Jeff DeGraff - Competing Values Framework Profile - Red (Part 3)

Summary

In this installment, Jeff DeGraff explores the 'Red' profile within the Competing Values Framework. Reds are characterized by their professionalism, efficiency, and adherence to rules. They are meticulous planners and are often found in professions where precision and hierarchy are paramount, such as legal, engineering, and process improvement sectors. Red companies thrive on consistency, quality, and incremental progress within highly structured environments. Despite their potential for creating static bureaucracy, their emphasis on minimizing risk and maximizing systematic efficiency defines their success in complex, large-scale operations.

Highlights

• Witness the impeccable discipline of Reds - they're perpetually on time and immaculately turned out ⌚👔.
• Meeting the Reds? Prepare to stick to the agenda like glue. No time for wanderers here! 📅.
• Certifications are their badges of honor. You better be certified if you aspire to lead in a Red world! 🎓.
• Process, procedural, and a penchant for planning – that's the Red mantra 💻.
• Don't be fooled by their thriftiness; when Reds decide to spend big on tech, they do it spectacularly 💰🚀.
• Their love for system and structure translates into an obsession with org charts - the tapestry of their world 🌐.
• Reds shine in industries where precision isn’t just preferred; it’s critical, like aerospace or medical fields ✈️⚕️.
• Celebrating mediocrity doesn't happen here – incremental gains are the marks of Red excellence 📊.
• While they're not about grandiose leaps, the cumulative effect of their systematic improvements is undeniable 🔍.
• Beware the blockade - their efficient frameworks sometimes tip into stagnation without careful oversight 🚧.

Key Takeaways

• Reds are the ultimate professionals – always dressed to impress and sticking to their regiments like clockwork ⏰.
• They thrive on efficiency, process improvement, and minimizing risks. Everything's about getting it done right and on time ✅.
• In Red meetings, strict adherence to agendas is non-negotiable. Deviate, and you might find yourself on their radar! 📋
• Hierarchy and certification are key in Red environments – without the right credentials, leadership remains out of reach 📜.
• Reds love data, systems, and all things procedural. If it's complex with multiple steps, they're all for it 📈.
• Despite being cost-conscious, Reds can make huge strategic spends, like major tech upgrades, after meticulous planning 💼.
• Red organizations prioritize quality, consistency, and sustainable processes, often in large-scale, high-stakes industries 🏭.
• Incremental improvements are their forte, edging everything forward bit by bit, but they ensure minimal errors along the way ✨.
• The rigid adherence to rules and processes can occasionally lead to a bureaucratic standstill – a double-edged sword ⚔️.
• In the grand scheme, Reds create value through structured efficiency, measurable goals, and a no-risk policy 🚀.

Overview

The world of the Reds in Jeff DeGraff’s Competing Values Framework is all about precision, professionalism, and process. Imagine walking into a room of individuals who are always the most professionally dressed, with a schedule in hand and a checklist to tick. These are Reds, ensuring that every action is efficient and every risk is reduced. In companies where failure isn’t an option, Reds are the ones holding the line with their methodologies and strict adherence to procedures.

In Red meetings, expect an uncompromising structure. Agendas are sacred texts, and credentials act as gateways to authority. This culture thrives in sectors where hierarchy and incremental improvement are valued highly – think along the lines of engineering, legal practices, and process improvement. Their environments are data-rich, rife with procedures, and unequivocally results-driven, all aimed at maintaining quality and consistency across the board.

Yet, even with their penchant for control and certification, Reds are no strangers to making significant technological investments, albeit on their meticulously planned timelines. Their approach to efficiency rarely rushes or stumbles into grand innovation but is characterized by a reliable, step-by-step advancement that safeguards against errors. However, such rigidity has its pitfalls, often inviting bureaucratic stagnation if unchecked, reminding everyone that even in the pursuit of perfection, adaptability is key.

