Peer Coaching as a Tool for Culture Change
How
does an incoming CEO make systemic changes in an established company
when its employees have become demoralized or fearful? I’m
thinking of a storied manufacturing firm that only recently emerged
from a decade of turmoil and drift. An independent analysis
concluded that an overly ambitious expansion effort in the mid-2000s
had resulted in the company launching projects it lacked the
resources to deliver. Managers and engineers, reluctant to bring bad
news to bosses who had advocated for expansion, let troubled
projects fester until problems became acute.
The
firm’s new CEO is promising to address the resulting dysfunction
by creating an “ownership culture” in which employees are
rewarded for warning about problems early and held responsible for
letting them get out of control. He believes this approach will
“empower” people throughout the firm to hold themselves
accountable for their actions. In pursuit of greater “transparency,”
he’s signed a deal for enterprise software that will enable his
executive team to track the progress of the company’s myriad
contracts around the world.
As
you can tell from the ironic quotes, I don’t find the CEO’s
fondness for buzzwords reassuring. Rather than articulating a plan
or method for instilling the kind of culture
change he
professes to desire, he blends the aspirational with the punitive
and dresses it in business jargon.
Perhaps
this is not surprising––even the most successful companies
struggle when confronted with the need to change behaviors
among thousands of employees, especially behaviors that are rooted
in legacy conditions. And while software programs offer an excellent
means of monitoring processes and providing status updates, they are
of little use in addressing the fear and demoralization that have
been dragging down this company’s performance.
Even
the most successful companies struggle when confronted with the need
to change behaviors.
- Twitter
At
heart, these are cultural problems. Given the complex nature of
global organizations today, as well as their growing reliance on
full-hearted engagement of human talent, culture is increasingly
recognized as the nub of challenges resistant to logistical fixes.
Yet
culture change is difficult, in part because to be effective it must
spread throughout the organization; strenuous efforts to reach out
to top teams or focus on high performers can only go so far.
Continued skepticism among groups that feel excluded or disengaged
can undermine the most beautifully designed change effort ––
particularly when fear plays a role in the equation.
So
what does it take to support far-reaching behavioral shifts of the
kind our CEO needs to put into place? There are many routes, but I
would like to suggest one of the least expensive and most
underutilized tools for spreading needed change throughout an
organization: the simple but effective practice of peer
coaching.
Until
a decade or so ago, peer coaching was most widely used
by educators as
a means of helping less experienced teachers get up to scratch. More
recently, a few companies have been adapting the method as a way to
extend some of the benefits of coaching to large numbers of
employees in a cost-efficient way. In essence, peer coaching works
by giving people a forum, a process, and a means of support for
addressing their own development challenges, as well as holding
themselves accountable for needed change. Rather than working with a
professional, each member of a peer coaching pair acts as a sounding
board and resource for the other.
Peer
partners typically work together for a specific period. Assignments
are made based partly on a self-assessment of each participant’s
strengths and weaknesses, and partly on the project leader’s view
of specific things that participants may need to address.
For
example, a financial services company was seeking to break down
divisions that existed in the aftermath of merger. The senior team
laid out a goal to align the two entities, but the leader of a
large, newly constituted client services team saw weak or even
nonexistent relationships as jeopardizing the cohesion needed to
achieve that. The problem was exacerbated by the fact that employees
were still working in different cities where the merged companies
had been based.
Rather
than go to the expense of co-locating, the leader decided to use
peer coaching to get people not only talking but directly involved
in each other’s success. Individuals from the merged companies
were paired and taught the basics at a full-day session. Pairs
interviewed one another to get a sense of one specific thing each
could do to help strengthen their internal connections and extend
their networks more broadly.
Peers
were then asked to create lists of five to 10 specific actions that
would demonstrate measurable progress in meeting their goals. They
were urged to focus on concrete steps, rather than the generic or
aspirational: for example, “I will follow up with two people I
meet at this session,” or “I will make a point of having lunch
with X when I visit her site.”
Peer
pairs then committed to a brief phone exchange on a regular basis.
Each kept the other’s list available so they could pose questions
during these sessions, asking for examples that demonstrated one
another’s progress. At the end of each month, pairs evaluated
their progress and updated their lists of questions. When the group
reconvened after 90 days, participants reported not only a
significant extension of internal networks but also measurable
improvements in challenges such as handling stress and effective
time management. Having a peer hold them accountable for
actions they
themselves had committed to
proved to be a real boon in terms of improving their performance.
The
CEO of the manufacturing firm cited above could learn by studying
this example. Although he is clear about the need for people to hold
themselves accountable for alerting leaders to troubled projects, he
is proposing to achieve this by “empowering” them with the stick
of a punishment or the carrot of a reward.
In
other words, he only plans to address extrinsic motivation, which
comes from the outside. But people are more likely to make
sustainable shifts in their behavior when their capacity for
intrinsic motivation is addressed. This is the way of culture
change, as opposed to process improvement: It recognizes that an
organization can’t change unless its people do. Peer coaching can
be helpful because it engages people in their own growth and
development.
by
Sally Helgesen STRATEGY+BUSINESS
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