By Howard Risher – The problem, as summarized in the report’s Foreword by NAPA President Terry Gerton, is fundamental:
Over time, the alignment between the government’s mission, strategy, and tactics on one hand, and the capacity of its workforce on the other, has fallen further out of sync. The result has been an accumulating series of program failures that have grown into a genuine national crisis.
To call it a national crisis is not hyperbole.
Human capital management leads the 2017 list of GAO’s high-risk areas and workforce management is integral to each of the areas on the list. GAO’s focus was limited to the skills gap. In its report, GAO concluded, “OPM and agencies have not yet demonstrated sustainable progress in closing skills gaps.” It’s been on the high-risk list for 16 years.
The skills gap needs to be seen as the tip of the iceberg. Skills alone cannot produce improved performance. The Office of Personnel Management describes the problem on its website with this formula:
Performance = Capacity x Commitment
According to OPM’s website, “In a work setting, the capacity to perform means having available the competencies [skills], the resources [technology is an essential tool], and the opportunity to complete the job [empowered to make decisions]. If employees are missing these, the work will not get done and the results will not be achieved.” Commitment is synonymous with engagement. more>
Posted in Book review, Business, Economic development, Economy, Education, How to, Leadership, Technology
Tagged Business improvement, Government, human resources, Jobs, Leadership, Organization, performance, Productivity
Is corporate market power really surging?
By Alex Verkhivker – In economic circles, an argument has gained traction that corporate market power is surging, resulting in skyrocketing markups, a falling labor share, and other negative consequences for consumers and workers. But some researchers are pushing back, emphasizing weaknesses in the argument and urging policy makers to be cautious before taking any actions.
Proponents of the market-power argument often rely on one of two methodologies, one that calculates and compares total revenues and costs at the economy-wide level and another that uses company-level data. University of Minnesota’s Loukas Karabarbounis and Chicago Booth’s Brent Neiman focus on the first of these two, in which the economy is considered a pie that is made of up three slices: the labor share (which goes to workers), the capital share (costs incurred to use factories, equipment, software, etc.), and economic profits. Economic profits are calculated by finding the difference between revenues and costs, including the cost of capital faced by companies to fund their assets used in production. more>
By George Bradt – The Wall Street Journal suggests Exxon’s once perfect machine is running dry. It got strategic timing wrong, investing too much too soon in capacity-building. It’s yet one more lesson on the critical importance of getting the timing right between implementing revenue-generating programs and building capabilities.
Strategy is about the creation and allocation of resources to the right place in the right way at the right time over time. It’s about choices. It’s about accepting failure as an option and asking “what if?” Most understand that the “right place” where to play choice is every bit as important as the “right way” how to win choice. Many get the “right time over time” choice wrong. This is what has gotten Exxon into trouble.
Moving from your current reality to a new, desired destination requires projects and programs that actually move you in that direction supported by the capabilities needed to deliver those projects and programs.
Here’s the rub. If you focus too much on running the projects and programs (path I) you get ahead of your capabilities and can’t deliver them. If you focus too much on building capabilities (path III) you run out of cash. The art of strategic timing is stepping up your capabilities ahead of program delivery requirements – but not too far ahead. more>
Posted in Business, Education, How to, Leadership, Technology
Tagged Business improvement, Leadership, Organization, Planning, Resource allocation, Strategic mistakes, Technology
The Tyranny of Metrics, Author: Jerry Z Muller.
By Jerry Z Muller – More and more companies, government agencies, educational institutions and philanthropic organisations are today in the grip of a new phenomenon. I’ve termed it ‘metric fixation’.
The key components of metric fixation are the belief that it is possible – and desirable – to replace professional judgment (acquired through personal experience and talent) with numerical indicators of comparative performance based upon standardized data (metrics); and that the best way to motivate people within these organizations is by attaching rewards and penalties to their measured performance.
The rewards can be monetary, in the form of pay for performance, say, or reputational, in the form of college rankings, hospital ratings, surgical report cards and so on. But the most dramatic negative effect of metric fixation is its propensity to incentivize gaming: that is, encouraging professionals to maximize the metrics in ways that are at odds with the larger purpose of the organization. more>
Posted in Book review, Business, Economic development, Economy, Education, Leadership
Tagged Business improvement, culture, Jobs, Leadership, Organization, Performance management
By Ron Bates – Regardless of your role—from building stakeholder relationships to securing a desired agreement or commitment—we all need to be able to get others to support, approve, or act—based on our ideas.
So how do you get more people to support, approve, and act on your ideas?
It starts with understanding the perception gap you’re trying to close. The only reason someone is going to support, approve, or act on your idea is that they perceive it in a favorable light. What changes someone’s perception? They learn something new.
How often do we consider the other person’s perception and perspective when we attempt to communicate our ideas, insights, or observations? How often do we anticipate the conversation, questions, and objections? Do we practice articulating our message—prior to any conversation?
Are we trying to change someone’s perspective by enrolling them through the questions we ask—or—are we in pure output mode? Are we assuming anything? Have we thought about what the other person’s perspective needs to be to for them to act in our favor? Do we understand the gap we’re trying to close? more>
By John Cassidy – Since Donald Trump entered the White House, American democracy has sometimes been described as dangerously fragile, but that isn’t necessarily true. Having survived for two hundred and forty-two years, American democracy is more like a stoutly built ocean liner, with a maniac at the helm who seems intent on capsizing it. Every so often, he takes a violent tug at the tiller, causing the vessel to list alarmingly. So far, some members of the ship’s crew—judges, public servants, and the odd elected official—have managed to rush in, jag the tiller back, and keep the ship afloat. But, as the captain’s behavior grows more erratic, the danger facing the ship and its passengers increases.
All that concerns him is discrediting the Russia investigation and saving his own skin. To this end, he will do practically anything he can get away with. And, judging by the deathly silence from the Republican leadership over the past couple of days, he won’t receive any resistance from that quarter. To repeat, the danger is increasing. more>
Posted in Business, CONGRESS WATCH, Economy, Education, Energy & emissions, Healthcare, History, Leadership, Media, Net
Tagged Congress Watch, Donald Trump, Government, Internet, Leadership, Organization, United States
By Andre Durand – With the past year’s record-breaking wave of breaches, it is now safe to believe that most Americans have had their personal identity information exposed—and analysis of the Hudson Bay breach has confirmed this knowledge is now being traded in dark markets.
The long-term ramifications are going to have an impact on every public and private sector organization that utilizes our identity to conduct business and to provide access to critical systems, which will create disruption in our day-to-day activities and even to our way of life.
Because business and government institutions that handle personal information are vital to our society, it’s time to designate “identity” as a new segment in the nation’s critical infrastructure, a set of 16 sectors the Homeland Security Department deems essential to the nation’s well-being.
The entire identity chain must be strengthened to prevent these criminal activities. Birth certificates, which can be used to open bank accounts, are still administered by hospitals that are ill-equipped to manage security. Our government devotes huge resources to ensuring that currency can’t be counterfeited, yet it pays scant attention to documents that can be used to obtain multiple forms of ID. Every physical document we use to prove our identity should be made far harder to duplicate.
We can then move onto our digital systems. more>
Posted in Broadband, Business, Communication industry, CONGRESS WATCH, Economy, Education, History, Leadership, Media, Net, Technology
Tagged Broadband, Business improvement, Congress Watch, Government, Identity, Internet, Leadership, Organization, Technology