TableofContentsCover

PraiseforTheTrustworthyLeader

Titlepage

Copyrightpage

DEDICATION

PREFACE

CHAPTERONE:THETRUSTWORTHYLEADERWHATITMEANSTOBETRUSTWORTHYWHATISTRUST?THEMYTHOFTHESUCCESSFULLEADERTHEVIRTUOUSCIRCLEWHATTHETRUSTWORTHYLEADERLOOKSLIKEWHATNEXT:HOWTOUSETHISBOOK

CHAPTERTWO:THEHONOROFLEADERSHIPHUMILITYRECIPROCITYPOSITIONAWARENESSCONTINUINGTHECIRCLE

CHAPTERTHREE:INCLUSIONGENUINEBELIEFINTHEVALUEOFOTHERS

ACTIVELYSEEKINGOTHERS’IDEASSHARINGTHEBENEFITSCONTINUINGTHECIRCLE

CHAPTERFOUR:VALUINGFOLLOWERSHIPCHOICEACCOMPANIMENTCONNECTIONNOTCONVENTIONALWISDOMCONTINUINGTHECIRCLE

CHAPTERFIVE:SHARINGINFORMATIONPROMOTINGUNDERSTANDINGENHANCINGPARTICIPATIONEXTENDINGINFLUENCECONTINUINGTHECIRCLE

CHAPTERSIX:DEVELOPINGOTHERSCREATINGFULLLIVESPURSUINGMANYACCOMPLISHMENTSPROVIDINGAPATHTOFOLLOWCONTINUINGTHECIRCLE

CHAPTERSEVEN:UNCERTAINTYANDOPPORTUNITY

MAYOCLINIC:ADDRESSINGRISKROBERTW.BAIRD&CO.:UNCOVERINGANDDEVELOPINGKNOWLEDGEW.L.GORE&ASSOCIATES:APPLYINGWISDOMCONTINUINGTHECIRCLE

CHAPTEREIGHT:HOWITALLCOMESTOGETHER

THINGSWILLBEDIFFERENT...DAY-TO-DAYCONSISTENCYDOINGWHATFEELSRIGHTCREATINGYOUROWNVIRTUOUSCIRCLE

ACKNOWLEDGMENTS

ABOUTTHEAUTHOR

Index

PraiseforTheTrustworthyLeader

“AmyLyman shows that trust is not something that rare folks justhappen tocreate. Instead,her storiesof incrediblecorporate leaders showhow their corecommitments run deep and their practices build powerful trust, which in turngeneratesconsistentlyexceptionalresults.Lymanoffersnothingshortofapathtogreatness.”—DanielMulhern, Distinguished Practitioner of Business, Haas School of

Business,UniversityofCalifornia,Berkeley“AmyLymanhasawealthof experienceanddata to showushow tocreate

andmaintaintrustworthyemployeerelations,whichbenefitsbothemployeesandthefirm’sbottomline.Anenlighteningread!”—Doug Kruse, professor, Rutgers University School of Management and

LaborRelations“Amy Lyman gets it! She understands that trust is the heart of creating a

successfulorganizationandstrongrelationships.Needhelpbeingthebestleaderyoucanbe?Startworkingonthefoundation—trust.”—Elizabeth R. James, vice chairman, CPO, and CIO (retired), Synovus

FinancialCorp.“WanttoknowthelessonsofleaderswhosecompaniesmaketheFORTUNE

100BestCompaniestoWorkForlist?LetAmyLymanincludeyouinherhighlyreadable conversation about their ideas, their companies, their aspirations, andtheirchallenges.Theseleadersareseriousaboutleadinggreatorganizations,andthisbookbrilliantlytellstheirstories.Whatawonderfullylearnedbook!”—JosephR.Blasi,J.RobertBeysterProfessor,RutgersUniversitySchoolof

ManagementandLaborRelations

Copyright©2012byTheGreatPlacetoWork®Institute,Inc.Allrightsreserved.

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Includesbibliographicalreferencesandindex.ISBN978-0-470-59628-9(cloth);ISBN978-1-118-15765-7(ebk);ISBN978-1-

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grow,andalwaysforthetrustweshare.

PREFACE

I have long been fascinated with leadership and the qualities that distinguishexcellentleadersfromthosewhotry,yetdon’tquitereachthoseheights.Ihaveworkedfora fewgreat leaders—peoplewho inspiredandchallengedeveryoneto domore, to try harder, to use our brains and talents. I’ve also worked forleaderswhodidnotmeasureup.AlthoughI’dhadbothsuccessfulandnot-so-successfulexamplesofleadership

on which to reflect, when it was my turn to be in a leadership position, Iexperiencedtheroleofleaderfromyetanewperspective.Likemanypeople,IbroughtpersonalstrengthswithmeyetIdidnotseemyselfasanaturalleader.NordidIhave the inclinationorperseverance todevelop intoagreatone.Myattentionwasalwaysmoredrawn to researching thepracticesofother leaders,observing and assessing people’s responses, analyzing employee survey andfocus group data, and sharing my findings. My time in leadership positionsbecame invaluable tomy research efforts, asmypersonal experience affirmedformemanyofthechallengesleadersface.Italsogavemenewinsightsintotheskills,talents,andcommitmentsofgreatleaders.Overtheyears,Ihaveworkedwithmanypeoplewhohavewantedtobecome

successful,TrustworthyLeaders. Ihave learned that thosepeoplewhosucceeddo so because their talents, ability, willingness to learn, and desire to leadpropels them to success. I’ve also learned that the most successful leadersexemplifyaconsistentintegritybetweentheiractionsandtheirwords.Aleaderwho simplymouths the words yet shows no ability to put them into practicecreatesademoralizedordisenchantedworkforce.TrustworthyLeaderscommitthemselvestoliveuptothehighestaspirationsfoundintheirwords.Althoughthereismoretoleadershipthanthis,thecentralconceptofintegrity

betweenactions andwordsdrives the successof theTrustworthyLeaders I’vestudied.Buthowandaroundwhatcontent?Whatis it that issosingularaboutthese leaders that causes people to choose to follow them? I committed touncovering the qualities and characteristics of great leaders. I wanted tounderstand and document their experiences and discover exactly what makesthemsospecial.Ididthistosatisfymyowncuriosityandsothatyoucouldlearnfromthesegreatleadersaswell.Andthat’showthisbookwasborn.I first beganmy extensive research onwhy great leaders are able to create

positiveoutcomesforthemselvesandtheirorganizations—andonwhatexactlytheydowell—bydiggingdeepintotheleadershipliterature.WhatIfoundisamixedbag.Manybooksandstudiesfocusonhowleadershipactionsleadtotheend result of highprofits or high status,without uncovering the foundationofleadershipthatcontributestoanorganization’sabilitytobepositive,profitable,andsuccessful.Althoughareasonable levelofprofits isabsolutelyessential tothe successful functioning of any organization, leaders do not “lead” money;they lead people. And it is through great people leadership that organizationssucceedandbecomegreatthemselves.In a good portion of the leadership literature, great people leadership is not

acknowledged as the key to success. Yet there is some research that speakspoignantly to this heart of leadership. These studies and reports identify theuniquequalitiesandcharacteristicsofpeoplewhoareseenasgreatleaders,tyingthosequalitiesbacktotheoutcomesessentialtoorganizationalsuccess.Itisthismaterial that provided support formy deepening understanding of the role oftrustinleadershipsuccess.Themost significant influence onmyunderstanding of leadership, however,

didnotcomefromreadingbooksandarticles,nordiditcomethroughmyownprofessionalexperienceswithleadership.Rather,mystrongviewsonleadershiphavecomefromthemorethantwentyyearsI’vespentworkingwithpeopleingreatcompaniesthroughmyworkattheGreatPlacetoWorkInstitute,whichIcofoundedin1991andwhichtodaycontinuestohelpcompaniestransformtheirworkplaceculture.The Institute is best known for its role in researching and selecting the 100

Best Companies that appear each year in Fortune magazine. A group ofinternational affiliates also produces similar lists for their markets. TheInstitute’sfirstwork,beforethelistscameoutinFortune,beganwithconsultingand educational services. People wanted to know how to create greatworkplaces,andtheycametotheInstitutetofindout.AndthisiswhereIspentmuchofmytime.Our Trust Index—the survey that we designed during the early days of the

Institute to measure the quality of relationships between employees and theirleadersandmanagers—hasprovidedmewithanabundanceofdata.In2011intheUnitedStatesalone,wereceived40,000responses to theTrust Index fromemployees incompanies thatmadeitonto theFortune100BestCompanies toWorkForlist.Closeto100,000responsescameinfromemployeesincompaniesthat applied to the list but didn’t make it. And over 40,000more came from

employeesincompaniesthatmadeitontotheInstitute’sBestSmall&MediumCompaniestoWorkForlist.Ihavesufferedfromnodatashortageovertheyearsof my consulting and research work, and I was able to call on this richinformationwhilewritingthisbook.In addition to analyzing these Trust Index survey results, I also reviewed

hundreds of “CultureAudits” formy research.When companies apply for the100 Best Companies list, they answer a series of closed and open-endedquestionsabouttheorganization’sdemographics,structure,benefits,andguidingphilosophy and values. This information makes up the Culture Audit. I havebeenstudyingboththeTrustIndexandCultureAuditdataforyears,lookingatsurvey response patterns, reading employee comments, examining shifts andlong-standingtrends,lookingforthestoryallofthisinformationhastotell.Specifically for this book, I conducted a series of interviewswith leaders at

many of the companies that have earned a spot on one of the Institute’sBestCompanies lists. Although I am a strong believer in the power of combiningquantitativeandqualitativedatatotellastory,inthisbookI’veavoidedalmostcompletely the numbers, charts, and graphs I often use in my articles andpresentations.Thoughquantitativedata is incrediblyvaluable,andyouneed toknowthenumberstosupportplanning,forecasting,andtracking,numbersalonewillnotmoveyourorganization forward.Currently leadersare inundatedwithtoo many numbers and receive too little support for their own personaldevelopment of the leadership qualities that will actually help them to lead.Whatweneednowaremoreoverarchingtheories—basedinsolidresearchandbackedupwithrealstoriestoofferguidance—andmoreanalysisoftheactionsthatwork.That’swhatIprovideinTheTrustworthyLeader.The interviews I conducted with leaders across industries allowed me to

exploreindetailanumberofrecurringthemesaboutleadership.TheyprovidedmewiththeheartofwhatIsharewithyouintherestofthisbook.ThetopicsIdiscussed with the interviewees included the challenges faced by leaders andhoweachleader’sperspectiveguidedtheirdecisionmakingatcriticaltimes.Theleaders’ stories echoed the themes that I heard twenty years ago when I firststarted talking with people about their experiences in great workplaces. Backthen, as now, leaders talked about the importance of trust, of acknowledgingpeople, of being supported and supporting others, of seeing people as humanbeingsfirstandemployeessecond—ofbeingtrustworthy.Puttingtheseinterviewstogetherwithdecadesofexperienceandobservation,I

amabletostateclearlywhatitisaboutTrustworthyLeadersthatsetsthemapart

and makes them so successful. In The Trustworthy Leader, I share thisknowledgewith you, so thatmore andmore of youwill becomeTrustworthyLeadersandmakeadifferenceinworkplacesallaroundtheworld.

AmyLyman

SanFrancisco,California

October2011

CHAPTERONE

THETRUSTWORTHYLEADER

Someofthemorepoignantmomentsinmyconsultingcareerhavecomeduringdiscussionswith leadersandtheir“people”person(oftenarepresentativefromHumanResources)astheyseekhelpmotivatingemployeestotakeonthenextchallenge. The difficult part of these discussions comes when leaders askmehowtofittimeforpeopleissuesintotheirbusyschedules.TheythenawaitthegoldenanswertheyhopeIcanprovidethatwillhelpthemtoconvincestaffthattheycare.One particularly memorable discussion took place after I had surveyed the

employeesatalargeinsurancecompanyabouttheirworkplaceexperience.TheCEO,vicepresidentofHumanResources, and Iweremeetingbrieflyprior tomypresentationofthesurveyresultstotheentireseniormanagementteam.TheVPofHR,sittingtomyright, leanedintotheconversationandaskedmewhattheCEO,onmyleft—averybusyman—coulddo ifhehadonlyfiveminuteseachdaytodevotetopeopleissues.I was a bit stunned by the question. Fiveminutes is barely enough time to

greetasingleemployeeandaskhimhowhe’sdoing,letaloneshowsupportforpeople’sgrowthanddevelopment,conveyyourvisionasa leader,andprovidepeople with a sense of direction. And this company had over ten thousandemployees!IturnedtotheCEOonmyleftandaddressedhimdirectly.“Leadingisafull-

timejob,”Isaid.“Ifyouwanttobesuccessfulasaleader,youneedtodevoteallofyourtimetopeopleissues.Strategy,productdevelopment,customerservice,innovation—they all depend on people. Five minutes a day—or even fiveminutesanhour—isthewrongapproach.”Initiallytakenabackbymydirectness,theCEOwasnowpayingattention.He

alsoheardinmyresponsetheresolutiontoadilemmaheexperienced.Hesaidhewasnot comfortable switchingonhis usual care and concern for people atcertain timesand then switching it offwhenheconsidered strategicdecisions,businesspartnerships,financialopportunities,ormarketingproposals.Yetallofhismanagementtraining,andmanyofhispeers,hadencouragedhimtodojust

that—respondtopeopleissueswhenasked,yetfocushisintellectualtalentsonthemechanicsofthespecifictasksinfrontofhim.Iremindedhimthatpeoplewereintegraltohisabilitytobesuccessfulinevery

singlearenawithinhisorganizationandthatifhedidnotincludeconsiderationof people in every aspect of his work, then he was doing himself and theorganizationagreatdisservice.Hepausedforamoment,mullingthisoverbeforeresponding.WhatIhadsaid

madesense,yetnoonehadeversaiditsodirectly.Heunderstoodhimselfandhisroleasaleaderwellenoughtoknowthatclarityandconsistencyinactionsand words is important for successful leadership. He had also previewed theemployeesurveyreportandknewthatpeoplehadraisedconcernsaboutactionstheyfeltwereinconsistentwithhisstatedgoalofcreatingagreatworkplace.Thequestionnowwaswhattodoaboutit.Theanswerwasbothsimpleandcomplex:thisleaderneededtofocusonbeing

trustworthy.

WHATITMEANSTOBETRUSTWORTHYForthepasttwentyyearsIhavelistenedtopeopletalkabouttheimportanceoftrustintheirworkplacerelationshipsandofthedevastatingeffectsofitsabsenceonproductivity,jobsatisfaction,andcommitment.In1991,IcofoundedtheGreatPlacetoWorkInstitute,bestknownforitsrole

inresearchingandselectingthe“100BestCompaniestoWorkFor”featurethatappearseachyearinFortunemagazine.PriortothelistsinFortune,theInstitutewasknown for itsworkpromoting theconcept thatgreatworkplacescouldbecreatedbyfocusingon thedevelopmentof trustbetweenleaders/managersandemployees.Abookaboutthe100BestCompanieswaspublishedin1984,1andinitial financial analysis comparing the performance of theBestCompanies totheir industry peers showed strong evidence that the 100 Best were betterfinancialperformersaswellasbetterworkplaces.Arelatedbook,AGreatPlacetoWork,publishedin1988,2laidouttheanalyticalframeworkforcreatinggreatworkplaces. It is from this book that the initial ideas for the Institute weredeveloped.Peoplebeganpayingattentiontothepossibilityofcreatinggreatworkplaces,

and the Institute’s work had a ready audience. I spent much of my timedeveloping theconsultingandadvisingservices thathelped leadersunderstand

whytrustissoimportanttoorganizationsuccess,andalsohowtheythemselvescouldbecomemore trustworthy.Leaders saw that they couldbecome strongerleadersbybeingtrustworthyandcouldalsoincreasethelikelihoodofsuccessfortheirorganizations.DuringtheearlyyearsattheInstitute,mycolleaguesandIdevelopedandused

anemployeesurveyasourprimarydatasource—atooldesignedtoascertainthequalityofrelationshipsbetweenemployeesandtheirleadersandmanagers.Thatsurvey,nowcalledtheTrustIndex,isusedaroundtheworldbytheGreatPlacetoWorkInstituteandinternationalaffiliatesthatproduceBestCompanylistsfortheir markets. To develop and refine the survey, we used the first-personemployeeinterviewsconductedfortheoriginal100BestCompaniestoWorkForbookandtheresearchforAGreatPlacetoWork.WehadtheluxuryoftimetodeveloptheTrustIndex,sowewereabletostudy

the interview transcripts ingreatdetail.Wenoted that threeelements cameupagainandagaininthewordsofemployeeswhentheydescribedwhytheytrustedtheirmanagersandleaders:credibility,respect,andfairness.Therefore,ourfirstgoal in developing the survey tool was to accurately capture employees’perceptions of the credibility of their leaders, the respectwithwhich they felttreated,andtheirexperienceofthefairnessofworkplacepoliciesandpractices.To this day, when asked why their workplace is great, employees who havenever seen a description of the Great Place to Work model or heard theInstitute’sdefinitionofagreatworkplace—onewhere“youtrustthepeopleyouwork for, have pride inwhat youdo, and enjoy the people youworkwith”—speakofthepoweroftrust.Andwhenemployeesareaskedtotellstoriesabouthow they experience trust, as they reflect on the behavior of their leaders, thewordscredible,respectful,andfaircomeupallthetime.

WHATISTRUST?We use the word trust to explain a bond that is created between and amongpeople. Trust is an emotional and a cerebral connection, characterized by anability to rely on someone to act inways thatwill be of benefit to one’s ownhealth and well-being. Trust often comes into play during challenging times,when stress,miscommunication, or poorly conceived actions place a strain onpeople’s bonds. Trust is what helps people to have faith that they can workthrough the challenges and arrive at a positive outcome. Trust-basedrelationshipsarealsodeeplyenjoyable,astheybringcomfortandstability,with

theexperienceoftrustprovidingsupporttotherelationshipandcontributingtoanindividual’ssenseofsecurityandbelonging.Trust develops through interaction. An interaction can be a conversation

betweentwopeople,alookthatpassesbetweenafatherandchild,orcollectivehardworkamongagroupofpeoplerebuildingahome.Theseactionsconveyawillingness on the part of one person to do something that is of benefit toanother’shealthandwell-being.Themore theactionsare repeated, thedeeperthe connection developed, and the greater the likelihood of a long-term trustrelationship.Intheworkplace,trustcaninfuseeveryelementofaleader’sactions.Evenifa

leader isn’t obviously engaging in a trust-building action—if, say, she’s justgoingdownthehallwaytorefillhercoffeecup—herinteractionswiththoseshepassesenroutereflectonhertrustworthiness.Doesshemakeeyecontact?Sayanything?Howdothepeoplesheacknowledgesrespond?Withasharpfocusonthe details, even aminor coffee break can be seen as fertile ground for trust-building.Andasharp focus isexactlywhathasbeenusedat theGreatPlace toWork

Institute to study people’s experience of trust in the workplace. Actions thatbuildtrustaffirmaperson’scredibility,conveyrespecttoothers,andembodyaspiritoffairnessintheirimplementation.Everyoneiscapableofactinginwaysthat will lead to the creation of trust. Everyone. When we act in ways thatconvey our credibility, show respect to others, and affirm a commitment tofairness,weareshowingothersthatwearetrustworthy.As commonsensical as all of this seems, there are still many leaders who

struggletodeveloptrust-basedrelationshipswiththeiremployees.Why?

THEMYTHOFTHESUCCESSFULLEADER

Formanyyearsastereotypednotionhas reignedof thesuccessful leader.Thisleader is portrayed as all-knowing, a bit greedy, a tough decisionmaker, andconsumedwithwork.Thesearenotgenerallythecharacteristicsyou’dwantinafriend, yet these qualities have often been cited—and exaggerated—asprerequisites for business success. In this definition of the successful leader,“success”isequatedwithmakingconsiderablesumsofmoney—foroneselfand,ideally, for the company—and often living with the trappings of conspicuous

consumptionandexcessivedisplay.Peoplewhofollowthisleadershipmodelareactuallylesssuccessfulintheeyesoftheiremployees,whoseethegreatdistancebetweenthemselvesandthepersonleadingtheenterpriseandoftenfeelthattheleader’sexcessescomeattheirexpense.Thismythicalleaderisalsolesslikelytocreateanorganizationthatwillbesuccessfulinthemarketplace.If the only goal of a business leader is to create a financially successful

company, then he or she will want to be a Trustworthy Leader. AlthoughTrustworthy Leaders do not choose to be trustworthy for the sole purpose ofmaking more money, it is one of the notable benefits of building trust. Myresearchandthatofothersconfirmsthis.From1998through2011,thepubliclytraded100BestCompanies, as a group andover time, have outperformed theRussell3000andS&P500,postingannualized returnsof11.06percentversus4.26 percent and 3.83 percent, respectively.3 The primary factor that gets acompany to be selected for the 100 Best Companies list is the level of trustbetweenemployeesandmanagement.Asyou’llseeagainandagainthroughoutthis book, Trustworthy Leaders lead fiscally sound companies, weathereconomicstormswhile theircontemporaries struggle,attractandkeep thebesttalent,andencouragehighlevelsofinnovationandproblemsolving.TrustworthyLeadersaresosuccessfulbecausetheydoseebeyondthegoalof

dollar signs. They understand the complexity of bringing together a group ofhuman beings to pursue extraordinary accomplishments. They are masters atguiding,directing,encouraging,andchallengingpeopletocontributetheirbest,inpartbecausetheyaskthesameofthemselves.TrustworthyLeadersknowthattheir relationships with others throughout the organization are key to theirsuccess—howeversuccessismeasured.Trustworthy Leaders are also independent-minded enough to think for

themselves and not just follow the pack. They choose to create their ownleadership style andapproach—one that is inclusive and respectful rather thanonethatisselfishandmercenary.Attheircore,TrustworthyLeadersbelieveinthe inherent value and dignity of people—all people—a belief that influencestheir choices and guides their actions.Most importantly, they understand thatgreat leadership isawayofbeing,not something thatcanbeswitchedonandoff.Thisnewmodel that Iwasdevelopingof theTrustworthyLeader—from the

five-minutepeopleperson,throughmydeepunderstandingofthepoweroftrust,to a challenge to the popular myth of leadership success—called for a

compellingframework.AsIconsideredwhatIwaslearning,IkeptgoingbacktothetranscriptsofmyconversationswithTrustworthyLeaders.Ilookedforthepatternintheirexperiences, thekeymomentswhentheyunderstoodthepoweroftrust.Ipushedmyselftounderstandwhathadhappenedtothemthatsetthemonthepathtobeingtrustworthy.Thepatternthatemerged,illustratingthesharedpath of leaders who are widely considered trustworthy, is one in whichaspirationsarehigh,consequencesareacknowledged,responsibilityisaccepted,and leadersmove forward. I call this path theVirtuousCircle of TrustworthyLeadership.

THEVIRTUOUSCIRCLEUsuallywethinkofapathasastraight linefromonepoint toanother.Yetformostofus,ourgrowthanddevelopmentnevermovesforwardinastraightline.Thereare always shifts andchanges, timeswhen things seem to speedupandothertimeswhenwefeelstuck.Therearelessonswecirclebacktoevenaswemove forward. The Trustworthy Leader’s path is similar, always movingforward,yet—asinourownlives—eachstepthatleadstothenextisconnectedtothepreviousoneaswell,creatingacircularpathofgrowthandlearning.Andas we complete one circle with some new experience, something to put intopractice, we begin again, only stronger. The next round through the VirtuousCircle both reinforces and strengthens the lessons learned from the previousround.TherearesixdistinctelementsinaTrustworthyLeader’sVirtuousCirclethat

combinetobothcreateandreflecthisorhertrustworthiness:HonorInclusionValueandengagefollowersSharinginformationDevelopingothersMovementthroughuncertaintytopursueopportunities

Eachoftheseelementsbothinfluenceshowaleaderactsandreflectshowthatpersonthinksaboutbeingaleader.Thinkingaboutwhatyouaredoingandtheimpacts thatyouractionshaveonothers isasingularrequirementofeffective,TrustworthyLeadership.Thehonor felt by Trustworthy Leaders is continuous and greatly influences

theiractions.Manyofusfeelhonoredwhenwereceiveanawardorrecognitionforaspecialaccomplishmentoracontributionwe’vemadetothegoodofothers.TrustworthyLeadersextendthissenseofbeinghonoredtotheirrolesasleaders,expressing gratitude for being asked to lead and acknowledging theresponsibilitythatcomeswithit.The inclusion of all people in an organization’s community is a hallmark of

Trustworthy Leadership. A leader’s active involvement in promoting theinclusion of every person into the larger community of the organization iscritical. One of the most important ways that leaders accomplish this is bybuilding bridges of trust that extend beyond the boundaries of individualdepartments or divisions. This is of great benefit to the enterprise that wantspeopleacrosstheentireorganizationtoworkwelltogether.The ability to value and actively engage followers is a further sign of

leadership excellence. Great, Trustworthy Leaders engage those who arefollowing them by paying attention to them and learning from them. Theyacknowledgepeople’schoicetofollow,seektosupporttheircontributions,andconnect with them as people beyond their work roles. They celebrate theleadershipoffollowerswhomaytakeonspecificprojectsorcreateneweffortsthat openmarkets or improve existing products and services. Evidence that aleaderistrustworthywillcomefromhisorherfollowers.Trustworthy Leaders openly share information with people to help them

participateinandinfluencethelifeoftheorganization.Theyinvitepeopleintodiscussions thatwill support the expansion of the organization’s products andservices.Theseleadersknowthatemployees’contributionswillbemagnifiedtothedegreethattheyhaveaccesstousefulinformation.A leaderwho is focused ondevelopingotherswill help employees to learn,

grow, and discover their talents. In great organizations with strong trustedleaders,careerandprofessionaldevelopmentprogramsreachbroadlyanddeeplythroughout the organization, providing everyone with a path to travel.Developing people is part of the perspective of Trustworthy Leaders becausetheythinkaboutothersmorethantheythinkaboutthemselves.Finally,thesuccessofanyorganizationisdependentontheleader’sabilityto

movethroughuncertaintyandfindopportunities.Theskillfulweighingofrisksandrewardsattachedtotheopportunitiesavailableisoneofthemostimportantactionsthatleaderscantakeon.Whenemployeesseetheirleaderactwithhonor,feelincluded,choosetofollow,haveaccesstoinformationtheycanuse,andaresupportedintheirdevelopment,theywillsupporttheleader’seffortstotrynovel

approachesandfindthebestwayforward.Theywilldothisfromaplacethatisdeeply embedded in their ownvalues and the values of the organization.Thisprovides Trustworthy Leaders with an incomparable advantage in themarketplace.GiventhattheseelementsoftheVirtuousCirclearekeytounderstandingthe

Trustworthy Leader, we explore all of them in more detail in the followingchapters.

WHATTHETRUSTWORTHYLEADERLOOKSLIKE

Youmight be surprised to learnwhoTrustworthy Leaders are, andwhat theylook like—and not because of any unexpected resumé trait, but because theirresumésareall sodifferent.Theycome fromvariedbackgroundsandwork incompletelydisparate industries.Manyhavethebusinesspedigreeyou’dexpectfrom a CEO, while others have worked their way up from positions such assecurity guard, part-time support staff, cashier, or stocking clerk. Still othershave left jobs from far afield in order to take leadership positions in greatorganizations.Forexample,SallyJewell,thepresidentandCEOofRecreationalEquipment,

Inc.(REI)—whichhasmadetheGreatPlacetoWorkInstitute’slistof100BestCompanies each year since the list’s inception—is known for heraccomplishments,whichfit thetypicalprofileofacorporate leader.YetJewellcompletely shatters the profilewhen you consider her approach to leadership.Jewellissmart,assertive,andabolddecisionmaker.Sheiscapableofholdingdetaileddiscussionsnotonlyaboutfinance,retailmarketing,andmerchandising—whichyouwouldexpect—butalsoaboutoilandgasengineeringandbanking,twoindustrieswithwhichshewaspreviouslyassociated.WhatsetsJewellapart,though, is her compassion, ability to listen, her attention to the lives of allemployees,herdeepunderstandingoftheworkingsofhumanbeingsaloneandingroups—and,mostimportantly,heruseofallofthisknowledgeinherroleasCEO.Toputitsimply,shebringsherhumanitytotheworkplaceeveryday.“TherearesomenonnegotiablesthatI’vealwaysfollowed,”shesaysofbeing

a Trustworthy Leader, a designation given to her by her colleagues. “Greetpeopleauthenticallyandsayhello.Createasenseofsafetyforyourselfandyourteammembers so that all canwork for the commongood and shared success.

Listenasanally.Listen, listen, listen,andengage.”Shegoeson tosay,“Iamnaturally comfortable sayinghello to everybody Imeet. Imake apoint of notmissing eye contact, and in some way, as long as it doesn’t feel forced, toacknowledgethatsomebody’sthere.WhetherornotIknowtheirname,Iamnotgoingtowalkbyasiftheydon’texist.”InJewell’scase,greeting thoseshepassesbycomesnaturally.But itdoesn’t

comenaturally to everyone. In fact,manyqualitiesofTrustworthyLeadershipmaynotcomenaturallytoyou,butthatdoesn’tmeanthey’reoutofyourreach.“Severalofmycolleaguesjustdonotseeotherpeople,”saysJewell.“Theyareveryfocusedandtargetedonthepeopletheyaretalkingwith[andthuscanwalkby other peoplewithout acknowledging them]. This can come across as aloofanddismissive.Whenthathappens,Iletthemknow,‘Itisnotoptionalforyoutonotsayhellotothepeopleyouwalkby.Iknowitdoesnotcomenaturally,butyoureallyneedtopractice.’”BeingvisibleandaccessibleandacknowledgingemployeesisvitaltoJewell’s

viewofeffectiveleadership.Sheputsasmuchemphasisonthedevelopmentofaleader’s openness and ability to connect with others as she does on themoretraditional leadership skills of public speaking, operations management, orcreating new product strategies. If one of the skills Jewell believes to benonnegotiable isn’t present, she’ll work with the individuals to help themdevelop it.Honor, inclusion, and developing others are all embedded in thissmallsliceofJewell’svision.LikeJewell,DanWarmenhovenhasacareerprofilethatlooks,onthesurface,

muchlikethatofaprototypicalCEO.Heisambitiousanddrivenandhasservedin many significant leadership roles. Warmenhoven is now chairman of theboardofdirectorsatNetApp(the#1BestCompanytoWorkForin2009,and#5in2011).HewasNetApp’sCEOfrom2005to2009,andbefore thatspent tenyearsasthecompany’spresident.Duringhistenure,hesteeredNetAppalonganaggressive course to becomeone of the leading storage and datamanagementcompanies in the world. Aside from his traditional business experiences andsuccesses,Warmenhoven describes his Jesuit education—inwhich, alongwithstandard coursework, hewas taught the value of service to others—as havinghadaconsiderableimpactonhisleadershipstyle.WhenWarmenhovenfirst joinedNetApp, itwasasmallercompanywith the

promise of a great idea—an idea in need of leadership.He took the companypublic in1995,andover thenext fifteenyearshehelped tocreateacultureofopenness that fueled innovation and creativity as well as intense employee

loyalty to the organization’s mission. At the time of this book’s publication,NetApp isclosing inon$4billionofworldwiderevenue; ithas roughly5,500employees in theUnited States andmore around theworld.Andmany,manypeoplewanttoworkthere.Atanall-companymeetingIattendedin2007,Warmenhovenspokeaboutthe

challengesthecompanywasfacing.Hebeganbyspeakingbroadlyaboutwhathewasgoingtoshare—informationaboutthecompany’sfinancialperformance,strategicinitiatives,andcompetitiveposition—andthenproceededtoemphasizetheimportanceoftrust.Heremindedpeoplethatsharinginformationwaskeytoensuring that all the people in the company were well-informed and able tocontribute their best to their shared success.He talked about the valuable andconfidentialnatureoftheinformationhewasabouttoshare,andtheimportanceof everyone trusting each other and knowing that people would keep thisinformation in-house. He specifically noted that the sharing of this type ofinformationwas a sign of the confidence thatNetApp’s leaders had in all theemployees,oftheirimportancetotheenterprise,andofthefaiththatleadershadinemployees’abilitytousetheinformationwisely.Andthenheshared,callingout people and departments and their roles. Honor, inclusion, sharinginformation,andbalancinguncertaintyandopportunityaretheVirtuousCirclequalitiesmostevidentinthisanecdoteaboutWarmenhoven.Jewell andWarmenhovenembodywhat aTrustworthyLeadercando. I also

want toshareastorythatdemonstrateshowaleader’smasteryof theVirtuousCircle can permeate an entire organization, making the whole enterprisestronger.GriffinHospital,acommunity-basedhospitalinDerby,Connecticut,hasbeen

recognized foryears as agreatworkplacewithahigh-trust culture.Aspartoftheireffortstoalwaysimprove,thehospitalconductsregularpatientsatisfactionsurveys. In 2008, a survey revealed that a number of patients felt discomfortwhen they had blood drawn. SoGriffin put plans in place to hire an externaltrainer to retrain all bedside staff in phlebotomy procedures. Griffin leaderssharedthistrainingplanwithstaffataregularweeklystaffmeeting.WhenTracyHuneke,anemergencyroomtechnician,heardthenews,sheraisedherhandandsaidthatshewasqualifiedtoteachphlebotomy.Theverynextday,HunekemetwithBarbStumpo,vicepresidentofPatient

CareServices,totalkabouthowshecouldleadthephlebotomytrainingeffortsatGriffin.AsStumpo describes it, TracyHunekewas a hidden gem; shewasdoinganexcellentjobintheemergencyroom,yetsheclearlyhadmuchmoreto

offer at Griffin. After Huneke’s initial meeting with Stumpo, she began todevelop curricular materials for training—and retraining—all bedside staff onphlebotomy procedures. Within one year, everyone had been retrained, andphlebotomy-relatedcomplaintsweredowntozero.YetHunekedidn’tstopthere.“She had a vision,” Stumpo said. “She wanted to open a school where we

couldoffercoursesonphlebotomyandalsobranchout intootheralliedhealthprofessions. We put together a business plan and contacted the State ofConnecticut.WewereauthorizedattheendofAugust2009throughtheStateofConnecticutDepartmentofHigherEducation,andshortlythereafterwebeganatwelve-week phlebotomy course open to the community. We have thirty-onestudentswhoareenrolledinboththedayandeveningprogram.”Hunekedescribesit:“Itookituponmyselftolaunchthisinitiativeandwent

forwardwithit.Iworkedontheplansforaboutayearandahalf,completedthestateapplication,andworkedtogeteverythingsignedandapproved.Icouldn’tbe happier [with the results]. We’re having fun, learning, and things are allcomingtogether.We’vereceivedfourgrantsforsomesimulationequipment[toexpandtheschool’sofferings],andIdon’tplanonstopping.It’sbeengreat.”This story demonstrates the real business benefits of the Virtuous Circle.

Hunekespokeup,herclinicaldirector listened, thedirectorhadeasyaccess tosenior leaders at Griffin (who practice open-door management), and the verynextdaytheprocessstartedmovingatwarpspeed.Hunekehadavisionofwaysinwhich she could contribute to the betterment ofGriffin and to patients, hercommunity, and her own future. Griffin’s culture of openness and support—madepossiblebyTrustworthyLeadership—createdanenvironmentinwhichshewascomfortableofferingbothhercurrentskillsandheraspirations.LeadersatGriffinhavealwaysencouragedprofessionaldevelopment,andthe

practiceofdevelopingothers is a strongpart of theirVirtuousCircle.WithoutTrustworthyLeadership,thesharingofinformationthatledtoHuneke’slearningabout the phlebotomy training would not have happened. Griffin’s strongcommitmenttothepracticeof inclusionhelpedHunekefeelcomfortableaboutspeakingupandvolunteeringtorunthetraining,andasuccessfulnewbusinessventure—beingmanaged by an up-and-comingTrustworthyLeader—is now areality.

WHATNEXT:HOWTOUSETHISBOOK

IfanyoftheexamplesoftrustworthybehaviorthatIsharewithyouinthepagesthatfollowseemoutofreach,restassuredthattheyarenot.Trust isbuiltovertime, not overnight, and it takes a deep understanding of yourself and yourvalues to develop successful trust-based relationships. As you come tounderstandtherootsoftrust,youwillfindthatyouhavearichsourceoflessonsandexperiencestolearnfrominyourownlife.In addition to identifying the actions and values that contribute to the

development of trust at a fundamental level, Iwant the stories in this book toinspireyou.Great leaderscomeinmanypackages.Theprofilesof leadersyouwillseeinthisbookaredesignedtoshowyouhowordinarypeoplehavebuiltextraordinary trust-based relationships throughout their work lives—and, as aresult, extraordinary companies. To this end, I share stories about how theseleaders came tounderstand thepowerof being trustworthy—what experiencesand insights guided them, how they deepened their understanding of humannature,andhowtheyhavebeenabletotakeactionindifferentways,largeandsmall, to create trust-based relationships. And I document how these leadersbelieve that being trustworthy contributes directly to the success of theirorganizations.ThroughthestoriesoftheseTrustworthyLeaders,Iwanttoshowyouapath.

This path involves taking your own unique experiences, plus your positivebeliefs about the inherent value of people, and combining them into acommitment to take action. Once you do, you will create strong, positiverelationships throughout your organization that will support success andachievementsatalevelnotpossiblewithoutthepresenceoftrust.

Notes

1.R.Levering,M.Moskowitz,andM.Katz,The100BestCompaniestoWorkforinAmerica(Reading,MA:Addison-Wesley,1984).2.R.Levering,AGreatPlacetoWork:WhatMakesSomeEmployersSoGood(andMostSoBad)(NewYork:RandomHouse,1988).3.RussellInvestmentGroup,Stock-MarketPerformanceofFortune“Best100CompaniestoWorkforinAmerica,”January2011,http://www.greatplacetowork.com/what_we_believe/graphs.php.

CHAPTERTWO

THEHONOROFLEADERSHIP

Inlate2001theUnitedStateswasgrippedinthemysteryandfearsurroundinganinhalationanthraxscarethathadsweptacrossthecountry.Itwasatimewhentensionswerealreadyhighandnervesfrayedbyanumberofsignificanteventsthathadoccurredpreviously.GriffinHospitalinDerby,Connecticut,caredforapatientwho laterdiedbecauseofexposure toanthrax.Following thisperson’sdeath, Griffin’s CEO, Patrick Charmel, informed employees of what washappening,defyingastronglywordedFBIrequestthathenotinformemployeesuntilafter theFBIhadspentmore timeinvestigating.ForCharmel,puttinghisemployees firstwas aweighty choice, though ultimately an easy one.He hadestablished trustwithhisemployees,he respected themand their lives,andhehadfaiththatifasked,theywouldnotrevealthesituationtooutsidersuntiltheall-clearsignalhadbeengiven.Charmelchose tohonorGriffin’s employeesby letting themknowwhathad

happenedtothepatient,andbylettingthemknowallthestepsthatthehospitalwas taking to ensure the safety of every employee. He acted honorably, withintegrity toward the organization’s values, and showed strong leadership byputting the needs and concerns of employees above those of high-rankinggovernmentofficials.Heistheleaderofagroupofpeoplewhotrusthim;heishonoredtoholdthatroleandhonoredbytheirtrustinhim.This story engenders strong reactions from people who hear it. Many have

wishedthattheirownleaderswouldstandupfortheminsuchawayandreactpositively.Yetthesamestoryevokesnervousreactionsfromotherswhowonderhowtheywouldhaveactediffacedwithasimilarsituation.Examplesofthesekinds of principled choices are presented throughout this chapter—indeed,throughoutthisbook.While leadership honor can show up in dramatic situations such as what

happenedatGriffin,itcanalsobeseeninpeople’sdailyactionsthatconveythehonor they find in fulfilling their immediate responsibilities. TrustworthyLeadersareproudoftheiraccomplishments,justlikemostofus.Yettheyspendmore time talking about others’ contributions to the success of their

organizations than about anything that they may have done personally. Theyboastabouttherecent“extraeffort”ofsomepersoninadepartmentordivisionfarfromtheirownoffice,andtheytellthesestorieswithgreatenthusiasm.Andbecause of someone else’s extra effort, they also give more themselves. Thisaspect of great leaders—their ability to talk glowingly and sincerely of theaccomplishmentsofothers—exemplifiesaqualityofTrustworthyLeadership Ihaveseenformanyyears:TrustworthyLeadersdon’t feelentitled tobewheretheyare;theyfeelhonored.Honor is theperfectstartingplaceforuncoveringwhatmakesaTrustworthy

Leader distinct.A leader’s sense of honor provides evidence of the quality ofrelationshipsthatheorshehaswithpeople.Inotherwords,thefeelingofbeinghonoredisareflectionoftheperceptionsofothers;itisnotsomethingthatyoucreateonyourown,thewayyoucancreateself-disciplineorfastidiousness,forexample.It’snotabouthowgoodaleaderisorthinkssheis;it’sabouthowgoodothersthinksheis.Beingaleaderinanorganizationinvolvesaspecificsetofacquiredskillsand

resources—includingknowledge,competence,andawillingnesstoact—thatareoften most visible when a decision needs to be made. The successfulimplementationofadecisionreliesonadifferentsetofskills—oftentacticalandstrategic. Both of these skill sets are frequently commented on by leadershipscholars and cited as the key to leadership success.Yet duringmy interviewswithTrustworthyLeaders,thedistinguishingfeatureoftheirleadershipwaslessaboutanyparticularskillset,andmoreaboutthesenseofhonortheybroughttothe position. For while many people can acquire useful leadership skills, farfewerseemtoactfromafoundationofhonorwhentheyusethoseskills.Duringmyinterviews,Iaskedleaderstodescribetomewhattheythoughthad

happenedtothem,whatexperiencesmadethemapersonofwhomotherswouldsay, “He’s great,” or “She’s trustworthy,” or “I feel respected by her.” Theirstories ledme tounderstand the first element in theVirtuousCircle—honor—andthequalitiesofhumility,reciprocity,andpositionawarenessthatmakeupaleader’ssenseofhonor.Humilitycanattimesbethoughtofasanunderstatedapproachtolife—beinga

bitself-deprecatingofone’scontributionstoaneventorgroup.Yetfortheleaderofadepartmentororganization,beingself-deprecatingcouldcomeoffasasignof weakness—not a quality that someone in a leadership position wants toexpress. So how do Trustworthy Leaders develop and express humility? Byrecognizingtheimportanceofothersandbeingofservicetothem.Humilityfor

a Trustworthy Leader means not letting the trappings of leadership create aswelledhead,orsenseofimportancebeyondtherole.Humilitycomesfromtherightful acknowledgment of one’s own importance to the organization, alongwiththeacknowledgmentofeveryoneelse’svalueaswell.The practice of reciprocity follows from a leader’s acknowledgment of

everyone’s value to the organization. Trustworthy Leaders will continue todevelop their sense of honor by showing care and respect for the peoplewithwhom theywork.This caringwill begenuine, expressed in efforts to developbalanced, reciprocal relationships with others. A Trustworthy Leader showsinterestinengagingotherpeopleinanexchangeofideasandiswillingtoextendherselfandbevulnerabletoopenuptheconversation.The third quality that contributes to a leader’s sense of honor is position

awareness, which includes awareness of the power that comes from ahierarchical place in the organization and the power that comes from beingtrustworthy.Power is a forceusedbypeople in leadershippositions, yet oftenleadersconflatethepowerthatothersassigntotheposition(positionpower)andthe power that a person actually has at his disposal (personal power). ATrustworthyLeaderwillbeawareofthepowerassignedtotheroleandwillalsohavethepersonalself-awarenessnecessarytounderstandthedifferencebetweenrolepowerandthepowertogetthingsdonethroughrelationships.Oneof the reasonswhyTrustworthyLeaders are trusted in the first place is

becausetheydonotabusetheirpositionpower.Theyareawareofit,theyuseitforthegoodoftheorganization,and theyhavepersonalpowerthatisstrongerthantheirpositionpower.Thestrengthoftheirpersonalpowercomesfromtheirhumilityandthereciprocitytheypracticeintheirrelationships.Thistrust-basedpower ismuchgreater than any imputedpower thatmaybe assigned to a jobtitleorpositiononanorganizationchart.Thethreequalitiesofhumility,reciprocity,andpositionawarenesscombineto

createtheoverallfoundationofhonor.Andthedevelopmentofthisfoundationof honor begins the process of becoming a Trustworthy Leader. Leadingwithhonor servesas a sourceof continuous replenishment forTrustworthyLeadersthroughout their lives. Every moment in which trust can be extended anddevelopedisareminderofthehonorofbeingaleader.

HUMILITYGreatleadersdevelopandputintopracticethehonortheyfeelintheirpositionsbased on a series of life influences andwork experiences,with the two oftencombined.StewLeonardSr., thenowretiredfounderof theConnecticut-basedregionalgrocerybusinessthatcarrieshisname,rodearoundinhisfather’smilktruck as a boy, making deliveries and learning the value of good customerservice at a very early age. His understanding was further reinforced by asingularincidentthathappenedearlyinhiscareer,anincidentthatcementedintoplacetheimportanceofhumility.As thestory is toldon thecompanywebsite,andbyStewhimself,awoman

who had purchased some eggnog from Stew’s original small dairy store(precursortotheStewLeonard’sorganizationasitexiststoday)returneditwiththecomplaintthatitwassour.Stew’sinitialreactionwasindignation;hedidn’tsell sour eggnog. He tasted the eggnog that the womanwanted to return anddeclareditjustfine,yetsheinsistedthatitwassourandshewantedhermoneyback. After a quick back-and-forth exchange, Stew ended up pulling out hiswalletandreimbursingherrightthere,yethelostherasacustomerbecauseofhisinitialchallengetohercomplaint.Later that evening, Stew related the incident and his response to his wife,

Marianne. Marianne took the customer’s point of view, related her ownexperiencesofgoodandpoorcustomer service, andconfirmed that shewouldhaverespondedexactlythesameway—andthatshewouldlikelyneverreturntothestoreasacustomer.Well, thatofcoursecausedStewtopause,asheknewthat losing customers was not in his best interest. Thinkingmore broadly, hebelieved that it was only a very small percentage of people who mightintentionallytrytomisleadashopkeepertoreturnanitemtheyhadpurchasedbymistake, and that if he tried to protect himself from the 1 percent who weredishonest,he’denduppenalizingtheother99percentwhowerereallygoodandhonest.Aphysicalmanifestationof this realization is theCustomerServiceRockof

Commitment—a huge granite slab that sits at the entrance to every StewLeonard’sstore,engravedwiththecompany’stwocustomerservicerules.Rule#1 is “THE CUSTOMER IS ALWAYS RIGHT!” Rule #2 is “IF THECUSTOMERISEVERWRONG,REREADRULE#1.”

