The Currency of Empathy — The Missing Link to Innovation and Inclusion
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The Currency of Empathy — The Missing Link to Innovation and Inclusion
- 1. The Currency of Empathy The Missing Link to Innovation and Inclusion Jacqueline Acho, Ph.D. President, The Acho Group Lightening Round Presentation CEO’s for Cities National Conference Cincinnati, Ohio; May 17, 2012
- 2. WHAT IS INNOVATION? • Individual and collective creativity • Translating creative ideas into practical new products, services, business models, etc. • Sustainable growth and renewal, managed concurrently across 3 “horizons”1 • Disruptive technologies and ideas which shift whole industries – creative destruction • Changing the course of human events 1Baghai, Coley, and White; McKinsey & Co, The Alchemy of Growth; 2000 2 Christensen and Raynor, The Innovator’s Solution, 2003
- 3. WHAT IS INCLUSION? • Beyond compliance, diversity, and equity… • Inclusion is “creating an environment where employees perceive a sense of efficacy, belonging, and value, and where they can lead in driving organizational success”1 • Participation economy 1Professor Diana Bilimoria, Weatherhead/CWRU KeyBank Chairing Ceremony, May 2012
- 4. Innovation and Inclusion – How are We Doing? • “The top-performing 1% of companies create 40% of new jobs.”1 • 1 out of 10 companies sustain above average growth and innovation – Sustaining above average shareholder returns for more than a few years 2 – Exceeding the growth of their industry for a decade 3 • Inclusion of Women4: – 46.6% U.S. labor force – 16.1% F500 Board Seats – 3.6% F500 CEOs • Inclusion of African Americans5 – 1% of F500 CEOs 1 Kauffman Foundation, High Growth Firms and the Future of the American Economy, March 2010 2 Christensen and Raynor, The Innovator’s Solution, 2003 3 Baghai, Coley, and White; McKinsey & Co, The Alchemy of Growth; 2000 4 Catalyst, May 2012 5 CNNMoney, March 2012
- 5. What is Empathy? “The ability to understand and act upon the feelings of another” 3 parts: cognitive, affective, and moral “Zero positive” = autism and Asperger’s Syndrome “Zero negative” = narcissist, borderline, psychopath Can come with unfettered pattern recognition/ systems thinking Empathy can be measured Source: The Science of Evil: on Empathy and the Origins of Cruelty, Simon Baron-Cohen
- 6. A Missing Link and Undervalued Currency - Empathy A working definition of organizational empathy: A systemic ability and willingness to discern and act on the emotions of other human beings in a way that results in mutual growth.
- 7. Empathy Enables a Positive Cycle of Innovation and Inclusion •Innovation requires change •Change is hard •Requires rewiring of brain Currency •Requires fear, Inclusion of Innovation loss, and even pain Empathy •Creativity is often preceded by frustration •Empathy helps people move through suffering/pain/fear/ frustration •Co-celebration of success is also an empathetic response
- 8. Empathy Enables a Positive Cycle of Innovation and Inclusion •Inclusion requires being able to hear what others contribute •True inclusion requires that people feel safe and able to communicate disparate Inclusion Currency of Innovation views •Inclusion requires Empathy recognition of value in each human people •Empathy puts you in a position to do all of the above
- 9. Empathy Enables a Positive Cycle of Innovation and Inclusion •Connections across disparate sources are increasingly the source of modern creativity •See a difference in how federal granting system require collaboration Currency Inclusion of Innovation Empathy •Accommodating diversity is easier in growing environments which have more “pie” for everyone versus shrinking ones
- 10. INNOVATIVE ORGANIZATIONS STEWARD THE “CURRENCY OF EMPATHY” BY SYSTEMIZING INTERACTIONS THAT HONOR 3 BASIC HUMAN NEEDS 1. IS THERE A BIGGER VISION HERE NO ONE PERSON CAN ACCOMPLISH ALONE, AND DO I MAKE A DIFFERENCE? - SYSTEMATICALLY HONOR THE HUMAN DESIRE TO WORK FOR SOMETHING BIGGER IN COLLABORATION WITH OTHERS (~8 things) 2. CAN I GROW HERE? – 3. CAN I LEAD AND STILL PROVIDE THE BE WHOLE HERE? – OPPORTUNITY FOR TRULY HARDWIRE YOUR CULTURE EXCELLENT PROFESSIONAL TO SUPORT IDENTITY AND DEVELOPMENT (~8 things) SUSTAINABLE BALANCE BETWEEN WORK AND LIFE (~9 things)
