Does each organization have to find its own way to hyper-performance?

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#1

Considering all the differences between each organization and their cultures, does it mean that the solution they will embrace to become hyper-performing is going to be different?


#2

Definitively no two companies that are hyper-performing are the same. Though, be careful to generalize about becoming hyper-performing, precisely because of the anchorage to cultural backgrounds.

Some organizations — actually the majority of them — are simply not in a position to ever become hyper-performing. If someone in a company has this idea that “Oh, we have to become hyper-performing,” then the first thing they should strive to understand is whether or not the substrate is there, if the preconditions are there.

The earlier example regarding the choice about which product to sell showed how you would hear different replies just by asking different people, is an archetypal example of this. It is archetypal because it relates to the ingrained habit of using cost-accounting for making management decisions. This happens in the vast majority of companies; which means that the vast majority of companies will not be there. They will not have the possibility to develop Unity of Purpose; and that possibility is a precondition to be able to pursue hyper-performance. So unless such companies are able to change the way they make management decisions, they will be missing essential preconditions. And this example of cost-based accounting is just one of many other symptoms that reveal the absence of necessary preconditions; there are many more.

The major hindrance to becoming a hyper-performing organization is not in the processes, methods and practices that you might have at the front line.

The major impediment is invariably one of thinking at the managerial level.

The top manager, the CEO or the managing director, is the first person who should understand how his or her way of thinking and of making decisions deeply affects the performance of the entire business; and that same person must be humble enough to realize if that way of thinking is an impediment or not to start this journey towards hyper-performance.


Transcribed and adapted from the SPaMCast #258 podcast.