Published on March 7, 2014
“As iron sharpens iron, so one man sharpens another.”
Iron Leadership Presentation by Bill Bayer A large portion of the content of this presentation is derived from the writings of Marcus Buckingham and Curtis Coffman in the book First, Break All the Rules (Gallup Press, 1998) based on a study by the Gallup Organization. Bill Bayer | www.billbayer.net | 2014
Iron Leadership THE PROBLEM Bill Bayer | www.billbayer.net | 2014
The Problem To generate enduring profit, organizations must: 1. Attract 2. Focus 3. And Keep Talented Employees The most valuable aspects of jobs are the most essentially humans tasks: • • • • Sensing Judging Creating Building Relationships When someone talented leaves, they take their value with them. “One of the marks of greatness is the ability to develop greatness in others.” - J.C. McCauley Bill Bayer | www.billbayer.net | 2014
The Problem Most would agree that competitiveness depends on finding and keeping top talent in every role. Traditionally, retention efforts have focused on: - Stock options Country Club memberships Equity participation Defined Compensation Financial Incentives Other perks “People don‟t care how much you know until they know how much you care about them.” - John C. Maxwell Bill Bayer | www.billbayer.net | 2014
The Problem Great managers and great companies have not devised an accurate ay to measure a manager’s or a company’s ability to find, focus, and keep talented people There is a sense that leadership is required to build and run a successful organization Definitions of leadership usually focus on mastery of competencies and specific character traits A leader lifts ordinary people to achieve Bill Bayer | www.billbayer.net | 2014
The Problem Whatever its specific definition, most agree that there is a lack of one thing: Leadership. Leadership is the #1 issue for effective people management. “A great deal of good can be done in the world if one is not too careful who gets credit.” - A Jesuit proverb Bill Bayer | www.billbayer.net | 2014
Iron Leadership EFFECTIVE LEADERS Bill Bayer | www.billbayer.net | 2014
Key Leadership Attributes Set direction Image credit: morguefile.com Bill Bayer | www.billbayer.net | 2014
Key Leadership Attributes Mobilize individual commitment Image credit: public domain photo Bill Bayer | www.billbayer.net | 2014
Key Leadership Attributes Build organizational capability Image credit: morguefile.com Bill Bayer | www.billbayer.net | 2014
Key Leadership Attributes Demonstrate Personal Character Image credit: morguefile.com Bill Bayer | www.billbayer.net | 2014
Attributes & Results 1. Effective leaders act in ways that ensure results 2. Effective leaders connect attributes to results 3. Effective leaders balance attributes and results Effective leadership = Attributes x Results “Remember the difference between a boss and a leader: a boss says „Go!”; a leader says, Bill Bayer | www.billbayer.net | 2014
Focus on Results Ask: What results need to be achieved? How able am I to personally deliver results? What must I learn to deliver the results? What resources do I need to achieve results? “Don‟t equate activity with efficiency.” - Harvey MacKay Bill Bayer | www.billbayer.net | 2014
4 Essential Competencies 1. Commit to developing leaders 2. Have a process for developing leadership talent - Succession planning system Professional development 3. Define leadership attributes behaviorally - Make the numbers Live the values • • How leaders lead Leadership effectiveness survey 4. Use leadership competencies to build leadership ability in managers “If you can‟t face the music, you‟ll never get to lead the band.” Bill Bayer | www.billbayer.net | 2014
Iron Leadership BUILDING THE 3 C’S Bill Bayer | www.billbayer.net | 2014
The 3 C’s Capital Capability Commitment Bill Bayer | www.billbayer.net | 2014
Human Capital Human Capital = Employee Capability x Employee Commitment • • • • • • • Usually underutilized Can appreciate/grow Is portable Is often mismanaged Considers career differently Correlates with customer perception of the organization Draws everything together “Trust men and they will be true to you. Treat them gently and they will show themselves to be great. - Ralph Waldo Emerson Bill Bayer | www.billbayer.net | 2014
Building Capability 6 Ways to Build Employee Capability: 1. Buy – – – 2. Build – – 3. Partner with vendors, consultants, customers, suppliers Bounce – 6. Learn from other organizations Borrow – 5. Requires REAL leadership development Learn from the best Benchmark – 4. Limited talent available Risky Need “Wow” Remove poor performers Bind – Retain the best Bill Bayer | www.billbayer.net | 2014 “Dreams don‟t work unless you do.” - John C. Maxwell
Building Commitment: Traditional Approaches Measure it Productivity Climate assessments Employee retention Build It Flexible work arrangements – Make employees responsible Growth opportunities Tie rewards to results Recognition – Public affirmation – Community recognition “Pay the best the best” Compensation – – – – Competitive Salaries Incentives Deferred Compensation Stock options Bill Bayer | www.billbayer.net | 2014
Building Commitment: A New Approach The Gallup organization set out to determine what: – Attracts only talented employees – Keeps the best employees – Appeals to the best, the good, and potential the marginal “To love what you do and feel that it matters – how could anything be more fun?” - Katharine Graham Bill Bayer | www.billbayer.net | 2014
Building Commitment: A New Approach Gallup Measurement 25 years of research More than a million employee interviews Goal of process: – Differentiate between the loyal and productive employees – Differentiate between the average and marginal employees “I don‟t know the secret to success, but they key to failure is to try to please everyone.” Bill Bayer -www.billbayer.net | 2014 | Bill Cosby
