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Middle Mangers and their many challenges, are the focus of this newsletter. In the previous newsletter, we focused on Four Star Construction and their successful approach to major changes, including a second acquisition and a new president. At the end of the year, Four Star had increased their sales 50%, with improved profit margins. This fourth quarter, a combination of senior and middle managers worked together and turned a failed mechanical project into a success.
The Fourth Quarter Goals for Four Star Construction:
- Develop the 24 Middle Managers as a team with an identity of their own.
- Improve large-scale mechanical projects.
- Improve client communications at the middle manager or operations level.
- Plan a two-day orientation-to-teams session designed for and by Middle Managers
The middle managers in the organization made up a wide range of skill, from those new to their positions, to those with many years of experience. One manager 's thinking and performance was senior level and there were issues about his need for a promotion.
How does a group that has never operated as a group begin to work together to make a contribution as middle managers? Each person does their job well, but as a group they have no identityÉmeaning no self-directed activities that they initiate at the project level. With this action-oriented group, we searched for significant projects, one that would demonstrate their special value as middle managers, but would not be complicated.
MM's Building an Identity through Information
The Middle Mangers worked together to identify issues that were important to them, with communication being number one. After the failure of the mechanical project, they developed and sent out flyers to employees emphasizing the strengths of the company and how to respond to critics. This effort was well received by employees. The flyer provided info to the employees about the strengths of the company and described the developing role of middle managers.
MM's invited Clients to a Planning Meeting
Their second effort was to invite clients to a planning meeting sponsored by the middle mangers. Although some managers interacted on a regular basis with clients, most did not and there were some anxieties about this experience The group(25 participants) planned the client session well.
One of the managers gave a brief presentation of the company 's transition, its present concerns and asking for input from the clients. The clients were very receptive and needed an opportunity to have discussions beyond their day-to-day activities as well. Twenty middle managers and fifteen clients attended the session. The middle managers were very effective representatives of the company in this session. The MM's participated fully and answered questions positively. The clients were very eager for the meeting, participated fully and would have liked a longer session.
Behind the scenes in planning for the initial project as well as the project with clients, there was a great deal of turmoil within the MM ranks. A great deal of stress was expressed about everything from personal pressures to the upcoming meeting to the overall performance of the company. One manager was particularly negative and undermining of the group's activities.
MM's feel the enormous pressures of carrying out the operations of the company, but stress takes its toll. Research continually shows that MM's are under much more stress than senior managers. Hindsight tells me, the consultant, two things. The MM's needed more support and I should have included other consultants to provide support through small group discussions and some short term coaching. We were all out on a limb, so to speak. The President supported the development of the MM's and so did a couple of senior executives. Though we accomplished our goals, the vision was still too short term.
Two Day Team Session Designed by and for Middle Managers
Their third effort was to prepare for the fourth quarter team session. The middle managers divided the participants into teams, three of which were focused on improving large-scale mechanical projects and three focused on the customer. This two-day team session utilized Flying Starship simulation the first day. This provided an opportunity for people to experience the difference between the traditional workplace and the team oriented work place. It provided a common basis of experience and language for discussing a team approach for the second day sessions, which again focused on Large Scale Mechanical Projects and Building Relationships with Customers.
Those focused on the improvement of large-scale mechanical projects, gathered process information from the point of sale through to the completion of the project. Each superintendent contributed an outline of his process. This information was sent to all participants to review before the team session. During the session, three teams worked individually and then together to define a final agreed upon process.
Those focusing on the customer experienced more ambivalence both about the process and their relationship with clients. Although the middle managers were successful in their communications with clients, the issues needed more dialogue and thinking through of the issues.
How does This Story End?
The Senior Executives turned the failing project around from 1.5 million dollars loss to a gain of $600,000. They changed project managers and superintendents, and most importantly added additional safety personnel to the project. Overall employees were reduced from 300 to 200, which insured a higher skilled group, and zero recordables on safety,
The senior executives, with confidence and within the context of a good relationship with the client, convinced the client to reduce personnel, rather than increase personnel. The client wanted to increase personnel to 400 to finish the project.. Employees were given time off, rather than overworking people and rushing to finish the job. The client responded positively to the changes. The project grew three times bigger than the original bid.
There has been no follow up for the Middle Managers project and the original goal, to develop middle managers, has slowly eluded the organization. Although MM's did well that first quarter, there would need continued thinking, leadership, and implementation for a new culture to take hold.
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