Large Scale Management and Servant Leadership

April 5, 2010

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An Interview with Justin Lowe, Senior Manager, Verifications with HMS by Tabitha Woods

Tabitha: Justin, if I were a stranger on the street and had never heard of HMS before, how would you describe what the company does?

Justin: Well, I would start with HMS’s mission, which is to help improve the effectiveness of the country’s healthcare system. A lot of folks might scratch their heads and say, “What does that mean?” Well, we provide a range of services that help government -sponsored healthcare programs, such as Medicaid and Medicare, to save dollars. As a result of our services, these programs can make healthcare coverage available to more people. So we have a direct impact on people’s lives.

Tabitha: So, tell me a little bit about your department.

Justin: The Verification Department at HMS authenticates commercial insurance policy information that is believed to exist (in overlap) with Medicaid coverage. In an average month, the department will verify in excess of half a million commercial insurance policies.

Tabitha: Your department is huge. How do you keep your employees motivated in their daily tasks?

Justin: To begin with, I think it’s important to share the company’s mission with them. I believe everyone has to find purpose in what they are doing. It’s very hard to come to work when you don’t understand where the organization is headed, and how you fit in. I have folks who work 12 hour shifts, three days a week. When people work that intensely, it’s important for them to know where and how they fit into the big picture.

I’ve always believed that you can lead somebody with a dollar only so far. If there’s nothing else, at some point they’re going to say, “You know, I don’t want to do this anymore.” So the carrot and stick aspect of motivation only goes so far. If I don’t also make someone feel like they’re an important part of why we are succeeding, they will walk away. Even people who make hundreds of thousands of dollars a year will walk away from a job if they’re miserable. So money, we know, isn’t the only answer.

I’ve always believed—in work and in life—that you have to grasp your purpose, whatever that is for you. It makes it a whole lot easier to understand what you are doing and why you’re doing it. And it gives you a reason to do it. The book The Purpose Driven Life has been an influence on me in that respect.

If you communicate the mission of what you’re doing—and HMS has a powerful mission—people will feel a lot better about their jobs. I want my teams to know that what they do every day is key to HMS’s success. In a down economy, and with healthcare reform on the scene, what they do is integral to the government programs that provide healthcare coverage to those who need it most. But then you have to continue to keep your teams engaged.

Tabitha: That was my next question…you’re brilliant!

As your employees come in day to day—to a high volume of telephone business—how do you keep them engaged throughout the day? How do they deal with intense calls?

Justin: We are in a very unique situation as a service center. Even though we are an outbound service center, we are not calling individuals and cold calling, or trying to sell. We are very much a “polling” type of organization. We are calling other businesses—insurance companies to be specific—and gathering information from them. It’s a business-to-business transaction. So, we don’t run into a lot of difficult telephone calls because it’s usually one professional talking to another.

The nature of the work we do in my department can be very challenging, since there is a fair amount of repetition. But we have so many folks who are self-motivated and have the drive to do their best, and that makes all the difference to them and to HMS.

I talk to my folks a lot about servant leadership and knowing the importance of their jobs as team leaders, supervisors, or managers. If you have people working for you, but don’t lead them, then you don’t really have a team.

Tabitha: Tell me about the support systems you have set up here. What’s the best way to build support in such a large group?

Justin: Because of the size of the department, I rely on team leaders and the individual units for that cohesiveness.

Tabitha: So you think that it filters from the top down?

Justin: Yes, but I would tell you that it’s an inverted pyramid. It filters from the top down, but the top level is that frontline staff. As a leader, I look at the fact that I have a job because I have 200 people first, I have 20 team leads second, I have 7 supervisors third. And then there’s me. I’ve got to always be thinking about those frontline folks. I am always thinking about those team leaders and supervisors, and try to be employee-centric. My philosophy is, whenever you can, err on the side of the employee. Do the thing that is right by the employee. There are always boundaries and limits within which you have to work. It’s not like we have a blank check to do whatever we want. But where you don’t have limits counts more—caring about staff, being visible to them, and going out of your way to recognize good performance.