- 11. 1. WORKING FOR SOMETHING BIGGER IN COLLABORATION WITH OTHERS Typical Exceptional Vision and mission statements whose Vision and mission which drive to but beyond ultimate goal is profit/shareholder value profit/shareholder value Numerical goals Goals with a “human face” - that help people in some way (customers, community, make the world a better place) – in addition to numbers Individual goals buried in or Clear understanding how my job affects key disconnected from organizational measures on the performance scorecard performance A culture of talking/air time A culture of listening Systems that support persistent internal Systems that reward personal growth and competition (grading on a curve, top- collaboration toward ideals and end goals grading) Silos of “diversity” where people are Clear goals of inclusion of diverse people, styles, taught how to conform effectively views, and ideas toward the end of (separate women’s initiatives) innovation/making new connections A culture of perfection/judging failure A culture of collective pilots/experiments - trying/failing as opportunities to learn Leadership = title and position Leadership = helping other people grow, delivering value from wherever you sit
- 13. 2. CAN I GROW HERE? Typical Exceptional Performance goals (yearly metrics and Performance goals + leadership development milestones tied to current role) goals based on a variety of models for success in this organization Annual reviews with objective measures Semi-annual reviews which systematize subjective for performance, subjective measures of leadership development observations deemed important by boss Review tone = judgment Review tone = growth Review focus = solve issues, fill gaps Review focus = achieving thresholds + what’s special; emerging leadership strengths No or occasional 360 feedback (every Regular windows into your “actual self” via ~few years), left for individual to upward/360 feedback, and exposure to other self- interpret awareness/preference tools (e.g., MBTI, Kolb) and coaching to explore what they mean Assignments to gain expertise Assignments to gain expertise + experience with servant leaders for high potentials Rewards for hitting your numbers Rewards for hitting your numbers + for servant leadership Up to the individual to find mentors A culture and system for exposing people to coaches, mentors, champions
- 15. CAN I BE WHOLE LEADER HERE? Typical Exceptional Culture of meetings/updates Meeting when the assembled group is needed to 1) make decisions or 2) inspire a collision of creative thoughts across functions/boundaries “Face time” requirements Clear focus on performance, allowing for flexible delivery appropriate to each job (e.g., working remotely, flexible hours) Few or no role models A variety of role models = people I admire and would like to become at higher levels A work self and a home self Similar you at work and at home Community work (e.g., Board seats, Work in the community encouraged and enabled networks) a personal choice as part of the job An environment that consistently works An environment and culture that supports against physical health physical health (e.g., sleep, food, exercise) Minimal maternity leave Time off (paid + unpaid maternity/paternity leaves = 6 months-1 year) to get a solid start with kids Part-time = off track Off ramp/on ramp options for talented leaders A small, similar group of burned-out leaders A diverse portfolio of leaders with holistic on the fast track to positional authority experience/wisdom, peaking later for longer
- 17. THE CURRENCY OF EMPATHY – CAN BE MEASURED The Dow Chemical Core R&D Experiment Design/Choose Incorporate Measure baseline Measure Impact -empathy -empathy -innovation -innovation -inclusion -inclusion Intervene – from the top down
- 19. A Challenge • I have yet to see any organization which does EVERYTHING at best practice to increase the “currency of empathy” • Maybe you will be the first?! • Let me know! Jacho@theachogroup.com
