by Zoe Training staff

Starting with a strong foundation in accounting, Dan Chenoweth has a broad background in American and international business. His focus on general management issues inherent in today’s changing business environment involves organization leadership; business process analysis and improvement; project management; strategic supplier relationships; team development; and change management. In every situation, Dan helps clients take their strategy to the bottom line.

What’s your favorite topic(s) to present on? Why?

Business ethics.  It is a multi-faceted, complex topic and there is no lack of “fresh/new” material!  Ethics do count!  They are relevant and we need to have more discussion about them in these tumultuous times.

Three words that describe your presentation style:

Relevant, interactive, different.

Why did you become a speaker/trainer?

I always wanted to be an educator. I got a BS in accounting and immediately went for an MBA specializing in accounting thinking I would be a college professor.  Then realized I needed a PhD to teach at the college level.  I then decided to go into public accounting instead but always regretted not doing more in education.  Years later, after my corporate career, I was fortunate to get back into training and education.  I now provide seminars for CPAs throughout the country.  I love working with mature audiences who push back on points and add their own insights from their own experience.

Tell us about a presentation experience that went wrong:

I had done an ethics session for a farm co-op group in Denver and it went quite well.  I was then asked to do a similar presentation in Springfield, IL for a large farm co-op conference.  My session was a “pre-conference” session.  Therefore, it was not very well attended (about 50 people) but the room was set up for 500 people for the next day’s events!  It is excruciating to try and have a dialogue with participants in a cavernous facility like that where the 50 folks were scattered throughout the room.  I felt like a rock in a tin can!  I was not able to make a connection and it didn’t go well.

What are you most grateful for in life?

I have a loving wife and family.  While there have certainly been ups and downs with all three of my children, I wouldn’t trade them for anything.  I am now blessed with three grand children and one great grand child.

Do you have a favorite quote?

“The pessimist complains about the wind.  The optimist expects it to change. The realist adjusts the sails!”

Inquire about Dan Chenoweth

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by Steve Ouellette

What purpose, if any, does Six Sigma serve in economic downturns? Full disclosure: I teach and consult in Six Sigma and related areas, and you’re reading this article because you’re interested in Six Sigma, so we may not be the most objective people to assess this, but in this article, I will do my best to find the truth.

I remember when I was working as an engineer for a company that made aluminum for aerospace and commercial applications. One of the apparently inevitable downturns in aerospace was occurring and the company was looking to cut costs, critically eyeing headcounts. At the same time, there was a consulting team training and implementing the technology that would one day be called Six Sigma.

Of course the talk around the table in the lab revolved around the uncertainty of the times, and sooner or later someone would begin to complain that the company was spending enough money on consultants each year to avoid laying off four full-time employees. I was torn in what I thought. On the one hand I was a recent hire, and thus first in line for the chopping block, but on the other, I also knew that the benefits the company and employees were accruing from what the consultants had to teach us was enormous.

Well, I survived that round and the ones after it (once due to the generous sacrifice of a coworker on sabbatical who requested to be laid off rather than one of the active engineers). It really wasn’t until I began consulting that I could form a more data-based opinion.

Let me start out by saying that, except in rare circumstances, my experience is that headcount reduction ends up costing a company far more in the long term than it saves them in the short term (and analyses by researchers Kim Cameron and Wayne Cascio seem to confirm my observations). Headcount reduction should be the last recourse for a company, not the first. In fact, for many companies, employee costs are pretty minimal compared to other costs. This is even worse when companies use the faux-fair “across the board” layoffs mantra. When looking across the company, does anyone really think that all departments contribute equally to profit? If not, then why should layoffs be evenly distributed?

No, across-the-board layoffs in the interest of fairness isn’t fair, it’s only a symbol of management taking an easy out when what’s called for is a more difficult assessment of where profit is generated or supported, and where it isn’t. Remarkably, managers make layoff decisions without this type of information. And, by the way, decisions about layoffs are generally made by the people who made the decisions that are now leading to layoffs.

Managers outside of Dilbert aren’t evil people and I know layoff decisions can be personally devastating for those who have to make them. But doing an across-the-board layoff in the absence of data on each department’s contribution of profit, strikes me as a pretty random way to try to save a company.

I often wonder what businesses would be like if we could place the past, present, and future value of our employees on the balance sheet. As it is, when managers make cuts it looks like a net positive, when we all know that there’s a real cost that isn’t accounted for in the numbers. Armed with this data wouldn’t we be even more loath to fire our coworkers?

Layoffs are a prime indicator of poor strategic planning and policy deployment. (Read my article on policy deployment for more on that.) Not so much that the strategic plan should have accounted for an unexpected economic downturn, but that if you have done a good job of deploying your resources to achieve a strategic plan, you know what layoffs will cost you in your long-term competitiveness. Because everyone is working on something related to achieving your plan for business success, anyone you lay off means that portion of the plan won’t be completed, thus throwing into doubt your business’ ability to succeed.