StewSr.tellshisstorywithpridenow,althoughatthetimeitwashumbling.It’s a singular story that is told often—to all new Team Members, and toeveryonewhovisitsaStewLeonard’sstoreandwantstounderstandthesecretsof their success.Andwhen looked atmore deeply, there is a clear connectionbetweenthisexperienceofhumilitythatStewSr.tooksomuchtoheartandthestrongTrustworthyLeadershipatthecompanytoday.StewSr.thoughthewasrightwhenhefirstwasconfrontedwiththecustomer

whodidn’t likehereggnog.Andhemayverywellhavebeenrightintermsofthequalityof theproduct.Yet itdidn’tmeet theneedsof thewomanwhohadpurchasedit,soforher,itwasn’tright.Providingtop-qualityservicetoothersisdependent on their response to whatever they purchase. Learning how to setasidean initial reaction tohearanotherperson’spointofviewisan invaluableservicelesson,aswellasakeystepindevelopinghumility.Thisvaluelesson,firstexperiencedbyStewSr.,hasbeenpassedontothefour

familymembers in the secondgenerationof the enterprise.StewJr. (presidentand CEO), Jill Tavello (vice president, Culture and Communication), BethLeonard(executivevicepresident,responsibleforCheeseandArtisanBaking),andTomLeonard(boardmemberandownerofTomLeonard’sFarmer’sMarketinRichmond,Virginia)allput intopracticethefundamentalmessagethat theirparents tookfromthis incident:payattention to thepointofviewofothers, totheircommentsandconcerns,andtohowyoucanmeettheirneeds.Byfocusingonothers,whetherthey’recustomersorTeamMembers,youwillbesuccessfulatmeetingyourowngoals,andyoucancreateagreatworkplaceintheprocess.Thisisavaluablelessonthateveryaspiringleaderwoulddowelltoheed.StewJr.andTavelloarebothveryvisibleandactiveinpromotingtheculture

of Stew Leonard’s. They talk about their passion for what they do, and theyspeakoftheirroleswiththesamedegreeofhumilityasthatconveyedbytheirfather.StewJr.talksatlengthabouttheimportanceofshowingrespecttopeople.Oneofthewaysthisoccurs,hesaid,isbymakinggooddecisionswhennooneislooking.Heseesthisasasignthatleadersarealwaysthinkingofothers—notjust when someone is watching them. He spoke of the importance of havingleadersinthestoreswhoarewillingtotakeriskstomeettheirgoals,yetadaptthemethodstheyusetoreflectthecomfortoftheirTeamMembers.Healsospokeoftheneedtobeauthenticasaleader,andtobeaccessible,to

neverimaginethatyouaremoreimportantthanothers,andtobecautiousaboutsettingthingsupthatmightimplythatyouareamoreimportantpersonbecauseof your role. “A business consultant was speaking at a luncheon I attended

yesterday,”hesaid.“ShewastalkingaboutpromotingleadershiptrainingtotheC-suite.Ididn’tevenknowwhattheC-suiteis.IsaidIhopethere’sneveraC-suiteatStewLeonard’s.Youreallywanta floor-suitewhereeveryone’son thefloor.” While different people make different contributions to the business,everyoneisvaluableasahumanbeing,andStewJr.wantstomakesurethatthemessagesthatgoouttopeopleconveythisclearly.StewJr.isquicktosharestoriesthatpraiseothers,tellingofarequestforhelp

hereceivedfromacustomerthatwasultimatelyhandledbythestoreworkersattheendofalongday:“Lastnightacustomercalledmeat9P.M.Shehasakidwhoneededtogotoschooldressedasachefthenextday.Theoutfittheyhadordereddidn’tarrive. Iwas inNewYorkCityat the time,but I toldher that Iwouldcallthestoreandarrangeforhertopickupanoutfit.Well,Iforgottocallthestore.Shecameovertothestore,though,andaskedfortheoutfitat10P.M.Everybody at the store got it together, got her the outfit, and even put ameatthermometerinhersleeve.Ididn’tevenknowithadhappened.Icalledherthismorningtoapologize,andshesaid,‘Noproblem!Johnwasfantasticlastnight.’”AsStew told this story, he enthused about theperformanceof his staff,was

humbledbytheirinitiativeandwillingnesstopitchinandgetthingsdone,andfeltveryhonoredtohavehadapartincreatingtheworkplacecultureinwhichthissimpleactcouldhappen.Someleaderswouldn’ttell thiskindofastory—one inwhich theywereasked tohelp,yet itwasotherswhoactually followedthrough.Somemightfearitwouldshowtheminapoorlight.YetforStew,thisstory exemplified the kind of leadership hewants to see at Stew Leonard’s:everyone is able topitch in, andpraise for agoodactgoes to thepeoplewhoactuallyprovidedtheservice.This appreciation and credit is communicated freely toTeamMembers, as I

saw firsthand when I toured the flagship store in Norwalk, Connecticut, withTavello.Tavellointroducedmetomanyofthepeoplewhoworkthere,tellingmeabitabouthowlongeachpersonhadbeenthereandtheircareerhistories.Shehighlighted new product and service ideas—from the meat department to thefruitdisplays—thatTeamMembershad implementedon theirowntomeet theneeds of customers or to provide new offerings that customers would findenjoyable.BothStewJr. andTavello spokeof activitiesandaccomplishments that they

could have described as their own, or that they could have more closelyassociated with their own efforts. Yet the examples they used to make their

pointswereallabouttheaccomplishmentsofothers.Theirgreatnessasleaderscomesnotfromtheheightstowhichthetwoofthemhaveclimbed,butfromtheauthenticitywithwhichtheyspeakabouteveryoneinthestore.BothTavelloandStew have been able to pass their philosophy on to others through the storiestheytell,theirvisibilityinthestores,theactualphysicalsupporttheyprovidetopeopleinneedofanextrasetofhands,andthepraisetheyprovideinpublicforpeople’sgreatefforts.AllofthisreinforcesthecultureatStewLeonard’s.AsisclearfromtheLeonards,humilityshowsitselfasanabilitytoseeoneself

as part of the process of providing service to people—whether they arecustomers, patients, suppliers, or shareholders—placing yourself neither abovethe process nor outside of it. Humility is experienced through the actions ofpeoplewhopractice leadershipas supportive rather than threatening, equitablerather than hierarchical.When you are able to share praise and recognition inthisway, youwill find that benefitswill comeback to you aswell.A sincereefforttoacknowledgeaperson’scontributionsislikelytogetyouasmilefromtherecipientandengenderafeelingofbelonginginthatperson.Frequentsincereexpressions of thanks are one of the most powerful motivators for continuedpositiveactions.Oneofthedefinitionsofhumilityisawillingnesstodosomethingoutofthe

goodness of your heart, not for any benefit to yourself. This definition wascertainly a large force behind StewSr.’s customer service policy.He believedthattreatingcustomersandTeamMemberswithrespectwas,firstandforemost,therightthingtodoasahumanbeing.Yetthispolicyalsohasastrong“businessresults”underpinning:StewLeonard’sisaverysuccessfulbusinessinahighlycompetitiveindustryandinaverycompetitiveregionalmarket.TeamMembersareable todo the right thing for thecustomer,whichcreates trustand loyalty,diminishes customer churn, and gives people every reason to expect that theexperienceofshoppingatStewLeonard’swillbeenjoyable.Otherthanloyalcustomers,there’sanotherbusinessbenefitthatcomesalong

withtheCustomerIsAlwaysRightpolicy: loyalTeamMembers.StewJr.saidhis chef costume request was not an unusual one. Customers often ask TeamMembers for assistance with school projects or special events, and everyoneknowsthathelpingthemoutisanaturalpartofworkingatStewLeonard’s,andTeammembersenjoyfulfillingtherequests.“It’spartofwhypeoplelikework-inghere,” saidStew Jr. “Theyget information and feel like they are a part ofthings. Andwhen they get opportunities to help and share… then there is ahappy,growingTeamMemberwhoisgoingtostaywithyouforawhile.”

OneofthethingsIreallylikeaboutStewisthathewalksthewalk.Atmylastjob,mybosshadaStewLeonard’smugonhisdesk.ItshowedRuleOneandRuleTwo.But,thatwasit.Hedidn’tdoanythingaboutit.Here,Stew,hehasthatrockoutfront,andhereallylivesbythat.I’veseenitcountlesstimes.Ihadacustomercomeuptomeandtoldmethatthebagofapplesshehadwasbad. I said,“Yes, theyarebad.” I saw that the stickeron thebagwas fromanotherstore,but Ididn’tsayanything. I justgavehera freebagofapplesandgavehermoneyback.Ididn’twanttoembarrassher.

—AStewLeonard’sTeamMember

RECIPROCITYTrustworthy Leaders are honored to be in their roles, and they show genuinecaringandrespectforthepeoplewithwhomtheywork.Theydothisinpartbycreatingbalanced, reciprocal relationships.Reciprocitymeans,on its face, thatpeopleintherelationshipwillexperiencemutualexchange,thegiveandtakeofideas,sharingofsupport,andcaringforeachother’scontributions.Whenwearein a reciprocal relationship we have a duty to share and contribute to therelationship, as well as an obligation to care for what is created by everyoneinvolved.Yetitisonethingtosaythatyouwantreciprocity,andquiteanothertoestablish true, authentic reciprocity among people in different positions, withdifferent skills and knowledge, and different perceptions of their power. It’s achallenge that anyonewanting to become aTrustworthyLeadermust take on.Luckily,manyexamplesofhowtodothisalreadyexist.Suppose a leader wants to get feedback on an idea he is considering for

expandingserviceinacompetitivemarket.Hecansendoutanemailrequestingpeople’scomments,orhecangetoutofhisofficeandgo talkwithpeople. Ineithersituation,iftheleaderistrustworthy,peoplewillknowthattherequestissincere,unencumberedby stringsorhiddenagendas, and theywill respond. Iftheirresponsesarecaredfor—treatedwithrespect,consideredthoughtfully,andperhaps partially if notwhollyworked into the leader’s final decision—then areciprocal relationship is reinforced. Interactions based in respect create roomfor discussion and allow for challenges on a variety of topics.No one gets introuble for poking holes in an idea, nor is anyone resented for presenting avariation on the idea that’s even stronger. A Trustworthy Leader will show agenuineinterestinengagingpeopleinanexchange,aswellasawillingnesstoextend himself, to be vulnerable, in order to level the playing field.Trust andreciprocityofthiscaliberdonothappenovernight,butratherarebuiltovertime.For people to begin to develop mutual trust, one person in the relationship

needstotaketheinitiativeandstarttheprocess.Insituationsinwhichtherearedifferences in power, responsibility, access to resources, and control overresources,itisgenerallythepersonwithmoreofthosedesignationswhoneedsto begin. Taking the initiative can be as simple as starting a conversation,stoppingbyforanimpromptuvisit,orensuringthatapromise—fortraining,forsupport,fortheanswertoaquestion—isactuallyfulfilled.Thesefirststepssetthestageandleveltheplayingfield,givingthepersonwithlesspowerorstatus

anopportunitytoparticipateintheconversationwithouthavingstartedfromthemorevulnerableplaceofbeingfirst.Lookedatfromanotherside,whenaleaderiswillingtoextendanoffer,hebecomesabitmoreexposedintherelationship.Something isoffered,which theotherpersoncanacceptor reject, andbothofthose reactionswill have apersonal impact on theonewho started thingsoff.Thisopeningcanhelpapersonwithlesspower,ordifferentresources,feelmorecomfortable in testing the waters that can lead to mutual trust and truereciprocity.AgreatexampleofthiscycleofinitiationandresponsecomesfromChrisVan

Gorder,whoforthepastelevenyearshasbeentheCEOofScrippsHealth.HehasalsochampionedamajorturnaroundwithintheScrippssystem.Duringourinterviews,VanGorder spokeof the senseof honor that he experiences inhiswork,primarilybydescribingthewaysinwhichothers,especiallythefrontlinestaff, give their best to the organization every day. Yet within his stories areexamples of his own actions that began the turnaround process, in which heextendedhimselftootherstogetthingsstarted,creatingapatternofreciprocitythatcontinuestosupporttheorganizationtoday.Van Gorder came on as CEO during a tumultuous time, with votes of no

confidence in previous leaders, financial problems with no end in sight, andstaffingproblemsresultingfromthepoorculturethatexistedatthehospitals.Yettherewasalsohopeandthepossibilityforchange.Rightoff,VanGordernoticedthe quality of the people who worked at Scripps. “You could tell they werefrustrated and angry and embarrassed,” he said, “but there were good peoplehere.Ithinkyouwillfindgood,caringpeopleatanyhealthcareorganization,asthefielddrawsthatkindofperson.“Ihadbeenaroundlongenough,”hecontinued,“andIhadenougheducation

—experiencemorethananything—tosay‘Ican’tchangetheculturebymyself.’Imean, I could demonstrate certain behaviors, but in a big organizationwithmultiplesitesthat’snotenough.AndIcan’tjustwriteamemosayingtheculturewillchange.SoIsaid,‘Youknowwhat?Wearegoingtohavetodoitslowly,andmaybenotevenfinishitduringmytenurehereatScripps.’”A leader with a less developed sense of honor might have approached the

situation differently. A leader with a sense of entitlement might have feltcompelled to solve the problems on his own, or to solve the pieces of it thatwouldshowimprovementonpaperandlookthebestonhisownrecord.ButVanGorder,honoredbythepositionheheldandfullyawareoftheresponsibilitythatitentailed,begantheprocessofchangebypracticingreciprocity.Namely,Van

Gorder created the Scripps Leadership Academy, a leadership developmentprogramthatstartedwiththreepeoplefromeachhospitalsitejoiningeachother—andVanGorderhimself—onajourneytoremakeScripps.Hedescribedhis change initiative as a systemicprocess inwhichhe, as the

leader who had the responsibility, resources, and power to start the process,wouldtakethefirststep.AndhisfirststepwastoinviteothersintotheculturechangeprocessandletthemknowthathebelievedthattheyweretheoneswhowouldactuallybemakingthechangesinthecultureatScripps.HetookhimselfoutofthepictureasthemostimportantpersonbymakingapubliccommitmentthattheLeadershipAcademy,andallofitsparticipants,wouldleadthewayinchangingthecultureatScripps.“Initially,” VanGorder said, “some of the candidates that applied and were

acceptedwerenotthetoppeoplefromeachsite.Mostofthetoppeoplethoughtthis was going to be Management 101 and that they were already goodmanagers,sotheydidn’tneedit.”However,therewereenoughpeoplewillingtoacceptVanGorder’soffer,andtheprogrambegan.Whenleadersinitiateculturechange processes, some can get discouraged if they put themselves out thereonly to find their own enthusiasm isn’t matched by everyone else in theorganization. Yet Van Gorder knew that change had to happen, and he wascommittedtostartingwiththosepeoplewhowerewillingtogoforward.Inthefirstsessionofthefirstclass,alivelyquestion-and-answersessionwith

VanGorder ensued. As long as the questions wouldn’t violate an employee’srights or infringe on a confidentiality agreement, Van Gorder said he wouldansweranything—and thequestionskept coming in that first session, forovertwo and a half hours.Andhe answered themall. “I told people that Iwantedthemto learnhowtoaskquestions,”hesaid,“that Iwouldchide themfornotasking tough questions.”We’ll address the importance of sharing informationmore fully inChapterFive; for now, simplynote thatwith bothVanGorder’sinvitation to participate and the way in which he let himself be subject toquestioning,hebeganacycleoftrue,authenticreciprocity.The first open-endedquestion-and-answer sessionwas such a success that it

becameamainstayofeverysubsequentLeadershipAcademyclass.VanGorderalsogaveparticipantsanassignment:a team-basedproject to tackleapressingissuefacingtheorganizationasawhole.Participantsweretalking,andtheywereacting.AcynicalobserveroftheLeadershipAcademymightclaimthatthiseffortwas

simply away to get people to believe that they couldmake changes,when in

realitytheseniorleaderswoulddowhattheywantedtodo,regardless.Askepticmight suspect that the Academy was a way of shirking responsibility andshiftingtheheavyburdenofchangingthecultureontootherpeople’sshoulders.VanGorder acknowledged that these comments, and others,weremadewhenthingsfirstgotstarted.Butnoone’ssayingitnow.ThefinancialandstructuralhealthofScrippshaschangeddramatically,inpart

becauseofthesuccessoftheLeadershipAcademyandpeople’sparticipationinthechangeprocess.Between2002and2010,Scrippsprofitsmorethantripled,increasingfrom$27millionto$237million.Keyindustrybusinessmetrics,likeDaysCash onHand, also improved. (Quite literally, this refers to the averagenumberofdays it takes todeplete abusiness’s supplyof cash.)Scripps’DaysCash on Hand more than doubled, from 72 to 205, putting them in a muchstrongerfinancialposition.Scrippshasemergedfromthisfirstlongpartoftheirchangeprocessinapositionoftremendousstrength.AndabigpartofthereasonisthatVanGorderdidn’tjustaskforinput.Heinvitedpeoplein,listenedtotheirideas,andacted—withthem.“Attheendofthefirstyear,”VanGordersaid,“Igotaquestionfromoneof

the[LeadershipAcademy]participants.Hesaid,‘Nowwhat?We’vehadayearwith you.We trust you, but what’s next?’ ” The trust itself was a huge stepforwardfromwhereScrippshadbeenandanimportantfoundationalpiece.Butthe question—What next?—was an apt one. It was time to tackle somemoredeeply entrenched dilemmas that were affecting the overall success of theorganization.VanGorderaskedeachclassparticipanttodotwothings:todelivermoretothepeoplewhoworkedforthem,andtoaskmoreofthosesamepeople.Andheaskedtheparticipantstodemandmorefromhim,tochallengehimwithquestions about problems or opportunities that could be taken on. He firmlybelievedthatnowthathehadateamofleadersinplacewithwhomtherewasareciprocal trust-based relationship,many of the dilemmas at Scripps could besolvediftheywerebroughttohisattentionandtakenonbyeveryone.EachsubsequentclassintheLeadershipAcademyexperiencedthesamekind

of teaching style—plenty of opportunities for questions and answers, and anassignmenttocompleteateam-basedprojectthatwouldaddresssomepressingissue.Eachclassreceivedthesameinvitationtoparticipateinareciprocaltrust-based relationship.None of thiswould have been successful if trust had beenbroken.ThefactthattheLeadershipAcademyhascontinued—withanewclassevery year since 2000—and Scripps has grown and improved significantly, istestimony to the success of this culture change process. It took years to

accomplish.Andithastakenagreatdealofinvestmentonthepartofleaders—starting with Van Gorder, and involving everyone who is leading in somecapacityatScripps.TheScrippsstoryoffersawonderfulexampleofhowanindividualleaderwho

experienceshisroleasanhonorcanapproachadauntingtask,andengageothersin theprocess of reenergizing a culture.VanGorder’s efforts provide twokeytake-awaymessages about how to create a process thatwillwork, beyond thefundamental need to practice reciprocity. Van Gorder took time. He actuallyassumedthathemightnotbearoundforthefullculturechangeprocesstofinish.He also created anopportunity for people to experiencewhat hewanted themeventuallytoputintopractice.AsyouseektobecomeaTrustworthyLeader,takingthetimetodevelopyour

skillsandabilities isessential.Developing trust isnotsomething toberushed.And creating opportunities for people to experience the hoped-for long-termoutcomewilldevelopananticipationofwhatcouldbe,servingasanincentiveforpeople tocontinuewith theirefforts.Thefirstclass in theLeadershipAca-demy became a word-of-mouth marketing campaign for the ongoing changeefforts at Scripps.Creating that type of an experience for people in your ownorganizationwillbeequallyvaluable.

TherearesomanythingsthatmakeScrippsgreat,buttheonethatstandsoutfor theemployees is theway thatChrisVanGordercommunicateswithus.His leadership is incredible, andhe takes the time to teach classes inCPR,first aid, etc. to his employees. He displays respect for his employeesregardlessofrace,gender,orage,andtheygiveitback.Heisatrueexampleof a great leader, and it would be a sad day for Scripps Health if he everdecidedtoretire.

—Scrippsemployee

POSITIONAWARENESSPositionawareness, the thirdpartofdevelopingyour senseofhonor,doesnotmeanyouareaware thatyouareaprogramdirector,vicepresident,orprojectmanager. The title on your business cardwill fulfill that requirement! Rather,positionawarenessmeansthatyouknowwhereyoufitwithinagroupofpeople,andyouare comfortablewith thatplace.You recognize the role thatyouholdwithin the flowof activity and information in a department, a division, or theorganizationasawhole.Withpositionawareness,youhaveanunderstandingofthedistributionnetworks tied toyourpositionand thedepartmentsandpeopleyoucanrelyontogetthingsdone.ForTrustworthyLeaderswhoneedtorelyonmanypeople,positionawareness

canbea tremendousasset.Leaderswhoaresuccessful inunderstandingwhereandhowtheyfitwillenhancetheirpowerandeffectivenessbecausetheywillbeabletorelyontheirtrust-basedrelationshipswithotherstohelpthemgetthingsdone—just as we saw with Chris Van Gorder. These leaders will receivevaluable information from people they are in touch with and can pass thatinformationontootherstoenhancetheirsuccess.In contrast, leaderswho do not have strong position awareness are likely to

constrictthevalueofinformationandopportunitiesthatflowintoandoutfromtheir positions. This can happen because of their sense that they are moreimportantthanothersandso“deserve”morethantheirfairshare,ormorethanwhat is equitable. Poor position awareness is also evident when people areinsecureabouttheirownworthrelativetoothers.MuchlikethetitlecharacterinTheWizardofOz, insecure leaderscloak themselves in themythologyof theirpower,ratherthandevelopingpowerthroughtheirtrust-basedrelationships.Positionawarenesscombinesawarenessofthepowerthatisavailablesimply

because of the position one holds (position power), and the power that comeswith being self-aware and respectful of others (personal power). TrustworthyLeaders are aware of these two forms of power that affect organizational life,andtheyalsoholdanappreciationforhowthingscanmosteffectivelygetdonewith other people’s willing participation. While some leaders rely almostcompletely on their position power to get things done, Trustworthy Leadersplacegreateremphasisontheirpersonalpower.Theyknowthatusingpersonalpowerthatcontainshumilityandastanceofreciprocitywillbemoreeffective.

When a leader has position awareness, she does not need to participate ingames andpoliticking.Shedoesn’t take credit for an idea thatwasn’t hers, orhintthatshehasinformationshecan’tsharebecauseofthediscrepancybetweenherpositionpower andyours.Whenpoliticking is absent, something farmoreproductive takes its place: a collegial environment, one in which people feelcomfortable seeking and sharing ideas regardless of their job title. So a salesclerkwhoiswidelyconsideredtobeclear-headedandsharpmightbeconsultedby the marketing director on an issue that is far removed from both theresponsibilities inhis jobdescriptionand thepowerassigned to thesalesclerkposition on an organization chart. In this case, successful position awarenesshelpstoremoveanyneedtopayattentiontotheorganizationchartaltogether;asa result, the marketing director gains access to valuable insights that couldpositivelyinfluenceabusinessdecision.Certainlytherearepeopleinspecificroleswhoholdultimateresponsibilityfor

making decisions. Leaders with great position awareness don’t diminish theirauthorityinthosecasesinwhichadecisionappropriatetotherolemustbemadeand implemented. Stew Leonard Jr. and Chris Van Gorder, to use just twoexamples, are strong, determined leaders willing and able to make toughdecisionswhentheyneedto.Andtheirdecisionsaresuccessfullyimplementedbecauseof the respectwithwhich they interactwithothers.When a companyhas a history of power being shared rather than hoarded, then at the time oftough decision-making sessions, leaders can be assured that relationships willstaystrong—nomatterhowdifficultthetopicorsignificantthedecision.Tomorefullyexplorethisconcept,wereturntoREI’sSallyJewellandseean

excellentexampleoftheimportanceofpositionawarenessinaleader’sprocessof becoming trustworthy. Jewell shows genuine interest in the lives of others,seestheleadershiproleitselfashonorable,andcreatestheconditionsinwhichsheherselfexperienceshonor.“IhavefoundthatthefartherawayIgetfrommypositionintheorganizational

hierarchy, themoreopenpeoplearewithme,”shesaid.“Iwillbemuchmorelikely to get really good feedback aboutwhether or notwhatwe’re saying istrustworthyor,frankly,whetherthemessagewe’retryingtoconveyismakingitdown throughout the organization. The feedback I get frommy conversationswithpeopleisanecdotal,it’ssubjective,butitismoreimportanttomethantheobjectivedatabecauseitvalidateswhethersomethingisrealornot.“As a CEO,” she acknowledged, “it can be difficult to always get honest,

thoughtful feedback because you’ve got position power and people are

intimidated by the position, even if you try to make it easy. Yet when I’mvisitingoneof the stores, and I put on a greenvest and am fumbling throughanswering a question, and I call in an expertwhoknowsmore than I do, thatspeaksvolumes.OrwhenIputonagreenvestandIactuallysellakayakandapaddletoapersonwhodidn’tevenknowtheycameintobuyakayak,thatalsosends a message: that I can speak from personal experience and share anenthusiasmforwhatothersaredoingatREI.Themessagewillbecomesomuchbroader than that one person or that one story. It gets to be viral and isauthentic.”Whatgoesviralandgetssharedfromemployeetoemployee,storetostore,is

thestoryabouthowtheCEOsoldsomeoneakayak,andaskedforhelpfromoneofthein-storeexperts,aswellasthefactthatshegottoworkbyputtingonthegreen vest and stepping into someone else’s role. When leaders in anorganization move out from the trappings of their position, they are steppingawayfromtheirpositionpower.Whenyoudontheclothingofothers—likethegreenvest—itsignalsthatyouareputtingyourselfintoanotherposition,oneinwhichyourownaccumulatedpowerandknowledgemaybelessthanthatofthepeople who are actively serving in that position. And when you ask for helpfromanexpertinsales,thusacknowledgingthattheexpertknowsmorethanyouabouthowtohandlesomething,thatisasignificantsignofrespectforthesalespositionandthepersonwhousuallyholdsit.

Somemembersofmy teamdeliveredexcellentcustomerservice toa fatherand his autistic son. Well, the father mentioned his experience on a blog.People at headquarters up to the CEO heard and read the blog. The CEOherself,SallyJewell,sentmeanemailandapersonalnotetomyemployeesthankingthem.Thatlevelofrecognitionforthedailyeffortsofemployeesisunfounded in the retail environment. It shows the investment andunderstandingthattheexecutivesinthecorporationhavefortheemployees.AtREI,peoplereallydocare.

—REIstoreemployeeAlloftheseactionsthatinvolveastepawayfrompositionpowerwillactually

bringyouclosertothepersonalpowerthatissovitaltoyoursuccessasaleader.Jewell’s actionscontribute toa senseofequityamongpeopleatREI—asensethat, under a different leader, might not exist. Leaders can foster this type ofdown-to-earthculturewell,ortheycandoitpoorly.Jewelldoesitwellbecauseit’s authentic—shehasgreat respect for thepeople inherorganizationand the

workthattheydo,andshefeelshonoredtoserveastheirCEO.JewellstrivestoleadREIsothateveryoneisabletobepersonallysuccessful

—within their positions, within groups, and as members of the organization.Peoplearegivenresponsibilities,providedwithtrainingtohelpthemfulfilltheirresponsibilities,andtreatedwithrespectthatconveystheirvalueaspeople,notjustasemployees.Thiswholedynamiccreatesanexcitementthatyoucanfeelwhenyoutalkwithpeople.Theyareexcitedaboutwhattheyaredoing,inpartbecause it holds value. And they know this because others tell them, be theycolleagues,leaders,customers,orco-opmembers.EveryoneatREIissupportedin the development of position awareness. They are encouraged to see theirposition power as something they canminimize and to develop their personalpower, which they are encouraged to strengthen. This is one of the ways inwhich eachperson atREIknows that they are important to the successof theorganization. This strategy and approach to power is developed and sharedthroughout the organization, so everyone can feel the honor inherent in theirpositionsandthecontributionstheymake.ErinHass,whohasbeenwithREIforfifteenyearsandnowleadsthetraining

anddevelopmentfunctionthere,spokeoftheveryintentionalwaysinwhichsheseeks to help people understand and use their personal power. Sometimes itinvolveschallengingpeople to figureout the logisticsof aproject themselves,onceshe’sgiventhemgeneralguidance.StephanieFischer,aseniortraininganddevelopmentspecialistonHass’steam,maystruggleinitiallyasshereliesonherpersonal power to collaborate on the design and implementation of a trainingprogram,yetshewillbecomeabetterteacheroftheconceptwhencalledontodoso.“Erinstaysengagedwiththeteamwhileweareworkingondesign,”saysFischer,“yetshe’snotinvolvedineverymeeting.Sheneverlosessightofwhat’sgoingonwithinourfunctionandwithuspersonally.I’mdoingmostofthework,butshe’salwaysengagedinthatprocesswithme.”Hass’sgoal is tohelppeople learn thebenefitsof involvingothersbasedon

their own experience of needing to ask for help to get their own projectscompleted.Assheseesit,theworkofthetraininganddevelopmentdepartmentshould echo REI’s broad commitment to service. “REI is here to serve ourmembers, and as a leader, you’re here to serve the employees thatworkwithyou.It’sasituationwhereyou’reinvolvingothersindecisions—always.”Jewellherselfhasestablishedarequirementforvolunteerservice—onaboard

ofdirectorsorinacommunity-basedorganization—aspartofthedevelopmentalworksheasksoftheREIexecutiveteam.AsHassdescribedit,“Forher,when

you’reservingonaboard,you’re learninghowtobea leaderwithoutpositionpower.When you’re aVP, seniorVP, executiveVP, you’ve got quite a bit ofpositionpower,andpeoplewill justdothingsbecauseyousaytodothem,notnecessarily because they want to.” The volunteer experience thus givesexecutives an awareness of different types of power. Hass continued, “Sallyreallywantstomakesurethatpeopleunderstandhowtogetthingsdonewithoutpositionpower.”Thereismuchthatcanbeassumedwhenoneisinapositionwiththetitleof

manager,director,orpresident,yetassumedpowerdoesnotalwaysholdup tothe test of use if relationships with colleagues are weak and based onexpectations of compliance versus trust. When employees are told to dosomething by leaders who have assumed the power they believe should beassociated with their position, employees may comply with the request tocomplete the task, yet go no further. This is not to deny the reality of job re-quirements,yetthesecanbemetatthesametimethatmoreisoffered;namelywiththediscretionaryeffortsomanyleaderswantfromtheiremployees.

REI is the most unique company I have ever known. I’ve never known acompany to treat their employees the way they do. It’s great. They’rewonderful. It’s suchapleasantplace towork in.Thepeopleare so friendlyand supportive. They treat you with respect and offer assistance wheneveryou need it.Managementworkswith employees tomake theworkplace asstress-freeaspossible.IwasfortunatetomeettheCEOofREI,SallyJewell.Itwas the first time I everhadaCEOshakemyhandand treatme likeanequal.She’sgreat!

—REIemployee

CONTINUINGTHECIRCLEIn the examples provided throughout this chapter, we can see that PatrickCharmel, Stew Leonard Jr., Chris Van Gorder, and Sally Jewell have alldeveloped their sense of the honor of leadership. They each understand thepower that they have access to through the positions they hold. They alsounderstand that toacthonorably in their rolesmeans touse theirpower in thebestinterestsofthosepeoplewhoaredependentontheirsoundjudgment.Powerisnotusedtomanipulatepeople,norisitusedtogainmoreforyourself

at theexpenseofothers.Truepowercomes fromwhatothersgive toyou inareciprocal relationship, not fromwhat you take. Reciprocity depends on yourhumility tonotseeyourselfasmoreor lessvaluable thanothers, tobeable toacknowledge people’s rightful value to the organization. Understanding all ofthisputsyouonthepathtocreatingaVirtuousCircleanddevelopingasenseofthehonorthatwillcomewithbeingaTrustworthyLeader.Ourfocusonthehonorofleadershiphastouchedonthedeeplyheldpersonal

values that guide leaders’ interactions with and service to others. WoventhroughouteachstoryhasalsobeenanundercurrentofthenextelementontheTrustworthyLeader’s journey: the idea of inclusion.Aswith every step alongtheway,oneelementoftheTrustworthyLeader’sjourneywillleadintothenext.

UncoveringtheRootsofHonorAsenseofhonoristhestartingpointinaleader’smovementthroughtheVirtuousCircle,sothereis great value in being able to recognize the various experiences and life lessons that haveinstilled Trustworthy Leaders with their sense of honor. Where exactly does it start? Whattriggers the search tounderstandwhat itmeans tobehonored and to actwithhonor—to fullyexplore humility, reciprocity, and position awareness?While the answer will be different foreverygreatleader,understandingevenoneperson’sbackgroundcanhelpusseejusthowdeeplyrootedthedevelopmentofhonoris,anditcanencourageustolookforthelifelessonsthathaveinfluencedourownpersonalsenseofhonor.ChrisVanGorder ofScripps tells a compelling story about a particular event that served as astartingplaceforthedevelopmentofhissenseofhonor.AlargepartofVanGorder’sapproachtoleadershipisasystemofexchangethathonorsthegiftsthatpeoplebringtotheworkplace.InVanGorder’s case, he learned about the importance of qualities such as humility, reciprocity, andpositionawarenessnotthroughtheirpresenceinhisearlyworkinglife,butthroughtheirabsence.VanGorderstartedhiscareerasapoliceofficer,yetleftthatroleduetoanon-the-jobinjury.Hebeganhishealthcarecareerasanemergencyroomclerkandthenbecameasecurityguard(notatScripps),workingnightshiftstosupporthimselfashewentthroughschool.Onenightashewasdoinghisrounds,hehappenedtonoticethatthehospitaladministratorwaswalkingdownthehalltowardhim,perhapsreturningfromameeting.“Iwasaboutaslowonthetotempoleasyoucanbeinmyposition,”VanGorderremembered,“andIsawthehospitaladministrator,recognizedhimbyhisphotograph,andhe’swalkingdownin the basement in themiddle of the night. And I went, ‘Wow—I am going to get a shot atmeetingthisguy.’AndIwillneverforgetwhathappened.“HewalkedbymeasifIdidn’tevenexist.“There was nobody else there, and I remember how crushed I felt that the guy didn’t evenacknowledgemeashewalkedby.Ithoughtaboutitandthought,youknowwhat,that’snotright.Becauseifanythingbadhappensinthishospitalrightnow,theyaregoingtocallmebeforetheycallhim.Everyonehastheirroleandtheirpurposeinlife,andsometimes,infactmosttimes,thepeoplewhoareoutthereinthefielddoinggoodworkarefarmoreimportantthanIwilleverbeinmypositionnowasCEO.AndsoIalwaystrytotreatpeoplewellsothattheyknowhowmuchIrespecttheirhardwork.”What VanGorder experienced in thatmoment in the hallway is unfortunately something thatmanyworkingpeopleexperienceonadailybasis—anobliviouslackofrecognitiononthepartofanorganizationalleaderthatconveystoyouthatyoudon’texistinthatleader’sworld.Anditsetsin motion a reciprocal exchange that many leaders claim not to want: an exchange based inmistrustandskepticism.Yethowcanyoubeexpectedtohonorandrespectaleaderwhohasjustwalkedbyyou,actingasifyoudon’texist?Itwouldprobablysurprise thathospitaladministrator toknowthathisactofwalkingpastVanGorder thatnightwithnoacknowledgment isstill remembered.Not just remembered,actually,butthebasisforthedramaticallydifferentstyleofleadershipthatexistsatScrippsHealth.Thisisapowerfulexampleof thesmallactions thatcanhavehuge impacts.Luckily for thepeopleatScripps,theimpactofthisincidenthasbeenverypositive.Withthisbriefencounterasastartingpoint, Van Gorder has developed an honorable approach to leadership that has earned him,Scripps Health, and Scripps employees tremendous positive recognition for their professionalaccomplishments—andfinancialstabilityfortheentireorganization.

CHAPTERTHREE

INCLUSION

Discussions about inclusionmay be familiar to you.We hear a lot about it inreference to our education system, when teachers, parents, and administratorstalkabouttheimportanceofmainstreamingkidsintoclassrooms.Youmayhearabout the need for inclusion after ethnic tension arises in a community. Andinclusionhasmorerecentlybecomeafamiliartopicintheworkplace,aspartofanefforttomovebeyondinitialconversationsaboutdiversityintotherealmofcollaborationandcooperation.In great workplaces, inclusion reflects a desire to see beyond visible

differences to the tremendous similarities that exist among people. Manyorganizations have tapped into this idea by helping people to explore theirsimilarities anddifferences that arenot visible, but that are insteaddiscoveredthroughconversationandinteraction.Inessence,agreatworkplacecanbeseenasagiantdiversitynetworkinthemaking,withpeopleseekingtoconnectwitheachotheracrossbarriers,realorimagined.Inclusionbeginswithaleader’sinvitationtoeveryonetojointheorganization

on equal terms. The stated goals ofmany diversity programs and the positiveaspirations of many inclusion programs are similar: to create a workplaceenvironmentinwhichpeoplecanworktogetherandbesuccessful.Yetdifferentapproachestoinvitingpeopleincanhaveverydifferentconsequences.Take,forexample,thefollowingstoriesfromIBMandTDIndustries.Duringthe1970sand’80s,IBMwasknownasaverysuccessful technology

companydominatingthemarketwithitsmainframecomputers.IBMemployeeswereoftencharacterizedas“suits,”dueto thestrictdresscodethatexistedforvirtuallyeveryone:adarkgrayorbluesuit,whiteshirt,and“sincere”tie.Facialhairwasdiscouraged,ifnotcompletelyforbidden,andhaircutsneededtobeneatand short. For women entering IBM’s ranks, conservative suits and ties werealsoexpected,andanewcottageindustrydeveloped,tryingtoteachwomenhowtodressforsuccesssothattheycouldfitinasmuchaspossible.Fittinginmeanttryingtolooksimilartothepeoplealreadythere.Thisculturalstrategyofcreatingaworkforceinwhichpeople“fitin”waspart

of a marketing and sales strategy meant to convey confidence to potentialcustomers.BigBluewouldalwaysbethereforyou,nomatterwhichindividualhappenedtobeyourcontactperson.Yetfortheemployeestryingto“fitin,”theBigBlueidentitycameatasteepcost:theirindividualityandallofthecreativitythat might come with it was suppressed. IBM, known for being a caring ifsomewhat homogenous organization, went through wrenching times astechnologyandculturechangesmovedthroughtheeconomyinthelate’80sandearly’90s.Thecompanyhaddifficultyadaptingquicklyandattimesseemedtobetwostepsbehindcompetitors.Theiconicimageofthe“suit”culturebecamesymbolicofmanyorganizations

insimilarsituationsthatwereunabletoadapttoculturalandeconomicshifts.Ahomogenousculture, inwhichone look,onesetof ideas,andoneapproach tobusinesswasthenorm,steeredmanycompaniesintoawall.IBMrighteditselfandhastakenonastrongstanceforthefuturebasedonpromotingandvaluingdiversity, seeking to shed the “suit” imagery that was an overlay on thecompany’scultureforsolong.A second organization started with a different approach. TDIndustries, long

recognizedasagreatworkplace,beganwitha foundationofvaluingdiversity.JackLoweSr.,thecompanyfounder,playedanintegralroleindesegregatingtheDallas,Texas, public school system in the 1960s, and he brought his personalvalues into theorganization.Heoftenstated that thedifferencesamongpeoplewereactuallysomeofthegreateststrengthsofthecompany.“Valuingindividualdifferences” is one of TD’s basic values, and programs have always been inplacetohelppeopleworkwellwitheachother,regardlessoftheirbackgrounds.As an example, TD has regularly provided English language instruction to

theirnon-English-speakingpartners(allemployeesareownersof thecompany,thus the term partners is used). This practice stems from a deeper belief that“goodcommunicationleadstounderstandingbetweenpeople”andthatbarriersto communication can often occur among people who are not fluent in eachother’s languages.TDcouldhave stoppedherewith its languageprogram,yetthatwouldbeaone-sidedapproachtoinclusionthatwouldinsomewaysharkbacktoahomogenous“suits”culture.Yetwithoutreallygivingitmuchthought,TDwentfurther.TDoffersSpanish classes to itsEnglish-speakingpartners as an initiative to

further overcome communication barriers. Study materials for key programssuchasCatchtheSpirit,SafetyOrientation,BenefitOrientation,andLeadershipDevelopment are offered in both English and Spanish. All partner benefits

information is presented in English and Spanish. The TDSpirit newsletterincludesabilingualmessagefromtheCEO.AndaSpanish-languageversionofthe TDCulture video has been created so that all partners are given theopportunitytounderstandthescopeofTD’smissionandbasicvalues.All of these efforts, andmany,manymore, reflect a commitment tovaluing

diversity and promoting inclusion in ways that enable people to come to theworkplace as distinct individuals. Everyone is invited into the culture ofTDIndustriesandaskedtojoinwiththemissionandvaluesoftheorganizationjustastheyare,withnoneedforanyhomogenizing.One of the key reasons that inclusive workplace programs such as those

implementedbyTDIndustries,IBM,andothercompaniesaresuccessfulisthattheirleadersthemselvesarecomfortablewithpeople’sdifferences.Leaderswhohavegenuinelyexpressed theirowncommitment to inclusion—andshow theircomfort with differences through their actions and words—create inclusiveenvironments that are supportive of others.Creating an inclusive environmentcan be a challenge in some organizations if the people in leadership positionslook and act more like one another than like the broad expanse of peopleemployedintheirorganizations.Yetitisnotimpossible.Leaderswhowanttocreateacultureofinclusionattheircompanycandoso.

In fact, that’s an important part of creating a great workplace and being aTrustworthy Leader. Trustworthy Leaders seek to include people and theirdifferencesandtosupportthedevelopmentofcross-groupconnectionsthathelppeople share their distinct approaches and ideas. Many have challengedthemselvestoexpandtheirnotionsofwhofitsinwhattypeofposition,andwhomightbeabletocomeupwith“thebrilliantidea”thatwilladvancethecompany.Theyarewillingtotakeboldstepstoexploretheirpersonalprejudicesandthelimitationsofculturalnormsandexpectations.Some ways in which leaders create cross-group connections are fairly

common: through networking and affinity groups. Others are subtle. Leaderswhoarecomfortablewithandconnectedtomanydifferentpeoplethroughouttheorganization can use the physical environment to help people from differentareas tomeet—forexample, through thesimpleactofeating lunch inanopensettingandinvitingpeopletojointhematthetable.Visitingpeopleindifferentdepartments and taking colleagues along also breaks down barriers, as doesassigning people to cross-department project teams. Moving into a differentspacetogetworkdonecanbeunsettlinginitially,yetthestrongconnectionthateveryone has with the Trustworthy Leader provides support and comfort,

weakening preestablished group boundaries so that new connections canflourish.Anabilitytobecomfortablewithpeoplewhoappeartobedifferentfromyou

isveryhelpfulinavarietyofworksituations.Comfortwithotherscaneasethestrain of workplace transfers and enable people to move quickly into newpositions.Itcanalsoenlivendiscussions,asthehesitationthatoftencomeswithdiscomfort will be diminished and conversations will be richer. And from aleader’sperspective,thesoonerthatpeoplearecomfortablewitheachother,thesoonertheywillbeabletocollaborate,shareideas,andprovidegreatservicetoeachotherandtocustomers.A leader’s ability to be inclusive and to create a culture of inclusion in the

workplace is a strategic necessity in our increasingly interconnectedworld.Avarietyofpeoplehavemadethecaseforthebenefits thatcomefrominclusionanddiversity,includingRobertPutnam,aprofessorofpublicpolicyatHarvardUniversity.Hestatesthatethnicdiversityisinevitable,desirable,andbeneficial—and a tremendous social asset that communities, including organizations,shouldseektofoster.Heexplainsthat,althoughincreaseddiversitymayinitiallylead people to close ranks, when people are brought together in a trustingenvironmenttheirsocialnetworkswillexpand,aswilltheircomfortwithpeoplewhoarevisiblydifferentfromthem.Hisstudiesaffirmthatenhancedcreativityisoneofthemanybenefitsofadiversecommunity,whichisinturnassociatedwithmorerapideconomicgrowth.1

AnotherpersonmakingastrongcaseforthebenefitsofdiversityisUniversityof Michigan professor Scott Page. In his book The Difference, he providesincontrovertible evidence that over time diverse groups of peoplemake betterdecisions than individuals or homogenous groups, nomatter how brilliant theindividualorhomogenousgroupmembersmaybe.Pageprovidesbothnarrativeexplanationsthatsupporthisfindingsaswellasreamsofstatisticalevidencetoaddfurtherweighttohisconclusion—thatthereistremendousvalueindiversity.As he says, “A talented ‘I’ and a talented ‘they’ can become an even moretalented‘we.’”2

TheevidencefromPutnam’sandPage’sresearchaffirmsmyownfindingsaswell. In2007Ibegan lookingat theexperiencesofemployees in the100BestCompaniesandcomparingtheirresponsesonanextensiveemployeesurveywiththoseofemployeesinthecompaniesthatappliedtobeoneofthe100Best,yetweren’t selected. What I confirmed is that among the 100 Best Companies,

employees with different visible characteristics—age, race, and gender—hadexperiences thatweremorepositive andmore similar to eachother’s thandidemployees in the non-Best companies.3 This means that a forty-five-year-oldAfrican American woman and a thirty-five-year-old Caucasian male in a 100Best Company were more likely to be experiencing a similar level ofmanagement credibility, personal and professional respect, and organizationalfairnessthanwouldthosesameemployeesinanon-Bestcompany.WhatisevenmorestrikingisthesimilarityofexperiencesthatpeopleinBest

Companieshavewhenconsideredbyjobtype.Weoftenassumethatanhourlyemployee—who is typically inaposition thatcomeswithweaker jobsecurity,lowerwages,lesscontroloverthetimeandplaceofwork,andsoon—willnothave the same positive experience of work as will a salaried employee. Yetamong employees at the 100 Best Companies, hourly and salaried employeesindicatedstrikinglysimilarpositiveperceptionsoftheirworkexperiences.Why?Because everyone who works in a great workplace—which the 100 Bestexemplify—is invited into the organization by their Trustworthy Leaders andhelped to become a full member. Their various talents are uncovered andexploited,andagreatworkplaceiscreatedthatisfinanciallysuccessful,abletoattractandretainthebestpeople,andabletoprovideproductsandservicesthatattractandretaincustomers.Whatmotivates leaders in great companies to create inclusive environments

that are open and welcoming to lots of different kinds of people? Do theyanticipate the tremendous benefits their businesseswill receive, aswell as thepositiveshiftthathappensforthepeoplewhoworkthere?Theanswerstothesequestionsarecomplex,asisthedevelopmentofaninclusiveculture.Theabilitytopromote inclusioncomes fromaperson’sdeeplyheldbelief in thevalueofothers,awillingnesstolookforideasoutsideofone’sowngroup,andabeliefthatthebenefitsthataregiventoonegroupofpeopleshouldbebroadenedandsharedfairlywithall.ThisiswhatthesecondelementintheVirtuousCircleoftheTrustworthyLeaderisallabout.

GENUINEBELIEFINTHEVALUEOFOTHERS

Ihaveoftensaid that there isnogroupofpeople—basedonage, race,gender,orientation,height,weight,ability,oranyothercharacteristic—thathasalockon

brilliance.Manyothershavesaidthesamething.Yetnotnearlyasmanypeopleare willing to act on their belief that brilliance is present across all thedifferences that combine to create human beings. This leads to the reality insomeorganizationsthatthedifferencesthatpeoplebringtothetablecanendupbeingreasonstoexclude.TrustworthyLeadersingreatworkplacesarewillingtotakeaction,toseekout

everyone’sbrilliance, ideas,andcontributions,yet still they facechallenges.Alifetime’s experience of homogeneity can make it difficult to be comfortablearoundpeoplewhoaredifferentfromyou,muchlesstoactivelyseekthemout.If what you’ve done for most of your life has tended to place you within acertaingroupofpeoplewholook,think,andactinwayssimilartoyou—howdoyoumovebeyondthat?At Perkins Coie, a Seattle-based regional law firm headed to national and

internationalprominence, thereisampleevidencethat it ispossibleforasmallgroupofhomogenousleaderstomovebeyondtradition-boundrootstocreateaninclusive culture.Simplyput,PerkinsCoie is committed to ensuring that theirlegalskillsaretheirtopcompetitiveadvantage.Theirgoalistofind,recruit,andretain themostbrilliant employees, and thebestway todo this is to seek thistalentinallcornersofthehumanlandscape.Theircommitmenttoquality—andan openness among senior partners to find the best lawyers, wherever andwhoever theymaybe—has led to some remarkablepractices in aprofessionalindustry not known for its cutting-edge diversity and inclusion practices. AtPerkinsCoie,leadersstartwiththegenuinenessoftheirinterest—inbringingthebestpeopleintoworkatthefirm,increatinganenvironmentinwhichtheycanthrive, and in being open to critiques and challenges to ensure that this reallyhappens.Bob Giles, managing partner of Perkins Coie, and Craig Courter, COO,

representthetraditionalraceandgendercategoriesthatpeopleassociatewiththelegalprofession.Yettheyarebothnotablefortheircommitmenttoinclusionandtheirwillingnesstotakeaction.CourtersaidthatamongthereasonshecametoPerkinsCoiewere thepeoplehemetand theiremphasisonquality. “Wehaveexcellentlawyersandstaff.…Onoccasionaclientmightlookatusinanareaandsay,‘Youdon’thavetheresourcestostaffthismatter,’buttheyneverlookatus and say, ‘You don’t have the quality of lawyers.’ We have unbelievablequality in the practices that we have. I like that, and I think that’s reallyimportant.You can have other strategies to be successful, I’m not saying youcan’t.Yetwe’vechosenquality.”

