The Practice of Leadership » Books

Complex Goals Are Best Achieved Indirectly

George Ambler — Tue, 21 Jun 2011 17:23:08 +0000

I recently completed reading the book “Obliquity” by John Kay, which provides an important perspective on vision, goal setting, strategy and decision making. Obliquity is the idea the complex goals are often best achieved indirectly.

For example, one of the central ideas in the book is that individuals and companies succeed when they focus on striving towards a compelling purpose, as opposed to a focus primarily on financial success. In the book, John Kay points out that businesses are best run by enthusiasts, men and women who pursue excellence and that financial success follows form this pursuit. However, if financial goals are made the primary objective, then organisations begin to loose their way and significantly increase their chances of failure.

One example of this error, discussed provided in the book is that of Boeing, the aircraft company. Boeing went downhill after their primary strategic focus shifted from being passionate about building great planes, to a focus of delivering “shareholder value”. Bill Allen, the Boeing CEO from 1945 – 1968 described their purpose as to “eat, breathe, and sleep the world of aeronautics”. The downhill spiral began when the new Boeing CEO, Phil Condit explained the new focus “we are going into a value based environment where unit cost, return on investment, shareholder return as the measures by which you’ll be judged”.

Another example comes from the Collins and Porras book, Built to Last, which compared and contrasted the strategies and approaches of two companies in the same industry. In the book, Merck and Pfizer were two companies that formed part of their analysis.

Merck followed an oblique approach to their strategy, as emphasised by George Merck – “We try never to forget that medicine is for the people. It is not for the profits. The profits follow, and if we have remembered that, they have never failed to appear”
John McKeen of Pfizer, in contrast to Merck, followed a more direct strategy, John stated “so far as humanly possible, we aim to get profit out of everything we do.”

However, it was Merck who achieved success and made the most money. So it seems that the most profitable companies in the world are not the most dedicated to profit. Instead they are dedicated to pursuing a compelling purpose. They are dedicated to pursuing excellence. It’s not all about the numbers and shareholder value, it’s about passionate employees, great products and satisfied customers. The most profitable companies are not necessarily the most profit orientated.

In the the article “Jack Welch Elaborates: Shareholder Value”, an interview with Jack Welch, the former CEO of General Electric, discussing his ideas on shareholder value, he points out that…

“On the face of it, shareholder value is the dumbest idea in the world… Shareholder value is an outcome—not a strategy… That’s not a strategy you can touch. That’s not a strategy that helps you know what to do when you come to work every day. It doesn’t energize or motivate anyone.” – Jack Welch, “Jack Welch Elaborates: Shareholder Value”

The reality is that ‘getting the numbers’ and ‘shareholder value’ as goals will never be enough to stir the souls of men. It’s the commitment to a cause we passionately care about that really matters, it’s this commitment that causes us to get out of bed in the morning and that inspire us go the extra mile.

Why all this Matters

So, why does all this matter? When is comes the practice of leadership it’s important that we adopt a vision strategy that is compelling enough to drive the outcomes of leadership, being direction, alignment and commitment (see post). Let’s examine the application of the concept of obliquity as outlined in this post to our practice of leadership. Consider the following leadership challenges that a direct approach creates.

Strategy: When we have generic goals and objectives, such as “improve shareholder value”, this does not provide clear direction for the organisation and assist to answer questions like:

How do we best allocate resources in support of this vision and strategy?
What trade-offs should we be making to support the vision and strategy?
What tactics would allow us to achieve our vision?

Execution: Without a strategy that results in clear and compelling direction, execution that results in alignment becomes difficult to achieve. Consider that alignment cannot be achieve if you are unable to address the following questions:

What should we all be doing differently or better when we come to work each day?
Who is accountable to achieve what outcomes?
How do we ensure that the plans, decisions and action across the enterprise all contribute towards the same goals?

Culture: Without a strategy that considers all stakeholders, it is almost impossible to gain the level emotional commitment from employees to support the execution of strategy and to drive meaningful change. Consider the following:

Does the vision inspire people to go the extra mile?
What behaviours are being encouraged by the vision and strategy?
What type of leadership style and behaviours are require to lead this strategy?

