LLC: A Case Study of Org. Learning - Outcomes

LLC: A Case Study of Organizational Learning at EDS

Chapter Ten, Outcomes

"... and he doesn't by lottery tickets anymore."

"....and he doesn't buy lottery tickets any more." You might say ...so what? I never buy lottery tickets. The statistics indicate lottery tickets are not good bets. If we look deeper behind this comment though, we find the reason behind the change in behavior has nothing to do with the probability of winning, or a die hard gambler who gave up the habit. The story behind this comment is an LLC participant who now finds his life so fulfilling and satisfying that he has everything he wants. Winning the lottery would not improve his life.

One of the most telling signs of the outcome of LLC is that EDS immediately decided to do an LLC 2, an LLC 3 and an LLC 4. Kofman, additionally, organized an intra-company LLC program through the OLC. The original participants graduated from LLC, yet wanted to continue to learn so EDS management and Kofman set up a graduate program. What caused these decisions to be made? This chapter looks at the results or outcomes from the first LLC program.

As stated in prior chapters, LLC is designed to be a transformational experience for the individual. Every person interviewed indicated they had been impacted or changed by LLC. Quite honestly, we, as researchers, have been influenced by LLC. The degree of change and scope of the change varied by individual. It is not apparent that the LLC participants changed more than others, who were one or more steps removed from the actual LLC training. Several participants, as well as others, spoke of the LLC values as fitting with a management style that had always felt comfortable for them, but had been suppressed because it did not fit the traditional style of EDS. Others indicated the concepts were new to them, but made sense.

Several of the business projects, as practice fields in the implementation process, produced results. Systems such as the K*Net, an on-line network that shares information within the EDS organization, came into being. Cultural diversity issues were explored and shared with management. A project titled, discontinuity analysis, which looked at events or trends that would fundamentally change the rules of industry, did not bear fruit prior to the end of the LLC program, but the groundwork laid by the LLC team was later used to launch a major effort in that subject area. Efforts to quantify results left the groups frustrated. LLC is about relationships. It is difficult to measure social relationships. In a discussion with Kofman the subject of measurement surfaced. Kofman's perspective is that relationships cannot be measured, but are instead mapped. He made the following comment about personal relationships, "...the word "personal" is dangerous because there is no such thing as a person independent of the network of interactions in which this person exists. That's like the particle theory of physics. You can look at a particle and see a particle, or you can look at it as a wave and see a wave. It depends on how you look at it. You can look at a person and see an individual. But I don't really look at individuals that way. I see people as patterns of possibility seeking to connect with other patterns of possibility. And we exist at the intersection of those patterns as who we are. ...so person is not really a person. It's a space of possibilities seeking to shine forth and looking for a way..." 46

NAVP Team Building

One of the main goals of the NAVP SBU was to create a team. The SBU had gone through a reorganization that brought many different groups together. The President of this SBU recognized how difficult it would be to create a team from this disjointed cadre of managers. This is one of the reasons Moll sent a team of six employees to LLC. Many of the EDS managers had adapted to their individual customers' environments and operating procedures. Now they were being asked to change so that they could harmonize as one EDS team. This was not an easy task.

Non-LLC members of this staff indicated, in the interviews, that the environment within the SBU had changed significantly. One member went so far as to state that it would be very difficult to hold some of the meetings today without the LLC induced changes. This person indicated that prior to LLC many of the leaders in meetings saw their role as that of an intimidator and to ask destroying questions. They felt, that as leaders, they had to know everything. Aggressive emotion or anger would be exhibited in the meetings. All six staff members interviewed, out of a staff of fourteen members, whole heartedly agreed that there were significant changes in the membership interaction. They indicated there is a new caring and sharing within the staff. There is a better understanding of individuals and their human needs. The individuals on the staff share with the other members "where they are and why they are there" and this helps the group pull the various perspectives together. The discussions that occur enhance the process of making decisions. There is a new attitude about openness and idea exploration as a result of LLC. One manager indicated "...the staff really listens now; they let the speaker have the floor. There is dialogue, people are more open to different points of view." "There is an air of camaraderie and working together..." said another.

The staff now starts their meetings with check-ins and concludes with check-outs. The check-in comments have evolved from generic comments to personal sharing. Moll fully participates in the use of LLC tools. He frequently would lead the check-in to make sure the circle started with personal sharing. He told us "... it opened up opportunities for understanding and brought them, as people, much closer together." One staff member indicated, "It, (referring to the check-in process) did build a sense of community. Now it is common place and not awkward at all." Another member indicated that it is not uncommon to have a staff member, male or female, with a tear in their eye as they share during a check-in. The rest of the team members do not turn away but rather honor the individual's expression of their emotion. Various individuals made the following comments about the influence of LLC. "People have gone through very significant events, such as family problems and death of loved ones, and they have been able to get comfort via the team relationship. Anger is no longer present in the staff meetings. The singing bowl allows members to collect themselves and take a step back from the issue so they can continue with an attitude of openness and inquiry."

