Agility
Management
“Before accepting the position of CEO of this company, I conducted a thorough investigation into how the management functioned as a whole. The results of my research show that the enterprise agility of this company has been hampered by bureaucracy due to a lack of business agility. From now on, we must purge the bureaucratic mentality and replace it with a fresh perspective that allows people to change course and respond swiftly without being mired in bureaucratic complacency. Business agility is what normalizes positive, continuous change. In order to make sure that leaders pay attention to their teams and empathetically address their needs, we need to hold regular feedback sessions, meetings, and communication channels”.
In our organization,
the new Agility Management System (AMS) was implemented in this manner. I oversee production for a biscuit firm that
has marketing offices spread throughout India.
I hold a diploma in biscuit production and a master's degree in
mechanical engineering. Since I always
ensure that the factory workers are satisfied and well-paid, production has
never been halted for outside reasons.
The office is undoubtedly run similarly to how all offices ought to be
run. The market for our biscuits is
enormous, and we rank second in biscuit production behind a global brand.
Following certain
conflicts with the director board, a new CEO took over as leader. He was a relatively young man who had
attended numerous business institutions and received multiple management
degrees. I summarised his statements at the beginning when he addressed the
company's management board, which I also attended.
The new CEO was a
highly engaged individual. At least once a week, he stressed, that he wanted to
meet with the production and administrative staff at least once a week.
Additionally, he issued a circular to the factory workers union office stating
that he would like to meet with production heads and the senior workers
also on the first of every month. The manufacturing workers were ecstatic
because no CEO had ever taken the time to greet them or ask how they were
doing. The only person they could come to with complaints was me, and I took
care of their issues right away.
Every
employee in the office was wearing a badge with a smiling emoji and the
words "I AM AGILE"
“To
create an agile environment, compatibility and camaraderie in any working
environment, even the work dress should be similar or nearly similar to that of
the hierarchically challenged employee.
In an agile organisation, employees must be encouraged to think like and
empowered to innovate in their sphere of influence that will help teams become
more agile and flexible”.
"What
is business agility?" was the subject of the inaugural agility meeting. It
was interesting to observe the CEO-led weekly agility meeting. I was unfamiliar
with the business lingo employed by the CEO during the discussion. Before I met
our HR manager a few days later, I had no idea what business agility jargon
like "OKR" (Objectives and Key Results), "TCS" (Transparent
Company Strategy), and customer-centricity, "failing fast,"
"Pivot" machine learning, disruptive technologies, "vertical
distance," top-down, bottom-up, internal triggers, external triggers, and
countless others meant. The CEO offered advice on how to apply agility
management in our company by encouraging teams to modify their processes
and inviting feedback from competitors, co-workers, and other stakeholders by
moving away from the conventional management system.
Our
chief engineer objected to admitting competitors into our manufacturing
operations to foster an agile environment and provide chances for
everyone a peek at our production process. He told the CEO that our superior biscuit
quality is the reason why we are still positioned second in the nation. We
would jeopardize our stability and risk losing all of our production secrets if
we allowed our rivals to tour our factories.
After giving it some thought, the CEO hesitantly stated:
"You could be correct. Regarding your usage of the word "stability," I disagree. Stability is no longer the key to sustainable success. Our company has to shed its bureaucratic shell and evolve new behaviors and characteristics to match the Post-Covid world much like an organism would to survive and prosper. It was evident that he did not like the objection raised by the chief engineer to show ‘Business agility’ towards our competitors.´
The CEO’s agility
business meeting was discussed (some even criticized him!) by the office and
factory workforce. One HR employee even
thought that our rivals were sending spies to steal our production secrets for
biscuits and that the new CEO was one of them.
The "paradigm shift" (I picked up this term from our CEO!) in
the language used in office and industrial communications shocked me. The agile team was enthusiastic about
incorporating customer-centricity, disruptive technology, and "vertical distance"
into their speech and communications, as well as short forms like
"OKR" and "TCS."
The subject for the
second week was how to change a company from a typical, hierarchical one to an
agile one. In keeping with the CEO's
remarks, the office staff wore T-shirts and jeans or tracker pants. The
individuals working in the production unit, such as myself, and the chosen
machine operators, came with stains from oil and grease on their work
clothes. The Chief Executive Officer
expressed gratitude for our attire and remained silent regarding the office
personnel's attire. "How to incorporate business agility in a
workplace" was the theme for the third week. The CEO inquired if
we had any thoughts on the matter. I got up and emphasized that everyone in our
factory understands their roles, goals, and duties, and work as in a family to
achieve our goals.
