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Leadership Development
Best Practices in Leadership Development, Issue 59 Action learning is thought to be the most effective method of leadership development, but firms more commonly use less-effective techniques such as development reviews/appraisals, according to results from the IRS Leadership Development Survey of 84 organizations described in Personnel Today and conducted by its companion publication Employment Review. Fourteen respondents pointed to action learning as the most effective leadership development methodology, and 10 respondents selected each of the following as most effective: 360-degree feedback, coaching by external practitioners and coaching by internal coaches/managers. Six noted mentoring as most effective. However, the use of development reviews/appraisals was found to be the most commonly used method of leadership development, with 57 organizations selecting that response. Second-most popular was classroom-style learning (54 firms), another technique with weak effectiveness ratings. Coaching by internal coaches/managers was the third-most-common method used (49 firms), followed by 360-degree feedback (45 firms), both considered relatively effective leadership development techniques. Respondents said investments in leadership development took an average of 20% of their firms’ learning budgets (Williams, “Leadership Development,” 2008). Company Trains All Leaders to Be Mentors, Issue 59
Onboarding Offers Leaders a Strong Start, Issue 58 New leaders can benefit from an onboarding program that provides an opportunity to build relationships, set objectives and learn about the culture, according to an article in The Business Journal of the Greater Triad Area. This kind of game plan can be especially critical when one considers statistics that estimate some 40% to 60% of newly hired executives do not transition to their new firm successfully. Compounding this are the financial implications of such failures: search firm fees that can run to one-third of an executive’s salary, diminished productivity, possible loss of clients, and other ramifications that can easily push the costs of such a failure to two to three times the executive’s salary. When looked at in these terms, the costs of an onboarding program can make good sense, even if it runs to $20,000 for a six-month program (and some last as long as 18 months). The relationship-building part of the executive onboarding program must be broad enough to include more than just the boss and the direct reports. Executives must have time carved out to develop relationships with peers, vendors and clients as well. The goal-setting part of onboarding should include a few critical objectives to be accomplished within the first six months because achieving early success helps the executive build self-confidence and helps co-workers build confidence in the executive. In terms of learning about the company culture, it is important for the new executive to understand how the decision-making process works, how collaboration occurs and what problems may be lurking in the near future. It’s easy to allow the day-to-day issues to take precedence over onboarding; however, the choice to invest in onboarding is one “that may take a little more time in the short term but have huge payoffs in the long term,” says Arabelle Fedora of consultancy Right Management (Rash, “Onboarding Training,” 2008). Survey: MBA Good Strategy Preparation for Leaders, Issue 58 Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 58 Mentors Help Minorities Advance to Leadership, Issue 41 I4cp Survey Finds Firms Don't Train for the Skills They Value, Issue 41 Training to develop management skills such as delegation does not always match organizations' stated levels of concern about specific skills, suggest the findings of the Institute for Corporate Productivity's Time Management Practitioner Consensus Survey, a 2007 survey of 332 organizations conducted in conjunction with HR.com. Although 45.5% of the responding organizations indicated that their concern about delegation skills among their workforce was high or somewhat high, only slightly more than a quarter (28.3%) offered training in how to delegate, even taking informal options such as on-the-job training and one-on-one counseling into account. (Time Management Practitioner Consensus Survey [i4cp], June 2007) Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 41 Bringing New Leaders Up to Speed, Issue 40 One of the best ways leaders can help get new managers onboarded quickly is to facilitate the networking required to develop key relationships, according to a 2007 article in Harvard Management Update. Executives should recognize that not all new managers are equally adept at initiating contact within a new business environment. In addition, the greater diversity represented in the workforce introduces new challenges in reaching out to colleagues from different generational and cultural backgrounds. What's more, new managers are often consumed by the need to get to know their direct reports and may, therefore, put other networking on the back burner. The article suggests that leaders take the initiative to arrange meetings between new managers and people the managers may need to know based on responsibilities, processes, information access, political influence and company history, making sure new managers have an opportunity to "benefit from seasoned employees' wisdom and recent hires' fresh perspectives." Leaders should also follow up with new managers to ask specifically about how the networking is progressing and, if it is stalled, to help construct a plan for getting it back on track. Last, leaders can ensure that new managers have technology access to build networks through online discussions, mailing lists and other connections. (Harvard Management Update [Johnson], August 2007, pp. 10-12) Rising to the Leadership Layer, Issue 40 The greatest organizations integrate succession planning, progression and developmental opportunities (SPD), creating "layers of leadership [with] at least four powerful leaders at the top," according to Phil Harkins, CEO of Linkage. Harkins refers to this as the "power of four," a leadership team with "passionate champions" who achieve, inspire and deliver results. The concept of SPD ensures that high-potential candidates for leadership positions are aware of their selection as hi-po's. This is reinforced through discussions on where a hi-po is in the succession hierarchy (S), the career path that will allow it to happen (P) and the development plan to ensure that the necessary skills are built along the way (D) (Harkins, 2007). Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 40 The Skills Make the Leader, Expert Says, Issue 39 "HR needs to take responsibility for developing leaders who have the political skills to mobilize others around good ideas and the managerial skills to sustain momentum to put the ideas in place," declared Samuel B. Bacharach, a Cornell University professor and director at New York's New Institute for Workplace Studies. Bacharach says leaders heading change initiatives need to be proactive, able to gauge support among those around them and capable of gaining buy-in from key stakeholders. To sustain change, he says, leaders must ensure consistent resources, continually oversee change efforts and adjust them as needed, help employees maintain their motivation and foresee and forestall resistance. "Change leadership," Bacharach concludes, is "about the nuts and bolts of taking charge and getting things done," using the "learned skills of moving ideas from vision to implementation." (Human Resource Executive [Bacharach], August 2007, p. 49)Top Leaders Accentuate the Positive, Issue 39 Managers who use positive leadership techniques - a strengths-based approach, a positive outlook in the face of adversity and frequent recognition - have teams with higher performance and engagement, found a 2006 study. The survey was confined to just over 100 information technology professionals with The Hanover Insurance Group but may have far broader benefit. Two University of Pennsylvania graduates - executive coach Margaret Greenberg and Dana Arakawa of the John Templeton Foundation - conducted the study of positive leadership