Month: April 2011

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Defining Managers and Leaders — Training for All

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Often combined, often confused, often misused is the best way to describe the relationship between Management and Leadership. Here is the problem for trainers: they aren’t the same thing. Training one is teaching nuts and bolts to a mechanic. One is more mechanic than engineer.

Yes, leadership is in the front, but at many levels. Each has a different training solution–the reason we are all here.

Ask yourself if it is better to have one leader or many in a single company? One leader, many managers? One manager, many leaders? One leader/manager and many leader/managers? Did we end up in the same place? I think that managers must be leaders in some ways in order to accomplish their specific mission, which, in turn, contributes to the company mission.

There are differences and similarities; there are times when the same person is both. Here is the big problem. Being the Boss often gives you the choice. Companies rise on the backs of leadership and falls on the backs of management when that leadership vision fails. If it is a vision shared by all company leaders, that makes a difference, doesn’t it.

You can lead a program or you can manage a program. I get the feeling the program that is being led is going someplace, and the one that is being managed is rather static. Now, I used semantics to make it more confusing. That was my point. Clearly there are differences and degrees of importance. Both are incredibly important to the company.

More importantly, I think we need to train leadership at all levels, not just the highest, not just those we call managers.

Now, it’s time to look at a definition. Encarta says a manager is the following:

  1. organizer of business: somebody who is responsible for directing and controlling the work and staff of a business, or of a department within it
  2. organizer of somebody’s business affairs: somebody who organizes and controls the business affairs of somebody such as a professional entertainer
  3. organizer of affairs of athlete: somebody who organizes and controls the training of an athlete or a sports team
  4. competent handler: somebody who handles or controls something, especially somebody who works skillfully
  5. compute program for basic computer operations: a computer program designed to carry out the basic functions of a computer’s operations
  6. student in charge of team’s equipment: a student who takes care of the equipment and records of a high school or college sports team under the supervision of a coach
All along the production line, or service line, or however your organization is structured there is a hierarchy of authority. We expect those above us not to just echo the boss but to show some leadership.

Synonyms: boss, director, executive, administrator, supervisor, leader, chief, superior

Notice that leader is among the definitions. Now that definition, also from Encarta: (I have purposely left out some of the obvious that do not apply, i.e., a fishing leader.)

  1. somebody whom people follow: somebody who guides or directs others
  2. somebody or something in lead: somebody or something in front of all others, e.g. in a race or procession
  3. somebody in charge of others: the head of a nation, political party, legislative body, or military unit
  4. music musical conductor: a conductor of a band or group
  5. U.K. music principal musician: the principal performer of an orchestra or of a section of an orchestra
  6. U.K. press article expressing editorial opinion: a newspaper article expressing the opinion of the editor

Synonyms: guide, director, organizer, mentor, guru, adviser, front-runner, spearhead, leading light, trailblazer, ground-breaker, lead, forerunner,head, chief, manager, superior, principal, boss, supervisor, kingpin, top dog

Leadership vision that trickles down through other leaders who reinforce with their own charisma and logic make that leadership at the top stronger and can make that vision work.

Again, the synonyms often mingle with those of the managers. That tells me English speakers, at least, connect the two or see them as the same. That also means we often expect the same. We expect managers to lead or at least to have some measure of leadership. I also suspect a leader that has no management skills is not going to be as effective either.

The leaders, it seems, are always in front, with knowledge of where they are going, an idea of how to get there, and the first to go when the vision goes awry; while the managers are competent handlers of “things” and organizers, controlling work, controlling business affairs, and may I say, following the larger vision of someone else. So that is not to say the manager has no vision.

All along the production line, or service line, or however your organization is structured there is a hierarchy of authority. We expect those above us not to just echo the boss but to show some leadership. Leadership vision that trickles down through other leaders who reinforce with their own charisma and logic make that leadership at the top stronger and can make that vision work.

Yes, leadership is in the front, but at many levels. Each has a different training solution–the reason we are all here.

Remember, I don’t have the lock on ideas so if you disagree or just want to add a story or example, please comment. We’re all in this together.

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For more resources about training, see the Training library.

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Career Change: Don’t Jump From the Frying Pan Into the Fire

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career change don't jump from the frying pan into the fireWhat’s the best way to find out about a career? Talk with those who do the work.

