Shift in Demand

1
Shift in Demand

• Where have all the managers gone?
• Today the demand is for leadership training
• This shift in demand reflects the biggest change
  in how we organize to do business since the
  Industrial Revolution
• And that change reflects an equally big upheaval
  in market requirements

2
Industrial Revolution Markets

• Business created - markets consumed
• Business was in charge
• Era of mass production
• You can have any color Model T you want as long
  as it is black
• In mass production environment business strove
  for speed and uniformity

3
Mass Production and Structure

• Change is an anathema to mass production
• Goal is control, order, uniformity
• The military is the model for control, order and
  uniformity
• The military model became organizational
  hierarchies
• Privates became workers sergeants became
  supervisors, etc.

4
Hierarchical Philosophy

• Management is the art of getting things done
  through others
• This philosophy is designed to multiply the
  effectiveness of managers
• Others become the extensions of management
• Assumption - managers are superior as in superior
  officers

5
Roles in a Hierarchy

• Managers classic role is to plan, organize, staff
  and control
• Managers have information and therefore make
  decisions
• Decisions move up the organization as they become
  more complex because more information is held at
  higher levels
• Information is the ultimate power

6
The Octopus
7
Roles in a Hierarchy

• Workers must do more of the same faster
• Work simplification builds speed as in assembly
  lines
• Information on a needs to know basis as in
  military
• Workers do mindless repetitive tasks with no
  knowledge of why
• Speed and uniformity through robotization

8
End of an Era

• Increasing global competition creates choices
  beyond anything imagined for consumers
• Markets increasingly fragmented
• Demand for individually tailored products
• Mass production replaced by mass customization

9
End of an Era

• Uniformity
• Rigidity
• Line work
• Knowledge hoarding
• Manger effectiveness
• Work for rewards

• Variety
• Flexibility
• Team work
• Knowledge sharing
• Worker effectiveness
• Work is rewarding

10
End of an Era

• Because change is constant hierarchies start to
  crumble
• Traditional functions of management assumed by
  teams
• Managers become superfluous and are downsized out
• But organizations dont run themselves

11
Birth of an Era

• New skill set needed in todays business
  environment
• Skills are embodied in concept of leadership
• It is easier to pull a rope than it is to push it

12
Leadership

• Generic definition
• A leader has a destination
• A leader has followers who want to go to the same
  place
• Followers have confidence that the leader can get
  them there
• The fool vs. the drum major

13
Leadership in Business

• The destination becomes the vision thing
• All CEOs want to be visionaries
• Vision must be different from status quo,
  challenging, inspiring and attainable

14
Vision

• Vision must resonate with employees
• Revenue, net, ROI, market share never work
  because they are not inspiring
• Financial Stability
• The Flourishing Globe

15
Communication

• To achieve resonance a leader must be a great
  communicator in order to create a shared vision
• Make the vision real for everyone
• To be the most respected local provider of
  business relationship skills around the world

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Workers who understand corporate goals
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Workers who have clear goals
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How Workers spend their time
19
Empowerment

• To achieve shared vision leader gives traditional
  power away
• Shares information - open book
• Pushes decisions to lowest level - those who do
  the work know best
• Retains power derived from knowledge and
  experience

20
The Goose
21
Transition

• Managers who fail to transition to leaders fail
  because of inability to give up power
• Worked whole life for when Im in charge Ill do
  it my way
• As your leader let me help you do it your way
• Dont fake it

22
Change Agents

• Leaders create change by setting new direction
• Not just managers who must transition
• Entire organization must change behavior
• Behavior is culture - transactions as DNA
• Culture is the articulation of a set of values

23
Leading by Example

• Values are critical also because they reflect
  leaders personal beliefs
• Leaders must stand for something and must share
  these beliefs with employees
• Leader must then set the example by never
  wavering on beliefs
• Leaders do what they say

24
Values with Teeth

• Values need to be actionable
• Values should guide behavior
• We provide customer value
• Values are not sometimes or convenient things
• People are our most important asset

25
Leaders stay on message

• Leaders repeat the message at every opportunity
• High energy needed for constant vigilance
  Patience - repetition of same message
• Coaches employees to help them realize their full
  potential

26
Leader as Cheerleader

• Constantly encouraging team and individuals
• Celebrates successes openly with organization
• discuses failures openly as learning experiences
• Make you work vs. make you want to work

27
Followers Expectations

• Based on research by Kouzes and Posner followers
  expect leaders to be
• Honest - walk the talk
• Forward-looking - a vision of the future
• Inspiring - positive, energetic, enthusiastic
• Competent - as a business person, not necessarily
  technically

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Followers Expectations

• Add up the most important attributes and it all
  comes down to one thing

CREDIBILITY
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The Differences

• MANAGERS
• focus on today
• hoard information
• demand work
• control with pay
• retain power
• punish failures
• push the rope

• LEADERS
• focus on future
• share information
• enlist support
• lead by example
• give away power
• celebrate victories
• pull the rope

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21st Century Leadership

• All the traits previously mentioned plus
• Cultural sensitivity
• International experience
• Last generation of leaders with only domestic
  experience
• Technological understanding and foresight

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The Octopus
32
The Goose