MBA Leadership Program

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MBALeadership Program

• 23rd -28th May 2006

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Exponential growth
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Information

• The growth in information
• Estimated that the amount of new information
  stored on paper, film, magnetic, and optical
  media has about doubled in the last three years.
  1999-2002
• Information explosion? - new stored information
  grew about 30 a year between 1999 and 2002.

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Information

• The growth in information
• The World Wide Web contains about 170 terabytes
  of information on its surface in volume this is
  seventeen times the size of the Library of
  Congress print collections.
• Instant messaging generates five billion messages
  a day (750GB), or 274 Terabytes a year.
• Email generates about 400,000 terabytes of new
  information each year worldwide.

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Information

• What is a terabyte?
• Terabyte (TB) 1,000,000,000,000 bytes 1
  Terabyte 50000 trees made into paper and
  printed. 2 Terabytes An academic research
  library. 10 Terabytes The print collections of
  the U.S. Library of Congress

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Demographics - Generation Xers

• Generation Xers are people born between 1964 and
  1977
• The average employee in his or her late twenties,
  for instance, has already switched jobs five or
  six times.
• Two common traits
• -Structures are extremely egalitarian
• - Super- supportive of employees desire to
  get a life outside
• of work.

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As for the old-fangled idea of paying ones dues
in a dull job before moving up to something
sexier, forget it
Demographics - Generation Xers

• 77 of Generation Xers say theyd quit in a
  minute if offered increased intellectual
  stimulation at a different company.
• 51 would jump ship for the chance to telecommute
• 61 of Generation X women would leave their
  current jobs if they were offered more flexible
  hours elsewhere.

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Generation X - Needs

• The top three things they want in a job are
• - positive relationships with colleagues
• - interesting work
• - and continuous opportunities for learning
• Recognition scored low and power and prestige
  ranked dead last.
• Generation Xers are suspicious of hierarchies.
  Rank and seniority mean nothing to them. They
  want to participate as equals.

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Leading in a global context
Relative Certainties
Key Uncertainties

• Globalization is largely irrevocable.
• 2020 Chinas population 1.4billion Indias
  1.3billion
• World Economy will be 80 larger than in 2000
  average per capita income will be 50 higher
• Increased globalization will place hundreds of
  millions of working-age adults into the global
  economy.
• With growing world economy, demand for raw
  materials will increase in China and India and
  shape their foreign policies.

• Degree to which Asian countries will
• set new rules of the game, most
• notably China and India
• Whether the rise of China and India
• occurs smoothly
• Our ability to manage or contain
• financial crises
• Extent to which authoritarian regimes
• face pressure to democratize
• Ability of EU and Japan to adapt
• workforces and welfare systems and
• integrate immigrant populations
• Extent to which political instability in
• producer countries may disrupt
• supplies to developed countries

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Leading in a global context
Relative Certainties
Key Uncertainties

• Traditional geographic groupings will lose
  significance as non-state actors emerge
• Political Islam will remain a potent force, as
  well as other identity policies
• Improved WMD capabilities of some states a more
  pervasive sense of insecurity.
• Great power conflict escalating into total war is
  unlikely internal and regional conflicts
  continue to rise and smoulder
• Environmental and ethical issues become even more
  important
• US will remain single most powerful actor
  economically, technologically and militarily

• Ability of states and international
• institutions to coexist with non-state
  actors
• Impact of religious identities on unity of
• multiethnic states
• Degree to which religious authorities
• transcend national boundaries
• Ability for terrorists to acquire biological,
  
• chemical, radiological and nuclear weapons.
• Ability to manage flashpoints and competition
• for resources
• Extent to which internal conflicts result in
• failed states
• Extent to which new technologies like
• biotechnology create or resolve ethical
• dilemmas
• Whether the US loses science and technology
• edge

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Going Global

• Saturated mature markets
• Pressure on costs and Pressure on quality
• Increasing competition
• Consolidation of markets
• Global communication
• Educated customers/clients

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The Impact of Change
Stage 2
Stage 1
Stage 3
denial
solution
shock
anger
searching
resistance
Behaviour Response
Time
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Challenges

• Identifying which organisational structure will
  best meet the needs of customers/clients
• Identifying which organisational structure will
  provide cost or quality of service advantages
• Working across functional, geographic and
  cultural boundaries
• Increasing complexity
• Creating a global mindset

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Challenges for Leaders

• Simplify things
• Spend more time with customer
• Develop your people
• Reduce costs, resources
• Build the team
• Provide clarity, direction, leadership
• Make people accountable, reward performance
• Motivate your people
• Get things done through your people

