Chapter 8
Developing People

Stirred by pessimistic news reports, global politics, and personal concern, many high-potential leaders are debating the changing nature of work. Discussion has centered on the perceived decline in job security (the lifelong career at a benevolent company is a fading memory) and on the erosion of corporate loyalty.

It is so difficult to keep people, especially as the organizations are flattening.... If they don't see any opportunities in the short, medium, even the long term, they are going to move.^[1]

We tend to focus, understandably, on the profound impact these and other workplace changes are having on the lives of individuals. But, too often, leaders overlook the equally profound impact these changes are having on their organizations. The fact is, the "new work contract"—employees taking responsibility for their own careers and corporations providing them with career-enhancing but impermanent opportunities—can be as difficult for organizations to manage as for individuals. Many global leaders still understand little of the mechanics of developing and retaining people in turbulent times, but are under great pressure to create opportunities to retain talents.^[2]

The task of retaining high-impact performers is complicated by four less widely acknowledged trends:^[3]

1. The reduced status of working for a Fortune 500 corporation. John Kotter notes that from 1974 through 1994 Harvard Business School graduates who worked for smaller corporations tended to make more money and have higher job satisfaction than their counterparts in large corporations.^[4] In addition, many of these younger workers have seen their parents laid off by large companies. As a result, they have no loyalty to companies.^[5] A growing number of the top, young MBAs and technical specialists in America now avoid working for Fortune 500 corporations.
2. The frequent lack of connection between pay and contribution. A recent survey involving more than 2,000 managers from a wide variety of major organizations included the question, "What is the typical difference in contribution between a top performer and a below-average performer at the same pay-grade level?" The average answer was "over 100 percent." When asked, "What is the typical pay difference?" the average answer was "between 5 and 10 percent." Many managers cited cases of younger employees who were contributing more to the company than older employees but making less money.
3. The decline in the number of titled positions in the hierarchy. Restructuring has led to fewer layers of management in many corporations that now use a project-team approach rather than a hierarchical executive approach. A company that uses the project-team approach will have teams in areas such as provider services, marketing, and communications. Within each area there will be a team leader, a project manager, and subject matter experts (SMEs); however, because each position requires different expertise, a team leader of marketing will not necessarily have the skills to become a team leader in communications, and vice versa. Although there is a decline in executive positions when using the project-team approach, there is not a lack of opportunities. The difference is that promotions are based on projects rather than executive hierarchy, which is virtually eliminated as those team leaders with certain skill sets and competencies are progressively promoted into more challenging and complex projects. In addition, compensation is project-based rather than based on individual tenure. This focuses team leaders on working with teams across the organization to handle projects, issues, and people with industry and leadership expertise. (See Figure 8.1.)

   Figure 8.1. Project-team approach.

   

4. The rise in the influence of the "knowledge worker." Peter Drucker has noted the dramatically increased importance of the knowledge worker in modern organizations. Yet, we are often still unsure what that means for how we should lead. Microsoft chairman Bill Gates recently remarked that Microsoft would do "whatever it takes" to attract and retain the brightest software developers in the world. In tomorrow's world the "intellectual capital" brought in by high-knowledge employees will be a major, if not the primary, competitive advantage for many corporations. As the perceived value of key knowledge workers increases, the competition to hire these workers will intensify. While the economic shift in the early 2000s will make it easier to retain mid-level talent, it may become even more difficult to retain the top knowledge workers.

A Strategy for Developing and Retaining High-Impact Performers

The effective global leader can no longer afford to let the vagaries of the job market determine who leaves and who stays with the organization. These leaders must learn to manage human assets with the same rigor that they devote to financial assets. In our study, we involved the highest potential future leaders. Each of these employees could find another job with a pay raise with very little effort. We asked them to describe the key behaviors that leaders needed to demonstrate to keep people like them involved. The following steps, discussed in the remainder of the chapter, can help organizations keep the great leaders of the future:

1. Show respect and dignity.
2. Create a thriving environment.
3. Provide training.
4. Be a coach.
5. Provide feedback.
6. Reward and recognize others' achievements.

Show Respect and Dignity

Effective global leaders treat those around them the same way that they would like to be treated: with kindness, respect, and dignity. It is this ability to preserve the dignity of individuals and to respect their contributions that will elicit the continued loyalty of employees to both the leader and the organization.

