23 Feb
Strategically it sometimes pays to step back from daily routine and read or experience something different… but not necessarily too different – the busman’s holiday they call it – as when you work for a charity, gaining pleasure and learning from doing more of what you do at work. Reading for pleasure, I stumbled on a book by William Duggan, associate professor of management at Columbia Business School, an expert on strategic thinking and author of three books in the field – The Art of What Works (2001), Napoleon’s Glance (2004)
and Strategic Intuition (2007). The gist: Napoleon and other amazing leaders followed a route to highly effective strategy that is very, very different from what is normally thought of as strategic planning or strategic thinking.
The principles apply directly to HR strategy. Oddly, just recently, one of the many HR/Learning & Development blogs out there published “Four tips for Effective Leadership,” namely: Be counterintuitive, live comfortably in gray areas, learn by doing and exercise soft skills – exactly what Duggan points to with his great strategists. Strategy isn’t arrived at by ‘planning’ in the sense of laying out exact steps and stages with time lines and benchmarks. Napoleon and the others ‘put their teams in motion,’ ‘looked for small battles they could win decisively,’ ’stuck to the course with firm resolution,’ and learned to evolve strategies as they went rather than work them out in detail beforehand.
Reading these, I realized that, yes, most successes I ran into along the way evolved ‘in the midst of action’ (a phrase I also recognized from a Zen master talking about finding your way calmly ‘in the midst of action’). Does this apply to HR? My former company got into elearning early and heavily, with great results, because we were asked to look at ‘expert systems’ that the CEO saw at a conference (a different computer technology) and we jumped to use the budget and just get going, without being in the least sure where we were headed, but seeing some possibilities in using technical systems to leverage more people learning more things.
If we’d waited for our IT process that called for developing a technical plan in detail, with projected costs three to five years out, we’d never have gotten off the ground. Yet planning is valuable. In the words of Eisenhower, the top allied General of WWII, “Plans are nothing, planning is everything.” The difference, in other words, is active versus passive. Get going, planning as you go, through the unexpected twists and uncertainties – don’t wait for “a plan” designed to resolve something you think may happen – it won’t.
5 Dec
People continue to be fascinated by how anyone can manage in the economic downturn. I used to see this as ‘topic of the day’ – faddish and something we all would work through as ‘normal business.’ Not one, but two former bosses used to say, ‘in business there’s no such thing as bad news or good news – just news.’ We have to expect bumps in the road and some will be big ones. Anyone who operates without any preparation for that is courting trouble.
But it’s been pointed out to me in a recent consulting assignment that some people of my, ahem, advanced age are just lucky to have been ‘lucky’ to have been through tough times before. We can take it as business as usual to a degree while younger managers are genuinely shocked and more financially hurt (so this young exec insisted), especially if they`re young enough to have avoided tight times either having come of age since 1991 or having missed being hit in that somewhat milder climate.
Apparently even a lot of my age group missed those earlier setbacks because audiences of all ages continue to be flummoxed by today`s crunch and that
continues despite possibly premature rumors of an upturn. My friends at Verity International once again assembled an interesting panel of experts (recording is here) to comment – Citibank being one that certainly got caught more than some, and Ford being one that was far more prepared than many. Yet no one is untouched. Add to the panel a devil`s advocate talk show host who claims we should all get off our duffs and make hay while the rest are lagging and a European consulting executive who`s seen a wider perspective and you have a competent mix… one might believe. Or do you have just a bunch of individual views from where each of them sits. Is there a common thread?
The fact is that downturns always benefit someone. Sometimes it’s the lucky – people who happen to have just sold major assets before the crash and have cash to buy up lagging operations that will help them boost their business when thing improve. Sometimes it’s the sensible – people who have watched their budgets all along and don’t have to lay off masses of people. There’s no doubt that 15 years of rising markets encourages people to take risks they shouldn’t. It’s understandable that in good times many fear being left behind if they don’t take those risks… but we all need to keep an eye out for bad weather and what we can offload when ship starts to sink.