• Increasing Complexity
• No time
• No time to manage
• Heavy workloads
• Heavy workloads for their people
• Limited authority
• Dual reporting matrix managers
• Reduced rewards
• Little/no training as a manager

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The Global Mindset/Global Skillset

• Global awareness
• Cultural awareness and sensitivity (Cultural
  Intelligence)
• Collaborative/co-operating
• Actively reaching out across organizational
  borders
• Willingness and ability to work in teams
• Creativity and innovation
• Able to manage the flexibility/control paradox

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Managing

• Planning - Setting objectives, strategies etc.
• Organising - Managers setting tasks and
  organising staff.
• Commanding - Giving orders to staff so jobs are
  completed.
• Coordinating - Management must ensure that there
  is consistency throughout the business.
• Controlling - Making sure all individuals fit
  in with the plan.

Henri Fayol
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Leadership

• There is nothing more difficult to take in hand,
  more perilous to conduct, or more uncertain in
  its success, than to take the lead in the
  introduction of a new order of things.
• 
  
  Machiavelli 1513

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Leadership

• It is the business of general to be serene and
  inscrutable, impartial and self controlled.
• There are five qualities which are dangerous in
  the character of a general
• If reckless, he can be killed
• If cowardly, captured
• If quick-tempered you can make fool of him
• If he has too delicate a sense of honour you can
  calumniate him
• If he is of a compassionate nature you can harass
  him
• Sun Tzu 500-300
  BC

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Ubermensch
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Leadership

• The ability to influence others to do something
  they would not have done themselves, to work
  toward a collective goal or vision, without
  recourse to authority, control or coercion

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Understanding Leadership
Economic Context
Historical Context
Team Needs (Followers)
Individual Needs (Trait)
Situational Needs
Market context
Cultural Context
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Trait Approach

• Based on the assumption that individuals are born
  with special characteristics
• Approach suggests that organizations will
  function more effectively if they have senior
  managers will the appropriate traits
• Importance is therefore placed on selecting the
  right person
• Major traits
• Intelligence
• Self-confidence
• Determination
• Integrity
• Sociability

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Trait Approach

• Strengths
• Intuitively it fits in with the common view that
  leaders are different, special.
• Significant amount of research to validate this
  approach
• Provides a detailed understanding of the leader
  component in leadership
• Provides a benchmark for individuals against
  which they can assess themselves

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Trait Approach

• Weaknesses
• No definitive, agreed list of traits
• Does not take in account the impact of situation
• Not all lists of traits are validated by research
• No link between traits and outcomes group and
  team performance
• Not useful as a basis for training the focus is
  on selection

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Trait Approach

• Which traits are the most important?
• Does a leader need them all?
• How can we recognize and recruit using traits?
• Do traits apply to all situations?

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Leadership Development - the Business Case
Return On Investment (ROI)

• Caterpillar 194
• Astrazeneca 685
• General Motors 333
• Oracle 180

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Skills Approach

• Still focuses on the leader
• Looks instead at the competencies of the leader
• 3 skills approach (based on work on Katz)
• Personal skills
• Technical skills
• Human skills
• Later models developed five different elements
• Competencies (problem solving, knowledge etc)
• Individual attributes (cognitive ability,
  motivation and personality)
• Leadership outcomes
• Career experiences
• Environmental influences (factors outside the
  control of the leader e.g. ageing plant

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Skills Approach

• Strength
• It is a leader-centered model that stresses the
  importance of the leader's abilities, and it
  places learned skills at the center of effective
  leadership performance
• It describes leadership in such a way that it
  makes it available to everyone.
• It provides a sophisticated map that explains how
  effective leadership performance can be achieved.
  
• Provides a structure for leadership education and
  development programs that include creative
  problem solving, conflict resolution, listening,
  and teamwork.

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Skills Approach

• Weaknesses
• The model seems to extend beyond the boundaries
  of leadership, including, for example, conflict
  management, critical thinking, motivation theory,
  and personality theory.
• The skills model is weak in predictive value. It
  does not explain how a person's competencies lead
  to effective leadership performance
• It claims not to be a trait approach, but
  individual traits such as cognitive abilities,
  motivation, and personality play a large role in
  the model.
• It is weak in general application because it was
  constructed using only data from military
  personnel.