IfweendedtheconversationaboutvaluewithCourter’sstatement,wewouldbecoveringonlyhalfof the issue, for it’snotenoughto justbring thebest in;you have tomake sure to foster an environment inwhich everyone can bringtheirgiftstothetable.Youneedtorecognizethevalueandqualityinadiverseworkforce,andyouneedtomakesureyouareabletoharnessthattalent.“Ithinkthatonewouldbehard-pressedinthisdayandagetofindanyoneata

firmofthecaliberofPerkinsCoiewhowouldsaythatpromotingdiversityandinclusioninthelegalprofessionisabadidea,”saidLindaWalton,thechairofthefirm’sStrategicDiversitycommittee.4“Infact,mostlawyerswouldtellyouthatbecausea trulydiverseand inclusive firmdelivers farbetter service to itsclients, the promotion of diversity and inclusion is, in fact, a very good idea.Unfortunately, many a good idea in this world has never come to fruitionbecause of a loss of momentum after a glorious inception.” Fortunately forPerkins Coie, their leadership has not lost momentum; they have followedthrough,inwayslargeandsmall,andfacilitatedanenvironmentinwhichtheiremployeescanbethemselves,andthefirmisverysuccessful.Anumber of thePerkinsCoie associates I talkedwith during a focus group

spokeoftheirinitialexperiencestartingtoworkthere,andtheyconfirmedthatevenwithinthenormalchallengesofbeinganewassociateatafast-paced,high-poweredlawfirm,theyfeltvaluedandincluded.AlvaroAlvarez, an associatewith PerkinsCoie since 2003, said, “I’d never

heardofPerkinsCoiebeforetheycameouttorecruitatMichigan.Theyseemedgenuinelyfriendly—notjustinterviewfriendly—andveryinterestedincreatingadiversegroupofemployees.SoIcameoutforthesummer,andIfoundoutthattheywereverycommittedtodiversity.AndnineyearslaterIstillseethat,andit’simportanttome.”Otherassociates talkedabout thesupport theyreceivedonmoving toSeattle

fromtheirmorediverseorigins.“MyimpressionwhenIgottoSeattlewaslike‘Whereareallthebrownpeople?’”saidoneperson.“Yetwhenyougetintothefirm, theyhave all this support—diversity committees and support groups andaffinitygroups.”Atfirst,shethoughtallofthevariousgroupswereabitmuch,butthenshecametoseeitdifferently.ThefirmunderstoodSeattle’slimitations,asfarasbeingarelativelyhomogenouscity.Andthefirmwasmakingasincereeffort to understand how that might affect someone coming from a different,morediversesetting,andtoremedyit.“IfIwasinNewYork,”shecontinued,“Iwouldn’tneedtohaveadestinationmeetingpointtofindotherpeoplewholook

likeme.I thinkwhatPerkinsisdoingisreallyimportant—theywantdiversity,theyrecognizethecitythey’rein,andsotheywantpeopletofeelcomfortable.Partofhelpingwiththeinitialtransitionisbeingabletobewithpeoplewhoarelikeyouandwholooklikeyou.It’snicetonotfeelaloneatfirst.Itfeelsalittlecontrived,butitworks—it’sreallybeenhelpful.”Oneofthereasonsthatmoreemployeesarefullyengaged—withtheirhearts

andminds—at great companies like Perkins Coie is that formal and informalsupport networks create strong internal ties among thosewhomay be seen asdifferentorwhomayholdpositionstraditionallyseenashavingdifferentstatusorvalue.Thesenetworks create a senseofbelonging forpeoplewhomaynotusually feel like part of the group, and they provide an opening for people toshare their ideaswhen theymaynot initiallyhave theconfidence to speakup.Diversitynetworksandcollaborativegroupscanalsoserveasresourcenetworksthat expose executives or seniormanagers (whomay be amore homogenousgroup)topeople,sourcesofinformation,andideasthataredifferentfromtheirown.Thesenetworkscanalsohelpthoseexecutivesunderstandwhyitmaybedifficult for people who are “different” to feel comfortable in some businesssettings.Participantsareemboldenedtocontribute,withoutlosingtheirvaluabledifferentwayoflookingatthings.Whennew recruits atPerkinsCoiebecomemembersof the team, theyhave

accesstofirmleadersandareintroducedtoclientssimplyas“mycolleague”—not“myassociate”or“juniorassociate.”Thesesimpleactsofinclusionhavehada tremendous impact on someof the newer associates,who commented aboutthe difference between their experiences at Perkins Coie and those they haveheardaboutfromtheirfriendsatotherlawfirms.“Wehaveaccesstotheleadersofthefirmbecausetheyshowupatevents,”saidone.“Wegettomeetthem,andwetalkaboutcasesandissues.”Nooneiswearingrose-coloredglasses,though.Theassociatesunderstandthat

theyareatPerkinsCoiebecausetheymeetthecentralcriteria:theyfallintothe“unbelievablequality”category.Theyalsoknowthattheirparticularperspective,which has been influenced by who they are and their unique experiences, isgenuinely valued. Associates were frank about the fact that the work ischallenging and hours are long.Yet everyone understood that theywere therebecause of the quality of their skills and ability to contribute, and that madeeveryonefeelincludedandvalued.

Ihavealwaysbeenimpressedwiththediversityofthefirm—notjustethnicorgenderdiversity,whichthrive,butalsodiversityofbackgrounds,pointsof

view,andparticularstrengths.Thismakesthefirmanextraordinarilyrichandenjoyableplacetowork.

—Associate,PerkinsCoie

ACTIVELYSEEKINGOTHERS’IDEASOnce a great group of people have been invited into an organization and itsculture, it is important to get them to stay, and to take advantage of both theincredible talent they brought with them and the potential growth they willpursue during their career. What will keep people, and what leaders need topursueas thenextstep in the inclusionprocess, is tocreateanenvironment inwhichpeople’sideasareactivelysought.GeneralMillsisacompanywithalonghistory.Itsrootsgobacktotwoflour

millsthatwerebuiltonthebanksoftheMississippiin1866.Whilethecompanyhas always been involved in food production, there were years when otherproductswere apartof theGeneralMillsportfolio.Yet in the recentpast, thecompanyhasreturnedtoitsprimaryfocusonfoodproductsandhascontinuedtobeverysuccessful.AndatGeneralMills,asatPerkinsCoie,adiversegroupofpeople has been genuinely invited into the business and, through variousmechanisms,theirideasareactivelysoughtout.In my discussions with leaders and employees alike at General Mills, one

consistent thread that ran throughout all the stories was a focus on solvingproblems or pursuing opportunities by seeking new ideas and trying newapproaches.ChairmanandCEOKenPowellsaidthatoneofthereasonshecametoGeneralMillsafterbusinessschoolwasbecausehewantedtheopportunitytocontribute thatGeneralMills espoused; hewanted to actually have a voice insolving problems and finding a new approach. “I was at Stanford businessschool,andIwasclearthatIwantedtobehands-onandrunandleadsomethingthatwasreal,”hesaid.“SoIcameouthere,andIlovedthepeopleImet,Ilikedthebrands,andIfeltlikeIwasgoingtogettorunsomethingandhaveanimpacthereprettyearly.“Icame inasamarketingassistant,andIwas theonlyguyfromCalifornia,

and Ihadabeard,”Powell recalledofhisearlydays,“so Iwas themarketingassistant on Nature Valley Granola—a little bit of typecasting. I did that, yetrightawayIwasalsogivenopportunities,andforme,that’swhereweareverydifferentasacompany.Mynextproductwastohelpproduce,distribute,andsell

Yoplait. Thatwas a great experience, completely different,with a small team,very self-contained.Wemademistakes and learneda lot on theway.…Evengoingbacktowhenthecompanywassmaller,Ithinkoneoftheapproachesherewas to do different things because that’s how you learn. People were veryflexible—howeveryouwanttodoit.”Powell’sideaswereactivelysought,andhewas given the chance to implement the ideas himself. The lessons he tookfromthisexperiencearereflectedinhisownpracticeofinclusionasaleaderandinthecommitmenttoopennessheencouragesallleaderstopracticethroughoutGeneralMills.Manyof theemployeeswithwhomI talkedexpressedasentimentsimilar to

Powell’s.TheywereattractedtoGeneralMillsbecausetheyfelt itwasaplacewhere they could have a voice, and they’ve been given the same access toopportunities.“Iwork inHRnow,and I startedmycareerhere inmarketing,”said one employee. “I think what I’ve seen about General Mills is that wegenuinely value people, that we value each other. Having worked at othercompanies, that’s something very special, and that’s one of the reasons I’vestayed.”“Forme,”saidanotheremployee,“what’sgreatisthecultureofcollaborative

teamwork thatmanifests itself inmanydifferentways.Oneway is thatpeoplelookbeyondtheirfunctions,sothefinanceanalystdoesn’tthinkofherselfasjustafinanceanalyst,butwhensheseesthemarketingdecisionsgoingawry,she’llspeakupinaproductiveway.Peoplethinkbeyondtheirrolesforthegoodofthebusiness.Anotherwaywe see collaborative teamwork is just in very creativeproblemsolving—bouncingideasoffeachother.”Ahugepieceoffosteringthisenvironmentwhereideasareactivelysoughtis

mentorship.Powellspokeofpeoplewhomentoredhim,helpinghimtoseethevalueinencouragingothers,givingthemroomtogrow,andencouragingthemtodeveloptheirideas,trythemout,andlearnfrommistakeswhentheyhitbumps.Powell’sownexperiencesreflectacultural threadexpressedbymanypeople

—GeneralMills values the person andwillworkwith you to ensure that youfindyourplace.Peoplemaybe in their sweet spotwith thevery first job thattheygetatGeneralMills,oritmaytakemoretimeandafewdifferentmoves—yetwhenpeoplearegenuinelyinvitedin,andaskedtoshareandthenimplementsomeoftheirideas,theinvestmentthattheyhaveintheircareerandthesuccessof the company is heightened tremendously. What is distinctive about thisapproachatGeneralMillsisthattheemphasisisplacedongenuinelylisteningtopeople’sideasfirstandthendetermininghowandwheretheymightfitin.

Whena leadermakes ahabit of seeking ideas, shemay routinelyhear greatthoughtsabouthowtoimproveafunctioninthetechdepartmentfromsomeoneworkinginHR.IfthatpersoninHReversignalsrestlessnessordiscontentwiththeHRposition,theleaderalreadyknowstosteerhimtowardaroleinthetechdepartment. Yet in a companywhere seeking ideas is not part of the culture,leadersandmanagersmightneverseethestrengthorskillsetinthatemployee—andwouldrisklosinghimtoanothercompany.Onemanagerspokeofthewaysinwhichheisabletohelpsupportmembers

ofhissalesteamtopursuetheirownsuccess.Mainly,hesaid,heworkstomakesure those who report to him are not seen as competitors. “Instead, we’reencouragedtocreateanenvironmentwhereIcansayasamanager‘Idon’twanttoseeyousucceedasmuchasme,butevenmorethanme.’I thinkpeopleareencouragedbythatandwillworkevenharderforyou.”Significantly, this practice of encouraging people to excel and try out new

ideas isn’t reserved for just salaried workers; the culture is experienced byhourly employees aswell.An hourly productionworker said, “Everyonewhoworksherehas theopportunity tobeapartof things thataffect their job.Youcanbepartofaspecialproject,beononeofthemanycommittees,orsubmitasuggestion.Participantsintheseprogramswillgettheirideasandthoughtsheardaboutthingsthataffecttheirworkinglife.”General Mills has a very diverse population of employees—diverse on a

number of the traditional diversitymeasures, but also in termsof the types ofpositions people hold and the international nature of the company. In fact,Powell’s own experiencesworking abroad forGeneralMills taught him aboutthe importance of seeking diverse points of view and the value of an activestanceoninclusionthatseekstobringinideasfromallthedifferentsourcesinanorganization.After about ten years at General Mills headquarters, Powell was offered a

positioninajointventurebetweenGeneralMillsandNestléthatrequiredhimtomovetotheUK.“IwasintheUKfiveyearsandSwitzerlandforseven,”hesaid—firstastheheadofmarketingandthenastheCEOofthejointventure.“Itwasagreatopportunity—thecompanywasreallylean,andweneededeveryone.Wehad seventy-five people in the head office but it was a very global company,competinginahundredandthirtycountriesaroundtheworld.Webuiltfifteentosixteenplantsallovertheworldandcreatedmarketingapproachesforallofthis.Idid that forelevenyearsand lived inanairplane, traveledaround theworld,worked with people from everywhere.When we talk about multicultural and

inclusionandyouworkinthatenvironment,there’sonlyonewaytodoit.Youjustincludeeverybody;youhaveto,it’sveryclear.Ofseventy-fivepeopleintheoffice,wehadtwenty-threedifferentnationalities.Itwasfun,itwasreallyalotoffun.“Ilearnedthatyouhavetoappreciatetheteamandthetalentyouhavearound

you and figure out how you’ll contribute as a leader,” he continued, “and itcertainlywouldn’tbebytryingtotellthemanagerinFrancewhattodowithhersalesforce.I thinkitworksbesttodevelopamuchmorecollegialapproachtothingswithmuchmoredebate.Attheend,myjobwastocrystallizethingsintocorestrategiesthatwouldbefundamentalanddrivetheorganizationforward.Itbecame very much an appreciation of the expertise around me. Some peoplestrugglewiththis.Noonehasalltheanswers,andthiswasacasewherethatwasabundantlyclear—andforme,workingwiththisgreatteamandgettingtoheartheirideasandworkwiththatwaschallengingandfun.”Powell had some signature experiences during this time that he has carried

withhimintohiscurrentroleasCEO.Hehastakenastanceoninclusionbasedonhisownworkwithpeoplearoundtheworld,seeingeveryoneasvaluableandsettingthemuptosharetheirideasandcollaborateforthelong-termsuccessofthebusiness.Powell’sopportunitiescametohimthroughworkassignments;youmayneedtomoreactivelyseekoutopportunitiestoworkwithpeoplewhoaredifferentfromyou.Askingforthoseexperiencesorcreatingthemyourselfcouldlead to a great deal of enjoyment as you learn to see things from differentperspectives and benefit from new ideas. It’s highly likely that your workprojectswillbemoresuccessfulaswell.

When I was being recruited I was brought here to meet people, seeMinneapolisandGeneralMills.Oneofmyquestionswaswhatwould itbelike to be a single blackwoman inMinneapolis. Itwas nothing to dowithGeneralMills,butthatwasakeyaspectofmydecisiontocomehere.Theysetupaweekendvisit so I couldget a senseof thecity and recommendedsomechurches forme, that I’daskedabout. IalsometwithMarkAddicks,ourchiefmarketingofficer.Thefactthattheywouldhavehimmeetwithmetohelpmeinmydecisionmakingwasamazing.Hetoldme,“Wewantthistobeagooddecisionforyou.Ourgoalistoansweryourquestionsattheendoftheday,nomatterwhatyoudecide.”Therewasnopressure;itwasjustaboutmakingsureImadetherightdecision.

—GeneralMillsemployee

SHARINGTHEBENEFITSAfter people have joined an organization, there is often a honeymoon periodwhentheglowofthenewjob,resources,andrelationshipsisexpressedthroughaperson’scommitmentandhardwork.Yetthatglowcanwearoffafterayearorsoiftherealityisdifferentfromwhatwaspromised.One of the distinctions of a Trustworthy Leader—a distinction that carries

throughtothegreatcompaniesinwhichtheywork—isanabilitytoensurethattheglowthatmostemployeesexperienceduringtheirfirstyearscarriesforwardthroughouttheircareers.Animportantwaytodothisistoreinforceaperson’ssenseofhisorherpersonalvaluetotheorganization.Thisoccursinpartthroughanemphasisongrowththroughoutacareer,whichwillbecoveredinmoredetailinChapterSix.Butanemployee’svalue isalsoreinforced throughsharing thebenefitsthatarecreatedbytheorganization;thiscomesfromtheinfluenceofatrustedleader—andthatleader’sstanceoninclusion.Aleader’ssuccess in theareaof inclusion,aswithallof theelements in the

VirtuousCircle, is dependent in part on the consistency of actions andwords.Were the promises made during the recruiting process kept?Was the culturerepresented true to a culture that still exists? Trustworthy Leaders are able tomakegoodontherecruitmentandwelcomingsheen:theyfindwaystoequitablyrewardpeoplethroughouttheircareers,tofullyincludetheminthecompanyandin its successes. This confirms to people that they are seen as valuable to theorganizationbeyondtheinitialrecruitingandhiringperiod.At ACIPCO (American Cast Iron Pipe Company), based in Birmingham,

Alabama, the practice of inclusion began over a hundred years ago, beforeanyone had ever applied the word to the actions of leaders in business. JohnEagan, the first president ofACIPCO and one of its original investors,was aSouthern pioneer for racial justice, civic reform, and labor relations, and henurturedACIPCO into a thriving companybuilt on a foundationof theocracy.Hisphilosophymaterializedintheformofemployeebenefitsunheardofintheearly twentieth century: ACIPCO employees had a voice in companymattersthrough profit sharing, an employee suggestion system, and on-site medicalservices.Thiswasalldecadesbeforetheseprogramsfoundtheirwayintoothermanufacturingcompanies,orintoanyindustry,really.SodedicatedwasEagantohisworkforce,andsoconfidentintheirabilityto

begoodstewardsofcompanyresources,thatbeforehisdeathin1924heplacedthecommonstockofACIPCOintoatrustwithemployeesasbeneficiaries.Thissingular act from Eagan’s vision for the company transferred ownership andcementedinplacethefoundationthatstillguidesthecompany’soperations.Employees continue to receivemanybenefits and services as a result of the

Eagan Trust. These include medical and dental services, a noncontributorypensionplan,andanumberofotherfringebenefits.Aprofit-sharingbonusplanpermitsemployeestoshareanyprofitsthatmaybeearned.Andtheresultofallof this? ACIPCO has a reputation for regularity of work and good employeerelations, along with an astonishingly low turnover rate of between 1 and 2percent. One of the oldest employee suggestion systems in the countryencourages employee participation in improving practices in all areas of thebusiness.VanRicheyhasbeenACIPCO’sCEOforthepasttwentyyears,andhehascontinuedinthetraditionofEagantodowhatheknowstoberight,ensuringthatACIPCOoperatesfromastanceofinclusion.Anothercompany that takesa fiercestanceon lettingpeopleknow that they

are valued is Robert W. Baird & Co. Baird is an investment and financialservicescompanywithabout2,600employees,basedinMilwaukee,Wisconsin.Baird traces its roots back to the creation of First Wisconsin Company, thesecuritiesarmofFirstWisconsinNationalBank.Itwasnotuntil1948that thecompany’s name was changed to Robert W. Baird & Co., after its formerpresident.AlthoughtheBairdnamedidnotrepresent thecompanyuntilnearlythirty years after its founding, the influence of Baird’s leadership on thecompany’s culture began immediately with Robert Baird’s expressedcommitment to honesty and integrity in all services and a focus on meetingclient needs. This influence of leader values on the culture at Baird hascontinued through successive leadership changes, up to and including theinfluenceofthecurrentpresident,PaulPurcell.Purcellisaveryenergeticperson,giventoenthusiasticgreetings,strongpoints

of view that are clearly expressed, and a dynamic leadership style that hecharacterizes as oneof urgency.Whenhe took thehelm,his plans forBaird’sgrowthweremore aggressive than thoseof his predecessor,FredKasten,whohadbeenBaird’spresidentfortwenty-oneyears.Althoughtheirleadershipgoalswere very different, their leadershipvalueswere virtually identical. “Whatwewantedforthefirmwassimilar,buthowwewouldgettherewasdifferent.Iamaveryurgentperson.Hewasnotasurgent. Iwouldbreakmorechina thanhewould,andIwasabetterchangeagent.Whatbroughtmeherewasoursimilar

values about integrity, taking care of the client, and the dignity of everybodywhoworkshere.Infinancialservices,thedignityoftheindividualisreallyhardtofind.”Whenhe first tookover,Purcellwanted toensure thatallof thepracticesat

Bairdwere pointing in the same direction—one that included everyone in thevaluesof the firmand thatequitablyshared thevaluecreated.Thismeant thattraining and development opportunities needed to be offered to everyone, theabilitytoliveabalancedlifeneededtobeavailabletoall,andeveryoneshouldshareinthefinancialrewardsoftheworkplace.Itisinthislaststance—ontheequitable distribution of the financial rewards producedby the company—thatBaird has taken an approach unique to its industry—actually, unique amongmany industries. With its equitable distribution of rewards, Purcell and otherfirmleadershaveaffirmedthesingularrolethatleadersneedtoplayinlivingouttheirbeliefthateveryindividualdeservestobeincludedandtreatedwithdignity.Purcell’s first year asCEOwas an active one, and he has continued in that

vein. “Itwas very important emotionally, psychologically, and financially thatwebeincontrolofourdestinyasacompany,”Purcellsaid.“Thiswaspartoftheplan from day one, because we have really talented people, and what reallytalentedpeoplewantistoruntheirbusiness.Wedoplans,wesitdownandaskifpeople have the resources to run their businesses.We ask if they understandwhat isexpectedof them,andwecheckinwith theminsix to twelvemonths.That’swhatreallygoodpeoplewant.That’swhatadultswant.We’reareallyflatorganization,andwegetpeoplewhoareadultsandteamwork-oriented.“Every single employee gets a bonus tied to profits,” he continued. “This

includesourhourlyassociatesandlastyeartheirbonuswas9.5percentofbase.Everybody participates in the profits. Second, we take approximately 10–12percent of pre-tax profits andwe put it into profit-sharing. That’s a really bignumber, and it’s in addition to a 401(k) match of up to $2,000 per person.Approximatelyhalfofouremployeesareshareholders.Overhalfourpeoplegetpaidthreedifferentwaysinadditiontotheirbasecompensation,andtheyshareinwhatwedo.Everyonefeelsimportantandpartoftheplace.”Purcell is an avid capitalist, and he does not shrink from criticizing his

industry for practices that he believes do not reward what he finds to be thehonorandintegrityofcapitalism.“Maybemeritocracyisabetterword.We’reaninvestmentbanking firm, so it can’tbesocialism.Everybody isnotequal, andthey don’t get paid the same, but everybody gets treated well, so that theyabsolutelybelievethatwhattheydoisimportant—becauseitis.Themailguyis

important.He’spartofthegame.”Purcell believes inclusion on this scale not only is an ethical way to treat

people,butreapsbusinessbenefitsaswell.“Ithink,unfortunately,ourindustryforthemostpartisallaboutmoneyandgreed.NewYorkbelieveseverythingisabout power andmoney; but not everything is about power andmoney.At 2A.M.,whenthatanalystseesthatanumberiswrong,hehasthechoicetostaytil4A.M.andfixit,orgohome.That’snotaboutpowerandmoney,andhe’ssotiredthatit’snotaboutfeareither.Heeithersays,‘IamaprofessionalandIamgoing to get this right,’ or he doesn’t care. That choice comes from a beliefsystem.Youwantthemailguytobereallygood,andyouwantthereceptionisttobethebestreceptionist.Youwanteverybody,nomatterwhat their jobis, totakeprideintheirjobandbelievethatitmakesadifference.Iftheydo,thenthatbottomuplivesonitsownoxygen.Youhavetohaveasoultodothat.Youhavetobelievethatit’sreallyimportant.Youhavetobelieveit’stherightthingtodofromahumanpointofview,andyouhavetoknowthatit’stherightthingtodofrom a corporate strategy point of view.We are privately held and employeeownedbecauseforusthatisthebestapproachforexecutingthisstrategy.”Theseareforcefulwordsfromaverydynamic leader,words thatconveythe

strengthanddepthofhisconvictionthateverysinglepersonwhoworksatBairdis important. This strength of conviction is found throughout the TrustworthyLeaders atBaird and among the employees aswell.Although thewords usedmaynotbequiteasassertive,themeaningisthesame.Baird’s stanceon the equitable treatment of all has translated into somekey

elementsofsuccessinthemarketplace.SeniorleadersatBairdareunequivocalin their linking of the company culture to their financial success, regularlyaffirming that in fact it is the major differentiator between Baird and itscompetitors. The challenging economic climate has only emphasized thatdifferentiation.Since the beginning of 2007, Baird successfully recruited more than 175

experiencedprofessionalstopositionsattheofficerlevelofseniorvicepresidentor above across many of its business units. Many of these highly regardedveterans could have chosen to work at topWall Street firms, often for moremoney than theywould receiveatBaird.Yet theychoseBaird, and theyoftencited the strong culture as the reasonwhy. In 2010Baird’s voluntary turnoverrate was 7.3 percent compared to the 19-percent national average for privatesectorcompaniesintheUnitedStates.Bairdisaverysuccessfulorganizationinterms of their culture, their reputation in the community, and their financial

performance.Peopleunderstandwhyandworkveryhardtoprotectandpromotetheintegrityofeverythingthattheydo.

WhenItransitionedtoBaird,Iwasshockedandsurprisedathoweverybodywas so willing to work together for the common good, which was mostimportantlyyourclient.Itwaslookingforwaystosayyesbeforewehavetosayno.Everybodypullstogether,anditisincrediblyrefreshing.I,too,lookatitasablessingeveryday.

—BairdemployeeThepeopleherereallyrespectyouforwhatyoudo.Theyareeasytotalkto.It’seasytoworkhereandgetmyjobdone.Indoingthat,Icansleepwellandcome into work and talk to people without feeling like they were beingcondescending or that there were ulterior motives. I didn’t realize howdifficult itwas,howpolitical and territorial, andhowmuchpeoplehoardedinformationwhenIwasatanotherplace.Iguesswhenyou’reinaplacelikethat you just think that’s howwork is.A lot ofmy friends can’t believe itwhenItellthemwhatit’slikehere.

—Bairdemployee

CONTINUINGTHECIRCLEWhena leaderactsfromasenseofhonor,youwillalsoseeaninclusiveworkenvironment. Leaders who express humility, encourage reciprocity, and showawareness of their positionwill be sure to clear the front steps so that peoplewhoareinvitedintotheorganizationseeapaththatisopen.Justasimportant,ifyounoticeaworkenvironmentthatisinclusive—inwhich

peoplearefreetobethemselves,areconnectingwithoneanotherregardlessofbackgroundortitle,andshareequitablyinthebenefits—youshouldtakeacloselookat thatcompany’s leader.Youwill likelyseeall theearmarksofsomeoneoperating from a sense of honor. The two qualities are complementary andintertwined.Both honor and inclusion represent a philosophical stance. Though they

certainlymanifest inaleader’sactions,at theirfoundationtheyareconceptual.They are about how a leader feels and how a leader thinks, and they aregroundedinaleader’sinherentvaluesandthescoresofexperiencesthatshapealeader throughouthisorher life.Honorand inclusionunderlienotonlyhowaleaderleads,butwhoaleaderis.Howdoyoutapintothis,toyourowninherentvaluesandexperiences?Some

peoplebelievethatvaluesareunchangeable,thatyoucomewithwhatyougrewupwith.Andwhile early influences are significant, your experiences canhelpyoutouncoverdeeplyheldvaluesthatperhapsyouhaven’tyetfullyexpressed.Experiencescanbeexaminedand learnedfromyearsafter theyhappened,andcertainly new experiences can be pursued. Just as thinking about honor isimportant, so is reviewing experiences, looking for lessons, and pursuing newexperiencesthatmightbringyouintocontactwithpeoplewhoaredifferentfromyou—onwhatevercriteriayouchoose.Asyoudevelopyourleadershipapproach,askpeoplewhohavehaddifferent

experiencesthanyoutodescribetheirapproach,theirstrategies.Askthemtotellyou,asbesttheycan,whattheythinkhappenedthatgotthemtoholdthevaluestheydoandthenaskthemwhethertheyareabletoputtheirvaluesintopractice.Thenaskyourselfthesamequestions.Themoreawareweareashumanbeingsaboutwhatdrivesourbehaviorand

our choices to do one thing over another, themore opportunitywe create forourselvestomakeashift,toactwithgreaterclaritywithrespecttoourvalues.If

you want to be a Trustworthy Leader, then understanding what drives yourbehaviortowardsothersandyourabilitytobeinclusivewillbecriticaltoyoursuccess.In the next three chapters—Valuing Followership, Sharing Information, and

DevelopingOthers—wemovefromtherealmofvaluesandphilosophyintotheworkbeingcarriedoutontheground.YetthisstancethathasbeendevelopedbyTrustworthyLeadersofhonorandinclusionwillbevisibleinallofthe“ontheground” actions that leaders take and support in others. It is all part of theVirtuousCircle thatTrustworthyLeadersdevelopand lead fromas theymovethroughtheircareers.

UncoveringtheRootsofInclusionHowdoesaseniorleadercometodevelopastanceoninclusionthatsupportsagenuineinterestin others, awillingness to listen to their ideas, and a commitment to the equitable sharing ofbenefitswhensomuchofourcurrentcorporatestructurepretends tovalue theexactopposite?Bob Giles, managing partner of Perkins Coie, is someone who would be seen as a “typical”successful lawyer on paper.He iswhite,male, over fifty, and financially successful.Yet he isunique in his outspoken commitment to inclusion and in hiswillingness to take action.Gilesattributeshiscommitmenttoinclusiontoanexperiencehehadearlyinhiscareer.Giles explained, “Very early on as a managing partner, I went to one of theseMyers-Briggstrainingsessions—andreallywasconvincedbythatexperiencethatadiversegroupofpeoplecanconsidermoreinformationandmakebetterdecisions.”Thetrainerbroughttwogroupsofpeopleuptothefrontoftheroom.Onegroupwasidentifiedas“Sensers”andtheotherwasidentifiedas“Intuiters,”accordingtotheMyers-Briggsinventory.Thetrainertoldtheaudiencethathewouldshoweachgroupanobject,andtheywouldthenbeaskedtowriteaboutitasagroup.Heshowedboth groups an apple and then sent themoff to private rooms towrite about it.After the twogroups had left the training session, he told the rest of the participants that in about thirtyseconds,hepredictedthatsomeonefromthe“Sensers”groupwouldask,onbehalfofthegroup,tohavetheapple.Sureenough,someonestuckherheadintotheroomandaskedfortheapple.The trainer thenproceeded to tell theaudiencewhathebelievedwouldbe the toneof the twodescriptionsthatwouldcomebackfromthesedifferentgroupsofpeople.Again,hispredictionwas spot-on.TheSensersgaveavery concisedescriptionof the apple—its size, coloring, andotherspecificcharacteristics.TheIntuitersdescribed“amberwavesofgrainandhealthandthegrowthoftheappleonthetree.”Giles was both stunned and fascinated that two groups of comparably skilled, comparablytrained,andequally intelligentpeoplecouldapproach thesamesituationwithsuchpredictablydistinct perspectives. “I really developed an appreciation for the different ways that peopleapproachthings,”hesaidoftheexperience.Another example that was presented at this session also had a very clear impact on Giles’sunderstandingofthepowerofdifferentviewpointswithinanorganization.Inthisexample, thesamesituationwasconsideredbytwodifferent“boardsofdirectors.”Eachboardwascomposedofmemberswithdifferentwaysoffeelingandthinking.Gilessaidthat“youcouldreallyseehowthecompositionof theboardaffectedwhat theyconsideredandtheperspectiveof thedecisionthattheymade.Iwasstruckbysomeofthethingsthatonegroupconsidered—whenyouheardaboutitafterthefact,you’dsaywellsure,thatshouldhavebeenapartofthedecision—buttheother group just didn’t think about it—I didn’t think about it. So very early on, I became anadvocate of not having ‘yes’ people, but of bringing in people with different perspectives,becauseitwouldhelpmetomakethebestdecisions,helptheexecutivecommitteetomakethebestdecisions.”Gilesdidnotchangehisownperspectivesomuchasherealizedtheimportanceofopeninguphismind to the thoughtprocessesofothers.Doingsowouldgivehim thebest informationhecould use tomake decisions.And, he figured, if itwould be of benefit to him in hiswork toreceive information fromabroadgroupof people and a variety of perspectives, then surely itwouldhelp the firmand their clients aswell. “Ioften lookatdata andmakeanevaluation. Ifsomeonewantstotalktomeaboutaproblem,Iwanttosolvetheproblem.Sohereweretheseexamples ofways inwhich I could do a better job of solving problems based onwhowas a

member of the group discussing the problems. When I saw this benefit of having multipleviewpoints come to life in these training sessions, it made sense. So I’ve just gonewith thatapproacheversince.”Importantly, Giles is able to convey his perspective to everyone he consults with at work,ensuringthatpeopleunderstandhisbeliefintheirvaluetotheorganization.“BecausetheyknowthatIdon’tbringpeopleinastokens,”hesaid,“thatIwilllistentothem,theyjoinup.We’vehadsomeprettysignificantdiscussions,andIdon’tmindthat—butwhenwefinallymakeadecision,wehave togo forward together.Even if Ihaven’t changedmymind, Imayhavechangedmyperspective.”

Notes

1.“EPluribusUnum:DiversityandCommunityintheTwenty-firstCentury,”ScandinavianPoliticalStudies,30(2).Intheabstract,Putnamstates:“Inthelongrunimmigrationanddiversityarelikelytohaveimportantcultural,economic,fiscal,anddevelopmentalbenefits.Intheshortrun,however,immigrationandethnicdiversitytendtoreducesocialsolidarityandsocialcapital.NewevidencefromtheUSsuggeststhatinethnicallydiverseneighbourhoodsresidentsofallracestendto‘hunkerdown.’Trust(evenofone’sownrace)islower,altruismandcommunitycooperationrarer,friendsfewer.Inthelongrun,however,successfulimmigrantsocietieshaveovercomesuchfragmentationbycreatingnew,cross-cuttingformsofsocialsolidarityandmoreencompassingidentities.”2.ScottPage,TheDifference:HowthePowerofDiversityCreatesBetterGroups,Firms,SchoolsandSocieties(Princeton,NJ:PrincetonUniversityPress,2007),375.3.AmyLyman,“CreatingTrust:It’sWorththeEffort,”GreatPlacetoWorkInstituteWhitePaper,SanFrancisco,CA,2008,updated2011.4.CoiePerkins,Diversity2009YearinReview.

CHAPTERFOUR

VALUINGFOLLOWERSHIP

Imagineyouarewatchinganorchestraperform.Whatdoyousee?Aconductor,wavinghisbaton thiswayandtheother,encouraging thestrings tocomeinatjusttherighttime,thewindsatanother,andfinally,atjusttherightmoment,thepercussion.Theconductorwillbethefirstindividualwhotakesabowattheend—after all, he’sbeenon thepodium, in the “leadership”position, creating thebeautiful music you’ve enjoyed all evening. But what would he beaccomplishingwithoutmusicianswillingtofollowhislead?Therewouldbenomusic—just an odd person in a tuxedo waving a wand, and lots of noiseemanating from individual instruments, sometimes in sync, yet at others,clashing.Agreatconductorunderstandsthatinordertobeeffective,it’sallaboutthose

musicians andwhether they’rewilling to followhim.Without followers, he isstanding alone either in silence or in discordant chaos. A Trustworthy Leaderunderstands this as well—that leadership success is inextricably linked topeople’swillingnesstofollow.Although the topic of followership does get stirred up at times in the

leadershipliterature,mostlyitremainsbelowthesurfaceofthebigflashofnewideasandtheoriesabouthowtobea“better”leader.Inmostreportstheleaderisstill at the center of it all, the onewhomakes the difference. It is his or hereffortsthataresingularlypraisedandanalyzed.Yetthisisnotthecaseingreatworkplaces.Duringmyinterviewswithsenior leadersatBestCompanies, Ialwaysheard

comments and stories about the importanceof followers.Leaders talked aboutengagingfollowerswhentheyspokeoftheirownwork,whattheyenjoyedmost,the lessons learned, and their plans for the future. Yet in our current publicconsciousness, I’veyet toseewidespreadrecognition that thegreat leadersarethosewhoaremostrespectfuloftheirfollowers.During much of my formative study about life in organizations—first as a

graduatestudent,thenasaprofessor,andduringmyinitialconsultingdays—thestories to read were often about leaders like “Chainsaw” Al Dunlap of Scott

Paper and Sunbeam-Oster, whose claim to fame was his decisiveness andwillingness tocutpeopleoutof theorganizationwithouta second thought.Orthere were stories about GE’s Jack Welch, whose infamous forced rankingsystemwasusedtodothesamething,butwithaprofessionalflairthatreceivedmorepositiveacclaim.Thefocusforbothoftheseleaderswasontheirabilitytorankandseparate,topromotesomeandgetridofothers,sothattheorganizationcouldmakemoney—asmuchaspossible.Theconsequencesoftheseactionsforthe followersweresometimesdiscussed—the layoffs,hardships, impacton thecommunity—but they were accepted as the consequences of smart businesspracticesandstrongleadership.At that time there was a small group of people who pointed out that these

practiceswereharmfulanddestructiveofbothpresentand futurevaluewithintheorganization,yettheircollectivevoiceremainedunderthelouder,sometimesscreaming voices of people wanting to celebrate the actions of great, toughleaders takingaggressive action to lead theway—pullingpeoplewith themorthrowingthemoverboardiftheyhadto.In 1994, Warren Bennis was one voice of reason trying to change the

discussion about leaders and followers. A notable chronicler of leadershipbehaviorhimself,heexplainedourfascinationwithpeoplesuchasChainsawAlandJackWelchasinevitable,givenourstarstruckculture.Yethealsosawitasmisplaced:

Asalongtimestudentandteacherofmanagement,I,too,havetendedtolooktothemenandwomenatthetopforcluesonhoworganizationsachieveandmaintaininstitutionalhealth.ButthelongerIstudyeffectiveleaders,themoreIamconvincedoftheunderappreciatedimportanceofeffectivefollowers.…Inaworldofgrowingcomplexity,leadersareincreasinglydependentontheirsubordinatesforgoodinformation,whethertheleaderswanttohearitornot.Followerswho tell the truth, and leaderswho listen to it, areanunbeatablecombination.1

Bennis’sideasontheimportanceoffollowershipdidnotspreadwidelyatthetime,yet theyhavecontributed toa recentshift inattention to the interplayofleadership and followership. Professors and social psychologists StephenReicher, Alexander Haslam, andMichael Platow have argued that the key toleadershipisfoundbeyondthepersonasanindividualandinsteadresidesintheleader’sactivitiesasafunctioninggroupmember.Whatmanypeoplehavecalledleadershipinthepast, theseauthorsciteasasimpleexerciseofpower:“When

leaders resort tobrute force, itneeds tobeunderstood thatessentially theyareusing power, not leading. This is the distinction between ‘power over’ and‘powerthrough.’Thelatterisidentity-based;theformerisresource-basedandisnottrueleadership.”2

WhichbringsusbacktoAlDunlapandJackWelch,whoseexerciseofpowerwasoftenpresentedasleadership.Welch’sapproachwasgenerallyconsideredtobekinderthanDunlap’s,yetbothofthemfellonthesamesideoftheleadershipspectrum,choosingtouse“powerover”ratherthan“powerthrough.”Althoughbothmenwereabletoaccomplishmanythings,thinkofwhatmoretheycouldhaveaccomplishediftheiractionshadbeenbasedinarespectfulappreciationofall of their followers. People would have still been fired at times, and therewouldalwaysbestrongerperformersandweakerperformers,yetwithrespectfulappreciation,thedistractionsofbruteforcewouldhavebeenminimized,andthepotentialforcollectivesuccessmaximized.There is much about valuing followership that takes root in the honor and

inclusion beliefs of Trustworthy Leaders. Honor and inclusion provide thephilosophicalunderpinnings, thebackground, for theactions it takes toengagefollowers.Togobacktoourorchestrametaphor,thinkofhonorandinclusionasthe knowledge and sensibility that great conductors everywhere bring into theconcerthallwiththem.Theyarewellpreparedtodeliveraqualityperformancebeforethey’vetakenuptheirbatonsandthefirstnotehasbeenplayed.TheleadersfromthethreecompaniesIdiscussintherestof thischapterare

verydifferentfromleaders likeDunlapandWelch.TheseTrustworthyLeadersandtheirfollowerscreatesituationsinwhichtheinterplaybetweenleadingandfollowingdoes awaywith the stereotypeof the all-knowingor command-and-control leader. Leaders can be kind, ask questions, admit doubt during thedecision-makingprocess,andenjoythediscussionandcamaraderieoffollowers.Theyalsocananddopresent theirpositionsstronglyandclearly.Followersaswell avoid stereotypes: they are not “yes” people; they are “I can do this”people. They are able to be themselveswith no diminishment of their smarts,ideas,ordreams.Theyareparticipants in theworkof theorganization,able tocontributewithdignity—whatever thespecific taskis that theyareengagedin.Theability to followwithdignitycontributes to thenewdynamic:both leaderandfollowerarenecessaryfortheworkoftheorganizationtogetdone,andbothare able to make their contributions with their personal identity and integrityintact.

So what do Trustworthy Leaders do to engage followers? How do theycultivate the practice of followership within their organizations? For one,TrustworthyLeadersrecognizethatfollowingisachoice—apointoftremendoussignificance that contrasts with compliance-based behavior that I call pseudo-followership.Followingbasedincomplianceoccurswhenpeopleareapathetic,are working from a place of singular self-interest, or are working in anenvironmentof fear.When fear enters the relationship, honest feedback to theleader is lost, along with opportunities for creative idea sharing and inspiredcontributions.TrustworthyLeadersdoalltheycantoensurethatpeopleintheirorganizations choose to follow based on a shared identity and commitment,ratherthanfollowingbasedoncompliance.Onceapersonhasmadethechoicetofollow,TrustworthyLeaderscontinueto

build a relationship bymaking it clear that theywant an active participant toaccompany them—ontheproject, into thefuture,or inaspecificnewventure.Whenpeopleaccompanyeachother,theyareinformedofthedirectioninwhichthey are headed, they are given the tools to contribute, and they are asked tospeakup—totellthetruth.Finally,TrustworthyLeadersseekoutwaystoconnectwithpeopletoinspire

followership. They wish to know and be known so they can develop strongbondswithpeople,bondsthatwilldeepenastheentiregroupmovesforward.These three elements—choice, accompaniment, and connection—guide a

TrustworthyLeader’sapproachtofollowership.

CHOICETheroleofchoice in the leader-followerrelationship iscomplexandhas threedistinct threads to it. The first is the most immediately apparent one: whenfollowerschoose their leader, theconnectionbetween themisstrongerand thecommunicationismoreopen.Whenpeoplechoosetofollow,itisasignoftheirrespectfortheleaderandanacknowledgmentoftheconfidencetheyhaveintheleader’sintegrity.Inorderforpeopletofollowyoubychoice,youneedtocreatetheconditions

thatconveyyourtrustworthinessandinvitepeopleintotheorganizationinsuchawaythatit’scleartheydoindeedhaveachoice.Ifyoufailtodothis,thenyouwillgetcompliancebehavior,whichgetsemployeestodothetaskrequired,butnothingmore. The employee’s personal needs—for job security, income, or asteppingstonetothenextposition—willendupbeingthemostimportantonesthatguideherdecisions.The choice of a leader very rarely stops there,which introduces the second

thread:whenpeopleareempoweredtochoosetheirleader,morethanlikelytheyare also empowered to choose in other areas of theirwork.This createsmoreownershipinthatwork,moreprideandinvestment,andultimatelyabetterfinalproduct.And third, when choice is a factor in the leader-follower relationship, it is

rarely just about theCEOas leader andeveryoneelse as follower.Rather, thespirit of it runs throughout the organization as a whole, such that followersseamlesslybecomeleadersattimes,andviceversa,leadingtoanenvironmentinwhichthebestpersonforthejobathandisempoweredtostepupandisgiventhesupportofherteam.Richer,fullermusicresultsastheorchestraexpands.OfallthecompaniesthatIhavestudiedoverthepastmanyyears,theonethat

risestothetopwhenitcomestoclearlyarticulatingtheinterplayofleadershipandfollowership,andthatprovidesanexcellentexampleoftheroleofchoiceintheprocess,isW.L.Gore&Associates.Gorewasfoundedin1958byBillandVieve Gore, in the basement of their home, to serve the electronic productsmarket.While thecompanyhasbeenknownfor theuniquesuccess,creativity,and innovativeness of their products, it is also known as an organization inwhichculturalcreativity,integrity,andrespectthrive.Much of the literature about economic downturns warns leaders that “Your

best people will leave when the market gets tough.” They will be the mostsoughtafterbyothersandthushavethemostfreedomtomoveelsewherewhenthingsturnsour.Thishashappenedatmanycompaniesinwhichtheconnectionbetweenemployeeandleaderisbasedprimarilyontheemploymentcontractasopposed to resting on a strong, trust-based leader-follower relationship.Whenfollowership isstrong, thebestpeopledonot leave.Theyhaven’t leftatGore,where voluntary turnoverwas near 3 percent in 2010, or less than half of theBestCompaniesaveragethatyear(whichis itself lessthanhalfof thenationalaveragegivenby theBureauofLaborStatistics).Whenpeoplehavechosen tofollowleaderstheytrust, theywillstickwiththemthroughthickandthin.OnelongtimeGoreemployeehasheardassociateswhohavebeenatGoreaslittleasayearsayingoftheirleaders,“Iwouldfollowthemanywhere.”WhathappensatGore is special.Forone,peopledonothave titles; instead,

everyoneisknownasanassociate.Associatesareactivelyinvolvedinchoosingwhat projects theywant towork on.They are also involved in choosing theirleaders.AtGore,aleaderisdefinedasanassociatewhohasfollowers.Ifnoonewants to follow you, you won’t become a leader. Gore’s workplace, whendescribedbyoutsiders,isoftentalkedaboutasananomaly,possiblybecausethesenseofequalityandlackofhierarchythrowpeopleoff.Wehaveanexpectationthat people will have titles and positions that convey power, influence, andstatus,yetatGorethat’snotthecase.PeopleatGorehaveinfluencebecauseoftheircompetenceandskill,andthey

have status because they are all valued human beings who work in anorganization whose culture rests on the belief that each person is worthy ofrespect.Thewordpowerisnotusedoftenthere,exceptwhenpeopletalkaboutthepowerofacertainpieceofmachinery.Andsoitcanbedifficultforoutsiderstowrap theirminds around a place thatworks sowell—with its ownups anddowns,yetwithoutmanyof the traditional trappingsoforganization structure.While what happens at W. L. Gore & Associates is distinctive, it is alsoinstructive.Fromtheirexample,wecanunderstandwhathappenswhenleadingandfollowingworkwelltogetherinthepracticeofTrustworthyLeadership.TerriKelly, the currentCEO and one of the few peoplewho actually has a

specific title atGore (to fulfill legal requirements), gave some insight into thestrength of Gore’s culture and the role of followership in the company’stremendoussuccess.AtGore,peopleareinvitedintotheorganizationandaskedtobethemselves.Currentassociateslookfornewteammemberswhohaveskillsandabilitiesthatwillbeofbenefittotheorganization.Yettheyalsolookforan

independence of mind and a willingness to commit to the culture of theorganization.PeoplewhojoinGorewillgothroughmanyinterviewsbeforetheyareoffered

aposition.Thejobofferisactuallyaninvitation:tojointheorganizationwithinacertaincorecommitmentarea,explore,andthenmakefurthercommitmentstocontribute in specificways.Asnewassociatesgainagreaterunderstandingoftheirworkandthebusiness,theyhavethelatitudetoshapeandexpandbeyondtheir initial core commitment. Your commitments end up being your workresponsibilities—what other people would call a job description. People aregiven training, support, and time—and they are asked, as a part of theircommitmenttotheorganization,tocommittofollowsomeone.AtGore,everystepintheleader-followerdynamicisachoice.KellyherselfbecametheCEOthroughthissamedynamic.ShejoinedGorein

1983asaprocessengineer,andoverthepastdecadesmanypeoplehavechosentofollowherlead.In2004,whenGore’sthen-CEOindicatedthathewasreadytostepawayfrom

that commitment, the company started looking for a new leader.Associates atGoreareregularlyreviewedbytheirpeersandtheir team,andthesearchforaCEOwas nodifferent.The company’s peer-based leadership selectionprocesskickedintogear,andKellyemergedas thenextCEO,notbecauseshelobbiedfortheposition,butbecauseherpeerslobbiedforher;theywantedtofollowherlead.Kellyspendsalotoftimetalkingwithassociates.Shehasnoticedthatnewer

associatesaremuchmoreinquisitiveaboutthebeliefsandvaluesaswellasthefinancial strength of the organization—more so than when she started at thecompany twenty-sixyearsago.“It’snot justabout ‘what’s the job?’and ‘whatcanIexpecttobedoing?’”shesaidofquestionsshegetsfromthem.“It’smoretryingtogetatthefoundationofwhatthecompanyisallabout…theyaremuchmoreawareofhowquicklythatcanshiftorhowvulnerablejoiningevenlargemultinational companies can be if you don’t really understand the underlyinghealthofthecompany.”Thesenewassociatesarestartingtodefinewhytheywouldactivelychooseto

follow someone at Gore. When an associate begins work, he or she isencouraged to spend considerable time understanding the culture and buildingrelationships—talkingwithpeople,learninghowthingsgetdone,andbuildinganetwork.While there are sponsors and coacheswho provide guidance to newassociates, to help them navigate Gore’s cultural practices, there is much

observing,participating, andaskingofquestions thatneeds tohappen fornewassociates to really become a member of the organization. This emphasis onlearning rather thanmakingan immediate impact canbe abit unnerving for anewassociate,anxioustocontribute,yetitreinforcestheimportanceofnotjustwhatyouaccomplish,buthowyouaccomplishit.As Kelly explained, understanding the culture takes time. And Gore gives

peoplethattime.“We’rereallycautioustosay,‘Takeyourtime,’youknow,sixmonthsorayear.It’sveryfrustratingattheearlystagebecausepeopledon’tfeelthey’re earning theirworth.What they don’t recognize is that this is that rareopportunity to soak it all in, learn before they make a big decision or a bigmistake.You’rereallytryingtounderstandhowthingswork,andtheonlywayyoucanlearnthatistobeimmersedinthatenvironmentandhavefolkshelpyoulearnhowtobestdothisinthecontextoftheGoreculture.”BecauseGoreissoattentive to the time and attention it takes to help associatesmake those firstconnectionsandchoices, theyhaveto invest inpersonnelslowlyandcarefully.Theyhave tomake sure eachnewemployeehas coaching andmentorship, sotheydon’ttrytoassimilatetoomanypeopleatonce.Interestingly,what happenswhen you are empowered to choose yourwork,

and to choose a leader in this way, is that the leader-follower relationshipbecomesmorefluid.Onepersonmightleadaprojectbutthenslipintotheroleoffollowerwhenthatmakessense,onlytotaketheleaderreinsoncemorewhenthesituation isappropriate.Lettingpeoplechoose tofollowalsosupports theirabilitytochoosetolead.Thiscreatesanamazingsysteminwhichleadershipandfollowership dance together in partnership, creating a powerful experience foreveryone.One associate provided some examples of this dance as he spoke of the

opportunities for people to choose to be leaders and followers. “To be asuccessfulleaderatGore,”hesaid,“youhavetohavedevelopedfollowership.ItwasveryinterestingwhenIstartedtoseehowthisisnotjustaconcept,ittrulyishowleadershipworkshere.Ifyou’reinaleadershippositionandyoudon’thavefollowership,you’renotgoingtostayinthatposition.Youwon’tbesuccessfulasaleader.Todevelopfollowership,youusemoreinfluence-typeskillsthanyoudomanagementskills.”The associate finds the leader-follower relationship incredibly rewarding,

because as you’re developing your followers, you’re also developing them tobecomeleaders.“It’sverymuchacircle,wheresometimesyoustepforwardandtake the leadonan issue,but then,asa leader,youcan lookatyour teamand

say,‘Whocanstepforwardthistimeandtaketheleadonthis?’Insomeways,ittakessomeofthepressureoffbecauseyou’relookingatyourwholeteamasanensembleandsaying,‘Whocanbenefitfromsteppingforwardonthisissue?’”Inthisway,leadersfacelessstressintheirrolesasleaderswhentheyareabletoshareleadershipopportunities,andtheycanactuallychoosetobeafollowerfora while, letting someone else lead. It is no diminishment of their role orimportance in the organization—especially in a place like Gore—as everyoneknowsthattheyarevaluable.Another associate and leader remarked, “I see leadership potential in lots of

people,andit’sallsituational,basedonwhat’srequired,andpeopledothatalldaylonghereinallwalksoflife,nomatterwhatkindoffunctionyou’rein.”So, canpeoplebegreat followers if their leaders arenotgreat?AtGore the

answerisno;thustheyseektoensurethattheyhavegreatleaderssothatotherscan focuson following.Following isnot the sum totalof someone’swork—ithastodowiththewaythatpeopleinteractandmakedecisions,anditisachoice.Followingisnotlessthanleading,itissimplydifferent.PeopleatGoreseeoneanother’sabilitiesasvaluableandacknowledgethatdifferentpeopleneedtododifferentthingsatdifferenttimes:somewanttoandareabletolead;otherswanttoandareable tofollow;and thiscanswitchdependingon thecircumstances.AssociatesatGoreneed tobegoodatwhat theydo(their technicalexpertise),buttheyalsoneedtobegoodleadersandfollowers.AspiringTrustworthyLeaderswoulddowelltotakeafewlessonsfromGore.

