How to build a culture of accountability

 

How to build a culture of accountability

Firstly, let’s clarify what culture is?

Culture is embodied in the phrase “this is the way we do things around here”. More precisely, “what people perceive they have to do to fit in, be accepted and rewarded around here”? Culture is the sum of the behavioral norms of the workgroup, team, division or organization. It is relatively common to have different cultures between teams or divisions within the one organization. These are referred to as sub-cultures and they can range from being marginally different from the culture of the overall organization to being quite radically different. This has implications for not only understanding an organization’s culture but also for managing it effectively.

Why is culture important?

Have you ever tried to stay within the speed limit when everyone around you is driving at speeds well over the speed limit? The behavioral norms of a group can strongly influence the behavior of the individual. Culture defines the behavioral norms (accepted behavior) in a group, team, division or organization. In turn, behavior underpins the performance (what gets done, when it gets done and how it gets done) of the organization and perceptions (reputation) of that organization.

A Framework for Managing Culture

While managing culture requires a range of approaches and cannot simply be managed by dictating the culture you want, it is essentially about managing messages. The objective is to ensure messages are consistently conveyed through aligned behaviors (especially of key people), systems and symbols.

What is accountability?

The key concept is the notion of having a sense of ‘responsibility’ and a willingness to be ‘answerable’ to others and is the difference between a group and a team. In our experience, the most important factor in developing accountability is the quality of leadership and management (and this is the only aspect leaders or managers are really in ‘control’ of). Good leaders and managers generate high levels of accountability in their people.

Whilst organizations should plan to recruit the right people in terms of their willingness to be team players and be accountable; recruitment is only the starting point. The real key is what leaders and organizations do from that point onwards. Good recruits can be ‘lost’ in poorly lead organizations with unsupportive cultures. Many managers see accountability as being attributed to an individual’s values; therefore they blame the individual and underestimate their own role in creating an accountability culture. In doing this, a great opportunity to build a high performance organization is missed.

Responsibility is not blame

It is important not to mistake responsibility for blame as they are diametrically opposed concepts. Where one exists the other will not remain. Responsibility is the ability to make a response; it is future and action focused. Blame is past focused and is more about the ego – isolating people, teaching them a lesson, point scoring or making them feel guilty/bad than it is about accountability. Guilt and fear is not a good basis for developing accountability.

A Framework for Building an Accountability Culture

We see the steps in building an accountability culture as being:

1. Building trust as the foundation:

The four key elements of trust are

·        Openness/transparency (giving and accepting feedback, transparency in decision making)

·        Reliability (doing what you say you are going to do)

·        Congruence (saying what you mean)

·        Acceptance (acceptance of others and acceptance of differences).

2. Engage your people: meaningful involvement with alignment. Remember you can’t truly and sustainably motivate another person but you can engage them. It is through engagement that motivation will grow.

3. Ownership: once the first two elements are in place people start to ‘take’ ownership they start to think and act like owners. (As this happens the future possibility for selling down equity, as part of the firm’s succession plan, becomes a reality).

The level of accountability is directly related to the level of trust, engagement and ownership that exists within an organization. Certainly work at improving all levels simultaneously; however remember higher levels in the pyramid cannot progress any faster than the base they are built on, there are no short cuts. Without trust and engagement no performance measures and rewards will be particularly effective over the medium to long term you cannot buy accountability. The key to building a culture of accountability is to find a way to lead people without ruling them.

Trust in government

Trust in government

The ability of governments and the global community to achieve the Millennium Development Goals, ensure security, and promote adherence to basic standards of human rights depends on people's trust in their government. However, public trust in government and political institutions has been declining in both developing and developed countries in the new millennium. One of the challenges in promoting trust in government is to engage citizens, especially the marginalized groups and the poor, into the policy process to ensure that governance is truly representative, participatory, and benefits all members of society. Where governance processes are exclusionary and basic services are not accessible, intrastate conflicts and violence within the country can negatively impact national and global security and peace. Weak systems and processes of governance tend to erode trust in government. Within this context, the issue of how to build trust in government and trust between socio-economic actors has emerged as an increasingly important issue in both developed and developing economies.

