Continuity – Page 3 – Simon Fowler

rLiving Day 12: Oily Subcontractors (Purpose/Continuity)

For a moment there, it looked like IBM had planned to reduce its employee workforce by 75% by 2017, but that turned out to be false. It would have been a great factoid for today given that I also know that Accenture planned to add 50,000 employees this year (which is true, also because I heard from their CLO). The contrasting strategies of employee vs. subcontractor between these two massive consulting companies would have been a nice little talking point.

So I’ll have to settle for BP and ExxonMobil instead.

Furious fingers are pointing at BP for that hideous gloop infecting the Gulf of Mexico right now. One jabbing finger is at the fact that BP let go ALL of its experts and engineers and entrusted subcontractors. This, according to Tom Bower, author of Oil: Money, Politics and Power in the 21st Centrury (on Here and Now– on my local National Public Radio station, WBUR this lunchtime).

Under the leadership of John Brown, who took over as CEO in the 80’s, BP went from a money-losing company to No. 2 in the world. How? “More for less!”. As Bower put it, “let’s get 100% by paying 90%”; subcontracting caused profits to skyrocket.

Relational Proximity Dimension #2 is Continuity: A relationship is formed and strengthened by the amount, frequency and span of time we are together. It includes a sense of shared history, and an anticipation of the future.

Relational Proximity Dimension #5 is Purpose/Commonality: Our sense of connectedness and relationship is greater to the degree we have things in common or share a common purpose or identity. A good relationship has a direction to it, something that is common between the members that holds it together.

This story is ostensibly about trust, but I propose that trust comes, in part, from a sense of common purpose, a sense that the parties involved have a stake in something together. Trust also comes from an expectation of future partnership. Is there enough common purpose (beyond $$) with your subcontractors, and enough shared vision and stake in the future, to enable trust, accountability and a fruitful, creative relationship?

The two main subcontractors involved in this oil spill are Transocean (responsible for the rig and drilling) and Halliburton (the cement casing). The argument appears to be what BP knew or told Halliburton about drilling depth, which makes a difference to the type of concrete used. [Did you know they’re drilling 6 miles down?!]. The argument is also increasingly turning against regulators.

Who’s watching? Interestingly, both BP and Exxonmobil use these subcontractors. A difference is that ExxonMobil retain an army of experts and engineers to ‘second-guess’ (as Bower puts it) everything Transocean and Halliburton do. As I would interpret that; they double-, triple-check everything the subcontractors do, therefore maintaining their standards and maintaining accountability. BP, however, leave the subcontractors to it. In other words, they trust them. Or you could say, the subcontractors trusted BP for the right information. And what of the regulators? Who do they trust? Who do we trust?

Comparing subcontractor relationships I’m curious to know what the relationship is like between ExxonMobil’s engineers and the subcontractor engineers, and what kind of productivity and safety performance they achieve. People scream for regulators (while they also scream for infinite freedom for themselves), but potentially there’s a perfect relationship there, working fine without the need for underpaid, under-qualified (according to Bower) regulators. A comparison between BP’s subcontractor relationships and ExxonMobil’s would be illuminating, I think: shared ownership? shared risk? not just shared profit? Similarly with continuity: is there a future-vision? Not just asking if the contract will be renewed, but do they have a creative vision for the future together?

Anger at “BP” or “Regulators” is understandable even though they’re made of people (or, People, who surely are to be trusted!?). Anger against subcontractors in general is less understandable, unless you’re a cynic. But I think a relational proximity analysis between entities involved in the creative, productive work, would be reveal more hopeful path of trust AND accountability than just blame and more external regulation.

What do you think? No, really, go on. Tell me. Don’t be shy! 🙂

rLiving Day 8: UK/US ‘Special Relationship’ (Continuity/Multiplexity)

You’d never know it – if you live in the US – but there was a general election in the UK yesterday, that resulted in a hung parliament. The last election was four years ago and the last hung parliament was in 1974. There was very little US media coverage of the election, so most Americans probably have little idea about it.

Image: screenscrape using Jing from news.bbc.co.uk

The US election, which seems to go on for four years even though it’s only held every four years, is covered by the British media head to foot.

Relational Proximity Dimension #3 is Multiplexity: a relation between two countries is better and healthier if they interact in two or three different contexts rather than just one. This is, essentially, about knowledge of the Other.

Relational Proximity Dimension #2 is Continuity: our relationship is formed and strengthened by the amount, frequency and span of time we are together. It includes a sense of shared history, and an anticipation of the future.

With respect to ‘knowledge’; the media is one way the US and UK ‘interact’, get to know each other as nations. So you can see from the example of election coverage that there’s a huge imbalance, not to mention deficit and distortion, of information and understanding between the two countries. Unless an American and Brit meet, or travel to one another’s country, the media is the only way the countries will build an understanding of each other as a people. The news media (let’s be specific here) is just one ‘context’. We need more (type, quantity & quality) if we’re going to have a better relationship.

With respect to continuity; a relationship anticipates a future, and a shared future (Dimension #5, Purpose). A relationship cannot rest solely on its past, shared history. It has a timeline but that timeline has to extend forward if it’s to be considered a relationship. The election coverage doesn’t reveal this, but I don’t get any sense of forward thinking between the countries.

Little knowledge, and little future planning. Doesn’t sound very special to me.

rLiving Day 5: Customer Relationships (Continuity)

At work today we were running through a virtual version of Forum‘s program, Achieving Service Excellence, on Adobe Connect Pro. Forum was a pioneer in “customer focus” and organizations still come to us because our deep experience and expertise in the customer experience. For years ASE (and its companion, Managing Service Excellence) has helped fancy ice-cream stores, banks, hotels, gas stations and more improve customer satisfaction, retention and spend. A center-piece of ASE is a simple but powerful ‘customer interaction cycle’ (shown with permission below). The behavioral battle for most people is resisting the temptation to go straight to ‘helping’, and then to keep going to ‘keeping’. But that’s not my point here [end of unpaid commercial]: the model presumes you’re going to see the customer again.

Relational Proximity Dimension #2 is Continuity: our relationship is formed and strengthened by the amount, frequency and span of time we are together. ‘Together’ is a function of directness (Dimension #1), so even if you only have an online relationship with someone Continuity will likely still strengthen the relationship.

I’d argue that if we meet once, we don’t really have a relationship. Not that I would approach you like that, especially if I’m a customer service representative. If I meet you once, but expect to meet you again, and you expect to meet me again, then suddenly it’s as though something is at stake, so trust is required and therefore a relationship is established. You can see how the expectation of a future meeting might change how we treat someone.

Two sets of vendor-client relationships may have met exactly the same number of times but because one set has an expectation of a future there is inevitably more depth and seriousness to the relationship. Historical perspective works the same way; having a sense of common history together means you can think and feel and say, “That was us, you and me! We did that. We went through that together!”.

Or, of course, you could look back and say “you keep screwing me over!”. Continuity, like the other dimensions, is a necessary basis of a good relationship but doesn’t guarantee it.

Whether with a customer or a friend, try recalling your history together, and discuss plans for the short or long-term future. Then actually start meeting regularly! See how that changes your sense of the health and vitality of the relationship.