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BlogLeadership

Emotion, Humility, Humanity

by Ron Potter January 21, 2021

Howie Mandel, the comedian, identified these three traits of people who changed the world.  More than a comedian, I have always found Howie to be a deep thinker as well.  These were identified in a youtube video by Howie.

Emotion

We often think of emotion as something inside of us and very personal in nature.  In fact, it has more to do with communication.

Even as I work with a team that has developed an app for being a better team, it seems like every day we find ourselves talking about how we should communicate with people who may be interested in our app.  We talk about communicating with emotion.   If people don’t feel the message, if our words don’t invoke a deep connection, they’re just words.  A software app lends itself to communication with logic but people seldom remember logical statements.  They decide right from the beginning if they agree with the logic or not.  If they agree, then they don’t feel like they’re learning anything new.  If they don’t agree, the words are almost immediately shut off and seldom remembered.  Communicating with logic doesn’t create much movement.

Communication with emotion creates a deep need to listen and learn.  Emotion is about communication.

Humility

Humility should not be a new concept to you, the reader of this blog.  We’ve talked about the need for humility many times.  It is number one on my list of great leadership traits.   Humility says we’re all in this together—let’s figure it out together!  Lack of humility is ego.  Ego says “I have all the answers—listen to me and do what I say.  I’m smarter than you.”

Humility says I don’t have all the answers.  Humility wants to know what the other person thinks and gives that information equal status. They may have a better idea.  They certainly have a point of view that makes others think and see things in a different way.

Humility listens to other people with the intention to understand.  People feel heard.  It makes people want to be more of a participant.  Humility is powerful.

Humanity

I’ve written in previous blogs about an exercise I used when working with teams.  I called the exercise “Human beings, not human doings.”

I always started the session with a couple of simple rules:

  1. Listen with the Intent to Understand.  You could ask questions, but only to clarify or increase your understanding.  No advice was to be offered, just listen.
  2. Put away anything you may have in front of you: papers, reports, and most importantly phones.  Pay attention to the other person.

The process was simple.  I asked each person to share a person or event that has deeply shaped their values.  We never ended a single meeting without tears.  It deeply affected people.  They were being Human Beings.  It was not about what they did or what was their title.  This was exposing their humanity.

These three things: Emotion, Humility, and Humanity were three traits that Howie Mandel claimed were possessed by people who had changed the world!

I agree. We may define your world as your team.  We may think of an impact on the whole world.  But without these three, you don’t have a chance to influence either.

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Blog

2020: The top 10 REVIEW – Part II

by Ron Potter January 14, 2021

Last week we looked at the Top 10 most popular posts from 2020, specifically #10-6. This week, we’ll finish the list by looking at the Top 5.

#5 – Culture: Involvement – Adaptability

Adaptability and Involvement are the two quadrants that make up the left side of the Denison Culture Chart.  This side of the chart identifies “Flexible” cultures.  Cultures that adapt well.  Cultures that respond quickly to customers and markets…  continue

#4 – Character vs Competence

Bob Quinn in his book Deep Change introduced us to the concept of the “Tyranny of Competence.” This is a person that is so good at the skills of their job, leaders will tend to overlook their other flaws in character… continue

#3 – Being Humble is Being Down to Earth

It doesn’t seem to make much sense, but truly great leaders are humble.

The problem comes with how the word is normally used: Humble is thought to mean shy, retiring, unobtrusive, quiet, unassuming. Being humble can seem weak or, horrors, even borrrrrrrriiiiiiinnnnngggggg… continue

#2 – Opposite of Victim

Some people I’ve worked with have what we might think of as that victim mentality. The Leadership Style instrument I use (LSI from Human Synergistics) measures two areas titled Dependent and Avoidance that collectively describe a style that starts with the assumption that they are the victim in most circumstances… continue

#1 — Performance vs Trust

Those are not my words.  Those were spoken by Simon Sinek.  If you have not discovered Mr. Sinek, look up his website.  I read him and Share Parrish more than any other blog writers out there… continue

And now we’re ready to begin to learn more about teams, leadership, and cultures in 2021. Thanks for reading my blog in 2020.

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Blog

2020: The Top 10 REVIEW – Part I

by Ron Potter January 7, 2021

It’s good to have 2020 behind us. But before we completely settle in to 2021 and the new possibilities of this new year, let’s take a look at the posts with the most traffic from the year that was 2020. So this week, we’ll review #10 – 6 of Team Leadership Culture’s Top 10 posts.

