Byron's Babbles

Horse Power – What is the Equivalent for Companies? HumanPower

This guest post originally appeared on the Alex Vorobieff Blog

Horse Power – What is the Equivalent for Companies? HumanPower

By Alex Vorobieff

Today, there is a lot of talk about Artificial Intelligence, AI, and computers taking over more jobs but as I write this, human beings still provide the essential power to build thriving companies. What is this power we provide? The term “Human Resources” is inadequate. The term “Human Capital” is static. A company’s power comes from its people’s ability to coordinate their efforts. HumanPower is what propels companies. We quantify car engine horse power but what is the equivalent for companies? HumanPower.

What determines whether a company thrives or slowly dies? How well its people use their experience and expertise to coordinate their decisions and actions.

Recent scientific insight has shed light on how our species of humans, homo sapiens, evolved and thrived while other species died out even though we were not the fastest or strongest.  We survived because of our unique competitive advantage; our ability to coordinate our efforts.

Coordinating efforts generates the HumanPower that propels the few companies past the many that struggle, but misaligned HumanPower can also tear companies apart. For example in an Olympic rowing competition, team members rowing at slightly different paces are working against each other and diminishing their HumanPower. Understanding how to harness HumanPower is critical for growing a business successfully.

Okay Vorobieff, how do we coordinate the efforts of our people? By answering key questions that provide guidance for people within the company to make big and small decisions such as:

Why does the company exist?

• What are we really selling? (What problem are we solving for our customer?)

• Who is our core customer?

• What is essential for the company to survive and thrive?

• What are the core values essential for keeping our unique culture?

• Who is responsible for what?

• When things don’t go according to plan, how do we get back on track?

• What is the number one priority for the company?

These questions do not answer themselves. If answered, the answers are easily forgotten, or often not communicated to new team members.  Most companies do not have clear answers to these questions. Over time, differing and conflicting answers evolve generating conflicting decisions and efforts or worse DeadPayroll.

How can you measure HumanPower? There is no Dynamometer to hook people up to measure a company’s horsepower. It’s easier to measure the drag than the force. Start with measuring your DeadPayroll.

You can also measure HumanPower by using the most powerful tool humans’ possess, questions. Start asking the key questions listed above to your leadership team. Let them answer separately and see if your people are headed in the same direction or are pulling the company in different directions.

Coordinating decisions and actions was the competitive advantage our ancestors used to survive and thrive in a harsh environment where survival was not guaranteed, and the same coordination will determine whether your company thrives in a competitive environment where long-term survival is not guaranteed.

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About Alex Vorobieff

Founder and CEO of The Vorobieff Company, Alex Vorobieff is a business turnaround specialist, working to implement Business Alignment Tools for their specific needs. Alex has served as clean-up CFO and president of companies in telecommunications, aviation, aerospace, and real estate development, leading successful turnarounds in as little as three months. He shares his how-tos and techniques through Confident ROi magazine and his latest book, Transform Your Company: Escape Frustration, Align Your Business, and Get Your Life Back.

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