Four Critical Functions of an Effective CEO From the Former CEO of Dunkin Donuts

/0 Comments/in /by

This blog is a modified version of the Introduction to Robert Rosenberg’s new book Around The Corner To Around The World. Robert served as the CEO of Dunkin’ Donuts for 35 years. He shares his reflections and guidance in the podcast A Dozen Lessons Learned Running Dunkin’ Donuts.

Every morning, five million people around the world start their day with a cup of Dunkin’ Donuts coffee. Thirsty customers in search of their favorite pick-me-up can find their fix in more than eleven thousand stores and in more than forty countries. In the United States, the brand enjoys a 95 percent recognition rate among consumers. In head-to-head taste comparisons between Dunkin’s original brew and Starbucks blend, Dunkin’ was preferred 58 percent to 42 percent.1 In part due to these achievements, Wall Street has placed a market value of nearly $6.5 billion on the enterprise known as Dunkin’ Brands.2

This was not always the case. From humble beginnings—a single shop in Quincy, Massachusetts, in 1950—Dunkin’ Donuts grew over the years into one of the world’s most beloved brands through sheer perseverance and grit, talent, and a little bit of luck. This memoir chronicles the trials and tribulations, the dizzying highs when we got it right and the heart-thumping near-death lows of when I got it wrong.

This is a story of a family business transforming from a small, regional diversified food service company into the worldwide, iconic brand it is today. More than anything else, it is a story of change. Sometimes it was a pivotal switch-up in management that affected all levels of the business, or merely a refinement in the menu that sent sales skyrocketing. Deceptively simple adjustments in the service delivery system transformed our retail concept in fundamental ways. A more sophisticated location and marketing strategy increased sales dramatically, while a new purchasing system saved our franchisees tens of millions of dollars. The fact is that our team— both franchise owners and management together—continually adapted to an ever-changing consumer and competitive landscape. This adaptability enabled us to build this world-renowned brand that I had the good fortune to shepherd for more than thirty-five years.

Since my time and exposure with this company parallels the mind-blowing growth of the fast-food business, as well as the franchise system of distribution, business readers are sure to find value in this tale as well.

Growing any business is not for the faint of heart; not in 1950 when Dunkin’ began, not during the years I was at the helm, 1963– 98, and certainly not today. So to all those entrepreneurs building their own businesses today or contemplating buying a franchise, I would hope our successes and failures would be a valuable springboard and provide important lessons and helpful insights—or cautionary tales—for your own ventures.

Thousands of executives, staff, and franchise owners past and present who have built this wonderful business. It was their adaptability, courage, and genius that made Dunkin’ Donuts a legendary and dominant global brand around the world.

In my experience, these are the four critical functions of an effective CEO.

  • The first is strategy. Strategy is the controlling plan that sets out what an enterprise wishes to be, what it wishes to achieve, and the most important action steps it needs to take to marshal scarce resources in the achievement of its mission and objectives.
  • The second lens is organization, which deals with the recruitment, retention, and motivation of the appropriate staff to achieve the strategy.
  • The third is communication, the aim of which is to align all constituents enthusiastically behind the achievement of the strategy.
  • The fourth and final category I call crisis management, where I parse the issues that posed either a threat or opportunity to the enterprise, requiring the attention of the CEO.

After due reflection on three-and-a-half decades at the helm of a dynamically growing business, six years teaching as an adjunct in the graduate program of a leading entrepreneurial college, and decades as a board member of several well-known food service companies, I’ve become convinced of the worth of this counsel.

Taken from Around the Corner to Around the World by Robert Rosenberg. Copyright © 2020 by Robert Rosenberg. Used by permission of HarperCollins Leadership.  www.harpercollinsleadership.com

 

About the Author

Robert Rosenberg served as chief executive officer of Dunkin Donuts from 1963 until his retirement in 1998. Under his leadership, the company grew from a regional family business to one of America’s best-known and loved brands. Rosenberg received his MBA from Harvard Business School, and in just weeks after graduating at the age of 25, assumed the position of chief executive officer. After retiring from Dunkin, Rosenberg taught in the Graduate School at Babson College and served many years on the boards of directors of other leading foodservice companies, including Domino‘s Pizza and Sonic Restaurants

 

 

7 Must-have Qualities of Leaders to Get the Best Output from Their Teams

/0 Comments/in , /by

“Management is about persuading people to do things they do not want to do, while leadership is about inspiring people to do things they never thought they could.” — Steve Jobs

The responsibilities of leaders have quadrupled during an era when it has become a challenge to run a business. Covid-19 has brought fresh challenges for the companies. The onus is on leaders and remote workers to keep the business running amidst all uncertainties. But the key responsibility of helping a business thrive during the pandemic rests upon the shoulders of its leaders.

Great leaders can help to inspire teams to give their 100% at work.

Leaders need to instill a sense of courage and trust in their workers. Workers look up to leaders for direction and inspiration. If the leaders are incompetent or do not have adequate leadership skills, then it is hard to get 100% productivity from the teams.

Good leaders can get the best out of their teams during a crisis period. By keeping the teams motivated, inspired, efficient, productive, and focused on work, leaders can help a business to reach the pinnacle of success at any time. Teams look up to their leaders for direction and confidence. They walk on the path that their leaders show them. They watch and observe each movement of the leaders.

Also, leaders act as a bridge between the company and the employees. A great leader can inspire his or her teams to give their best effort during a crisis time and help to bring abundant growth to the company.

What are the great qualities of great leaders that can help to get the best output from their teams? 

  1. Give powerful and inspiring messages to your team.

Employees trust leaders more than the information they get from the media or the government. Great leaders always choose their words carefully at the time of communicating with their teams. They give clear and direct messages to make workers feel safe and protected.

During a period of crisis, leaders give moral support to workers even though they don’t feel confident about the situation. They solve the queries of the workers in the best possible manner to reduce their stress.

Great leaders are always there with their workers during ups and downs. They give powerful messages to instill hope and courage in the hearts of workers and help them shine in their full glory.