practices. While previous research from Gallup showed that employee engagement was linked to positive business outcomes, Greenberg and Arakawa wanted to confirm whether three specific leadership techniques - all of which could be learned - led to engagement.Strengths-based approach - Too often, the performance evaluation process focuses on weaknesses. A better approach is to focus on strengths and how to align employees' best attributes with their work and leverage those capabilities. The study found that managers in the bottom quartile of project performance results scored an average of 11.55 on a 20-point scale in 2006 (asking employees about managers' use of strengths-based behaviors), while those in the top quartile averaged 17.91. Positive outlook - When setbacks occur, managers with a positive outlook don't get emotional and escalate the problem. They can differentiate between what is within their control and what is not, and they work toward solving the problem. The study found that managers in the bottom quartile of project performance results scored an average of 13.00 on a 20-point scale in 2006 (asking employees about managers' demonstration of a positive perspective), while those in the top quartile averaged 17.57. Frequent recognition - Positive managers offer feedback, recognition and rewards along the way as milestones are achieved rather than waiting for project completion. The study found that managers in the bottom quartile of project performance results scored an average of 11.55 on a 20-point scale in 2006 (asking employees about managers' demonstration of positive recognition), while those in the top quartile averaged 17.75. (Gallup Management Journal [Robison], May 10, 2007) Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 39
Survey Finds Supervisors in Training, Issue 38 More than half of 338 firms surveyed (53.4%) already have a new supervisor training program, and another 20.9% plan to implement one within 12 months, according to an August 2007 online Practitioner Consensus Survey conducted by the Institute for Corporate Productivity in conjunction with HR.com. The most popular approach (43.1%) to new supervisor training is through phased learning, or distributing about four weeks of training over the new supervisor's first year. Some firms (31.6%) offer only a brief overview of transactional responsibilities related to payroll, computer systems and safety. Others (13.2%) conduct a concentrated one-time training program of four to six weeks' duration, including a wide range of topics from the transactional to the strategic. Only 12.1% of the surveyed firms said they hadn't established a formal program.Most firms (64.7%) have company trainers or managers conduct new supervisor training, but about 20% also use consultants for a portion of the training. Programs tend to run for two weeks or less, with 33.3% of firms providing 25-80 total hours of training, 31.2% providing 9-24 hours and 16.7% providing 8 hours or less. Just 14.0% said their total hours of new supervisor training ran from 81 to 160 hours, and only 4.8% provided more than 160 hours of training. The largest proportion of respondents (72.9%) said that introducing management/leadership principles was the primary expectation of their training. Other expectations noted included providing practical knowledge of the firm's policies/procedures (71.3%), providing a better understanding of the company's culture (54.5%) and allowing the new supervisor to "hit the ground running" (40.4%). ("New Supervisor Training Survey" [Institute for Corporate Productivity], August 2007) Glass Cliff May Impede Female Leaders' Progress, Issue 38 Ongoing research has confirmed the presence of a "glass cliff," discrimination that occurs because of the tendency to appoint women to leadership positions under precarious circumstances, according to a study published in the April 2007 issue of the Academy of Management Review. Authored by Michelle K. Ryan and S. Alexander Haslam of the UK's University of Exeter, the article describes the researchers' review of existing literature and experiments that confirm the tendency to elevate women to leadership when organizations are facing some type of crisis. "Those who hold the reins through a time of crisis," the pair writes, "are more likely to be seen as poor leaders and to be blamed" for contributing to the situation versus remedying it. Organizations seeking to address glass cliff discrimination might try a variety of approaches, say Ryan and Haslam. "The most effective of these," they note, "include nontokenistic affirmative action policies, active mentoring programs, and group-based consciousness-raising." (Academy of Management Review [Ryan and Haslam], 2007, pp. 549-572)Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 38
Study: Diverse Leaders Boost Financial Performance, Issue 37 As organizations introduce diversity to their leadership teams, firms may first experience a dip in financial performance, but as those teams grow in diversity, financial performance improves beyond what it was prior to diversity, according to a study by Quinetta Roberson of Cornell and Hyeon Jeong Park of Georgia State University. The two studied the diversity of the top 25 highest-paid positions at 100 firms on Fortune magazine's annual list of best companies for minorities. They discovered that "until at least 20% to 25% of an organization's leaders come from an underrepresented racial background, chances are that any new or different ideas or perspectives they might present will be overridden by the majority opinion," according to a Cornell University article reviewing a panel discussion in which Roberson participated. Low diversity levels may lead to the development of cliques and a "sense of tokenism," the article said. But as the proportion of racially diverse leaders grows, teams gain "a broader range of perspectives and skills" as well as "broader networks and thus more access to resources and diverse stakeholder groups," said Roberson. This, in turn, leads to documented increases in financial performance. (WorkLife at Cornell [Doolittle], June 28, 2007) New Ways to Find That Diverse Leadership Talent, Issue 37 Finding qualified minority and female board members may require companies to look to different sources for talent and skills, according to DiversityInc magazine. Three sources that experts recommend are looking down a level to suppliers, partnering with nonprofits, and developing relationships with historically black colleges and Hispanic-serving institutions. To avoid the problem of overstretched minority board members that appear on several boards, organizations might be better served by looking for candidates who are not yet in charge but who are in line for leadership positions. Board diversity that mirrors a company's demographic customer base is important for responding to market shifts and demands. "One of the most important success factors in diversity and inclusion is leadership from the top," says Essie L. Calhoun, chief diversity officer, director of community affairs and vice president at Eastman Kodak. (DiversityInc [Lowery], April 2007, pp. 32-34)Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 37
