Empowerment
Be a Good Coach: The Art of Leading with Impact
Being a coach is about more than giving advice.
It’s about listening and empowering others.
Encourage growth by asking questions, not giving answers.
Focus on the process, not just the outcome.
Celebrate small wins to build momentum.
"Great coaches turn silence into understanding and questions into breakthroughs." — Mike Brewer Share on XCoaching is a dance between guidance and independence.
Be a mentor, not a manager.
Create a safe space for learning and failure.
Your team’s potential lies in their ability to learn, adapt, and overcome.
Harness that, and you’ll lead with impact.
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Unlocking the Power of Prohairesis: Mastering Your Choices
Prohairesis, the ancient Greek concept of moral choice.
In my mind, it holds one of the keys to personal freedom.
It teaches that while we can’t control events, we can control our responses.
At some point, we all find ourselves at a crossroads; life is happening all around us, and chaos is ruling the day.
Yet, with prohairesis, you choose your path with calm resolve.
This principle shifts power from circumstances to you.
Exercise calm, use your own reasoned choice, and leave the chaos behind.
It fosters resilience.
In every decision, large or small, prohairesis empowers you to act with integrity and purpose.
Your strength lies not in what happens to you, but in how you choose to respond.
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Embrace the Truth Without Pain
Truth can be like a sharp knife, but it doesn’t have to cut deep.
Facing reality with courage is our key to personal growth.
When we accept the truth, we empower ourselves to change.
We don’t have to fear the truth; we can use it for a better life.
Truth is the foundation of trust.
Embrace it with an open heart for all that you will become.
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Defining Centralization in Multifamily
Key Points
- Centralization concentrates decision-making authority in a small group at the top, aligning decisions with strategy but limiting autonomy.
- Decentralization pushes decision-making power down to lower levels closer to operations, aiming to increase flexibility, employee engagement, and ownership.
- The industry’s approach has shifted, moving away from the previously embraced decentralization model. But why?
The Oxford English Dictionary defines centralization as follows:
cen·tral·i·zation
/ˌsentrələˈzāSH(ə)n,ˌsentrəˌlīˈzāSH(ə)n/
noun
the concentration of control of an activity or organization under a single authority.
“the centralization of all financial power in the hands of its leaders”
All right, humans, let’s talk about centralization in property management companies! I’ve mainly remained on the sidelines for this debate but have decided to get in the game – at least as it relates to defining the terms. Let’s call it what it is – centralization is the concentration of decision-making authority.
I’m not here to judge if that’s good or bad!
But centralization is not ultimately about efficiency; it’s about decisions a small group makes under the guise of efficiency!
But wait, there’s a method to this madness. Centralization ensures decision-making aligns closely with the company’s short and long-term strategic objectives. It offers consistent decisions, streamlined processes, and a united management front.
This is crucial for property management companies that need tight control and coordination. It makes for a well-oiled machine.
Full disclosure: I’ve long been on the side that thought limiting the number of people who input data is necessary to produce clean data. It’s the linchpin of efficiency and effectiveness.
It’s what makes everything work better – the humans and the processes they are responsible for executing.
So let’s embrace centralization, we say!
It’s a powerful tool; when used correctly, it will make your life easier.
Let’s make it happen!
Except that…
..we can’t fully appreciate centralization without the Oxford English Dictionary’s definitions of decentralization:
Imagine this: two decades ago, our industry embraced the radical idea of empowering property, regional, and shared service managers to make decisions directly impacting their operations or departments! Decentralization was the name of the game! It was all about distributing that decision-making power across the lower levels of your property management empire, bringing it closer to the customer!
Why? Because we believe in facilitating faster decision-making processes and increased flexibility! We espoused mantras like “delight the customer,” “do the right thing,” “think like an owner,” and “take educated risks!”
The Thesis
Allowing team members to directly influence outcomes and a sense of ownership over their work can lead to a more engaged workforce.
By dispersing that authority and decision-making power throughout the organization, lower-level managers and employees can adapt more quickly to the market, customer needs, and operational challenges! Their proximity to customers and front-line operations enables more informed and context-specific decisions! This is the way! Decentralize, empower, and watch your business soar!
Get ready to be blown away by the decentralization revolution! The thesis didn’t stop there, oh no! It embraced the radical idea that decentralization can foster a sense of accountability and responsibility among team members, as they’re entrusted with decision-making capabilities!
