ww ww ww .. LL ee aa dd ee rr EE xx cc ee ll .. cc oo mm

James O’TooleLeadership Consultant

ExcellenceL E A D E R S H I P

THE MAGAZINE OF LEADERSHIP DEVELOPMENT, MANAGERIAL EFFECTIVENESS, AND ORGANIZATIONAL PRODUCTIVITY

NOVEMBER 2008

“Leadership Excellence is an exceptionalway to learn and then apply the best and latest ideas in the field of leadership.”

—WARREN BENNIS, AUTHOR ANDUSC PROFESSOR OF MANAGEMENT

CorporateHappiness

CorporateHappiness

Just Be YouJust Be You

Deliver onFour Promises

Deliver onFour Promises

Speaking Truthto Power

Speaking Truthto Power

T h i s i s s u e s p o n s o r e d b y

H o g a n A s s e s s m e n t S y s t e m s

ExcellenceL E A D E R S H I P

THE MAGAZINE OF LEADERSHIP DEVELOPMENT, MANAGERIAL EFFECTIVENESS, AND ORGANIZATIONAL PRODUCTIVITY

GEOFF COLVIN

Deliberate PracticeIt leads to greatperformance . . . . . . . . . . . 3

STEPHEN R. COVEY

Find Your VoiceYou can then lead more effectively. . . . . . . . .4

W. A. (BILL) ADAMS

Four PromisesAs a leader, you need to deliver on these . . . . . . 5

ANTHONY F. SMITH

Don’t Play PoliticsTake it very seriously and improve . . . . . . . . . . .6

CHARLES AVAKIAN

Befriend the CrocodileAdopt a new way to negotiate agreements . . . .7

GARY RANKER ANDCOLIN GAUTREY

Crunch TimeExpand your base . . . . . . .8

JAMES O’TOOLE

Truth to PowerBeware the perils of speaking truth. . . . . . . . . . 9

CHRISTOPHER RICE

Low Engagement?There are many things you can do about it . . . . 10

CATHY L. GREENBERGAND JOHANNA DILLON

Happy ClimateIt can mean profits. . . . . .11

IRVING H. BUCHEN

Celebrating FailureYou need to stirbreakthroughs . . . . . . . . .12

JOHN C. MAXWELL

Charismatic LeadershipYou can learn the seven qualities. . . . . . . . .13

REBECCA STATON-REINSTEIN

Learn from HistoryThe Founders faced incredible adversity . . . . 14

SHARON BIRKMAN FINK

Get Better ROI on LDFind your diamonds in the rough . . . . . . . . . . .14

DAVE DURAND

Master MotivationRide on four wheels and set an example . . . . .15

JEANA WIRTENBERG

Leaving a LegacyDo it by building a sustainable enterprise. . . 16

MACY BOEHMAND BOB MATHA

Leader-SpeakPractice principles. . . . . .17

ED GASH

Winning CultureCoach people by asking six questions. . . . . . . . . . .17

DIANNA BOOHER

CommunicationUse 10 strategies. . . . . . . .18

ALEX PATTAKOSAND ELAINE DUNDON

Innovating with MeaningMake a difference. . . . . .19

PATRICIA WHEELER ANDMARSHALL GOLDSMITH

Just Be YouDo what is in your mindand heart. . . . . . . . . . . . . .20

VOL. 25 NO. 11 NOVEMBER 2008

Mind the Gap

Many leaders are experiencing a Grand Canyon gap between theirvision of a glowing future (along with their professed values) and aseemingly bottomless pit of errant behaviors and bottom-line losses.

MANY PEOPLE HAVE ASKED MEin recent months: who

are the best leaders amongthe presidential candidates? And then whenthe field was narrowed to the party tickets:who among the President and VP nomineesare the best bets to perform well in office?

As people, I like all four survivors—Obamaand Biden, McCain and Palin. They’ve eachdisplayed leadership qualities. For sheerimpact (and pure entertainment), I give thenod to Sarah Palin. Love her, hate her, or flat-ter her with imitation—you must admit: shehas turned heads, shaken hands, touchedhearts, changed minds, and won votes(moved feet) for her ticket. That’s influence.

In their new book on the topic of influ-ence, my four friends of the VitalSmarts—Joseph Grenny, Ron McMillan, Al Switzler,and Kerry Patterson—contend, “Master influ-

encers know that a few behaviors can drivebig change. They look carefully for the vitalbehaviors that create a cascade of change.“

However the election plays out, the twopeople with the most influence also havethe most to learn: Barack Obama (with threemonths in the Senate before starting his racefor president) and, of course, Sarah Palin,with 18 months as governor of Alaskabefore joining the Republican ticket. Bidenand McCain, albeit old dogs in the Senate,would also need to accelerate their learningcurves (learn many new tricks).

My point: leadership, notwithstanding thecampaign rhetoric, always requires “on-the-job training.” Great leaders grow in office.

TToopp TThhoouugghhtt LLeeaaddeerrss aanndd PPrraaccttiittiioonneerrssOur congratulations to all the winners in

our list of top thought leaders in leadershipand practitioners in leadership develop-ment in government, education, military,and non-profit organizations. LE

H o w a u t h e n t i c a r e t h e p r e s i d e n t i a l c a n d i d a t e s ?

by Ken Shelton

Volume 25 Issue 11

Leadership Excellence (ISSN 8756-2308) is published monthly by Executive ExcellencePublishing, LLC (dba Leadership Excellence), 1806 North 1120 West, Provo, UT 84604.

Editorial Purpose:Our mission is to promote personal and organi-zational leadership based on constructive values,sound ethics, and timeless principles.

Basic Annual Rate:US $129 one year (12 issues)US $219 two years (24 issues)Canada add US $30 postage per year.All other non-U.S. add US $70 per year.

Corporate Bulk Rates (to same address)US $190 each per year for 5 to 25US $99 each per year for 26 and up* Ask about logo and custom editions andforeign bulk rates.

Article Reprints:For reprints of 100 or more, please contact theeditorial department at 801-375-4060 or emailcustserv@eep.com. Back Issues: (print) US$25.00. Permission PDF US: $50.

Internet Address: www.eep.com

Submissions & Correspondence:All correspondence, articles, letters, andrequests to reprint articles should be sent to:Editorial Department, Executive Excellence,1806 North 1120 West, Provo, Utah 84604;801-375-4060, or editorial@eep.com.

Customer Service/Circulation:For information on products and services call1-877-250-1983 or email: custserv@eep.com.

Executive Excellence Publishing:Ken Shelton, CEO, Editor-in-ChiefScott Spjut, Asst. EditorCraig Cheek, Circulation ManagerNancy Low, Marketing ManagerRob Kennedy, Business ManagerGeoff Pace, Sales

Contributing Editors:Chip Bell, Warren Bennis, Dianna Booher, Kevin Cashman, Marshall Goldsmith, HowardGuttman, Jim Kouzes, Jim Loehr, Tom Peters,Norm Smallwood

The table of contents art is a detail fromSSuuddddeennllyy AAggllooww (image cropped) © CurtWalters, and is courtesy of the artist and artprint publisher Greenwich Workshop.

For additional information on artwork byCurt Walters, please contact:Greenwich Workshop151 Main StreetSaymour, CT 064831-800-243-4246www.greenwichworkshop.com

Full view of table of contents art.

Copyright © 2008 Executive Excellence Publishing.No part of this publication may be reproduced ortransmitted without written permission from the

publisher. Quotations must be credited.

Win or Lose: Palin’s a PlayerE . D . I . T . O . R ’ S N . O . T . E

2 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

1. Gary Hamel 2. Warren Bennis3. Dave Ulrich4. Marshall Goldsmith5. James Collins6. Peter Block7. Ram Charan8. Noel Tichy9. Kevin Cashman

10. Tom Peters11. John P. Kotter12. Bill George13. Jack Zenger14. James O’Toole15. Barbara Kellerman16. James Kouzes17. Clayton Christensen18. Marcus Buckingham19. Peter Senge20. Meg Wheatley

21. James Loehr22. Norm Smallwood23. Michael Porter24. Max Bazerman25. Jay Conger26. Rosabeth Kanter27. C. K. Prahalad28. Ichak Adizes29. Kevin/Jackie Freiberg30. Chip Bell31. Carly Fiorina32. Gifford Pinchot33. Bill Isaacs34. James Champy35. Morgan McCall, Jr.36. Jack Welch37. Nicholas Negraponte38. Jay Conrad Levinson39. Michael Treacy40. Dan Goleman

41. Frances Hesselbein42. Judith Glaser43. Renee Mauborgne44. Ken Blanchard45. Jeff Snipes46. Eileen McDargh47. Beverly Kaye48. Nathaniel Branden49. Barry Conchie50. Patrick Lencioni51. David Allen52. Phil Geldart53. Josh Bersin54. David Nadler55. Libby Sartain56. Nigel Nicholson57. Bill Byham58. Jon Katzenbach59. Ed Lawler60. Robert Whipple

61. Joe Grenny62. Michael G. Winston63. Christopher Rice64. Richard Chang65. Andre Martin66. Joel Barker67. Malcolm Gladwell68. Ken Shelton69. Gregg Thompson70. Ira Chaleff71. Lois Zachary72. Edgar Schein73. Barry Posner74. Dianna Booher75. Spencer Johnson76. Michael Feiner77. Larry Senn78. Jeff Sonnenfeld79. Larry Bossidy80. Vijay Govindarajan

81. Stephen R. Covey82. Lance Secretan83. Dede Henley84. Bill Adams85. Maya Hu-Chan86. James Cabrera87. Rob Lebow88. Ron Crossland89. Steven Arneson90. Terry Bacon91. Robert Kaplan92. Phil Harkins93. Ian Mitroff94. Joseph Jaworski95. B. Kim Barnes96. Howard Guttman97. Richard Leider98. Gary Harpst99. Chris Majer

100. Daniel R. Tobin

Andrew Garman - Rush Univ Medical Center

Bonnie Stouffer - Ascension HealthBrian Powers - EMC UniversityBruce Jackson - Utah Valley UnivCarol Willett - US Gov Accountability

OfficeCarol Davidson - Department of

Commerce, InternationalTrade Administration

Chantell Cooley - ColumbiaSouthern University

Charlie Ambelang - Santa Clara UnivCharles A. O'Reilly - Stanford/

GSB LeadershipDana H. Born - US Air Force AcademyDavid Forman - HCI

David Ray Hudson - US NationalGuard

David Quisenberry - Army Man-agement Staff College

Deborah Leben - US Secret ServiceDixie Brown - Leadership Wabash

ValleyEd Lawler - USC/MarshallFrank J. Anderson, Jr. - Defense

Acquisition UniversityGail S. Williams - NASA Goddard

Space Flight CenterJanet Roberts - Chesterfield

County GovernmentJeffrey Anderson - University of

Chicago Graduate School ofBusiness

Jeffrey A. Sonnenfeld - Yale/ Leadership Institute

Jim Goodrich - Alliant InternationalUniversity

Jonathan Spector - Conference Board

Joseph McKinney - Ball StateJudy D. Olian - UCLA/AndersonKathy Nadurak, Sandra J. Stein -

NYC Leadership AcademyKevin Bruny - Chesterfield County

GovernmentLaurie Cooke - HBAMargaret Klein - US Navy Naval

AcademyMindy Davidson - Wieland UniversityMyrna Blair - University of Deleware

Patricia Diaz Dennis - Girl Scouts/ Boy Scouts

Richard Bolden - Universityof Exeter

Russell L. Frutiger - US Army Europe

Sharon Gabel - University of DenverShashi Kumar - US Marchant

Marine AcademySteve Angellillo - NASA Kennedy

Space CenterThad Allen - US Coast GuardThomas Fowler - Machester BidwellTom Campbell - UC BerkelyTom Kolditz - US Military

Academy/West PointWilliam H. Baker - BYU/Marriott

EExxcceelllleennccee 110000 TToopp TThhoouugghhtt LLeeaaddeerrss

TToopp PPrraaccttiittiioonneerrss iinn LLeeaaddeerrsshhiipp DDeevveellooppmmeenntt

ties that are just out of reach—can youmake progress. You can’t make progressin the comfort zone because you canalready do those activities easily, whilepanic-zone activities are so hard thatyou don’t know how to approach them.Identifying the learning zone and thenstaying in it as it changes, are keys todeliberate practice.

2. It can be repeated a lot. High rep-etition is the most important differencebetween deliberate practice of a taskand performing the task for real, whenit counts. Two points distinguish delib-erate practice from what most of usactually do. One is the choice of a pro-perly demanding activity in the learn-ing zone. The other is the amount ofrepetition. Top performersrepeat their practice activi-ties to stultifying extent.

3. Feedback on results iscontinuously available. Youcan work on technique allyou like, but if you can’tsee the effects, two thingswill happen: You won’t getany better, and you’ll stopcaring. In many situationsa teacher, coach, or mentoris vital for providing crucial feedback.

4. It’s highly demanding mentally.Deliberate practice is above all an effortof focus and concentration. That iswhat makes it deliberate. Continuallyseeking exactly those elements of per-formance that are unsatisfactory andthen trying your hardest to make thembetter places enormous strains on yourmental abilities. The work is so ardu-ous that you can’t sustain it for verylong. Four or five hours a day seems tobe the upper limit of deliberate prac-tice, and this is done in sessions lastingno more than 60 to 90 minutes.

5. It isn’t much fun. Doing things youknow how to do well is enjoyable, butthat’s the opposite of what deliberatepractice demands. Instead of doingwhat you’re good at, you seek out whatyou’re not good at. Then you identifythe painful, difficult activities that willmake you better and do those thingsover and over. After each repetition,you force yourself to see—or get othersto tell you—exactly what still isn’t rightso you can repeat the most painful anddifficult parts of what you’ve just done.

Deliberate Practice

GREAT PERFORMANCEis usually the result

of deliberate practice—a rigorous discipline that producesdesired results. More of it leads to bet-ter, if not great, performance.

What exactly needs to be practiced?Precisely how? Which specific skills orother assets must be acquired? Whatfactors account for top performance?What is the chief constraint?

