THE CHANGEMAKER EFFECT
The Changemaker Effect describes a genuine and credible potential alternative to long, difficult and ultimately unsuccessful performance management processes that businesses are forced to use when talent is incorrectly placed in their organisations.
The Case for Bypassing Performance Management
The trouble with performance management processes is that they work on the basis that individuals can get better. However if the issue is a mismatch between an individual’s ‘complexipacity’ and the complexity of their role performance management will not help.
Ironically the more time an individual stays in a mismatched role the worse things will get. No amount of skill, knowledge, experience, motivation or cultural alignment can compensate for a lack of complexipacity.
By completing The Changemaker Effect’s semi structured interview an early diagnosis can be made and the individual either repositioned or exited quickly and cost effectively using ‘SOSR’ (Some Other Substantial Reason).
This is in contrast to either a drawn out performance management process which is expensive for the organisation in terms of both time and payroll and at the same time highly stressful for the individual or a very expensive compromise agreement to circumvent performance management activity.
CASE STUDY 1.
As is common Simon’s promotion to Sales Director had been underwritten by performance and culture fit. Whilst he knew he was out of his depth he struggled to know what to do. If he put his hand up to admit to this surely he would be exited and he couldn’t afford to risk this. A new CEO was appointed who was familiar with The Changemaker Effect methodology and Simon was assessed and a decision made to reposition him. He retained Director in his title however his new responsibilities reflected that of a Head of Sales. His salary was red circled. After 3 months he had smashed his annual targets and had his swagger back. Simon remained in the business he loved, became a high performer again and the organisation avoided an exit that would have been costly and traumatic for both Simon and the wider business.
CASE STUDY 2.
Two businesses were merged and in the absence of any human capital due diligence a combined senior team was configured based on trial and error. Over time it became increasingly apparent that the CEO was out of his depth. It was at this point that I was introduced to the PE partner and the CEO was assessed. The assessment confirmed that the CEO did not have the complexipacity required to lead the combined entity and he was provided with two options, either accept a repositioning as the Chief Commercial Officer on current terms, or enter into consultation towards a dismissal using ‘SOSR’. He decided to exit and to circumvent consultation a compromise agreement was quickly signed adding a small additional financial incentive. Expensive litigation was avoided and the financial and emotional cost to both the business and the CEO avoided.