Tag Archives: Leadership

The Rise of the CEO

What if your organization’s CEO was the most trusted person among the staff? Among citizens in your community? In the United States or around the globe? If you are the CEO, what if it was you?

There are more than a billion mentions of CEOs on Google. CEOs going to jail. CEOs threatening to “axe” mediocre staff. CEOs who are the best performing executives in the world. CEOs accused of sexual harassment and misogyny. CEOs who are activist leaders. There are debates about the merits of female CEOs in a world overwhelmingly populated by male CEOs. There are stories of high-profile companies with low-profile CEOs. All manner of debate, conversation, and confounding analysis.

None of it explains the recently released 2019 Edelman Trust Barometer, which reveals trust has changed profoundly in the past year. People have shifted their trust to the relationships within their control, most notably their “employers.” Globally, 75% of people trust “my employer” to do what is right.

• 58% of employees look to their employers to be a trustworthy source of information about contentious societal issues.
• 67% of employees expect employers will join them in taking action on societal issues.
• 71% of employees believe it’s critically important for “my CEO” to respond to challenging times.
• 76% of the general population concur – they say they want CEOs to take the lead on change instead of waiting for government to impose it.

Uncertainty Is The Only Certainty

Stephen Kehoe, chair of the reputation practice at Edelman, points out that “in the face of heightened expectations on CEOs to step into the trust vacuum left by government, pressure is on them to do more – and quickly – to invoke a sense of certainty, reassurance and confidence with employees as well as the general public.”

If, as Kehoe writes, “CEOs must clearly also consider the significantly heightened expectations on them to be advocates for change in a world that is still confused and uncertain,” a critical question remains. How does a CEO lead in a world that is “still confused and uncertain?” As writer Kirsten Ludowig cleverly noted, “For CEOs, uncertainty is the only certainty.”

Michael Ventura’s new book “Applied Empathy, The New Language of Leadership.” explores the significant improvements in customer satisfaction and new business opportunities when companies deploy empathy as part of their overall product and service development cycles. Consumers are increasingly savvy about what makes truly great products and services. Under the right circumstances, when asked to contribute their ideas and opinions, consumers – residential and commercial alike – will happily share their insights.

The momentary discomfort of a cold toilet seat brought about several innovations to warm things up. The push to eliminate the use of toilet paper will drive others. The commercial application of automatic flush toilets, hands-free faucets, towel dispensers, hand dryers, and even those nifty paper dispensers next to the bathroom door, keeping customers from grabbing the door pull bare handed, reflect empathy for the concerns (and fears) shared by travelers, hotel guests, and consumers. While most of us believe our sense of empathy is well-developed, there are always lessons to be learned. The effort by U.S. airlines to shrink the size of the standard airplane bathroom from 48 inches to 24 inches wide may be distancing empathy for and from travelers.

Are Best Performing CEOs Empathetic?

Assuming empathy is a critical component of leadership, so too is performance. In seeking to assess the best performing global CEOs, Harvard Business Review (HBR) examined companies in the S&P Global 1200 Index. The top 100 roster is full of well-known brands from around the globe—Marriott, Salesforce, JPMorgan Chase, Disney, Northrup Grumman, Thermo Fisher Scientific, Microsoft, Accenture, and 92 other firms.

With the rise and potency of populism in the global political environment, business leaders are facing the reality of a range of dynamic business conditions. Whether it is government tariffs, a long-term trade war, or citizen push-back on tax incentives for corporate relocation or growth, CEO’s are finding fresh uncertainty.

The significant amount of push-back aimed at Amazon and its selection of a new HQ in Long Island City, New York further illuminates the point. Amazon was set to receive $1.2 billion in refundable tax credits and an additional $505 million grant assuming the company created 25,000 net new jobs in New York by 2028. The deal broke down over protests by  residents, unions, and political leaders concerned about increased housing costs, congestion, and the scale of the taxpayer funded incentives.

Asking HBR’s high performing CEOs for their take on how best to manage this and other uncertainty was instructive. JPMorgan Chase CEO Jamie Dimon pointed out that, “If you want the right public policy, you have to be an advocate…you can’t be parochial. You can’t talk only about that one little regulation that’s going to help your company. You need to talk about tax policy, trade, immigration, technology.” In other words, you need to build trust and that’s how you earn a place on the barometer.


Want To Be A Great Leader? Build Trust First!

Why Building Trust Makes Leaders More Successful

Building trust is hard, but there’s an unspoken goodwill supporting your success.

There is an amazing amount of trust, tradition, and protocol that surround the inauguration of the President and Vice President of the United States of America. The symbols of power are ever-present. Former Presidents, elected leadership of both major political parties, the United States Supreme Court Justices, Cabinet Secretaries and nominees, elected Representatives and Senators, Diplomatic Corp, Governors, Joint Chiefs of Staff, Honor Guards, military bands, motorcades, security teams, and government staff.

