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Building Extraordinary Trust
Into Your Everyday Life



                  John T. Perez, P.E.
                  President – Cognascents
                  02 March 2011
                  Houston Organization
                  Development Network




                   Leadership Is Your Competitive Advantage
John T. Perez, P.E.
Now:
1.   Great wife and four enjoyable children
2.   President of Cognascents – leadership, strategy, delivery excellence,
     process safety consulting
3.   Currently enrolled in Rice’s Executive MBA program
4.   Member of Rice CHBE Alumni Advisory Board
5.   Board member of neighborhood civic association
6.   Active with Houston Livestock Show & Rodeo
Past:
1.   B.S. Chemical Engineering – Rice University
2.   Rohm & Haas – process engineer
3.   Berwanger – process engineer / business development manager
4.   Celerity3 Engineering – owner / PHA facilitator
5.   Lloyd’s Register – President of Celerity3/Capstone


                                                   Leadership Is Your Competitive Advantage
Brand Loyalty?
1.   Is there a brand you are loyal to?
2.   What is the product?
3.   Why are you loyal to the brand?
4.   What would need to happen to break the
     relationship?




                                Leadership Is Your Competitive Advantage
Brand loyalty
• What are these?
• What do they mean to
  you?
• What feelings do they
  evoke?
• Do you trust them?
• Are you a go-to brand?




1   Interbrand. “Best Global Brands 2010.” 2010 Rankings. http://www.interbrand.com/en/best-global-brands/best-global-brands-2008/best-
    global-brands-2010.aspx.




                                                                                        Leadership Is Your Competitive Advantage
Guideposts
1.   What is trust?
2.   What is extraordinary trust?
3.   Why is trust important?
4.   How do you build it?
5.   No really, how do you build it?
6.   Key takeaways




                                   Leadership Is Your Competitive Advantage
What is trust?                      Remember these?
                                    Anything sound familiar?
•   Person’s belief (not fact?)
•   Cultivated over time
•   Competence
•   Reliability
•   Consistency
•   Relevance (value similarity)
•   Honesty
•   Benevolence
•   Vulnerable to other’s actions
•   Reasonable expectation for
    another to behave/decide in
    way beneficial to you

                                          Leadership Is Your Competitive Advantage
What is extraordinary trust?
•   Person’s belief (not fact?)
•   Cultivated over time
•   Competence
                                        • Extraordinarily
•   Reliability
                                          stronger
•   Consistency
•
•
•
    Relevance (value similarity)
    Honesty
    Benevolence
                                    +   • Seemingly perpetual
                                          political capital
                                        • Second nature
                                        • Faith
•   Vulnerable to other’s actions
•   Reasonable expectation for
    another to behave/decide in
    way beneficial to you

                                         Leadership Is Your Competitive Advantage
Why is trust important?
• Experience-based decision
  rule that allows humans to
  deal with complexities
  requiring unrealistic rational
  reasoning
• Makes social life predictable
  (structure)
• Creates sense of community
  (belonging)
• Makes it easier for people to
  work together
      •   No hidden agendas
      •   No wasted time


                                   Leadership Is Your Competitive Advantage
Trust and Leadership
Find the Wind™ Framework
 1   Laying the keel
     Knowing your center

 2   Preserving the hull
     Watertight integrity of your organization

 3   Taking the helm
     Setting and conveying the direction
                                                                                   3
 4   Steering the boat
     Align and motivate                                            6
 5   Trimming the sails
     Innovation and delivery excellence             5                                  4
 6   Knowing who's on board
     Relationships matter
                                                                       1
                                                     2


                                                 Leadership Is Your Competitive Advantage
Trust and Your Organization
     6                                                                           5
  Represent
                                               Innovation & Delivery
  relationships                                     Excellence


             Marketplace                         Marketing & Sales

                                                                                 3
                                                    Strategy &
                                                  Communication

     1                                                                           2
           Self                Leaders                  Organization

                  Flow of Traits, Values, & Culture-Setting
                    4 Flow of Alignment & Motivation


                                                    Leadership Is Your Competitive Advantage
How do you build trust?
1. Know your excellent self
2. Be your excellent self consistently
3. Make decisions using moral compass
4. Hold reasonable expectations of others
   (assumes expectations are clearly defined)
5. Do not take advantage of others
6. Be honest, fair, competent




                                Leadership Is Your Competitive Advantage
How do you build it specifically?
1. Define your excellent self
2. Practice acting consistently authentic until it is a
   habit
   Rigorous decision-making process
   Playscripting
   Role-playing
3. Instill structure and organization in all you do
4. Be ever-vigilant for trust breakdowns



                                   Leadership Is Your Competitive Advantage
Define/Know Your Excellent Self
1. Identify your strengths and weaknesses
      Assessment (MBTI, Hogan, Birkman, Insights, 360°)
      Solicit input from friends and family
2. Identify core values/virtues
      Remember that values have some ethical component
      Do not confuse values with behaviors
      Write them down … verbalize them
3. Safeguard against existing/potential character flaws
      Document practical development action plan
      Establish checks on biases
      Be open to and ask for help in changing behavior




                                            Leadership Is Your Competitive Advantage
Acting Consistently Authentic
1. Apply rigorous decision-making process
   Identify true problem
   Gather information
   Evaluate options and consequences of each
   Synthesize solution based on moral
    responsibilities first
   Apply solution with integrity
2. Practice, practice, practice!