I won’t deny that layoffs may be needed when companies have a real misalignment between how they are staffed and their strategic vision. But this is a conscious decision made regardless of economic crises, not because of them.

When confronted with a difficult situation, I like to question the premise behind it. So, is it possible that your people, rather than threaten it, can actually enhance your company’s viability?

Consider what the common reaction is to bad economic times. “We have to circle the wagons, cut out the fat, stop the bleeding…” All of these bad metaphors point to retrenchment, and frequently the issues that are left behind are related to understanding and improving the process. What if all your competitors were digging in while your business plowed forward? (Yikes, another bad metaphor!) Where would that leave your company when the economy turned around again? Perhaps companies should consider difficult economic times as a challenge with opportunities for process improvement, as opposed to a challenge to shrink your way to success?

The benefits of working on improving your business process are clear. Understanding and improving your processes leads to lower costs through reduction of inspection, scrap, rework, waste, and errors. This is the area where lean and Six Sigma are designed to function. Improving your meta-processes, such as strategic planning and policy deployment, product or process design, capital provision and validation, and continuous improvement, lead to even greater savings through cost avoidance. These are areas where define, measure, analyze, improve, control (DMAIC) is less helpful, but other technologies, such as business performance excellence, design for Six Sigma, statistical start-up, and daily management exist to show the way.

When times are hard, forward-looking companies should take those people who might otherwise be laid off and invest their time and expertise in understanding and improving the business, so that when times turn around the business is positioned to take advantage of the better business climate. If times stay bad for a while, at least the business is becoming more efficient so as to minimize the effect on its workforce.

When I talk to people about all these improvement activities in good times, they say something like, “Where am I going to get all the manpower to learn how to do business right? I barely have enough to do business as messed up as we do!” Well, maybe this is an opportunity to take those well-trained, experienced, and hard-working “most important resources” and continue to have the business benefit from them, instead of turning them away into the labor pool of our competitors.

And keep them on not just to do Six Sigma. The limitation of Six Sigma, a problem-solving technique that uses advanced statistics, is that it is, by its nature, limited to a relatively small cadre of Black Belts—maybe 5 percent of a company. And (dirty secret here) it should be limited to a few, because you don’t want a large proportion of your workforce fixing problems, you want them avoiding problems and running the processes that make you money. However, Six Sigma gives the impression that improvement is concentrated only in the anointed few. What do the other 95 percent work on? If we also include the other areas that can be improved that I listed above, then understanding and improving the business, reducing and avoiding costs, saving the business becomes goals to which everyone can contribute.

So I guess I want you to have your cake and eat it too, while your competitors eat ashes. Don’t lay off people that you could be using to save your company more money than they get in salary and benefits. If you can, when the economy turns around you will be ready to aggressively expand in your market, while your timid competitors are still trying to figure out how to uncircle their wagons with half the people they used to circle them.

Take a background in engineering and higher education, combine with expertise in ethical decision making, statistical design and analysis, survey design, process management, strategic planning, policy deployment, and business performance excellence, add a touch of humor and irreverence…the result? Steve Ouellette, the Six Sigma Heretic™, who helps facilitate fundamental change within organizations to help them greatly improve their profitability.

by Zoe Training staff

Take a background in engineering and higher education, combine with expertise in ethical decision making, statistical design and analysis, survey design, process management, strategic planning, policy deployment, and business performance excellence, add a touch of humor and irreverence…the result? Steve Ouellette, the Six Sigma Heretic^™, who helps facilitate fundamental change within organizations to help them greatly improve their profitability.

What’s your favorite topic(s) to present on? Why?

Applied research tools (like Six Sigma), because I love to see “unsolvable” problems get solved (and because I love it when people say that they finally “get” statistics). Strategic planning and policy deployment, because it is great to show people a logical way to successfully deploy a plan.

Three words to describe your presentation style:

Vibrant, funny, interactive.

What are your favorite groups of people to work with?

I like working with different groups for different reasons. Upper-level management because they can initiate fundamental improvements in a business, middle-management because they are the ones who support that change, and front-line supervisors and hourly workers, who are the ones who actually make change for the better happen.

What’s the most unusual location (or circumstances) you’ve presented in?

I taught a couple of classes at Eglin Air Force Base to the Energetic Materials Division (energetic materials are explosives). Every day I got to drive onto the base and across the landing strip with F-16s doing touch-and-go landings, which was tons of fun. Though we did have to pause during class as they screamed by on full afterburner…

Are you involved in any community projects/issues?

I am working with local public schools to improve their strategic planning as well as to understand their school performance data and use that to drive improvements.

Do you have any pets? Kids? Unusual hobbies?

