Archive for the ‘Leadership’ category

Use Premortems For Better Decisions

April 15, 2016

It’s a well known fact that 75% of business startups fail in the first year, over 80% fail in the first 5 years, and only 4% survive 10 years. Given these overwhelming odds, why do so many entrepreneurs risk their life savings and start businesses?  When most people anticipate future events, their initial reaction is to be overly optimistic.

We’ve all sat in meetings where the high influencers in the group persuade the team with the optimistic vision.  The opinions of the quiet realists are often overlooked or stifled by the enthusiasm created by the energetic influencers.  Good leaders recognize decisions can be hijacked by the overly optimistic vocal team members and go out of their way to extract the opinions of the less forceful deep thinkers.

One approach is for leaders to challenge their team to conduct a premortem when making important decisions.  When the team has almost come to an important decision, have the team imagine they are a year into the future. They implemented the plan as it now exists.  The outcome was a disaster.  Have them discuss what went wrong that created the disaster.  It’s amazing how engaged the introverted conscientious team members become and how better decisions are made using this approach.

Leaders who empower their decision makers to conduct premortems make more successful decisions.

Increase The Question To Statement Ratio

April 8, 2016

When communicating and giving feedback, leaders should use questions rather than statements for a number of reasons.

When leaders ask questions and solicit solutions, they gain commitment to the execution of that solution since the direct report feels empowered. Secondly, they expand the direct report’s critical thinking ability when they ask questions, probe for answers, outcomes, and long term ramifications.

In Jim Collins’ book, “How the Mighty Fall,” he stresses the importance of a leader’s question to statement ratio suggesting they appoint someone in a team meeting to track how many statements they make and how many questions are asked.  Then he suggests leaders systematically try to increase the number of questions to double that ratio over the period of one year.

Leaders should empower direct reports by using questions to increase critical thinking and problem solving ability throughout the organization for more success.

The Importance Of The Onboarding Process

March 31, 2016

Recruiting does not end when a new employee starts. It is important to cement retention during the first 90 days of employment. Hiring managers must make sure the employee’s desk is prepared for their first day.  Do they have a computer? Are their phones ready? Is their work area ready?  Is there a plan for their first few days, including lunch?  And most important of all: do they understand their accountabilities?

Hiring managers should meet with the new direct report on their first day, and on a regular basis during the first 90 days to provide feedback and review the new hire’s accountabilities. It is best for the hiring manager to formally check in with the new direct report at 30, 60, and 90 days to see if their expectations match reality, whether they have all of the resources they need, and to provide mutual feedback.

Hiring managers need a plan to provide adequate training and resources for the new direct report so that they can be successful. This doesn’t mean just providing them with manuals to read.  Hiring managers should have the new hire shadow people in different areas or have some of the most experienced people share war stories.  If they must read manuals, schedule breaks at various sections of the manual to discuss application of what they read to the work they will be doing.

Considering all of the hiring manager’s resources it took to recruit a new hire, it is important for them to cement the relationship with the new hire and empower them for success right from the beginning.

Use Success Factors to Rate Direct Reports

March 25, 2016

Microsoft announced a few years ago they are abandoning their controversial “stack ranking” system for evaluating employees.  For years, Microsoft managers had been required to grade employees against one another and rank them on a scale of one to five.  Under this approach, some employees must receive an unfavorable review based on how they compared to their peers, regardless of the quality of their work or their accomplishments.  This created great angst for both managers and employees and was the primary factor for Microsoft’s poor morale.

Jack Welch similarly mandated a 20-70-10 differentiation process at GE.  Each GE department head was required to identify 20% of their superstars, 70% producers, and the 10% low performers needing to be terminated.  Even in an organization as large as GE, both managers and employees rejected this approach.

There is nothing wrong with differentiating a team – superstars should be treated differently than questionable contributors – but forced ranking is not the best approach.  The best differentiation models identify specific rigid criteria required to be identified as a superstar, producer, or questionable. It doesn’t matter what percent of a team are superstars as long as they achieve or surpass the established challenging success factors (both achievement metrics and cultural/behavioral performance). Similarly, those team members failing to meet their success factors and falling into the questionable category should be working on an exit plan, regardless what percent of the team this represents.

Empowered leaders who differentiate based on predetermined success factors instead of a forced ranking have more successful teams.

Assess Candidates Early In The Selection Process

March 18, 2016

Confirmation bias is the tendency to favor information that confirms our beliefs and dismiss information that does not support our views.  We all have confirmation biases that cloud our reasoning. The extent to which we can become aware of our biases and minimize them will allow us to make better decisions.  As one unaware leader said, “My mind is already made up, don’t confuse me with the facts.”