Is HR Lagging in Leadership Development?, Issue 36 When comparing the importance of particular issues to the company and HR's capabilities, the largest gap exists in the area of leadership development/succession planning, according to the annual survey by ORC of its senior HR officer network. Respondents (89 total) represented 35 organizations, primarily U.S.-based, operating in more than one country. The survey used a scale of 1 = low importance to 5 = high importance, and results showed that the issues of most importance to firms as emerging HR issues were leadership development and succession planning (4.81), HR technology (4.39) and workforce planning (4.29). On a scale of 1 = low capability to 5 = high capability, average capabilities for leadership development and succession planning were 3.41, producing a gap of -1.40; capabilities for HR technology were 3.0, producing a gap of -1.39; and capabilities for workforce planning were 3.21, producing a gap of -1.08. Another gap was noted in the area of diversity, with a relative importance rating of 4.31, a capability rating of 3.29, and a gap of -1.02. ("Senior Human Resource Executives" [ORC Worldwide]. Obtained June 12, 2007)Making Leadership Teams More Effective, Issue 36 A key "lever" in the execution of any change plan is the alignment of the leadership team, according to T. Craig Williams and Juliet Rains, both of Johnson & Johnson and authors of a 2007 article in Organization Development Journal. In describing a four-phase model for organization design, Williams and Rains zero in on the leadership team as one of the factors that will be key to the success of such a change initiative. As such, the leadership team must be evaluated on its ability to manage and execute change plans, including how well the team influences, makes decisions and resolves conflicts. After the initial assessment, an action plan and six-month follow-up is prescribed. When the leadership team is performing together effectively, the alignment of other, cross-functional teams should then be examined. This will help to "break down silos" and identify and resolve problems earlier. This leadership and multi-tier team alignment can be a key to the successful implementation of a new organization design or similar change initiative. (Organization Development Journal [Williams and Rains], Summer 2007, pp. 163, 165)Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 36
How HR Helps Leaders Adjust to Advancement, Issue 35 As managers transition to more senior roles in their organizations, HR can play a key role in helping them address five common areas of concern, according to a report written for the Chartered Institute of Personnel and Development. The report was written and a survey was conducted by Development Dimensions International (DDI). Some 600 global managers in the Americas, Asia and Europe, readers of World Business magazine, participated in the 2006 online survey. DDI identified the five concerns as "transition anxiety, fresh minds, political interference, female chameleons [and] older and wiser" and suggested ways that HR can help smooth these transition issues for leaders. Transition anxiety - Taking on a higher-level role often requires learning new tasks and letting go of the old ones. HR can help transitioning leaders deal with a fear of failure by first clarifying the new performance expectations and accountabilities and by examining how leaders distribute their time. HR can also act as a sounding board, as can assigned "buddies" and external coaches. Fresh minds - Understanding that promotion to a leadership position requires a new way of thinking can be a stressor in itself. HR can help through the early identification of those with a natural tendency toward leadership, the training of line managers to recognize that potential, the development of career paths and the provision of candidate assessments for self-awareness. Political interference - Establishing new networks and avoiding pockets of unhealthy competition are also challenges faced by those transitioning to a higher-level position. HR processes that can help are holding orientation briefings to familiarize the promoted individual with the new team, modeling acceptable communication, assigning a mentor from two levels above, providing training on teamwork and trust and encouraging peer networking. Female chameleons - Women face some different needs than men when transitioning into a higher-level position, such as self-awareness, confidence and better role models. HR should acknowledge that women need a different set of development resources and should provide programs that help them discover their personal leadership style, practice using new skills and broaden their networks and resources. Also, HR should continue to champion flexible work programs. Older and wiser - Promoted employees in the 45-54 age bracket are more likely to recognize the need for support in making a mental shift at transition time than are those under the age of 35, but the younger group acknowledges "working through others" as a key challenge. HR needs to balance its attention to development among first-line, middle and senior managers. Middle managers are sometimes overlooked, creating career blockages. Transitioning leaders in the 35-44 age bracket need role models, support networks and clear performance expectations. Those in the 45-54 age bracket need to develop their personal leadership style, self-awareness and intercultural sensitivity.(Leadership Transitions [Development Dimensions International], May 2007, pp. 1-2, 5-11) I4cp Survey Reveals Leadership Development Details, Issue 35 Coaching and mentoring programs are not being used for HR leadership development as frequently as they are for executive and managerial development, according to the Institute for Corporate Productivity's Coaching/Mentoring Practitioner Consensus Survey. More than 300 firms participated in the May 2007 online survey. Although more than half of surveyed employers use coaching for executive leadership development (50.6%) and managerial development (52.4%), just 24.5% use coaching for HR leadership development. A similar pattern is evident in the use of mentoring programs. While 42.4% of respondents use mentoring for managerial development and 32.7% for executive leadership development, only 15.6% use mentoring for HR leadership development.The bulk of coaching (73.3%) and mentoring (74.1%) is conducted face to face, but about one in five respondents said they use a combination of face-to-face coaching and phone or Web technologies for coaching and mentoring. The length of coaching arrangements varies: The largest proportion of firms (30.1%) said they last from three to six months, but 29.2% use shorter arrangements, 23.6% said they last from six to 12 months, and 17.1% said such arrangements last over one year. More than two-thirds of those surveyed use mostly in-house coaches, and those using external coaches choose them primarily based on recommendations from colleagues or other firms and consider the coach's business experience in the selection process. A majority of surveyed firms (63.3%) look at individual performance/productivity to determine the impact of coaching programs, and about six in 10 respondents said such coaching is "quite" or "highly" valuable. ("Coaching/Mentoring" [Institute for Corporate Productivity]. Obtained June 21, 2007) Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 35 Leaders Take On Multiple Roles, Issue 34 A leader must inform (communicate), engage (align) and "execute like crazy" in order to "mitigat[e] the impact of external threats," say Randy Markey and Ronald Fountain, managing partners of Capital Acceleraton Partners, LLC in Cleveland, OH. To accomplish this, leaders need to "create a culture that is nimble, innovative and focused." Markey and Fountain suggest three steps in MWorld to help leaders "out-execute the competition." Step one is to "inform," or enlighten employees as to where the organization is headed. Everyone needs to understand the firm's customers, market position, competitive issues, unique differentiators and financial goals. Step two is to "engage" employees in "formulating the plan for bringing that vision to life." Sharing the vision, knowing what actions are required to achieve it and understanding how success will be measured create alignment. At this step, specific targets, timetables, deliverables and accountability should be established. Step three is to "execute like crazy," and this can be achieved when leaders provide employees with the resources, rewards and opportunity to perform. This is the kind of culture in which even initiatives that don't succeed are "celebrated for the learning opportunity they represent." (MWorld [Markey and Fountain], Winter 2006-2007, pp. 46-49) Global Poll Finds U.S. Leadership Excellence, Issue 34 Business leaders in the U.S. are perceived as excelling in establishing best leadership practices and in developing world-class leaders/teams for global operations, according to a 2006 survey of 331 executives by Korn/Ferry International and the Economist Intelligence Unit focusing on leadership in Asia. In comparing leaders from various world regions, 53% of respondents said U.S. leaders "greatly excel" at establishing best leadership practices, while 27% said the same of leaders from Japan, 25% said it of Western European leaders and 12% said it of leaders from Asia. In a similar survey question asking to what extent business leaders in various regions excelled at investing in developing world-class leaders/teams for succeeding in a global business environment, 50% of respondents said U.S. leaders "greatly excel," 31% said it of Western European leaders, 30% said it of leaders from Japan and 19% said it of leaders from Asia. (The Dream Team [Korn/Ferry International], 2007, pp.10, 12-13 )Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 34