#10 — Culture: Consistency – Core Values

In just about every company I’ve worked with over the last 30 years, their values were printed somewhere. Some times they’re in the employee handbook or other printed document but the majority of the time they’re printed in a beautiful art form on the front wall in the reception area… continue

#9 — Culture: Consistency Summary

The last quadrant of the Denison Culture survey is Consistency, “Does your system create leverage?”

We first introduced the mechanical image of leverage when we introduced the “fulcrum” of Consistency.  Most people have seen or heard the quote from Archimedes when he said: “Give me a lever long enough and a fulcrum on which to place it, and I shall move the world.”… continue

#8 — Culture: Involvement – Empowerment vs Delegation

Last week my blog post spoke of Empowerment in great cultures.  I need to take a short side trip here to talk about the differences between the words empowerment and delegation.  I’m not going to suggest that the words need to be used differently than they are today, that would be too large of a task…  continue

#7 — Circle of Influence – Part II

I was a little surprised by the number of comments and feedback I received recently about the Circle of Influence post.

The point was to be perfectly clear about the part of the organization you can influence versus those you can’t influence even though you may have concern for what’s happening or not happening “over there”… continue

#6 — Absurd!: The More We Communicate, The Less We Communicate

I’m continuing my series on an in-depth look at a wonderful little book that’s twenty years old this year.  The title is “Management of the Absurd” by Richard Farson.  You may want to consider dropping back and reading the previous blogs about ABSURD!  I think it will put each new one in great context… continue

Next week, we’ll take a look at the five top posts from 2020.

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BlogCulture

Growth Mindset

by Ron Potter September 17, 2020

Fritz Seyferth is a great friend of mine and a wonderful executive coach and counselor.  He promotes Growth Mindset as the first requirement of great leadership.

I recently read a short article by Andrew Cole titled “Adopting a Growth Mindset”  on Linkedin.

Growth Mindset vs Fixed Mindset

Andrew talks of a Growth Mindset with a quote: “Failure is an opportunity to grow,” and a Fixed Mindset as “Failure is the limit of my abilities.”  I think these are excellent summaries of each mindset.

Andrew also does a great job of using short statements to help you understand each mindset type.

Growth Mindset

  • I can learn to do anything I want
  • Challenges help me to grow
  • My effort and attitude determine my abilities
  • Feedback is constructive
  • I am inspired by the success of others
  • I like to try new things

Before I list the points of a Fixed Mindset, review each one of these in a silent moment of reflection.  Do you fully believe one, some, or all of them?  Are there elements of each that you don’t believe you possess or could accomplish?

Think about them for a minute.  Think about them over time.  Write down your thoughts and answers. (There’s something about writing that solidifies ideas and brings your thoughts to life).

Can you really learn anything you want?  As I thought about that one I felt there were things I couldn’t learn.  As I thought about them more, I began to realize they were things I didn’t want to learn.  Why not?

  • Was I afraid I couldn’t learn them?
  • Did I really see no use for them in my life?
  • If I was able to learn them, would that enhance my life or open new doors for me?

As I began to think about the answers to these questions, I realized that I had to be very clear about what I did want to learn in my life and why.  Where was I headed?  Was I stuck?  How would I rate my happiness level?  Am I spending my time working on things that are meaningful to me now or will be in the future?  All of that from examining one simple statement.  That’s what a Growth Mindset can do for you.

Fixed Mindset

  • I’m either good at it or I’m not
  • My abilities are unchanging
  • I don’t like to be challenged
  • I can either do it or I can’t
  • My potential is predetermined
  • When I’m frustrated I give up
  • Feedback and criticism are personal
  • I stick to what I know

It was fascinating that as I wrote each one of these statements the name of another person came to mind.  I could quickly and easily see the Fixed Mindset attributes in others.  As with many things, it’s easy to see things in others and difficult to see them in ourselves.

But don’t just skip over these Fixed Mindset Attributes.  Just like the Growth Mindset, examine yourself.  It’s likely you’ll learn more than you did when you questioned the Growth Mindset attributes.

Learning About Yourself

One of the statements that Andrew Cole makes in his article says,

In adopting a growth mindset, my worries about my perceived intelligence or abilities have dramatically dissipated.  I no longer value my ‘self-validation’ in the world.

I’ve realized how to ask better questions.  Questions framed to generate conversation as a means of establishing trust with others.  (italics are mine)

The subtitle on Fritz’s home page says

FS/A elevates leaders and connects individuals and teams to their purpose to positively alter the trajectory of organizations.