- 20. Thank you! • Clients/Collaborators/Colleagues, especially: – Dr. David Bem, Global Director, Core R&D, Dow Chemical – Dr. Diana Bilimoria, KeyBank Professor of Organizational Behavior, Weatherhead School of Management, CWRU – Gary Hanson, ED; Gary Ginstling, GM; The Cleveland Orchestra – Chuck Houk, President, Tremco Sealants (RPM) – Dr. Elaine LeMay, Senior Director Human Resources, Agilent Technologies – Dr. Hunter Peckham, Donnell Professor of Biomedical Engineering, CWRU School of Engineering – Marty Pollock, WIT Group – Jeff Sinclair, Director, McKinsey & Company – Sharon Sobol Jordan, CEO, the Center for Families and Children – Eliza Wing, President, Wing Consulting – Eva Basilion, collaborator of the Acho Group; Board Member, Hanna Perkins Center for Child Development – The Education for Ministry class of 2012 at St. Paul’s Episcopal Church, Cleveland Heights, OH • My family and friends
- 21. Handouts – Jackie will bring copies
- 22. The Currency of Empathy The Missing Link to Innovation and Inclusion Jacqueline Acho, Ph.D. President, The Acho Group Handouts to Accompany Lightening Round Presentation CEO’s for Cities National Conference Cincinnati, Ohio May 17, 2012 Jacho@theachogroup.com
- 23. INNOVATIVE ORGANIZATIONS STEWARD THE “CURRENCY OF EMPATHY” BY SYSTEMIZING INTERACTIONS THAT HONOR 3 BASIC HUMAN NEEDS 1. IS THERE A BIGGER VISION HERE NO ONE PERSON CAN ACCOMPLISH ALONE, AND DO I MAKE A DIFFERENCE? - SYSTEMATICALLY HONOR THE HUMAN DESIRE TO WORK FOR SOMETHING BIGGER IN COLLABORATION WITH OTHERS (~8 things) 2. CAN I GROW HERE? – 3. CAN I LEAD AND STILL PROVIDE THE BE WHOLE HERE? – OPPORTUNITY FOR TRULY HARDWIRE YOUR CULTURE EXCELLENT PROFESSIONAL TO SUPORT SUSTAINABLE DEVELOPMENT (~8 things) BALANCE BETWEEN WORK AND LIFE (~9 things)
- 24. 1. WORKING FOR SOMETHING BIGGER IN COLLABORATION WITH OTHERS Typical Exceptional Vision and mission statements whose Vision and mission which drive to but beyond ultimate goal is profit/shareholder value profit/shareholder value Numerical goals Goals with a “human face” - that help people in some way (customers, community, make the world a better place) – in addition to numbers Individual goals buried in or Clear understanding how my job affects key disconnected from organizational measures on the performance scorecard performance A culture of talking/air time A culture of listening Systems that support persistent internal Systems that reward personal growth and competition (grading on a curve, top- collaboration toward ideals and end goals grading) Silos of “diversity” where people are Clear goals of inclusion of diverse people, styles, taught how to conform effectively views, and ideas toward the end of (separate women’s initiatives) innovation/making new connections A culture of perfection/judging failure A culture of collective pilots/experiments - trying/failing as opportunities to learn Leadership = title and position Leadership = helping other people grow, delivering value from wherever you sit
- 25. 2. CAN I GROW HERE? Typical Exceptional Performance goals (yearly metrics and Performance goals + leadership development milestones tied to current role) goals based on a variety of models for success in this organization Annual reviews with objective measures Semi-annual reviews which systematize subjective for performance, subjective measures of leadership development observations deemed important by boss Review tone = judgment Review tone = growth Review focus = solve issues, fill gaps Review focus = achieving thresholds + what’s special; emerging leadership strengths No or occasional 360 feedback (every Regular windows into your “actual self” via ~few years), left for individual to upward/360 feedback, and exposure to other self- interpret awareness/preference tools (e.g., MBTI, Kolb) and coaching to explore what they mean Assignments to gain expertise Assignments to gain expertise + experience with servant leaders for high potentials Rewards for hitting your numbers Rewards for hitting your numbers + for servant leadership Up to the individual to find mentors A culture and system for exposing people to coaches, mentors, champions
