LEADER EFFECTIVENESS TRAINING

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Welcome to The Real Costs of People Problems
Presented by
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You are viewing this presentationbecause you
have people problems in your company.
How many times have you said or heard someone
else say If it werent for the people, Id
love this job.
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Conflict is killing your productivity

• How much money does your company waste on
  unresolved conflict?
• How many of you like conflict? Many of us can
  deal with it when they must but few of us
  actually like it. Most of us avoid it. Stop and
  really think about how much unresolved conflict
  costs your company.
• What are the signs? Silent meetings, people
  avoiding eye contacteach other! What work isnt
  getting done because people are trying to protect
  themselves or make an enemy look bad?

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You have new managers with technical know-how but
lacking in leadership skills.

• We leave the hardest part of the job to chance.
• You would never let an engineer design a new
  technical process without the proper technical
  training. But employees with little or no
  leadership skills are routinely put into
  management roles. And that is high risk!

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Youre fed up with investing in training that
doesnt produce results

• Youve spent money on every conceivable
  buzz-word training program but not much has
  changed.
• People are still cynical and skeptical.
• Training can cost a lot of moneyif youre not
  getting the results, you need to change the way
  you are approaching it. It may be the wrong
  training or some other error.
• Whatever the reason, resentment may be building
  at your company from a series of failed attempts.

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Whats in this presentation for YOU?

• You will learn
• to recognize the common mistakes people make in
  choosing training.
• why these mistakes are costly.
• how to avoid them.
• how to make your training dollars produce real,
  quantifiable and lasting change.

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Our agenda in this Presentation

• Provide some valuable information about how to
  solve people problems.
• Help you avoid making costly training mistakes.
• Provide guidelines for choosing training that
  works.
• Introduce you to some of our solutions.

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Who are we?

• We are Gordon Training International and our
  founder, Dr. Thomas Gordon (and Nobel Peace Prize
  Nominee), was the author of 9 books on how to
  solve people problems.
• We have over 1,000,000 graduates worldwide of our
  training programs.
• Weve been around since 1962.

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Bad leadership affects the bottom line
The case that we are going to make is that poor
leadership skills costs your company money.
Leadership skills can be learned. You dont have
to settle for mediocrity in your leaders.
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What is bad or good leadership?

• Bad Leadership
• Non-supportive
• Poor listeners
• Limited input from team members
• Unilateral, arbitrary decision making
  (autocratic)
• Avoids conflict or uses power to impose a solution

• Good Leadership
• The opposite!

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Effects of leadership trickle down(good and bad)

• Monkey see, monkey do.
• (If youre productivity is
• low, look up.)

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Remember the Space Shuttle Columbia accident
investigation? Their own board wrote

• "NASA's organizational culture and structure had
  as much to do with this accident as the external
  tank foam.
• The attitudes and decision-making of shuttle
  program managers and engineers during the events
  leading up to this accident were clearly
  overconfident and bureaucratic in nature.

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Bad leadership causes people problems like these

• High turnover
• High absenteeism
• Stress
• Sabotage
• Poor upward communication
• Unproductive competition

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Turnover

• Many people leave their jobs because of bad
  bosses.
• Recruiting, hiring and training new employees is
  costly.
• High turnover also has many hidden costs.

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These numbers are the turnover rates in various
industries. In government, 38 of the people
quit, retired, were fired or laid off each
yearin private industry, that percentage was
43.
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These calculations will easily reach 150 of the
employees annual compensation figure. The cost
will be significantly higher (200 to 250 of
annual compensation) for managerial and sales
positions.Aubrey C. Daniels, Ph.D., Bringing
Out the Bestin People How To Apply The
AstonishingPower of Positive Reinforcement
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...let's assume the average salary of employees
in a given company is 50,000 per year. Taking
the cost of turnover at 150 of salary, the cost
of turnover is then 75,000 per employee who
leaves the company. For the mid-sized company of
1,000 employees who has a 10 annual rate of
turnover, the annual cost of turnover is 7.5
million!Aubrey C. Daniels, Ph.D., Bringing Out
the Bestin People How To Apply The
AstonishingPower of Positive Reinforcement
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If you use the 40 figure from the Labor
Department, the cost for that same company would
be 30 million due to turnover.
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Surveys consistently show that more than 40 of
people who quit do so because they feel they
weren't appreciated for their contributionsAubr
ey C. Daniels, Ph.D., Bringing Out the Bestin
People How To Apply The AstonishingPower of
Positive Reinforcement
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Absenteeism
Bad bosses make people sick.
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As much as 60 of absenteeism is due to stress.
If an organization has autocratic management, it
is likely driving absenteeism costs
up.Approaching Change Chrysalis
Performance StrategiesJanuary 2003, Vol. 3, No. 5
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Stress

• When people are stressed out
• they make mistakes
• their productivity is lower
• they may use poor judgement
• they may make bad decisions
• they get sick