                                   Leadership Is Your Competitive Advantage
Acting Consistently Authentic
1. Playscripting and Role-playing
     Imagine potential situations
     What do you see?
     Write down script of integrity and
      process fairness
     Imagine the rest of the stage
     Write down play with cast and
      characters
     What do others see?
     Dress rehearsal
2. Practice, practice, practice!

                                       Leadership Is Your Competitive Advantage
Instill Structure and Organization
1. If you are out of
   control, then your
   behavior (i.e. decision-
   making) will be out of
   control and
   inconsistent
2. Manage your time and
   commitments
3. Don’t make promises
   you can’t keep!


                              Leadership Is Your Competitive Advantage
Watch for Trust Breakdowns
1. Dial up your emotional
   IQ and be aware of the
   feelings around you
2. Engage your
   organization
3. Genuinely listen
4. Is this activity a blind
   spot? Then safeguard
   it!



                              Leadership Is Your Competitive Advantage
Key takeaways
1.   Trust is a must
2.   Define your excellent self
3.   Safeguard your blind spots
4.   Don’t make lazy decisions
5.   Playscript and role-play!
6.   Instill structure and organization
7.   Strive to be a go-to brand!




                                          Leadership Is Your Competitive Advantage
Sources
1.   Phillips, D.T. Lincoln On Leadership: Executive Strategies for Tough
     Times. Business Plus, Hachette Book Group: 237 Park Avenue, New York,
     NY 10017. Copyright © 1992.
2.   Gentile, M.C. Giving Voice to Values: How to Speak Your Mind When You
     Know What’s Right. Sheridan Books: Ann Arbor, Michigan. Copyright ©
     2010.
3.   Patterson, K. and J. Grenny, R. McMillan, A. Switzler. crucial
     conversations: Tools for talking when stakes are high. McGraw-Hill: Two
     Penn Plaza, New York, NY 10121-2298. Copyright © 2002.
4.   Levine, M. et al. Lifescripts for Managers. Macmillan General Reference
     USA: 1633 Broadway, New York, NY 10019-6785. Copyright © 1999.
5.   Kolbell, E. Lifescripts for Family and Friends. Pocket Books: 1230 Avenue
     of the Americas, New York, NY 10020. Copyright © 2002.
6.   Jacobides, M.G. “Strategy Tools for a Shifting Landscape.” Harvard
     Business Review: January-February 2010.



                                                  Leadership Is Your Competitive Advantage

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Building Extraordinary Trust Into Your Everyday Life

