Compound disinterest

One of the difficulties of thinking is that we all tend to drop into the ruts of previous thought patterns. The deeper the rut the more difficult it is to think outside that rut.

To escape the rut, it is useful to think in terms of analogies: to take an idea or method and apply it in a different context. It is a powerful tool.

Managing people is not always straightforward. The uncertainty of outcome, which is normal with people, makes the mathematical tools of probability a relevant analogy.

An engineering analogue might be the derivation of reliability statistics for complex systems. Human beings are definitely complex systems!

In the most simplistic reliability calculation the reliabilities of each item are multiplied together to achieve an overall figure.

If zero is unreliable or no performance, and 100% is perfectly reliable or total performance, then five perfect people will give a perfect performance.

100%   x   100%   x   100%   x   100%   x   100%    =    100%   Perfection!

If our five people are operating at 95% then

95%   x   95%   x   95%   x   95%   x   95%   =   77%    a 23% reduction in perfection!

If fifty people are operating at 99% then the result is 60%, a 40% loss in perfection!

The more people in an organisation, the more important is their individual performance.

If you make sure your people are engaged, you will be astonished at the improvement in overall organisation performance.

And that’s before you improve the processes!

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Posted in continuous improvement, Employee engagement, Leadership, Operational effectiveness, People management, Perform.