Home / Publications / Creating a Performance Improvement Culture
Creating a Performance Improvement Culture
Achieving extraordinary performance in operations requires implementing a process that recognizes the components of a performance improvement culture. Industry has achieved improved performance in Safety by applying similar principles.
When we look at what is required to deliver world class metrics on the Health, Safety, and Environmental (HSE) aspects of performance, we find that the same actions are required to deliver world class metrics on the operational aspects of performance. As a result, it is inconsistent to represent those actions required to “be incident-free” as being incompatible with actions required to “being operationally excellent”. The questions are: “How do we get there? What is required to consistently deliver extraordinary performance in all of its aspects? How does my already good team reach the next level?”
Recently there have been a number of observations from operators and drilling contractors indicating that “Performance is today where HSE was 10 years ago”. The implication is that the long-standing industry response to the need to reduce HSE incidents has not been matched with a similar response to deliver operational excellence. If we agree that improvement in HSE and improvement in operations emerge from the same actions, it might be instructive to review how industry has met the challenge on the HSE issues and then use that as a model to address operational issues. In reality, it is probably more a matter of focus. Industry focused on safety and we got a response. We were unwilling to accept that hurting people was the cost of doing business. But what was the composition of our response? And how can we use that on the operational side?
Although industry has reached a respectable level of performance in safety it did not come without much learning and adjusting our approach as we went. In many countries protection of people and the environment became law. But we learned that business and regulatory requirements were not enough to achieve a superior level of safety performance. We accepted that it would not be legally or socially acceptable to fail to create and maintain a safe work place and protect the environment.
We learned that process is important. We needed structure in the form of regulatory requirements and standards. We applied technology, procedures and equipment. We communicated and trained our people. We monitored and measured performance. In short, we applied process as a means to achieve a desired level of performance. And we saw improvement. But as we reflect back we could argue that we did not reach the “next level” until we had internalized safety on a personal level. Even though we applied the processes above we still continued to have incidents. Our latest experience is that a great number of incidents are not a lack of skill of the individual but a lack of will. Often times we hear the injured employee comment that they knew better but they still continued forward and found themselves injured as a result of taking a shortcut or not following procedures or policies. We need to ask ourselves why this still exists. We have technology, equipment, procedures and policies, and training in place but we still have incidents. We need to ask whether we have a proper balance between people and process.
We can go through the “process” of pre-job or pre-tour meetings and “check” the box that we have done so. If we do not truly engage people in this process doing so suggests that we are solely relying on the process to help us perform in a safe manner.
When we accept that people, and their attitudes and behaviors, are of key importance and we match that with good process, we achieve real and sustainable improvement.
We learn that encouraging and reinforcing proper behaviors in the workplace allows us to reach new levels of performance. We learn that people in management and supervision play a key role in this process and that the organization as a whole must be fully aligned strategically in these objectives.
We learn that encouraging feedback and questions also contributes to this improved performance and listening requires an open mind to truly understand the feedback. We learn that capturing lessons and identifying issues is paramount and everything that is learned contributes to improving the process but the greatest improvement comes as a result of the people. People are motivated like never before.
We learn that as we improve the process and motivate people, that we are creating a new working culture that promotes performance improvement from within the individual, team and organization. After all, the working culture we seek is simply the set of these shared values and goals and the desired capabilities, attitudes, behaviors we need to achieve them. Creating this new culture is the key to sustained success.
As we continue to learn in this area our desire today is to be proactive versus reactive to potential hazards. We are no longer just seeking to meet regulatory requirements but we have learned that being proactive in identifying hazards has allowed us to reach new levels of safety performance, perhaps saving many lives and millions of dollars in the process.
Also, we must realize at an individual, team, and organization level that there are other than functional roles to be played to support performance improvement. The role of Rig Manager, for example, is to ensure that specific regulatory and business requirements are met in their area of responsibility. In a performance improvement culture the role of manager also includes supporting several key elements for creating and sustaining this type of working culture.
A performance improvement culture has to be created beginning at the highest level and reaching to the lowest level in the organization. It includes minimum requirements that are included in the following roadmap.
PEOPLE AND PROCESS
Organizations have achieved much success by applying process to areas where improvement was needed. What we are seeing today is that organizations have reached plateaus and are asking how to achieve the “next level”. The answer is simple in concept but difficult in its implementation. Organizations must focus on using both people and process to create a performance improvement culture. But typically organizations find this answer to be too simple. Organizations want more “tools” – another spreadsheet, another database, another procedure, another form to fill out or report to file. Tools have been our response in the past so we must need more tools! This is simply adding more to the process side of the equation and a greater imbalance between the people and process.
Most organizations already have plenty of tools, plenty of processes and sufficient structure. The focus must shift to provide a proper balance between people and process.
The mindset we need to consistently apply must include not only performing the task but also creating and sustaining a work culture that improves the performance of that task.
We must practice the leadership skills that support this culture. Talk the talk – walk the walk! We achieve what we insist on and we get what we demonstrate. We insisted on safety and we applied people and process to achieve an improved level of performance. We demonstrated proper behaviors that reinforced the importance of protecting people and the environment. We measured and monitored performance.
