4th Dimension of

Management
Alternative Solution to the
Organizational Crisis &
Economical Turmoil

Dr. Ahmed Mukhtar,

ahmed@tomorrowconsultants.net

Kingdom of Bahrain

March 2009

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 The paper can be down loaded from following
International web sites:

http://www.scribd.com/doc/13674575/Strategic-
Management-4th-Dimension-of-Management-
Economical-Turmoil-Alternative-Solution
https://documents.pub/document/strategic-
management-4th-dimension-of-management-
economical-turmoil-alternative-solution.html
http://www.docstoc.com/docs/7066670/Strategic-
Management
http://www.scribd.com/doc/15875322/Strategic-
Managementpdf

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 Index

Title Page

Beginning of New Era 4

Management Concepts 10

Globalization & Organization 10

Management Practices 12

Concept of Organizational Spirit Management 17

Basis of Definitions & Characteristics 19

Definition of Spirituality in Organizations 21

What is Organization Spirit 21

Leadership & Spirit Management 22

Strategies & Organizational Spirit Management 23

Tips for Successful Strategic Planning 26

Seven Management Planning Tools & Spirit Management 28

Organizational Strategy Implementation 29

Strategies of Organizational Spirit Management - I 31

Compliance Systems & Strategies for Organizational Spirit

Management Implementation 32

Strategies of Organizational Spirit Management - II 33

Helpful Practices 37

Building Spirit 38

References 40

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Beginning of New Era

In my web-site www.ahmedmukhtar.com - is no longer active - as I kept my

articles through conferences and training seminars and workshops, I
started the articles following September 2003 New York incident; I have
been digging the integration of such eras for Organizational Development
(OD). The global economic turmoil enhances my previous management
agonies that we do need new management conceptual frameworks despite
that if finance and economic are the causes, management process of these
two are integral to a holistic picture of business, finance, and economic of
both private and governmental sectors. The current global economical
turmoil exploited how much our finance system is weak and fragile. The
fact that finance and management systems within organizations are
integrated and interrelated brings to our attention that management system
is also responsible for such global and economic catastrophe. This is a
sign that presence of such finance and management structure, systems,
processes, policies and operations could result of repetition of severe
global catastrophe in future. In this regard the governments, organizations
and corporate are desperately working for new global and local finance
structure. The question comes what about the management system and
structure?

We usually fail to recognize the natural abilities of our team and individuals.
We do have to look for the source of the whole wheel for our organizational
development (OD) that is behind our management concept as whole. The
fact of the three basics management domains, finance, environment and
social are not only the frameworks that encompasses the organizational
management is understood by several other factors being which were not
placed under clear domain shaping an incomplete picture of our whole
management understanding. Therefore our management concept is
moving on three legs rather on four or more.

Several authors and experts pinpointed and studied such factors and spirit
management is realized as integral part of management. My intention is to
keep most of those factors and parameters in a new domain as spirit
domain. Such ignorance of these factors and spirit management domain as

4
the fourth domain of organization due to severe management deficiency of
some major parts of its contents that resulted in break down and falling a
part of major economic, political, finance, and other sectors as seen in most
of management, and economical crises affecting all levels and categories
of business and public sectors. High fuel costs. Weakening demand,
subprime mortgages. Meltdown, credit crunch, bailout of investment firms
and banks, stock prices down, recession, depression fears, etc are the
major concerned in current situation. The current incidence is part of
continuous cycle of such events in this century, while being severe it is not
the end and it is the first. This shows how our economy and international
policies are deficient and there is a need for urgent reform of our finance
and economic structure. A look upon all these is the management concept
that controls and runs such system locally and internationally. In one world
we need to look at our management system and concepts deeply and root
reform is needed. There is turbulence and uncertainty throughout the global
economic system. We do need short and long term solutions. While short
solutions require immediate actions to stabilize our organizations the long
term are solutions are the integral part of organizational growth and
stability.

Current situation requires bold move in our management and economic

system for some organizations. This is the time that the management
consultant to look at their holistic approach needed to help organizations to
move beyond the current management system to a new era of the four
management domains; Finance, environment, social and spirit.

Cash flow generation, general operations status, access to capital markets

and rollover financing, commercial properties market outlook are some of
economical status but all require a comprehensive management solutions
in implementing, tracking, controlling and assessment to reform and select
proper systems and solutions. We need to keep management’s prudence
and capability in a crystallized picture. There is no one solution to our
economic and management chaos and we do have some systems,
methodologies and strategies to evolve and gather handy results. If Toyota,
the architect of lean thinking is affected and other giant international
companies affected is to the global management lack of enough policies,
systems, strategies and no management concept alone can give the right
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remedy. Our management consultants have to come to the scenes and
work globally to give such support.

