Long-standing leadership paradigms must be re-examined and adjusted given immense changes in technology, energy, competition, finance, and organization systems. Theories from the 1950s – 1980s dominate our analysis and practices. Certainly the tried and true frameworks remain valuable, but are they sufficient? We have new business models, complex markets, larger spans of control, and other disruptive forces challenging today’s leaders. What guidance can we offer to deal with these factors?

Personal Style and Skills

Personal style, group interaction, and communication practices were notable advances after World War II. This focus on the WHO of leadership encourages self-awareness and interpersonal mastery. After developing the leader’s personal mastery is fundamental. 

In the 1980s, the concept of proficiency, competence, and skill development highlighted personal talents and knowledge. Leadership development expanded by targeting a new aspect: job skills. Knowing HOW to do the job became a critical component not only to performance appraisal but also to career development and succession planning.

The Business Acumen Gap

Our perception of leadership centers on personal issues with how well a leader knows the job and people. With the exception of Peter Senge’s book The Fifth Discipline, which introduces systems thinking, the internal and external realities organizations face are overlooked. While businesses, governments and non-profit leaders struggle with achieving goals, our leadership models avoid the matter, except for the term business acumen. Which seems to be recognized in hindsight rather than preparing leaders decision-making wisdom, business judgment, or action planning.

CEO turnover due to miscalculations haunt many firms including:  HP, Home Depot, JC Penny, and Bank of America to name a few. However, poor decision-making resides at all leadership levels, not just the top. IBM’s The Future of Enterprise study in 2008 surveyed 1,100 global CEOs and found that the pace of change is expanding and there is a need for agile leaders. Carly Fiorina, Robert Nardelli, and Ron Johnson were successful in prior executive roles, and yet failed in a new and different leadership context.

Helping leaders determine the WHAT of leadership is key. Deciding what resources to allocate to a project, adjusting to new trends, reading the culture, validating assumptions about customers, and setting priorities that align energies requires business insight into the competing demands and multiple time horizons. Short-term goals might be rewarded on Wall Street but long-term consequences also play a crucial role. What must a leader consider to select the right action at the right time? Their career depends on their ability to flex and deliver sustained success. The path not only diverges in the woods, it also shifts in organizations.

Setting a Wise Course

Our personal approach to leadership cannot provide the flexibility, assessment of complex interactions, or ability to build a business case for change that organizations need. Leaders require a new dynamic framework that they can use to balance competing demands and juggle multiple stakeholder interests. 

John Dewey in his 1910 book How We Think identified six perspectives that when analyzed would produce effective decisions. In business terms these are:
     1. Creating new products or internal synergies
     2. Customer focus, market share, and competitive position
     3. Organizational systems,  policies and governance
     4. Quality, maximum return, and process improvement
     5. High performing culture and talent development
     6. Scanning for new opportunities and testing assumptions

Let’s just examine the last: checking assumptions. In the 1990s, mortgage bankers operated on the assumption that home prices would never fall more than 5%. Therefore, a 95% mortgage was viewed as a reasonable risk. While we all recognize the flaw now, identifying it earlier would certainly have benefited many financial institutions.

Unlike the personal approach to leadership, the outcome or WHAT focus can be mastered quickly. Much like the quality check sheets, having a list of questions addressing internal and external realities boosts a leader’s ability to make wise choices. Reviewing key questions in each of the six mindsets permits effective data collection and effective analysis of the trade-offs. Identifying alternatives and weighing them must precede selecting a decision, goal, or action.  

In a world of change, a reality or contingency framework must be constantly tested to stay on track and ensure success. Wise decisions can run into detours. Like a GPS system challenging us when we veer off course, these six mindset questions can also be used to “recalculate” our decisions and ensure we get to our intended destination.
 

Organizational Culture and Policy Change

Attention to measures, accountability and efficiencies have dominated organizational initiatives in the last few years. Innovation thrives on exploration, curiosity and discovery, rather than productive performance. It takes time to identify new options or synergies. Google and 3M are known for providing some of their employee’s discretionary time. How much time are you willing to provide? Which employees would be eligible? Can you shift from a short-term mindset to a longer time frame to develop and test those ideas? What changes to your reward system are necessary to support and maintain innovation?

Change in Leadership Practices

A leader’s role is typically defined as setting goals and measuring performance. While coaching and analytical thinking have been added in the last decade, leading for innovation requires additional skills. Engagement, risk taking, supporting setbacks and building resilience have become critical to innovation. 

