“THE SILVER BULLETOF LEADERSHIP”

OCTOBER, 2004by

Edward D. Hess

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FACULTYEdward D. Hess

Adjunct Professor Of Organization & Management Goizueta Business SchoolEmory University – Atlanta, GeorgiaExecutive Director: Values-Based Leadership InstituteExecutive Director: Center for Entrepreneurship &

Corporate Growth

Edward_Hess@bus.emory.eduwww.EDHLTD.com

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MY CONSULTING CLIENTS1) The Beach Company, Charleston, SC2) Hixon Properties, San Antonio, TX3) Knowledge Analysis Technologies, Boulder, CO4) Edens and Avant, Columbia, SC5) Cousins Properties, Atlanta, GA6) Oncor International, Washington, DC7) Portman Interests, Atlanta, GA8) Polar-Bek, Birmingham, AL9) Senior Managing Director – Jackson Capital, LLC,

Atlanta, GA10) Burroughs & Chapin, Myrtle Beach, SC

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Leadership Articles in Catalyst Magazine

1) “Managing Execution” January, 2003

2) “Why Should Anyone Follow You?” June, 2003

3) “What Do Leaders Actually Do?” September, 2003

4) “What is the Meaning of Business?” October, 2003

5) “What Do Leaders Actually Do – Part II?” November, 2003

6) “Are Your Employees a Means to Your End?” May, 2004

7) “Managing VUCA” June, 2004

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Leadership Fellows Agenda

Friday, Oct. 15, 2004• 2:00-2:30PM Dean Kembrell Jones

Introduction

• 2:30-3:15PM Fellows & Coaches

Introduction

• 3:15-3:30PM Break

• 3:30-5:30PM Prof. Hess “The Silver

Bullet”

• 5:30-6:00PM Coaching

• 6:00 PM Dinner

Saturday, Oct. 16, 2004• 8:30-10:30AM Prof. Drazin and

Prof. Glynn “Tasks/ReflectiveWriting”

• 10:30-10:45PM Break

• 10:45-12:45PM Prof. Hess “The Silver

Bullet”

• 12:45-2:00PM Lunch

• 2:00-3:00PM Andy Fleming “Values

Assessment

• 3:00-3:30PM Coaching

Q&A

Next Session

Conclusion

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Introduction

1) What is leadership?

2) What are the necessities to lead?

3) What are the key Leadership models?

4) Why is trust so important?

5) Do you have the right stuff?

6) What skills are critical?

7) Can you learn Leadership?

8) What are the three components of the High Performance Profit Maximization Model?

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HPP Maximization Model

a) You

b) Employees

c) Customers

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What is Leadership?

1. Please write out your definition:________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

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There are over 200 definitions of Leadership.Major Leadership Models:

1) Great person model – traits or personality

2) Situational – Context – Circumstances

3) Level V Leadership

4) Transformational Leadership

5) Servant Leadership

6) Authentic Leadership

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All Leadership models require:

1) A Leader

2) Followers

3) Goal(s) or Objective(s)

Some require a good, responsible, or moral objective.

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Leaders must have:

1) Technical competence

2) Communication skills

3) Management skills

Is that enough?

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What is the most important aspect needed for you to follow and believe in a leader?

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

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Why is TRUST so important?

Trust to do what? The essence of trust is that followers believe you will do what is right – in their best interest - not just what is in your best interest.

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What is trust?How do you create trust?How do you earn trust?Who do you trust?

_____________________________________________________________________

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Why do you trust them?_____________________________________________________________________

How did they earn your trust?_____________________________________________________________________

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David GergenThe heart and soul of Leadership is the relationship of the follower and Leader.Trust is key.How do you earn trust? 5 Cs:• Candor• Competence• Consistency• Compassion (empathy)• Character

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And according to Gergen, character is key.

What is Character?

• ____________________________________

• ____________________________________

• ____________________________________

• ____________________________________

• ____________________________________

• ____________________________________

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What is your character?

