Germany Archives - Page 32 of 62

The Allies and Mitbestimmung

“Herewith the establishment of works councils is permitted within all of Germany.”

German Mitbestimmung – co-determination, employee participation in high-level company decision making – is a tradition, law and an institution which most certainly is a source of headaches for American business partners and investors. At the same time the works councils are a source of great pride and self-understanding for all German labor unions as well as for many German citizens.

And although German Mitbestimmung had had a long tradition in Germany, it was the Western Allies, primarily the Americans and the British, who insisted immediately after World War II that the newly established West German state reinstitute it.

After their takeover of power in January 1933 the National Socialists had outlawed the Mitbestimmung, and forced all labor unions to be unified within the so-called Deutsche Arbeitsfront – literally German Workers Front. The goal was to prevent any potential resistance to the regime from among the working class.

With strikes in 1905 in the coal mining Ruhr region the unions had won the right to establish works councils. In the years thereafter the councils gain increasing influence. During the Weimar Republic these gains were written into law.

The works councils represented the economic and social interests of the workers over and against management. It was no surprise, therefore, that the Nazis saw in them potential opposition to their demand for absolute power. In 1934 the Nazis banned all independent unions and works councils.

It was no surprise, therefore, that what had been a thorn in the side of the Nazis was reinstated by the Allies. Kontrollratsgesetz Nr. 22 – Allied Law No. 22 – in the Spring of 1946 put works councils back in business.

Since then there has been no better instrument to prevent total control by management. Those who pick a fight with a works council go against the self-understanding and pride of the German movement for worker rights.

MacArthur vs. Nimitz

During World War II, the two American military leaders in charge of operations in the Pacific could not have been more different in their personalities and leadership styles. Both General Douglas MacArthur and Admiral Chester Nimitz were in charge of two different sections of the Pacific, answering to no one but the Joint Chiefs of Staff. They both had incredible success, both in their individual and joint campaigns. Yet, only one of these men became an American celebrity, admired for his amazing leadership skills.

MacArthur was a showman, fond of strong gestures and motivating speeches. Occasionally accused of being a megalomaniac, Macarthur believed very strongly that the Pacific fleet should be united under his authority. He expected his officers to inform him about everything, and he expected his orders to be carried out precisely as he specified them. His opinions on his officers’ advice and reporting abilities are shown very clearly in two of his quotes:

“I realize that advice is worth what it costs – that is, nothing. Expect only five percent of an intelligence report to be accurate. The trick of a good commander is to isolate the five percent.”

On the other hand, Nimitz was said to be a team player, who relied on his staff’s expertise to successfully manage themselves and to provide useful advice when needed. Naval historian Robert Love wrote that Nimitz “had the ability to pick able subordinates and the courage to let them do their jobs without interference. He molded disparate personalities into an effective team.”

Nimitz was a German-Texan, born and raised in Fredericksburg, Texas.

Working independently

Many job advertisements will promise their employees the opportunity to work independently. An independent work environment, without constant oversight or having someone ‘looking over your shoulder’, is viewed very positively.

This is also an indicator of trust. Constant check-ins with one’s boss about the status of a project are neither necessary nor desired. In the German workplace, too many check-ins suggests an over-dependence on guidance on the part of the employee. Such ‘needy’ employees require a lot of ‘hand-holding’ – something which no German employer feels like doing.

“Coach me“

Americans expect to be coached by their team lead. If the team lead has accurately identified weaknesses in a team member, and has communicated them clearly, fairly and diplomatically in a feedback talk, then it is expected that the team lead then coach her „player.“

Just as a basketball coach will take extra time with a player after practice to work on dribbling or shooting skills, so too a good manager in the American business context will take the time to explain to the employee how to perform certain tasks better: give presentations, write reports, perform calculations, attach the part to the machine, handle customer issues, work with external suppliers, and manager their own team. The list is endless.

If the team lead, however, is not in a position to coach her player directly – due to time constraints or perhaps she is not a master of the skill herself – then she should, at a minimum, know where to send that team member in order to be coached, taught, instructed, advised.

Coach. Player. Americans want to be coached. American sports coaches are deeply involved in how their players play.

Constructive Criticism

Critique: A detailed analysis and assessment of something, especially a literary, philosophical, or political theory. Derived from mid 17th century from French, based on Greek kritikē tekhnē ‘critical art”.

