Sunday, August 31, 2008

Opinion: The Organization DNA!


The market is evoliving fast, and it is important for organzation to build a cultural value that can cope with the changes in the market in order to remain competitive. These set of values are the DNA of an organization that form the organization behaviour.

Keywords: Organization DNA, Organization Behavior

Organization DNA

Organization DNA is your identity, and it tells who you really are. It is a set of value that should penetrate every aspect of the organization, and it is also difficult to replicate. Organization DNA can create a consistent behavior among the employees working under the same roof, and no employees would think otherwise. It ensures all employees are marching towards the same direction. There are 8 DNA values which I find quite interesting, and is important for organization, especially those operating in a fast moving environment, where speed does matter.

DNA ONE: Change is value

Organization will soon be ossified if they do not see ‘change’ as part of organization value. Environment is fast-changing and it is almost impossible to tell the speed of change. It is then important for organization to cultivate the value for change so that organization development is keeping up with the changes in the environment.

The value for change also helps in developing human resource in an organization. Employees that value for change are more receptive to new ideas or critique. There is almost zero resistance to change. Changes can be made in operational, as well as the correctional of attitude of the employees. In summary, Value for changes is important to develop an organization behavior.

DNA TWO: Self-Retrospect

Organization must ‘back to the future’; by constantly look to the past to form the learning curve. A learning organization builds their learning curve through consistent exploration of the future potential, as well as, learning from the past success and failure. Without looking back, organization tends to repeat the similar mistake, and it is costly for organization.

DNA THREE: Everything is caused by own-self

It is difficult for an organization to devise a perfect rule and policy to monitor workforce. An organization should believe the importance of self-monitoring, and take a differentiated measure through which, to educate the employees of the proper organizational value.

Organization’s workforce is like a series of connected link that forms a chain that binds each other. A chain is fallen apart when one of its connector (i.e. Department, Personnel) is corrupted, and broken. No perfect policy can help to monitor every single connector.

When a connector signals its deviation, the connector next to it should react to pull ‘it’ back. The failure of a team resembles a defective connector, the connectors next to the defective one is responsible to rehabilitate the defect. Success or Failure of one team is the responsibility of all others teams. Each team should look back, and ask, ‘what did I do wrong?’

Organization should focus building this attitude among employees; such value can have a multiplier effect for an organization. It drives self-improvement, and self- development; at the same time creating harmonious working relationship in an organization because it eliminates ‘finger-pointing’ culture.

DNA FOUR: Consumer is always No.1

Consumer is end-users and organization exists because of consumers. Hence, to succeed, organization must always anticipate consumer needs and must exceed consumer expectation.

It also drives the organization to think about consumers from every perspective. Marketing direction and execution techniques may not be the sole reason for failure of a new product; sometimes, it is about consumer needs. Of course, organization needs to analyze every perspective to investigate the reason of failure.

By thinking about consumer, organization will always ask, ‘Is my product meet consumer need?’ ‘Did consumer understand what the product is for them?’ This mindset keep consumer in the mind of organization.

DNA FIVE: Learn from No.1 to be No.1

Organization always wants to be different from competitors, but differentiation may sometimes give less effectiveness; moreover, differentiation comes with risk. Perhaps organization should take a step backwards, and think.

Sometimes the easiest way to compete is as simple as benchmarking the credible competitors. Every competitor has its unique strength an organization can learn from. Moreover, Idea is much easier to devise, and it is much practical, and not just an “art” of differentiation.

DNA SIX: Understanding your partner

Organization partners mean suppliers, retailers, agency or subsidiaries. Partnership can bring strategic implication to an organization. Organization should understand the strength of their partner where leveraging is possible, and weaknesses of their partner where improvement should made. There are times when weakness of partners can cost organizations a great deal. For instance, the No.1 distributor in Malaysia has the widest coverage in term of distribution point - as much as 70% in total Malaysia. Leveraging on their widest distribution network allows company to market product speedily. Unfortunately, one of their weaknesses is the uncertainty in stock delivery; it takes them from 5 days to 14 days to deliver the stock to customer site, although they promise 3 days delivery. The uncertainty in stock delivery days can be costly to organization.

DNA SEVEN: Speedy action is value

Speed is a “must-have” in an organization; the challenge in this milieu is to have an organization structure that synergy with market dynamic. As organization grows, restructuring is inevitable; increasing headcount is another issue, thus organization will need a system that automated itself. When a structure is deem automated, it involves additional departments and reporting line, and these, will tamper with the speed of an organization to response to market activity.

The environment has already changed; ‘big fish eats small fish’ theory is no longer valid, it is about the “faster eating the slowest” now. Taking Microsoft as an example, Microsoft is a giant organization, but if a group of smart people in a garage can create something news to the market, and perform faster and better than Microsoft. They can kill Microsoft.

DNA EIGHT: Always report bad news first

Bad news and good news carry different dynamism to organization, and it requires a balance of both. Bad news gives organization a sense of urgency; because it can be lethal to organization if not deal with properly. Some organization also considered “bad news” as a de-motivation molecule. In addition, it is also normal fort people to get carried away by good new. To deal with it, manager is advised to report bad news first, and name the solution; while good news is not lethal and can afford to be de-prioritized.

Organization also needs to understand that ‘no news mean bad news’; the environment is ever-changing, and organization is trying hard to keep up their pace with the change. Anything that deals with ‘change’ in an organization will be affected because ‘change’ comes with impact. We often heard, ‘market is quiet’, ‘No news for our brand’, ‘no news from market’, and so on…when someone claim ‘no news’, it means ‘they have not looked enough’ because nothing is ‘standing-still’ in our environment, and can not be ‘no news’; no news can be ‘dangerous’, could that mean competitors are all quietly prep for another ‘attack’?

Download Pdf: Organization DNA!

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