  1. Great leaders bond with the team by sharing personal stories and experiences.

Sharing personal experiences helps to strengthen the bond between leaders and team members. It helps the leaders to connect with team members and help to build healthy relationships. They speak about their personal experiences and victories to their team members.

They discuss Netflix web series, sports, personal interests, TV shows, politics, and so on to uplift team spirits. All work and no play make the team members feel bored. Personal chats and sharing of hearty laughs are also equally essential for the smooth functioning of a team.

If the bond between the leader and team members is not strong, then there cannot be 100 percent success. When leaders share their experiences and personal stories, workers feel inspired. They get the strength to collaborate with other members and get the work done as soon as possible.

  1. Great leaders act as a mentor rather than an authoritative person.

Great leaders don’t instruct workers about what to do like an authoritative boss. They act as a mentor toward the employees and guide them on how to finish a task. Leaders share helpful resources with the workers so that they can work on the project in the right direction. Leaders work with employees as a team.

They give genuine feedback about the progress of workers. They converse about the challenges that workers may face while doing the project in the weekly team meetings. Leaders ask how they can help workers overcome those obstacles and challenges. They share personal experiences to encourage workers to keep on fighting to overcome all the challenges and achieve ultimate victory.

  1. Great leaders take accountability for both success and failure.

Workers look down upon leaders who love to come to the limelight when there is a grand success and put all the blame on the workers when something goes wrong. Great leaders work as a team with workers.

They set clear objectives so that employees know what they must deliver. They work alongside the members until a project is delivered. They share both success and failures with the team members.

  1. Great leaders are fair and impartial to everyone.

Great leaders are fair and impartial to all workers so that they don’t feel deprived of anything. If the leaders are not neutral, then the team will not be motivated to give their 100% at work. The relationship between the team members and the leader will suffer, and so will the work in process.

  1. Great Leaders act as a bridge between the employers and the employees.

The outbreak of COVID-19 led to the introduction of work from home policy in many companies across the globe. Millions of workers have been working from home for the last year. Now, this has created a sense of confusion among employees. It has also created a sense of disconnect between employees and employers.

Leaders have a big responsibility here. They must act as a bridge between the employer and the employees. Great leaders communicate the new work from home policy clearly and decisively so that there is no confusion. They answer all the questions of the remote workers patiently and resolve their curiosity. After all, curiosity kills the cat.

Great leaders explain the benefits and risks of the new work from the home policy so that no one feels that others are getting an undue advantage. They work with employers to develop effective strategies to motivate workers who are coming to the office and working from home during the pandemic. They relay messages from employers from time to time so that remote workers get a sense of belonging to the company.

  1. Great Leaders work hard to lead by example and inspire others to work equally hard.

Workers will not be ready to put their 100% at work if their leaders give only 10% effort on projects. If leaders are sloths, workers will also be sloths. Great leaders prefer to lead by example. They put their 300% at work so that the workers are equally motivated to put at least their 200% on the current assignments. Strong leaders don’t believe in delivering speeches only. They believe in action. And that is because action speaks a thousand times more than words.

Final note

Leadership qualities help companies and workers in achieving financial freedom during dark times. The right behavioral attitude, empathy, and effective collaboration, and great leadership skills can help both companies and workers to get financial success in the long run.

 

About the Author

Valentina Wilson is a writer. She loves to analyze personal financial matters and help others manage their finances in a better way. Traveling is also her passion. She follows more animals on Instagram than humans and her greatest achievement is her blog. She believes that transparency and conversations about money are essential in gaining control of finances.  To connect with her, go to her LinkedIn or visit her blog bestdebtconsolidation.org

Image by Gerd Altmann from Pixabay

Do We Need New Competencies in the Boardroom and C-Suite? Part 2

/1 Comment/in , , , /by

This article is an excerpt from the Future Boardroom Competencies 2020 Report compiled by Competent Boards and provided by Helle Bank Jorgensen, CEO and Founder.  This is the second part of a 2 part series and is a companion to her podcast Future Boardroom Competencies.  If you want to read the entire report, it can be downloaded here.

Today’s board members and business executives are traveling across a business landscape vastly different than ever seen before. The acceleration of globalization, proliferation of technology, and elevated urgency surrounding a changing climate and biodiversity loss has produced increasingly treacherous terrain for companies with rigid business models. Now in 2020, board members and other business leaders are forced to address these challenges against the backdrop of the global crisis that is the COVID-19 pandemic.

As the board of directors navigate a setting so unfamiliar, pressure mounts as all stakeholder groups are intently observing boardroom decisions with a growing list of expectations in-hand. Undoubtedly, the adverse impacts generated by these complex phenomena indicate that a great-reset in corporate governance is not only necessary but required – and business leaders must be prepared.

Our research uses qualitative analysis to evaluate survey responses from our international faculty members and reveal the quintessential competencies, qualities, and traits that are comprised within a future-ready board member.

We hope that the results of this report can be used as a road map for both current or aspiring board members to reflect and act on what it is that they need to cultivate in order to effectively lead companies through future storms, and emerge on top with a refined sense of purpose. Many are calling the unprecedented challenges a tsunami – either leaders learn to surf, or they and the companies they serve will sink.

Today, we are in a world of despair where transgressing planetary boundaries continue to create new risks for businesses such as increased resource limitations, and supply chain disruptions.

We are not only transgressing the planetary boundaries, but also social and cultural ones. Technology has provided an opportunity for people to be more connected than ever. But many are feeling left out or struggling with cyberbullying, fake news, and constant bombardment of new information and expectations that put a strain on mental health.

Human rights are under tremendous pressure as modern slavery and economic exploitation of human life, as well as nature, is on the rise. This makes the role of directors and executives even harder to navigate, as stakeholders can use their phones to ruin a company’s reputation within a few seconds. With so many moving pieces, companies and their directors may struggle to ensure that all operations can stand up to the scrutiny of stakeholders and uphold the integrity they expect.

We need to move towards a net positive impact on nature, humans, and the economy. And to do so the actions of board of directors and executives must extend beyond a nicely written report. ESG (environmental, social, and governance) integration requires leadership and an ESG transformation mindset. Therefore, board members and executives must ensure that this mindset is embedded across all levels of the organization.