Overcoming the fear of failure or the stigma attached to anything less than stellar success stems from leaders who are willing to challenge thinking and insist on asking hard questions. One leader I worked with had a practice of starting each staff meeting with the question: What mistake have you made and what have you learned from it? It certainly set a standard for creative thought. Great ideas can come from any part of the organization. What are you doing as a leader to support the probing questions and assumption testing? You might be surprised what a brand new team member might ask and the opportunities those questions open.

New Support for Collaboration and Cross Functional Teaming

Did you know that the Wizard of Menlo Park, Thomas Edison worked with a team? In fact, several of his patents included the name of his teammates. While we have the image of the lone inventor, innovation thrives in teams. Cross-functional teams have one of the strongest track records for innovation. Combining engineering and medicine has provided breakthroughs in cardiology, orthopedics and more. The field of bioinformatics is just one example of how new fields of study can arise at crossroads of traditional functional definitions. What kind of teaming are you relying on? Is the team’s culture based on competition or collaboration? Is it siloed in one functional area or expanded across areas of expertise. And, how is teamwork rewarded?

Stand Up for Cancer Research efforts (SU2C) have demonstrated how the hero inventor must be transformed into a more collaborative effort not only across disciplines but also across organizations. Instead of researchers striving to be singled out for a Nobel Prize, the need to digest a torrent of data and complex interactions mandates a different approach across research centers. How can leaders build teams, overcome turfdoms, and create collaboration to identify new opportunities and solve intricate problems?   

Is Innovation Worth the Price?

Recognizing the fact that there is a cost associated with innovation, does not mean that the costs outweigh the benefits. The pay-off in market leadership, new business models, product introduction and extension, service to customers and personal significance more than compensate for the adopting the quest for innovation. Just because a lunch is not free, does mean that you forgo the meal. It can still be a delicious delight.

However, the salute and execute approach can be very helpful. During a crisis, the use of command power saves lives and organizes action. In the case of Hurricane Sandy or another critical safety issue, the use of a command is a natural, effective, and reasonable approach. 

Moviemakers create our superheroes. From Iron Man to Superman or Spiderman, they give directives to help others. We also associate command power with movie villains, from Darth Vader to the Godfather. In the Lord of the Rings, the search for the one ring of power pitted the good Hobbit Frodo again the lidless eye, Lord Sauron. Their dictates and motivation stem from greed and ego.

Command power: decisiveness, direction, and clear expectations

Despite a negative reputation, command power can aid others, create positive outcomes, and direct needed resources to the most critical problems. Medical triage might be one example. Doctors yell assessments about who should be treated first.  The other medical staff follow their directions and save lives.   

While events like the 2009 crash of US Air 1549 happily do not happen as often as medical triage, it highlights again the benefits of command power. When the geese hit the engines shortly after take-off,  Captain Chesley “Sully” Sullenberger landed his disabled plane safely on the Hudson River. His decisive actions saved 155 lives.

In the corporate world, command power can provide clear goals and initiatives, create standards, align energies, and ensure high levels of performance.

There is a downside to using command power when the situation does not warrant it. This impersonal approach can create passivity, low levels of risk taking, and withholding information. It can also breed fear and crush personal motivation.

Authority power: clarity and unity vs. bureaucracy

Organizations grant authority power by title, position, and office space. Pay and  perks including furnishings are metered out by position and title. In some organizations people of a specific rank prefer to speak only to those of an equal rank or higher. 

The popular series Downton Abbey lays out the hierarchy not only upstairs but also downstairs. The “this is the way it is to be” approach clarifies the chain of command and responsibilities without regard to personality or personal connections. 

With military, police, fire and medical staff, uniforms are a part of their authority. But even those without a uniform feel the role they play when they accept a title. Each title – professor, board chairperson, or elected mayor – has a role to play. Each recognizes the duties and obligations that accompany a position.

Organizations tend to use authority power to ensure appropriate decision review, set a direction or goal, and create unified action for goal achievement. However, authority power can become a morass. In one organization, there were seven signatures up the chain of command required to hire a security guard. Other war stories about approving travel reimbursement or multiple rejections of key decisions due to the submission of a proper form become part of an organization’s lore. It also creates a cumbersome bureaucracy that creates barriers to success.

The election of Pope Francis offers interesting insight into authority power. The pope has infallible power and substantial public and private obligations. In the first month after his election, there are signs that he will break from some traditions and practices as he sets a model of humility and service. It just may be that a pope can serve just as well as pope without wearing red shoes.

