Tag Archives: new business model

Leaders with a Moral Purpose Have More Engaged, Productive Workers

July 5, 2017

Having a sense of purpose in your life is often subsumed to the more “important” things – like advancing your career, finding the right relationship, or acquiring more material goods – the “bling” of having really “made it” in life. Right? But consider this: What enables you to know what’s worth going after in the external, outer world – and what’s not and ultimately harmful – is an internal sense of purpose. Knowing what you’re really living for. Your moral purpose, for being alive on this planet, at this historical moment you happen to be living within. And that includes your impact on the larger society and future generations as well, in recognition that you are one link in a long chain of beings who came before you and who will come after you are no longer here.

The consequences of ignoring your moral purpose – or developing an unhealthy, unconscious purpose — are legion in our society: rampant dysfunction and unhappiness in individual relationships, in the rise of self-centered, destructive political and policy aims, and in the products and services provided by today’s organizations and businesses.

A new study shows the direct connection in that latter realm, the workplace. It finds that leaders who have a moral purpose in their leadership vision and actions have employees who are more highly engaged — productive, collaborative, and experience greater enjoyment in their work and organizations. Contrast that with the large numbers of workers who report feeling depressed, significant stress, and even hatred of their work, their workplace, and their bosses.

This new study, described in a report from British researchers, emphasizes the need for what they call ‘purposeful leadership’ for the modern workplace. They find that When modern managers display ‘purposeful’ behaviors, employees are less likely to quit, more satisfied, willing to go the extra mile, better performers and less cynical,

Lead researcher Catherine Bailey says in a summary of the report, “Our study shows that the modern workplace is as much a battle for hearts and minds as it is one of rules and duties.”

“People increasingly expect an organizational purpose that goes beyond a mere focus on the bottom line, beyond the kind of short-term, financial imperatives that are blamed by many for causing the 2008 recession. In turn, they respond to leaders who care not just about themselves but wider society, who have strong morals and ethics, and who behave with purpose.”

Laura Harrison, author of the report, adds, “Much has been discussed about the critical nature of invoking and ‘living’ purpose in an organization, but little around the alignment of this purpose to the internal, perhaps hidden, moral compass of an organization’s leaders. The challenge now is how we enable and support the development of leaders that people actually want to follow.”

The researchers suggest that there is much that organizations can do to foster purposeful and ethical leadership, including the adoption of relevant policies, leader role-modeling, alignment around a core vision, training and development, and organizational culture.

Credit: Pexels

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What Prevents Taking Work Stress Home With You?

February 14, 2017

I think this new study is useful, per se, but it contains a glaring, most significant omission. And that’s often typical of academic research that ignores the reality of everyday experience. To explain, researchers at the University of Central Florida found that exercise and sleep are keys to keeping employees from bringing work stress and frustrations home.

The study, reported in this summary from the University, looked in particular at abusive behavior at home. They found that those who engaged in more walking at work, and had more sleep, were less likely to behave abusively at home. That is, according to researcher Shannon Taylor, “…employees who are mistreated at work are likely to engage in similar behaviors at home. If they’ve been belittled or insulted by a supervisor, they tend to vent their frustration on members of their household. Our study shows that happens because they’re too tired to regulate their behavior.”

Well, yes. Exercise and sleep help everyone.

But as a solution, that finding deals with a symptom, not the source. It ignores the primary sources of most employee distress and dissatisfaction to begin with: A management culture that’s outright abusive, psychologically unhealthy, unsupportive of career development, too limiting of opportunities for continued learning, and a host of other management and organizational issues. I’ve written a great deal about the impact of an unhealthy management and leadership culture upon people’s workplace experience; and their role in a range of emotional and physical ailments that people experience as a consequence.

Moreover, the current study was conducted with MBA students – a population whose work experiences are not the same as entry level, mid-level or senior career workers. So the researchers’ conclusions — “burning an additional 587 calories can reduce the harmful effects of mistreatment and help prevent it from carrying into the home…(by,for example) with an hour of swimming or a brisk 90-minute walk” — are healthy practices, certainly. But they don’t address the fact that healthy organizations will help people experience a more positive, supportive, and meaningful career and work experience to begin with.

The research was published in the Journal of Applied Psychology.

Credit: NIU Newsroom

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To Get More Creative, Become Less Productive

Screen Shot 2016-02-05 at 2.42.57 PMFebruary 2, 2016

A recent Harvard Business Review article by Art Markman highlights the value of subverting your usual way of thinking and doing, in order to enhance creativity at work. I’ve seen this borne out in the experiences of those who’ve tried stepping out of their comfort zone, outside of their usual “box;” and become more of an “outlier” in their approach to solving problems or dealing with new challenges,

Markman writes:

There is a fundamental tension between productivity and creativity, and managers won’t get more of the latter until they recognize it. Productive people move through the tasks they have to accomplish in a systematic way. They make steady and measurable progress toward their goals. They make effective and efficient use of their time.

Creativity… doesn’t. Creativity needs time and space to grow. Although we can systematically engage in activities that are related to creativity, it is hard to systematize creativity itself. In particular, creativity is fundamentally about knowledge. Nearly all creative ideas involve people finding new uses for existing knowledge – some novel configuration of old insights. James Dyson developed his vacuum by drawing a parallel to sawmills. Fiona Fairhurst designed a faster swimsuit by understanding shark skin. George de Mestral invented Velcro by understanding cockleburs.

That means people need to have the time to learn things that are not obviously relevant to their jobs, so that they will have a broad and deep knowledge base to draw from when they need to be creative. Moreover, creative enterprises rarely involve steady and measurable progress. Instead, being creative involves trying lots of different possibilities, struggling down several blind alleys before finding the right solution. Continue reading

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Behind the Climate Victory; a Human Victory?

Screen Shot 2016-01-05 at 10.37.39 AMJanuary 5, 2016

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A guest post from John Friedman, who heads corporate responsibility communications worldwide for Sodexo Group. John blogs on sustainability for The Huffington Post, and is a leading writer on corporate responsibility and sustainable business. He’s the author of PR 2.0: How Digital Media Can Help You Build A Sustainable Brand.

Now that the fireworks have faded along with some of the afterglow from the very successful COP21 meeting in Paris we must begin in earnest in deciding what 2016 will bring. With guarded optimism I read articles summarizing the year and for the most part they reflect a renewed hope and optimism that comes from the global agreement not only on efforts to cap global temperatures to increasing no more than 2 degrees Celsius, but also the ‘stretch target’ of 1.5 degrees.

The 17 UN Sustainable Development Goals are an excellent framework. They recognize that we must continue to improve quality of life and social justice for more and more (ideally all) people within the constraints of our very resilient planet’s ability to replenish and restore (some) natural resources.

They bear repeating here:

  • Goal 1. End poverty in all its forms everywhere
  • Goal 2. End hunger, achieve food security and improved nutrition and promote sustainable agriculture
  • Goal 3. Ensure healthy lives and promote well-being for all at all ages
  • Goal 4. Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all
  • Goal 5. Achieve gender equality and empower all women and girls
  • Goal 6. Ensure availability and sustainable management of water and sanitation for all
  • Goal 7. Ensure access to affordable, reliable, sustainable and modern energy for all
  • Goal 8. Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
  • Goal 9. Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation
  • Goal 10. Reduce inequality within and among countries
  • Goal 11. Make cities and human settlements inclusive, safe, resilient and sustainable
  • Goal 12. Ensure sustainable consumption and production patterns
  • Goal 13. Take urgent action to combat climate change and its impacts
  • Goal 14. Conserve and sustainably use the oceans, seas and marine resources for sustainable development
  • Goal 15. Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss
  • Goal 16. Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels
  • Goal 17. Strengthen the means of implementation and revitalize the global partnership for sustainable development

What happened in Paris at the COP21 was a watershed meeting because it demonstrated our ability to agree on the big important issues and come together to set universal goals. And we can and should take notice of the importance not just for the global climate, but for all the issues, including those impacted by climate change and the need to address it (such as health, well-being, sustainable economic development, equality, justice, fighting corruption, etc.) Continue reading

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Are You Emotionally Connected With Your Work? Does It Matter?

Screen Shot 2015-12-27 at 9.42.36 PMDecember 15, 2015

Some new research about workplace behavior caught my attention recently. It highlights — by omission — the important link between an organization’s management culture and the psychological experience of working within it. That’s a link that needs to be examined, but often isn’t; and this study illustrates that gap. It found that people who report feeling emotionally engaged and connected with their work and their organizations also experience greater psychological well-being.

That finding may sound obvious, though it’s always good to have empirical data confirm the obvious. In this case, it shows that if you’re among the fortunate ones who feel engaged and positive about your work and management, you’re likely to experience a greater sense of wellbeing. The problem is, most people aren’t so fortunate, as surveys repeatedly show. But this study does expose important questions, raised by its own findings:

What, exactly, promotes a sense of emotional connection with your work to begin with? And how might that increase your overall sense of well-being?

First, let’s look at the study, conducted in Denmark and published in the Journal of Occupational and Environmental Medicine. It examined the well-being and other health-related outcomes in 5,000 Danish workers. Among employees in various workgroups the study found significantly higher well-being concerning “the employee’s emotional attachment to, identification with, and involvement in the organization.” Those employees also had lower sickness absence rates and fewer sleep disturbances.