With more attention being cast to the board of directors in addressing various environmental, social, and economic challenges, new initiatives will continue to alter the regulatory landscape. The European Commission recently announced a proposed intervention in the area of corporate law and governance with the general objective of establishing more robust accountability measures to improve a company’s integration of sustainability into long-term decision making.² This initiative, among other mounting pressures, underscores the responsibility of the board of directors and its power in creating meaningful action.

The board of directors is obliged to not only deliver returns to shareholders but also to clearly define the role of the company in society. A society that in return expects that elected board members bring exceptional capabilities to the boardroom.

For example, board members should have an understanding of how company resources are being utilized and be clear on how these actions impact nature and stakeholders. Furthermore, the board of directors must understand how the current and future states of nature and society will impact the company and its ability to thrive in the long-term. A task that has been considered “one of the most demanding, complex and taxing activities in the world of public life”.³ With increased public discussion on the role of corporations in times of crisis such as COVID-19, there is increasing stakeholder pressure for board members to perform on ESG-related issues.

A recent survey from Edelman found that 71% of 12,000 respondents would lose trust in a company if they perceived that the company was placing profit over people.⁴

Leading companies have certainly responded to these pressures. It was recently reported that 63 of the 100 largest public companies now have a board committee overseeing sustainability matters.⁵ However, the same study identified that only 17% of those serving on these committees had relevant training or experience when it comes to ESG and sustainability. ⁶

This dichotomy emphasizes how critical it is that board members work towards building and applying the necessary competencies in addressing ESG-related issues and adopt an approach to leadership that facilitates ongoing dialogue with shareholders and other stakeholders.

We are now in a period of awakening, where major transformations are taking place in all corners of the globe, altering the traditional context for boardroom decision making and heightening the expectations of corporate leaders and board of directors. We believe that reformulating the pre-existing definition of corporate stewardship in the 21st century will catalyze a pivot in social outlooks from one of despair to one of hope.

 

This report explores the foundational requirements board members need in order to navigate the dynamic nature of a world evolving faster than ever before.

(2) Study on directors’ duties and sustainable corporate governance (European Commission, 2020) – https://op.europa.eu/en/publicationdetail/-/ publication/e47928a2-d20b-11ea-adf7-01aa75ed71a1/language-en (3) How to Play the Board Game (The Economist, 2020) – https://www.economist.com/business/2020/11/21/how-to-play-the-board-game?src=gft (4) Trust Barometer Special Report: Brand Trust and the Coronavirus Pandemic (Edelman 2020) – https://www.edelman.com/research/covid-19-brand-trust-report (5) The Sustainability Board Report 2020 – https://www.boardreport.org/reports-research (6) Ibid

 

Do you know of top ESG Competent Boards and Board Members?  You can nominate those you believe should be highlighted in the Competent Boards list here.

About the Author

Helle Bank Jorgensen is the CEO of Competent Boards, which offers the global online ESG Competent Boards Certificate Program with a faculty of over 95 renowned international board members; executives and experts.

A business lawyer and state-authorized public accountant by training, Helle helps global companies and investors turn sustainability into strong financial results. She was the creator of the world’s first Green Account based on lifecycle assessment, as well as the world’s first Integrated Report and the first holistic responsible supply chain program.

Helle has written numerous thought leader pieces, is a keynote speaker, and is interviewed by global media outlets.

Image by spokane1977 from Pixabay

The 100 Most Powerful Women in the World

/0 Comments/in , , /by

Agostina Chemello of Porch.com provides this article as a companion to the interview Research Findings on Women’s Access to Leadership Development.

From influential politicians to tech geniuses, Forbes’ 2017 ranking of the “The World’s 100 Most Powerful Women” runs the compass of everyone from Oprah Winfrey and Ivanka Trump to Angela Merkel and Facebook’s Sheryl Sandberg.

Ranging in age from 28 (Taylor Swift) to 92 (Queen Elizabeth II) it’s clear no woman is the same. There’s not one quality that helped these women climb to the absolute peak of power in their industries, it’s worth asking—what qualities do they share that’s helped set them apart?

To find out, we used IBM’s Watson™ Personality Insights API to examine speeches, interviews, and even social media commentary to decipher the more natural elements of their personalities. With only a few exceptions, every woman on Forbes’ list has been analyzed here. Read on for a more intimate look at these leading ladies.

Powerful Personalities

According to IBM’s Watson Personality Insights model, there are five core characteristics that help define how a person engages with the world. These include agreeableness, conscientiousness, extraversion, emotional range, and openness and are made up of personality facets that help individualize each person’s values and actions.

Across Forbes’ list of the 100 most powerful women in the world, openness was the most common personality trait. Described by IBM as “the extent to which a person is open to experiencing different activities,” openness includes a person’s imagination, artistic interests, and overall intellectual curiosity. Across all 100 women, two were particularly inclined toward this trait: Ranking at No. 72 Zanny Minton Beddoes, editor-in-chief at The Economist; who has helped grow the publication’s reader base by 20 percent, and Kathleen Kennedy, the president of Lucasfilm at Disney.

Emotional range and conscientiousness were also the most prevailing “Big Five” traits, personified most clearly by women like Safra Catz (the co-CEO of Oracle) and Nikki Haley (the Indian American ambassador to the United Nations). And while agreeableness wasn’t the most prominent “Big Five” trait, Beyoncé, Anna Wintour, and Oprah Winfrey are still using compassion and cooperation to their advantage.

Industrious Individuals

Women’s day-to-day responsibilities may be different, but the skills required to make it into politics might not be so different from tech. Sympathy, intellect, and liberalism topped the list among women in politics including Germany’s Angela Merkel and the U.K.’s Theresa May. The same is true for media and entertainment where Oprah Winfrey, Anna Wintour, and Bonnie Hammer top the list of the most powerful women anywhere in the world.

