Originally published in the June 2003 Issue of Link & Learn.

Years ago, while working my way through college, I drove an old, beat up Volvo that couldn't seem to get out of its own way. It would pop and sputter when driving up steep hills or accelerating. I decided to have it checked out by the local garage. After a diagnostic, the mechanic presented me with the grim news, "The problem with your car is that it's running on only two cylinders (out of four) which essentially means you're running at about one-half the power." He went on to say, "This puts an extra burden on other parts of the engine and reduces fuel efficiency as well. But with a little work, I can have it firing on all four cylinders in no time." Sure enough (and for a small fortune) my Volvo ran like brand new. I was amazed at the boost in power and efficiency. The memory of this experience struck me as a great metaphor for what often happens to organizations when implementing business process improvement - they run on "half power" due to poor execution.

Many companies use business process improvement as a means for reducing costs and increasing revenue during tough economical times. Whether through Six Sigma or total quality improvement, these efforts usually lead to a combination of improvements in "hardware," i.e. process, systems, structure, and technology. But many companies overlook the impact of such changes on the "software," i.e. people, culture, values, attitudes, and beliefs. As a result, organizations are not enjoying the full benefits and rewards of their efforts. For optimum success, management needs to play an active role in assessing and managing the total organizational impact of business process improvement.

First, the Good News

Overall, U.S. companies are currently much better equipped to address productivity issues than they were a decade ago. This is primarily due to the total quality management (TQM) craze of the 1980's and '90's, and advances in technology. During this period, companies invested heavily in quality training ranging from awareness to sophisticated problem-solving methodologies and tools. Motorola actually created a Corporate University focused on quality and continuous learning. Under the auspices of Six Sigma, quality became a way of life for them. Other companies like GE and Allied Signal jumped on the Six Sigma bandwagon, ultimately raising awareness as well as establishing new standards of organizational excellence. Before long, thousands of employees in hundreds of companies had been trained and were unleashed to improve quality on a project-by-project basis. Many employees achieved Six Sigma "blackbelt" status which is earned through intensive training and practical, results-based experience.

The gains in technology have enabled companies to, among other things, reduce or eliminate defects caused by human error - yes it's true, the more we humans "touch" the process and/or product, the greater the likelihood for a mistake to occur.

Now, the "Not-so-Good" News

Unfortunately, most companies have not reaped the full benefits of their improvement efforts. This is because they have focused on the hardware and neglected the software. To illustrate, I recently received a plea for help by the taskforce of a Fortune 100 manufacturer of specialty chemicals. They had been charged with creating a Quality Management System for their division. They spent months working on the "hardware" which included the identification and process mapping of critical work processes, and the development of standard operating procedures and policies. Their hard work and diligence produced an extraordinary work of art. But the unveiling of their masterpiece was met with the equivalent of boo's and hisses. The culture (software) rejected the new and improved Quality Management System - which is why the taskforce called me in.

Upon my arrival, their leader sat me down in his office and with the look of a wounded puppy, he waved the Quality Manual at me and said, "all this great work - all for nothing; they won't follow the procedures." To make a long and painful story mercifully short, in their zeal for improvement and efficiency, they neglected to consider the attitudes, thoughts, and opinions of the people working in the system. Consequently, this resulted in:

- Frustration
- Anger
- Confusion
- Stubbornness
- Lower productivity

Their well-intentioned effort had backfired. The culture did not want to be forced to adopt standards that (in their minds) made no sense. They resented the fact that they were not consulted first.

The Solution (Back to the Good News!)

Before implementing specific business process improvement solutions, I recommend that you assess organizational readiness and manage the human experience of change. Here's a brief look at both.

1) Assess Organizational Readiness

This thing we call "organization" has four component parts: 1) work (what a company does); 2) people; 3) formal processes; and 4) culture. These parts are interdependent - any change that occurs in one component impacts another. Therefore, any change in the "formal process" requires that we assess the impact on the other areas. With regards to implementing business process improvement in the context of the entire organization, here's a sample of some of the kinds of questions we should be asking:

- Who will be impacted?
- How will they be impacted?
- Will this change the requirements for the job (e.g. knowledge, skills, competencies, experience)?
- Will this change the way we recruit, select, and develop our people?
- Will this impact our performance management system? If so, how?
- Should we rethink how we organize, group, and compensate our people?
- How will the culture be impacted?
- Is the change congruent with the culture?
- How will our customers feel about the change?
- Is the change consistent with our vision, mission, and values?

Finding answers to these questions through informal and formal dialogue will take time but will be well worth the investment if you're looking to avoid problems downstream.

2) Manage the Human Experience of Change

It's important to understand and manage the human response to changes in the workplace. We are biological beings -- we have our own sense of rhythm and timing. Although our technological advances (occurring in a relatively short time-span) have been quite impressive, our ability to absorb and process the associated change has not kept pace. This means we need to take the time and care to include the members of the culture in the development and implementation of business process improvement. We need to be sensitive to their concerns and open to their suggestions. There's a great saying that comes to mind that underscores the need to involve people! "No one knows more about the 25 square feet of space they work in than the person working in it."

So before you or a member of your organization races off to implement a business process improvement, be sure to assess and manage the change. In doing so you'll be "firing on all cylinders" and running at maximum performance!

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