Of course the talk show host was in his glory since bad news makes for good media interest and lambasting ‘laziness’ is easy when everyone’s already down in the dumps. Are North Americans lazy compared to others? Not if you note the ever-increasing stress levels and work hours we put in. But perhaps we’re not putting them in the right places as the world changes and we no longer rule on technology and scientific advances as we once did.
Are we letting our kids get lazy? Maybe, but again, as soon as they hit their 20s they mostly develop lots of reasons to work hard. Certainly we’ve encouraged a sense of entitlement. The same young exec who berated me for being a fat-cat boomer with money socked away to burn noted that young guys like him (about 25) have reason to be afraid they might lose the house, the two fancy cars, the cottage, the boat, the clubs and all that other ‘must-have’ stuff they have a right to go after (on credit). Apparently the banks, in selling everyone on credit only too successfully, drank that kool-aid themselves and have taken their customers down with them.
Unfortunately I know all too many boomers who are caught in the same mess and are finding it difficult to dig out. But having said that I also have acquaintances who have faced and overcome bankruptcies or near-bankruptcies in the past and know that belt-tightening, while not fun, does work. My heart goes out to those stuck right now, but it’s hard to know who’s on a right or wrong track. Major layoffs demoralize staff and hurt future retention and results, but failing to lay off can drag down results, share prices, and pension investments. Finding a balance and working hard is the inevitable result either way. Perhaps that’s something we need bad times to teach periodically as so many don’t seem to learn any other way. It’s the psychology of infallibility for sure that creates such cataclysmic cycles. Can we learn to smooth out our human nature and stay balanced better in future over the long haul? It was an interesting question that none of the panelists quite addressed directly.
23 Nov
Wow. This is the next “Good to Great” – and only 7 years after that, not 20 as Collins’ book was after “In Search of Excellence.” Mintzberg once and for all establishes that management and leadership are immensely complex and have to be learned in the heat of practicing them, not from books or traditional courses.
It’s one thing to say this to people and quite another to assemble a massive review, in very short, but dense form, proving it in the words and findings of a century of researchers.
I wrote the rest of this post to a friend, another keen observer, David Creelman of Creelman Research, who brought it to my attention. I realize this is actually a review:
Just finished Managing and have some thoughts it seems good to put down here. It’s an impressive assembly of far-reaching thinking. I think it will probably frustrate and confuse a lot of readers, which is too bad, but possibly an inevitable step in recognizing what really works. The management/leadership complex is just that – very, very complex without any clear single answers, very situational and requiring unique fit or adaptability to succeed at. I agree with the general premise, but would word it a bit differently. I would say not have said we are wrong to hold up leaders as worthy of examination and sometimes praise, but we are wrong to deify the idea of leader and leadership (and wrong to talk about it as a set of things that can be learned by the usual rote learning we get in schools). However, I believe that leaders do make a difference if they operate as Mintzberg outlines – constantly learning and reflecting and by trial and error efforts to improve things. I’m sure he would agree and wonder a bit why he didn’t make that more clear.
As I see it, organizations solidify the ossified structures they form in hopes of sustaining themselves as the original driving leader(s) move on. Theoretically the structure that worked should be able to adapt with new people coming into the slots and changing them to fit changing circumstances, but we haven’t paid nearly enough attention to that concept. We treat the structure almost as sacred once it’s in place (despite the tendency to constantly ‘re-organize’ to solve every problem, which really amounts to re-arranging the deck chairs – it doesn’t really change much – the power hierarchy is too attractive to those rising in it). To some extent the organization structure does ensure some continuity, but for how long if it doesn’t evolve?
It’s easy for those appointed to assume that they somehow inherit the stature of those who built the organization in the first place, not realizing it wasn’t a one-person show, but a cooperative effort that may be seen from outside to be one person. The fact that some initial leaders are strong-man types who create by force and maintain power by force leads to confusion as well. When we know that 90% plus of leaders believe they’re in the smartest 10%, it’s easy to see why they are so willing to try to impose their vision as Mintzberg points out is so common among those newly promoted. At that moment you’re at the peak of confidence in your infallibility; it’s just been proven, so why not impose it? Then it’s hard to back down and reveal your uncertainty as things begin not to work. You may not even realize it isn’t working and just apply more force to drive things the way you ’see they will work if only everyone cooperates (with your vision).’
