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Happiness, Resilience, Leadership, Entrepreneurship and a Better Future for the SA Economy

July 19, 2013/in Blog, Happiness, News

Happiness at work is not a flaky “happy clappy – happy hippy” new religion. Neither is it an invitation to an elaborate game of hooky.

For entrepreneur, Ricardo Semler it is very simple. The repetition, boredom and aggravation that too many people accept as an inherent part of working can be replaced with joy, inspiration and freedom. And the bottom line results are evident. They are very rigorous about the numbers and by applying his unconventional participatory model, Semco was rescued from bankruptcy. Despite tough economic times in Brazil, Semco has enjoyed 27% growth for the past 25 years, each year. Making money has been a very nice by-product of a business that is very much on track.

It is estimated that South African productivity has hit a 46 year low. A few days ago Leadership Intelligence Bulletin (www.leadershiponline.co.za) published their weekly newsletter.

What was evident was the excruciating intensity of the difficulties facing executives today.

Headline 1: Labour unrest to impact elections

Headline 2: World economy prospects subdued

Headline 3: Government union relationship under scrutiny

Headline 4: Diversification and human capital crucial – SA Economy may miss targets….

“SA continues to face the triple challenge of chronic high unemployment, poverty and inequality”

Back in 2011, Tom Peters said, “The future for the South African Economy is reliant on enough entrepreneurs getting out of bed excited to start a new business or build the one they already have.”

Right now, more than ever before, the future of the South African economy is reliant on business and government leaders wanting to get out of bed with excitement to create success. At a time when employee morale could be at an all-time low and businesses need to optimise and leverage their assets, the rising cost of misery for our organisations is a strategic priority. happiness@work is a hard core approach if you believe you need people and excitement to make your organisation succeed. According to Semler, companies can no longer rely on buying the grudging compliance of their people and they need to change the way they do things to enjoy the enterprising participation of their people, committed and confident to make a difference.

The mere mention of optimism and happiness@work have traditionally been received with roars of laughter, which is why Jessica Pryce-Jones made it her mission to evidence to the hard-numbered world of business that this “new-agey”, “happy clappy” concept is important if leaders want their talented people to develop and thrive within their organisations.

At the Discovery Invest Leadership Summit in 2012, Adrian Gore spoke about the massive impact that a few good leaders could have on our economy.

“The exciting thing is that leadership, effective leadership is also “Paretian”. Effective leaders make a massive difference on the system. A small number of people can pull the entire system across. We should never underestimate the exponential effect that great leaders have.

Tal Ben-Shahar, the professor who taught the most popular course at Harvard on Positive Psychology and the 3rd most popular course on the Psychology of Leadership has evidenced the significance of positive psychology as a leadership imperative to achieve resilience and innovation in organisations.

According to Tal, most organisational and individual potential is untapped. By creating a positive environment leaders can nurture the inherent potential in themselves and from within their people.

We can only hope that a few good leaders will have the courage and resilience to consider a new way of doing business to pull the entire system across in an exponential, “Paretian” way.

Engagement and Happiness at Work: The Differences

July 16, 2013/in Blog, Happiness, Jessica Pryce-Jones, News

By Jessica Pryce-Jones | CEO, iOpener Institute for People & Performance

Let’s lay out our position right from the start. There’s no doubt about it that engagement and happiness at work are similar constructs and therefore belong in the same school of thought. And that well-being is a third leg to add to this important stool. And it’s also obvious that it’s better to have more rather than less of all of them, whether you’re an employer or an employee.

But before we go any further let me be clear about what we mean when we refer to happiness at work.

For us at the iOpener Institute for People and Performance, happiness at work is a mindset that helps you maximize your performance and achieve your potential, whether you are an individual, team or organization. So what we’re really talking about are a series of internal processes that determine attitude and approach. Our practitioner experience also tells us that this mindset is governed by a set of measurable and specific conditions which lead to measurable and specific outcomes.

The definition of engagement is rather different and depends on the academic, consultancy or practitioner you like the most. It can therefore range between being defined as an attitude, an organizational approach, a practice, a set of conditions, a manager’s responsibility, a series of behaviors, certain outcomes, vigor for the job, energy, levels of stress and so on. That means comparing and contrasting the two is particularly difficult because it depends on your starting point.

We do however have a couple of major differences to clarify.

Our fundamental research done from the ground up began in focus groups. And this focus group work clearly indicated that individuals want to be responsible for and own their personal happiness at work. They know that it belongs to them and not their managers. Of course those managers can help or hinder that happiness but they can’t drive it: they have way too much other stuff to do.