Leaders as Stewards of Purpose

George Ambler — Sun, 25 Jan 2009 15:34:11 +0000

Photo by archer10 (Dennis) (BUSY)

In the book “It’s not what you sell, it’s what you stand for” (the book’s website is here) by Roy Spence Jr. with Haley Rushing, is an interesting chapter, “stewards of purpose” which discuss the importance of purpose in leadership…

“The primary responsibility of a leader in a purpose-based organization is to build, nurture, and sustain the core purpose of the organization… By far the number one driver shared by the masters of purpose is the desire to make a difference… Having a definitive conception of the difference you are trying to make in the lives of all your stakeholders will drive all the tough decisions that need to be made and ensure maximum alignment between all the constituents required to pull it off.”

The authors further discuss the critical role of leaders as the stewards of purpose, the book show how leaders as stewards of purpose are guided by the following six stewardship principles.

Make it job #1 to be the torch bearer of purpose: “In every purpose-based organization there is a key leader who carries the torch of purpose and values and ensures that the organizational culture is living it every day… The key point is you can’t delegate the creation of values and purpose to some middle-management function. The leaders at the top of the organization need to unequivocally believe in the values. They need to live them.”
Believe in purpose before profit: “Purpose-driven leaders genuinely believe in the purpose of the organization and the values on which their culture is built beyond any profit-driven motive.”
Use purpose to create alignment and drive performance: “One of the primary jobs of any leader, at any level in the organization, is to ensure that the energy of every employee is being utilized in the most constructive way possible… As a leader, the energy you have to spend getting people aligned around a purpose is inversely related to the level of awareness that the world has of your purpose. the more the world knows what your organization stands for, the more you will attract individuals who are in alignment with the goals of the organization.”
Keep in mind what you’re fighting for: “What are we fighting for?… After thirty years of helping organisations grow their business. I’ve sat at the table with a lot of CEOs. Those who talk about winning in terms of financial performance alone are like and day compared to those who talk about winning in terms of making a difference in the lives of their stakeholders. And… rarely do those fighting for shareholder value achieve the kind of performance achieved by those focused on making a meaningful difference.”
Use purpose, not just personality, to lead: “…truly great leaders don’t use their positions to coerce people into doing the work that needs to be done – they inspire commitment by appealing to the fundamental desire for work that has meaning… The leaders we’ve met didn’t set out to become great leaders. They set out to fight for a cause they believed in, to revolutionize industries. to make a difference and become great leaders in the process.”
Do right by your purpose: “There is nothing less motivating to employees, and more disappointing to consumers, than leaders who are not willing to make the hard decisions that need to be made to fulfil the purpose of the organization in a meaningful way. Doing right by your purpose requires three things: knowing your purpose, putting your purpose before yourself, and having the courage to do what needs to be done.”

The need for a meaningful purpose to guide organizations and people into the uncertain time we are facing in these time has never been greater. As a leader it’s your responsibility to seek and find the purpose for your life and business. The will require that you set aside a significant amount of time and energy to explore and find a purpose that fills your heart with passion.

Do you have a purpose that you are pursuing for your life and business?
Are you behaving as the torch bearer of that purpose?
Have you aligned your resources behind your purpose?
Have you made that tough decision that is demanded of you by your purpose?

Are You Living The Leadership Challenge?

George Ambler — Sun, 30 Nov 2008 17:43:42 +0000

The Leadership Challenge, by James M. Kouzes and Barry Z. Posner.

J.D. Meier has a great post the “Leadership Challenge Checklist” on his blog “Sources of Insight” providing a checklist based on one of the best leadership books I’ve read “The Leadership Challenge” by James M. Kouzes and Barry Z. Posner. The authors also have a great blog which is worth reading. Here is J.D.’s Leadership challenge Checklist…

Model

Sets a personal example of what to expect?

Makes certain that people adhere to agreed-on standards?

Follows through on promises and commitments?

Asks for feedback on how actions affect people’s performance?

