News from Across the Network
2019 Company of The Year, Maxim Healthcare Services. A Client Close Up.
Maxim Healthcare Services is a privately held home health and medical staffing business headquartered in Columbia, Maryland, USA. Maxim has seen a drastic increase in profits and performance while deploying the Adizes methodology and as a result, is being recognized as the 2019 Adizes Company of the Year. Here is their story:
Maxim first engaged with the Adizes Institute in 2016 when it was trying to break through a difficult period caused by rapid growth. In short, in 2009, the organization had run afoul of The Office of the Inspector General, U.S. Department of Health and Human Services, and was thus working through multiple fines, restrictions and administrative protocols that had been imposed on it. These protocols had created a high level of bureaucracy which was inhibiting Maxim’s ability to adapt, grow and generate profits.
In 2016, as these government-imposed regulations were expiring, Bill Butz transitioned from President to CEO, and had been appointed with the task of getting the company back on track. Bill had previously been exposed to Adizes through the Allegis family of companies (a prior client and the parent company of Maxim).
As Maxim had been in a similar position with the government once before, there was a clear understanding within the organization for the need for healthy control systems. Additionally, having been the subject of government intervention and its imposed systems, the organization's culture was rampant with low levels of mutual trust and respect complete with silos and internal conflicts. That is why Bill engaged Adizes.
Pavel Golenchenko and Ken Lane, both Adizes Associates, started working with Maxim in June of 2016 with a Synergetic Organizational Diagnosis, (Syndag™). It was during that event that the organization was diagnosed as being in the Adolescence phase of the corporate lifecycle with some signs of premature aging. A need to take drastic actions to reverse negative profitability and to make certain structural changes resulted from the Syndag™.
To facilitate these needed changes, the Adizes program was deployed. Early efforts were made to restart sales efforts which had gone dormant under the bureaucracy imposed by the government. Additionally, an emphasis was placed on maintaining quality through healthy systems which replaced the unhealthy government-imposed systems. Through these efforts, Maxim was able to maintain the balance between quality and compliance and the aggressive growth aspirations of the organizations. As those changes started to show results, a Mission Action Plan was defined by the management team and this was followed by a sizable restructuring that supported the Mission Action Plan. The new structure increased efficiencies by reducing wasted resources, created individual accountability systems as well as opportunities for bottom-up information flow and, at the same time, addressed many of the cultural issues that had been plaguing Maxim.
In October 2017, after the restructuring had been completed, Rob Gehman (VP of Finance) and Micah Ensor (National Director of Field Support) were trained as Adizes In-Company Integrators and started to cascade the Adizes methodology across the highly geographically dispersed organization. Rob and Micah had early successes with various initiatives including some work they did with the Memphis field office, which had been underperforming for the previous three years. With Rob and Micah’s support utilizing the Adizes methodology, the Memphis Field office quickly turned itself around. Revenues grew, waste was reduced and profitability goals, which had been set earlier in the year, were far exceeded. Additionally, the culture of the office changed which resulted in a reduction of undesirable employee turnover from 50% a year to nearly zero.
After their success with the Memphis Field office, Rob and Micah were in high demand by the organization and charged with various other more complex, more conflictual tasks which required integrating people from across functions and departments in the organizational structure. These tasks included revamping the company’s internal investigation process, addressing regulatory requirements in new markets which were difficult to adapt to and hampering development, redeveloped the entire employee lifecycle complete with how new employees were being on-boarded, trained, career progression and so on, among many other initiatives.
With Rob and Micah’s recognizable successes, the Adizes Methodology became accepted by both the top management and field personnel within Maxim. As such, during Maxim's national meeting in Orlando, Florida, in January of 2019, over 1,200 employees were given deeper training in Adizes and how to utilize the methodology to run effective meetings.
Between June of 2016, when the methodology was first introduced, to January of 2019, when Adizes became fully integrated into Maxim’s culture, the organization went from $9 -10 million in losses to a 30 year best, record-breaking profit in 2019.
We congratulate Maxim Healthcare Services and all those involved for its success in utilizing the Adizes Methodology to achieve these drastic results and hereby announce that it will be receiving the 2019 Company of the Year award on January 13th, during our annual global convention in Bangkok, Thailand.
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