HW7

Goal Alignment for Success Debbie Janes

Microsoft Services

1/14/2010

Agenda

Three Main Topics

!   Microsoft Overview and My Role !   The Lesson: Goal Alignment in an Organization !   Selling as a career

Fast Facts

Very Brief History of Management Theories Written by Carter McNamara, MBA, PhD, Authenticity Consulting, LLC. Copyright 1997-2008. Views on management have changed substantially over the past century -- particularly in the past few decades. Also see

!   Scientific Management Theory •  (1890-1940)

At the turn of the century, the most notable organizations were large and industrialized. Often they included ongoing, routine tasks that manufactured a variety of products. The United States highly prized scientific and technical matters, including careful measurement and specification of activities and results. Management tended to be the same. Frederick Taylor developed the :scientific management theory” which espoused this careful specification and measurement of all organizational tasks. Tasks were standardized as much as possible. Workers were rewarded and punished. This approach appeared to work well for organizations with assembly lines and other mechanistic, routinized activities.

!   Bureaucratic Management Theory •  (1930-1950)

Max Weber embellished the scientific management theory with his bureaucratic theory. Weber focused on dividing organizations into hierarchies, establishing strong lines of authority and control. He suggested organizations develop comprehensive and detailed standard operating procedures for all routinized tasks.

!   Human Relations Movement •  (1930-today)

Eventually, unions and government regulations reacted to the rather dehumanizing effects of these theories. More attention was given to individuals and their unique capabilities in the organization. A major belief included that the organization would prosper if its workers prospered as well. Human Resource departments were added to organizations. The behavioral sciences played a strong role in helping to understand the needs of workers and how the needs of the organization and its workers could be better aligned. Various new theories were spawned, many based on the behavioral sciences (some had name like theory “X”, “Y” and “Z”).

Maslow's Holistic Dynamic Needs Hierarchy P = Physiological S = Safety L = Belongingness and Love E = Esteem SA = Self-Actualization

Focus Topic: Goals and Commitment Setting

Management by objectives From Wikipedia, the free encyclopedia

1.  Management by Objectives (MBO) is a process of agreeing upon objectives within an organization so that management and employees agree to the objectives and understand what they are in the organization.

2.  The term "management by objectives" was first popularized by Peter Drucker in his 1954 book 'The Practice of Management'.[1]

Management by Objectives

Domains and levels From Wikipedia, the free encyclopedia

!   Objectives can be set in all domains of activities (production, services, sales, R&D, human resources, finance, information systems etc.).

!   Some objectives are collective, for a whole department or the whole company, others can be individualized.

Management by Objectives

Practice From Wikipedia, the free encyclopedia

!   MBO is often achieved using set targets. MBO introduced the SMART criteria: Objectives for MBO must be SMART (Specific, Measurable, Achievable, Relevant, and Time-Specific).[2] In some sectors (Healthcare, Finance etc.) many add ER to make SMARTER, where the E=Extendable R=Recorded.[3]

!   Objectives need quantifying and monitoring. Reliable management information systems are needed to establish relevant objectives and monitor their "reach ratio" in an objective way. Pay incentives (bonuses) are often linked to results in reaching the objectives

Management by Objectives

Limitations From Wikipedia, the free encyclopedia

!   When this approach is not properly set, agreed and managed by organizations, in self-centered thinking employees, it may trigger an unethical behavior of distorting the system of results and financial figures to falsely achieve targets that were set in a short-term, narrow, bottom-line fasion.[4][dubious – discuss]

!   The key difference is that rather than 'set' objectives from a cascade process, objectives are discussed and agreed, based upon a more strategic picture being available to employees. Engagement of employees in the objective setting process is seen as a strategic advantage by many [6]

!   A saying around MBO and CSF's -- "What gets measured gets done" [7]-- is perhaps the most famous aphorism of performance measurement; therefore, to avoid potential problems SMART and SMARTER objectives need to be agreed upon in the true sense rather than set.

Microsoft Commitment Setting

The Process !   Guides our behavior. !   Used employee performance reviews. !   For each organization, the sum of individual commitments achieved can also ensure the success

of meeting the organization's business objectives.