Builds consensus around organization’s values?

Is clear about philosophy of leadership?

Inspire

Talks about future trends influencing work?

Describes a compelling image of the future?

Appeals to others to share a dream of the future?

Shows others how their interests can be realized?

Paints “big picture” of group aspirations?

Shows conviction about meaning of work?

Challenge

Seeks challenging opportunities to test skills?

Challenges people to try new approaches?

Searches outside organization for innovative ways to improve?

Asks “What can we learn?”

Makes certain that goals, plans, and milestones are set?

Experiments and takes risks?

Enable

Develops cooperative relationships?

Actively listens to diverse points of view?

Treats people with dignity and respect?

Supports decisions other people make?

Gives people choice about how to do their work?

Ensures that people grow in their jobs?

Encourage

Praises people for a job well done?

Expresses confidence in people’s abilities?.

Creatively rewards people for their contributions?

Recognizes people for commitment to shared values?

Finds ways to celebrate accomplishments?

Gives team members appreciation and support?

How do you measure up to the leadership challenge?

Preparing Mentally for the Leadership Challenge

Context, Purpose, Drama and Conflict: The Secret Sauce of Great Meetings

George Ambler — Mon, 24 Mar 2008 12:43:37 +0000

Patrick Lencioni author of the numerous books including “Death by Meeting” wrote an interesting article “Avoid ‘Death by Meeting’” which provides some great insights on creating an effective meetings. Patrick describes the two primary reasons meeting are ineffective as..

Meetings lack drama. Which means they are boring.
Most meetings lack context and purpose.

Drama and Conflict

Great meetings need what Patrick calls drama he says that “The key to making meetings more engaging – and less boring – lies in identifying and nurturing the natural level of conflict that should exist.” Conflict keeps us engaged and interested, encouraging us to participate and contribute to the discussion. A leader’s role is to ask questions that matter so as to encourage engagement around the key issues.

Context and Purpose

In addition to drama meetings need context and purpose, “Unfortunately, no amount of drama will matter if leaders don’t create the right context for their meetings and make it clear to team members why the meeting is taking place, and what is expected of them. To create context, leaders must differentiate between different types of meetings. Too often, however, they throw every possible conversation into one long staff meeting. This creates confusion and frustration among team members who struggle to shift back and forth between tactical and strategic conversations, with little or no resolution of issues.”

Effective leaders take a four pronged approach to effectively address context and purpose, they create and sustain the following four meetings.

The Daily Check-in: is a schedule-oriented, administrative meeting that should last no more than five or 10 minutes. The purpose is simply to keep team members aligned and to provide a daily forum for activity updates and scheduling.
The Weekly Tactical: is what most people have come to know as staff meetings. These should be approximately an hour in length, give or take 20 minutes, and should focus on the discussion and resolution of issues which effect near term objectives. Ironically, these work best if there is no pre-set agenda. Instead, the team should quickly review one another’s priorities and the team’s overall scorecard, and then decide on what to discuss during the remainder of the meeting.
The Monthly Strategic: is the most interesting kind of meeting for leaders, and the most important indicator of a company’s strategic aptitude. It is the appropriate place for big topics, those that will have a long-term impact on the business.
The Quarterly Off-Site Review: is an opportunity for team members to step away from the business, literally and figuratively, to reassess a variety of issues: the interpersonal performance of the team, the company’s strategy, the performance of top-tier and bottom-tier employees, morale, competitive threats and industry trends. These can last anywhere from the better part of a day to two full days each quarter.

Creating the right meeting eco-system or “social architecture” is critical to effective leadership. Ensuring that we have the appropriate levels of conflict and that each meeting has the right focus, the right conflict and purpose, is essential for great performance. How are your meetings? Do they have the right amount of conflict and drama? Do you have an eco-system where you have daily check-ins, tactical and strategic meetings?

What Made Jack Welch…. JACK WELCH….?

George Ambler — Thu, 06 Sep 2007 18:35:04 +0000

A post from Lisa from Management Craft on a book by Stephen H. Baum, “What Made jack welch JACK WELCH: How Ordinary People Become Extraordinary Leaders” below is an article from Stephen H. Baum discussing the book….

