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by Tom

Possibility thinking

Dezember 3, 2011 in Financial Services, Investment Banking, Private Banking, Success Stories

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Usually the lifecycle of new ideas progress through several stages: First it is ridiculed, negated and called impossible. Then it is labeled irrelevant and at last it becomes what everybody knows. When you want to move an idea from the first to the last stage you have to employ possibility thinking. The bestselling author Milan Kundera found his own metaphor for the fact that as leaders we have to think, listen, speak and act differently than when we manage. He wrote: “When the heart speaks, the mind finds it indecent to object.”

So as we have started with our own thinking and learned about the possibility to break free from our inner box by reflecting on our own worldviews, we now have to move to the second most important lesson in leadership – on how to listen. Most of the times we don’t pay special attention to the way we listen. It is something intuitive and we do it so regularly that almost everyone considers himself a good listener. But most of the time we are listening in one of two modes.

  • When we are in evaluative listening mode we are trying to find the flaw in whatever out communication counterpart is saying. We constantly check what is said with what we know ourselves and are quite ready to intervene or at least, in a more polite manner, mentally note down the flaws and counter arguments for later use.
  • The second regular listening mode is when we listen for action. Here we constantly ask ourselves how what is said will or might impact ourselves. Often political conversation within companies is full of evaluative and action screening listening.
  • The third and rarely applied mode of listening is how leaders try to listen: In a constant state of active mutual support.

When we listen for possibilities we are trying to support what is said by our own stories and experience. And even if we are skeptical of what is said we try to think about the possibility and what experiences could indeed make that possibility a reality. When you are in that mode of listening, you are constantly trying to speak for someone or for something.

And indeed it is a great daily exercise for every aspiring leader to pick one person in your professional environment and actively speak for him or her in front of other people. You will find that it is very unusual at first and depending on the level of leadership culture that prevails in your company it might even trigger some cynical comments. Do it anyways and make it a habit and you will find how this practice starts to change the way your communication flows. Because leadership indeed occurs in conversations it is very much about which stories are people telling about you whenever you are not there. Hence another definition of leadership is to leave your environment saturated with positive stories. With every story you can choose to manifest ones worldviews or to alter them.

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by Tom

Management vs. Leadership

November 21, 2011 in Financial Services, Investment Banking, Private Banking, Success Stories

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First of all you have to be aware, that management and leadership are not mutually exclusive but instead management is the foundation of discipline and rules and values that leadership is built upon. You cannot become a great leader without the proper respect of just what it takes to formally run a company, achieve commercial objectives or organize a work force effectively. But in turn to excel in all of these areas does not inspire a vision or nurture creativity – to do that, you will need leadership.

And while management skills should not be eliminated or neglected they can be counter intuitive to developing your leadership skills. Trained and conditioned to rely on knowledge and facts and to measure progress with hard numbers we are often caught on our wrong foot when dealing with people. Leadership on the other hand needs to work with values and world-views, terms that will sound fuzzy and hard to grasp and rarely can be measured in hard facts. And while motivation can be an indicative gauge to judge the effects of a leader’s actions it is not the purpose of leadership to motivate staff. Rather can successful leadership instill a sense of purpose and direction that helps your staff to tackle their work motivated and with an inner drive. As a direct definition you could derive that leadership is about altering what others think that is appropriate and possible.

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by Tom

Do you like crowds – you may learn to yet…

Oktober 7, 2011 in Success Stories

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After crowd-sourcing has been a very much hyped concept for years the idea gets more and more down-to-earth use-case. Besides the ever cited crowd-funding and crowd-innovation platforms a small team hosted at The Hub Zurich has come forward with yet another cool spin: Crowd-Logistics

Just think about turning your daily commute into a vibrant piece of a (more) sustainable supply chain and at the same time generating some pocket money on top. If that sounds like a sensible and brilliant idea – it does to me – we could see the next AirBnB in this thrilling new start-up. For more details check out PolyPort directly.

I certainly have signed-up for my commute. And what’s next – we still believe in crowd-banking and in crowd-analytics. Let’s go and put it into action….

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by Tom

Should IT be involved at all?

November 6, 2009 in Financial Services, Tales of Tools

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In his recent post about the alignment of Business & IT senior Informatica Perspective blogger John Schmidt asks the rethorical question whether Business (as a role or organization) needs to be involved in IT decision making & implementation of IT projects. It’s a very worthwhile piece asking the right questions and defending an obvious yet somewhat outdated point of view…

The real question in terms of data integration, business intelligence and making smart use of existing information assets is: Does IT still need to be involved?

And that is not a rethorical question at all! Many of Informatica’s competitors in the integration and BI space actually have started to put that blunt thesis to the test. Why can’t we look at IT as the enabler and catalyst but turn over the execution into the same hands that are held accountable for a company’s success or failure?