This has implications for how leaders communicate, give feedback and instructions, and set up reward systems and incentives. Although it is possible to succeed in leading people toward a particular goal through fear and intimidation, such a leadership style will not retain or develop people.

Recently at a research and development pharmaceutical company, an executive attending a meeting became so angry that he threw an orange juice container at one of his colleagues. His inappropriate and unacceptable behavior was written up in nearly every business journal that learned of the story. Most of us read this example and know that this type of behavior is totally unacceptable. But why is it? One reason is because in today's business climate, where most decisions and projects are team-based, blaming and pointing the finger at specific individuals for problems is unacceptable.

Reserving the respect of each individual on the team is crucial if the team is to continue working together. Part of showing dignity and respect for employees also requires a leader to protect the quality of those employees.^[6] For example, if one or two people on a team aren't pulling their weight or if they speak negatively about their teammates or the company, these people should be publicly reprimanded. Although this doesn't mean they should be humiliated or demeaned, it does mean that for the sake of the team, they should be called out as a separate entity because they are not contributing or they are pulling down the team. In doing so, leaders show respect to other team members who are carrying the weight of those poorer individuals. This raises morale and self-esteem, and elicits loyalty by getting rid of dead wood and maintaining a level of quality and performance within a team that is consistent with achieving the vision and the mission.

This is different than treating people with the same respect leaders would want to be shown themselves, although that may be part of it; it's about calling into action the ability to recognize when a team is stressed and weeding out those people who are pulling the team down.

Create a Thriving Environment

In recent years many organizations have focused on those people they should get rid of rather than on those they should keep. Many downsizing "packages" give all employees with similar levels of experience the same incentive to leave. Unfortunately—for the organizations—the employees who decide to leave are often the high-impact performers who can find other work quickly.

Each employee within the company is required to have a different set of skills and knowledge if he or she is to fulfill the position satisfactorily. Each individual also has unique talents and personal career goals. Through inquiry and dialogue, effective global leaders maintain a connection with the people in their organizations and fulfill their employees' desire to grow. By asking his or her employees what training, technology, and knowledge they need to maintain and improve productivity, and what knowledge and skill sets they need to fulfill their career goals, the leader creates an environment that allows each individual to thrive.

One challenge is to retain the talent. Another challenge is to meet their personal needs. Leaders must identify the high potential people and individually coach them for their career development. Also, leaders must improve their skill set by providing the right environment to develop their talent.
In addition, leaders must attract the best talent possible and understand people's skills in order to match them with the company's needs.^[7]

It is important to create an environment in which people can lead balanced lives. As organizations continue to become more and more "virtual," accommodating employees' needs and requirements both inside and outside of work life and on the job will require flexibility and empathy on the part of the global leader.

In terms of the changing workforce, there is a change in our interpretation of the "work day." There is a more flexible work structure. We need to be able to build a network to work at home.^[8]

Provide Training

In today's rapidly changing world, training and ongoing education are necessary for the continued success of any organization. Effective global leaders put the personal development and training of their employees (and themselves) high on their priority list.

It is very important that an organization does not constrain the potential individual in his or her growth by bureaucratic rules and regulations. The organization must create and stimulate learning opportunities.^[9]

By promoting and encouraging ongoing training and development, these leaders prepare people not only to do their jobs properly, but to improve upon existing and/or outdated systems. In turn, this long-term focus leads to increased shareholder value and more motivated employees. Even though the technological advancements of the 21st century will have a profound effect on the way organizations will function, the true core of any organization will remain the employees (more complex than any electronic tool).

A global leader can best prepare a person to succeed by giving him or her experience and training in the different aspects of the company as well as in his or her specific job. Cross-training helps individuals understand the value that they bring to the company (how others rely on the role they provide) and gives opportunities for cross-fertilization of ideas between departments and across regions and countries.

Bringing individuals together to share ideas and goals is one method of cross-fertilization. In the mid-1990s, a large global pharmaceutical organization brought 200 employees and leaders from its companies around the world to corporate headquarters to be part of the development of the organization's strategic plan. Because many people did not speak English, groupware was installed with which each person communicated his or her ideas and answered specific questions about the plan. The information was aggregated at the end of each day, and a large joint meeting was held in which the answers to each question were perused and analyzed. In doing so, the team was able to eliminate strategic plan items that weren't working for the entire organization but were appropriate for a certain region, functional group, or product, thus narrowing them down to a set of 10 guiding principles upon which they agreed and committed to using to operate the implementation of the mission and vision on each regional level. This style of cooperation and sharing ideas helped make the company a global leader in its industry.

