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News, Advice, & Insight About Executive & Organizational Development From WJM Associates, Inc. March - April 2008 / Vol. 7 Issue 2
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Welcome to WJManagement Advisor, a bi-monthly newsletter about executive and organizational development from WJM Associates, Inc., a leading human resources management consulting firm. Delivered via e-mail and archived on our Web site www.wjmassoc.com, WJManagement Advisor presents issues and trends affecting the successful development of organizational leadership as well as strategies for executive career growth. We hope you find WJManagement Advisor useful and welcome your comments. Send comments to our editor Tim Morin at tmorin@wjmassoc.com. ________________________________________________
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Characteristics of Effective Leadership: Strategic Acumen By William Erb The next several issues of the WJManagement Advisor will each include an article focusing on one of these characteristics. In this issue we address the third of these seven: Strategic Acumen. It is tempting to assume that strategic acumen is principally derived from analytical skills and industry insight. Developing a strategy that will lead to a sustainable competitive advantage often requires, however, a broader set of leadership competencies. Interpersonal skills are equally if not more vital since they enable a leader to tap into the knowledge and experience of two important groups of people: her strategic network and her top team. A strategic network, as distinct from an operational network, is oriented externally and toward the future and is therefore vital if a manager is to achieve a high degree of awareness of industry dynamics and international trends. A leader’s top team, possibly supplemented with another internal council with a specific remit for strategy, has the potential to be a forum for genuine debate that can help a leader to flesh out a strategy, to avoid succumbing to blind spots or over-optimism and to stress-test important strategic initiatives before they are implemented. Strategic networking was identified as one of the most difficult developmental challenges aspiring leaders must address in a recent study of 30 managers making a transition to a larger leadership role [1]. This is particularly the case for managers who have risen through the ranks by dint of their technical skills and operational results and who may not immediately grasp that addressing strategic issues facing the overall business will involve relational rather than analytical tasks. Building, maintaining and leveraging a strategic network of internal (including board level) and external contacts and advisers is one of the most important steps a leader must take to develop strategic acumen. Leaders with access to a solid strategic network are much better placed to determine future priorities and challenges and obtain approval from key stakeholders for strategic initiatives. In the last WJM newsletter Tim Morin introduced a process for decision-making in his discussion of the leadership characteristic of decisiveness. Key elements described by Tim include: gathering information from a broad range of sources, fostering constructive conflict, honestly considering the alternatives by ensuring that dissenting views are genuinely considered and not dominating the decision-making process. These behaviors are particularly relevant for leaders making strategic decisions, which are by their nature fraught with uncertainty and where the stakes are often extremely high. One component of strategic acumen that is often overlooked is whether a leader is able to leverage the individual wisdom and experience of the members of her top team when making strategic decisions. This is an ongoing challenge since most strategic decisions require frequent reassessment and adjustment as circumstances evolve and competitors respond. The decision-making process described above is only possible when a high degree of trust exists amongst members of a management team. If this is not the case, individual team members will not feel comfortable enough giving voice to what they genuinely think and to how they feel in their gut about a particular issue, particularly if this involves challenging the leader. Strategic acumen is thus intricately linked with – and reinforced by – all of the other characteristics of effective leadership covered in this series (Authenticity, Decisiveness, Vision, Humility, Talent Selection and Coaching & Feedback) that promote trust between a leader and her top team. In the eyes of internal and external stakeholders accountability for the strategy of an organization rests squarely with its leader. Strategic acumen is therefore a vital component of successful leadership. And yet at the heart of the concept of strategic acumen lies a paradox: although an organization’s strategy is strongly associated with a single individual – its leader – astute strategy development often entails a leader deliberately cultivating (and being comfortable with) a dependency on others. Mastering analytical frameworks is therefore only part of the story if a leader is to develop strategic acumen. Cultivating key interpersonal skills critical to strategy formulation is equally essential. William Erb is a member of WJM Associates’ European Executive Coaching Faculty. Based in London, William specializes in working with senior leaders and top teams to improve their effectiveness in delivering against major strategic objectives. William was formerly an Executive Director in Morgan Stanley’s M&A Department and EVP of Business Strategy and Regional Director for Japan at Amersham Health (now GE Healthcare’s Medical Diagnostics business). William also periodically serves as a faculty adviser on corporate strategy executive education programs at London Business School. _____________________________________ [1] Ibarra, H & Hunter, M (2007, January). How Leaders Create and Use Networks. Harvard Business Review. __________________________________________________________________________________________________________________