We need to help people see that maintaining and developing existing organizations is no less challenging, but very different from the initiating, entrepreneurial phase, that a different type of leader, adept with equally difficult, but different challenges, is needed – one who needs to manage and lead in a very different way, with more visible involvement of others typically, building a truly learning organization, which has to start with a learning leader.
20 Nov
It may not be wise to always be brutally honest with others. In most cases it helps to try to find the silver lining as well as what needs to change, but I believe it is best to be completely clear when dealing with problems you’re struggling with if you can face doing it yourself.
On CLO Magazine’s blog, the question came up, “why aren’t there more people willing to step up to front line leadership?” One commenter observed, we don’t train enough. True, but I wrote this:
“I agree that we rarely teach practical leadership skills when we promote people or prepare them for promotion. We throw them in and let them sink or swim… and then some time later we try to teach them. In fact the skills have to be learned on the job with a coach (the boss, if the boss has leadership skills, which 80% don’t according to many surveys).
“However I think a growing factor today is that we expect the leaders to make sure the work is done even if they have to do it themselves – no excuses – do it or you’re out, so taking on leadership is taking on an unbelievable workload… still with no training on how to get others cooperating in getting it done. Sound like a good deal? Here, you be leader, you do all the work, we won’t show you how to successfully delegate… and then maybe we’ll fire you… in many states ‘at will’ with no recourse or severance… and you’ll be totally humiliated in the process most likely. Wow. I’ll take that risk. I’m exaggerating… slightly, but there are lots of organizations who do this to at least some of their promoted managers. Any wonder it scares people off?
“We desperately need to remedy this, but it seems to be one leader at a time and it starts with taking a brutally honest look at what those we promote are expected to do.”
This certainly doesn’t apply to every situation or organization, but not only is little training provided to actual managers, very few believe in trying to help potential leaders learn the skills BEFORE they are promoted. Often I see leaders who are being offered training or coaching where it is ‘too little, too late.’ They’ve already alienated their teams or at least fallen into patterns that aren’t highly productive and now have a hard time changing. It only really became clear answering this question and realizing that I was trying to be bluntly honest. If nothing else I think it illustrates the benefits of asking ourselves these questions via blogs and other means. Self-examination certainly reveals what we need to fix. I’m sure I’ve been as guilty as many when I didn’t provide training BEFORE it was needed.
11 Aug
This may be more than one post’s worth of ideas, but researching following the World Congress of Positive Psychology (mentioned in an earlier post) led to some great resources.
Perhaps the most important concept is that happiness isn’t a single thing. When thought of as if it were you tend to think of leisure and joyful moments, but it really runs much deeper. Todd Kashdan makes the point in his excellent brand
new book Curious? that we might not even want to set happiness as the most important goal in life. That’s carried through in the very interesting Positive Psychology News Daily (PPND) web site authored by graduates of the first MA programs in the field.
In fact, the PPND site impressed me with several graphics or “image maps” that allow you to click on elements that make up, for instance, ‘a life well lived image map‘ and find the components to a ‘positive emotions image map‘ and other facets of living well. The concepts they capture reinforce Kashdan’s point that maybe we’re barking up the wrong tree trying to focus on happiness alone.
A similar point emerges from another new book, The Happiness Equation, by others of the Positive Psych movement. It gives brief information about 100 items
that add to or subtract from happiness and well-being – quite a list, from which you can generate a score to assess how happy you are relative to others, but even more importantly you can see from that which factors are contributing or are missing that create a sense of a good life.
Once again one of the most impressive things about this is the vast amount of research and publication that’s been done in the few short years since this field of study emerged. It really puts in perspective the sort of counseling that goes with mild mood prescriptions to form what Jonathon Haidt and others have shown to be the best antidotes to depression and how closely some of these relate to the elements needed for people to be happy and engaged at work.