Financial crises can originate in an industrial country, being with best

infrastructure and economic policies in place, but financial standards did
not tolerate such typhoon. The second is that a crisis in a systemically
important country will project its impacts everywhere: giving it more of a
regulatory, supervisory to our governmental and international organizations
have changed our look at the financial and management systems. Global
economic and management governance are needed. All these show we do
lack an integral part of our holistic management domains.

Change management needs strategic reform and building domestic

demand which is pushing the economy within our organizations need to be
reformed, and ask ourselves what is lacking behind our current
management systems. We do need awaken and visualize our management
concepts.

China's role has made us to rethink about the success that China has
made in the manufacturing sectors. The cost effectiveness has prompted
the Western conglomerates to shift manufacturing bases to China, in order
to remain competitive in the global market. This does not mean that China
is going to be immune in such economical events in future but we do need
to take deep look at the some countries economical culture that is behind
such development. Do we need stick or by carrot!

Transformation leadership will play the most important role to generate

confidence in the mind of the stake holders. Organizations have to be
revitalized, rejuvenated and it requires a well thought after balanced
turnaround management process.

There are several management looks and concepts such as Blue Ocean
strategy which was formulated by the Insead Business School
Professors Kim and Mauborgne clearly explains that tomorrow’s leading
companies success will not by fighting competitors, but by creating “blue
oceans” of uncontested market space which will enhance in terms of
market share and profitability and market capitalization growth. Such every
day new theories are still lacking the comprehensive approach for our
management systems. Despite we do need individual management

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concepts, models and systems for individual organizations but these
systems showed be comprehensive in its implementation strategies.
Whether organizations need the Blue Ocean system as a new market place
as it is absolutely new space for firms to cater to the un served customers
or the Red Ocean as a highly competitive market with lot many players
operating in that market place and firms margins are under pressure.
Management consultants are bombarded by daily new innovative and
creative management models and systems. In reality we do need to be
bombarded by such new information and management data. In same time
we do need to relax and look at the organizational management domains.

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 Management Conducts & Organizational Path

High ROI and Profit

Bad Management & Finance Practices
High Productivity & Performance
Weak Standards , Regulations & Control
Systems Coherence
systems
Employees and Clients Satisfaction
Un appropriate Tools, Measures, &
High & Steady Growth
Processes
Immune to Organizational Collapse & Fall
Four Management Domains Factors not
Considered
Poor Spirit Management Conducts

Organization

Good Management & Finance Practices Productivity Decrease

High Standards, Clear Regulations & Control LOW ROI
systems No Profit and Lost of Capital
Proper Management Tools, Processes & Measures Organization Collapse
Active Four Management Domains Fragile Organization
High Spirit Management Conducts Economical Turmoil

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Management Concepts

The world's most popular management approaches described by The

12manage Global Top-10 (www.12manage.com) as a measurement of the
current global popularity of management concepts are as follow:

1. Five Forces (Porter)

2. 14 Principles of Management (Fayol).
3. Mind Mapping (Buzan)
4. SWOT Analysis.
5. Marketing Mix (McCarthy).
6. BCG Matrix.
7. 7-S Framework (Mckinsey).
8. Value Chain (Porter).
9. Competitive Advantage (Porter)
10. Balanced Scorecard (Kaplan)

These concepts make the border lines of organizational management

structure as well and measure the three dimensions of management while
the spirit management is over lapped with social and environmental. Thus
spirit management is not taken as separate identity and there is a need to
seek such factors integrated in spirit management dimension. The question
relies that such concepts are needed to include the spirit management
components for both organizational and individuals. The lack of
comprehensive and integrated parts within our organizational management
systems and concepts makes our systems fragile and weak towards
internal and external forces and changes.

Globalization & Organization

Globalization and organization are parallel to each other while most

organizations must achieve high performance within a complex and
competitive global environment. Globalization refers to the complex
economic networks of international competition, resource suppliers, and
product markets. The quality of regulation is a crucial determinant of the

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competitiveness of financial markets. Such regulations are enhanced by
the organizational management development to cope with such crises and
reduce the risks and high light the prevention in future.

In the new knowledge-driven economy, people are the organizations most

precious and underutilized resource. They are the organizations repository
of knowledge and they are central to your company's competitive
advantage. At all levels, the organization needs people who can deliver at
the frontier of performance. They must understand where your company is
going and be able to influence this path. They must share in your
company's fortunes and be motivated to push for greater achievements.
Better understanding of the spirit concept of individuals, teams, and
organization is needed. It is understandable that such organizations have
individual characters and the interference of society and global spirit
components are essential for organizational growth. Thus clarifies that the
current management systems needs to be developed, revised, and revived
to cope with current economical and political crises.