Hiring managers deal with confirmation bias frequently when evaluating candidates and rely on assessments to improve their objectivity.  If candidates are going to be assessed, the assessment should be administered early enough in the selection process before an opinion has been developed on a candidate.  Once the hiring manager decides on a candidate, the assessment may do little to change their mind.  In this case, by the time hiring managers administer assessments, the results are used to confirm their bias and dismiss information that does not support their beliefs about a candidate.

Candidates should be assessed after the first interview, but before reference checks and follow-up or group interviews.  This allows hiring managers to objectively analyze the assessment results and minimize their confirmation bias.

Empowered hiring managers assess candidates early in the process and experience more successful hires.

Always Be Building The Bench

March 11, 2016

Effective leaders are always “trolling for talent” and meeting and qualifying prospective new hires.  Effective hiring managers keep a file of potential new hires they have met in the last year – just in case they have an opening.

Good and bad economies provide opportunities for leaders to be meeting with potential new hires.  Even though the leader is not in a position to hire, meeting new potential candidates and “building a bench” is an on-going process.

Hiring managers should set aside time each month to meet with potential candidates and grow the bench.  This will increase the new hire success rate when a position opens up.

Empowered hiring managers who are constantly looking for new talent will make more successful hires.

Set Time Frames When Empowering

March 4, 2016

Too often leaders remember to set a completion date for their direct reports when delegating a project, but often forget the other important time frames: total time dedicated and milestone dates.

By setting overall time commitments leaders provide a guideline for the depth of involvement.  For example, “Jen, I need this report by Friday and expect it shouldn’t take more than 2-3 hours to complete.”  For a longer, more elaborate project: “I would imagine this should take about 10 hours per week through completion; if you find it takes more than that, we should discuss.”

Leaders should remember setting the next milestone with time and expectation gives the direct report some autonomy and should prevent leaders from running into their direct report’s office asking, “Are we done yet?” or “Let me see what you’ve got so far.”  For example, “Let’s meet next Friday at 9:00 to discuss which vendors you are considering before we lay out our next milestone.”

Leaders who empower their direct reports with clarity around time commitments and check-in dates to avoid ambiguity have better alignment of expectations and experience greater success.

Prioritize Job Accountabilities

February 26, 2016

Job accountabilities are the three to five major job function groupings every job should have.  Within each of the accountabilities, there are the job function details, expected percentage of time spent, and success factors.  For added clarity and to help the direct report when faced with conflicting activities, prioritize the accountabilities.

Typical sales accountabilities are prospecting, closing the sale, post sales service, and administrative activities.  What is the most important function?  Is closing the sale more important than prospecting?  Prioritizing accountabilities ensure the leader and the direct report are on the same page.

Leaders should spend time with their direct reports and help them prioritize their accountabilities.  If everything seems equal, at least come up with a #1 priority (the best way to determine the #1 accountability is to ask if the direct report has an extra 30 minutes before their week ends, in what job function should they spend their time).

Leaders who prioritize their direct report’s job functions empower them to focus on what is most important for success.

Timing is Everything When Giving Feedback

February 19, 2016

Okay, maybe timing is not everything but it means a lot!

Generally speaking, feedback should be delivered immediately following an observed behavior and specific to what was observed to be most impactful.  The exception is when leaders are white-hot where delivering the feedback is likely to result in much credibility loss and the recipient will focus more on how angry or frustrated the leader is and less on what they should do in the future.

In those rare situations when frustrated beyond belief, exercising the 24-hour cool-off rule is very appropriate.  Simply indicate to the direct report something like “Let’s meet tomorrow at 9:00 when we’re both more calm to discuss what can be done to turn this situation around and prevent it from happening in the future.  I’m afraid meeting about it now may not be very productive for either of us.”

It’s okay for leaders to let their direct report know they are disappointed or angry without taking it out on them.

Leaders who empower direct reports by encouraging them to be part of the solution and don’t blame them for the negative situation will be more successful.

Leadership Is Not For Every Star

February 12, 2016

We’ve all seen it several times: the emerging superstar or long-time warrior who’s excelled at all the challenges the organization has given them.  Their career path was impressive and the organization has benefited handsomely from the high-performer’s contributions.  The next logical step up the ladder is a managerial role.  This is where the superstar fails and the organization has not only lost one of its most valued contributors, they now have a leadership issue.

Not every superstar makes a great leader and great leaders were not always superstar contributors.  Though leadership skills can and should be developed, a high-performer’s leadership potential must be evaluated before they are promoted.  Delegation tendencies, strategic focus, situational control, humility, and people awareness can all be assessed BEFORE someone is promoted.  Understanding a superstar’s limitations before setting them up for failure can prevent the loss of a great asset and a managerial headache.  In fact, many organizations have two high potential career tracks: one for high performers with leadership potential and one for strong individual contributors.

Empowered leaders assess a superstar’s leadership potential before promoting them to a leadership role and both are more successful.