Tabitha: Let’s talk about that. When they get feedback, do they get it directly from their team leads, or their supervisors…or you? How does that feedback come, and is it pretty specific?

Justin: There are a number of different ways that we provide feedback here. Team leaders and supervisors provide feedback and coaching during the training phase and during the formal evaluation process. We also produce written reports that are used to counsel and review performance with staff. I am a very strong believer in the importance of delivering both positive and constructive feedback. The positive feedback is very important because I believe that everybody is doing something right. It’s our job as leaders to serve employees by correcting any issues in their business practices, but also to serve them by building up their esteem, and praising them for what they are doing well. And that is extremely important to me.

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What’s My Motivation?

April 5, 2010

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When I was a young woman, I taught summer theatre classes to a group of kids that participated in a summer repertory theatre. I had no children of my own at the time, and after a few days of total mayhem stumbled upon a way to get everyone to participate. I found that the best way to get this room full of 5-12 year olds to cooperate with me was through creative choice.

What do I mean by that? The program had a curriculum, and my fellow teacher and I would give the young actors choices within the assigned structure. For instance, if the day was to focus on improving improvisational skills – we would focus on improv, but allow them to choose the order of the games. If we had time at the end of a class, we would allow them to come up with their own game to hone their skills. We would even let them work independently for a given amount of time, and then present their work. I found when my students felt as if they had a certain amount of autonomous control over their assignments and projects, they were, cooperative, creative, and open to new ideas. In a word, they were engaged.

This is why a light bulb turned on when I read Daniel Pink’s newest book, Drive. Daniel Pink has again shown us why right-brainers will rule the future, and why those companies that learn to work with creative mindsets rather than exert absolute control over creative workers will rule the corporate world.

Mr. Pink opens the book with a scientific study that looks at the basic human drives:

  1. Biological: This is about survival – food, shelter, water, etc.
  2. External: This includes reward and punishment – where managers and parents keep their focus.
  3. Intrinsic: This is the intrinsic satisfaction derived from completing a task.

Although this third drive probably isn’t news to you, it apparently has been hotly debated in the business management and psychological community. It is this third drive that Pink sees being ignored by managers and organizations today. And it is this third drive, that he says will dictate how companies work in the future. Pink says that this intrinsic motivation is as basic and as strong as the other two drives, and I agree.

The book has a myriad of examples of this particular drive. Study after study proves that this drive, which has been largely ignored by the corporate world, responds internationally to stimuli of autonomy. Jeff Gunther, a thirty-something CEO, entrepreneur, capitalist of several ventures turned his company Meddius, into a ROWE (Results Only Work Environment). This means that his employees have a certain amount of autonomy. Their work is based on results, and they can achieve those results when, where, and how they please. Of course, they have to produce results on time – but they don’t have to do it with a manager hanging over their shoulder. Production has gone up. Not only that – their goals are not tied to compensation. Radical. He says that the freedom they have is worth more than any kind of bonus. His employees’ family members agree.

Pink’s point is that the old style of management is broken in this rapidly changing economy. With low-skilled work being shipped overseas and replaced by software – the new worker is an intellectual worker. A creative worker. A worker that needs the space to innovate. The new model is self-direction. Meddius is a perfect example. They are in software development. They can now focus on the projects at hand rather than struggling to get to and from the office and still make a child’s softball game or soccer practice. Not only that, but when this model is implemented, it has a tendency to create loyalty. Workers are less likely to leave (even for a higher salary), and turnover can be reduced.

The corporate world is changing, and more and more people are doing creative work that requires the room to do it. Old management styles do not work for this kind of laborer, and, can affect their creativity, as well as their production levels. The old “eye-for-an-eye” management method is quickly becoming obsolete as companies learn to bring out the best in their creative workers.

Of course there will be a few bad eggs that try to take advantage of this new management style – and that is fine. Get rid of them. You can’t expect a utopia of creative and productive autonomy to crop up overnight! Change is hard – but corporations should begin to discover how they can speak to this third drive, this intrinsic motivation – before their competitors do. The future of your organization and your workers may depend on it.

