Enron Mail

From:michelle.cash@enron.com
To:bob.sparger@enron.com
Subject:Re: Unnecessary Hiearchy equals 10X Bureaucracy
Cc:david.oxley@enron.com, bruce.cleve@enron.com, neil.davies@enron.com,drew.lynch@enron.com, cindy.olson@enron.com, robert.jones@enron.com, marla.barnard@enron.com, mary.joyce@enron.com, scott.gilchrist@enron.com, brian.schaffer@enron.com, sheila.knuds
Bcc:david.oxley@enron.com, bruce.cleve@enron.com, neil.davies@enron.com,drew.lynch@enron.com, cindy.olson@enron.com, robert.jones@enron.com, marla.barnard@enron.com, mary.joyce@enron.com, scott.gilchrist@enron.com, brian.schaffer@enron.com, sheila.knuds
Date:Mon, 25 Sep 2000 03:10:00 -0700 (PDT)

I also want to be included in this discussion, but I do not want to commit my
thoughts to writing. So, count me in. Michelle




Enron North America Corp.

From: Bob Sparger @ ENRON 09/25/2000 09:42 AM


To: David Oxley/HOU/ECT@ECT
cc: Bruce Van Cleve/HOU/EES@EES@ECT, Neil Davies/Corp/Enron@ENRON, Drew C
Lynch/LON/ECT@ECT, Cindy Olson/Corp/Enron@ENRON, Robert
Jones/Corp/Enron@ENRON, Marla Barnard/Enron Communications@Enron
Communications@ECT, Mary Joyce/HR/Corp/Enron@ENRON, Scott
Gilchrist/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT@ECT, Michelle Cash/HOU/ECT@ECT,
Brian Schaffer/Corp/Enron@ENRON, Sheila Knudsen/Corp/Enron@ENRON, Gerry
Gibson/Corp/Enron@Enron, Tim O'Rourke/Corp/Enron@Enron, Pam
Butler/HR/Corp/Enron@ENRON, Andrea Yowman/Corp/Enron
Subject: Re: Unnecessary Hiearchy equals 10X Bureaucracy

David:

I would characterise my view as "treat the causes not the symptoms".
Bottomline line, change and innovation are good. Let's capture the good
available to us in innovation.

With respect to free radicals, something is missing which creates
instability, negativity and a highly reactive state. For this reason, free
radicals are very "short-lived." Let's avoid short-lived results.

Regards,

Bob





David Oxley@ECT
09/25/2000 09:24 AM
To: Bruce Van Cleve/HOU/EES@EES
cc: Bob Sparger/Corp/Enron@ENRON, Neil Davies/Corp/Enron@ENRON, Drew C
Lynch/LON/ECT@ECT, Cindy Olson/Corp/Enron@ENRON, Robert
Jones/Corp/Enron@ENRON, Marla Barnard/Enron Communications@Enron
Communications, Mary Joyce/HR/Corp/Enron@ENRON, Scott
Gilchrist/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Michelle Cash/HOU/ECT@ECT,
Brian Schaffer/Corp/Enron@ENRON, Sheila Knudsen/Corp/Enron@ENRON, Gerry
Gibson/Corp/Enron@Enron, Tim O'Rourke/Corp/Enron@Enron, Pam
Butler/HR/Corp/Enron@ENRON, Andrea Yowman/Corp/Enron@ENRON

Subject: Re: Unnecessary Hiearchy equals 10X Bureaucracy

Gerry,

Would you please organise a gathering or an alternate forum for this
discussion. Based on the various messages I believe the following have
expressed an interest in being involved:

Drew Capitalist Lynch
Neil Free market radical Davies
Bruce I couldn't think of a witty reposte Van Cleve
Pam Just the facts Butler
Robbie I'm too busy to reply to your silly emails but include me in the
debate Jones
Andrea Lets be careful Yowman
Bob Lets be extra careful Sparger
and me.......so far.

Now for this weeks debate...................................."I propose no
Commercial staff may or can move between Op Co's until January or February,
unless the poaching Op Co OTC has approached the sponsoring Op Co OTC in
advance of contacting the employee and the move is subsequently sanctioned by
the Exec Committee".

David



Bruce Van Cleve@EES
09/25/2000 07:43 AM
To: David Oxley/HOU/ECT@ECT
cc: Bob Sparger/Corp/Enron@ENRON@ECT, Neil Davies/Corp/Enron@ENRON@ECT, Drew
C Lynch/LON/ECT@ECT, Cindy Olson/Corp/Enron@ENRON@ECT, Robert
Jones/Corp/Enron@ENRON@ECT, Marla Barnard/Enron Communications@Enron
Communications@ECT, Mary Joyce/HR/Corp/Enron@ENRON@ECT, Scott
Gilchrist/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT@ECT, Michelle Cash/HOU/ECT@ECT,
Brian Schaffer/Corp/Enron@ENRON@ECT, Sheila Knudsen/Corp/Enron@ENRON@ECT,
Gerry Gibson/Corp/Enron@Enron@ECT, Tim O'Rourke/Corp/Enron@Enron@ECT, Pam
Butler/HR/Corp/Enron@ENRON@ECT, Andrea Yowman/Corp/Enron@ENRON@ECT
Subject: Re: Unnecessary Hiearchy equals 10X Bureaucracy

HR folks, Ralph Waldo Emerson, Adam Smith, Karl Marx, etc.:

I too would like to be involved in this discussion. I would comment that I
support any type of broad band structure vs. a "Hay type" system. Having
been part of organizations having various types of both, payment, movement
and placement of people is simply, much easier with broad banding in a
relatively flat organization.