The lead author, Thomas Clausen, suggests that efforts to increase emotional connection with work may lead to a happier, healthier workforce. Of course. That makes good sense, and most companies would likely agree. The problem is that a positive sense of connection with work requires several conditions and factors that organizational leadership often fails to recognize or address. Among the most important are, in my view:

  • Does senior leadership promote a positive work culture, in which workers are valued and provided opportunities for continued learning and development?
  • Is diversity encouraged and valued in practice, not just in company mission statements?
  • Is there a workaholic and/or sexist management culture permeating the organization?
  • Perhaps most importantly, do employees experience a sense of impact their work has upon the product or service the company provides? The latter appears increasingly important to younger workers, as surveys show.

I’ve written about these issues previously, and they are crucial for long-term, sustainable success within today’s environment – one of increasing interconnection, transparency and constant flux; of rapid technology change and generational shift regarding values, life goals; and how people are redefining personal and career success.

Credit: Lionbridge

A version of this article previously appeared in The Huffington Post.

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Actions That Benefit Others — Not Just Oneself — Lead to More Effective Work Teams

Screen Shot 2015-12-03 at 11.56.25 AMDecember 1, 2015

Although we’re seeing political and cultural calls for policies that advocate self-interest; and social-political positions that ignore or deny evidence of continuing global interdependence, the reality on the ground tells a different story: There, we find data that positive benefits for individuals, business and society accrue from serving the common good; actions that support the benefit of others enhance all, including oneself.

A recent study from Notre Dame and the University of Illinois is a good example. The research, published in the Academy of Management Journal, found that when members of a work team are supported and motivated to benefit others, those teams are higher performing. Moreover, its members remain in their teams for longer periods.

The study examined 67 work teams from both the U.S. and China, as well as 124 student teams at Notre Dame. According to lead researcher Jasmine Hu, “Findings from both the field study and lab research showed that the greater motivation to benefit others, the higher the levels of cooperation and viability and the higher the subsequent team performance.”

She added, “These types of teams were also less likely to have members voluntarily leave their teams. Furthermore, we discovered that these positive effects of team motivation to benefit others were stronger the more the tasks required close interaction and higher interdependence among its members.”

The researchers concluded that the research provided evidence for the importance of management practices that enhance motivation to benefit others. That, in turn, increases the collaboration and cooperation necessary for high-performing teams. It produces “…higher performance, more organizational citizenship behavior, and (members) stay in their teams for a longer period,” Hu said. Moreover, “The highest level of team effectiveness was achieved when team motivation to benefit others and the interdependence of tasks among team members were both high.”

In my view, this study’s findings emphasize the key management role of building and supporting positive relationships among team members. The latter is interwoven with and dependent upon positive management and leadership behavior. That is, by demonstrating belief in and commitment to collaboration and support for individual growth and development at the same time.

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Feeling Emotionally Connected To Work Is Linked With Greater Psychological Wellbeing…But Why?

Screen Shot 2015-11-05 at 10.47.20 AMNovember 3, 2015

I came across this new research finding that people who feel emotionally engaged and connected with their work experience greater psychological wellbeing. That may sound obvious, though it’s good whenever empirical data confirms the obvious. But I think the missing piece in the research is what, exactly, promotes that sense of emotional connection with your work to begin with?

This study from Denmark, published in the Journal of Occupational and Environmental Medicine, examined the well-being and other health-related outcomes in 5,000 Danish workers. It found significantly higher well-being for employees in workgroups with “the employee’s emotional attachment to, identification with, and involvement in the organization.” They also had lower sickness absence rates and fewer sleep disturbances.

The lead author, Thomas Clausen, suggests that efforts to increase emotional connection with work may lead to a happier, healthier workforce. This makes sense, of course. Most companies would likely agree. The problem is that sense of connection with work reflects many factors that organizational leadership often fails to recognize or address. For example:

  • Does senior leadership promote a positive work culture, in which workers are valued and provided opportunities for continued learning and development?
  • Is diversity encouraged and valued in practice, not just in company mission statements? 
  • Is there a workaholic and/or sexist management culture permeating the organization?
  • Perhaps most importantly, do employees experience a sense of impact their work has upon the product or service the company provides? The latter appears increasingly important to younger workers, as surveys show. 

I’ve written about these issues previously, and they are crucial for long-term, sustainable success within our culture of increasing interconnection, transparency and constant flux; of rapid technology change and generational shift regarding values, life goals, and how people re-define personal and career success. 

Credit: Forbes

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Covert Sexism In The Workplace Is As Harmful As Overt Behavior

Screen Shot 2015-10-10 at 2.44.35 PMOctober 6, 2015

Our workplaces are steadily evolving towards environments in which men and women are valued, recognized and rewarded for their ability to work collaboratively with others who differ from them – whether gender, cultural and ethnic backgrounds, or sexual orientation. It’s a gradual process, however, and it’s important to document and raise awareness of the attitudes and behavior that continue to undermine individuals and teams in organizations. A current example is this study: It found that that frequent sexist comments and management cultures that are covertly demeaning to women are just as damaging to women as acts of sexual coercion or overtly sexual conduct and behavior towards them.

The research, published in The Psychology of Women Quarterly, found that “Norms, leadership, or policies, that reduce intense harmful experiences may lead managers to believe that they have solved the problem of maltreatment of women in the workplace,” according to the authors. “However, the more frequent, less intense, and often unchallenged gender harassment, sexist discrimination, sexist organizational climate and organizational tolerance for sexual harassment appeared at least as detrimental for women’s wellbeing. They should not be considered lesser forms of sexism.” The research team analyzed 88 independent studies of a combined 73,877 working women, and found following associations:

  • Sexism and gender harassment were just as harmful to working women’s individual health and work attitudes as common job stressors such as work overload and poor working conditions.
  • When women are the targets of sexism and harassment in the workplace, they are more dissatisfied with supervisors than co-workers.
  • There was a trend of a more negative effect of sexism and harassment in male-dominated workplaces, such as the armed forces and financial and legal services firms. However, the authors suggested this required further research.

The authors added, “Our results suggest that organizations should have zero tolerance for low intensity sexism, the same way they do for overt harassment. This will require teaching workers about the harmful nature of low intensity sexist events, not only for women, but also for the overall organizational climate.”

Credit: Aiste Miseviciute/Alamy

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The Most Energized, Productive Workers: Not Who You Might Think!

Screen Shot 2015-09-15 at 5.34.51 PMSeptember 15, 2015

What fuels the energy and excitement that’s visible among people who are highly engaged and productive at work? Is it something about what they bring to their careers to begin with? The management culture they experience? Or, are those qualities found mostly among the young, because of youthful energy, as some surveys indicate?

Some new research sheds some light on this. It finds that the most energized and creative workers are not only the young, age-wise. They are best described as “young at heart.” The secret ingredient is their emotional attitude about life in general; and the way they typically respond and deal with negative, stressful experiences. That’s what differentiates them from others. But these interesting findings also raise this question: Why so many work cultures actively undermine the positive energy and vitality that such people bring into their workplaces? And which – one would think – companies would value and support in every way possible.

First, let’s look what at the evidence from two unrelated but complementary studies tell us about this. In brief, the first found that your overall attitude about life – independent of age -influences your performance and creativity at work. The other study found that positive emotions and your outlook on life — especially how you deal with stressful circumstances or conflict — is linked with greater long-term health. And many sources of stress are found in the workplace, needless to say. Continue reading

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How Good Leaders Help People Change And Grow

Screen Shot 2015-08-14 at 9.49.07 AMAugust 11, 2015

This Harvard Business Review article by Jack Zenger and Joseph Folkman suggests ways in which good leaders enable people to change. I think it captures some of the best attitudes and behavior of those leaders who value the growth and development of their employees.

However, there’s one missing element that I would like to have seen the authors include and emphasize. They defined effectiveness at leading change as “…the managers’ ability to influence others to move in the direction the organization wanted to go.” True, per se – but only if that direction promotes collaboration, creative innovation, learning and development; occurs within a positive, healthy leadership culture; is committed to sustainable practices; and in which leadership conveys – as recent studies find is essential to a productive workplace — a sense of humbleness and empathy in one’s leadership role. 

With that caveat, I think the authors describe eight leadership practices that do support positive change among employees. They are based on their analysis of a large dataset of direct reports and leaders. Following is their description of them, excerpted from their HBR article.

They write: Continue reading

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Men Are More Threatened By Female Bosses

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July 21, 2015

As the French saying goes, the more things change…

New research finds that men may feel threatened by female supervisors and act more assertively toward them than male bosses, which could disrupt the workplace with struggles over power dynamics. According to the study’s lead author, Ekaterina Netchaeva, of Bocconi University in Milan, Italy, “The concept of masculinity is becoming more elusive in society as gender roles blur, with more women taking management positions and becoming the major breadwinners for their families. “Even men who support gender equality may see these advances as a threat to their masculinity, whether they consciously acknowledge it or not.”

The study, conducted with participants at U.S. universities, found, in essence, that men feel more threatened when they answer to female bosses.

Published by the Society for Personality and Social Psychology, the study pointed out that — while women are underrepresented in senior management positions in the United States — they are almost on par with men at middle and lower management levels, according to Labor Department statistics. Self-assertive behavior by men toward female bosses could disrupt the workplace dynamics, stifle team cohesiveness and negatively affect team performance, Netchaeva said. “In an ideal world, men and organizations would be concerned by these findings and adjust their behavior accordingly. But if they don’t, where does that leave women?” she said. “Given the strong societal norms surrounding masculinity, it may be difficult for men to recognize or change their behavior.”