The chief constraint is mental—even in sports, where we might thinkthe physical demands are the hardest.The required concentration is sointense that it’s exhausting. If deliber-ate practice is so hard—if in mostcases it’s “not inherently enjoyable,”why do some people put themselvesthrough it day after day for decades,while most to not? Where does thenecessary passion come from?

FFiivvee EElleemmeennttssDeliberate practice is characterized

by five elements: 1. It’s designed to improve perfor-

mance. It’s vital for a teacher, coach, ormentor to design the activity best suit-ed to improve performance. You maythink that you can design your ownpractice, but you never outgrow theneed for a teacher’s guidance.Becoming great at anything is difficultwithout the help of a teacher or coach.Without a clear, unbiased view of yourperformance, you can’t choose the bestpractice activity. Even if you couldmake an honest assessment of yourown performance, you can’t design thebest practice activity for that momentin your development—the type ofpractice that would put you on theroad to achieving at the highest levels.You likely lack extensive knowledge ofthe latest and best methods for devel-oping people in your chosen field. Thebest methods of development stretchpeople beyond their current abilities.Deliberate practice requires that youidentify certain elements of perfor-mance that need to be improved, andthen work intently on them. Only bychoosing activities in the learningzone—the location of skills and abili-

You continue that process until you arementally exhausted.

If the activities that lead to great-ness were easy and fun, everyonewould do them—and they would notdistinguish the best from the rest. Mostpeople won’t do it. Your willingness todo it will distinguish you all the more.

AApppplliiccaattiioonn RRuulleessTo apply the principles of great per-

formance at work, follow eight rules.1. See that each person is not just

doing a job, but is also being stretchedand grown. Assign people to jobs inmuch the same way that sports coachesor music teachers choose exercises fortheir students—to push them justbeyond their current capabilities andbuild the skills that are most important.About two-thirds of people develop-ment come from carefully chosen jobassignments, about one-third from mentoring and coaching, and a smidgenfrom classroom training. Put managersinto stretch jobs that require them to

learn and grow. For peopletrying to improve, makingreal decisions in real time is the central practice activi-ty that produces growth.Your hardest experience—the stretches that most challenge you—are themost helpful.

2. Find ways to developleaders in their jobs. Youexperience tension be-

tween your need to develop people bymoving them through different jobs andyour need to develop their expertise incertain domains by leaving them injobs. A division has a tough time com-peting when the boss moves on every18 to 24 months (a typical pattern). Thechallenge is to provide the growth bene-fits of new stretch assignments withoutmoving people into new jobs so often.

3. Encourage your leaders to be activein their communities. Most companieshave values that include respect for theindividual, good citizenship, andintegrity. When company leaders alsobecome leaders of charities, schools,and other nonprofits, they show theircommitment to those values, encour-aging and inspiring employees.Community leadership roles areopportunities for employees to prac-tice skills that will be valuable at work.

4. Know the critical roles of teachersand feedback. Great performance isbuilt through activities designed specif-ically to improve particular skills, andteachers and coaches are helpful indesigning those activities. Yet at most

by Geoff Colvin

L e a d e r s h i p E x c e l l e n c e N o v e m b e r 2 0 0 8 3

PERFORMANCE PRACTICE

I t l e a d s t o g r e a t p e r f o r m a n c e .

organizations, nobody is in the role ofteacher or coach. Employees aren’t toldwhich skills will be most helpful tothem—nor how best to develop them.Top-performing organizations haveexplicit coaching and mentoring pro-grams. Careful job assignments andother programs determine the directionof an employee’s development; men-tors provide detailed advice on whichsubskills need attention right now. Andpeople receive frequent, rapid, and accu-rate feedback to improve performance.

5. Identify promising performersearly. Working on people’s develop-ment early creates huge advantages,and yet in most companies, develop-ment programs are reserved for an elitegroup of executives who are severalyears into their careers. Developingfuture leaders early creates a competi-tive advantage that lasts for decades,as their pipelines of high achievers be-come bigger, better, and more reliable.

6. Understand that people develop-ment works best through inspiration,not authority. Deliberate practice activ-ities are so demanding that no one cansustain them for long without strongmotivation. The best leaders contributeto that motivation through a sense ofmission. Identifying or even creatingan inspiring sense of mission requiresa journey deep into the corporate soul.

7. Invest time, money, and energy indeveloping people. People developmentis at the center of CEOs’ jobs. Indeed,the biggest investment may be thetime of the CEO and other executives.As their direct reports see what theboss is focusing on, they also becomedevoted to developing people. Notthat these companies rely solely on thepower of example. Virtually all ofthem evaluate executives partly onhow well they’re developing people,including themselves.

8. Make leadership development partof the culture. At the best companies,developing leaders isn’t a program—it’s a way of living. For example, hon-est feedback has to be culturally okay;at many companies it isn’t. Devotingtime to mentoring has to be accepted.Working for nonprofits has to beencouraged, not just tolerated.

Applying the principles of great per-formance is hard, but the effects ofdeliberate practice are cumulative. Themore of a head start you get in devel-oping people, the more difficult it willbe for competitors ever to catch you. LE

Geoff Colvin is Senior Editor-at-Large of Fortune magazine and co-author with Larry Seldon of Angel Customers and DemonCustomers (Penguin Putnam). Visit www.washingtonspeakers.com.

ACTION: Create a culture of LD.

by Stephen R. Covey

the case, a burden gnaws at your con-science. To take stock of your biggestburden, wrestle with the question:What need must I serve?

4. Take action to meet the need.Once a need has arrested your atten-tion, then you can find your voice bytaking action. A need compels you todo something besides criticize from thesidelines. To meet the need, thinkabout this question: How can I alignmy talent with my passion in order tomeet the need that burdens me?

MMyy PPrroommiissee aanndd CChhaalllleennggeeI extend a promise and a challenge. My promise: if you will apply these

four capacities—talent (discipline),passion (emotion), need (vision), andconscience (spirit-directed action) toany role or responsibility of your life,you can find your voice in that role.

My challenge: take two or three ofthe primary roles in your life, and ineach role, ask yourself these four ques-tions: What need do I sense? Do I pos-sess a true talent that, if disciplinedand applied, can meet the need? Doesthe opportunity to meet the need tapinto my passion? Does my conscience

inspire me to becomeinvolved and take action?

If you answer all fourquestions in the affirmativeand develop a plan of actionand work on it, I guaranteeyou will find your voiceand enjoy a life of deepmeaning, satisfaction, andgreatness—and inspire oth-ers to find their voice.

The choice to expandyour influence and increase your con-tribution is the choice to inspire othersto find their voice. As you do, latenthuman genius, creativity, passion, tal-ent, and motivation are unleashed.Those organizations that reach a criti-cal mass of people and teams express-ing their full voice will achievenext-level breakthroughs in productiv-ity, innovation, and leadership in themarketplace and society. As you findyour voice and inspire others to findtheir voice, you increase your freedomand power of choice to solve yourgreatest challenge and learn how lead-ership is a choice, not a position.

Leadership in your organization willbecome widely distributed. And whileyou must still manage or control things,you will lead and inspire people. LE

Stephen R. Covey is the author of The 8th Habit: FromEffectiveness to Greatness. Visit www.stephencovey.com.

ACTION: Express your leadership voice.

LEADERS OFTEN SENSE Apainful gap between

possessing great poten-tial and actually realizing a life of great-ness and a career of immense contribution—between being aware of problemsand challenges at work and developingthe personal power and moral authori-ty to break out of those problems andbecome a force in solving them.

One word expresses the pathway togreatness—voice. Voice lies at the nexusof talent (your natural gifts and strengths),passion (those things that naturally ener-gize, excite, motivate, and inspire you),need (including what the world needsenough to pay for), and conscience (thatstill, small voice within that assures youof what is right and prompts you totake action).

When you engage in workthat taps your talent andfuels your passion—that risesout of a great need in theworld that you feel drawnby conscience to meet—there-in lies your voice, your call-ing, your soul’s code.

TTaakkee FFoouurr SStteeppssLeaders on this path to

greatness find their voiceand inspire others to find theirs. Theyoften find their voice when they facechallenges and take these four steps:

1. Tap into your talent. Tapping intoyour talents starts with understandingwhere you excel. It involves recogniz-ing your strengths and positioningyourself to leverage them. To tap intoyour talent, consider the question:What am I good at doing?

2. Fuel your passion. When you takepart in activities that fill you with posi-tive emotion, you are fueling your pas-sion. Pursuits that spark your passionbring excitement, enthusiasm, joy, andfun. To fuel your passion, ask yourself:What do I love doing?

3. Become burdened with a need.When a problem in society lodgesitself in your heart and won’t let go,then you have been burdened with aneed. Perhaps, the need is an injusticeyou wish to remedy. Maybe it’s a dis-ease you would love to cure. Whatever

Find Your VoiceIt’s the mark of great leaders.

LEADERSHIP VOICE

4 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

from making a direct connection to thevalue created by the organization andthe personal contribution made byeach individual. Also held is the beliefthat leaders will tap into the inherentpotential, discretionary energy, andpassion that people put into theirwork. It is about creating an environ-ment where people strive to contributeand where every individual is valuedfor their contributions. There is astrong link between recognizing anindividual’s strengths and talents andtapping that potential, and obtainingfull, committed participation. Thispromise can be difficult to keep. Whileexecutive leaders (L1 and L2) and evensenior leaders (L3-L5) usually under-stand the direction and why certainwork is critical to that direction, theenergy and commitment required tofully engage everyone andcreate shared meaning isoften underestimated.Clarity often ends at theleadership team level.

This promise has beenbroken whenever employ-ees can’t answer the ques-tion, “How does what I domake a difference?” orwhen they stop asking thequestion and resign them-selves to work that provides littlemeaning beyond their paycheck.

Promise 3: Ensure processes andsystems are in place so that focus andexecution will translate into results.An employee’s well-being is ultimate-ly tied to the organization’s perfor-mance, which is directly correlated tothe ability to execute on key initia-tives. Underpinning every stakehold-er’s belief system is the notion thatthe leadership has the responsibilityto ensure the organization deliversresults in the market by successfullyexecuting on these initiatives. Hence,Leadership Promise 3—keep the orga-nization focused on execution.Effective execution provides feedbackon the work being done; action pro-vides clarity. When results are linkedto effort, people get a clear line-of-sight to long-term success.

Leaders break this promise in twoprimary ways: 1) by not providing theresources (time, people, and money)necessary to ensure execution; and 2)by allowing people to be distracted by“silver bullets” or “bright shinyobjects.” Both quickly exhaust peopleand rob them of discretionary energyand enthusiasm. When an organizationoperates beyond its capacity, activitytakes precedence over results, and

Four Promises

ONE OF THE FIRSTconversations we

have with senior lead-ers explores the four primary leader-ship promises. Most leaders fail torecognize these concerns as promisesthat they must keep. Let’s describeeach promise from the perspective ofCEOs (L1) and their direct reports (L2).

Promise 1: Set the right direction forthe organization and create meaning andcontext for the work. L1 and L2 leaderscome together on the Executive Team,and the Executive Team is responsiblefor setting the direction and definingthe strategies required for sustainablegrowth and profit. These strategiesinclude identifying business direction,objectives, markets and products, anddefining the mission, values, and cul-ture. These are essential componentsof what makes up meaning. Leadersmust create relevant meaning tothrive. Employees and stakeholdershold leaders to this promise: that theywill choose the right direction.

From this direction and meaningflows the identity. Leaders need todefine how the organization createsvalue, and address what they canuniquely contribute to the world.When we work, we contribute ourlife’s blood, and we want to readilyidentify the meaning of the work wedo—to see rewards beyond money andto acknowledge the higher purpose.Leaders set the context and create theconditions for success. When theExecutive Team aligns the direction ofthe company with the work at hand inmeaningful ways, people can see howtheir contribution makes a difference.This shared identity provides a foun-dation for corporate meaning.

Promise 2: Engage employees (andother stakeholders) in the work andearn their commitment to focus theirenergy on performance. When direc-tion and meaning are left to executiveleadership, value is minimized—if it iscreated at all. This promise speaks tothe commitment that leadership willfully engage employees in owning thedirection and gain their commitmentto perform by providing the “why”behind the “what.” The “why” comes

short-term fixes are substituted forlong-term success. Repeatedly break-ing this promise creates a culture offrustration, resentment, and hopeless-ness in which the associated cynicism-by-experience regarding all strategicchange initiatives poisons the well.

Promise 4: Lead effectively. Thispromise speaks to our expectation thatour leaders will improve their effec-tiveness through ongoing personal andprofessional development. Thispromise is at the center of the model.Failure to lead effectively ensures thebreaking of the other three promises.

The rate of leadership development(and leader development) must keeppace with the rate of change. Leadersmust commit to improving and grow-ing, to becoming increasingly self-aware, to understanding the impact

they have on others, and tomodeling what they wantto create. Leadership teamsmust recognize that a criti-cal step to keeping the FourPromises begins by keepingthem with one another.They do the intense worknecessary to construct aviable strategy and perse-vere together through theexcruciating dialogue re-

quired to create shared meaning. Itmeans they work deliberately andunflaggingly on their own engagementand tell the truth. It means they focustheir leadership energy on ensuring thatthey have what they need to succeed.

We’re all familiar with the conse-quences of broken leadership promises.When Promise 1 is broken, the organi-zation fails to be competitive anddeclines. When Promise 2 is broken,employees under-perform, turnoverincreases, competition takes advantageand the organization declines. WhenPromise 3 is broken, significant dollars,human capital, and time are wasted;the organization becomes mired in aculture of resentment and hopeless-ness, and ultimately, declines. And ifPromise 4 is broken, there is no chanceof meeting Promises 1, 2, and 3.

Leaders are expected to fulfill theFour Promises. Creating organizationsthat make a difference; ensuring indi-viduals find meaning in the work theydo; sustaining and growing the hopethat businesses will matter in ourlives—these rewards return a multiplefar beyond the investment required. LE

W. A. (Bill) Adams is CEO of Maxcomm and author of TheWhole Systems Approach. Visit www.maxcomminc.com oremail william.adams@maxcomminc.com.