In the late 1990s a global financial institution used the MSPS (motivational needs profiling system) process with the company's CFOs to establish a strategic plan for finance. Over a six-month period, the CFOs met frequently to establish a series of strategic items for the company. The behavior profiles helped the controller (the SVP of CFOs) to understand what motivated each individual, what his or her talents were, and how he or she would best participate, so that when the group was brought together as a collective whole, he was able to leverage the diverse talents of these nearly 20 leaders from countries such as Latin America, Europe, Asia, the United Kingdom, and the United States. In this way, it was possible to bring together the best ideas and leverage the talents of this worldwide group. The end result was a huge reduction in the budget based on the elimination of functional redundancies. Each CFO became the lead of certain projects across the four continents, rather than individual CFOs having responsibility for every project in their country of residence. In this way, the company leveraged the bottom-line effectiveness of doing the same thing in each country, because there's no sense in having four people do the same thing four times!

Many organizations offer leadership training and ongoing educational and training programs. It is the job of the global leader to see that his or her employees are given the opportunity to take advantage of these growth programs.

I have had an opportunity with this company to get an executive MBA. Also, this organization has offered leadership training including a Masters Degree program in organizational psychology. This company has ongoing educational programs.^[10]

Effective global leaders provide opportunities for development and involvement. One of the world's largest consulting/accounting firms recently embarked on an original program to identify and cultivate high-potential leaders. As part of the process, young leaders engage in an "action-learning" project in which they work on real-life problems facing the firm. This gives young global leaders a fantastic developmental opportunity and gives the firm valuable input on solving real problems. It also enhances the young leaders' commitment to stay with the firm. The firm's leaders say that such a process would not have been tried just a few years ago, for fear of alienating other partners, but that today the firm has no choice but to identify, develop, and retain high-impact partners.

Action learning, which originated from Columbia University, brings executives and teams together to focus on operational issues and to diagnose the issues through a series of process decompositions and reengineering and quality techniques. The action-learning model is called action-learning reflection. For instance, instead of institutionalizing one solution set, three or four solutions are institutionalized across three or four teams, each trying to solve the problem in different ways. At the end of the test period, the turnaround time (based on the ROI) is determined, and each team delivers its action learning, which is stated in this format: "We had this problem. Our solution set involved A, B, and C. As a result, it cost us D, E, and F. We were able to produce G. In reflection, we should have done H, I, and J."

Action learning has been used for many years in quality circles, but until recently it has not been used outside production and factory manufacturing. However, it can be used for any number of concepts, including boardroom simulations. This works in the following way: An artificial company is set up. Each person is given a role in the company. A problem that needs resolution across the leadership team is set up, and each person is asked to contribute a component of the solution. Many companies have automated these simulations and use a virtual network to track the problem, the solution, and each leader's performance. After trying solutions to problems, action-learning development programs are a great way for teams to reflect on the outcomes of those solutions.

Many companies use action-learning retrospectives to analyze projects after they have been completed. This retrospective or post-mortem analysis includes cross-comparisons of both successful and failed projects, and the goal is to incorporate what works and what doesn't work into a learning program that will teach individuals what they should do and what they should avoid. This process enables people to participate in an artificial environment to learn how the process works before they do it.

Accenture has created ABC classes, which are used at its St. Charles Learning Center. Individuals in these classes participate in simulations of companies that have had problems that Accenture solved. Each class consists of four components:

1. strategy and development
2. IT planning
3. technology implementation
4. human performance component

Using these four components, how the behavior of people will be measured and how a different culture will be institutionalized is discovered. Participants from around the world gather at Accenture's learning centers in the United States, Spain, and Asia to work together in crossfunctional teams to solve client challenges and to develop creative solution sets.

Many companies now have action-reflection programs. For instance, JP Morgan developed such a program to improve its e-commerce strategy. The company set up a separate organization (or think tank) on a floor of the organization in New York, which had an e-commerce strategy team that developed and executed service offerings and products. To maximize learning and to prevent burnout, executives were rotated every three months through the intense, 24-hour-a-day, 7-day-a-week program. This program brought the best thinking in the company into one place and also stressed a global, 24/7 working environment.

Be a Coach

As organizations move from the factory model to the service model, from hierarchies and command-and-control organizations to flatter organizations, there is a major social shift that is moving power from a small number of large organizations to many individual people. One of the big challenges in organizational change over the last decades has been that people were left to their own devices to figure out where they fit in change. By working at the individual level, effective global leaders tap the potency and the power of the coaching approach to organizational change.

