With a record attendance of almost 90 participants, last week’s BBRT meeting no. 60 in London was a great success.
The theme of the meeting was: Implementation. Accordingly, the focus was more on how to make Beyond Budgeting happen, and less on what it is.
Key messages from the meeting:
- Management is a thinking issue
- Beyond Budgeting (BB) represents a management philosophy that is different from traditional ‘command & control’
- Accordingly, to implement and achieve the full potential of BB, a change of management thinking is required.
- The change of mind-set should take place at the outset of a BB journey; before new processes and systems are developed and implemented.
- The Beyond Budgeting Institute presented a newly developed framework for implementing BB. This includes a number of stepping stones, one of which is a study phase which addresses the required mind-set change.
- We recommend that companies seek advice from one of our BB Partners, to ensure that this framework is properly applied right from the beginning of the journey
We were very fortunate to have great speakers with us at this event. From each of their perspectives, they shared their views on how to make management change happen. Despite the very different backgrounds and perspectives, they all pointed in the same direction: management is a thinking issue, so this must be addressed from the outset of the change process.
Toby Rubbra from Vanguard Consulting (our BB Partner in the UK)
Based on two recent client cases, Toby demonstrated how they helped leaders overcome one of the most critical problems of implementation; namely the management thinking. This was done through a phase of study, which provided leaders with an understanding of how the existing management processes and measures negatively impacted behaviour and lead to sub-optimal performance.
John Timpson, chairman of the Timpson Group
With almost 2,000 shoe repair and key-cutting shops, the Timpson Group is one of UK’s leading retail service providers. John presented his “Upside Down Management” model and how it was successfully implemented. He provided many great examples of how they continuously improve and nurture the company’s unique culture. This is a great example of “less is more”: they have achieved sustainable and profitable growth with no head office, no marketing, no centralised ERP, no budgets (other than an annual one-pager to the bank), only limited high-level financial projections, minimal HR and Finance teams, and only 2 rules.
Dawna Jones is a global change-agent and the Canadian founder of frominsighttoaction.com. She presented her perspectives on how to make difficult changes happen in large organisations; not least in VUCA environments (i.e. under Volatility, Uncertainty, Complexity, Ambiguity). She made the argument and explained why linear thinking (and traditional methods for decision making and change) cannot lead to the desired results when dealing with making change happen in organisations in the 21st century.
Anders Olesen from the BBRT Core Team started the meeting by challenging the participants to think about how suitable the usual change management processes (such as Kotter’s) are for implementing BB. This session, in combination with all of the above-mentioned contributions, all supported the need for new methodology to implement BB.
Accordingly, at the end of the meeting, we presented the new BB Implementation Framework which is designed to meet the specific needs of a BB journey. We are convinced that this can vastly increase the success of your Beyond Budgeting journey.
Members who could not make it to London last week can access the videos and presentations on the Knowledge Base.
The next European BBRT meeting is held in the spring of 2018 when we celebrate our 20 years’ anniversary!