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Your Career Path to Success: 6 Ways to Recession-Proof Your Career By William Morin Obviously, these are tough and uncertain economic times. Most financial experts believe that a recession is inevitable, or has already begun, and the slowdown will affect every segment of our economy. During every recession people always lose their jobs; it’s the quickest way for a corporation to cut costs. No job is completely recession-proof, but if you follow these six guidelines you may avoid becoming a “recession casualty” by keeping your career on track. 1. Keep your professional network up-to-date. Call it politics, schmoozing or building alliances – stay close to those people who can help make you even more successful. Attend meetings, seminars and conferences to make new contacts and maintain old ones. Make friends with the company stars. Help them attain their goals and you help yourself. Learn how to market yourself. Understand this is how business operates in the real world. 2. Be alert and look at the big picture. You are a business unto yourself - be your own CEO. Constantly be watchful for key signals. Understand your business. Just because your unit or department is doing well don’t assume you are immune to being let go. Know what’s happening with the entire company. Read the business and trade publications that cover your company and industry. Check out rumors. Most are usually not true, but it’s how management responds to rumors that will give you a real indication of their veracity. 3. Keep your career sales kit up-to-date. As you achieve new goals and gain new responsibilities, keep your resume current - don’t wait until you are looking for a job. Establish your list of influential people now, before you need it. Write articles for professional publications. Stay in contact with several search firms or employment agencies; tell them about your achievements. Call or meet with your mentors – bring them up to date and ask their advice. 4. Ask yourself what you should be learning. Are you really prepared for that position you’re striving for? What are the gaps in your knowledge base? Take classes in management, leadership or even public speaking. Master new software, particularly advanced software used in your profession. What proficiencies are you lacking that the company values? Do a reality check of your skills. 5. Complacency is deadly. Reach inside yourself. Do you really know what your boss expects of you? Strive to become a better manager/boss. Make yourself indispensable. Do tasks others shun. Even if your future looks grim, keep a positive attitude and stay upbeat – it may be the difference between keeping your job and the street. 6. Of course it’s easy to say, but don’t panic and leave your job because you think you will be let go. Unless you have a firm offer for a new job, stick with your old one, even if you know the end is near. You will probably be eligible for a severance package including benefits and job search support. __________________________________________________________________________________
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Networking: What is Your NQ? Interview with Networking expert and author Michael Dulworth Michael Dulworth is the author of The Connect Effect: Building Strong Personal, Professional and Virtual Networks (Berrett-Koehler, January 2008) and the President & CEO of Executive Networks, a leading provider of HR-related executive peer networks. 1. What’s different about networking today than before? The major difference today is how easily it is to communicate with your network via the Web. Some research has pointed out that the maximum number of active network members is in the 150 range. But that research was done before the Internet. Today, it may be possible to establish and maintain a much larger network because the technology is widely available to assist in managing a network contact base, plus email makes it so easy to actively communicate with a large number of network members. So today it may be possible to have an active network of thousands of members. 2. What’s The Connect Effect and why is it important? The Connect Effect is the positive outcome derived from having a strong, vibrant network. As more and better connections are made by an individual, the more likely The Connect Effect will occur. I talk in the book about entering “The Network Zone” which is much like what is described as “being in the zone” in sports. The Network Zone is achieved when your network is so broad and deep that almost anything can be accomplished more efficiently and effectively through your network. What also happens in The Network Zone is that positive unintended things occur as a result of your network – like having someone call you up out of the blue with an amazing new job opportunity. 3. What’s the NQ designed to measure and how does it work? NQ stands for Networking Quotient and I developed a tool for measuring people’s NQ so they can know what’s working and what needs improvement regarding networking. Just like a person’s IQ (or Intelligence Quotient), everyone has an NQ and my book features a brief questionnaire that measures an individual’s NQ. The NQ questionnaire has two major sections: the first asks about the scope and strength of your network; the second asks about your networking activities. Understanding your current NQ is important to making changes or improvements that can raise your NQ score. The good news is that raising your NQ is totally within your control which is not the case with your IQ which is pretty much determined by your genes. 