When a safety culture is embedded at all levels of the organization in this way, it does not matter what task we are doing. Our approach is the same – we will do this task safely. The same logic applies to performance improvement. The culture of improving our own performance must be embedded at all levels of the organization so that we approach any task the same way – we will learn how to do this task better.
We can complete a series of tasks that deliver products and services with a high degree of quality without applying performance improvement. This could be achieved by having a strictly controlled process in place. Short term this may be acceptable but long term no improvement would be demonstrated and a competitive edge may be lost. Equally important would be losing the opportunity to develop people. It is unlikely that the delivery of these products and services will improve without true involvement of the people who are motivated, willing to apply new ideas, and take calculated risks.
In a performance improvement culture, the task itself is incidental. Completing the task is simply achieving an output. Equally important to the performance improvement culture is what was achieved in creating a stronger and more effective individual, team, and organization with a strong focus on improving and sustaining performance.
A balance between people and process should be continuously assessed as we perform work. The individual, team and organization should be encouraged to self-assess prior to, during and after performing work to determine how effective the individual, team and organization was in performing work from a performance improvement perspective.
A “process check” should be done regularly to ensure actions are consistent with the work culture we desire. Each individual should be completely engaged by encouraging questions, sharing concerns or ideas, and learning.
PERFOMANCE IMPROVEMENT CULTURE
The role of supporting performance improvement must be clearly assigned to all levels. The messages and behaviors that support performance improvement must be consistently applied.
Fully Aligned
It is important that the entire organization understand what the journey looks like; what should be expected on the road to performance improvement; and what is required to create a working culture to support this objective.
- Ensure that a clear vision, goals, roles and responsibilities, standards and expectations has been communicated of creating a performance improvement culture
- Ensure that understanding and buy-in exists within leadership
- Establish a set of core values to enable specific behaviors that support creating and sustaining a performance improvement culture
- Ensure that the organization is committed for long-term change
Questioning Attitude
Performance improvement is achieved by people realizing that ideas, suggestions, and sharing concerns are expected and recognized as part of the working culture.
- Promote and reward behaviors where questions, ideas or concerns are offered and accepted
- Request feedback when it is not offered to encourage this type of mindset
- Reinforce that maintaining a questioning attitude supports performance improvement by improving the process and building people
- Ensure full participation, seek out those who are not participating and ask for their input
Proactive Issue Identification
Identifying issues should be promoted as being positive – “we can solve most problems if we know about them.” Employees should understand the benefits of early or proactive identification of issues versus a reactive response to incidents or events.
- Promote and reward behaviors where proactive issue identification is practiced
- Reinforce that maintaining proactive issue identification supports performance improvement through early detection of issues
- Focus on employee motivation will create a greater willingness to be more proactive in issue identification
Ability to Manage Change
Managing change is a process that must be followed closely and deliberately. People need to understand why the change is taking place and what is expected. A performance improvement culture welcomes and adopts change.
- Ensure that a clear understanding exists within the organization of the change process and draw linkages to performance improvement
- Ensure that employees understand what role they play in the change process in support of performance improvement
Learning Mindset
Learning in at the core of performance improvement and it requires a working culture to be in place that understands how learning affects performance.
- Ensure that a process exists to capture learning’s
- Ensure that the learning process is communicated and well understood
- Ensure that communication of how lessons learned have impacted the organization and improved performance
Self Assessment
A performance improvement culture promotes self assessment. It should be expected that self assessment on people and process be performed on a consistent and continuous basis. We should specifically assess the effectiveness of performing tasks and working as a team and whether it is supporting a performance improvement culture.
- Self assessment should be promoted at the individual, team, and organizational levels
- Self assessment should take place before, during and after each task
Effective Leaders
In addition to functional roles, supervisors/managers must accept the role of promoting performance improvement and creating a working culture that will supports this objective. In implementing performance improvement in the real world, effective managers will need to continue acquiring and practicing leadership skills as well as applying those skills in their team environments. They will be using existing processes and developing new processes where opportunities are identified or where gaps exist.
- Build trust through appropriate behaviors and leadership skills and gain a following of support
- Identify and understand individual, team and organizational needs and remove barriers that prevent performance improvement
- Transform the working culture through proper application of leadership skills and knowledge of performance improvement
Effective Teams
Effective teams recognize that in order to reach the “next level” of performance there must be a clear balance between people and process. Recent experience tells us that a relatively high standard has been achieved by most organizations in creating process and developing “tools” in the workplace. Our focus should shift towards the people side of the equation.
- Trust within team is practiced and continuously cultivated
- Each team member is felt to belong to the team
- People believe that they are more effective working together
Conclusion
We believe these components of a performance improvement culture along with a performance improvement plan will enable organizations to take the “next step” toward their highest potential in operational and organizational effectiveness. The goal is to equip drilling team leaders and other management personnel with a performance improvement plan that will enable a working culture to exist and grow that supports performance improvement.
This means that leaders must lead their teams to make beneficial changes, encourage team members to change themselves, and reinforce changes in behavior that deliver improved performance throughout the organization.
The organization must view performance improvement as a process that requires a clear plan to improve performance and address resource requirements to enable this process to be successful. This process requires a change in the working culture and full commitment from the top of the organization to the lowest levels to execute this plan for improving performance.
Our experience tells us that a proper balance between people and process and the creation of a performance improvement culture with a clear performance improvement plan are critical inputs in achieving extraordinary performance.