For a description of how the studies were conducted, click here.

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Bosses Who Serve Their Employees Have Better Business Outcomes

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July 7, 2015

A recent study has found that when bosses put employees’ needs over their own, measurable improvements result: in customer satisfaction, higher job performance by employees, and lower turnover are the result. According to the researchers, this type of leadership suggests that if businesses lead by caring for their people, the profits will take care of themselves.

Although this study focused on a service-oriented business, I think its implications highlight something broader: The findings mirror growing recognition by organizations, by individuals in relationships and throughout society in general that positive, supportive engagement with others — in which you serve something of value and importance to all of you, and not just your own narrow self-interest – creates positive benefits for everyone. And that’s really a core feature of a healthy society – one in which people’s attitudes, values and behavior adapt positively to continuous change; to the growing diversity and interconnection among people. Such adaptation promotes positive outcomes for all. Business leadership, as this and many other studies show, increasingly recognizes that reality. But it also applies to intimate and family relationships; and has implications for public policy, as well.

This particular study adds another bit of evidence in the business realm. For example, it found that when bosses act as servants to their employees, it’s good for business. The research found measurable increases in key business metrics like job performance, customer service and employee retention. That is, employees feel the most valued and give back to the company and its customers when their bosses create a culture of trust, caring, cooperation, fairness and empathy. According to Sandy Wayne, one of the authors of the research, “The best business leadership style is far from, ‘Do this. Don’t do that.’ A servant leader looks and sounds a lot more like, ‘Is there anything I can do to help you?’ Or, ‘Let me help you….’ Or, ‘What do you need to…?’ This approach helps employees reach their full potential.”

The corresponding admiration employees have for bosses who care about them manifests itself in teamwork, loyalty and dedication to the business and its customers. The leadership style trickles down. Wayne said, “It’s contagious. The employees see their leaders as role models and often mimic those qualities, creating a culture of servant leadership. This serving culture drives the effectiveness of the business as a whole.”

The need for management cultures that recognize and support this kind of leadership is highlighted when you consider the frequent surveys that show ongoing work-related stress, often associated with negative or unsupportive leadership. One current example is a survey of over 2000 people. It found that the majority of workers feel overworked, and that burnout appears to have become the new normal.

And that’s a prescription for an unhealthy workforce and society.

Credit: ASTD

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Women Leaders Have Greater Workplace Stress

Screen Shot 2015-05-29 at 11.27.22 AMMay 26, 2015

This isn’t surprising, for two reasons: One is that men are socially conditioned to internalize stress. They deny it consciously while expressing it via physical illness and/or psychiatric symptoms that they don’t recognize; or, they seek relief through alcohol, drugs or other kinds of escapism. The other reason is that women are conditioned more towards experiencing and expressing emotional experience, in general. So their stressful workplace experiences — which are often related to men’s denigration of their leadership roles — tend to be more visible.

A recent conference on women’s leadership, reported in Financial Times by Charles Wallace, describes several examples of the ways in which women leaders face workplace stress in organizations today. He writes, “An increasing amount of attention is being paid to the troubling fact that women in the workplace, especially in management or leadership roles, report being stressed out more often than men,” and “… despite recent strides in equality in the office, women experience a lot more stress than men.”

One reason, frequently cited, is what I referred to above. For example, Errica Moustaki, executive coach at Careers in Depth, a London executive development firm, explained that  “women may express stress in psychological or behavioral ways, while men bottle up feelings and have more heart attacks and strokes.” And, that many women executives “experience stressful work situations because of a constant sense of having their confidence undermined by men. Women have to continuously prove themselves in the workplace.”

Despite strides towards more inclusiveness and integration of women into leadership roles, the context of the organization’s culture, especially as it’s shaped by men’s view of women in these roles, is key. It continues to generate stress for women as they rise up in senior level positions.

For the full Financial Times report on the conference and some of its other presentations, click here.
Credit: Highwaymail

 

 

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The Fake Workaholic

Screen Shot 2015-05-14 at 11.23.35 AMMay 12, 2015

This recent article by New York Times writer Neil Irwin caught my attention: He describes a study of the workaholic culture within one large consulting company. The study, from Boston University, found that “Some of the people ostensibly turning in those 80- or 90-hour workweeks, particularly men, may just be faking it.” The findings were based on just that one company, but it does raise the possibility that workers in other companies that promote — or require — a workaholic culture may also be publicly pretending to embrace the long hours regimen.

But to me, these findings raise, implicitly, a deeper problem: Our career and organizational cultures require men and women to adapt and embrace a view of “success” defined by steady, singular pursuit of position, power and financial reward — via workaholic behavior. That, despite substantial evidence that the latter leads to diminished productivity, innovation and employee commitment; despite the pervasive stress among employees, which underlie a wide range of illness — emotional and physical; and despite — no surprise — surveys that show tremendous employee dislike, dissatisfaction and conflict with the culture and management of their organizations. Irwin alludes to an aspect of this at the end of his article, writing, “Maybe it’s that too many companies reward the wrong things, favoring the illusion of extraordinary effort over actual productivity.”

Interestingly, the study found that people who were “passing” as workaholics “…received performance reviews that were as strong as their hyper-ambitious colleagues. For people who were good at faking it, there was no real damage done by their lighter workloads.” Moreover, “…women, particularly those with young children, were much more likely to request greater flexibility through more formal means, such as returning from maternity leave with an explicitly reduced schedule. Men who requested a paternity leave seemed to be punished come review time, and so may have felt more need to take time to spend with their families through those unofficial methods.”

Those additional findings highlight the deeper, pervasive theme I raised above: Our cultural norm that equates a successful adult life with embracing a workaholic and psychologically unhealthy workplace culture has ongoing destructive impact –to individuals, but also to the long-term viability of organizations in this fast-evolving era of rapid change and the rise of younger generations and their view of work, life, and what they are seeking in both realms.

For Irwin’s full article, click here.

Credit: Peter Arkle

 

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How a Leader’s Power Can Undermine the Company’s Success

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January 27, 2015

The role and impact of power in an organization is complex. It’s highly interwoven with the attitudes and personality of people who have achieved power and status within their organizations, and how they express it. Recent studies show that some bosses use the power of their positions in ways that damage their teams and the organization. They may be driven by socially conditioned, conventional attitudes about power and ego; or by more outright psychopathology.

On the more benign end of the spectrum are the findings from a study lead by researchers at Columbia University’s Business School. It found that the more power-lusting, power-fixated leader tends to listen to his or her own views, but neglects to take into account the perspectives of subordinates. And that has consequences for business strategy and decisions. Published in Social Psychological and Personality Science, the research found that when leaders fail to take into account or utilize the perspectives of their people, they are more likely to “bungle the issue and conversation.” That, in turn, results in less effective solutions to complex business problems that the team is facing. In short, less wise decision-making.

According to the study’s lead author, Adam Galinsky, leaders who are able to see the world from others’ points of view produce better outcomes. “Effective leadership is like a successful car ride. To go places, you need gas and acceleration — power is a psychological accelerator. But you also need a good steering wheel so you don’t crash as you speed down the highway — perspective-taking is that psychological steering wheel. When you anchor too heavily onto your own perspective, and don’t take into account the viewpoints of others you are bound to crash.”

Galinsky’s findings are especially visible among leaders who Continue reading

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Abusive Leadership Continues to Harm Employees and Organizations

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November 11, 2014

As if this needed more confirmation, there’s increasing evidence that an unhealthy management culture harms efforts to create a well-functioning team. For example, a new study from Michigan State University finds that abusive managers create tremendous conflict for work teams and damage productivity, not to mention morale and commitment.

I’ve often written about the need to understand unhealthy leadership within the larger context of a company’s management culture — not just as an issue of individual leaders’ personalities or pathologies. For example, I’ve described how unhealthy management and an unhealthy leadership culture are intertwined; and ways that subordinates can deal with them.

This new study, conducted in China and the United States, suggests the toxic effect of nonphysical abuse by a supervisor is much broader than believed. Lead investigator Crystal Farh said supervisors who belittle and ridicule workers not only negatively affect those workers’ attitudes and behaviors, but also cause team members to act in a similar hostile manner toward one another. “That’s the most disturbing finding,” Farh said, “because it’s not just about individual victims now, it’s about creating a context where everybody suffers, regardless of whether you were individually abused or not.”

Published in the Journal of Applied Psychology, the study pointed out that companies have tended to focus on abused employees and efforts restore self-esteem. That matches my own observations, and underscores the need to address how and why abusive and otherwise unhealthy leaders and leadership cultures arise and thrive to begin with.

The study looked at nonphysical abuse such as verbal mistreatment and demeaning emails. Employees who directly experienced such abuse felt devalued and contributed less to the team. At the same time, the entire team “descended into conflicts,” Farh said, which also reduced worker contributions. “Teams characterized by relationship conflict,” Farh said, “are hostile toward other members, mistreat them, speak to them rudely and experience negative emotions toward them.”

