How Do You Know When It Is Time To Go?

How Do You Know When It Is Time To Go?

by Elisa SpainNo Comments

2014-01-03 Stay or Go iStock_000019444473XSmallWhether you are a business owner, a professional manager, an advisor – or anyone who is engaged in an enterprise for an extended time – how do you know when it is time to go?

“Nothing is forever”, the old saying goes, and yet sometimes, perhaps even frequently, we stay too long. We watch professional athletes stay past their prime; and we participate in the debate about term limits for our congress; and yet, when it comes to our own engagements, how often do we look inward and debate our own need for term limits?

When I was negotiating my exit from the corporate world 15+ years ago, I remember a conversation I had with a friend. My friend asked me what I was going to do if I didn’t get the deal I wanted. My answer was, “I guess I will stay one more year”. Her response, “How many more years are you going to say, one more year?” It was in that moment I realized, it was time for me to go, regardless of the outcome of the negotiation. And… because I had made my decision to exit, I of course, handled the negotiation more effectively.

While this topic comes up every now and then with executives and business owners I coach, it surfaces mostly in a time of frustration. I wonder if instead it might serve us to ask ourselves this question as part of our annual strategic planning. What if, as part of strategic planning, every business owner or executive answered the following 5 questions:

  1. What did I give to the business, other than my time, this past year?
  2. What did I get, other than $$, from my engagement in the business?
  3. How do my answers to #1 and #2 compare to previous years?
  4. If my give/get has declined, what do I need to do to change this and do I have the passion and skill set to do it?
  5. If I didn’t lead or own this business, what would I be doing instead?

My noticing is, that if we have asked these questions in the past and have stopped asking them, we may already know that it is time to go…  

Elisa K. Spain

Managing Business Assets W/ Portfolio Management Risk Practices

Managing Business Assets W/ Portfolio Management Risk Practices

by Elisa SpainNo Comments

2013 08-06 Elisa Spain Risk Management


Businesses are assets, right? What might happen if we followed the risk management practices of portfolio management in running them?

The “portfolio managers” of our business are our leadership team, our key executives.  Business owners have a risk tolerance that leads them to be more or less involved in activities in their businesses.

What I observe as a Vistage chair and leadership coach is sometimes executives frequently feel either micromanaged or adrift and unclear of expectations.

When the business owners abdicate instead of delegate, only to jump back in when things are not going as they expected (but didn’t verbalize), this creates unnecessary risk; leads to outcomes we don’t want and drives everyone crazy.

What if, instead, owners and executives followed the same process as we do for our investment portfolios?

When we hire an advisor to manage our traditional portfolio of stocks and bonds, the first thing they want to know is the answer to the following two questions:

  1. Will you delegate full responsibility for managing your portfolio to me? or
  2. Will the account be co-advised?  Meaning, before I make a purchase or sale in your portfolio, I must consult with you?

When the owner of the portfolio chooses #1, the client and the advisor work together to design a portfolio that meets the risk tolerance of the client, the advisor constructs the portfolio and typically the advisor provides reports, usually monthly or quarterly, that inform the owner of the status of their portfolio. Additionally, the advisor’s reports include a comparison of their performance to that of their peer group.

Sometimes, the owner of the portfolio chooses #1, but instead of delegating authority, monitoring the performance of the portfolio, and periodically evaluating the portfolio manager; the owner abdicates, i.e. moves on to other things and ignores the portfolio manager.

I heard a sad story from a friend recently who chose option #1, neglected the monitor and evaluation part, and didn’t discover the result until he needed the money and realized it was gone. The advisor was not dishonest, he simply made poor investment choices.

If you decide to try this approach, here are some questions you and your executives might consider asking:

  • What decisions will the executive have full responsibility for?
  • Which decisions do you want to co-advise?
  • What risks are you most concerned about?
  • What kind of reporting works best for you? Written, verbal?
  • What do you want to monitor, and on what frequency?
  • How will my performance be evaluated?

And finally the most important question,

What is our agreement as to how to give each other feedback when the outcomes or the process didn’t go as we expected?