Our understanding and managing of religion, values, power distance,

Individualism-collectivism, Masculinity-femininity, attitudes toward the
environment (inner-directed and outer-directed cultures), ethics, motivation,
behavior, parochialism and ethnocentrism and culture within organizations
locally and globally can influence the operations, processes, systems,
services and products. These were studied but specific measures and
systematic approaches are still needed.

Organizational leaders and management consultant probably need an

urgent sauna and refreshing spa with some stress management to realize
how we are in not good picture. Do we need to relax in the current global
economic turmoil or to start intensive and events?

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Management Practices

In 2005 the Centre for Economic Performance, LSE, and McKinsey &
Company used an innovative new approach to survey management
practices in over 700 firms in the France, Germany, the UK and the US.

The research finds that:

 US multinational subsidiaries based in the UK, France and Germany

are also better managed than either domestic firms or other non-US
multinational subsidiaries
 Superior US management performance seems to be driven by more
product market competition, higher levels of worker and management
skills, and lower levels of labor regulation
 Countries have distinct management cultures - with German firms
excelling at shop floor management and US firms excelling at people
management.

These results and other studies showed a compiling management practices

amongst different companies and organizations and different countries.
The management practices differences are based on individual
organizations and country and this is a fact that to be concerned and
needed to suite each company and country but in same time there are
general management practices that to be followed in systematic manner.
We do believe that each company and organization has its own culture and
identity And in another world it ha sits own spirit that to be considered.

I believe that the current global economic turmoil is the turn point for a
drastic changes in global economy, politics and role players of the
developed countries that it will have some of it effects to remain for several
years to come even with economical development within 1-2 years back.
The geopolitics are related to such thing will enhance the floor for new
players in the economy and politics in the world. The economy and politics
are interrelated to the management practices, concepts, processes and
systems. This is the time for new era in management, the fourth domain.

11
 Globalization & Organizations

Globalization

Economy Society Politics

Organization

Management Individuals
Systems

Spirit
Management

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Spirit Management.

Spirit is rooted deeply in the individuals and organizations that empower

both the organization and the workforce for mutual attraction. The word
spirit as it attracts us to its own protected entity. It has taken the attention of
several scientists, writers, managers and researchers. This protected entity
clarifies the need for its exploration of the definitions towards the
organizational development. To get a good insight to the spirit within
workplace and organizations we have to emphasis on its characteristics,
definitions, boundaries, and consensus.

Individuals usually look deeply in inside themselves searching their rooted

values, vision, goals, experience, believes, practices, principles, personality,
relationships, imagination, ideas, creativity, sacredness, and energy, as a
holistic approach that is reflected towards others spirit and organizations.

Whether the spirit is reflected as holistic or partially within the workplace, it

reflects on organization as whole. The individual spirit enhances the
organizational spirit and its measurement becomes more complex and
makes its management even more tangible and complicated.

What spirit?

Spirit and soul are two words that are commonly configured together in the
enterprises. The spirit definition has many meanings and concepts.
However the igniting the spirit of the workforce within the workplace will
direct the spirit of the organization alignment to a unified vision, mission,
values, goals, strategy, systems, processes, marketing, innovation,
communication strategies.

In the part of individuals spirit involves mind, will, religious practice, feelings,
mood, emotion, energy, courage, life, courage, ardor, vivacity, value,
dedication, loyalty, enthusiasm, activity, temper , and intellectual or moral
state. The belief is a strong issue of the individual spirit that includes sacred,
unity and transformation.

The search for direction, meaning, inner wholeness and connection to

others, to non-human creation, and to a transcendent defined by Gibbon’s

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(2000). Krishnakumar and Neck (2002) describe spirituality as being
pluralistic.

Moch and Bartunek (2002) contend that spirituality and religion cannot be
separated. . Pratt (2000) described that religious values deeply infusing into
the organization. Tosey and Robinson, (2002) pointed that personal
transformation that must take place in developing spirituality and its
relationship to organizational transformations. Others have pointed that
spirituality should be seen as separate from any religious context.

Howard (2002) mentions that business leaders who are open to spirituality
and think more deeply about their impact on organizations serve as role
models for employees and may lead to greater individual spirituality at work,
resulting in benefits to the organization. McLaughlin (2001) claims that the
most effective way to bring spiritual values into the workplace is to clarify
the company’s vision and mission, and to align them with a higher purpose
and commitment to service to both customers and community.

Dehler and Welsh (1994) mention that emotion and feeling as having an
implicit role in organization transformation, thus forming the genesis for
organizational spirituality. MacDonald, Kuentzel, and Friedman (1999)
review ten different instruments purported to tap spirituality and related
constructs ranging from the Expressions of Spirituality Inventory to the
Psychomatrix Spirituality Inventory. Cacioppe (2002) describes that
spirituality in the workplace is the only way leaders and organizations can
succeed.