While it might seem that these are intensely personal concerns, the fact is that happy employees have consistently been shown to produce better results. It isn’t either/or, but both/and. We can do the right thing by helping people identify what would make them happier and simultaneously improve profits and market share. What a concept! Great to see it born out again and again in modern research.
19 May
A friend forwarded a really interesting New York Times Op Ed link (In Praise of Dullness) with the comment the author may or may not be making similar points to my last post. In fact, it could be taken either way because the author talks about several opposing things as if they were somehow one.
Author, David Brooks, cites interesting research showing that CEOs of today’s successful companies lack people skills, extraversion, openness and social agreeableness in study after study. that what distinguishes most is emotional stability and conscientiousness
(these are ‘the Big Five’ that psychologists generally agree define personalities). He suggests charisma isn’t valuable, as Jim Collins showed in Good to Great, but in doing so he mixes apples and oranges.
First, it confirms my assertion that many of today’s large organization CEOs lack the skills they will need to lead with utmost effectiveness especially in the coming years of a new type of worker. That’s what Collins is getting at, too. He found only a handful of big company CEOs had taken their companies from Good to Great and kept them there. However, Collins’ findings reinforce that you need openness and sociability (though perhaps not extraversion) to reach the most successful CEO level – to lead effective teams. Quiet team-builders emerged as his preferred model and I agree.
What the other research confirms is what Collins also found – that most sizable company CEOs today are OK, but not superstars. It’s not their lack of charisma (Collins’ winners didn’t have it either), but more importantly lack of ability to build teams. Most are detail-oriented drivers who keep everyone’s nose to the grindstone where more open, creative solutions would be better. The grindstone approach keeps things going and creates incremental improvement, but doesn’t help things take off. Brooks notes that, but equates Collins’ top leaders with the grinders, which isn’t accurate.
All in all, as we struggle to get clarity about how top leaders should actually look, we find few companies yet understand it well enough to make the best choices. And that may be due to the fact that we have years of grinders lingering at the top choosing people like themselves. These are ’safe’ candidates, without a lot of personality actually, unlike the major characters that bring together all the right skills like Kelleher of Southwest Airlines, Walton of Wal-mart, Welch of GE and other highly individual, but interesting styles.
Just because the bulk of OK companies today are run by ‘grinders’ (if I can call them that somewhat unfairly because most bring something more than that, just not enough more), that doesn’t mean this is what companies SHOULD look for. There is a better model. Collins got it right. We need to figure out how to develop it and then we need to start hiring for those qualities.
18 May
Yet another article, this time on the Training Zone UK site, points out that poor leadership abounds – case in point being the troubled banks – despite the great amount of leadership training offered today, which is especially widespread in those very organizations. Great point. We teach it, but it isn’t learned. Or perhaps those who actually emerge at the top of organizations are frequently the ones who pay no attention.
Here we have the core puzzle of leadership development. The best training programs are established by many of these poor leaders who get to the top. The programs focus on skills that make for better leadership. In my own experience, top leaders were invited to speak at company training programs and gave
impressive speeches touching on all the key principles, which they then ignored applying in their own behavior, with disastrous results.
Nevertheless, the article goes on to say, we will see dramatic improvement in future thanks to today’s insightful training. Really? If so, it clearly won’t be the training, but the attendees who make the difference. We’ve been teaching servant leadership, situational leadership and dozens of other effective models for 50 years. Still only a handful of truly effective leaders exist in top roles today.
We point the finger of fault in many directions – business schools, lack of measurement, poor HR – but we don’t face the likely fact that it is all of us and none of us who are to blame. Slowly, but surely we advance and tolerate poor leaders because they have the old-fashioned look of charisma, control and confidence that others lack and we can’t see anyone else being ready. We ignore evidence, training, common sense and examples of the best leadership
styles to promote.
Only if a new generation of leaders and staff refuse to work with or for poor managers will we see this start to change. Will that be Gen X or Y or Millennials? Time will tell. In the mean time, the hard drivers, who think they have all the answers will likely continue to surge toward the top while the ‘continuous learner’ types who would make far better choices continue to question their readiness, along with everyone who makes the selections.