 

Elisa K. Spain

Leadership Quote: The Art Of Being Wise….

Leadership Quote: The Art Of Being Wise….

by Elisa SpainNo Comments

i2013 07-28 Owl Stock_000002106217XSmallThis month’s leadership quote: 

The art of being wise is the art of knowing what to overlook.

 — William Jones

How many times do we notice something, point it out and then regret it later, wishing we had kept quiet. In our quest for excellence, sometimes we forget that perfection and excellence are not the same. Excellence sometimes is simply knowing what to accept as good enough and what to overlook.

Here’s an idea…

Today, instead of looking around your office, your plant, or the long to-do list and noticing what is missing:

  • What if you, instead, noticed a critical item that is working and gave someone specific positive feedback?
  • And, decided to overlook something less important, that may not be exactly what you wanted, but is really good enough?

Elisa K. Spain

 

Leadership Quote: Most People Need Repetition

by Elisa Spain2 Comments

2013 05-26 Ribbon on Finger Stock_000013061976XSmall (1)Once again, I am taking a brief pause from the Leadership Series for the monthly quote. The series will return next week with Leadership View #8.

This month’s leadership quote: 

Most people need repetition more than instruction.

I had a clear reminder of the importance of repetition last month. One of my Vistage members noticed we were neglecting some of the tenants of our group’s Operating Agreement and called it out in a meeting. His noticing led to a rich discussion amongst members of that group, and one of the members said it well: “Just like diet and exercise, we know what to do and sometimes we need a reminder”.

In our busy lives, we are mostly focused on the urgent (hopefully it is the urgent and important). If we want to pay attention to the Important, Non-Urgent issues in our lives, we need reminders. Whether it is our Vision, our Mission or Operating Agreements that we share with our teams, or the commitments that we make to our spouses, life partners or family; we all need that repetition to keep us focused.

As a reminder,

Most people need repetition more than instruction.

What do each of us need reminding of today?

Elisa K. Spain

Laws Of Success: Perfection Of The Life Or Perfection Of The Work?

Laws Of Success: Perfection Of The Life Or Perfection Of The Work?

by Elisa Spain3 Comments

2013 03-17 Balance Work LifeiStock_000018217096XSmallThe Choice

The intellect of man is forced to choose
Perfection of the life, or of the work,
And if it take the second must refuse
A heavenly mansion, raging in the dark.
When all that story’s finished, what’s the news?
In luck or out the toil has left its mark:
That old perplexity an empty purse,
Or the day’s vanity, the night’s remorse. 

William Butler Yeats, 13 June 1865 – 28 January 1939

Elisa K. Spain

 

Do The Ends Justify The Means?

Do The Ends Justify The Means?

by Elisa Spain2 Comments


An age old question…

I saw Lincoln, Steve Spielberg’s latest movie, and came away from it with some questions, from a leadership perspective. Abraham Lincoln is renowned as one of the greatest presidents and leaders in United States history. In this movie, Spielberg tells the story of Lincoln’s last days, the time in which he worked to pass the 13th Amendment and end the Civil War. Both Lincoln and Thaddeus Stevens took questionable actions to advance their end goal of abolishing slavery. Lincoln sought to change the vote of house members and delay a meeting with the southern leaders, while Stevens modified his oratory to be more inclusive; shocking and disappointing his constituents.

And.. they won. The 13th Amendment was passed, banishing slavery for all time.

So, the leadership questions are:

  • When the goal is pure and the cost of not achieving it is high, do the ends justify the means? and
  • How do we as leaders make that decision that “this particular outcome” is one that qualifies?

Elisa K. Spain

First To Market Or First In The Mind?

First To Market Or First In The Mind?

by Elisa SpainNo Comments

Recently, during one of my Vistage Key Executive meetings, we were discussing the book Great by Choice by Jim Collins. During our discussion, one of the members raised the question, how important is it to be first to market? Or is it best to be a “fast follower”.  Jim Collins makes the case that the long march, as he calls it “the 20 Mile March” is one of the characteristics of companies that are great by choice.

