Archive for the ‘learning’ Category

Scott Berkun reminds us of the value of learning from mistakes

Wednesday, March 3rd, 2010

You may remember my project The Mistake Bank. It’s on hiatus now (isn’t that what broken-up bands say?), and someday soon I’ll be putting up a post on what I learned from that project. (Thanking Cynthia Kurtz for that idea.)

In the meantime, people are still screwing up and, thankfully, learning from those experiences. Most recently there was this post from Scott Berkun: “My Biggest Mistakes.”

Scott, in addition to being a great speaker and blogger, is a first-class mistake learner. His post “How to Learn From Your Mistakes” was an early entry in the Mistake Bank. It’s gratifying to see that he still appreciates the value of reflecting on his past actions, and retains the sense of humor that allows him to do so.

Related post:
Scott Berkun on learning from mistakes

More evidence of the power of learning from mistakes

Thursday, December 24th, 2009

As we head toward year-end, it’s good to be reminded of important things that may have been forgotten amid the turmoil of 2009. In my case, it’s the value of learning from mistakes. In this Newsweek NurtureShock post, Po Bronson references an experiment by Stanford researcher Carol Dweck – in my view the preeminent researcher looking at students’ views of achievement vs. learning.

Bronson effortlessly summarizes a complex set of experiments by Dweck and co-researcher Jennifer Mangels, and you should read the entire post, but the major point was this: “knowledge-hungry” (in Bronson’s terminology) students learned better from their mistakes than “grade-hungry” students. Knowledge-hungry students were interested in where they had made mistakes so they could learn the correct answer. Grade-hungry students were more concerned simply that they had made a mistake – the error itself obsessed them, not what they didn’t know. As a result, knowledge-hungry students did better on a retest: they learned better.

Even when we leave school and enter the work world, we often remain “grade-hungry.” Companies, frankly, enable and reward this focus with their HR management tools: promotions, numerical performance reviews, “merit” raises. Workers tend to be more concerned about the effect a mistake will have on these measures than on learning from what they did. This is bad for the company, of course. And bad for the worker.

Thanks for reading all year and best wishes for a healthy, less stressful, learning-filled 2010.

(Hat tip Roger Dooley, Neuromarketing)

Related posts:
Don’t try to fail, but try (work of Carol Dweck)

Really need to learn? Conduct an interview

Monday, November 16th, 2009

headphonesI was inspired by Ford Harding’s post today on cross-selling, most of all by his suggestion of how to educate others in the company about one’s own services, including this idea:

Structure the session as an interview, rather than a presentation. Announce to the participants that they won’t learn anything about the featured practice, unless they ask about it. Then, don’t allow the person seeking to cross sell his service to say anything, except in response to his colleagues questions. If his colleagues aren’t interested or intelligent enough to ask good questions about the service, he is probably wasting his time anyway. This puts the responsibility on the listeners to extract the information they need, keeping them engaged in the conversation.

When I read this, I thought, “Eureka!” Like many, I would like to be a better listener than I am. I was on a call last week and caught myself preparing my next statement instead of listening to what my colleague was saying.

The idea of interviewing struck a chord because of some work I’ve done – twenty or so podcasts and a similar number of in-depth customer interviews. For those, I prepare questions in advance, and listen very carefully while the interview subject is speaking. Frequently, the answers inspire a different line of questioning or a surprising new direction. If I weren’t listening, I wouldn’t detect the change nor be able to adjust my questioning.

When an interview is done, I feel as if I’ve been immersed in the topic, more than engaging in a conversation. Moreover, I have the recording as a keepsake, to refer to again if I want to relive the interview. [My friend Laurie records conference calls and meetings - with prior approval - as a matter of course, so she can relisten later to pick up things she's missed. Another interesting idea.]

I learn far more from an interview than a standard call or presentation. I think Ford is onto something important here; interviewing as a way of learning. What do you think?

(Photo by Mulad via Flickr Creative Commons)

Related posts:
Shop Talk Podcasts
The art of the customer interview

Learning from failures (and successes) requires different IT systems

Tuesday, September 1st, 2009

I’ve been working recently with a colleague tasked with improving his company’s project management outcomes (I was going to say processes, but on thinking about it they’re asking him to improve the performance and results).

