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“As iron sharpens iron, so one man sharpens another.”

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“As iron sharpens iron, so one

man sharpens another.”

Bill Bayer | www.billbayer.net | 2014

Iron Leadership

Presentation by Bill Bayer

A large portion of the content of this

presentation is derived from the

writings of Marcus Buckingham and

Curtis Coffman in the book First,

Break All the Rules (Gallup Press,

1998) based on a study by the Gallup

Organization.

THE PROBLEM

Iron Leadership

Bill Bayer | www.billbayer.net | 2014

The Problem

To generate enduring profit, organizations must:1. Attract

2. Focus

3. And Keep Talented Employees

The most valuable aspects of jobs are the most essentially humans tasks:• Sensing

• Judging

• Creating

• Building Relationships

When someone talented leaves, they take their value with them.

“One of the marks of greatness is the ability to develop greatness in others.”

- J.C. McCauleyBill Bayer | www.billbayer.net | 2014

The Problem

Most would agree that competitiveness depends on finding and keeping top talent in every role.

Traditionally, retention efforts have focused on:- Stock options

- Country Club memberships

- Equity participation

- Defined Compensation

- Financial Incentives

- Other perks

“People don‟t care how much you know until they know how much you care about them.”

- John C. MaxwellBill Bayer | www.billbayer.net | 2014

The Problem

Great managers and great companies have not devised an accurate ay to measure a manager’s or a company’s ability to find, focus, and keep talented people

There is a sense that leadership is required to build and run a successful organization

Definitions of leadership usually focus on mastery of competencies and specific character traits

A leader lifts ordinary people to achieve extraordinary results.

Bill Bayer | www.billbayer.net | 2014

The Problem

Whatever its specific definition, most agree that there is a lack of one thing:

Leadership.

Leadership is the #1 issue for effective people management.

“A great deal of good can be done in the world if one is not too careful who gets credit.”

- A Jesuit proverb

Bill Bayer | www.billbayer.net | 2014

EFFECTIVE LEADERS

Iron Leadership

Bill Bayer | www.billbayer.net | 2014

Key Leadership Attributes

Set direction

Bill Bayer | www.billbayer.net | 2014

Image credit: morguefile.com

Key Leadership Attributes

Mobilize individual commitment

Bill Bayer | www.billbayer.net | 2014

Image credit: public domain photo

Key Leadership Attributes

Build organizational capability

Bill Bayer | www.billbayer.net | 2014

Image credit: morguefile.com

Key Leadership Attributes

Demonstrate Personal Character

Bill Bayer | www.billbayer.net | 2014

Image credit: morguefile.com

Attributes & Results

1. Effective leaders act in ways that ensure results

2. Effective leaders connect attributes to results

3. Effective leaders balance attributes and results

Effective leadership = Attributes x Results

“Remember the difference between a boss and a leader: a boss says „Go!”; a leader says,

„Let‟s go!‟”

Bill Bayer | www.billbayer.net | 2014

Focus on Results

Ask:

What results need to be achieved?

How able am I to personally deliver results?

What must I learn to deliver the results?

What resources do I need to achieve results?

“Don‟t equate activity with efficiency.”

- Harvey MacKay

Bill Bayer | www.billbayer.net | 2014

4 Essential Competencies

1. Commit to developing leaders

2. Have a process for developing leadership talent- Succession planning system

- Professional development

3. Define leadership attributes behaviorally- Make the numbers

- Live the values• How leaders lead

• Leadership effectiveness survey

4. Use leadership competencies to build leadership ability in managers

“If you can‟t face the music, you‟ll never get to lead the band.”

Bill Bayer | www.billbayer.net | 2014

BUILDING THE 3 C’S

Iron Leadership

Bill Bayer | www.billbayer.net | 2014

The 3 C’s

Capital

Capability

Commitment

Bill Bayer | www.billbayer.net | 2014

Human Capital

Human Capital = Employee Capability x Employee Commitment

• Usually underutilized

• Can appreciate/grow

• Is portable

• Is often mismanaged

• Considers career differently

• Correlates with customer perception of the organization

• Draws everything together

“Trust men and they will be true to you. Treat them gently and they will show themselves to be great.