Growth Mindset

Do you have a growth mindset?  Do you need a growth mindset? Only if you want to be happy. 😉

  • Examine yourself
  • Check out the LinkedIn article and what else Andrew Cole might have to say.
  • Contact Fritz at FS/A to get you and your team on a Growth Mindset trajectory.
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BlogTeam

Overused Teamwork

by Ron Potter July 9, 2020

Team Leadership Culture: Teams first.  I’m a big fan of teamwork.  However, when it creates an overcommitted organization and conflicting priorities it is counterproductive.

The foundation of this post was inspired by a Harvard Business Review article, The OverCommitted Organization, written by Heidi K. Gardner and Mark Mortensen.

The Overcommitted Organization

In the article, they talk about the dysfunction that can happen when people are assigned to too many teams at the same time.  They break it down to the following pros and cons:

PROS: By assigning people to multiple teams at once, organizations make efficient use of time and brainpower. They also do a better job of solving complex problems and sharing knowledge across groups.

CONS: Competing priorities and other conflicts can make it hard for teams with overlapping membership to stay on track. Group cohesion often suffers. And people who belong to many teams at once may experience burnout, which hurts engagement and performance.

Increased Pros or decreased Cons

So now we face the question: Is it worth increasing the PROS at the expense of decreasing the CONS?

My answer is a clear NO!  Look in more detail at the expense of the CONS.

  • Difficult to stay on track.
    We have looked at the cost of distraction many times in this blog.  Our social media and instant communication can and will negatively affect productivity.
    In fact, we can become so distracted on a regular basis that it reduces the brain’s ability to concentrate and think deeply.  These are two features that we need more today than ever!
  • Group cohesion often suffers.
    Without group cohesion, there is no team!  Teams that tell each other the truth with respect and fully commit to team goals (regardless of personal or department goals) is at the core of great organizations.  Group cohesion is essential!
  • Burnout.
    People who experience burnout experience reduced energy, brainpower, commitment, drive, and many other aspects that make them top performers and good team members.  Avoid burnout!

PROS

In my mind and experience, the list of pros is actually cons.

  • Efficient use of time
    It’s been proven that the only people capable of multi-tasking are highly trained fighter pilots.  And even these highly trained individuals are not capable of transferring the multi-tasking beyond the cockpit when their life depends upon it.
  • Brainpower
    It’s also been proven that teams function better when multiple brains are open about a problem or situation.  However, using “one” brain across multiple teams does not increase multiple team’s “brainpower.”
  • Solving Complex Problems
    Complex problems are solved with deep thinking and moving in and out of team subgroups.  Complex problems are not solved by having one brain on many teams.  In fact that leads to burnout and reduces the ability to solve complex problems.

The Overcommitted Organization

Don’t misunderstand, I’m not opposing what Gardner and Mortensen are stating in their article.  In fact, they use experience and solid research to prove their points.  And, they reach the same conclusion that I did.

One paragraph right near the middle of their article says

Launch the team well to establish trust and familiarity. When fully dedicated to one team, people learn about their teammates’ outside lives—family, hobbies, life events, and the like.  More important, it forges strong bonds and interpersonal trust, which team members need in order to seek and offer constructive feedback, introduces one another to valuable network connections, and rely on one another’s technical expertise. (Italics are mine)

This is a powerful conclusion that reinforces everything I have learned and experienced.  Teams that establish trust and have an environment of constructive feedback are the most beneficial.

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BlogCulture

Manage people like Money?

by Ron Potter June 11, 2020

An Harvard Business Review article was titled “What If Companies Managed People as Carefully as They Manage Money?”

I like the idea because most companies focus a lot of their effort on how they manage money, projects, profitability, and skillsets.

I don’t like the idea because I don’t think we should manage people (It puts them in the same category as the money, projects, profitability, etc.)  We should be leading people, not managing them.

IPO Preparation

One of my consulting clients was a high-tech firm that had decided to do an Initial Public Offering (IPO).  This means they were moving from a privately held firm to a publicly held firm with shareholders.

They needed to convince investors to put some of their hard-earned money into the new firm, assuming it would generate a reasonable return.

Investment Bankers

There is a sub-set of the banking industry (Investment Bankers) that is solely focused on IPO’s.  Once the Investment Bankers were chosen, the company put themselves in the banker’s hands in an effort to generate early and adequate investment.

So what did these bankers focus on?

The finances? No!
The quality of the leadership?  No!
The competition?  No!

