Category: Strategy

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Accessing the Right Strategic Advice at Board Level

“Excellence is never an accident. It is always the result of high intention, sincere effort, and intelligent execution; it represents the wise choice of many alternatives – choice, not chance, determines your destiny.”

Panel event Christchurch: Aug 22

We recently hosted a well attended panel event for the Canterbury Institute of Directors which included a mix of experienced directors with diverse & extensive governance experience.

Directors are mandated to work in the best interests of a company and to ensure (among other things) the entity is purposeful, successful, compliant, safe and future focussed. Inherent with this is the challenge of successfully navigating growth pains and the uncertainty of executing new or innovative strategic initiatives. As a company evolves and grows it will need access to different advice at various times in order to mitigate risk or to manage/navigate complexity. 

The 10 key insights outlined by the panel included;

  1. Whilst there is real value in long term advisers who deeply know the business, a company can outgrow existing advisers for a variety of reasons. A key indication can be where they no longer really challenge ideas nor present alternate solutions/insights.
  2. Many new advisers will be introduced via the network of independent directors and certainly referral is the most common approach. That said a board should not discount going to the market and seeking advice from outside an immediate network.
  3. Advisers can support board sub-committee initiatives/projects and join a board for select agenda items. This adds real value and expertise whilst also changing the conversation.
  4. It takes courage for a company founder to form a board and to then seek advice on a regular basis. Those that do tend to get business break throughs and lift the growth trajectory of the business.
  5. Specialist advisers can address sensitive topics in an un-emotive way backed up by data and examples which allows the topic to be explored in different ways. Clever/experienced leaders often need to be gently reminded of the options to ensure the best decision for the organisation is made.
  6. It is important to note that Advisers cannot resolve all the issues a business faces. Sometimes there is real value in the organisation working through challenging topics and reaching the solution internally.
  7. There are times a long term adviser might be conflicted ie where they advise shareholders/family trusts. As a company grows a board can feel the need to seek independent/unencumbered advice for the directors.
  8. As advisers are engaged they should fit the business culture, understand the business and earn the trust of the board. There are times it is more appropriate for advisers to be engaged/retained by the board vs by the CEO/management team.
  9. Candid discussions are often required to add real value whereby an adviser challenges ideas and is prepared to push back on status quo thinking to ensure new ideas are explored fully. Those who can “straight talk” often make a real impact.
  10. Every board and company situation is quite different and a mix of technical expertise, judgement and EQ skills are essential for a skilled adviser.

Without a doubt there is real value in accessing the right advice at the right time to actively contribute to key break throughs or important decisions. Some advice can be quite transactional, project based or specialist whilst other advisers may need to work alongside the company longer term complementing the board of directors.

Regardless of the type of advice or length of engagement this is an effective way to inform key decisions or to maintain momentum or speed of execution.

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The Fog of (War) Business

Out of Chaos comes Clarity

On the battle field the fog of war refers to the fact that it can be very hard to see the full picture of what is happening let alone how you are progressing your part of it. Smoke, dust, noise, reactions of the enemy, weather, other friendly forces in the area all contribute to a situation that can be hard to navigate, easy for clear communication to fail & difficult to make clear decisions amongst.

So too in the current business environment. How do you as a leader get the clarity and confidence needed to make good solid decisions when the future seems full of uncertainty, technology change, economic disruption, challenged supply chains and changes that require rapid responses?

A few proven big ideas to consider;

  1. Invest in your team. Continually building trust, close relationships and digging deeper in the “self” awareness and “other” awareness space builds support and empathy. Teams who have each others back can have robust discussions, align and then roll their sleeves up and get the mahi (work) done. Now is a very good time to invest in your team collectively and individually. Little bits regularly on an ongoing basis creates confidence and helps with alignment & effective communication.
  2. Bring the outside in. It can be too easy to be inwardly focussed within your own business and this increases your risk profile. Share insights, information and seek to understand the bigger picture across the market. By taking a much broader approach it will allow you to make better informed and timely decisions. Engage broadly with trusted advisers, collaborate with like minded professionals & constantly ask your clients for feedback. There has never been more collaboration between organisations including competitors.
  3. Schedule and prioritise regular reviews, strategic updates and industry scans. If things are moving fast increase your meeting rhythm. This means scheduling more reviews (not less) and opportunities to pause, take stock of the situation, make clear decisions, review previous decisions and execute change in an aligned and coordinated way. It can be too easy to cancel these important reviews and become consumed by immediate challenges. Sadly this creates confusion, increases the workload, levels of frustration and chaos. Plan, plan and plan.
  4. Make good clear decisions with the best data and information available but be prepared to adapt and iterate the plan as things change. It is important to execute through a series of reviews and decision points. Data wins arguments and moves a discussion away from strong opinions so it is always worth looking at the key numbers and the patterns that are emerging.
  5. Bank the valuable lessons learnt. Reflect regularly on what is working, what isn’t and ensure the same mistakes are not made time and time again. Success breeds more success and confidence.
  6. Take regular breaks, have fun and celebrate the wins. Keep across your team and ensure they take time out, look after their family and recharge. This period of change will be ongoing and a marathon (rather than a sprint). Teams who make it a priority to celebrate the key wins regularly have a sense that hard work is paying dividends. It is just as important to acknowledge what is going right than to constantly focus on what isn’t. Celebrations don’t have to be huge in fact most don’t need anything more than setting aside some time to acknowledge people and achievements.
  7. Ask for Help. Seek help from those in your team, your mentors, coaches, members of your board, others in your peer group. You don’t need to know & in fact can’t have all the answers, rather seek to build a network around you from whom you can seek expertise, experience and information.