Leaders Use Coaching As a Change Tool, Issue 33 Organizational leaders often experience problems with their firms' culture, "not only in terms of understanding it but also in changing it as strategic conditions demand," says executive coach Dr. Jean Hauser of Executive Suite Coaching in Raleigh, NC. Hauser advocates coaching as a change tool that takes leaders from assessment of themselves and their capabilities and beliefs, through plans of action designed to address deficiencies, to eventual goal achievement and measurement of outcomes. According to Hauser, executives who are serious about identifying and working on their strengths and weaknesses can use coaching to help build the skills they need to effectively manage strategic, structural and cultural challenges associated with organizational change. (Denison Newsletter [Hauser], January 2007) What Style of Leadership Works in Asia?, Issue 33 The economic growth in China and India has led to "Asianization," a cousin to globalization, leading to questions of whether Western, Eastern or a hybrid leadership model will prevail, according to a 2006 survey of 331 executives by Korn/Ferry International and the Economist Intelligence Unit focusing on leadership in Asia. The largest proportion of respondents (35.5%) indicated that a leadership model that includes elements of both Western and Asian best practices is warranted. Specific Western leadership practices that are relevant to Asian companies include focusing on a strategic vision and focusing on empowering employees to take the initiative and act independently, the survey found. Specific Asian leadership practices that are relevant to Western leaders doing business in Asia include establishing strong local networks, consensus-building and demonstrating loyalty to the company. These factors, along with relying on familial and friendship links and giving strong direction to subordinates, are some of the key characteristics of Asian business leadership.The survey also asked participants to rate the importance of specific traits when selecting executives for a "dream team" to run Asian operations. The traits specified as "very important" included a commitment to driving the organization's success in Asia (68%), an understanding of and respect for the Asian culture (58%) and a passion for gaining regional experience (33%). (The Dream Team [Korn/Ferry International], 2007, pp. 3-5, 15, 17) Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 33
Nearly Half of Coaching Aimed at Leaders, Issue 32 Leadership development has become the primary purpose of coaching interventions, according to the 2007 Sherpa Global Coaching Survey, co-sponsored by the Penn State Executive Programs and the Tandy Center for Executive Leadership at Texas Christian University. The online survey tallied 800 responses from HR professionals and personal and executive coaches, as well as coaching clients and purchasers of coaching. Based on year-to-year comparisons of 2006 and 2007 survey results, analysts report that the uses of coaching are shifting: Leadership development is gaining over other coaching applications, prompting nearly half (49%) of all coaching assignments in 2007, up from 43% in 2006. Alleviating a specific problem as a reason for coaching fell to 32%, from 37% in 2006, while using coaching as a transition strategy remained unchanged at 20%. The proportion of coached clients at various executive and managerial levels has remained constant since 2006. Senior managers continue to receive 25% of all coaching interventions, while top-line executives continue to attract 19% of all coaching; private individuals generate 8% of coaching assignments. (Executive Coaching: State of the Art [Sherpa Coaching LLC], February 28, 2007) A Multi-faceted Development Approach, Issue 32 Fidelity Investments integrated three approaches in its Accelerated Leadership Development Process to develop its high-potential employees, says a 2007 Harvard Management Update article. For one year, high potentials work with an executive coach who helps them identify strengths and developmental needs through a self-evaluation and 360-degree evaluations. A second strategy is having high potentials work in a peer group with candidates from other business units, receiving training through simulations and role-playing in areas such as conflict management and driving innovation. The final approach is participation on an action-learning project team in which high potentials solve real business problems in a different area of the organization. (Harvard Management Update [Field], April 2007, p. 4)Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 32
Aging Workforce Necessitates Faster Pipeline, Issue 31 Organizations need to "accelerate their leadership development efforts, and fast," condensing the typically lengthy process in order to ensure a pipeline of future leadership talent, says Tamara Erickson, president of The Concours Institute and co-author of Workforce Crisis: How to Beat the Coming Shortage of Skills and Talent. This accelerated development is important, says Erickson, because Baby Boomers who are approaching retirement "hold not only most of the senior leadership roles in companies today but also many of the positions two, three, four levels down." Erickson recommends that high potentials are informed of their status and that multiple approaches are used to develop them. Short, stretch assignments that build on a high potential's current duties and involvement in team problem-solving are useful development techniques. Even foreign assignments can be short but can maintain value if participants continue their involvement with the overseas operations after they return home. Knowledge transfer between experienced leaders and high potentials can be encouraged through team experiences or formal mentoring programs. Erickson recommends that firms be clear about the expectations associated with each assignment. (Harvard Management Update [Field], April 2007, pp. 1-4)Women May Sabotage Their Own Advancement, Issue 31 Women's attitudes may be a barrier to coaching opportunities and eventual leadership positions, says Deborah Felton, director of consulting at Novations Group, a coaching consultancy. In a Novations survey, 19.9% of the more than 3,000 U.S. HR professionals polled said the amount of coaching for men in their organizations exceeds that for women, though 74.5% said women receive the "same level" of coaching. But, says Felton, bias is not the reason women don't get coached as often as men. The problem arises from socialized attitudes among women who assume asking for help signals weakness or incompetence. Believing that leadership depends solely on risk-taking and self-assured confidence, many women try unsuccessfully to develop as leaders on their own. Novations has found that only 13% of women move successfully from making individual contributions to taking on leadership roles; just 7% become senior leaders. Regarding leadership development, Felton says, "women exhibit different behaviors that can get in the way of being successful. Some need help in building confidence, developing a visible track record, and taking risks." (T+D [Laff], January 2007, p. 18.)Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 31