Now this is typically very different from employee engagement which is generally owned by managers who are responsible for their teams’ annual scores. Which explains why these managers quite often ignore their yearly engagement results until the following year. Because the results often get put into the ‘too-difficult-to-do-anything-about-this’ drawer that’s much easier to quietly shut.

But happiness at work makes sense to any 21st century organization in which employees are empowered to take responsibility for and act on key areas that make a difference to them and their results. In these organizations employees are expected to think and act for themselves, to sort problems out, to work effectively together and not to wait for their manager to do it for them. To reflect this empowered organizational style, we’ve developed sophisticated, empirically-based and detailed individual, team anad organizational reports for anyone working with our methodology. Most importantly we’ve developed a suite of effective follow-up tools so that organizations can help themselves address any issues that they find. Expensive consultants don’t need to be the order of the day. These tools, coupled with clear and meaningful metrics are what matters most.

There’s another interesting thing to note about happiness at work. Positive emotions, the highs that indicate you are on the right path, have no place in engagement. But our data tells us that these positive feelings are important. Both social psychology and social network analysis tells us that emotions are contagious and spread within and between people. Engagement holds no place for these feelings which we know make a massive difference. Think about it. If you don’t feel good about what you do, it’s very difficult to keep on doing it.

Which leads us to what we know about senior leaders.

When we look at our data we can see that senior leaders working in tough circumstances will often report that they are highly engaged but unhappy at work. And their intention to quit scores can be surprisingly high. That tells us there may be some social desirability at work here. In other words people are thinking “I’m working so hard and for such long hours, I’ve got to be engaged in what I do. But I’m certainly not happy.”

I believe that we see this because senior leaders also tend to report high Conscientiousness (in personality terms). If you’re conscientious, you’ll put in the hours, you’ll work hard at what you do but it may not make you happy. As one executive board member said to me “I’m engaged alright, I’m putting in the hours – about 90 a week – but I’m 4 out of 10 happy at work.” Interesting stuff. So we’ve just kicked off a research project to investigate this further.

So how do engagement and happiness at work connect? Our view is that happiness at work drives engaged behavior. Here’s how.

Scholarship tells us that happiness promotes career success (Boehm & Lyubomirsky, 2005, 2008). That means happiness comes first, in other words it’s an input that drives fantastic output. Thinking about it in more depth, this implies that employers and employees need to see happiness at work as a personal resource that helps employees meet the demands of their jobs. Nowadays job demands aren’t getting any smaller. On the contrary everyone is expected to do more for less with fewer organizational resources into the bargain. But when job demands and job resources are unequal, there’s a greater likelihood of missed deadlines, project failure and even burnout. So the major untapped resource here is happiness at work. Because this is what drives sustained engaged behaviors.

In conclusion engagement is part of the picture and an important part too – but happiness at work is the precursor and therefore the most vital area of focus. Because it’s this that drives everything else.

Engagement and Happiness at Work: the differences

July 16, 2013/in Blog, Happiness, Jessica Pryce-Jones

By Jessica Pryce-Jones | CEO, iOpener Institute for People & Performance

 

Let’s lay out our position right from the start. There’s no doubt about it that engagement and happiness at work are similar constructs and therefore belong in the same school of thought. And that well-being is a third leg to add to this important stool. And it’s also obvious that it’s better to have more rather than less of all of them, whether you’re an employer or an employee.

But before we go any further let me be clear about what we mean when we refer to happiness at work.

 

For us at the iOpener Institute for People and Performance, happiness at work is a mindset that helps you maximize your performance and achieve your potential, whether you are an individual, team or organization. So what we’re really talking about are a series of internal processes that determine attitude and approach. Our practitioner experience also tells us that this mindset is governed by a set of measurable and specific conditions which lead to measurable and specific outcomes.

 

The definition of engagement is rather different and depends on the academic, consultancy or practitioner you like the most. It can therefore range between being defined as an attitude, an organizational approach, a practice, a set of conditions, a manager’s responsibility, a series of behaviors, certain outcomes, vigor for the job, energy, levels of stress and so on. That means comparing and contrasting the two is particularly difficult because it depends on your starting point.

We do however have a couple of major differences to clarify.

 

Our fundamental research done from the ground up began in focus groups. And this focus group work clearly indicated that individuals want to be responsible for and own their personal happiness at work. They know that it belongs to them and not their managers. Of course those managers can help or hinder that happiness but they can’t drive it: they have way too much other stuff to do.

Now this is typically very different from employee engagement which is generally owned by managers who are responsible for their teams’ annual scores. Which explains why these managers quite often ignore their yearly engagement results until the following year. Because the results often get put into the ‘too-difficult-to-do-anything-about-this’ drawer that’s much easier to quietly shut.