“You do not lead by hitting people over the head – that’s assault, not leadership.” ~Dwight D. Eisenhower

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Putting a Price Tag on People: Evaluating Value

April 26, 2009

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I have been in the staffing industry for 20 years. During that time, perhaps the most frequent question my clients have when hiring is, “How do I know this person will bring value?” It’s a valid question, and in this economy, it is a vital one. Now, more than ever, employers are being forced to evaluate the value of each employee in their organization.

Employers are now moving beyond “cutting the fat” from their organizations and questioning what each of their employees brings to the table. It’s a new economy, and everyone has to have a value proposition. The individuals that prove and increase their value during this downturn will be the employees that stay gainfully employed and create a better future for themselves when things start to improve.

So, what characteristics truly bring value to an employer? What truly separates an “A” player from a “B or C” player? How does a corporation evaluate their employee base, and what are the deciding factors when choosing to keep, lay off, or replace existing employees? The bottom line is that it comes down to value.

Value is essentially related to worth, material or immaterial.  So, what brings value to your company or department? Right now, stop and think of your top performer. What makes you feel that this person has relative worth and that you are getting a fair exchange for your investment in that employee?

Generally, each company will have their own criteria and priorities when it comes to determining the value of their employee base, but in my daily interactions with clients, I have noticed several target impact areas that define the value of an employee for most organizations.

Performance/ Productivity – Impact the bottom line
When companies are looking at their team, performance and productivity are most likely at the top of the list.  Niel Ducoff in his book No-Compromise Leadership discusses the importance of looking at critical numbers and how “critical numbers eliminate the abstract interpretation of what work needs to be done.” In addition, he believes that every employee possesses the ability to influence profitablility in some manner. This ability to influence profitability increases an employee’s value.

Motivation/Influence/Attitude – Impact others
Malcom Gladwell in his book The Tipping Point discusses the differences between those who influence and those who connect/network. They add value to the company in a unique way. They possess leadership abilities and are able to rally the troops when needed to make things happen. They can keep teams together.

New Ideas/Thinking about Solutions -Impact through creativity
Creativity is about the development of new ideas and new solutions that can impact the way things are done in a business on multiple levels.

Since change is a daily occurrence in growing and evolving companies, creative people bring more to the table and provide new solutions to their customers. Increasingly, companies are looking for problem solvers that provide creative solutions.

Systems – Impacting structure and efficiency
In his book, Operations Management: Critical Perspectives on Business and Management, Michael Lewis examines the work of Fredrick Taylor. Frederick Taylor, at the turn of the century, changed how companies looked at work organization, task definition, and job measurement. Taylor’s goal was to increase organizational productivity with a systematic process.

Today, companies continue to evaluate how they can efficiently utilize processes to streamline their ability to meet company goals. Employees that can aid in the identification and implementation of better systems will add to the bottom line value of the company.

Habits – Impact through consistency

“A” players have and continue to develop effective habits. In Brian Tracy’s book, Focal Point, these habits are defined as: punctuality, time management, self-discipline, concentration, and goal completion. Habits can be developed through practice, and employers look to those who continue to focus on and develop their good habits. Employees who have a proven success record with established processes, systems, and work ethic increase the return on their employer’s investment.

Emotional Equity – Impact through commitment

Rules for Renegades by Christine Comaford-Lynch breaks down emotional equity like this:

Companies like to know that employees have an emotional stake in their employment commitment. Employers want to know that their employees are in it for the long haul. Emotional equity provides the fortitude to “stick with it” in good, bad, and challenging times.

One of the hardest things that I have to do in my role as manager here at Delta Dallas is let people go. It is never an easy task, but when decisions are made based on the criteria above, I know I am making a decision that will support our short and long-term goals. I know that a lot of my clients have faced this dilemma in recent months, and honestly, there is no easy way to tell someone you are taking away their source of income.

In this economy, however, it is more important than ever to make sure that the money invested in your employees is money well-spent. In order to flourish during these times, you need team members with emotional commitment that bring true value to your organization. Only then will you have the foundation you will need to build upon as the economic recovery ensues. See you on the other side!