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Style Approach

• Emphasizes the behaviour of the leader
• Leadership composed of essentially two components
• Task behaviours
• Relationship behaviours

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The Leadership Grid
High
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County Club Management Thoughtful attention to
the needs of the people for satisfying
relationships leads to a comfortable, friendly
organization atmosphere and work temp.
Team Management Work accomplishment is from
committed people interdependence through a
common stake in organization purpose leads to
relationships of trust and respect.
Middle-of-the-Road Management Adequate
organization performance is possible through
balancing the necessity to get work out while
maintaining morale of people at a satisfactory
level.
Concern for People
Impoverished Management Exertion of minimum
effort to get required work done is appropriate
to sustain organization membership.
Authority-Compliance Management Efficiency in
operations results from arranging conditions of
work in such a way that human elements interfere
to a minimum degree.
Low
1
1
9
Low
High
Concern for Results
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Style Approach

• Strengths
• It includes the study of the behaviors of leaders
  rather than only their personal traits or
  characteristics
• It is a reliable approach because it is supported
  by a wide range of studies
• It reinforces the importance of the two core
  dimensions of leadership behavior task and
  relationship
• It provides a broad conceptual map that is useful
  in gaining an understanding of our own leadership
  behaviors.

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Style Approach

• Weaknesses
• Researchers have not been able to associate the
  behaviors of leaders (task and relationship) with
  outcomes such as morale, job satisfaction, and
  productivity
• Researchers from the style approach have not been
  able to identify a universal set of leadership
  behaviors that would consistently result in
  effective leadership
• The style approach implies, but fails to support
  fully, the idea that the most effective
  leadership style is a high-high style (i.e., high
  task and high relationship).

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Situational Approach

• Focuses on leadership in situations
• What is the situation?
• Who are the People?
• Willingness
• Ability
• Can be developed

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Situational Leadership
Focus on relationship, process
Focus on task, content, procedure
Moderate Ability/Commitment
High Ability/commitment
Low Ability/commitment
Very able, Willing, Motivated
Able, Unwilling Insecure
Able, Unwilling, Unmotivated
Unable, Unwilling or Insecure
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Situational Approach

• Strengths
• It is an approach to leadership that is
  recognized by many as a standard for training
  leaders.
• It is a practical approach that is easily
  understood and easily applied
• The approach provides a clear set of
  prescriptions for how leaders should act if they
  want to enhance their leadership effectiveness
• The approach recognizes and stresses that there
  is not one "best" style of leadership instead,
  leaders need to be flexible and adapt their style
  to the requirements of the situation.

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Emotional Intelligence

• SELF-AWARENESS
• knowing your emotions, recognizing feelings as
  they occur, and discriminating between them
• SELF CONTROL/MOOD MANAGEMENT
• handling feelings so they're relevant to the
  current situation and you react appropriately
• SELF-MOTIVATION
• "gathering up" your feelings and directing
  yourself towards a goal, despite self-doubt,
  inertia, and impulsiveness

• EMPATHY
• recognizing feelings in others and tuning into
  their verbal and nonverbal cues
• SOCIAL SKILLS/MANAGING
• RELATIONSHIPS
• handling interpersonal interaction,
• conflict resolution, and negotiations

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Emotional Intelligence
Definition
Hallmark
A passion to work for reasons that go beyond
money or status A propensity to pursue goals with
energy and persistence

• Strong drive to achieve
• Optimism, even in the face
• of failure
• Organizational commitment

MOTIVATION EMPATHY
The ability to understand the emotional makeup of
other people Skill in treating people according
to their emotional reactions

• Expertise in building retaining
• talent
• Cross-cultural sensitivity
• Service to client customers

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Behavioural Styles
Spontaneous
Amiable
Expressive
Analyst
Driver
Self-Controlled
Easy going
Dominant
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Behavioural StylesStrengths
Spontaneous

• Amiable
• Supportive
• Dependable
• Agreeable
• Helpful

• Expressive
• Ambitious
• Stimulating
• Enthusiastic
• Amusing

People/ Team

• Driver
• Determined
• Efficient
• Decisive
• Practical

• Analyst
• Serious
• Industrious
• Persistent
• Exacting

Self-Controlled
Task/ Results
Easy going
Dominant
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Behavioural StylesPotential Strengths and
Weaknesses
Spontaneous
Amiable Strength Weakness Supportive
Soft Dependable Submissive Agreeable
Indecisive Helpful Undisciplined
Expressive Strength Weakness Ambitious
Manipulative Stimulating Excitable Enthusiastic
Egotistical Amusing Flippant
People/ Team
Driver Strength Weakness Determined
Arrogant Efficient Hard Decisive
Dominating Practical Unsympathetic
Analyst Strength Weakness Serious
Dull Industrious Critical Persistent
Pedantic Exacting Over-detailed
Self-Controlled
Task/ Results
Easy going
Dominant
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Emotional Intelligence
Definition
Hallmark
Proficiency in managing relationships building
networks An ability to find common ground
build rapport

• Effectiveness in leading change
• Persuasiveness
• Expertise in building
• leading teams
• Developing others
• Teamwork and collaboration
• Conflict management
• Building bonds, cultivating
• relationships

SOCIAL SKILLS
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Situational Approach

• Weaknesses
• this approach does not have a strong body of
  research findings to justify and support the
  theoretical underpinnings on which it stands.
• There is ambiguity regarding how the approach
  conceptualizes certain aspects of the leadership
  process.
• It is not clear in explaining how subordinates
  move from low development levels to high
  development levels, nor is it clear on how
  commitment changes over time for subordinates.
• The model does not address how demographic and
  cultural characteristics affect employees
  preferences for leadership
• In applying this approach, the model does not
  provide guidelines for how leaders use this
  approach in group settings as opposed to
  one-to-one contexts.