When those in authority rely on authority all the time, they are playing a dangerous game. The trump card of authority has its limits. It cannot produce commitment, loyalty, or develop future leaders.  

To use power effectively it must match the situation. While it might be tempting to rely on one or two power levers, all seven must be in your tool kit. What are the signals you observe that tell you when to use which of the power levers? Share your thoughts in the comments below.
 

Expanding recognition power enhances engagement, satisfaction, employee retention, collaboration, innovation, performance. Why would a leader neglect such a powerful leadership tool? Too often recognition is confused with tangible rewards so the short- and long-term benefits are missed.

Let’s explore the potential behind recognition power.

What is recognition power?

Some leaders think recognition is limited to tangible rewards – a bonus, a raise, a promotion – and consequently ignore the intangible power of praise and recognition.

One leader told me, “They get a paycheck and an annual review, that’s enough recognition.” News flash: These are not enough. In a 2010 Harvard Business Review brief researchers Teresa Amabile and Steven J. Kramer explained that most people today are motivated by a sense of progress. In particular, the  younger generations – the Gen X’ers and Millenials – thrive on constant praise, recognition and feedback.

Without recognition, high performers revert to being average. If excellence receives little response, why put effort into any task?  Why use discretionary effort or display initiative?

Benefits and examples of recognition power

Recognition takes time rather than money. It can actually be quite easy. The following are some effective examples I’ve seen implemented to achieve different results:

1.     Recognition from customers

A study of nurses found that hand written thank you notes was the most meaningful recognition possible. For call center customer service representatives,  it was a weekly printout of voicemail surveys praising them.  

2.     Recognition from the team

Instead of relying on management to recognize performance, the team can provide timely and specific recognition. One director I’ve worked with would have a quick, five-minute meeting on a Friday afternoon and ask, “Who helped you this week?”

When someone spoke up the person they thanked was given a Klondike bar – a Klondike bar!   The simple act boosted engagement and created a culture where the staff recognized each other.

3.     Recognition as respect

A labor dispute was brewing because a plant leader didn’t say a simple “hello” to his workers. Many in the workforce interpreted this as disregard. The simple act of informing an introverted manager of how his action was being interpreted changed the tone and contributed to improved trust, respect and communication.

4.     Recognition as visibility and pride

Another form of recognition is when a worker’s performance is recognized by upper management. For example, when an employee prepares a key report, recommendation, or suggestion, he or she should have his or her name on the report or be asked to attend the meeting wherein it is presented. This not only offers intrinsic pride but also increases confidence and sustains excellence. 

5.     Recognition of innovative thinking and initiative

Organizations require innovation to stay competitive and effective. If you want to foster a culture of innovation in your organization, then you must recognize initiative, not just outcome. One leader would start her staff meeting by asking, “Who has tried something new?” This simple question set an expectation that out-of-the-box thinking was important, even if the idea was not a slam dunk success. After all, the Lisa computer was the precursor to the Mac. We have to recognize those who overcome any fear of failure by speaking out, by engaging people and issues, and by proposing new solutions and alternatives.

While recognition is not currently a common practice, it is one that sustains performance, encourages thinking, and supports initiative. Recognition has a return on investment that every leader must recognize. What additional approaches or techniques have you seen or used to recognize others? Share your ideas in the comments below.

Every relationship starts with an introduction and a period that might be dubbed the “get to know you” stage. It is when we learn small tidbits about another person’s background, skills, and experiences. Some people enjoy working a crowded room, displaying a mastery of the fine art of networking, while others intermingle more cautiously.  Whatever the speed, the ability to make contacts and new acquaintances expands our personal or Linkage power.

Linkage power stems from conferences, cocktails, social media, etc. and is marked by the exchange of business cards or contact information. These connections are beneficial but restricted. The “mileage” is limited to other surface connections.
 

Translating the typically superficial linkage connection into Relationship Power takes time, respect, and mutual exchange. Only then can you really “count” on another person or group. The benefits of learning to effectively foster Relationship Power include: increased job satisfaction, improved team spirit and loyalty, and the sharing of insights and information.
 

Cultivating a relationship entails iterative interactions that increase comfort and deepen a sense of mutual ties. Commonalities are discovered and differences respected as connections are transformed into relationships. Evidence of relationship power varies from a mentor who offers guidance, a team member who has your back, or a colleague who gives you a heads up. In addition, there is a sense of reciprocity in a relationship.  Favors are returned, increasing the strength of the bond. Going above and beyond the call of duty to help another is the hallmark of a solid relationship.