Two Styles of Leadership Focus on Change, Issue 30 Leaders may be "forecasters" or they may be "reactors," but both groups agree that change is a primary factor influencing a leader's job style, according to a 2007 press release from PricewaterhouseCoopers (PwC) on findings from interviews with business leaders on the 10th anniversary of PwC's Global CEO Survey. The "forecasters" place a priority on predicting global trends and tend to dedicate resources to researching long-term trends and participating in scenario planning. They favor being ahead of the curve. The "reactors" value identifying trends as they emerge and analyzing the direct impact such trends may have on the company. They prefer to direct their resources toward recognizing and responding to change rather than trying to predict the future. In either case, leaders say they pursue knowledge from both internal and external resources: Internal colleagues provide "data flows, analysis and a view from the front line," while external constituents help leaders to "shape the vision and validate their strategic course." Andrew Liveris, chairman and CEO of Dow Chemical Company, refers to this small group of "go-to people" as the "wise men." ("Inside the Minds" [PricewaterhouseCoopers], press release, April 3, 2007) Where Do Female Leaders Thrive?, Issue 30 Worldwide, 38% of business firms had no females in senior leadership in 2007 - a figure unchanged since 2004, according to findings released in early 2007 by Grant Thornton International, an accounting and consulting organization operating in more than 100 countries. Based on its survey of more than 7,000 private businesses in 32 nations, the firm reported that the Philippines had the highest proportion of companies with women in top leadership positions - 97% of businesses. Other countries among the top five for senior female executives were China (91%), Malaysia (85%), Brazil (83%) and Hong Kong (83%). Grant Thornton reported that only 64% of businesses in the UK had women in senior management positions. U.S. businesses fared slightly better, with female senior leaders in 69% of firms. ("Four in Ten" [Grant Thornton International], press release. Obtained March 26, 2007)
Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 30 Savvy Leaders Know Value of Restraint, Issue 29 Leaders need to learn how to adjust their "leadership volume" - turning down the volume on what they overdo and raising it where they underperform, according to consulting partners Bob Kaplan and Rob Kaiser of Kaplan DeVries Inc. While most leaders accept the notion of bolstering areas of need, they bristle at having to modulate their perceived strengths. Yet, such moderation is necessary to avoid the "lopsidedness" that occurs when one approach overwhelms all others. To "lower the volume" a leader must first be able to recognize what it is that he or she overdoes and then demonstrate the self-restraint needed to temper it. It helps to change one's mindset from believing that more is always better. Having a trusted colleague act as a counterweight can be useful. To "raise the volume" a leader must first be able to acknowledge what it is that he or she avoids and then actively pursue opportunities to practice it. Again, a mindset change is needed to overcome reluctance or fear, and it may be necessary to find ways to "compensate for [any] limitations." (Leader to Leader [Kaplan and Kaiser], Winter 2007, pp. 13-18) Plan for a Smooth Leadership Transition, Issue 29 The "First 100 Days Plan" is a tool that should be jointly developed and executed by a new CEO and the organization's board, according to consultant Marjan Bolmeijer, CEO of Change Leaders, Inc. A well-designed approach to a new leader's early tenure can help to ensure a smooth transition and avoid the costs of too-soon executive churn. The "First 100 Days Plan" for executive onboarding consists of four phases.The negotiation phase takes place prior to the new executive's hire. As a CEO candidate, one should develop the first draft of a "strategic agenda" that addresses what will be accomplished and why as well as why the candidate is the best person to lead this effort. This first draft will be based on research about the firm, its competition and its challenges. Of course, as organizational knowledge deepens, the plan will evolve. The honeymoon phase is when the new CEO refines the plan based on input from "carefully selected internal advisers" and new understandings built through senior team meetings and immersing oneself in the culture and operations of the firm. The political consolidation phase is when the new CEO begins to structure the "inner circle" of senior team members who will be involved in decision-making, the phase most likely to produce dissension. Getting board members involved in strategic issues is one way to build relationships. The change phase is when the new CEO's change plan is implemented, keeping in mind that new insight into the realities may require adjusting the plan. (Leader to Leader [Bolmeijer], Winter 2007, pp. 50-55) Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 29 Top Companies for Leadership Development, Issue 28 The best leadership development programs have key content criteria in common, Leadership development programs with a vision, strong participation, measurement and accountability, good program design, excellence in delivery, take-home value and an impact beyond the organization embody the criteria that Leadership Excellence used in judging the 100 top leadership development programs in 2006. Among large organizations (more than 2,000 employees), those recognized were Caterpillar University, General Electric, Southwest Airlines, JetBlue Airways, Procter & Gamble, 3M, Capital One, McDonald's, Boeing, Disney Institute, Motorola University, Best Buy, Home Depot, Yahoo and (tied) Countrywide and Qualcomm. Leadership Excellence also recognized programs in small to midsized organizations, nonprofit organizations, academia, government, consulting firms and independent firms. (Leadership Excellence, October 2006, p. 2) Effective Executive Onboarding Tactics, Issue 28 Onboarding a new executive encompasses building mastery in several major components - the job, the organization, the relationships, the culture and the tools, according to Dr. Seymour Adler, of Aon Consulting, who presented The Ropes to Learn and the Ropes to Skip: Facilitating Onboarding at the Human Resource Institute/i4cp's 35th annual Issue Management Conference in 2007. Mastering the job requires understanding its goals, learning its activities and gathering relevant information. Mapping the organization means familiarizing oneself with the names, faces, titles, roles and reporting relationships. Relationship building must occur with both internal and external constituents. Understanding the culture means absorbing the values, conduct and language demonstrated in the business environment. Mastering the tools includes familiarizing oneself with the technology, financial instruments, administrative support and other resources. The most successful executive onboarding experiences are those that use a partnering approach, with the new executive, the recruiter, the hiring manager, a mentor and other key stakeholders all playing roles.The onboarding process may actually start as early as during the selection process, when new executives are assessed for leadership style and cultural fit. It continues through "pre-boarding," when a customized plan is developed and a "buddy" is assigned. The first 30 days of employment are important as the new executive is integrated into the organization. Between 30 and 90 days, the executive should receive feedback, coaching and regular reviews. In the last phase of onboarding, between 90 and 180 days, results are reviewed against goals. (The Ropes to Learn and the Ropes to Skip: Facilitating Onboarding [Adler], February 8, 2007) Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 28