Pampering Business

Pampering Business

“Their time’s too valueable”, some say – my answer would be that there is no time saved when you have to iterate your requirements n times, specify them to the n-th degree and find out in testing, that they are only partially met.

“They don’t have the skills”, others counter – that is true if you have to be a J2EE crack to integrate or know cryptic and proprietory languages in order to produce your reports and business intelligence solutions.

“They can’t architect on a strategic level”, comes at last – and that might be the fact closest to the truth, however how many long-term application & business architecture masterpieces have you seen drafted, implemented and survive. Even in the best of my experiences these success stories have been overthrown by fundamental changes in the business model or by economic upheavel just as often as not.

For both the IT as well as the business decision makers this paradigm shift holds a lot of promise:

  • Being involved one level deeper into the concrete implementations Business needs to think
    and IT needs to develop solutions on a more generic (and thus more strategic) baseline
  • IT can become a catalyst and focus its time and energy on truely game-changing innovations
  • Business can be empowered to change the rules in their business game very fast and flexible
  • Both parties can share their burden in the maintenance and pampering of existing solutions
  • The run-the-boat versus change-the-boat ratio will improve

Are there examples out there that did just that, you might ask. Yes, there are – I know at least a few in the integration and business intelligence space.If you know some as well, be as kind as to share them with us.

So be brave enough, whether IT or Business stakeholder and hold out that paradigm to say – IT does not need to be involved.

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by Tom

Measure your Measures

Juli 8, 2009 in Active Business Intelligence, Financial Services, Help Wanted

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Are you working in an efficient or an effective organization? Or even both? And how do you measure where your BI delivery unit ranges on a maturity scale of those two attributes.

I’ve spoken to a range of experts from both the consulting end or company end of BI delivery. Here’s a brief account on their take of these questions:

a) Efficiency or Effectiveness

While many state-of-play controlling and performance measurement frameworks claim their grasp on efficiency very few seem to have tried to tackle effectiveness. One of the few approaches put into practice is trying to compare the effectiveness of different projects from all functions of a large Financial Services firm. Here the top 500 projects – whether IT, marketing, HR or accounting related – where put to the effectiveness test. A dedicated effectiveness business case template was developped converging existing financial and qualitative metrics into a common grid. Just this baselining effort skinned out a staggering number of 40 projects that were discarded as non-strategic. Out of the rest the anticipated change budget was alloted across the functions dependent on the projects decreasing effectiveness measure. After 18 months of following this practice the Organization in question increased their effectiveness by 40% – instead of just lowering their cost they were able to use their staff according to current priorities and available skills.

b) Specialized vs. Generalized

The second religious battle one can find in almost any BI competency center is whether it is favourable to have few generalized reports & dashboards understood by the majority of the people or to have dedicated detailed reports and dashboards catering to all the specific questions of the experts. Our approach is to grow from the generic to the specialized and not to tackle these different levels of complexity at once. While you can use the broader, mostly Top down driven Big Picture View to generate and firm up senior sponsorship and involvement it is hard to play the game bottom-up. The usual exception is if you can cater to a broad and important circle of experts – say the client advisors and relationship managers at a private bank. But even these guys these days need to have a broad and holistic picture of their clients, their client’s portfolio, the product and service offering en vogue and the current risk appetite of their organization. So as a generic rule of thumb I would suggest a broad yet powerful audience with a good grasp of the entire organization is a fair bet.

c) Active vs. Passive

BI tradinionalists would rate this one academic but to me it’s the make or break of successful BI solutions. If your report, dashboard or interactive analysis tool is nothing more than a tool showing off glitzy charts and color coded tables, chances are that it will not have a big impact on your organization. So if you really want to see your cause to have an effect you should think about process and feedback. Process embedding is a sure and proven way to integrate reporting checkpoints along the ways business moves. Even more powerful though harder to implement are self contained or self propelling feedback loops that enable an organization to reflect about itself. Think about a client advisor that actively analyses her client book to hunt for new opportunities and actions within – and even records them while analyzing. Think of the team head that structures her feedback sessions based on facts analyzed from the portfolio of her advisor’s client books. Think about the advisor peer that has seen and knows it all but has an additional (financial or appreciative) incentive to share her tactics with her peers.

So if you now sit back and take stock it seems quite easy to take a qualitative verdict on your measurement framework. Not so easy still to measure its effectiveness. One line of thought we are assessing for one client may be promising: Just the experienced investor does with stock picks – decide the quantitative hurdle for each KPI before it’s launched. Review after 3 and 6 month and discard it if it hasn’t made a difference. Go ahead – you make the difference.

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