Leadership Perspectives

 “Authentic Leadership”

               Paul Healy
   Head of Group Learning & Development
           Irish Life & Permanent
    The Sales Institute 20th October 2010
Traditional Leadership Theory
• Trait V Behavioral
• Leadership “Styles”
• Situational Leadership Theory
• Managers V Leaders
What has Changed?
• Customer ?
• Market ?
• People
  – Task of engaging employees has changed.
  – “Increasingly suspicious that we are been ‘worked’”
    (Goffee & Jones)
  – Employers have broken bond of trust
  – Vets, Baby Boomers, Gen X and Gen Y
  – Rise of the corporate prisoner.
Contemporary Perspectives
• 3 Themes
   – Context
   – Conviction
   – Authentic Leadership

• Emphasis Shift
  – From the Leader to the Followers
2 Contemporary Ideas

Adaptive Leadership
(Heifetz / O’Doherty)


“Level 5” Leaders
(Jim Collins)
Authority
• Direction

• Protection

• Order
• Direction
• Protection
Order
• Orientation to roles

• Control of conflict

• Maintain norms
Leadership
• Leadership is an Activity

• Not defined by personality traits,
  charisma, power, influence or position

• With or Without Authority
LEADERSHIP


• The capacity to mobilize people to
  address the tough problems –
  those they would rather avoid
Technical Work
Any work that doesn't require deep
thinking or systemic change, but is
straight-forward in regards to the
application of expertise to a particular
problem. The problem is clear and the
solution is clear.
Adaptive Work
• The challenging work of shifting values,
  norms, belief systems and world views so
  that progress can be made on problems
  that don’t have easy answers and that
  people would rather avoid.
Kind of      Problem      Solution      Focus of
 Work        Definition   Definition      Work
Technical      Clear        Clear       Authority


 Technical     Clear      Requires     Authority &
& Adaptive                Learning     Stakeholders

Adaptive     Requires     Requires
             Learning     Learning     Stakeholders
Properties of an Adaptive
              Challenge

• The challenge consists of a gap between
  aspirations and reality.
• Requires responses outside the normal
  repertoire.
• Narrowing the gap requires difficult learning.
• The learning involves distinguishing what’s
  expendable from what’s essential, which
  involves LOSS.
Properties of an Adaptive
             Challenge
• The losses often involve learning to
  refashion old loyalties and develop new
  competencies
• Adaptive work is value-laden
• The people with the problem are the
  problem and the solution
   – Problem solving responsibility shifts to
     the stakeholders
Properties of an Adaptive
            Challenge
• Adaptive work requires a longer time
  frame than technical work
• Adaptive work is experimental in
  nature.
• Adaptive challenges generate
  disequilibrium and avoidance.
“The problems that we have created
  by the way that we have lived cannot
  be solved at the same level of
  thinking that produced them in the
  first place.”
                   Albert Einstein
Managing Stress Responses
Level of
disequilibrium
                                                    Danger zone




                                                  Learning zone




                                                   Comfort zone



                                                                  Time

                                                                         19
Source: Based on Heifetz, Leadership without Easy Answers
Technical Work                       Adaptive Work
                                    •   Authority identifies the
•                                       challenge, diagnoses the
    Authority provides problem
                                        condition, produces questions
    definition & solution
                                        about solution

•   Protects from external threat
                                    •   Discloses external threat

•   Restates/ Orientates roles
                                    •   Disorientates roles, resists
                                        pressure to orient people in
•   Restores Order                      new roles too quickly

•   Maintains norms                 •   Exposes conflict or lets it
                                        emerge

                                    •   Challenges norms, allow
                                        norms to be challenged
Work Avoidance
• Make the problem Technical

• Blame Authority

• Kill the Messenger

• Scapegoat/externalize the problem
The Tasks of Leadership
• Get on the Balcony
• Define the Adaptive Challenge
• Infuse the Work with Meaning
• Keep the level of stress (disequilibrium)
  productive
• Focus on ripening the issue
• Develop responsibility/give work back to the
  stakeholders
• Think Politically
Level 5 Leadership
            Jim Collins


“ You can accomplish anything in life,
  provided that you do not mind who gets
  the credit.”
                              Harry Truman
Jim Collins
• Wrote “Built to Last”
• Wrote “Good to Great”
  – Study of 1435 Good Companies
  – Examined their performance over 40 years
  – Companies that outpaced the rest of the
    industry (exceeded the stock market av by 3x
    over 15 years)
Who is Darwin Smith?
• In-house lawyer who was CEO of
  Kimberly-Clark for 20 years
• During his time Kimberly-Clark generated
  stock returns 4.1 times the general market
• He described his management style as
  “Eccentric”
• His shyness was coupled with a fierce
  resolve toward life.
Oct sales institute
Oct sales institute
Level 5 Leaders
Level 5 leaders channel their ego needs
away from themselves and into the larger
goal of building a great company. It’s not
 that Level 5 leaders have no ego or self-
   interest. Indeed, they are incredibly
 ambitious—but their ambition is first and
      foremost for the institution, not
                themselves.
Who is Colman Mockler
• CEO of Gillette from 1975 to 1991
• A gracious, patrician gentleman
• Held off three hostile attacks in order to
  fight for the future greatness of Gillette
• A placid persona that held an inner
  intensity to be the best
Oct sales institute
Who of these do you know?