Chapters

• 00:00 - 00:30: Introduction to Reds The chapter titled 'Introduction to Reds' begins with observations about the behavior of the 'reds'. The speaker notes that they have not spoken much yet, but highlights their professionalism and the attention to their appearance, describing them as the best-dressed group. Additionally, the chapter points out their habits such as jogging and making calls during breaks, emphasizing their disciplined nature.
• 00:30 - 02:30: Red Characteristics and Behaviors The chapter titled 'Red Characteristics and Behaviors' discusses the disciplined and efficient approach of a professional regiment. This group emphasizes attributes such as efficiency, risk reduction, process improvement, and productivity enhancement. Their systematic and meticulous approach stands in contrast to another group referred to as 'the greens,' suggesting a thematic exploration of different organizational behaviors and operational strategies. The chapter sets the tone for a broader discussion on professionalism and strategic process management.
• 02:30 - 04:30: Meeting Dynamics in Red Organizations The chapter delves into the intricacies of meetings within Red Organizations, focusing on the inherent dynamics and expectations. It discusses the emphasis on efficiency and rule-following, while ensuring tasks are completed on time without overspending. The narrative also touches upon the feelings of inadequacy or guilt that might arise when comparing oneself against these stringent standards.
• 04:30 - 06:30: Leadership and Certification in Red Organizations In the chapter titled "Leadership and Certification in Red Organizations," the narrative focuses on the somewhat satirical interplay of leadership dynamics, specifically the humorous notion that 'whoever has the tallest hat' holds the power to set agendas, drawing a parallel to figures of authority like the pope. It discusses the bureaucratic challenges faced, with a nod to the often stringent and unyielding nature of organizational rules. Furthermore, it includes a humorous portrayal of how being tardy to meetings is secretly kept in records by the 'Greens,' suggesting a meticulous level of surveillance akin to historical intelligence operations.
• 06:30 - 09:30: Processes and Technology in Red Organizations This chapter discusses the structured hierarchy and processes within Red organizations. It highlights the importance of punctuality and the consequence of being late in such organizations. The setting is described with a long table used during meetings, representing the formal nature and hierarchy from the 'God the mother' or 'God the father' at the head, to the lawyers at the far end. Emphasis is placed on the hierarchical chain and the increased recognition and sunlight metaphorically shining on those nearer the top of this chain.
• 09:30 - 11:30: Reds' Spending Habits and Organizational Structure The chapter discusses the communication style within the organization, particularly focusing on the distribution of meeting minutes. It highlights the frustration with excessive sharing of information, as the minutes are sent to everyone and often end up in spam folders. The chapter also touches upon the process of leadership selection within the organization, hinting at a democratic voting system governed by certain rules.
• 11:30 - 14:30: Identifying Reds in Organizations The chapter 'Identifying Reds in Organizations' highlights the procedural and hierarchical nature of organizations. It emphasizes the importance of certifications, requirements, and competency in establishing leadership. The narrative illustrates this with humor by comparing it to a medical setting, where authority is defined by expertise, such as a cardiologist being in charge of the heart section. Overall, it reflects on the structured approach and verification processes involved in organizational leadership.
• 14:30 - 17:30: Typical Characteristics of Red Firms The chapter titled 'Typical Characteristics of Red Firms' explores the distinct traits and behaviors often associated with red organizations, focusing on how individuals in these firms exhibit unique characteristics. The transcript highlights a penchant for categorization within professional fields—such as cardiology and cardiovascular surgery—and personal traits, like being left-handed or having excessive nose hair. The individuals referenced are described as fixated on past achievements or affiliations, like attending a prestigious institution long ago, and continue to emphasize those in an effort to assert their superiority. This speaks to the broader characteristic of 'Reds' who are inclined to showcase their accomplishments and status, reflecting a propensity for pride and perhaps an inability to move beyond past glories. The description paints a picture of these firms being dominated by individuals who relish in their past and professional credentials as a form of validation.
• 17:30 - 20:30: Values and Efficiency in Red Organizations The chapter delves into the values and efficiency of Red Organizations, particularly focusing on the tools, methods, and processes utilized to improve firm operations. It highlights the wide array of processes employed, including Six Sigma, and reflects on the importance of data collection and management in these organizations. The narrative humorously mentions the intense adherence to processes such as Lean and Project Management, hinting at a caricature of organizations obsessed with data.