Without a doubt the current environment an exciting time to be leading in business. As professional leaders we owe it to those within our team, company and their wider families to be at the top of our game. The fog of (war) business can be challenging and even overwhelming at times and we can all learn from how others approach it.

How are you leading in times of uncertainty?

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Reflections on the Last Two weeks: USA & NZ/Australia

I caught up with John Spence today & we reflected on a busy two weeks since we last spoke. A lot has changed in both the USA & in our part of the world here in NZ & Australia. Whilst each country faces a different situation there are some common emerging patterns & challenges that leaders are facing across industries as they lean into the Covid-19 impact.

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2019: Leadership Lessons I have Learnt

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Manhatten, New York: sep 19

2019 has been a fantastic & full on year working as part of a talented team and supporting some of the top companies across New Zealand, Australia and the USA. It is important to reflect on achievements, leadership lessons and to recharge in preparation for the projects we are taking on in 2020……..a new decade.

On the home front a baby girl (Sahara) joined our family on 30 Dec 18, so it’s been exciting having another wee one in the house. We moved house, our eldest daughter graduated from St Margarets College & was accepted to study at Canterbury University next year. Our wee boy turned 2 so home life was hectic with many firsts such as talking, walking & other family milestones. It’s been a year where sadly some good friends have died & we’ve supported close family (& several clients) with cancer. So it’s been fulfilling but certainly not plain sailing!

It was my 15th year of self employment, I took 53 domestic & international flights, completed 143 physical work outs (not enough), slept on average 6 hours per night (more needed) & Averaged 9907 steps per day (stats courtesy of my Fitbit). I delivered 208 one to one coaching sessions (for directors, CEO’s and executive leaders), facilitated 23 strategic planning sessions/reviews, developed & delivered 18 one off leadership workshops for Executive Leadership Teams & attended 34 Board & Advisory Board meetings (chairing 31 of them). I took seven weeks off to recharge, rest and have time with family.

In my Army role as an Infantry Battalion commander we have led change, deployed soldiers on operations & been involved in responses to fires in Nelson & floods in Westland as well as the Christchurch mosque shootings which rocked our nation to the core. 2/4 Battalion joined the Army’s operational 1st Brigade (NZ) in July & this role was 67 days work of my work. S

In governance roles there was challenge, break throughs & pivots. During a visit to the USA in my role as Link Engine Management Chair (along with our CEO) we visited some of the top companies in the world (Google, Apple, Facebook, Air BnB, AllBirds amongst 10 others) that since start up have been client centric & design thinking focussed. This was part of a NZ Trade & Enterprise “Better by Design” Tour and involved leaders from 20 NZ export companies. This was a life changing learning experience, as we visited New York & San Francisco over 10 days. I learnt so much about client centricity, culture by design & leading change.

In my role as part of the University of Canterbury MBA Advisory Board, I was lucky enough to be able to have a small part in a bold modernisation of the UC executive leadership programme. A move that reflects the current reality of business leadership and (in my personal opinion) it will allow UC to become one of the most innovative & relevant tertiary providers in the country for experienced leaders looking to pivot their career & lift their leadership impact.

As a business owner we have lived what we teach. We have grown our team numbers & our revenues & profits by 25%. This is an outcome of working with some fantastic clients & business partners & invest in in long term trusted relationships. Our approach supporting chairs, boards, business owners, CEOs & Exec teams to get significant break throughs, has been recognised in the market through growing referral networks. We have measured staff engagement & client loyalty via bi annual surveys & used this information to build on our offering. The Christchurch team will be delivering 22 pre booked leadership workshops in January & February 2020 alone so it is going to be a busy start to the year.