Discuss:  What  are  the  benefits  of  se3ng  commitments?  

Microsoft Commitment Setting

!   Commitment setting consists of three components: !   Commitment

!   Ex: : Improve SAT for Devs, IT Pros, Students, Startups !   These are aligned to the companies priorities

!   Execution plan !   Ex: Continue on our journey of World Class Sales, Drive traffic to a helpful web

resources that increases developer sat !   These may be field imperatives for the field to do from corporate planning

!   Accountabilities !   Ex: Increase overall employee satisfaction by greater than 5 percent.

It  is  said  that  a  goal  is  created  three  :mes:  as  a  mental  picture,     when  it’s  wri?en  down  to  add  clarity  and  dimension  and  when  you  take  ac:on.    

Microsoft Commitment Setting

!   The goals are !   to simplify and standardize the process that organizations use to develop and share

commitments; !   to increase transparency, ensuring that teams are focused on the right work, and thereby

directly affecting business results; !   and to empower employees to drive focus and accountability for their work.

Microsoft Commitment Setting

!   Q: What are SMART commitments? !   A: Use concise action-based statements for your commitments based on the following SMART

criteria: •  Specific •  Measurable •  Achievable •  Results-based •  Time-specific

Let’s  prac:ce:    Set  a  1-­‐2  SMART  commitments  for  yourself  to  improve  your  grade  this     Semester;  share  it  with  the  class  

Microsoft Commitment Setting

!   Well-written commitments have the following qualities: -  Are focused action statements that allow you to make smarter daily decisions about where you should be

investing your time

-  Prioritize work that must be done in a given timeframe -  Provide a framework for your—and your organization's—efforts and accountabilities -  Ensure that your work is aligned with the greater efforts of your manager, your team, and the company,

enabling you to understand how your work contributes to the overall success of Microsoft

-  Help you drive your career, expand your skills, and ultimately increase job satisfaction -  We all have customer satisfaction commitments

Let’s  prac:ce:  What  are  possible  ways  that  these  roles  could  help  with  customer  and       partner  sa:sfac:on?   -­‐   Product  planner   -­‐   Enterprise  seller   -­‐   Telesales  person   -­‐   Pre-­‐Sales  technical    specialist  

The Alignment of Commitments

Organizational Alignment !   For each organization, the sum of individual commitments achieved can also ensure the success

of meeting the organization's business objectives.

Let’s  prac:ce:     Pick  an  Organiza:onal  Goal  and     Let’s  set  a  commitment  for     • The  Chancellor  of  UCSC   • The  head  of  each  department   • The  head  of  each  college   • Student  leadership   • Admissions  Officer   • Students    

Sales Competencies •  Building Customer and Partner Relationships •  Confidence •  Cross Boundary Collaboration •  Drive for Results •  Impact and Influence •  Interpersonal Awareness •  Product and Technology Expertise •  Strategic Sales Planning •  Team Leadership •  Value Selling

People and Numbers •  People – the Art side

•  Maximize relationships with enterprise accounts •  Partnering with a virtual team you’ll lead and orchestrate to ensure a synergistic,

company-wide approach •  Have frequent contact with all levels of Microsoft and customer managers and

employees •  Great customer service •  Gain new insights into large accounts in fascinating industries.

•  Numbers – the Science side •  Develop and execute plans that achieve revenue and strategic objectives •  Identify and manage an opportunity pipeline •  Forecast accurately •  Use strong solution selling skills

What is selling?

Adding Value : Adapted from “Guerrilla Marketing Excellence” by Jay C. Levinson

!   Salespeople who are successful at creating value think in terms of solving problems for customers. These salespeople help customers view their problems and opportunities in a new light.

!   To create and sell value salespeople must understand a customer’s unique business needs, beyond just a product or service.

!   To add real value salespeople must become the greatest informational resources customers have. Salespeople should strive to provide insights on their customers’ market and competition. Educating customers builds loyalty that can’t be bought.

!   Tell customers what your definition of value is. Some link value to paying a low price. Others see value as the benefits or features they receive from a product or service that they can’t get anywhere else. What is it that makes your product or service valuable?