Building Commitment: A New Approach Gallup’s Results Benefits, incentives, stock options, pay level, etc. did not differentiate The immediate manager is most important Twelve key questions differentiated successful organization - What do I get? What do I give? Do I belong here? How can we grow? “No one is useless in this world who lightens the burden of someone else.” -Charles Dickens Bill Bayer | www.billbayer.net | 2014
Building Commitment Stage 1: What Do I Get? 1. Do I know what is expected of me at work? 2. Do I have the materials and equipment I need to do my work correctly and productively? Bill Bayer | www.billbayer.net | 2014
Building Commitment Stage II: What Do I Give? 3. At work, do I have the opportunity to do what I do best every day? 4. In the last 7 days, have I received recognition or praise for doing good work? 5. Does my supervisor, or someone at work, seem to care about me as a person? 6. Is there someone at work who encourages my development? Bill Bayer | www.billbayer.net | 2014
Building Commitment Stage III: Do I Belong Here? 7. At work, do my opinions seem to count? 8. Does the mission/purpose of my company make me feel my job is important? 9. Are my co-workers committed to doing quality work? 10.Do I have a best friend at work? Bill Bayer | www.billbayer.net | 2014
Building Commitment Stage IV: How Can We All Grow? 11.In the last 6 months, has someone talked to me about my progress? 12. This last year, have I had opportunities at work to learn and grow? Bill Bayer | www.billbayer.net | 2014
Building Commitment The Twelve Key Questions All deal with “soft” issues Require leadership You must establish a relationship with your managers You must determine that they can lead You must lead your managers You must teach them to build relationships You must teach them to lead “Plant your feet on solid ground, and you will flourish as a leader of men.” - Unknown Bill Bayer | www.billbayer.net | 2014
Iron Leadership MANAGERS & LEADERS Bill Bayer | www.billbayer.net | 2014
Managers & Leaders Managers are not “leaders in waiting.” Most people are both leaders and managers. “The core activities of managers and leaders are different.” - Mel Usher Bill Bayer | www.billbayer.net | 2014
Managers &. Leaders Leaders Great leaders look outward • Competition • Future • Alternative routes • Broad patterns • Vision • Strategy Leaders concentrate on direction and motivation Managers Great managers look inward • Inside the company • At individuals • At different styles • At different needs • At different motivational levels of each person Managers focus on planning and implementation Bill Bayer | www.billbayer.net | 2014
Managers & Leaders What Great Managers Know The frog and the scorpion Some things can be taught, some can’t People are who they are “A great man is always willing to be little.” - Ralph Waldo Emmerson Bill Bayer | www.billbayer.net | 2014
What Great Managers Do 4 Activities of Great Managers 1. Select 2. Set expectations 3. Motivate 4. Develop “Great managers are catalysts.” Bill Bayer | www.billbayer.net | 2014
What Great Managers Do 1: Select the Right Person Search for talent 1. Define what the job requires 2. Develop list of competencies 3. Recruit internally and externally 4. Assess: Skills and knowledge 5. Evaluate: Attitudes and values 6. Observe: Behavioral style “Select, don‟t hire.” Bill Bayer | www.billbayer.net | 2014
What Great Managers Do 2: Set Expectations 1. Manager’s effectiveness is hampered by: 1) People don’t change much 2) Organization demands performance 2. Solution: manager must focus on the right outcomes 3. Benefits: 1) Performance = results achieved 2) Manager avoids micro-managing 3) Employees are encourage to take responsibility “You give me enough rope to be successful – or to hang myself.”.” Bill Bayer | www.billbayer.net | 2014
What Great Managers Do 2: Set Expectations Clarify outcomes: What do you get paid to do? What is right for the customer? What is right for the company? What is right for the individual? “Diligence is the mother of good fortune.” -Miguel de Cervantes Bill Bayer | www.billbayer.net | 2014
What Great Managers Do 3: Motivate Help identify strengths and overcome weaknesses Let them become more of who they are Put folks in the right roles Move or lose underperformers Invest your time in the best Break the golden rule: Treat each person as they would like to be treated. Don’t try to “fix” – it doesn’t work – – – – We can’t be anything we want to be Success will be limited if all focus is on areas of non-talent Too much focus on weaknesses dooms the employee The implied message is that the employee is at fault “A statue has never been set up in honor of a critic.” -Unknown Bill Bayer | www.billbayer.net | 2014
What Great Managers Do 4: Develop the Person Help them learn, grow, and get promoted Help each person find the right fit Avoid the “promote to manager” trap Unlink organizational position and pay Use broad salary ranges Create heroes in every role Invest in the best Link pay to: – – Value created The market price of labor “A statue has never been set up in honor of a critic.” -Unknown Bill Bayer | www.billbayer.net | 2014
Iron Leadership BECOMING A RESULTS BASED LEADER Bill Bayer | www.billbayer.net | 2014
Results Based Leadership 13 Ways to Be a Results-Based Leader* 1. Begin with absolute focus on results 2. Take complete and personal responsibility for results 3. Communicate expectations and targets clearly and specifically 4. Determine your personal contribution to improve your personal results 5. Use results to judge effectiveness of leadership practices 6. Commit to personal development 7. Know and use everyone’s capabilities and develop them 8. Experiment and implement constantly to improve performance 9. Measure key results and refine the measures 10. Constantly take action “Work hard and become a 11. Increase the pace of your team leader; be lazy and never 12. Seek feedback on how to improve succeed.” 13. Lead by example - Proverbs 12:24 *Derived from the list found in Results-Based Leadership by Ulrich, Zenger, & Smallwood (Harvard Business Review Press, 1999) Bill Bayer | www.billbayer.net | 2014
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