A Cut Above the Rest

Of course, there’s more to what makes these women special than the “Big Five.” Other facets of their personalities have helped them stand out in, and in some ways disrupt, the industries they lead.

From the politically savvy to tech giants and entertainment superstars, the path to power for the top 100 women on Forbes’ list is unique. While what has helped them get to where they are today is different, the personality traits they sometimes share aren’t. From Oprah Winfrey to Theresa May, they sometimes share characteristics like intellect and liberalism (challenging the status quo) even if they execute them differently. Each of these women proves that even in male-dominated industries, breaking away from the norm can pay off in big ways.

Read the full article at Porch.com.

About the Author

Agostina Chemello is a guest writer from Porch.com.

Photo by:  Jude Beck on Unsplash

 

Do We Need New Competencies in the Boardroom and C-Suite?

/0 Comments/in , , , /by

This article is an excerpt from the Future Boardroom Competencies 2020 Report compiled by Competent Boards and provided by Helle Bank Jorgensen, CEO and Founder.  This is part 1 of a 2-part series and is a companion to her podcast Future Boardroom Competencies.  The entire report, Future Boardroom Competencies can be downloaded here.

FOREWARD

There is no telling what will define the business landscape post-pandemic. However, the trend remains clear. The foundation on which our global economic systems and governance practices have been built is nearing expiry.

With a heightened sense of urgency surrounding environmental, social, and humanitarian problems, there is an elevated sense of societal pressure on leading organizations and their board of directors to take action.

The future of good corporate governance has begun to outgrow the notion of transactional thinking with respect to decision making. Serving board of directors must apply a strategic approach to meeting the growing expectations of shareholders and all other stakeholders. An approach that requires deep reflection on purpose, analysis of strategy, and consideration of all perspectives in an effort to achieve short-term profitability and long-term sustainable value creation.

As the world enters a period of reset, board members should not only equip themselves with the necessary competencies to meet new expectations but should also be willing to adapt their own outlook through a strong willingness to learn.

The findings of this report suggest that in order for board members and other executives to be future-ready, they must stay curious with a strong willingness to expand their knowledge and adapt to new conceptual interpretations. Moreover, board members should be constructively critical in challenging the status quo with respect and integrity.

Future-ready board members are highly focused on cooperative decision-making and inclusiveness. They have a demonstrated ambition to tackle systemic inequalities through actions that increase board diversity and promote a more equitable decision-making process. They are ready to apply their wisdom in making sense of complex information to effectively balance the needs of all stakeholders and adapt the strategic approach accordingly.

Any leader must understand the interconnectedness across environmental, social, and governance (ESG) issues and how it relates to business strategy. Obtaining the relevant ESG and sustainability competencies is imperative for business leaders in understanding how future scenarios may expose the company to emerging risks or present further business opportunities.

I hope that you will find value in this report and use it to reflect on and further develop your competencies.

 

EXECUTIVE SUMMARY

This report provides an overview of the essential competencies, qualities, and traits the board of directors and other business professionals will need to navigate the dynamics of a global business landscape shaped by the greatest challenges of our time.

Organizations and the individuals that lead them hold the innate responsibility of delivering on a shared vision that drives long-term sustainable value creation while executing on short-term needs.

As global conditions come to normalize, we enter a period of great reset – for which the board of directors need to be prepared.

Using data collected via survey, this analysis evaluates insights from the Competent Boards global faculty and other business leaders in an effort to determine the elements comprised within a future-prepared board member.

The report uses the qualitative method to draw a comprehensive list which business leaders can use to reflect on their ability to effectively manage emergent risks and opportunities.

We asked four questions:

  • What does stewardship in the 21st century look like?
  • What does a future-prepared board member look like?
  • What new competencies are, or should be, demanded of board members?
  • What are the personal traits, qualities, and diverse perspectives needed in the boardroom?

The findings indicate that future-ready board members will need to apply a lens of curiosity that supports a culture of continual learning and strategy adaptation in order to meet growing expectations.

The survey determined that effective board leadership should be aligned with a distinct sense of purpose that is informed by a deeply-seated literacy of the material ESG challenges faced by the company.

Although an objective list of relevant skills and experience may apply to every qualified board member, the survey results indicate that the definition of a future-prepared leader may extend further.

According to the survey’s findings the personal attributes or traits within an individual’s internal value system may also play a role in defining a board member who is future-prepared.

As the COVID-19 pandemic shines a light on the many cracks within the foundations of our societal and governance structures, it becomes clear that the board of directors is expected to leverage their power and influence to take meaningful action.

The findings indicate that board members must reflect on their current outlook and set of competencies in order to identify areas for which they can develop their capacity to meet demands for extraordinary board-level stewardship in the 21st century.

Do you know of top ESG Competent Boards and Board Members?  You can nominate those you believe should be highlighted in the Competent Boards list here.

About the Author

Helle Bank Jorgensen is the CEO of Competent Boards, which offers the global online ESG Competent Boards Certificate Program with a faculty of over 95 renowned international board members; executives and experts.

A business lawyer and state-authorized public accountant by training, Helle helps global companies and investors turn sustainability into strong financial results. She was the creator of the world’s first Green Account based on lifecycle assessment, as well as the world’s first Integrated Report and the first holistic responsible supply chain program.

Helle has written numerous thought leader pieces, is a keynote speaker, and is interviewed by global media outlets.

 

Photo by Danielle Cerullo on Unsplash

Theory U: Leading From the Future As It Emerges

/0 Comments/in , /by

This blog is from the Presencing Institute, whose co-founder, Otto Scharmer, joined Maureen for a podcast, The Essentials of Theory U, as part of the International Leadership Association Conference.

(Cambridge, MA: Society for Organizational Learning, SoL, 2007)

Using his experience working with some of the world’s most accomplished leaders and innovators, Otto Scharmer shows in Theory U how groups and organizations can develop seven leadership capacities in order to create a future that would not otherwise be possible.