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Positive Motivation in a Difficult Economy

January 21, 2009

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The New Year has begun, and many people have set new goals for themselves and their businesses. Unfortunately, the news and media continue to tell us how difficult the economy is going to be in 2009.

Employers are expecting their teams to be energetic and loyal; however, the reality is that they are scared. The messages they receive from the media, and the reality of companies down-sizing leaves many with a sense of insecurity and fear.

Now, more than ever, it is imperative that each company strive towards maximizing resources and increasing productivity.  This is impossible without a genuine commitment and positive attitude from each member of a team.

But how can companies achieve this haven of enthusiasm and excellence within an unstable economic environment? We believe employers should look for ways to strengthen the motivation level and address this issue head on.

Imagine your office as a stadium where the game of business is played everyday. The winners can include clients, co-workers, as well as the profits of the company.

Now imagine the owners and executives as “coaches,” to build on this sports team analogy.  A coach owns the burden of victory, but must lead his/her team effectively in order to achieve it.  The coach cannot do it alone.

When possible, it is helpful to implement strategies that can offer concrete measures of security. Employers can implement various incentive plans, Goal and Business Strategy partnerships, Employee Recognition Programs and practicing candid 360 communication techniques.

But one of the least-costly and maybe most effective ways a coach and employer can drive towards winning is with positive motivation. Employees work hard for companies where they feel encouraged, challenged and energized about what they do.

Creating an environment that not only motivates but has a true measurement of success can be achieved by implementing the following sports/business tactics:

  • Motivational Coaching Moments – Leadership is about leading others to greatness and giving them the tools they need to be a producer. Not only showing them the way, but being there through thick and thin will create loyalty and pride in who they are and what they do. Each player brings different talents to the game, and the coach is responsible to put the players in the position that will capitalize on the strengths with the biggest impact on the company.
  • Goals with Deadlines and Keeping Score – Treat each quarter of the year like a quarter of a game – assess the “score” by which goals have been reached. SMART goals are Specific, Measurable, Attainable, Realistic, and Timely. Each goal insight helps the team move toward what needs to be accomplished. By keeping score, employees can definitively know how they did compared to the expectation. Feedback and quantitative numbers are benchmarks to success and track employees’ progress.
  • Making Fans – Nothing makes one feel better than an unsolicited recommendation or Letter of Reference. Creating a Scrapbook or Wall of Fame enables others to read what an impact various company players have done to make a difference.
  • Review past plays -  History teaches us what has and has not worked, as well as provides insightful details to the market place. We have been in a recession before, and I am sure that we will be again. Reviewing various techniques and strategies can catapult solution-based thinking when others are wallowing in the problem.
  • Be Clear on the Rules – As with the Coaches and Referees, Executive Team members are charged with the rules of engagement and due diligence to provide Operational excellence to their clients, co-workers, and service partners. By providing the game rules, players know what they are to accomplish, what they are responsible for, and how they will be measured. To win the game, open communication along with specific directives are necessary for the team.
  • Healthy Competition (“LY” or local rivalry) – Bottom  line, everyone loves to win! Healthy competition drives the motivational process and can define success.  Knowing what was accomplished by others that are respected in the field, can provide a standard for defining a “winner.”
  • Overall Inspiring Atmosphere – Some employees or players perform better with positive encouragement.  A “pat on the back” or verbal and non-verbal recognition for a job well done can go a long way. Creating “What a WOW!” programs enable employees to recognize themselves and others for doing a great job. Sometimes posters or motivational sayings boost team spirit, create energy, and inspire action.
  • Celebration – A group gathering to celebrate both large and small successes sends a message of team work and recognition. Ice cream parties or bowling outings can develop not only professional but personal relationships as well. Continued bonding experiences communicate a message of unity and thanksgiving that have proven to bring teams together and produce more effective results.

As mentioned before, we all like to win, yet more importantly we want to know that we played a good game, gave it our all, and had a GREAT TIME. With the Superbowl around the corner, create your own championship team and raise the motivation and the productivity in 2009.

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