Jeff DeGraff - Competing Values Framework Profile - Red (Part 3) Transcription

• 00:00 - 00:30 Let's turn it on now to our friends the reds before they talk. What have you noticed about red behavior so far? Never said much. Look how professional they look. Look how nicely turned out they are. I would have to say you're the best dressed group this morning. They jog. They made their calls at the break. They're sticking to that
• 00:30 - 01:00 regiment, whatever it is. They sang hi ho, hi ho. As they came in, this is a professional group of people as opposed to the greens up here. We'll talk about you in a minute. Watch how it's done. Everyone watch and and observe. All right. Emphasizing efficiency, lowering risk for the organization, improving processes, implementing minimal risk, increasing productivity. I think we should.
• 01:00 - 01:30 Oh, come on. That was not That was nice. Go, you know, be doing doing more with less, being virtuous, following the rules, getting the procedure right, making sure we're not overspending, making sure that everything works proper way, doing it on time, making sure everything's running very well. Now you feel bad, don't you? Now you just feel bad about yourself because look at how they did it, right? You ever been to the meaningful events? What goes on in the meeting pool? Tell me about the meeting itself. If you walk
• 01:30 - 02:00 into the winter garden here and everybody's huggy and healthful, what's the meaning? There's an agenda. There's an agenda. Yeah. Have you ever screwed with the agenda? I think you have to go to the pope to change the agenda. I'm pretty sure the pope whoever has the tallest hat gets to make the agenda. And if you got 10 minutes, how many minutes do you have? 10. 10. And incidentally, Greens have got to tell you something. You know how you're always late to their meetings? They got a file on you like Jagger Hoover on a dark road on a dark night.
• 02:00 - 02:30 We'll never hear from Jess again because the Reds have the Red They'll never forget. They know you're late and they hate you for it. Right. There's a long table in the red meeting, isn't there? The long table. Who sits at the head of the table? Oh, that's right. The God the mother, God the father, whatever it is in you. The great chain of beam, you know, cereb and cherubim all the way to lawyers at the other end. I mean, it's the And the closer you get to the top, the more the sun shines on your beautiful face, right? And it's very formal and there's
• 02:30 - 03:00 rules and there's minutes. In fact, they'll send the minutes to everyone because apparently everyone wants to know your silly little business. They'll spam you with their stupid minutes, right? These are the ones who got in your spam file. I don't hear about all this crap, right? They love that. How do they decide becomes a leader? Oh, this is a big thing you reads. How do they decide? What? How do they decide? Oh, okay. What? vote. Who powers the rules? Rules. Okay. The rules. Yeah. Good. The rules. Thank you. I'm sorry. I didn't hear that. Rules. They do the voting. Oh, they
• 03:00 - 03:30 vote. Yes. There's a lot of There's a lot of procedure to this, isn't there? Yeah. And how do they pick the leader though? Have you done all the requirements? Have you done all the requirements? Are have you been certified? Are you certified? You have a you have a certificate for that somewhere? Did you Did you observe the 12 steps and genulect that the statue? Yeah. You been the right organization? You know, it's hilarious. You go ask a rabbit because it's all about hierarchy and competency. It's about checking you out. Go to a medical factor, say, "Who's in charge of the heart?" And they'll say, "Cardio,
• 03:30 - 04:00 they'll say cardiology or cardiovascular surgery." Uh, cardiology, they'll say adults or peas. Uh, adults, they'll say, um, left-handed people or right-handed people. Left-handed people, normal nose hair or excessive, I don't know. These are the guys on the airplane who talk about their, you know, they're 75 and talk about going to Hopkins. I'm like, you're 75? That was a long time ago. Get over it. Get over it. Get over it. Not them. The Reds are all about that. They love to show you that, don't they? They love to show you all that
• 04:00 - 04:30 certification stuff, right? What tools, methods, and processes do they use to improve the firm? And boy, they use them. Every process in the book. Now, you always know. You were saying six. Six sigma. That's a great one. six single what other processes lean project. Oh, if you're using Microsoft project, they'll call you from a phone booth. I guess I'm touching myself. I mean, they love having data. They love having data. They're a dating group here. They
• 04:30 - 05:00 love things that have a lot of steps, don't they? They brag about, "Well, yeah, I'm running continuous improvement. I got 12 steps." You know, whether you're drinking or continuous, if it's got 12 steps or more, you're probably in red territory. Yeah, I'm running BPI. I got 16. I'm running an entire operating rhythm. It's 144 steps. I'm connecting everything into what I'm doing. Oh, it's just incredible, isn't it? Yeah. They also love There's a very weird thing about red. So, this is very hard for people to get. They're the cicas of the organization. Now, you know
• 05:00 - 05:30 what cicada is? That prehistoric bug. Now, if you live in the north, the cicada, you don't see them. And every seventh year, they show up and they make so much noise. Seriously, you can't hear airplanes land. You can't hear jets. They make that much noise. It's true, isn't it? make a lot of noise. Now, here's the thing. Buy the cicas. Take a look at these guys. They're basically stingy and cheap. Look at Costco's having a sale on toilet paper. It's 50 cents off. Their garage is full of it. Right. Look at it. Totally cheap. They count the cars the