In workshops, I ask people how did they get into the work they’re doing today.

Some said: I just fell into it; I knew a company was hiring and thought it would be cool to work there; I needed a job and this offered the most money. Then I ask are you satisfied? Many say no. They now wish they were in another career field.

Recently a survey revealed that almost half of college-educated workers between the ages of 25 and 50 polled said they would choose a different major if they could do it over. The majority of college graduates will have switched careers at least once, and about one in five expect to switch in the future.

How do you make sure you’re not jumping from the frying pan into the fire?

The key is information interviewing. It’s a networking approach which allows you to:

  • Gain first-hand, current information from professionals in the fields or careers you are considering
  • Expand your knowledge of the job market in the field(s) you want to explore
  • Target positions that best fit your particular mix of interests and skills
  • Clarify what jobs are really like before you commit yourself
  • Evaluate organizations that could be a good match
  • Investigate career options – explore different career fields.

20 Questions

Don’t change careers until you know what you’re getting into. By asking questions of people who do the work, you will get the the reality, not some idealized version. Here are some sample questions to ask.

  • On a typical day in this position, what do you do?
  • What training or education is required for this type of work?
  • What personal qualities or abilities are important to being successful in this job?
  • What part of this job do you find most satisfying? Most challenging?
  • How did you get your job?
  • What opportunities for advancement are there in this field?
  • What entry-level jobs are best for learning as much as possible?
  • What are the salary ranges for various levels in this field?
  • How do you see jobs in this field changing in the future?
  • Is there a demand for people in this career?
  • What special advice would you give a person entering this field?
  • What types of training do companies offer persons entering this field?
  • What are the basic prerequisites for jobs in this field?
  • Which professional journals and organizations would help me learn more about this field?
  • What do you think of the experience I’ve had so far in terms of entering this field?
  • From your perspective, what are the problems you see working in this field?
  • If you could do things all over again, would you choose the same path for yourself? Why? What would you change?
  • With the information you have about my education, skills, and experience, what other fields or jobs would you suggest I research further?
  • What do you think of my resume? Do you see any problem Who do you know that I should talk to next? When I call him/her, may I use your name?

Career Success Tip

Information interviewing means meeting with people to ask for information, not a job. It is the career changer’s equivalent of market research. It helps you learn about career fields and job functions that fit your talents. It also helps you evaluate organizations that could be a good match for you. Readers, has information interviewing helped you either in job search or career change? Tell me how!

Do you want to develop Career Smarts?

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Turbulence or Designed Instability?

A-man-thinking-of-how-to-work-through-a-maze

Turbulence describes the business environment over the last 25 years, and there is no sign of it letting up. This means that leaders for the foreseeable future will be surrounded by our old friend VUCA – volatility, uncertainty, complexity, and ambiguity. Turning this into an opportunity to adapt requires that we ask the right questions.

The Wright Brothers were not the only ones pursuing flight, yet they are considered the first ones to achieve it. What did they do differently? More specifically, how did they approach the VUCA of imagining, building, and testing a flying machine before one existed? Isn’t this what Apple does so well?

While other designers of aircraft sought stable flight (think American Auto Industry), the Wright Brothers were the only ones interested in unstable flight. They asked the question: How can a “dipped wing” (one wing dropping lower than the other) be manually controlled while air borne? This led them to the finding that twisting or warping a wing would increase its lift. By designing instability into the system, the system (an aircraft in flight) became resilient to the constantly changing flight environment and responsive to manual control. Paradoxically, flexibility produced dynamic stability. All you frequent fliers still see this today, the wings of aircraft flex and undulate during flight. Simply put, the turbulence of the environment (air flow) is absorbed by the dynamic stability (designed instability) of the system (plane). Or, the plane adapts to the conditions of the environment as they rapidly change.

It may seem that I am beating the drum on this but what is the number one thing that executives ask the organization to do every year? Predict what will happen and then write an operating plan against these predictions. Under these conditions, is it any wonder that when VUCA winds blow and organizations are “forced to change” their efforts are bound to fail 70% of the time? Adaptive Change is about designing and leading organizations that are built for unstable flight!