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Why Insecure Managers Avoid Input From Employees

 

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November 4, 2014

I find it amazing that new research emerges from time to time that “discovers” that ineffective, personally conflicted, psychologically limited managers and leaders have a negative impact on their employees and the organization. This latest is a good example: A study of an international corporation finds that emotionally insecure managers avoid feedback and input from their employees.

Of course, this is no news to employees who often struggle with such managers. Or to those of us who have worked with leaders and managers whose psychological issues negatively affect their impact in the organization. Nevertheless, it’s good to see such research and surveys. They highlight the need to deal with the impact of unhealthy management in general – whether insecurity, poor communication skills, arrogance, narcissism, bullying, and/or generally creating a non-collaborative, unhealthy or destructive management culture.

The current study was reported in the Academy of Management Journal and described in the British Psychological Society’s Research Digestwhich pointed out that organizations do better when there are clear communication channels that allow staff to point out ways the company can improve. And that teams who freely share ideas and concerns are more tight-knit and motivated. Managers then get enhanced awareness share in the praise for any improvements that pay off. So, the Research Digest explains, encouraging employee voice should be a no-brainer, especially for any manager feeling unsure of their ability to deliver solo. Yet according to new research, these insecure managers are the ones least likely to listen and act on staff input. Continue reading

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Why Humble Leaders Are More Successful

Screen shot 2014-10-24 at 11.10.41 AMOctober 28, 2014

It’s increasingly evident that business leaders who are capable of experiencing and demonstrating such qualities as empathy, compassion, and humility have greater success. Research as well as direct business experience confirms this. One recent example is a study of 1500 leaders and their employees. It found that humble leaders, who have increased self-awareness and insight, receive greater commitment and performance from their employees.

According to the research findings, “Leaders with a strong self-insight demonstrate a good understanding of their own needs, emotions, abilities and behavior. On top of that, they are proactive in the face of challenges.” The study found that when employees experience this type of leadership, it has a positive effect, and that’s especially true when the leader is humble.

More broadly, other research in recent years indicates that the capacity for compassion and empathy are innate, and it can be strengthened through conscious effort and focus. These capacities reflect letting go of ego-driven attitudes and behavior; and they enhance positive, effective relationships. We are now seeing evidence that they are linked with greater business success, especially in the form of increased competitive advantage. For example, founder/CEO of Virgin Group, Richard Branson has pointed out that “In business… companies that want to survive…are smart enough to know that caring and cooperation are key.”

Today’s organizations require what the New York Times columnist Adam Bryant has described as a “quick and nimble” management culture. This, in turn, requires leaders to let go of focusing so much on themselves; to let go of the “alpha male” role, as Georg Vielmetter of the Hay Group has called it. Then, they are more able to engage with diverse employees, and from a more humble perspective. Vielmetter pointed out that “The time of the alpha male — of the dominant, typically male leader who knows everything, who Continue reading

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Less Stress Among Managers With Positive Employee Relationships

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September 10, 2014

Many studies in recent years show the connections between positive, collaborative relationships at work; a positive, supportive management culture; and higher levels of creative, productive work. I think the findings of this recent study from Norway of 3000 managers, conducted by researchers at BI Norwegian Business School, add to this knowledge, and are relevant both to managers and those being managed here in the U.S.

The study examined stress among mangers, and found, In essence, that managers who enjoy a good relationship with their employees suffer less dangerous stress at work. “The best thing a manager can do to prevent work stress is to develop good relationships with the employees at work,” concluded lead researcher Astrid M. Richardsen in a summary of the findings.

The research found that more than six out of ten Norwegian managers (61.8 per cent) indicate that they often or all the time experience time pressure or a heavy workload. Fewer than five per cent say they rarely or never have time pressure at work. Most relevant to U.S. organizations is the finding that managers experience significantly less stress when they feel they have a good relationship to their employees, and the employees show a positive conduct and confidence in their managers. That is, according to the research summary, when the employees are happy with what the manager does, understand his or her challenges and participate actively in solving the problems, the manager will have less stress. This will probably be because the manager trusts the employees more and delegates more tasks to them. Hence the work pressure will decrease, Richardsen believes.

Although differences exist between managers and workers in Norway and the U.S. culture regarding work-life stress and organizational pressures, one commonality is the Norwegian finding that managers who feel they have control of their work situation and great freedom to make decisions experience less work pressure and emotional strain. They also suffer considerably less role stress than managers who do not have such control. Most U.S. managers would resonate with that, as well as the finding that Continue reading

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Why Compassion Gives You a Competitive Advantage In Business

Screen shot 2014-07-29 at 9.04.47 PMJuly 29, 2014

Accumulating research and observational evidence show that the capacity for compassion and empathy are innate, and can be strengthened through conscious effort and focus. That these capacities enhance positive, effective relationships as well as greater internal wellbeing. It’s also becoming evident that these emotional attitudes and corresponding behavior are linked with greater business success, especially in the form of increased competitive advantage.

It’s good to see examples cited by successful business leaders, such as billionaire founder/CEO of Virgin Group, Richard Branson: “In business, as in nature, companies that want to survive aren’t mindlessly pursuing profits at the expense of people and the planet; they are smart enough to know that caring and cooperation are key.”

Branson was writing in Entrepreneur, in response to a question by a business owner about the reluctance of business leaders to consider anything but profit. According to Branson, “Business used to be a cutthroat world where the only thing that mattered was profit — but that’s changing quickly. It has become easier for people to learn which companies pursue profits at all costs and which behave ethically, and to make purchases based on those decisions.”

He emphasizes, “Don’t spend time worrying about organizations that don’t welcome or accept change — they’re not going to be around for long. Just keep looking for people who are willing to listen to your message and who genuinely care about something greater than themselves — those are the investors and partners you’ll be working with in the years ahead.”

And, “…recent research demonstrates the strategy’s benefits. Continue reading

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Can Business Leaders Activate These Dormant Capacities?

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In a business environment where surveys find 70% of employees saying they hate their work; and in which the demographics of leaders and employees are rapidly changing, it’s no surprise to hear — as a senior executive asked me, recently — “How can I prepare for what I can’t prepare for?”

Some recent research points the way. Several studies find that most people can arouse and apply seemingly contradictory capacities for different leadership purposes, as needed. They are latent or dormant capacities, dimensions of oneself that are both emotional and cognitive. They include the more linear, data-based, and structured; and those that are more improvised, non-linear and creative.

Research shows that activating them builds an important, broader mentality, not just a fixed set of actions. The challenge for leaders is learning how to activate and utilize these dormant capacities needed in today’s fluid, unpredictable environment.

Some examples:

The Capacity To Shift Focus At will, As Needed For The Task
Research finds that we can learn to activate and apply both linear and nonlinear capacities, as needed. One study examined this in terms of leadership orientation. Researchers at Case Western University examined a common assumption that one is fixed within either a “task” or “team-building” orientation: an analytic, linear focus on people completing tasks; or an empathic orientation, supportive of workers development and open to their ideas.

Based on brain research they published in Frontiers in Human Neuroscience, the research team found that those capacities actually co-exist. According to lead researcher Anthony Jack, “Every normal brain contains both modes, with the flexibility to go to the right mode at the right time.” The researchers indicated that this fluidity enables a leader to shift between a more operational, linear focus, and a nonlinear focus, supporting innovative ideas and actions that enhance team collaboration and performance.

The challenge, then, is to learn how to develop and strengthen both capacities. Moreover, Continue reading

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Why Having A Vision Is Important — In Business And Life

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Writing in Entrepreneur, Virgin founder/CEO Richard Branson cites the importance for a company to develop a vision. I find Branson’s views relevant not only to business, but to life itself.

In response to a reader’s question, he writes, “You do need to develop an overall vision for your company — one that is strongly supported by a more targeted strategy at each business that falls under your umbrella. The two things are not mutually exclusive, but complementary: One should not override the other.” And, “…we have started up more than 400 companies…and as the success of our group has proved, your vision for your company should not be so restrictive that it limits your team’s imagination.”

This applies to one’s personal development, as well, in my view. That is, we need an overarching vision of what we’re living for; a sense of meaning and purpose to our lives that provides overall integration and direction. And that requires flexibility and adaptability as we “evolve” along the way. Branson reflects this same perspective with respect to business, writing that “Starting up a business is always an adventure, and not everything comes together for every entrepreneur in the same way. As you face the challenges of keeping your business going, you may find that your vision for the company needs to be adjusted as you go.”

That’s a valuable perspective for your life development, as well — in your relationships, your career, your life goals. Branson adds, “Looking back, our goals certainly changed and expanded over time, but there was a key element that was common to all of those enterprises: They were created to enhance people’s lives.” I think that latter point is relevant to your personal and societal development as well, because in out interdependent world personal success is interwoven with support of and enhancement of others’ lives — the larger common good. It’s clear that this reality is stirring major turmoil in business, public policy and personal lives, today.

For Branson’s full article, click here.