• 05:30 - 06:00 parking lot and they go over expense reports with a magnifying glass. They're cheap, cheap, cheap, cheap, cheap. Now, why are they cicas? Because every seven years they wake up and they make a huge technology spin. You ever seen him do it? SAP for everyone. I'm going to build a plant 80 miles in from Bangalore. It's going to cost $300 million. And you go, what the hell happened to you guys? You went from being cheap to a huge technology spend to a huge system spend. What have they been doing the other six
• 06:00 - 06:30 years? Planning. They've been planning. That's right. Planning. Smithers. you know, they look out the sun. That's why it's so surprising to the rest. Goes, "Holy crap, they're going to spend all of our money this year, right?" So, they love systems. They love technology. They love processes. One of the things they love, they love the org chart. The the Reds are the ones who show you the orb chart, and you feel like your 5-year-old who showed you a picture and you go, "Is that Harry Potter?" He goes, "No, it's Darth Vader, Dad." You, "Oh, crap. I'm
• 06:30 - 07:00 sorry I missed that one." You never know what they want you to see in the org chart, but they really believe that the structure of how everybody reports into everyone is really important. It's like Barbie's Playhouse or something. It's a little conversation area here. If we do, you know, oh, I didn't see that. So, they're really obsessed with the structure. They're very obsessed with systems and processes and technology stuff they love. Why do you get fired? Why do you get fired by a red? I'm I'm going to ask the greens. Why do
• 07:00 - 07:30 you get fired by the reds? green because it's you who's going to get fired just in case you didn't get you didn't follow the rules. Now, by the time that they've come and told you that and the security guard is escorting you out of the building with your plant, they've already meant to see legal. So, you're fired now. By the time you're fired, you're fired. And that's one of the big things they love to do. We'll talk about how to get them back in just a minute. And so, now where do you find the reds of the firm? It it
• 07:30 - 08:00 legal engineering some parts of op some parts of HR that are technical yeah process improvement process improvement supply chain supply chain great you find them in MIS CIS large scale operations you find them in professions where there's a right way to wrong way doctors lawyers engineers they're not committed to the firm they're committed to that school of thought to that way of doing things now it's interesting how do we know a red firm there's three things you will always find in a red firm. You'll find at least two of the three in a red
• 08:00 - 08:30 firm. Number one, they are almost always a firm that has a lot of scope and scale. I was pumping gas not too long ago with our oldest daughter, Ma, and it said on the British Petroleum sign in Canada that only 18% of every liter of gas went to the profits of the British Petroleum Company. And she said, "Daddy, isn't that great? Only 18% go to the British Petroleum Company." And you say, "Okay, daughter, we're now going to do an economics lesson. How many liters of gas do you think Brit petroleum sells? Oh my god, they're going to make $30
• 08:30 - 09:00 billion. Yes, daughter. That's how it works. It's a turnover for business. Two, there's almost always a lot of complexity. Boeing is making the new Dreamliner. It has the fewest moving parts in modern aviation history. It has two and a half million moving parts, right? A lot of things have to go right together to make that plane fly when I fly all around. Good for you guys. Final thing that always happens is failure is not an option. Failure is not an option. You don't operate the right way, you don't bring the space shuttle down the right way, you don't send the young men and women off to combat the right way,
• 09:00 - 09:30 bad things happen. Given those three conditions, scope and scale, complexity, failure is not an option. What kind of companies are red companies? Military. Military when it works. Government agencies when they work. Airlines when they work. Medical. Medical. Utilities. Manufacturing. Manufacturing. You know, this is Toyota. This is the challenge we talked about this morning. This is Boeing. This is for the British petroleum problem, which we'll talk about in just a minute.
• 09:30 - 10:00 Right? This is the challenge. This is Dell computer. My favorite red company, McDonald's, where some illiterate kid presses a cheeseburger button and simultaneously somebody shoots a cow in Argentina. Bang. We kind of everything in between somewhere red is going this is all happening beauty. What value they create? Why have these value? They're control freaks. Why have consistency of process? Consistency of
• 10:00 - 10:30 process which we refer to as we refer to it as quality. The reduction of error. The consistency of process. Quality. And what else do we get from them? Measurable and sustainable. Measurable and sustainable. It's more vision focused in your dreams. Thank you for playing. Um it fit. Very good. But AAM's razor. It is more virtuous to do with less. What could be done with more? Look at the way they're standing. That's right. Better, cheaper, faster, higher quality. What else is there? Losers. Look at
• 10:30 - 11:00 their patrician gays as they look imperiously down on the rest of us. So they're the efficiency and quality guys. Are they faster? or they slow. They're slow, but not as slow as these pathetic losers up here. Slow and horribly slow. Are their approaches breakthrough or incremental? Incremental. They're incredibly incremental, right? They'll say, "Oh, we made huge change. We reduced operating expenses by 0.02%." You're like, "Oh, hold her nuke. She's heading for the broader band." But they go, "Yeah, but we did it everywhere." That's the big thing. A
• 11:00 - 11:30 little bit, but everywhere. They show you their big muscles like this. What? Now, it's interesting because what's the other redeeming factor for for reds? What's the big redeeming factor? They're risk-free. No risk. You know how tonight when you go out and have drinks, these guys will drive the Harley into the pool. You know, these guys will not drive the Harley into the pool. But taken too far, this becomes a static bureaucracy. Let's give the Reds a round of applause for this.