4. If someone’s just no good at networking – or, like many folks, just hates it — can that person do anything to build confidence and see results from networking? Everyone networks everyday; they just may not think they do. Everyone talks daily to a family member, a work colleague or a friend and this is a form of networking. Additionally, most everyone meets someone new everyday. The trick is to find a way to build and maintain your network that is comfortable for you. This is where personality, style and preferences come into play. If you’re an introvert, you may not like large gatherings. So meet a contact for lunch or go online and build and communicate with your network in this manner. Networking is not simply the act of going to social or “networking” events to try to meet new people. I’d argue that networking needs to be thought of more holistically and approached with a deliberate process mindset (i.e., “Have I networked today?”). Second, I’d stress that most people’s networks are a lot better and stronger than they think. They’ve just not taken the time to map their network or to think about who the important contacts are within their network. 5. How do you suggest someone map and analyze their network? There are multiple ways to map and analyze your network. My favorite way is to describe your networking journey in a narrative summary while in parallel creating a network tree diagram. In the book, I describe how my network has formed since birth, starting with my parents, siblings, aunts and uncles, cousins, friends of the family, my friends, school friends, business associates, parents of my son’s friends, etc. If this is done in chronological order, you can see how your network has formed over time and how it has grown, sometime slowly and sometimes very quickly. I talk about Network Accelerators, which are situations in which a network grows exponentially. In my case, going to college at the University of Michigan was a Network Accelerator for me. U of M has one of the largest alumni populations in the world so by going to this university I’m able to tap into this incredible network. 6. What about the notion of the personal brand and how does it work for networking? A personal brand is just like a product brand. It is how you are viewed by your network member or a potential network member. What I talk about in the book is thinking about this idea in detail and describing (i.e., writing down) your brand identity. How do you want people to view you? What do you want people to remember you for? What picture are you trying to leave in people’s minds? The answers to these questions will help form a personal brand. It’s important to remember however, that a personal brand is not hype. A personal brand has to be genuine; the real you will always come though in the end. 7. What’s the idea behind forming a personal board of directors? A PBOD, or personal board of directors, mirrors a company board of directors in its composition and intent. The idea is to select from your network a small number (5-10) of diverse people that you turn to for important advice, counsel, coaching and mentoring. My PBOD includes my father, my best friend, a business colleague, a member of my company’s board, a cousin, my wife, an old boss and my college roommate. The members of your PBOD care about you and are willing to help you with difficult personal problems, job and career challenges, etc. and provide sage advice and guidance. 8. What about virtual networks – how have they changed networking and are they the answer? As I said earlier, the Web has transformed our thinking about networks and made it much easier to network with people throughout the world, 24/7, 365 days a year. Connectivity with people in our networks can be instantaneous via IM (Instant Messaging). We can also use global positioning to know where all of network members are at a given point in time (if they provide us with this access). Social networks like MySpace, Facebook and YouTube are becoming platforms for all types of social interaction. All of these innovations are radically changing the nature of networking and many of them are extremely positive in nature. However, many of the people I interviewed for my book talked about how depersonalizing these online forms of networking can be. They talked a lot about the need to establish a personal connection with network members face-to-face before online forms of networking can be effective. This may be a generational issue, however, so we’ll just have to wait and see. 9. What's the future of networking? I asked this question to the over 30 people I interviewed for the book. They said that networking would become increasingly important in a world of volatility, uncertainty, complexity and ambiguity. They said that reciprocity (the quid pro quo of networking) is the key to successful networking (whether face-to-face or virtual). They said that technology (mainly the Web and mobile devices) is going to transform networking in ways that we can’t imagine today. They said that the younger generations are going to change the world and solve many of mankind’s major dilemmas because of the networks they can form and leverage. As the management guru Peter Drucker said, “The leader of the past knew how to tell; the leader of the future knows how to ask.” __________________________________________________________________________________
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About WJM Associates Headquartered in New York City, WJM Associates is a recognized leader in the fields of executive and organizational development. WJM has a Faculty of over 100 experienced executive coaches and consultants delivering coaching, assessment and other organizational effectiveness services throughout the world. To learn how we can help you, visit www.wjmassoc.com, contact one of our Account Directors toll free at 1-877-667-4647 or e- mail us at tmorin@wjmassoc.com. Sincerely, Tim Morin WJM Associates Inc _______________________________ Web: http://www.wjmassoc.com © Copyright 2006 WJM Associates, Inc., All Rights Reserved 675 Third Avenue, Suite 1610 - New York , NY 10017
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