He’s focusing on lessons learned, as you might expect. The company has done lots of projects; surely there are many lessons within those projects that could help improve things going forward? And there are. But my colleague has found that the inability to effectively capture and share these lessons prevents the organization as a whole from getting much if any value out of their past experiences.

[This Harvard Business Review article emphasizes why project management, in particular, is prone to repeating the same mistakes over and over again.]

I was thinking about my colleague as I was reading this recent article in “Strategy + Business” entitled, “Are You Killing Enough Ideas?” by Zia Khan and Jon Katzenbach. The article discusses innovation, not project management, but this section in particular resonated with me and spurred my connection with project management lessons:

…When there is an ineffective balance between formal and informal structures, it often shows up as an inability to manage bad ideas effectively. After a formal decision has been made to advance some ideas but not to pursue others, the company expends considerable effort to plan the next steps for the winners. But no one thinks actively of planning next steps for the losing ideas, to put them to rest, free up their supporting resources, and (ideally) identify and share any lessons or insights gleaned from the experience.

One quibble with this otherwise excellent paper: why is identifying and sharing lessons and insights from experience an “ideal” situation?

Significant corporate initiatives, whether they are innovation ideas or IT projects, are expensive in capital, resources and opportunity cost. The experience, whether the project is ultimately a success or not, is hard won and valuable. It should be mandatory to capture and share these lessons and insights.

There are several barriers my colleague faces in trying to institutionalize the creation and use of lessons learned. “Let’s move on” is one of the most pernicious ones. After a difficult project, people are inclined to look ahead rather than backward, to forget difficult or painful experiences rather than mine them for lessons. (In many cases, as I’ve learned in nearly two years of working with The Mistake Bank, lessons sometimes emerge years after an experience.) Organizations, of course, in their eagerness to place blame, facilitate people’s instincts to hide or blur what happened in the case of a failed project.

My colleague’s company has a very open and positive culture; they are more equipped than most companies at overcoming the reluctance to share. Yet they still face a significant obstacle: their information systems are not up to the task of gathering, sharing, sorting and consuming lessons-learned material.

They capture lessons in Word forms and documents, and store them in file folders on a shared drive. And they are not surprised when no one can find anything. Dumping valuable lessons on a shared drive may have a slightly positive use for whoever writes the lessons down; at least that person learns a bit more from the retelling. But certainly it’s of no use to anyone else.

Lessons-learned need enterprise 2.0-type tools that capture narrative data, signifiers and tags; allow users to “like,” pass along, add to, and otherwise annotate original stories; and browse through, search and connect related stories. That’s what my colleague needs, and that’s what every organization that wants to “ideally” learn from both good and bad experiences needs as well.

To learn better, keep & review a mistake log

Thursday, May 28th, 2009

Working for the last two years on The Mistake Bank, I’ve become a bit of a connoisseur of mistake stories and literature on learning from mistakes. This has meant scrutinizing my own mistakes and trying to learn better from them.

I’ve made one significant realization: Sometimes errors are one-off oversights, other times they reflect weaknesses we need to work on (at still other times they are serendipitous events, but that’s another story). How does one tell the difference?

Here’s an example. Last year, I noticed that I lost track of several conference calls over a period of months. This was unthinkable to me, since I’d always prided myself on discipline and organization :). But the pattern was worrisome. In my business, if you miss a client conference call, or worse, two or three, you may have an ex-client on your hands. What I realized was, I was getting busier, and therefore my mind was not able to manage all the data I was asking it to. This realization drew me to David Allen’s book “Getting Things Done” and adopting many of its suggestions.

To learn most from your mistakes, I’d suggest this approach. When an “unplanned event” happens, jot yourself a note. What happened? What did you expect, and how did the outcome differ from your expectations? Put it in a file.

At the end of the year, or at another time when you have space and a clear mind to reflect, pull out the file. Review the notes. See if patterns emerge. Are there variations of errors happening over and over? Why? Can you make any changes to try to reduce their occurrence in the future? With hard-to-correct mistakes, the changes will be difficult. You may need tools or external help to improve–but ignore those patterns at your peril.

Another story: When I was a salesperson and sales leader, I continually undershot my forecasts. Of course, I had reasons why–the product had problems, the customers weren’t ready, the macro environment had changed for the worse.

