Showing posts from September, 2016

What Drives Team Success?

Ever wondered what distinguishes exceptional teams from others? Psychological safety . Coined by Harvard Professor Amy Edmondson , psychological safety has been found to be at the heart of great teams. She defines psychological safety as " a shared belief that the team is safe for interpersonal risk taking " and explains that psychologically safe environments exude " a sense of confidence that the team will not embarrass, reject, or punish someone for speaking up ." It is important to remember that psychological safety is not the same as trust . "Trust is the expectation that other people's future actions will be favorable to one's interests. Psychological safety refers to a climate in which people are comfortable being (and expressing) themselves. Although both constructs involve a willingness to be vulnerable to others' actions, they are conceptually and theoretically distinct. In particular, psychological safety is centrally tied to lea

The Teal Paradigm

Gallup 's employee engagement survey for 2015 highlights the following: A mere 32% of employees said they were " engaged " at work (engagement has remained flat since 2000). A majority of employees ( 50.8% ) were " not engaged ." Another 17.2% were " actively disengaged ." In reporting these figures the Gallup organization notes: "Engaged employees are involved in, enthusiastic about, and committed to work. Employee engagement is strongly connected to business outcomes. Engaged employees support the innovation, growth, and revenue that their companies need. Yet, most U.S. workers continue to fall into the not engaged category. These employees are not hostile or disruptive. They show up and kill time, doing the minimum required with little extra effort to go out of their way for customers. They are less vigilant, more likely to miss work and change jobs when new opportunities arise." Aon Hewitt defines engagement as

What's Your Story?

Managers are fond of PowerPoint. Every presentation is full of data, facts, figures, charts, and graphs. This fascination with packing presentations with everything under the sun on a given topic is in sharp contrast to available evidence as to how the human brain functions. In numerous controlled studies, where one group is asked to prepare a short (one minute) presentation with data and facts, and another group is asked to make the same presentation in the form of a story, audiences exposed to the story had a 67% higher retention rate than audiences exposed to data and facts. Jennifer Aaker is the General Atlantic Professor of Marketing at Stanford University's Graduate School of Business. She is the author The Dragonfly Effect: Quick, Effective, and Powerful Ways to use Social Media to Drive Social Change. "It is clear from our research that, in contrast to what you may think, promoting a personal goal is inherently social. To be successful, you must translate

Irrational Decisions

Microsoft recently acquired LinkedIn for $26.2 billion in cash. Analysts have noted that the acquisition may turn out to be another flop because of the premium paid, LinkedIn's unprofitable assets, and the absence of any clear path for leveraging the target company's capabilities. Consider these points: Microsoft's buyout price of $196 per share values LinkedIn at 91 times the EBITDA over the last twelve months. To place that in perspective, Microsoft paid 46.7 times EBITDA for Skype and 40.7 times EBITDA for aQuantive . The latter has been a failure and nobody knows the value created by Skype. Put another way, Microsoft has paid $250 per average monthly visitor, and $60 for each of LinkedIn's 433 million registered users. Compare this with the $42 that Facebook paid for each of the 450 million active users of WhatsApp when the latter was acquired for $19 billion. Last year (2015), LinkedIn lost $166 million on revenues of $2.99 billion. The net