But wait, there’s more! We believe autonomy could increase motivation, engagement, and a more substantial commitment! Can you feel the energy radiating from these ideas?
Imagine a workplace where team members feel their contributions are valued and their voices are heard! A more positive and collaborative work environment can be cultivated, like a lush garden of empowerment and growth!
We said things like; this is the path – decentralize, empower, and watch as we soar like eagles, riding the thermals of accountability and responsibility!
Let’s get pumped and make it happen!
But For…
..coming back next week to get the rest of the story!
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The Secret Sauce of Business Success: Jack Stack’s Open-Book Management
Photo by Zac Durant on Unsplash
In innovative business strategies, one concept stands out for its radical approach to transparency and employee engagement: open-book management (OBM). Pioneered by Jack Stack in the 1980s at SRC Holdings Corporation, OBM is not just a business tactic but a revolutionary philosophy transforming how businesses operate, engage their teams, and achieve unprecedented success. He wrote about it in The Great Game of Business.
The Genesis of Open-Book Management
The journey of open-book management began in the mid-1980s when Jack Stack, faced with the daunting task of saving a failing engine remanufacturing company, decided to take a path less traveled. Stack believed that the secret to turning the company around was not in top-down management decisions but in involving everyone in the company to understand the financial health and operations of the business. This was the birth of open-book management—a strategy hinges on transparency, financial literacy, and shared responsibility.
Understanding Open-Book Management
Open-book management is a business strategy that involves sharing the company’s financial information with all employees, educating them on the economic aspects of the business, and empowering them to make decisions that impact the company’s performance. It’s based on the principle that an informed and engaged workforce can drive the company to more tremendous success. Employees are treated as business partners who understand how their actions contribute to the company’s financial health and are motivated to find innovative ways to contribute to its success.
The Core Principles of Open-Book Management
- Transparency: The foundation of OBM is transparency. Financial statements, revenue, profit margins, and other critical business metrics are shared with all employees.
- Education: It’s not enough to share the numbers; employees are also educated on interpreting them, understanding business operations, and how their work directly impacts the bottom line.
- Empowerment: Employees are given a stake in the business’s success through incentives tied to performance, encouraging a sense of ownership and accountability.
Step-by-Step Implementation of Open-Book Management
Implementing OBM requires a strategic and thoughtful approach. Here’s a step-by-step guide to integrating open-book management into your business model:
- Start with Education: Before diving into the numbers, educate your team on financial statements and business operations basics. This foundational knowledge is crucial for meaningful engagement.
- Share the Numbers: Regularly share financial information with your team. This includes not just the successes but also the challenges the business is facing.
- Set Collective Goals: Use the financial insights to establish collective goals that everyone in the company can work towards.
- Create Incentive Programs: Link employee incentives to achieving these goals, ensuring everyone benefits from the business’s success.
- Foster a Culture of Ownership: Encourage employees to think and act like owners, giving them the autonomy to make decisions affecting their work and the company.
- Iterate and Improve: OBM is not a set-it-and-forget-it strategy. Continuously gather feedback, assess the effectiveness of your approach, and make adjustments as needed.
The Impact of Open-Book Management
The benefits of open-book management are profound and multifaceted. Companies that have embraced OBM report financial gains and improvements in employee engagement, innovation, and job satisfaction. By demystifying the economic aspects of the business, employees are more invested in the company’s success, leading to a more motivated, productive, and cohesive workforce.
Challenges and Considerations
While the benefits of open-book management are significant, implementing this strategy is challenging. It requires a shift in corporate culture, a commitment to transparency, and a willingness to invest time and resources into educating employees. Resistance from traditional management structures and the need for ongoing commitment can also pose challenges.
Case Studies: Success Stories of Open-Book Management
Under Jack Stack’s leadership, SRC Holdings is the poster child for the success of open-book management. From the brink of bankruptcy, the company became a multi-million-dollar conglomerate, with employee engagement and financial literacy at the heart of its success. Other companies, large and small, across various industries, have also successfully implemented OBM, reporting significant improvements in economic performance and employee morale.
In Sum
Jack Stack’s open-book management is not just a business strategy; it’s a transformative approach to how businesses operate and engage with their employees. By fostering transparency, financial literacy, and a sense of ownership among employees, companies can unlock a level of engagement and innovation that traditional management methods struggle to achieve. As we move into a future where the lines between management and workforce are increasingly blurred, the principles of open-book management offer a compelling blueprint for success.