A network leadership model recognizes that organizational networks are important because, within them, "work happens," "people engage" and "knowledge lives," according to Dr. Anna A. Tavis, a consultant presenting Global Talent Management: The Third Generation at the Human Resource Institute/i4cp's 35th annual Issue Management Conference in 2007. "Social network analysis" studies the information flow and relationships "between people, groups, organizations, computers or other information knowledge processing entities." Tavis says that social capital can affect organizational decisions such as layoffs and succession planning. The network leadership model calls for leaders to evolve from weavers to facilitators, growing "multiple emerging leaders" and increasing the network's "scale, impact [and] reach." Her innovation formula for networks is to "connect on your similarity and profit from your diversity." (Global Talent Management [Tavis], February 7, 2007) Five Questions for Leadership Development, Issue 27 The study of leadership may need to include asking some new questions that more appropriately frame the challenges that leaders are facing. J. Richard Hackman of Harvard University and Ruth Wageman of Dartmouth College propose five questions that leadership research should attempt to answer:Rather than asking, "Do leaders make a difference?" instead ask, "Under what conditions does leadership matter?" Rather than asking, "What are the traits of leaders?" instead ask, "How do leaders' personal attributes interact with situational properties to shape outcomes?" Rather than asking, "Are there common dimensions on which all leaders can be arrayed?" instead ask, "Are good and poor leadership qualitatively different phenomena?" Rather than asking, "How do leaders and followers differ?" instead ask, "How can leadership models be reframed so they treat all system members as both leaders and followers?" Rather than asking, "What should be taught in leadership courses?" instead ask, "How can leaders be helped to learn?" (American Psychologist [Hackman and Wageman], January 2007, pp. 43-46) Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 27 Identify Leaders' Learning Needs, Issue 26 Leadership styles are determined by a "mix of innate qualities and developed skills," according to consultants Scott M. Reithel and David M. Finch, writing in Chief Learning Officer. Therefore, it is important that organizations be able to identify which traits and skills can be developed and which cannot. While technical expertise is learned, the basic intelligence that facilitates that learning is often considered innate. Still, reasoning, judgment and critical thinking skills can be developed. Personality factors, too, are often well-shaped by the time an individual begins a career, but many characteristics such as self-confidence, interpersonal skills and creative thinking are among the leadership competencies that can be further developed. Since nurturing these skills can be time-consuming, identifying developmental needs early on through 360-degree feedback and coaching is critical, as is identifying opportunities to build skills through daily responsibilities. (Chief Learning Officer [Reithel and Finch], February 2007, pp. 26-31) Global Study Examines Leaders' Effectiveness, Issue 26 While CEOs hired from outside the organization tend to deliver better results during the first half of their tenure, insiders tend to perform better over the long haul, according to "CEO Succession 2005: The Crest of the Wave," a Booz Allen Hamilton study of the world's 2,500 largest companies. Globally, over eight years' studies, outsider CEOs delivered shareholder returns of 8.6% during the first half of their tenure, while insider CEOs delivered shareholder returns of 2.2%. During the second half of their tenure, however, outsider CEOs did worse, delivering -2.6% returns compared with insiders' 1.1% shareholder returns. (strategy+business [Lucier, Kocourek and Habbel], Summer 2006)
Where Have All the Leaders Gone?, Issue 25 Turnover among C-level executives in 2006 increased 68% over already high 2005 churn levels, according to Liberum Research. Further analysis showed that CEO turnover was 30% higher in 2006 than in 2005, and that CFO turnover increased by 23%. Contributing factors to this continuing high level of activity in the C-suite, according to Liberum, may include higher levels of global competition, a more complex business environment, increasing governmental regulations and more oversight by boards and shareholders. (Human Capital Briefings, March 2, 2007)
Developing Leaders is a Priority for Top Firms, Issue 25 The top 20 companies for leaders in 2006 distinguished themselves because they "manage high potential employees with a greater sense of urgency," concludes an annual study conducted by HayGroup and Chief Executive magazine. Some of the best practices demonstrated by these firms recognized for their systematic development of leaders include seeing leadership development as a priority, creating an environment that facilitates high performance, coaching teams as well as individuals and providing job rotation experiences to high potentials. The study found that firms on the top 20 list differed from other peer companies because the top firms were more likely to "actively manage the careers of high potentials" (78% versus 52%), formally identify future leaders (90% versus 74%), provide separate career tracks for high-potential professionals and high-potential leaders (73% versus 42%) and formally "accelerate the leadership development of high potentials" (75% versus 49%), among other practices. Some of the top companies recognized in 2006 included General Electric, Procter & Gamble, PepsiCo, Citigroup and Johnson & Johnson. (Chief Executive [Donlon], December 2006, pp. 50, 52-54)
What it Takes to Get Leaders Up to Speed, Issue 24 Successfully recruiting and onboarding executive talent can involve unique considerations and challenges, observes Seymour Adler, senior vice president of talent solutions consulting for Aon Consulting. Speaking on a 2006 best practices panel at a conference for insurance and financial executives, Adler explained that simply determining that an executive candidate possesses the qualifications for the job and appears to be a good fit for the corporate culture isn't enough. He points out that candidates also must have the ability to quickly acclimate to their new environment and position. "New executives may have what it takes to do the job once they are up and running," Adler says, "but . do they have what it takes to get up and running?" He emphasizes the need for support from the new executive's manager, along with a "conscious discipline surrounding the onboarding process with clearly defined roles for everyone involved." (LOMA Online [Hall], July 2006) Building Leaders Tops Development Priorities, Issue 24 When it comes to employee development, leaders are expected to get the lion's share of "time, energy and budgets," according to the 2006 Corporate Issues Survey from The Ken Blanchard Companies. Representing multiple industries and countries, more than 800 training and HR leaders and line managers responded to the e-mail survey. The top employee development priorities in 2006 were leadership (79% rated it important or very important), managerial/supervisory skills (73%) and coaching skills for leaders (71%). Smaller proportions of respondents cited communication skills, customer loyalty, ethics, team building and other development issues. Executive coaching, however, was even further down the list, with 42% of respondents considering it important or very important.When asked if 30% or more of the training and development budget would go toward any of these areas in 2006, 25% of respondents said they would make such an investment in leadership development, 18% in managerial/supervisory skills, 17% in coaching skills for leaders and 11% in executive coaching. (2006 Corporate Issues Survey [The Ken Blanchard Companies], 2006, pp. 1, 4-5)
The WICS model of leadership holds that effective leadership combines "wisdom, intelligence and creativity, synthesized." This systems model is the brainchild of Robert J. Sternberg of Tufts University. Steinberg points out that effective leadership requires both skills (functional expertise) and dispositions (attitudes) that support them. In reverse order of the model's acronym, creative skills and dispositions are necessary so that leaders can generate new ideas; intelligence is needed in two ways - academic skills and dispositions to analyze the value of new ideas and practical skills and dispositions to build support from others and to get the ideas to work; wisdom skills and dispositions are needed to ensure that new ideas serve a common good. (American Psychologist [Sternberg], January 2007, pp. 34, 40)
