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2017 CCL Leadership Forum
Shanghai, China
© 2017 Center for Creative Leadership. All rights reserved.
Vertical Leadership
Development
Charles J. Palus PhD
Senior Fe...
human transformation
The challenges we face …
… require human transformation.
Making meaning while
facing increasing
complexity
constructed
meaning
inherent
meaning
What makes us human?
Layers of Development
Development of human “beings”
• Meaning-making is what makes us human.
• Children develop in dramatic steps or “stages” (J...
X
X
From Transformations in Leadership © Dr. Edward J. Kelly 2014
The majority of babies born since 2000
can expect to celebra...
Development = Horizontal + Vertical
Vertical Development
Growing abilities to think and act in complex,
systemic, and inte...
“Vertical” and “Horizontal” are Metaphors
Vertical suggests:
Mindsets
Growing up, maturing
Greater perspective
Transformat...
The future of leadership is
MINDSETS not COMPETENCIES
“Wake up, grow up, show up.”
Drivers of Vertical Development
Developmental transformation is driven by
reaching the limits in the current stage.
• Peop...
Measuring Vertical Development
Seven Transformations of Leadership
Rooke, D., & Torbert, W. R. (2005, April). Seven transformations of leadership. Harvar...
Founded in 2010 by Bill and Melinda Gates and
Warren Buffett, the Giving Pledge is a global
effort to help address society...
From Transformations in Leadership © Dr. Edward J. Kelly 2014
Vertical Development is
Both Individual And Cultural
Vertical Development is
Both Individual And Cultural
“Culture eats strategy for breakfast.”
Leadership Culture
Vertical Development is
Both Individual And Cultural
Leadership culture is the shared and deeply held
mindset of how to produce direction, alignment, and commitment in
the org...
Vertical Development is
Both Individual And Cultural
Leadership culture is the shared and deeply held
mindset of how to pr...
Organizational EvolutionThe Evolution of Leadership Cultures
c
Organizational EvolutionThe Evolution of Leadership Cultures
c
Organizational EvolutionThe Evolution of Leadership Cultures
Leadership is a
collective activity
Leadership emerges out of
individual expertise and heroic
action
People in authority
a...
Leadership is a
collective activity
Leadership
emerges out of
individual
expertise and
heroic action
People in
authority
a...
Our company has developed 4 key
components that work in concert
to produce an industry leader.
RETAIL CONSUMER
FINANCE
TEC...
Ray Fidel, CEO, DriveTime asks Why ?
WHY ARE YOU, YOU?
WHY DO WE THINK IT’S WORSE TO FAIL THAN TO EVER TRY?
WHY ARE WE AFR...
The Evolution of Leadership Cultures
Four Domains of Shared Leadership Practices:
• Feedback
• Risk Taking
• Conflict
• De...
The Evolution of Leadership Cultures
© 2017 Center for Creative Leadership. All rights reserved.
Methods of Vertical Development
─ Coaching / mentoring / role ...
If you want 1 year of prosperity, grow grain.
If you want 10 years of prosperity, grow trees.
If you want 100 years of pro...
© 2017 Center for Creative Leadership. All rights reserved.
Vertical Leadership
Development
Charles J. Palus PhD
Senior Fe...
©2014 Center for Creative Leadership. All rights reserved.
Research & Development:
A Quick Tour of Promising
Ideas
Charles...
©2015 Center for Creative Leadership. All rights reserved.
Here’s an example of a network map
as part of the From Here to ...
© 2017 Center for Creative Leadership. All rights reserved.
2017 CCL Leadership Forum
Shanghai, China
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
Vertical Leadership Development For a Complex World
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Vertical Leadership Development For a Complex World

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Vertical Leadership Development featuring Charles J. Palus PhD, CCL Senior Fellow, at the CCL Anniversary Day in Shanghai China, Center for Creative Leadership Greater China CCL 创新领导力中心(大中华区)
Video at: https://vimeo.com/211731651
THANKS to Ed Kelly for use of his Warren Buffett research table: From Transformations in Leadership © Dr. Edward J. Kelly 2014. http://thethirdact.ie/wp-content/uploads/2015/01/BuffettWarrenDevBioFINAL.pdf