Some years after the fact, I finally realized that I was a lousy forecaster. I was too optimistic–I saw huge potential where it was limited, predicted easy wins where there was competition, trusted in the rationality of buyers. This is a hard-to-correct mistake. After a lot of thought, I came to the decision not to do sales forecasts–and if I had to do one, rely on the thinking of others to help me.

I only wish I had been tracking my forecasting mistakes and reflecting on them at that time. I would have saved myself and my companies a lot of problems.

(Photo by koalazymoney via Flickr Creative Commons)

Why company story-listening is democratic

Wednesday, October 1st, 2008

I’m beginning to spend a lot of time listening to stories within companies, and between companies and their customers. Listening to and understanding these stories can help companies adapt to changing markets and competitors, and help their employees work together better.

It’s democratic, too. What does that mean? you may be wondering. Traci Fenton, head of WorldBlu and the leader of the corporate-democracy movement, asked me the same question a few months ago. I was trying to explain to her the connection between my work helping companies gather and act on stories and her work promoting the creation of democratic processes and institutions within companies.

To me, it makes all the sense in the world.

To be a participant in a democratic venture, you need to be informed. Lots of information, from different viewpoints, even if it can be contradictory or confusing, is essential to you doing your job, which is to participate in your own governance and direction.

You must also have a voice. Sometimes that voice is a statement at the voting booth. Other times, it is the ability to stand up at the borough council meeting and tell the council they need to approve the school-building project once and for all.

Gathering stories from employees and customers gives them a voice. Sharing them throughout the company provides critical information for employees to act on. Training folks to make sense out of them can root out complacency and provide a platform for action.

If you’re a corporate leader who wants your company to be democratic, you better institutionalize the gathering and sharing of stories. From the inside and the outside.

[If you're interested in corporate democracy, you should consider attending WorldBlu Live this month in New York.]

Related Posts:
A Sense of Urgency
Corporate Change Series
Competitive Advantage: Customer-facing Employees

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Customer complaints as a source of business insight

Monday, September 22nd, 2008

We’re taking a brief detour from the corporate change series to discuss customer complaints (every businessperson’s favorite subject) though in truth it is very much in sync with the “letting the outside in” philosophy we’ve been discussing in those other posts. The Wall Street Journal’s occasional Business Insight section prompted the thoughts with today’s article, “Making the Most Of Customer Complaints,” by Stefan Michel and David Bowen of the Thunderbird School of Global Management and Robert Johnston of Warwick Business School.

“Making the Most…” focuses on the relationship between the customer, the front-line rep, and service management, and correctly describes how to manage a complaint to minimize damage to customer satisfaction without “giving away the store,” and to incent behaviors that will result in customers leaving the interactions feeling good (or at least not badly) about their vendor. It’s particularly insightful when describing the conflicts the front-line reps feel when trying to deal with a difficult customer situation:

These workers have the difficult task of dealing with customers who hold them responsible even when the failures in question are completely out of their control. The attitudes of customer-service workers, positive and negative, spill over onto customers.

Yet companies do surprisingly little to support them.

To be successful, these workers need to feel that management is providing the means to deliver successful service recovery on a continuing basis. Alternatively, when employees believe management doesn’t support them, they tend to feel they are being unfairly treated and so treat customers unfairly. They display passive, maladaptive behaviors and can even sabotage service.

This alienation is compounded when the workers believe that management is not improving the service-delivery process, which keeps employees in recurring failure situations. Even though complaining customers represent an opportunity to fix problems and improve satisfaction, alienated employees often see them as the enemy.

In addition to the sound advice to repair the processes, provide appropriate guidance to employees and management, and incent customer-delighting behaviors, there’s a broader value that I see to studying these interactions.

Customer complaints are a window into the customer’s use of the product and perception of the company. Virtually all satisfied customers are silent. Many dissatisfied customers are silent as well–calling customer service is time-consuming and frustrating. The fact that many problems aren’t resolved compounds people’s feeling that engaging with the company is simply not worth the trouble.

This means that any customer complaint reported to the company is a very important piece of data. Taken together, complaints can illuminate patterns pointing to product over-complexity, poor usability, underservicing, poor expectation-setting. The patterns might tell you that the customer-service approach you are so proud of is not working as well as it should. Or that customers are using a product differently from how you expected them to. The patterns serve as marching orders to product management, marketing and customer service for important value-adding projects.