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Leadership

• Size• Gender• Nationality• Charisma• Where you went to school•Pedigree•Your religion

DO NOT PRECLUDE YOU

LEARNING TO BE A LEADER

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What matters is what is in your heart.Your character

Your values

Your attitudes

And

How you act and express that.

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Why should anyone follow you?

Right attitudeRight motivation

Right valuesEmotional Intelligence

Unless you understand yourself and your emotions, you cannot understand other people and lead them.

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The right stuff is within you –

Deal with you

Be self-aware

Be sensitive

Be disciplined

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Great Athletes

Musicians

Singers

All have one thing in common:

Ratio Ratio

Practice Performance

24

Tough part of the business world is a leader has to perform all day, every day!

On stage!

Showtime!

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Can you learn to be a good leader?YES!

My Story

Age 34 – 44 •Driven

•Impatient

•Results Oriented

•Help get job done

•2 personal crises

Age 44-47 •More self-aware

•Death of my father

Age 47-57 •Changed my focus

•Significance, not success

•Truly listened

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Learning to be a Good Leader is a life-long pursuit. You will get better as you:

1) Experience life;

2) Lead and learn;

3) Become emotionally more aware and secure;

4) Learn not to focus on “me”; and

5) Truly adopt a servant leadership approach.

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What precludes you from being a good leader?

•Laziness

•Arrogance

•Lack of self-discipline

•Bad attitude

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How does this trust translate into business success? Profits?

Leader employees customers

$• Number one determinant of employee job

satisfaction and job performance is you – the Leader.

What do your employees think about you? How do they view you? Do they trust you?

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Happy, productive employees create happier, more loyal customers and that is the essence of making $ $ $ $.

So what makes employees happy? Satisfied?

$ $ $ $ is NOT enough.

Money is NOT enough.

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Employees want:

1) Respect

2) Meaning

3) Opportunity

4) Fairness

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Leadership is a constant battle between:

Selfishness (“me”) v. Altruism

Self-absorption v. Emotional maturity

Insensitivity v. Sensitivity

Laziness v. Discipline

Insecurity v. Confidence

Arrogance v. Humbleness

Charisma v. Authenticity

My Way v. Accepting Other Ways

Group Think v. Intellectual Honesty

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Leadership is all about YOU and how you relate to your followers.

Relationships are hard work.

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Let’s Focus on You!

Why do you want to lead?• _________________________________• _________________________________• _________________________________

More $$$$$?

More power?

More respect?

More perks?

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Honestly…

•_________________________________

•_________________________________

•_________________________________

Most people are promoted to a leadership position not because they are a good Leader, but because they did their job well.

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And most people then try to get their employees to do and act like they did – this is what they know.

“This is what worked for you?”

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Leadership is different than doing a job well; Leadership is motivating, inspiring, and leading others to accomplish certain goals.

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Inspiring and leading others to accomplish certain goals:

Efficiently

&

Excellently

&

On time

&

On budget

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Who are your followers? Why are they important to you?_______________________________________

_______________________________________

_______________________________________

_______________________________________

_______________________________________

_______________________________________

_______________________________________

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Because they help you meet your budget, your goals, your objectives, your bonus!

Why should they care about you?

Why should they care about your bonus?

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What I am trying to do is:

1) Change your attitude about Leadership;

2) Change your frame of reference and mindset;

3) Change your behavior

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I know change is hard.

I know people are creatures of habit.

But I know you are here for a reason.

To be all you can be and you can only be all you can be through others.

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And Guess What?

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LEADERSHIP IS NOT ABOUT YOU!

LEADERSHIP IS ABOUT THEM!

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LEADERSHIP IS NOT ABOUT WHAT IS IN IT FOR YOU!

LEADERSHIP IS ABOUT HOW YOU CAN HELP THEM!

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LEADERSHIP IS NOT THE END RESULT…

IT IS THE MEANS TO AN END!