Bibliography
Cook-Greuter, Susanne (2013). Nine Levels Of Increasing Embrace In Ego Development: A Full-Spectrum Theory Of Vertical Growth And Meaning Making.
Kegan, Robert. (1994). In over our heads: The demands of modern life. Cambridge, MA: Harvard University Press.
Kelly, E. (2014). Transformations in Leadership.
McCauley, C. D., Drath, W. H., Palus, C. J., O’Connor, P. M., & Baker, B. A. (2006). The use of constructive-developmental theory to advance the understanding of leadership. The Leadership Quarterly, 17(6), 634-653.
McGuire, J., Palus, C. J., & Torbert, W. R. (2007). Toward interdependent organizing and researching. Handbook of collaborative management research, 123-142.
Palus, C. J., & Drath, W. H. (1995). Evolving Leaders. A Model for Promoting Leadership Development in Programs. Center for Creative Leadership.
Palus, C. J., Harrison, S., & Prasad, J. (2015). Developing relational leadership in Africa. In K. G. Schuyler (Ed.), Creative Social Change:Leadership for a Healthy World. International Leadership Association.
Petrie, Nick. (2014). Future Trends in Leadership Development. CCL White Paper. Greensboro, NC: Center for Creative Leadership.
Petrie, Nick. (2014). Vertical leadership development, Part 1: Developing leaders for a complex world. CCL White Paper, Greensboro, NC: Center for Creative Leadership.
Rooke, D., & Torbert, W. R. (2005, April). Seven transformations of leadership. Harvard Business Review, 66–77.
Transformations™: User’s Guide
Torbert, B., & Associates. (2004). Action inquiry: The secret of timely and transforming leadership. San Francisco, CA: Berrett-Koehler.

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Vertical Leadership Development For a Complex World

