The Growing Power of Mentoring.

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THE GROWING POWER OF MENTORING

Suddenly, the word mentoring is on everyone's lips. In the United States, organisations in all sectors are breathing new life into a concept that had been seen as a management fad of the 80s. In the UK, the Government has called a working party to co-ordinate mentoring in a wide variety of community schemes, including a new venture to provide thousands of schoolchildren with personal mentors.

In Eire, thousands of difficult to employ young people are being coaxed into the working environment through an ambitious mentoring scheme. In Scandinavia and Western Europe, companies are experimenting with mentoring for the benefit of a wide variety of employees, from new recruits to people approaching retirement.

At the World Bank in Washington, mentoring is addressing the intercultural tensions inherent in an organisation of highly talented, culturally diverse people. Wherever you look around the world, mentoring is becoming part of the solution to issues of community or business development.

In Australia, employers in both the public and private sectors have launched innovative programmes. Among them, the Education Board of the State of Victoria, which has achieved great results in opening up senior positions in education to women.

Executives across the country have suddenly found they can't do without a mentor to guide and challenge them on how they do their jobs.

What's the reason for this sudden upsurge of interest and activity in a concept that has been around for a good 20 years? Several drivers have come together.

Among them:

Increasing emphasis on self development

For a variety of mostly good reasons, organisations are attempting to place the responsibility for managing career and personal development squarely on the shoulders of the individual employee.

In theory, at least, this benefits both parties. The employee is empowered to take more control of what happens to them in a career that is less and less likely to be with just one or two employers, and the organisation is able to concentrate its HR resources on creating opportunities for learning rather than sending people on courses.

This broad consensus is an integral part of the new psychological contract between employees and employer.

The return of people management responsibilities to line managers

The history of industrial relations in the-mid 20th century is one of increasing transfer of power from the line manager to Human Resources. That trend is well and truly in reverse as managers are encouraged to take on greater and greater responsibility for developing the talent in their teams.

A major problem for many companies is that the managers have operated so long under the previous rules that they have neither the skills nor the commitment for this time-consuming activity.

Flatter hierarchies rely more on relationships

As organisations become simpler on paper, they become more complex in reality. Today's large organisation typically has half the number of layers of its counterpart 15 years ago. New structures - less stable, less visible and often much more powerful - emerge between and across the layers.

The most common forms are networks (low in shared purpose, but typically wide and diffuse in membership) and virtual teams (high in shared purpose, but relatively narrow and well-defined in membership)

TAKE IN DIAGRAM

To navigate through the complexities of the informal organisation, people need help. In a recent study of high performing companies, we identified that one of the reasons CEOs appointed from outside so often failed was that - unless the company was in crisis - they entered with very little understanding of the informal structures.

Unable to make things happen through subtle tweaks of the informal organisation, they resorted to extensive changes through the formal systems. In effect, this is akin to hiring a TV repairman equipped only with a hammer and nails.

The same principles apply at all levels. To fit into the organisation, to feel valued and to contribute rapidly, people need to understand the collective thinking and develop their own networks of influence and information. Mentoring has proven its ability to do this over and over again. For example, one recent study from the United States shows that new insurance agents with mentors outperform those without by 20% in their first year.
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The need to retain scarce talent

The CEO of ABB was recently reported as saying that the critical issue for businesses in the developed world over the next few years will not be knowledge creation, but knowledge retention.

Controlling the leakage of talent is becoming increasingly difficult as career opportunities become more important to employees than loyalty to a current employer. Again, the track record of mentoring in helping with these issues is good.

At Smithkline Beecham, the finance department had a turnover of staff last year of over 25% not out of the ordinary ...

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