Leadersarebestabletofulfill theirresponsibilitieswhenthepeoplewhoworkwith them have chosen to follow them. This creates a dynamic of activeparticipationasopposedtosimplecompliance.Leadershipislessstressfulwhenleadership opportunities are shared. And leading with followers who choosecreates a situation in which the leader is actively supported by people—andchallengedandquestionedaswell,yetitisalldoneinasystemofsupport.As Gore proves, there are excellent reasons a Trustworthy Leader should

create a relationship of choice for followers. Perhaps itwon’t be as culturallyingrainedasitisatGore,yettherearedefinitestepsaleadercantaketoincreasethe likelihood that followers have a choice in the matter. Simple things likeasking people who follow you for their input prior to making a decision canincrease a person’s sense that their contributions have value. Letting peoplemake the choices that theyarebest equipped tomakecan increase their sensethattheyarebeingrespected—andperhapsofferthemachanceatleadershipiftheyarealsoabletoimplementthechoicethey’vemade.

Ifyouare thedesignatedleaderofagroupyetareable tostepbackat timesandfollowsomeoneelse’s lead—andexplainyourreasonswhy—thenthatcanhelp toshift thedynamicofapermanentone-way leader-followerexchange tooneinwhichleadersandfollowerscansharetheirresponsibilities.Itmayalsobethatintalkingwithpeoplewhofollowyou,itbecomesclearthatsomeofthemwould rather be doing something else. Perhaps there is another leader theywould rather follow or another position or area of the company they’d ratherwork in. Ifyouaresuccessful inhelping thosepeople to find their sweetspot,then your own leadership credentialswill be enhanced,making itmore likelythatthepeoplewhodofollowyouwillfeelpositiveabouttheirownchoices.It’sallpartoftherelationshipsthatpeopleformandthemutualrespectthatdevelopswhenyouareabletochoosewhoyouwanttofollow.

What’shelpedmebesuccessfulisknowingwhentoleadandknowingwhentofollow.Ithinkthere’sthismisperceptionattimesthatasleadersweneedtohaveitallfiguredout,wheninreality,I’vegottohandofftheballwhentheknowledgeexpertissomeoneotherthanmyself.Theleadershipaspectisverysituational.It’swhenit’stimetoleadandwhenit’stimetofollow,andreallysuccessfulleadersatGoredothatverywell.They’rewillingtobevulnerableandhandthatballoffandnotfeelanyremorseordisappointmentinthat.

—Goreassociate

ACCOMPANIMENTIn amusical presentation, accompaniment is the action of playing alongwithothermusiciansasasupporteroftheirperformance.Theworkofanaccompanistis intended to add to the entire presentation, to bring it to completion. It isintendedtocomplementwhatisalreadythere,providingsymmetryandbalanceto the other parts that make up the entire composition. With an orchestra,ensemble,orothermusicalperformance that isn’tasoloact, thebeautycomesfrom the balance created from everyone’s contributions. The idea of theperformancealreadyexists—themusicalscore—yet therealityof theperform-ance happens onlywhen people start contributing, playing off of each other’scontributions, creating more from what occurs together than each individualperson’scontribution.Ifwe think of thework activities that occur in a great organization and the

creativity and innovation that are tapped into through collaborative work, thenotion of people accompanying each other is an appropriate and powerfulmetaphor.Andaswithmosteverything inagreatworkplace, it startswith theactions ofTrustworthyLeaderswho create the culture and the environment inwhichthiscanhappen.Inmanygreatorganizations,people talkabout theextraordinarysenseof the

place: that it feels different, that there is a sense of electricity to people’smovements and in the overall atmosphere. This happens when TrustworthyLeaderscreatetheconditionsthroughwhichfollowersareinvitedtoaccompanythem on the journey. Followers’ contributions are acknowledged as powerful,necessary,andvaluedelementsthatcreatetheoverallmusicoftheworkplace.Practicingtheartofaccompanimentisoneofthewaysinwhichanidealike

reciprocity,discussedinChapterTwo,canbebuiltonandexpanded.Reciprocitystartswithabeliefinthevalueofothers’contributions,andwhenthepracticeofseeking those ideas becomes continuous, it contributes to the creativity andforwardmovementthatareattheheartofaccompaniment.Themusiccreatedbya leaderandfollowersas theyaccompanyeachother ispartofwhat followersdescribe when they speak glowingly of their leaders and what outsiders feelwhentheywalkintoagreatworkplace.TrustworthyLeadersareexcellentatinvitingfollowersintotheworkactivities

of the organization. They take specific and unique steps, both immediate and

longterm,tocreateandsustainthesenseofaccompanimentthatwillmaketheirorganization special. An excellent example of an organization in which thepracticeofaccompaniment is in fulloperation isCH2MHILL,anengineeringandconstructionfirmthathasbeenrecognizedovertheyearsasoneoftheBestCompanies in the United States and in Australia, one of the Most AdmiredCompanies in the United States, and as one of the World’s Most EthicalCompanies.CH2M HILL is an employee-owned company, with twenty-three thousand

employeesaround theworld.Theirgrowthhasbeenboth internal and throughacquisitions. The founders started the CH2M part of the company in 1946,adding the “HILL” part through a merger in 1971. All of them agreed thatrespect,deliveryexcellence,andemployeecontrolwouldbethecentralvalues.BobAllen,theformerseniorvicepresidentofHumanResources,describestheorganization’s durability as grounded in these roots. “I don’t think sixty yearsago,folkssatdownandsaid,‘Thisisthekindofcompanywewanttobewhenweare$6–7billion.’Itstartedoutwiththefourfoundersdecidingthattheylikedtoworkwith each other. They set out some values for themselves, and thosevaluesstillexisttoday.That’sthecoreessenceofthecompany.”Followingthevalues established by the founders has guided leaders atCH2MHILL as theyhave invited people into the organization, encouraged them to speak up, andintegratedthemintothecollaborativeculture.One consistency that CH2M HILL has maintained over the years is a

commitmenttoaflatorganizationalstructureinwhicheveryoneknowsthattheyarevaluable,andallworktogetherto“buildabetterworld.”Inorderforthistohappen,peopleneedtobeabletotalkwitheachother,collaborate,andtrustthateveryone’sbestinterestsareconsidered.AswesawwithGore,practiceslikethisrequiretimetobeputintopracticeandutilizedsuccessfully.ChairmanandCEOLeeMcIntirespeakstotheempowermentthatemployees,

on thewhole, feel at the companywhenhe says, “We’re slowerhere tomakedecisions, and it’s very consensus-oriented. I’ve learned you’ve got to take alittle time.…Hereit’sverymuchdirectedfrombottomup.”Employeesknowthattheymakethedecisionsandtheyholdresponsibilityfortheirownsuccess.Outsidersmayraisequestions,yeteachprojectteamisresponsiblefortheirownsuccess. This sense of responsibility and ownership conveys the spirit ofindependence thatpervadesCH2MHILL,yetmore importantly it conveys thesenseof“us,”whichisakeyingredientinaTrustworthyLeader’sapproachtofollowership.

Allensaidthatemployeeshavealwaysbeenempoweredtoremindleadersoftheircorevalueseveryday.“Here,”hesaid,“whenpeoplegetofftrack—unlikea lot of companies where employees will complain aboutmanagement in thelunchroomoratthebar—itisofteninyourface.Itisanemailthatsays,‘Idon’tlike this’ or it is an employee meeting and a leader gets called out. Theenvironment allows folks to get comfortable calling out management aboutthings theydon’t likeorhaveproblemswith.”Although thismay soundmorelikeconfrontationthanaccompaniment,itisactuallyaveryimportantpartoftheprocessofcreatingthetrustthatallowsaccompanimenttohappen.Peoplewanttogetitright.AtCH2MHILL,thepeopleatthejobsitearejustasinvestedinthe quality of the performance—in this case, the building projects—as are theleaders.So inorder toget it right, toensurehighquality,peopleaskquestionsandtestassumptions,sothatwhentheprojectactuallybeginsandpeopleareatthebuildingsitelayingthefoundation,theentiregroupisinsync.GreatfollowersofTrustworthyLeadersarethosewhowillspeakupandknow

thattheirwordswillbeheard,considered,andevaluatedfortheirmerit—notasachallengetoauthorityorquestioningoftheleader’srighttobeinthatposition.TheTrustworthyLeadersatCH2MHILLmayhavetheirdecisionschallenged,yettheimportantroleafollowerplaysinpresentingthatchallengewillhelptheleader to better fulfill his responsibilities. This is beneficial followership,accompaniment at its best, and it’s what Trustworthy Leaders in greatworkplacesareaimingfor.CH2MHILL’sleaders—becauseoftheirheightenedvisibilitytoall—havehad

theweightyresponsibilityofcontinuouslyleadingbyexampletoremindothers,and themselves, that the culture at CH2M HILL is what makes the place sospecial.“WearecommittedtoacultureofRespectforPeople.Thisencompassesinclusionforallofouremployees,actingwithintegrity,andvaluingthediversityofourcolleagues,clients,partners,andcommunitymembersaroundtheworld,”said JohnMadia, chiefHR officer. “Our employees thrive here, and they feelcomfortable sharing unique viewpoints and perspectiveswith colleagues at alllevels of the organization.” CH2M HILL’s leaders strive to protect andencouragetheculturewhereverpossible.Tothisend,specialcareistakentohireandbringtogetheragroupofpeoplewhowanttoworkwitheachotherandwitheveryoneelseintheorganization.BobCard,presidentoftheEnergyandWaterDivision,spokeofthetimeand

energy spent on finding people who fit in well: “Whenever we recruitedsomebody, the first test was:Do they fit the firm?We didn’t care howmany

degreestheyhadorwhattheyhadtooffer.Iftheydidn’tfitpersonality-wiseinthe firm,weweren’t interested. It’s one of the things that I put onmy list ofreasons of why this is such a great company.We have, as a result, very fewpeople who feel they need to leave here because they don’t like the workingenvironment. They get attracted occasionally somewhere else, but very fewpeoplepulltheripcordandsay,‘Ijustcan’tdealwiththesepeople.’”This emphasis on finding people who will fit in well, combined with the

employee-controlledculture,hasperpetuatedanenvironmentatCH2MHILLinwhichpeopleareabletoworkalongsideeachother,withallcontributingtothesuccessoftheproject.Justaswithamusicalaccompanist,thescore(orprojectplan) is set and each person has his or her part that contributes to the overallqualityandsuccessoftheexperience.A final way that leaders at CH2MHILL value followership and encourage

accompanimentisfoundinthereasonswhypeoplearerecognizedandrewarded.Peoplearerecognizedandrewardedfortheirtalent,andanelementoftalentthatisheld inhighest regard is anability to collaborateandengagewithpeople—accompanyingthemintheirwork.Garry Higdem, president of the Transportation Business Group, shared that

during a recent reorganization within the energy division, some people askedhimforanorganizationchart.Hisresponsetothemwas,“It’snotabouttheorgchart.It’saboutthenetworkingandtherelationships—thecollegialatmosphereof walking down the hall and seeing somebody andmaking the conversationhappen.Keepingthedialoguemoving.”PatrickO’Keefe,seniorvicepresidentofCorporateAffairs,saidhefeelsthat

reward in the organization is based on relationship and value, that it’s noteither/or.“There’snotvalue[if]youdon’tgetalongandthere’snotrelationshipwithoutvalue.They’llrejectyouonbothcounts.There’smuchmoreuseof‘we’than‘I’inconversationhere.Youhavetogetoutofthefirstperson.Peoplewhouse‘I’toomuchdon’tlastlong.We’vehadsomepeoplewhodidnotworkoutbecausetheyweretoomuchaboutwhattheyaccomplishedforeveryoneandnotaboutwhatweaccomplishedtogether.”All this emphasis on collaboration and collegiality may appear too lofty or

time-consuming to make good business sense, but not to CEO LeeMcIntire,who is very clear on the powerful business benefits that come from thesepractices.Whenpeopleaccompanyoneanother,whenthatelectricityispalpableinaworkplace, it translates tohigher-qualityworkandastrongexperiencefortheclient.Whenpeopleareaccustomedtolisteningtotheircolleagues,ofbeing

respectfuloftheircolleagues,thentheyarethesamewaywiththeircustomers.“Customers tell me that we’re a little different than the competition,” saidMcIntire. “I’vehadanumberof theseoccasionswherecustomers say that thereason they picked us is that we listen to the customers more. …We’re upagainsttheverybestintheworld,soweneedsomedifferentiator.Akeyclienttoldme recently ‘You listen better,’ that that waswhy they chose our firm. Iwrotethatonmyblogthatnight.Itgottearsinpeople’seyes.”At CH2MHILL, accompaniment works because everyone has a say in the

business,leadersknowtheimportanceofrespectingtheirfollowers,andpeoplewanttoworkwitheachother.Thevaluesoftheorganizationareactuallyappliedin day-to-day situations and arewell integrated into the company’s hiring andrecognition practices. The quality of the firm’s projects is well known in themarketplace and everyone inside the organization knows why. They are atalentedgroupofpeoplewhohaveallchosentobethere,andeveryone—leadersandfollowers—contributestothesuccessofwhatgetscreated.Thepracticeofaccompanimentwill lookdifferentinotherorganizations,yet

the concept is certainly one that can be initiated by Trustworthy Leadersanywhere. It requires an ability and willingness on the part of leaders to seethemselves as a distinct part of the process of the organization, yet not as themostimportantpartoftheprocess.Eachpersonwillhavehisorherplacethatisimportantanddistinct.Asetofpracticesthatfollowsfromthissimpleacknow-ledgment includesemphasizingculture fitduringhiring,encouragingopenandhonest conversations, and rewarding the talent you want in the organization.These acts reinforce what is special and unique in the culture and enableaccompaniment to flourish.Peoplewillwant towork inyourorganizationandfollowyourlead.

For me, it’s like I’m running my own business. That’s really important,becausewhenyoufollowprocessesandyouhaveajobdescriptionandyouhaveareallysetskill levelandit’scommunicatedwell, theyjust letyougooffanddoit.Theyreallytreatyoulikeadults.Youaretrustedtodoexactlywhatyou’veagreedtodo,andyoudeliver.

—CH2MHILLemployeeThecompanybelieves thatyou’regoing todoagood job.You feel ahugesenseofresponsibility,andyouwanttodeliver.Atthesametime,ifyoudon’tdeliveryoujusthurtyourself.

—CH2MHILLemployee

CONNECTIONOneoftheexperiencesthatpeoplehavewhentheyworkinagreatorganizationisastrongandconsistentsensethattheirleadersandmanagersareinterestedinthem as people, not just as employees. The quality of this experience is asignificantdistinguishingcharacteristic thatmovespeople’sperceptionof theirworkplace from good to great. The personal relationship, the recognition thatsomeonehasa lifeoutsideofwork that is important, and theability tohaveagenuineconversationwithpeopleaboutthetotalityoftheirlives,areimportantways inwhichTrustworthyLeaderscreateconnections thatbond themto theirfollowers.AtaplacelikeGore,whereleadershipandfollowershipareinterchangeableon

afrequentbasis,people’sconnectionsareobviousanddeep.Storiesaboundofwaysinwhichpeopleknoweachotherandhowleadersandfollowersgooutoftheirwaytoconnect—askingabouteachother’sfamilies,travels,andhobbiesaswell asofferingadviceand support for challengesand triumphs.CH2MHILLalso places an emphasis on connection, yet with a workforce of twenty-threethousand—manyof themdispersed to jobsitesaroundtheworld—theways inwhichpeopleconnectwitheachotheraremorevariedandcreative,astheyoftenneed to include consideration for time and distance.What’s true everywhere,though, is the importance of creating connections and the responsibility ofleaderstoreachouttopeople, totaketheinitiative,asasignofthevaluetheyplaceontheirrelationshipswithfollowers.Another organization among the Best Companies in which connections

between leaders and followers are deep, constant, and full of respect isWegmans,auniquegrocerystorechainbasedinthenortheasternUnitedStates.At Wegmans, followership is present, yet it is not spoken of with the samedistinctnessanddetailasitisatGore,norwiththesamedirectnessasatCH2MHILL. AtWegmans, followership and connection seem to occur as a naturalextensionofpeoplegrowinguptogether,workingtogether,andsupportingeachother.Peoplewhowereoncefollowersarenowleaders,andtheyareextendingto their new colleagues the same invitation to follow that they receivedwhentheyfirststarted.ThestoriesaboutconnectionatWegmansareplentiful.EveryoneIspokewith

—whetheritwasDannyandColleenWegman,astoremanager,orastocker—

had a story to tell about how theywere cared for, listened to, or supported tolearnandgrow.Anditalwaysbeganwithaninvitationfromaleader.Leaders’storiesstartedwithhowtheythemselveswereinvitedtoformaconnectionwhenthey first joined Wegmans, and how they pass it on. At Wegmans, creatingconnectionsisawayoflife.“We’ve all worked with one another at one point in our career,” says an

employee,“andyoudon’tlosethatrelationship,youjustcontinuethenetwork.You’vegotpeopleyoucancallwhoareexperts,whethertheyarestillworkingwithyouoratanotherstore—youstillhavethoserelationshipswiththem.Youcontinuetobuildanddevelopthem.”“‘Comfort’ isawordthatcomestomindregardlessofwhoIaminteracting

withorwhattheirtitleortheirstatureisinthecompany,”saidanotheremployee.“BobFarristhemanagerofoneofthelargestvolumestoreswehaveoutthere.CertainlyalotofrespectgoestoBobandallthestoremanagersoutthere,butIknowasapersonIcanrelatetoBob.IcanrelatetoKevin(vicepresident,storeoperations).Theyareouttherebuildingrelationships.Theyaremyleaders.Iama leader for a certaingroupofpeople, andweare trying todo the same thingwiththem.We’rebuildingthatbond,socomfortisextremelyimportant.Wearenotacompanythat’shungupontitles—whocanItalkto,whocanInottalkto.It’sverypeople-oriented;youcanmakethatquickconnection.”Forhispart,BobFarrsaysthesameconnectionwasofferedtohimwhenhe

began.“Iremembercomingheretwenty-nineyearsago,”hesaid,“andwalkinginto this positive environment and all the hellos andgood-mornings andhow-are-yous.”Hestartedasacashier,andhewouldgotoamaindesktoseewhichtill he’d been assigned to each day. “It was always preceded with maybe aminute-longconversationof,howareyou,how’sschool,what’sgoingon,yourscheduleworkingoutwell?Thatwasalwaysareinforcementofwhat’sspecialhere—andit’sneverstopped.”A known fact to everyone who works there is that people are invited into

Wegmans to do good and to be nice people. They are given resources andtrainingtodotheirwork,andtheyareinvitedintomembershipinthegroupwiththebeliefthattheycanandwilldogoodthings.Andso,manyofthepeoplewhoworkatWegmansgladlyareactivefollowers,becauseinfollowingtheyget todogood—tohelppeople,tosmile,toenjoyeachother’scompany,supporttheircommunity, and contribute to a very successful business. They becomeconnectedtoeachotherinaworkplacethatthrivesontheexperienceofenjoyingthepeoplearoundthem.“That’showmostofourpeoplecometous,”saidCEO

DannyWegman.“Theyvisitourstoreandsay,‘Ilikethis.I’dliketobepartofthis,’and that’s the reallywonderfulpartabout it,whetheryouare fourteenoreighty.”DannyandPresidentColleenWegmanvisitdifferentstoreseverySaturdayto

talk with people—employees and customers—and continue to makeconnections. JackDePeters,Wegmans seniorvice-presidentofoperations, alsomakesconnectionsduringstorevisits.GerryPierce,a thirty-six-yearWegmansemployeewhonowhasresponsibilityforhumanresourcesacrossallstoresandcorporateoffices,speaksadmiringlyofstorevisitswithDePeters.“[Jackwill]bewalking around and noticingwhat he should notice—what the lines on thefront end look like, what the merchandising looks like. Then he’ll see anemployeedown theaisle,andhe’llwalkdown thereand justgooverandsay,‘Howareyoudoing?’Not‘Whatareyoudoing?’but‘Howareyoudoing?’Andshakes his hand. That makes that employee feel special: ‘That’s one of myleaders, he just came down the aisle just to say hi to me.’ ” The connectionhappens because it is sincere and natural, and the action that reinforces theconnection—saying hello, asking how someone is doing—is understood to beimportant.AccordingtoDanny,Wegmanshasalwaysvaluedconnection,fromthetimeof

the company’s inception.And they also spend time reinforcing it in how theyoperatethebusiness,asthenatureofthestorevisitsindicate.Theactofhelpingpeoplewhofollowtounderstandthatwhotheyareandwhattheydoisvaluableisnotanearth-shatteringsecrettosuccess—yetitisamorechallengingactivitythanmanyofthesophisticatedemployeerelations,customerservice,orstrategicengagement initiatives thatexist inmanyorganizations,because it is real. It ischallenging because in order for a person to understand that he or she isvaluable,theconnectionmustbesincereandhonest.When the example set by leaders is sincere and honest, it all works.

Connectionsspreadthroughouttherestoftheorganization,andtocustomersaswell.Andthebenefitsaretremendous,becausepeoplewanttocometoworkandwanttohelpeachother.Customerswanttocometothestores,andtheygetgreatservice.AndthereisalsoalongwaitinglistofcommunitiesthatwouldlovetohaveWegmansopenagrocerystoreintheirarea—notjustforthequalityoftheproductsbutalsoforthequalityoftheworkplaceexperiencethatpeopleinthecommunitywouldhaveaccessto.Asanexample,atthenewestWegmansstoreinPrinceGeorge’sCounty,Maryland,600ofthe650storeemployeeswerehiredfromthelocalcommunity.

“I think that it starts from the top,” said Farr. “If we get visits from ourcorporate leadership, it always startswith, ‘How are you, how are things, arethingsgoingwell?’ It alwaysbeginswith that.And it endswith that.Ourdayaroundthis tablealwaysstartswithaskingourfolkshowtheyaredoing.Thenwegetdowntobusiness.Wedothosethingsexceptionallywell,anditkeepsitgoing.”It does keep going—straight out to customers,who feel a connection to the

cashiers, the department managers, the stores, the whole company. ThatWegmans store that just opened in PrinceGeorge’s County in October 2010?They had 1,500 peoplewaiting outside to get in on opening day—with somepeoplearrivingasearlyas4A.M.tobefirsttoenterthenewstore.That’satruecustomerconnection!As JackDePeters says, “Wehaveone simple rule: incredible service.That’s

everywhere.Abrand-newemployeetodaycanfeelgoodaboutgivingincredibleservice.Theyareempoweredtoletnocustomerleaveourstoreunhappy.It’sasimple message. … Nobody leaves without a smile—a smile makes a bigdifference.”In2005,whenWegmanswasawardedthetopspotonthe100BestList,DePetersjokedthattheywerea$3billioncompanybeingrunbyteenagedcashiers—anobservationthatraisedsomeeyebrows.Butat theendoftheday,hesaid, it’s the truth.“Andifyoudon’tget it, thenyoudon’tknowthe jobofthatfrontend,”hesaid.“Becausethatiswherethecustomeristransactingtheirmoney. That’s where they are giving you the hard green. And you better bedoingitright.”

Ithinkthatyoureallyformquiteacamaraderiewiththefolksyouworkwith.Therearenetworksthatyouformwithpeople,beitinyourdepartmentorintheprogramsyouareworkingon.Youspendalotoftimewithpeoplesotheybecomeyoursoundingboard,peoplewhoarethereforyouandcareforyouandcarryyouthroughsomanydifferentthingsinyourlife.

—Wegmansemployee

NOTCONVENTIONALWISDOMThepractices thatenable leaders tovalue followership runcounter tomuchofthe leadership andmanagementwisdom about how to get ahead and beat thecompetition.Conventionholdsthatleadersoccupyaneliteposition,thinkingofstrategy and unique competitive formulas, setting out sophisticated protocols.The practices described in this chapter, in contrast, place emphasis on thesophistication of relating to employees. I’m not suggesting that conventionalwisdom is all wrong—merely that the total package is out of balance. Manyleadersplacetoomuchemphasisonstrategyandmarketshare,totheexclusionof attention to employees and culture. And the proof of the need to elevateemployeesandculturetothesamelevelasothersignificantissuesliesinthefactthat each of the companies in this chapter is beating their competition.Significantly.At Gore, they cite as one of their competitive advantages the clarity with

which leaders can move forward because they have been chosen by theirfollowers. At CH2M HILL, they cite their culture of accompaniment assomethingthattranslatestoabettercustomerexperience.AndatWegmans,theysay that their success is due to the fact that they have created a positiveenvironment where people want to spend their time—where everyone feelsconnected.Leadership in each of these companies is not a position but an activity.

TrustworthyLeadersunderstandthatitistheiractionsthatconveytheirabilitytolead,nottheplaceholdertheymayhaveinanorganizationchart.Followerswillreflect their leadersandchallenge their leaders tobebetter. If leadersareopenandhonest,chancesarefollowerswillbe,too.Ifleadersaskgoodquestionsandtry to get people involved in finding solutions and creating new options, thenfollowerswilldothat,too.Yetifleadersareconcernedonlywiththeirstatusandposition,well,followerswillfollow.Italldependsonwhatfollowersareinvitedintowhentheyjoin.IngreatworkplaceswithTrustworthyLeaders, theseparationoftheneedsof

the leaders from the needs of the followers is minimized, if not completelyeliminated. Excuses are not made for leader behavior that harms followers—suchbehaviorissimplysomethingthateveryleadercommitstoavoid.There’salotofhand-wringingin leadershipliterature thesedaysabouthowaleadercan

possiblydoalltheimportantthingsshewashiredtodoandalsopayattentiontothe needs of her followers. This concern rings hollow. There is nothingdisjointed between the actions of Trustworthy Leaders when they are leadingexternallyorinternally,becausetheyarealwaysthinkingofthefollowers.Thatis part and parcel of how they lead, how they successfully implement theirstrategy,pursuegoals,andcreateagreatworkplace.The leader isnotseparatefromthegroup;heorsheisamemberofthegroup—andthecommentsoftheleadersandfollowerssharedhereaffirmthisverybasicelementofTrustworthyLeadership.

CONTINUINGTHECIRCLEAlthough all of the elements of a Trustworthy Leader’s Virtuous Circle areconnectedandinfluenceeachother,theactiveengagementoffollowersservesasthefirststepthatTrustworthyLeaderswilltakeoutsideoftheirpersonalstanceon leadership.That is, a senseof honor and commitment to inclusion are firstdevelopedthroughthepowerfulexperiencesanddeeplyheldpersonalbeliefsofleaders. Valuing followership is the first step on the Trustworthy Leader’sjourney, in which the leader takes what is deeply held and seeks to make itvisible.Engagement and interactionwith followers requires that a leadermove into

that stageofhisorherdevelopment inwhich leadershipactionswillbe testeddaily.Sowithhonorand inclusionasaguide, followershipmeansopening thedoor,talkingwithpeople,andaskingthemtojoinyou.In the next chapter we’ll focus on another important leadership action that

helps to build trust and strengthen followership—sharing information. Greatleadersbuildtrustwithfollowersbygivingthemaccesstoinformationinwaysthat enable them to be successful. This continues the process of creating aVirtuousCircleofTrustworthyLeadership.

TheRootsofValuingFollowershipTerriKellybecamepresidentandCEOofW.L.Gore&AssociatesinApril2005,havingservedpriortothatasadivisionalleaderofGore’sFabricsDivision.InaSeptember2005interviewwithFastCompanymagazine,inwhichshewaslabeledthe“Un-CEO,”Kellyspokeoftheneedforleaders to be self-aware, to understand their flaws and their impact on others. She told of animportant early encounter she hadwith company founders Bill andVieveGore. The incidentharksback to thesenseofhumility inherent in the leader’s role,aswellas theopportunity forconnectionthatthiscreateswithfollowers.“Earlyinmycareer,”shesaid,“whenIwashiredasanewengineer,BillandVieveGoreinvitedmetotheirhouseforacookoutandpoolparty.Billwastheoneflippingtheburgers.”Althoughthatwasaniceencounterandcertainlyconveyedhumilityandequalityintheleader-follower relationship, it was just an introduction. As Kelly says, “Having grown up in thecompany,there’snodoubtthatI’vebeenshapedandmoldedbytheculture.Thosevalueswereinstilledinmeataveryearlystageinmycareer.IhadthegoodfortunetoknowtheGorefamily,togettoworkwiththem,soIunderstoodfirsthandwhatthisisallabout—Iwasapartofit inaction.Thathashelpedmenavigatedifferentleadershiproles.AndhereatGoreyou’rereallyputtothetestofmatchingwhatyou’dliketodofromthebusinessperspectivewithhowitmatchestheculturesothere’sconsistency.IthinkthebiggestthingIbringisarespectfortheculture,aswellasanappreciationoftheneedtostewardit.”Kelly always tells the associates that they need to be part of stewarding and investing in thecultureasmuchas theydo inproduct innovation.“Youcannot just let itdrift,”shesays.“Thetrickisnottohaveusliveinthepast.There’svaluetohavingourassociatesappreciatehowrichand deep this culture is, and it’s genuine all theway back to our founders.What I’ve found,though, is if you stop there, they want to go back fifty years. That’s not going to help thebusiness.Ourbusiness is different. Itwas smaller then, thingswere less complex, a lot of thebusinesswasconductedlocally—andthatworlddoesn’texistanymore.”Now they spend time talking with new associates about the values of the founders, showingvideos,andtellingstoriesabouttheearlydays.Yetveryquicklytheyshiftgearstowhatroletheassociates play as stewards of the culture. This is part of the effort to shift ownership for theculturetotheassociates.AsKellysays,“Ultimately,yes,Iplayanimportantrole,butifwedon’thaveeveryassociatefeelingthatsameconnection,it’snotgoingtowork.It’sfundamentaltoourphilosophythatwe’redistributingleadershipandownershipoutto8,500associates.”Kelly’searlyencounterswiththeGoreshadasignificantinfluenceonherunderstandingoftheimportance of choice in both leading and following. In part because of the humility shown inBill’swillingnesstocookforanewassociate,andtherespectthatwasconveyedtoherasanewassociate by the invitation to join as a fully valued and valuable contributor, Kelly chose tofollowBillandVieve.Andthedifferenceinworkqualitywhenchoiceisafactorissomethingshebelievesinverydeeply.KellyhasspokenoftenofthecommitmentatGoretohowthingsgetdone,not justwhatgetsdone.Althoughshefinds that thisplacesaparticular responsibilityonpeople in leadership positions, she also sees it as simply one of the elements of making acommitmenttobealeader.Somemaybelievethatitwouldbeeasierforaleadertosimplytellpeople“Justdoit,”yetKellybelievesthatinthelongrunaleaderwillbemuchmoresuccessfulifpeopleactbecauseoftheircommitmenttotheleaderandtheprocessratherthanbecauseofanordertodosomething.

Notes

1.WarrenBennis,“Followership,”USCBusiness,Spring1994.2.MichaelMcKinney,“LeadershipandFollowership,”interviewwithAlexanderHaslamandStephenReicher,Vision:InsightsandNewHorizons,Winter2008.

CHAPTERFIVE

SHARINGINFORMATION

Mostofushaveheard thesaying“Information ispower”at somepoint inourworkinglives.Employeesmayutterthephraseinfrustrationwhentheyfeeltheirleadersormanagersarewithholdinginformationinordertokeepaholdontheirpower.Or it can explainwhy,whenyou ask for information, theother personsuddenly becomes reluctant to share. It also affirms why somany companieshave entered the information discovery and sharing business—information ispowerful,valuable,anduseful.Gamesofhide-and-seekinsideorganizationsinwhichinformationis thebait

aresomeofthemostdestructiveandleastsuccessfulcorporatepractices,giventhe radical shifts in access to information that have occurred over the pastdecade. They consume significant amounts of time and energy, divert peoplefromtheircollectivecontributionstotheorganization,andcausegreatharmtoaleaderseekingtobeseenastrustworthy.Giventhebenefitsofsharinginformationintherightwayandthedrawbacks

of withholding it, it stands to reason that leaders who want to be seen astrustworthymust figure out effective ways of sharing information. Two-waycommunication—sharing information, receiving feedback, and sharinginformationagain—isabsolutelycriticaltothedevelopmentoftrust.Manyofthepracticaltoolsusedforsharinginformation—suchasnewsletters,

staff meetings, and email blasts—can be easily identified and implementedwithin most organizations. Sharing information with people via email orbulletinspostedoncompanynoticeboards, for example, is easyandpractical.Yet precisely because whipping out that email and sending it to 150 peoplesimultaneouslyissoeasy,thetacticcanbeoverused.A fewyears ago on a consulting assignment, Iwaswaitingwith a group of

employeestobeginafocusgroupinterview.Theconversationturnedtopeople’sdispleasurewiththevolumeofemailannouncementstheywereallgetting.Onewoman looked up at the groupwith a sly smile and said, “That used to be aproblemforme,butI’vefiguredoutagreatwaytotakecareofthat.”Curioustoknow her approach, her coworkerswaited to hearmore. “It’s easy,” she said.

“AnythingIhaven’tgottentobytheendofthedayonFridayjustgetsdeleted!Yep,Ijustzipupthatwholebunchofemails,announcements,meetingreports,important reminders, and it allgoes in the trash.And Imakesure Iempty thetrashrightthen.ItfeelsreallygreattoleavefortheweekendknowingthatwhenIcomeinonMondaymorning,myinboxwillbeempty!”Everyonearoundthetablecheered.Clearly all the people who had been sending this woman email had taken

advantageofoneofthepracticaltoolsavailableforinformationsharing.Yettoomuchinformationwasbeingshared,andthewomanreceivingit,becauseofthesheervolumeofwhatshereceived,hadlostherattachmenttoanythinginitthatmighthavebeenuseful.Trustworthy Leaders use a more profound set of tools to create two-way

communicationastheyseeknotonlytoprovideinformationtopeoplebutalsotoshareitinwaysthatenablepeopletouseit.Thesetoolsaremorepowerfulintheir impact, yet harder to see. And they make all the difference in greatworkplaces.As a Trustworthy Leader, youmust go beyond the practical tools likemass

emailand tap into theprofound.Andwhat thatmeans is tapping intowhyyouwant to share the information in the first place.Which takes you back to theVirtuousCircle—toyoursenseofhonor,inclusion,andfollowership.Humility, reciprocity, andpositionawareness—thehallmarksof leadingwith

honor—guide your openness and transparent sharing of information. As aTrustworthyLeaderwhoishonoredbyyourfollowers,youwillbelesslikelytoexperience the insecurities thatmightdrivea lessTrustworthyLeader tohoardinformation.Themutualrespectat thebaseoffeelinghonoredcreatesastrongcommitment to share information with people who you know will use thatinformationwisely.Acommitmenttoinclusionisalsoanimportanttoolwhensharinginformation.

Ithelpsyoutocreateaplaceinthesharingprocessforquestionandanswertime,feedback, and evaluations of the message content. Inclusion affirms yourappreciation of others’ need for the information, and by openly sharing, youensurethateveryonehasbeenfullyincludedintheprocess.Finally, engaging followers serves as a profound tool because Trustworthy

Leaderswhovaluetheirfollowersknowthat inorderfor thosefollowers tobesuccessful, theyneed information.Asdescribed inChapterFour, an importantstep in establishing a trust-based leader-follower relationship comes fromacknowledgingthataperson’schoicetofollowismadenotfromanexpectation

ofcompliancewithanedictorjobrequirement.Andawell-informedpersonwillbe inabetterposition tomake thepositivechoice to followyou thanwouldapoorly informedperson.Sharing information is a critical part of the invitationforsomeonetomakethatchoice.Informationsharingpracticesthatrestonaleader’ssenseofhonor,practiceof

inclusion, and respect for followership distinguish the greater success ofTrustworthy Leaders from those leaders who simply stop at doing what ispractical, like sending out lots of email or posting an abundance of companynotices.Theuseof thepractical combinedwith theprofoundalways fuels theactionsofTrustworthyLeaders.Itcreates theuniquemixofactivity thatbindsgiverandreceiverinanoverlayoftrust.There are threedistinct concepts that I see in the approach thatTrustworthy

Leaderstaketosharinginformation.Thefirstconceptinvolvessharinginformationtopromoteunderstanding—of

theorganization’sworkanditsmission,andofhowanindividual’sworkfitsintothe largerpicture. Importantly,understandingneeds tobeapproached from therecipient’s point of view. Though this may seem obvious, all too ofteninformationissharedfromtheperspectiveoftheonewhohasthemorecompletestory. When that happens, information-sharing can actually result in lessunderstanding,ratherthanmore.The second concept concerns sharing information in ways that enhance

participation. Practically speaking, this means ensuring that people have amechanismforaskingquestions,thatmultipleaccesspointsareavailableforthesharedinformation,andthatpeopleareaskedtoevaluatetheeffectivenessoftheinformationsharing.Eachof theseactionsgivespeopleaway toparticipate ininformation sharing. Yet more can be done to actually invite participation bycreatinganatmosphereinwhichpeoplearecomfortableaskingquestions,knowenough to be well-informed, and are asked to give feedback to continuallyimprove the process. An invitation to participate enhances all forms ofinformationsharingandcreatesanexpectationthatpeoplearealwayswelcometocontribute.The thirdconcept involvessharing information in suchaway that itextends

influence to people. This is themost challenging, yet it is themost critical totruly developing trust with people.When people are given the opportunity toinfluencetheoutcomeofanactivity,theirdesiretounderstandandthedynamicsoftheirparticipationchange.Peoplefeelthattheyhaveastakeintheoutcome.YourjobasaTrustworthyLeaderistoensurethatthefeelingofhavingastake

intheoutcomeisbasedinreality—thatpeoplereallycaninfluencetheoutcomeof a situation. This requires some practical steps, such as inviting workers toparticipate inmeetings inwhich outcome decisionswill bemade andmakingsure they are well-informed so that they understand the issues. Beyond that,extendinginfluencerequiresthatyouletgoofyourpositionpower,andthatyoudeeplylistentowhatotherpeoplehavetosay,asanindicationofyouropennesstobeinginfluenced.Thesethreeconcepts—promotingunderstanding,enhancingparticipation,and

extendinginfluence—arecombinedintheinformationsharingpracticesofgreatleadersandserveasonemorewayofshowingpeoplethatyouaretrustworthy.Intherestofthischapter,you’llseehowyoucancreateyourowncombinationsofpracticalandprofoundpracticesasyoushareinformationwithothers.

PROMOTINGUNDERSTANDINGUnderstanding does not come from simply hearing information or fromreceivinganemail inyour inbox.Thereisalwaysanecessaryadditionalphaseafter the informationcomes in: time forquestionsandanswers, time toensurethat people understand the information shared. This loop—whether it happensthroughafeedbacksession,Q&A,ordiscussion—isacriticalpartoftheprocessof information sharing that promotes understanding. This should also all bebasedonwhatIwouldcharacterizeasaphilosophyaboutinformationsharing:anapproachbasedinboththevalueofinformationandthevalueofpeople.At Scripps Health Care, Vic Buzachero—corporate senior vice president of

Innovation, Human Resources, and Performance Management—has a richappreciationfortheimportanceofinformationsharing.Hecallshisapproachtothetaskoneof“communicationandalignment”—oneinwhichheseekstoshareinformationwith people in their own “language,” on their own terms, so thattheycanuseit.Buzacherowantstoensurethatasmanypeopleaspossiblebothreceiveinformationandunderstandit.HisapproachatScrippsHealthservesasavaluableexampleforanyleaderseekingtotakethisfirststep.“Ifyouarethefinanceofficer,”heexplains,“youdon’tjumpupinthemiddle

of ameetingand say, ‘Okay,wearegoing toput together abudgetwhere thecapitalplanisgoingtohaveacapitalassetpricingmodelinit,andwearegoingtohavethefollowinghurdleratesforcapital,’etc.People’seyeswillglazeover.”The operations people in the meeting, he warns, will be worried about howproduction isgoingandwhatsupplies theyneedandhowtokeep thebusinessrunning.Thefinanceofficer’spronouncementswilljustslideby.“Sowhatdoesagoodfinancepersondo?”heasks.“Translatesallthefinancialinformationtocreatevaluefor theoperatingpeopleso that theycansitdownandgo throughthe information together. In my area of human resources, we have our ownresponsibility to translate all the people information for others to ensure thatleaderscanuseittoguidetheiractions.Weneedtostepoutofourownlanguageaswell and speak to others so they canunderstandus.”MuchofBuzachero’sworkis inHR,but thisneedfor translating isuniversal.All leaders,nomatterthe department, need to take the particular information related to their area ofexpertiseandtranslateitsothatitcanbeunderstoodbyothers.Onlythenwillithavethepotentialtobeuseful.

Even well-intentioned managers can diminish their impact when they don’tspend the timenecessary to translate theirmessage.Buzacheroposits that thishappensbecausethey’retoobusyeitherdefendingtheirworkorfeelinginsultedthatpeopledon’tgetwhatthey’resaying.“Well,no,theywon’tgetitinitially,”saidBuzachero;hencetheneedtobemultilingual.“Yourroleistotranslateyourexpertise to the board members and senior executives, and to all levels, tosimplifyandclarifyitasmuchaspossible.Andyouhavetotranslateitontheirterms,notyour terms.” It’s the jobofany leaderwhowants tobeunderstood,and isnotaquestionofdumbingdownorsimplifying to thepoint thata four-year-old would understand it, which would be insulting. Yet it is absolutelycriticaltotaketheinformationyouhaveandmoveitoutofthespeciallanguagethatoftendevelopswithinaprofessionorpracticearea—totranslate.Not that doing so is easy. It’s very natural to talk to others from your own

vantage point. “I have gone through themistakes of translating things onmytermsandthenthought,‘Whydon’tyougetit?That’sthewaywedoitinHR.’”Thereality,Buzacherohas realized, is that theaudiencedoesn’tcareabouthisspecial language.What they do care about is how the information can createvalue for them.Translating it takes time, and energy, but the reward is a newlevelofunderstanding.“That’s where leaders should spend their time,” Buzachero said. “Making

intelligenceandknowledgeactionable.Because that’swhatpeoplewant: tobeabletotakeactionandcontributetothebenefitoftheorganization.Andtheycanbest do that if they understand what’s being asked of them and what’s beingshared with them.” Leaders need to make sure that all employees have theinformationnecessarytodotheirwork,andthattheyseetheconnectionoftheirwork to the larger goals of the organization. “More than other things,communicationthatisalignedwiththemissionandvaluesoftheorganizationiscritical,”Buzacherosaid.“Onewaytoget thebest talent tocometogetheranddeliveroutstandingpatientcareistohavepeopleunderstandhowtheirworkfitsintothewholesystem.Peoplewillbemoreengagedandwilltrusttheirleadersifwehelpthemtounderstand.”

Ithinkwehaveanabsolutelywonderfulclinic,andtheleadershiphashadallto do with that because they are approachable, they are not behind closeddoors where you can’t get to them. If you have a complaint or somethinggoodor anew idea, theyare always there to supportyou. I think themoretheygive,themoretheiremployeesgive.It’sjustgreat.Reallygreat.

—ScrippsemployeeOnceyou’veapproachedtheissuefromtherecipient’spointofviewandmade

suretimehasbeenallottedforclarification,you’restillnotdone.Understandingalso involves making sure the communication is in alignment with thecompany’sactions, andBuzacherogivesagreatdealofattention to this. If anadministratortakesthetimeandefforttotellemployeestheyareimportant,forexample,butthenwon’tshareinformationaboutbusinessresultswiththem,thenthereisalackofalignmentbetweenwhatissaidandwhatisdone.Whensuchabreachhappens,it’sverydifficult—ifnotimpossible—torealignandearnbackthelosttrust.Tocomplicatethesubjectfurther,sometimesthelackofalignmentistheresultnotofaperson,butofasystem.“Manytimes,”Buzacherosaid,“whenyoulookatsomeoftheprocessesand

systems in our organizations today, it looks like the customer is the auditdepartment, or compliance, or the IRS.Well, they are not our customer. Thecustomerisourpatient,ourstaff,andourmanagers.Wehavetodoeverythingina compliant way, but we do not build a system for compliance; we build asystemforourcustomer.Thatsystemcangetoutofalignmentveryeasily,givenallthepressuresweface.”In other words, though people may be told their purpose is all about the

patient, that message may seem disingenuous if you spend your entire dayworkingtopleasetheauditdepartmentorsomeotheroversightbody.Inahealthcaresetting,asaTrustworthyLeader,youneedtomaketheconnectionclear,toensure that everyone understands how compliance is connected to the patient,staff,andmanagers,andtoalsokeepthefocusonthetruecustomer.Finally, sharing information so that people can understand involves a high

level of transparency. “Effective communication requires eliminating barriersand being transparent. To be transparent you need to share information,”Buzacherosaid.“Whydosomedecisionslookoutofalignment?Ismanagementnot walking its talk? Maybe people don’t have all the information andmanagement really is walking its talk.We always have to ask ‘How can youshare that information andbecomemore transparent?’ ”Buzacherohas sharedquiteabitofinformationinordertobetransparent,includingplacinghimselfinthehotseatatlargemeetingsandallowingemployeestoaskhimanyquestion,then answering them honestly. Board members and others have expressedconcern about this level of openness, fearing the release of trade secrets. ButBuzacherofeelsthatusuallynoonebetraysthetrust.“Afteryousay,‘Wetrustyou,’ and you show that you can be trustworthy,” he said, “people really

appreciatethehonesty.”Ultimately,itboilsdowntoaverysimplepremise:ifpeopledon’tunderstand

what is going on, their ability to trust you will be compromised. If they dounderstand,theywillbeopentotrustingyoudeeply.Andthatleveloftrustthatyoudevelopovertimewillmakeitpossibletofulfillyourmissionquicklyandeffectively.FollowingBuzachero’sexamplebysharinginformationthatcreatesunderstanding will also help you tomove on to the next step in the process:enablingpeople’sabilitytoparticipate.