- Ralph Waldo Emerson

Bill Bayer | www.billbayer.net | 2014

Building Capability

6 Ways to Build Employee Capability:

1. Buy– Limited talent available

– Risky

– Need “Wow”

2. Build– Requires REAL leadership development

– Learn from the best

3. Benchmark– Learn from other organizations

4. Borrow– Partner with vendors, consultants, customers, suppliers

5. Bounce– Remove poor performers

6. Bind– Retain the best

Bill Bayer | www.billbayer.net | 2014

“Dreams don‟t work unless

you do.”

- John C. Maxwell

Building Commitment:

Traditional Approaches

Measure it

Productivity

Climate assessments

Employee retention

Build It

Flexible work arrangements

– Make employees responsible

Growth opportunities

Tie rewards to results

Recognition

– Public affirmation

– Community recognition

Compensation

– Competitive Salaries

– Incentives

– Deferred Compensation

– Stock optionsBill Bayer | www.billbayer.net | 2014

“Pay the best the best”

Building Commitment:

A New Approach

The Gallup organization set out to determine what:

– Attracts only talented employees

– Keeps the best employees

– Appeals to the best, the good, and potential the marginal

“To love what you do and feel that it matters –how could anything be more fun?”

- Katharine Graham

Bill Bayer | www.billbayer.net | 2014

Building Commitment:

A New Approach

Gallup Measurement

25 years of research

More than a million employee interviews

Goal of process:

– Differentiate between the loyal and productive employees

– Differentiate between the average and marginal employees

“I don‟t know the secret to success, but they key to failure is to try to please everyone.”

- Bill CosbyBill Bayer | www.billbayer.net | 2014

Building Commitment:

A New Approach

Gallup’s Results

Benefits, incentives, stock options, pay level, etc. did not differentiate

The immediate manager is most important

Twelve key questions differentiated successful organization - What do I get?

- What do I give?

- Do I belong here?

- How can we grow?

Bill Bayer | www.billbayer.net | 2014

“No one is useless in this world who

lightens the burden of someone else.”

-Charles Dickens

Building Commitment

Stage 1: What Do I Get?

1. Do I know what is expected of me at

work?

2. Do I have the materials and equipment I

need to do my work correctly and

productively?

Bill Bayer | www.billbayer.net | 2014

Building Commitment

Stage II: What Do I Give?

3. At work, do I have the opportunity to do what I do best every day?

4. In the last 7 days, have I received recognition or praise for doing good work?

5. Does my supervisor, or someone at work, seem to care about me as a person?

6. Is there someone at work who encourages my development?

Bill Bayer | www.billbayer.net | 2014

Building Commitment

Stage III: Do I Belong Here?

7. At work, do my opinions seem to count?

8. Does the mission/purpose of my

company make me feel my job is

important?

9. Are my co-workers committed to doing

quality work?

10.Do I have a best friend at work?

Bill Bayer | www.billbayer.net | 2014

Building Commitment

Stage IV: How Can We All Grow?

11.In the last 6 months, has someone talked

to me about my progress?

12. This last year, have I had opportunities

at work to learn and grow?

Bill Bayer | www.billbayer.net | 2014

Building Commitment

The Twelve Key Questions

All deal with “soft” issues

Require leadership

You must establish a relationship with your managers

You must determine that they can lead

You must lead your managers

You must teach them to build relationships

You must teach them to lead

“Plant your feet on solid ground, and you will flourish as a leader of men.”

- Unknown

Bill Bayer | www.billbayer.net | 2014

MANAGERS & LEADERS

Iron Leadership

Bill Bayer | www.billbayer.net | 2014

Managers & Leaders

Managers are not “leaders in waiting.”

Most people are both leaders and managers.

