Saturday, July 13, 2019

A632.7.3.RB_Colaborative Decision Making


Collaborative Decision Making

According to Allen et al., conflict is not a hindrance to collaborative learning, rather as a means through which learning occurs and is essential for creativity and problem solving (Allen et al., 1998).  There has not been a more accurate representation of this statement for me personally than when teams from different areas of the organization came together for a resolution that impacted multiple stakeholders. 

A specific situation when I was faced with making a decision that involved multiple stakeholders was at Target.  When I entered my role, I was handed off a store with many opportunities for process improvements that directly affected our top and bottom lines.  One such opportunity was our in-stocks. This was a problem because more often than not, the store showed product available on our shelf in the system but physically there was nothing there; customers would go to the store looking for something they expected to buy that showed available but was out of stock.  This was affecting sales and customer satisfaction as well as the results of the metrics we were measured on for store performance.  

The store had to change a lot of our processes and routines because the inventory management system was inaccurate. Essentially, the information we were reporting to the distribution center was consistently inaccurate; the data systematically did not match up to physical counts on the shelves and in the back room, which was important because we didn’t have a back room to store a lot of reserve material. As a result, we were getting too much of some items and not enough of others, which was driving down sales and in-stock levels.  While this became increasingly frustrating, it was about to get even more frustrating when headquarters batched our performance metrics together with the distribution centers.  For the first time, stores and the distribution center started sharing key performance indicators because Target started tying the store metrics to the distribution center’s metrics, so we had to partner with them.  In the past, we were measured on individual performance.  For example, we were rated on in-stocks, sales, and budget, and the distribution centers were rated on trailer fill, productivity, and quality as it pertained to on-time delivery.  The big problem was, headquarters did not provide new key performance indicators (KPI’s) and tasked us to develop our own. 

The process for fixing the issues was to get together and establish goals for hitting our targets, then we had to root cause and develop quality improvements for in-stocks.  Intuitively, I knew that system issues at the store level had to be corrected for a good overall performance measure.  I called a meeting with my logistics ETL, ETL’s from other stores, the distribution center, and the quality team to discuss the overarching goals and find a way to meet them.   During this time, we could all feel the frustrations of this new directive and moving toward an agreement in principle meant dealing with group dynamics and difficult people.  According to Levine, people need to get comfortable working with each other in a new way.  People have different levels of awareness, intra-personal, and interpersonal skills in a group dynamic, even though we had similar intentions and outcomes (Levine, 2009).  It became apparent during much negativism and complaining, that focusing on the desired outcome and big picture while allowing everyone to talk and voice their concerns was the key to getting on the same page toward an agreement.  Additionally, there were several views on the right way to go about the task.  According to Levine, when you multiply the number of people and conflicts, there becomes several right ways.  Trusting your instincts and having positive intentions will guide you toward a sense of the right way (Levine, 2009).

Ultimately, we developed 3 KPI’s based on sales, in-stocks, and product quality.  It took teamwork and partnering to determine what was important and how to drive in-stocks better.  Now we had an agreement in principle.  Everyone was on the same page, and this was a big step toward reaching an agreement.  Levine states that agreements define how activities are coordinated, how people work together that express a joint vision, and a roadmap to results.  Like a dance, with the differing idea of the steps of the dance, but the differences can create a greater synergy (Levine, 2009). What we could not figure out on our own, by collaborating with a larger group of stakeholders, we determined what we wanted to measure and tasked these mechanisms to teams.  Our agreement created the details, the bones of the agreement, which, according to Levine, created trust and eliminates conflict (Levine, 2009).

Over several weeks we measured how the POS systems worked, how we did cycle counts, how up to date our systems were, and how we unloaded the trailers and checked in materials.  After it all shook out, analysis of the data resulted in changes in our processes and routines.  At the store level, we had to change our habits.  Store departments used the new agreement to keep units on the same page.  Articulating a shared vision and creating clear conditions with direction and guidance in implementing team objectives and the overall mission (Levine, 2009). At the distribution center had to change when they were getting product from suppliers and tighten down on the delivery windows so they could flow product directly to the stores sooner.  They also made changes to some of their processes to better serve the stores, like sending product to stores more real-time instead of putting it into reserve and waiting for us to request it.  Suppliers were given a more efficient delivery window of 4 hours instead of 12, so the distribution center could better facilitate flowing product directly to us.  This allowed for a more accurate forecasting and better metric performance.
   
When everything was said and done, the stores received what we wanted, when we wanted it.   This significantly improved our stock-outs and our system more accurately reflected the products in our store, and this quality improvement positively impacted our performance measurements. I attribute this victory to the teams and collaborators that came together to figure out a way to solve the issues.  The issues would not have been found had the stores and the distribution center not collaborated and worked together.  This ultimately increased customer satisfaction and sales.  Levine talks about the power in joining your vision with others.  Clear agreements with other stakeholders and teams can generate an exponential expansion of power as teams work together pursuing common goals (Levine, 2009).  Stakeholders from the customers, store team members, suppliers, warehousing and distribution teams, quality teams on up to HQ were all impacted by this collaborative effort that could not have been done otherwise and we learned that it truly takes a village to achieve what one man could never accomplish on his own.

In the future, this learning experience can help me to make better decisions because it has opened my perspective to what teams can accomplish with collaboration and teamwork empowering team members toward a common goal.  Team dynamics bring much more to the table as differing perspectives are bounced around. The experience can improve my decisions because it has taught me that trusting others and putting my faith in them to do the necessary tasks to get the job done pays off.  It’s about relinquishing control. Lastly, I am a better decision maker because of this experience. I have learned about my leadership abilities and being an effective leader in a dynamic, diverse organization.  That giving up was never an option in my mind, and that my intuition as a guide to resolution is quite reliable.  I was more empowered reflecting on this problem while reading Levine as he discussed leadership saying that leaders don’t give up, don’t blame others, don’t make excuses, they keep moving forward and course correct as they go (Levine, 2009).  The experience opened my eyes and reinforced that respecting differing values and perspectives brings value to situations.  Understanding and honoring them influences a compelling vision for the future.

References:

Levine, S. (2009). Getting to resolution (2nd ed.). San Francisco, CA: Berrett-Koehler Publishers, Inc.
Allen, W., Brown, K., Gloag, T., Morris, J., Simpson, K., Thomas, J. & Young, R. (1998). Building partnerships for conservation in the Waitaki/Mackenzie basins. Landcare Research Contract Report LC9899/033, Lincoln, New Zealand.  Retrieved on July 11, 2019 from http://learningforsustainability.net/research/thesis/thesis_ch7.html


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