For a while the staff used a "talking stick". A talking stick is based on Native American custom which allows for the holder of the stick to have the full attention of the audience. This encourages "active listening" and frees the audience from any need to have their attention focused on formulating a response. The use of the talking stick elicited these two opinions. One manager told us he liked the stick very much. He felt powerful when he held the stick, and indicated it is almost spiritual. He thinks that it helps to trigger new thoughts and said, "Different stuff really comes out in the meeting when you use the stick." A second individual stated he found the use of the stick to be offensive. The talking stick appeared to him, to be idolistic symbolism and bothered him due to his Christian beliefs. The stick used by this group, in this member's opinion, looks like a snake, with eyes and a tail. He told the group how he felt and while he would hold the stick as a symbol that he had the floor, he would not hold it in awe, but rather hold it to his side. Chris, the owner of the stick, quit using the talking stick in the meetings after that discussion until recently, when someone questioned why they, the staff, weren't using the stick. Chris discussed the situation with the member who originally took issue with its use and obtained his agreement that it was "OK" to begin using it again in the meetings, but he wasn't going to fondle it like some of the other members.

Members commented that the new attitude, exhibited in their staff, was a much better foundation for success. One individual pointed out that this does not mean they always agree. Some individuals have greater expertise in certain areas, but this does not impede or hinder others from expressing their views. One of the members interviewed joined the staff after the group was using many of the LLC tools. He said that he had been a member of the group about four years ago and as he came back to the area and talked to some of his old friends, they told him about the positive changes that were taking place in the SBU. The manager indicated that his assimilation into the staff was relatively easy. He attributes this ease of entry to LLC. He felt this directly benefited the company because he could be effective immediately and was confident about his role in the group. The flip side of the coin surfaced during an interview with an LLC participant that is currently in another SU. He expressed the position, that while it may be easier for the new member to adjust, the group dynamics are affected. He said, "...it takes awhile for the group to regain the same level of trust when an outsider ( a new member) is added to the group.

Members stated that Moll's staff meetings are different than other EDS meetings. People are more engaged with each other, feel free to express their viewpoints and have more respect for each other. The insider/outsider feeling prevalent at the beginning of LLC has subsided. Participants have shared learnings and the training provided by Chris has benefited the staff according to the staff members. Many of these learnings have been transferred to the work groups of the managers on the staff. The staff has accepted the methodologies of LLC and are now practicing them. One member summed it up by saying, "The SBU has had a cultural change. The entire staff has changed. We are different now. It was evolutionary. We are working hard to be open and to care and share." He went on to state that if a new leader took over, he felt the staff would find a way to keep the LLC culture.

And what does Moll think of the result? To date, he is pleased. He believes he has personally changed and is more open and willing to hear all sides of an issue. He also believes he is better at accepting criticism and understands that it is an opportunity for improvement. He has been able to develop good relationships with people that he felt he could not previously get close to. Moll originally thought he would have to physically bring in different people in order to get the working relationship he sought for his staff. It has not been necessary to move people for this reason. "All people, not just the participants, including myself, have changed and today we are building a very strong team." Moll further stated he "...is now more interested in taking care of people as human beings, as opposed to thinking of them as creators of profit." He believes the rest of his staff also feels this way.

NAVP Manager and Work Group Comments

Sounds good so far, but what about the other levels of the organization. Here are the results, as reported to us during our interviews, with three members of a management team whose leader was an LLC participant in the NAVP SBU. They told us that initially, the group was skeptical. People were curious and there was a mixed reaction. They commented that this was not the EDS they knew. The organization did things like check-ins and check-outs and physical analogs to help them recognize that there are many ways to look at a situation and that one does not have to determine that the various ways are right or wrong. The members commented that they felt more empowered, more comfortable as a group and more willing to express their honest opinions. There was a bonding within the leadership team. They said there is less tension, members were less judgmental and there is increased risk taking. One manager indicated he and the rest of the staff work closer now and run the organization as a team. In the past it was unheard of to sign a contract with a customer and then hand revenue over to another manager to run and reap the rewards. This is now happening within the group. Another comment was made, "that previously each manager had to know everything and be involved in all activities. Now they are comfortable with one of their fellow managers representing everyone's interests. They are able to optimize the efforts of the organization." He indicated, however, "...they are not the whole way "there" yet, as they still take the overall goal and break it down into goals for individual managers." Another manager indicated that she felt they made better decisions and they were more timely. The boss supported decisions made by others and less approvals were now required.