ACTION: Fulfill these four leadership promises.

by W. A. (Bill) Adams

L e a d e r s h i p E x c e l l e n c e N o v e m b e r 2 0 0 8 5

LEADERSHIP PROMISES

Productivity amid change.

change in order to become better, moremorally centered and likeable people; Iteach them to change their waysbecause it’s time, at this stage, to dothe political thing differently. Like anycritical leadership skill, the art of poli-tics needs to be mastered, as followersdetermine who they will support.

Organizational and Governmentalpolitics are similar. Politicians who arecompeting in elections “campaign” forsupport for their issues and candidacy.They conduct polls and focus particu-larly on opinion-leaders, those withsway over others, and try to garner asmany votes as they can. They try toidentify with key constituents (TheSarah Palin effect) and be well-liked byeveryone (kissing babies and shakinghands) because that sense of likeability

can turn into passionate support.Workplace politicians do many of thesame things. While we see electoralpolitics as full of staged rituals that areacceptable because they are traditional,we view any perceived lack of sinceri-ty or any overt efforts to garner sup-port in organizations as distasteful.

Henry Mintzberg of McGill Univers-ity recognizes the good and bad in orga-nizations. He notes: “I am no fan ofpolitics or of illness. Yet I know we haveto understand one like the other. Politicscan be viewed as a form of illness, work-ing both against and for the system. Onone hand, politics can underminehealthy processes, infiltrating them todestroy them. On the other, it can alsowork to strengthen a system, acting likefever to alert a system to a graver dan-ger, even evoking the system’s ownprotective and adaptive mechanisms.”

Like most of us, Mintzberg believesthat the existence of politics is a bad

Don’t Play Politics

IN THIS ENERGIZEDpolitical season,

we’re reminded of theintense, aggressive, competitive nature,and ultimate importance of politics.Although governmental politics playsout far more dramatic on the nightlynews, politics in organizations is aliveand well, despite the many prescrip-tions of “pure, humble, servant lead-ership” advocated by some idealists.

We all know people who rise throughthe ranks, gaining allies and supportersas well as recognition, reputation, andstatus. They also accumulate detrac-tors and enemies—people who feelused, pushed aside, out-maneuvered,and neglected. When an organizationis dominated by politics, it indicatesthat trust is low, leadership is weak,and the organization is in distress.

As an executive coach, I’m often themessenger of the feedback: this leaderis perceived as being political. I knowthat stings. It’s not a term that has anygloss or neutrality to it. Instead, itimplies a disparagement of that person’scharacter and an attack on the core ofwho they are and how they behave. It’snot an easy message to give, but leadersneed to hear the news straight in orderto change how they behave and howthey are perceived in the world.

I’m not on a mission to eradicatepolitics and political behavior; in fact,I believe that politics is not a necessaryevil in the leadership game—it is justplain necessary. No leader achieves hisgoals without politics. No organiza-tion is politics-free. Instead, politics isthe air leaders breathe and an impor-tant source of energy and dynamism.

We don’t like to acknowledge poli-tics because we prefer an idealizedand sanitized view of our leaders. Andyet, when we encounter a leader whois not political, we find that persondisappointingly ineffective.

PPoolliittiiccss AArree NNeecceessssaarryyPolitics is a necessary skill for mak-

ing leadership meaningful. When Iwork with leaders who are labeled astoo political, I don’t coach them to

thing; but there’s a good side. Whenwe spot politics, we know somethingis wrong. The patient is sick, and poli-tics is the symptom. Knowing that, wecan rush the patient to the emergencyward and save his life. Mintzbergimplies that in a healthy organization,only minimal politics would be neces-sary; but he also suggests that the exis-tence of politics is a sign of life. Only adead organization is free from politics;because nobody cares what happens inthem anymore. If politics is a necessity,it is because disease goes with life.

PPoolliittiiccss aass aa MMooddee ooff PPoowweerrI disagree that politics is bad and

should be eradicated. Instead, I believethat politics is a tool that leaders mustuse to achieve their goals. You can’tachieve impact and change if you don’thave the support of critical followers.

Leadership is an episodic processwhereby an individual pursues his or hergoals and vision by intentionally influenc-ing others to perform various tasks to theirfull potential. Politics is not “war byother means” but “power by othermeans.” It is an influence tactic thatleaders use to achieve their goals bygetting others—regardless of position,division, or affiliation—to performtasks effectively that reflect the goals ofthe leaders, and yes, the followers too.

Org charts don’t tell the full story ofhow decisions get made. Title and rankdo not always correspond with author-ity and influence, just as hierarchy is animperfect map of power. Many deci-sions are made informally, and latersanctioned or ratified in formal meet-ings between those who representpower bases. It’s rare that informationflow, budgetary dollars, sponsorship,and all requisite activity and decision-making reflects the org chart. It’s morelikely that a constant scramble is goingon. Politics, in that sense, is the danceof the ever-shifting dynamics of power.

CCoommppeettiittiioonn ffoorr FFoolllloowweerrssIf power and influence are leadership

commodities, politics is the marketplacethrough which many deals and bargainsare made. Everyone knows that leaderscompete for resources; grappling overslices of the budget pie, CEO face-time,manpower. To a degree, such resourcesare a way of quantifying power andinfluence. Leaders also compete for fol-lowers—with each other, outside dis-tractions, and conflicting priorities.

The ebb and flow of energy is diffi-cult to harness, let alone use efficiently.Leaders can use positional power tocontrol resources, make moves, and

by Anthony F. Smith

6 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

LEADERSHIP POLITICS

R a t h e r y o u s h o u l d t a k e i t s e r i o u s l y .

This client required a custom pro-gram to maintain the balance betweentheir internal stakeholders and the cus-tomer in all areas of the negotiationprocess—one that would focus on build-ing partner relationships with the clients,and developing a win-win situation.

We took the time and invested theresources and the subject matter exper-tise to grasp the nature of our client’snegotiation processes, circumstances,and needs. We could then build anengaging, interactive offering that mir-rors their real-world work processes.

The program achieved this result inpart because our CEO, Terry Bacon,directly worked with the client to cre-ate a set of case study simulations andpractice negotiation scenarios that wereincorporated into the program as thecenterpiece of the curriculum. With areal-world example to work on, partic-ipants engage in a two-day negotiationprocess that includes preparation andtable tactics such as anchoring, fram-ing, bundling, and validating. Theadaptability component is framed interms of helping the consultants:• Understand their negotiating styles

and preferences, using a negotiationsstyle self-assessment. • Profile other negotiating

styles and preferences.• Challenge and stretch

participants, with exercis-es, to learn and adaptivelyuse each negotiating style.

This simulation derivesthe true “value proposi-tion” that will make get-ting a deal meaningful toour client and to their

prospective clients.From working to solve this client’s

negotiations needs, we understoodthat for many negotiations situations,whether or not you get the deal, theadaptive mindset makes it an effectivenegotiation. We helped to reconfigureand re-imagine a negotiations programthat delivers the kind of vision, knowl-edge, and skills that are transformingour client’s consultants into adaptivenegotiators that are effective in theirunique context. Together we’ve man-aged to move toward ensuring thattheir consultants continue to lead theway—both for the company’s positionin the industry and for their clients, aswe help them gain a greater apprecia-tion for a positively negotiated solu-tion that embraces values over deals.LE

Charles Avakian is VP Business Development, North Americafor Lore International Institute with experience as a seniorclient manager, an account manager, and a sales manager.

ACTION: Learn to negotiate adaptively.

DO GREAT NEGOTIATORSalways get an

agreement? If theyinteract in close quarters with the per-son they’re negotiating with, they mayhave to adapt their concept of a suc-cessful agreement outcome. Once Icame across a client that faced a nego-tiation situation that called for a newkind of solution, beyond the deal-clos-ing focus of our standard negotiationsprogram. Unlike other IT services out-sourcing firms, their consultants areoften fully embedded in their clients’organizations. This is one reason theylead their industry and are the globalleader in their field. However, many oftheir embedded consultants are reluc-tant to engage in proactive negotia-tions with their customers, and asconsultants working direct-ly inside a client organiza-tion, they often findthemselves in a uniqueposition when it comes tonegotiating agreements:• On the one hand, they

are the organization’s face-to-face contact for certaincustomers, so they mustnegotiate as its rep.• On the other hand, their

daily work directly involves them inthe client’s organization, where theyparticipate in the client’s business.

Also, because this client’s embed-ded consultants are often drawn intonegotiations that focus the result onprice, or on some co-dependency fac-tors that are aspects of how they dobusiness, the consultants need a suiteof tools and techniques that enablethem to turn the negotiation into avalue discussion instead of a features(or benefits) debate. To negotiate inthese two contexts—as embedded con-sultants and as sellers of value-addservices—is tricky, and it requires sub-tler skills not available from conven-tional negotiation approaches. Insteadof culminating only in a contractualagreement, the approach should be tohave participants gain the ability totranscend the negotiation as transac-tion and to achieve the best BATNAand ZOPA possible for all parties.

Befriend the CrocodileIt’s an adaptive way to negotiate.

by Charles Avakian

COMPETENCY NEGOTIATIONdefine direction. But this power doesn’tensure that others will follow or per-form up to their potential in service ofthe leader’s vision. Leaders are con-stantly vigilant in their search for waysto win the competition for followers’hearts and minds. This makes them,by definition, political. We should notlook at political behavior as necessarilygood or bad, but neutral. To evaluatethe extent to which political behavioris contributing or distracting, don’tlook for the existence of politics—fig-ure out what it’s being used to do.

WWhhaatt AAbboouutt tthhee DDaarrkk SSiiddee??Some people are ultra-political by

nature. They walk into a room andimmediately get a feel for who is pow-erful and who is not. Worse, they brushby those who aren’t important to get atthose who are. Eventually, the behaviorgets noticed and discussed, and a repu-tation develops. A consensus formsthat such a person is not to be trusted,and must be dealt with carefully.

Other people become political byexperience. They learn the art of poli-tics because they realize that beingpolitical is essential for achieving theirobjectives. Or, maybe they realize thatposition and authority don’t influencepeople as much as one would hope;and learn to play the game differentlyin order to be more effective. In anycase, being political is just one moreweapon in the leadership arsenal.

Some leadership experts coach exec-utives to be less political because theyhave an idealized view of what being aleader means. In reality, most organi-zations can’t afford their leaders tomute or restrain those political skills;efficiency, aggressiveness, and effec-tiveness would be sacrificed. Instead,coaches need to recognize that leader-ship is a contact sport, in which handsget dirty and noses are bloodied. It takesskill to be viewed as a leader who is notpolitical while being politically astute.

Leaders who believe that they canstop being political once they reach thetop are often disappointed. Being po-litical is always part of the game; how-ever, the political skill set changes as aleader rises in the ranks. A leader atthe top might need to be viewed asbenevolent, compassionate, articulate,and visionary. But do those attributeshave to be real; or is perception moreimportant than the reality? The ques-tion reeks of being political. LE

Anthony F. Smith, Cofounder and Managing Director ofLeadership Research Institute and author of The Taboos ofLeadership (Jossey-Bass). Visit www.lri.com.

ACTION: Develop your political skill set.

L e a d e r s h i p E x c e l l e n c e N o v e m b e r 2 0 0 8 7

out who is in your political network.Split these into supporters (those whowill help you if asked) and advocates(who will be proactive on your behalf).Notice how your base maps onto thestructure. Where are the gaps? Thinkthough how powerful the people inyour network are. What else do younotice here? Perhaps most of your net-work originates from the New Yorkoffice, or started life in sales roles.What action does this analysis inspire?

Strengthen your base. Strong rela-tionships will only stay strong if theyare kept fresh. Lack of con-tact could mean that whenneeded, the support hasevaporated. Who do youneed to reconnect with rightnow? What can you do torekindle the relationship?Focus on the most powerfuland important people with-in your network and try tomove them towards becom-ing advocates.

Consider worst-case scenarios. It isvery difficult to predict how an organi-zational crisis will take form, yet anyattempt to set down the possibilitieswill help to provide you with earlywarning and give you the opportunityto take action to improve your positionif it happens. So work out three or fourmain possibilities for how things couldtake shape over the next six to ninemonths. How would each of theseoptions affect your political base?What impact could they have on you?

Expand your political base. Basedon the probable scenarios and yourimpact assessment, where do you needto find new friends, supporters, andadvocates? Invest time and energy inbuilding new relationships and begin-ning collaboration in areas where youmay need it in the future if one of thescenarios emerges. Building new rela-tionships in times of crisis is tough; soif you can begin this work early, you’llbe in a much better position later if theworst does happen.

Pump real value into your base.Work hard to deliver value to those inyour network so that they view you assomeone who is crucial to the organiza-tion’s long term success. Avoid gettinga reputation for only talking to peoplewhen you want something. Looking at

Crunch Timethe priority people in your network,consider what life might be like forthem right now. Is there anything youcan help them with—something thatmight help them towards their goals?Sometimes just sending them an articleyou noticed in the press and thoughtthey may find useful can make a bigdifference to the relationship. Thepoint is that you’re demonstrating sup-port for your strategic partners duringa time when many managers questionwho they can rely on.

Engage with your allies. Take everyopportunity to stay close to those whomatter in your political network. Astrusted allies, open up the scenariodebate with them and see what theythink about the possibilities. They maynot have thought it through and willbe very glad you helped them start

thinking in this way. You’llgain new ideas and intelli-gence from the synergy ofthinking things throughtogether. This joint workwith your allies willimprove the prospects ofsurvival—of your careersand your ideas.

These activities form acore part of executive capa-bility, irrespective of the cur-

rent climate. If you are to progress andprotect your career, you need to learn,practice and hone the skills involvedhere. Our extensive work with clientssuggests that you can gain many bene-fits by developing these skills.

If your organization is in crisis andthe political storm is raging, these sug-gestions still apply, except you have todo them faster and the scenario isclearer! You’ll also be handicappedbecause everyone will know that a keymotivator for all of your words andactions is survival, so expect some sus-picion as you make your moves. Yourbest chance is to focus on establishedrelationships and work together withyour allies to build greater insight intowhat you all need to do.

