While ‘Operation Transform’ was well underway with some positive signals coming from a few facilities around the country, red flags were flying over the Eastern Region. Deeper analysis uncovered a serious problem in the company’s Perry, Georgia plant.
Perry, Georgia, known to many as the “Crossroads of Georgia” because of its location at the intersection of several major highways, is home to the company’s biggest mess. The plant’s history can be traced back to the early 1960s when the 3rd generation owners of a family business in Maryland purchased vacant land on Route 224. The family sought to locate an operation within 500 miles of their new customers in Atlanta, Birmingham, Memphis, Mobile, Nashville, New Orleans, Raleigh, and Tampa. Over the past 50 years, the plant and adjacent warehouse changed hands only a few times, most recently in 1993 when Jack’s company acquired it.
Appearing to be time, technology and globalization tested, this plant was a winner as a southeastern hub for its previous owners. Since the acquisition by Jack’s company, however, cost recovery at the Perry plant has been impossible – the operation has been bleeding money. With productivity the lowest among the company’s 29 facilities, and no positive signs in sight, the Perry plant became a prime target for the ‘Operation Transform’ team.
Once she was made aware, Christine, the transformation team leader, visited the plant immediately – she knew that if the transformation was to succeed, the biggest problems must be addressed first. Despite a slow plant recovery, she expected to find that the leadership team had fully embraced the urgency of the tasks before them, that they’d identified and deployed the priorities for each plant team. She expected to find that the plant staff was fully aware and understood the changes required of them. Their hair should have been on fire.
What she learned after two days of observing the Perry Plant team alarmed her. The leadership team had reported to the home office that the key priorities of the ‘Operation Transform’ plan were understood and had been translated into specific actions to be taken by the team.
As far as Christine could tell, there were no visible signs of reform within the plant. Not one member of the LT referred to the key ‘Operation Transform’ priorities when addressing plant team members. Not one manager reinforced the goals and objectives, and most concerning, managers were not rolling up their sleeves to change the way things are done in the plant. Instead, it was the “same shit, different day” according to one production line staffer.
If this is illustrative of the company’s leadership practices, Jack’s promises made to the company’s shareholders are doomed to fail.
Rather than signaling that change starts at the top, Walking the Talk has become a slogan from “bumper sticker management” as it’s often a hollow commitment made by senior leaders. Sure they Talk the Talk, but we’ve all witnessed the hypocrisy of two sets of rules.
“We’re cutting T&E until further notice. As such, business class tickets will no longer be approved for international travel.”
Then you find out that use of the corporate jets by members of the C-suite is on the rise and that senior executives are exempt from the economy class travel restrictions.
The self-important irony is that management doesn’t have a choice other than to Walk the Talk because role-modeling the change in expected behaviors across the organization is mission critical. It’s leadership priority number 1. It’s the only way to show that radical change is required and that we’re all in this together.
You must start with the leader in the mirror, to paraphrase Michael Jackson, if you want to change your world.
See previous posts....
Downsizing and Asset Sales ≠ Radical Change (#3)
See previous posts....
Downsizing and Asset Sales ≠ Radical Change (#3)
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