angeles County, and CBS Inc. 2010 Outstanding CPA in Local Government - American Institute • of Certified Public Accountants • 2009 Article of the Year, entitled “Ethics Pays in So Many Ways” by Association of Certified Fraud Examiners Developed and led the Control Self-Assessment and Process • Improvement program for Orange County 3
“HOW TO SPOT & STOP DYSFUNCTIONAL MANAGERIAL BEHAVIOR” A Short Refresher Course on Good and Poor Management DELIVERABLES: • ABILITY TO SPOT COMMON SYMPTOMS OF MANAGERIAL DYSFUNCTION • ABILITY TO “STOP” IT WITH THE RIGHT “ANTIDOTE” AND DOSAGE • ABILITY TO “GAGE” THE OVERALL MANAGERIAL HEALTH OF AN ORGANIZATION 4
TABLE OF CONTENTS: A. Why you are at this presentation? B. Importance of Good Management C. Most Common Symptoms or Effects of Dysfunctional Management D. Common Cures and Antidotes E. Diagnostic and Prescriptive Tool F. Organizational/Managerial Health Examination G. Deliverables / Take Away H. Sources: Popular Books on Management 5
A. Why you are at this presentation? 1 . I want to know the most common symptoms/signs of dysfunctional managerial behavior; 2. I want to know the most effective ways to correct/fix/antidote/remedy/cure such behavior; and 3. I want to know how to quickly gage the organizational health of a Unit, Section, Division or organization. 6
B. Importance of Good Management Why care so much? (It’s the biggest theft to the bottom-line and viability of an organization): • Poor management leads directly to lower productivity, increased costs and diminished quality which can threaten the health and very existence of an organization. • US companies spend $25 billions a year just on management and leadership training which is twice the amount of annual tuition for all the accredited MBA programs in the USA 7
B. Importance of Good Management (continued) • Hundreds of new books on management released each year • Books sell in the millions • Successful authors achieve “Guru” status • If it was easy everyone would “just do it” and not need any help. 8
B. Importance of Good Management (continued) • “ Everyone wants it, few have it” – Peter Drucker The top best selling books on Management: 1. “One Minute Manager”; sold 13 millions since 1982 by Ken Blanchard 2. “In Search of Excellence”; sold six millions since 1982 by Tom Peters The overall best seller first published in 1936 has a 70-year advantage with 15 millions sold. Its title is “How to Win Friends and Influence People” by Dale Carnegie 9
C. Most Common Symptoms or Effects of Dysfunctional Management (Which came first, the chicken or the egg?) Macro Signs: High turnover Confusion resulting in disjointed, poorly coordinated and failed results Stress resulting in heightened office tension, friction, and conflicts instead of cooperation 10
C. Most Common Symptoms or Effects of Dysfunctional Management (continued) Micro Signs: Missed deadlines Overrun budget Failure on deliverables (unhappy people) 11
C. Most Common Symptoms or Effects of Dysfunctional Management (continued) Flawed actions by Managers: “ Doing” instead of “Delegating” “Criticizing” instead of “Coaching” “Rebuking” or “Dismissing” concerns and new ideas instead of thoughtfully “Responding” to them 12
C. Most Common Symptoms or Effects of Dysfunctional Management (continued) Know the difference between “Poor” management and a “Bad” manager: Easier to change “attributes” than “attitude” Research reveals only 10% of managers are “toxic”, the rest can be developed There are antidotes and even cures for the “worst” managers Most problems are due to a manager’s flawed approach to decision making and supervision which can be fixed! 13
D. Common Cures and Antidotes Common theme to “good” or “effective” management theories, include connecting with employees by facilitating a two-way communication, frequent coordination, ready cooperation, passion, and unstingy praise supported by: • Matching responsibilities with authority • Establishing and enforce priorities • Planning with an outcome in mind • Monitoring measurable performance criteria (if can’t measure, can’t monitor) 14
D. Common Cures and Antidotes (continued) “Tone At the Top” • Define, communicate and model good behavior • Do not ignore “bad” managerial behavior even if it “appears” to get results • Reward “right” managerial behavior even if it “appears” to fall short of getting all desired results 15
D. Common Cures and Antidotes (continued) Borrowing from the adage: “If two heads are better than one, then five heads are better than two: but only if well managed” • Most issues are too complex to rely on a “Top Down” driven decision model • Need a managerial approach that “Percolates” a two way flow of ideas and participation 16
D. Common Cures and Antidotes (continued) • Jointly set clear goals, benchmarks, milestones and ownership • Touch base prior to reaching “a point of no return” • Mentor while managing • Coach while critiquing 17
D. Common Cures and Antidotes (continued) • Ensure that subject matter experts “meaningfully” participate at all critical junctures • Invite the “devils’ advocate” position to “stress test” the approach, plan or decision 18
E. Diagnostic and Prescriptive Tool (Did the MDs steal this tool from the Auditors or vice versa?) Definition of Condition: • Projects are stalled out Symptoms: • Deadlines are missed • Budgets exceeded • Projects are delayed • Upset “customers” • Repeated revisions to budget and deadline Adverse Consequents: • Frustrated “customers” and talented employees will leave/transfer • Critical projects will be left incomplete • Late results will be of little usefulness • Remaining staff will become demoralized • Productivity will decrease Cause: Poor Project Management • Unrealistic timelines • Inadequate staffing • Flawed priorities • Ineffective budgeting • Ineffective monitoring • Vague or ambiguous goals and objectives 19
E. Diagnostic and Prescriptive Tool (continued) Prognoses: • If Management is not immediately replaced or better coached, talented employees will leave and customers will seek alternatives. Additionally, if tolerated and not corrected, this bottlenecks will deny the customer of needed service which can hinder that division from achieving its goals and potentially negatively effect the entire organization. (Think payroll calculations and processing!) Treatment or Cure: Immediate Cure – Shot in the arm • Assignment of a proven manager to take charge either as the replacement or as the lead project manager • Assignment of additional staff and budget as warranted Long-term Cure - Rehabilitation • Assessment of cause and effect and identification of solutions/remedies Implementation of solution such as project management training, provision of closer • supervision, and additional or different staffing 20
F. Managerial Health Examination • Think of organizations as living organism made up of its employees. • Recognize people are negatively impacted by dysfunctional managerial behavior and so too will be the organization. 21
F. Managerial Health Examination (continued) • “Tone at the Top” tangibly promotes or undetermined the health of the employees and consequently the organization. • Dysfunctional managerial behaviors act like viruses that vary in their impact from triggering a 24-hour cold to a life threatening illness. 22
F. Managerial Health Examination (continued) • You can assess the managerial “health” i.e., functionality of any manager, unit, section or organization by assigning a score regarding 10 simple questions. • Scoring/assessing health criteria: Any score at 0 or 1 suggests a Near-Death condition Any score between 1 and 2 equates to a very sickly condition Any score between 2 and 3 equates to an anemic and weaken condition Any score above 3 up to a 4 indicates a very health condition Scores between a 4 and 5 are reflective of a robust and Olympian athlete level of health 23
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