Constructive criticism is legitimate criticism – fair, objective, well grounded. It is constructive when its purpose, tone and spirit aim to help the other person recognize, understand and then correct their weaknesses. Constructive criticism is helpful.

Employee evaluation helps management to measure performance while maintaining motivation and reducing employee turnover. It has three components: praise work well done; address areas of improvement; recommend improvement measures. Employee evaluations also serve as documentation of future goals to be reviewed at a later date.

There are 58,885 books on self-improvement on Amazon.com. The most popular areas for self-improvement are money management, healthy living, attitude, speaking skills, time management, and interpersonal relations.

Popular titles include “The Power of Self-Coaching: The Five Essential Steps to Creating the Life You Want” by Joseph J. Luciani, “The Secret Art of Self-Development: 16 Little-Known Rules for Eternal Happiness & Freedom” by Karl Moore, “50 Self-Help Classics: 50 Inspirational Books to Transform Your Life from Timeless Sages to Contemporary Gurus” by Tom Butler-Bowdon, and “I Had It All The Time: When Self-Improvement Gives Way to Ecstasy” by Alan Cohen.

Steve Jobs – Merciless Criticism

An article on Jony Ive, the head of design at Apple Computer, in the New Yorker Magazine from February 23, 2105 touches on how the late Steve Jobs gave constructive feedback:

“Jobs’s taste for merciless criticism was notorious. Ive recalled that, years ago, after seeing colleagues crushed, he protested. Jobs replied, ‘Why would you be vague?,’ arguing that ambiguity was a form of selfishness: ‘You don’t care about how they feel! You’re being vain, you want them to like you.’

Ive was furious, but came to agree. ‘It’s really demeaning to think that, in this deep desire to be liked, you’ve compromised giving clear, unambiguous feedback,’ he said. He lamented that there were ‘so many anecdotes’ about Jobs’s acerbity: ‘His intention, and motivation, wasn’t to be hurtful.'”

Steve Jobs. More German than American logic.

The Servant on call

The Germans says: “Only servants need be reachable at all times.” It’s a figure of speech many German managers use to signal that they cannot always respond immediately to team member questions, nor can they be reached directly. Team members are often asked – and trained – to only contact their boss if it is truly important.

“Say that we’re good.”

In February 2015 Reimund Neugebauer was interviewed. He is the Head of the Fraunhofer Institutes in Germany: 66 research locations, 24,000 employees and an annual budget of 2 billion Euros.

Neugebauer was asked whether German technical and industrial innovation was weakening. His response: Not at all. Germany’s innovativeness secures the country’s prosperity. Fifty percent of all so-called hidden champions (little-known global market leaders in their fields) are located in Germany. Mittelstand companies, said Neugebauer, are simply very modest.

Neugebauer recalled giving a speech at a company anniversary and deservedly praised the firm. “After me, the owner took the stage and said he felt like clarifying something, saying that the company was just one of many and that everyone in the room was good at what they did.

He was worried that the praise would not be well received. That’s so typical! In a way, I like this modesty, too. But we also have to be able to say that we’re good. Germany wouldn’t be the world’s No. 1 exporter of research-intensive goods if we had constantly missed the boat on innovations.”

Focus on Weaknesses

In feedback discussions the Germans focus on what isn‘t working. This is a shared logic. Both team lead and team members address primarily weaknesses. The Germans waste little time discussing what is working, instead taking direct aim at deficits.

This problem-orientation is considered positive, constructive and future-oriented. It is a proven approach to assessing suboptimal work results and laying the foundation for improvement. Germans are very pragmatic about reducing mistakes. They often say: „That was good work, but ….“

Every German hears at a young age the statement: Selbsterkenntnis ist der erste Schritt zur Besserung, self-critique is the first step towards improvement. Critique of others and of oneself is legitimate and necessary in order to improve. Germans believe that the individual needs first to admit their own weaknesses before being able to eliminate them.

Continuing Education

The Germans consider education, and continuing education, to be the foundation of their economy. Their companies, large and small, set aside generous budgets to continuously broaden and deepen the skill sets of their employees.

Training organizations, management consultants, subject area experts all market their expertise in helping companies to reduce errors and to optimize work processes. The key from the German perspective is anticipating and preventing problems.

Roughly 45% of all German employees participate in continuing education sponsored by their employer. 25% of those programs run for several months. 60% of all continuing education in Germany takes place within companies. The Germans are keenly aware of the important role knowledge and skills play in their economic future.