Are you building an intelligent enterprise?

Posted on August 25, 2014. Filed under: Interesting Articles, Linda Ray, Practical Strategies, Tara Neven | Tags: , , , , , , , , , , , , , , |

In this post, Tara Neven, the co-founder and co-director of neuresource group,  looks at why applying neuroscience to organisational leadership matters and what it means to be an intelligent organisation.

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In today’s global economy and in an increasingly hyperkinetic business climate, an organisation’s long-term success is determined by the ability of its supervisors, managers or senior executives to lead effectively through periods of economic uncertainty and constant change. In an era of unprecedented complexity and disruptive change, organisations must respond quickly and creatively to shifting markets and fluctuating social, and political conditions—to survive and to thrive.

Aligning your people to your organisational strategy and having a clear roadmap for getting there, is one of the foundations of a balanced scorecard. A balanced scorecard supports you to build human capital value and an intelligent enterprise. We can’t fight biology but we can leverage what we know about it. As we understand more about how the human brain works, organisational leadership may become defined as the art of building ‘neurocapability’ and creating brain-friendly organisations.

Applying neuroscience to organisational leadership matters. Science is revolutionising our understanding of what it is to be human. An explosion of advances in human neuroscience is giving us a window into why people behave as they do and how we can manage our environments and behaviors with others to maximise results. These new scientific findings challenge old assumptions of what it means to lead. While intelligence is our greatest strategic asset, our way of life has become profoundly out of sync with our neurology, and we largely fail to practice brain-friendly leadership principles and practices.

So what is an intelligent organisation, and why should this be important to you as a business owner, director, decision maker or leader? Why should you give this focus and attention when there are so many other issues in your business to deal with (for some it is just about keeping the doors open)? Simply put, building a brain-friendly organisation addresses and manages the disconnect between what science knows and business does. Dan Pink showcased this disconnect in his 2009 Ted talk the puzzle of motivation. Fast forward five years and there is still a massive disconnect between what science knows and business does.

Our knowledge of neuroscience and its application to practical business practices and leadership is fast evolving. Some would even suggest we are living in a neuro-revolution. The question becomes: So what?  How can we tap into emerging insights about the brain and apply them to the everyday work environment? How can we use what we’re learning to address the engagement and leadership crisis also regularly featured in the media?

If we embrace this new lens (through what we call the ‘neuro-lens’) to review and reinvent leadership and organisational practices and frameworks, we stand to be far more effective managers, leaders, CEOs, executives, and supervisors. The best organisations and the wisest leaders intuitively know how to create ‘brain-friendly’ environments, and they are reaping the rewards in productivity, performance, staff retention, and engagement levels.

In her article about building brain friendly organisations, Janet Crawford looks at the implications of taking brain science into the workplace. Crawford argues that many “nice to have” neuroleadership practices are, in fact, critically necessary. Organisations today use the rhetoric of work life balance, diversity and that they don’t tolerate bullying but have no real idea how to overcome it. Janet states that even if an organisation acknowledges that brain-friendly work environments are desirable, most organisations don’t truly understand how to create them, or don’t believe that they are possible.

She points out that if, as leaders, we commit ourselves to the task of cultivating environments, which optimise the human operating system, much of the rest will take care of itself. People will be excited and motivated and actually become engaged. This engagement, providing the processes are in place will last. They will think clearly and efficiently. Creativity and focus will abound. Collaboration and commitment become possible.

Neuroscience confirms something that HR and OD professionals have known for a long time: People fear change and change in the modern world is constant and is only going to get faster and more constant, change is the new norm. We need to get better at understanding change approaching change with the brain in mind.

A recent whitepaper, The Neuroscience of Leadership: Practical Applications, authored by Kimberly Schaufenbuel, program director of UNC Executive Development, examines this emerging field and provides examples of how applying neuroleadership can improve leadership practices, change management, innovation and creativity, and employee engagement.

According to Schaufenbuel, “HR professionals and leaders should try to reduce stress and anxiety by focusing on the positive aspects of the proposed change, asking questions, and listening actively to employees’ concerns. This process enhances the brain’s ability to adjust its response to the change and perceive it as non-threatening.”

If you want to get started on building your intelligent enterprise, consider these questions, can you answer or measure them?

  • Do you have a clear strategic vision?   – do your people know your “why” (watch Simon Sinek on TED Talks)
  • Have you got the right people doing the right thing and are you supporting and developing human capital?
  • Are your people consistently in a state of high engagement?
  • Can your people quickly respond to unexpected challenges?
  • Do your people know what they need to do every day to execute on strategy and have they got a forum to collaborate to discuss this?

Brain-friendly organisations are intelligent enterprises and they get a tick for each of these questions. They understand the importance of supporting people across the organisation to connect to the purpose or the why.

Brain-friendly organisations understand people are their greatest asset and tapping into their strengths and talents and having them doing the right job supports consistent high levels of motivation.

Brain-friendly organisations are committed to creating a workplace that engages the hearts and minds of people. Employees are not viewed as commodities with endless supplies of energy, rather they are viewed as a valuable resource.

In a climate of rapid change brain-friendly organisations have practices in place that support the organisation to be agile. Agile organisations are innovative and take advantage of unexpected opportunities as they arise. People in the business are supported to challenge the status quo and to think outside of the box.

Brain-friendly organisations understand people need a clear roadmap to implement the business strategy and support people to pursue business goals by creating strategies that keep people’s attention focussed on the areas that are important. This is key in the current environment where invitations to distract us and derail our focus are rife.

One of the best compliments I had recently from a senior leader in a large transport infrastructure company we are working with is ‘What have you done to my people? They are thinking for themselves and coming up with solutions’. Some small ‘tweaks’ to how an organisation is operating can reap big rewards. Is your organisation taking advantage of the neuro-revolution? Is it time to address any disconnects between what science is showing us and what your business does?

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