An organization as it is composed of a group of persons and teams could

be focused on their essential nature and strong royalty or dedication. In
response the organization commitment, respect and Value for each
employee, client, and business partner A prime consideration of their
employees expectations, honesty, integrity, learning and development,
compassion, creativity, flexibility, behavioral, confidentiality,
professionalism ,expectations, and leadership based on the ground of the
organizational culture and values. In same respect the employees’
commitment to the organizational vision and contribution of their best
selves and peak performance to achieve the organizational strategies and
goals.

14
The integral part of the organizational spirit is a healthy, strong and quality
relationship, networking and communication both within the organization
and externally toward customers and vendors.

Can the organization be alive by itself? Yes, as it composed of certain

systems and employees that make its power to be alive. It grows and goes
through all the up and downs where the healing is needed. It is alive due to
its culture, values, image, goals, mission, operations, service, product, etc.
As human beings it has its own spirit where it is a collective of all its intra
and extra structures and relationships.

The organization spirit progresses as the organization goes through certain

developmental and changes periods. We have to believe that it is as a
living entity due to its core, depth and roots that are integrated in the
organization system. The organization spirit is as it is not only a collective
spirit of its group of employees but also due to all components of its
structure. This spirit could influence the employees, society and
environment. Therefore its spirit requires management to ensure its living
among other organizations within the society and environment locally and
globally.

So, what is Organizational Spirit?

Spirit as mentioned above is the root and base for all the organizational
structure. It holds and unifies all ingredients and components of the
organization. As mentioned the consideration of the employees
expectations, religion, honesty, integrity, learning and development,
compassion, creativity, flexibility, behavioural, confidentiality,
professionalism expectations, and leadership, vision, goals, experience,
believes, practices, principles, personality, relationships, imagination,
ideas, creativity, sacredness, and energy, based on the ground of the
organizational culture and values will make the foundation of the
organizational spirit. This is incorporated with organizational values and

15
culture and other organizational domains such as organizational structure,
processes, systems, activities and projects.

Concept of Organizational Spirit Management

Suggestion that the life of an organization is similar to the shape of a bell

curve, that is, the organization experiences a rise of health; it peaks, and
then gradually declines. Organizations are both spiritual and material in
nature. In their youth, they possess spiritual rather than material assets. In
decline, this is reverse. Health is maintained by unifying the spiritual and
material assets.

16
 Spirit Management Factors & Components

Society
Culture, Believes, Religion, Customs,
Practices and Values

Employees
Organization
Expectations, religion, honesty, integrity,
learning and development, compassion,
Culture creativity, flexibility, behavioral,
Values confidentiality, professionalism expectations,
Processes and leadership, vision, goals, experience,
Structure believes, practices, principles, personality,
Systems relationships, imagination, ideas, creativity,
Projects sacredness, and energy.
Activities

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Areas of focusing:

1. Organizational spirit management.

2. Transition and change management.
3. Strategy focusing and Implementation.
4. Systems, tools and techniques of strategic compliance of
organizational spirit management (e.g. Six Sigma, Balance
Scorecard, EVA, ROI, ABM/C, SOX, Integrated mapping, TBL, KM,
and VE).
5. Proposed model of organizational spirit management and quality
strategies and systems implementation.

►Emphasis on Spirit’s:

►Characteristics,

►Definitions,

►Boundaries,

►Consensus.

The individual spirit enhances the organizational spirit and its measurement
becomes more complex and makes its management even more tangible
and complicated.

Basis of Definitions and Characteristics:

1. Religious

2. Epiphany

Defines spiritual development as arising through a series of discontinuous

awakening experiences.

3. Manageable

(a) sees spirituality as affected by leadership and management. For

example, an individual=’s spirituality may be increased by the expression of
a manager=’s values or by behavioural incentives for individual or group
actions.

18
(b) sees an individual=’s spiritual level as impervious to managerial actions
or incentives.

4. Teachable

(a) sees someone=’s spiritual development as impacted by external

influences such as formal courses on the concepts and principles of "A
spirituality " or listening to speakers/teachers on the subject.

(b) sees someone=’s spiritual development occurring only or primarily

through individual or solitary actions: meditating, being in nature, reading
spiritual and/or religious writings, etc.

5. Individual Development

Ties spiritual development to a predetermined set of "A stages" of

individual development common to all people.

6. Organizational Development

Sees an organization collectively as being in a particular stage or level of

development common to all organizations.

7. Measurable

Sees the concept of spirituality as measurable, typically through a survey

instrument.

8. Productive/Profitable

Offers claims/evidence that spirituality is correlated with organizational

performance.