So what leadership lessons have I learnt over the year?;

  1. Business Leaders need to get serious to lead in constant change. It is time lift to your game if you want to succeed globally. Whilst we have some fantastic NZ companies doing very well internationally (in fact a number are clients), they have invested heavily in intentional, qualified and experienced leaders who focus on culture and inputs rather than just the outputs. Too many businesses aspire to compete at a high level but leave their leadership to chance. They invest in the best independent directors, executive leaders and strategic thinkers with an emphasis on execution combined with client focus and great products/services and constant adaptability. The old NZ “no 8 wire” attitude, whilst important to drive innovation, won’t cut it alone in a complex market environment. The best companies in the world value and invest in not just innovative/smart ideas but also qualified and experienced talent led by high performing leaders.
  2. Most leaders won’t have the courageous conversations needed. The number of senior leaders who simply won’t lead a tough conversation or confront poor behaviours (which are a pre-curser to poor performance) is staggering. Those who are action orientated, care deeply about their people and who will initiate a courageous conversation before it results in a big issue are rare and highly sought after. Most hide behind a complex process as a reason for not taking action. In reality they simply don’t have the courage to start what is a simple & effective process.
  3. Stop focussing on outputs and focus instead on the inputs that deliver them. Too many react to results after the fact and it is too late. Spend time creating clever predictive metrics that guarantee the results you are after and create a culture that consistently measures & executes them.
  4. Schedule, value & prioritise unstructured time. Most leaders are simply “busy & sadly that means reactive. They have no time to get ahead of the market and competition because they don’t prioritise the time needed for professional development, strategic thinking, reflection, banking lessons learnt, building strategic relationships or hanging out with clients understanding their needs. There are too many leaders who were the badge of “busyness” with pride and it creates mediocrity and reactive companies. Self discipline is needed to keep the important things ahead of the urgent.
  5. Invest in a future focussed Board that reflects the voice of your customer. Who on your board represents the voice of the purchaser of your products or services? Too many boards spend their time looking backwards instead of setting the culture of the business and driving the strategic agenda. To win in todays constantly changing & dynamic business environment the conversations of shareholders, directors and management must be separated, defined and deliberate. Get serious about it & have both a succession plan & professional development for your board.
  6. If you sword fight with Zoro you will get cut. As a leader there is always someone who thinks they have the solution or is hyper critical of a decision. In reality to lead at a high level you need to have confidence & clarity. Make the best decision you can with the best information available at the time and iterate it as needed. Leaders stand for something, they can take a punch and are resilient enough to carry on and win. It therefore stands to reason you will make a few mistakes, get things wrong, piss a few people off and attract the armchair critics. Accept this, reflect and commit to being always a better leader, stay true to your values & purpose and surround yourself with a wide network of coaches, mentors & peers who want to see you do well. Most importantly enjoy the ride because executive leadership is one of the most challenging & satisfying things you can do in the world. Most people can’t or won’t step up the the plate & thats fine……there have to be followers.

So overall 2019 has been a fantastic year. There have been the challenges of leadership and people that every business faces. Highs, lows and everything in between. Without a doubt the best things have involved family and friends growing and changing. Many of our clients have won national and international awards and their energy and thirst to get better and better has inspired me to keep learning and to get better at what I do professionally. As a professional leader it doesn’t really get much better than that & in the world we live in we require adaptability and agility to navigate the change we face over the coming years. Thank you for letting us play a small part in your leadership journey…….I really value it.

That said it is time to have a break, to disconnect, to have a beer (or 3) and to recharge over the summer break. Hows 2019 been for you? What valuable leadership lessons have you learnt?

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It’s beer oclock

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Leading: The Fine Art of Story Telling

The Army is a culture of history, rituals, traditions and story telling. Soldiers tell stories of hardship, often using humour as a medium. Taking the piss out of one another, laughing when things get tough, keeping it real and connecting with each other. One of the things I loved about being a professional soldier and now as a Battalion Commander in the Army reserve is the camaraderie of being part of an Infantry unit. Like minded people, prepared to serve connected by common purpose, experience and at times hardship, overseas and in harms way.

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South West Africa, 1996

In fact we as humans are genetically hardwired to tell stories. In ancient times in all cultures the art of storytelling was the the “google” of the time. This was how methodology, family history and lessons learnt were passed on to the next generation. It was human connection, the entertainment of the time, education of the time and the essence of tribe.

In the modern world this lives on in movies, youtube, games, the entertainment industry, book etc. In many ways things have not changed even if the methods of delivery might have. As a leadership tool the ability to connect people through stories is a skill that greatly enhances effectiveness. Telling a story is a great way to teach, inspire, influence and connect. The best CEO’s and leaders I know are the best storytellers. I love Tom Peters analogy “Manage by storying about”.

Here is 2 mins on the subject from a recent leadership panel I took part in;

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The Pivot: Staying at the Top of Your Game

How do the top performing teams in the world stay at the top of their game? Sports teams, racing teams, leading brands, innovative teams, military teams and many others? What do leaders at the top of their game do to stay at the top? What does this mean for business?

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The best teams change before change is needed. They pivot and iterate to stay ahead of the crowd.