7 Apr
Colleagues at the Human Capital Institute asked if I would present a webinar with them on whether the ‘leadership crisis is over’ or not. Yes, I would; no it’s not! Not by a long shot. here’s the write up:
Next Human Capital Institute Webcast on Talent Acquisition –
Title: Is the Leadership Hiring Problem Over?
When: Tuesday, Apr 21 2009 / 1:00 PM – 2:00 PM ET
Presented By: Dave Crisp , CEO , Crisp Strategies
Fee: Free – on a first come, first serve basis
While the economy may have extended the projected leadership gap for a short time as many Boomers un-retire, employers will still face labor shortages in many areas of their companies, most notably among their executive team. Why? Generation X, those employees with the next amount of experience on the job, are a smaller population and just don’t have enough people to fill the seats being vacated by Boomers.
So how should an organization prepare itself for this gap? The strategies include operating leaner organizations with less management, dramatically improving Boomer hiring techniques and vigorous leadership development practices to "grow" younger workers. Discovering which approach- or developing a new one- will be the focus of this webcast.
So, for anyone interested in HR and Talent Management, registration is here.
The genesis of this, of course, is the many knee-jerk reactions some observers inevitably have to any crisis. For some current job losses seem to mean it’s a buyers market, the hiring crunch is over. With so many out of work, they reason, companies can hire whomever they need, maybe even at bargain basement prices. The fact is it’s harder than ever to get leaders who can help bail us out of this mess.
We need more leaders, not only due to retirements (and, yes, some of those are being postponed, but only temporarily), but also because flatter, widely dispersed organizations and the need for more innovation require more people with leadership skills than ever before. People are available, but the right skills aren’t.
This is one of many assumptions people leap to in times of distress. We’ve commented on some others – like believing that now we need financial wizards to save us. They got us into the mess, don’t forget, so why would we think they’ll fix it?
Another mistake is thinking ‘in tough times we need tough leaders.’ This one isn’t entirely wrong, just dangerously misinterpreted by many. The problem is in the word tough. We’re right enough to say ‘when the going gets tough, the tough get going,’ but tough has many meanings. Look at Hitler versus Churchill. Both tough. Hitler was admired by many before the War. in the US, in England, sadly in Germany. very widely because he took tough steps to bail his country out of the Depression. Observers failed to pay much attention to his methods, however. When the inevitable resulted, we needed a different type of toughness to overcome this earlier mistake.
Good people can be tough, too, but in today’s crisis there is a tendency once again to look at the wrong kind of ‘tough guys’ who undertake dramatic layoffs and cut programs, who ‘make the tough decisions.’ Well, let’s not forget that sometimes the tough decisions are to support your people when it costs something to do it. What makes leadership a challenge is that you have to constantly weigh difficult choices and try to make the best ones, not necessarily popular with your audience and not necessarily just penalizing the less powerful players.
What appears ‘tough’ to one, may in fact be the easy choice, what everyone else is doing. Leadership is taking all the factors into account, including how short term this recession might be in retrospect, and choosing the higher path, not just the expedient one. A number of CEOs have made the effort to save cost without layoffs, choosing instead to offer leaves, unpaid vacation extensions, time-sharing of reduced hours, re-assignment to training or neglected maintenance tasks and so forth, to name only a few options.
We have to hope that facing a crisis is always taken as a chance for everyone to learn greater leadership skills by pitching in to save each other. People rise to the occasion and come up with creative solutions if they are supported and encouraged. Those who unnecessarily lay off instead will be the losers in the long run as they discover the leadership hiring crisis is far from over!
10 Jan
The economic downturn is challenging human resources (HR) departments in a number of ways. Useful and not so useful ideas are arriving from many directions. Strategically the challenge should be clear – save your company (reduce costs is the only fast way since building revenue is a longer process) AND ALSO position it for the future upturn (and staff shortage) that are sure to follow.
Doing either of these alone misses the point.
A great example is quoted in a McKinsey Quarterly article (a summary – full article requires free registration). Cisco reduced 8500 positions by using the change to improve their structure, making jobs more interesting and rewarding and thus boosting productivity and engagement of staff. Such combined solutions should always be HR’s goal.