These Investment Bankers focused on the “story.”  What was the story of the company?  What did the story tell the potential investor about the future?  Was the story compelling enough that people would actually depart with their money and invest with the company?

IPO Preparation

The Investment Bankers sent in a team of presenting coaches to help the CEO and CFO prepare to meet potential investors.

For weeks they concentrated on the story.  Was it complete?  Was it compelling?  Did it explain all the required changes and growth for the company?  Would people be willing to invest in this company?

Roadshow

All of this was to prepare these two top officers for the “roadshow.”  Over the next several weeks they would move from city to city, meet with a small group of investors and hopefully, capture their hearts and minds enough that the Investment Bankers were able to obtain commitments to invest.

Then the Investment Bankers made a statement that made me sit up and take notice.

You have 30 minutes

They told the CEO and CFO that if they didn’t capture the hearts and minds of the potential investors in 30 minutes, they were lost for forever.

30 minutes!  They had 30 minutes to get people to invest their money.  If it wasn’t compelling enough in the first 30 minutes, they didn’t have a second chance.  They would be lost forever.

Invest more than Dollars

Then I began to think about the employees.  What are we asking them to invest?

Money?  In a sense yes.
Time?  Yes.  Be here on a regular basis.  Be willing to cover any shift.  Be willing to work overtime when necessary.
Effort?  Be the best.  Go the extra mile.  Work hard and harder.
Brain?  Be quick.  Be innovative.  Be smarter than the competition.

Invest More

In short, invest more than just dollars.  Much more!

If we were willing to build a complete and compelling story about the future of the company for someone who will invest just their dollars, why are we not willing to generate even a better message for those willing to invest a lot more than just their dollars?

Investor not Asset

We often hear CEO’s and other top executives speak of employees as their most valuable asset.

I have assets.  My computer is an asset.  I’m willing to upgrade it, add more memory or space, install a new operating system.  But at some point I say enough-is-enough and I purchase a new computer.

Do we really want to think of employees as an asset?

But, if you think about them as an investor, then you need to be willing to give them your best.  You must have a compelling explanation of the future and how you’re going the get there.  If you can’t express that clear, well thought out future, why would employees be willing to invest their time, effort, and intellect?

Think of your employees as investors, not assets!

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BlogCulture

Open vs Closed Minded

by Ron Potter May 28, 2020

Why is it that some people seem to make constant progress in their professional and personal lives, while others appear to be doomed to repeat the same mistakes over and over?

While the answer isn’t cut and dry, I’ve noticed an interesting mindset difference between these two groups: they approach obstacles and challenges very differently. It comes down to mindset.

Successful people tend to approach life with an open mindset — an eagerness to learn and a willingness to be wrong. The other group digs their heels in at the first sign of disagreement and would rather die than be wrong.

—Shane Parrish, Farnam Street Blog

Business journalist and television personality, Suzy Welch talks about two qualities necessary to get ahead:

1. Grit
Inevitably you’re going to receive some tedious assignments. Completing them with a positive attitude, Welch says, is something your boss will notice.

“Grit is getting the job done without complaint,” Welch says, “especially in challenging situations.”

To show grit, don’t give up when the simplest solution isn’t an option. Be creative and show resolve in completing the assignments you’re given. Welch says a boss can identify grit in an employee who demonstrates “perseverance, resolve, creativity, and the ability to just figure it out.”

“Grit is a willingness to commit to long-term goals, and to persist in the face of difficulty.” was the definition given to us in last week’s blog by author, Heidi Grant Halvorson.

2. Gravitas
The second trait, gravitas, is all about presence and the way you carry yourself.

Welch describes this elusive characteristic as a mixture of “seriousness, maturity, thoughtfulness, wisdom” — traits that are tough to fake, and that will lead your boss and colleagues to respect you and give your perspective greater consideration.

You can also cultivate gravitas, Welch says, through the behaviors you avoid, like gossiping, being unprepared for meetings, interrupting others, or improvising important presentations.

Grit

Of the two, grit seems to be the one that can be developed over time.

  • Getting the job done without complaint.
  • Don’t go with the simplest solution.
  • Commit to long-term goals
  • Creativity

The attribute that is more difficult to learn over time is creativity.

Some personality types are more prone to “doing it by the book”.  Others feel that creativity requires coming up with complex and completed solutions that no one has thought of.  Both are wrong!