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Leading Motivation
(Maslow)
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The Cultural Web
Stories
Symbols
Power structures
Rituals and routines
The Paradigm
Organisational structures
Control systems
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Hygiene factors and motivators

• SATISFIERS
• achievement
• recognition
• work itself
• responsibility
• advancement

• HYGIENE FACTORS
• company policy
• pay
• working conditions
• management
• fringe benefits

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Achievement, Affiliation Power

• Achievement
• The need for achievement is characterized by the
  wish to take responsibility for finding solutions
  to problems, master complex tasks, set goals, get
  feedback on level of success
• Affiliation
• The need for affiliation is characterized by a
  desire to belong, an enjoyment of teamwork, a
  concern about interpersonal relationships, and a
  need reduce uncertainty.
• Power
• The need for power is characterized by a drive to
  control and influence others, a need to win
  arguments, a need to persuade and prevail.

• According to McClelland, the presence of these
  motives or drives in an individual indicates a
  predisposition to behave in certain ways.
  Therefore, from a Partners perspective,
  recognizing which need is dominant in any
  particular individual affects the way in which
  that person can be motivated

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Learning and Unlearning
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Stages of Team Development
Performing
Norming
Storming
Forming
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Team Characteristics

• Balanced Roles
• Clear Objectives
• Openness and Confrontation
• Support and Trust

• Sound Procedures
• Appropriate Leadership
• Regular Review
• Individual Development
• Co-operation and Conflict
• Sound Inter-group relations
• Good communications

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Effective Teams
Team
purpose
Team together,
Team
team apart
composition
Customer
Stakeholder
Team
Team
communication
leadership
Team
Team
dynamics
Norms
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Effective Teams

• Customers/Stakeholders
• Have we identified our customers/clients/stakehold
  ers
• Have we identified their needs?
• Can we meet those needs?
• Team Purpose
• What is our collective purpose?
• Can we define success for the team?
• How will we measure it?
• Team Composition
• Appropriate members, size of team
• Appropriate skills to achieve the task
• Balance of team role preferences
• Team Leadership
• What style of leadership is appropriate?
• Has it changed/does it need to change?

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Effective Teams

• Team Norms
• Have we agreed how we want to work together?
• Are these norms explicit?
• Do we have agreed processes for decision making,
  meetings, problem solving?
• What happens when team members do not adhere to
  the agreed norms?
• Team Dynamics
• How well do we interact?
• How do we manage confrontation (or lack of it)?
• Team Communication
• Do we have an agreed approach to communication
  within the team?
• Do we have an agreed approach to communication
  from the team?
• Team together, team apart
• How do we behave when we are not together?
• How do we manage personal, functional and team
  agendas when they conflict?

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Building Trust
Trust . not wanting individuals in your team
to fail
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Building Trust
Achieving Results
Demonstrating Concern
Trust
Following through on business commitments
Respecting the well-being of others
Trust
Competence
Acting with Integrity
Behaving in a predictable manner
Consistency
Adapted from Trust in the Balance by Robert Bruce
Shaw1
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Leadership Practices that Drive a Performance
Culture
Building capabilities and setting direction
Energising people

• Inspiring people
• Providing support

• Communicating long term direction for the group
• Managing stakeholders effectively
• Staying on top of sector/specialist knowledge
• Solving problems
• Providing ongoing coaching and training

Managing performance

• Holding people accountable
• Reviewing performance
• Following through
• Providing regular and frequent feedback
• Rewarding/recognizing performance

Creating an environment of openness and respect

• Openness and candor
• Respectful treatment of people
• Actively dealing with conflict
• Demonstrating courage
• Encouraging open communication
• Creating an environment of trust
• Acting with integrity

Structuring tasks

• Managing stress
• Setting group and individual goals
• Delegating work responsibilities effectively

Fostering effective collaboration

• Encouraging cross-departmental cooperation
• Valuing/encouraging diversity
• Building the team
• Building a network

Empowering people

• Driving for results
• Staying focused
• Giving decision-making authority
• Encouraging initiative
• Encouraging innovation and calculated
• risk taking
• Making decisions