strategic leadership chapter 11 built by stambaugh/2009 lead, follow, or get out of the way …...

Strategic LeadershipChapter 11

Built by Stambaugh/2009 Lead, follow, or get out of the way … Thomas Paine

Jeff StambaughDillard College of Business/Rm 257A

jeff.stambaugh@mwsu.eduhttp://faculty.mwsu.edu/business/jeff.stambaugh

Objectives

Built by Stambaugh/2009

■ Understand the basic independent activities of strategic leadership

■ Know why change is hard and how leaders can do something about it

■ Learning and ethical organizations

Lead, follow, or get out of the way … Thomas Paine

The Triad of Leadership

Built by Stambaugh/2009

Leadership is the process of transforming organizations from what they are to what the leader wants them to become

Determining aDetermining adirectiondirection

Designing theDesigning theorganizationorganization

Nurturing aNurturing aculture dedicatedculture dedicatedto excellence andto excellence andethical behaviorethical behavior

Adapted from Exhibit 11.1 Three Interdependent Activities of LeadershipCopyright © 2007 The McGraw-Hill Companies, Inc. All rights reserved.

Lead, follow, or get out of the way … Thomas Paine

Why is Change so Hard?

Built by Stambaugh/2009

■ The current way “works” for lots of people and they don’t want it to change

■ The bureaucracy is designed not to change■ People don’t see (or agree with) your big picture■ You don’t have enough time / energy■ Political barriers / power struggles

Lead, follow, or get out of the way … Thomas Paine

Basic Components of Change

Built by Stambaugh/2009

■ Five Components for Change■ Burning Platform■ Vision■ Leadership■ Strategy for Change■ Political Plan

Lead, follow, or get out of the way … Thomas Paine

Burning Platform

Built by Stambaugh/2009

■ People have to realize they can’t stay where they currently are … or they have to be dissatisfied with where they are

Lead, follow, or get out of the way … Thomas Paine

Vision

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■ Where are we going to go if we can’t (or don’t want to) stay here?

■ BHAG!■ Four key properties

■ Possible■ Desirable■ Do-able■ Communicable

Lead, follow, or get out of the way … Thomas Paine

Leadership

Built by Stambaugh/2009

■ Who will lead us there?■ Passion■ Confidence■ Intellect and technical skills■ Visible and engaged

Lead, follow, or get out of the way … Thomas Paine

Have and Execute a Plan

Built by Stambaugh/2009

■ This is the guts of this course■ Develop a clear plan to move from here to there■ Be ready for the plan to change■ Measure your progress (How we doin’) ■ Celebrate the successes without settling for half a loaf

Lead, follow, or get out of the way … Thomas Paine

Have a Political Plan

Built by Stambaugh/2009

■ There WILL be opponents out there!

■ Who’s support do I have to have?

■ How do I secure their support / buy-in (how do I sell the plan)?

■ Can I win over the opponents?

■ If not, how do I neutralize the opponents?

Lead, follow, or get out of the way … Thomas Paine

Power

Built by Stambaugh/2009

Exhibit 11.2 A Leader’s Bases of Power

Copyright © 2007 The McGraw-Hill Companies, Inc. All rights reserved.

Lead, follow, or get out of the way … Thomas Paine

Emotional Intelligence

Built by Stambaugh/2009

■ Self-awareness■ Self-regulation■ Motivation■ Empathy■ Social Skill

Lead, follow, or get out of the way … Thomas Paine

Learning Organization

Built by Stambaugh/2009

■ Inspire with a purpose■ Empower■ Build / Share internal /external knowledge■ Keep the organization on its toes

Lead, follow, or get out of the way … Thomas Paine

Empowerment

Built by Stambaugh/2009

■ Set goals at top■ Clarify mission, tasks,

rewards■ Delegate■ Hold people accountable

Lead, follow, or get out of the way … Thomas Paine

■ Understand employee needs

■ Teach employees to manage themselves

■ Teamwork■ Intelligent risk taking■ Trust people

Building an Ethical Organization

Built by Stambaugh/2009

Compliance Integrity

Objective Stay out of jail Be responsible

Leadership Lawyers-driven Leader-driven

Methods Education, rules, fear, penalties

Education, accountability, leadership

Assumptions Economic beings guided by self interest

Social beings with more than self interest at stake

Lead, follow, or get out of the way … Thomas Paine

The Story of Darlene Druyun and Michael Sears

Built by Stambaugh/2009

■ Sears – CFO of Boeing■ Darlene Druyun – joined Boeing as■ VP / Dep GM of Missile Defense■ Systems in late 2002 after retiring ■ from AF civil service as the top acquisitions officer■ Both fired in Nov. 2003 after allegations Sears and

Druyun conducted job negotiations before Druyun recused herself from contracts involving Boeing

Lead, follow, or get out of the way … Thomas Paine

The Story of Darlene Druyun and Michael Sears

■ Plea Bargain■ What she said at sentencing:■ Fallout: 615 million reasons to be ethical ■ Just lost one of the major defense contracts of the next 20

years to a European firm

Built by Stambaugh/2009 Lead, follow, or get out of the way … Thomas Paine

Why and How to Stop Breaches

Built by Stambaugh/2009

■ Balancing act—the controls to stop unethical behavior have their own corrosive effects

■ Ethics as an explicit culture■ Walk the talk--fix the one and only person you have

100% control over … yourself■ Ethical breaches now signal “danger ahead”■ Build your fire walls NOW, before it gets hot!

■ Beware the reward systems■ Question: Should Boeing take the tax write-off from

the fine?

Lead, follow, or get out of the way … Thomas Paine

Summary

Built by Stambaugh/2009

■ The Triad of Strategic Leadership■ Change is tough, so leaders have to be tough too■ Integrity … never give it away, and don’t tolerate

ethical lapses in others

Lead, follow, or get out of the way … Thomas Paine