Creative Types

One exercise I’ve run with teams has been about creativity.  Unbeknownst to the team, I divided them into the personality types that naturally tend to be more by the book and those who tend to be more creative.  I give them the same exercise that requires creativity and measure the results.  The “creative team”

  • Shows the most creativity in the first round.
  • On the second round there may be some creativity but at a much lower scale.
  • By the third round, the “creative’ types are generally out of ideas.

By the book types

This type performs at a much different cadence.

  • In the first round, these types often complain that the creative types somehow “broke” the rules.  Although most of the rules are in their head.
  • In round two, once they realize that the rules are more flexible than they imagined, the come up with a substantial about of creativity.  However, it is usually less creativity than the other team achieved in the first round.
  • By round three, the creativity continues at a pace similar to the last round.
  • And for several subsequent rounds, the pace of creativity continues.

The other issue I see with the “By the Book” types is feeling that a creative solution should be complex and complete.  The best and most creative solutions are simple.

“Simplicity is about subtracting the obvious and adding the meaningful” – John Maeda

Both types are Creative

It’s simply a matter of pace.  Creativity types seem to exhibit the most gain early.  But burn out quickly.

“By the Book” types may demonstrate more creativity over time.  It just takes more time.

Gravitas

Too me this seems to be the trait that’s harder to develop over time.

It’s dependent on the mindset of Creative vs Victim.  I’ve written a few blogs on this concept and it seems to strike a chord with many of my readers.

If you’ve adopted the Victim mindset, there is no way to project Gravitas.  Remember that Welch describes these as “seriousness, maturity, thoughtfulness, wisdom.”  Being a victim projects none of these traits.

If you’re serious about developing this trait of Gravitas, then it requires a trusted, truthful mentor.  This type of mentor tells you the truth, both good and bad.  This type of mentor also helps you get to the root of the victim issue rather than simply adjusting the traits that look like gravitas.

Open vs Closed mindset will make all the difference in your career and life.  Grit and Gavitas: develop them for your own well being.  Others will also notice.

 

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BlogLeadership

“Soft” Skills Win

by Ron Potter April 2, 2020

Start with skills

An article in the Wall Street Journal was written with and about Bob Funk, founder of Express Employment Professionals and former chairman of the Kansas City Federal Reserve Bank.  Mr. Funk makes his living by matching people who want jobs with employers who need good employees.

When Mr. Fund talks about the interview process he starts with what most employees think of as the Hard Skills.

Hard skills and experience, he says, are only half the equation, and not the important half.  “So many people do not realize how important the soft skills are to unlocking job opportunity,”

Mr. Funk offers a quote from a boss he had over 50 years ago.  “There’s a person for every job and a job for every person.  That’s still true.”

Try before you buy

Most of the companies he works for are small and medium-size companies with fewer than 250 employees and he places most of his workers in part-time positions.  But over 60% of them go on to be full-time employees.

Hard skills and experience are only half of the equation and not the important half.  (Italics are mine).  Soft skills are the important part of unlocking job opportunities!

Soft skills rule

Mr. Funk found that the top five skills that employers look for are:

  1. Attitude
  2. Work ethic/Integrity
  3. Communication
  4. Culture fit
  5. Critical thinking

While Mr. Funk concedes that education is vital, the most important thing for most people is the ability to be trained.  And while I agree with Mr. Funk on this issue I don’t believe he gives enough credit to that ability to be trained with people of education.

Higher Education

So many of today’s graduates from major universities have been convinced that their degree from that particular institute has taught them everything they need to know to be successful.  I’m a graduate of the University of Michigan Engineering school and for a period of time recruited new hires from that institute.  What I discovered was that it didn’t make any difference which university the candidate graduated from.  What made the difference was number 5 on the list above, the ability to think critically that made the biggest difference between potential employees.

Learning is what’s important

As a consultant, I once ran an old exercise that didn’t produce any results.  When I asked my client why the effort fell flat they said they got the most out of sessions where I was sharing what I was learning.  My own learning produced the best results for my clients.  I believe that a college education gives you the opportunity to start learning.  Showing up to work every day assuming you’re there to share what you already know will get you nowhere.  Showing up to work every day ready to learn will show an eagerness to learn, which will carry you a long way.

