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Maximise potential of your resources ex-US Navy commander tells underwriters

Transformation advisor Former US Navy commander D. Michael Abrashoff.

Former US Navy commander D. Michael Abrashoff was an unusual choice of speaker at the Professional Liability Underwriting Society's two-day business symposium in Hamilton.

Yet captains of industry from across Bermuda's multi-billion dollar insurance and reinsurance sector were keen to hear from the one-time military captain to learn how he transformed the USS Benfold from a ship with a retention rate of eight percent to one that no-one wanted to leave, and a warship that subsequently was officially judged the best in the Pacific Fleet and later the best in the entire US Navy.

Mr. Abrashoff believes the principles and philosophies he applied onboard the ship can equally be used by companies, organisations and departments with similar results.

He is not alone in that belief. His first book "It's Your Ship", written for the business community, has sold more than 350,000 copies. A follow up "Get Your Ship Together" is proving popular and a third book "Ship Happens" is now being written.

What worked for Mr. Abrashoff, managing a 310-person unit on a warship, he says can work for corporate managers who have their own finite team and resources.

He commanded the USS Benfoldfor only two years in the late 1990s, yet his influence brought a remarkable organisational turnaround onboard the previously demoralised warship.

The lessons have since spawned his two best-selling books and led Mr. Abrashoff into a career as a business world speaker fulfilling 100 engagements a year.

Before addressing the Professional Liability Underwriting Society's symposium at the Fairmont Hamilton Princess Hotel, he spoke to the Royal Gazette about what triggered his own remarkable story and how he now shared what he had learned with corporate managers and leaders.

Appointed to the command of the USS Benfoldat the age of 36, he found himself in charge of one of the US' most advanced warship but one with a serious morale problem. By the time he left the crew retention rate had improved from eight percent to nearly 100 percent. The ship's operating costs were lowered by 25 percent and many of the crew members were so inspired they pursued professional careers in law and medicine after their military service time ended.

Around 200 of the ship's crew of 310 remain in contact with Mr. Abrashoff, indicating the respect and inspiration he instilled.

Before becoming the youngest junior commanding officer of the Pacific Fleet, Mr. Abrashoff had served in the first Gulf War when Kuwait had been invaded by Iraqi forces. Being plunged into a situation where 21 enemy aircraft were attacking the ship he was serving onboard, the future commander reflected afterwards on what the ship and its crew could have done better.

Many years later, when he took charge of the USS Benfold, he faced a ship with unacceptably high crew turnover and exceptionally low morale.

"I couldn't promise people money or bonuses for good work. What we did was create an climate on the ship where there was an atmosphere of respect. I personally interviewed each member of the crew and asked them what their goals and ambitions were and communicated with them about how they could be the best," he said.

He was also able to elicit their thoughts on how things on the ship could be improved. Finding a way to overcome the barriers of rank within the Navy, and empower each crew member to feel they had an equal right to speak up with an idea or suggestion for improvement led to a culture of change.

"We wanted to unleash the talent we had. The crew turned that ship around and it is because people were given the tools and the training and were in that (supportive) environment."

As a consequence USS Benfold was soon judged the best ship in the Pacific Fleet, and after Mr. Abrashoff left the command, his legacy and the improvements continued and led to the ship being named the best in the entire US fleet.

"Now I speak to business groups. They are in a similar position. They can't go out and import talent. I talk about better using the talent they have today rather than wishing for what they haven't got," explained Mr. Abrashoff.

"I try to get business managers to view themselves as role models — to become a leader rather than a manager. You become known as the best one to work for and people come and work for you because you are the best department in the organisation.

"You don't have to be the CEO. I wasn't the 'CEO of the US Navy', I was just a manager of a 310-people unit. We focused on making ourselves the best. I challenge managers to become the best."

The crew members of the USS Benfold, who had become so demoralised by their previous experiences, found in Mr. Abrashoff a leader who took a genuine interest in their lives and their ambitions and made them aspire to greatness.

As he brought the lessons to captains of industry in Bermuda, Mr. Abrashoff said: "Business leaders can't go out and keep importing talent, so you have to do a better job with the talent you already have. I'm always trying to get across the message that you should stop obsessing about what you can't change and obsess instead about what you can change."