Government is abandoning, or even overlooking, the great significance of its domestic policies

Government is abandoning, or even overlooking, the great significance of its domestic policies

But it is important that those who hear and read this message should in no way confuse that approach with any thought that our Government is abandoning, or even overlooking, the great significance of its domestic policies. (This seems to be the case)
The social and economic forces which have been mismanaged abroad until they have resulted in revolution, dictatorship and war are the same as those which we here are struggling to adjust peacefully at home.
You are well aware that dictatorships--and the philosophy of force that justifies and accompanies dictatorships--have originated in almost every case in the necessity for drastic action to improve internal conditions in places where democratic action for one reason or another has failed to respond to modern needs and modern demands.
It was with far-sighted wisdom that the framers of our Constitution brought together in one magnificent phrase three great concepts--"common defense," "general welfare" and "domestic tranquility."
More than a century and a half later we, who are here today, still believe with them that our best defense is the promotion of our general welfare and domestic tranquility.
Our constitutional rights are abused and ignored - it seems money is KING and the hell with everyone else.
But Special Interests and Corporate America has taken over our great nation.
We are in the worst economic crisis since the depression and a diminished world power with dire consequences to our citizens.

The Survival of Humankind, and Improving the World, Society, and Yourself!

The Survival of Humankind, and Improving the World, Society, and Yourself!

Yet who can the world trust to be idealistic and moral enough to help all of humanity and the environment, and at the same time, be practical enough to make extremely difficult decisions that can and will harm a great deal of people?
Humanitism is a philosophy for the continued survival and perpetuation of the human race. Humanitists (people who believe in humanitism) do not have the luxury of trying again after failing. Humanitists must be more vigilant than environmentalists, because we will not have a second chance at survival.
The survival of humanity is more important than the well being of our environment; however the environment is necessary for humanity to survive. That does not give the right for big businesses to continue doing whatever they want with only minimal or no consideration for the environment, so long as our surroundings support human life. We need to protect the environment for the continued survival and future well being of humanity. Keep in mind that without the human race, there would be no one and no need to protect the environment. Therefore, humanitism is more important than environmentalism.
It seems that in the past 50 years the human race has pursued the money train, that such desire for financial gain has caused society to ignore and abandon honesty, values, morality and candidness etc.
The race to financial gain has caused our leaders and the executives of the corporate world to disregard laws, ethics and the caring for each other and humanity as a whole. Deception, fraud and outright theft are their new motto all for the sake of financial gain, personal ego, fame and success.
It seems that for the sake of success and profit people will step on anybody, family friends, co-workers and anyone who stands in their way or take advantage of anyone that could help them achieve what they want.
That is not to say that honest and compassionate people who care do not exist, where honesty and integrity is a way of life for them, but they are a very small minority.
As we begin the year 2011, we should all look at the past and decide with determination that everyone will from now on contribute to the betterment of humanity, society and mankind.
We should all learn to live with each other and respect each other for the sustainability of mankind. Humanity should strive for harmony, tranquility and peace
Compiled by: YJ Draiman – 1/5/2011
PS
The human survival instinct prods us to outlast afflictions and, if circumstances permit, to reach old age. Nothing, of course, could be more quintessentially natural than aging.
These ideas stated within are where mankind has already been slowly diluted and polluted over time. Aristotle knew it, he said Tradesmen "money-makers" should not be accepted as citizens because they were pre occupied with making a profit and would not do what was right for the people regardless to what they know is right. Mankind knows wrong from right every day of the week. It's time to eliminate apathy and Encourage, nay demand this world to act on what hey know is right. We are on the cusp of falling towers the great or the evil. I will not take one day off, I will not hesitate to state my opinion and I will not hesitate to Work everyday to stifle the ignorance and enlighten all. Light up the darkness. Time to act, not tomorrow, not two days from now, not a year from now but right now! I refuse to digress. We can do this. We have a responsibility to all of mankind before us. And to all of mankind to come. I have had these feelings for years. Please spread the word, spread the love, and pay it forward. Everything hinges upon this one event. It will be the most beautiful thing to occur in history if we will just stand up and fight for what we believe in. And patiently educate those in the manner of what is right and what is wrong and how to act. We are all affected. Together as one we will survive. This is my generation.  I still have the most massive compulsion to do everything in my power to help. We must serve as an example and an inspiration to current and future generations.