So let’s start…get a pencil and paper and answer these questions by doodling, mind mapping, or drawing – whatever you do, get your right brain involved:

  • What environmental conditions are most likely to create turbulence in the next 12 months? Include political, social, environmental, economic, technological, customer variables (values, experience, lifestyle, desires), and last and most predictable the actions of your competitors.
  • What will increase the probability any of these will happen (amplify the conditions)? What will decrease the probability (dampen the conditions)?
  • What future am I trying to create within these conditions?
  • What 3-5 conditions of turbulence do I want to be ready to adapt to? These become the Destabilizing Events that you track closely over time and include in your operating plan.
  • What does unstable flight look like in these conditions? This becomes the framework of your operating plan.
  • What must I do as a leader to alert everyone to these variables so that they are watching for weak signals of their presence and telling me when they suspect them?
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Planning For Organizational Survival (Part 1 of 2)

a volunteer with workers in an organization.

Non-profit organizations (NPOs) exist to provide services that would not otherwise be available to many in the community. Too many NPOs fail to survive, however, because the people responsible for their creation aren’t fully aware of what it takes to effectively provide for the needs of the community.

Non-profits are usually created by a relatively small number of caring people who “want to help.” The majority of those people have little more than their good intentions to sustain them, and they create their NPOs without many of the “tools” that would help them tip the odds in favor of long-term survival.

Success requires a strategic plan that defines the organization’s mission, direction and future, a plan that details all the activities necessary for the NPO to pursue its mission, and the funding needed to support those activities;

Success requires a development plan that defines the appropriate fund raising activities for satisfying those funding needs; and,

Success requires a leadership committed to doing whatever is required to ensure that the people who need the services of the organization can get those services.

Since you can’t be everything to everyone instantly, you have to begin somewhere. The first step in the process, therefore, is to realistically define the extent of the services you want to provide, to whom, and in what timeframe.

You must then identify what supplies, equipment and personnel you will need, and in what timeframe; whether all work and services will be provided by volunteers and/or paid staff; where those people will come from; what experience/training they will need; and, what all of that will cost.

Once you’ve identified what it will cost, the next step is to identify sources of income.

Will you charge a fee for your services, or will you have to “raise” the money? Unless you know that the need you are satisfying is of a short-term nature, you must be sure that your funding sources will be there over the long-term. And, so you can track your progress and tweak your plans accordingly, definitive goals are essential.

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Have a comment or a question about starting, evaluating or expanding your fundraising program, your major gifts fundraising program or a capital campaign? Email me at AskHank@Major-Capital-Giving.com. With over 30 years of counseling in major gifts, capital campaigns, bequest programs and the planning studies to precede these three, we’ll likely be able to answer your questions.

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Social Management

A-person-holding-a-phone-trying-to-log-in-to-facebook-

A crisis communications success story

From late December 2010 to early January 2011, massive flooding occurred throughout Queensland, Australia. The crisis tested the mettle of first responders and government agencies alike, and also, as in most recent disasters, highlighted the importance and effectiveness of technology and social media in crisis management.

In an article for Social Media Today, Stephen Collins describes a prime example, the Queensland Police Service:

    • QPS presence in social media (on Facebook) was signed off May 10 2010 at Deputy Commissioner level as a six month trial. As a early December 2010, prior to the floods, they had 6000 “Likes” on their Facebook page. They were delighted at this point and had no idea what was to come;

 

    • the entire media team is responsible for social media and it is tightly integrated into other comms and public safety work;
    • QPS has no formalised social media policy. It has become a case of just do it. The benefits are there to be realised. Kym noted specifically that as a part of QPS’ overall strategic communications that the social media component is the “easiest, fastest, most efficient way to get information to the people of Queensland as well as our media stakeholders.” She noted that elements of the traditional media have expressed a level of unhappiness that they are no longer the gatekeepers for information coming from QPS;
    • social media “really provided a connection” to Queenslanders during the floods and now, on an ongoing basis as QPS has made real efforts to engage with their audience. The same material that goes out over social media goes out over more traditional channels such as radio and television;
    • the dissemination of public safety information via social media is seen as having a direct correlation to saving lives. Clearance for information distribution is at the sworn officer level, as it is for discussions of such matters with the media and public generally. No additional clearance process is necessary. On the matter of officers using social media directly in the field, the matter is under consideration, but not ready for action;
    • at 12 months into a serious effort on social media, QPS are “still new at this”;

 

  • QPS media now has over 178,000 Likes on Facebook and has an active engagement with many of those people. Often, things are posted by the public on QPS’s Facebook page that they had not anticipated (examples were given such as family members of offenders and victims posting information or tributes). This does not stop them being posted. Little is ever removed unless it breaches the page code of conduct published there.