Right now things in business are going pretty well. There is uncertainty in the medium and longer term as to what is going to happen in money markets, commodity markets, the Chinese/US or EU economies. There is a lot of technology disruption starting to show up on the fringes of even the least tech savvy industries. Change is coming and whether it is disruption, a softening economy, a total global meltdown or even a major political event we will all need to navigate it.

The RESULTS Group work with good companies and proactive leaders who want to get better at what they do. Our clients tend to be the long term brands that over decades have performed exceptionally well. They are actively seeking to stay at the top of their game.

In the next 5-10 years all of us leading (me included) are going to face more change than the world has seen in the last century. It will be fast, ongoing and relentless and will be an exciting and challenging time to lead. Some commentators say we are in year 2 of a 35 year technology disruption. How true is this and how will it affect our own business is open to interpretation but we are all starting to see the wave of change.

To stay at the top in any professional environment there is a need to develop a culture of continuous learning. If we look at the All Blacks (the most successful global high performance professional sports team/brand with a winning record of 86%, two back to back world cups & recently voted the best team in the world across all codes). In James Kerr’s book “Legacy: What the All Blacks can teach us about the business of life” you will see Chapter 2 is entitled “Adapt”. In essence the commentary is all around “When you are at the top of your game, change your game.” This is about changing consciously before you need to, in order to stay ahead of the competition and to remain the best of the best. To keep an edge or a sustainable point of difference.

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A summary picture of the key chapters & topics of the book “Legacy” by James Kerr.

I like to refer to the term “pivoting”. I saw this in action during some work I recently did at the University of Florida, assessing entrepreneurial engineering teams and the projects they were completing for private business. They were presenting what they had achieved and were seeking feedback so they could iterate and improve their project. They were seeking a “pivot” through good insights and application of ideas.

The best leaders and companies we work with are already pivoting at a time when they are performing well. They know through experience that the good times won’t last. To stay ahead of their competition and to navigate change they must understand what success continues to look like. How do they do this?

Those CEO’s proactively keeping ahead of the crowd prioritise the following;

  • They invest in their own development and leadership skills so they can lead smart innovative people in a collaborative way.
  • They spend time in strategic and operational planning with their teams, senior leadership teams and functional teams. They continuously define the priorities and focus of action.
  • Actively build an aligned plan to execute continuous change and constantly reflect on it, revise it and iterate it to make it better. They empower their people to lead parts for the execution.
  • Focus on execution and getting the important things done.
  • Seek the best advice on technology disruption, the economy, competitors, new entrants and possible substitute products and services.
  • Stay very close to their clients and know what they value, expect and want improved. They build collaborative and close relationships through many channels including social media.
  • Invest in leadership development (and education) and focus on increasing staff engagement to build resilience and an ownership mentality. This aids the change process and brings innovative and collaborative thinking to the fore.
  • Focus on the numbers. What gets measured can be managed.
  • Actively disrupt the companies “business as usual” in a positive way so as to build capacity and capability in a continuous way. This allows the organisation and the team to scale up in a long term sustainable way.
  • Make the tough decisions early.
  • Learn the lessons of previous economic downturns and change projects so as to ensure the same mistakes are not made again, and
  • Recognise success and continue to have fun along the journey.

This all sounds simple (and it is) but it is not easy. It takes focus, good strong proactive leaders committed to ensuring the important things happen and not just the urgent things of modern business. It is about going beyond reactive firefighting and consciously picking & executing the plan for/route to success.

Staying at the top of your game is about changing before you are forced to change. This means having a good team committed to getting incrementally better at what they do.

It is about confidence and momentum.

Just start the journey.

 

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Feedback from Over 200 CEO’s: What they Learnt in 2015 and the Challenges They Face in 2016

 

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Business change is constant and increasing at an alarming rate. We will face more change in the next 5-10 years than we have seen in the last 100.

In December 2015 I went out to a wide network of CEO’s and asked the same two questions I have asked in 2013 (Link to the 2013 results here) & 2014 (Link to the 2014 results here). The questions asked were;

  1. What were the biggest Leadership Lessons you learnt in 2015 (and/or leadership observations you have made)?
  2. What are the biggest challenges you feel you will face in 2016?

This survey also took in to account the responses from 104 New Zealand CEO’s conducted for The RESULTS Group by an independent research company (Per.ceptive Research).

It is fair to say that surveying over 200 CEO’s (in many varied industries) across New Zealand (mainly), Australia and the USA meant I received a huge amount of feedback. It was a challenge to consolidate this feedback, despite there being some clear common themes. Here are the results.

Question 1: What were the 3 biggest Leadership Lessons you learnt in 2015 (and/or leadership observations you have made)?