 

But happiness at work makes sense to any 21st century organization in which employees are empowered to take responsibility for and act on key areas that make a difference to them and their results. In these organizations employees are expected to think and act for themselves, to sort problems out, to work effectively together and not to wait for their manager to do it for them. To reflect this empowered organizational style, we’ve developed sophisticated, empirically-based and detailed individual, team anad organizational reports for anyone working with our methodology. Most importantly we’ve developed a suite of effective follow-up tools so that organizations can help themselves address any issues that they find. Expensive consultants don’t need to be the order of the day. These tools, coupled with clear and meaningful metrics are what matters most.

 

There’s another interesting thing to note about happiness at work. Positive emotions, the highs that indicate you are on the right path, have no place in engagement. But our data tells us that these positive feelings are important. Both social psychology and social network analysis tells us that emotions are contagious and spread within and between people. Engagement holds no place for these feelings which we know make a massive difference. Think about it. If you don’t feel good about what you do, it’s very difficult to keep on doing it.

 

Which leads us to what we know about senior leaders.

 

When we look at our data we can see that senior leaders working in tough circumstances will often report that they are highly engaged but unhappy at work. And their intention to quit scores can be surprisingly high. That tells us there may be some social desirability at work here. In other words people are thinking “I’m working so hard and for such long hours, I’ve got to be engaged in what I do. But I’m certainly not happy.”

 

I believe that we see this because senior leaders also tend to report high Conscientiousness (in personality terms). If you’re conscientious, you’ll put in the hours, you’ll work hard at what you do but it may not make you happy. As one executive board member said to me “I’m engaged alright, I’m putting in the hours – about 90 a week – but I’m 4 out of 10 happy at work.” Interesting stuff. So we’ve just kicked off a research project to investigate this further.

 

So how do engagement and happiness at work connect? Our view is that happiness at work drives engaged behavior. Here’s how.

 

Scholarship tells us that happiness promotes career success (Boehm & Lyubomirsky, 2005, 2008). That means happiness comes first, in other words it’s an input that drives fantastic output. Thinking about it in more depth, this implies that employers and employees need to see happiness at work as a personal resource that helps employees meet the demands of their jobs. Nowadays job demands aren’t getting any smaller. On the contrary everyone is expected to do more for less with fewer organizational resources into the bargain. But when job demands and job resources are unequal, there’s a greater likelihood of missed deadlines, project failure and even burnout. So the major untapped resource here is happiness at work. Because this is what drives sustained engaged behaviors.

 

In conclusion engagement is part of the picture and an important part too – but happiness at work is the precursor and therefore the most vital area of focus. Because it’s this that drives everything else.

A Case for Workplace Democracy

July 10, 2013/in Blog, Happiness, Ricardo Semler

A case for workplace democracy – relevance for 21st century managers and leaders operating in a new world order.

By Ingrid Ashwin | 10 July 2013

Challenging South African Business Leaders to leverage their influence to achieve workplace democracy
According to two of the world’s most powerful business leaders, Ellen Kullman and Dominic Barton, the business leaders most likely to succeed are those that expect and plan towards a business environment that will be very different in two years’ time, never mind a decade or half century.
There is also further growing pressure from the Gen X and Gen Y talent in your organisation who are no longer willing to accept a career that does not firmly embrace their values and emotions.

Formal employment is governed by businesses that lead workplace populations larger than some small countries
Governments are continually challenged to change, acknowledge and practise democracy. But when one considers that businesses lead and govern populations larger than some countries in the world we have to ask ourselves why we go to workplaces that still operate with a 20th century autocratic business model or perhaps a diluted version of a democratic workplace? 13 million people are formally employed in South Africa. Source: Free Market Foundation Bulletin March 2013. A vast majority of these people report into hierarchies that defy our political dispensation of democracy.
“Corporate pyramids are the cause of much corporate evil. Pyramids emphasise power, promote insecurity, distort communications and make it difficult for the people who plan and the people who execute to move in the same direction”, according to Ricardo Semler.