 

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BlogCultureCulture Series

Culture – Other Financial Research

by Ron Potter February 6, 2020

Through the years the Denison Organization has continued to perform research on the original model.  One piece of research that caught my eye early in the process looked at six normal measures of performance that most companies look at on a regular basis.  Those six measures included:

  • Profitability
  • Sales/Revenue Growth
  • Market Share
  • Product Development – Innovation
  • Quality of Product or Service
  • Employee Satisfaction

Most Culture Surveys focus on the last of the six measures, Employee Satisfaction.  Research originally done by the Gallup organization indicated that satisfied or engaged employees lead to better organizations.  I’ve looked at several of those surveys as my customers have used them.  I agree that more satisfied/engaged employees do lead to better organizations.  But, it was always difficult for me to figure out what actions lead to more satisfied employees.  The Denison Survey always provided me with more direct and measurable actions that would lead to employee satisfaction.

Four Quadrants

First, let’s remind ourselves what is included in each of the four quadrants.

Mission
  • Vision
  • Goals and Objectives
  • Strategic Direction and Intent
Adaptability
  • Organizational Learning
  • Customer Focus
  • Creating Change
Involvement
  • Empowerment
  • Team Orientation
  • Capability Development
Consistency
  • Core Values
  • Agreement
  • Coordination & Integration

Now, let’s take a look at each of the six measures of success and look at the Quadrants that drive them.

Profitability

  • Mission
  • Involvement

The description of this one given by the Denison organization is “Do we know where we are going?”  If it’s not clear where we’re going, it’s hard to figure out where profits will come from.

The description given to Involvement says “Are our people aligned and engaged?”  Know where you’re headed and engage the people in getting there.  Strength in these two quadrants will lead to profitability.  Notice that profitability requires elements of each of the “four” halves of the chart.  Mission is in the upper right quadrant.  Involvement resides in the lower left quadrant.  Top/Bottom, Left/Right.  Profitability requires a bit of it all.

Sales/Revenue Growth

The two quadrants driving this success factor include:

  • Mission
  • Adaptability

The description given to Adaptability is “Are we listening to the marketplace?”  This means that our Mission is being tweaked along the way to meet the needs of the marketplace.  If we’re listening.

Also notice that both of these quadrants are at the top of the chart.  This is the half that creates an Externally Focused organization.  This type of organization is very focused on the forces in the market place.

Market Share

  • Mission
  • Adaptability

These happen to be the same two as Sales/Revenue Growth.  In hind-site that might be abundantly clear.  But what has been interesting to me (and makes this connection even more powerful) is that even when the industry is trending downward at the moment, companies with strength in these two quadrants tend to perform better than others facing the same difficulties.

Product Development and Innovation

  • Adaptability
  • Involvement

Once you’re familiar with the layout of the survey, this one also becomes abundantly clear.  Both quadrants are on the left side of the chart which creates very flexible organizations.

Quality of Product or Service

  • Mission
  • Involvement
  • Consistency

This is the first of the performance measures that has strength in three areas rather than just two.  It adds Consistency.  People need to know what the Core Values are and the consequences for violating them.  They also require Agreement from everyone plus Coordination and Integration across the organization.  There can be no disagreement on how we do things around here and no piece of the business making decisions that benefit themselves and not the whole company.

Notice it does not include customer focus.  Quality is internally driven, not externally driven.

Employee Satisfaction

  • Mission
  • Involvement
  • Consistency

This is usually the one that is measured by Culture Surveys.  What’s interesting to me is that this one is driven by exactly the same quadrants that drive Quality.   A clear mission, active involvement and consistency drive quality, and satisfaction!

Where do We Start?

One of my colleagues calls this the “So what, Now What?” question.  Now that I know this information, where do I start or what do I do with it?

One way to answer that question is to see how many of the performance maesures are driven by each quadrants.

Mission is involved in five of the six performance measures:
  • Profitability
  • Growth
  • Market Share
  • Quality
  • Employee Satisfaction
Involvement is involved in four of the measures:
  • Profitability
  • Development/Innovation
  • Quality
  • Employee Satisfaction
Adaptability is involved in three:
  • Growth
  • Market Share
  • Development/Innovation
Consistency is involved in two:
  • Quality
  • Employee Satisfaction

I always suggested that you start with Mission, get everyone Involved, increase your Adaptability and change and finally make sure that you’re absolutely consistent in your approach.

Build a Great Culture

Great cultures are absolutely required to build great companies.  Just don’t forget the other two elements of being great:

TLC

Team Leadership and Culture.

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BlogCultureCulture Series

Culture – The Other Two of the Four Halves

by Ron Potter January 30, 2020

In the last post, I discussed balancing the right side vs the left side of the Culture Survey, Stability vs Flexibility.  This week we’ll look at the top vs the bottom, External Focus vs Internal Focus.  You can see from the chart that the top half (External Focus) is driven by the Vision and Adaptability quadrants.