Tapping Our Collective Capacity

We live in a time of massive institutional failure, collectively creating results that nobody wants. Climate change. AIDS. Hunger. Poverty. Violence. Terrorism. Destruction of communities, nature, life—the foundations of our social, economic, ecological, and spiritual well-being. This time calls for a new consciousness and a new collective leadership capacity to meet challenges in a more conscious, intentional, and strategic way. The development of such a capacity would allow us to create a future of greater possibilities.

Illuminating the Blind Spot

Why do our attempts to deal with the challenges of our time so often fail? Why are we stuck in so many quagmires today? The cause of our collective failure is that we are blind to the deeper dimension of leadership and transformational change. This “blind spot” exists not only in our collective leadership but also in our everyday social interactions. We are blind to the source dimension from which effective leadership and social action come into being. We know a great deal about what leaders do and how they do it. But we know very little about the inner place, the source from which they operate. And it is this source that “Theory U” attempts to explore.

The U: One Process, Five Movements

When leaders develop the capacity to come near to that source, they experience the future as if it were “wanting to be born”— an experience called “presencing.” That experience often carries with it ideas for meeting challenges and for bringing into being an otherwise impossible future. Theory U shows how that capacity for presencing can be developed.
Presencing is a journey with five movements:

As the diagram illustrates, we move down one side of the U (connecting us to the world that is outside of our institutional bubble) to the bottom of the U (connecting us to the world that emerges from within) and up the other side of the U (bringing forth the new into the world).

On that journey, at the bottom of the U, lies an inner gate that requires us to drop everything that isn’t essential. This process of letting-go (of our old ego and self) and letting-come (our highest future possibility: our Self) establishes a subtle connection to a deeper source of knowing. The essence of presencing is that these two selves—our current self and our best future Self—meet at the bottom of the U and begin to listen and resonate with each other.

Once a group crosses this threshold, nothing remains the same. Individual members and the group as a whole begin to operate with a heightened level of energy and sense of future possibility. Often they then begin to function as an intentional vehicle for an emerging future.

Seven Theory U Leadership Capacities

The journey through the U develops seven essential leadership capacities.

  1. Holding the space of listening
    The foundational capacity of the U is listening. Listening to others. Listening to oneself. And listening to what emerges from the collective. Effective listening requires the creation of open space in which others can contribute to the whole.
  2. Observing
    The capacity to suspend the “voice of judgment” is key to moving from projection to true observation.
  3. Sensing
    The preparation for the experience at the bottom of the U—presencing—requires the tuning of three instruments: the open mind, the open heart, and the open will. This opening process is not passive but an active “sensing” together as a group. While an open heart allows us to see a situation from the whole, the open will enables us to begin to act from the emerging whole.
  4. Presencing
    The capacity to connect to the deepest source of self and will allows the future to emerge from the whole rather than from a smaller part or special interest group.
  5. Crystalizing
    When a small group of key persons commits itself to the purpose and outcomes of a project, the power of their intention creates an energy field that attracts people, opportunities, and resources that make things happen. This core group functions as a vehicle for the whole to manifest.
  6. Prototyping
    Moving down the left side of the U requires the group to open up and deal with the resistance of thought, emotion, and will; moving up the right side requires the integration of thinking, feeling, and will in the context of practical applications and learning by doing.
  7. Performing
    A prominent violinist once said that he couldn’t simply play his violin in Chartres cathedral; he had to “play” the entire space, what he called the “macro violin,” in order to do justice to both the space and the music. Likewise, organizations need to perform at this macro level: they need to convene the right sets of players (frontline people who are connected through the same value chain) and to engage a social technology that allows a multi-stakeholder gathering to shift from debating to co-creating the new.

Theory U Encourages You to Step into the Emerging Future.

Examples of these seven Theory U leadership capacities can be found in a number of multi-stakeholder innovations and corporate applications. The Presencing Institute is dedicated to developing these new social technologies by integrating science, consciousness, and profound social change methodologies.

For more information: www.presencing.com

For a 17 page Executive Summary of the Theory U book, go to www.theoryU.com where you can download a pdf file and print it yourself. Or you can request a free copy, as a small printed and bound booklet, to be mailed to you.

 

About the Author

This article is from the Presencing Institute. Otto Scharmer is a Senior Lecturer at MIT and co-founder of the Presencing Institute. He introduced the concept of “presencing”—learning from the emerging future—in his bestselling books Theory U and Presence. Otto is co-author of Leading from the Emerging Future. His most recent book, The Essentials of Theory U, outlines the core principles and applications of awareness-based systems change.

CC License by the Presencing Institute – Otto Scharmer  https://www.presencing.org/resource/permission.

Photo by Dylan Gillis on Unsplash

5 Hacks to Improve Your Creativity and Performance

/0 Comments/in , /by

This blog is provided by Albin Morgan, a guest writer focusing on improving your creativity and performance. 

Did you know that you possess the power to rewire your brain and tune up your cognitive abilities? Well, you do. For the past decade, brain scientists have been releasing more and more proof that points to this possibility. The proof shows that the human brain is incredibly plastic, meaning that all you need to do is find the right habits and routines and you will successfully rewire yours. If you choose and commit to changing your behavior and becoming happier, more creative, and optimally productive, you sure can pull that off. Here are 5 hacks that will rewire your brain and give you significant gains in creativity and performance.

  1. Leveraging creative coaching

A life coach who specializes in creative coaching will help you to start thinking in new and different ways. Creative coaching involves teaching people who struggle with creativity issues the art of expressing their emotions, solving problems, and generating new ideas in a better way. If thinking outside the box isn’t your strongest suit, perhaps you need to book an appointment with a life coach.

The relevance of gaining creative skills in the corporate world can never be overemphasized. Creativity helps corporate leaders and business owners to work through any barriers that could be holding them back. A reputable creativity coach will go beyond training you on how to gain clarity and understand issues better, to training you on how to resolve conflicts and see things from the best possible perspectives. That is why investing in a creative life coach is never a waste of time or money.