LEADERSHIP IS ABOUT HOWYOU IMPACT OR

AFFECT YOUR FOLLOWERS.

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I submit that you will never, never, achieve your leadership potential until you:

1) Get the right attitude;

2) Get the right mindset; and

3) Adopt a servant leadership mentality.

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Change the focus from ME to THEM.

Great Leaders help people be all they can be!

Great Leaders help peoplereach their potential.

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What is Leadership?

A Relationship between a Follower and a Leader

“Oh, darn…here we go.”

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To have a great relationship – Friendship

LoveLeader

What do you need?

____________________________________________________________________________________________________________________________________

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Respect

Openness

Honesty

Authenticity

Communication

Listening skills

Openness to learn and adjust

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Each employee is a separate relationship.

Each employee is an individual – unique – distinct.

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Leadership is not having 1 way of dealing with your followers.

Leadership is not having a rehearsed way of acting.

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To be a good Leader, you MUST understand and learn how each employee thinks, learns, and what motivates them.

Managing people is an individual game!

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Leadership is having the ability to:

LISTEN

PERCEIVE

UNDERSTAND

MOTIVATE

INSPIRE

People are a complex gumbo of hopes, dreams, fears, and emotional baggage.

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Time Out:

What have you learned so far?

5 or 6 key points:

1. __________________________2. __________________________3. __________________________4. __________________________5. __________________________6. __________________________

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What is the most surprising thing you have learned?

______________________________________________________________________________________________________________________________________________________________________________________________________

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What has shocked you or given you concern about yourself?

Your assumptions about leadership?

______________________________________________________________________________________________________________________________________________________________________________________________________

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Why do you want to be a good Leader?(Refer back to your prior answer.)

Why?

__________________________________________________________________

Why not?

__________________________________________________________________

Are you happy with your reasons?

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What do you need to change about your attitude – mind frame – or concept of Leadership?

______________________________________________________________________________________________________________________________________________________________________________________________________

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Who is the best boss you have ever had?_________________________________________

Why?

_____________________________________________________________________________________________________________________________________________________________________

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Who is the worst boss you have ever had?_________________________________________

Why?

_____________________________________________________________________________________________________________________________________________________________________

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How are you like the best boss?________________________________________________________________________________________________________________________________________________________

How are you like the worst boss?________________________________________________________________________________________________________________________________________________________

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How can you change or improve?______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

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What are your core values?

Please define them:

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Emotional Intelligence

Why is this emotional and character stuff so important?

What’s in your head and in your heart?

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Because how you act – what you do and how you do it has amazing impact on your followers.

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Every act and gesture is noticed and critiqued.

Sensitize You!

Make You Aware!

You Are On Stage!

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Understand that your employees are looking at you all the time for Leadership.

Each day is Showtime.

Each meeting is Showtime.

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For Consistency

For Fairness

For Candor

For Trust

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Think about it – In the last couple of months:

Think about great days at work or school

What made them great?

______________________________________________________________________________________________________________________________________________________________________________________________

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Think about bad days at work or school

What made them bad?

______________________________________________________________________________________________________________________________________________________________________________________________

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What was the role of your leader in the good days? What, specifically, did he or she do?

__________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

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What was the role of your leader in the bad days? What, specifically, did he or she do?

__________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

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Great Leaders have a Sixth Sense:

They can feel the emotions of a situation.

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They can perceive when they are NOT communicating.

They can perceive distrust, hostility, anger that is masked by smiles!

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Great Leaders can

PERCEIVE

RECEIVE

The “What is not said”

The “dynamics underlying the meeting”Where people are coming from

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In order to have thisSixth SenseYou need

EMOTIONALINTELLIGENCE

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EMOTIONALINTELLIGENCE

IS

KEY

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Recall - To be a great Leader, you need:

1) Technical competence

2) Right attitude or mindset

3) Values – character

4) Emotional intelligence

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What is emotional intelligence (“EI”)?