In business you can’t always win.No matter how polished your politicalskills, or widespread your network,there are no guarantees. However, wecan guarantee that if you apply thepoints made in this article, you willsurvive the credit crunch with yourcareer and your integrity intact. LE

Gary Ranker and Colin Gautrey are co-authors with MikePhipps of Political Dilemmas at Work (Wiley). Gary is a found-ing Thought Leader of the Marshall Goldsmith School ofManagement, Alliant University, San Diego, CA. Email Garyat gary@garyranker.com or Colin at colin@siccg.com.

ACTION: Engage with your allies.

8 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

PERFORMANCE ALLIES

E n g a g e w i t h y o u r a l l i e s .

by Gary Ranker and Colin Gautrey

AS THE ECONOMIC DOWNTURN TAKEShold, corporations worldwide are

starting to take drastic action to shoreup their balance sheets, reduce theirexposure, and make radical moves toensure they survive the looming crisis.Some are taking action because theyare feeling the pain, while others aretaking preemptive steps to reduce therisk of catching a cold later.

In these corporations, individualsare also taking stock of their positionand starting to worry. It is noticeablethat as the downturn gathers pace, sotoo does the amount of political activi-ty at senior levels. Different ideas willsurface about the most appropriatecourse of action to take. Powerful peo-ple will start to exert their influence togain agreement to their ideas. Thatthese ideas also save their own jobsshould come as no great surprise!Those that set themselves in opposi-tion to these powerful people sudden-ly become extremely vulnerable.

In times like these, the wrong peo-ple exit. Even highly skilled and tal-ented individuals are threatened bythose more adept at managing thepolitical dimension. As the downturnprogresses, this latter group are likelyto become ever more ruthless in theirpursuit of survival. The body countcould be high! Survival rates dependon the strength of an individual’spolitical base—the network of alliesand friends. In times of crisis, thesecan be tapped into to establish what isgoing on and help work out what todo for the best.

Our work involves helping peoplewith talent and integrity survive andthrive in highly political environ-ments, and here we outline some ofthe latest thinking coming out of ourwork. This will help you to becomemore capable of protecting yourself ina political crisis and reduce the risk ofit occurring in the first place!

Analyze your political base. Work

the courage it took for an Enron employ-ee to confront Jeff Skilling with hisfinancial deception? Or, the couragerequired by a GE employee to questionformer CEO Jack Welch? According toFortune, former GE employees reportedthat dissenters were berated, insulted,and abused: “Welch conducts meetingsso aggressively that people tremble. Heattacks almost physically with his intel-lect—criticizing, demeaning, ridiculing,humiliating.” And Welch had a reputa-tion for being a great people developer”!

In the 1970s, Albert O. Hirschmanposited that employees who disagreewith company policy have only threeoptions: “exit, voice, and loyalty.” Thatis, they can offer a principled resigna-tion, or try to change the policy (speaktruth to power), or remain loyal teamplayers despite their opposition. Most

people choose option three—the pathof least resistance. They swallow what-ever moral objections they may have toquestionable dictates from above, con-cluding they lack power to changethings or, worse, will be punished ifthey try. Two-thirds of American work-ers report having witnessed unethicalbehavior on the job, but only about athird of those say they reported it totheir supervisors for fear of retaliationor belief that management would notact appropriately on the information.

Such docile employee behavior isassumed: most executives expect theirpeople to be “good soldiers” and notquestion company policy (or, if they do,that they will go away quietly). Indeed,“disloyalty” is their trump card in deal-ing with those who dare to voice truthinternally in the hope of changing poli-cy, and against those who exit and then“tell tales out-of-school.” Employeeswho muster the courage to question theprevailing “group think” open them-selves to charges of “disloyalty.” That’s

Truth to Power

HERE’S A QUIZ FORfans of the absurd:

What do Antigone,Hamlet, Sir Thomas More, Galileo,and former-Bush Administration presssecretary Scott McClellan all have incommon? These individuals—fictionaland real—experienced the trials andperils of speaking truth to power. Thefirst four of those displayed greatcourage, putting their lives on the linewhen they brought news to thoseabove them that those powerful mendesperately did not want to hear.

In contrast, McClellan waited untilhe was out of harm’s way before mus-tering the moxie to speak up withregard to the fabricated rationale forinvading Iraq. Hence, he was con-demned on the right for being “dis-loyal” and on the left as “cowardly”for his tardy dallying with the truth.

But before dismissing McClellan’srevelations as a spineless, “kiss andtell” exercise by a disgruntled formeremployee, it is worth weighing themoral value of McClellan’s act. In ourstudy of transparency, Warren Bennis,Daniel Goleman, and I reviewed theconsequences when leaders create—orfail to create—cultures of candor.Those lower down the pecking orderexperience, from time to time, the ter-ror involved in having to tell unpalat-able truths to those ranked above them.While few of us have to call attentionto Iraq-scale fraud and deception, wehave stories to tell of retaliatory furyfrom the enraged “alpha dogs” wemuster the courage to confront.

I experienced the peril in the early1990’s when I dared to question thefactual basis of an assertion DonaldRumsfeld made during a seminar. Hecame after me with bone-chilling inten-sity: “No one questions me! Do youunderstand that?” And, apparentlywith total conviction, he added, “I amnever wrong.” Hours after, I was stillshaking from the encounter. I learnedlater that he had tried to get me fired.

Daring to speak truth to power oftenentails considerable risk—whether atthe hands of an irate parent, neighbor-hood bully, or incensed boss. Imagine

why most workers have to be totallyteed off before they will speak up pub-licly. To get angry enough to face anonslaught on one’s character requiresnot only disagreement over policy—typically involving the conviction that amoral principle has been violated—butalso deep personal hurt. Such were themixed motivations in high-profile casesof whistle-blowing at cigarette-makerBrown and Williamson and at UnumProvident Insurance. In both instances,leaders said that the whistleblowers’testimony should be discounted sincethey were “disgruntled” (ex-employeeswere portrayed as angry “nut cases”with enough skeletons in their closetsto outfit a Halloween ball). McClellanreceived much the same treatment.

The charge of disloyalty is as easyfor leaders to bring against followers asit is difficult for the accused to counterand disprove. Moreover, since loyaltyis typically an admirable trait, it is alsoa convenient blind for cowardly fol-lowers to hide behind. As such, formermembers of the Bush administration asTreasury Secretary Paul O’Neil, eco-nomic advisor Lawrence Lindsey, poll-ster Matthew Down, national securityexpert Richard Clarke, and ex-Armychief General Eric Shineskei found,they were attacked for being “disloyal”and said to be “too angry” for theircriticisms to be trusted. Of course theywere angry. If they weren’t, they mightstill be trying to voice disagreementsthrough established processes. But theyhad tried that, failed in their attemptsto be heard, and opted for vocal exits.

It would be prettier if whistleblow-ers weren’t so angry, but anger is oftena necessary spur to doing the rightthing. What might have happened hadSecretary of State Colin Powell allow-ed his reported anger over the decisionto invade Iraq to overcome his mili-tary-disciplined instinct to loyally fallinto line with administration policies?Had he, instead, resigned and publiclyvoiced his concerns, would we havebeen so accepting of the questionableevidence on weapons of mass destruc-tion? Who knows? But if we too quick-ly ignore the words of disgruntledofficials, fewer of them will step for-ward to safeguard public interest.

Speaking truth to power requires acourageous speaker and willing listen-er—but the truth that makes us free isoften truth leaders prefer not to hear. LE

James O’Toole is Distinguished Professor of Business Ethics atthe University of Denver and co-author with Warren Bennisand Daniel Goleman of Transparency: How Leaders Create aCulture of Candor (Jossey-Bass, 2008).

ACTION: Speak truth to power.

by James O’Toole

L e a d e r s h i p E x c e l l e n c e N o v e m b e r 2 0 0 8 9

ETHICS POWER

B e w a r e p e r i l s a n d p e n a l t i e s .

port and sustain it. Ensure that systemsand processes work in favor of—not incontradiction to—the aspired culture.

Survey less, act more. Develop ameasurement strategy that providesactionable insights. Avoid the analysis-paralysis trap and hold all leadersaccountable for increasing engagement.

EEnnggaaggee YYoouurr TTeeaammLeaders are vital in employee en-

gagement. Like a catalyst that enablestwo chemicals in a beaker to combinewhat would not otherwise mix, youcan smooth the way for mutually ben-eficial connections between individualemployees (on their personal paths forgreat “work”) and your organization(with ambitious strategies that needexecution). To succeed, you need to:

Reflect and recharge. How engagedare you? You can’t help your team if

you’re miserable or out of control. Ifyou’re not engaged, think about whyyou took your job. Reconnect with thatpassion. If you are engaged, how canyou stay there—and “infect” others?

Hire engage-able team members.Select people who can succeed in yourenvironment. Do candidates have theright skills, interests, and experience?Cultural fit? Instead of training squarepegs to fit a round hole, hire round pegs.

Earn trust daily. Trust provides thefoundation for your effectiveness as aleader. To build it, you need to revealwho you are as a person. When youremployees look at you, do they knowwhat’s beneath the surface?

Stress employee ownership. Youcan’t create an engaged team if yourmembers don’t have visions of person-al success. Remind them that they areultimately responsible for their satisfac-tion and career. Be available to provideguidance and remove barriers.

Low Engagement?

EMPLOYEE ENGAGE-ment reflects each

individual’s uniquerelationship with his or her work.

We studied more than 7,500 surveyresponses and conducted interviewswith 40 HR and line managers to findthat fewer than one in three workersare fully engaged. Moreover, in NorthAmerica 19 percent are completely dis-engaged, and another 13 percent aredisillusioned, at risk for disengaged.

We see a strong correlation betweenengagement and retention. We findthat 85 percent of engaged employeesplan to stay with their company, com-pared to 27 percent of disengagedemployees. Engaged employeesappear to stay for what they give (theylike the work that they do), while dis-engaged employees stay for what theyget (favorable job conditions, advance-ment, growth, or job security). That’snot a winning business relationship.

The best organizations make en-gagement an ongoing priority, taking amulti-faceted approach to addressproblem areas and improve engage-ment. Their best practices include:

Maximize managers. Ensure thatmanagers are engaged and under-stand how to help their team mem-bers picture what full engagementlooks like. Hold them accountable forthe coaching and development oftheir people. Weed out bad managers.

Align, align, align. Make sure peo-ple see the big picture and how theycan contribute to the organization’ssuccess. Start at the top by aligningthe executive team, then communicateclearly and tirelessly. Your perfor-mance management system can help.

Redefine career. Provide employeeswith a compelling picture of what“career” means in your organization.Help them clarify what they want,provide them with tools and support,focus on development and opportuni-ties to leverage unique skills throughprojects, not necessarily promotions.Employees want assurance of a future.

Pay attention to culture. Work withmanagement to build a values-drivenculture and invest in managers to sup-

Remind people of your destination.If you’re not clear on your strategy,demand answers. Help your teamunderstand the direction you’re mov-ing toward and their role in it. Helpthem prioritize the myriad tasks theyface each day to deliver desired results.

See feedback as a gift. People wantand deserve information that can helpthem achieve their goals. Let them knowwhat they do well so they can keepdoing those things with confidence.Suggest course corrections to help thembe efficient and enjoy their work more.

Talk more and listen even more. Toooften communication is one-way. Con-versation is about dialogue. It drivesclarity. It is the most effective vehiclefor providing performance feedbackand generating new ideas for increas-ing business results and personal jobsatisfaction. It helps prevent misunder-standings and builds trust.

Match projects, passion, and profi-ciency. Every person comes into workwith different values, talents, andgoals, which they seek to satisfy on thejob. They don’t necessarily want a loftytitle or a higher salary. If you can helpthem connect what’s important tothem with what’s important to theorganization, you can make a positiveimpact on their job satisfaction, com-mitment, and contribution.

Get to know team members. Youdon’t need to be their friend. You doneed to know what makes them tick.Who shows signs of being disconnectedor burning out? What motivates yourmost engaged employees? Pay atten-tion. Ask questions. What’s preventingpeople from attaining maximum satis-faction and contribution in their jobs?

Tailor your coaching strategies. Investin moderately engaged team members,providing feedback, resources, andchances to excel. Redirect the efforts ofthose who appear disconnected. Helpnew hires ramp up their productivityand enthusiasm by clarifying prioritiesand what they need to do to succeed.Help those who are burning out toclarify what success looks like to them.Size up your disengaged, coachingsome out. Spell out expectations withthe rest; take stock of their interestsand talents, and enable them to dowork that matters to them.

Don’t take your engaged employeesfor granted. Full engagement is hard tosustain. Nurture them, recognize them,stretch them, and develop them. LE

Christopher Rice is President and CEO of BlessingWhite, aglobal consulting firm (www.blessingwhite.com). Emailchrisr@bwinc.com or call 1.908.904.1000.

ACTION: Lead better to engage more.

by Christopher Rice

1 0 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

PERFORMANCE ENGAGEMENT

I n v e s t m o r e i n y o u r p e o p l e .

ally intelligent employeesP - Profit for all who contribute to re-

turn on people (ROP), in addition to ROI I - Invigorated stakeholders, vendors,

and clients who market the companyE - Engaged, constructive, community

partners who share their successFrom these five traits emerge a set

of behaviors that create a positive,transformational climate ofinspiration and happiness.When applied together,they pave the way for aculture of appreciation or aHappy Company Climate.

HHaappppyy OOrrggaanniizzaattiioonnssFew leaders understand

the importance of engagingenergy like “happiness”. Ina hard-nosed, numbers-based business, they misinterpret hap-piness to be a time-waster that doesn’tsupport bottom-line results. Cynicsimagine everyone singing “Kumbaya.”

Here’s the truth.• Corporate happiness is a deep com-

mitment felt when people engage theirsense of purpose while contributing toa fulfilling corporate mission.• Happy companies see reality through

a positive mindset, even in adversity.• It perceives the market as a place of

abundance with many opportunities.• Great leaders choose optimism over

pessimism because a positive cultureinspires creative, pragmatic approach-es and draws out the best in people.• Honesty pervades a happy compa-

ny, infusing it with personal respect,appreciation, and trust and contribut-ing to business success.• Every stakeholder and community

respects and appreciates happy com-panies because of their constructiveforce that enhances the quality of life.

Happy companies create optimalconditions that enable the ultimateengagement of our mission at work.They are best prepared to succeed longterm. Everyone wants to work in aprofitable, happy company.