  1. “The importance of company culture and just how difficult it has been to lead both change and people (to change).” Change has been constant especially with technology disruption in many industries. Understanding what needs to change and then to actually get people try different things or new ways, new systems & processes has been really challenging.  The quality of people in the team, their skills and the ability to actually get things done has often been the main point of differentiation over competitors.
  2. “Establishing the Accountability within your people to get things done/to take action.” There has been more focus & need to have clear KPI’s and measurements in place so as to lift engagement and accountability within Companies. Taking action, executing and making things happen is increasingly important in an environment of constant change. To try new things, fail fast, adapt or simply just to do what has been agreed to is critical. The challenge of holding people to account, measuring and managing has increasingly been seen as vital in business in 2015.
  3. “Being able to change fast enough whilst keeping it simple.” It has been increasingly harder to keep things simple and to identify & focus on doing the important things. Saying “no” to opportunities, constantly trying to keep things from becoming extremely complex has been a real challenge in a world that tends to expect you to do more and more. “Busyness” is the new plaque and separating the important from the urgent has become ever harder to achieve.

Question 2: What are the three biggest Leadership Challenges you think you face will in 2016?

  1. “Remaining profitable through Growth.” We all know growth sucks cash and typically businesses are under capitalised. Often the main measure of Business success is profitability and it is widely felt it will be increasingly harder to deliver profits as change increases, profitability shrinks and as businesses grow.
  2. “Developing future leaders and motivating good people.” Succession is increasingly looming on many company radars. Developing future leaders to take the business forward, to be able to sell the business, to step up as current leaders step back are all challenges many see in 2016. Motivating and engaging good people to stay longer term & to set the business up for future success are skills CEO’s are seeking and actively looking to invest in.
  3. “The increasing pace of Change in the Market place & the ability to adapt.” It is perceived that there will be more change in 2016 & it is increasing. The ability to adapt to change, embrace new technology tools and compete is seen as becoming more of a challenge for CEO’s to remain profitable and to grow. Developing new products &/or services quickly enough to meet the market and client expectations are key challenges identified.

Every year in business is a different one that brings a mix of the ongoing leadership challenges along with many new ones. Certainly change is now a constant and that pace of change is really starting to pick up. The impact of new technologies in communication, automation, artificial intelligence, online applications and tools & social media are changing things fast. In fact much commentary is suggesting we will face more business change in the next 5-10 years than we have in the last 100.

One thing that does not, and will not change is fact that every Company (and indeed group of people) needs a leader. In fact research shows we all want to be led in some way, shape or form. The importance of a leader and his/her ability to inspire, coach, mentor & influence good people to get important things done in an environment (culture) they enjoy is often the main (sometimes the only) point of differentiation a company can have over competitors in increasingly crowded markets.

Strong leadership & excellent change leadership skills are increasingly the most important skills that will define a businesses chances of long term success. During 2015 our Executive Leadership Program has become the fastest growing part of our Business as we seek to support CEO’s to lead change, achieve sustainable growth and to support them to prepare for sale, economic downturn or industry disruption. More than ever high performance business leaders need & seek good practical smart advice, support, facilitated planning, time out and an unwavering positive outlook to navigate the challenges 2016 will bring.

What are you planning to intentionally do differently to lead Business Success in 2016?

  • You can link here to the CEO blog summary doc which shows the comparable results of all 3 surveys.

 

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7 Deadly Sins of Ineffective Governance

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Good Governance takes planning, good agendas and skilled forward thinking Leaders who can contribute to the future direction of the Business.

We get to work with many Advisory Boards and Boards of Directors as we facilitate Strategy & support Strategy Execution & support business owners to either initiate, restructure or optimise their Governance. This requires us to facilitate meetings, sit on a number of Advisory Boards and I currently act as Chairman on one Board of Directors. Sadly I would have to generalise that Boards are, in the main,  either ineffective or not as valuable as they could be. In fact one of the big opportunities that will ensure Business success I see is to successfully implement highly functional governance. Those that do have it in place have the opportunity to get the maximum return on their investment by taking it to the next level.

Here are what I call the 7 deadly sins of Ineffective Governance;

1. Undermining the CEO: Unknowingly they get in the way of their CEO by getting involved in the workplace, not supporting or trusting the CEO’s recommendations or initiatives. In fact  many do not trust or have confidence in their CEO full stop and worse still do nothing to address it.

2. Discussing the “how” but never defining the “what”. Many Boards Spend most of their valuable discussion time dealing with management decisions ie How should this be done? Yet they never pose & define the big questions such as what are we building? Where are we taking this? What could and should we become as a Business?

3. Not understanding the sacred relationship between Chair and CEO. It is a special relationship and the most critical one. It is an employment relationship and one in which the Chair should coach, mentor, guide and support the CEO to succeed. This includes professional development and tough conversations around delivering outcomes. It involves building trust and confidence and aligning the Board to support their CEO.

4. Never altering the composition. The Board should regularly change or include leaders with the skills the company needs as it develops and grows. As the company grows and evolves so too should the BOD as they keep the CEO and Management ahead of the game.