9. Nature of the phenomenon

(a) sees spirituality as strictly an individual concept.

(b) sees spirituality as both an individual and a collective concept.

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Definitions of Spirituality in Organizations

Mohamed, Hassan, and Wisnieski (2001) claim there are more definitions
of spirituality than there are authors/researchers to write about it.

Howard (2002). Khanna and Srinivas (2000)

Margulies (1972)

Levine (1994)

Boozer (1998)

Levy (2000)

Mason and Welsh (1994)

Lichtenstein (1997)

So, what is Organizational Spirit?

Spirit holds and unifies all ingredients and components of the

organization. As mentioned the consideration of the employees
expectations, religion, honesty, integrity, learning and development,
compassion, creativity, flexibility, behavioral, confidentiality,
professionalism expectations, and leadership, vision, goals,
experience, believes, practices, principles, personality, relationships,
imagination, ideas, creativity, sacredness, and energy.

Based on the ground of the organizational culture and values will make the
foundation of the organizational spirit. This is incorporated with
organizational values and culture and other organizational domains such as
organizational structure, processes, systems, activities and projects.

An organization as it is composed of a group of persons and teams could

be focused on their essential nature and strong royalty or dedication.

The integral part of the organizational spirit is a healthy, strong and quality
relationship, networking and communication both within the organization
and externally toward customers and vendors.

20
Spirit composed of certain systems and employees that make its power to
be alive. The organization spirit progresses as the organization goes
through certain developmental and changes periods.

Humanistic Approach & Spirit Management

Humanistic Approach, based on the idea that human motivate by more

than economic rewards. They also required satisfying social relation and
personal fulfillment. In 1924 by Elton Mayo undertook research at the
Hawthorn Works Plant of the Western Electric Company in Chicago. This
research determined how economic incentives and the physical conditions
of the workplace affected the output of worker. This research found human
interactions in the workplace and influences to productivity. Spirit
management is a holistic approach looking at the humanistic as one
ingredient to its complex nature and individuals are the core components of
organizational spirit.

Leadership & Spirit Management

There is a new era that has spread through the business world that
involves rapid changes. One rapid change is that management has
increasingly become a leadership task. Leaders help employees act on the
vision of the company. In spirit management the concept of leadership
relies not only on top and middle management levels but looks at each
individual employee within organization as being a leader in his position
and tasks. It is believed that every employee has specific tasks and
responsibilities and this has to play a role of leader in his profession and
job. Thus leadership responsibilities are broken down in the organizational
structure to contribute to the overall organizational middle and top
leadership. Each individual has to be responsible for his own tasks and be
a leader in his individual job.

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Strategies & Organizational Spirit Management

Strategies & TQM

Spirit as mentioned is the root and base for all the organizational structure.
It holds and unifies all ingredients and components of the organization. The
concept of spirituality as measurable is typically through a survey
instrument.

Total Quality Management as a tool for spirit management could be fruitful

and TQM has proven to be an effective process for improving
organizational functioning, its value can only be assured through a
comprehensive and well thought out implementation process.

Principles of effective planned change implementation and suggest specific

TQM applications.

1. TQM is a viable and effective planned change method, when properly

installed;
2. not all organizations are appropriate or ready for TQM;

3. preconditions (appropriateness, readiness) for successful TQM can

sometimes be created; and

4. leadership commitment to a large-scale, long-term, cultural change is

necessary.

Organizational Spirit & Spirit Management

The rapid and continual innovation in technology is driving changes to

organizational systems and processes. The increased expectations of
employees as they move more freely between organizations, and, of
course, globalization has seen the tearing down of previous international
market barriers. In spite of the importance and permanence of
organizational change, most change initiatives fail to deliver the expected
organizational benefits. This failure occurs for a number of reasons.

Failed organizational change initiatives leave in their wake cynical and

burned out employees, making the next change objective even more

22
difficult to accomplish. It should come as no surprise that the fear of
managing change and its impacts is a leading cause of anxiety in
managers.

Current organizations require fundamental changes in their management

concept and systems. As most of the current management practices can
not cope with dramatic and disastrous economical and organizational
failures. The need for a comprehensive and integrated change
management model is more realistic than before. Looking at the basics of
individuals and corporate spirit components are the foundations for such
changes that should be incorporated.

23
 Corporate development & Individual Spirit Concepts

Change Management

Leadership Organizational
Development

Emotional Social
Business
Intelligence Responsibilities
Spirit

Individual Corporate
Spirit Vision, Mission
& Strategies
Perceptions, Corporate
Experiences Spirit

Environmental Concepts

24
Resistance to Change

C = (A + B + D + S) > X

C = Change

A = Level of dissatisfaction with the status quo

B = Desirability of proposed change

D = Practicality of the change

S = Sprit Factors

X = Cost of changing

Beckhard and Pritchard (1992) have outlined the basic steps in managing a
transition to a new system such as: identifying tasks to be done, creating
necessary management structures, developing strategies for building
commitment, designing mechanisms to communicate the change, and
assigning resources.