The QPS has not gained its massive following (and thus communication power) through marketing tricks or some type of voodoo, but by engaging the public at a personal level while continuing to deliver pertinent and timely information. It really is that simple. Give people a reason to come back and they will, in droves.

Kudos to the QPS for setting an example for fellow agencies, keep up the good work!

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For more resources, see the Free Management Library topic: Crisis Management
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[Jonathan Bernstein is president of Bernstein Crisis Management, Inc. , an international crisis management consultancy, and author of Keeping the Wolves at Bay – Media Training.]

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Summary Principles for Staying Sane When Leading Others

A male leader giving a speech to colleagues in an office

Everyone in management has gone through the transition from individual contributor to manager. Each person finds his/her own way to “survive.” The following guidelines will help you to keep your perspective and your health.

1. Monitor your work hours.

The first visible, undeniable sign that things are out of hand is that you are working far too many hours. Note how many hours you are working per week. Set a limit and stick to that limit. Ask your peers or boss for help.

2. Recognize your own signs of stress.

Different people show their stress in different ways. Some people have “blow ups.” Some people get very forgetful. Some people lose concentration. For many people, they excel at their jobs, but their home life falls apart. Know your signs of stress. Tell someone else what they are. Ask them to check in with you every two weeks to see how you are doing. Every two weeks, write down how you are doing – if only for a minute. Stick in it a file marked “%*#)%&!!#$.”

3. Get a mentor or a coach.

Ideally, your supervisor is a very good mentor and coach. Many other people have “been there, done that” and can also serve as great mentors to you.

4. Learn to delegate.

Delegating is giving others the responsibility and authority to carry out tasks. You maintain the accountability to get them done, but you let others decide how they will carry out the tasks themselves. Delegation is a skill to learn. Start learning it.

5. Communicate as much as you can.

Consider the following guidelines:

a. Have at least one person in your life with whom you are completely honest.

b. Hold regular meetings with employees – all of them in one meeting at least once a month, and meet at least once every two weeks with each of your direct reports. A common problem among new managers and supervisors (or among experienced, but ineffective ones) is not meeting unless there is something to say. There is always something to communicate, even if to say that things are going well and then share the health of your pets.

c. Err on the side of too much communication, rather than not enough. New managers and supervisors often assume that their employees know as much as they do. One of the first signs of an organization in trouble is that communications break down.

6. Distinguish between what is important and what is urgent.

One of the major lessons that experienced leaders have learned is to respond to what is important, rather than what is urgent. Phone calls, sick employees, lost paperwork, disagreements between employees all seem to suddenly crop up and demand immediate attention. It can seem like your day is responding to one crisis after another. As you gain experience, you quit responding to the crisis. You get an answering machine or someone else to answer the phone. You plan for employees being gone for the day – and you accept that people get sick. You develop a filing system to keep track of your paperwork. You learn basic skills in conflict management. Most important, you recognize that management is a process – you never really “finish” your to-do list – your list is there to help you keep track of details. Over time, you learn to relax.

7. Recognize accomplishments.

Our society promotes problem solvers. We solve one problem and quickly move on to the next. The culture of many organizations rewards problem solvers. Once a problem is solved, we quickly move on to the next one to solve. Pretty soon we feel empty. We feel as if we are not making a difference. Our subordinates do, too. So in all your plans, include time to acknowledge accomplishments – if only by having a good laugh by the coffee machine. Do take time to note that something useful was done.

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Carter McNamara, MBA, PhD – Authenticity Consulting, LLC – 800-971-2250
Read my weekly blogs: Boards, Consulting and OD, Nonprofits and Strategic Planning.

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Getting Bank Financing Part II

Bank building concept made with money

The bank wants a business plan. You have collected all the information on the external environment, company strengths and weaknesses. You thoroughly understand the market and financial rationale for starting or expanding your business.