Sounds easy, doesn’t it? Unfortunately it’s rare that both goals can be accomplished in the same time frame, but Cisco is big enough, agile enough and likely had enough redundancy as a result of continuing success to be able to achieve this sort of change. One of the most frustrating arguments I lost as an HR VP was with a division head who intended just such a move, but in the interests of financial goals decided to lay off 200 people now… but only implement the new systems to make the work possible for the remainder about 8 to 12 months down the road. The ultimate cost was a stressed out survivor group who were extremely angry and unhappy. They couldn’t do their jobs effectively and felt like failures constantly. The new systems really never caught up and the company floundered.
The challenge most companies face is they don’t have the spare room in resources or headcount to begin with. They’ve been cutting even during the boom to make profits appear to increase continually as the market always demands. If their profit drive wasn’t based on a balanced strategy – increasing revenues, reducing costs, balancing workload simultaneously all along, it’s unlikely they can suddenly see ways to do it now.
Even Toyota, who have continuously achieved the dual goals is caught short and has had to reduce… but at least they’ve always used contract positions they could eliminate temporarily. That still means people out of work, but at least they are those who understood the precarious nature of their employment, so that trust is not so disrupted as it is in companies who hired full time, permanent staff and now are laying off. When the latter attempt to rehire, many will be suspicious of hollow promises and will be cynical about implied “security.”
Chances are good that organizations like Toyota will be able to cope when there isn’t sufficient work temporarily for their full time team by reducing hours and overtime, holding off on new costs, accepting lower results without feeling the need to strip investments that will affect the future potential for growth and using ’spare’ time of full time staff who aren’t as busy for training and other future-oriented activities, which could well include the sort of organizational and job restructuring that Cisco managed.
The message is these ideas don’t come easily, nor overnight. A single CEO isn’t likely to envision nor be able to order specific changes that “fix” all their problems. It takes good will, many people’s ideas and considerable trial and error to come up with such creative, positive solutions in crises. Those factors don’t come into existence by command in a short time.
2 Dec
Verity International hosted a great presentation and panel last month on Organizational Transformation and Engagement: an Oxymoron? It’s a great question. Can you change organizations while at the same time maintaining or even enhancing engagement of people in their work as opposed to what happens in so many cases… turning people off? 
The answer unequivocally is yes. While it may be obvious that you ought to be able to achieve this, it clearly isn’t obvious how, since the McKinsey & Company survey presented by their head of North America (partial data here, more more data here) confirmed once again the long known fact that most mergers and significant changes fail. Only a third of all transformations succeed well or extremely well and major change tends to be even worse on average.
If you had to leave early you’d be forgiven for thinking this is old news, though always useful to know if it’s changing. And it seems to be… slightly. The study was useful in distinguishing types of change, some being harder than others, and especially for identifying what it takes to succeed and pitfalls. It was very interesting to hear these backed up by real experiences of the panelists who represented major organizations: a bank, a telco and a large hospital.
What was most interesting was to see the use of ‘complexity science’ language to describe what’s needed. Positive Deviance describes the process of looking for an example that is unusually successful and then using that to discover what works and why to replicate it. It’s a scientific advance especially in human behavior matters that again should be totally obvious, but isn’t. It’s been used with amazing results in situations as diverse as ending plagues in Africa to avoiding antibiotic resistant infections in modern hospitals (health care has been particularly active using it, but it fits in any industry).
In general what turned up was that all these organizations are using the knowledge gained from research and data more and more when it comes to managing people – again obvious, but late in developing. Many senior leaders wouldn’t think of ignoring market research or financial facts, but blithely used to toss aside scientific discoveries in the HR/people management field because "they know how people behave." After all, don’t we all. We’re people; we’ve watched people manage well and poorly for years, so of course we all think we know. Yet the success rate of keeping people engaged shows otherwise. It was gratifying to hear from such senior people in major organizations that more weight is being given to actually learning from research. I will likely find more to say over time about this particular event, which made a lot of points concretely visible. Great work!