• George Cain        • Lyle Everingham
  (Abbott Medical)     (Nucor)
• Alan Wurtzel       • Joe Cullman
  (Circuit City)        (Philip Morris)
• Jim Herring        • Fred Allan
                       (Pitney Bowes)
  (Kroger)
                     • Charles Walgreen
• Carl Reichardt
                        (Walgreen Pharm)
  (Wells Fargo)
Why “Level 5”
Level 5       Level 5 Executive    = Humility + Will



Level 4        Effective Leader



Level 3      Competent Manager


Level 2   Contributing Team Member


Level 1    Highly Capable Individual
Two Dimensions of Level 5
• Professional Will        - Sets the standard of
                           building an enduring great
  – Creates superb         company; will settle for
    results, a clear       nothing less.
    catalyst in the
    transition from good
    to great               - Looks in the mirror, not
                           out the window, to
  – Demonstrates an        apportion responsibility for
    unwavering resolve     poor results.
    to do whatever must
    be done to produce
    the best long-term
    results, no matter
    how difficult.
The Second Side
• Personal Humility
  – Demonstrates a          – Channels ambition into
    compelling modesty,       the company, not the
    shunning public           self; sets up
    adulation; never          successors for even
    boastful.                 greater success in the
                              next generation.
  – Acts with quiet, calm
    determination; relies   – Looks out the window,
    principally on            not the mirror, to
    inspired standards,       apportion credit for the
    not inspiring             success of the
    charisma, to motivate     company.
Level 5 Conundrum
• The great irony is that the personal ambition that
  often drive people to positions of power stands
  at odds with the humility required for Level 5
  leadership.

• Combine that irony with the fact that boards of
  directors frequently operate under the false
  belief that they need to hire a larger-than-life
  egocentric leader.
Therefore:
• You can see why Level 5 leaders seldom
  appear at the top of institutions.

• The problem is not with the availability of
  Level 5 leaders. The problem is
  recognising that what they have is
  important.
Finally!
• Can I become a Level 5 leader?
• No prescription---sorry. Except to practice
  the other findings that lead a company
  from Good to Great.
  – Disciplined People
  – Disciplined Thought
  – Disciplined Action