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Humble Leaders Support Greater Employee Innovation and Engagement

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Google’s SVP of People Operations, Lazlo Bock, says humility is one of the traits he’s looking for in new hires. A new study by Catalyst supports this, finding it a critical leadership factor. Jeanine Prime and Elizabeth Salib’s Harvard Business Review Blog describes these new findings, which indicate that altruism makes employees more innovative and engaged – especially when working with employees from diverse backgrounds, which is increasingly common. The authors write:

In a global marketplace where problems are increasingly complex, no one person will ever have all the answers. That’s why Google’s SVP of People Operations, Lazlo Bock, says…“Your end goal is what can we do together to problem-solve. I’ve contributed my piece, and then I step back.” And it is not just humility in creating space for others to contribute, says Bock—it’s “intellectual humility. Without humility, you are unable to learn.”

recent Catalyst study backs this up, showing that humility is one of four critical leadership factors for creating an environment where employees from different demographic backgrounds feel included. In a survey of more than 1500 workers from Australia, China, Germany, India, Mexico, and the U.S., we found that when employees observed altruistic or selfless behavior in their managers — a style characterized by 1) acts of humility, such as learning from criticism and admitting mistakes); 2) empowering followers to learn and develop; 3) acts of courage, such as taking personal risks for the greater good; and 4) holding employees responsible for results — they were more likely to report feeling included in their work teams. This was true for both women and men.

Employees who perceived altruistic behavior from their managers also reported being more innovative, suggesting new product ideas and ways of doing work better. Moreover, they were more likely to report engaging in team citizenship behavior, going beyond the call of duty, picking up the slack for an absent colleague — all indirect effects of feeling more included in their workgroups.

For the full article, click here.

 

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The Rapid Transformation Of Business Leaders Is Underway

Screen shot 2014-03-29 at 5.48.05 PMA version of my article previously appeared in The Huffington Post
Some recent studies reveal a dramatically changing face of business leaders already underway; and, what the leadership needs of the future will look like. I see these and other related observations coinciding with a broader shift in our society, and perhaps worldwide. It’s towards heightened interconnection and interdependence, desire for diversity, collaboration as part of the DNA, and a major shift in attitudes about hierarchy and success.

One study of Fortune 100 executives, featured in the Harvard Business Review, found that the majority of senior executives today went to state universities, not the more elite schools. A Washington Post report of the study pointed out that “In 1980, just 32 percent of leaders went to a public university. By 2001 that had grown to 48 percent, and in 2011 the number reached a majority, with 55 percent of corporate leaders going to state colleges.”

Moreover, nearly 11 percent are foreign born. And while women still deal with the glass ceiling, they have a more rapid rise to the top ranks, today. Nevertheless, it’s significant to note that nearly 87 percent of corporate board seats are held by white workers. According to research by DiversityInc and the think tank Catalyst, six African Americans are Fortune 500 CEOs, and 7.4 percent hold corporate board seats; eight Hispanics are Fortune 500 CEOs, and 3.3 percent hold corporate board seats.

Even so, it’s clear that a shift is underway along many fronts. For example, Continue reading

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Emerging Leadership Needs Of The Future

Screen shot 2014-03-27 at 9.35.56 AMA fascinating study by the Hay Group and German futurists at Z-Punkt identifies six trends that their research indicates will shape leadership needs in the years ahead.

I think their findings about leadership needs are very consistent with an ongoing, significant evolution in all sectors of society and in individual lives today, towards heightened collaboration, connection, emotional attunement to others, interdependency and diversity.

The report, Leadership 2030, speaks of the rise of the “altorocentric” leader: In a Washington Post interview by Jena McGregor, Georg Vielmetter of the Hay Group, explains that “Altrocentric” means “…focusing on others. Such a leader doesn’t put himself at the very center. He knows he needs to listen to other people. He knows he needs to be intellectually curious and emotionally open. He knows that he needs empathy to do the job, not just in order to be a good person.” And, “…leaders in the future need to have a full understanding, and also an emotional understanding, of diversity.”

Vielmetter points out that “…positional power and hierarchical power will become smaller. Power will shift to stakeholders, reducing the authority of the people who are supposed to lead the organization.” Perhaps most significantly, “The time of the alpha male — of the dominant, typically male leader who knows everything, who gives direction to everybody and sets the pace, whom everybody follows because this person is so smart and intelligent and clever — this time is over. We need a new kind of leader who focuses much more on relationships and understands that leadership is not about himself.”

Regarding the younger generation, he adds that, “With the Baby Boomer generation, you understood you climb up the ladder and you’re the boss at the end. The new generation has less and less interest to do this….for them it’s just not so important to become the boss. That causes a big problem for organizations. They offer people big jobs, and they don’t want them. They value their private life more.”

For McGregor’s full interview with Vielmetter, click here.

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How The Younger Generations Can Leap Into The Future

Screen shot 2014-03-19 at 11.10.37 AMHere are some insightful perspectives — and suggestions — for the younger generations, from management strategist Umair Haque. Writing in his Harvard Business School Blog, Haque addresses the dilemma facing young people today:

Imagine a towering, sheer cliff. Imagine a deep canyon below, full of ruined cities. Now imagine, on the canyon’s other side, a bountiful plain, rippling in the breeze, stretching into the sunset. Welcome to the economy of the twenty-first century. For young people today, the economy basically feels something like the portrait above, and they’re the ones stuck at the bottom of the ravine.

After citing four conditions that young people face — a broken global economy; overwhelming debts; difficulty getting a job or career track; and the jobs available are not very good — Haque says welcome to “Generation F” — i.e. you’re getting screwed. He points out that

We are all here, in every moment, to make the most of our limitless potential—but your human potential is being squandered, wasted, thrown away.

But he then presents some positive directions that young people can take to deal productively and proactively with the reality they live in. They’re worth heeding. In his full article, “The Great Leap Generation F Needs to Make,” he writes: Continue reading

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The Value Of Not Going It Alone

Screen shot 2014-03-05 at 11.36.53 AMThe Virgin Group founder and business visionary Richard Branson provides some interesting and — in my view — valuable perspectives about the importance of building connections, both in business and in life. He highlights a theme that I think is part of a psychologically and socially healthy life in today’s fluid world. In EntrepreneurBranson writes, “To achieve your goals, you need to be on the lookout for the opportunity to make connections wherever you go. Welcome chance encounters and opportunities to dream up outlandish plans. The person with the skill set you need to get your new business idea off the ground may be sitting at the next table in the cafe. Go over and say hello.”

In his full article Branson writes:

I love bumping into people and finding out who they are and what they’re working on. You never know who you’re going to meet. Such encounters can be valuable: If you think about how your most important relationships began — with business partners, your spouse, with friends and mentors — the stories will almost all involve chance meetings. My curiosity about others and ability to connect with people have helped me to succeed — after all, if people don’t know who you are, they are not going to do business with you.

Many people think that an entrepreneur is someone who operates alone, overcoming challenges and bringing his idea to market through sheer force of personality. This is completely inaccurate. Few entrepreneurs — scratch that: almost no one — ever achieved anything worthwhile without help. To be successful in business, you need to connect and collaborate and delegate.

Finding ways to meet with people in the real world and build business relationships is becoming ever more important in the digital age. Continue reading

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The Fast-Changing Face of Corporate Leaders

Screen shot 2014-02-18 at 12.15.38 PMWho are the people in senior leadership roles today? An interesting report by Jena McGregor in the Washington Post sheds light on this. She summarizes the findings of a new study, published by the Harvard Business School, of Fortune 100 executives. It finds that the majority of senior executives were educated at state universities, not at the elite schools. Nearly 11 percent are foreign born. And while women still deal with the glass ceiling, they have a more rapid rise to the top ranks, today.

I think these findings have potentially significant implications for corporate cultures. For example, what will be the impact on outlook, vision, and management perspectives from ever-increasing numbers of ever-increasing diverse people? Moreover, what will emerge from this rising diversity of executive leaders in conjunction with a growing shift in worker’s orientations to the job, to what they look for from management, and to what they define as “success?” There are several moving parts.

The study was conducted by researchers from Penn’s Wharton School and from the IE Business School in Madrid. For McGregor’s article, click here. For the full report in the Harvard Business Review, click here.

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Why Companies Benefit From “Outlier” Employees

Screen shot 2014-01-21 at 2.19.59 PMA recent post on the Harvard Business School Blog by Robert D. Austin and Thorkil Sonne argues that seeking out “outlier” employees bring great benefit to companies. I think this is an important perspective. Companies and organizations need creative innovation to address challenging and changing conditions, whatever their service, product or mission. The authors write,

Most companies don’t perceive the value of people who think or behave differently. Managers are unaware that outliers can create enormous value if they’re placed into environments that maximize their ability to contribute. By bringing out the best in people who think differently, you position your company for greater advantage. That’s because innovation, which is a critical skill for businesses today, is driven by diversity of thought. When you can’t foresee the biggest opportunities and problems coming your way, then your people assets must provide your company with the ability to adapt. This ability arises from employees who see things from new perspectives—people from different backgrounds, and those with different cognitive, developmental, and neurological endowments.

They being with an example of a company that hired employees with autism, and why. The full essay follows: Continue reading

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What Do Companies With the Happiest Workers Look Like?

Screen shot 2014-01-07 at 10.07.43 AMThe latest survey of how employees view their companies provides more evidence that the most engaged, energized and “happiest” workers are those whose workplaces and careers provide a sense of meaning, opportunity for growth, development and creative innovation — more than just pay or career advancement. This survey, conducted by Glassdoor, was summarized in a Fast Company story by Drake Baer about six “secrets” of the happiest workplaces.