My favorite marketing book 22 Immutable Laws of Marketing by Al Ries and Jack Trout (an oldie but goody) – describes it this way in Law #3 – The Law of the Mind. It is better to be first in the mind, than first in the marketplace. The iPad is a recent example. Apple owns over 70% of the tablet market. Not only were they not first, they weren’t even a fast follower. The first tablet was invented many years ago.

Google wasn’t the first browser, Facebook wasn’t the first social website, Apple (again) wasn’t the first smartphone. Yet,  more books are written, businesses started, venture funds invested in “first movers”.

The question most are asking today is which is best? First Mover or Fast Follower?

For me the question is First to Market or First in the Mind? First in the Mind addresses timing as well as innovation. The best product or service idea, is only best when you have buyers. Timing therefore determines who wins.

What are your thoughts?

Elisa K. Spain

 

Leadership Quote: The Best Way To Predict The Future…

Leadership Quote: The Best Way To Predict The Future…

by Elisa SpainNo Comments

This month’s leadership quote: The best way to predict the future is to invent it — Peter Drucker.

Love this quote on so many levels. First and foremost it speaks to the importance of having a vision. When I presented this quote at my Vistage CEO meeting this month, one of my “inventor” members, just smiled. For him this sums up why he does, what he does.

For my Vistage Key Executive members, they heard it as a reminder that we do control our destiny, even though sometimes we think it is controlled by others.

What does this quote say to you?

Elisa K. Spain

When Is It The Leader's Job To Build Creative Confidence?

When Is It The Leader's Job To Build Creative Confidence?

by Elisa SpainNo Comments

Do you divide your team  into “creatives” and ” practical” people? If so, are you  missing out on the creative ideas of the other half?

If you ask David Kelley, founder of IDEO, and winner of countless innovation awards including Fast Company’s Top 25 Most Innovative companies, he will say yes.

David maintains that human beings are naturally creative and it is fear of judgement that stifles creativity in most of us. He asks, what might happen if we were to overcome that fear of judgement and unleash our creativity? Perhaps the secret lies in what psychologist Albert Bandura calls guided mastery – a process whereby we  identify a fear or phobia and by forcing ourselves to overcome that fear, we release our creative abilities.

How might you as a leader create an environment that enables your employees to build their creative confidence? Perhaps a simple starting place is with more legitimate brainstorming – following the brainstorming rules – no idea is a bad idea!

If you want to take this further, are you willing to expose your team to guided mastery? Sound too touchy-feely for you?

Before jumping to judgement, take a look at this 12 minute TED Video where David tells stories from his legendary design career and his own life, and offers ways to build the confidence to create.

Elisa K. Spain

Another View On Leadership, Is Boring Better??

Another View On Leadership, Is Boring Better??

by Elisa SpainNo Comments

When discussing the  characteristics of great leaders – words  like inspirational, charismatic, brilliant, innovative often come up.

Boring, on the other hand, is not typically a descriptor of great leaders. Which is why when I saw this article by Joel Stein, entitled Boringness: The Secret to Great Leadership, I paused…

While Joel writes a humor column for TIME Magazine, and therefore one might take his comments to be tongue-in-cheek, he makes some points worth considering.

Here’s a summary of Joel’s observations while preparing for his latest book.

The best leaders tended to be quiet listeners who let others make the decisions. They weren’t particularly charismatic, or funny. They weren’t the toughest guys.  They weren’t driven by a need to be liked or single-mindedly focused with intensity. In short, a bit boring.

On the other hand, the best leaders in Stein’s research were humble, calm, reflective and self-confident. They were passionate about only one thing, the mission of the team. The boring leaders in Stein’s research spent their time helping their teams achieve the mission and giving them feedback on their progress.

Here’s a quote from the article that sums this up well:

“Everyone at Captain Buzz Smith’s  firehouse knows they are doing things exactly right. And that seems to make them both proud and assured. They would do anything for Capt. Smith. Not because they love him — I’m not entirely sure that outside of the firehouse he could inspire them even to switch TV channels — but because his deep belief in his mission makes them also believe in that mission.”

What do you think, is it possible to be a boring leader and a great leader?

Elisa K. Spain