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Oct sales institute

  • 1. Leadership Perspectives “Authentic Leadership” Paul Healy Head of Group Learning & Development Irish Life & Permanent The Sales Institute 20th October 2010
  • 2. Traditional Leadership Theory • Trait V Behavioral • Leadership “Styles” • Situational Leadership Theory • Managers V Leaders
  • 3. What has Changed? • Customer ? • Market ? • People – Task of engaging employees has changed. – “Increasingly suspicious that we are been ‘worked’” (Goffee & Jones) – Employers have broken bond of trust – Vets, Baby Boomers, Gen X and Gen Y – Rise of the corporate prisoner.
  • 4. Contemporary Perspectives • 3 Themes – Context – Conviction – Authentic Leadership • Emphasis Shift – From the Leader to the Followers
  • 5. 2 Contemporary Ideas Adaptive Leadership (Heifetz / O’Doherty) “Level 5” Leaders (Jim Collins)
  • 9. Order • Orientation to roles • Control of conflict • Maintain norms
  • 10. Leadership • Leadership is an Activity • Not defined by personality traits, charisma, power, influence or position • With or Without Authority
  • 11. LEADERSHIP • The capacity to mobilize people to address the tough problems – those they would rather avoid
  • 12. Technical Work Any work that doesn't require deep thinking or systemic change, but is straight-forward in regards to the application of expertise to a particular problem. The problem is clear and the solution is clear.
  • 13. Adaptive Work • The challenging work of shifting values, norms, belief systems and world views so that progress can be made on problems that don’t have easy answers and that people would rather avoid.
  • 14. Kind of Problem Solution Focus of Work Definition Definition Work Technical Clear Clear Authority Technical Clear Requires Authority & & Adaptive Learning Stakeholders Adaptive Requires Requires Learning Learning Stakeholders
  • 15. Properties of an Adaptive Challenge • The challenge consists of a gap between aspirations and reality. • Requires responses outside the normal repertoire. • Narrowing the gap requires difficult learning. • The learning involves distinguishing what’s expendable from what’s essential, which involves LOSS.
  • 16. Properties of an Adaptive Challenge • The losses often involve learning to refashion old loyalties and develop new competencies • Adaptive work is value-laden • The people with the problem are the problem and the solution – Problem solving responsibility shifts to the stakeholders
  • 17. Properties of an Adaptive Challenge • Adaptive work requires a longer time frame than technical work • Adaptive work is experimental in nature. • Adaptive challenges generate disequilibrium and avoidance.
  • 18. “The problems that we have created by the way that we have lived cannot be solved at the same level of thinking that produced them in the first place.” Albert Einstein
  • 19. Managing Stress Responses Level of disequilibrium Danger zone Learning zone Comfort zone Time 19 Source: Based on Heifetz, Leadership without Easy Answers
  • 20. Technical Work Adaptive Work • Authority identifies the • challenge, diagnoses the Authority provides problem condition, produces questions definition & solution about solution • Protects from external threat • Discloses external threat • Restates/ Orientates roles • Disorientates roles, resists pressure to orient people in • Restores Order new roles too quickly • Maintains norms • Exposes conflict or lets it emerge • Challenges norms, allow norms to be challenged
  • 21. Work Avoidance • Make the problem Technical • Blame Authority • Kill the Messenger • Scapegoat/externalize the problem
  • 22. The Tasks of Leadership • Get on the Balcony • Define the Adaptive Challenge • Infuse the Work with Meaning • Keep the level of stress (disequilibrium) productive • Focus on ripening the issue • Develop responsibility/give work back to the stakeholders • Think Politically
  • 23. Level 5 Leadership Jim Collins “ You can accomplish anything in life, provided that you do not mind who gets the credit.” Harry Truman
  • 24. Jim Collins • Wrote “Built to Last” • Wrote “Good to Great” – Study of 1435 Good Companies – Examined their performance over 40 years – Companies that outpaced the rest of the industry (exceeded the stock market av by 3x over 15 years)
  • 25. Who is Darwin Smith? • In-house lawyer who was CEO of Kimberly-Clark for 20 years • During his time Kimberly-Clark generated stock returns 4.1 times the general market • He described his management style as “Eccentric” • His shyness was coupled with a fierce resolve toward life.
  • 28. Level 5 Leaders Level 5 leaders channel their ego needs away from themselves and into the larger goal of building a great company. It’s not that Level 5 leaders have no ego or self- interest. Indeed, they are incredibly ambitious—but their ambition is first and foremost for the institution, not themselves.
  • 29. Who is Colman Mockler • CEO of Gillette from 1975 to 1991 • A gracious, patrician gentleman • Held off three hostile attacks in order to fight for the future greatness of Gillette • A placid persona that held an inner intensity to be the best
  • 31. Who of these do you know? • George Cain • Lyle Everingham (Abbott Medical) (Nucor) • Alan Wurtzel • Joe Cullman (Circuit City) (Philip Morris) • Jim Herring • Fred Allan (Pitney Bowes) (Kroger) • Charles Walgreen • Carl Reichardt (Walgreen Pharm) (Wells Fargo)
  • 32. Why “Level 5” Level 5 Level 5 Executive = Humility + Will Level 4 Effective Leader Level 3 Competent Manager Level 2 Contributing Team Member Level 1 Highly Capable Individual
  • 33. Two Dimensions of Level 5 • Professional Will - Sets the standard of building an enduring great – Creates superb company; will settle for results, a clear nothing less. catalyst in the transition from good to great - Looks in the mirror, not out the window, to – Demonstrates an apportion responsibility for unwavering resolve poor results. to do whatever must be done to produce the best long-term results, no matter how difficult.
  • 34. The Second Side • Personal Humility – Demonstrates a – Channels ambition into compelling modesty, the company, not the shunning public self; sets up adulation; never successors for even boastful. greater success in the next generation. – Acts with quiet, calm determination; relies – Looks out the window, principally on not the mirror, to inspired standards, apportion credit for the not inspiring success of the charisma, to motivate company.
  • 35. Level 5 Conundrum • The great irony is that the personal ambition that often drive people to positions of power stands at odds with the humility required for Level 5 leadership. • Combine that irony with the fact that boards of directors frequently operate under the false belief that they need to hire a larger-than-life egocentric leader.
  • 36. Therefore: • You can see why Level 5 leaders seldom appear at the top of institutions. • The problem is not with the availability of Level 5 leaders. The problem is recognising that what they have is important.
  • 37. Finally! • Can I become a Level 5 leader? • No prescription---sorry. Except to practice the other findings that lead a company from Good to Great. – Disciplined People – Disciplined Thought – Disciplined Action