Building a better business with undiluted democracy
Ricardo Semler, acknowledged by the World Economic Forum as a Global Leader of Tomorrow, has championed his workplace democracy model for the past 25 years. He has constantly challenged 20th century management thinking and actively combats hierarchical business practise.
Think about this he says, “Outside the factory, workers are men and women, who elect governments, serve in the army, lead community projects, raise and educate families, and make decisions everyday about the future. Friends solicit their advice. Salespeople court them. Children and grandchildren look up to them for their wisdom and experience. But the moment they walk into the factory, the company transforms them into adolescents.”
Source: Harvard Business Review

Workplace democracy makes money and delivers record profitability
Since committing fully to a participatory management model, the SEMCO model has produced significant bottom line performance. Whichever way you slice- and- dice it, the people at SEMCO have come through achieving 27% growth for 25 years each year. What follows are just a few statistics to appease the cynics and evidence the hard core business value further:
– Heightened involvement in one facility led to double the sales, inventories fell from 136 days to 46 days, 8 new products that were previously stalled in R & D were unveiled. Quality improved from a one third rejection rate to 1%. Increased productivity led to a workforce reduction of 32%.
– In another facility, employees were given full rein to set up a new flexible manufacturing system. The units productivity in dollars, jumped from $14 200 in 1984 to $ 37500 in 1988 and the goal in 1989 was $ 50 000. Over the same period market share went from 54% to 62%.
– “People” turnover is just 2% in an industry with 18% of people turnover.
*At SEMCO they do not refer to workers or employees – they refer always to people

Still not convinced? An investment of $100 000 made in Semco, 20 years ago, would be worth $5.4 million today. All of this was achieved in a volatile Brazilian economy, with banks failing and countless business collapsing.
Semler says, “Rethinking ways of doing business will rarely be popular or easily adopted. But we like it our way, and hope that we will sow some seeds out there.”
Applying deep democracy in the workplace for a better South African future
Ricardo Semler asks, “Why do we demand and go to war for democracy as nations, yet accept with docility that no one has the right to choose their own boss?” We send our children, grandchildren and loved ones to war and yet we show up and spend the lion’s share of our time in a workplace willing to be dictated to and controlled by leaders, managers and employers who take control of our lives.

If we can agree that a better future for South Africa is firmly reliant on leaders wanting to start new businesses or grow the businesses they currently have, and, then agree further that aspirational leaders in both the private and public sector recognise that the business environment will be very different in the years to come, then we can surely remain optimistic that a better participatory workplace for ourselves and generations to come will deliver real economic and business success.

Ricardo Semler will present his unconventional leadership thinking at The 2nd Annual FNB Progress Conference on Happiness@Work on the 17th September 2013. Click here for more information.

A case for Workplace Democracy

July 10, 2013/in Blog, Happiness, Ricardo Semler

A case for workplace democracy – relevance for 21st century managers and leaders operating in a new world order.

By Ingrid Ashwin | 10 July 2013

Challenging South African Business Leaders to leverage their influence to achieve workplace democracy
According to two of the world’s most powerful business leaders, Ellen Kullman and Dominic Barton, the business leaders most likely to succeed are those that expect and plan towards a business environment that will be very different in two years’ time, never mind a decade or half century.
There is also further growing pressure from the Gen X and Gen Y talent in your organisation who are no longer willing to accept a career that does not firmly embrace their values and emotions.

Formal employment is governed by businesses that lead workplace populations larger than some small countries
Governments are continually challenged to change, acknowledge and practise democracy. But when one considers that businesses lead and govern populations larger than some countries in the world we have to ask ourselves why we go to workplaces that still operate with a 20th century autocratic business model or perhaps a diluted version of a democratic workplace? 13 million people are formally employed in South Africa. Source: Free Market Foundation Bulletin March 2013. A vast majority of these people report into hierarchies that defy our political dispensation of democracy.
“Corporate pyramids are the cause of much corporate evil. Pyramids emphasise power, promote insecurity, distort communications and make it difficult for the people who plan and the people who execute to move in the same direction”, according to Ricardo Semler.

Building a better business with undiluted democracy
Ricardo Semler, acknowledged by the World Economic Forum as a Global Leader of Tomorrow, has championed his workplace democracy model for the past 25 years. He has constantly challenged 20th century management thinking and actively combats hierarchical business practise.
Think about this he says, “Outside the factory, workers are men and women, who elect governments, serve in the army, lead community projects, raise and educate families, and make decisions everyday about the future. Friends solicit their advice. Salespeople court them. Children and grandchildren look up to them for their wisdom and experience. But the moment they walk into the factory, the company transforms them into adolescents.”
Source: Harvard Business Review

Workplace democracy makes money and delivers record profitability
Since committing fully to a participatory management model, the SEMCO model has produced significant bottom line performance. Whichever way you slice- and- dice it, the people at SEMCO have come through achieving 27% growth for 25 years each year. What follows are just a few statistics to appease the cynics and evidence the hard core business value further:
– Heightened involvement in one facility led to double the sales, inventories fell from 136 days to 46 days, 8 new products that were previously stalled in R & D were unveiled. Quality improved from a one third rejection rate to 1%. Increased productivity led to a workforce reduction of 32%.
– In another facility, employees were given full rein to set up a new flexible manufacturing system. The units productivity in dollars, jumped from $14 200 in 1984 to $ 37500 in 1988 and the goal in 1989 was $ 50 000. Over the same period market share went from 54% to 62%.
– “People” turnover is just 2% in an industry with 18% of people turnover.
*At SEMCO they do not refer to workers or employees – they refer always to people