Baer writes,”Rather than showing a focus on perks, compensation, and other incentives, the best-rated workplaces had a range of intrinsic motivators, like challenging work, impact upon society, and an opportunity to work with brilliant colleagues.” This year’s overall winners were the consultancy Bain & Company, who was named best large company to work for. The investment website the Motley Fool won for best medium-sized company, while Twitter was named the best tech company to work for.

Unsurprisingly, tech firms were overrepresented in the top 50–though the results have little to do with Silicon Valley perks. “Rather than ‘it’s because they pay a lot’ or because it’s ‘hey, we’re Facebook, and we give everyone as much food as they possibly eat,'” says Glassdoor SVP of People Allyson Willoughby, “the reasons people like where they work were much deeper.”

Click here for the full report and listing of top companies from the survey.

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The Orientation of Millennials at Work Highlights a Social Transformation

Screen shot 2013-11-19 at 10.09.06 AMA recent article in the New York Times by Tom Agan, co-founder and managing partner of Rivia, highlights a significant transformation underway in our culture. Although it’s linked with the rise of the millennials, I think it’s part of a broader shift of mentality, values, outlook on life, and behavior — and will increasingly impact how people conduct their personal relationships, what they seek from their careers, and public policy. Agan’s essay describes how this shift is visible in the workplace; and why embracing it can enhance innovation and creativity, especially when joined with the experience of older workers.

Agan writes, “Social media permeate the personal, academic, political and professional lives of millennials, helping to foster the type of environment where innovation flourishes. So when compared with older generations, millennials learn quickly — and that’s the most important driver of innovation.”

And, “If corporate cultures don’t align with the transparency, free flow of information, and inclusiveness that millennials highly value — and that are also essential for learning and successful innovation — the competitiveness of many established businesses will suffer. Millennials are becoming more aware of their rising worth. Coupling their ability to learn quickly with their insistence on having a say, they pack a powerful punch.” For the complete article, click here.

An example of the innovative and creative energy of this generation is a report in Just Means that a group of Millennials have created an alternative website to HealthCare.gov: Three twenty-something programmers have created a functional website, HealthSherpa.com, that tells consumers what health insurance plans are available, based on their zip code, plan preference, and personal information. Users can find and compare plans and prices, and work with a subsidy calculator. The trio had each tried to get information from the marketplaces created by the Affordable Care Act, but could not. So they built their own site, using data posted on HealthCare.gov and other information requested from state exchanges. Despite its limits (it can not sign up users), HealthSherpa.com has received 1.4 million views; the site’s “how to buy” buttons have been clicked over 150,000 times. It took the group just “a few days” to build out their minimal but useful site. The federal government should consider outsourcing to West Coast millennials instead of the “professionals” to get up a working HealthCare.gov.

 

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Are Companies In Tune With Their Own Workers?

Screen shot 2013-10-25 at 5.18.03 PMIt’s clear that we’re in the midst of massive transformations in the business world and the workplace. These transformations are underway, for example, in a rising sense of responsibility to society; recognition of the workplace culture’s contribution to debilitating stress and life imbalance; the impact of the younger generations upon collaboration, innovation, and career goals; and the increasing fluidity and constant external change that impacts all organizations.

Within such flux and change, it can be difficult to assess whether the company you’re working for, or considering joining, is sufficiently in tune with the future. Is it the right mesh between, on the one hand, your own well-being, evolving career goals and personal values; and, on the other, how well the company is positioned to engage and adapt to the business and cultural shifts that will determine it’s future success?

An important question. Especially so, when nearly every week new surveys appear showing how debilitating and disconnected many leadership and management cultures are, in relation to their employees and future business scenarios.

For example, a recent survey of 1,000 U.S. workers for Root Inc., a strategy execution consulting company, examined what workers would like to see change in their companies. “Many surveys tell us there’s something wrong – we know that American workers are unhappy or not engaged, and leaders know they need make adjustments to keep the very best talent,” said Rich Berens, president of Root. “With this research, we wanted to uncover the specifics of where employees really would like to see things be different and how management can take that data and make organizational changes for the better.”

Some of their findings include: Continue reading

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Great Companies Will Add Value More Than Extract It

Screen shot 2013-09-14 at 5.47.22 PMAn insightful article in the New York Times by Tony Schwartz, CEO of The Energy Project, highlights the fact that many of the highly touted business consultants and authors — who describe high performing companies and why they will remain so — are, well…often flat wrong.

Schwartz writes that the most striking example involves Microsoft, which renowned consultant Jim Collins and his co-author of Great by Choice, Morten T. Hansen, cited, Schwartz points out, as “a great performer, and Apple, which they cite as the comparative laggard. Yes, you read that right. Here’s why: the 15-year period the authors happened to examine was 1987 to 2002.”

Schwartz asks, “How could so much research miss the mark by so far?” He explains that “…huge changes in technology in the last decade have redefined what it takes to be successful – elevating factors like the role of disruptive innovation, quickness to market and speed of responsiveness to competitors. What worked for Microsoft in the era that Mr. Collins and Mr. Hansen studied proved to be wholly inadequate to compete with Apple in the era that immediately followed.”

The prime reason Schwartz cites for getting it wrong is “the definition Mr. Collins uses for greatness…Maximizing returns for shareholders over a given period of time is narrow, one-dimensional and woefully insufficient. In an increasingly complex and interdependent world, a truly great company requires a far richer mix of qualities.”

In contrast, Schwartz emphasizes that “A company’s greatness is grounded in doing the greatest good for the greatest number of people, and the least harm. It is neither first nor foremost about maximizing short-term return for shareholders. Rather, it is about investing in and valuing all stakeholders – employees, customers, suppliers, the community and the planet – in order to generate the greatest value over the longest term for all parties, including the shareholders.”

That’s the key.

For Schwartz’s complete article, click here.

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How To Align Your Money, Personal Values and Sustainability

This is a guest post by Brian Kaminer, founder of Talgra, which provides consultation to people on ways to create positive social and environmental change, through aligning money and values with investing. It was previously published on Green Money.

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My Roadmap

After 17 years in the brokerage business at a boutique trading firm, I got the chance to explore areas that were of greater personal interest to me and felt in alignment with my values. Sustainability quickly got my attention and my role as the father of three boys also furthered my interest on the topic. I initially focused on resource / energy conservation and solar energy for about 2 years. After learning about the concept of Slow Money and attending various conferences in 2010, my awareness about the role of money and investing was elevated to a new level. Since then I have immersed myself in this field while working to commit financial resources to support my core values and understanding of sustainability. This is very much an evolving and rewarding personal process.

While doing so, I have been overwhelmed by the amount of information and resources available on this subject. It seems to be exponentially growing in content and visibility. Organizing and connecting what I have been learning has increased my understanding of the field and presented the opportunity to share this with others by creating a resource document. This process enables me to see the bigger picture.

Towards that, I created the Money and Impact Investing Directory Continue reading

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Having Power Diminishes Your Empathy For Others

Screen shot 2013-08-13 at 10.51.47 AMSeveral research studies have shown that increasing power in an organization (or in any kind of relationship) tends to diminish capacity for empathy, compassion, and seeing another person’s perspective. This is especially damaging to effective leadership of people subordinate to those in power. Studies have shown that increased power diminishes activity of your “mirror neurons,” which provide the sense of connection with another person’s experience, and fuels empathy. Here’s the latest study that sheds more light on what happens. It shows the need for helping leaders develop and strengthen their capacity to connect with others’ reality and experience, which helps counter the tendency towards self-absorption in one’s own perspective, when one is in a higher-power status.

From the study, summarized in Digital Journal:

Researchers have some new insights into how power diminishes a person’s capacity for empathy. According to scientists, a sense of power shuts down a part of the brain that helps us connect with others. For their study that builds on past information about how the brain operates, the researchers found that even the smallest bit of power – for instance from a job promotion or more money – can shut down our ability to empathize with others. Continue reading
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How The Millennials Differ From The “Old White Guys” At Work

Screen shot 2013-07-20 at 12.15.52 PMHere’s a good description of the contrast of orientations to work, career and success between the millennial generation and older workers. Writing in a recent Inc. article How Millennials Think, and What To Do About It, Brian Halligan, CEO and co-founder of HubSpot, points out the need to understand and attract men and women of the younger generations. That means seeing and dealing with differences from what he calls OWGs (Old White Guys.) He writes, “The problem we OWGs (Old White Guys–that’s what they call us) have is that we built our companies’ cultures around the things that motivated our generation: money, career progression, and retirement plans. The Millennial generation has an entirely different consideration set for motivation, and given that they already comprise more of the workforce than GenXers and Baby Boomers, we need to invest time, money, and energy into creating workplaces that Millennial employees will love.”

In the rest of the article, Halligan contrasts the different orientations along four dimensions: Money vs. Mission; OCD vs. ADD; Place vs. Idea; and Rules vs. Judgment. He writes: Continue reading

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Redefining Success In Our Post-Careerist Culture

Screen shot 2013-05-13 at 10.11.16 AMNearly every week a new survey appears showing how stressed out workers are today. The damage is visible in its negative impact upon mental health, increased risk of disease and death, lower worker productivity and a range of other harmful consequences. One recent survey found that 83 percent of all workers report stress. That includes people of all ages, baby boomers to Millennials. The sources cited include too much work, insufficient pay, not enough time for rest or sleep, too little leisure time, co-worker conflicts and general work-life imbalance.

