I was speaking with the leaders of one of India’s largest microfinance companies the other day. The CEO and his able deputy, the COO, were telling me about the organisation’s journey, the hits and the misses. And as it often happens, a tiny little anecdote they shared told me a lot about the organisation’s culture, the fabulous leader, and what it takes to build a great organisation.
The CEO told me how the organisation was extremely progressive, always striving to be ahead of its time. He talked of their investments in technology, the culture of empowerment, and how for instance they had implemented ERP long before most other financial institutions. “Not just that,” he continued, “We even implemented a five-day week way for our organisation way back in 2018.” Considering banks in India are only now moving to alternate Saturdays off, you’ll agree they were indeed ahead of their time. And that’s when his COO spoke up and added what I thought was an unnecessary detail: “In fact, while we implemented the five-day week in 2018, my team and I had sent the proposal to him in 2016 itself!” he said.
And I thought to myself, uh oh, why is he complaining that the CEO was slow to implement a good idea? Why show up your leader in poor light? But the COO continued, and said that the initial five-day week proposal was meant only for the people in the corporate office. And the CEO had turned it down saying “Come up with a plan that can work for the entire organisation – and we’ll think about implementing it. If it’s only for the head office folks – I wouldn’t do it.” The team went back to the drawing board, and returned a couple of years later – when they felt the time was right – with a proposal for a five-day week for the entire organisation. And the proposal was accepted and implemented.
Wow! What a leader, I thought. And my respect for the COO went back up too. And suddenly, I began to understand the secret behind their incredible growth, their fabulous engagement scores and the almost-zero attrition.
Great organisations are built when leaders show they care – for the rank and file in the organisation. There’s a terrific lesson in there for leaders. While framing policies, make sure you are considering how it impacts your frontline folks – and indeed the entire organisation.
Without realising it, and without intending to do so, leaders can sometimes create a divide between the HO folks and the rest of the organisation. They can make those people out in the field feel like second class citizens. And that can damage the fabric of the organisation.
It reminded me of something I had heard from another leader, some years ago: the 24/48 rule for building a great organisation. The 24 and 48 refer to the ambient temperatures at which people work. Organisations he said have two parts. The 24-degree folks who work in air-conditioned corporate offices. And the 48-degree folks who work in the heat and dust of the marketplace. Great organisations are built when the 24 degree folks take decisions keeping in mind the welfare of the 48 degree folks.
Listening to the story of the delayed implementation of the five-day week, it felt good to see the 24/48 rule in action. Clearly, it works. All days of the week.