5. Sweating the small stuff. Particularly prevalent in family businesses is the tendency to never get breakthroughs on the sacred cows. The same conversations, fears, egos repeat at every meeting. The elephants in the room are never addressed and therefore they never go away.

6. Focussing on the negative. It is very easy to see what is going wrong but never acknowledging what is going right. Negativity kills culture and creativity. Problems must be addressed but seeing the good stuff and encouraging more of it is a key role of any leader and Directors are leaders. Negative meetings that focus on what has not worked and never inspire what could be great are unfortunately common place.

7. Not defining success. Clever strategy, KPI’s & metrics must all be measured and success defined so the CEO knows he/she is on track and so that management measures can also be clarified. Too much time  in Board meetings is dedicated to historical results ie they can’t be influenced. Whilst reviewing the results and banking lessons learnt is very important, so too knowing the business is on track for the the future is arguably more important and productive. You can’t influence the past nor be inspired by it. The role of Governance is to take a business forward and to help Management to navigate the ambiguity of the market.

By getting the agenda right, tweaking the composition, by becoming future looking and building complete trust in the CEO, a BOD can very quickly make a massive impact on business performance in a very short timeframe. Sadly it is poorly done and this inspires mediocre results.

How is your Governance? Do you have any? How effective is it? What could it achieve for your biggest investment?

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The Lessons I have learnt as a CEO & Consultant to CEO’s in 2014

This year has been a very busy and professionally rewarding year. As a Company The RESULTS Group has grown and moved into a different area. Our core business as “The Business Execution Experts” has remained the same and we have proven our “5 Pillars” framework (Vision, Strategy, Engagement, Accountability and Cadence) across every industry and every sized company imaginable. Ranging from the small 20 person company, the family held medium sized company through to larger NZ & foreign listed Companies, Government organisations and into several big organisations with a Billion or more in revenue. From the straight forward to the incredibly complex, from construction to the professional services (law, accountancy, survey, HR, Banking) to the technical world of IT and fast growth IP.

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Ambiguity leads to mediocrity but then so too does continually benchmarking and being realistic.

 

Our consultants have been challenged and pushed as they have focussed on our purpose of “Making a Difference” and ensuring our clients get the clarity so they they can execute their plans and lead change. It has been a year of change for us as a company and we have truly lived our core value “Live What we Teach” as we have sought to execute our own plan in amongst the busyness that “Business as Usual” presents. We have had to challenge ourselves to focus on the important rather than just the urgent which is the constant challenge of every CEO. So what have been my big lessons across 2014 as a Consultant, Executive Leadership Coach and professional CEO? I keep a journal reflect on the work I do and what I have learnt most days which makes it easy to look back and to reflect on the important stuff over the year. In no particular order;

  • Better, faster, cheaper: These are  most common approaches that Companies have. These are not Strategies. Own the voice of your customer and look after them. Ask them often for feedback and listen to it. The magic will start.
  • Hope is also not a Strategy. You have to be deliberate and decisive in order to avoid being a victim of the market or dealt to by competitor moves.
  • A CEO adds at least 15% to the bottom line. (Research shared by Psychologist Dave Winsborough) by being inspirational, creating culture, expectations, a Vision and driving execution. The impact of good leadership is huge and measureable.
  • The number of senior leaders seeking to leave Corporates and the Public sector so they can have autonomy and so they can actually make a tangible difference is truly staggering!  A sense of purpose is critically important to people.
  • A lot can happen in a year. Good & bad. Roll your sleeves up and make good stuff happen.
  • CEO’s are often afraid to be human. The soft skills, the least talked about and trained for are the most important ones. Being able to be vulnerable, to make mistakes and learn from them……so important for leaders and so often missing.
  • Making clear and concise powerful decisions is often a missing skill. Making good decisions based on the best information at the time and backing yourself to alter them if they need it is a really critical skill especially in times of constant change. Just make a decision!
  • The potential talent pool in women leaders is massive. I feel this is one area that is truly undervalued. We created a woman leadership group this year to address and discuss this and have also included a woman speaker (Melissa Clark-Reynolds) at our “John Spence” Leadership event planned for 25 March 2015 in Christchurch (Link here for details).
  • The value of having a massive network of people who you can support, ask for advice, learn from and add value to is truly priceless. I have so many people who support and contribute to our business and it is humbling to be able to support them in their roles and in their companies.
  • Any leader needs many mentors. Business and personal to grow in the complex world of modern business.
  • Formalising network Hubs or groups of people who can give you ongoing referrals and support is of high value.
  • John Spence taught me “you become like the 5 people you hang out with the most” Choose them carefully.
  • Hang out with those who know and ask a lot of questions. Learn from people with experience and acumen.
  • Lead from the front. Just lead and learn. People want to be led well. Make it a passion and never stop getting better at it.
  • As a CEO you need to make the big things happen. Get the rocks or cornerstones in place and make the things happen that move the Company in that direction happen. This is what CEO’s do.
  • Don’t seek to change people, seek to influence their activity, their behaviour and how they make their decisions. Seek to create an environment whereby they make consistently good decisions.
  • The art of reflecting and making clear observations and to be able to take an overview of the situation allows for better clarity. Practice it or have your team challenge you to do it.
  • Be tough. Firm, fair and consistent, but be tough in your standards and expectations of people. Be restless, seek excellence and constantly ask “Have I done enough?”. If the answer is no then step up and do more. Be the toughest on yourself……with power comes great responsibility.
  • Culture is king and Cash. No one can steal your culture. In fact thought leaders such as Tom Peters, Collin Powell, Richard Branson and John Spence all say that your culture is really your only truly defendable and significant point of difference. No one can steal it and if you get it right it will attract and retain top talent who in turn will look after your products, services and deliver excellent service to your clients. get that right and the magic begins!
  • Sadly in most companies the culture is just adhoc. No one plans it, discusses it and if they get it right it is by getting lucky. The best cultures in high performing companies are planned, a priority and protected by selecting only the best and by dealing with mediocrity very quickly. Leaving your company culture to luck means you are leaving a critical component of your “mission” success to chance.
  • Planning the year ahead in detail on a year planner (Sounds basic but try it) remains one of the activities that CEO’s rate as “most valuable”. Map out key dates, board meetings, reviews, training, holidays etc and plan the year ahead. Insist your team plans and gets clear around the year ahead.
  • Meetings are your number one leadership opportunity. Make them high value, fast, refer to good data/KPI’s and have fun. Most meetings in business today sap the energy from those who attend. Flip that around because leaders do people, leaders communicate and meetings are your number one opportunity to influence and live your culture.
  • Have more fun. Enjoy the ride. Its not a rehearsal.