  • 1. Building Extraordinary Trust Into Your Everyday Life John T. Perez, P.E. President – Cognascents 02 March 2011 Houston Organization Development Network Leadership Is Your Competitive Advantage
  • 2. John T. Perez, P.E. Now: 1. Great wife and four enjoyable children 2. President of Cognascents – leadership, strategy, delivery excellence, process safety consulting 3. Currently enrolled in Rice’s Executive MBA program 4. Member of Rice CHBE Alumni Advisory Board 5. Board member of neighborhood civic association 6. Active with Houston Livestock Show & Rodeo Past: 1. B.S. Chemical Engineering – Rice University 2. Rohm & Haas – process engineer 3. Berwanger – process engineer / business development manager 4. Celerity3 Engineering – owner / PHA facilitator 5. Lloyd’s Register – President of Celerity3/Capstone Leadership Is Your Competitive Advantage
  • 3. Brand Loyalty? 1. Is there a brand you are loyal to? 2. What is the product? 3. Why are you loyal to the brand? 4. What would need to happen to break the relationship? Leadership Is Your Competitive Advantage
  • 4. Brand loyalty • What are these? • What do they mean to you? • What feelings do they evoke? • Do you trust them? • Are you a go-to brand? 1 Interbrand. “Best Global Brands 2010.” 2010 Rankings. http://www.interbrand.com/en/best-global-brands/best-global-brands-2008/best- global-brands-2010.aspx. Leadership Is Your Competitive Advantage
  • 5. Guideposts 1. What is trust? 2. What is extraordinary trust? 3. Why is trust important? 4. How do you build it? 5. No really, how do you build it? 6. Key takeaways Leadership Is Your Competitive Advantage
  • 6. What is trust? Remember these? Anything sound familiar? • Person’s belief (not fact?) • Cultivated over time • Competence • Reliability • Consistency • Relevance (value similarity) • Honesty • Benevolence • Vulnerable to other’s actions • Reasonable expectation for another to behave/decide in way beneficial to you Leadership Is Your Competitive Advantage
  • 7. What is extraordinary trust? • Person’s belief (not fact?) • Cultivated over time • Competence • Extraordinarily • Reliability stronger • Consistency • • • Relevance (value similarity) Honesty Benevolence + • Seemingly perpetual political capital • Second nature • Faith • Vulnerable to other’s actions • Reasonable expectation for another to behave/decide in way beneficial to you Leadership Is Your Competitive Advantage
  • 8. Why is trust important? • Experience-based decision rule that allows humans to deal with complexities requiring unrealistic rational reasoning • Makes social life predictable (structure) • Creates sense of community (belonging) • Makes it easier for people to work together • No hidden agendas • No wasted time Leadership Is Your Competitive Advantage
  • 9. Trust and Leadership Find the Wind™ Framework 1 Laying the keel Knowing your center 2 Preserving the hull Watertight integrity of your organization 3 Taking the helm Setting and conveying the direction 3 4 Steering the boat Align and motivate 6 5 Trimming the sails Innovation and delivery excellence 5 4 6 Knowing who's on board Relationships matter 1 2 Leadership Is Your Competitive Advantage
  • 10. Trust and Your Organization 6 5 Represent Innovation & Delivery relationships Excellence Marketplace Marketing & Sales 3 Strategy & Communication 1 2 Self Leaders Organization Flow of Traits, Values, & Culture-Setting 4 Flow of Alignment & Motivation Leadership Is Your Competitive Advantage
  • 11. How do you build trust? 1. Know your excellent self 2. Be your excellent self consistently 3. Make decisions using moral compass 4. Hold reasonable expectations of others (assumes expectations are clearly defined) 5. Do not take advantage of others 6. Be honest, fair, competent Leadership Is Your Competitive Advantage
  • 12. How do you build it specifically? 1. Define your excellent self 2. Practice acting consistently authentic until it is a habit  Rigorous decision-making process  Playscripting  Role-playing 3. Instill structure and organization in all you do 4. Be ever-vigilant for trust breakdowns Leadership Is Your Competitive Advantage
  • 13. Define/Know Your Excellent Self 1. Identify your strengths and weaknesses  Assessment (MBTI, Hogan, Birkman, Insights, 360°)  Solicit input from friends and family 2. Identify core values/virtues  Remember that values have some ethical component  Do not confuse values with behaviors  Write them down … verbalize them 3. Safeguard against existing/potential character flaws  Document practical development action plan  Establish checks on biases  Be open to and ask for help in changing behavior Leadership Is Your Competitive Advantage
  • 14. Acting Consistently Authentic 1. Apply rigorous decision-making process  Identify true problem  Gather information  Evaluate options and consequences of each  Synthesize solution based on moral responsibilities first  Apply solution with integrity 2. Practice, practice, practice! Leadership Is Your Competitive Advantage
  • 15. Acting Consistently Authentic 1. Playscripting and Role-playing  Imagine potential situations  What do you see?  Write down script of integrity and process fairness  Imagine the rest of the stage  Write down play with cast and characters  What do others see?  Dress rehearsal 2. Practice, practice, practice! Leadership Is Your Competitive Advantage
  • 16. Instill Structure and Organization 1. If you are out of control, then your behavior (i.e. decision- making) will be out of control and inconsistent 2. Manage your time and commitments 3. Don’t make promises you can’t keep! Leadership Is Your Competitive Advantage
  • 17. Watch for Trust Breakdowns 1. Dial up your emotional IQ and be aware of the feelings around you 2. Engage your organization 3. Genuinely listen 4. Is this activity a blind spot? Then safeguard it! Leadership Is Your Competitive Advantage
  • 18. Key takeaways 1. Trust is a must 2. Define your excellent self 3. Safeguard your blind spots 4. Don’t make lazy decisions 5. Playscript and role-play! 6. Instill structure and organization 7. Strive to be a go-to brand! Leadership Is Your Competitive Advantage
  • 19. Sources 1. Phillips, D.T. Lincoln On Leadership: Executive Strategies for Tough Times. Business Plus, Hachette Book Group: 237 Park Avenue, New York, NY 10017. Copyright © 1992. 2. Gentile, M.C. Giving Voice to Values: How to Speak Your Mind When You Know What’s Right. Sheridan Books: Ann Arbor, Michigan. Copyright © 2010. 3. Patterson, K. and J. Grenny, R. McMillan, A. Switzler. crucial conversations: Tools for talking when stakes are high. McGraw-Hill: Two Penn Plaza, New York, NY 10121-2298. Copyright © 2002. 4. Levine, M. et al. Lifescripts for Managers. Macmillan General Reference USA: 1633 Broadway, New York, NY 10019-6785. Copyright © 1999. 5. Kolbell, E. Lifescripts for Family and Friends. Pocket Books: 1230 Avenue of the Americas, New York, NY 10020. Copyright © 2002. 6. Jacobides, M.G. “Strategy Tools for a Shifting Landscape.” Harvard Business Review: January-February 2010. Leadership Is Your Competitive Advantage