These mangers, two levels down from the SBU President, also indicated that their management style with their employees had been impacted by the concepts learned in LLC. This has happened as a result of the training provided by their boss, as well as seeing and feeling the successes with the tools in their own meetings and relationships with others. All managers, we spoke with, indicated they were trying to bring the LLC learnings into their groups. One first line manager directly attributes to LLC the fact that he now respects the opinions of others and that he personally feels closer to others. Another indicated that because she has been empowered she has been able to empower others more than before. She feels she is less judgmental and listens more to the input of her employees. She believes the relationships within her group have improved. The group is more open and sharing. And still another commented that he has learned not to "knee jerk" react to things. He has learned to stop, take a breath and to know how and why he is reacting to things.

An entirely different group, in the NAVP SBU, shared similar comments. One individual performer stated that she enjoys working in this organization now. She told us, "It is the best place she has ever worked, but it was not always that way." She says she is free to share her ideas and does not have to prove herself to others. Her manager is now "in tune" with understanding the balance between work and home. She indicated, "...we talk about the business, the customer and the people. The manager focuses on the people, because if he takes care of the people, the people will take care of the customers and the customers will take care of the business." She continued that the manager attends meetings and pulls in concerns from the employees. He is much more concerned about people in general and that they have the information and tools to do their jobs.

Another member of this staff said they now use a systems approach to decision making. They dialogue, use inquiry and have an openness to each others views. He stated, "Mental models are being changed." This manager has taken the concepts to his group of employees. They have spent a lot of time on conversation skills such as the use of inquiry versus advocacy. He shared a story about how the new environment and his boss's new attitude, contributed to the business. Pre-LLC he made a mistake. It was a very unpleasant situation and he felt bad about the error. His manager added to the unpleasantness by the way he handled the situation. It took the employee several days to get over the emotional experience and totally focus back on the job. After LLC, there was a very similar situation where there was a failure and the same employee was involved. This time the same manager's reaction was very different. He told the employee it was "OK", "We all make mistakes. You know what you need to do for the customer." The employee had no negative feelings this time. He said he did not lose a minute in unproductive emotional turmoil; he could focus on just fixing the problem and attending to the customer as opposed to his personal needs. His personal recovery time was ten to fifteen minutes versus forty-eight to seventy-two hours.

As for the manager himself, he believes he has been able to create a safe environment and by doing so has allowed his employees to be more productive. His team uses a consensus decision making process. According to him they had tried this before but were unsuccessful. The LLC concepts and tools established the right environment and now consensus and real commitment are realities. The risk taking in his group has improved. He said he is taking greater risks. For 1994 he decided to keep the performance targets at the regional level and not assign performance targets to each manager. He felt this was a way he could create a safe environment. Members of his staff were not competing amongst themselves, but rather working together. He told us his team achieved tremendous results, beating the target by twenty-five percent. The manager believes LLC was a significant contributor to this success. He also stated that Moll's staff is more adept in the use of the tools and thereby Moll's staff meetings are more effective than his own. He attributes the difference to the critical mass of employees on Moll's staff that received primary LLC training.

A unique situation had just developed in the SBU regarding a change in managers of one of the large accounts. The manager that was leaving was an LLC participant and his replacement was not. The members of the work group were very concerned about losing the safe environment the current manager had provided. They did not want to regress to the traditional EDS style. They expressed concern about whether the new manager could be trusted. One employee indicated that if the new manager did not continue with the LLC methodologies, the group would probably talk about the fact that they lost something, but how assertive they would be is an unknown. This person doubted that anyone would have an open door meeting with Moll on the subject. Similar comments were made by others regarding the fact that they do not want to lose this environment, whether it be from the boss leaving or themselves transferring. Some went so far as to indicate they would seek employment elsewhere as opposed to subjecting themselves to certain environments. They indicated they did not feel as strongly about environmental changes prior to LLC and experiencing the feeling of caring and sharing that now exists.