American economy in crises - a long time coming

American economy in crises - a long time coming

When a country and its society import more than they export for over a quarter of a century, it is bound to erod the economy to its primate state.

We have only ourselves to blame, what goods and products are we exporting, what goods and services are produced in the USA, the answer is very little by comparison.

In the past 50 years as our population has increased, technology advanced, we have become a nation that consumes enormous amounts of resources, we shop for competitive prices. Corporate America is constantly looking to increase the bottom line.

Most of the goods for and by Americans and its companies are produced overseas and in the past decade with the advancement of telecommunications, many of the services sector are also imported.

The increased costs of energy over the past 10 years, has affected the economy to unimaginable comprehension.

This economic activity has eroded our economy to its core. It seems that the situation is getting worse every year. American debts are increasing beyond our wildest dreams, endangering the future economic vitality of our future generation.

I hope it is not too late for our society to recognize the graveness of our economic predicament and its resolve to take appropriate action to stem the tide of our economic downturn.

Americans are a nation of great technology and knowhow. We must utilize that technology and our resources to find new means to regain our economic independence.

We must face and implement fiscal responsibility, both by the government and the population with its infrastructure of corporate America.

It is no longer an option, it is a must if we as a nation want to survive and retain our way of life and economic vitality.

Inflation, recession and financial crises are here. Let us take the bull by the horn, initiate immediate actions to minimize and hopefully reverse our economic crises.

YJ Draiman, Northridge, CA.

PS

The US economy has enormous momentum. Metaphorically speaking, if someone turned off the locomotive that drives the US economy, the economy would go on for miles before anyone would likely notice something was wrong. But something has been wrong for many years. Is there really hope for the future? Maybe. But the terrible truth is that no one really knows. But if there is hope, we're already on the wrong track. And that has to change..

Big Slap in the Face for Free Markets

Big Slap in the Face for Free Markets

I'm looking at this economic situation from a different perspective.    I have intimate exposure to the real estate, stock, and mortgage markets through the Fairway Preserve case.     What I see is a breakdown in morals.

1) The condo/real estate market was artificially inflated.   Everyone was propagandized into believing that real estate has no downside.   
2) Mortgages were made available without regard to the ability to pay
3) CYA replaced accountability    (This is the key element - as there is no one who takes responsibility, not the lender, not the borrower, not the financial advisor, not me, not you, and not the mailman.

There is no amount of money that will cure the problem until there is a recognition that rules and common sense have to be a criterion.     Just yesterday in the height to the hullabaloo a client sold her home and produced a contract wherein the purchaser - a Nigerian immigrant - had a mortgage contingency of 99.6 % of the purchase price.   Purchase price $350,000.00 mortgage $349,000.00.    Naturally I read the newspapers and know that it is impossible to get a mortgage with good credit and 20% down.   Right!   The Nigerian got the loan.    What do you want to bet that he will default on the loan in the first six months!  

Who bears the responsibility!    Look in the mirror.   Our elective representatives are going to toss a trillion dollars at the problem so that the financial institutions can engage incompetents to ruin their businesses and reap zillion dollar compensation for cultivating and nurturing the culture where the Chief Operation Officer of the company does not have clue as to the operation of the business and gets paid for reducing a billion dollar going enterprise to a stagnant million dollar operation on the verge of Bankruptcy.    We are going to affirm the judgment of the elective representations in bankrupting the USA by re-electing them.