TThhee TTrruutthh RReeaallllyy HHuurrttssWhy do few companies apply these

principles and achieve “happiness =profit”? They focus on reacting toproblems and fear, which blocks theirability to engage happiness factors.

Most companies are only vaguelyaware of their fear-based state becausethey spend more time trying to focustheir energy on solving problemsrather than building on the success oftheir strengths. Management does notknow how unhappiness severely hurtsperformance. Why? Because they lackskills to perceive, measure or changebehaviors known as happiness factorsto bolster success, or how unhappinesscauses failure. Leaders of unhappycompanies know they are strugglingand get stuck. Despite their best efforts,they can’t match their competitors.Employees work harder, even though

they try to work smarter—”the faster I work, thebehinder I get!” Unhappycompanies only sustainpositive energy for shortbursts (during a crisis) butfear poisons productivitywith politics.

The best leaders knowyou can’t run a successful,dynamic business basedon fear. Fear prevents peo-

ple from contributing their best andhurts profits through increased absen-teeism, turnover, and redundancy.

In many organizations, fear is adominant management technique.• We fear missing a deadline, losing a

sale, or receiving unfair treatment(even if we make the numbers).• We induce fear based on unknowns

in business; we fear many things—ourcompetitors, their high-quality or low-price alternative, missing profit projec-tions, even successful growth that maybe too much to handle.• We have financing fears: of interest

rates, bond rates, exchange rates or adownturn in the capital markets.• We have conflicting fears: manage-

ment fears spiraling wages, healthcare,and possible strikes; labor fears abu-sive management and low raises.• We even fear weather that might

disrupt our production, our delivery,or our customers’ buying patterns.• And some fears haunt us all: terror-

ism and the cost of war.Fear has many immeasurable

costs—talent, wellness, and energy.Yet, fear is everywhere. It so saturatesour spirit and cultures that we acceptit as “normal.” But does fear motivateus to perform better? No. Fear is a lim-ited motivator because it triggers astate of activated stress which resultsin a limited set of responses: freeze,flight, or fight. These old-brain behav-iors limit whole-brain function. Oftenthe reaction is fear-based hostility, a

L e a d e r s h i p E x c e l l e n c e N o v e m b e r 2 0 0 8 1 1

MANAGEMENT CULTURE

by Cathy L. Greenberg and Johanna Dillon

ANY COMPANY CAN PROFIT FROM Anatural resource it already has—

happiness. The secret is to engageyour best talent through whole-brainfunction to overcome fear with appre-ciation. It’s teachable and transferable.Use happiness to improve perfor-mance—and deliver profit-providinguseable insights.

WWhhoollee--BBrraaiinn FFuunnccttiioonnThink of something that makes you

smile—for example, praise from atrusted mentor. Now, think of some-thing that makes you frown—forexample, your mentor goes away fromyour life tomorrow. She is your favoriteco-worker, the one who believes in youand pushes you to be your best, butshe’s dying and leaving work today.Hold a visual of your time togetherand the threat of her leaving forever,both at the same time. Can you balancejoy and fear in your mind?

If you say yes, I won’t believe you.It’s impossible to feel fear and appreci-ation simultaneously. You can’t feelhope or appreciation while experienc-ing sorrow, guilt, or anger. You can’texperience positive and negative emo-tions simultaneously. Whole-brainfunction is required to make decisions,but first you must engage your emo-tional state before taking action.Unfortunately, you will only use thatportion of your brain that is available;in many cases, that state is fear, anxiety,or grief. In the best of all worlds, it’sappreciation—an attitude of gratitude.

As a behavioral scientist, executivecoach, and business consultant, I wanteveryone to know that being a happycompany is the single greatest trans-formation a company can take toretain talent, improve its competitiveposition and top-line revenue.

Let’s start with five HAPIE principles:H - Heartfelt, humble, inclusive,

inspirational, innovative leadershipA - Adaptive, enthusiastic, emotion-

Happy ClimateC a n h a p p i n e s s = p r o f i t ?

primal, reactive reflex. Fear is great forsplit-second survival, but it thwartslong-term prosperity because it “short-circuits” higher thought, shuttingdown the part of the brain that enablesus to see possibility. Fear drains boththe individual and the franchise ofenergy and imagination. Instead ofmotivating us, fear depresses our spiritof innovation and can even kill usphysically through stress-related ill-nesses like high blood pressure, heartdisease, alcoholism and diabetes.

What’s the good news? We can beatour wiring, even though fear andimagination still operate in differentparts of our brain. Fear-based manage-ment behaviors mimic our cavemanancestors; biologically the behaviorsare identical. Our primal emotions arethe same, since fear trumps reason.

Try this exercise. When we see a lionabout to pounce is our fear-based reac-tion healthy? Are we dreaming of apeaceful coexistence with nature?Think again. Those in the past whopondered such crises often died.

But if fear wins every time it is acti-vated, then in today’s world, wherewild animals wear suits, live at deskswith access to unlimited information,commute on planes, and join boardsand committees, how can we over-come our biology?

Happy people and healthy compa-nies think before they react and applyenabling coaching techniques to exploreand engage the best in everyone. Theylearn to recognize fear and applyHAPIE principles of positive psycholo-gy. Primal emotions, while required forsurvival, short-circuit the higher emo-tions needed for performance as a com-petitive weapon in the war for talent.Emotions and thought are closelyentwined. While fear can drive usdown, optimism can elevate us becauseit reshapes behavior and enables us tobond, find strength in numbers, feelappreciation, achieve creativity, and cre-ate a sum greater than our parts.

Happy companies succeed becausepeople engage using positive, reinforc-ing emotions that maximize theirdiverse strengths. Their people con-structively work together, find mean-ing and satisfaction in their work, anddeliver high-quality service and prod-ucts that positively contribute to theirfranchise and society. Profits follownaturally. Now, you can see now howHappiness = Profit! LE

Cathy Greenberg is a coach, speaker and author of WhatHappy Companies Know with co-authors Dan Baker andCollins Hemmingway. Visit www.h2cleadership.com.

ACTION: Apply the HAPIE principles.

by Irving H. Buchen

heady waters of creativity. The busi-ness has to go on. It can’t be put onhold while the brain trust burns themidnight oil. Besides, you could notfind a more exacting group to test thelatest innovations than those who havesuccessfully been working out thebugs and turning a sow’s ear into apurse for many years. The mainstreamstill remains the ultimate reality check. • Tangential breakthrough teams. Seek

professionals with a high tolerance forparadox, ambiguity, and speculation—especially if they tend to be loners orornery. Group them by their differ-ences: disciplines, units, degrees, age,gender, nationality. Create as manyteams as the criteria dictate; ideally allshould be miniatures of the whole.Suggest unfamiliar places where theycan meet, but never during regularwork hours. Their agenda is what’snew. It can’t be incremental or familiar.It must support a new business or onewhich if we fail to adopt can put us outof business. They will not be monitoredor evaluated. At the end of each monththey are to send a memo to the CEO.• CEO seminar on the Future of the

Future. While this is going on, theexecutive team has to pullits head out of operationsand become star-gazers.Every two weeks, they areto play leapfrog; while weare catching up, let us alsoget ahead of the pack.Nothing is out of bounds.The range should be 360,the scope global, the topicor approach somewhat rad-ical. Invite wild cards, a

few crazies, gurus on innovation, anda few pontificating academic types.The subject is what’s new but fusedwith what’s ahead—it has to have thedurability of a mega-trend. The test ofdiscontinuity is that VPs should leavewith a different scenario of creationand start having different dreams.

Will it work? It has to. It spans thenow, the emerging, and the brand new;it differentiates between the everydaydoers, the off-the-wall creative types,and the big-picture and policy-makingchiefs. Will innovation occur? Yes. Theonly questions are: how long will ittake for the lone rangers to collaboratecreatively; what increases in innovationproductivity will occur over time; andhow fast can the mainstream wire thenew in place to be industry leaders? LE

Irving H. Buchen is a professor at Capella University andIMPAC University. Visit www.impacu.edu.

ACTION: Explore these three options.

THE NEW RALLYING CRYfrom CEOs is “Make

mistakes!” At least thatis what Proctor & Gamble’s CEO A.G.Lafley urges in The Game Changer. Helists 11 “Biggest Innovation Failures.”Of course, the moment such errors areembraced and personalized, wisdomand humility walk hand in hand.

Actually, Lafley’s advice is not new.Richard Farson enshrined the sameconcept in paradoxical terms: TheSuccess of Failure, the Failure of Success.Gary Hamel warned us about risk-averse CEOs and managers whosetimidity may jeopardize the currentand future bottom line. Another broad-side was directed against complacentexecutives living off past capital byGottfried and Schaubert in TheBreakthrough Imperative.

Why this preoccupationwith a commitment toerror? It is all about innova-tion, and the convictionthat failure is the absolutepath to creative success.But is it, always? Even iferror is the threshold of cre-ativity, how do we un-pro-gram a generation ofachievers and teach themhow to stumble? And while we waitfor this paradox to generate wonders,what do we do in the meantime? Hopefor the redemption of innovation?

TThhrreeee OOppttiioonnssCEOs need more sensible and imag-

inative initiatives to manage the ongo-ing, stir breakthroughs, and see theway ahead. Those three options shouldkeep us going and moving ahead.• Ongoing mainstream. Being failure-

averse is not necessarily a bad thing.Many of our most productive man-agers can’t handle or manage error. Ina few cases, it would drive them crazy.Nor should they have to. In our crazefor the eureka moment, let us not over-look the strong and steady commit-ment to continuous improvement andthe constant tweaking that generatesincremental gains in product and ser-vice quality. Let us not throw out theeveryday baby of productivity for the

Celebrating FailureHype or hope from on high?

CHANGE FAILURE

1 2 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

1. They love life. Leaders who attracta following are passionate about life.They are celebrators, not complainers.They’re characterized by joy andwarmth. They’re energetic and radiantin an infectious way. Look no furtherthan the smile to illustrate the power ofcharisma. When people see a smile,they respond with a smile. If you’reskeptical, try it. Smile at cashiers, wait-ers, co-workers, etc. You’ll find yoursmile earns a reciprocate smile almostevery time. We are hardwired to takeon the energy of those around us.Leaders who love life have charismabecause they fill the room with positiveenergy. Said Henry Van Dyke, “Thereis no personal charm so great as thecharm of a cheerful temperament.”

2. They value the potential in peo-ple. To become an attractive leader,

expect the best from your people. Idescribe this behavior as “putting a 10on everyone’s head.” Leaders see peo-ple, not as they are, but as they couldbe. From this vantage point, they helpothers to build a bridge from the pre-sent to a preferred future. BenjaminDisraeli understood and practiced thisconcept, and it was one of the secretsto his charisma. He once said, “Thegreatest good you can do for anotheris not to share your riches but to revealto him his own.” When you invest inpeople and lift them toward theirpotential, they will love you for it.

3. They give hope. People long to im-prove their future and fortunes. Charis-matic leaders connect with people bypainting tomorrow brighter than today.To them, the future is full of amazingopportunities and unrealized dreams.

Napoleon Bonaparte once said,“Leaders are dealers in hope.” Theyinfuse optimism into the culture andboost morale. While attentive to the

Charismatic Leadership

WILLIAM GLADSTONEand Benjamin

Disraeli were two ofthe fiercest political rivals of the 19th

century. Their epic battles for controlof the British Empire were marked byintense animosity that spilled over fromthe public arena into their personallives. Ambitious, powerful, and politi-cally astute, both men were spiritedcompetitors and masterful politicians.

Though each man achieved impres-sive accomplishments, the quality thatseparated them as leaders was theirapproach to people. The difference isbest illustrated by the account of ayoung woman who dined with themen on consecutive nights. Whenasked about her impression of therival statesmen, she said, “When I leftthe dining room after sitting next toMr. Gladstone, I thought he was thecleverest man in England. But aftersitting next to Mr. Disraeli, I thought Iwas the cleverest woman in England.”

What distinguished Disraeli fromGladstone was charisma. Disraeli pos-sessed a personal charm sorely lack-ing in the leadership style of his rival.His personal appeal attracted friendsand created favorable impressionsamong acquaintances. Throughout hiscareer, Disraeli’s charisma gave himan edge over Gladstone.

Of all leadership attributes, charis-ma is perhaps the least understood. Atfirst glance, charisma appears to be aninvisible energy or magnetism. There isno denying its presence, but it’s hard toput a finger on its source. Some mis-takenly believe charisma is a birthtrait—embedded in certain personali-ties, but completely absent in others.

I believe charisma is learnable andhelps to boost a leader’s influence. Inthis article, I examine the causes ofcharisma and suggest how to increasethe charisma you display as a leader.

SSeevveenn QQuuaalliittiieess ooff CChhaarriissmmaattiicc LLeeaaddeerrssCharisma is “the ability to inspire

enthusiasm, interest, or affection inothers by means of personal charm orinfluence.” Leaders who have thisability share seven things in common:

current reality, they do not resign them-selves to present circumstance.

4. They share themselves. Charismaticleaders add value to people by sharingwisdom, resources, and even specialoccasions. They embrace the power ofinclusion, inviting others to join themfor learning experiences, brainstormingsessions, or simply a cup of coffee. Suchleaders embrace team spirit and valuetogetherness. Hence, charismatic lead-ers are not lonely at the top. “Charismais a sparkle in people that money can’tbuy. It’s an invisible energy with visibleeffects,” writes Marianne Williamson.

5. They cultivate other-mindedness.For leaders, the greatest satisfaction isfound by serving. They find greatpleasure celebrating the successes ofthose around them, and the victorythey enjoy the most is a team triumph.“How can you have charisma?” asksDan Reiland. “Be more concernedabout making others feel good aboutthemselves than you are making themfeel good about you.”

6. They find and use their voice. Oneexpression bandied about by politicalcommentators has been of a candidate“finding a voice.” Seemingly everycandidate found his or hers. Time con-tributor, Ana Marie Cox, wrote aboutSenator Barack Obama “finding hisvoice,” at a Democratic dinner party.During post-debate coverage on CNN,David Gergen asserted, “I think thatthe most presidential tonight was JohnMcCain, who’s found his voice again.”Jack Horowitz, New York Observer, notedHillary Clinton’s primary election vic-tory in New Hampshire with the head-line: “Hillary, Triumphant, Finds HerVoice.” Ana Marie Cox asked, “HasRomney Found His Voice?” in her arti-cle on Mitt Romney’s first-place finishin Michigan. Writes Stephen R. Covey:“One word expresses the pathway togreatness: voice. Those on this pathfind their voice and inspire others tofind theirs. The rest never do.”