Ledford (cited in Packard & Reid, 1990) has proposed a model including
four processes which are forces which determine whether a change will
persist through the phases of institutionalization: the change (TQM) with
the organization, the change with other changes initiated at the time, the
change with environmental demands, and with the level of slack resources
in the organization.

Tips for Successful Strategic Planning

1. Set up a solid and benchmarking structure

2. Use a strategic plan to drive accountability and alignment.

3. Involve every associate in the planning process.
4. Obtain formal agreement from everyone involved in the process.
5. Implement the three Cs: consistency, communication, and clarity.

25
*Creating a Strategy That Promotes Alignment, Agility, and Accountability
Best-practice Report, February 2004 by APQC.

Strategic Control systems are primarily concerned with monitoring and

managing strategy implementation, part of which will be determining and
calibrating the focus of related operational control systems.

Operational Control systems are management processes used to track and

respond to progress towards targets at for defined situations, typically at
'lower levels' of the organization.

26
Seven Management & Planning Tools & Spirit Management:

The seven management & planning (MP) tools can be used for as
enhancers for spirit management innovation, communicate such
information and plan major projects. The following seven MP listed in an
order that moves from abstract analysis to detailed planning, are:

1. Affinity diagram: organizes a large number of ideas into their natural

relationships.
2. Relations diagram: shows cause-and-effect relationships and helps
you analyze the natural links between different aspects of a complex
situation.
3. Tree diagram: breaks down broad categories into finer and finer
levels of detail, helping you move your thinking step by step from
generalities to specifics.
4. Matrix diagram: shows the relationship between two, three or four
groups of information and can give information about the relationship,
such as its strength, the roles played by various individuals, or
measurements.
5. Matrix data analysis: a complex mathematical technique for analyzing
matrices, often replaced in this list by the similar prioritization matrix.
One of the most rigorous, careful and time-consuming of decision-
making tools, a prioritization matrix is an L-shaped matrix that uses
pair wise comparisons of a list of options to a set of criteria in order to
choose the best option(s).
6. Arrow diagram: shows the required order of tasks in a project or
process, the best schedule for the entire project, and potential
scheduling and resource problems and their solutions.
7. Process decision program chart (PDPC): systematically identifies
what might go wrong in a plan under development.

Excerpted from Nancy R. Tague’s The Quality Toolbox, Second Edition,

ASQ Quality Press, 2004.

27
Quality Strategy Implementation within Organizational Spirit
Management

However, neither EVA nor CFROI concepts can help organizations with
strategy implementation activities on a daily basis.

Another concept put forward by Kaplan and Cooper was Activity Based
Costing (ABC) and resulting Activity Based Management (ABM).

Organizational Strategy Implementation

Bob Paladino, VP of Global Excellence for Crown Castle International, cites

reports that show 9 out of 10 companies fail to implement their business
strategies.

What accounts for such an astonishing failure rate? He says there are four
barriers:

-The Vision Barrier: Only 5% of the workforce understands the strategy

-The Management Barrier: 85% of executive teams spend less than one
hour per month discussing strategy

-The People Barrier: Only 25% of the managers have incentives linked to
strategy

-The Resource Barrier: 60% of organizations don't link budgets to strategy

The strategy implementation in the organizational level is accompanied

with integrated spirit factors and components of both organizational and
individual levels and coherent to the society factors. This requires a deep
analysis of such components and awareness of a holistic picture of
organizational spirit management.

Strategic Focusing

The focal igniting the spirit of the organization through organizational

alignment around a common vision, values and strategy. Turnaround and
growth through strategic business development, marketing &

28
communications strategies, and scenario planning are ways to explore the
strategic focusing.

Dashboards

The Dashboard is where an organization's "Key Performance Indicators"

are displayed. Key Performance Indicators are essentially data summaries
that translate and communicate concise, credible information that can be
readily understood and used by decision makers at all levels of an
organization. Such technology could be utilized for data collection, analysis,
KPIs and parameters of spirit management within organizations with
adopted measurement tools and systems. There are several systems such
as spirit management surveys and matrix data analysis: a complex
mathematical technique for analyzing matrices, often replaced in this list by
the similar prioritization matrix. These data simplified into precise actions
that could enhance overall organizational management and individuals.
Spirit management surveys, tools and parameters could be utilized for
measuring major organizational spirit factors and components in relation to
production, performance and process. The dashboards are systemized
techniques for recording and exploring the related and performance factors
thus facilitating the control and follow up with corrective decisions. Software
and new programs are needed for spirit management analysis in
comparison to the organizational KPis and KPRs.