Health Care SBU Results

The Health Care SBU had some very interesting outcomes. There is dramatic change going on in the health industry. EDS also needs to change to be in a position to bring solutions forward to the customer. Drislane believed that the more educated the employees were on organizational change and personal empowerment, the easier it would be for them to assimilate into the customers' environment. He believes that LLC speeds up the process of change. Bob Young, Vice President, Health Care SBU, saw LLC as a way to leverage the intellect of the people to move beyond or outside where they were. They wanted to break down the hierarchical command and control mentality and expand the vision of what people were capable of doing. He felt that as people accept authority, responsibility and accountability they feel more enabled and innovative. He set very specific goals relative to employee to manager ratios. He indicated progress had been made. In the past there was a six and a half to one employee to manager ratio. Now there is a twelve to one ratio and the improvement target is now a fifteen to one employee to leader ratio. As for layers of management, he reports they are down to four levels from the SBU President to the individual performer.

Young indicated he is seeing a greater amount of questioning within the SBU. "There is less following the rules and just mechanically getting the job done. There is less talking and more listening." He indicated the decision process is taking longer, but the quality of the end product is better. Over the long term the good decisions will offset any time delays and as this becomes ingrained in the business processes, existing time deltas will be erased. He believes he has personally changed but indicated "...not as much as I want to..." He has worked hard to breakdown his own command and control structure and learn to be open and maintain a questioning attitude.

One of the participants, in this SBU, worked with a customer who was going through a major reorganization and re-engineering process in response to the dynamic changes in the health care field. EDS had worked with this customer for over twenty years and complacency had developed on both sides. The original working relationships had been established at the highest levels of both organizations. The customer CEO changed and the new leader brought in his team. The customer saw EDS as a main frame system supplier and did not believe that EDS could be part of the new dynamic world of the health care industry. The customer was not generating new business and was living on the revenues of the past. In a conversation between Drislane and the customer, EDS learned that the customer issue was not information technology, but rather, the need to re-invent themselves, have a shared vision and after the necessary down-sizing, have the remaining employees take ownership of the company. Dennis offered one of the LLC participants to work with the company on their re-engineering effort. Early in the process one of the customer VP's asked the LLC participant, Ellen, "How do we know you are not a Trojan horse?" Ellen said she felt it was an honorable question to ask and explained to the customer that it was important to EDS to maintain their account, however, her job was to help them be successful. She acknowledged that she was an outsider but would not take anything confidential back to EDS. She indicated she would not do anything dishonorable, but it would be a lie to say EDS was just doing this out of the goodness of their heart. She was there to help their relationship with the customer. She attributes her ability to be totally up front and forth right with them to LLC. LLC got them over the first hurdle. Ellen worked on the re-engineering process for about ten months. She was very involved in the communication and roll-out process of the vision and values that the customer was initiating. At the end of the ten months she was an integral and trusted member of the customer team. The EDS manager of the account indicated it was hard to put a price on the improved relationship that Ellen helped to create. Through Ellen, the customer saw a different EDS than the view they once held and was able to break down old barriers and mental models. The contract was recently re-negotiated as both sides were unhappy with the contract language. EDS not only retained the business but signed a new contract with significantly greater revenue potential than the previous contract. The EDS account manager said the customer indicated they felt comfortable signing a new contract with EDS because they saw a change in EDS. This manager believes that people, like Ellen, represent tangible evidence that EDS is a more open and helpful partner than they experienced in the past. He further commented that in the final analysis nothing matters unless the customer thinks it matters. "Right now this customer may not be able to pin point why things have improved, but it has a lot to do with learning communities and empowerment."

Another site in the Health Care SBU is seeing significant change as a result of LLC. One of the LLC participants changed his career from a technical manager to an LLC facilitator and is leading the change movement in a large EDS site of over 500 employees. Scott, is conducting discussion groups as a means to bring LLC to the site. One fellow manager noted that the knowledge he gained from his discussions, with Scott, allowed him to see that a lot of issues or things that need to be changed are not due to other people, which he was originally convinced of, but rather are really related to yourself. This understanding has caused the manager to change his relationships with his employees. Instead of running meetings in the classic style, he now does check-ins and everyone sits in a circle. At a very recent meeting, the conversation focused around what he, the manager, was doing that caused the team to be ineffective. He said he never would have had a discussion like this in the past. The old discussion would have been, "...these are the things that are wrong, fix them." As a result of this new attitude, he says his employees are more open. There is a shared understanding among the members and between the manager and the team. The team is making excellent progress in goal achievement.

There is a group of "natural leaders" that have been meeting with Scott for the last eight to nine months. The group has developed a network and shares a common language and similar beliefs. They find this support network important. A different manager shared her current dilemma. She had been a member of a team that was fully engaged in the learning and the use of the LLC values and they were a powerful team. Now the team composition has changed and the power and energy has been lost. She is frustrated with this dilemma and is unsure of how to move forward.

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