Forme,Ithinkoneofthebestwordsthatpeopleareusingistransparency.Ithink that is a big one for us,when you ask yourmanager: “When arewegoingtohavemoneyforthisequipment?”orwhateverweneed,andhavingthat person say, “I don’t know” or “Not until next year,” being honest is areally important thing. I thinkpeople respect themanager, even if it is badnews. A lot of other businesses do not foster a trust environment, but ourleadersareveryhonestaboutwhat’sgoingon.

—Scrippsemployee

ENHANCINGPARTICIPATIONPeople at Hoar Construction, a real estate contracting and construction firm,oftendescribe themselvesbywhat theyarenot.Theyarenotbashful, theyarenotshytospeakup,andtheyarenotpassiveifsomethinghashappenedthattheydisagreewith. Inpartbecauseofwhat theyarenot,what theyare ispartofaverysuccessfulcompanywithastrengthofcharacteranddepthofreservethatisnowpropellingthecompanyforwardastheconstructionmarket—dismalintheglobalrecessionthatbeganin2008—beginstopickupsteam.HoarConstructionhasbeen recognizedasoneof theBestSmall&Medium

CompaniestoWorkForsince2007.Leadersthereinvitepeopletoparticipateinthelifeoftheorganization,justastheydoatScripps—byfirsthelpingpeopletounderstand. Communication at the company, which is based in Birmingham,Alabama,hasbeencharacterizedbyopennesssinceitsfoundingin1940.Inthelastseveralyearsthatopennesshasbeenheightened,asmoreopportunitieshavebeencreatedforpeople toseeandtalkwith their leaders.Thisbringswith itacertain level of vulnerability for leaders, because decisions can be challengeddirectly.YetatHoar,leadersbelievethatthey—andthecompany—arebetteroffiftheyhearpeopleout,andtheyusethecomplimentsandthecriticismtomakethebusinessstronger.Atabaselevel,Hoarusesthesamepracticalcommunicationtechniquesmany

leadersdo: they sendout newsletters and emails, goon sitevisits, and join inteammeetings. They do it vigilantly, and it’s effective. One employee, Stacy,says,“Ifeellikeoneofthethingsthatouruppermanagementdoesistheykeepanopen lineofcommunicationwitheveryone.Theeconomy isnotgreat rightnow.IamintheTennesseedivision.I’mnotinBirminghamallthetime,butwealwaysfeel likeweknowwhat’sgoingondownherebecausewehaveregularupdates from thepresidentofourcompany,andstateof theeconomyupdates.We knowwhat big jobs have been awarded down here. I feel they do a verygoodjobofkeepingeverybodyintheknow.”Yet there is also somethingmore that happens atHoar, something that goes

beyondthebaselevelandunderscoresleaders’willingnesstoshareconsiderableinformation and answer innumerable questions. Namely, the TrustworthyLeaders atHoarwant people to understand the information being shared, andtheywantpeople touse it—toaskmorequestions, pursue anew idea, or find

inspirationtotakeaction.Leaderstakethetimetovisitwithemployees,tofindoutwhatthey’redoing,toanswerquestionsandaskquestionsoftheirown.Theypromoteparticipationbyexample.SotheleadersarenotonlysendingtheemailsandmessagesStacyfindssovaluablebutalsosharingthosemessagesinperson.As another employee, Frank, says, “Being a construction company, we havemanyjobsitesthatareoutofstateoroutofthecounty.Ouruppermanagementtravelstothosesitestokeepintouch.Notonlydotheyinviteyoutocomeinandtalk to them,but theycometokeep in touchwith thefield. It’snotunusual tolookupandsee[CEO]RobBurtonatyoursideor[COO]SteveMcCord.Theycomedownandtheykeepintouchwithwhat’sgoingon.”All this contact with leaders who make it a point to visit with people, ask

questions, and involve themselves in discussions with employees at job sitesinspires those same employees, in turn, to participate in other discussions andactivities.Participationissaidtobeessentialtothesuccessoftheorganization;itsupportsthedevelopmentoftrustbetweenemployeesandmanagers, leaders,and followers. To this end, I share two specific examples that illustrate theeffectivenessoftheinvitationsthatcomefromtheTrustworthyLeadersatHoarandthebenefitsthatthecompanyisabletoreapfrompeople’sparticipation.The first is a simple act: the publication and widespread distribution of

“LessonsLearned”memostoallemployees.Thesememosarepreparedafteranindividual or a project team addresses a difficult situation. The memos arecreatedbythepeopleinvolvedinresolvingthechallenge,andtheyarepostedontheintranetforeveryonetosee.ThepeopleinvolvedmayalsobeaskedtoteachaclassatHoarUniversity(thecompany’s internalresourceforall traininganddevelopment courses) to address the very problems they faced, so that othersmightavoidsuchproblemsinthefuture.“Lessons Learned” is a step more formal than the question-and-answer

sessionsthathappenregularlyonjobsitesandinstaffmeetings,yetthememostaketheirinspirationfromthesamesource:thebeliefthatpeopleatHoarwanttodogoodwork and alwayswant toget better.Leaders share adeep respect forpeople’s ability to absorb information and turn it into useful knowledge.“LessonsLearned”offersaverypracticalexampleofawaythatinformationissharedandpeopleareinvitedtoparticipate.Italsoaffirmstheprofoundrespectthatleadershaveforeveryoneinthebusiness.Leaderstrustthatpeoplewillusetheinformationprovidedtothemwisely,andtheymakemultipleeffortstoinvitepeopleintotheprocessofinformationsharing.A second example is more expansive; it involves Hoar’s ongoing training

programs.Thecompanytakesabroadviewoftraining,sharinginformationnotonly about how to pour cement andother technicalities of theirworkbut alsoabouthowtoparticipateeffectivelyinthelifeoftheorganization.Thereareveryclearstrategicreasonsfor thisemphasis.“Ifyouthinkaboutwhatyoudoonaconstruction job site,” says the company’s vice president,Douglas Eckert, “attimes we’ve got twenty partners and subcontractors, many of them new. Wedon’tknowthem.Wehavetoallgetalong,andwehavetoallbuildthisbuildingthat’s never been built before and figure it out. You have to be incrediblyoptimistic,andyouhavetobeverywell-trained.Butoneofthethingsyouhavetodois,youhavetobeabletodealwithpeopleandproblemsthatcomeup.”To this end, Hoar trains people on conflict management and on leadership

skills.Andthentheytakeitevenfurther,gettingridofanyobstacleblockingtheroad to fullparticipation.“Wesay thatourpeoplearegoing toperformbest ifeverythingintheirlivesisgoingwell,”Eckertexplains.“Whatdoesthatmean?Negotiation, for instance, isvery important inbusiness.But it’salso importantfor people in their families. Those things reallymatter to people, sowe trainthemtonegotiate. If theycanbalance theirowncheckbookanddoagreat jobwith that, they’re going to be a lot happier. So let’s give them financialassistance. Let’s get experts in here to help them be able to balance theircheckbookandkeeptheirfamilywelltakencareof.Wedoeverythingwecantodevelop thewholeperson.So, at the endof that experience, theyaregoing toknow how to put concrete in, they’re going to know how to go to a newcommunityanddealwithpeopletheyhaven’teverdealtwithbefore,andwhenthey get home at night, they’re going to have a better relationship with theirfamily.We take a very broad view of our responsibility and our opportunityhere.”Hoarwalkstheirtalk.Notonlydotheleaderstellpeoplethattheywantthem

to participate, but they also share information that teaches themhow to do it.Andthentheleadersclearclutterfromthepathsothatpeoplecanparticipate.Youcanseethepositivebenefitsofthiseffortclearlywhenchallengingtimes

come up andworkers step forward.The construction industry has faced somedifficult conditions, and when everyone works together to overcome theobstacles, it’s richly rewarding. “Because we live in this culture and becausewe’vesucceededtogether,”saysCEORobBurton,“peoplearealsomorewillingto go through difficult times together. I think people are more likely to rallytogether,andsay,‘Yeah,weunderstandit’sdifficult.Whatcanwedotohelp?’I’vebeentotallyblownawaywiththeirwillingnesstodowhateverweaskand

theirunderstandingofthedifficultiesinfrontofus.”When you share information in ways that invite participation, and when

people’sparticipationisacknowledgedandrespected,youcontinuetostrengthenyour Virtuous Circle of Trustworthy Leadership. Next, a leader must enablepeople to have influence.When added to understanding and participation, thecombinationisspectacular.

Oneofthethingsaboutworkingwithourmanagersisthatnoneofthemareunapproachable.Thereisanopen-doorpolicyherethatIcangototheCEOof this company down to a laborer of this company, and everyone isapproachable from every angle any time,whatever. Thatmakes for a goodrelationshipwhenIknowthatI’mwelcomeintheCEO’soffice.That’sgood.

—Hoaremployee

EXTENDINGINFLUENCEBeing able to influence a situation—whether by simply being able to vote forone or more choices, or by actively arguing your point of view—raises yourpersonalstakeintheoutcome.Yourideasbecomeactiveduringthediscussionorpresentation, and what comes next, the outcome, will be shaped by yourcontribution. Sharing information in such a way that you extend influence topeople is akin to sharing power, which takes us back to the adage that“information is power.” Information can be turned into knowledge—which iswhat gets created when people are able to work together with sharedinformation.Andknowledgeislikerocketfuel.It should come as no surprise that the folks at Google spend a lot of time

sharing information, as that is a primary platform of their business: to findinformation and distribute it in ways that will make it accessible to themostpeople as quickly and easily as possible. Yet what happens externally for anorganizationisn’talwayswhathappensinternally.Google’sleadersmightjustaseasilyhavecomefromtheold-school“informationispower”campthatholdsonto all the power bykeeping internal informationhidden.Luckily for everyonewhoworksthere, that’snotthecase.Google’sleadersarefromthenew-school“information ispower”camp.Theychoose tosharepowerbyactivelyseekingwaystomakeinformationavailabletoall,increasingeveryGoogler’sabilitytoinfluencetheactivitiesoftheorganization.AtGoogle,influenceisextendedaspartofthecultureofcreatinggreatthings

together.Toensurethatpeoplehavetheinformationtheyneedtoinfluencetheoutcome of events, Google’s founders committed early on to creating anorganization in which openness and transparency would be commonplace.PeoplewhosucceedatGoogleareabletodosoinpartbecauseoftheirabilitytotakeintheinformationthatisavailableanduseit—toinfluencetheirownwork,influenceother projects, and influencehow they interactwithothers andwhatquestions theyask.WhenGoogle’s leaders share information, theyexpect thatpeoplewillbeinfluencedbyitandthattheywilldosomething,thinksomething,or share something. In other words, information will enable people to extendtheirinfluencebacktotheorganization.Leaders at Google have often said that they’d rather people learn about

importantinformationfromsomeoneinsidethecompanythanfromanexternal

source.When information is shared internally, thepersonwhoshares itcanbeaskedformoredetailsandisheldresponsibleforclarifyinganythingthatmightbe confusing. This holds for department managers as well as for the twofounders,whoregularlypresentattheFridayafternoonTGIFgatherings.Theseweeklygatherings,towhicheveryoneisinvited,emphasizeopennessandputapremiumonaskingquestionsandgivinghonestanswers.Theimpactofthelarge-scaleinteractionintheTGIFmeetingscarriesoverto

smallergroupsettingsaswell.ThemanagerswhoareconsideredtobethebestatGooglearethosewhoarethemosteffectiveatcommunicating—willingandable to answer questions, listen to people, and extend influence by supportingemployees’ efforts to create and work on their own projects. One employeedescribedthesupportandfreedomshereceivesfromhermanager:“Mymanageristhereforme.Hedoesn’treally‘manage’meinanyway;heistheretohelpmeinaveryrealsense.I’vesaidnotomymanageralotmorethanI’vesaidnotomyteammates.Wecanhaveanopenconversation,andthat’sreallyrefreshing.Itletsmeworkwithmyteammatestofigureoutwhatweshouldbedoing.Wearethepeoplewhoknowthestuffwe’reworkingonbetterthanmymanager.Ithinkthat’s really unique, empowering, special, and it’s something that I reallycherish.”Forafullerunderstandingofpeople’sabilitytoinfluencetheinternalworkings

atGoogle, I turn toDavid Fisher, the former vice president ofGlobalOnlineSales and Operations. Fisher found a culture at Google unlike that at anycompanyheworkedforpreviously.Duringhistimethere,helearnedtobemoreopenwithinformation,toinviteparticipation,andtoextendinfluencetoothers.WhenFisherfirststartedatGoogle,hewasstruckbyhowopenpeoplewereto

ideas. The pattern at his previous employers—and in many corporations ingeneral,hesays—wasverydifferent:“InplacesI’veworkedbefore,youhaveanideaandthefirstthingthathappensisthateveryonecomesupwithalistofwhyit won’t work or why there’s a problem.” Fisher contrasted this with life atGoogle,whichhesays ismuchmoreaplace inwhichpeopleask“Whynot?”andseektofreeeachotherfromconstraints.He acknowledged going through a period of having to adjust to this new

openness. “It took me a little while to realize that Google’s answer to theperennial listofwhysomethingwon’twork is thatwearegoing toabsorb therisks,withinlimits.It’sreallyveryliberating—it’smuchmoreabouttryingtodothingsthatarebiganddifferentfromthewaythingshavebeendonebefore.Insomeways,precedentcanbecomeananchorthatcanweighyoudownifyoulet

it.”TheseconddifferencehenoticedbetweenGoogleandhisotheremployerswas

the lack of hierarchy. Leaders at Google talk with everyone and listen toeveryone, and it starts at the top. Fisher spoke of having recently been in ameeting with cofounder Larry Page in which Page explicitly asked for inputfrom “the people who are making the product decisions,” not the executives.Fisher,whopreviouslyworkedinWashington,DC,saidhesawalotofpeopletherewho thought that the titlewaswhatmatteredmost.AtGoogle, it’smuchmorethattheideasmatter,especiallytheideasfromthepeoplewhoarecreatingthe product, providing the service, and interacting with the customer. Andbecausetheirinputissoimportant,theyinfluencetheoutcomeofdecisions.Fisher told a story on himself that both highlights how extending influence

worksatGoogleandshowshisownongoinglearningasaTrustworthyLeader.“TwonightsagoIdraftedsomethingforanewpartofAdSensethatwe’retryingtodevelopandmakeprogressin.Akeyquestionwe’refacingis:Whatwillourgo-to-marketstrategybefor thisproduct?Iwassittingwithsomefolksonmyteamwhoareworkingwithmeonthis,andtheysaid,‘We’vegotallthesegreatpeopleinteractingwithadvertisersaroundtheworld.Whydon’twejustasktheteam?’”Bingo!Fisherwroteashortnote,and theysetupasitewherepeoplecouldposttheirideasandeveryonecouldvoteonthem.Fisherexplained,“I’mconfidentthattherearelotsofgreatideasoutthere,butsometimesyouneedtoinvite people to submit them a little bit more. Maybe when you’re a smallorganization, thathappensa littlemorenaturally,butherewewanted tomakesurewereachedeveryone.”What is so interesting about Fisher’s story is how it clearly illustrates the

potential for people with information and experience to contribute to andinfluence something larger than themselves. Fisher’s team members and thepeople interacting with advertisers around the world have a wealth ofinformation to tap into. The process of setting up an internalwebsite throughwhichpeopleatGooglecouldrespondtoFisher’squerysharesinformationwiththemsothattheycanunderstandthequestion,andinvitesthemtoparticipateintheprocessofcreatinganewpartoftheAdSenseplatform.The lack of hierarchy that struck Fisher was also evident in the AdSense

meeting he described. Fisher, in a hierarchy, would be at the top of the foodchain. In themeeting he described, he is sittingwith people on his team, andthey—the teammembers—provide the input that leads to the decision to askeveryone else—the people in the field—for their input. Any chimera of

hierarchy is blown aside as the best input is sought to answer the productquestion.Significantly,notonlywerepeopleaskedtoprovideinputbutalsotheywere all asked to vote for the best option—theywere invited to influence theoutcome.Whenyouareabletoapproachasituationinthisway,youractionsasaleader

will convey tremendous respect to the people whose input you seek. Yourinvitationtopeopletoinfluencetheoutcomeofadecisionisanacknowledgmentof theirprofessionalexpertise.Thecollectivevoiceofsomanypeoplesharinginformation and participating by voting will lead to the creation of uniqueknowledge that is likely tomake the finalchoicemuchmoresuccessful in themarketplace.Andtherespectyoushowtopeople—membersofyour teamandothers throughout the organization who support the implementation of theproduct—contributestotheirabilitytotrustyou.Googlehascreatedgreatpowerintheirculture—thepowerthatcomeswhen

youpromoteunderstanding,enhanceparticipation,andextendinfluencethroughthe sharing of information. People don’t stop and second-guess themselvesbeforeaskingaquestionormakingasuggestionwithintheirworkgroupsoratall-companymeetings.Instead,theyfeelempoweredtocontribute,andtheydo.One employee described the culture of openness at Google as one in whicheveryonehasaseatatthetablebasedonthepoweroftheirideas,nottenureortitle.The ability of Googlers to influence the organization extends beyond their

work projects to the policies and practices that affect employee life in theorganization. One person spoke of recent changes that had been proposed forGoogle’s travel policy. “They said we had to get something approved by ourmanagersifwetraveledinternationally.Everyonesaid,‘Thisisridiculous.We’rejust not going to do it.’ [Management’s] response was, ‘You’re right. That’sridiculous.We’regoingtogobacktothedrawingboard.’”Sharinginformationtoextendinfluencereduces—ifnotcompletelyeliminates

—any compliance-or fear-based behavior in an organization, whether thatorganizationisGoogleoranyothercompany.Ifpeopledisagreewithsomething,they can challenge it. Because they have access to information, they can beprepared to propose something different.Well-intentioned policy changes thatjust don’t cut it can be rethought before they become institutionalized. Andrather than having people resent the fact that something has been imposed onthem that theynowneed to accommodate, they jump in tomake the situationbetter—theygatherinformationanduseittocreateabetteroutcome.Theyuse

theirinfluence.My family is from a small village in India. My parents grew up withoutelectricityorrunningwater,andtheydon’thaveacollegeeducation.WhenIgo back to the village and look at the schoolwheremymother studied, itlooks the same, except for one difference: the kids in the village, throughconnectivitytocomputersandtoolslikeGoogle,nowhaveaccesstothesameinformationaskidswhogotoStanford.ThatlevelingoftheplayingfieldiswhatGoogle’smission is all about. They do it in awaywithoutworryingaboutprofitsandmoney.Thefoundersandtheengineerswhobuildproductsarecompletelybeholdentothatidea.Inmanyways,everybodyhereispartofthatonesingularmission,whichisthelevelingoftheplayingfieldforwhatisnowthemostimportantresourceofthecentury,whichisinformation.

—Googleemployee

CONTINUINGTHECIRCLESharinginformationwillaffecthowyourorganizationisstructured,whatpeoplewill accomplish, and the experiences of customers and suppliers. When youshareinformationbroadly,thenyourorganizationwillbelesshierarchical,evenifonpapertherearemanylayersbetweenthefrontlinesalespersonandtheCEO.Becauseinformationisnecessaryforthecreationofknowledge,andknowledgehelpspeople to takeaction, themore shared—within thecontextof enhancingunderstanding,participation,andinfluence—thebetter.On the flip side, ifpeopleare left ignorantonkey issuesand theiraccess to

information is limited, that ignorance will inhibit their ability to answerquestions or resolve dilemmas. Conversely, when people have usefulinformation,theywillunderstandmore,participatemore,andinfluencemore—andbebetterabletomeettheneedsofpatients,customers,andsuppliers.In Thomas Kuhn’s landmark 1962 book on the history of science, The

Structure of Scientific Revolutions, the physicist provides an elegantly simplerationale for the importance of having information broadly shared within asystem, especially a system like an organization in which regular change isnecessaryforcontinuedevolution:“Thereasonsprovidedforaneededchangecanonlyappear reasonable topeoplewhounderstand.” It is so simple that itcaneasilybemissed.Ifpeopledon’tunderstandtheinformationbeingsharedtoencouragechangeorpursuesomethingnew,thennomatterhowcompellingthereasonsforthechange,thosereasonswon’tmakeanysense.Somepeoplemaymove with the change process simply because they have to—their jobs arechanging.Othersmaytry toparticipateyetbeable todosoonly to thedegreethattheyunderstandtheinformationshared.Whensystemicculturalchangeisneeded,everyonewhoisapartofthesystem

needstounderstandthereasonsforchangeinordertoparticipateandhaveanydegreeof influenceduringthechangeprocess.Thesameis trueforproductorservicedecisions.Ifpeopleareaskedtocreateanewproductorprovideanewservice, themore involved they’ve been from the beginning in understandingwhytheneweffort isbeingmade,thebetterablethey’llbetoparticipate.Andwhen they can participate, they also have the possibility of influencing. As aTrustworthyLeader,youractionscaninvitepeoplein,givethemtheinformationtheyneedtoparticipate,andenablethemtoinfluencetheoutcome.

From the leaders we’ve just met—Vic Buzachero, who implores people topromote understanding by avoiding jargon and buzzwords and sharinginformation in ways that are appropriate and meaningful for the audience;leadersatHoarConstruction,whoinviteeveryonetoparticipateinthelifeoftheorganization; and Google’s extension of influence through the continuoussharing of information with all—we see how Trustworthy Leadership movesanother step forward in the Virtuous Circle while staying connected to theelementsofhonor,inclusion,andfollowershipthathavecomebefore.

Someleaders, likeChrisVanGorderfromChapterTwo,haveasingular incident that theycanciteasaturningpointintheirapproachtoleadership;others,likeBobGilesfromChapterThree,refer to a particular learning experience that caused them to see anew the power of a certainapproach. Many other people become Trustworthy Leaders through a lifetime of experience.Nothingreallydramaticorearth-shattering—simplythesteadyaffirmation,overtime,ofasetofbeliefs that is turned into action. This was the case for Vic Buzachero, who came to hisphilosophyaboutleadershipandsharinginformationthroughhisnaturaltendencies,careerpath,lifeexperience,andvariedinterests.Buzacheroisbynatureacuriousperson—helikestofigurethingsoutsothatheunderstandswhysomething is true.Andhe says thathehasalwayshadan intuitive sense thatpeoplemake thedifferenceinanorganization’ssuccess.“Andifyouintuitivelyknowit,”hesays,“thenyoubegintotrytodigin,toseehowyoucanproveit.Someofitisprovingittoyourself,andsomeofitisstatistically demonstrating there is a difference between doing this versus doing that. It’s nodifferentthansomeonegettingaPh.D.andworkingintheseareasanddoingadissertationandstatisticallydemonstratingthereisadifferencebetweendoingthisversusdoingthat,anditmeanssomething.” Vic took an additional step by taking those “proofs” he was developing andtranslatingthemintofinancialtermsinwaysthatotherscouldunderstand.Buzacherohad an academicbackground in finance and economics.Earlyonhedeveloped theskills to takewhat hebelievedmade for successfulmanagementpractices and translated theminto knowledge that a CFO would be able to use. His operations experience gave him anunderstandingofthemeasurementsthatareusedtodefinesuccessinmanyorganizations—anditalso gave him an awareness of the importance of collaborating with others to refine thosemeasurements, translate them, and make them meaningful to different people in differentoperations roles.Andhis intuitivebelief thatpeoplemake thedifference in the successofanyorganizationprovidedathirdkeyelementthathassupportedhisleadershipsuccess.AlthoughBuzachero’spathtobecomingaTrustworthyLeaderisnotdramatic,theimpacthehasbeenabletohaveonpeople’slivesandthesuccessofScrippsHealthis.WhenChrisVanGorderspoke of the reasons why he has been credited with so much success at Scripps, he citedBuzachero’scontributiontotheleadershipteamasakeyreasonwhyhe,himself,hasbeenabletoaccomplishsomuch.“Acoupleofyearsintothischangeeffort,whenIstartedputtingtogetheranexecutiveteam,IfinallygotVic.Iknewweneededtofocusonthepeople.Iwentthroughalmosta year’s worth of interviews for the head of HR. I had some of the top-notch people in thecountry cominghere, andnone of themwerewhat Iwanted.Because Iwanted someonewhounderstoodwhatwedo.Weare in thepeoplebusiness in twoways:peopleareourcustomers,andpeopleprovideallofourservices.AndVichadoperatingexperience.Heunderstandswhatittakestorunanorganization.Ittookmealongtimetofindhimbecausepeoplelikehimarefewandfarbetween.”ButVanGorderfinallydidfindhim,andthey’vebeenmovingforwardever

since.

CHAPTERSIX

DEVELOPINGOTHERS

I was first introduced to the idea that a workplacemight be a place where aperson could expect togrowpersonally aswell as professionally almost thirtyyears ago, after reading the late Robert Greenleaf’s “orange pamphlet” onServant Leadership. Greenleaf, for many years the director of ManagementResearchatAT&T,retiredin1964andlaunchedanewcareerpromotingtheideathat a leader should approach his or her responsibilities with an eye towardservice.Although Greenleaf is not the first person to identify the ways in which a

leader’s stance toward followers could affect followers’ lives, Greenleaf gavesignificantweighttotheideathattrueleadershipcarriesaresponsibilitytothinkfirst about being of service to others. In his essayThe Servant as Leader, hewrote:

The servant-leader is servant first.… Itbeginswith thenatural feeling thatonewantstoserve,toservefirst.Thenconsciouschoicebringsonetoaspiretolead.Thatpersonissharplydifferentfromonewhoisleaderfirst,perhapsbecauseoftheneedtoassuageanunusualpowerdriveortoacquirematerialpossessions.…The leader-first and the servant-first are twoextreme types.Between them there are shadings and blends that are part of the infinitevarietyofhumannature.1

Greenleaf didn’t offer specific prescriptions for how to become a servantleader.Instead,hepresentedasetofquestionsforleaderstoaskthemselves.Hisgoal? To have leaders be the judge of their own success and to challengethemselvestocontinuallystrengthentheirpractice.Heexplained:“Thebesttest[ofservant leadership],anddifficult toadminister, is:Dothoseservedgrowaspersons? Do they, while being served, become healthier, wiser, freer, moreautonomous,morelikelythemselvestobecomeservants?”2

I’ve seen the positive responses to these questions develop again and againfromtheactionsofleadersatgreatcompanies.TheTrustworthyLeadersintheseorganizationsbelieveinsupportinganindividual’sgrowthinallaspectsoflife,

including professional development, yet they never perceive that professionalactivitiesarewheredevelopmentbeginsandends.Leadersinthesecompaniessubscribetoaphilosophyof“developingothers”

thatismuchbroaderthanyou’llseeinmanyorganizations,andtheyexpandthenotionofdevelopment intoareasoften ignoredelsewhere.The focus ison thewholepersonandwhatcanbedonetohelpeachpersonlearnandgrow.Peoplewhoworkintheseorganizationsdeeplyappreciatethisapproach,andtheylookforwardtocomingtowork.Theircolleaguesknowthemashumanbeingsfirst,with their work contributions just one facet of their lives. Certainly, work istedioussomedays,andthingsdon’talwaysgosmoothly,butbecausetheworkenvironment is open,welcoming, andencouraging, those few tediousdays areseensimplyasasmallpartofthewholeexperience.As with information-sharing practices, a Trustworthy Leader’s approach to

developingothersisbasedinboththepracticalandtheprofound.Althoughtherearesomeleadersforwhomtheworldis“allaboutme,”TrustworthyLeadersaimto extend themselves to otherswith an outward perspective to their activities.Ratherthanusingaself-focusedlensthatconsidersopportunitiesrelativeonlytotheimpactonhimself,aTrustworthyLeaderbelieveshisprimarygoalistobeofbenefit to the other person. In this we see the profound commitment in theleader’sapproachtodevelopingothers.Trustworthy Leaders’ practical approach to developing people is born from

their commitment to the organization’s success. The products and servicesofferedatanygiventimebyanorganizationcanguaranteeitssurvivalforonlyashort period of time.TrustworthyLeaders support people’s acquisition of newskills,developmentoftalents,andpursuitofopportunitiesthatwillcontributetothe continued evolution and success of the organization. This commitment toorganizational success is of tremendous importance, yet in greatworkplaces itfollowsfromtheTrustworthyLeader’sprofoundcommitmenttobeofservicetoothers,ratherthanplacingherselffirst.Asaleaderyourabilitytohelpotherstolearn and grow will be more effective when you start with a focus on theiraspirationsratherthanyourown.Both the practical and profound approaches to people development are

reflected in the three convictions Trustworthy Leaders hold about developingothers.Thefirstconvictionis thatpeopledeservetheopportunity tocreate full lives

forthemselves.Thismeans,inpart,notstandinginthewayofpeople’spursuitoftheirowngoals,evenifitmeansthattheymightleavetheorganization.Some

of us will find fullness within the workplace, others will combine work withother activities, and all of us deserve to know that we will be supported inexploringandbuildingafulllife.The second conviction is that each individual is capable of many

accomplishments,andgiven therightcircumstances,amazingcreationswillberealized.Effortsherefocusonuncoveringtalents,helpingpeopletodeveloporcreatenewones,andchannelingtalentstowardsthegoodofthepersonandthecompany.Leadersmustseethepossibilitiesinpeopleandmakeacommitmenttosupporttheirexplorationandforwardmovement.The third conviction is thatguidance, support, and trainingare invaluable to

growth and development, and that people and groupswill bemost successfulwhen they have participated in the choice of direction for their pursuits.Providingapaththatpeoplecanchoosetofollowplacesresponsibilityonboththe individual,who needs tomake choices, and the company,which needs toprovideapath.

CREATINGFULLLIVESGriffinHospitalhascreatedavibrant,expansiveorganizationthroughanabidingcommitment to a model known in the health care industry as the Planetreeapproach.PlanetreeisaphilosophywithsometenetssimilartothoseofServantLeadership.Planetreerestsonthefundamentalbeliefsthateveryoneisvaluable,thatpeoplecanandshouldparticipateintheirownhealthcare,andthatpatient-centeredcareisfundamentaltothesuccessofhealthcareinitiativesthroughouttheworld.ThePlanetreeapproachnaturallyflowsintotheconvictionthateveryperson deserves the opportunity to live a full and rich life. At Griffin, thisconvictionislivedoutthroughtheimplementationofprofessionalandpersonaldevelopmentactivitiesthathelpemployeestoexploretheirdreams,incorporatepersonal interests into the workplace where appropriate, and further theirknowledgedevelopmenttoadddepthandperspectivetotheirabilitytocareforpatients. Leaders are committed to supporting the growth and development ofevery personwhoworks there. They have created aworkplace atmosphere ofopennessandsharing,andtheyprovidedevelopmentalprogramsthatareuniquenotonlyintheirindustrybutalsoamonggreatworkplaces.“We set out to be an organization that values care giving and to value care

givingyou’vegottovaluecaregivers,”saysCEOPatrickCharmel.“Thatwasn’tnecessarilycleartousinitially,aswefirstsaidwehavetoofferagreatpatientexperience,andwewanttoprovideamoreholisticpatientexperience—andweknewthatwouldresonatewithcaregivers.Yetwealsocametounderstandearlyonthatinordertogivegreatcare,peopleworkinghereneededtobecaredfor.”Tothatend,hesays,“Wehaveremovedalotofbarriersthatfrustratecaregivers…we’vechangedsystemsandstructures,andloandbehold,ourcaregiverssaythisiskindofaneatplacetowork.”SohowhaveleadersatGriffindoneit?Asastartingpoint,they’vetakenthe

timetohelpcaregiversunderstandthegreatvalueoftheirwork.Griffinoffersaweek-longorientationand trainingprogram that everyoneparticipates inwhentheystart.TheprogramincludesanovernightexperientialPlanetreeretreatbuiltinto theweek,whichprovides ahint of theuniqueworkplaceopportunities tocome at Griffin. The orientation makes it clear that Griffin employees willalways be encouraged to pursue experiences that enable them to develop fulllives, and that they will have access to a number of programs that supportpersonaldevelopmentthroughouteachyear.

Following the Planetree messages, leaders provide active support forparticipation inpersonaldevelopmentprograms.Oneuniqueprogram iscalledDaretoCare,andGriffinstaffmembersserveinthefacultyrole.Eachmonthathree-hour session is spent addressing a different “action” value, so namedbecause each value is seen as a guiding idea or concept that can be used tosupport theachievementofpersonal andprofessionalgoals.The twelveactionvalues are Authenticity, Courage, Perseverance, Vision, Mission, Enthusiasm,Focus, Awareness, Service, Integrity, Faith, and Leadership. Charmel firstofferedDaretoCareasagifttoGriffinemployees,onethatcouldhelpthembemoreeffectiveintheirpersonallivesaswellasprofessionally.Graduatesoftheprogram,who serve as sparkplugs to encourage others to pursue personal andprofessionalgrowth,haverelatedstoriesoflifestylechangesthatincludeweightloss, smoking cessation, career goal setting, additional formal education, andpersonal life priority setting. The program is now in its eighth year, witheighteen “graduates” serving as facilitators. As of this writing, 367 Griffinemployees—aboutone-thirdoftheworkforce—haveparticipatedinthepersonaldevelopmentprogram.“Imagine going through a programwhere everymonth, you take something

away and are able to apply it to your life and better yourself through itsphilosophy,” said a graduate. “I foundmyself applying the philosophy of theCoreActionValuestomylife,bothpersonallyandprofessionally.Itwasn’tuntilI was fully through the program that the impact it had on me was fullyactualized.”“Ithinkthe‘DaretoCare’programisaneye-opener,”saidanothergraduate,

“makingpeoplestopandthink,‘Hey,Icanmakeadifferenceinmycommunity.’Theprogramisveryupliftingandagreatconfidencebooster.Ilookedforwardtogoingtotheclasseseachmonth.”Dare toCare is a unique reflection of thePlanetree philosophy and leaders’

convictionthatpeopledeservetheopportunitytocreatefulllivesforthemselves.And it’s just one effort that encourages employees to pursue their dreams—blendingpersonalandprofessionalinterestswherepossible.AsaresultofDaretoCareandprogramslikeit,anumberofstaffmembershaveincorporatedtheirpersonal interests into theworkplace—reflecting their leaders’ commitment tocarenotonlyforpatientsbutalsoforcaregivers.“ThePlanetreemodel of care provides the perfect opportunity for people to

findapassionorinterestandgrowwithit,”saysBarbStumpo,vicepresidentofPatientCareServices.“Wehadanursewithaninterestintherapeutictouchand

energyandhealing,andshe’snowatherapeutictouchspecialist.Wehaveaunitclerkwhowasagreyhoundrescuevolunteer,andshenowcoordinatesourdogvisitationprogram.WehaveReikimastersandpeopleinoccupationalhealthorstaffnurseswhohavebeenable to incorporate theirpersonal interests into thecareservicestheyprovide.”TheworkofTracyHuneke,highlightedinChapterOne,provides furtherevidenceofGriffin’scommitment toencouragingpeopletolivefulllivesanddeveloptheirtalents.Though Griffin’s employees attend the Planetree retreat when they start

working there, leaders are committed to sustaining and reinforcing thephilosophy and approach over time. So, Griffin offers a one-day PlanetreeRenewalRetreat—ContinuingtheJourney,ReachingtheSummit—toensurethatsupport for people’s personal and professional development will always beblended, that it’snotamessageemployeesreceiveonlyduring their firstdays.About thirty employees attend each monthly retreat. Leaders at Griffin arecommitted tocontinuing the retreatsuntilallcurrentemployeeshaveattended,andmaykeepgoingafterthataswell.AlloftheseactivitiesunderlieGriffin’ssuccessasanorganization.Likeevery

health care institution across the country, Griffin has faced serious economicpressures.YetGriffinhas faredbetter thanmost hospitals,with staffmemberscontributingsuggestionsandofferingsupporttokeeptheorganizationstrong.Inboth2007and2010,GriffinreceivedthePremierHealthcareAllianceAwardforQuality (AFQ )—one of twenty-three hospital winners and three health caresystemsnationwidetodoso,puttingGriffininthetop1percentofthenation’shospitals.Griffin’scaringenvironment,Planetreephilosophy,andcommitment tohelp-

ingemployeescreatefulllivesforthemselveshaveallbeencreatedthroughtheactions of their Trustworthy Leaders. Yet there is nothing unique about whatGriffinhasdonethatcannotbereplicatedinanotherorganization.Inyourownorganizationyoucancreateaprogramsimilar toDaretoCarethatrestsfirmlyon your own fundamental belief in people’s ability to lead full lives.You canalso talk with people about their personal interests and how they might beincorporated into aworkplace program or service. Think throughwhat valueshave influencedyourownpersonalandprofessional success—whohelpedyoutodevelopthosevalues?Andwhatparticularexperienceschallengedyoutoliveup to them? These ideas will be the seeds for your own development ofprograms and practices to support people’s ability to create full lives in yourworkplace.

EILEENFISHER,Inc., justashortdrivefromGriffin,showsthatabusinessinacompletelydifferent industrycandevelopanequallyeffectiveapproachtodeveloping others. In EILEEN FISHER’s case, it rests on a conviction thateveryone is important, has a right to learn and grow, and is capable ofmanyaccomplishments.

Cominghere,thefirstthingthatimpressedtheheckoutofmeisthatPatrick[Charmel, CEO] came down and spent all that time with us duringorientation.Iworkedattheexecutivelevelsmywholecareer,andyou’dseethem in themorning and youmight see them at lunch, or if there was an“issue.”ButwhenPatrickcameinandspentallthattimewiththegroup,andhehaddonehishomework—heknewourbackgroundsandaskedquestions—itwassoimpressivethattheCEOwouldtakethatmuchtime.Thatsetthetone forme, and I knew then, this place really had a lot going on. Shortlyafter I came on board, I saw him in the parking lot.Hewent to shakemyhand,but itwas fullofmudbecausehe’d stopped topull someweedsout!We’veallseenPatrickdothisstuff,andwetalkabouttop-downmanagement,andwhenyouseetheadministrationhavingthatmuchownershipandcare,itjustallfollows.Youdoit,too.

—Griffinemployee

PURSUINGMANYACCOMPLISHMENTSInmanygreatworkplaces, the leaders responsible forhiringwill say that they“hire for attitudeand train for skill.”Thisphrase speaks to the significanceofculturefitinthehiringprocess,anditreflectsthebeliefthatpeoplearecapableofdevelopingthenecessaryskillsformanyareasofwork.AtEILEENFISHER,ahighlyregardedwomen’sclothingcompany,attitudeisparamountinthehiringprocess.And as a testament to the truismof theopeningphrase, the companygives employees tremendous opportunities to develop new skills and pursuemultipleaccomplishments.EileenFisher is herself awomanofmany accomplishments,with a spirit of

generosity about her, so it is no surprise to find that she has created anorganizationinwhichpeopleareencouragedtodeveloptheir talents.Tocreatethisenvironment, shehas reliedon thecollaborative involvementofa teamofTrustworthy Leaders who all share a fundamental belief in the value ofsupportingeachindividual’sdreamsandaspirations.Although many people encounter EILEEN FISHER products in stores

throughout the country, twomajor hubs of corporate activity are in Irvington,NewYork—abucolicvillageontheHudson—andinManhattan,fueledbythehecticpaceof the fashiondistrict.These two settings seem to reflect thepushandpulloftheorganization;thereisafastpacetotheindustry,thedesigns,andthe production process, along with an effort to create a calm atmosphere inwhich creativeminds can explore new concepts and pursue personal interests.How do the leaders at EILEEN FISHER merge the frenzy of a successfulclothing company with their commitment to supporting people’s growth anddevelopment?Itisabalancingactthatrequirespatienceandperseverance.AtEILEENFISHER,theyplaceanemphasisonhiringtheperson, toensure

that their cultural foundations remain strong. This choice focuses leaders’attention on the need to create an environment inwhich people aremotivatedandpersistentintheireffortstofurtherdeveloptheirskills.YvetteJarreau,leaderof the Leadership, Learning and Development team, is one of the peopleresponsibleforcreatingthatenvironmentfortheentireorganization.Herteam’srecentfocushasbeenonhelpingnewleadersdeveloptheskillstobeinsightfulandobservant—toseethepotentialinothersandhelpthempursuetheirgoals—with a heavy emphasis on developing people’s listening and communication

skills, all important culture-specific skills needed for success at EILEENFISHER.According to Jarreau, the development philosophy at EILEEN FISHER has

beengreatlyinfluencedbyFisher’sownviews.“Eileenhasastrongbelief thatyou don’t train people; they come to learn, and they learn from each other.”People are expected to benefit from being able to share their knowledgewithothersanddevelopnewideasinacollaborativesetting.“Listeningtopeopleispart of our practice here. We’ve developed a workshop called ConsciousListeningthathelpspeopleexploreandbecomemoreawareandpresentforeachother.WecreatedasecondonecalledConversationsThatMattertohelppeoplethink about what matters in particular conversations. We took quotes frompeoplewhohave saidprofound thingsabout communicationandused them tostimulate conversations and help people be more effective themselves ascommunicators.“Oneofthechallengesthatwe’vebeenaddressingisbecomingaleader.How

doyouthinkandmakethetransitionfromindividualcontributortoaleaderrolewhereyouareexpected to leadpeopleandhandle some individualwork?Thewaywedoithererequiresalotofselflessness.Lettinggooftheselfandlookingto the good of thewhole is challenging for all of us.” It is the conviction ofleaders that everyone has the ability to learn and grow that ensures that thenecessarytimeandresourcesaremadeavailablefortheseworkshops.TenilleClyburn,whoworksinVisualPresentation,hasbeenwiththecompany

for over eight years. She spoke of being the beneficiary of the culture andpractices that have helped her to pursue new interests. “I feel fortunate to behere.Thefashionindustryiscutthroat,sobeingavisualcoordinatoratanothercompany, I don’t think I wouldwant to. I started at the companyworking inManufacturingand transferred to theVisual team. Ivalued the time I spent inManufacturing,yetIrealizeditwasn’tthebestfitforme.Whentheinternaljobpostingcameout,I thought itwouldbehardtotellmyleader thatIwantedtotransfer;Icouldn’thavebeenmorewrong.Shewassupportiveandinterestednotonly in my growth within the company, but in my personal growth as well.Movingon toVisuals, I hadno experience in the field. I’mnot surewhatmyleader saw in me, but here I am! My passion for the brand has growntremendouslyduetotheopennessofmyleaders,aswellastheopportunityforexplorationinthecompany.IfIwantedtomoveagain,Iwouldtellmyleader.ShepaysattentiontothethingsIlike,andthetasksthatIamgivenfeelliketheyhavemynamewrittenallover them.Weall reallypayattention toeachother

here.”Anotherpersonwhospokeingeneralaboutherexperienceof leadershipand

developmentatEILEENFISHERsaid,“Wehaveleadershippracticesherethataren’tnecessarilyspelledouteveryday,buttheybecomeintuitiveafterawhile.Twoof them are nurturing growth in yourself and nurturing growth in others.SomethingthatIfindinterestingisthatit’snotevennecessarilywiththepeopleyouworkwith,but it’snurturinggrowthallaround.Thecompanyunderstandsthe best use of its energy.We feed off of each other’s positive energy all thetime, and the results are positive. That’s a really special support system thateverybodyunderstandshere.”Thesecomments reflectpartof thefundamentalwisdomofcreatingastrong

culture: hiring people who fit in, and then taking advantage of the skills andintereststhatcomewithpeoplewhowanttoworkintheorganization,notjustinaparticularposition.Thisisanopportunitythatpresentsitselfonlywhenleadersdeeply believe that people have multiple talents and act on their beliefs bycreatinganenvironmentthatsupportspeople’sabilitytodevelop.ManyemployeesatEILEENFISHERfeelemboldenedtotrynewthingsasa

resultofwatchingthebehavioroftheir leaders.Theyknowtheir leaders’workhistories and personal interests, and they see how they’ve been able tomovearoundandapplyvariousskillstodifferentpositionsintheworkplace.Throughthismodeling, leadersextendan invitation toemployees to try somethingnewthemselves.Onefifteen-yearveteranofEILEENFISHERdescribedherexperience:“I’ve

hadmanydifferentpositionssinceI’vebeenhere.Eachoneevolvedfromtakinganinterestinsomethingnew.I’veworkedforleaderswhohavesaid,‘Youreyesreallylightupwhenyoutalkaboutthat.Let’strytomakemoretimeinyourjobforyoutodevelopthatandworkonthat.’Youhavethebasicworkyouhavetodo,butthenyougettoworkwiththingsyou’rereallypassionateabout,andyouhave theopportunity toworkwithothergroups andother teams.That’s reallyvaluabletome.”Andit’sreallyvaluabletothecompanyaswell.Anemployeewhostayswith

theorganizationmeansnoneedtorecruitandtrainanewperson.Italsomeansthatallofthepersonalconnectionsthatsmooththewayforgettingthingsdonestay within the company. Andwhen employees stay and thrive, the companyretainsastrong link to itscultural foundations.Finally, thecompanywillhaveknowledgeable employees who can test out and debate new ideas internallybefore an effort is fully funded and implemented for the broader market. An

employeewho is supportedby thebelief that shecanaccomplishmany thingswillshareherinnovativeandcreativeideaswithothers.Thiscanevolveintoaninformal,internalresearchanddevelopmentsystemthatsupportsthegrowthanddevelopmentofpeopleandtheorganization.This isaprocessEileenherselfusedyearsago.Whenthecompanywasfirst

started,testoutfitsmadewithnewfabricswereproducedonasmallscale,andthen everyone in theofficewas asked towear the clothes to seewhether theyactuallywerecomfortableandfashionable.Theonesthatpassedthisinternaltestwould be produced for the broadermarket. Eileen’s creative efforts benefitedfromthereadyaudienceofpeoplewhowereallcommittedtothesuccessofthebusiness.Theirparticularskillsorworkresponsibilitieswerenotasimportantastheir understanding of the culture and mission of the organization and theirwillingness to experiment with the new clothes, supporting someone else’sability to accomplish something new and different. And it didn’t happen justwith new clothing designs. This approach—of trying things out internally,tapping into people’s minds, asking people to participate in new ventures—isoneofthegreatbenefitsthatcomeswithabeliefthatpeoplearecapableofmanythings.Susan Schor, chief culture officer, is the architect who puts structure and

process in place to support the company’s creative approach to developingothers.Sheherselfcametoretail fromanunlikelybackgroundinacademia, inlarge part because of her friendship and ideological connection with Fisher.Schor’scareerisagreatexampleofpeople’sabilitytoapplytheirknowledgetonewareas,asshemovedfromtheuniversitytotheworkplaceinafairlysmoothtransition. Still, she has faced challenges in putting her beliefs about theimportanceofcollaborative,open,experimentalenvironmentsintopractice.Theimmediacy of deadlines, order changes, supply chainmix-ups, and other sucheventsthatregularlyseemtoappearinadesign,manufacturing,andproductioncompanyhavenotskippedoverEILEENFISHER.Oneof theconceptsSchorespouses is learningbydoing.Thisnecessitatesa

collaborativeenvironment,as the“doing”partof the learningprocess involvesteaching others what you know or willingly engaging in a learning processtogether so that all participants are learning and doing together. This providestremendousbenefits in termsof exposingpeople to new ideas that theymightuse for their own growth and development, but it’s not always easy to getmultiplepeopleinvolvedinthinkingthrougheachopportunity.To address the challenges of the “learning by doing” process, leaders at

EILEEN FISHER took a number of practical steps to develop their owncollaborativeskills,andtomaintainafocusonpursuingnewideasandinterests.Schorexplained,“WedevelopedagroupcalledLeadershipForumtoserveasadiscussionanddecision-makingbody.Wehadthisbeliefthatcollaborationwasright, that thinking together and bringing together the right group of peoplewouldbethefoundationofoursuccessandwasmostalignedwithourvalues.”Initially, some leaders at EILEEN FISHER looked at the idea of LeadershipForumasamessy,unformedsystem.Therewasnoprescribedpictureofhowitwassupposedtobe,andtherewerefewexamplesineitherthebusinessworldoracademic literature to provide a solid model of how to successfully makeleadership decisions in a truly collaborative environment. Yet everyone wascommittedtotryingsomethingdifferentthattheybelievedspoketoaspecialanduniquequalityoftheorganization.Theyalsodeeplybelievedthatacollaborativedecision-making process for leaders would help them to be creative andthoughtfulandtodevelopnewskillsthatwouldallowthemtoaccomplishmoretogetherthananyoneofthemcouldindividually.Aspart of the development process for leaders, eachmember ofLeadership

Forumiscoupledwithanoutsidecoach.Theprimarypurposeofthecoachistoworkwith each leader on subjects related to EILEEN FISHER’smission andculture, to serve as a sounding board for various situations, and to providesupportaseachleadercreatesherownleadershipteamwithinherarea.AsSchorexplained, coaches are asked to help leaders “foster growth and developmentthat is very ‘EILEENFISHER-ish’ in their own leadership team so that thesenewleaderscandeepenintheircurrentareasandacrossthecompany.”Khaja Khateeb, director of EILEEN FISHER’s Distribution Center, has

benefited from EILEEN FISHER’s culture and given back as well. Khateebcametothecompanytwentyyearsagowhenhewassearchingforajobinthefashionindustry.Whenhewalkedintotheofficesforaninterview,hewastoldthatunfortunatelythepositionhewasinterestedinhadalreadybeenfilled.Thepersonwhocame togivehim thisnewsapologized for the inconvenience,yetinvitedhim to stay foraconversationabouthis interests.AsKhateebsaid, “Itwas toohotoutside to leave,soIstayed tohavea talk.Ourmeetingendedupbeinganhourandahalflong.Twodayslater,IgotaphonecallfromherandsheaskedifIwasinterestedinajob.Atthetime,Ihadthreeotherjoboffers.”Khateeb spoke with his wife about his interest in EILEEN FISHER. Her

concernwaswiththesizeofthecompany,whichwasverysmallrelativetotheotheronesofferinghimwork.WouldEILEENFISHERbeabletoofferhimthe

samegrowthopportunities?YetKhateebfelt thateverythingEILEENFISHERwasdoingwasrightforabusinesstobesuccessful,and,giventhat,itfollowedthathehimselfwouldbe successful there.Khateeb took thepositionandnow,two decades later, has proven himself capable of great things. He has grownfrom managing wholesale distribution to taking on retail and e-commerce aswell, and fromstartingwitha staffof five tonowhavingover seventypeoplewithin his area of responsibility. It was EILEEN FISHER’s approach todevelopingpeoplethathookedhiminthefirstplace,andthatsameapproachhaskepthimloyal.“Iusedtogetcallsfromheadhunterstocomeandworkatothercompanies,”hesaid.“Inoneofmy interviews, the interviewersaid tome thattheyare lookingforsomeonewho‘getsproductivity.’ In thefirst threemonthsthatIwasgoingtobewiththecompany,theysaidtheywantedtogetcomplaintsfromstaffthatI’maslavedriver.ItoldthemthatIamthewrongperson.”The Virtuous Circle of Trustworthy Leadership continues for Khateeb; not

onlyhasheexpandedhisownleadershipskills,buthe’salsotakenanactiveroleindevelopingothers.“I’velearnedalothere,”hesays.“It’snotjustmanagingby wandering around, it’s muchmore than that.…You help people to growpersonallyandprofessionally,andtheywillhelpyou.ThatiswhathappenedtomeatEILEENFISHERandnow Icanhelpothers.Halfofmy job ismakingsurethatwearedoingthework,andtheotherhalfofit istohelpanyonewhocomestome.Peoplewhoyouhelpwillbecomeyourbestemployees.”Many of the workplace practices at EILEEN FISHER are unique to their

culture.Althoughthespecificsmaynotapplytoyourparticularorganizationorleadership situation, there ismuch that all of us can learn from their process.First,EileenFisher,astheleaderandfounderoftheorganization,usedherownvaluesandbeliefs as aguide for creating thecultureofherorganization—andshestuckbythosevaluesandbeliefswhenimplementingprogramsthatwereoutoftheordinaryinthebusinessworld.Second,newleadersrecruitedtojointheorganization, who were attracted in part because of their connection to theculture, were able to provide process and structure that has helped theorganization grow—and still maintain a strong hold on the founding culturalvalues.The programs at EILEEN FISHER that support people’s ability to pursue

growth and development have themselves grown and changed as theorganization has evolved. Yet throughout these changes, leaders have alwayscarried forward their initial commitment to the idea thatpeople are capableofmanyaccomplishments.