Maybe that wasn’t wasted time…

Now it’s time to put the plan together. Typically the business plan will start with a one page executive summary. It will include the compelling reasons for the expansion, including the customers you have in place. For a start up, the executive summary will highlight the advantage of your business over the existing competitors out there.

Then you move into the details. A business plan typically starts with the marketing plan, the reason for the business’s existence. It will include your target market and how attractive it is to be in that market. Include market growth, trends, size, etc. Demonstrate a clear understanding of market needs, backed by objective data where possible.

Detailing your competitive advantage is key. Here it is critical to provide information on your competitors in order for readers to objectively evaluate the power of your business’s advantage.

Translate the competitive advantage into a value proposition. How valuable is your advantage to your customers? This information will feed into your business model ie, how you plan to make money.

Wind this all up with your promotional plan: how you plan to position your product or service in the market; product features; the pricing level, especially versus the competition; the promotional plan for getting your message to the market, including direct sales; and how you plan to deliver your product to the market.

Operations is the next key piece of the business plan. This is the opportunity to explain in detail how the product will be manufactured or the service delivered. It is important to outline the rationale for the key expenses and investments needed, as this will provide the information to support the numbers in the upcoming financial plan.

Ensure the competitive advantage is delivered by the operations, if that is your source of advantage. The more proof there is to demonstrate the advantage will be delivered to the market, the more credible the plan is to the bank — and verfied for your own peace of mind.

The next sections of the business plan will include the other key functions of your business. This will vary according to the business. Possibilities include Regulatory, Research and Development, and Information Technology. Again, explain the expenses, investments and how these departments deliver on your competitive advantage.

Finally, crucial to your business plan are the financials. These will include your pro forma (projected) income statements with your revenues and expenses. It will also include your pro forma balance sheet, with the impact of the profit or loss on your assets, debt and equity. The assumptions need to be clear. It is a good idea to have an accountant review these numbers, if not help you put them together.

For the variables that present the most risk, it is a good idea to include a best case, worst case and most likely case. This will show the impact of shifts on the financials, which clarifies the variables to most closely monitor. An accountant can also assist with the sensitivities.

Following the above steps will yield a solid business plan for the bank, and for your own management of the company. Here’s wishing you the best of luck with your new business, or expansion.

Photo Credit: Robert Nunnally

For more resources, see the Library topic Business Development.

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Some Unique Nonprofit Board Models (Part 2 of 2)

Work colleagues having a meeting in a relaxed workspace

(See Part 1 of 2)

Relationship Model

Steven Block proposes a model that, instead of having a rigid, top-down structure of roles and hierarchy of the traditional policy model, provides for Board and staff members to work together with great priority on generating relationships and value from those relationships.

The Executive Director and staff play an important role in bringing matters to the group (a group of Board members and staff) and their opinions are greatly valued. Board and staff share experiences together, for example, rituals and meals, to develop relationships. Board members are not expected to take part in activities outside Board meetings. They can be there to assist staff. Committees are not used .

Nested Boards

While it is not necessarily a new perspective on Boards, nonprofit leaders should understand this Board model because they might encounter it when collaborating with other nonprofits. Nested Boards exist in associations or “umbrella” organizations that have members, or subgroups, that also are organizations.

An example is a national organization that has chapters in various regions or states. Advantages to this arrangement are that the members benefit from the guidance and resources of the umbrella organization. The umbrella organization benefits from the structured involvement and representation of the various subgroups. Members of the organization’s Board of often are members of the Boards of the various subgroups.

There can be a continual tension in the arrangement. Subgroups want the autonomy to serve their local constituents, yet want the benefits of their affiliation with the umbrella organization. Likewise, the umbrella organization wants the dedicated participation and contributions of the subgroups, yet wants the subgroups to effectively manage their own operations in their own locales. See The Dynamics of Nested Governance in Nonprofit Organizations: Preliminary Thoughts .

Policy Governanceâ Model

Although it is not new, Carver’s Policy Governanceâ Board is another prominent Board model. (“Policy Governance” is a commercial product and registered trademark of Carver Governance Design, Inc.) The model is designed to ensure that Board members always operate in a fashion that maintains strong, strategic focus for the organization.

Board members enforce clear policies that determine the “ends” for the organization to achieve and they set very strict limits within which the Chief Executive operates. This structure is characterized by few, if any, distinct officer roles or Board committees.