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A study of 10,000 civil servants working in
traditional hierarchies (conducted over a 20-year
period) found that those lower in the hierarchy
with little control over their work have four
times the risk of developing coronary heart
disease and depression than those at the
top.Dr. Sir Michael MarmotWhitehall Study I
and II, 1978, 1991
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Total cost to business in the U.S. related to job
stress is 150 billion per year.Joe Robinson,
Work to Live The Guide to Getting a Life
What might this mean to your companys bottom
line?
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Sabotage

• Intentional and unintentional
• Petty theft
• Malicious obedience
• Undermining perceived rivals

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86 of employees working in traditional
hierarchical organizations coped with that
culture by reducing the quality of their
work.Linda DuxburyCarleton University School
of Business
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Traditional Hierarchies Reduce Upward
Communication
When people are reluctant or afraid to bring up
problems or ideas

• Productivity suffers
• Decisions are made with insufficient data
• Serious problems go unnoticed
• The boss is the last to know

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Competition and Rivalry

• When people fight with one another
• less work gets done
• good ideas are kept hidden
• grievances increase
• HR professionals spend up to 45 of their week
  dealing with conflicts
• the cost to replace an employee who has to be
  dismissed because of conflict costs 160 of that
  persons salary
• companies dealing with conflicts through
  litigation might spend 10k to 30k to fix small
  problems
• if the employee leaves or files a grievance, the
  costs become huge

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Weve all tried to fixthese problems

• Many of our efforts have failed.
• Many training programs promise a lot but dont
  deliver.

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There are thousands of training programs.How do
you choose the right ones for your company?
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6 Biggest Mistakes in Choosing Training

• Quick fix
• Motivational programs with no staying power
• All theory - no skill development
• Hodgepodge approach
• Lack of follow-up
• Lack of accountability

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Mistake 1 Too short, looking for quick fix

• The need for speed (give me the 30 second
  version)
• Dependency (Give a person a fish)
• Illusion of low risk (doesnt cost much or take
  much time)

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Mistake 1 Contd.

• It is an illusion that shorter classes are always
• cheaper. Even though there may be higher initial
• costs with a longer class, if the participants
  are more
• thoroughly prepared to put their new skills to
  work,
• the long term cost will be less if you have to

• Do the training over
• Recover costs from poor implementation
• Overcome cynicism and skepticism generated by the
  perception that leadership is looking for
  Band-Aids instead of real solutions to problems

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Mistake 2 Motivational high initial
enthusiasm, no staying power

• The sugar buzz
• Everyone feels good but have not learned how to
  change their behavior
• Low retention
• Addictive

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...87 of theknowledge and skill acquired in a
training program is lostwithin 60 days after
training. Huthwaite, Inc., Building
Interactive Skills
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Mistake 3 No skills, no real change

• People learn what, but not how.
• The advice of You should listen to
• your people, doesnt tell you HOW
• to listen.

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Mistake 4 Hodgepodge, no system or model

• Training not connected to a clear business need
• Program-of-the-month syndrome
• Programs can teach contradictory ideas
• Piecemeal approach

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Mistake 5 Lack of follow-up

• The coffee cup and three-ring binder syndrome

You go to training and everyone knows youll
learn new buzzwords. They will be skeptical and
on guardtheyll watch to see if you act
funny. They may even sabotage your effortsyou
may be tempted to give up and say, This doesnt
work!
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Mistake 6 No accountability

• Its nobodys job to make it happen.
• Insufficient planning
• Lack of assessment
• Not measured

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People Skills Training

• Are leaders born? Or made?
• People skills can be learned.
• People skills are not just attitudes or
  attributes but specific behaviors that can be
  observed and measured.
• Organizations are systems of relationships.

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How do people learn a new skill? How do we
change our behavior?
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The Learning Stages (We refer to these stages in
our workshopsthe following slides will explain
them in more detail.)
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Unconsciously Unskilled

• You dont know what you dont know.
• The new material is completely unfamiliar to you.

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Consciously Unskilled

• You know what you dont know.
• You recognize the skill but you cannot perform
  it.

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Consciously Skilled

• You know you know it.
• You can perform the skill but it requires
  concentration.
• It still feels awkward.
• It is at this point that people sometimes give up.

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Unconsciously Skilled

• You use the skills automatically.
• They are integrated. You dont need to think
  about them.
• This stage comes only with many repetitions.

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How long should training take?

• Long enough to
• ensure understanding
• allow time for practice
• apply to real situations
• build confidence

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What should the content be?

• The content should
• address a clear business need
• be consistent with the organizations vision and
  values
• scratch beneath the surface
• hang together

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Why are skills important?

• Skills
• go beyond attitude change
• produce behavior change
• reduce dependency
• increase confidence and self esteem
• improve productivity
• improve relationships

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Why do you need an integrated model?