- 26. CAN I BE WHOLE LEADER HERE? Typical Exceptional Culture of meetings/updates Meeting when the assembled group is needed to 1) make decisions or 2) inspire a collision of creative thoughts across functions/boundaries “Face time” requirements Clear focus on performance, allowing for flexible delivery appropriate to each job (e.g., working remotely, flexible hours) Few or no role models A variety of role models = people I admire and would like to become at higher levels A work self and a home self Similar you at work and at home Community work (e.g., Board seats, Work in the community encouraged and enabled networks) a personal choice as part of the job An environment that consistently works An environment and culture that supports against physical health physical health (e.g., sleep, food, exercise) Minimal maternity leave Time off (paid + unpaid maternity/paternity leaves = 6 months-1 year) to get a solid start with kids Part-time = off track Off ramp/on ramp options for talented leaders A small, similar group of burned-out leaders A diverse portfolio of leaders with holistic on the fast track to positional authority experience/wisdom, peaking later for longer
- 27. Not used
- 28. Inclusion – How are We Doing? Women in Leadership African American CEO’s 1% 1 CNNMoney, March 2012
- 29. GOOD ADVICE – INNOVATION, GROWTH, RENEWAL, CREATIVITY
- 30. GOOD ADVICE AND A CALL TO ACTION – INCLUSION
- 31. Inclusion – How are We Doing? • “The United States government now has an African American chief executive, but 99% of the nation's largest businesses do not. When Don Thompson assumes his role as CEO of McDonald's on July 1, a promotion announced Thursday, he will be only the sixth active African-American CEO at a Fortune 500 company.”1 1% 1 CNNMoney, March 2012
- 32. “CURRENCY OF EMPATHY” - WHAT’S DISCTINCTIVE? 1. IS THERE A BIGGER VISION HERE NO ONE PERSON CAN ACCOMPLISH ALONE, AND DO I MAKE A DIFFERENCE?
- 33. “CURRENCY OF EMPATHY” - WHAT’S DISCTINCTIVE? 2. CAN I GROW HERE? – PROVIDE THE OPPORTUNITY FOR TRULY EXCELLENT PROFESSIONAL DEVELOPMENT
- 34. “CURRENCY OF EMPATHY” - WHAT’S DISCTINCTIVE? 3. CAN I LEAD AND STILL BE WHOLE HERE? – HARDWIRE YOUR “I walk out of this office every day at 5:30 so I'm home for dinner with my kids at CULTURE TO SUPORT 6:00.” IDENTITY AND -Sheryl Sandberg, COO, Facebook SUSTAINABLE BALANCE BETWEEN WORK AND LIFE
Editor's Notes
- Hello, I’m Jackie Acho, and I want to share what I’ve learned about the “currency of empathy”.I am not a therapist. I’m a strategist with a PhD in chemistry from MIT with18 years of experience helping clients innovate and grow, as a partner at McKinsey and an entrepreneur.Empathy was NOT my starting point…
- Innovation was, and it means many things as you know. It starts with creativity that is translated into something useful. If you lead sustainable growth, your organization is working short and longer-term priorities. Some ideas have the power to shift industries. Innovation drives prosperity and transforms cities and regions.
- For cities to prosper, we also need inclusion, with ALL of our talent plugged in and able to lead. I came to worry about this in earnest while doing tech based economic development in Northeast Ohio. If you don’t already believe this, read the new book Why Nations Fail which correlates success with economic and political inclusion.
- If you have been struggling to lead innovation and inclusion in your organization, you’re in good company. 1% of companies drive 40% of new jobs; 1 in10 sustains growth. Although women and African Americans work, by and large, they do not lead. We know these are important. We try. What are we missing?
- Empathy sounds soft and intangible, but it’s not, thanks to recent advances in neuroscience and imaging, combined with psychology. It is the ability to understand and act on the feelings of others. Individual empathy can be imaged and measured in surveys. Some people have none. Do you know any of these?
- Our organizations are just collections of people. Have you ever walked into a “toxic” organization and felt it? I have. I’ve also had the blessing of working with truly innovative organizations, with the results to prove it. They are disciplined and strategic, sure. But there is also a “currency of empathy”, which is unleashed and inspired.
- It only makes sense that a “currency of empathy” supports innovation. Innovation requires change, which is hard. It requires fear, loss, often frustration, even pain and rewiring of the brain. It is empathy which helps us move through such emotions. It is also empathy that makes us feel like celebrating together.