Building Well-Rounded Leaders, Issue 21 The best way to develop a robust pipeline of leaders is to use multiple options for leadership development - including assessment, coaching, learning and experience, according to a SHRM Research publication drawing from the work of D. Weiss and V. Molinaro. Leadership assessments may be conducted via psychometric or competency assessment tools or through an assessment center. Multi-rater feedback processes, such as 360-degree programs, are especially helpful for high-potential employees. Coaching may be provided through internal or external coaches or through mentors. It is important to get mid-managers involved in a leadership development program as early in their career as possible, but external coaches are most effective for top executives. There are a number of learning strategies that can develop leadership talent, including individualized plans, technology-based learning, partnering with experts and attendance at "high-profile learning events." Leaders can also develop their leadership talent through experiences, such as job shadowing, action learning, stretch assignments and projects outside the organization. (2006 SHRM Research Quarterly [Lockwood], 2006, p. 5) Putting Enough Development into Leaders, Issue 21 Several factors can conspire to narrow the pipeline of leadership talent, including a rapid business pace and a less-layered organizational structure, according to Jim Concilman, manager of leadership development at HR consulting firm Development Dimensions International. With fewer layers of management for potential leaders to work up through, some are "arriving in leadership positions unprepared," says Concilman. And the more hectic pace of life on the front line makes leadership positions a high-pressure environment. Not everyone who performs well in his or her current position or who demonstrates exceptional technical ability will translate well to a leadership position. "Performance and potential leadership do not necessarily go hand-in-hand," warns Concilman. Therefore, it is important to recognize true leadership potential early. Such a candidate will be one who is "adaptive and open to learning new things" and is "receptive to feedback" and "willing to talk about how he or she is doing," says Concilman. (Human Resource Executive [Liedman], October 16, 2006, pp. 49-50)Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 21
The Science of Leadership?, Issue 20 Biologically based differences in the way men and women approach the tasks of leadership may help explain why women in Canada (and other nations) don't fill as many leadership positions as men do, says Elaine Allison, author of The Velvet Hammer: PowHERful Leadership Lessons for Women Who Don't Golf. Noting Statistics Canada figures that place the proportion of female leaders in Canadian businesses at only 34%, Allison observes that medical research has demonstrated that women tend to use both sides of their brains to solve business problems, while men's brains usually show one-sided function. Although both genders may arrive at the same solutions, this pattern, she says, can lead some to perceive men as focused and women - whose two-sided brain activity enables them to multitask - as scattered. Similarly, Allison says, hormonal differences push men to aggressively attack problems with less thought to the personal effects on their work teams, while women tend to be concerned about their teams' welfare and the personal effects of business decisions. Those differences, says Allison, can cause women to be viewed as emotional and men as focused problem-solvers. She concludes, "Society must learn that men's and women's methods are just different, not better or worse. By celebrating and embracing the differences, organizations will become more progressive, profitable and productive." (Canadian HR Reporter [Allison], May 22, 2006, p. 31)
Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 20
Click here to view and download the full pdf of HRPS Strategic Agenda Update Newsletter - Issue 19
The difference between leadership and management can be described as the propensity toward proactive versus reactive behavior. Executive search firm Christian & Timbers' CEO, Brian M. Sullivan, describes leadership as "innovative, creative and, above all else, proactive," whereas management tends to be a responsive action to a situation using "time-tested strategies." Sullivan says the most effective leaders "anticipate problems and opportunities; they motivate and develop strategic responses; and they actively involve themselves in the implementation of action-oriented plans." (Management-Issues [Sullivan], June 21, 2006) Survey Profiles China's Ideal Business Leaders, Issue 3/29/07 In
Holding managers at all organizational levels responsible for developing their "retention leadership talents" is one key to keeping employees engaged and onboard, suggests Fredric Frank, CEO of the retention consultancy TalentKeepers. Frank explains that retention leaders: build trust among the employees they supervise make work a positive experience for their employees create safe and uplifting work environments value individuality and encourage employees' unique contributions coach and develop their workers track turnover and act to retain valued employees (Leadership Excellence [Frank], July 2006, p. 9) Canada's Graying Leadership Pipeline, Issue 3/15/07 The age of identified successors is often close to the age of retiring executives in Canadian organizations, according to a survey of 166 Canadian organizations conducted by the Conference Board of Canada on human resource metrics. When asked to identify talent management priorities, survey participants ranked leadership succession and development as number one. The survey found that over half of senior executives are eligible to retire in the next five years, with those in the pipeline to fill the positions being only a few years younger, leaving a pending void and potential for upheaval. ("Leadership Pipeline Not Fully Flowing in Canadian Organizations" [The Conference Board of Canada], news release, June 21, 2006)
Capable Leaders: A Top Change Approach, Issue 2/28/07 Providing training for leaders and managing relationships with customers were the top two change management strategies chosen by U.S.-based multinational organizations, according to a 2006 poll of 133 senior leaders conducted by PricewaterhouseCoopers. Other leading change approaches cited by the surveyed executives included simplifying customer relationship management, restructuring organizations, instituting Total Quality Management, implementing Six Sigma, and shifting information technology architecture. PricewaterhouseCoopers noted that the executives they polled reported using an average of five change management strategies in their organizations. (IndustryWeek.com [McClenahen], July 1, 2006)Some Minorities & Women Advance to Boards, Issue 2/28/07 Ethnic minorities held 15% of board seats among the top 200 S&P 500 companies, and women held 16% during 2006, according to the executive recruiting firm Spencer Stuart. The firm's 2006 Board Diversity Report indicated that there was at least one female director at 97% of the top 200 companies and multiple female directors at 64% of the organizations. At least one minority director was onboard at 90% of the companies, while half of the top 200 had more than one minority director. Spencer Stuart reported that one in four minority directors was female. The number of directors serving the top 200 firms totaled 2,357. (Hispanic Business, April 2006, p. 14)
Basing preemployment testing on simulated work situations can provide potential employers with a good sense of how a candidate might react on the job, thus supporting better hiring decisions, maintains Dr. Dave Heine, president of Personnel Decisions International, an HR consulting firm specializing in leadership development. Heine explains that such assessments are designed to plunge a candidate into simulated real-life work occurrences that call for decision-making, personal interactions, and other activities that enable evaluators to better assess key skills related to specific jobs. Heine says the simulation approach can be particularly effective in assessing candidates for executive positions, and he also points to the tool's usefulness in identifying managers who are appropriate choices for leadership development. (Human Capital [Heine], March/April 2006, pp. 21-22)
