book.chapter Performance laws triad

The three laws of performance are fundamental principles that are applicable in any context where human beings are engaged in efforts to accomplish objectives. By gaining a deeper comprehension of these laws and honing the ability to apply them, one can significantly improve and elevate their performance levels. Consider the question: Why do you engage in the activities you do? Numerous theories and publications attempt to explain human behavior, but the underlying truth is that your actions are always a logical response to your perception of the situation. This perception is shaped by your interpretation of the past as well as your expectations for the future. We all act based on our individual understanding of circumstances. The First Law of Performance posits that there is a direct and flawless alignment between your actions and your perception of the situation. This explains why comprehending another person's motivations can be challenging. Without stepping into their world and seeing things from their perspective, their actions might seem illogical. However, once you grasp their viewpoint, their actions become understandable. It's important to recognize that our perception is influenced by two factors: Our interpretation of the recent past, which provides context for the current state of affairs. Our anticipation of the immediate future, which guides our present actions. Many initiatives aimed at change within organizations fail because individuals perceive the issues as being outside their control. As a result, efforts to implement change often reinforce the existing state of affairs rather than achieving meaningful progress. This leads to a cycle where resistance to challenges inadvertently strengthens their hold on the organization. To progress, it's crucial to acknowledge and alter the perceptions that anchor you to the current situation. A case study involving Northrop Grumman in the early 2000s illustrates this point. The aerospace division of Northrop Grumman, located in Southern California, had a history of delivering technology for defense programs, particularly bombers and fighter aircraft. To grow, the company needed to venture into new markets like reusable launch vehicles and space exploration systems. The leadership recognized the implications of the First Law of Performance: if the new market seemed implausible, employees would remain detached and skeptical about the change. Conversely, if the opportunity appeared achievable and significant, employees would be more likely to invest the necessary effort. A small team's optimism eventually spread throughout the company, enabling Northrop Grumman to successfully transition into these new markets, with NASA now considering them a primary contractor for future human spaceflight operations. Steve Zaffron and Dave Logan challenge the conventional understanding of actions, which assumes a common interpretation of facts. They argue that there is a substantial difference between objective facts and individual perceptions of those facts. They emphasize that our actions are not based on the world as it is, but rather on how it appears to us. Zaffron and Logan advise observing the 'reality illusion' in oneself and others, noting that people often fail to recognize that their awareness is limited to their personal perceptions. They suggest engaging with individuals whose actions seem inexplicable and asking open-ended questions to gain insight into their perspectives. This process can foster trust and cooperation. The authors assert that history's greatest advancements have resulted from the application of newly discovered laws. When the Three Laws of Performance are applied, they can transform performance dramatically and instantaneously, as individuals and organizations redefine their futures. The language used to describe business challenges can significantly impact the ability to implement positive changes. Often, barriers to performance improvements are rooted in unspoken assumptions rather than explicit communication within an organization. To move forward, it's necessary to clear out the underlying clutter to make way for more constructive language. Language is a complex human phenomenon that defines our humanity. It allows us to remember the past and envision a bright future. It is the tool through which we dream, set goals, and plan. Since language shapes the future, altering it is essential for achieving different outcomes. Language encompasses not just spoken or written words but also body language, tone of voice, visual symbols, music, and even attire. Sometimes, what's termed a "racket" can be identified—a facade that masks deeper issues. Originating from the Prohibition Era, the term "racket" referred to businesses that served as fronts for illegal activities. Similarly, in organizations, there are often overt complaints that obscure the real obstacles to change. Recognizing these rackets can empower you to address the underlying issues. To harness the Second Law of Performance, start by scrutinizing persistent complaints, keeping in mind that these are interpretations rather than facts. Explore the situation by considering what needs to be communicated, forgiven, taken responsibility for, and relinquished. Share these insights with others in your professional and personal life. The Polus Group's experience post-World War II in Japan exemplifies this. Founded by Toshimi Nakauchi, the company grew into a large conglomerate. After Nakauchi's stroke, his sons struggled to manage the company due to unspoken assumptions. By bringing these assumptions to light, they were able to align with their father's vision and propel the company forward, leading to significant growth and environmental accolades. Language can be descriptive, recounting past events, or generative, creating an attractive future. People often have a "default future," a projection based on the past. To effect change, it's necessary to shift from descriptive to generative language, crafting an inspiring future that motivates and energizes all involved. In summary, the most effective way to initiate organizational change is to envision a compelling new future. This approach differs from traditional executive strategizing and is effective because it inspires action, motivates at all levels, and has an immediate, vibrant impact. A case study of BHP New Zealand Steel in 1997 demonstrates this. Malcolm Burns, known for cost-cutting, surprised everyone by involving the workforce in creating a new future for the company. This vision led to significant improvements in safety, costs, productivity, and profitability, while reducing the workforce by 25%. Burns' success was attributed to his ability to inspire the workforce to embrace and work towards a shared, inspiring future. In applying the Three Laws, one can do more than solve problems; one can discover the power to rewrite their future.