But… you have to collect and sort through the data. It can’t be resigned to the bit bucket because it’s unpleasant or tells you things you’d prefer not to hear. I have started to work with clients to learn from customer-service interactions–the raw material, not just the statistics. And, not surprisingly, we are always surprised by what we learn.

Related posts:
Time to start listening to front-line employees

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A Mistake-Bank-perfect epigraph

Friday, September 12th, 2008

I just unwrapped “Einstein’s Mistakes” and this appears before the Preface:

Errors are the portals of discovery.
James Joyce, Ulysses

HBR adds to business failure learning library with "7 Ways to Fail Big"

Thursday, September 4th, 2008

This article in the September 2008 issue of the Harvard Business Review, by Chunka Mui and Paul Carroll, discusses seven corporate worst practices and relates business stories that demonstrate them. The practices are:

1. The Synergy Mirage – companies justify acquisitions by touting synergies that just aren’t there, or aren’t there in enough volume to make the price worthwhile. (Quaker buys Snapple, Unum and Provident merge.)

2. Faulty Financial Engineering – companies borrowing from the future to make today’s revenue look better. Enron, anyone? How about Green Tree Financial?

3. Stubbornly Staying The Course – Kodak, slow to react to digitization of photography, and Pillowtex, which failed to see the trend in outsourcing textile manufacture.

4. Pseudo-Adjacencies – the authors point to Oglebay, a company that thought it could deploy its expertise in shipping limestone to actually quarrying it. Result? Chapter 11.

5. Bets on the Wrong Technology – for example, FedEx ZapMail.

6. Rushing to Consolidate – too often mergers focus on the top-line increases but neglect “increased complexities [that] may lead to diseconomies of scale.”

7. Roll-ups of Almost Any Kind – As with Loewen Group, a funeral-home aggregator, roll-ups can’t withstand downturns and usually provide a short-term revenue bump at the expense of the long term (see #2).

Leaders, you have been warned. Avoid these at all costs!

Related Posts:
NASA learns to avoid its worst practices in safety
Worst practice learning means our favorite business bestsellers are all wrong

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A competitive advantage: employees who "spend most of their day talking to people"

Thursday, August 28th, 2008

I recall a number of years ago dialing 411 (Information) and asking the operator for a phone number for a store a few miles away in Boston. In a thick Dorchester accent, she corrected the name of the store for me. “I think you mean this one,” she said, and she was right.

Old school customer service has been in decline for some time now–pushed out by the costcutting allure of self-service, offshoring, IVRs, etc.

Impersonal customer service works in some cases. Shopping for a known commodity like a book, or CD, for example, or putting a vacation stop on your newspaper delivery. But companies have thrown the baby out with the bathwater, because if it’s really important to understand what a customer needs, a trained, empathetic person is the best resource a company can have. These folks, as John Kotter writes in “A Sense of Urgency,” help “bring the outside in”–in other words, they provide insight from a vital outside constituency–customers–into the organization.

I’ve talked before in this blog about how data about customer interactions will be captured and mined for insights about customer perceptions of products, service and the company that provides them. Today, surveys and focus groups attempt to paint this picture. Tomorrow, the real, raw data will be used. Stories from customers, and the stories from the people who serve them directly.

This will provide a new value proposition for customer service. As opposed to a replaceable part hired at the lowest hourly rate possible, front-line staff will be well-paid and well-trained. Their insights will be carefully collected and utilized, and products (and the customers that buy them) will be better off for them.

Shifting customer service to a different location to save $1.00 a call will be unthinkable.

It’s possible that Best Buy’s Geek Squad is an early prototype of this mindset. In an article in today’s New York Times, Matt Richtel depicts a power struggle between computer manufacturers who install application craplets on their PCs, and retailers, who are responding to customers’ desire to buy a PC free of craplets. This section was notable:

Mr. Stephens of Geek Squad says he agrees with H. P. that the future is in allowing computer buyers to choose and download what they want. But he said he believed Best Buy, not H. P., was in the best position to help people choose what works for them because, he argued, the in-store technicians are in closest contact with them.

“Geek Squad agents have one thing over Apple and Microsoft engineers. We spend most of the day talking to people,” he said.

Related posts:
Businesses need “A Sense of Urgency”
Time to start listening to front-line employees

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