Its been a big year and I have loved every minute of it. I’d like to thank my team and our awesome clients for everything. I can’t wait to be a part of the work we do in 2015 and all the challenge, fun and learning it will bring.

Keep safe out there.

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Feedback from Over 200 CEO’s: What they Learnt in 2014 and the Challenges They Face in 2015

leaders

Last year I went out to our Company network of Clients, thought leaders & Business leaders and asked them what they had learnt in 2013 and what they felt they would face in 2014. I was overwhelmed with the response and it took a lot to collate the feedback and to be able to articulate it. The resulting blog was one of my most read across 2014 (Link to it here).

This year I asked the same network (which of course has now grown quite extensively) the same questions. This includes Chief Executives of both publicly listed and privately held Companies across a vast range of industries. Mainly New Zealand and Australian Companies but also the USA and Canada. Some good friends (including John Spence) put it out to some of the Chief Executives in his North American network who also happily contacted me.  I also asked my wide Military network of leaders (many still serving & many leading organisations all over the globe) and included senior leaders from other Government Enterprises. During 2014 we also had ongoing feedback from over 1000 business leaders who attended our speaking and leadership training events. Many of these were introduced through ASB Business banking and partner relationships with other professional services leaders including Accountants, Legal Firms and Leadership and Strategy Consultants and some of the Business Bank staff themselves from both Westpac and ASB.

I got some fantastic feedback and I thank all those who put so much effort into answering the questions I posed. Many commented to me on just how valuable they found it to have a reason to sit down and reflect on 2014 and the year ahead. Many also realised just how busy they have been, how much change they have been leading and just how much they have achieved. I worked through all this feedback before rereading the blog I wrote in November 2013. There are similar themes around talent but it shows definitively that the rate of constant change has really started to increase. More so than in 2013. This is particularly so in Christchurch (post earthquake boom) but is also reflected across all markets, countries and is the new big challenge for Chief Executives regardless of the size of their organisation.

What were the Leadership Lessons you learnt in 2014 (and/or Observations you have made);

1.   “Change is Constant and is Both the Opportunity and the Challenge”: The Rate of Change is Increasing. Almost every respondent referred to the impact and effects of change and the challenge of getting things done (Execution). There is more change and it is constant. Leading through change is challenging and many referred to “expecting the unexpected” or the possibility that anything could happen (especially unplanned) and there was a need to iterate, be flexible and involve your people. To avoid stress the best method was learning “not to sweat the small stuff” or to “roll with it”. Self reflection was important as was having someone external who could help a leader to see the bigger picture and to take a more “unemotive” view point as to what was going on within their team/company. Planning was seen as important and doing more of it than ever before. Many feel it is important to develop new/better leadership skills to be able to lead change and to be able to get “stuff done”.