- How is empathy connected to inclusion? [Skim Slide 11]
- What about inclusion and innovation, do they also reinforce each other? Yes. [Skim Slide 12] It’s a virtuous cycle. So, how do you increase the currency of empathy in your organization?
- You need get three things right to steward the currency of empathy in your organization [Skim Slide 13]. These things allow people to feel valued, secure, and able to connect with others at work; they also systematize the kinds of conversations that promote understanding and mutual growth =empathy. After this presentation, I have handouts outlining the specific ideas in each category for anyone who is interested – a kind of a checklist for you to see how you’re doing. For this discussion, let me tell you about just a few beacons: people and places that excel in some of these areas….
- Let’s talk about typical vs exceptional performance on each of these dimensions. I’ll have these slides as handouts for anyone interested after the talk. For now, I’d like to highlight a couple of cases with exceptional performance. With $40M in revenues, the Center for Families and Children in Northeast Ohio is one of the largest social service agencies around…and I don’t mention it just because Lee Fisher used to lead it! Sharon Sobol Jordan has been the CEO for the last 5 years. They have always delivered high quality services and are well known for early learning and mental health counseling. They are innovating social services. Everyone there is focused on solving some of the toughest problems of the urban core, stating with clarity and passion: “Poverty can no longer be permitted to be a predictor of a person’s success”, and “Children will graduate high school prepared and motivated to pursue college, career and life-long learning”. They’re not bleeding hearts; they are financially sustainable and disciplined in their management of innovation. Nonprofits may have it easier when it comes to a mission beyond shareholder value, but great companies like RPM’s Tremco Sealants outperform their industry because it’s crystal clear to everyone how they each make a difference. The President walks the halls on KPI Fridays, talking through strategic balanced scorecards with employees…it’s part of a 2 way conversation, which allows everyone to feel valued and make a difference.
- No matter where I’ve been, I’ve never seen a better place to grow than my former firm, McKinsey and Company. They remain one of the biggest pipelines for CEO talent in the Fortune 500. Why? It all started with a clear, strategic leadership model developed in the 1930’s by Marvin Bower. That model is cascaded through every level of the firm, from the moment you are recruited through to when you retire as a senior director. The review processes objectify what’s subjective and create a clear discipline for everyone. The focus is growth and finding what’s special even more than judging and filling holes. Case School of Engineering in Cleveland created a similar leadership model for it’s strategic faculty hires over the last year, and there has been talk of extending the discipline to promotion and tenure. It’s not just about the greatest individual researchers; they are designing a discipline for growing leaders. It can be done anywhere.
- As leaders in your organization, people are looking to YOU to be role models, proving this is possible! Isn’t it ironic that the things make us the most empathetic tend to be the ones we often feel the need to “leave at the door” as professionals: being in the “minority” which tends to force us to understand perspectives of the majority, whether that means we are women in a male-dominated environment, African Americans or Hispanics operating across cultures, homosexual or otherwise different in some way. For many people, women especially, parenthood shifts everything, inspiring the most profound love and empathy for another human being. So many of our systems work against leaning into what inspires empathy. Focus. Face time. Seminars and common advice on leadership style that may work at odds what may be really special about YOU. Going part-time = going off track. A lot of this comes down to choices, values, and trust. Technology has changed EVERYTHING; helping your people get this right is not about letting them work less, but more flexibly. There are many things organizations can do, but where I see the most progress in organizations with entrepreneurs and intrapreneurs. Many of you probably heard about Sheryl Sanberg’s recent admission of leaving work at 5:30 and thought Bravo! Many of you who are parents may be carving a similar path through entrepreneurship; did you know that Ohio ranks 8th in the country for women-owned firms? I see many working parents designing ways to lead and still be whole. I am one of them.
- Dave Bem is head of Core R&D for Dow Chemical. He’s also a client and dear friend of mine who has ably and entrepreneurially lead in the chemical industry for 18 years. Innovation IS their business. Retaining and growing diverse leaders IS a high priority for him as well as Dow. We are embarking on an experiment to systematically increase the currency of empathy at Dow and drive innovation and inclusion, which they regularly measure. Overall [Skim Slide 17]. Stay tuned….we’ll let you know how it goes!