Nonprofits are encouraged to use trained consultants to implement this model. Similar to other models, there are very strong critics and proponents. This model is not referenced throughout the guide because of its commercial and highly technical nature. See Carver Policy Governance Model.

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Carter McNamara, MBA, PhD – Authenticity Consulting, LLC – 800-971-2250
Read my weekly blogs: Boards, Consulting and OD, Nonprofits and Strategic Planning.

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Financing Your Business Part I

Dollar notes planted in soil near a shovel

I just spoke with a bank manager yesterday about how his clients do not have well thought out plans for starting a business or expanding a business. So, I thought I’d help you out here.

There are some standard questions the bank will ask:
– Do you have experience in the industry?
– Does your plan make sense?
– Is there a market need?
– Can you make money?
– Does your pricing make sense?
– What are the risks?

You need to have your bases covered on these questions before talking with the bank.

Then, the bank will ask for a business plan. The plan covers a lot of the work I have described in previous blogs on Building a Business.

For a new business, the bar is high. You are trying to prove a need without the sales to show you have a salable product or service.

For an expansion, you must have already demonstrated the value of your product. However, the bank will still require a well thought out plan that it believes you can and will implement.

Prepare for the Business Plan with Research
To prepare for the business plan research the government requirements, effect of the economic cyle (especially being in a downturn now), social and technological trends. Understand these issues thoroughly and how they will affect your business.

Then look at your possible competitors. This includes substitutes for your product, the ease of entering the market, the bargaining power of suppliers and of buyers. Take a look on the web and talk to industry participants.

Summarize your research with a list of opportunities and threats for your business.

Spend some time understanding your market needs and buying behavior (Refer to What DOES Your Target Market Want? below). The results will provide you with the information you need to determine your competitive advantage and/or the reason your expansion will be successful.

Follow the research up by understanding the value of your product or service to your customers in dollars and cents, particularly versus your competition. Ensure you have your product or service, pricing, promotion and delivery of your service figured out.

Then thoroughly consider your company’s strengths and weaknesses. Try to get an outside view from customers. A simple but carefully considered survey can help here. The wording will be crucial to obtaining useful information. Take a look at the Net Promoter(R) Score literature to see if this is the approach you want to use (netpromoter.com).

Armed with this information, you will be ready to prepare your business plan. I will cover this in the next blog. Feel free to let me know any specific issues you have so I can be sure to address them.

Photo Credit: NAIT

For more resources, see the Library topic Business Development.

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If You Lie Down With Dogs…

mafia-in-the-united-states.

Don’t play friendly with the bad guys

It doesn’t require a deep look to know that Khamis Gadhafi, son Muammar Gadhafi, is going to be involved in controversy, so what would drive a U.S. company to bring him on as a high-level intern? Greed perhaps, or just foolishness? Here’s the story, from a Yahoo article by Zachary Roth:

The internship, which lasted a month, was sponsored by AECOM, a Los Angeles-based global engineering and design company that has been working with the Libyan regime to modernize the country’s infrastructure. Khadis made stops in San Francisco, Colorado, Houston, Washington, and New York City, meeting with high-tech companies (including Google, Apple, and Intel), universities, and defense contractors like Northrop Grumman and Lockheed Martin. While in the Big Apple, Khamis even took in the Broadway show “Mamma Mia.”

News of Khamis’s internship, which was approved by the State Department, was first reported by ABC News.

Since coming home, Khamis appears to have played a key role in helping his father’s regime in its violent campaign to quell the uprising. He has led the elite 32nd Reinforced Brigade, known at the Khamis Brigade, which reportedly has been involved in brutally suppressing rebel forces.

The old saying, “if you lie down with dogs, you end up with fleas” is still around for a reason. AECOM took Khamis on what was essentially a paid vacation throughout the US, in a move that looks very much like an exchange for contracts in Libya. While of course AECOM has issued the standard press release mea culpa, this half-hearted crisis management effort will do little towards repairing its reputation.

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For more resources, see the Free Management Library topic: Crisis Management
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[Jonathan Bernstein is president of Bernstein Crisis Management, Inc. , an international crisis management consultancy, and author of Keeping the Wolves at Bay – Media Training.]