As they say = the ' coupe' de grace is that we will not learn from the disaster until it is too late.    Unfortunately I have no solutions.   I am as much in the dark as every other idiot.    I do not see a need to 'jump' at a solution for solution sake.     If the investors panic, they will lose their money - so be it!  I frankly do not care if the presidential candidates are hurt politically by the crisis or not.    All I know is one of the candidates thought it is more important to campaign for the office of president than to do the job that he was elected to do.    That is exactly the attitude that is one of the 'root causes' of this problem.  

The 'high holidays' are on the horizon.   This may be the year to really and honestly pray for the deliverance of our beloved country.   Our chickens are coming home to roast.

You can't possibly have hidden yourself from the news of the $700-billion planned bailout that's working through Congress this week. And I won't mince words — I consider it a big slap in the face for the free market system.

Henry Paulson repeated over and over again exactly how agitated, disgusted, annoyed, infuriated, angered, embarrassed, and irritated he felt about asking for this amount of money, or any money at all. Sounds sincere if you stop it right there.

But apparently those feelings weren't enough to reinvigorate his free-market spirit, abolish potential bailout plans, do away with unnecessary regulation and let those who deserve to suffer, suffer.

How Free Markets Are SUPPOSED to Work...

Availability of credit allows money to flow between savers and borrowers.

Resources and funds are allocated to various projects or investments during a boom phase.

Eventually borrowing becomes excessive and leads to mal-investment, thanks to the suppression of the real rate of interest by our illustrious Federal Reserve Banking system.

At this stage, adherence to free market theory would allow for an efficient cleansing period and a healthy recovery period. How? Irresponsible and unprofitable businesses fail. Bad debts get liquidated. Excess resources go on sale, flow into more stable ventures and pool together with more profitable resources controlled by healthy corporations or entities.

Sure, pain is felt by certain parties who can't keep things going. But the moving parts become more efficient and stronger. Healthier, more efficient businesses emerge.

As the Austrian School of economists says, the bigger the boom generated by manipulation of money and credit, the bigger the ultimate bust.

That's important, because thanks to the massive manufacturing and sale of derivatives, there has never been a boom supported to such a large degree by thin air. And since the laws of gravity haven't been outlawed yet, what goes up must come down.

I'm against the $85,000,000,000.00 bailout of AIG.

Makes sense to me.   The problem is that if something so sensible were to be done, the people who got us into the mess would lose control.   No more paying great sums of money for screwing up a company, no more creating jobs so relatives can mess up our lives like they did their own.   We would not need either Obama or McCain to lecture us on how they are going to make our lives better, nor Joe Biden to tell us how Roosevelt after the 1929 stock market crash immediately got on television to reassure us.  (Hoover was president - Television was quite limited.   It was only found on North Broadway at a laboratory called Columbia)   don’t confuse brain dead Biden with the facts!   He thinks he is running against Palin for Prom Queen.  

Hear as much of the 'debate' as I could stand.   God help us!   McCain is going to love us to death, and Obama kill us with one liners.   It is no wonder that the world is laughing at us.  However while the laugh they envy our lives - only the Hollywood types profess to want to live in another country

