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Performance Leadership Institute

Hu Centered Organizational Effectiveness - Informed Leadership

12/4/2020

 
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I remember discussing applying Hu centered organizational effectiveness with a Frac crew a few years ago. When I started the discussion, I was met with two distinct responses. The first was, "I don't know how this will help, this is the oil patch, s**t happens!" The second was, "I don't know if this will work. Our bosses have never given us much of a say on things." The first response was really a reflection of the lack of understanding and training concerning how much things could be improved. The second response was an expression of the idea that they would like to have input but had never had the chance to provide it before, and they were doubtful that would change. 

Been there, done that

This discussion is one that I have had many times, across many industries. This crew was not unique in terms of the conversation we were having. They had seen programs come and go, and as with most staff in organizations, they were looking to take their cue from their leaders. If they saw leadership embrace this, then they were willing to at least try. The way I have seen this translate time and time again is the front line operations take their cues from their supervisors, and the operations supervisors take their cue from area management, and area management takes their cue from corporate. 

Keeping it simple

Here is where the challenge is almost immediate. Messaging from corporate leadership has to be simple, focused, and consistent. The more detailed process-intensive things are at the top, the more likely that adoption will be limited. Think of it this way; with a new program, every new step or process introduced from upper leadership is one more potential speed-bump to implementation. The messaging should be short and be presented in the form of a question or two, at each management and operations meeting. Are we doing ..... well? How do we know?

Everyone owns it

Your leaders from corporate right down to operations need to be on the same page about the approach so that as your new organizational effectiveness culture starts to percolate, they will recognize it and encourage it. That is to say that everyone in the organization needs to be on board and be visible. Not only showing support but demonstrating a level of understanding. Remember that while the rubber meets the pavement in operations, everyone is taking cues from up the line. Because organizational effectiveness can and ought to be applied throughout a company, every leader should be trained and conversant with how to use it. 

Back to our Frac crew

How important is this? Let's return to my Frac crew from the start of this discussion. When I started with them, they were achieving in the low 50% range for efficiency. (As measured by the percentage of time pumping while in control of the well.) To be clear, this was not low and, by all accounts, was the industry norm. By training front-line leaders and crews in how to set their own metrics, establish their own opportunities lists and follow up on them, they brought their efficiency into the low 90% range in under a year! Not only that, but they started to have months where they would run weeks in a row with 100% efficiency and no downtime. In its early stages, this is a fragile thing, and it does not take much to knock the wheels off it. If leadership up the line is not acknowledging and driving this kind of performance, it won't take. The fastest killer of continuous improvement is to ignore the wins.

Feedback is key

I witness high sensitivity to feedback or lack of it from leadership, and a positive word rightly used goes a long way in reinforcing a continuous improvement culture. This is why a simple training program for leadership at all levels is vital to ensuring the success of your efforts at organizational effectiveness. Your leaders need to be equipped to understand and recognize the culture you are looking to implement and be able, as a team, to drive increased performance. As the saying goes, "Until you are all singing from the same songbook, you are not making music, just making noise!" Hu centered leadership - think about it.

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