We have two girls, a Siamese cat, and a Shiba Inu puppy. After my undergrad engineering degree, I was a Thomas J. Watson Fellow during which I spent a year living in Europe studying, “The Evolution, Fabrication, and Impact of the European Sword.”

by Penny McDaniel and Anne Neal

What is strategic planning? And what do you need to know about the process to determine how strategic planning could benefit your municipality? This article provides a brief overview of strategic planning—the benefits, process, obstacles, and strategies for insuring accountability and follow-through.

Strategic planning is a systematic process where you identify why your local government exists, whom it serves, benefits derived from the services you provide, and your administration’s vision for serving its citizens. Your strategic plan serves as a blueprint for how your local government will achieve its vision, and it answers three basic questions: “Who are we?” “What do we want?” and “How are we going to get what we want?” At each stage of the process you will need to involve various people and groups, and this is where the power of strategic planning comes into play.

Does strategic planning sound like a long, drawn-out process?  Well, it can take a while to do it right.  What’s the old saying?  “Anything worth doing, is worth doing right.”  This may be quite true, but we think there needs to be a lot of benefits for embarking on a time-consuming and sometimes difficult process.  Participants in previous strategic planning workshops determined a number of benefits for undergoing this process:

• Helps engage the community and involve a wider group of stakeholders
• Creates a plan that has the community in mind
• Focuses on broad issues
• It’s fun to envision the future
• Identifies clear impacts and decisions
• Helps us keep a focus
• Proactive v. reactive (not crisis management)
• Assesses resources, strengths, and weaknesses
• Makes it easier to measure success
• Adds to the stability of the community
• Gives us a sense of achievement
• Provides stability through term-limits / changes

There are many, many approaches to strategic planning; however, there are a couple of common threads among most plans.  The predominant starting point is a solid understanding of the organization: its vision, mission, values, history, key contributors, accomplishments, and setbacks, all answering the question of “Who are we?”  Being able to see the organization within the environment in which it operates is also beneficial.  There are a variety of environmental scans that help organizations understand the pressures and dynamics that are affecting them and that could affect their strategic plan.

In our workshop we asked participants to conduct an environmental scan on trends in local municipalities.  Here are some of the trends they came up with:

What would you add to these trends?

Still answering the “Who are we?” question, one common thread in most strategic planning processes is to conduct a SWOT analysis to explore the Strengths, Weaknesses, Opportunities, and Threats of the organization.  In the Technology of Participation ToP®* Strategic Planning Method, we also look at the benefits of success and the dangers of success (unanticipated consequences of success that you might want to plan for).

Once the group has a pretty good handle on its identity and environment, the next couple of steps have to do with setting goals, objectives, strategic directions, and developing action plans to accomplish them. This helps identify “What We Want” and “How We’re Going to Get It.”  The ToP®* method of strategic planning includes the following process:

We’re not suggesting that strategic planning is an easy process. It requires a strong commitment from both your executive level and governing board. To secure top-level support you will need to assess the resources needed to develop and implement a successful plan. Resources to consider include staffing needs and compensation for their time, hiring a professional facilitator, your organization’s technological ability to design, implement, and monitor the plan, and meeting and facilities expenses. If the roof has caved in and you’re in crises mode, strategic planning is not the best method for dealing with the crises. Take care of the crises first and then consider creating a strategic plan.

Additional challenges include identifying who makes the decisions at each stage of the process and when you need to build consensus.  Using a skilled facilitator can guide you through this, and utilizing a participatory method—such as the ToP® Methods—when appropriate can make it a more inclusive process.  Making sure you have included all important stakeholders will help you avoid creating a plan that is unsupported.  When done right, strategic planning should engage and excite your staff and citizens in shaping the future direction of your local government.

The final plan should include specific information about goals, objectives, and clearly defined action steps that identify who is responsible for each action item, what resources are needed, when the action item is due, and how you will monitor progress and measure success.  As a basic rule, you should regularly review your action items; a good practice is to conduct quarterly and annual evaluations.  However, more frequent than four times a year may be necessary depending on external circumstances. To keep people committed and on track, communicate and publish results regularly and acknowledge departmental and individual accomplishments as they occur.  It may be helpful to research other municipalities’ strategic plans or to benchmark your processes.  Keep your focus on the strategic plan and strategic directions.  Many leaders get off track because they focus most of their time on operational or tactical issues and don’t think strategically. Leaders who spend about 20 percent of their time thinking strategically and working their plan are more likely to be successful achieving the goals and vision of their strategic plan.

If your organization has never engaged in the strategic planning process, it can be helpful to start with a project or department to get some experience and success before embarking on a plan for the whole municipality.  Utilizing a professional facilitator can help your municipality navigate the strategic planning process.

Penny McDaniel, MA, has more than fifteen years of experience working in the field of training and development, facilitation, and personal growth. Penny specializes in helping people develop their leadership skills, improve new and existing team effectiveness, and assist individuals in connecting with and achieving their personal vision and creating shared vision in their organizations. Penny believes that every individual and every organization should be challenged to reach his or her highest potential. Her commitment as a trainer and facilitator supports that process.