They will need to step out of "command-and-control leadership" to become more of a facilitator, coach, and mentor to the people who are involved in an organization that is continually changing.^[11]

Coaching gives individuals roles: It gives them a framework for dialogue (an agenda) that is directed toward the development of the individual and the results of the business. In doing so, it humanizes the organization.

You need to establish ground rules that will be the guidelines for effective and constructive disagreement. You need to coach others to appreciate the other's perspective in a team environment.^[12]

Coaching can be the key to developing healthy working relationships, because central to coaching is the idea of surfacing and addressing issues and solving problems, which in turn will remove the obstacles to getting business results.

Coaching helps people align their behavior with the values and vision of the organization. By helping people understand how they are perceived as being out of alignment, and then putting these individuals back in alignment, one person at a time, coaching has more impact than organizational data that simply states the problem.

One recent successful example happened when a new sales representative came to our region from the home office. Since he had performed well in his previous job, he was not given any training in his new job in our region. We identified that this was a problem, and we found out what his needs were.
Then we provided coaching and mentoring to help him overcome his weaknesses and grow in his self-esteem. Two managers worked together to develop this person and achieve success.
An example of a failure happened with a management team I led in another area. One non-achiever had not received adequate training. The management team failed to provide coaching and goal-setting. By the time I stepped in, it was too late and we lost this employee after one year.^[13]

By becoming effective coaches, global leaders become more credible and thus can be more active as agents of change. As coaches, global leaders help people develop an essential habit for personal or organizational success—follow through. By measuring others on the behaviors and attributes that are valued in the company, the leader cements the bonds of leadership with his or her constituents.

Provide feedback

As leadership and other functions change and combine within organizations at all levels, role management and career/life management grow in importance. Through periodic developmental feedback, the global leader can help individuals actively manage their careers and their personal lives.

At most companies, the norm is to give each employee an annual review, during which time the individual is given feedback against the goals set at the previous annual feedback session. However, global leaders of the future will provide more than once-a-year, professional-level feedback. New generation leaders will also provide feedback and coaching on a personal level. For instance, an individual may want assistance in a certain area, such as developing networks, being a mentor or protégé, or handling life/family balance; leaders will provide opportunities for these types of help as well. In this way, "providing feedback" is not simply annual or even semiannual performance-measure feedback—it becomes a continual process that will come in the forms of mentoring relationships, support groups, action groups, and/or individual mentoring.

Leaders of the future will understand not only the need for periodic developmental feedback, but also the importance of creating infrastructures to support the growth of individuals on a personal level, which is instrumental in retaining talent and creating employee loyalty.

Effective global leaders regularly monitor individuals' progress, listen to their feedback and ideas, and then give timely and constructive feedback in both formal and informal ways.

Many times a leader may have great technical skills, but because there is no personal relationship, the employee will leave the company. Leaders often look at the bottom line and do not develop the person.^[14]

In today's fast-changing and complex global environment, global leaders should also work to develop and maintain a competent, well-staffed human resources department to train, monitor, and support individuals and teams at all levels within the organization.

Younger workers are hungry to succeed, and they job hunt a lot because of a lack of a career path. There is a big cost for losing employees, so companies need to provide a career path for them.^[15]

Individuals within the company can grow and develop with the help of both personnel managers within the human resources department for their tactical and administrative needs and professional coaches and senior mentors—including direct supervisors—for their strategic, long-term needs.

They must be able to provide a solid career path for people who show promise. If you can't do that, then you will get good talented workers who will be frustrated because they can't move up within your organization.^[16]

Reward and Recognize Others' Achievements

Although compensation is an important factor for retaining high-impact performers, several studies indicate that it is currently not the most important factor. Typically, the chief reasons great people leave major organizations are lack of recognition, lack of involvement, and poor management. The CEO of a leading telecommunications company recently embarked on an innovative approach. Division-level executives provide a quarterly report on high-impact performers who should be recognized. The CEO calls these individuals personally, thanks them for their contributions, and asks for their input on how the corporation can increase effectiveness. The CEO believes this process not only helps retain key talent, but also generates great ideas for continuous improvement.