But most of those sources have a deeper origin that the surveys and research don’t tap into. Major changes in our society and world have created a “new normal” of continuous turmoil and disruption. This new environment is pushing both organizations and workers to redefine success beyond the long-prevailing rewards of money, power and position; and towards criteria less focused on self-interest but more adaptive to living and working within what is now a “post-careerist” culture. Much current stress reflects the strain of this growing transition. It’s inevitable and necessary.

That is, many men and women, along with the leadership of companies they work for, are already redefining success. The emerging criteria include Continue reading

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What Does Having Power in Your Organization Do to You?

Screen shot 2013-04-11 at 10.10.11 AMCompanies are evolving and adapting to ongoing, often unpredictable business challenges today. in the context of teamwork and collaboration needs, leaders and the management cultures they build are rethinking the meaning and impact of power. Several new research studies have examined the impact of power and authority upon the behavior and emotional attitudes of people in their career and leadership roles. Much of this research yields useful findings for companies. But some contains significant limitations — and distortions.

Among the latter are many academic studies, based on controlled experiments in which college students are the participants. They construct artificial, experimental conditions, and then draw broad conclusions from the findings. Most seriously, they often neglect to study actual people in business environments. Moreover, some of the studies use definitions of “power” that don’t fit the realities of today’s organizations. Those flaws affect their conclusions.

For example, recent research found that “powerful” people are more likely to Continue reading

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A Case Study In CSR

Screen shot 2013-03-04 at 1.51.45 PMThis is a guest post by John Friedman, head of communications for corporate citizenship for Sodexo. A thought-leader in CSR and sustainability, John has published widely in these areas, including The Huffington Post, and his work has been cited by Forbes and other publications. 

When any company or organization demonstrates that it is conducting its business in a way that benefits society, improves (or at least mitigates negative impacts on) the environment and is able to do so in a way that is profitable, it lives the values of sustainability and, in theory, everyone benefits. While smaller organizations may have it easier – in terms of getting buy-in and ensuring that practices support the desired objectives – they also struggle for financial resources. Conversely, larger multi-national organizations may (but not always) have more financial means but engaging a larger, decentralized workforce and a more complex supply chain can be difficult to say the least.

When big multi-nationals commit to sustainability they do so recognizing the challenge (although in my experience that is sometimes underestimated) as well as the massive opportunity to make a difference. The most successful companies, I have found, commit fully to the strategy based not on short-term market trends or a desire to ‘look good’ but rather based on their core and foundational values that have served them well for years. Staying true to the culture helps them to overcome the hurdles and obstacles that come up in the course of doing business. ‘Stay the course, because this is who we are’ is a stronger rallying cry than ‘this is the new way and we told you it would be rough.’ Continue reading

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What Prevents Unethical Behavior In The Workplace?

A business school professor has argued that there’s a gap between business students’ description of ethical behavior in business and the traits they report in themselves. Thomas A. Wright, at Kansas State University, contends that there is a moral decline in higher education, which affects those entering the business world. “Many citizens are increasingly seeing the potentially grave consequences of dishonest and fraudulent actions by our business and political leaders,” he says.

Wright’s study examined student character strength on a number of dimensions including valor, hope, zest, honesty, critical thinking, kindness and gratitude. This is where the students exhibited gaps between their own qualities and those they value for ethical business. For example, MBA students listed honesty as one of their top five strengths. However, Wright found that 88 percent of the students reported that they have cheated in school, with many students reporting they had cheated 100 or more times. Wright said that students who cheat in school are not only more likely to cheat in graduate and professional school, but they also are more likely to engage in unethical business practices. And that this provides all the more reason for why higher education institutions should include ethical and character development. The study was reported in a news release from Kansas State, and summarized in Science Daily here:

 A Kansas State University professor’s research is showing a gap between the character traits that business students say make a good executive and the traits they describe having themselves.Thomas A. Wright, the Jon Wefald Leadership Chair in Business Administration, said business schools need to close that gap by continuously discussing ethics and character in the classroom. Continue reading

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Why Your Work Will Continue To Drive You Crazy

Still Crazy After All These Years

The title of that old Paul Simon song could easily describe what many people feel about life in their careers and organizations today. Studies and surveys regularly show that the workplace is damaging to many people, physically and mentally. But these reports focus on the effect rather than the cause; the surface symptoms rather than the roots of the problems men and women grapple with in their careers. The latter are found in a negative, undermining management culture and narrow, careerist values.

To explain, a few decades ago I wrote in Modern Madness about the findings of my project on how careers impact people, emotionally — especially successful careers among younger men and women rising in their companies (the yuppies of the time — remember them?). I described a troika of experiences: compromises between their personal values and the behavior required for upward movement and greater success; debilitating trade-offs between their beliefs or attitudes and the behavior necessary for continued career advancement; and — not surprisingly — anger, often severe and usually suppressed, but sometimes exploding in rage.

Back then, in the late 1980s, I found that the major source of such personal conflicts was a negative, stifling management culture. It included the personality — and sometimes the outright pathology — of bosses who created conditions that generated anxiety, depression, suspicion and other dysfunctional behavior; as well as physical illness. And this was among otherwise not-very-troubled people. I called them the “Working Wounded.”

Their conflicts were also intensified by a view of success and achievement Continue reading

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Richard Branson Calls For A “B Team” Of Business Leaders

 

 

 

 

 

 

Sir Richard Branson’s ideas are always worth attention. Here, he calls for a “B Team:” A small group of business leaders who will campaign for reforms to make capitalism more oriented to the long term and socially more responsible. He’s always been on the forefront of ideas and actions that promote joining successful business enterprises with contributing to the social good. In this article from The Economist, he describes a new venture that he calls the “B Team:”

SLOWING down seems to be the last thing on Sir Richard Branson’s mind. Since turning 62 in July, the bearded British entrepreneur has as usual been making headlines around the world. On October 3rd he celebrated victory in a campaign to overturn the British government’s decision to strip Virgin Trains, of which his Virgin Group owns 51%, of the West Coast main-line rail franchise. The government now admits it got its sums wrong, as Sir Richard had claimed, and the bidding process will be rerun (see article). Recently Sir Richard has also been in the news for (among other things) urging Barack Obama and Mitt Romney to end America’s war on drugs; declaring his intention to visit Mars; and parking a mock-up of the new Upper Class bar from his transatlantic aircraft outside the New York Stock Exchange. From there he promoted his latest book (“Like A Virgin: Secrets They Won’t Teach You at Business School”) and led a discussion with his Twitter followers. The subject under discussion was: “How can business change the world for the better?”

This last topic has become increasingly central to Brand Branson in the past few years—although social activism has been part of Sir Richard’s repertoire since he opened advice centres for students in the 1960s. Under Virgin Unite, its charitable arm, his corporate empire has become a leader in the booming business of “cause marketing” (aligning brands with charities). Continue reading

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Green Leadership: Learning It And Doing It

A previous post described what a green business leadership mindset consists of. I argued personal buy-in among leaders is essential to establish, communicate and enact sustainable and socially responsible practices. Here, I describe how leaders can learn to build that mindset, and how that underlies successful and innovative practices.

I see two linked pathways to developing and applying green leadership: First, acquiring and learning relevant facts and evidence-based understanding about emerging global and workforce realities. These require new actions for long-term survival and success. The second is leadership self-development, through self-awareness awareness and other sources of learning. Both must become part of the leader’s “DNA” in order for sustainable practices to be successful.

Two Pathways To A Green Leadership Mentality

Learning Facts and Information

This includes acquiring information: Documented research findings; related, science-derived data; and evidence-based understanding and interpretation of current environmental and workforce realities. For example: Continue reading

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Green Leadership — What Is It?

Politically motivated politicians continue denying man-made climate change and it’s devastating harm. They reject the need for alternative energy sources that could stem the impact of greenhouse gas emissions. They gasp when hearing the word “sustainability.” They block efforts to deal with these or other significant challenges. Nevertheless, many businesses and even the military are seeking solutions to these threats to our economy, way of life, and our national security.

But creating successful, sustainable practices and policies, and the long-term vision they require is complex. The above challenges are interwoven with vested interests of those seeking deregulation or new tax laws that enables continued profit for themselves, at the expense of the larger society. Investment in infrastructure or human capital is ignored.

Positive solutions call for “green leadership.” In business, successful, sustainable practices rest upon an internal foundation, a mindset of emotional and mental perspectives, values and capacities. This mindset helps create sustainable, growth-oriented practices that contribute to long-term security and development for all.

In this post I describe what a green leadership mindset consists of. Part 2 describes what it looks like in practice, and how leaders can learn to build it.

Business and Military Organizations Embrace Reality

To better understand the rise of green leadership, consider that climate change is recognized and being addressed by many decision-makers, despite the deniers. For example, The Economist and others recently focused on the melting Arctic, the sea level rise and ways to deal with long-term implications. Companies research and invest in alternative energy technologies, and receive federal support, though the latter is opposed by fossil fuel-funded politicians, including Mitt Romney, who has called wind and solar power “…two of the most ballyhooed forms of alternative energy.” Nevertheless, research abounds. Companies continue to explore innovations for increasing solar energy efficiency, for example.

The military recognizes the national security threat Continue reading

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Business Leadership Programs Ignore the Key Ingredients of Success

Leadership development and executive coaching programs have become pretty widespread in companies and organizations today, and with good reason: Positive, effective leadership is essential for success within today’s turbulent work environment. Moreover, growing your leadership skills is also necessary for successful career development in today’s workplace, where nothing is guaranteed.