WorkingatEILEENFISHER, Ihavebeenable topursuesomedreamsandgrowasapersonbecauseofthethingsthatwereavailabletome.IstartedouthereasCarolGazzetta,butbecauseofbeinghere, IbecameCarolGazzettathe jewelry designer, CarolGazzetta the cardmanufacturer, CarolGazzettathepotter,CarolGazzettathejournalist,andCarolGazzettathefashionplatebecauseIhaveallof thesebeautifulclothes.NowIcansayCarolGazzetta,theworldtraveler.Therearesomanydifferentthingsthatbecauseofbeinginthiscompany,Ihavebeenabletoobtain,andIneverwouldhaveifIwasn’there.

—EILEENFISHERemployeeCarolGazzetta

PROVIDINGAPATHTOFOLLOWIt’s fun to visit a Stew Leonard’s store. There’s always someone smiling andready to greet you, and delicious smells and attractive food displays fill thespace. Customers enjoy the time in the store as well as the good food takenhome. Yet what if you work there? You might think it would be hard to becheerful and attentive all the time for all the customers—especially given thattheonlyrulethatexistsatStewLeonard’sis“Thecustomerisalwaysright.”I’vefollowedthisorganizationformany,manyyears,andhavealwaysnoticed

one of their secrets to ensuring the positive customer experience: the leadershavemadeanintensebehind-the-scenescommitmenttosupportTeamMembers’growthanddevelopment.TeamMembersservecustomerswithconfidenceandenthusiasm because their own value, both personal and professional, isreinforcedeverydayintheirinteractionswithleaders,managers,andcoworkers.PeopleemployedbyStewLeonard’ssurelyhavedayswhenthefrustrationtopsthe enjoyment—everyone has those days—yetwhen everything is considered,Stew’sisagreatplacetocometowork.Many years ago,when StewLeonard’swas still just one storewith a small

number of employees, professional development opportunities came quicklysimplybecausethestorewasgrowing;everyonepitchedinhowevertheycould.With more stores came more opportunities, and people’s career paths werenaturallyvaried.Careerpathplanningtendedtofollowthesamenaturalgrowthpatternasdidpeople’searlycareers.Yetduringthepastfewyears,toensurethateveryone is aware of what career opportunities are ahead of them, StewLeonard’speople-developmentstaffhasfocusedoncreating,documenting,andsharing career plans with everyone—providing people with paths they canchoosetofollow.Providing a clear path for growth is themain focus of this section, yet it’s

worthnoticingthattheTrustworthyLeadersatStewLeonard’salsoembracethischapter’sfirsttwoconvictions:thateveryonedeservestheopportunitytocreateafulllife,andthateveryoneiscapableofmanyaccomplishments.Putalltogether,a commitment to developing others is a notable strength of the company’sleaders.This commitment reaps rewards for the business,which can easily beseeninthelongevityofitsTeamMembers.WendyFebbraiostartedatStew’sin1982asacashier.Nowshe’sthetraining

managerforfrontlineTeamMembersthroughTeamLeaders,andshe’salsotheassistant dean of Stew Leonard’s University. Her intention was never to be acareerStew’sTeamMember,andthefact thather tenure therehas lastedthreedecadesisatestamenttowhatshe’sreceivedfromthecompany.“The reason that I picked Stew Leonard’s,” she says, “was because my

husbandandIlivedacrossthestreetandIneededaplaceIcouldwalkto.StewLeonard’sofferedflexibleschedules,wehadtwobabiesathome,andIstartedasacashier.”Febbraio’s original thoughts of becoming amidwife changed because of the

peopleshemetatStewLeonard’sandthegrowthopportunitiespresentedtoher.“Ididall the jobswithin thecashierdepartment,” she says. “Twenty-sixyearsago Iwrote the trainingmanual—the first trainingmanual for the front end—because I thoughtwe should have some consistency betweenwhat I said andotherssaid.Iwenttothecustomerservicedeskandlearnedthatarea;Iworkedin theback in themoney roomforacoupleofyearscounting the receipts.…ThenIcamebackouttothefrontendastheassistantdirector,andfromthereIappliedforapositionwithinthepeopledepartmenttoworkwithpayroll.IcameupstairstotheHRdepartmenttwenty-oneyearsago…”Febbraiohasmanagedinsurance claims, run payroll, handled workers comp claims, and developedemployeeorientationprograms.Forthepastsixyearsshehasbeenthetrainingmanager.From the outset, it’s not easy to envision a career plan that looks like

Febbraio’s.Yetbecauseofherexperience,andtheexperiencesofthosearoundher,everypositionatStew’snowhasacareerladder,showingpeoplewhattheycandotomoveontonewpositionswithintheorganization.Thetrainingneedsare detailed, expected knowledge accounted for, success markers spelled out,andelectivesareevensuggestedthatcouldenhancesomeone’sskills.Staffmeetwiththeirmanagerstodevelopanestimatedtimeframefortheaccomplishmentof career development steps, with regular meetings scheduled to help keeppeoplemovingforward.WhenyoustartasacashieratStew’s,youknowwhattodo tomoveon tobecoming,say,amerchandiser/receiver, thenawineadvisor,andthenawineadministrator—potentiallymovinguptoamanagerpositionifthat’swhatmakessenseforyou.Thepath is there, the trainingavailable,yourmanagerandothersprovidesupportandguidance,andyoumakechoicesalongtheway.LikeFebbraio,EllenStoryalsohasacareerhistorywithStew’sthatgoesback

tothe1980s.CurrentlytheHumanResourcesmanagerfortheYonkersstoreand

directorofLeadershipDevelopmentforthecompanyoverall,Storystartedasacashier in high school in 1986. She was one of the first to receive a StewLeonard’scollegescholarship,whichenabledhertogototheCollegeofWilliamandMary inVirginia.AndaswithFebbraio, thoughStoryhadno intentionofmakingacareerwiththecompany,that’sexactlywhathappened.“IwentdowntoVirginiayetcamebackandworkedatStew’sduringallmy

college vacations, whether it was Thanksgivingweekend or all summer long.Duringoneofthosesummers,IhelpedoutinHumanResources,andthenbeforemylastyearIwasofferedafull-timepositionforaftergraduation,”shesays.“Ihadnoideareallyofthevalueofsomethinglikethat,yetasIgotclosertotheendof the school year and allmy friendswere trying to figure outwhat theyweregoingtodo,Irealized‘That’ssomething!’”Story assumed she would work at Stew Leonard’s for a few years before

findingher“real”job.Butdecadeslater,sheremainsatStew’s,happily.“Whenwe opened up the new store inYonkers, I was offered theHumanResourcesmanagementposition.I’vebeenthereforthelasttenyears,butinthattime,likealotofpeopleatStewLeonard’s,I’vehelpedoutinalotofdifferentareas.WestartedourwinebusinessintheYonkersstoretenyearsago,soIhelpedoutwiththat,whichstartedapersonalpassionofmyownforwine.StewLeonard’shasgiven me the opportunity to develop wine training programs for other staffmembers,andIalsohelpedoutinthemeatdepartment,ofallplaces.Ididthatforaboutayear—fromanoperationalperspective,learningsalespractices,andallaboutperishableproducts,thatsortofthing.”Twopeople; twostoriesof learningandgrowingonanopenpath.AndStew

Leonard’s has benefited tremendously aswell. Story’s experiences—especiallyher operational experiencesworking in thewine andmeat departments—havebeen of tremendous benefit to her work in human resources. “Having theoperations on-the-floor experience really engendered a sympathetic attitudetowardwhatfrontlinestaffhavetodealwith,”shesays.“Ifwe’repushingdowntraining programs—which we feel very passionate about, obviously, as werecognizethevalueindoingthem—whatwehavetorecognizeaswellisthatthemanagersandthepeopleonthestorefloorhavetobalancesomuch.Although[human resources training] is something we think is so important—stopeverything, drop everything, and send people to the training room—they stillhave to cut fillets and grind meat. I have a definite appreciation forcommunicatingoften,asfarinadvanceaspossible,solicitingfeedbacktoknowwhat’sgoingtobethemostvaluableprogramtoofferthemandreallyreinforce

thewholeideathatweareheretosupportthemsotheycangeneratethesalestokeepthebusinessrunning.”The positive experience ofmoving through positions,with training for skill

andknowledgedevelopmentprovidedalong theway, isofgreatbenefit to theindividualrecipientsandhasservedasamodelfortheongoingdevelopmentofothers.AlthoughbothFebbraioandStoryfollowed“self-made”careerpaths,thecurrentuseofcareerladders,trainingplans,andchecklistsgivespeopleaheadstartonconsideringwhattheiroptionsmightbeforsixmonthstosixyearsdowntheroad.Andinthespiritofanintensecommitmenttothebeliefthateveryonecangrowanddevelop,someofthefirstcareerladderdiagramsthatwerecreatedwere for the cashiers and frontline Team Members often ignored in otherorganizations.Allhourlypositionsare identifiedwitha laddervisual, showingTeamMemberswhattheyneedtoknowtogofromonepositiontothenext,oreven to a position on a different ladder completely. “We share thatwith eachteammember,”saysFebbraio,“sotheyknowwhatthenextstepis.WhereamIinmycurrentposition,have I satisfied these things,whatamImissing,and ifI’mjustaboutthere,whatdoIneedtodotogettothenextlevel?Theycanseeit,checkthingsoffandkeeptrackofwhat’sstillneeded.”Leaders ensure that this information is sharedwith everyone—not just those

whomighthavealreadycaught theeyeofsomeone interested inhelping themmove up.HumanResources staff attend departmentmeetingswhere all levelsarepresent,andtheyhelppeopletoseewhatthey’veaccomplishedandhowtoidentifywhatelsetheyneed.AtStewLeonard’sthereisatremendousfocusondevelopingtalentwithinthe

organizationandhelpingpeopleenhancetheircurrentskillsandknowledge.Partof this is simply a very smart business strategy—if you are able to keepemployeeswith your organization for a long time, your overall recruiting andtrainingcostswillbelowerandyourprofitswillbehigher.Nothingeatsawayatthebottomlinelikealossofinvestmentfromtherecruiting,hiring,andtrainingthatwalksoutthedoorwhensomeoneleaves.A major obstacle to career development opportunities for people in many

organizationsisafailuretoseethepotentialinallofthepeoplewhoworkthere,identifying only those with “high potential” as worthy of career developmentattention. This blind spot can come from a hierarchical structure that keepsleaders away from frontline employees, or it can come from an attitude thatcertain people and certain positions are the only ones that count. This is ahorribly narrow view of the world, as it overlooks those who provide direct

service—thepeoplewhotightenthescrewstomakesurethatthemillion-dollarpiece of equipment will work, or who answer questions from a potentialcustomerorsupplier.Ifthesepeoplearen’ttoldhowvaluabletheyare,thenwhyexpect the service they provide to be that valuable either? Is that a smartbusinessstrategy?AlthoughIoftenadmirethecommitmentofhourly,low-wageworkerswhodotherightthing,providegreatservice,andhelpoutasbesttheycan, I also oftenmarvel at howmuch better things would be for everyone ifsomeone inside their company paid attention to them and told them howimportanttheyaretothesuccessoftheorganization.At Stew Leonard’s that’s exactly what they do—for everybody. The career

development work that goes on at Stew Leonard’s rests on the fundamentalbelief thateveryone isvaluableandeveryonedeserves thechance to learnandgrow, and that soundguidance and advice canbe provided so that people canmakechoices.Becauseallemployeescangettheinformationtheyneedtokeepmoving,everyonecanbeidentifiedasapotentialhighperformer,regardlessofthe visibility of the employee’s current position. Each person is given anopportunity.Noteveryonehastotaketheopportunity,yeteveryoneisgiventhechancetomakethatchoice.Thisapproach,whichalsoreflectsmanyofthebasictenets of Servant Leadership, is a perfect combination of the TrustworthyLeader’s blending of a practical career path with a profound belief in humanvalue.

OneofthegreatthingsIseeherearetheopportunitiestogrow.Ilookaroundthetableandeveryoneherehasgrowntremendously.Iremindmyselfallthetimeofthesethingsyounevergotatothercompanies.Atmylastjob,Inevergotathank-younote,andIworkedthereforeightyears.WhenIwasatothercompanies, I used to get yelled at for doing things that Stew encourages. Iwouldbeonthephonetryingtogetbetterqualityproduce,betterpricing,butIwasgettingyelled at because Iwasn’t going through their systems.Here,theyencouragethat.Theywantustodobetteratourjobs.Youalwaysgetathank-youforthat.

—StewLeonard’sTeamMember

CONTINUINGTHECIRCLEThe companies in this chapter that serve as examples of developing otherscouldn’t bemore different on the surface. Griffin Hospital (community basedhealth services), EILEEN FISHER (women’s clothing), and Stew Leonard’s(dairy and grocery) represent great variety in the products and services theyprovide,thetypesofworkpeopleareaskedtodo,andthephysicalenvironmentof the workplace. Yet they are remarkably similar in terms of their leaders’commitmenttohelpingpeoplelearnandgrow.Leaders createwhat isuniqueand special in theirorganizations through this

commitment,anditisembodiedinawillingnesstolistentopeople’saspirations;tostretchpeoplebyinvolvingtheminprograms,meetings,anddiscussionsthatare often beyond their specific experience; and to provide guidance andencouragementaspeoplebegintoexplorewhatmightbepossibleforthem.The inspiration for each company’s leaders came from sources as varied as

their industries. Patrick Charmel found inspiration from his exposure to thePlanetreephilosophyofhealthcare.Thisapproachgavehimawaytomeshhispersonal values with a professional approach to leadership that worked in ahealth care setting. Many employees are now benefiting from his leadershiplessons.SusanSchorhadn’tthoughtshe’dfindherplaceinafor-profitwomen’sclothingbusiness,yet there itwas, right in frontofher.Atsome levelsheandEileen Fisherwere both trying to do the same thing, yet in different settings.Bothwanted to empowerwomen, to create placeswhere people could thrive,speakup, learn, andgrow; andbothwanted to createplaceswherepeople arevalued as humanbeings beyond the tasks they perform.AndWendyFebbraioandEllenStory took their inspiration from inside the organizationwhere theywere working, benefiting from the practices already in place. They are nowhelpingextendthosepracticestothenextgenerationofleaderscomingup.These journeys are common tomanyTrustworthyLeaders—ones forwhom

personalvaluesofcareandconcernforothersguidetheirprofessionalsuccess.Although in someworkplacesaspiring leadersandmanagersare told that careand concern do not belong in a business setting, the leaders profiled in thissectionandthroughoutthisbookshowthatputtingpeoplefirstactuallygarnersmore success than an approach that treats employees likewidgets.When youtreat people well, they will follow you, listen to you, and share valuable

information in return, and theywill learnandgrow inwaysyoucan’t initiallyimagine.Inshort,trustworthybehaviorleadstogreataccomplishments.Inmostof thesituationsTrustworthyLeaderswillencounter in theircareers,

thepracticesofengagingfollowers,sharinginformation,anddevelopingotherswilloccursmoothly.Yettherewillbemomentswhenuncertaintywilldominatethe situation; then leaderswill need to call on the reservoir of trust they havecreatedtohelpmovethroughtheambiguityandvagariesofwhateverisinfrontof them. Seeing opportunities in uncertainty is a particular strength ofTrustworthyLeaders.Theycanpursuetheseopportunitiesinpartbecauseofthatreservoir of trust they can turn to for help. The next chapter delves into thecomplexities of uncertainty and shows how three different leaders have beenabletokeeptheirorganizationsmovingforward.

TheRootsofDevelopingOthersSusanSchor had a safe and secure position as a tenured professor of organizational behavior,management,andleadershipatPaceUniversitybeforeshestartedhercareerasthechiefcultureofficer atEILEENFISHER.Mostpeoplewhoachieve tenured teachingpositionsnever leave,andmanyothersstruggletoattainthelevelofjobsecuritythattenurebringswithit.YetSchorchosetoleavePaceandjoinEILEENFISHER—formanyoftheexactsamereasonsthatbroughthertoteachinginthefirstplace.Shewantedtohaveapositiveimpactontheworld.Growingupandbeingpoliticallyactiveinthe1960s,Schorhadafront-rowseatinthestrugglesforjustice,genderequity,civilrights,andtheprovisionofopportunitiestothedisenfranchised.Theseexperiencescontinuetoguideheractionstoday.“Igrewupwithfriendsandfamilywhowereveryconcernedaboutcivilrightsandtheendofthewarandwomen’sliberation,”shesaid.“Inmyfamily,Iwasalittlebitmoreextremeinwantingtochangetheworld,thoughtheyweredefinitelyaninfluence.”Addedtoherfamilyandupbringing,Schorwasaffectedbyherstudies.Shehasdegreesinchilddevelopment, human development, and organizational development, all which she says haveinfluenced her approach atEILEENFISHER. “I’ve always had an interest in behavior and inpeopleworkingtogetherandunderstandingpeopleandknowingthatpeopledobestwhentheyareattheirbest.”SchormetEileenFisherat amutual friend’sparty, andduring their conversation they realizedtheyhad a lot in common.Thevision andvaluesFisher had for her companywere similar toSchor’sconcernswithequityandjustice.Theystayedintouch,withFisherspeakingatSchor’sMBAclassandSchoraccompanyingFishertoworkforaday.“Therewasasimpaticoexperiencethatwehadthatledtomyjoiningherforadaywhenshehadtwocriticalmeetings,”Schorsaid.“Ispentthedaywithherandtalkedwithherafterwards.SheaskedifIwouldworkwithheronher leadership process and talkwith her aboutwhatwas happening in the company.” Schor’sknowledgeofgroupsandleadershipbehavior,heroutsider’sperspective,andhersharedvalueswith Fisher all helped her to see the dynamics operating at EILEEN FISHER from a uniquevantagepoint—distinctfromthatofpeopleactivelyparticipatinginthemeetings.Overaperiodoftwoyears,Schorbecamemoreinvolvedwiththecompany’sleadership,workingcloselywithFisherherself.“Itreallybecameclear,”Schorsaid,“thattheyneededsomeonewithmy orientation in the company—that external was not going to do the trick. They neededsomeonetoguideanddeepenwhatEileenvalued.Ithadgonesomewhatastrayandwasdifficultfor her. Eileen asked me if I would find the right person and help that person for a year toeighteen-monthtransition.ItwasthroughtheprocessofleadingthesearchthatIsaidtomyself,‘Susan,areyounuts?It’ssuchafascinatingcompany.’Itwassoalignedwithmycommitmenttoequityandjustice.”Inherworkforthecompany,Schorhastakeninspirationfromherownbackgroundandfromtheintentions of Eileen Fisher herself, who has always expressed her commitment to people’sgrowth, development, and freedom to explore. Schor emphasizes that her work alone is notresponsibleforEILEENFISHER’sculture.“Whatyouseenowinourmissionandourleadershippracticesarenotnewideas,”shesaid.“Thereisjustareframingandrewording,placingusattherightpointinwhereweareinhistory.ThisiswhathasbeenpartofEileen’svisionfromtheverybeginning.”SchorconcludedthatmovingintoEILEENFISHERwasauniqueopportunitythatshecouldnotpassup.“WhileIfeltinmyacademiclifeIwashavingsomeinfluenceonsomestudents,Ijust

saw the potential for great impact for my values in a very open, learning-oriented, acceptingorganization.…Inanycase,itwassoappealingtobepartofthisorganizationandtobeabletoreallymakeadifference,andhaveEileen’ssupportintermsofthesteephillsIneededtoclimb.Ifeltvery,verywelcomedintothecompanyandveryexcitedmyself.IknewthatIwouldhaveanimpact.”

Notes

1.RobertK.Greenleaf,TheServantasLeader(Westfield,IN:RobertK.GreenleafCenter,1991;RobertK.Greenleaf,1970),p.7.2.Ibid.

CHAPTERSEVEN

UNCERTAINTYANDOPPORTUNITY

Everyleader—trustworthyorotherwise—hastofaceuncertainty.Inthelastfewyearsespecially, leaders inevery industryhavebeenona rollercoaster. It isafactthatthroughoutyourcareeryoutoowillregularlyfindyourselfintheheartof uncertainty,making decisionswhen the outcome and the consequences areunknown.Seekingapproval for anewproductor service, trying tounderstandcompliance practices, adjusting to shifting markets, and dealing with generaleconomicturmoil,allbringuncertaintywiththem.Uncertaintyisanormalpartofbusiness.Yetmakingdecisionswhentheoutcomeisunpredictablecanbeuncomfortable

and nerve-wracking.When we’re under pressure, our creativity and problem-solvingabilitiescanbediminished.Inanefforttofindsolutionsorantidotestouncertainty,weoftenmissseeinganopportunity—yetitispreciselyinmomentsofuncertaintythatopportunitiesarefound.Great leaders are always looking for opportunities.With confidence in your

skills and with a highly qualified team of people to help you deal withuncertainty,yourlikelihoodofsuccessincreasesdramatically.Ofcourse,“likelysuccess” doesn’t mean that an outcome is predictable. It just means thatwhatever theoutcome, it’smore likely tobepositive thannegative.And that’swhatagreatleaderwants—tobeonthepositivesideoftheequation.Asyoudealwithuncertainty,youwilloftenfindyourselfatacrossoverpoint

whereyou’llhavetoleapfromconsideringseveraloptions,tomakingachoice,to takingaction; that is,youwillhave topursueoneopportunityoveranother.How you find these opportunities and make your choices is critical to yourorganization’ssuccessandyoursuccessasaleader.TrustworthyLeadersdon’tapproachuncertaintybyapplyinganyonetheoryor

strategythatpromisesbetterfinancialperformance,agreatermarketshare,orachancetozapthecompetition.Rather,theirapproachtouncertaintyreflectsthefullness of their Virtuous Circle. Even in uncertainty, when the outcome isunpredictable, great leaders work diligently to consider options and makechoices consistent with their beliefs and values. Their actions reflect their

commitmenttoaleadershippracticethatflowsfromtheirtrustworthiness.Theirtrustworthybehaviorhelps themmove throughuncertainty to theopportunitiesthatliebeyond.TrustworthyLeadershaveanedgewhendealingwithuncertaintybecausethey

have developed, and seek to live by, their Virtuous Circle. Honorable leaderswho include employees in the life of the organization develop a highlycommitted and loyal workforce. They benefit from engaged, well-informedfollowerswho aspire to learn, grow, and contribute. So although there are noshortcutsformovingthroughuncertainty,awell-developedVirtuousCirclewillprovideyouwithadvantagesinthreecriticalareas:addressingrisk,uncoveringanddevelopingknowledge,andapplyingwisdom.Uncertain situations are by definition risky: if you don’t know what the

outcome will be, then there’s a risk that you will make choices that areunproductiveorharmfultothebusiness.Whenyouapproachuncertaintywithanawarenessthatriskispartoftheprocess—thatis,whenriskisnotjustexpectedbut anticipated—your chances for a better outcome improve.Relying on yournetwork—thepeoplewhosecommitmentyou’vesecuredbytreatingthemwithhonorandinclusion—willhelpyoutoidentify,develop,andsharethenecessaryknowledge to make and implement the right decisions. And as a leader whocontinuously searches foropportunities,youwill developandapplywisdom—thatcombinationofanalyticskill,usefulinsight,andpracticalunderstandingthathelps you to steer through the critical junctures that present themselveswhenopportunitiesareinfrontofyou.Intimesofuncertainty,successisneverguaranteed.Butifyoudon’taddress

risk, access knowledge, and use yourwisdom, you certainlywillnot succeed.Sometimes circumstances will require you to take immediate action. At othertimes, you will have the luxury to decide whether or not to pursue a uniqueopportunity that is just visible on the horizon. Either way, as a TrustworthyLeader, ifyouhavecreatedanenvironment inwhichyouandyour colleaguesworkthroughtheroughspots together,youwillbewellpreparedforwhatevercomes.In this chapter I present three examples of Trustworthy Leaders who each

faced a unique set of circumstances and handled the uncertainty differently.Reflecting on howeachof these leaders applied the strength of theirVirtuousCircle to situations in which risk was present, knowledge was needed, andwisdomwas essential,will help you to prepare for your own journey throughuncertaintytotheopportunitiesontheotherside.

MAYOCLINIC:ADDRESSINGRISKMayo Clinic, with a home base in Rochester, Minnesota, is one of the mosthighlyregardedhealthcareorganizationsintheworld.Peopletheredealwiththeday-to-dayuncertaintythatcomeswithtreatingoverhalfamillionpatientseveryyear,yettheyalsodealwithheighteneduncertaintythatshowsupasrisk.What’sthe difference? Day-to-day uncertainty may mean not knowing which traumacasewillarriveattheemergencyroomdoor,whichpatientwillhaveanunusualillnessorconditionneedingtreatment,orwhichcutting-edgeprotocolmaybeapatient’sonlyhope.Ineachcaseofuncertaintyadecisionneedstobemade;oneresponse is chosen over another, and people move forward. Uncertainty thatcomeswith the addedweight of riskmay come from the same roots, yetwilltakeadifferentturn.Inhealthcaresettingstherearerisksassociatedwith thechoicesbeingmade

forpatients—surgery,treatmentoptions,andvariousmedications.AtMayothereis an additional risk associatedwith finding the right approach to patient carethatwillliveuptoMayo’scommitmentofensuringthattheneedsofthepatientcomefirst.TheserisksareassociatedwithMayo’spledgetoprovidehealthcarein a setting that promotes collaboration, integration of practices acrossdisciplines, and mutual respect for all employees. There is risk in simplymanagingahealthcareorganizationandtryingtosincerelyconveytoallserviceprovidersthevalueoftheiruniquecontributions—especiallyinaworldinwhichthe superstar care provider is often singled out for exclusive praise. Thecombination of any of these risks with one another could raise the level ofuncertaintytoanuntenablepoint.Recently,Mayohasalsofacedadditionalrisk,aseffortstochangethenational

health care systemhave raisedquestions about how serviceswill beprovided,whowillmakedecisionsaboutcoverage,andwhatlevelofreimbursementswillbeallowed.Aslawmakersdebatethesequestions,peopleatMayoprepareforanuncertainfuture.Yet even as these elements swirl around them, the Trustworthy Leaders at

Mayoseek to remaincalmandcontinuewith theirwork.ChiefAdministrativeOfficer Shirley Weis identified three strategies she uses to address the risksfacingMayo—boththosethatareexpectedandthosethatareanticipated.Weis’sapproach to addressing risk is deeply rooted in the elements of her VirtuousCircle. First, she relies on the honor she experiences as a leader atMayo, asexpressed in the values she uses to guide her actions. Second, she encourages

informationsharingand thedevelopmentofa fairculture thatpromotes safetyand accountability in high-risk situations. Third, she has enhanced theinclusiveness of a standard decision-makingmodel tomeet the needs of high-risksituationsfacingMayoClinic.Combined,thesestrategiesprovideWeiswitha road map for moving through the uncertainty associated with leading in aworld-renownedhealthcareorganization.Weis reflected on the honor and values that guide her by speaking of the

personal experiences that have influenced her own approach to leadership.“Being in the ranks in other organizations and having poor supervisors whoweren’tgivingyou thestraightscoop,yousensedhowit felt tohavesomeonetreatyoudisrespectfully.Asadults,youexpecttohavetherealdeal—tellmethefacts and we can work it out together, as opposed to having someone try toconvinceyouit’sacertainway.”Thelife-changinglessonsthatWeishasbroughtwithherfromherearlyworkplaceexperiencesreflectherhumility,reciprocity,andpositionawareness.“Asaleader,theonlythingyouhaveisyournameandyour word. If people can’t trust you and what you do, it harms you as anindividual,anditharmsyoureffectiveness.Ilearnedthatearlyonbywatchingothers.”Inherroleasaleader,guidingtheorganizationthroughtheuncertaintyofthe

healthcareindustry,herpersonalvaluesinfluencehowsheinteractswithMayo’sstaff. “As a leader, if youwant tomeet [patient] needs, you have tomeet theneedsoftheemployee.Thetwoareintertwined,”shesaid.Weis struck a reflective note as she spoke of times when she felt that she

hadn’tquiteliveduptoherownstandardsandhadpushedherself tolearnandimprove.“Youmakemistakesearlyon,andyoulearnfromthem.Youstrivetobetrustworthy,butattheendofthedaywhenyoureviewthesituation,youmaysay,‘Thatdidn’tgosowell.HowcanIdobetternexttime?’”Weisunderstandsthathavingastrongsetofpersonalvaluesisaspirational,notdefinitive,andinorder tobe effective sheneeds to always aimher actions towardhervalues—seeking consistency between the two. Situations change and people’s needschange,soWeischallengesherselftoapplyhervaluestochangedcircumstances.Hercommonsenseapproach isbeneficialwhendealingwith risk, as it ensuresthatheractionsaretransparentandthattrustamongWeisandhercolleaguesandstaffremainshigh.Weis also brings into play the lessons she learned while growing up in

Michigan, watching the auto industry downsize and people lose their jobs.“GrowingupinMichigan,”shesaid,“youeitherwenttoworkoutofhighschool

in theauto industry,oryouwent tocollege togeta job in theauto industry.Itbreaksmyheartgoingback toMichigannow.Theauto industry is struggling.Theycouldhavemadechanges,andtheycouldhaveintervenedearlier,buttheydidn’t.IfeelstronglythatIcanneverletthathappentoMayoClinic.EvenifIhavetodotoughthings,we’lldotoughthingsfortherightreasons.It’skindofliketoughlove.…We’vehadtomakechanges,andwewereasfairaswecouldbe,andweopenlydiscusseditwithourstaff.”Weis’swords echo the depth of the honorable and inclusive stance she puts

intopractice.Sheaimstohaveheractionsandwordsconnected—ahallmarkofstrong ethical leadership that is essential for anyone who aspires to be aTrustworthyLeader.Asanapproachtodealingwithrisk,thisisindispensible,asitreinforcesthetrustthatissonecessaryformovingthroughuncertainty.In recent years Weis has strengthened her practice of sharing as much

information as possible with all staff, answering questions directly, andcontinuallyexpressinghercommitmenttoMayo’svalues.Sheacknowledgestostaffthatriskistobeexpectedandthatthewaytomovethroughriskysituationsis with the same values, skills, and practices used at other times. To supportpeople’sabilitytocometogetherandparticipateinthediscussionsanddecisionsthatneed tobemade,Weis supportsherheightened sharingof informationbycultivatinga faircultureatMayoClinicwhichencouragesstaff tospeakup topreventriskandlearnfromsituationswhereriskoccurs.“Our goal to continually learn and improve as an organization,” notesWeis,

“means we must all be able to reflect and ask ourselves what we can dodifferentlynexttimetopreventrisk.”Weis isworking diligently to embed a fair accountability systemwithin the

cultureofMayoClinic.Thisaccountabilitysystem,combinedwithsafetyhabitsthatallstaffadopt,enhanceseveryone’sabilitytoensurepatientsafetyandbetterperformanceinriskysituations.“Weareworkingwithourstafftobuildacommonlanguage,widelyaccepted

principles,andspecificpracticestousethatenablethemtoaddressuncertaintyor risk and learn from it,” said Weis. This focus on safety habits and a faircultureprovidesparticularbenefitstostaffwhomaynothavethepositionpowerneededtoquestionasituationtheybelieveisrisky.TheculturegrowingacrossMayoClinic puts everyone on an even playing fieldwhen it comes to patientsafety or risky situations. Everyone is accountable for eliminating preventableharm.Staffwhomaybemostvulnerabletotheconsequencesof“riskgonebad”are encouraged to speak up and are supported by the care team, as all are

collectivelywatchingoutforthepatientandeachother.Staffdonotfaceriskbythemselves, and leaders become aware of the risks facing others and can actuponthemquickly.Asanexampleofhowthesafetyhabitsandfairculturepracticeshavehelped,

Weissharedthefollowinganalysis—whichwasconductedwithintheframeworkoflookingtocreatea“fairculture”forall.Oneofthebiggestcausesofeverydayriskinhealthcaresettingsispoorcommunicationduringpatientcare.Whetherit’salife-threateningsituationorroutinecare,patientscanbeharmedwhenthewronginformationisconveyedfromonecareprovidertoanother.LeadersknowthateveryoneatMayoiscommittedtodoingtherightthing,yetwhensituationsaretenseandoutcomesuncertain,communicationcanfalter.Ensuringthatstaffarecomfortablespeakingupintensesituationsisessential

foreffectivecommunicationandforreducingthepossibilityoferrorsinpatientcare. Practices that ensure clear communication and safer transitions help toreduceriskandcreateablame-freecultureinwhichpeoplespeakfreelyversusapunitivecultureinwhichpeoplekeepquiettoavoidrepercussions.Staffreceivestandard training on how to have difficult conversations, yet having thoseconversations under tense circumstances is different—it’s an issue of culture,andthat’swherethesafetyhabitsandfairculturetraininghavehelped.Weiswantedtomakesurethatallleadersreceivedfeedbackontheiropenness

toquestionsandevenchallengeswhenplacedintensecircumstances.ShefoundthatalthoughonpapereveryoneatMayowasexpectedtoreceiveaperformanceevaluation—which would include feedback on openness to challenges andquestions—in practice it wasn’t happening for all leaders. “Leaders caninfluencewholesectionsoftheorganization,”Weissaid,“soofcourseyouneedto give them feedback. And that happens now.” No one was blamed for thepreviousoversight—theproblemwasacknowledged,andstepswereputinplaceto address it. Now when a difficult situation arises, when someone with lessposition power in the system needs to question a decision or ask for moreinformation,thefairculturepracticescomeintoplay,ensuringthatthequestiongetsasked,theconcernsareheard,andultimatelytherightdecisionismade.The fair accountability system evolving across Mayo Clinic provides a

framework for having conversations so that the risks involved in varioussituations can be minimized. It helps to uncover relationships betweenworkplacepracticesandrisk,anditidentifiesprograms—somealreadyinplace—thatcouldbebetterusedtoreducerisk.“Inthosehandfulofsituationswhereastaffmemberiswillfullynegligentordoingharmfulthings,youhavetohandle

that,andifit’safairculturewhereyoucantalkopenly,thenwecantalkabouttheissuesathand,wecanputeverythingonthetable,”Weissaid.“It’spickedupa fair amount of steam so far. And we know the tone at the top makes thedifference.Youhavetobetruthfulandsetthattoneforpeopletoreallyfeelitissafeandfair.”LookingcloselyatWeis’scommitmenttocreatingafairculture,youcansee

herVirtuousCircleatwork.Sheengagesfollowers, information issharedwithall, and people develop new skills and abilities through the training programsoffered. An added benefit of creating a fair culture is that the strong ethicalculture of Mayo Clinic, and the commitment to Trustworthy Leadership, arereinforcedaswell,whichhelpstominimizethenegativeconsequencesthemightariseinriskysituations.ThethirdelementofWeis’sapproachtoaddressingriskusesinclusivenessin

decision making and supports a person’s ability to challenge a decision as adevil’s advocate or, in some cases, to actually veto the decision.This elementstemsfromaresponsibilitychartingapproachtodecisionmakingusedinmanyindustries.Althoughmostapproachestodecisionmakingassignpeopletooneoffourroles—responsible,accountable,consult,inform(RACI)—Weiscustomizedher approach for situations inwhich significant risksmight arise. “Everybodyelse usesRACI as a guide for decisionmaking.WeMayo-ized it sowe haveARCIVD—we added ‘veto’ and ‘devil’s advocate’ roles. This gives the addedabilityforsomeonetospeakupwithconcerns—tobethedevil’sadvocate.Forbigprojects,weput thedevil’sadvocateandveto responsibilities inaspartoftheprojectcharterandassignrolestopeoplebasedonARCIVD.”Thisdecision-makingmethodologyhasaverypracticalelement to it,similar

totheapproachtocreatingafairculture.Rolesandresponsibilitiesareclear,andpeople are tasked with upholding their specific area. The person who isresponsibleformakingthedecisionneedstodojustthat—makethedecisionandholdresponsibilityfor itssoundnessandapplicability.Thepeoplewhoneed tobeconsultedneedtoensurethattheymaketimetoofferconsultationssothatthebestdecisioncanbemade.Beingadevil’sadvocateempowerssomeonetospeakupwithconcerns.Eachrolehasaspecificjobdescription;whencombined,theycreateaninclusivedecision-makingmodel.There is also a very profound element to this practice atMayo that gets its

strengthfromWeis’sVirtuousCircleofTrustworthyLeadership.Becauseofthepermission and protection granted to decision-making participants by theARCIVDapproach,peopleareabletosupportthepersonwhowillbethedevil’s

advocateorthepersonwhohastheabilitytovetotheproject.Theyprovidethissupportbylivinguptothevaluesoftheorganization,sharinginformationwitheach other, and fulfilling their own responsibilities. It is a system that workswhenallparticipantscooperate,anditisasystemthatneededtobedrivenbyapersonwiththepositionpowerofWeis.Aseveryonewhohaseverbeeninaleadershiproleknows,comfortwithyour

ability tomove throughuncertaintyandriskdoesnotguaranteeagoodnight’ssleep.Youmay be prepared and have confidence in your team’s ability to goforwardandmaketherightdecisions,yetriskanduncertaintyarealwaysthere.Since2009,Weis’sattentionhasbeenfirmlydirectedathealthcarereformandall of the questions swirling around that. With a fair culture in place, andpeople’s experience in being a devil’s advocate and asking challengingquestions, the negotiable elements of health care changes are on the table atMayo,beingaddressedinthoughtfulandintensediscussions.“Thebiggestchallengeforusnowishealthcarereform.Mygoalistohelpus

navigate it and stayMayo Clinic in spite of it all. I don’t think people fullyunderstand what the impact could be on health care, particularly for MayoClinic,”Weissays.“Wereallysetthebarwhenitcomestoqualityhealthcare.IfwearealltryingtooperateonMedicarereimbursement,Idon’tthinkwecanbeMayoClinic and provide the same caliber of care.Wewill never give up ourvaluesorour focuson thepatient, so somethinghas togive. Ifyou talkaboutwhatkeepsmeupatnight,it’shealthcarereformandthatI’munsureaboutwhatitwillmeanforus.”AsWeisandotherleadersatMayosurelyknow,risknevergoesaway;itjustchangesitsshapeandreappearsinanewform.There ismuch that is strategic in theplansandpracticesofpeopleatMayo.

Theywouldnotbeheld in suchhighesteem if theyweren’tbrilliant,creative,andinnovativeinwhattheydo.Yetwhattrulysetsthemapartaretheiractions—likethoseofShirleyWeis—thatrestondeeplyheldvaluesthatguidetheirworkandsupporttheirmovementthroughtheVirtuousCircle.Itisthismovementofleaders along the path of Trustworthy Leadership that provides the greatestopportunitytorespondtothedestabilizingeffectsofrisk.

Iwork as a supervisor in the outpatient desk operations area in the cancercenter.Tobesuccessful,Ifirstlistenedalot.Iwentthroughthesametrainingasmyemployees.Iwantedtoknowwhatwasgoingon,howtheydidthings.I wrote down things I thought could change, heard them out as we wentthrough,askedquestions.Ithinkanytimeyougointoanewroleyouneedtobuild trust before you canmake any change. Thatwas advice given tome

fromafellowmanager,andithasworkedoutwellforme.—MayoClinicsupervisor

ROBERTW.BAIRD&CO.:UNCOVERINGANDDEVELOPINGKNOWLEDGE

Weoftengainasenseofsecurityfromourknowledgeaswecallonittoguideusthroughthemanychoicesweneedtomakeeveryday.Makingachoiceisoftenarelatively simple task that moves us quickly through the uncertainty we feelbefore the choice ismade.Do I want vanilla or chocolate? Should I wear asweaterorajacket?Thesedailychoiceshappensorapidlythatoftenwedon’tevenrecognizethatuncertaintywaspresent,justforamoment,beforewechose.The knowledge that we carry with us helps us to make quick choices.