- We’re talking about different ways of working here, not tradeoffs.None of the suggestions require any major investment.Most of them are also useful in any human organization, including families and regions – yep, I’ve even used some with my husband and kids.In the end, I believe if you focus on increasing the “currency of empathy” in the places you are privileged to lead, you’ll grow a servant leaders, truly include all your talent, and catalyze more inspiration and innovation.
- So, I’d like to leave you with this challenge [Skim slide 19]. I have copies of specific ideas for increasing the “currency of empathy” in your organization. Feel free to come get one in 20 seconds…
- Which gives me just enough time to thank people who helped inspire these ideas and regularly deposit in my bank of empathy! [Skim slide 20]
- Let’s talk about typical vs exceptional performance on each of these dimensions. I’ll have these slides as handouts for anyone interested after the talk. For now, I’d like to highlight a couple of cases with exceptional performance. With $40M in revenues, the Center for Families and Children in Northeast Ohio is one of the largest social service agencies around…and I don’t mention it just because Lee Fisher used to lead it! Sharon Sobol Jordan has been the CEO for the last 5 years. They have always delivered high quality services and are well known for early learning and mental health counseling. They are innovating social services. Everyone there is focused on solving some of the toughest problems of the urban core, stating with clarity and passion: “Poverty can no longer be permitted to be a predictor of a person’s success”, and “Children will graduate high school prepared and motivated to pursue college, career and life-long learning”. They’re not bleeding hearts; they are financially sustainable and disciplined in their management of innovation. Nonprofits may have it easier when it comes to a mission beyond shareholder value, but great companies like RPM’s Tremco Sealants outperform their industry because it’s crystal clear to everyone how they each make a difference. The President walks the halls on KPI Fridays, talking through strategic balanced scorecards with employees…it’s part of a 2 way conversation, which allows everyone to feel valued and make a difference.
- No matter where I’ve been, I’ve never seen a better place to grow than my former firm, McKinsey and Company. They remain one of the biggest pipelines for CEO talent in the Fortune 500. Why? It all started with a clear, strategic leadership model developed in the 1930’s by Marvin Bower. That model is cascaded through every level of the firm, from the moment you are recruited through to when you retire as a senior director. The review processes objectify what’s subjective and create a clear discipline for everyone. The focus is growth and finding what’s special even more than judging and filling holes. Case School of Engineering in Cleveland created a similar leadership model for it’s strategic faculty hires over the last year, and there has been talk of extending the discipline to promotion and tenure. It’s not just about the greatest individual researchers; they are designing a discipline for growing leaders. It can be done anywhere.
- As leaders in your organization, people are looking to YOU to be role models, proving this is possible! Isn’t it ironic that the things make us the most empathetic tend to be the ones we often feel the need to “leave at the door” as professionals: being in the “minority” which tends to force us to understand perspectives of the majority, whether that means we are women in a male-dominated environment, African Americans or Hispanics operating across cultures, homosexual or otherwise different in some way. For many people, women especially, parenthood shifts everything, inspiring the most profound love and empathy for another human being. So many of our systems work against leaning into what inspires empathy. Focus. Face time. Seminars and common advice on leadership style that may work at odds what may be really special about YOU. Going part-time = going off track. A lot of this comes down to choices, values, and trust. Technology has changed EVERYTHING; helping your people get this right is not about letting them work less, but more flexibly. There are many things organizations can do, but where I see the most progress in organizations with entrepreneurs and intrapreneurs. Many of you probably heard about Sheryl Sanberg’s recent admission of leaving work at 5:30 and thought Bravo! Many of you who are parents may be carving a similar path through entrepreneurship; did you know that Ohio ranks 8th in the country for women-owned firms? I see many working parents designing ways to lead and still be whole. I am one of them.
- And what about inclusion? Again, if you’re frustrated that you can’t keep and grow women leaders, you’re in good company. Women are working at a proportional level to men, but by and large, they are notleading. This is not truly inclusion. [Skim slide 7]The United States government now has an African American chief executive, but 99% of the nation's largest businesses do not. When Don Thompson assumes his role as CEO of McDonald's on July 1he will be only the sixth active African-American CEO at a Fortune 500 company. So, what are we missing?
