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Leadership (Part 2)

MHR 3200 Dr. Larry Inks Department of Management and Human Resources Fisher College of Business The Ohio State University

Overview
Leadership Excellence and Developing Strengths
A Broadened Approach to Leadership Development Other Requirements for Excellence A Personal Model of Leadership Excellence

A Simple Truth About Leadership Excellence

Leadership excellence starts with the


decision to be a great leader; with an explicit commitment to greatness.

Deciding to Become A Great Leader


An explicit commitment to becoming a great leader involves: 1) Introspection 2) Self-candor and objectivity 3) A willingness to do what it takes to improve 4) A time commitment 5) A dissatisfaction with being merely good

Good is the Enemy of Great


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Developing Strengths

Leadership Success (Outcomes)

1st - 9th 10th - 19th 20th - 29th 30th - 39th 40th - 49th 50th - 59th 60th - 69th 70th - 79th 80th -89th 90th - 100th

Leadership Effectiveness (Overall Behaviors)


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Leadership Effectiveness (What Wed Expect)

Leadership Effectiveness Related to Revenue


More effective leaders generate higher income.

5000000 4000000 3000000 2000000 1000000 0 -1000000


-1176454 2384588

4516974

Net Income*

* Results from a large mortgage bank


Middle 80% Top 10%
Source: Joe Folkman (Zenger-Folkman Associates)
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-2000000

Bottom 10%

and Customer Satisfaction


More effective leaders have more satisfied customers.

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70

Perceptions of Customer Satisfaction (%)

60
49

50 40 30 20

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* Results from
10 0

a large high technology company

Bottom 20%

Middle 60%

Top 20%

Source: Joe Folkman (Zenger-Folkman Associates)


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Better Leaders Have Lower Turnover...


Relationship between Turnover and Leadership Effectiveness
Average Percent Turnover
20 18 16 14 12 10 8 6 4 2 0 Bottom 30% Middle 60% Top 10%

19 14 9
More effective leaders have lower turnover.
* Results from a large insurance company

Source: Joe Folkman (Zenger-Folkman Associates)


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And Higher Levels of Employee Satisfaction*


Employee Satisfaction (out of 5.0)
4.8 4.6 4.4 4.2

Great Leaders Make a Great Difference

4.0
3.8 3.6 3.4 3.2 40th - 49th 10th - 19th 30th - 39th 50th - 59th 60th - 69th 70th - 79th 90th - 100th 20th - 29th 80th -89th 1st - 9th

Good Leaders Have an Adequate Impact

Poor Leaders Create Dissatisfaction


* Results from a large high technology company

Leadership Effectiveness Percentile

Source: Joe Folkman (Zenger-Folkman Associates)


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Leadership Success (Outcomes)

1st - 9th 10th - 19th 20th - 29th 30th - 39th 40th - 49th 50th - 59th 60th - 69th 70th - 79th 80th -89th 90th - 100th

So Instead of This

Leadership Effectiveness (Overall Behaviors)


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Leadership Success (Outcomes)

1st - 9th 10th - 19th 20th - 29th 30th - 39th 40th - 49th 50th - 59th 60th - 69th 70th - 79th 80th -89th 90th - 100th

What Has Been Found Is This

Leadership Effectiveness (Overall Behaviors)


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Strengths Drive Leadership Excellence


100 90 80 70 Overall 60 Leadership 50 Effectiveness 40 (%) 30 20 10 0 89 81 72 64 91

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Number of Strengths
Exceptional Leaders Have 3+ Clearly Recognized Strengths Even though their weaknesses are similar to good leaders
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Conclusions from the Research


Non-linear relationship between leadership behavior and business results Three groups of leaders--similar contribution levels within each group - Poor to Fair--bottom 20% - Good--middle 60% - Great--upper 20% Great leaders contribute significantly more than good leaders Great leaders are characterized not by the absence of weakness but by the presence of recognized strengths (generally 3+) Moving from good to great better than from good to more good Movement from good to great happens by building your strengths Findings suggest we need to broaden our view of development
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A Broadened Approach to Development


1) 2) 3) Evaluate your current effectiveness and ability to contribute Identify your areas of strength and weakness Determine your best mix of development actions - Fix any derailers or fatal flaws that will cause you to fail - Identify other development needs/issues (e.g., information) - Develop ways to improve existing strength areas (go From Good to Great) - Use both direct and indirect development Execute development plans/action - Address both strength and need areas - Be thoughtful and introspective and learn from the experience

4)

This broadened approach should be considered for greater success


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Excellence alsoDoes requires equal measures So, What Else Excellence Require?of:
Initiativebecause almost everybody has good ideas Effortbecause there is no substitute for hard work Persistencebecause great things often take time

Couragebecause the road is often rocky


Optimismbecause in the end, it probably will work out

So what does this mean for each of us?

A Personal Model of Leadership Excellence

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Passions vs. Competencies


Competencies Are collections of business-relevant skills, behaviors and abilities Can include areas of knowledge and/or expertise Can be developed over time Reflect your capabilities and effectiveness in specific areas Things Youre Good At Organization Needs The things that an organization needs/values; what it will pay you for Passions Are naturally recurring patterns of thought, feeling or generalized behavior Reflect your view of the world, your values and your personality Are generally stable over time Typically are areas of great interest Things You Love To Do
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A Model of Leadership Excellence


Your excellence sweet spot is where your passions and competencies match the needs of the organization...

Passions (Things you love to do)

Competencies (Things you do well)

Organization Needs (Things the organization needs)


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Some Different Possible Combinations...


Person #1 P C Person #2

C
P

Person #3
C

O
P C C P Person #4 O
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Person #5 O

Developing Leadership Excellence*


Decide to become a great leader (in whatever way is appropriate) Develop and display high personal character Develop new skills and expose yourself to broadening experiences Find and work with a coach/mentor, role models Identify your: - Strengths, and find ways to build/maximize them (e.g., through companions) - Weaknesses, and find ways to make them irrelevant - Derailers and fix them Learn from mistakes and negative experiences Seek ways to give and receive productive feedback in a healthy way Learn from work experiences Infuse energy into every situation Allocate specific time to people development Focus not only on the skills needed in your current role, but in future role(s) as well Monitor and track your progress

Above all else, be introspective and open with yourself


*Source: Zenger and Folkman, The Exceptional Leader
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Summary Thoughts
Leadership is relevant for every person in every day of their lives

The greater your abilities, the more leadership you can/should provide
As leadership challenges grow, so too does complexity and the skill required

There are many theories of leadership and many frameworks to provide guidance for successful leadership behavior
Focusing on strengths, while not neglecting critical weaknesses, is a strongly recommended approach to leadership excellence Your own personal excellence likely lies at the intersection of your competencies, your passions, and organizational need.

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What Questions Do You Have?