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Agenda
• Leadership and Challenges
• The Matrix of Change: An evolution of QFD
• How to select our Leader?
• How to create leaders using Virtual
Simulation?
• Conclusions
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Research Idea
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Research Idea
$14 billion annually are spent by US companies on leadership
development
$14,000,000,000/YEAR only in the US
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Research Idea
• The cost of customized leadership-development offerings from
a top business school can reach $150,000 a person.
$150,000 a person
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Research Idea
• Five Hundred Managers ranked leadership development as a
future and very important priority.
Current Leadership Development Feedback (just
5% of participants… noticeable change...)
Future Priority
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And Power Point with so many
ideas… very boring…
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Steve Jobs
Challenges: Being a leader, Classification of
leadership, Selecting our leaders, and
Creating leaders• Steve Jobs was called the classic “comeback kid of the PC”.
• Jobs has a vision of pasion, but no skills to build a stable Apple
Organization. He had to abandon Apple in 1985.– “the worst technological leader of the history”.
• Then, Jobs started NeXT, bought Pixar Animation Studies and in
a sistematic way … they became amazing organizations…
And he cameback to Apple.– Many people doubted about this “comeback.”
• Jobs died in 2011 and now:– “the best technological leader of the history”.
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What is leadership?
Leadership is the ability to
influence others toward the
achievement of goals
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Leadership and Management
Leadership may sound like another name for management,
but the terms are generally viewed as distinct.
Management aims to give consistency and order to
organizations; leadership seeks to provide constructive and
adaptive change.
Management is directed toward coordinating activities in
order to get the job done; leadership is concerned with the
process of developing mutual purposes.
Management relies more on a one-way authority relationship,
while leadership relies more on a multidirectional influence
relationship.
“Managers are people who do things right and leaders are
people who do the right things.”
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Leadership Styles
Charles Pellerin - Experience
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Social Contexts and
Behavioral Norms
Willing & Energizing
Collaboration
AddressingShared
Interests
Sustained, Effective Creativity
ExpressingReality-based
Optimism
Perceiving “Magical”Solutions
Being 100%
Committed
Outcome Focuswith no Blamers
or Victims
ResistingBlaming &
Complaining
Clear and Achievable Expectations
Clarifying Roles, Accountability& Authority
ExpressingAuthentic
Appreciation
Mutual Respect &
Enjoyable Work
Appropriately Including
Others
High Trustworthiness
& Efficiency
Keeping AllYour
Agreements
Authenticity& Aligned,
Efficient Action
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Leadership Styles- The right
application is to use all of them at
the right time (the KEY)
Jack WelchIncreased the value of GE by 40x…
Today… 561 Billion Dollars
(value of GE in 2000 – 400Billion $)
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Steve JobsApple is almost
725 Billion Dollars (2/2016)
And the Number 1 Brand (2016)
Leadership Styles- The right application is
to use all of them at the right time (the
KEY) – some examples are just outliers…
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We have been learning that…
We can teach leadership in engineering
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We are still learning…
• Engineering?
• Gender?
• Culture?
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We are still learning…
• Engineers
Example… An engineer is
orange (in particular in
USA).
Very systematic… and they
enter orange to the
University
and they … leave
orange!!!!!
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We are still learning…
• Women
INSEAD (France) – Analysis of
thousands of 360 degree
evaluations.
This analysis has shown that
women tend to outshine men in
all areas except one: vision.
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More with INSEAD…Blue is key to the Higher
levels. Very important to be Blue
• Unfortunately, this
exception is big. In the
upper levels of
management:– the ability to see opportunities
– create strategies based on a
broad vision of the company,
– and inspire others
– Is a “must” to have it.
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The two leading candidates for the Democratic
nomination for the US presidency in 2008 provide
an instructive parallel
Hillary Clinton
• Hillary Clinton, was seen as a
kind of leader who achieves
goals and an impressive ,
something boring career…
studying and taking care of the
details .
Barack Obama
• Barack Obama was seen as a
charismatic visionary who
provides a lot of hope, but
little details of the future.
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The good news is…
We can teach leadership
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Therefore, we must teach our
students to reach beyond the stars!
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We are still learning…
• Engineers?
• Gender?
• Culture?
• Age and experience?1. They have been
exposed to several
situations…
(NOT EVERYBODY)
2. Feedback provided…
accepted…
learning occurred
(NOT EVERYBODY)
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Agenda
• Leadership and Challenges
• The Matrix of Change: An evolution of QFD
• How to select our Leader?
• How to create leaders using Virtual
Simulation?
• Conclusions
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The Matrix of Change (MOC)
• It helps identify important interactions and conflicting criticism within an existing organizational system;
• It helps identify the problems with the transition of existing processes to a proposed organizational system proposed;
• It can provide valuable insights related to:
– Alternatives, feasibility , sequence , location, and speed of the project.
• http://ccs.mit.edu/moc/
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Matrix of Change (MOC)
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Matrix of Change - Components
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Interactions
• The team creates the horizontal triangular matrix to identify complementary or competing practices.