Jack Mayer, Professor at the University of New Hampshire, one of the fathers of EI;

HBR Jan 2004, p28

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“EI is the ability to accurately PERCEIVE your own and others’

emotions.”

What does this mean to you?

____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

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“EI is the ability to understand the signals that emotions send about relationships; and

the ability to manage your own and others’ emotions.”

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WOW!!

Does that mean we all need to be shrinks?

Are good Leaders “amateur” psychologists?

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No -

What it means is that good Leaders:1) Understand themselves, their biases, their

emotions, how their emotions impact them – their insecurities – what they get defensive about.

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What are your biases?

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What are your fears?

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What are you insecure about?

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When or in what situations are you likely to be defensive?

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2) Good Leaders are able to perceive, receive, and understand emotional signals.

“Sixth Sense”

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How do you get in touch with your feelings?

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What are you really in touch with?

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What do you feel?

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3) Good Leaders manage the emotional climate of their group.

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Primal Leadership by Daniel Goldman, et al ISBN1-57851-486-X

P10 – Yale Study

“Moods influence how effectively

people work.”

“Upbeat moods boost cooperation, fairness,and business performance.”

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Sensitize yourself to the impact of your MOODS.

Facial expressions

Choice of words

Gestures

Body Language

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Before you can manage others:

You have to manage yourself.

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Reality Check:

How many of you are thinking:

1) Employees are naturally lazy and need me to push them?

Yes or No

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3) To be a great Leader, my employees must fear me.

Yes or No

2) Unless I am tough, employees will take advantage of me.

Yes or No

100

5) What about General Patton, Jack Welch, Richard Nixon?

4) All this psychology stuff is too mushy-squishy.

Yes or No

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1) Being emotionally intelligent does not mean you do not honestly and fairly hold people accountable.

My answers to you:

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Reactions by gender:

MENLeaders:

Generally NOT good at emotional intelligence

WOMENLeaders:

Generally NOT good at holding people accountable

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P14 Primal Leadership

The percentage of time people feel positive emotions at work turns out to be one of the strongest products of job satisfaction.

Leader employees

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For every 1% improvement in service climate2% increase in revenue.

Leader employees $

105

When service people feel upbeat

they do more to please customers.

Leaders create the rightemotional climate!

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p17-18 Climate – how people feel about working at a company – can account for 20-30% of business performance.

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What was the best job you ever had?

108

Describe the climate.

109

What was the worst job you ever had?

110

Describe the climate.

111

If climate results, what drives climate?

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50-70% of how employees perceive their organization’s climate can be traced to the

actions of 1 person:

The Leader

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You are more responsible for the success of your team than your employees.

YOU!

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So you have to focus oncreating the right climate –

on creating the right environment -for people to want to excel and

to be able to excel.

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The Magic Formula

Leader $

employee customer

116

The Magic Formula AGAIN

Leader $ employee customersatisfaction satisfaction

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AGAIN

IT IS YOU!!!

The responsibility of Leadership is creating the right environment – climate – atmosphere

for Excellence

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You cannot create the right environment

unless there is

Harmony

Congruence

Authenticity

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Amongst your

Beliefs

Motivations

Values

and

Actions

Can’t fake it!!

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It is what’s inside of you that counts.

Some of you are now thinking:

“Holy crap – I do not have the right stuff.”

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Can I learn to do this?YesYES

YES

Hard, hard workDaily workSensitivity

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What are the keys to EI?