- All of us here today is working on innovation in one way or another, so I imagine you’ve done a lot of reading on this subject too. There has been some wonderful work which has helped us all understand and try to emulate innovative and growing organizations. For 18 years, I’ve worked with clients on growth, renewal and innovation. Great leaders trying to do big things which will benefit their organizations and communities, for profit and not for profit. We’ve derived inspiration especially from McKinsey’s Alchemy of Growth, Clay Christensen, and Jim Collins.
- There is plenty of advice out there on the topic of inclusion too, particularly if you’re a women in science and/or business. I’ve heard a lot and shared a lot, on leadership style, on networking, on finding and being a mentor, role models, work/life balance…..because the rubber really meets the road when kids come along (but that’s another talk…)I’ve also come to appreciate through my economic development work in Northeast Ohio how absolutely vital it is to include African Americans, Hispanics, and the wide variety of people in our country.Beyond the advice, there is now excellent evidence that we cannot succeed without economic and political inclusion thanks to the work recently shared in Why Nations Fail.
- Yes, we have an African American President, and whether you like him or not, that’s impressive inclusion in political power in this country. But, when it comes to corporate America, it’s still rare to see an African American at the helm [Skim slide 8]. So, what have we been missing?...
- With $40M in revenues, the Center for Families and Children in Northeast Ohio is one of the largest social service agencies around…and I don’t mention it just because Lee Fisher used to lead it! Sharon Sobol Jordan has been the CEO for the last 5 years. They have always delivered high quality services and are well known for early learning and mental health counseling. They are innovating social services. Everyone there is focused on solving some of the toughest problems of the urban core, stating with clarity and passion: “Poverty can no longer be permitted to be a predictor of a person’s success”, and “Children will graduate high school prepared and motivated to pursue college, career and life-long learning”. They’re not bleeding hearts; they are financially sustainable and disciplined in their management of innovation. Nonprofits may have it easier when it comes to a mission beyond shareholder value, but great companies like RPM’s Tremco Sealants outperform their industry because it’s crystal clear to everyone how they each make a difference. The President walks the halls on KPI Fridays, talking through strategic balanced scorecards with employees…it’s part of a 2 way conversation, which allows everyone to feel valued and make a difference.
- No matter where I’ve been, I’ve never seen a better place to grow than my former firm, McKinsey and Company. They remain one of the biggest pipelines for CEO talent in the Fortune 500. Why? It all started with a clear, strategic leadership model developed in the 1930’s by Marvin Bower. That model is cascaded through every level of the firm, from the moment you are recruited through to when you retire as a senior director. The review processes objectify what’s subjective and create a clear discipline for everyone. The focus is growth and finding what’s special even more than judging and filling holes. Case School of Engineering in Cleveland created a similar leadership model for it’s strategic faculty hires over the last year, and there has been talk of extending the discipline to promotion and tenure. It’s not just about the greatest individual researchers; they are designing a discipline for growing leaders. It can be done anywhere.
- As leaders in your organization, people are looking to YOU to be role models, proving this is possible! Isn’t it ironic that the things make us the most empathetic tend to be the ones we often feel the need to “leave at the door” as professionals: being in the “minority” which tends to force us to understand perspectives of the majority, whether that means we are women in a male-dominated environment, African Americans or Hispanics operating across cultures, homosexual or otherwise different in some way. For many people, women especially, parenthood shifts everything, inspiring the most profound love and empathy for another human being. So many of our systems work against leaning into what inspires empathy. Focus. Face time. Seminars and common advice on leadership style that may work at odds what may be really special about YOU. Going part-time = going off track. A lot of this comes down to choices, values, and trust. Technology has changed EVERYTHING; helping your people get this right is not about letting them work less, but more flexibly. There are many things organizations can do, but where I see the most progress in organizations with entrepreneurs and intrapreneurs. Many of you probably heard about Sheryl Sanberg’s recent admission of leaving work at 5:30 and thought Bravo! Many of you who are parents may be carving a similar path through entrepreneurship; did you know that Ohio ranks 8th in the country for women-owned firms? I see many working parents designing ways to lead and still be whole. I am one of them.