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Strategies & Organizational Spirit Management - I:

The strategy implementation in the organizational level is accompanied

with integrated spirit factors and components of both organizational and
individual levels and coherent to the society factors. This requires a deep
analysis of such components and awareness of a holistic picture of
organizational spirit management.

Six Sigma stands for Six Standard Deviations (Sigma is the Greek letter
used to represent standard deviation in statistics) from mean. Six Sigma
methodology provides the techniques and tools to improve the capability
and reduce the defects in any process.

Six Sigma methodology improves any existing business process by

constantly reviewing and re-tuning the process. To achieve this, Six Sigma
uses a methodology known as DMAIC (Define opportunities, Measure
performance, Analyze opportunity, Improve performance, Control
performance).

Value Engineering (VE) may be defined as an organized effort directed at

analyzing and evaluating systems and components of systems, to establish
essentiality and efficiency in the performance of essential tasks.

Social Model

The social model is a way of thinking that views an organization as a

society of individuals, each with individual purposes, each of whom has the
ability to think and learn. Because they depend on each other for mutual
adaptation, there should be a great interaction among them.

The job of Top management is to manage the interactions to create a

learning organization: to design a desirable future and find ways to achieve
it by aligning the purposes of individuals with those of the overall society.

*Thomas H, Lee, shoji and Robert Champen Wood. Think Globally Act
Locally), Center for Quality Management Journal, volume 8, No 3, winter
1999: 23-54.

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Triple Bottom Line (TBL)

The reporting system that includes the three parameters:

1. Economical
2. Environmental
3. Social

The base of such parameters is lacking behind the fourth Spiritual. This is
the core of any organizational status and basic of individuals within
organizations. Such careless in years for more in depth understanding and
analysis of this parameter has resulted and will result in low performance,
incomplete management solutions, processes lagging, weak organizations,
and systematic disability. Our ignorance for spirit management as integral
parameter of organization is one of the major breakdown of our
management systems, economical turmoil, and political uncertainty.

What is a relevant measure?

Firstly, the word 'relevance' implies that there is a relationship between the
measure and something.

Secondly, it is important to understand the difference between 'counting'

and 'measuring'

Combined with process mapping (a required activity for SOX), a balanced

scorecard can reveal process measures and key performance indicators .

Compliance Systems & Strategies for Organizational Spirit

Management Implementation:

1. Social Model & Psychometrics.

2. TBL, VE, KM and Six Sigma
3. Spirit Management Survey & domains.

For the most effective companies, organizational spirit or culture is a major

competitive advantage. Companies can purchase the same equipment,
technologies, products, people, brands, facilities and other tangible assets
as their competitors. Team spirit is the key that every organization needs to
achieve outstanding performance. Strategic plans, marketing, technology

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and capital investment are clearly important, but spirit of the people using
the tools and executing the plans is what determines whether it could
succeed or sink. Spirit is a source of many evolving knowledge domains
with relevance to all aspects of our organizations.

Strategies & Organizational Spirit Management – II

This model is based on a comprehensive approach and describes few

management practices and systems that build up the organizational
structural level. The model is based on the following domains:

1. Finance.
2. Environmental.
3. Social.
4. Spirit.

Each organizational domain is inter-related to the specific departmental,

team, and individual factors and components. The organizational domains
are also integrated with external factors of each domain. This model
represents simple management practices and systems and specific
standards and systems are required upon individual organization.

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The model shows the implementation and utilization of certain systems,
practices and strategies in the context of spirit management. These are

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basics and other systems and practices as mentioned previously are
applicable for specific purposes and needs. The above systems are
simplified as following:

Layer 1: Finance, Operational and Process Management Systems:

a. Core: Investment Analysis, EVA, CFROI, Spirit Management

Surveys.
b. Process and Operational: KM, VE, and Process mapping.
c. Cost saving: ABM, and ABC.
d. Revenue Generating: BSC.

Layer 2: Social & Psychometric Parameters: several measurement tools

and systems could be utilized upon specific organizational requirements of
factors and components. These measures are based on the organizational
analysis of such parameters.

Layer 3: Spirit Management Domain: Spirit surveys and measurement tools

and systems. There are some tools and surveys that could be utilized for
analysis of spirit components and factors identification, and quantification.
The current available tools and systems are not adequate for in depth
analysis and determinants of spirit management for organizational level.
Thus there is a need for comprehensive works and studies for each
organization. Surveys are the basic and simple tools for spirit management.