Global experience, demonstrated expertise, a solid grasp of talent management, the ability to support strategic decisions with analysis, and an authoritative presence are among the traits sought for HR executives, according to a series of interviews conducted by BNA. Someone who "has lived overseas and had meaningful experience, such as a start up or close down of a facility" is the kind of international experience that sets a candidate apart, says Greg Hessel, a global director with executive search firm Korn/Ferry International. In addition, candidates vying for top HR positions must be knowledgeable about Sarbanes-Oxley compliance, executive compensation, the use of metrics for decision support and talent management, adds Wendy Murphy, managing partner with executive search firm Heidrick & Struggles. Patrick M. Wright, director of Cornell University's Center for Advanced Human Resources, says that business and personal credibility are more important than ever, too. Yet, the deciding factor is often the "chemistry" between the HR candidate and the hiring executive, says Hessel. (Human Resources Report [Phillips], September 11, 2006, pp. 957-958)
The Honorable Leader, Issue 1/16/07 Leaders who want to successfully orchestrate organizational change should conduct themselves virtuously at work, says University of Michigan management professor Kim Cameron. He notes that his research into virtuous behavior in organizations that measured "compassion integrity, forgiveness, trust and optimism" found that "organizations with high scores on virtuousness outperform those with low scores." Cameron maintains that leaders who act virtuously afford their employees a stable core that provides a constant during times of change and ambiguity. He calls this fixed point a good "source of resilience." (Leadership Excellence [Cameron], May 2006, p. 19) Arm Yourself to Step into the Breach, Issue 1/16/07 When a new HR leader takes a position where the HR department has had a poor reputation, reconstructing the department's image and building credibility must be top priorities, according to Carrie Reid, assistant project manager with Chicago consultancy HR Solutions. Management and employees alike need to see the department in a new light, particularly if the previous HR leader had been perceived as being someone unethical, unfocused or poor in customer service skills. Reid suggests new HR leaders follow four guidelines to reestablish HR as a "strong and resourceful entity." Be up front about recognizing past problems, and reiterate that it is time for a fresh start. Design an employee satisfaction survey that can be administered twice - once to establish the company's climate as a baseline and again a year later to identify progress made. Create a new "brand" for HR, complete with a logo or tagline, to accompany all employee communications and to reinforce the new image. Maintain high visibility through an open-door policy and an oft-seen presence to reestablish a sense of trust and approachability. (Canadian HR Reporter [Reid], June 19, 2006, p. 18)
The supply of leadership talent in the 25- to 44-year-old group will be short by some three million leaders by 2008 - when the demand for such talent is increasing, according to Michael Echols, vice president of strategic initiatives at Bellevue University. Among the leadership talents that need to be developed is an ability to process large amounts of information using skills in "analysis, synthesis and critical thinking" - skills typically developed over an extended period of time. While training and development is often considered a cost to be minimized, it may be preferable to consider it a long-term investment that pays off in avoiding recruitment costs and productivity loss due to attrition. (Workforce Performance Solutions [Echols], May 2006, pp. 20-23) Six Questions for Leaders, Issue 12/6/06 Leaders with strong business acumen understand how to assess the business environment and use that knowledge to their firm's competitive advantage, and there are six key questions that can guide executives as they explore the unknown to support decisions, according to executive advisor Ram Charan. Assessing trends, identifying patterns and constructing a course of action that can withstand the uncertainty of the future are skills that take practice. Charan suggests that executives meet with peers on a regular basis, attend confabs and seek a diverse network of individuals with a similar passion for alternate viewpoints. This will help them develop the ability to separate relevant and irrelevant points, to pose new hypotheses and to rethink ideas. Following are the six key questions that Charan suggests executives discuss with others: "What is happening in the world today? What does it mean for others? What does it mean for us? What would have to happen first (for the results we want to occur)? What do we have to do to play a role? What do we do next?" (strategy+business [Charan], Spring 2006) Development Focus vs. Compensation Costs, Issue 12/6/06 HR sees retention as a priority in the face of a projected leader shortage and talent development as preferable to recruitment costs and the higher compensation that goes with it, according to Michael Echols, vice president of strategic initiatives at Bellevue University. With an expected shortfall of some three million leader candidates in the 25- to 44-year-old age group by 2008, the only alternative to expensive recruiting is development, a long-term investment. Compensation costs increase, too, when external candidates are recruited. While employees may receive annual increases of 3%, new hires in critical jobs may receive bumps of up to 30%, motivating even more employees to check out the job market. In addition, productivity suffers when employees change employers. Rather than looking at training and development as expenses to be minimized, firms need to consider them as investments in their ability to compete in the future labor market. (Workforce Performance Solutions [Echols], May 2006, pp. 20-23) Changes Happen at Manager & Director Level, Issue 11/21/06 Managers' public and private decision-making styles change as they progress to higher-level executive positions, according to research conducted by leaders at Decision Dynamics and Korn/Ferry. The study of more than 120,000 managers' decision profiles revealed that the shift in decision-making styles occurred as individuals passed between the manager and director level and that such shifts followed a pattern. Public decision-making is reflected in leadership styles. First-level supervisors tend to use the "decisive" style (less information to consider, one option), a task-oriented style that executives rarely use. As supervisors progress through manager- and director-level positions, they begin using a "hierarchic" style (more information to consider, one option) or an "integrative" style (more information to consider, multiple options). At the executive level, the most commonly used decision-making style is the "flexible" style (working with little data, many options), requiring speed and adaptability. Private decision-making is reflected in thinking styles. Use of both the integrative and hierarchic styles tends to increase as individuals progress to higher-level positions. In contrast, supervisors' use of the flexible style starts quite high but drops dramatically as individuals progress, with few executives using it. Use of the decisive style tends to remain fairly static. What's more, a global comparison of more than 180,000 managers in Succession Planning Challenges Top Leaders, Issue 11/21/06 More successful firms, and financial services firms in particular, consider top management succession as one of the top 10 challenges facing CEOs, according to the CEO Challenge 2006 survey from The Conference Board. Of the 658 leaders responding to the survey overall, top management succession ranked 20th of 91 challenges. But firms from the financial services sector placed top management succession as tied for 10th in the ranking, with 18.0% choosing it as the challenge "of greatest concern." In comparing more successful firms with less successful firms, based on return on assets, the more successful firms ranked top management succession as tied for eighth on the list of top challenges facing CEOs. (CEO Challenge 2006: Top 10 Challenges [The Conference Board], 2005, pp. 3, 9, 14)
As Leaders Grow, Their Development Needs Evolve, Issue 11/7/06 How Japanese Firms Handle Succession Planning, Issue 11/7/06 |
