Management development should be seen as a continuous process, including the prepara-
tion for and responsibilities of a new job, and the manager’s subsequent career progression.
In the absence of any alternative input, many newly appointed managers move into their new job
believing that they have been given the chance based on their previous achievements, and
assume that the key success factors on which they will be assessed will be the same as in their
last position or previous company.
37
In recent years, greater recognition has been given to the significance of life-long learning
and to
continuing professional development
(CPD). For example, with the Chartered
Management Institute CPD is linked to gaining the status of ‘Chartered Manager’.
CHAPTER 23 MANAGEMENT DEVELOPMENT AND ORGANISATIONAL EFFECTIVENESS
953
ity’ programme. This emphasises skills such as adaptability
that they will need, and offers them training in aspects of
the business of which they have little experience.
These middle managers would in the past have climbed
the two levels to a senior post in five to 10 years. ‘We want
to get them there within five years,’ says Mr Davies. ‘We’re
also aiming to find 10 people out of the 26 who would be
ready for leadership even faster.’
Sensibly, the initiative does not depend on senior man-
agers’ altruism for its success. The company is next year
introducing a new reward system that will place as much
emphasis on senior managers’ ability to cultivate their suc-
cessors as on hitting annual sales targets. ‘Half of what a
leader earns will be for quantitative results and half for the
legacy they leave. The most capable leaders will be those
who fire on both cylinders,’ says Mr Davies.
The leadership drive grew out of a global review of 3M’s
operations conducted last year by McKinsey, the consult-
ants. The European approach is being shared with other
parts of the Minnesota-based group.
Two forces are driving the changes at 3M, which stum-
bled two years ago as a result of the economic crisis in Asia
and Latin America. The company employs 70,000 people
and makes more than 50,000 products in 60 countries, and
has always prided itself on grooming its own leaders.
3M hires outsiders only as graduates or as sales profes-
sionals. Senior executives typically come in from outside
only through acquisitions. ‘Most headhunters are flabber-
gasted that a corporation like ours doesn’t need executive
search for senior or middle management,’ says Mr Davies,
himself a veteran of 28 years.
In a world where bright graduates are frequently chan-
ging jobs and even chief executives are leaving to join
dotcoms, 3M still values long-term careers. The diversity of
the 150 businesses that make up the group can offer wide-
ranging careers. Staff turnover is low.
But with leaner management structures there is a smaller
pool of potential leaders to choose from than in the past. At
the same time, the skills required to deal with rapidly chan-
ging markets are more demanding than 10 or 20 years ago.
What is more, innovation is crucial to 3M’s success:
more than 30 per cent of sales each year come from prod-
ucts that did not exist four years earlier.
In the past, leaders could emerge naturally, but this is
no longer appropriate, he says.
Catriona MacKay, one of the 26 high-flyers, says: ‘The
job has become more visible and we can’t afford to have
people learning on the job.’
The high-flyers’ scheme, which began last September,
involves a three-hour ‘behavioural’ interview designed to
understand a future leader’s character and identify
strengths and weaknesses.
Candidates receive feedback from their team members
and managers. They also pick a ‘champion’, someone
senior in the group to act as mentor while raising their pro-
file in another part of the business.
Ms MacKay chose Bill Matthews, the American head of
the European industrial markets division, so as to gain
greater understanding of the breadth of 3M’s businesses.
At a two-day workshop in Brussels, the group learned
about the skills, or competencies, they need, including
‘organisational agility’ – the ability to manage across func-
tions and businesses.
The workshop also discussed issues, such as the
reduced mobility of dual-income couples, that future lead-
ers face. Ms MacKay, who has been promoted during the
programme to the UK management operating committee,
does not want to move abroad, because her partner
cannot interrupt his training as a surgeon, and they have
two young children.
‘We’re seeing the company having to be much more
flexible because there are good people who can’t all follow
the same path upwards,’ she says.
‘I’ve probably had the most positive and detailed career
management discussions in the last year that I’ve ever had.
I’m being much better supported by a wide range of people
and it’s personally satisfying that I can have a significant
upward career ... despite my personal circumstances.’
(Reproduced with permission from the Financial Times Limited, © Financial
Times.)
CONTINUING PROFESSIONAL DEVELOPMENT (CPD)