External Focus

Again, for very natural reasons, I often see more focus on the external than I do the internal.  For one, it’s easier to speak with external suppliers, press, buyers than it is to face the internal issues of making sure everyone is involved and engaged, living by accepted core values and reaching agreement and alignment across an organization run by many “type A” leaders.

One of my interesting observations through the years has been to see the CEO and COO work together as a team.  One of them often functions as “Mr. Inside” while the other one functions in the role of “Miss Outside.”  Don’t make the mistake of assuming the CEO functions outside while the COO functions inside.  The best transitions I’ve observed during a CEO retirement is when the COO takes over but still functions as the inside force.  The new COO is good at the outside connection.  This creates the smoothest transfer and keeps the company headed toward the future they’ve been preparing for.  Failure seems to happen when the board assumes that because the retiring CEO was a great visionary, they must hire a new CEO that’s also a visionary.  However, the new vision is often very different from the existing vision and the company has not prepared itself to move forward at the necessary speed.  A rotation that keeps the current vision in place and moving along at the right speed seems to work the best.

Internal Focus

Too often there is not enough effort to keep the people involved and consistency maintained to keep the company moving in the right direction at the necessary speed.  Never stop empowering the people, building teams and developing the strength and skills necessary to move into the future.  Involvement is critical to future success.

Consistency is tough to build but easy to lose.  If you:

  • Allow Core Values to be violated without consequences,
  • Don’t require a commitment to decisions that impact the entire company or
  • Allow departments and divisions to make decisions that help them but ignore the other teams

you’ll quickly lose consistency and the required, strength, resiliency and unity that is needed to create a great company in difficult times.

Balance, Balance, Balance

Great cultures required balance.  At any point in time, your company may require special strength and commitment to a particular part of the Culture Chart in order to deal with special market situations.  But even in that case, don’t let your chart get too far out of balance.  Balance, Balance, Balance.  It’s a requirement.

3rd Quartile

Regardless of the situation, you must have good culture scores in every element of the chart.  I would suggest that if you score in a range below the 50th percentile in any element, you work there first to correct the situation before moving on to the culture as a whole.  There may be particular strengths required for different market conditions (see next week’s blog about particular market conditions) but I believe that every element of the twelve should be in the 3rd quartile first before moving on to work on a particular situation.

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BlogCultureCulture Series

Culture – Four Halves

by Ron Potter January 27, 2020

Yes, I have an engineering background and I know there are two halves to every whole.  However, the best way to start looking at the results of your culture survey is to look at each half: left vs right, top vs bottom.

Photo credit: Denison Consulting

Stable and Flexible Organizations

The right side of the chart: Mission and Consistency, creates very stable organizations.

The left side of the chart: Adaptability and Involvement, creates very flexible organizations

The trick is to exhibit the right amount of each half depending on your situation.  I’ve seen a couple of companies do this the wrong way.  Both are companies that are over 100 years old and during that time have been the largest company in their industry.

Too Stable

One of the companies took an approach that was way too stable for their changing environment.  As they lost market share and profitability over several years their approach was to “do things the way we’ve done them for over 100 years.  That approach has weathered downturns in the past and will do so again.”  Unfortunately, it didn’t weather the downturn and they became a small provider in the industry as other companies took the innovative lead.

Another company that was also over 100 years old knew they were falling behind the competition.  They hired a “visionary” CEO from a very different industry to help them innovate their way back to a leadership position.  This leader lept to a vision of the future that was so far beyond their current position that most people complained they didn’t even know what he was talking about.  Consequently, they continued with a “business as usual” approach because they had not been prepared to function differently then they had for many years.

Just like many sports teams, companies often go into a prevent defense posture once they’ve gained the lead.  There is great fear in the organization of losing the gains that have been made so they try to protect their current position.

Teaching a Fifth Grader

Because most leaders don’t want to be labeled as the ones who lost the gains that have been made over several years, I see more of this issue rather than the case of trying to leap-frog forward to an entirely new position.  Becoming an innovator is tough to pull off if your company has not been prepared to let go of old habits and products in favor of a new, innovative approach.

This issue was made very relevant to me when my children were in about the fifth grade.  If one or both of them (they were two grades apart) were having difficulty with a particular subject in school they would turn to me for some help.  However, as I began to explain the issue from my level of understanding or education, their eyes would glaze over and they would finally toss their homework on the table and tell me that I was no better than anyone else at explaining the issue from their level of understanding.  I then asked to see their textbook and read one or two chapters ahead.  Once I remembered the concept that needed to be learned next, they usually responded with something like “Why didn’t you say that in the first place?  It all makes sense to me now.”  With that approach, I was astounded at how quickly they learned and advanced through the topic, often faster than their schedule dictated.