Knowledgethatweknowhowtoaccesshelpsuswithotherdecisions.Andtheknowledge that we know is out there, yet takes longer to find, helps us withchoicesthataremorecomplex.Thespacebeforeeachofthesetypesofchoiceischaracterized by uncertainty. As the complexity of the decision grows, theuncertainty we face grows as well—as does our need for more creative andusefulknowledgetoguideourchoices.Atwork, knowingwho togo towhenyouwant an answer toyourquestion

makes life easier. Rather than hunting around for the information that mightsolveyourdilemma,ifyoucangotothesourceandgetthingssettledquickly,somuchthebetter—thenyoucanmoveontothenexttaskordecisionthatneedsyourattention.Mosteveryoneinsideanorganizationhasanetworkofcontacts—their sources—who ensure that questions are answered and projects arecompletedon time.Butwhoareyour sources for thequestions thatyoudon’tknowabout,theprojectsthathaven’tevenstartedyet,andtheopportunitiesouttherethathaven’tbeenidentified?Ourabilitytouncover,develop,andapplyknowledgetothechoicesfacingus

intheunknownfutureisenhancedwhenwearewellpreparedtohandletherisksassociatedwithdecisionmaking.Anxietythatmightinterferewithclearthinkingwillbereduced,andthepositiveexcitementthatisgeneratedwhenpursuinganopportunity will grow. It is here, at this crossover point, after TrustworthyLeadershavecreatedsystemstoaddressriskthattheimportanceofdevelopingandapplyingknowledgeismostkeenlyfelt.An internal knowledge bank, whether specifically identified as such or not,

will serve as the repository of learnings from previous challenges and as thesourceofguidance forpursuing theopportunities ahead.Leaderswho identifyand develop sources of knowledge within their organization and then exploitthem—in thebest senseof theword—willhave tappedanaturalwellspring toserve as a sustainable source for future growth. This is exactly what hashappened at RobertW. Baird & Co. within their Human Capital group. LoriLorenz,managingdirectorandHumanCapitaldirector,craftedBaird’sapproachto knowledge development, with strong support from CEO Paul Purcell andChief Human Capital Officer Leslie Dixon. Her Trustworthy Leadership hasinfluenced Baird’s approach to knowledge development, and has fueled thecompany’sapproachtomakingthechoicesthataretakingthemfromuncertaintytoopportunityeveryday.AuniquepartofwhatishappeningatBairdisthedegreetowhichthepursuit

of organizational knowledge and the promotion of people’s individual growthand learning are guided by the same philosophy. Lorenz and her team havecreated aunique approach to ensuring that the skills and abilities of a supportpersonaredevelopedwithin thesameoverarching frameworkas theskillsandabilitiesofaleadinginvestmentanalyst.Theskillsthateachpersonwilluseinhisorherjobaredistinct,asarethespecifictacticsusedtohelppeopledevelopandsharetheirexpertise.YetwhatIfoundsodistinctiveabouttheapproachatBaird is thedegree towhichdevelopmenteffortsarebeingconsciouslyguidedbyanoverarchingcommitmenttoeveryone’svalue.The development of every person, and every skill set, is linked through the

deeply held belief that the organization is enhanced by every single person’scontributions toBaird’s repositoryofknowledge.This future-oriented strategy,being fully implemented through the work of the Human Capital group, istransforming the training, coaching, mentoring, and experiential learningprogramsatBaird.Thegoalistodevelopknowledgeforthenextgenerationoffinancial service opportunities. And all of this is occurringwithin the currentswirl of uncertainty facing the industry. With this approach, leaders at Bairdanticipatebeingpoisedtotakeonopportunitiesfarsoonerthantheircompetitors.AsLorenzdescribesthedistinctionofwhatishappeningatBaird,she’sableto

contrastherapproachtowhatsheseesinmanyotherorganizations,andtowhatusedtoexistatBaird.“Manypeoplearestilllookingathumanresourceworkastransactional,tacticalworkthatisreactionary.Partofourpurpose[intheHumanCapitalgroup]istobemoreproactive,morestrategicinourthinking,creatingapartnership at the table. That was part of our goal in our transformation and

mergingofthetwodepartmentsofHumanResourcesandBairdUniversity.Wewanted to create an all-encompassing talent management mind-set and be abetterbusinesspartneratthetablewhenthinkingaboutthehumancapitalneedsandeffortsthatwillbuildabetterbusinessforBairdgoingforward.That’swhatwe’retryingtoembraceandhavetheorganizationembrace.”The merger that Lorenz talks about—between Human Resources and Baird

University(wherealltraininganddevelopmentcourseswereoffered)—broughttogethertwodifferentsetsofactivitiesthatsupportknowledgedevelopmentandtalentmanagement.Asanexampleofwhathaschangedoverthepastfewyears,Lorenz described the integration that has occurred among the many differentcomponentsof thetalentmanagementprocess.“Historicallywelookedateachcomponentasaone-off—hereareourleadershipdevelopmentprograms,here’sourperformancemanagementeffort,here’swhatwe’vedoneonthetraininganddevelopmentside,here’showwepaypeople.We’dnotthoughtaboutthemfromthe broader, bigger picture of how we could integrate them so that they alltappedintothesamesourceandfedbackouttoourfuturegrowthstrategy.“A good example is the leadership development piece. On that front, our

abilitytoidentifywhatweknowhavebeensuccessfultraitsofleadersatthefirmshould trickle into howwebuild our leadership development curriculum, howwebuildourcareerdevelopmentofferingsforthosewhoaspiretobeleadersoneday, how we hold people accountable to those leadership traits from aperformancemanagementperspective,developingconsistencyinhowwelookatleadersandholdthemaccountableandthenultimatelytranslatingallofthatintohow we pay and reward people. That’s one example, but if you think of thetalent management lifecycle, every piece needs to be interwoven andstrategicallypositionedsothatonefeedsthenext.”Baird, likemany companies, had relied on itsmore piecemeal approach for

years.Yet,propelledbyuncertaintyinthemarketplaceandCEOPaulPurcell’sdeeply held belief in the value of everyone’s contributions, Lorenz began toimaginethatsomethingcouldbedifferent.Startingatthetopoftheorganization,thestrategicinitiativesofthefirmhavebeenconnectedtooveralldevelopmentgoals and also connected to the performance management process. Lorenz’scommitmenttoconsider theentirehumancapital landscapeof theorganizationasaresourceforfuturegrowthhaspropelledBairdtodeveloptheirknowledgeresourcesfromaunique,integratedperspective.For thisapproach towork,Lorenzneeded tobe inanenvironment inwhich

she could gather information from all the different delivery sources and have

somecreative free rein toproposenewstructures,new reporting relationships,and a cross-functional open platform for continued information sharing anddevelopment of new ideas. Luckily for her, and for Baird, open informationsharingispartofBaird’sDNA,andLorenzisenjoyingthesuccessandchallengeofthetransformationprocess.“Weareheadedintherightdirectionandmakingreally good progress. We moved much of the transactional HR work into acentralized area so thatwehavepeople dedicated to those serviceswhomakesure that our support doesn’t slip there.We thus freed up a group of peoplewithinhumancapitaltofocusontheforward-lookingstrategyworkandbusinesspartnering.”What Lorenz is able to do—think long term and focus on strategy—is

absolutelyessentialtothecreationofaknowledge-intensivefirmthatcanmovethrough uncertainty to pursue multiple opportunities. And she has the fullbackingofPurcell.According toPurcell, it is thisability topursuea forward-looking long-term development strategy that is fueling the success of Baird.“Onebig issuewithAmericans is thatwewant everything rightnow.Andweneedtochangethewaythatpeoplethink.”Purcellisabigproponentofwhathecalls “the basic values” of working hard for the long term, setting long-termgoals,andhaving leaderswho look to the future,notnextquarter.Ashesays,“Thepeoplewhogetusintroublearethepeoplewhowanttoomuchtoofast.”Purcell is very clear that a key reason for his success is that he delivers

concrete results.“WegenerategoodROE,and Icanpaypeoplecompetitively.You’ve got to deliver results. There’s no question aboutwhatwe need to do.Whatwehavecompletepoweroverishowwedoit—thatdefineswhoweare.Ifwehavealotofbodybagswhenwegetthere,nobody’shappy.Ifwedoittherightway, that’sadifferentstory.Duringthedownturn,wewantedtokeeptheteamtogether.Notbecauseit’safeel-good,buttheconsistencyoftheteamoverthelongtermmatters.Ibelievethatfervently.Thesurestwaywecoulddothatwastogivepaycutstothetopfifteenpeopleatthefirm.Everybodyboughtin.You walk out of that meeting, and you know you’re going to win long termbecausewekepttheteamtogether.We’llprotectthefranchiseandthepeopleinthe franchise. If you go into some of our competitors, they are cesspools ofwinnersandlosers.”Purcell’swillingnesstoreducethesalariesofthetopfifteenpeopleatthefirm

to ensure the long-term stability of the team is a no-brainer on the surface.Ashort-termsacrificewasmadeby the leadersof theorganization tosupport thegreatergoodtobeachievedinthefuture.Hemadeadecisiontoensuregreater

stabilityduringatimeofuncertaintythatwouldenablethefirmtobetterpursueopportunitiesinthefuture.AlthoughPurcell’sactionsareonlytoorareinotherfirms, at Baird they are expected. And they are supportive ofwhat Lorenz istryingtodoacrossthefirmwithknowledgedevelopment.Individualscanmoveoutofuncertaintyforthemselvesbyactivelychoosingto

develop their minds and engage in creative idea generation activities. Thisrequires an environment of trust and support in which people’s interest inexploring is encouraged by opportunities—both structured and unstructured—thatfeatureopenness,newideas,anddiverseopinions,withlittleinthewayofjudgmentandconstraints.ThishappensatBaird.The combination of full support from the CEO and an ability to create a

strategic, future-oriented human capital strategy is having its impact. MarkKindler,inprivatewealthmanagement,hasbeenwithBairdforeighteenyears.He is clear that he can always count on people throughoutBaird to help findsolutions to internal challenges or to meet the needs of a client. “Here,everybodyfeelsthatifthereisawaytheycanhelptogetagoodendsolution,theywanttodothat—youhavethebackupandtheresources.It’slikethisisthelargestsmallcompanyyoucouldworkfor.Thecapabilitiesheremakeitfeellikethere is nothing we can’t do.” Kindler is aware of the depth of knowledgeavailabletohimatBaird—andofthepossibilitytocreatemore.Laura Thurow, co-director of PWM Research, also benefited from the

opportunities available to develop knowledge—her own, and Baird’s. Thurowstarted at Baird in equity research, yet after five years she felt her interestwaning.Rather thankeepquietand lookoutside thefirm,she letpeopleknowthat shewas interested in something else. “I lovedBaird andwanted to stickaround,soI talkedtopeopleaboutwhat theydid,andwordtraveleduptomymanager’smanager.Hecalledmeintohisofficeonedayandsaid,‘Hey,Iheardyou’vebeen talkingwithpeople.Tellmewhat youwant andwhat yourplansandgoalsare.’We talked,andheasked if I’dbe interested in lookingatotheropportunitiesiftheycameup.”Thurowrespondedpositively,andwithintwoweeksshewascalledbackinto

hisofficewiththeofferofanewpossibility.“Hesawthepotential to leveragemy skill set of being an analystwith a different client base. Forme, thatwasbeforeIevenknewwhatIwantedtodo.Hesawthis linkandopportunityandencouragedandhelpedmetopursuethat,whichIfirmlybelieveisuniquetothisfirm.”Thurow’sstoryhighlightsthepowerofwhatLorenzandPurcelltalkedabout

earlier in this chapter—taking the long-term view, keeping the team together,recognizing the knowledge inherent in each team member and pursuingknowledgedevelopmentopportunities for the futurebenefitof the firm. It is aperfectcombinationofPurcell’svisionandLorenzandherteam’sabilitytousethatvisionaspartofthehumancapitalstrategythatleveragestalentthroughoutthefirm.Thurow—andherknowledge,contacts,andcommitmenttothefirm—areallstayingwithBaird,andthatisofgreatvaluetotheorganization.Insomefirms,the“talkingtopeople”thatThurowengagedinwhenshefirst

realized that she wanted to try something different would be construed asdisloyaltoherteamorgroup,andratherthanbeingsupported,itwouldbeshutdown.Suchactionssetoffacascadeofconsequencesthatseverelylimitfuturegrowth and development opportunities for the person involved and theorganization.A person in Thurow’s positionwho gets shut down can becomerisk-averse,whichdecreaseshervaluetothefirm.Ifherabilitytocontributeistiedsolelytotheteamofwhichsheisamember,thenthewholeorganizationalteamlosesout.YetatBaird,ThurowwasseenasamemberofBairdasawhole,andatthattimeshewascontributinginequityresearch.Theentireapproachtohelpinghermovefromtheuncertaintyofwhatcouldbenexttotheopportunityof contributing in another area is a micro-example of the larger effort beingimplementedatBaird.Lorenzisclearthattheimplementationofthenewhumancapitalapproachat

Bairdhasafewmoreyearstorolloutandcompletelydevelop.Andshealwayshas her eye on the future opportunities that will come Baird’s way. “It’s aninterestingjourneythatwe’reon,andIcouldn’tbemorepleased,becauseI’vefelt thatwe’veneeded toconnect thedots fora long time. I think it’s thenextsteponourjourneyofleadership.Ireallybelievethat.”Knowledge ismostvaluablewhen it isashared resource,which ishowit is

viewedatBaird.Peoplewhoareconstantlydevelopingnewskillswillbeabletousetheknowledgecurrentlyavailabletothemandcontributenewinsightstothecollectivepotforwhatevercomesnext.Thegrowingknowledgebankservesasa source of options formoving through uncertainty.Organizations and peoplecan consider more permutations when knowledge is plentiful. Thoseorganizations that are best at creating shared knowledge are creating a sharedfuture for everyone. Less uncertainty and more opportunities—exactly whatleadershipisabout.

OneofthethingsIamencouragedbyisthatIhaveseenthefirmgrowfromaregional to a national firm. Management over the years has been able to

constantly evaluate the strengths andweaknesses of the firm and grow theareaswhereopportunitieshaveexistedandthatgavethemmorebalance.Inspiteofalotofdisasterswehaveseen,wehavebeenabletoavoidalotofthoseproblems.We’vesurvivedandgainedmarketshare.They’vebeenabletolookoutexternallytoseewhattherisksare.That’sencouragingtome.

—Bairdemployee

W.L.GORE&ASSOCIATES:APPLYINGWISDOM

What is the advantage of beingwise?We often identify people aswisewhentheiractionsenablethemtoliveafulfillingandenjoyablelife.Peoplewhoarewise are frequently asked for advice or commentary on how they have facedchallenges, and they are often looked to as role models. At times an aura ofmysterysurroundssomeonewhoisseenaswise,as therestofus try tofigureoutwhatitisexactlythatthewisepersonhasachievedandhowwecoulddosoaswell.Organizations in which wisdom is present share some of the same

characteristicsaswisepeople—inpartbecausewisepeoplecanbefoundinsideofthem,andalsobecausecollectivewisdomisevidentinhowtheorganizationhas pursued success. Collective wisdom is more than the sum of eachindividual’s wise thoughts and actions. In a practical sense, the collectivewisdominsideanorganizationsupportspeople’sabilitytomakevalue-basedorethicaljudgmentsandfollowthroughwithactionsthatmirrorthosejudgments.Inamoreprofoundsense,collectivewisdomsupportsagroup’sabilitytomakesignificantdecisionsthatentailforgoingashort-termbenefitoropportunityfortherealizationofadeeperbenefit.Ibelievethatcollectivewisdomismorereadilycreated,shared,andappliedin

greatworkplaceswheretrustispresent.Onetremendousbenefitoftrust,whichwe experiencemost intensely in our closest relationships, is thatwhen peopletrust each other, they are more willing to share. In an organization withTrustworthy Leaders, people are more willing to move forward together andsharetheirwisdomwithinthegroup,basedonthecollectivetrustembeddedintheirrelationships.Aswemovealongthepathfromuncertaintytoopportunity,therearenobettercompanionsthantrustandsharedwisdom.W.L.Gore&Associates is a perfect company to use as an example of the

waysinwhichwisdomcanbeappliedtothebenefitoftheorganization.Perfectnot because it is flawless, but because of the high levels of self-awareness atGore—inindividuals,amongpeopletogetherintheirteams,andthroughouttheorganization as awhole. This self-awareness, combinedwith the foundationalvaluesoftheorganization,guidespeople’sactionsandsupportsthedevelopmentand application of deep wisdom. The culture of Gore—and the wisdom thatexists within it—enables the organization to move from uncertainty toopportunity all the time, with all of the normal imperfections of human andorganizationallifestillpresent.Goreisoneofonlyfivecompaniestohavebeenincludedoneverylistofthe

100BestCompanies toWork for inAmericasince the inceptionof that list in1984. They have achieved this distinction primarily due to the resonance andenduranceoftheirculture.Gore’sstrengthisvisibletooutsidersinitsinnovativeproducts,creative ideageneration,andfinancialsuccess.Thesourceofall thisstrength—thecultureandthedeepwisdomembeddedinit—isabitmoreelusivetodescribe,yetclearlyexperiencedbyallwhoworkatGore.BillGore, one of the company’s founders, often spoke of the importance of

freedom and dreams when he talked about what would make his companysuccessful.Hewantedpeople to experience freedom in theworkplace—whichhecharacterizedasaminimumofrules,regulations,andbureaucracy.Iffreedomwasinplace,thenpeoplewouldbeabletopursuetheirdreams.Anddreamsarewhat would enable people to accomplish great things. This was Bill Gore’swisdom.Itisaverysimpleequationthathefollowedanditenabledhimtoleada good life. And he believed that freedom and dreams could help theorganizationtobesuccessful—toliveagoodlifeasanorganization—aswell.Yethowdoyoucreateandleadinanorganizationbasedonthiskindofdeep

wisdom?AnumberofpracticalstepsweretakenatGoretohelpthecompanyfollowthe

wisdom of its founders. To support the idea of freedom, bureaucracy is at aminimum, and any visible evidence of hierarchy is squashed. People are on afirst-namebasiswitheachother,mostworkunitsarekeptbelowtwohundredsoallunitmemberscanknoweachother,andpeoplearefreetoaskforhelpfromwhomevertheythinkwillbethebestresource.TheseaspectsofthestructureofGore’s workplace are practical in the sense that they can be seen andexperiencedbypeopleonadailybasis,notbecausetheyarepracticesinplaceinlotsofothercompanies.In Chapter Four, associates’ ability to determine who they will choose to

followwasdocumentedasa tremendousstrengthof theorganization.Practicalwisdomisevidentinthissystemaswell—itworksfortheorganizationandhascontributed greatly to the success of the business.Yet for peoplewho are notfamiliarwithGore’scultureorperhapsareafraidofthefreedominherentinthisact of choice, seeing the practical wisdom in this step can be difficult. Theirvisionisblurredbytheuniquenessoftheactivity.YetitworksforGore,andthisisoneofthewayswecanfindevidenceofwisdom—inawillingnesstosearchforwhatworksratherthanfollowapredefinedpath.Ratherthanacceptinguncertaintyaboutwhetheraleader-followerrelationship

willbesmooth,thepracticalwisdomappliedatGoreensuresthatfollowersareable to choose the people whom they want to follow, thus eliminating thatuncertainty. This allows people to move forward together and tackleopportunities that might otherwise be missed due to inefficiencies created byweak relationships. Where did the wisdom for this arrangement come from?Initially, from themindofBillGore—thenaspeople tried it and itworked, itspreadtocollectivesuccessthroughouttheorganization.Appliedwisdomhelpedpeoplemove away from theuncertaintyof leader-follower relationships to theopportunityprovidedbystrongteamsofsmart,competentpeopleworkingwelltogether.Let’sgobacktoBillGore’swisdom.Hewantedpeopletoexperiencefreedom

so that theycouldpursue theirdreams.Hebelieved thatgreat thingswouldbeaccomplishedifpeoplehadgreatexpectations,andthatthewaytonurturethatisto dream.He believed thatwhen people think small they get bogged down indetails;hewantedpeopletothinkbig.Tosupportthis,heandothersdesignedanumber of structural elements and practices for the company that would leadthem to their profound goal.Michael Pacanowsky, a longtimeGore associate,said,“Withoutbeingarrogant,Billwasveryconfidentinwhathebroughttotheenterprise,aswereothers.Theybelievedthatifthedreamcaptivatedthem,theycouldfigureoutawaytomakeithappen.”ThesebeliefsareallapartofBillGore’slegacytothecompanythatbearshis

name. That company is very different now from theway it was during thoseearly years. There are nine thousand associates around the world in thirtycountries, and a variety of products being used inmany industries that didn’texistwhen the companywas founded. The uncertainty-opportunity continuumfacedbyGore’sleadersandassociatesissimilar totheonefacedearlier,but ithasbeenmagnifiedtremendously.Therearemanymoreopportunitiesavailableto consider, there ismuchmore uncertainty in themarketplace, and there is a

greaterneedfordeepwisdomtoguidetheorganizationforward.Sohowdotheleaders at Gore continue to develop and pass on wisdom in such a way thatfreedomanddreamscancontinuetoflourish?OnewaythishappensatGoreisthroughtheprocessofaskingpeopletomake

commitments. Just as associates are asked to choosewho theywant to follow,theyarealsoaskedtochoosetheirprojects.Thechoiceofaprojecttoworkonispartoftheprocessofhavingthefreedomtodream.Underlyingwisdomguidestheactionandmovesanassociate, in this firstact, fromtheuncertaintyofnotknowingwhatheor she isgoing toworkon to the freedomofchoiceand theexperience ofmaking a commitment.The opportunity on the other side is thedreamthatemergesfromthechoicestheassociatemakes.JacquesRene,anassociatewhosecurrentcommitmentis toleadandsupport

theBioprocessSolutionsteamintheIndustrialProductsDivision,hasbeenwithGore for nearly fourteen years.He remembers thatwhen hewas first hired atGorehewastold,“Wedon’tknowwhattodowithyou.Butwethinkyou’reatalented guy and here’s a core commitment that will be a good start for you.Thenwe’lljustletitfly.”Insomeways“justletitfly”canbeinterpretedascodefor“We’regoingtodreamforabit.”Thiscouldbeanuncertainpositiontobeinas a new employee in any organization, yet, given that Gore’s underlyingculturalwisdomsupportedthedecisionto“letitfly,”Renefoundhimselfinanenvironment that offered the freedom he needed to join in the process ofdreaming.RenehascertainlybeensuccessfulatGore,giventhelengthofhiscareerand

thevariedcommitmentshehasbeenabletomake.Yetwhenhetalksabouthistime at Gore, it is not the upwardmobilitythat he focuses on, but the inwardmobility, theopportunitieshehashad to learnandgrow.“Things justdevelopnaturallyovertime,”hesaid.OneofthefirstcommitmentsRenemadewasasaproduct specialist for one of the hot products of the late 1990s—fiber opticribboncable.Backthenfiberopticstechnologywasgrowinglikecrazy,yettheworkteam’sinitialexperimentswiththeproductdidn’tturnoutashe’dwanted.“Wedidsometestingonourproduct,andtheresultswerenotwhatwehopedfor—there wasn’t the differentiation in the telecommunications segment that wethoughtwasgoingtobethere.IhadthisnewsIhadtoshareatateammeeting,andattheendoftheday,myassumptionwasthattheleadersintheroomweregoingtomakeadecisionintermsofwhatwasgoingtohappenwiththis.”AfterRenesharedthedataandhisanalysis,tohissurprise,hewasalsoasked

to propose the next move with this product initiative. “I never would have

thought that the decisionwould be atmy feet. I thought it would be folks inleadershipwhowouldhave tomake thecall.Yet theysaid, ‘No,youhave themostknowledge in this.Youdidall theworkand the testing.Wewantyou tomake thecall in termsof thebestcourse.’”Andso itwent;Renewasable tomakethedecision.Hedescribestheexperienceasafirsthandtasteofoneofthecompany’scoreprinciplesinaction.Thatprinciple—“waterline”—asksthattheperson or people with the most knowledge relative to the decision beingconsideredbe theoneswhoareall involved inmaking thechoice. “I thought,Wow, waterline is really waterline. The decision wouldn’t sink the ship [gobelow thewaterline], and the knowledge rests in the folkswho are doing thework.”WhathappenedforReneinthatmeeting,andwhathehasbeenabletocarry

withhimalltheseyears,isacombinationoffreedomanddreamsthathavebeenturned into wisdom. He experienced both the freedom and commitmentprincipleswithhischoicetojointhefiberopticsribboncableproductinitiative.Heandhisfellowassociatesweregiventheopportunitytoenvisionwhatmightbe possible with the product, and they tested various scenarios for how theirideascouldberealizedinthebusinessenvironment.Whattheyenvisioneddidn’tpan out as a product that could go to market with the differentiation theybelieved necessary for success. Their decision to not go forward reflected thewaterlineprinciple.ThewisdomthatRenecarrieswithhimfromthisexperienceisdeeplyheld.He

wasabletoconnecttheguidingwisdomprovidedbyafounderwhoisnolongertherewith an invigorating experience in which the value of that wisdomwasmade real to him—through his own use of the wisdom. This is a strikingexample of how things are different at Gore. Along with living out theprinciples,peopleseek toenact thewisdomthat first led to thecreationof theprinciples.While considering this story, we should not overlook the fact thatReneand the fiberopticsproduct teammoved through theuncertaintyof theirsituationwithgraceandconfidence.Theopportunitythattheythoughtmightbeattheotherendoftheireffortsdidn’tmaterialize,yetthatdidn’tstoptheprocessoflivingtheprinciplesandlookingforthenextopportunity.Anotherassociatewhohasbenefitedfromthe“freedomanddreams”wisdom

atGore isMary Tilley,whose current commitment is as the global leader forhumanresourceactivitiesatGore.TilleycameintoGoreasachemicalengineer.Her first commitment was in product development in a manufacturingengineeringgroup.“Ithenmovedintothemorecustomer-facingroleofproduct

specialist,yetIdecidedthatwhatIreallylikedandgravitatedtowardweretheteamsandthepeople.At that time, therewasawidelyheldbelief thatproductspecialists should not be sponsors so that they could remain focused on thesuccessof theproduct.YetIwasalwaysdrawninto thepeople things,andwearealwaysencouragedtopayattentiontoourskillsandpassions.”So, despite the general proscription against product specialists sponsoring

people,Tilleyendedupsponsoringlotsofpeople.Hergrowthatworkincludedmovingintoanengineeringleadershiproleandthenintotheplantenvironment.Sheoftenfoundherselfthinkingofwaysshecouldcontribute,andshebegantofocus on creatingbroader development opportunities for engineers. “I realizedall the work we were doing as engineers was in the context of somethingoperational. So I started to focus on corporate initiatives around operationalexcellenceandhowwecouldimproveourwholeoperations.”As Tilley tells the story of her career trajectory, her application of the

underlyingwisdom of life at Gore becomes visible. Tilley remembers alwaysbeingencouragedtofollowherskillsandpassions—somethingthatmanypeopleatGoretalkabout.Infollowingherpassions,shehasexperiencedmanyofthequalitiesofTrustworthyLeadership.Shehasbeen included indiscussions andopportunities, been given the freedom to choose to follow other people andcreateherownpath,hadopenaccess to the information sheneeded,andbeensupported inher development.ThewisdomofGore that developedbeforehertime has supported her movement through any number of uncertainties tocontinuetotakeonnewopportunities.Tilleynowplaysamajorpartintherecruitmentanddevelopmentofleadersat

Goreand isable toapply thewisdomshedeveloped toguideherownactionsandsupport theworkof thehuman resources team.“[ I ]fwe thinkaboutourleadershavingtounderstandandleadinthisculture,therearetwomajorthingswe look for,” shesaid.“One is that theyarecollaborativebynature.Weareaverycollaborativecompany;wearenotauthoritarianordictatorial.Thesecondoneisveryeasytospot.Welookforpeoplewhoareokaywithnothavingtitles,who are not very focused on position or having the authority to say or dothings.” These are not attributes usually associated with people in leadershippositions,yettheyarecompletelyappropriatetothecultureatGore.Theyreflecttheunderlyingwisdomthatfreedomanddreamswillhelptheorganizationtobesuccessful.When new leadersmove into their positions atGore, they are not generally

expected to lead right away. Although some might assume this is part of a

professionaldevelopmentstrategythatgivesanewleadertimetogetacclimated,at Gore the development of a leader’s ability to lead is part of a longer-termstrategy.Tilleyexplains, “Aswehirepeople,wemake sure it’sprettyclear tothemthatalthoughtheintentmaybethattheyleadsomethingbig,especiallythebroaderleaders,theywillprobablycomeinandworkinahands-oncapacityatfirst.There’sa reason for that.Peopleneed to learn thebusiness;otherpeopleneedtogettoknowthem.Thecultureisthebiggestthing.Certainly,theycomein with credibility in business or operations or whatever the technical part oftheir jobmaybe.Butweactually takeabitof timefor themtoworkwith theteams,sothatwecanseehowitworksbeforewemovethemorallowthemtotakeonabroaderleadershiprole.”AnotherareainwhichthecollectivewisdominsideGoreisappliedtoaverypracticaltask—developingleaders.TheleadershippathatGorestartswithhands-onwork,givingthatpersontime

to get to know people and gain credibility.But it’s not credibility in terms ofskills—it’s credibility in terms of being able to work with the teams, becollaborative,andgetusedtothefactthatasaleader,youwon’thaveatitleandyou won’t have the authority to order people to do certain things. Again,amazing wisdom in action—as Tilley says, the culture is the biggest thing atGore. So the system has been set up to enable potential new leaders toexperience thedeepwisdomembedded in the culturebefore they are asked toapplythemorepracticalwisdomcontainedintheirskills.Trustworthy Leaders who live within their Virtuous Circle that begins with

honor are continuously developing and applying their wisdom. Wisdom willenableyoutoseetheinherentrisksoforganizationallifeandtoapproachthoseriskswithgrace.Wisdomwill supportyour efforts to seekoutknowledgeandfindwaysofdevelopingandsharingnewknowledgewithothers.Andwisdomwillenableyoutomovethroughthequestionsthatinevitablyariseasgroupsofpeople work together to create, produce, and deliver products and services inyour organization. Wisdom is both practical and profound. It serves as theresting place and launch pad for the great ideas that fuel the success of greatworkplaces.Often stories about W. L. Gore end with some proviso along the lines of

“Don’ttrythisexperimentathome.”PeopleoutsidethecompanyareoftenquitechallengedbythedescriptionsofGore’sworkplacepractices—nohierarchy,notitles, people make their own commitments and choices. Although thesepracticesmay not be for everyone, what is for everyone is theway inwhichpeople at Gore connect to the deeply held wisdom of the organization. This

wisdomisnottherocketscienceinvolvedinthedesignanddevelopmentoftheirmost successfulproducts; rather, it is thehumanscience thateveryonecan tapinto.This human science consists of a fewkey principles that people atGorehavenamedfreedom,fairness,commitment,andwaterline.TheyareprinciplesthatyoucanadaptanduseasaTrustworthyLeaderinyourownorganization.

Althoughmakingmoneyisaprimarygoalandiswhywe’reinexistence,it’sreallytheotherthingswedoasanenterprisethatarethemostimportant.Notonlyintermsofhowwetreatpeople,butintermsofhowwedealwitheachother.Particularlyinthisdayandage,wheresomanythingsyouhearaboutWallStreetrunamokhavetakencenterstage,hereatGorewe’reallaboutthelong term and what’s right to do for the ongoing sustainability of theenterprise, insteadof justshort-termgoals.That’sonethingI’mparticularlyproudof.

—W.L.Goreassociate

CONTINUINGTHECIRCLEWe cannot control the world around us, yet we can prepare for how to bestrespond.Developingyourunderstandingofuncertainty,strategiesandskillsformovingthroughit,andanappreciationforitsplaceinorganizationmanagementare key tasks of successful leadership. There is no doubt that too muchuncertainty—the feeling that there are “too many balls in the air”—isuncomfortable andmakes taking action andmoving forward difficult. Yet formostleaders,dealingwithuncertainty—ideally,withgraceandintegrity—ispartofthejob.Sowhatwouldittaketogetyoutomoveforwardthroughuncertaintywith asmuch grace as the peoplewe’ve just read about? Formyself, it oftencomesdowntowantingtobeontheothersideofwhateverI’mfacingsothatIcankeepgoingforward.A recent opinion piece in theWall Street Journal titled “How Uncertainty

CripplesUs”quotedstudiesshowingthat,as the levelofuncertaintyabout theoutcome of a decision increases, our ability to effectively consider all of ouroptions diminishes.1 Researchers found that at precisely the time when youcould benefit from considering a variety of options, the destabilizing effect ofuncertaintycausesyoutolimityourchoices.Giventhatuncertaintyitselfisinherentlydestabilizing,whatshouldyoudoto

counterthiseffect?Irecommendthatyoudowhatthegreatleadersprofiledinthischapterandthroughoutthisbookhavedone:buildtrust-basedrelationshipswith colleagues. Trust is a stabilizing force in our lives. When you presentyourself as trustworthy, you diminish the negative effects of uncertainty. Bybeingtrustworthy,youhelppeopleopentheirmindsandsharetheirideas.Thisflowofideaswillprovideyouwithmanyoptionstotacklewhateverchallengeyouare facing, increasing thevarietyof choices andactionsyoucan take andgiving you and your organization a tremendous advantage in ensuring thesuccessofyourefforts.Put simply:uncertainty turns intoopportunitywhenmediatedby trustworthy

behavior.In the next and final chapter, I will sharewith you a fewmore stories that

richlyillustratehowgreatTrustworthyLeaderscallonalloftheelementsoftheVirtuousCircletohelpthemleadtheirorganizations.Theseexamplesaffirmthetremendousbenefitsthatcometopeopleandorganizationswhentrustispresent.

TheRootsofPursuingOpportunitiesLoriLorenzhasanideaforwhatshe’dliketoseeintheworld,andshe’susingittohelpguideheractionsasBaird’sHumanCapitaldirector.Hervisionisonethatmanyofusprobablyshare—aworldinwhichpeoplearerespectedandabletodeveloptheirtalents,enjoytheirpersonallives,andbehealthy.It’saprettytallorder,yetthathasn’tstoppedLorenzfromkeepinghervisioneverpresentasshemovesforwardatBaird.Wheredidallofthiscomefrom?LorenzgivesagreatdealofcredittohermentorsatBaird.“IfyouhadaskedmesixteenyearsagowhereI’dbe,I’mnotquitesureIwouldsaythatIwouldberighthere.WhenyoucomeintoBaird,youdon’tnecessarilyhaveadefinedcareerpathinfrontofyou.Thisorganizationisreallygoodathelpingyounavigateandfigurethatoutwhileyou’rehere.”Lorenzisabigbelieverincapitalizingonpeople’sstrengthsandtalents—tryingtoshapeandmold positions and operating practices based on people’s skills and expertise. She herselfwasnotforcedontoapredeterminedpathatBaird,andnowotherpeopleatBairdbenefitfromthefreedomthatshefirstexperiencedthere.It’samodelthathasworkedverywellforBaird.“Webelievewegetmorecapability[and]moreskill and tapmore of a person’s potential by handling it in thatmanner than some prescribedmanner of a detailed path. Forme,my career just sort of started to grow over the years.Myresponsibilitiesgrew,andmyexpertisedevelopedinlotsofdifferentareasbecauseIwasaffordedtheopportunitytoexplore.”Lorenz’s relationship with Leslie Dixon (chief Human Capital officer), her supervisor andmentor,hashadadeepand lasting impactonher approach toherwork. “Lesliehiredmeandbecamemymentor along the way. I always felt that Leslie treatedme as a partner, not as asubordinate, and thatwewere alwaysworking toward the samegoals.We could leverage oneanother’s skills, capabilities, and expertise.”Lorenz knows that thementoring relationship shebenefitedfromhasbeenkeytohersuccess,andsheactivelyencouragesotherstofindmentorsfor themselves. And because of the freedom she’s had to imagine a better future for theorganization,everyoneisbenefitingfromthechangesbeingmade.“ForanumberofyearsIhadbeenfeelinglikeweneededanewmodelforhowweweretappingintoallthestrengthsandtalentsofourpeople,anditdidn’tcomesoonenoughforme!We’veputsomuchenergyinthelastyearintomakingthistransformationhappen,bringingtogetherBairdUniversityandHumanResources.Iamatthepointnowwheretherealityofthetransformationishittingme.It’snotnecessarilyastruggle,butitisachallenge.”Lorenzislettinggoofsomethings,shiftingresponsibilitiesandlettingherbusinesspartnersandtheexpertsonherteamtakeover.“Changeisdifficult,”sheacknowledges.“Wetendtohangontowhat’smost comfortable, and it is a little scary to let go of that, but I know it’s the rightanswer,todothatandturnmyattentiontothebroaderhumancapitalissuesinthefirm.Wehaveaverystrongculture,averyrichculture.It’sthefoundationofwhoweare.Wehavemany,manybestpracticesinplace,andwecanalwaysimprove.”

Notes

1.JonahLehrer,“HowUncertaintyCripplesUs,”WallStreetJournal,January8,2011,p.C12.

CHAPTEREIGHT

HOWITALLCOMESTOGETHER

Have you ever had an experience during which the pieces of the puzzle fittogether more smoothly, or with less effort than previously? You’ve beenworkinghardonaprojectwithyourcolleagues,tryingtomeetdeadlines,resolvedilemmas,andfindanswerstopuzzlingquestions.Atacertainpointthingsstartto click; the struggle falls away, the questions diminish, and you go forward,movingintherightdirection,makingchoices,confidentthatintheendyouwillarriveatyourgoal.You share information with others and they reciprocate. The professional

developmentsessionyourcolleaguewenttoafewmonthsagopaysoffwithnewinsights she’s able toprovide to thewholegroup.You findyourvoice, sayingwhat’sneededandappropriate,andactinginwaysthatreflectyourdeeplyheldvalues.Theteam’seffortsconverge,youallfindtheanswersyouseek,andthechallengeofthesituationrecedesbehindyou.Ibelieveweareabletocreateandparticipateinthesesituationsbecauseofour

trustworthybehaviorandtherelationshipsthatareformedbasedintrust.Whenwe act with integrity, being faithful to the values and beliefs that create ourVirtuous Circle of Trustworthy Leadership, we gain tremendous rewards—cooperation,creativity,andthesuccessfulresolutionofdilemmasamongthem.A recent experience of mine gave me an excellent opportunity to use the

frameworkoftheVirtuousCircletolookforinsightsintothepoweroftrustandtrustworthy behavior.My experience reinforced forme the special and uniquenature of relationships based in trust and strengthened my confidence that IcouldcallonthattrusttoseemethroughwhateverchallengeImightfaceinthefuture.Periodicallyreviewingeventsinourlives—timeswhenwe’vestruggledand times when we’ve had great success—is very important for keeping thelessonsoftrustworthybehavioreverpresent.My experience was an enjoyable one that became challenging as

circumstances changed, providing a valuable metaphor for many of thesituationswefaceasleadersinorganizations.Iliketogohikingand,luckilyforme,mywonderfulfriendMarcdoestoo.Ononeoccasionwewereinsouthern

France,hikingalongabeautifulyetnarrowtrailinthemountains.Westartedourhikelateonawinterday,anddarknesssetinbeforewewerefinished.Mynightvisionisprettyawful,yetMarc’sisexcellent,soIwascontenttofollowhislead.Therewasminimalmoonlight from the sky, and it became evendarker aswecontinued,untilbothofuswerestumblingoverbranchesandrocks.Wearrivedatajunctionwherewewerecompletelyunsureofthetrail.Itcould

havebeen straight ahead,yet it alsoappeared therewasa trail off to the side,downthehill.Wehadacellphonetocallforhelpifweneededit,yetwedidn’tknowexactlywherewewere,sowecouldn’treallyasksomeonetofindus—andweweredeterminedtofigurethisout.Thelightfromthecellphonewasweak,andMarc, notwanting to damage his night vision, had used itminimally forguidance.Hedecidedtogodownthehilltoseewhetherthesidetrailreallywaspassable,whileIstayedput.IrealizedthatIhadmycamerawithmeandithadaflash.I letMarcknowIwasgoingtousetheflashtoseewhatwasaroundus,figuringthatmypoornightvisionwouldbeworseaftertheflash,yetmaybeI’dbeabletoseeatrailinthebrightlight.Marcstayedawaysohissightwouldn’tbedimmed,andbingo,theflashilluminatedthetrailaheadofme—coveredoverbybranchesfromthetalltreesaroundus,yetclearlyvisibleinthatflashoflight.IcalledtoMarc,hecamebackupthehill,andweproceededonourway.The

flashhadreallyknockedoutmynightvision,soInotonlyfollowedMarcbutwascompletelydependentonhimfor thenext fewminutes.Afterawhile,wecametotheendofthetrailandtheroadouttowhereourcarwasparked.Thenightskywasbeautiful,andtherewasevenasmallwaterfallcascadingdownthesideof themountainwhere the trailended. Itwasstunning,weweresafe,andwe’dhadawonderfuladventure.This story provides a great picture of the joys of night hiking, and also

describes a powerful experience of trust.Marc and Iwere experiencedhikers,just as business leaders are experienced at running their enterprises. We hadmadeplans togohiking inacertainarea—aplacewhereothershadhikedbutwe’d never been to before. In the sameway that youmight decide tomake acertainproductorprovidea service thatwasnew toyourorganization,wesetoutbelievingthatourpreviousexperiencewouldhelpussuccessfullycompletethehike.We were prepared with the right resources: appropriate clothing and boots,

water, food,aphone, andacamera.Fromanorganizationalperspective, allofthebasicswereinplace—traininganddevelopment,resources,andskills.Yetallthebasicsdon’tnecessarilyprepareyouforuncertainty,andthat’swhatwefaced

asitbecamelateandtheskydarkened.Aswesawinthepreviouschapter,inanysituation,nomatterhowwellpreparedyouare,therewillbetimeswhenanewvariable demands that you change your plans.And this iswhere theVirtuousCircleprovesitsworth.MarcandI trustedeachothercompletelyandwereable towork through the

uncertaintieswefacedaswesearchedfortheendofthetrail.Althoughneitherofushadpreviouslygivenmuchthoughttofeelinghonoredtobethefriendoftheother,thiselementcameintoplayjustasitdoesforaTrustworthyLeaderintheworkplace.Weeachfeltthatwewereneitherbetternorworsethantheotherand that our relationship was reciprocal; we were aware both of our positionpowerandthestrengthofourpersonalrelationship.We alsowere inclusive in our behavior toward each other.We all showour

trustworthiness by letting others know that we believe in their value, areinterestedintheirideas,andarewillingtofairlysharethebenefitsthatcometous.We do this as Trustworthy Leaders in a variety of situations, even on thehikingtrail.MarcandIknewwewerevaluabletoeachother,exchangedideasoften as we decided which way to go, and shared the benefits of what welearned.AlthoughhypotheticallyitispossiblethatonceI’didentifiedthetrailaheadof

us,Marccouldhavecomebackupandtakenoffonhisowndownthetrail,therewouldhavebeenlittlebenefitandsignificantcost.IwasinclusivewithMarcandsharedmydiscoverywithhimbecauseItrustedthatwewouldsharethebenefitsofthisknowledge.Andhereciprocated,continuingtosharehisskillsasaleaderaswemovedforwardonthetrail.Weincludedeachotherinouractionswithoutany second-guessing—inclusion is a natural part of trustworthy behavior andtrust-basedrelationships.Formostofthehike,MarcandIswitchedoffbetweenleadingandfollowing.

Whenhiking indaylightonamarked trail,wewerebothable toserve inbothcapacities.Yetwhendarknesscame,Ineededtofollow.AndMarc,knowingthatIwasunabletoseewellas thedarknessincreased,didagreat jobofengagingmeaswecontinued tohike.Oneof thebeautiesof trust-based relationships isthatwebringotherswithusaswemoveforward,andbecauseof trust,peoplearewillingtofollow.ItwaseasyformetochoosetofollowMarc,confidentthatIwouldcontinue tobe treated respectfully.Weaccompaniedeachother to theendofthehike,andcertainlythisexperiencecontributedtoourstrongbondoftrust.InalessrespectfulsituationImightalsohavefollowed,yetwouldhavedone

so out of fear of being left on the trail—a form of compliance behavior.FollowingMarcoutoffearmighthavegottenmetotheendofthetrail,yetthehikewouldhavebeenmuch lessenjoyableand,onceover, Iwouldhavebeenmore inclined to forget the whole thing rather than add it to the pot of greatexperiences to learn from and tell others about. I also would have been lesstrustingthatIcouldrelyonMarcforhelpinthefuture.During the hike and when we needed to make choices, Marc and I shared

informationwitheachotherinwayswecouldunderstand,allowingbothofustoparticipate in decisions. When we finished our hike, we had a great laugh,talking over what we had seen and experienced—the lessons learned (maybenext timewe’dbringa flashlight) and the surprisingbeautyof theunexpectedwaterfallattheendofthetrail.Inorganizations, thesetypesofthoughtfulandproductivereviewdiscussions

—aboutwhatworkedandwhatdidn’t,andwhatcouldbeimprovedinthefuture—happenwhentrust ispresent.Thesediscussionsenable teamstodevelop theskills theyneed tomovethroughprojectsmoresmoothly thenext time,and toprepare themselves for the next wave of uncertainty that they’ll surely face.When leaders createpositive, inclusive environments thatpromote trustworthybehavior,allparticipantsknowthat theyarevaluableandinvitedtocontribute.Peoplecansharetheirinputandtakelessonsfromthediscussiontouseforthenexttask.Mystory illustrates forme—and, Ihope, foryou—howeachelementof the

Virtuous Circle contributed toMarc’s andmy ability to get out of a difficultsituation.YetwhenitwashappeningIwasn’tthinkingofhonororinclusionorfollowership.Iwassimplyactingandresponding,makingchoicesinthecontextofatrustworthyrelationship.Trustiswhatguidedus.Inthisfinalchapter,IsharethreestoriesthatillustrateTrustworthyLeadership

inaction—stories that illustrate thepowerfulenvironment that iscreatedwhentrust is developed and its benefits are shared. These stories bring to life theunderlying elements of the complete Virtuous Circle and illustrate how eachleader’slifetimeofexperienceshelpshimorhertoactwithintegrityandengageintrustworthybehavior.Thestoriesalsodocumentthemanybenefitsthatcometoeachleader,hisorhercolleagues,andtheorganizationasawhole.As you read through these stories, ask yourself how you would have

approachedasimilarsituation,andhowyouwouldhavecalledontheelementsof yourVirtuousCircle to guideyou.There is noperfect approach tomovingthrough the uncertainty that you are sure to face as a leader, yet reflecting on

yourexperiencesandtheexperiencesofotherscanhelpyoutobewellprepared.

THINGSWILLBEDIFFERENT…I first introduced Hoar Construction in Chapter Five, to show how theirinformation-sharingpracticessupportpeople’sactiveparticipationinthelifeoftheorganization.RobBurton,thecurrentCEO,hasdescribedhispositionthereas a dream come true, something he began preparing for when he was justthirteenandworkedatHoarduringthesummer,doingoddjobs todevelophiscarpentryandbuildingskills.HiscareertrajectoryatHoarincludedstintsasanassistant superintendent and job clerk andwork in accounting,marketing, andfinally projectmanagement,wherehe served as a vicepresident.Hehas beenpresident and CEO of Hoar since 1996, seeing it grow from a $40 millioncompany in the mid-1970s to close to a billion dollars in work and projectmanagementrevenuein2009.Constructionisknownasatoughindustry.Everythingisdrivenbydeadlines

and negotiations—among contractors, subcontractors, city planners, architects,lawyers, and bankers—and there are significant risks in the building processitself. It’s not an industry in which you immediately expect to find greatworkplacescharacterizedbyhighlevelsoftrust.Stereotypesabouttrustbeinga“soft”qualitycankeepsomepeople in“tough” industries fromdeveloping theskillsneededtobetrustworthy.YetatHoar,TrustworthyLeadersarewhatmaketheplacesosuccessful.BurtonisclearthatHoarhasmadealotofchangesovertheyearstobecomea

greatworkplace.Hewatchedfivepresidentsleadthecompanybeforehim,andhe learneda lot frombeingon the receivingendof theirbehavior,whichwassometimes effective, other times not. As a frontline employee and middlemanager, he had many opportunities to consider how he might do thingsdifferentlyifgiventhechance.“Icanrememberthinking,Iknowwhatit’sliketobe an employee in the company. I’ve done all those jobs and been treated indifferentwaysbydifferentpeople.Iknowwhatworksandwhatdoesn’t.IalwayshaditinmymindthatifIevergottothatposition,itwouldbedifferent.”Soin1996,whenhedid“gettothatposition,”hegothisopportunitytotrysomethingdifferent.Early on, Burton emphasized the importance of creating a safe work

environment, supporting the implementation of training programs for all

employees.Hewasinitiallysurprisedbytheimpactthathispersonalsupporthadon others’ participation and willingness to contribute. “The greatest businesslessonI’ve learnedaboutwhat itmeans tobeaCEOis thatyougetwhatyouinspect,notwhatyouexpect.”hesaid.“WhenIsetouttocreateasafeworkingenvironment, I wanted to really improve our safety culture here. I beganinspecting safety over and over again, talking about it, preaching about it.Everybody caught on and realized that this was important.What CEOs don’tknowis that they’reconstantlybeingwatched;forgoodorforbad, theyareinthespotlight.Alotofthemdon’twanttoadmitit,andalotofthemwillsayit’sunfair,butwherevertheygo,whatevertheydo,theyarebeingwatched.Ifyou’renotsupervisingsomethingandyou’renotparticipatinginit,thenitisnotgoingtowork.My father taughtme that. His sayingwas, ‘You don’t get what youexpect,yougetwhatyouinspect,aslongasyoudoitwithrespect.’”Thisvignetteisawonderfulexampleoftheformativelifelessonsthatpeople

call on as their leadership skills grow and develop. For Burton, his father’swords form a foundation for creating a safer work environment at Hoar. Heactivelyparticipatesintheimplementationofsafetyprograms,hisroleasCEOputshiminthespotlight,andhismodelingofconcernandinterestinfluencethesuccessoftheprogram.Hispositionawarenessaffirmshissenseofthehonorinherentintheleadership

role.Linkinghisfather’swisdomtohisownactionsshowshisawarenessoftheinfluence that significant personal relationships can have on our behavior. HereinforcesthisatHoarbycreatingstrongconnectionsbetweenseniorandjunioremployees—important for both inclusion and followership. And to ensure thesuccess of the safety program, Burton fosters both information sharing andpeople development. This is all evidence of movement through his VirtuousCircle.TherearemanyvignettesaboutBurton’sgrowthasaTrustworthyLeaderthat

could be told; of these, one that clearly illustrates his trustworthy actionsconcerns the codification of the company’s core values. As Burton tells it, asignificantchangeforthecompanycameaboutin2002whenhewantedtobuildconsensusaroundthecorevaluesthatwouldguidethefirm’sactivitiesintothefuture.HehadreadthebookGoodtoGreatandlikeditalot;hewantedallofthecompany’sofficerstoreadit.“Wehadaconsultantcomeinandguideusthroughtheprocessofdetermining

ourcorevalues.Thatwasoneof themost funweekendsIeverspent,”Burtonsaid.“Wealldebatedopenlyandhonestlyandarguedaboutwhatourcorevalues

were.Weactuallyhadsettledonthree.Wewerealmostthroughfortheweekend,yetweknew therewas somethingmissing.Wehad settledon thegolden rule,family-oriented,andstewardship.Wethought thatwiththoseyoucouldhandleeverything.YetIkeptsaying,‘No,there’ssomethingmissing.’”Burtonand thegroupofofficers steppedaway from their task,whichwas a

wise move. It gave them all a chance to reflect on the core values they hadaffirmedandalsotothinkaboutwhatwasmissing,whatelsewasneeded.“Wewentawayfromthatweekend,yetkeptthinkingaboutit.Finally,Ireachedbackinto what I had learned over all my years from those other people that I’dworked for, and it came tome. It was the relentless pursuit of improvement.Thosementaughtmethatthere’salwaysabetterwaytodothings,andthatyoucannever restonyour laurels.Youalwayshave tobe lookingahead, andyoualwayshavetoimprove.”ThatwasakeymomentinBurton’sabilitytohaveanimpactasaTrustworthyLeader.

HoarConstructionCoreValuesGoldenRule—ItisourdesirethatallHoaremployeesstrivetobeexemplaryintheirtreatmentofothers.Honestyandintegritywillbeforemost inourevery thoughtanddecision.Fairness,caring,andmutualrespectwillbeevidentinoureveryaction.Family Oriented—We must have a sincere respect for our families. Compassion andunderstandingwilldefineourcharacterasweconsidertheneedsofothers.RelentlessPursuitof Improvement—Withadisciplinedanddeterminedworkethic,wemuststrive for improvement in our company, our community, and ourselves. Our recruiting andtrainingprogramswillbeunsurpassedinleadingpeopletosucceed.Stewardship—Weareentrustedwiththeresourcesofothersandthefutureofthiscompany.Ascaretakerswewilladdvaluetoeachother,ourclients,ourprojects,andourcommunity.