  1. 1. 2017 CCL Leadership Forum Shanghai, China
  2. 2. © 2017 Center for Creative Leadership. All rights reserved. Vertical Leadership Development Charles J. Palus PhD Senior Fellow palusc@ccl.org Theoretical Roots Applied Practice Opportunities and Dilemmas
  3. 3. human transformation
  4. 4. The challenges we face … … require human transformation.
  5. 5. Making meaning while facing increasing complexity constructed meaning inherent meaning What makes us human?
  6. 6. Layers of Development
  7. 7. Development of human “beings” • Meaning-making is what makes us human. • Children develop in dramatic steps or “stages” (Jean Piaget) • Adults continue to develop in stages (Lawrence Kohlberg, Bob Kegan, Bill Torbert) • Adults become increasingly mature as they “grow up” and develop “bigger minds.” • Our adult stage of development affects how we think and act at work and at home. • There are at least seven transformations possible in adulthood.
  8. 8. X
  9. 9. X
  10. 10. From Transformations in Leadership © Dr. Edward J. Kelly 2014 The majority of babies born since 2000 can expect to celebrate their 100th birthday.
  11. 11. Development = Horizontal + Vertical Vertical Development Growing abilities to think and act in complex, systemic, and interdependent ways. Earned through life experience. It’s about how you think. Horizontal Development Adding knowledge and skills. Transmitted from experts. It’s about what you think. There are really two types of leadership development: Petrie, N. (2014). Vertical leadership development, Part 1: Developing leaders for a complex world. Center for Creative Leadership. White Paper.
  12. 12. “Vertical” and “Horizontal” are Metaphors Vertical suggests: Mindsets Growing up, maturing Greater perspective Transformation of consciousness Horizontal suggests: Competencies Expert knowledge Technique Where do you place the emphasis in your organization?
  13. 13. The future of leadership is MINDSETS not COMPETENCIES “Wake up, grow up, show up.”
  14. 14. Drivers of Vertical Development Developmental transformation is driven by reaching the limits in the current stage. • People are frustrated by challenges. • They experience the limits of their current way of thinking. • In an area of their life that they care about deeply. • Sufficient support enables them to persist in the face of the anxiety and conflict.
  15. 15. Measuring Vertical Development
  16. 16. Seven Transformations of Leadership Rooke, D., & Torbert, W. R. (2005, April). Seven transformations of leadership. Harvard Business Review, 66–77. Alchemical – Integrates material, spiritual, and societal transformations Transforming – Generates organizational and personal transformations Redefining – Reframes complex problems in unique ways Achiever – Driven by personal and team achievement Expert – Focuses on logic and expertise Diplomat – Wants to belong and fit in Opportunist – Wins for self in any way possible
  17. 17. Founded in 2010 by Bill and Melinda Gates and Warren Buffett, the Giving Pledge is a global effort to help address society’s most pressing problems by encouraging the wealthiest families to give the majority of their wealth to philanthropic causes. Signatories of the Pledge aim to develop innovative approaches to solve today’s greatest challenges. The Giving Pledge provides a forum for some of the world’s most engaged philanthropists to discuss challenges, successes and failures, and how to be smarter about giving. Bill Gates & Warren Buffett: The Giving Pledge
  18. 18. From Transformations in Leadership © Dr. Edward J. Kelly 2014
  19. 19. Vertical Development is Both Individual And Cultural
  20. 20. Vertical Development is Both Individual And Cultural “Culture eats strategy for breakfast.”
  21. 21. Leadership Culture Vertical Development is Both Individual And Cultural
  22. 22. Leadership culture is the shared and deeply held mindset of how to produce direction, alignment, and commitment in the organization. Vertical Development is Both Individual And Cultural
  23. 23. Vertical Development is Both Individual And Cultural Leadership culture is the shared and deeply held mindset of how to produce direction, alignment, and commitment in the organization. How do we define “leadership”? What does good leadership look like around here? Who are exemplary leaders? How do we talk to each other? How do we make decisions, engage conflict, give and receive feedback?
  24. 24. Organizational EvolutionThe Evolution of Leadership Cultures c
  25. 25. Organizational EvolutionThe Evolution of Leadership Cultures c
  26. 26. Organizational EvolutionThe Evolution of Leadership Cultures
  27. 27. Leadership is a collective activity Leadership emerges out of individual expertise and heroic action People in authority are responsible for leadership Palus, C.J. McGuire, J.B., & Ernst, C. (2012). Developing interdependent leadership. In The Handbook for Teaching Leadership: Knowing, Doing, and Being. Snook, S., Nohria, N. & Khurana, R. (Eds.). Sage Publications with the Harvard Business School. Chapter 28, 467-492. The Evolution of Leadership Cultures
  28. 28. Leadership is a collective activity Leadership emerges out of individual expertise and heroic action People in authority are responsible for leadership Alchemical Transforming Redefining Achiever Expert Diplomat Opportunist Cultural Beliefs Individual Action Logics +
  29. 29. Our company has developed 4 key components that work in concert to produce an industry leader. RETAIL CONSUMER FINANCE TECHNOLOGY LOGISTICS
  30. 30. Ray Fidel, CEO, DriveTime asks Why ? WHY ARE YOU, YOU? WHY DO WE THINK IT’S WORSE TO FAIL THAN TO EVER TRY? WHY ARE WE AFRAID TO BELIEVE WE CAN CHANGE THE WORLD? WHY WOULD WE SETTLE FOR WHAT WE ARE DOING RATHER THAN DOING WHAT WE BELIEVE IN? WHY DOES THERE HAVE TO BE SOMETHING HOLDING US BACK? WHY WOULDN’T WE ALWAYS CHALLENGE THE TRUTH? WHY WAIT FOR TOMORROW WHEN WE CAN DO IT RIGHT NOW? WHY LIVE THE SAME DAY WE’VE LIVED A HUNDRED TIMES BEFORE? WHY ARE WE ALWAYS SO AFRAID TO MAKE A MISTAKE WHEN WE ALWAYS LEARN FROM
  31. 31. The Evolution of Leadership Cultures Four Domains of Shared Leadership Practices: • Feedback • Risk Taking • Conflict • Decision Making
  32. 32. The Evolution of Leadership Cultures
  33. 33. © 2017 Center for Creative Leadership. All rights reserved. Methods of Vertical Development ─ Coaching / mentoring / role models ─ Dialogue / difficult conversations / deep listening ─ Action-reflection learning ─ Stretch assignments / mistakes / failures ─ Polarity thinking ─ Systems / Network perspective ─ Mindfulness / Whole life integration ─ Societal-level, cross-sector partnerships ─ Culture change / Leadership Strategy *** START HERE
  34. 34. If you want 1 year of prosperity, grow grain. If you want 10 years of prosperity, grow trees. If you want 100 years of prosperity, grow people. Grow up!
  35. 35. © 2017 Center for Creative Leadership. All rights reserved. Vertical Leadership Development Charles J. Palus PhD Senior Fellow palusc@ccl.org Thank you! Questions & Insights?
  36. 36. ©2014 Center for Creative Leadership. All rights reserved. Research & Development: A Quick Tour of Promising Ideas Charles J. Palus PhD Senior Fellow Vertical Development in a Turbulent World
  37. 37. ©2015 Center for Creative Leadership. All rights reserved. Here’s an example of a network map as part of the From Here to There journey:
  38. 38. © 2017 Center for Creative Leadership. All rights reserved.
  39. 39. 2017 CCL Leadership Forum Shanghai, China

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