If you want your organization to advance quickly to the next level of understanding so that they can compete at an innovative level, show them the path.  Help them see one or two steps forward.  You’ll find that they will get quicker with each step along the way until you (and they) realized that they’ve turned into an innovative organization.

Need for Change and Innovation

Don’t let go of the stable side of the culture survey.  No organization can get out of balance and remain successful.  While I often see companies maintain the stable side of the survey, it must be balanced with the flexible side in order to obtain long term success.  Both sides must be expanded in order to be successful.

Difficult to accomplish?  Yes, but necessary.  While some people think that leadership is easy, it never is.  Balancing stability and flexibility is difficult.  But that’s what it takes to be a leader.  Accomplish the impossible during the day then go home and be an ordinary family member at night.  It’s worth it but it’s not easy.

Internal vs External

In our next blog post, we’ll take a look at the other two “halves” that are just as difficult.  Then we’ll take one last look at culture in general and how it impacts the bottom line.  Stay tuned for next week.

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BlogCultureCulture Series

Culture – Consistency: Summary

by Ron Potter January 9, 2020

Consistency

Image result for Image of give me a lever long enough

The last quadrant of the Denison Culture survey is Consistency, “Does your system create leverage?”

We first introduced the mechanical image of leverage when we introduced the “fulcrum” of Consistency.  Most people have seen or heard the quote from Archimedes when he said: “Give me a lever long enough and a fulcrum on which to place it, and I shall move the world.”  As a side note, he also said “Eureka!” which meant “I’ve got it” or “I’ve found it.”  Leverage is what he found.

In the post about Coordination and Integration we talked about the lever and how that looks different in each part of the organization.

Together these two create “Leverage!”

The three sections of the Consistency Quadrant talk about achieving leverage.

  • Core Values
  • Agreement
  • Coordination & Integration

Consistency is about Results

Dan Denison and his team at Denison Consulting may disagree with me, but in my mind, this quadrant is about results.

My belief is that if you’ve worked hard at each of the other three quadrants of Mission, Adaptability and Involvement, the results are great Consistency.

Take a look at some of the words within the individual questions related to each of the three segments:

  • practice what they preach
  • a distinct set of practices
  • a clear and consistent set of values
  • accountability
  • win-win solutions
  • we reach agreement, even on difficult issues
  • clear agreement about the right way
  • share common perspectives
  • coordinate across the organization
  • good alignment

These issues are results.  The organization has and develops leverage.  It creates a highly productive culture.

  • Should you set and live by a clear set of core values?  Yes.
  • Should you work hard at reaching agreement across the organization?  Yes.
  • Should you coordinate and integrate across and between divisions of the organization?  Yes.

But, if you try to accomplish these things without first establishing Mission, Adaptability and Involvement, they won’t amount to much.  There is no foundational work.  The structure will crumble without the needed foundation.

What is Culture?

We introduced the Culture Series many months ago with this start:

A dictionary definition says “the set of shared attitudes, values, goals, and practices that characterizes an organization.”

Exciting environments come from leaders and teams developing people to face difficulties and obstacles in innovative thoughtful ways that utilize the skills and experiences present.

Productive environments exist when teams learn how to elegantly use the resources they have to get the most out of an organization in a simple way.

Why Build a Great Culture?

I’ll go back to the name of my company, Team Leadership Culture (TLC).  These are not distinct issues that you face and corrected one at a time.  Great companies and great leaders are always working on all of these issues.

One of the biggest mistakes that I see leaders make is to assume they’re high-level managers.  One of the more difficult transitions is to shift from being a great manager to a great leader.

Great Managers
  • Work in relatively stable environments
  • Have long-term views and line-of-sight
  • Usually have clearly defined direction and strategy
  • And because of these issues, have a limited need to re-direct themselves or those who work for them.
Great Leaders
  • Spend the bulk of their time on vision
  • Develop and lead teams that manage more of the detail
  • Constantly scan the environment both internally and externally to spot the need for change early
  • Tend to be more risk-takers and have a higher tolerance for risk.

Great leaders and leadership teams create great cultures.  Cultures outlast leaders and teams.  This applies to both good and bad cultures.  Make sure you and your team are focused on a great culture.  It’s the only thing that lasts.

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