  1. Diversify mind inputs

All human beings are creatures of habit. The only variation from one person to the other is the degree to which our habits and routines have affected our minds. Whereas this makes us happy and comfortable, it also limits our mind inputs and leaves little or no room for creativity. Speaking to the same group of people, sharing the same ideas, cooking using the same recipes, and visiting the same places makes you good at what you do but does not necessarily improve your creativity. That is why, if you want to diversify and improve your output, you must be ready to leave your comfort zone and start doing things differently. Take a vacation abroad, for example. Strike up conversations with random people, learn a new language, start playing new video games, read far and wide, and challenge yourself to do things that you ordinarily would not do. The more new interactions you make, the more diverse your thinking capacity will be.

  1. As much as possible, don’t multitask

Multitasking basically means asking your brain not to focus on anything specific and instead spin as many plates as possible, with the end game for any of the spins not being definitive. It is almost impossible for a normal human mind to focus on so many things and still manage to leave room for creativity. That is why when something serious bothers you, you drop everything, get in the moment, focus all your attention and energy on the problem at hand, and eventually find a creative solution. Now think of what would become of your life if you allowed your brain room to think all the time by quitting multitasking. It would be great, of course. Stop piling up issues or forcing things that probably don’t need to be pushed. Take everything in and start solving issues as they come. That will help with your creativity.

  1. Practice mindful observation

Improving your observation skills will set up your brain to a path of discovery and creative thinking. Mindful observation means taking note of your surroundings and being alive to everything that happens around you, no matter the time or place. It is time you started appreciating the environment in which you live and appreciating the creativity of the people around you. Start noticing problems everywhere you go and, instead of feeling overwhelmed by them, volunteer to find workable and innovative solutions. That will help you tap into your creative energy.

  1. Take time out and do absolutely nothing

Doing nothing isn’t easy especially with all the work deadlines waiting for you on your desk, but you should try it nonetheless. Just set aside an hour from your busy schedule, hit the brakes, and forget about work. Too much focus and attention to new information destroys your ability to process new information fast or even to analyze it effectively. Relaxing is critical to your cognitive capabilities.

Conclusion

Being creative is surely magical. It helps you to inspire new ideas and gain the admiration of people around you. Being able to create something from nothingness is also motivational in its own way. If you wish to get that ability, then, by all means, invest your time, energy, and money to getting the right tools for your creativity uptake.

 

About the Author

Albin Morgan is a guest writer.

Photo by Tim Mossholder on Unsplash

The Magnolia Moonshot 2030 Movement

/0 Comments/in , , /by

This blog was collectively written by the Magnolia Moonshot 2030 Project Founders and is provided by Darcy Winslow, one of the founders.  It is a companion to her Academy for Systems Change podcast and the Magnolia Moonshot 2030 Project.

In order to meet the challenges of our time, we need to shift our thinking as individuals and as a society. The profound changes that are necessary today require a shift in our paradigm of thought and a shift in consciousness from an ego-system to an eco-system awareness. The deeper we move into the complex, volatile, and disruptive challenges of the twenty-first century, the more this hidden dimension of leadership moves to center stage. The blind spot in the 20th century toolkit of economics and management can be summarized in a single word: consciousness.

Consciousness is a thread that connects the 3 Divides (attribution to Otto Scharmer); a shift in consciousness will illuminate the interconnections among the Spiritual, Social, and Ecological Divides thus creating the conditions for current realities to transform into our desired common futures.

We are called to live with courage and collective integrity, for our survival and ability to thrive.

Spiritual Divide

Consciousness is our fluid basis for how to proceed with kindness, listening, learning, self-reflection, connection to self, and awareness of other. We have a human crisis resulting from people thinking of self in an egoistic way rather than as a higher Self who sees the bigger picture of us as community. Our aspiration is to support the inherent value of each person and create a flourishing world for all of us. We are warriors of love, calling all like-minded people to join us in changing the paradigm from “me, we, they” to a global and universal “us”.

The Spiritual divide manifests in rapidly growing figures on burnout and depression, which represent the growing gap between our actions and who we really are:

  • 1 person dies every 40 seconds from suicide (World Health Organization). There are 800,000 deaths per year from suicide, which is the leading cause of death in developing countries for people age 15-49. (Institute For Health Metrics And Evaluation, Global Burden Of Disease 2010)
  • Depression and anxiety disorders cost the global economy US $1 trillion per year and people with mental health conditions often experience severe human rights violations, discrimination, stigma (WHO)
  • Most disorders classified within mental health — that is depression, anxiety, bipolar and eating disorders  — are more common in women than men. This pattern appears to hold true across most (in some cases all) countries. (org).
  • The annual cost of burnout to the global economy has been estimated to be $323.4 billion. Such costs have led to the World Health Organization predicting a global pandemic within a decade (and now here we are with COVID!).

Social Divide

Empathy is when we can enter into another’s reality without judgement to radically listen, radically see, and radically imagine. This is how we earn the right to be heard. By being witness bearers and showing empathy towards our sisters and brothers we deepen our connectedness. People everywhere will collaborate to create a future where we can heal the social divide(s) and create a world where all people have enough. Our deep connectedness and shared consciousness will guide us to create physical, social, and economic well-being where all can flourish. This can only happen if we are in tune with nature, understanding of our inescapable interconnectedness, and design our ways of living to be in balance. Our deep connectedness and shared consciousness will guide us to find the way back to each other.

Current statistics reflecting the social divide include:

  • The necessary contribution of women is difficult in a world where, despite representing close to half of the world population, women are under-represented in decision-making bodies. This lack of representativeness is significant: in 2016, just 22.8% of the total of national members of parliament and 4% of CEOs of biggest Fortune 500 companies were women. And in 2011, women occupied only 7% of ministries of the environment, energy or natural resources and represented some 3% of those responsible for science and technology.
  • Racism, racial discrimination and xenophobia are global phenomena. Each regional context is different and victims differ in language and culture. But the experience of exclusion, subordination, violence and discrimination is remarkably similar.  Racism as a worldwide phenomenon requires a worldwide response. (The World Conference against Racism, Racial Discrimination, Xenophobia and Related Intolerance)
  • Access to water and sanitation are recognized by the United Nations as human rights, reflecting the fundamental nature of these basics in every person’s life. Lack of access to safe, sufficient and affordable water, sanitation and hygiene facilities has a devastating effect on the health, dignity and prosperity of billions of people, and has significant consequences for the realization of other human rights.
  • There is enough food to feed 7+B people, but we have a distribution problem: over 1B people have too much food, and over 1B people have too little food.

