Covey - The 7 habits of highly effective people
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guidelines, and resources to make sure they are in harmony with organizational goals,<br />
the employee writes a letter to the manager that summarizes the discussion and indicates<br />
when the next performance plan or review discussion will take place.<br />
Developing such a Win-Win Agreement is the central activity <strong>of</strong> management. With an<br />
agreement in place, employees can manage themselves within the framework <strong>of</strong> that<br />
agreement. <strong>The</strong> manager then can serve like a pace car in a race. He can get things going<br />
and then get out <strong>of</strong> the way. His job from then on is to remove the oil spills.<br />
When a boss becomes the first assistant to each <strong>of</strong> his subordinates, he can greatly<br />
increase his span <strong>of</strong> control. Entire levels <strong>of</strong> administrations and overhead are eliminated.<br />
Instead <strong>of</strong> supervising six or eight, such a manager can supervise twenty, thirty, fifty, or<br />
more.<br />
In Win-Win Agreements, consequences become the natural or logical results <strong>of</strong><br />
performance rather than a reward or punishment arbitrarily handed out by the person in<br />
charge.<br />
<strong>The</strong>re are basically four kinds <strong>of</strong> consequences (rewards and penalties) that management<br />
or parents can control -- financial, psychic, opportunity, and responsibility. Financial<br />
consequences include such things as income, stock options, allowances, or penalties.<br />
Psychic or psychological consequences include recognition, approval, respect, credibility,<br />
or the loss <strong>of</strong> them. Unless <strong>people</strong> are in a survival mode, psychic compensation is <strong>of</strong>ten<br />
more motivating than financial compensation. Opportunity includes training,<br />
development, perks, and other benefits. Responsibility has to do with scope and<br />
authority, either <strong>of</strong> which can be enlarged or diminished. Win-Win Agreements specify<br />
consequences in one or more <strong>of</strong> those areas and the <strong>people</strong> involved know it up front. So<br />
you don't play games. Everything is clear from the beginning.<br />
In addition to these logical, personal consequences, it is also important to clearly identify<br />
what the natural organizational consequences are. For example, what will happen if I'm<br />
late to work, if I refuse to cooperate with others, if I don't develop good Win-Win<br />
Agreements with my subordinates, if I don't hold them accountable for desired results, or<br />
if I don't promote their pr<strong>of</strong>essional growth and career development.<br />
When my daughter turned 16, we set up a Win-Win Agreement regarding use <strong>of</strong> the<br />
family car.<br />
We agreed that she would obey the laws <strong>of</strong> the land and that she would keep the car<br />
clean and properly maintained. We agreed that she would use the car only for<br />
responsible purposes and would serve as a cab driver for her mother and me within<br />
reason. And we also agreed that she would do all her other jobs cheerfully without being<br />
reminded. <strong>The</strong>se were our wins.<br />
We also agreed that I would provide some resources -- the car, gas, and insurance. And<br />
we agreed that she would meet weekly with me, usually on Sunday afternoon, to<br />
evaluate how she was doing based on our agreement. <strong>The</strong> consequences were clear. As<br />
long as she kept her part <strong>of</strong> the agreement, she could use the car. If she didn't keep it, she<br />
would lose the privilege until she decided to.<br />
This Win-Win Agreement set up clear expectations from the beginning on both our parts.<br />
It was a win for her -- she got to use the car -- and it was certainly a win for Sandra and<br />
me. Now she could handle her own transportation needs and even some <strong>of</strong> ours. We<br />
didn't have to worry about maintaining the car or keeping it clean. And we had a built-in<br />
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