Burton’swillingnesstostruggle,alongwiththeexecutiveteam,toidentifythefinalor“missing”significantvaluethatguidedtheleadershippracticesatHoaris not earth-shattering, yet it is illuminating. He trusted that taking additionaltimeandthinkingdeeplyaboutwhatwasimportanttohimandtheorganizationwouldhelpclarifywhathewaslookingfor.Burtonwasn’ttheonlyonewhofoundtheexperienceofthatlongweekendto

be triumphant and significant. Douglas Eckert, executive vice president forBusinessOperations,spokeofwhathelearnedwhilegoingthroughtheprocessofcodifyingthecompany’scorevalues.“I’d say the difference in the values process that I sawherewas that itwas

reflectiveofwhatpeoplealreadybelieved.I’vewatchedlotsofcompaniespostgoals as values, but their leaders don’t necessarily point the company in allphases toward those values. Here, the difference really was that I watched agroupofpeoplesitinaroomandveryintently—skepticallyatfirst,butintently—say,‘Well,whatisitthatwelikeaboutworkingwitheachother?Whatdon’twelikeaboutworkingwitheachother?’Theconclusionwasthreeoutoffourofour core values that we have now.What separated this ‘values’ process fromothers was that the values [we identified] are reflective of what we alreadybelieveandthink[asacompany],notwhatwe’dliketobe.”EmployeesatHoaralsotalkabouttheimpactthatthosecorevalueshavehad

on theirwork.During focus group discussions,when askedwhatmakes themproudtoworkforHoarConstruction,peopleoftencitedthecorevaluesandtheconnection between the company’s values and their own as a source of greatstrength.MarkHendricks,acontractmanager,saidheworksatHoarbecausethecompany’scorevaluesmatchhisown:“We’reallcutfromthesamecloth,andit

makesmeproudtoknowthatthecompanyIworkforholdsthesamevaluesthatIdopersonally.”TrippeGray,aprojectmanager,spokeabouthowthevaluesof thecompany

help everyone to reach higher: “Whatwe’re all striving for here every day isbiggerthanbuildingbuildings.That’swherethecorevaluesandtheenvisionedfuturecomein—we’reallworkingtoaccomplishsomethingthatisbiggerthanjust construction. The upper management in every division I’ve worked in,whetherHoustonorTuscaloosaorBirmingham,practicesthesamecorevaluesthatattractedmetothiscompanyinthefirstplace.”Andfinally,FrankMarsac,ageneralsuperintendent,spokeof themotivation

he feels fromworkingatacompany thathasa strong,clear setofcorevaluesthat are actually lived out: “A few years back, when they came up with theshared vision and core values, everybody said ‘This is reallywhat it’s about.’Thisiswhatyougetupeverymorningfor.It’snot‘Igottaputfoodonthetableand I’vegot ahundredmouths to feedathome.’Youwant to feelgoodaboutwhatyoudo.Itmakesmefeelgoodaboutcomingtoworkhere,thatit’saboutagreatergood.”Strongwords—and powerful testimony to the impact that a shared sense of

purposeand sharedvalues canhaveonpeople’s commitment to eachother, totheirwork,and to theoverallpurposeof thecompany.Thesekindsofpositivetestimonialscaninspiremanypeopletotrytofollowasimilarpath.Yettheycanalsoattractscornandskepticismfrompeoplewhohaven’tseenthedevelopmentand implementation of a set of corporate values work successfully. Too oftenwords can go up on the wall, yet people fail to live them out through theiractions.RobBurtonisveryastutewhenitcomestotherolethattheCEOneedstoplay

inensuring the successof aneffort like this. “Theadvice Iwouldgive to anyCEOtrying to followorestablishagreatplace towork is thatyouhave tobecommittedyourself.Youhavetohaveaconversationwithyourselfanddecideifyouarereallyinterestedinthisandifyoureallywantit.”Thatconversationyouhavewithyourselfisanotherwayofsayingthatyouneedtobeclear,todevelopyourVirtuousCircle,sothatyoucanbeeffectiveasaTrustworthyLeader.OneofthequestionsthatBurtonisaskedmostfrequentlybypeoplewhowish

that the leaders in their organizations would have that “conversation withyourself” concerns the potential financial impact of spending time developingand/or codifying a set of corporate values thatwill then be used to guide thebusiness.Somepeopleassume that thecostsassociatedwith taking timeaway

from other work represent an unacceptable allocation of scarce financial andpeople resources. At Hoar Construction, the time spent on codifying thecompany’svaluesandpursuingthecreationofagreatworkplaceisseenastimewellspent.“Lots of peoplewant to know if there is a financial return on being a great

placetowork,andIwanttosayemphaticallythatwedidn’tcare.”BurtonsaystheyaredoingthisatHoarbecausetheywantedtoworkaccordingtotheircorevalues.“Weevendecidedthatifitcostusmoney,itwastherightthingtodo—no matter what. We state at the beginning of our core values—and it’s oneverybody’sscreensaverhere—thatwewillnotstrayfromourcorevaluesforfinancial expediency or financial gain. They come first. Having done that,though,Iwillsaythateversince2002,whenweinstitutedthosecorevaluesandsetagoalofbeingagreatplacetowork,therehasbeennothingbutgrowthandfinancialgain.Ithinkthereisacorrelationthere.There’sjustnoquestioninmymind that happy employees do betterwork.When employees do betterwork,you get better results. The owners see it—they notice a difference in ourcompanywhentheycompareittoothercompanies.”DouglasEckertseesittoo,andheputshisassessmentoftheeffortinvolvedin

codifying the core values into the broader context of the company’s culture.“Thecultureisthekeytothekingdom.Ifyouwanttobecrassaboutitandtalkaboutmoney,peoplecanask,“Isthereareturnoninvestment?Areyougoingtomakemoremoneybecauseofit?”TheansweristhatIdon’tknowifyoucantiethat together scientifically, but I’m 100 percent convinced that the companyultimatelydoesbetterbecausewehirebetterpeople.”Eckertisclearthatifyouwork inanenvironmentwhereeveryday thatyoucometoworkyou’rehappyaboutbeingthereandyouenjoythepeoplearoundyou,thenyou’llworkharderandbetter.As a specific example of one area in which Eckert believes that the

investments made at Hoar have been beneficial, he cites the nature of theconstructionindustryandhowBurton’sstanceasaTrustworthyLeaderhaspaidoff.“Constructioncanbealitigiousenvironmentbecausethere’ssomuchgoingon,somuchthatcangowrong.We’vebeeninthebusinesssixty-nineyearsandourCEOhasbeeninitoverthirty.He’sneverbeentocourt,andhe’sneverbeendeposed.Idefyyoutofindanyoneinthisindustrythatisasbigaswearethathas ever had that happen. It’s because we tackle issues early on, we resolvethem,andwefocussomuchongivingthepersonthebenefitof thedoubtandeveryopportunitytobeheard.It’sourculture.Thecultureisthecorevaluesand

thetreatmentofthepeople.”Interestingly, theonepersonwhowent through theexperienceof identifying

andcodifyingthecorevalueswhowassurprisedbytheprocessandtheoutcomewas the consultant who facilitated the weekend. As Burton relates it, theconsultant kept saying how amazed he was by their process, that there wassomething strange about what was happening. Burton asked him what waswrong, and the consultant shook his head and said, “Nobody’s mentionedmoney.Noonehasevermentionedprofit.”Burtonthoughtthatwasprettyfunny.Alltheofficerswhowereatthemeetingagreedthatthemoneywouldtakecareof itself. If people work well together and are skilled and smart about theirapproach, thenprofitshould takecareof itself—andthat’sexactlywhat’sbeenhappeningatHoar.SowhatisitaboutRobBurtonthatenabledhisdevelopmentasaTrustworthy

Leader? Surely there is much that is personal to Burton that influenced hischoices, yet what is personal is not exclusive—and this is one of the mostimportantpointstobemadebyhisstory.Hisexperienceofbeinginfluencedbythewisdomofhisfather,choosingacareerinanindustrythatalwaysfascinatedhim, learning from master craftsmen and exploring others’ ideas, all point tovalues-basedexperiencesthatdefinewhatisimportanttohim.Fromhis father’swisdomhedevelops a senseofhonor andunderstands the

power of relationships. Working in an industry he loves taps into a naturalhuman desire to take pride in one’s efforts, which can promote an interest inhelpingothersfindthesamespark—notnecessarilyleadingintotheconstructiontrades, but into an area of work that is fascinating for them. Learning frommastercraftsmenandexploring ideaspoint to thevalueofsharing informationand developing others. All of these are building blocks for the creation of aVirtuousCirclethatsupportsTrustworthyLeadership.Thereisalso,withinBurton,acommitmenttolivingalife inwhichhisown

valuesareconsistentwiththoseofhisworkplace.Andheisoneofthefortunatepeople who, because of his hard work and accomplishments, has had theopportunity to successfully pursue his commitment. Peoplewhowork atHoarConstructionandtheircustomers,suppliers,andcommunitymembersareallthebeneficiaries.

DAY-TO-DAYCONSISTENCY

At Recreational Equipment Incorporated, better known as REI, the idea ofleadingandworkingaccordingtoone’svalueswasbuiltintotheoriginalethosof the company. Founded in 1938 by Lloyd and Mary Anderson, REI wasestablished as an outdoor gear and apparel co-op. Twenty-three mountaineersjoined the Andersons to create a cooperative business. Lloyd Anderson feltstronglythatpeopleshouldn’tmakemoneyofftheirfriends,sothecooperativesharingofrisksandrewardsexistedfromthestart.MaryAnderson,whocelebratedherone-hundredthbirthdayin2009,continues

to inspire people at REI. In 2009, the REI Foundation established the MaryAndersonLegacyGrantprograminhonorofherbirthdayandhercontributionsto REI throughout its rich history. The grant program supports nonprofitsfocusedonhelpingyoungpeoplebeinvolvedintheoutdoorsthroughhands-onnatureexploration.An Anderson Award, given annually to employees who embody the core

valuesofREI,reflectsLloydandMary’soriginalintentionsfortheco-op.Itisapeer-basedawardgiventoemployeeswhoseaccomplishmentsexemplifyREI’scorevaluesand strategicplans, thuscontinuing the linkbetween thevaluesofthecompanyandtheirbusinesspractices.SowhatareREI’svalues?Theyareaconciselyarticulatedseriesofstatements

—similar in many ways to those of Hoar—that provide guidance and alaunchingpadforaction.

AuthenticityWearetruetotheoutdoors.

QualityWeprovidetrustworthyproductsandservices.

ServiceWeserveotherswithexpertiseandenthusiasm.

RespectWelistenandlearnfromeachother.

IntegrityWelivebyacodeofrock-solidethics,honesty,anddecency.

BalanceWeencourageeachothertoenjoyallaspectsoflife.

Thewordscontainedinthevaluesarenotmuchdifferentfromthosefoundinthevaluestatementsofanyorganization.SowhatmakesitdifferentatREI?Thesame thing thatcouldbesaidabouteveryorganizationprofiled in thisbook—peopleatREIactivelyseektoliveouttheirvalues.REI’sleadersknowthattheirspecific efforts to be trustworthy are key to the culture and success of theenterprise. In some ways there is a collective Virtuous Circle at REI that isreinforced by leaders’ behaviors. Everyone is invited in, yet the actions andwordsoftheleadersstarttheprocess.During my visit to REI, one of the programs I learned about that reflects

people’s deep commitment to living the values at REI is Base Camp. Thisprogram, essentially an employee orientation and welcoming program, is theplacewhereallnewemployeeslearnaboutthecorevaluesofthecompany.TheBaseCampprogramwasrefreshed in2009to includeevenmore timefocusedonthecorevalues,whattheymean,whytheywerecodified,andhowpeoplecanusethemtomakedecisions.ErinHass, first introduced inChapterTwo,wassignificantly involved in the

reinvigoration of Base Camp. She took on a project role at headquarters andstartedtodeveloponboardingpractices,whichincludetheBaseCampprogramfor retail. Her challengewas tomake sure it was culturally right and not toofocused on policies and procedures. “Thiswas a fairlymajor undertaking thatimpactseveryonewhoworkshere—Iwantedtomakesureweweredoingitinthe right way.” And at REI, the “right way” means in accordance with theirvalues.As Hass explained, “Prior to the Base Camp program, when someone was

hiredandtrained, theorientationfocusedonthenutsandbolts.”Andalthoughthe nuts and bolts of any job are important, in a great workplace withTrustworthyLeadersshewantedtoinfusethecultureofREIintonewemployeessothattheywouldtrulyappreciatewhattheorganizationisabout.NowinBaseCampthereisagreaterfocusonthe“why”behindwhatpeopledoonthefloorand how this is different than a job anywhere else. “Ourmembers care a lotaboutREI,andtheywanttointeractwithsomebodywhogetsit.Wereallyfocusonourcorepurpose.”StoremanagersanddepartmentleadersdelivermuchofBaseCamp’scontent.

Thiswasanintentionalpartofthedesign,asitgivesleaderswhoarevisibleandfrequentlyinteractingwithemployeestheopportunitytotalkaboutREI’svaluesandhowtheythemselvesseektoliveuptothem.AsBaseCampinstructorstheyareabletoestablishrelationshipswithmanypeoplewhomtheyseeinthestoreyet do not directly supervise. “It’s an opportunity for a leader to sharewhat’simportant to him or her with the team,” Hass said. It’s also an invaluableopportunity to develop skills as a Trustworthy Leader. Base Camp sessionsprovidepeoplewithtimeandopportunitiestoreflectonpersonalandcompanyvalues and to consider those times when living by their values benefitedthemselvesandothers.TheBaseCampexperienceisextendedtoseniorleadersaswell.Thedesignof

specific orientation activities ensures that senior leaders responsible for broadareasof thecompanyarealso steeped in thecompany’svaluesand the“why”behind REI’s practices. Hass explained, “It goes all the way up to the vicepresident,CEO,andCFO.We’vedesignedsomespecific thingsforexecutivesthatareslightlydifferentthanwhatanindividualcontributormightget,moreindepth.”LeadingatREIisverydifferentfromworkinginapubliccompany,andifanewleadercomesinattheexecutivelevelandtriestoleadinthesamewayasatapubliccompany,it’snotgoingtowork.BaseCampexperienceshelpthemtounderstandwhat’sdifferentandtheactionstheymighttaketoleaddifferently,toexplore,andbuildtrust.BaseCamphelpsnewleadersatREItodeveloptheirVirtuousCirclewithanREIflairtoit.Stephanie Fischer, also introduced in Chapter Two, works with Hass to

customizetheonboardingprocessforleaders.ShedescribedsomeoftheeffortsthathelpseniorleadersacculturatetothevaluesatREI:“Wespendmoretimeinadvancedesigningacustomizedtrainingplanfornewseniorleaders—thinkingabout therelationships individual leaderswillhave—whomtheyneed toknowandwhat their positionmight entail.What do they need?Howmuch do theyneed to learn about the culture of the organization versus the immediate tasksandchallengesthatwillbecomingtheirway?Especiallyifpeoplecomeinfromtheoutside,wewanttocreatewaysthattheycandemonstrateanawarenessandpracticeofthevaluesearlyon.That’simportanttotheirsuccessandthesuccessofREI.”Thiscustomizedonboardingworkispayingoffsignificantly.REIhasmetor

exceeded its profit expectations over the years, including in 2009, one of theworstyears in retail.Yet that’snotwhyallof thiswork is takenon.Thecorevalues are taught atREI because people there are fundamentally connected to

thesevaluesasawaytolivetheirlives—andthisclarityaboutwhatisimportantsimplifies things for people. Time at work, for most people at REI, is nodifferentintermsofthevaluesfollowedthantimespentwithfamilyorfriendsorinthecommunity.It’sallbasedonthesamefundamentalhumanvaluesthatcreatetrust.REICEOSallyJewellrecognizesthatittakesaspecialindividualtomeetthe

leadership expectations placed on people at REI. “To [be a leader] requires acertain comfort with vulnerability. On every team I’ve worked with over mycareer,youseedifferentlevelsofconfidenceandcompetenceinmanyareasofthebusiness. It’s truehere.Thereareareaswhere Ihave realcompetence,andthere are areas where I am absolutely not the right person. Many CEOs inparticular think that theyneed to knowmoreor bebetter than thepeople thatworkwiththem,whichisjustnotthecase.Alotofoursuccessdependsonhowcomfortableleadersareintheirownskinateveryleveloftheorganization.”Jewellspokeoftheshiftinglandscapeofleadershippracticethatsheseesnot

onlyin theUnitedStates,butalsoaroundtheworld.“Somepeopleare leadersfromadifferenttimeinhistory,andIdon’tjustmeanintermsofage,Imeanintermsofstyle.[Thestyle]usedtobecommandandcontrol,youtellpeoplewhatto do, you are in charge, and you are decisive whether or not you’re wrong.That’snotwhoIamorwhoI’veeverbeen.”Jewellisclearaboutwhosheisasaleaderinpartbecauseofherabilitytoreflectonwhatisimportanttoher—therearemanymomentsfromherpastthatsheusestoguideheractionsinthefuture.WhenREIopenedupastore inJapan, theycreatedanenvironment thatwas

very different from how people were used to working. Jewell believes thatpeople really appreciated that, both men and women. As she said, “I believemorepeoplewanttoworkforacompanythathasastrongpurpose.Thosethingsevolveandsomeorganizationsandindividualsaremoreintherightplaceattherighttimethanothers.”Jewell would say that the future of REI’s values is in the hands of every

employee and co-op member. Yet she also is very clear about the significantresponsibilitythatsheholdsforensuringthatthefoundingvaluesareunderstoodbyallandthatactionstiedtothevaluesarereinvigoratedtomeettheneedsofachangingworld. She is explicit about the importance of being visible and, asrelated in the first chapter, she is clear on the nonnegotiables of leadership atREI.Jewell reinforces the nonnegotiables through her own actions, and those

actionsprovideguidancetoothers.Peopleseeherputthecompany’svaluesinto

practice and experience clarity through her example. I actually watched aninteraction after my interview with Jewell that, upon reflection, became adefiningmoment thathelpedme tounderstandmoredeeply thecultureof thiscompany.After my conversation with Jewell ended, I was standing in the hallway

outsideofheroffice,waitingforthepersonwhohadbeenhelpingmefindmywaytovariousmeetings.I lookedupat thesoundofarollingcartandsawanoldermanwalking towardme,pushinga large trashcontaineraheadofhim. Imovedoutoftheway,whichplacedmebesideacolumninthehallway.Ashegot closer, I alsonoticedoutof thecornerofmyeye that Jewellwas

comingdownthehallwayfromtheotherdirectiontogointothelobbyandgreetthenextpersonsheneededtomeet.Asthesetwopeopleapproachedeachother—theCEOof the company and an employeewith custodial responsibilities—Jewelllookedupwithasmileonherfaceandsaid,“HeyWayne,nicetoseeyou,howareyoudoing?”TowhichWaynereplied,withasmile,“HiSally,I’mdoingjustfine.”Jewellthenheadeddownthestairstomeetherguest,oblivioustothefactthat

Iwaswatching.WayneFrantz,aCorporateServicesteammember,didseeme.Andashewalkedby,hestoodupalittlestraighterandgavemeabeamingsmilethatconveyedtometheintensesenseofbelongingthathehadjustexperiencedin thatbrief interaction.That smallgesture thataffirmedhisvalueasahumanbeingwasevidenceofSallyJewell’sVirtuousCircleput intoaction, inabriefmomentintime.

REItrulylivesitscorevaluesandencouragesallofustodothesametogainhappiness, health, and pride. I always get the feeling that REI bases itsbusiness decisions on “How will this affect our employees and our co-opmembers?”

—REIemployee

DOINGWHATFEELSRIGHTAtWegmans,asatHoarandREI, leadersact fromasetofvaluesknownandunderstoodbyall.Theleaders—andthecompanyasawhole—operatewithinaVirtuousCircle thatextendsbeyond theboundariesof theworkplace, reachingintothecommunity.Duringthepastfouryears,leadersatWegmanshavemadeaseriesofdecisionsthatbroughtwiththemnotableshort-termfinancialcosts,yetsetthestageforthecontinuedextraordinarysuccessofthisninety-five-year-oldgrocery store chain.Their bold decisions, deeply rooted in the firm’smission,values,andbeliefs,exemplifythepowerofTrustworthyLeadershipandprovideexamplesthatwecanalllearnfrom.On January 4, 2008, Wegmans—which employs over thirty-nine thousand

people in seventy-five stores throughout the northeastern United States—shocked many people by declaring that they would stop selling all tobaccoproductsintheirstores.Theysetafinal“quit”dateofFebruary10,2008,givingtheirstoresawindowofaboutonemonthtosellouttheinventoryonhand,andgiving customers notification of this change. Employees, of course,were alsonotified,aswasthegeneralpublic.Mosteveryonerespondedpositively,thoughmanyinthegroceryindustryquestionedthewisdomofdelistingaproductthatbroughtinsignificantrevenue.The American Lung Association praised Wegmans in editorials and press

releases, and awarded them the Lung Champion Award in recognition of theenormityofthedecision,whileEthispheremagazinenamedDannyWegmanoneof the 100Most Influential People inBusinessEthics for 2008. Internally thereactionwasswiftandpositive—fromsmokersandnonsmokersalike.WegmanshadpreviouslyestablishedaQuitNetprogramtohelpemployeesquitsmoking,and within days of the announcement in 2008, over nine hundred people—employeesandspouses—enrolledintheprogram.Todate,over2,500employeeshave signed up for the program at a cost, covered by Wegmans, of over$350,000.And what about the financial impact of not selling cigarettes and other

tobacco-related products? A round estimate of $1 million of lost revenue peryear is talked about, yet it is not seen as a loss. As CEO Danny Wegmanexplains, the actionwas simply aneffort tobe consistentwith thevalues theywanttoliveby.“Webelievethatthereisnotabadfood.Youcaneattoomuchof

anyfood,butit’snotabadfood.Wedon’tbelievethatcakeisabadfood;youjustdon’twanttoeatthatmuchcake.Butwedon’tbelievethatthereisanygoodcigarette.”Andtherecognitionthat thereisno“good”cigaretteiswhatmovedtheleadersatWegmanstostopsellingtobaccoproducts.Dannyexplained,“Whatweliketodogenerallyisstartwithourownpeople.

Thereare thirty-eight thousandor thirty-nine thousandofusnow,andwe say,‘Whatisgoodforus?’Ifitisgoodforus,itwillbegoodforourcustomers,too.Wereachedapointwherewewerewonderinghowwecouldencourageourownemployeestobehealthywhileweweresellingcigarettes.Andthatwaswhenwedecidedtostop.”Thequestionaroseinthemiddleofameetingamongtheseniorexecutive team: “Howcanwe sell cigarettes to peoplewhenwedon’t believethereisagoodcigarette?”Itwasasignificantquestion,onethatmanyexecutiveteams at other stores have failed to consider. The subsequent decision to stopsellingcigaretteswasswift.AstrongVirtuousCirclewillbringwithitasenseofclaritythatpropelsbolddecisions.Many people outside ofWegmans persisted in pointing to the risk of “lost”

revenueinalow-marginindustrylikefoodretailing.YetDanny’sresponsewasbothcalmandphilosophical.“Itdoesn’treallymatter,”hesaid.“Imean,wasitalossorwasitagain,todotherightthing?Itjustcamebacktothat.Ithinkwhatsurprised us about the decisionwas the number of comments thatwe did getabout doing the right thing. I know Iwas surprised.” InsideWegmans peopleautomatically said, “Of course.” It’s the right thing to do—there was noquestion.Ittookahalf-hourdiscussionwithinthecompany,andleadersdecideditwas the right thing.Thepublic reactionwas the surprising thing.AsDannysays,“Twoyearslaterwestillgetcommentsandquestionslike,‘Whydidyoudoit?Whatariskydecision,’andevenourfriendsintheindustryreactedlike,‘Wow,iseverythinggoingallrightwiththat?’”ColleenWegman,presidentsince2007,concurredwithDanny’sthoughtsand

expressed her confidence that in doing the right thing, the company wouldcontinue to be fine. “We all have a competitive spirit,” she said, “especiallywhen it comes to supporting our efforts to do what is right.We’ll make thatmilliondollars,we’llfindwaystohelpcustomers,andwe’lldoitbetter.We’llfigureitout.”Interestingly, none of the external questioning of the decision concerned

whetherornotthedecisionwas“right.”Itfocusedinsteadonthepotentiallossinrevenue.Wegmansexecutiveteam,however,focusedfirstonwhatwasrightandthenonhowtoensurethatthelostrevenuecouldbeturnedaroundtobea

successfortheorganization.AsDannysaid,“We’vealwaysbeencommittedtodoing the right thing. And the more success you have at doing it, it justreinforcesit.SoIcan’tthinkofapivotaltime,buttherehavebeenanumberofthings,likewiththecigarettes,wherewewouldtakeastandanditwouldwork.”TherearemanyexamplesthatbackupDanny’swords.Later in2008,asgas

pricesincreaseddramatically,thecostofmanybasicproductsandservicesalsoincreased.Companiesfrequentlypassedontheseincreasestoconsumers,whichmadelifeharderformanypeople.NotatWegmans.“Lastyear in June [2008],” saidDanny, “thingskeptgettingworse—thegas

priceswereflyingupto$4.00agallon,andourpriceswerebeingdrivenupbyethanolprices.Itputouremployeesinaterriblespot,becausetheyhadtodrivetowork,andtheirfoodpricesweregoingupaswell.Weweren’thavingagreatyear,andwewerethinking,‘Whatcanwedoforthesepeople?’”Whattheydidwas give their employees discount cards that they could use for sixweeks toreceive 10 percent off all of their purchases. Danny’s comments reflect hisprimaryfocusontheimpactthatthepriceincreaseswerehavingonemployees.That’swhatwasn’t goingwell, and leaders atWegmans responded by puttingtheirvaluesfirst.Followingontheirinitialresponsetotheworseningeconomy,Wegmanstooka

fewmorestepsthatagainreinforcedtheconnectionbetweenbeingtrustworthy,doing the right thing, andbusiness success.Theeconomycontinued to tumblefromlate2008into2009,withthecostofgoodsrisingandmorepeoplefacingeconomicdifficulties.“Ourcustomerswerehavingterribleproblems,andwehedgedthewrongway

in oil and gas.We run our own bakeries, and we hedged the wrong way onflour,”Dannysaid.“WeknewthatcostsweregoingtocomedownbyFebruary,sobackinNovemberwedecidedtobringourpricesdown...totheextentthat,for our business, it was around a $12 million reduction [relative to what theproducts might have sold for]. We were also anticipating a 3 percent wageincreaseforourpeople,andasking,“‘Wow,isthattherightthingtodo?Dowehave themoney to spend?’ ”Not that the focus atWegmanswason trying tosave money as a company, yet in every organization money and profit arenecessary to ensure that employees have jobs. At Wegmans the number oneconcernwastoensurethatpeoplewouldhavejobs.AsDanny related this series of events and the choices facing the executive

team, every decision, every option considered came back to values and thehonorable leadershippractices that leadersuse.Theydecided togoaheadwith

thewageincrease,reinstatedthe10-percentdiscountcardfortheholidays,andloweredpricesinthepharmacyandonotherproducts.“Therewas$15million[for the wage increase], and then a little later we spent another $15 millionloweringpharmacyprices.Itwasquiteemotionalhowouremployeesfeltaboutthese things.” By their estimates, close to $60 million was spent on theseprogramstosupportemployeesandcustomersintimesofneed.“WhyamIsayingthis?”heasks.“Becauseifwehaveaflatyearandwejust

spent$60million—well,wearenervous.Butwethoughtitwastherightthingtodo,andthat’showwerunthecompany.Inretrospect,ourbusinesshasbeenverystrong,andwemadeupthatmoney.That’swhyIamsayingthis—ifyoureallypayattentiontobothyourcustomersandyourpeople,itseemstoworkout.AndIthinkthateverybodygetsit:doingtherightthingisimportant.”Headdsthatifyoudon’tcontinuetoreinforcedoingtherightthing,youcan

losetheconnectionbetweenvaluesandsuccess.Wegmanshasbeenreinforcingit for years, and both Danny and Colleen talk about the connection theyexperienceonadailybasiswith thepastandthefuture.Thepastveryoftenisrepresented bywords and stories involving RobertWegman—their father andgrandfather, respectively—who always talked about taking care of employeesandtakingcareofcustomersastheprimaryreasonstobeinbusiness.Whenhetookoverthegrocerystoreinthe1950s,oneofhisfirstactswasto

raise thewagesofemployees,becausehedidn’tbelieve thatpeoplecould livefairlyonthewagestheywerecurrentlybeingpaid.Thiswasprobablyoneoftheearliest “livablewage”actionsever taken—without sanctions,protests,ornewminimumwagelawsbeingpassed.RobertWegmandiditbecausehefeltitwastherightthingtodo,anactionthatnowcanbestudiedasadefiningmomentinthedevelopmentofhisVirtuousCircle.Andthissameprocessoftakingactioncontinues with the decisions made by Danny, Colleen, and other leaders atWegmansastheymoveintothefuture.DoDannyandColleensimplyhavesofthearts,helpingthemtomiraculously

find successwhereothershavebeenunable todo so?No.DannyandColleenWegmanareverysmartpeoplewhohelptoleadaverysuccessfulbusinessinatoughindustrywithsignificantcompetition.Theyareawareoftheimportanceofensuringthatthebusinessisprofitable,andtheirapproachtosuccessfocusesonthe operations of the entire business—the physical structure of the stores, thequalityoftheproductsandservices,thepeoplewhoworkthere,andthepeoplewhocometoshop there.And it is thepeoplewhocomefirst,becausewithoutthemnothingelsewouldexist.

“Thegoodnewsabout theWegmansstory is that itdoeswork. Igetupandpinchmyselfeveryday—it’strue—itdoeswork.Ifitdidn’twork,youcouldn’tstick with it,” Danny said. “These are things that aren’t taught in businessschools. They will teach you the techniques of financial analysis, which areridiculousmostofthetime.Thefactthatthishasworkedforusoveraperiodoftime…wejustfeelbetterandbetterandbetterabout it.We’resoblessedthatwetreateachotherthewaywewanttobetreatedanditdoeswork,andwesay‘Wahoo,let’sdomoreofthat!’IfyoutalkaboutaVirtuousCircle,Ithinkthat’skindofwhereweare.”ColleenWegman,followinginherfather’sandgrandfather’sfootsteps,hasa

longsuccessfulfutureaheadofherselfstrengtheningherownVirtuousCircleasa Trustworthy Leader. Although her father describes the lessons from hisdefiningmomentswith thephrase“Do the right thing,”Colleen’s term is “Dowhatfeelsright inyourheart.”OtherpeoplewhoworkatWegmanshavetheirownversionsofthisstance.Everyonegetstodowhat’sright,anditworks.

Treatingpeoplethewayyouwanttobetreatedyourselfworks.Thatiswhatourcompanyisa testimonyto—wedoit forourselves,not toshowanyoneelse,yetitworks.Andwearesohappythatitdoes.Imean,whatifgettingupeverydayandbeinggrumpyandyellingatpeopleandwhippingthemprovesto be a great financial success and you thought that was the model?Whowouldwanttolivelikethat?Gosh,didyouwin?

—DannyWegman,CEO

CREATINGYOUROWNVIRTUOUSCIRCLE

Intheprocessofwritingthisbook,IhadachancetoseefirsthandwhathappensinorganizationswhenthepoweroftheVirtuousCircleisfullyunleashed.Imetand interviewed many great leaders, and by listening to their stories andreflecting on their experiences, I’ve deepened my understanding of trust andtrustworthybehavior.When leaders practice integrity toward the values supporting honor and

inclusion, engage their followers, share information, and develop others, theythenareable tomove throughuncertaintywithgraceanddetermination.Theirability to turn uncertainty into opportunity can be seen in the great high-performingorganizationsprofiledthroughoutthisbook.Trustworthy Leaders know that being trustworthy is the critical factor that

separatestheirleadershipsuccessfromthatofothers.Interestingly,theseleadersdon’tworryaboutprovingthatbeingtrustworthymakesapowerfuldifferenceorleads to better results. They know that what they are doing is right andbeneficial,sotheykeepdoingit.Theywanttounderstandtheimpactoftrustandhow they can strengthen this aspect of their leadership, yet they know thatunderstandingandprovingaretwodifferentthings.Every organization profiled in this book collects data on the activities they

engageinthatleadersbelievecreateapositive,trust-filledworkplace.Andeveryoneoftheseorganizationsdedicatestremendousresourcestoenhancingpeople’sability tobe trustworthy.Yetnoneof the leaderswithwhomI spoke indicatedanycompulsiontoprovecauseandeffect.Theyareguidedbytheevidencethattheyseeandexperienceforthemselves.Thedatatheycollect—bothquantitativeand qualitative—helps them to assess, evaluate, and improve. They moveforwardwithwhattheyknowandwhatworksovertime,oftencoursecorrectingandalwaysseekingimprovement.The positive financial impact that comes from being trustworthy is seen in

markerssuchaslowturnover,highnumbersofjobapplicants,reducedemployeestress, greater customer or patient satisfaction, and greater creativity. Leadersaccept the fact that trust works, and this acceptance saves them and theirorganizationsthetimeandmoneythatothersspendunendinglysearchingforthemagicformulathatmightprovethatoneprogramversusanotherwillguaranteea

specific increase in profit. Trustworthy Leadership is profitable because thecollective power and creativity of a unified group of people working towardcommongoalswhilesharingrespectandbenefitswithallisunbeatable.While writing this book, I also affirmed something I’ve seen in many

organizations—Trustworthy Leaders know and appreciate the virtue ofsimplicity,whichpervadesanumberof theirpractices.Peoplearedifferent,ofcourse, and have different needs.YetTrustworthyLeaders take a simple—notsimplistic—approach topeople: they treat everyone from the samebaselineofhonor and inclusion. Simplicity also supports leaders’ efforts to minimizedistractions:theyparedowntheirorganizations’corevaluesandprinciplestothemostimportantfew,whichareclearlyarticulatedanddistinct.LeadersoftentoldmehowhelpfulitwastoclarifyandsimplifythevaluesguidingtheiractionsasTrustworthyLeaders.Ialsolearnedthat,amongTrustworthyLeaders,perfectiondoesnotexist,and

noone isaiming for it.Every leader I spokewith toldstoriesabouthisorhermistakes, stumbles, humbling moments, and lessons learned. They evenanticipated what they would probably continue to stumble over. TrustworthyLeadersareabletoseeandaccepttheirimperfections,whilealwaysaspiringtothehighstandardstheysetforthemselves.Theyknowthatalackofperfectionisnot an excuse for doing thewrong thing; rather, it reinforces their belief thatdoingtherightthingisanongoingprocess.Finally,IlearnedthatTrustworthyLeadersarenotasrareasyoumightthink.

Theyareactuallyverymuch likeyouandme.Theyhave theirgooddaysandbad days. They have some skills that are extraordinary and others that aren’t.AndtheyfollowtheirVirtuousCircleeveryday.Atdifferentmoments in theirjourney their leadership practicesmay reflect a stronger focus onone elementthanonanother,yetalltheelementsarealwaysinplay.TrustworthyLeaderslivefrom a core set of positive values and they lead in ways that reinforce theirVirtuousCircle.Youcandothistoo.AlthoughTrustworthyLeadersmaystillbemoreuniquethancommon,there

are enough of them out there that, if you truly want to be one, you can findpeoplefromwhomyoucanlearn.Ihopethatthestoriessharedinthisbookhelpyou understand the experiences that influenced the leadership development ofeach of the Trustworthy Leaders profiled. I also hope that these storiesencourageyoutoreflectonyourownexperiences—thosemomentswhenyou’vebeen accepting, you’ve fostered simplicity, you’vemovedbeyond a search forperfection.Mywish is that you see your actions as a reflection of your own

VirtuousCircle—asIdonow,lookingbackonmyadventurousnighthike.Lettrustbeyourguide.

ACKNOWLEDGMENTS

There are always many people’s contributions to recognize when you arepresentingsomethingthatreflectsmanyyearsofwork—andthatisthecasewiththis book.Given that I’vewritten a lot about the experiences that shaped thetrustworthy leaders in my book, I also have many experiences that I couldacknowledgeasinfluentialtomyowndevelopmentandthedevelopmentoftheideasI’vesharedhere.Forreasonsofspaceandtime,I’mlimitingmycommentshere, and will include more stories and thank-yous on my website,www.trustworthyleader.org.Igiveadeepthank-youtoeveryonewhoconsentedtobeinterviewedforthis

book.Iappreciateyourwillingnesstoshareyourtimeandyourstorieswithmeandtoallowmetoshareyourstorieswithothers.IthankthepeopleatJossey-Basswhohavesupportedthisandotherprojects

with the Institute. In particular,GenovevaLlosa’s editorial contributions, LisaShannon’s many conversations, and Holly Allen’s interest in developingcompanion training materials have all kept things moving forward. We haveshared intense discussions and pushed through challenges to keep things ontrack.Mywork isbetterbecauseof their support. I also thank JennaFreeandKristi Hein for their thoughtful editing, helpingme to conveymy ideasmoreclearlyandsuccinctly.I thankthepeoplewithwhomI’veworkedat theInstituteforsomanyyears

andthoseofyouwhohavemovedontootherpositionsaswell.WhatwestartedattheInstitutewasbuiltonadesiretochangetheworld.Peoplecametogether,workedhard,sharedtheirideasandlaughter,andcreatedaspiritoftogethernessthat was quite compelling to all of us and to the companies and people withwhomweworked.Therearemanynamestomention—Sarah,Erika,Michael,Hal,Suzanne,Jen,

Brooke,Todd,Ann,Marcus, Jessica, andothers—people I’veworkedwith foryears,whohelpedmetolearnandgrow.Ithinkofyoualloften.Ialso thankthepeopleatNeteorwhoworkedwithmeforyears,developing

phenomenalweb-basedtoolsthatenabledmetosortthroughreamsofdatathatusedtomakemyeyesglazeover.Ineverwouldhavebeenabletosiftthroughall theemployeesurvey,cultureaudit,andemployeecommentrecordswithoutthebrillianthelpofpeopleatNeteor.

Iwanttothankmyfatherforinspiringmealways,forchallengingmetolookattheconsequencesofmyactions,andforsupportingmeevenwhenhedidn’tfully understandwhat Iwas doing andwhy. Iwant to thankHelenO’BannonandTomEhrlichforbeingrolemodelsformesomanyyearsago,encouragingme to stick up for what I thought was right and to speak out on issues ofimportance tome. Iwant to thankMarcSimon for givingme somuchof histime and care, for talkingover ideas thatwere just barely formed, for always,alwaysencouragingmetowrite,andforhisheartbeat.IwanttothankSimeon,my amazing son, for givingme somany gifts and stickingwithme aswe goforward.Heismyinspirationforcreatingabetterworldforeveryone.

ABOUTTHEAUTHOR

Amy Lyman is a cofounder of the Great Place to Work Institute. During hertenureshedevelopedtheInstitute’sconsultingservicesintheUnitedStates,andoversawthefinancial,legal,andoperationalactivitiesoftheentireorganization.Sheservedaspresidentof the Institute fora timeandaschairof theboardofdirectors,leavingthatrolein2008.During the past fewyears she has studied the qualities that distinguishBest

Companies from good companies, focusing on the role of the TrustworthyLeader.Shehaswrittennumerousarticlesonthistopicandhasbeenafeaturedspeaker atmanagementworkshops and conferences.Honesty and integrity arecentraltoherwork.Amy received her Ph.D. from the University of Pennsylvania and her B.S.

fromtheUniversityofCalifornia,Davis.Prior to founding the Great Place toWork Institute, Amy taught classes in

organizationdevelopment, systems theory, andqualitative researchmethods intheDepartmentofAppliedBehavioralSciencesattheUniversityofCalifornia,Davis.Shebeganher consultingworkwhile a research fellowat theWhartonCenter for Applied Research at the University of Pennsylvania, and was afoundingboardmemberoftheFamilyFirmInstitute.The Great Place to Work Institute is a global research and consulting firm

headquartered in San Francisco, with thirty-two affiliates in Europe, theAmericas,Asia,andOceana.TheInstituteusesitsTrustIndexemployeesurveyandCultureAudittoproducetheFortune100BestCompaniestoWorkForandtheBestSmall&MediumCompaniestoWorkForinAmericalists,inadditionto best companies lists in forty countries. The Institute recognizes theworld’sbest workplaces and provides conferences, workshops, and advisory andconsultingservicestothosewhoseektocreategreatworkplacesoftheirown.Forovertwentyyears,theInstitutehasbeenconductingresearchintothebest

workplacesintheUnitedStatesandaroundtheworld,andthroughthisresearchhasamassedasizablebodyofknowledgeabout thecharacteristics,similaritiesand differences, cross-cultural variations, and practices that support greatworkplaces.

INDEX

A

Accompaniment, role in followership Accountability system, to address riskAddicks,MarkAllen,BobAlvarez,AlvaroAmericanCastIronPipeCompany(ACIPCO)Anderson,LloydAnderson,Mary

B

Baird,Robert.SeealsoRobertW.Baird&CompanyBenefits,sharingBennis,WarrenBurton,RobBuzachero,Vic

C

Capabilityofaccomplishments,developingothersthroughbeliefinCard,BobCareerdevelopmentCEOs:approachabilityof;gettingwhattheyinspect;interactingwithemployees;spendingtimewithemployees;timespentonpeopleissuesby.SeealsonamesofspecificCEOsCH2MHILLChange: culture, through reciprocity; importance of sharing information to; ofpersonnelpoliciesCharmel,PatrickChoice,roleinfollowershipClyburn,TenilleConnection, role in followership Core values: of Hoar Construction; of REICourter,Craig

Creatingfulllives,developingothersthroughCredibilityCulture: changed through reciprocity; creating inclusive; customer service asfoundationof;developing,toaddressrisk;offollowership;freedomin,ofW.L.Gore;ofGoogle;inclusive,financialsuccessduetoCustomerservice:atCH2MHILL;atScrippsHealth;atStewLeonard’s;atWegmans

D

Decisionmaking,inclusioninDePeters,JackDeveloping others; leaders showing; origin of belief in; as quality ofTrustworthy Leaders; rationale for; through belief in capability ofaccomplishments;throughcreatingfulllives;throughprovidingpathtofollowTheDifference(Page)Diversity.SeeInclusionDixon,LeslieDunlap,Al

E

Eagan,JohnEckert,Douglas

EILEENFISHER

EmailEmployees: as associates; empowermentof;helped in tougheconomy; lackofrecognitionof,byorganizationalleaders;praisegivento;sharingbenefitswith;supportsystemsfordiverse;treatedasequalsbyCEOEngagingfollowers.SeeFollowership

F

Fairness:cultureof,toaddressrisk;aselementoftrustworthinessFarr,BobFear: followership based on; leadership based on; sharing information asreducingFebbraio,WendyFinancialsuccess: inclusiveculturegivencredit for;ofstereotypicalsuccessfulleaders;withTrustworthyLeadership.SeealsoMoneyFindingopportunitiesinuncertainty;addressingriskwhen;developmentofbeliefin;knowledge’srolein;leader practicing; overview of; as quality of Trustworthy Leaders; throughtrustworthybehavior;wisdom’sroleinFischer,StephanieFisher,DavidFisher,EileenFollowership;accompaniment’srolein;choice’srolein;connection’srolein;vs.conventional wisdom about leadership; development of belief in; fear-based(pseudo-followership); in hiking experience; importance of; as quality ofTrustworthyLeaders;sharinginformationandFortune“100BestCompaniestoWorkFor”listFrantz,Wayne

G

Gazzetta,CarolGeneralMillsGiles,BobGoogleGore.SeeW.L.Gore&AssociatesGore,BillGore,VieveGray,TrippeGreatPlacetoWorkInstituteAGreatPlacetoWork(Levering)Greenleaf,RobertGriffinHospital.SeealsoCharmel,Patrick

H

Haslam,AlexanderHass,ErinHendricks,Mark

Higdem,GarryHikingexperienceHoarConstructionHonor; addressing risk with; development of belief in; in hiking experience;importance of; inclusion and; leaders showing; as quality of TrustworthyLeaders;sharinginformationand;throughhumility;throughpositionawareness;throughreciprocityHumilityHuneke,Tracy

I

IBM

Inclusion; to address risk; benefits of; development of belief in; in hikingexperience; honor and; leaders showing; as quality of Trustworthy Leaders;sharing information and; through belief in value of others; through seekingothers’ ideas; through sharing benefits; ways to create culture of Influence,throughsharinginformationInformation.SeeSharinginformation

J

Jarreau,YvetteJewell,Sally

K

Kasten,FredKelly,TerriKhateeb,KhajaKindler,MarkKnowledge,roleindealingwithuncertaintyKuhn,Thomas

L

Leaders: servant; successful. See also Trustworthy Leaders Leadership:conventionalwisdomabout,vs.followership;fear-based;assituationalLeonard,BethLeonard,MarianneLeonard,StewJr.Leonard,StewSr.Leonard,TomListening: tocustomers;emphasizedatEILEENFISHER; toextend influence;importanceof;toothers’ideasLorenz,LoriLowe,JackSr.

M

Madia,JohnMarsac,FrankMayoClinicMcCord,SteveMcIntire,LeeMentorsMoney:customerserviceatStewLeonard’sand;indefinitionofsuccess;lackofemphasis on, at Hoar Construction. See also Financial success Myers-Briggstraining

N

NetApp

O

O’Keefe,Patrick

The 100 Best Companies to Work for in America (Levering,Moskowitz, andKatz)Opportunities.SeeFindingopportunitiesinuncertainty

P

Pacanowsky,MichaelPage,ScottParticipation,sharinginformationtoenhancePerfectionPerkinsCoie.SeealsoGiles,BobPersonaldevelopmentprogramsPierce,GerryPlanetreephilosophyPlatow,MichaelPositionawarenessPowell,KenPower: over vs. through; personal vs. position; from reciprocal relationshipsProvidingpathtofollow,developingothersthroughPseudo-followershipPurcell,PaulPutnam,Robert

R

ReciprocityRecreational Equipment, Inc. (REI) Recruitment: of employees for inclusiveculture;minimizingneedfor;ofpeoplewho“fitin”Reicher,StephenRelationships:basedontrust;honor’simpactonqualityof;reciprocityinRene,JacquesRespectRichey,VanRisk,whendealingwithuncertaintyRobertW.Baird&Company

S

Salaries: for employees in tough economy; reducing, of top executives Schor,SusanScripps Health. See also Van Gorder, Chris Seeking others’ ideas, inclusionthroughTheServantasLeader(Greenleaf)ServantleadersSharing benefits, inclusion through Sharing information; to address risk;developmentofbeliefin;toenhanceparticipation;toextendinfluence;inhikingexperience; importance of; leaders practicing; to promote understanding; asqualityofTrustworthyLeaders;toolsforSimplicityStewLeonard’sStory,EllenTheStructureofScientificRevolutions(Kuhn)Stumpo,BarbSuccess: defined in terms ofmoney; developing people for long-term; leadersachieving; likelihood of, when dealing with uncertainty. See also FinancialsuccessSupportsystems,fordiverseemployees

T

Tavello,JillTDIndustriesThurow,LauraTilley,MaryTraining: at Griffin Hospital; at Hoar Construction; at Mayo Clinic; Myers-Briggs;atREI;atRobertBaird&Co.;atStewLeonard’sTransparencyTrust: in 100 Best Companies; building relationships based on; described;developed through sharing information; following based on; importance of;neededforchange;asresourcewhenfacinguncertainty;stereotypesaboutTrustIndexTrustworthy Leaders: benefits of leadership style of; examples of; financialsuccessattainedby;howtousestoriesof;imperfectionacceptedby;prevalenceof;qualitiesof; simplicityappreciatedby;wordsdescribing.Seealso VirtuousCircleTurnoverrates,low

U

Uncertainty:destabilizingeffectof;facedinhikingexperience;inevitabilityof.SeealsoFindingopportunities inuncertaintyUnderstanding,promotedthroughsharinginformation

V

Values:core;inclusionthroughbeliefin,ofothers;revealedbyexperiencesVanGorder,ChrisVirtuous Circle: creating your own; hiking experience example of; at HoarConstruction;leadersexhibitingqualitiesof;overviewof;atREI;atWegmans.SeealsospecificqualitiesVolunteerservice

W

W.L.Gore&AssociatesWalton,LindaWarmenhoven,DanWegman,ColleenWegman,DannyWegman,RobertWegmansWeis,ShirleyWelch,JackWisdom,appliedwhendealingwithuncertainty