Building trust by improving governance

INTRODUCTION: TRUST AND ITS CONCEPT
Since trust emerges as one of the most significant elements upon which the legitimacy and sustainability of politico-administrative systems are built, trust has become a major worry for many leaders, scholars and public officials globally. Trust is highly important for government and good governance, but it seems to be declining around the world. People are losing their confidence in governments (Etzioni & Diprete 1979; Fukuyama 1995; Putnam 1995; 2000; 2002; Gambetta 1988; Barnes & Gill 2000; Cook 2001; Hardin 2002; 2004; 2006). Many think that the trend towards lack of trust in the government by the public is not just a national problem; it has become a global phenomenon.
Why is trust in government declining? There are many reasons. Some say that the people have changed through socioeconomic development and the social structure of our lives has changed so that people are more skeptical of government (Etzioni & Diprete 1979; Klingemann et al. 1995; Nye et al. 1997; Hardin 2004; 2006). Others say that the styles of politicians have changed and the underlying politico-administrative issues have also changed in ways that reduce confidence in government, confidence in institutions and confidence in many public organizations (Manin 1997; Hardin 2002; 2004; 2006). Symptoms of declining trust include declining voter turnout (Gray & Caul 2000; Suleiman 2005), youth disinterest in politics (Adsett 2003), decreasing levels of civil involvement (Saul 1995; Putnam 1995; 2000; 2002; UN 2008), and periods of poor economic performance (Blind 2006).
What is trust? While there are numerous definitions of trust, it generally refers to a personal attribute regarding a relationship of reliance, confidence, optimism of a good will, or confident expectation (it is a situational/relational concept). Trust can be summed up in the equation, Trust = f (x), where x refers to multiple variables (Kramer and Tyler 1996; Cook 2001). In other words, trust can be defined in several different ways, including along individual, organizational and institutional dimensions. In terms of organizations, trust can be a function of three major variables: embedded predisposition (a function of managerial philosophy and its structural manifestations); character (dis)similarity, which is affected by organizational actions and structure; and experiences of reciprocity, which are affected by the organizational context for reciprocity and mutuality (Kramer & Tyler 1996; Ostrom & Walker 2002; Kramer & Cook 2004). In sum, trust can be defined as the result of a combination of the characteristic similarity and positive relational experience. It can be positively influenced by increasing the perceived similarities and the number of positive exchanges. Adverse experience can result in a corresponding negative influence and lack of trust.
THE OBJECTS OF TRUST AND THE ROOTS OF MISTRUST
There are numerous objects of trust in government. For governments to gain trust they must basically govern and perform better; there must be more transparency, accountability, participation, responsibility and responsiveness. The major objects of trust include the government's integrity, the administration, the judiciary, the legislative body, the electoral process and the outcomes.
In deciding on trustworthiness in these areas there are some questions that can be asked (Seligman 1997; Sztommpka 1999; King 2000; Weber and Carter 2003; Hardin 2002; 2004; 2006). In the area of integrity, for example: is it corrupt or deceitful? Does the administration operate efficiently? How does it manage the bureaucracy? Is the judiciary fair, consistent and obedient to the rule of law? Is the legislative body representative and inclusive? Is the electoral process open, transparent and reasonable? Are the outcomes those which are best for the country? These questions about trustworthiness all reflect the characteristics of good governance (Barber 1983; Bianco 1994; Seligman 1997; Braithwaite & Levi 1998; Blind 2006).
The roots of mistrust can be found in various areas: citizens feel that politicians and public officials often abuse their powers in the interest of self-aggrandizement; citizens feel disconnected from government; government service delivery is perceived as inadequate or improper; government systems are poor or malfunctioning; a weakened global or national economy, such as we face very seriously around the world today; the effects of globalization and informatization, such as ICT development; resentment over political scandals and crises; the incompetence of bureaucrats and politicians; rule violation, honor violation, and many others (Nye et al. 1997; Hardin 2004).
HOW TO BUILD A LEVEL OF TRUST IN GOVERNMENT
How is trust in government built up? Building trust in government can be likened to a billiard game. The target ball cannot be hit directly; it is moved by hitting an intermediary ball first. In the same way public trust cannot be affected directly or in isolation. By targeting legality, integrity, efficiency, effectiveness, involvement, dependability, transparency and fairness, which are all part of good governance, improved public trust will eventually result. In other words, pubic trust is the pinnacle byproduct of foothill goals such as good governance agendas (Goodsell 2006). All of these attributes of good governance rely on public sector capacity, which is essential.