The Great Game of Business

Defining the Game of Business

Game: A pleasurable activity in which team works towards a common goal/objective of winning with high interest/passion.

Business: A series of activities in which a group of persons is engaged.

What needs to be added to make Business a Game: Common Goal/Vision/Objective Team Spirit Ownership Passion/Interest Fun

Where It Started !

SRC: Manufacturing Organization . Jack Stack is the inspirational CEO. Stock Price increasing continuously. Has decentralized business as 60 subsidiaries. Pioneer of Open Book Management. Provides training programs around GGOB concept. Has given 31% of shareholding as ESOPs.

Rules of the Game

Know and teach the rules:“ Every Employee” should understand the

business matrices and how to achieve them.

Follow the Action & Keep Score:• “Every Employee” should be enabled

and involved – Self Score Keeping

Provide a Stake in the Outcome:• “Every Employee” should have a

direct stake in the company's success.

Critical Number – The goal of the game: What we need to chase ? – E.g. Net margin,

Cost, Sales.

Show them the Big Picture - Vision

Appeal to the highest level of Thinking People use effort to help each other achieve common goals. Design Score Cards & Display in Open. Keep score like sports. Everyone likes to keep their own score. Company displays financial data prominently. Financial statements with Forecasting numbers for next

month. Forward Forecasting schedule – Every week. Measure against the yearly plan for variances – winning or

losing.

Your own Organization - Example

Dun and Bradstreet Report Sales Goals, Pipeline and Progress -Visibility High Travel Cost Leveraging the Partners – Growth Strategy

You can bring the change at your own level – within team. Groups can have their own mini-games. Create early-wins – reachable goals. Update on old commits & give “new commit” numbers –

forecasts.

Sales Divisions Jan Feb Mar Apr May June

US Plan Forecast Actual

India Plan Forecast Actual

EMEA Plan Forecast Actual

APAC Plan Forecast Actual

Open Book Management

Transparency Trust & Confidence of Sharing Teach & Understand financial

statements Income Statement - Profit & Loss

Statement Balance Sheet/Cash Flow Statements Clear Cost Analysis – Including

overheads like stationery Clear Goal Setting – Eye on Prize Accurate Data – Accurate Targets –

Quick Decision Making Able to forecast & measure variances

Think & Act like Owners !

ESOPs Empowerment Democratic process

Ask people to contribute. Asking people is a Fair way of doing things. Quarter Targets & Bonus Program based on profits –

carry through. Benchmarking & Set Standards People own the self assigned numbers –

Accountability Knowing others are counting on us raises level of

commitment. Everyone must understand finance numbers.

Team Huddles – Weekly Meetings

Current Score Review – Play Books Everyone quotes their Numbers – Names attached Numbers flow up instead of down Projections are Promises made to each other. People offer to help each other to achieve their numbers. How to move forward and achieve the targets. No intradepartmental fights Win & Lose as a team Huddle Cycle – From Department & Mgmt From Mgmt to Department

How to Lead ?

Let others contribute – You don’t have all the answers. Don’t hog the meeting time – round robin method. Be approachable - Participate in fun events with others. Ask people about their angers and frustrations. Recognize contributions and successes. People should choose their own targets – Best Buy-In. Everyone should have a clear “Line of Sight”. How their actions contribute to the business ? Involve everyone in annual financial planning process. You gotta wanna – Instilling the desire to win.

• So much Chatter – Company develops own lingo.• Constant Communication – No silos – No walls

People should work cross-functionally.• Participation in events.

Philanthropy • Pride in the Work.

Market your products to your employees.• If we are happy, we like to work !• If we enjoy – we want to be here !

Have Fun & Contribute Back !

How to create a Game ?

• Name the Game: “Up the Sale – Close More”• Set the Goal: X to Y by when• Estimate the benefit: E.g. Net Profit In Rupees• Identify the Players

Those who can impact the goal.• Determine the time frame – 30 days• Create a theme & build scorecard• Decide on the reward• Incremental rewards for goals• Huddle schedule to discuss performance -

weekly

Game’s Winning Moments !