Still not convinced? An investment of $100 000 made in Semco, 20 years ago, would be worth $5.4 million today. All of this was achieved in a volatile Brazilian economy, with banks failing and countless business collapsing.
Semler says, “Rethinking ways of doing business will rarely be popular or easily adopted. But we like it our way, and hope that we will sow some seeds out there.”
Applying deep democracy in the workplace for a better South African future
Ricardo Semler asks, “Why do we demand and go to war for democracy as nations, yet accept with docility that no one has the right to choose their own boss?” We send our children, grandchildren and loved ones to war and yet we show up and spend the lion’s share of our time in a workplace willing to be dictated to and controlled by leaders, managers and employers who take control of our lives.

If we can agree that a better future for South Africa is firmly reliant on leaders wanting to start new businesses or grow the businesses they currently have, and, then agree further that aspirational leaders in both the private and public sector recognise that the business environment will be very different in the years to come, then we can surely remain optimistic that a better participatory workplace for ourselves and generations to come will deliver real economic and business success.

Ricardo Semler will present his unconventional leadership thinking at The 2nd Annual FNB Progress Conference on Happiness@Work on the 17th September 2013. Click here for more information.

Applying the Science of Happiness @ Work™ to Make Talented Women Thrive

July 2, 2013/in Blog, Happiness, Jessica Pryce-Jones

For reasons more commercial than moral – companies are realising the benefits of recruiting, developing and retaining women in their organisations. However, despite the growing keen commercial interest in achieving gender parity (and the proposed Women Empowerment and Gender Equality Bill) companies are not retaining women in their talent pipeline. Women start their careers with the same level of intelligence, competence and commitment as men, yet still find themselves lower on the career ladder with significantly less women in executive positions than men.

SOURCE | MC KINSEY STUDY ON CENTRED LEADERSHIP – HOW TALENTED WOMEN THRIVE
A recent Mc Kinsey study identified 5 Leadership Essentials to attract and retain women.
1. Meaning – to love what you do and feel it matters (Dave Ulrich)
2. Positive Framing – learning to view situations as optimists do (Martin Seligman)
3. Connecting – supporting each other and leveraging the collective “power of many.”
4. Engaging – getting and taking opportunities
5. Managing Energy – a sense of being so engaged you don’t notice the passage of time (Mihaly Csikszentmihalyi)

BRG, the global partner of iOpener Institute UK, recently analysed over 2000 South African employees’ responses to the iOpener Institute’s iPPQ based on our Performance Happiness Model™ analytics and it was found that women:
– report they feel less able to raise issues that are important to them in the workplace
– report they are less listened to than men at work
– score themselves lower when asked if they are respected by their bosses
– and also score lower in respect of being recognised in their organisations

On the flip side, women:
– score higher than men in terms of level of engagement at work
– on the whole, believe they are doing something worthwhile and that their job has a positive impact on the world; more so than men.

A key element of the Performance Happiness Model™ is for employees to have a sense of purpose at work. Are women aiming too low? Their sense of achieving their potential is just 5.9 out of 10. This shows they have a lot more to give.

Over and above our findings in the Science of Happiness at Work™ studies, there is still a stark reality. The reality is that women account for only 10% of CEO positions, 32% CFO’s and 15% of board positions in South Africa. 21% of SA organisations have no women representation in senior management positions. A recent study by the Nielsen Company that examines the consumer and media habits of women in emerging and developed countries rated SA #7 out of 21 companies in terms of stress levels – with 64% of SA women diagnosed as stressed. Another reality is that companies who have successfully achieved gender parity are the happier companies.

If you are serious about leading, attracting, developing and retaining women in your organisation, you can scientifically diagnose why some women in your organisation are achieving their full potential and others are not.
The research determines the levels of CONTRIBUTION | CONVICTION | CULTURE | COMMITMENT & CONFIDENCE linked to the 3 overarching criteria of TRUST | RECOGNITION & PRIDE. The Science of Happiness at Work™ strongly correlates with the McKinsey findings.

Jessica Pryce-Jones, the founder of The Science of Happiness at Work™, will be presenting the latest findings for South African companies at the 2nd Annual FNB Progress Conference on Happiness@Work on the 17th September 2013 in Johannesburg.

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