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What You Can Learn From Ed Whitacre

It is always interesting when the new sheriff arrives in town. Look at GM. "You are accountable and responsible," said Ed Whitacre, the company's new chief executive, during a recent interview with Bill Vlasic of the New York Times. "The success of the company depends on you, and the things you do. Now go out and do it."

He continued, "I want to make sure people understand that the responsibility for this company to be successful is not just with the C.E.O. It's them. My style is really just to say, 'let's get going.' Let's do something, let's move, and let's not be constrained by something that has happened in the past. Nobody is going to be fired for trying something new around here."

Time will tell if Whitacre, who had a successful career at AT&T before being brought into GM earlier this year, will be able to truly shake up the historically bureaucratic culture of General Motors, but his words ring just as true for a multi-billion dollar corporation as they do for companies at $50 to $500 million in revenue.

Everybody shares in the success or failure of a company - from the worker on the line to the senior management staff. That idea tends to get lost in translation, though, particularly in entrepreneurial companies that have grown up. These organizations were usually built around a strong founder who, by necessity, made or influenced all key decisions in the early days. As these companies grow and expand into new markets, products, and profit centers, though, there may still be a tendency to keep deferring the decision making up the ladder. Many times the leadership team demands it.

Doing so saps the company's employees of responsibility and accountability. Doing so saps the company of innovation and responsiveness to market changes.

I suggest you think about Ed Whitacre's call to action at GM and then take a few minutes to think about your organization. How responsible and accountable are you. How responsible and accountable are the members of your team? If you think there is room for improvement, then try this:

  1. Align with corporate strategic goals. Know the goal and know your role. Are the activities that you and your team are doing aligning with the key strategic goals of the company? If not, why are you spending time and resources on them?

  2. Make an action plan. What steps can you take to improve performance, what projects can you or your team take on that will drive towards meeting the company's overall objectives? As Whitacre implores, "The success of this company depends on you, and the things you do. Now go out and do it."

  3. Create buy in. More than likely what you and your team will want to accomplish will need the support of other parts of the organization. Go out and get buy-in for the big ideas. This is an acid test to see if your team is allowed to, as Whitacre says, "Let's do something, let's move, and let's not be constrained by something that has happened in the past."

  4. Set a time-line and deadline. Talk and plans are cheap, setting a time-line and deadline to get things done starts to move you from talking to doing. This also acts as a reality check to see your actions are doable in the time allowed. If not, rework the plan.

  5. Quantify your progress. You must be able to quantify what you or your teams actions are bringing or will bring to the table. This creates a benchmark to evaluate your progress against. If your organization truly wants people to be accountable and responsible, then also heed Whitacre's advice, "Nobody is going to be fired for trying something new around here."

  6. Follow up. By creating the time line and deadlines, you are designing toll gates to evaluate the progress of the action plans. Follow up is key. This shows that the actions are important and that people will be truly responsible and accountable for they have committed to.

Accountability and responsibility of your team members is crucial in developing a successful and winning company. Get going and get started by taking the first step - aligning your team to the company's strategic goals.

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