Bruce



David Oxley@ECT
09/22/2000 08:12 AM
To: Bob Sparger/Corp/Enron@ENRON
cc: Neil Davies/Corp/Enron@ENRON, Drew C Lynch/LON/ECT@ECT, Cindy
Olson/Corp/Enron@ENRON, Bruce Van Cleve/HOU/EES@EES, Robert
Jones/Corp/Enron@ENRON, Marla Barnard/Enron Communications@Enron
Communications, Mary Joyce/HR/Corp/Enron@ENRON, Scott
Gilchrist/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Michelle Cash/HOU/ECT@ECT,
Brian Schaffer/Corp/Enron@ENRON, Sheila Knudsen/Corp/Enron@ENRON, Gerry
Gibson/Corp/Enron@Enron, Tim O'Rourke/Corp/Enron@Enron, Pam
Butler/HR/Corp/Enron@ENRON, Andrea Yowman/Corp/Enron@ENRON
Subject: Re: Unnecessary Hiearchy equals 10X Bureaucracy

OK. Great.

However, in our laudable desire to be practical and enter this debate
understanding some of the undisputed challenges a radical approach might
present, LETS NOT KILL RADICAL THOUGHT OR IDEAS PLEASE! At least initially
lets get all the opinions out there before we place any limits or timeframes
or qualifications.

David (It's revolution - far out!)



Enron Capital & Trade Resources Corp.

From: Bob Sparger @ ENRON 09/22/2000 07:40 AM


To: David Oxley/HOU/ECT@ECT
cc: Neil Davies/Corp/Enron@ENRON, Drew C Lynch/LON/ECT@ECT, Cindy
Olson/Corp/Enron@ENRON, Bruce Van Cleve/HOU/EES@EES@ECT, Robert
Jones/Corp/Enron@ENRON, Marla Barnard/Enron Communications@Enron
Communications@ECT, Mary Joyce/HR/Corp/Enron@ENRON, Scott
Gilchrist/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT@ECT, Michelle Cash/HOU/ECT@ECT,
Brian Schaffer/Corp/Enron@ENRON, Sheila Knudsen/Corp/Enron@ENRON, Gerry
Gibson/Corp/Enron@Enron, Tim O'Rourke/Corp/Enron@Enron, Pam
Butler/HR/Corp/Enron@ENRON, Andrea Yowman/Corp/Enron
Subject: Re: Unnecessary Hiearchy equals 10X Bureaucracy

David:

Would love to be involved in this as a view of process and change
opportunity.

We do not want to react to, and treat, the symptoms (number of absolute
categories), without full consideration of the root cause and setting a plan
to address it. The real change issue as I see it is job description and
"position" classification. The real project is to rationalise the job
structures within Enron - simplify wherever possible. Target a cut from 24
categories to say 12. This impacts not only the PRC, but how we look at
compensation across the levels, function performed (e.g., commercial,
commercial support, technical) and specialization areas (e.g., legal,
accounting, IT, engineering, HR, etc.)

With respect to current yearend PRC, it is hard to change the agreed process
midstream. It is doable if we can show where/how certain of the categories
are "equivalent" and should be considered together. Only caveat is to
ensure we do not render the root cause untreatable by addressing symptoms.


Tim / Gerry:

How would you like to approach this? Two key groups we need to link in are
Compensation (Mary Joyce, Pam Butler) and PRC (Gina Corteselli, Andrea
Yowman). Let talk early next week.

Regards,

Bob







David Oxley@ECT
09/21/2000 02:49 PM
To: Neil Davies/Corp/Enron@ENRON
cc: Drew C Lynch/LON/ECT@ECT, Cindy Olson/Corp/Enron@ENRON, Bruce Van
Cleve/HOU/EES@EES, Robert Jones/Corp/Enron@ENRON, Marla Barnard/Enron
Communications@Enron Communications, Mary Joyce/HR/Corp/Enron@ENRON, Scott
Gilchrist/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Michelle Cash/HOU/ECT@ECT,
Brian Schaffer/Corp/Enron@ENRON, Sheila Knudsen/Corp/Enron@ENRON, Gerry
Gibson/Corp/Enron@Enron, Tim O'Rourke/Corp/Enron@Enron, Pam
Butler/HR/Corp/Enron@ENRON, Andrea Yowman/Corp/Enron@ENRON, Bob
Sparger/Corp/Enron@Enron

Subject: Re: Unnecessary Hiearchy equals 10X Bureaucracy

Tim/Gerry/Bob,

Would you facilitate this discussion?