But there’s a problem with these programs: Many fail to help with three crucial areas: building personal growth through self-awareness and self-examination; learning the leadership actions that increase company success in the midst of a changing workforce and fluid environment; and then, learning to align the two.

The absence of programs that really help in these areas gets reflected in periodic surveys finding that people at all levels are unhappy and dissatisfied with their work and careers. They struggle with the emotional impact of negative, unhealthy leadership that appears stuck in a 20th century mindset of top down, command-and-control.

Executive development programs typically take you through questionnaires, various exercises and “tools” to build skills and resolving roadblocks or conflicts. Many of them provide important and useful help for strengthening leaders’ knowledge and capacity for greater effectiveness in their roles. Some are provided by large consulting organizations like Right Management; others by university executive education programs, such as Harvard’s or Wharton’s. Efforts have been made to evaluate the effectiveness and scope of coaching programs, as well.

But many of them miss, on the one hand, building the necessary self-awareness of your “drivers” as a leader or manager. That is, your emotional makeup, your values and attitudes; your personality traits, and your unresolved conflicts. You’re a total person, not just a set of skills performing a role.

On the other hand, the programs often fail to incorporate current knowledge about the changing workforce, as well as the link between sustainable, socially responsible practices and long-term business or mission success. Yet bringing these two key ingredients together is the vehicle for both a thriving career and organization. Let’s look at both:

Self-Awareness and Self-Examination
Personal growth and career growth go hand-in-hand, and are the foundation for successful leadership in today’s organizations. Most successful and satisfied executives, whether at the top or on their way up, practice some form of self-awareness and self-examination. They learn to align their personal values and life goals with the kinds of leadership practices that will promote growth and development at all levels.

Becoming self-aware and orienting yourself to self-examination involves your entire mentality – that mixture of your emotions, your mental perspectives and attitudes, your values and beliefs. It includes, for example: Continue reading

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Why Today’s Workplace Creates Emotional Conflicts

One of the most poorly understoodthough frequently experiencedrealities of work andcareertoday is that success often takes an enormous toll on people’s emotions and overall lives. It sounds ironic, I know, but it’s true. And to the extent it’s noticed at all, the downside of success is usually assumed to be understandablestressor work-life balance problems of modern lives.

But that misses the larger problem: Career success often generates a range of emotional conflicts that affect the person, job performance and ultimately the company’s success. Conflicts range from questioning the value and worth of the toll you pay along the path to success to more troubling problems. For example, feeling constrained by long hours, work that often lacks meaning, vigilance about political conflicts that can suck you in, and frustration withmanagementpractices. More serious emotional problems include anxiety, depression and chronic physical ailments. All of the above can be triggered by successful career advancement.

Though the problem is underrecognized, it’s widespread. Periodically anew surveyappears, documenting depression in the workplace and dissatisfaction with leadership. Other research confirms that demoralization rises when work isn’t very engaging; or when opportunities for continued growth and expanding competencies are too limited or blocked. It’s time we recognize the negative psychological impact that the management culture and the “requirements” for success can have on people and the organizations they work for. They exist at great cost to both.

When I investigated and wrote about career-related conflicts this a few decades ago I found Continue reading

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Why Our Political Culture Looks Insane

The ugly spectacle of political gridlock reflects a political culture best described as insane. It’s increasingly disconnected from realities of our current world. We’re living in the midst of massive, worldwide transformation towards a highly intertwined and increasingly transparent world. The impact of this transformation is visible in economic shifts, new political movements, changing social norms and personal values, business practices and in individual behavior.

The products of this transformation call for policies and actions that respond to them in pragmatic, positive ways. But here in the U.S., our political culture of both left and right operates as though these new realities either don’t exist or don’t matter; as though the old order still prevails.

Examples of the political insanity include:

  • From the left, President Obama is attacked for not achieving and pushing for a more progressive agenda, despite a range of accomplishments that he’s achieved. But the greater insanity is that he’s operating with the new “requirement” instituted by Republicans: That every piece of legislation must now be able to overcome a filibuster threat, rather than be hammered out through compromise and then subjected to a majority vote.
  • On the right, the Republican/Tea Party vilifies Obama’s “socialist,” “anti-American” or — in Newt Gingrich’s description — “Kenyan, anti-colonialist” agenda, despite an ironic reality to the contrary: President Obama’s policies and behavior are much closer to those of a moderate Republican of yore; the kind that doesn’t exist anymore.
  • Then there’s the ongoing clown show — Republican presidential hopefuls who argue for returning to policies that — as data show — have created the economic mess we’re now in. Moreover, they try to outdo each other to embrace anti-science, anti-knowledge positions, whether about climate change or evolution; and they vocally embrace anti-human rights positions when those rights concern gays and lesbians.

Contrast the above positions and policy objectives with some of the transformations whose impact is increasingly visible in everyone’s lives. On the surface, they appear disparate; unrelated. But collectively, you can see a theme: A rising change of mentality. That is, a mixture of values, world outlook, emotional attitudes, and conduct. It’s simultaneously a response to and a driver of the rise of interconnection and interdependency. And it has cascading political, economic and social implications.

Here are some of the seemingly unrelated shifts that reflect the reality of today’s world: Continue reading

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Research Finds That “Nice Guys” Are Less Successful — But Is That So?

A recent study reported that “nice guys” who are “agreeable” achieve less success in their careers than those who are more rude, dominating, aggressive, hostile and dismissive of others. But is that so? I think the researchers’ findings reflect some confusion about the traits and behavior that underlie the most productive and successful careers and companies in today’s evolving workplace.

A team from Cornell’s School of Industrial and Labor Relations, Notre Dame and the University of Western Ontario conducted the study. They surveyed people’s self-reported descriptions of their level of “agreeableness.” The researchers found that men who rated themselves “highly agreeable” earned less money than men who described themselves as less so — on average, about 18 percent less annually. The gap was found among women as well, but to a lesser degree. Regarding these findings, one of the study’s co-authors, Beth A. Livingston, concluded that “Nice guys are getting the shaft.”

But how, exactly, did the researchers define “nice” or “agreeable” in the study? Moreover, it’s notable that defined “success” solely in terms of income, and that may not be the criteria that everyone uses — especially since the post-2008 crash.

The researchers asked the participants to rate themselves along several related dimensions, such as “agreeable” vs. “quarrelsome;” “difficult” vs. “cooperative;” and “stubborn vs. flexible.” One problem with this is Continue reading

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The Rise of the New Global Elite

Chrystia Freeland has a very insightful, well-documented and researched analysis in The Atlantic about how the super-affluence of recent years has changed the meaning of wealth…and the implications for all of us. I’m posting it here for Progressive Impact readers.

She writes:

F. Scott Fitzgerald was right when he declared the rich different from you and me. But todays super-rich are also different from yesterdays: more hardworking and meritocratic, but less connected to the nations that granted them opportunityand the countrymen they are leaving ever further behind.

If you happened to be watching NBC on the first Sunday morning in August last summer, you would have seen something curious. There, on the set ofMeet the Press, the host, David Gregory, was interviewing a guest who made a forceful case that the U.S. economy had become very distorted. In the wake of the recession, this guest explained, high-income individuals, large banks, and major corporations had experienced a significant recovery; the rest of the economy, by contrastincluding small businesses and a very significant amount of the labor forcewas stuck and still struggling. What we were seeing, he argued, was not a single economy at all, but rather fundamentally two separate types of economy, increasingly distinct and divergent.

This diagnosis, though alarming, was hardly unique: drawing attention to the divide….

Clickhere for the full article.

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Gen X and Gen Y Workers Are Driving The New “4.0” Career

I often hear the following laments from younger and older careerists — about each other:

Younger workers: “These older people just don’t get it. They expect us to just fall into line, follow bureaucratic rules, and they don’t show us respect for what we know or what we can do.”

The older workers: “These young people just don’t understand how to function within an organization. They want recognition, promotion, everything before they’ve earned it, step-by-step, like we had to do. That’s not how reality is.”

They remind me of a couple who said about each other, “It’s not that we see things differently. It’s worse than that: We’re seeing different things!”

In a way, they are. Different career orientations are like lenses through which you view the world. In my recent post on the rise of the 4.0 career, I wrote that this shift is most visible among Generation X and Generation Y workers, but that it’s a broader movement as well, originating with baby boomers and the 60s generation who are now moving through midlife. But as the 4.0 career orientation grows, it’s also spawning the above differences in perception. In this post I describe the younger generation’s contribution to the 4.0 career transformation. It began before the economic meltdown and will continue to have an impact on organizations and personal lives in the years ahead, post-recovery.

To recap a bit, what I call the 4.0 career orientation includes but extends beyond the 3.0 career concerns that emerged in the last 20 years. The latter are about finding personally meaningful work and seeking a good work-life balance. In essence, the 3.0 careerist is focused on self-development. In contrast, the 4.0 orientation includes but also moves beyond those more personal concerns. It’s more focused on having an impact on something larger than oneself, contributing something socially useful that connects with the needs of the larger human community. The vehicle is opportunity for continuous new learning and creative innovation at work. The 4.0 orientation links with the movement towards creating successful businesses that also contribute to the solution of social problems. Continue reading

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