7. They use their charisma to boosttheir influence for good. Charisma com-pounds a leader’s influence. Without it,leaders have trouble inspiring passionand energizing their teams. With it,leaders draw out the best in their peo-ple, give the best of themselves, andfind the greatest fulfillment.

Charisma is not manipulative ener-gy or a magical gift given to select per-sonalities, but an attractive blend oflearnable qualities. LE

John Maxwell is the author of The 21 Indispensable Qualitiesof a Leader. Visit www.JohnMaxwell.com.

ACTION: Develop your charisma.

by Dr. John C. Maxwell

L e a d e r s h i p E x c e l l e n c e N o v e m b e r 2 0 0 8 1 3

LEADERSHIP CHARISMA

D e v e l o p s e v e n q u a l i t i e s .

4. Citizenship matters: Admiredbusiness leaders admire their countryand its history and want to learn fromit. They look for ways to practice theircitizenship on the local, national, orglobal level. They serve on nonprofitboards, mentor students, build homes,and dish up dinner in soup kitchens.Ben Franklin founded dozens of civicgroups, and Alexander Hamilton andJohn Jay helped found a society for theabolition of slavery. Jefferson foundeda university to create an “academicalvillage” to mingle formal educationwith practical commercial learning.

5. Government matters: Unless youunderstand the origins and function-ing of government, you will find it dif-ficult to interact with it effectively orbe a good citizen. Our “FoundingParents” never turned down the call toserve their country. They believed itwas their duty to be in public service,even when it interfered with theirbusiness and personal affairs.

6. Leadership matters: Real leaderscommit to becoming better. What bet-ter role models to learn from than thetowering successes and human short-comings of the founders? We can learnfrom the founders precisely because

they are so like us, sohuman. They struggled withthe same shortcomings wemust overcome. They pro-vide a practical guide toleading under the most diffi-cult circumstances.

7. Survival matters: Thefounders staked their lives,fortunes, and sacred honor,believing liberty required an

informed public. Many key politicaldebates today hinge on what went onin the minds and lives of U.S. leadersin the late 18th century. These debateswill influence whether companies sur-vive and thrive. The best leaders stayinformed, learn from history, andencourage their employees, friendsand family to stay involved.

The publication of so manyenthralling histories and biographiesmeans there is no excuse for ignoranceof American history and its lessons.

Successful leaders never stop learn-ing and are not ashamed to bring theirinsights from their learning into theirdecision-making and leadership.

As you apply the lessons of history,the founding fathers and mothers arewaiting to coach you. LE

Rebecca Staton-Reinstein, President of Advantage Leadership,is the author of Conventional Wisdom and Success Planning.Visit www.AdvantageLeadership.com.

ACTION: Start your leadership learning journey.

Learn from History

WITH BUDGETS BEINGfocused on pro-

duction and marketing,HR functions receive lower priority onfunding requests. In large enterprises,significant resources may be allocatedto HRMS; and yet HR professionalsrarely measure and analyze datadirectly related to development andtraining. As a result, HR fails to serveas catalyst to improve performance.

Most HR measurements are tacticaland transactional. Measures that indi-cate the effectiveness of OD, includingtraining ROI and human capital ROI,are rare. By identifying high-potentialcandidates for leadership and manage-ment training and allocating trainingresources to those best positioned tobenefit from them, HR can efficientlyuse its resources and accelerate itsimpact. Effective training for the rightpeople should be the mantra.

The goal of training is to acceleratethe promotion of qualified candidatesinto positions of responsibility throughtraining that focuses on and developsthe unique assets of each individual.Training should enhance how an indi-vidual’s personality traits mesh withspecific job requirements and enableindividuals to work with or lead oth-ers productively and effectively.

Use personality assessments to iden-tify what motivates behavior and theneeds that drive behavior in positiveand productive directions. Each personhas his or her own strengths, weak-nesses, productive behaviors, andstress behaviors that may be similar toor differ from peers. Personality testingenables you to individualize training.

Before you promote individualsinto management and leadership posi-tions, test to identify their strengths,motivational needs and stress reac-tions, and discover how they can fulfilltheir motivational needs while con-tributing to company success. Answerthese questions: Does the person pre-fer to work alone or in a team? Doesthe person prefer to work in a struc-tured, predictable environment or anunstructured one requiring adaptabili-ty and flexibility? Must they have con-trol over what they do and when they

Successful leaders are students.

AS BUSINESS LEAD-ers read about

leaders of the past,they want to learn what they can dotoday when their companies are atstake. Current leaders face a falteringeconomy, an unstable internationalsituation, a credit crunch, fierce com-petition, and shifting demographics.

These situations are similar to thechallenges faced by U.S. leaders whogathered in Philadelphia in 1787 todraft a new constitution and form anew government. You can learn andapply seven secrets from the founders.

SSeevveenn HHiissttoorriiccaall SSeeccrreettssSavvy leaders learn these secrets: 1. History matters: Leaders know

the importance of learning from thepast to avoid mistakes and understandhow important leaders facedmonumental challenges andsucceeded. The U.S. founderswere all history buffs. As theframers debated the details ofthe Constitution, they pointedto specific lessons from therise and fall of the RomanRepublic to make our ownrepublic more robust.

2. Downtime matters:They are clear about their priorities.They spend time resting, reading,and enjoying their families andfriends. Their historical counterpartsenjoyed rich social and family lives,were physically active and neverstopped reading and thinking. Thefounders didn’t have seminars onwork-life balance but still achievedmore than most people today, whilemaking time for enjoying life.

3. Learning matters: They readhistory and biographies because they enjoy learning. They look forways to improve their performanceby applying the lessons of the past.George Washington, John Adams,and Ben Franklin left a rich legacy ofself-improvement. When they wrotein the Constitution they wanted “toestablish a more perfect union,” theywere reflecting their personal journeysin seeking to become more perfectleaders.

1 4 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

Get Better ROI on LDFind some diamonds in the rough.

COMPETENCY LEARNING COMPETENCY TRAINING

by Sharon Birkman Finkby Rebecca Staton-Reinstein

Wheel 2: Instill confidence. Leadersaccept the duty to impart confidence.Since everyone faces self-doubt, effec-tive leaders help team members focuson their strengths. Tell your teammembers why you believe they canachieve the goal. Be specific. Don’t flat-ter them with “you can do it” clichés.Tell specific people what you see intheir character, experience, or talentsthat inspires your confidence in them.Don’t overdue this by turning confi-dence-builders into victory speeches.Your team must see their strengths as ameans to an end—the shared goal theyfeel equipped to handle.

Wheel 3: Support. Let your teammembers know how you will supportthem. People need motivating, but theydon’t need to know that you’ll do theirwork for them. They just want to knowthat they are not alone. Your support islike a cheer. Hearing words of encour-agement and instruction along the wayis inspiring. Some leaders weaken theirteams by “pitching in” and helping toomuch. They often intend to demon-strate humility by showing the teamthat they are not above the work. Butwhen taken too far, it shows a lack of

confidence in the team andcontradicts the secondwheel. When possible, stayon the sidelines, but befully engaged as you letthe all-stars on their courttake the shots.

Wheel 4: Reward andrecognize. Praise teammembers along the way.Don’t wait 30 years tohand out a gold watch at a

retirement party before you let themknow you appreciate them. Showerhard workers with your gratitude andpraise in public or in front of theirpeers. Spend a few dollars on a giftcard to a coffee house or, if the num-bers work, pay a bonus for their effortsalong the way. This motivates peopleto work better on the task at hand, andto stay in their jobs longer. Rarely dopeople leave organizations where theyfeel appreciated.

These four wheels are incompleteunless you set a resilient example andspirit in the office. People will see yourenthusiasm as a sign of hope, and yourfrustration as a sign of fear. Be the bea-con on top of the hill, and your teamwill find your example more powerfulthan your greatest speech. LE

Dave Durand is the President of ProBalance and author TeamDurand Coaching. Visit www.davedurand.com.

ACTION: Employ the four wheels of motivation.

ONE COMMONapproach leaders

take to motivate theirpeople is to give inspirational speech-es. But speeches alone fail to produceanything more than a temporary warmand fuzzy that wears off by the nextmorning. Great leaders know thatmotivating employees is more strategicthan a one-time presentation.

To build sustained results, leadersemploy four wheels of motivation: 1) set mutual targets, 2) instill confidence,3) support, and 4) reward and recog-nize. A car can move on three wheels,but it will be hard to steer. On twowheels, it can drag along but never gainmomentum. With only one wheel, itwill spin in place—no matter howmuch energy is expended. Each wheelof motivation works withthe others to get results.

Wheel 1: Set mutual tar-gets. As a leader, you mustestablish goals that inspireyou and your subjectmutually. Weak leadersusually fall into one of twocategories. They either pre-sent goals to a team mem-ber without consideringthe personal strengths andmindset of the individual, or they askthe team member to submit their owngoals without offering any input ontheir standard. The former usuallymeans that the leader is inspired butnot the team member. The latter meansthe opposite. Either way, one partyenters the discussion less enthusiasticor committed to the result. Sharedgoals allow you to avoid both traps.

Mutual goals are best worked outover time and openly discussed in aspirited manner so both parties can bein agreement. Come out of the discus-sion with both parties feeling victori-ous. If anyone feels that they had tocompromise, the party is over before itbegins. As a leader, your job is to helpyour team reach higher than theymight otherwise on their own, so ask alot of them and set high standards. Ifthey have legitimate concerns aboutachieving the goal, listen and workthrough them together.

Master MotivationIt’s a strategy, not a speech.

by Dave Durand

PEOPLE MOTIVATIONdo it? Do they work on the big picture,or implement details? Does the persontake initiative to perform the assignedtasks directly or distribute responsibili-ty by working through people?

The answers provide HR profession-als with a cost-effective roadmap tostructure training that bridges genera-tional differences in diverse work-places, where members of severalgenerations are working together. Eachgroup has distinct learning preferences:

Baby boomers (48 to 62 years old)view training as a means to careeradvancement and prefer such trainingforms as classroom teaching, indepen-dent reading and one-on-one coaching.

Generation X (26 to 47) value flexi-bility and view themselves as freeagents who are not indefinitely tied toany organization. Their training expec-tations are for self-focus and building aportable repertoire of skills.

Millennials (18 to 25) want trainingthat is multi-sensory, immediate, team-oriented and driven by positive feed-back. For them, everything is aboutspeed, freedom, customization andinteractivity, and digitalization.

Of course, each member of a gener-ation will have his or her own strengths,weaknesses, behaviors and learningpreferences. Personality testing bringsthose characteristics into focus.

TTrraaiinniinngg AApppplliiccaattiioonnWhen approached in this way, man-

agement training accelerates the promo-tion of qualified employees who helpthe company grow and evolve. Structuretraining to emphasize strengths andmeasure whether personality traits meshwith specific competencies required forthe leadership task. Competencies oftengo beyond hard skills and experience toinclude the ability to productively workwith or effectively lead others by accept-ing feedback, advancing teamwork, anddemonstrating workplace satisfaction.

Qualities that make a difference inperformance can be found within indi-viduals not previously tapped forleadership roles, and a well-designedpersonality assessment can find these“diamonds in the rough” and give youmore bench at minimal cost. By identi-fying which candidates have potentialto be leaders and their potential lead-ership styles, personality testing estab-lishes a systematic program for develop-ing leaders. This can help you over-come a leadership deficit. LE

Sharon Birkman Fink is President and CEO of BirkmanInternational. Call 713-623-2760 or email sfink@birkman.com.

ACTION: Find your diamonds in the rough.

L e a d e r s h i p E x c e l l e n c e N o v e m b e r 2 0 0 8 1 5

nated through stakeholder engage-ment and integration. Even the bestfirms on the triple bottom line struggleto reach this cross-boundary, multi-stakeholder, integrative pinnacle.Deeply infusing sustainability-orientedvalues and creating integration seemto be the highest-level challenges.

CCrreeaattiinngg aa SSuussttaaiinnaabbllee EEnntteerrpprriisseeSustainability strategies vary widely

as companies learn to take advantageof the social, environmental, and eco-nomic opportunities offered by theirlocation, community, and placement inthe global market. However, two fun-damental elements remain: for thesestrategies to be successful, they mustbe integrated into the company’s corebusiness plan and leaders must whole-heartedly support them.

Companies become sustainable us-ing divergent strategies. GE increased

its sales through its Ecomagination ini-tiative. Wal-Mart reduced waste andharmful materials in its supply chain.Unilever addressed the social concernsat the “bottom of the pyramid,” vastlyexpanding its market, with 40 percentof its revenue now coming from devel-oping countries. And Interface, icon ofsustainability, has done it all.

These firms are seeing that an inte-grated triple bottom line that balancesattention to employees/society, theenvironment, and financial outcomesis critical to the world’s sustainabilityand to a company’s own long-termviability in the global marketplace.

FFuuttuurree aanndd BBeeyyoonndd:: TThhrreeee SScceennaarriioossScenario 1: Things fall apart.

Organizations give up trying to be sus-tainable. Businesses just want to sur-vive in an increasingly anarchic world,plagued by global war for natural

Leaving a Legacy

THE WORLD IS AT Atipping point: unin-

formed decisions—ordecisions that simply maintain the sta-tus quo—may bring on irreversiblecatastrophes. Global warming, speciesextinction, and loss of biodiversity,poverty, inequity, and war are daunt-ing and can easily lead to a sense ofhopelessness and despair. Challengestoday demand creative, novel leader-ship based on the confidence to makeprofound choices that move us fromcultures of either/or to one of both-and.

Systemic, deep-rooted problemsrequire systemic, long-term solutionsthat engage key constituencies in deepinquiry. Familiar solutions stemmingfrom a single discipline or sector areinadequate. With new ways of think-ing and being, you can help changethe course of history —and improveyour bottom line. While set in a globalcontext, the most-effective solutionsare locally developed and applied.