“The core activities of managers and leaders are different.”

- Mel Usher

Bill Bayer | www.billbayer.net | 2014

Managers &. Leaders

Leaders

Great leaders look

outward

• Competition

• Future

• Alternative routes

• Broad patterns

• Vision

• Strategy

Leaders concentrate on

direction and motivation

Managers

Great managers look inward

• Inside the company

• At individuals

• At different styles

• At different needs

• At different motivational levels of each person

Managers focus on planning and implementation

Bill Bayer | www.billbayer.net | 2014

Managers & Leaders

What Great Managers Know

The frog and the scorpion

Some things can be taught, some can’t

People are who they are

“A great man is always willing to be little.”

- Ralph Waldo Emmerson

Bill Bayer | www.billbayer.net | 2014

What Great Managers Do

4 Activities of Great Managers

1. Select

2. Set expectations

3. Motivate

4. Develop

“Great managers are catalysts.”

Bill Bayer | www.billbayer.net | 2014

What Great Managers Do

1: Select the Right Person

Search for talent

1. Define what the job requires

2. Develop list of competencies

3. Recruit internally and externally

4. Assess: Skills and knowledge

5. Evaluate: Attitudes and values

6. Observe: Behavioral style

“Select, don‟t hire.”

Bill Bayer | www.billbayer.net | 2014

What Great Managers Do

2: Set Expectations

1. Manager’s effectiveness is hampered by:1) People don’t change much

2) Organization demands performance

2. Solution: manager must focus on the right outcomes

3. Benefits:1) Performance = results achieved

2) Manager avoids micro-managing

3) Employees are encourage to take responsibility

“You give me enough rope to be successful – or to hang myself.”.”

Bill Bayer | www.billbayer.net | 2014

What Great Managers Do

2: Set Expectations

Clarify outcomes:

What do you get paid to do?

What is right for the customer?

What is right for the company?

What is right for the individual?

“Diligence is the mother of good fortune.”

-Miguel de Cervantes

Bill Bayer | www.billbayer.net | 2014

What Great Managers Do

3: Motivate

Help identify strengths and overcome weaknesses

Let them become more of who they are

Put folks in the right roles

Move or lose underperformers

Invest your time in the best

Break the golden rule: Treat each person as they would like to be treated.

Don’t try to “fix” – it doesn’t work– We can’t be anything we want to be

– Success will be limited if all focus is on areas of non-talent

– Too much focus on weaknesses dooms the employee

– The implied message is that the employee is at fault

“A statue has never been set up in honor of a critic.”

-UnknownBill Bayer | www.billbayer.net | 2014

What Great Managers Do

4: Develop the Person

Help them learn, grow, and get promoted

Help each person find the right fit

Avoid the “promote to manager” trap

Unlink organizational position and pay

Use broad salary ranges

Create heroes in every role

Invest in the best

Link pay to:– Value created

– The market price of labor

“A statue has never been set up in honor of a critic.”

-UnknownBill Bayer | www.billbayer.net | 2014

BECOMING A RESULTS BASED

LEADER

Iron Leadership

Bill Bayer | www.billbayer.net | 2014

Results Based Leadership

13 Ways to Be a Results-Based Leader*

1. Begin with absolute focus on results

2. Take complete and personal responsibility for results

3. Communicate expectations and targets clearly and specifically

4. Determine your personal contribution to improve your personal results

5. Use results to judge effectiveness of leadership practices

6. Commit to personal development

7. Know and use everyone’s capabilities and develop them

8. Experiment and implement constantly to improve performance

9. Measure key results and refine the measures

10. Constantly take action

11. Increase the pace of your team

12. Seek feedback on how to improve

13. Lead by example

*Derived from the list found in Results-Based Leadership by Ulrich, Zenger, & Smallwood (Harvard Business Review Press, 1999)

Bill Bayer | www.billbayer.net | 2014

“Work hard and become a

leader; be lazy and never

succeed.”

- Proverbs 12:24