Thursday, March 3, 2011

The 3:2:1 Rule

Looking for better results? Most people are. Here's a frustrating fact: Consistently successful organizations don't focus most on the outcome - but they still get better results than the rest. Here's why...and how...

Performance is a result of skilled effort - which is a result of passion and commitment. World-class companies get better results because they track backwards to the internal root cause and focus on improving there instead - guiding the process until they achieve the superior external results they desire.

If you want a 1% increase in performance, then you need a 2% increase in effort (the kind your customer values) - which is sparked by a 3% increase in commitment (by your front line team - who delivers the effort.)

Some call it the "3:2:1 Rule". Yes, some of the investment gets lost in the shuffle (that's human nature for you), but done well it's worth it. Remember, the percentages of internal results don't have to cost a lot of money - just well-placed leadership, engaged relationships, and targeted innovation.

You can use this proven approach to set up your own improvement plan. For example: If you want a 2% increase in your financial results, you begin by investing in improving your team's engagement/commitment level by 6% (interact with them, listen to them, challenge them, develop them, etc.), which will affect a 3% increase of performance on their behalf (the power of pride, integrity and ownership!) - gaining you the 2% bottom-line results (from satisfied/loyal advocates) you hope for.

So, if you're interested in achieving consistent external results (like those proven world-class companies), focus on the internal resources that get you there first. ANY small steps towards engaging your team will become a catalyst for improvement in your outcomes.

The 3:2:1 Rule. As simple as 1, 2, 3!

Think about it. But more importantly, do something about it...today!

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