Which path will you choose? Weinvite you to explore familiar solu-tions and new possibilities, encom-passing both incremental and radicalchange, and harnessing our imagina-tion, creativity, and commitment tocreating a sustainable future.

QQuuaalliittiieess ooff aa SSuussttaaiinnaabbllee EEnntteerrpprriisseeA study of nine sustainable compa-

nies identified a Sustainability Pyramidof seven core qualities associated withimplementing sustainability strategiesand achieving triple bottom line(social, environmental, and financial)results, along with the necessary con-tributions of human capital practices.

“Foundation” contains deeply heldcorporate values consistent with sus-tainability, top management’s visiblesupport for sustainability, and itsplacement as central to strategy.

“Traction” is achieved by develop-ing sustainability metrics and byaligning formal and informal organi-zation systems around sustainability.

Toward the top of the pyramid is“Collaborative Integration.” At thisstage, the many facets and functionaldomains of sustainability are coordi-

resources, especially oil and water.Scenario 2: Muddling toward sus-

tainability. At best a mixed bag and, atworst, an utter mess. Global agree-ments on everything have symbolicvalue, but they have no real teeth andare ultimately ineffective.

Scenario 3: A global sustainabilityculture. When this culture takes root, acultural tipping point is reached.Factors shaping it are alarming scientif-ic findings, changes in climate patterns,geopolitical conflicts, global media net-works, innovations in the marketplace,and success of “green” business. Theconfluence of these factors creates a“preservation mindset” or “global sus-tainability culture.”

Where will sustainable businesspractices be in the next 10 years? Muchdepends on whether business leadersand managers gain greater awarenessof sustainability and continue to chooseto adopt sustainability-related values,strategies, principles, and practices. Thechoice is ours to make.

LLeeaaddiinngg aa SSuussttaaiinnaabbllee EEnntteerrpprriisseeHow can we as leaders make our

greatest contributions and become cat-alysts for a global sustainability mind-set? How can we move ourorganizations and stakeholders fromhopeless, helpless, and immobilized toengaged, inspired, and in action?

We invite you to engage in anauthentic conversation, in a spirit ofdiscovery, starting with the assump-tion, “We don’t know what we don’tknow,” and asking along with the pro-found question, “What else is need-ed?” “What questions do I need to askmyself and others?” Engage with peo-ple’s natural tendency to self-organize,bring people at all levels into the con-versation, and listen deeply. What youhear may bring you to a new startingpoint. Look to nature. Widely dispersedin organizations and natural systemsare the energy, creativity, and intelli-gence to create the necessary solutions.

You can create a legacy to be proudof, fired by imaginative leaps, innova-tion, and inclusiveness and founded ona profound sense of gratitude for ourpeople and planet. The sustainableenterprise can nourish the spirit of thepeople, help regenerate resources, andlift the economic well-being of genera-tions to come. What a legacy to leave. LE

Jeana Wirtenberg is a Director at Farleigh DickinsonUniversity (www.fdu.edu/ise), President of Jeana Wirtenberg &Associates (www.whenitallcomestogether.com), and author ofThe Sustainable Enterprise Fieldbook (AMACOM). Visitwww.thesustainableenterprisefieldbook.net.

ACTION: Define your legacy.

by Jeana Wirtenberg

1 6 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

LEADERSHIP SUSTAINABILITY

L e a d s u s t a i n a b l e e n t e r p r i s e .

intranets, but also the conversationsleaders have daily with employees atwork. The “how” is the packaging andstyle of delivery. The most effectivestyle is interactive—where employeestalk and listen to each other as theycommunicate, consider decisions, andexecute strategy. Finally, the “why”involves ensuring people understandwhy strategy execution is importantso they are motivated to act.

Leadership communication thatmoves the needle involves planning,message development, training andan organic approach to communicat-ing that depends on a high interactionand conversation among leaders andwith front-line employees. The who,what, when, where, how and why aredelivered as part of a structuredprocess, not an occasional event.

PPrriinncciipplleess iinn PPrraaccttiicceeWhen put in practice, these six

dimensions are very powerful. We’veseen leaders use these principles toachieve real results, such as:• A division president who saved

$200 million in ninemonths; • A Plant Manager who

turned his operation fromworst performing to bestin his company in one year; • Airline management

who won support for acontroversial merger inless than four months; • A front-line supervisor

who eliminated the 150sources of quality defects in a littlemore than a year.

FFooccuuss ffoorr AAccttiioonnOf course, communication alone

can’t do all that—at the end of the day,it’s the intelligence, ingenuity anddedication of employees that achievesresults—but communication providesthe focus for action. It enables thatintelligence, ingenuity and dedicationto be applied to the right problemsand opportunities so strategy is deliv-ered effectively.

Communications is as important asstrong business strategies, solid sys-tems, key metrics and a healthy bal-ance sheet. It aligns employees behindstrategy, harnesses their ability to con-tribute, and motivates them to act.Most important, communicationmoves the bottom line. LE

Macy Boehm and Bob Matha are authors of Beyond theBabble: Leadership Communication That Drives Results(Jossey-Bass, 2008). Visit www.basics3.com.

ACTION: Hone your communication.

Leader-Speak

HAVING COACHEDsports for 10 years

and leaders and man-agers for 20 years, I have some insightinto what it means to be a coach. Thetitle “coach” gets bandied about thesedays. It seems as if anyone can be aleadership coach, if they have a littleexperience and a grasp of buzzwords.

But not everyone can be a realcoach—someone who can build a teamby bringing a diverse group of talent-ed people with different strengths,personalities and drivers together andturning them into a cogent, cohesiveunit in the pursuit of a common goal.They also need the bravado to lead adiverse and talented group. Duringthe decade I coached wrestling andfootball, I saw well-formed teams withchemistry and unruly groups of play-ers who went in different directions.

All teams—groups of people placedin the same situation at the same timefor a certain purpose—have a culturethat informs them how to behave,interact, and do what is expected ofthem. What separates a great coach isthe ability to build a winning team cul-ture. Legendary coaches win champi-onships consistently because of theculture that they create—not just thetalent of the players they have.

How can you create a winning cul-ture and become a winning coach? Awinning coach is committed to buildinga winning culture. Cultures that areallowed to happen are haphazard,loose, and permissive. You need toproactively build your team’s winningculture—and start by building a win-ning attitude. To have all the rightanswers for your team, you first needto have those answers for yourself.

AAnnsswweerr SSiixx QQuueessttiioonnssAddress these six questions: Who,

What, When, Where, Why, and How.Where? The Where question can be

answered in the form of a vision state-ment. Where are you going, personal-ly? What are your ultimate goals?Where do you ultimately want to be?When you answer this question foryourself, you can also answer it in

Winning CultureHow can you bui ld one?

by Ed Gash

COMPETENCY COMMUNICATION TEAM CULTURE

L e a d e r s h i p E x c e l l e n c e N o v e m b e r 2 0 0 8 1 7

by Macy Boehm and Bob Matha

MANY LEADERS ARE FACING A CRISISof confidence as their stakehold-

ers view them with some degree ofsuspicion or anger. What can they do?

Few CEOs have inspirational per-sonalities or over-the-top charisma.No one will mistake them for RonaldReagan or Barack Obama when theymake a speech. They don’t oozepower and determination like JackWelch. Even if they could remakethemselves, that would take time theydon’t have—leaders haveto get results now, up anddown the line, by mobiliz-ing people to get workdone. Once smart peoplerise to positions of respon-sibility, they have to lead—with the skills and toolsthey have.

CCrriittiiccaall FFaaccttoorrA critical factor is com-

munication that does not depend oncharisma or a dynamic personality,but still gets employees marching inthe same direction, excited aboutwhere they are going, and takingaction. That kind of communicationdepends on the “who, what, where,when, how and why” that movesinformation and motivates employeesto act in desired ways.

The “who” of good leadershipcommunication isn’t just the CEO—it’s the entire group of leaders. And byleaders, we don’t just mean peoplewith titles, but also the “informal lead-ers.” They all need to be alignedbehind the “what“ message, and itneeds to be clear, concise, candid, andconsistent. The emphasis isn’t on“spin” or salesmanship, but on tellingemployees what they need to do to besuccessful in simple, understandableterms. The “where” and “when” ofleadership communication involvesnot only the typical channels such astown-hall meetings, newsletters and

Communication gets results.

team terms. What are your ultimategoals for any team you coach? A coachwho can present a clear vision state-ment has the potential to win. When ateam can see where it is going, it ismuch easier for them to get there.

Why? The Why question can beanswered in the form of a missionstatement. Once you know where youare going, you need to define the rea-sons why you must succeed in gettingthere. What’s your motivation? It ismuch easier for men and women andchildren to carry out a task if you givethem a good reason for doing it. “Justbecause” doesn’t motivate you or anyof your team members. Define the rea-sons why you want to succeed. It’s easi-er to motivate yourself and your teamwhen the driving factors are clear.

What? It’s great to set goals anddefine why you want to achieve them,but you also need to know the criticalsuccess factors involved in reachingyour goals. What do you need? Makean inventory. Know what you need toachieve your goals. A team full of role-players who work well together willachieve more than a team of superstarseach trying to outshine the other.

How? The way that you choose towin, the how that defines your team,will also define the type of success thatyou have. How will you choose toimplement your critical success factors(your What)? How you use your talentwill influence the way your team per-forms. How will you use your team’stalents, implement your game plan,and set incentives and rewards?

Who and When? Once you deter-mine your How, you can turn thatstrategy into tactics for winninggames. You understand the talents ofyour team members. You know whatmust be done to achieve your goal andhow it must be done. Now, to build awinning team with a group of roleplayers, determine which roles theyplay, and how they play those roles—Who does What, and When? In what sit-uations do certain team members stepup, while others stand down? The Whoand When make up the execution ofyour strategic plan. Too often strategicplans are announced, then forgotten orpushed aside for some urgent task.

While coaching is grounded in exe-cution, it must be propelled by strategyor vision and mission. If that missionand that vision are strong, your culturewill be ready to win, and win often. LE

Ed Gash is president of Eagle Wings “Where Leaders Learn toSoar,”and author of Culture Coaching. Call 704.458.9184,email ed@calleaglewings.com, or visit www.calleaglewings.com.

ACTION: Create a winning culture.

by Dianna Booher

enforce and ignore, by the behavioryou reward and penalize, and by thequality of the products and servicesyou advertise and actually deliver.

5. Be Credible. Consider the look,language, likeability factor, character,and competence. People often judgeyour credibility by your appearance(dress, grooming, movement, gestures,facial expression, posture, walk). Whenyou speak, they judge your ability tothink on your feet and express yourself.People tend to trust people they like.

6. Be Concerned. Concern connectspeople. In whatever situation—fromproduct recall to layoffs to employeeillness to accident victims to stressedcolleagues—there’s great power incommunicating your concern. Whenlogic causes a lapse in the relationship,emotion closes the gap.

7. Be Connected. Leaders who showthey care about people as individu-als—not as employees, suppliers, orcustomers—make a connection. Thosewho don’t fail to communicate, andlose employees and customers.

8. Be Current. Speed is the new mea-sure of quality. No one wants to waitdays to hear the latest big news. Speed

is essential in bringing scat-tered work groups up-to-date on new projects,diffusing rumors, andmaintaining morale.

9. Be Competent. Ensureyour communicationdemonstrates competence.People hear what you sayor see what you write aboutyour work. Often theyjudge your competence by

what you communicate—your reputa-tion with customers or colleaguesoften rests on a single interaction.

10. Be Circular. Ask, “Who else needsto know?” when there’s a change ofplans or when new ideas surface. Pub-licizing your point, encouraging feed-back, facilitating conversations acrossfunctions are just a few ways to be cir-cular in your communication.

Communication is the most criticalcomponent of great customer service,the biggest challenge leaders experi-ence in times of change and upheaval,the most frequent reason top talentjoins a new team, and the most fre-quent complaint employees cite astheir reason for leaving.

How well you communicate dic-tates how well you do as a leader. LE

Dianna Booher is author of The Voice of Authority (McGraw-Hill). She is CEO of Booher Consultants, a communicationstraining firm. Visit www.booher.com or call 800-342-6621.

ACTION: Apply these 10 strategies.

POOR COMMUNICATION!We hear this com-

plaint often. The prob-lem? Information is not communication.Posting announcements, holding tele-conferences, or scheduling meetings isnot substantive communication. These10 strategies will help you deliver amessage that informs and encouragesothers while gaining buy-in:

1. Be Correct. Tell it like it is. Fromthe C-suite to the mailroom, truth-telling is key to productivity. If youmissed your numbers, say so. If youmade a mistake, admit it. Be known asa person who speaks the truth. Thereare easy answers. And then there aretruthful, more difficult answers. Yourpower as a communicator often de-pends on your choice between the two.

2. Be Complete. Don’tget so busy analyzing, solv-ing problems, questioning,coordinating, deciding, anddelegating that you fail tocommunicate what’s goingon to those on the sidelines.To make good decisionsand take appropriateaction, people need com-plete information. Greatleaders give people thewhy’s, what’s, and how’s.

3. Be Clear. Be specific. Separatefacts from opinions. Verify assump-tions. Vague generalities create confu-sion. Speak and write in simple, plainlanguage. Muddling information cre-ates a sense of phoniness, insincerity,or intimidation. Purposeful evasion—where harmony is valued above hon-esty—destroys trust, erodes morale,and lowers productivity. In such cul-tures, everyone gets along, goes along—and sinks together. Face-saving is apoor substitute for problem solving.

4. Be Consistent. A manager hears,“The company is not doing well.Freeze wages.” Then she sees construc-tion crews remodeling the executivedining room. Customers, colleagues,and employees experience disenchant-ment when they see inconsistencies inthe workplace. You can’t not communi-cate—by words, action, or silence. Youcommunicate by the policies you

CommunicationYour most important asset.