As the winner of the general election, the American people have placed their faith and trust in new leaders.

It’s a good parallel for you as a leader especially if you’re new to your post or working to overcome an organization failure. There’s an unspoken and perhaps unseen goodwill encouraging you in your leadership position. It emanates brightly from the moment you accept the post. Your job, is to keep that goodwill alive and healthy by building trust. New leaders sometimes overlook the enormous power of goodwill and the trust they have coming into a leadership role. That is a mistake.

Savvy leaders know that building trust is key to their own success and that of the organization they lead. Here are five things I’ve learned about trust in my leadership career.

Trust Requires Risk Taking

Whenever I have accepted a new leadership position, one of my first actions is meeting with the entire staff and then individually with every staff member starting with the person on the lowest rung of the organization. Oftentimes, that person is the janitor, receptionist or stock room clerk. It doesn’t matter. I want them to have the same opportunity as everyone else in the firm to see the new boss up close. It’s important I get to know them and share a bit about myself.  Finally, I want them to see they are an important part of the enterprise and more importantly that I see them.

Savvy leaders know that building trust is key to their own success and that of the organization they lead.

Trust, Like Respect, Must Be Earned.

It’s also true that your place as a leader will come with a loan of goodwill–funded by the “trust bank”–to get you started on your way. Don’t squander it. Expect your words to be parsed for meaning and your actions watched closely. One of my unofficial jobs as an association  Chief Operating Officer was explaining what our CEO really meant.
Trust and Leadership

His staff meeting edicts, shared news, or strategic pronouncements often met with much confusion among team members. Absent real trust, I became the “CEO whisperer” to staff, clarifying edicts and making meaning from his words. Being obtuse is not helpful to building trust with your team. As Warren Buffet reminds us, “It takes 20 years to build a reputation and five minutes to ruin it.”

When it comes to leading, your team, your members, your Boards, Committees, and stakeholders need to meet you.

Trust Comes From Being Authentic

I’m often asked for reading recommendations for leaders. Who’s the best to read? Peter Drucker? Tom Peters? Rosabeth Moss Kanter? Jim McGregor? Steve Covey? Bill George?  My answer is always the same. Carl Rogers. His book “On Becoming a Person” first published in 1961 provides exceptional leadership insight and guidance.
Written as a treatise for psychotherapists and counselors, Rogers explores the value and meaning of being authentic and the simple power of being oneself. You and your team benefit enormously from a willingness to lead with your best self. The comedian Chris Rock tells a dating joke that illustrates the point. “When you go out on that first date, you’re not meeting me, you’re meeting my representative.” When it comes to leading, your team, your members, your Boards, Committees, and stakeholders need to meet you.

Keeping Your Word Creates Trust

The greatest tool to engender trust, is to keep your word. My greatest leadership mishaps have come from not doing what I said I would. There’s never any malice behind my inaction. Oftentimes, I changed my mind after agreeing to something because upon further thought, it seemed like an unworkable or bad idea.

Saying “no” is almost always a better choice, if you cannot see a clear path to success.

If I agreed to do something under pressure, knowing the work needed to get done, the results were awful. Typically, after making these commitments I found my work schedule overloaded or worse still that I lacked the essential skills for achieving the goal. Poor choices. Worse results. Here’s what every CEO and leader has learned.

Trust, Leadership, Followers
Changing your mind after the fact isn’t a crime, but your trustworthiness will take a hit, especially if you delay communicating your change of heart. Saying “no” is almost always a better choice, if you cannot see a clear path to success. Sure you can take the occasional flyer, but not at the risk of you being viewed as untrustworthy. Don’t do it.

One the ways you take the lead here is to model the behavior you expect from your team.

When Trust Is Nowhere To Be Found

How can I trust you? We’ve all been let down by someone. The team member who misses deadlines.  The one who sows dissent and discomfort among the team. Those who lie, dodge, diffuse, and deflect responsibility. It’s all part of the human condition. But it’s not okay. When it comes to disruption save it for your latest innovations and product launches.

One the ways you take the lead here is to model the behavior you expect from your team.  When you sense a team member is being less than truthful, ask more questions. Dig in. Clarify the issues as you see it and ask them to do the same. Avoid blaming, shaming or shifting responsibility. Use “I”messages, like those developed by clinical psychologist Thomas Gordon famous for his Leadership and Parenting Effectiveness (P.E.T./L.E.T.) Training workshops.

Building trust is challenging work. Keeping it requires you to keep a critical eye on your own behavior and actions. It’s probably worth remembering Albert Einstein‘s thoughtful assessment. “Whoever is careless with the truth in small matters cannot be trusted with important matters.”

If Innovation Stops Will You Be Out of Business?

Innovation Wired 4 Leadership

Does innovation really matter for organizations? Is the pursuit of newer, faster, better, disruptive, radical innovation a meaningful goal for leading our organizations? How real is FOBO?