The Ecological Divide.

The ecological divide describes the fact that humans have organized our economic and social systems largely without regard to ecological limits on a global scale. We are supporting our needs (and in many cases our wants) through degradation of the very systems we need to sustain our species and other species on earth over the long-term.

Through innovations in technology and medicine over the past several centuries, (wo)mankind has successfully extended our natural lifespan and enhanced our quality of life (in developed countries), at the expense of the natural world. We have found ourselves in a ‘negative reinforcing cycle’ and are out of balance with the natural world.

Wealthier developed countries are thriving, while those in the least developed countries struggle to survive day to day while striving for the lifestyle of the (overly) developed countries. This is a moral dilemma as well; if all countries were to achieve our (on average in the US) lifestyle, the collapse of ecosystems would accelerate beyond all scenarios.

The ecological divide relates to the socio-economic divide because the organization of our social and economic systems has a great deal to do with our transgressing the boundaries of earth’s systems; we will have to consciously re-organize these systems if all humans are to have a good life on a sustainable planet. This also requires us to pay attention to equity, inter-generational and international harm, climate justice, and public participation–all socio-economic divide issues.

Ultimately, we need to bring humans back into a consciousness of earth’s limits and how we can have a good quality of life while respecting these limits. We, as individuals and society at large, need to regain congruence between our beliefs and values and how we live and work. This requires both science–to tell us where the limits are and to understand how ecological systems function–and spirit–to value the well-being of humanity and the planet more than our own excessive material consumption. This is where the ecological divide links to the spiritual divide; consciousness, care, and simplicity–all spiritual virtues–will have to be a part of bridging this divide.

There are many examples:

  • We are depleting and degrading our natural resources on a massive scale, using up more nonrenewable precious resources every year. Although we have only one planet earth, we leave an ecological footprint of 1.75 planets; that is, we are currently using 75% more resources than our planet can regenerate to meet our current consumption needs.
  • Burning fossil fuels to generate energy, clearing natural ecosystems for human uses such as development and agriculture, and generating waste that is difficult to dispose of without harming wildlife and ecosystems all contribute to climate change.

About the Author

The founders of the Magnolia Moonshot 2030 Project collectively wrote this article, which was provided by Darcy Winslow. Darcy is one of the founders of the Magnolia Moonshot 2030 Project and the President and co-founder of the Academy for Systems Change. The Academy advances the field of awareness-based systemic change to achieve economic, social, and ecological wellbeing. Darcy worked at Nike, Inc. for 21 years and held several senior management positions, most notably starting the Sustainable Business Strategies in 1999 and as Senior Advisor to the Nike Foundation. She serves on the board of The Carbon Underground and The Cloud Institute for Sustainability Education.

6 Essential Leadership Lessons Learned from Experience – Becoming A Better Leader

/1 Comment/in , , /by

This blog is provided by Ron Riggio, author and Professor of Leadership and Organizational Psychology at Claremont McKenna College, as part of the International Leadership Association’s interview series as a companion to his podcast Becoming a Better Leader: Daily Leadership Development. Ron recently published a new book called Daily Leadership Development: 365 Steps to Becoming a Better Leader.

How to turn experiences into valuable leadership lessons

What is Wisdom?

I found myself pondering this question the other day and I think I have an answer: Wisdom comes from a combination of learning from experience, reflecting deeply on those experiences, and applying the scientific method (that is, trying to find objective support for what you have learned, and/or testing whether what you have learned, or what you think you have learned, is valid).

Here are some leadership lessons that I have learned from the combination of experience, observation, and what we know from the research literature on leadership.

  1. Be Authentic. It is critically important to let others know where you stand on issues. Dealing straightforwardly with others is the key to authenticity. Indeed, authentic leadership is becoming a very popular theory of leadership. Learn more about this here.
  2. Communicate, Communicate, Communicate. Arguably, the biggest mistake that leaders make is under-communicating. Many times leaders believe others know more than they actually do. Make sure to let others know what is going on – the direction the company is taking, any critical changes (particularly those that may affect them), and address any rumors that are going on with information that informs workers. It is nearly impossible to over-communicate.
  3. Don’t Be Stingy with Praise. Too many leaders dole out praise like it is money from their own pocket. Show appreciation for the accomplishments of others – and do it frequently. Research supports the idea that positive reinforcement is extremely effective, and under-used.
  4. The One Hour Rule. This is a more practical lesson and it comes from an informal policy at my previous institution. The “one hour rule” refers to a norm that typical department, committee, or team meetings should be scheduled for no more than one hour. If a longer meeting is needed, people are told in advance. What is the lesson for leaders from this rule? Use your time wisely. Don’t waste others’ time needlessly. If you can get it done in 15 minutes, get it done!
  5. Be Patient, But Not Too Patient. We all work at different paces, and sometimes people take longer to perform a task than we would, or complications arise that delay completion. Learn to be patient with others, but it is also important to not allow unnecessary procrastination. Leaders can cut followers some slack, but not too much.
  6. Be Kind, But Not Too Kind. Leaders need to be aware of the power dynamic and avoid being too overbearing. Kindness can go a long way toward building good leader-follower relationships. It is important, however, for a leader to not allow followers to take advantage of that kindness. More on this here.

What are some of your important leadership lessons learned from experience?

This article was originally posted on Psychology Today.

About the Author

Ron Riggio is the Henry R. Kravis Professor of Leadership and Organizational Psychology at Claremont McKenna College. He is the author of more than a dozen books and more than 100 research articles and book chapters in the areas of leadership, organizational psychology, and social psychology. Ron is the former Director of the Kravis Leadership Institute at Claremont McKenna College. He has served on the board of numerous journals and writes the Cutting-Edge Leadership blog at Psychology Today.  At the 2020 International Leadership Association’s annual conference, Ron was one of two people awarded the Lifetime Achievement Award.