David



Neil Davies@ENRON
09/21/2000 02:41 PM
To: Drew C Lynch/LON/ECT@ECT
cc: David Oxley/HOU/ECT@ECT, Cindy Olson/Corp/Enron@ENRON, Bruce Van
Cleve/HOU/EES@EES@ECT, Robert Jones/Corp/Enron@ENRON, Marla Barnard/Enron
Communications@Enron Communications@ECT, Mary Joyce/HR/Corp/Enron@ENRON,
Scott Gilchrist/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT@ECT, Michelle
Cash/HOU/ECT@ECT, Brian Schaffer/Corp/Enron@ENRON, Sheila
Knudsen/Corp/Enron@ENRON, Gerry Gibson/Corp/Enron@Enron, Tim
O'Rourke/Corp/Enron@Enron, Pam Butler/HR/Corp/Enron@ENRON, Andrea
Yowman/Corp/Enron@ENRON
Subject: Re: Unnecessary Hiearchy equals 10X Bureaucracy

Commie and Capitalist

It seems to me that both ideas and philosophies have merits - it is all down
to how you assign value to roles - in ENA commercial deal making function
this is very easy to do - how much they profit they generate - grade has very
little place in this world.

In other areas it is harder and grading provides a methodology (far from
perfect) for grouping and providing structure around a set of skills and how
they are valued in the organisation. To lose them without providing some
other method of measuring value e.g. a more robust PRC process, would run the
risk of making a sometimes too subjective process even more subjective.

Give me a small number of loose grades anytime. So we should aim for nearer
to 8/9 and head away from the 24 - having 7 levels for admins does smack of
bureacracy.

Would be interested to be involved in looking at this


Neil
(free market radical)



Drew C Lynch@ECT
09/21/2000 11:41 AM
To: David Oxley/HOU/ECT@ECT
cc: Cindy Olson/Corp/Enron@ENRON, Bruce Van Cleve/HOU/EES@EES, Robert
Jones/Corp/Enron@ENRON, Marla Barnard/Enron Communications@Enron
Communications, Mary Joyce/HR/Corp/Enron@ENRON, Scott
Gilchrist/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Michelle Cash/HOU/ECT@ECT,
Brian Schaffer/Corp/Enron@ENRON, Sheila Knudsen/Corp/Enron@ENRON, Gerry
Gibson/Corp/Enron@Enron, Tim O'Rourke/Corp/Enron@Enron, Neil
Davies/Corp/Enron@ENRON, Pam Butler/HR/Corp/Enron@ENRON, Andrea
Yowman/Corp/Enron@ENRON

Subject: Re: Unnecessary Hiearchy equals 10X Bureaucracy

David,

Obviously I missed this meeting, but Scott has been good enough to fill in
some of the details for me. In concept I agree that less levels is better,
but I am not sure that we can get it down to 5. The process does warrant
further discussion and I would like to be included.

DCL (Capitalist)




David Oxley
21/09/2000 17:22
To: Cindy Olson/Corp/Enron@ENRON, Drew C Lynch/LON/ECT@ECT, Bruce Van
Cleve/HOU/EES@EES, Robert Jones/Corp/Enron@ENRON, Marla Barnard/Enron
Communications@Enron Communications, Mary Joyce/HR/Corp/Enron@ENRON, Scott
Gilchrist/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Michelle Cash/HOU/ECT@ECT,
Brian Schaffer/Corp/Enron@ENRON, Sheila Knudsen/Corp/Enron@ENRON
cc: Gerry Gibson/Corp/Enron@Enron, Tim O'Rourke/Corp/Enron@Enron, Neil
Davies/Corp/Enron@ENRON, Pam Butler/HR/Corp/Enron@ENRON, Andrea
Yowman/Corp/Enron@ENRON

Subject: Unnecessary Hiearchy equals 10X Bureaucracy

I'm disappointed that we haven't followed up on the conversation we had a few
weeks ago relating to the 24 hierarchical levels we apparently preside over
here at Enron.

My view remains we should have a strong ambition to significantly reduce and
simplify the current grade structures. Far from adding additional levels a
fundamental analysis should be made of the need for any more than 5 from top
to bottom. In this regard I would lay down the following challenge for your
comments: why would the following structure not work better in promoting a
flat, entrepreneurial, open, fast paced organisation, while also
significantly reducing the bureaucracy:

Number of PRC levels Commercial Support/Technical Key
1 MD/VP Same Collapse 2
2 Deal Makers Management Collapse 3
3 A&A's Specialists/Consultants/Professionals Collapse 3/5
4 Admin (non- Exempt) Same Collapse 7!



David (Commie) Oxley