2.  “Technology and the Younger Generation of Workers is having a major Impact”: Technology change and innovation is now affecting all leaders in some way. New cloud based software applications and mobile smart phones (and devices) are allowing for better information. This brings the challenge of training to use them effectively, integrating different software solutions and needing the work force to have different skill sets. Talent is hard to find, attract and retain and they expect different things. Collaboration (and a sense of fairness) is how young, smart, technology savvy employees work and thrive and this is now starting to show across the board. Challenging top talent, encouraging innovation and new ideas and building a high performing culture is key to retaining top people.  On top of that, holding employees accountable to doing what they say they will do and getting them to consistently be highly productive has been a big challenge in 2014. Learning new leadership skills, building cultures that allow a “work/life” balance and training people has been a focus for many Chief Executives. Dealing with non performers is recognised as critical, most want to be better at it and have a desire to weed the “culture killers” out faster than they currently do. The challenge of growing as a “Leader” was referred to time and time again.

3. “What your Client Thinks and Says about your Company is Critical to Growth”: The last big theme to come through was reputation, brand strength and client loyalty. In an increasingly global economy and with the impact of social media, it is important to have people who love your products or services. Many Chief Executives referred to “getting cut through” in a busy market, being close to key clients and asking them regularly for feedback. It was generally accepted that print media is dead and that the future lies in the online, digital and social media space. Smart branding, immediate feedback (positive and negative) has a major impact on business growth. Most Chief Executives want to get better in this space, many are very involved and some (approximately on third of respondents) felt they would never catch up or get ahead of the change in this space. Many felt that getting their culture right and by having engaged and well trained people that clients would be taken care of and there was a desire to be able to canvas clients more easily (for feedback) and to measure it.

The next question I asked was “What are the challenges you feel you will face as a Leader in 2015?”

1.  “The challenge of finding, recruiting, training and retaining top people is the Number one Challenge”. By far the most respondents considered the challenge of getting good people to join and stay in their Company as the biggest challenge they feel they face in 2015. Making it happen, getting better at recruiting, identifying top performers and then leading them is considered to be a major development area for the future of their organisation.

2. “Leading in Uncertainty”. A big challenge in 2015 is being able to lead in uncertainty. How to lead young people, other leaders, people in their team who are smarter and more technology savvy during times of change & uncertainty is a concern of many respondents. Understanding how to motivate and lead when the way ahead is unclear or simply unknown is something may want to learn about. A fear of making big mistakes, a need for good advisers (Financial, Strategic, Governance) was a major theme as was the feeling that the leadership space is a lonely place. More mentors and people they can trust, as well as interaction with peers and other leaders in similar situations were identified as being of high value to them in 2015 and leading in the future. Delegating to others to get things done was also seen as being critical to growth in the year ahead as was getting closer to customers and planning at the operational and strategic level.

3. “Focus and Getting things Done”:  How to get “cut Through” or “focus” is seen as being more and more importance. 2015 will require more execution of the important things. Many want to spend more time planning and getting things done. Separating the “urgent from the important” is increasingly important to maximising production, resources and profitability. It is also getting increasingly harder to achieve. Focus on which customers to deal with, where and how to Market, what technology tools to invest in etc are all seen as key to getting really clear on what needs to be done. Then the challenge is to actually “make it happen”.

These were the main feedback areas that i have been able to collate. Of course there were hundreds of other comments, thoughts and reflections. Some themes that came through in not particular order;

  • A desire to have access to like minded networks of people.
  • Many are preparing for the next economic downturn and actively wanting to retain people & capability.
  • There were many who face the challenge of remaining profitable and competitive and the challenge of retaining and growing market share.
  • There were many facing succession challenges.
  • Getting better governance was a theme. Really valuable Board level advice.
  • More planning and third party reviews.
  • Specialist and generalist Leadership training is in high demand. In fact a recognised need for training in general is constant.
  • Learning to negotiate and lead in partnerships and in a more political (competitive) environment is needed by some.
  • Delegating and learning to trust.
  • Many Directors spoke of the need for them to get out of the way more. To let their people step up and own their roles.

Actions not words!

Overall this has been an interesting and humbling experience. It is a privilege to interact with clever and busy leaders and to hear their reflections and desires. It is useful for us as an organisation that “Leads Business Leaders” because in effect it helps us to deliver better high value services which will truly support and assist those who we work with. That said most of the stuff identified here does not cost a lot of money. In the main it requires a focus on some of the Leadership or “softer skills”. The ones that are least talked about and the least trained for. It requires some change to the way you may interact, spend your day as a Chief Executive or what you will measure and therefore manage.

So what have you learnt in 2014 and what do you think you will face in 2015? Are you planning to succeed? Are you doing enough to stay ahead of change, technology and do you really know what your clients think about you?

Have a happy and safe Christmas and New Year and a big thanks to all those who have offered their feedback and thoughts.

Leaders

Other stuff I you might like;

– Our social media wall which collates all our feeds and many other high values Leadership and Business resources. (Link Here)

– My Linkedin profile if you want to connect (Link here)

– Pride, Passion and Excellence. What I learnt from Anthony Leighs, CEO and Founder of Leighs Construction (link here)