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Organizational Strategic Thinking & Visioning Pyramid

Management Strategy

Economical

Environmental

Social / Emotional Intelligence

Spiritual / Spiritual Intelligence

Organizational Core Base

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In strategic implementation and visioning of the organizational holistic
approach we do think that the four domains are the bases and principles for
successful organizational growth and development. The prioritization is
based from top (Management Strategy) to bottom (Organizational Core
Base) and also from bottom to top as feedback and cycle system. The base
is composed of individuals as the middle represents the departments and
teams while top represents the top management and board of organization.

Helpful Practices

There are several tools, strategies and tips that could help in
implementation of such four domains that facilitates the organizational
performance and development:

1. Creating departmental, team and individual visions that are coherent

with organizational vision.
2. Determine the goals and objectives of departmental in accordance to
the organizational goals and objectives.
3. Determine the role and responsibilities of teams and individuals.
4. Develop a plan work in accordance with the overall vision and vision
of the organization.
5. Create specific, definable, and measurable results that would ensure
that the organization and your personal vision are achieved.
6. Consider the most important factors, components and determinants
of the four domains into your goals, strategies and plan.
7. Involve all the concerned departments and individuals in the
implementation.
8. Support those you manage by connecting their expectations of
success to the organization’s objectives as part of their performance
review.
9. Utilize feasible and standard practices, tools and systems.
10. Make the needed measurements and indices. Dashboards are
useful tools.
11. Make the feedback system and measure the overall
organizational analysis, KPIs and KPRs.

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 12. Put the organization’s and individual’s success as the focal
point in every step.
13. Demonstrate more confidence in others and appreciate
individuals as emotional need is to feel appreciated.
14. Social gatherings, parties, ceremonies, sport activities, trips and
enjoying good times with organizational individuals, families, and
society members outdoors are of great value.
15. Provide the individual spirit needs and their satisfaction is the
major factors for enhancement of individual roles and responsibilities
within organizations.
16. Inspirations — take few minutes everyday to meditate, pray, or
reflect (e.g., seek guidance regarding a situation or opportunity that
requires attention.).

Building Spirit

In organizations in which people are disrespected and poorly treated,

higher pay becomes a key way of compensating for the soul-destroying
drudgery of the job. In contrast, highly spirited and well-led organizations
are often competitive in their financial pay scales but way ahead of their
counterparts in "psychic pay" via higher levels of pride and satisfaction.

There are many ways that strong leaders can build organization spirit. Here
are a few suggestions (Team Spirit Built from the Top by Author: Jim
Clemmer):

 Meetings to identify non-value-added work and to take that work out

of the organization's systems and processes.

 Build a highly customer-focused organization.

 Keep things simple and direct. Keep business units small and give
teams autonomy.

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 Encourage and promote humor to release tension in a situation and
keep people looking at the lighter side of things.

 Lead change with examples of how your organization has gone

through tough times or major changes like these before. Appeal to a
proud heritage.

 Look for every opportunity to recognize and celebrate significant

accomplishments and milestones reached.

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 References:

 Cacioppe, R. (2000). Creating spirit at work: Re-visioning

organization development and leadership B Part I. Leadership &
Organization Development Journal, 21(1), 48-54.
 Dehler, G.,& Welsh, M. (1994). Spirituality and organizational
transformation: implications for the new management paradigm.
Journal of Managerial Psychology, l9(6), 17-26.
 Gibbons, P. (2000). Spirituality at work: definitions, measures,
assumptions, and validity claims. Proceedings of the Academy of
Management, USA, 2000.
 Howard, S. (2002). A spiritual perspective on learning in the
workplace. Journal of Management Psychology, 17(3), 230-242.
 Howard, S. (2002). A spiritual perspective on learning in the
workplace. Journal of Management Psychology, 17(3), 230-242.
 Krishnakumar, S., & Neck, C. (2002). The "what", "why" and "how" of
spirituality in the workplace. Journal of Managerial Psychology, 17 (3),
153-164.
 MacDonald, D. A, Kuentzel, J. G., & Friedman, H. L. (1999). A survey
of measures of spiritual and transpersonal constructs: Part two –
additional instruments. The Journal of Transpersonal Psychology,
31(2), 155-177.
 McLaughlin, C. (2001). Spirituality in business. [On-line] Available:
http://www.visionarylead.org/.
 Moch, M., & Bartunek, J. (2002, August). Linking business, spirituality
and religion. Manuscript submitted for publication.
 Pratt, M. (2000). Building an ideological fortress: The role of
spirituality, encapsulation and sensemaking. Studies in Cultures,
Organizations & Societies, 6(1), 35-53.
 Tosey, P. & Robinson, G. (2002). When change is no longer enough:
What do we mean by "transformation" in organizational change work?
The TQM Magazine, 14(2), 100-109.

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