 

Photo by Brett Jordan on Unsplash

Three Problems of Power—Problem Three: Distance and Dehumanization

/0 Comments/in , /by

This blog is provided by Margaret Heffernan, author of the book, “Uncharted: How to Map the Future Together.”   This is part three of a three-part blog.

Problem Three: Distance and Dehumanization

When CEO of Lehman Brothers, Richard Fuld was driven from his home to a heliport, then helicoptered into Manhattan, driven in another limo to the bank’s offices where a private elevator sent him up to his office. This ornate commute ensconced him in a physical bubble that no weak signals or accidental encounters could penetrate. This physical manifestation of power may look like luxury but it comes at a cost. The bubble of power seals off bad news, inconvenient detail, hostile opinion and messy reality, leaving leaders free to inhale the rarefied air of pure abstraction. Like the cave dwellers of Plato’s parable, the powerful risk mistaking shadows for reality.  Power inserts distance between those who have it and those who do not. It determines whether you fly in the peaceful isolation of a private jet or the middle row in economy, next to the mother who needs help with her restless child. Power lets you, like the Google founders, arrive at meetings via paraglider, not stuck in San Francisco traffic.

The physical distance experienced by the powerful is amplified by the psychological distance of hierarchies. Frances Miliken, who helped to pioneer the research into organizational silence, also studied how those in power communicate differently from those without it. Her language analysis showed a more common use of abstractions and a tendency to over-optimism. Experimentation showed that people given power demonstrate more stereotyped thinking. Further from the action, reinforced by a sense of their own capability, the combination of power, optimism and abstraction made them more confident of their own judgement. The more cut off from others, the more certain they were of their decisions about people and detail they did not know.

That it is a problem is obvious in catastrophes like the COVID pandemic and Hurricane Katrina or, in the UK, the fire at Grenfell Tower. In each case (and there are many more) big decisions are made by confident, optimistic people who think largely in abstraction. Some even regard this as an asset, as when one executive recently suggested to me that it would be better for layoffs to be decided by leaders too far from the action to know the people impacted by their decisions. Distance, dehumanization were seen as assets.

This is the third problem of power. Its status and rewards erode judgement. This isn’t wholly inevitable; a few leaders I’ve known have had the humility and tenacity to fight it, to reach into, rather than over, the crowd. But it is phenomenally difficult to disbelieve the worship of the crowd. If the world chooses to throw all these goodies my way, it must be because I’m worth it — mustn’t it?

I retain a visceral memory of this from the 1990s. Running tech companies, I saw many of my friends and colleagues get rich fast. They went from pretty humdrum individuals in January to exhilarated millionaires by June. And most of them believed the money.

It confirmed that they were special. They’d always thought that might be true, but here was proof. The rare few just put the money away and carried on before. When I asked them, saying they’d been lucky. They didn’t believe the money, seeing it instead as a market fluke. But most got sucked into a reaffirming circle: more money, more power, more confidence, greater distance from the crowd.

They make — and we make — the same mistake: an attribution error. It’s logical, but not necessarily true, that the success of an organization owes something to its figurehead. But how much? Did GE flourish because of Jack Welch or has it failed because of his legacy? Did Apple succeed after Steve Jobs’s return because of his unique magic, or did his hapless competitors’ lame innovation play a role? In the statistically implausible 41 quarters out of 42 that Microsoft met or beat its market forecast, was that the genius of Bill Gates or of his accounting team? If Johnson & Johnson is so well run, how did its role in the opioid scandal occur? If Fred Goodwin was, as celebrated by a Harvard Business School case study, the “master of acquisition,” why did the Bank have to be rescued by the U.K. government?

You can’t run the experiment. It’s impossible to cut the company in half and run half with one leader and half with another. So it is beguilingly simple to attribute success to the powerful individual at the top. And it is supremely difficult for most people, at the height of their power, to see how much their success owes to circumstance, the talents of others, the weakness of competition and to sheer luck. Easier to believe the money. Easier to believe the power.

Such attribution errors flourish in part because we feed them. Believing that a company or a country succeeds or fails because of one mighty person is simple and alleviates our anxiety. It turns a complex world into a simple narrative: we have only to change the person to change the story. Context, apparently, counts for nothing.

The problems of power are damaging not only for those with power — but for the rest of us too. The more we believe in the leadership myths, the more we absolve ourselves of responsibility and action: just wait for Superman or Superwoman to turn up, and everything will be fine. The costly investment in leadership training (said to be over $300 billion) is a sign not of its effectiveness but our urgent desire to simplify and to believe. Critics argue most of this money has no effect. The reality may be worse than that: worshipping leaders may exacerbate the problem it pretends to fix. As long as we believe in leaders, we need not examine our own failure to act on our values and insight.

Of course, all three problems of power feed each other. Failure to learn to think for oneself makes us more credulous of leadership, and it can paralyze those given power. Absence of conflict and debate perpetuates the problem. And if we make it to the top, years of passivity and conventional wisdom make it likely we will believe in our own celebration. This risks making us more aggressive; it can also make leaders justifiably afraid.

I’ve always been wary of the concept of leadership. In part, this was a language problem: when translated, the words duce and fuhrer had unpleasant connotations. We used to talk about bosses or managers but in the late 1970s, that started to change. This is also the period when American economic inequality began to increase markedly. Since then, the clamor for leadership has grown louder as inequality has become more pronounced. The expectation that a sole individual can, singlehandedly, alter complex realities has inflamed faith and guaranteed disappointment.

It’s time for a reset.

About the Author

Margaret Heffernan is the author of the best-selling UNCHARTED: How to Map the Future Together, nominated for a Financial Times Best Business Book award. She is a Professor of Practice at the University of Bath, Lead Faculty for the Forward Institute’s Responsible Leadership Programme and, through Merryck & Co., mentors CEOs and senior executives of major global organizations. She is the author of six books and her TED talks have been seen by over twelve million people.

Photo by Grant Durr on Unsplash