• An integrated model
• gives you the tools you need to address many
  problems
• helps you make good decisions about when and how
  to use the skills
• gives you confidence to put your skills to work

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Why is follow-up important?

• You are more likely to get lasting change.
• Your investment pays off.
• You reduce cynicism.
• You increase the credibility of the leadership of
  the organization.
• The new skills are integrated into the day-to-day
  routine.

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Why is accountability important?

• If people are expected to use new skills, they
  need to know how they will be measured.
• Measurement is a signal of the importance of a
  new skill.
• It creates an expectation that people will master
  the new skill (go through the learning stages).

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Imagine that your organizations leaders have the
people skills to build more productive
relationships.
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Imagine that you are the employer of choice

• People dont want to quit.
• They are productive in spite of problems.
• They volunteer for difficult tasks.
• They are willing to go the extra mile.
• Recruiting, hiring and training costs are lower.

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People want to come to work

• Absenteeism is low.
• People are healthy (less need for mental health
  days).
• Health costs are lower.
• People are fully present.

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The climate is positive!

• People are energetic and enthusiastic.
• People stick to their tasks.
• People are free to perform at a high level.
• People are creative and resourceful.

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a considerable body of research has shown
thatthe opportunity to participate substantively
is associated with reduced stress. Having
greater autonomy or control over ones job, in
particular, has been linked to lower incidence of
health conditions such as coronary heart
disease. Peter Berg Arne L. KallebergThe
Effects of High Performance Work Practices on Job
Stress Evidence from a Survey of U.S. Workers
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You can trust your people

• There is less need for supervision.
• Your leaders are seen as trustworthy.
• People want the organization to be successful.
• People spend their time being productive.

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Communication is effective

• Problems are identified and solved sooner.
• People speak up freely and honestly.
• Leaders have better information about the
  business.
• People make better, more well- informed decisions.

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There is a climate of cooperation

• People work as a team.
• People want each other to be successful.
• People are more productive on tasks that require
  teamwork.
• There are fewer grievances.

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A 10-year study published in 1996 demonstrated
that organizations that consistently practice
good people management create an environment that
reduces - even eliminates - significant workplace
stressors...have higher sales, profit, growth and
margins...Dennis J. KravetzPeople Management
Practices andFinancial Success A Ten-Year Study
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Companies that improved PMP (People Management
Practices) added on average 294 million in
profits per company, a gain of 60 over three
years. Dennis J. Kravetz People Management
Practices andFinancial Success A Ten-Year Study
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The Six Principles for Choosing Training that
Works

• Make sure that the training is
• long enough
• substantive
• skill-based
• based on an integrated system or model
• contains plenty of follow-up
• designed to hold people accountable

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Here is one solution that will reduce the cost of
people problems and increase productivity
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Gordon Training InternationalsPeople
Productivity Process
Leader Effectiveness Training is at the core of
The People Productivity Process, a six-step,
four-tool process that focuses on solving people
problems. Based on the pioneering work of Dr.
Thomas Gordon, this process is a proprietary
system that delivers measurable results,
increases productivity, reduces friction among
employees and leaders, and minimizes the damage
to morale and energy that are associated with
lingering, unresolved conflicts.
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The six steps of the process

1. needs analysis
2. pre-assessment
3. skills training course
4. e-newsletters, tips, assignments
5. post-assessment
6. follow-up

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Step 1 - Needs Analysis

• Together we will discuss your concerns and needs
  as they relate to your companys people problems.
• If appropriate, well introduce our process for
  solving them.

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Step 2 - 360 Pre-Assessment

• Assessments capture data from all angles --
  leader, his/her direct reports and boss.
• Focus is on the future, not the past.

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Step 3 - Skills Training Workshop

• Leaders participate in a comprehensive, intensive
  workshop.
• They learn to use and apply the communication and
  conflict resolution skills for solving their
  people problems.
• Its Dr. Thomas Gordons Leader Effectiveness
  Training (L.E.T.) program -- weve been offering
  it for over 43 years.

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Step 4 - E-Newsletters, Tips, Assignments

• Course graduates reinforce their skill training
  by practicing a specific skill each month via The
  Graduate Connection, a free e-mail service.
• Your newly-trained leaders can opt to meet
  together once a month to discuss and practice
  their skills.

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Step 5 - Post-Assessment

• At specific intervals after the course, both the
  leader and his/her direct reports and boss assess
  the leaders progress.
• An L.E.T. Trainer meets with each leader focusing
  on successes and areas that need improvement.

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Step 6 - Follow-up

• To ensure your companys training success, we
  will customize follow-up training specifically
  for your leaders to assist them in refining and
  integrating their new skills.
• Follow-up could include refresher courses,
  one-on-one coaching and/or consulting.

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Would you like to take the next step?
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Contact us
For more information about our People
Productivity Process and our L.E.T. Workshops,
call or e-mail us
1.800.628.1197, ext. 308workplace_at_gordontraining.
comwww.gordontraining.com