“Your company is out of business. You just don’t know it yet.”

If there’s one thing that should keep you and every other leader up at night,  FOBO is at the top of the list. That’s right–the Fear Of Becoming Obsolete. If that’s you, a recent GE study will give you some important insights about the state of innovation. The impact of innovation on both business and society is extraordinary. The ways you can leverage it to your benefit are even more so. Based on a survey of 2,748 business executives and 1,346 informed citizens the survey explores perceptions and ideas about the 4th Industrial Revolution.

“The Fourth Industrial Revolution is characterized by a fusion of technologies that is blurring the lines between the physical, digital, and biological spheres.”

The good news is that executives share a strong sense of curiosity and optimism about the future of the 4th Industrial Revolution. What exactly is the 4th Industrial Revolution? According to the World Economic Forum, the first industrial revolution used water and steam power to mechanize production. The second used electric power to create mass production. The third used electronics and information technology to automate production. The fourth is building on the third, the digital revolution that has occurred since the middle of the last century. Characterized by a fusion of technologies it is blurring the lines between the physical, digital, and biological spheres. Optimism about the digital revolution extends to leaders in more than 20 countries especially those in emerging economies who are feeling considerably more empowered than those in developed markets.

“Which leaves one to ponder the obvious question. Does having a clear innovation strategy matter?”

86% of executives surveyed believe advanced manufacturing  will radically transform the industrial sector. A majority of both executives and citizens believe these transformations will create a positive impact on employment. Interestingly every market shows a distinctive preference for incremental innovation, improving existing products and solutions versus breakthrough innovation (i.e.; launching products that are completely new and have the ability to disrupt their market.)

While 68% of executives report having a clear innovation strategy, 62% of them struggle to come up with radical and disruptive ideas. Oddly, those without a clear innovation strategy (32%) also struggle to come up with radical and disruptive ideas. Which leaves one to ponder the obvious question. Does having a clear innovation strategy matter?

Proctor & Gamble CEO David Taylor speaking at Chief Executive Magazine’s Talent Summit noted that “there are processes that a company gets enamored with.” Most all of us have had the experience of following a process that no longer delivers the results essential to customer needs and satisfaction. If you have processes that encumber people for an extended period they have a proclivity to take regardless of their efficacy.

“Only 24% of executives feel their company is performing very well at quickly adapting and implementing emerging technologies.”

There is general agreement (90%), among executives and citizens alike, that the most innovative companies not only launch new products and services but also create a new market that didn’t previously exist. Yet, there is a real risk of innovation being hampered as technology evolves faster than businesses can adapt. Bringing radical and disruptive ideas to life in 2015 turns out to be a  challenge among 76% of U.S. executives surveyed. That’s a 32% jump from in 2014.

Adding to this challenge only 24% of executives feel their company is performing very well at quickly adapting and implementing emerging technologies. Executives (61%) are learning the value of big data and beginning to understand that integrating analytics delivers better results and outcomes for their businesses.

“76% of executives believe talent acquisition remains the first innovation success factor. HR talent acquisition systems that are “turning off” applicants are creating a significant problem.”

Is the work and the worker of the future really changing? There is a growing notion among employers that the digital transformation is giving rise to the “nomad employee” — people that do not necessarily seek full-time employment, but favor freelancing or contracting modes. Jacob Morgan, a Forbes Magazine contributor writes about the seven principles of the future employee, noting they will have new requirements:

  1. Demand for a flexible work environment
  2. The ability to customize work
  3. Share information freely
  4. Use new ways to communicate and collaborate
  5. Options to be leader or follower as needed
  6. Free to  shift from knowledge worker to learning worker
  7. Learns and teaches at will

No matter whether it’s a nomad on a “gig” or a full-time employee, just less than half of employers and citizens believe the current education system is adapted to fulfill the private sector’s demand for new talent and skills. Given that 76% of executives believe talent acquisition remains the first innovation success factor, the disconnect between available talent and talent with the right education and skills remain significant problems. It’s difficult to grow a leadership commitment and conducive culture for innovation success when finding the “right” talent grows increasingly more difficult. Many question how much HR talent acquisition systems are “turning off” applicants and actually complicating and not easing identifying qualified talent thus fueling shortages.

“This is how work will get done over the next few years and it has already started in many organizations around the world.”

According to executives surveyed the six main attributes they are seeking in candidates include:

  • Problem solving abilities (56%)
  • Creativity (54%)
  • Analytical skills (44%)
  • Interpersonal skills (43%)
  • Long-term commitment (41%)
  • The ability to suggest improvements to the existing ways of working (40%).

Interestingly, only 27% of executives believe the candidate’s ability to navigate uncertainty with ease is a significant attribute. Ease or not, navigating uncertainty will surely be a part of everyone’s toolkit for years to come.

Does measuring outcomes instead of innovation make more sense? What are the greatest measurements of impact and success?