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My Top 5

1. Emotional Self-Awareness and Realistic Self-Knowledge

My Grade 3600

A. Understanding one’s emotions.

B. Recognizing the impact.

C. Managing your emotions

D. Being realistic about your strengths and weaknesses

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2. Empathy

My Grade 3600

A. Sensing others’ emotions

B. Understanding others’ perspectives

C. Having an honest respect for differences and diversity

D. Putting yourself in their shoes

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3. Flexibility My Grade 3600

A. Being open to receive feedback

B. Reacting in an individualized manner

C. Adjusting and adapting to the situation – context - individual

D. Collaborate, not dictate

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4. Being Transparent

My Grade 3600

A. Having the self-confidence to be honest and direct

B. “Walk the Walk” – not just talk

C. Harmony and consistency between what you believe, say, and do

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5. Having a service mentality My Grade 3600

A. Your role is to serve

B. “How may I help you?”

C. Help others develop and be all they can be

D. Be a mentor, coach, and teacher

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SUMMARY

EI MY GRADE 3600

Self-Awareness

Empathy

Flexibility

Transparency

Service Mentality

129

360o Feedback

1) Ask your spouse or someone especially close to you to grade you honestly

2) Ask 3 close friends to grade you honestly

3) Ask 3 workmates whom you trust to grade you honestly

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What are your discrepancies?

____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

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Gaps???In what you think and what others think____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

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Now – what do you do?

____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

____________________________________

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1) Focus on each Gap

2) Think about how you would like to act

3) Focus on behavior changes!!!

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DRILL DOWN TO BEHAVIORS!!!

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YOU CANNOT BE BETTER UNLESS YOU CHANGE BEHAVIORS!!!

Wanting is not doing.Good intent is not good enoughChange your behavior

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Common Problems

1) Thinking of your response while someone is talking

2) Interrupting people who are talking

3) Being defensive

4) Being afraid of hurting people’s feelings by being honest

5) Dismissing the importance of dailyself-reflection

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Common Problems

6) Not understanding your learning loop is a

Daily

&

Lifetime Process

7) Laziness

8) Letting your mistakes overwhelm you

9) Being afraid to admit your mistakes and say “I’m sorry.”

10) Arrogance

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BEING A LEADERIS A

JOURNEY

YOU Can Always Be Better!

139

My Leader Learning Plan

I want to work on the following 3 behaviors:

1) _____________________________

2) _____________________________

3) _____________________________

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Behavior #1:

________________________

Now what specific behaviors do I want to change – What will I do differently?

1)_____________________________

2)_____________________________

3)_____________________________

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Now, for each behavior:

Sit, close your eyes, and visualize doing the new behavior with 3 different people.

“Mental Rehearsal”

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Behavior #2:

________________________

Behavior Changes:

1)_____________________________

2)_____________________________

3)_____________________________

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Behavior #3:

________________________

Behavior Changes:

1)_____________________________

2)_____________________________

3)_____________________________

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What is the opposite ofMental Rehearsal?

145

Mental Replay

What is it?

How do you do it?

146

First, Break All The Rules

by Buckingham & Coffman, ISBN 0-684-85286-1

147

Questions?

The key now is to figure out how yesterday’s focus on YOU -

Your attitude

Your behavior

Your values

Your EI

148

Relates to Best Practices of Managing

Yesterday

Inside of You

Today

Outside of You

What do great managers actually do!

149

Gallup Leadership did interviews with over 80,000 high performance managers

(all levels) over 25 years of research

150

Gallup found out the same conclusions that the Primal Leadership Team

at Case Western discovered

151

That is:

Leader $ employee customersatisfaction satisfaction

152

p21

“In their book, The Service Profit Chain, James Heskett, W. Earl Sussa, and Leonard Schlessiger make the case that no matter what your business, the only way to generate enduring profits is to begin by building the kind of environment that attracts, focuses on, and keeps talented employees.”

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p16

“Michael: A manager has got to remember that he is on stage every day. His people are watching him. Everything he does, everything he says, and the way he says it, send off clues to his employees. These clues affect performance. So never forget you are on stage.”

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What do employees want from you??

What is important to them?

Pay? Benefits? More money?

No, No, No

155

What is important to employees?

1) Do I know what is expected of me?

2) Do I have the materials and equipment to do the job?

156

3) At work, do I have the opportunity to do what I do best?