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Transition
• The team builds the
transition matrix - a
square matrix that
combines horizontal
and vertical arrays that
helps determine the
degree of difficulty in
the transition from
current practices to
desired ones.
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Final Matrix
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Agenda
• Leadership and Challenges
• “The Matrix of Change: An evolution of QFD
• How to select our Leader?
• How to create leaders using Virtual
Simulation?
• Conclusions
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Organizations do their very best to hold on to good managers.
CEO’s at the biggest companies in the world are given incredible salaries and excellent benefits, including stock options, to insure that they will stay with their company.
It is very hard to find a good replacement for a great executive.
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GE and Jack Welch
This has been clearly demonstrated when Jack Welch, former CEO of General Electric, stepped down after 20 years in the position.
Under Welch’s leadership;◦ GE’s worth increased by $400 Billion
◦ It became the most valuable corporation in the world. (Storrs, 2006)
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GE and Jack Welch
When Jeff Immelt took over, GE’s stock was at $40 a share
10 years later that figure dropped by 50% and the company had long lost its title as being the most valuable company in the world. (Colvin, 2011)
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GE and Jack Welch
Jeff Immelt first day as CEO was only four days before the September 11th attacks. ◦ GE’s Insurance business lost $600 million in one day.
Jack Welch took GE to the next level multiple times. Where could Jeff Immelt possibly take it?
But… Immelt’s transition to CEO is considered by many to be an excellent textbook example.
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The problem of succession planning is that; it is not such a concrete dilemma, the factors are, at times, very ambiguous.
No scientific method has been developed to tackle this problem and as a result organizations continue to have mixed results.
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◦ How does one measure and rank a CEO’s
Perception of innovation?
Level of influence on stakeholders and employees?
Ability to work with and adapt to various cultures?
◦ How do board members use these factors to decide who they want to see as the next managing executive at their company?
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• Yahoo! was the most recognized brand in the industry of
search algorithms .
• But several competitors began offering a full range of products
and services and eclipsed Yahoo!
• In early 2013 the market share of this industry was distributed
as follows:
– Google ( 77.3 % )
– Microsoft (9.0 % )
– Yahoo! ( 8.8 % )
Case Study: Yahoo!
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• They have been working hard… to diversify their portfolio.
• Summary of Yahoo! Products and services:
Case Study: Yahoo!
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• (2010-2011) In two years Yahoo! had gone through five CEOs.
• More recently were 130 days of Scott Thompson in 2012 where
he began a much-criticized 14% reduction in the workforce of
Yahoo and received $ 7 million in compensation.
• Thompson was replaced by Vice President Ross Levinsohn for
two months until the former Google executive Marissa Mayer
took over the situation.
Case Study: Yahoo!
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• Marissa Mayer Profile:Marissa Mayer is 39 and was for a long time Google
executive until he was named CEO of Yahoo
three years ago. It was the twentieth employee
of Google, the net value of Marissa Mayer is an
impressive $300 million. While at Google ,
Mayer was crucial in the development of
products such as Gmail , Google Maps, Google
Earth and more.
Mayer graduated with honors from Stanford
University with a degree in symbolic systems
and MS in computer science . For both
degrees, she specialized in artificial
intelligence. In 2009, the Illinois Institute of
Technology granted Mayer an honorary
doctorate in recognition of hes work in the
field of search algorithms.
Case Study: Yahoo!
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• The first initiatives of Marissa at Yahoo!:
1. Rationalization of Smartphone and
tablet interface to match the
desktop version
2. More than 18 acquisitions to
become more competitive in the
distribution of content , social
networking and mobile
applications.
3. A policy of non-work from home
that was widely criticized for
boosting morale and improve
productivity.
Case Study: Yahoo!
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Case Study: Yahoo!
• August 22, 2013: it was announced that Yahoo had surpassed Google in Internet traffic and is once again the number one website in the United States.
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And that reminds us of…
• One of the Rules for
success in Engineering: The
new graduate makes
his/her "brand" within the
first two years of working in
a corporation.
• Machiavelli - and his book
The Prince.Mckinsey 2015
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What makes a CEO exceptional?
Mckinsey 2017• “Our focus was on
the top 5 percent of
the CEOs in our
sample as a whole
whose companies’
returns to
shareholders had
increased by more
than 500 percent
over their tenure.”
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Agenda
• Leadership and Challenges
• The Matrix of Change: An evolution of QFD
• How to select our Leader?
• How to create leaders using Virtual
Simulation?
• Conclusions
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Autocratic Leader
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Some of the Results
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Agenda
• Leadership and Challenges
• The Matrix of Change: An evolution of QFD
• How to select our Leader?
• How to create leaders using Virtual
Simulation?
• Conclusions
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Conclusions
• Leadership is important ... and in
technology and engineering … of
course!
• We must learn to use all dimensions
and think globally.
• Strategy and execution go together.
• The MOC help us plan before
introducing projects and also offers a
mechanism to decide our leader.
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Steve Jobs
Challenges: Being a leader, Classification of leadership,
Selecting our leaders, and Creating leaders
• Blue is Blue!• Vision and Creativity … not so equal