Shaping Experiences
by Stephen H. Baum

Your leadership core is nurtured and grown out of shaping experiences you encounter and often pursue throughout your life. I’ve identified ten archetypal shaping experiences that mold people into leaders, developing their leadership traits and providing the knowledge and skills crucial to operating in a highly effective manner. Yes, there are ten, and no one of them provides the skill, talent, inherent ability, or single moment of inspiration that makes a leader. These days, no one becomes an effective boss by pulling a sword from a stone. Great leadership happens through hard work and a willingness to take on experience and learn from it.

To paraphrase Gordon Bethune, former chairman and CEO of Continental Airlines, whose leadership skills are legendary: No one thing makes a leader great. Just as having some flour, milk, and eggs in a bowl doesn’t mean you have a great cake — it’s what you do with those ingredients that will determine whether the cake turns out well or poorly.

Archetypal shaping experiences contribute to the cake turning out well. The ten broad categories of shaping experiences are listed below and are shown with a brief definition and explanatory quotes from the leaders I interviewed for this book:

1. Swim in Water over Your Head. Take a calculated personal risk without specific knowledge of how to succeed.
“You gotta do things outside your comfort zone. On purpose.”
“I figured I’d get beat up pretty good in this fistfight, but I had to do it. I got a big lump on my head, but I didn’t die.”

2. Make the Tough Choice. Choose group benefit over personal interest, or choose between two “rights.”
“Sometimes you have to take a good friend off the team and make him feel okay about it. Or do it anyway.”

3. Solve the Key Puzzle. Even if it is not your job, figure out the root of the problem or opportunity.
“Sometimes the crowd runs in circles. You have to concentrate and see what everything hangs on — even if it is not your accountability.”

4. Parent at Work. Help others to grow and to perform exceptionally.
“You learn a lot from your parents and by parenting your own children; sometimes thinking as Mom or Dad at work helps.”
“Ask what you would do if your people were family — you get some good approaches.”
“Treat your employees as you would want your children treated.”

5. Sell Something/Get Others to Buy In. Win hearts and minds to create followers.
“Sell an idea. You’ll be doing it a lot.”
“Get people to vote with their feet, part with their money — it’s what life is all about.”

6. Connect with Others. Understand what motivates others — walk the talk and speak their language. Enlist them as much by your deeds as by your words.
“This plane will get fixed a lot faster if the mechanics want it to. It won’t fix itself.”
“A lot of bosses treat their people like they’re nobodies. My guys do their best because it’s about us, not about me.”

7. Build a Team. Gather and lead a group in a common endeavor, and succeed. Or fail at first and try again. Get average players to play like stars. Add new members and weed out underperformers. Set direction and change it while keeping the team together.
“When you have to deliver, you need experience in selecting people and getting them on the same page.”
“Pickup football taught me how to handicap horses — who will perform and who will not.”

8. Get Good on Your Feet. Learn to communicate, dialogue, and project your authenticity in real time.
“I was the leader of the singing group. That is when I got used to speaking in front of others. It came in handy later.”
“I ran for student council. That’s when I learned to handle the hecklers.”
“I wanted to create an atmosphere of fun around a serious proposition. I organized and led a parade in the building. It not only did what I wanted, it also got me noticed in a good way by the boss.”

9. Develop Your Crap Detector. Practice your intuitive ability to read subtexts of conversations and to detect individuals whose words and behaviors are not what they pretend them to be.
“In the military police, we had to ask questions and make quick judgments about people — a guy who seemed real nice might have beaten someone up a few minutes earlier.”

10. Look in the Mirror. Assess your own values, beliefs, and behaviors critically.
“I didn’t want to hear it, but the criticism made me look inside myself. I changed my career, headed for operations. “
“He made me see my passion — it’s why I stayed in this field against all odds.”
“He told me I’d never make partner if I could not disagree without being disagreeable.”

It seems that this is a good book, filled with the lessons from a great leader….

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