The HR manager went one
step further and stated that all of the top-performing businesses followed the
strategy of keeping both office and factory staff content in order to achieve
goals. Those that neglected to provide for the welfare of their employees paid
a high price and were excluded from the market. This is a universal fact, and
by positioning the word "business agility" as a post-covid corporate
innovation, younger company executives are attempting to "reinvent the
wheel." He didn't stop there; he went on to say that the new generation of
corporate executives utilized a lot of phrasal verbs and introduced plenty
of jargon when explaining it. Additionally, since a large number of them
were IT professionals, they employed hard jargon from the IT industry,
such as artificial intelligence, agile software, and machine learning”.
The CEO flushed a
little, but he quickly got over it and asked the HR manager:
“Alright. Could you
please reveal your educational background? Would you please?”
“"Master's in
Management of Business from IIT Chennai. 1990 was the year”. The HR
manager said.
“The news that you are
an IIT fellow pleases me. The business management concepts that you acquired
twenty-four years ago are either out of date or inflexible in the current
context. You are still at a time when the management systems held the view that
there was a "pyramidal system," with the top executives at the top
and the rest of the workforce at the base. However, when "agility
management" is used, the pyramid is flipped such that frontline executives
are at the base and the working class at large is at the top” The CEO tried his
best to make his argument stronger.
Conventional Management Agility Management
The CEO went on to say,
"Frontline executives should strive to learn from frontline employees when
it comes to learning." It creates a culture of communication where the
main objective is to discuss with the frontline staff to find an
effective solution to a challenging problem. Organizations that adopt an agile
mind-set unify their workers with the same goal and vision. The company's plan
should be known to and ideally understood by every employee. They must
understand the company's priorities and recognize their part in realizing the
enterprise's objectives. Agility
coaches need to remember that at times such steps might end up in failure. However, there are rewards even
in these "failures." Agile coaches need to make sure that when
an employee initiative doesn't work out, the employees use the lessons
learned from it and make all of their subsequent attempts successful”.
At this point, the
Workers Party's socialist trade union leader winked at me and held up his hand
to address the CEO.
Fantastic. In this particular meeting, a frontline staff member has voiced his desire to speak out! I see it as an indication that our business is emerging from the shackles of antiquated and traditional organizational management. Our business is already TOTALLY ‘AGILED’." Exclaimed the CEO.
"You have to forgive me for saying this in a meeting like this," the trade union leader uttered. For years, the senior management has maintained that we are the foundation and pillars of the organization. You now say that you are all at the base of a triangle, and we are at the top. Since I can't see the triangle we are sitting on, I'm unsure what triangle you mean when you say this! What we get for our work a month is not even one-tenth of what the senior engineers and officers get . Then you said something like ÁgilityManagement'. We have enough of "Agility" here and what we now need is a wage revision".
The CEO looked
surprised when he realized that bringing the representative of the union to his
"Agility Workshop" had been a mistake. (Incidentally, I saw that the
"frontline force" wasn't offered an invitation to join the
"Agility Workshop" thereafter!) At that point, a 'Brief Agility
Break' flashed on the screen. We will get together in thirty minutes. Looking
at the union representative, the CEO smiled and said:
“Yes. However,
following a "brainstorming" session with the director board, I shall
report you.
Rumours spread amongst the "bottom line" employees, who the CEO
referred to as "Apex employees," saying that the CEO's secretary had
announced the break to spare him from this embarrassing situation”!
The CEO methodically
planned these "Agility Workshops" for a whole year, and he didn't
miss a chance to declare that the next year's net profit was going to triple
that of the year previous. We soon received word of the balance statements and
got an express invitation for an “Agility effectiveness analysis meeting."
With a big smile, the CEO greeted us and said:
"Today I wish to announce our milestone of achievement after the
introduction of "Agility Management."
The CEO continued to
describe the advancements as though they had all been made possible by his introduction
of "Agility Management" after the balance sheet had shown up on the
screen page. Eventually, the profit and loss statement appeared. He had
surrounded the Net profit column in a circle. With his finger still firmly on
the net profit, he declared triumphantly that it had increased by 25% above the
previous year.
"We have an annual growth rate of about twenty to twenty percent",
the chief accounting manager who was sitting next to me whispered. But he was
reluctant to disclose anything ahead.
After a few weeks,
the corporation convened its annual director board meeting.
A new CEO took control of the organization soon after the meeting, and I
received an invitation to attend a workshop on the "Target Oriented
Skill Development Programme"!