COMPETENCY COMMUNICATION

1 8 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

we ask to get to the deeper meaningof what customers want and need.• Vancity, a large credit union, is con-

nected with its customers andcommunities. Their Shared Growth termdeposit enables customers to choose acommunity project inwhich to invest. This inno-vation gives meaning tocustomers, employees, andcommunity. From passionand purpose come profit!• Our local Toyota dealer-

ship calls us on our birth-days to make us, ascustomers, feel importantand to let us know that ourrelationship with Toyota ismeaningful to both of us!

MMyy JJoobb HHaass NNoo MMeeaanniinnggHow often do we, as leaders, hear

people say, “My job has no meaning.I’m just going through the motions. Isthat all there is?” How often do peo-ple complain that they’ve heard it allbefore, that the speeches are “the sameold same old,” and that they’re toobusy to think about “innovation?”

The role of leadership is to helppeople connect with the meaning intheir work and show them that whatthey do is important. Yes, leadership isabout setting the direction, encourag-ing new ideas, allocating resources,rewarding performance or taking cor-rective action; but the essence of lead-ership is to tap into the meaning ofwhat each member of a team is askedto contribute. If people can connectwith the deeper meaning of their work,they can be more engaged and con-tribute to reaching their highest poten-tial. Without meaning, people becomedisengaged, lose passion, stop inno-vating, and harm productivity.

Meaning gets at what organizationsare all about. Why do we do what wedo? Are we doing all we can do toadd value to the world? Are we mak-ing a positive difference? What is thetrue meaning of our work?

As leaders, we can help others con-nect with the meaning of their work.There is meaning in identifying newways of doing things, in the way co-workers interact, in choosing a posi-tive attitude instead of complaining

Innovating with Meaning

INNOVATION MANAGEMENT IS ALL THErage. We’ve witnessed the transition

from viewing innovation as simply thecommercialization of new technologyto a broader perspective that encom-passes innovation in products, ser-vices, processes, and strategies.

Leaders must evaluate how theywill foster and sustain innovation. Yetmany leaders struggle to lead theirinnovation agendas. Many leaderspursue innovation for the sake ofinnovation, or espouse innovation,then launch new products and ser-vices that don’t add anything to theworld or even to the bottom line.

The missing element in this equa-tion is the foundation of authenticleadership—meaning. Authentic lead-ers lead with and to meaning. With thismeaning-centered orientation, our par-adigm is innovating with meaning.

OOuurr PPrroodduuccttss LLaacckk MMeeaanniinnggCustomer expectations are rising.

Competition for the attention of cus-tomers is fierce. There’s an overabun-dance of products and services tochoose from, and many offerings areduplications of other offerings. Manynew products and services that aretouted as “innovative,” don’t add anyvalue or meaning to customers’ lives.Customers simply are not engaged.• Is introducing that new cherry fla-

vor of your cookie brand innovativeand meaningful or is it just another“activity” and a waste of resources?• Does the new food product you are

introducing help address the obesityproblem or does it just ignore, orworse, add to the problem?• How does that new approach to

paperwork at the hospital resonatewith your patients? Does it just addconfusion to an already cumbersomeprocess? How is it meaningful to yourpatients in terms of their experience?

These are examples of the questions

that things are always changing. Whenwe bring meaning to work, we bringwith us the possibility of meaningfulchange in our work and workplace.

One of our clients asked us to visittheir headquarters to share our viewson innovating with meaning. Whenwe arrived, we saw many innovationbanners but received a lot of negativefeedback about the lack of authenticitybehind the message. We shared thisfeedback with leaders and helpedthem address these comments throughmore authentic and meaningful dia-

logue with the employees,and through other chan-nels. It’s one thing to talkabout innovation—it isanother to walk the talkand meaningfully engageeveryone in putting inno-vation into practice.

One way that IBMtapped into the meaningof its employees’ workwas to engage 319,000

IBMers in an open “values jam” on itsglobal intranet. Everyone was askedto share thoughts about things thatget in the way of innovating and serv-ing customers. One core value was“Innovation that matters, for ourcompany and for the world.” As CEOSamuel Palmisano said, “We need towork for each other’s success andinnovate in ways that truly matter bytaking personal responsibility for ourrelationships.”

IInnnnoovvaattiinngg wwiitthh MMeeaanniinnggAdvancing and sustaining innova-

tion requires a transformation of cul-ture. It requires strong leaders whoencourage employees to engage witheach other in more meaningful waysand encourage customers to relate tothe organization in meaningful ways.

Meaning drives engagement,which drives innovation and produc-tivity. Meaning is the foundation ofauthentic leadership and the primaryintrinsic motivation of all people. Itdrives innovation—along with thepassion for excellence, qualityimprovement, and peak performance.Without true meaning, innovationactivities are busy work, a waste ofresources. It’s time to take innovationto the next level—to lead and inno-vate with meaning. LE

Alex Pattakos is author of Prisoners of Our Thoughts(Berrett-Koehler), Elaine Dundon is author of The Seeds ofInnovation (AMACOM), and both are co-authors ofInnovating with Meaning. Call Alex at 505-988-5235 oremail alex@prisonersofourthoughts.com.

ACTION: Build on the foundation of meaning.

L e a d e r s h i p E x c e l l e n c e N o v e m b e r 2 0 0 8 1 9

CHANGE INNOVATION

A u t h e n t i c l e a d e r s b u i l d o n t h i s f o u n d a t i o n .

by Alex Pattakos and Elaine Dundon

them for taking larger roles. Helpthem see the big picture.

4. What opportunities will this jobreally lead to? People now expect tohave several different careers (not justjobs), and they want to know howskills they develop in this position willtranslate into other positions—and toother careers. As top talent is morelikely to organization-hop, you mustaddress this issue or expect that thebest and brightest will eventually leave.

5. How much will you support myliving a balanced life?People are interested inwork-life integration issues.What accommodations doyou make for unforeseenfamily issues? What trans-fers or global assignmentscan they anticipate?

People may not ask thesequestions directly, but youranswers will determine ifthey employ their talents with you orwith the competition.

WWhhaatt RReeaallllyy MMaatttteerrss??We encourage you to ask and

answer the big questions about whatreally matters to reawake your passionfor what you do. You might evendecide to write your grandchildren.

Dear Yet-to-Be-Born Grandchildren, Greetings from the past!I was lucky to spend time with Peter

Drucker. He encouraged people to ask, “Whois the customer?” before they do anything.

I finally understood the importance ofthat question when Larissa MacFarquhar,a writer for the New Yorker, wrote a pro-file about me. Larissa spent two monthstraveling with me, and interviewing myfamily, my clients, and people who workwith me. She then wrote a long story andpublished it for 800,000 people to read. Thiswas a little scary, since some of the NewYorker profiles can be pretty negative, andI didn’t get to read it ahead of time.

I originally thought that my “cus-tomers” in doing this profile should be myclients—the people who pay me to do mywork. I thought that maybe I should “becareful of what I say” and try to act appro-priately. Maybe I should be careful not toembarrass anyone. But, as Larissa beganto follow me around, I figured out who Ireally wanted to be my customers for this

Just Be You

IS YOUR COMPANY COMPETING FOR TOPtalent? Do you participate in hiring

decisions or developing leaders?If so, pay attention! The workforce

is changing dramatically—in twoyears, there will be more members ofthe Millennial Generation than BabyBoomers. The work environmentrequires increased global savvy, virtu-al skill, and technological knowledge.Rapid change is the order of the day,with global mergers, acquisitions andshifts—and the resulting talent andleadership challenge will likely deter-mine the success or failure of yourorganization between now and 2020.

As they consider opportunities toadvance their careers, talented “highpotentials” share five concerns.

1. To what degree can I trust you todevelop my talents and skills? One tal-ented manager asked for training, andwas told that there was no budget forit. Despite the company’s message ofvaluing the development of people, iftraining isn’t in the budget, it isn’tbelievable. When it comes to develop-ment, do your actions match yourwords? Will you use skilled coachesand mentors to help talented peopleleverage their strengths as well asidentify and overcome blind spots?

2. To what extent will this job chal-lenge me? Most satisfying jobs com-bine leveraging individual strengthswith a strong learning curve—neitherso flat as to lead to boredom nor sosteep to lead to anxiety. One fast-tracker remarked, “Please help meanticipate routine, not make me dis-cover it as an unpleasant surprise.”They seek challenges that preparethem for leadership positions.

3. How do you honor requests for“next steps” in my career progression?With flatter organizations, the pathupward requires lateral moves. Peoplewant to know how a lateral move willround out their skills and prepare

profile. It was you, my grandchildren. Idecided that this profile was a specialopportunity for you to get to know me.

I decided to just act like myself. If I hadacted like someone who was too careful ofwhat he said, it would have been a storyabout an imaginary person, not me.

Your grandmother and I discussed this,since she’s in charge of our money. I toldher to assume that we were going to lose$150,000 in business because of this pro-file. I figured that by just acting like me, Imight annoy someone who wouldn’t wantto work with me anymore. I figured that itwould be worth the $150,000 to have abrilliant writer spend two months on astory about me that I could send to you.

As it turns out, I was glad that I justacted like me. I received approximately 300e-mails about the profile. They almost allsaid the same thing: “The good news is: It

sounds just like you. The badnews is: It sounds just likeyou!” My fears about losingbusiness as a result of thisprofile were unfounded. Notonly did I not lose any busi-ness, I was later interviewedin the Harvard BusinessReview and many other pub-lications. I ended up withmore clients—not fewer.

From this experience, I learned this les-son: Just be you. You are good enough. Inthe long run, any success you achieve, ifyou don’t act like yourself, won’t seem realanyway—you’ll just feel like an imposter.

DDoo WWhhaatt’’ss iinn YYoouurr HHeeaarrttI was one of the original developers

of 360-degree feedback. I help success-ful leaders achieve a positive, long-term change in their behavior. I also tryto help my clients (and everyonearound them) have a happier life.

My greatest contributions in mycareer have come from stuff I invented.No one can tell you how to do any-thing that hasn’t been done before. Todo anything creative, you simply haveto make it up yourself as you go.

If you have an idea that sounds goodto you, go for it. Just be you. Do whatis in your heart. You may fail, but atleast you try. Don’t waste your lifeworrying too much about being nor-mal. Lots of people are normal. It ismore fun to be different. Just be you.

When your grandchildren read thestory of your life, make sure that it isreally about you. LE

Patricia Wheeler is an executive coach and Managing Partner inthe Levin Group. Patricia@TheLevinGroup.com. MarshallGoldsmith is a leadership coach and author of What Got YouHere Won’t Get You There. Visit MarshallGoldsmithLibrary.com.

ACTION: Cultivate your authenticity.

2 0 N o v e m b e r 2 0 0 8 L e a d e r s h i p E x c e l l e n c e

LEADERSHIP AUTHENTICITY

Y o u a r e g o o d e n o u g h !

by Marshall Goldsmith and Patricia Wheeler

For 25 years, our three monthly magazineshave been the source for the best and

brightest insights from all the top consultants,coaches, authors, and executives.

Use our FREE Development Tools:

• Personal Excellence Plan, an easy-to-useguide designed to help you create and imple-ment vision, mission, goals, and priorities.

• Excellence Worksheet, the perfect way tobring Excellence into your personal study or team meeting.

Team Leadership($10/month)Leadership Excellencebrings together the bestthinking in the world, fromall the top practioners, in atime-effective format.

Leadership Excellence■■ 1-year (12 issues) $129■■ 2-year (24 issues) $219■■ 3-year (36 issues) $269

Master of Excellence Leadership Package• 1-year Leadership Excellence• Your choice of 1-year Sales & Service

Excellence or Personal Excellence• 20-Year Instant Consultant leader-

ship library CD• 3-book package on leadership*

■■ $329 (save over $150)**

Self Leadership($8/month)Personal Excellencefocuses on seven dimen-sions of personal devel-opment and leadership.

Personal Excellence■■ 1-year (12 issues) $99■■ 2-year (24 issues) $129■■ 3-year (36 issues) $199

Sales/Service Leadership($5/month)Sales & Service Excellencecovers seven dimensions ofsales, marketing, and serviceexcellence.

Sales & Service Excellence

■■ 1-year (12 issues) $59■■ 2-year (24 issues) $99■■ 3-year (36 issues) $139

PERFORMANCE SYSTEM

Please start my membership!Please sign me up for the item(s) checked.

Name ___________________________

Company_________________________

Address __________________________

_________________________________

_________________________________

Phone ___________________________

Email ____________________________

■■ Visa ■■ MC ■■ Amex ■■ Disc ■■ Bill me

# ______________________ exp. _____

Signature _________________________

20-Year InstantConsultantCD archive: com-prehensive,searchable data-base of the best

ideas and strategieson management,

leadership, and produc-tivity. Instantly access the perfect articlefor your presentation, meeting, or per-sonal study with over 3,200 articles bybest-selling authors, leadership experts,coaches, and consultants.

CD or Online Access:

■■ $199

*Books may be different than shown. ** For Canadian and International subscriptions, add $20 U.S. postage per year—all three publications include Leadership Excellence, Sales and Service Excellence, and Personal Excellence.

Recent contributors include: Marshall Goldsmith, Jim Collins, Tom Peters, Anne Mulcahy, Warren Bennis, Michael Porter, Margaret Wheatley, Patrick Lencioni, and many others!

Recent contributors include: Tom Hopkins, Jim Rohn, Dianna Booher, Oren Harari, DebbieAllen, Adrian Gostick, T. Scott Gross, Brian Tracy, Jeff Thull, and many others!

Recent contributors include: Laura Schlessinger, Tony Alessandra, Tom DeCotiis, KurtDuNard, Bob Davies, Marshall Goldsmith, Wayne Dyer, Peter Block, and many others!

Fax this form to 801-377-5960, call 1-877-250-1983,

email custserv@eep.com or visit www.LeaderExcel.com

Get StartedToday!

“Sales and Service Excellence is crisp, succinct, and actionable—a nice change fromHarvard Business Review, whose articles are interesting but too academic to be useful.”

—PETER G. BALBUS, CEO & MANAGING DIRECTOR OF PRAGMAXIS

“Personal Excellence is the only reading you’ll need to do for continual self-improve-ment both personally and professionally!”

—SHARLENE HAWKES, FORMER MISS AMERICA, AWARD-WINNING ESPN BROADCASTER

LEADERSHIP

Leadership ExcellenceCelebrating 25 Years of Excellence