If you are interested in expanding your personal power, here are a few tips to help you build both Linkage and Relationship:

6 Tips for Enhancing Relationship Power:
     1.     Show sincere interest in another’s ideas, initiatives, and successes
     2.     Listen to concerns and suggestions while exploring potential solutions
     3.     Take time to connect on a professional and personal level
     4.     Maintain personal contact
     5.     Request feedback and input
     6.     Demonstrate respect personal values and/or cultures

Those who exercise Mastery Power are recognized and highly valued. Mastery Power even And, it operates independently of formal titles. There are some without a prestigious rank that are sought out for advice.

Mastery provides insights that not only enable better decision-making but also reduce risk but this cannot be attained overnight. In fact, it may take as much as 10,000 hours of practice to be a true master. This may seem extreme, but take for example the historic guild system. There was a progression from an entry-level apprentice to journeyman before being recognized as a master and the same is true today. It takes time and effort to develop the skills necessary to begin exercising Mastery Power. Whatever the investment of time, training and practice, it pays off.  

The benefits of Mastery Power include the ability to:

While we all realize the benefits, many organizations face the problem of losing mastery through retirements or the loss of key talent. How is your organization developing Mastery Power? Are those who currently have Mastery Power mentoring and coaching others? Are your current masters stuck operating in a tried and true universe?

Our complex and changing world requires more mastery than ever before. What are you doing to develop your mastery? What are the areas you foresee a need for mastery in the future?  What can you do to help others develop their mastery? 
 

We have all heard the saying, “You can’t fight the system.” But the truth is: systems are powerful and useful. You can exhaust yourself by continually struggling against it or you can learn to effectively leverage system power by understanding system nuances.
 

A system can be defined as “a group of interacting, interrelated, or interdependent elements forming a complex whole.” Translated this means that systems include the organization’s structure, policies, rules, standard practices, established processes, and plans. While they may be documented and fairly consistent, you can still use them to influence action, impact decision-making, and align activities.
 

The research conducted by Enterprise Management indicates that the system power lever is the most widely used type of power in both business and government. Constructive use of systems levers include:

Power Paradigm

Power, as many view it, is limited so it must be preserved and never diluted. A limited pie that only has so many servings. It is for the aristocrat, the superior, the wealthy, the elite, the titled and the cagey. This self-serving definition expects nothing more than ill intentions, misuse and abuse. The result is that power becomes the elephant in the room that no one acknowledges. Ignoring and banning the topic does not solve the problem or erase the harm. Certainly the misuse of power comes at a cost but what is the cost of prevalent powerlessness?

The Problem with Powerlessness

Powerlessness puts you in a box. It limits you to a salute and execute mentality. When you are powerless you have no sense of ownership, you have limited job satisfaction, you have no room to show initiative and are less productive. One who lives in powerlessness lives by a list of shoulds: “you must do this at this time,”  “you should produce that,” “you should…” Powerlessness seeps into the crevices of an organization, slowing its momentum and sapping commitment. Powerlessness keeps organizations and individuals alike stuck in the past and in a rut. So what is the alternative?

Power is Energy

We need to re-define and understand power as the “ability to act or produce an effect.”  Like electricity, power moves us and enables us to perform. It aligns interests and gains support, which is the essence of leadership. It enables choices, builds confidence, and increases agility in the face of change. Power stirs calm and vital energy beyond anything bestowed by a formal title or position. It is an awareness that the ability to impact results, sway decisions, and respond to change is accessible to everyone. It is knowing YOU can make a meaningful contribution. Innovation, initiative, discretionary effort, and ownership stem from a personal sense of power.  Since power is leadership, we need to encourage both the training and application of effective power.

Pushing Past the Past

Embracing power means moving from the realm of shoulds into the realm of coulds: “I could do something different,” “I could enable, enlarge, expand, innovate…” It begins by employing a new power mindset. The great Greek mathematician and physicist Archimedes famously stated, “Give me a place to stand and a lever long enough and I will move the world.” If he could think he could move the world, what is it that you could do? Once you understand how to apply your power you can also leverage your influence to move what appears to be immobile. You just need the right tools used in the right way. 

I believe there are seven power levers that provide a path for you to move from should to could:

A true leader who understands power will know when and how to exercise each of these levers for optimal success. Over the next seven blogs we will begin an in-depth exploration of each and how you can use each lever to effectively wield your power.