4) Does my boss care about me as a person?

157

5) Does my boss encourage my development?

6) Do my opinions count?

158

7) Does the mission/purpose of my company make me feel my job is important?

8) Am I graded and given feedback and the opportunity to learn and grow?

159

Does he or she – do YOU:

1) Care about your people?

2) Encourage their development?

3) Listen and respect their input?

4) Make work meaningful?

5) Give feedback and opportunity to learn and grow?

BINGO!

160

The manager – direct supervisor – boss….

NOT Pay

NOT Benefits

NOT Perks

NOT a Charismatic Corporate Leader

…was the critical player

in determining performance.

161

Good managers retain good employees

Good managers receive high performance

Good managers make high profits

162

The focus of great managers:

1) Set consistent expectations for all your people while treating each as an individual.

2) Make each person feel he is in a role that uses his talents while challenging him or her to grow.

3) You have to care about each person, praise each person, and if necessary, terminate a person you have cared about and praised.

163

The Keys:

1) Treat each as an individual?How do you do that?

2) Know their strengths and help them grow.

How do you do that?

3) Care about each person. How do you do that?

164

This Leadership stuff is1-to-1 personal interaction

165

This Leadership stuff ispersonal involvement

166

Leadership is theactive, emotional

engagementwith people

167

Caring – Developing Others

1) How have I communicated or acted in a caring manner?

2) Do I have a personal development plan for each person?

3) Do I attempt to make people be like me?

168

Gallup Book Says:

1997 – 600 books published on Leadership and Management

Last 20 years – 9,000 systems, paradigms, principles of how to

manage

NO, NO, NO

169

Research shows it all comes down to how you relate to people.

1) Individualization

2) Caring

3) Managing their development

170

Gallup also found:

1) Great managers know each individual is different – each has their own way of thinking and relating.

2) Each individual has different motivation “buttons.”

171

Let’s stop and think about what you do!Grade yourself!

Individualization:

Do I know each of my direct reports as individuals?

172

Do I know what their goals, dreams, hopes are?

Do I know their strengths and weaknesses?

Do I know what is important to them?

173

Do I know their individual way of thinking and communicating?

Do I know their concerns, fears,etc?

Do I know where “they came from”?

174

Do I understand the meaning of “the right fit” for a person?

Do I focus on their strengths or their weaknesses?

Do I tell them how to do the job? Or, do I tell them the expected results?

Do I understand why he or she gets out of bed each morning?

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Great Managers

1) Focus on each person’s strengths and manage around weaknesses

2) Don’t try to fix weaknesses

3) Help each person cultivate his or her talent

4) Help each person become more of who he or she already is

5) Manage by exception

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Great Managers

6) Measure the right things

7) Reward what you measure

8) Accountability – Feedback – Opportunity to Improve

9) Create heroes at every level; Not everyone can move up.

177

People open up and talk

IF

And

ONLY IF

They believe you have their best interests at heart

178

IF

And

ONLY IF

They trust you

How do you get people to open up?

179

Talk about your goals, hopes, and dreams.

Sidney Jourard

The Transparent Self

Open up and be honest yourself.

Talk about why this work/job is meaningful to you.

180

Apologize when you are wrong and hurt someone.

Be human – admit mistakes – be authentic.

181

It’s okay to say, “I don’t know but I will get you the answer.”

Do not be defensive.

Be sensitive, caring.

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Tell them what you value -

Honesty

Integrity

The Truth

110% Effort

Diversity of Opinion

183

Managing and Leading

Is about People

Their Hopes

Their Dreams

Their Fears

Meaning -

184

W.C.H. Prentice: HBR Jan 04, p104

When the leader succeeds, it will be because he has learned 2 basic lessons:

1) People are complex

2) People are different

Leaders must respond to and create intrinsic interests in work.

185

Enjoy Your Journey!

Godspeed!

Leader $ employee customersatisfaction satisfaction