There must be motivation through nontraditional means, because people are no longer tied to a company and are much more willing to leave for a better opportunity. Nontraditional means include intellectual stimulation, ownership of projects, making the work environment pleasurable, minimizing bureaucracy and "Dilbert" problems, and rewarding and recognizing people. Some of these may not be nontraditional, but they are not promotion and not money.^[17]

Amazing as it may seem, many high-impact performers who are asked why they've left an organization report, "No one ever asked me to stay!" Many organizations have deliberately not told high-impact performers that they were special in any way for fear of alienating others. In the future it will become increasingly easy to retain "average" performers and increasingly difficult to retain high-impact performers.

Most of my colleagues are males, and they are not interested in the emotions or feelings of others. However, I value it. I think it is important to understand how to relate to people. But the people I report to don't do this. My bosses don't care how I feel. Nevertheless, I believe it is important to make sure that employees are getting the recognition and visibility they need.^[18]

Effective global leaders will challenge the compensation plan, because organizations unwilling to make performance rather than mere seniority the key driver of pay will face an increasing challenge in keeping top talent, especially young talent. One Fortune 500 industrial company recently refused to implement a variable, performance-based compensation plan because half the employees felt uncomfortable with the concept. However, the corporation neglected to measure which half felt uncomfortable "with more differentiated pay." High-impact performers of the future will be able to demand and receive substantially more pay than their lower performing peers. A "socialistic" compensation plan combined with lowered potential for promotion leads to an "average" workforce.

The great challenge is for an organization to allow its high-potential people to advance quickly in terms of scope of responsibility and/or earnings, or get into the game of bringing the free agents in at the appropriate time.... Right now, performance is based on compensation plans—not based on competency.^[19]

In addition, as each individual's skill sets, talents, and personal and professional goals differ, so does his or her need for recognition. Effective global leaders strive to understand and appreciate the different personalities, needs, and goals of the individuals on their teams, as well as how they would like to be rewarded and recognized for their efforts. Money and benefits are important, but there are many other ways to reward people, such as more challenging projects, flexible schedules, and travel opportunities. Not everyone wants to be spotlighted as a star and given an award in front of the rest of the company. Not everyone wants a quiet commendation from the senior executive team. Not everyone wants to be singled out; some people would rather their team be highlighted as having achieved a goal. Some people want to be known as an expert. In crosscultural organizations, there are as many differences as there are people, so it's important for leaders to have a general idea with whom they are dealing in order to reward and recognize them appropriately. Putting in place a reward system that singularizes everyone into one mold will create problems and may possibly cause people to leave the company because they feel uncomfortable or poorly treated.

For example, in Asian companies followers find leaders. People do not follow just because they are told they have a new leader; the position of leadership with willing followers must be earned. In countries that have a degree of Communism, like the emerging markets of the Czech Republic, Hungary, and Poland, individuals are often not comfortable with small teams of collaborators and/or contributors. People associated with a small select group or an elite team are likely to be associated with malevolent leaders of the Communist era.

From these examples, it is evident that leaders must understand how to reward people appropriately and must learn to determine the attention and visibility that each team or individual requires. This can be difficult to evaluate, especially across global organizations. In such instances, if people can contribute ideas on how best to reward people in each local market, leaders will have a far better foundation upon which to base reward and recognition systems across the organization.

Conclusion

Every successful global leader understands that highly committed, highly competent people create financial rewards. An organization's investment in its people creates this commitment and competence. Developing individuals both personally and professionally helps companies retain their high-impact people, and it has been established that an intricate and powerful relationship exists between customer satisfaction, customer loyalty, and employee development. Developing people is a strategic process that adds value both to the employees and to the bottom line of the organization.

In the past when a high-impact performer in a major corporation was offered a position at another company, the employee was likely to say no. Most managerial and professional jobs offered good pay, job security, promotion potential, and status. Today the high-impact employee is much more likely to say yes. To retain such talent in the future, organizations must take decisive actions toward developing their people, because only those organizations able to create a dynamic new human resource model will retain the high-knowledge talent needed to succeed in tomorrow's globally competitive environment.

Resource Section: Developing People

ITEM 29: Consistently Treats People with Respect and Dignity

WHAT TO DO

• Demonstrate that you respect people as individuals.
• Establish an organizational climate that is respectful and fair, and that values diversity.
• Create a supportive environment towards people.
• Interact with others in a supportive manner that sustains their dignity.
• Learn more about how others wish to be treated, communicate one-on-one often, and use other means to develop rapport.
• Express positive feelings, ideas, or comments to people.
• Ensure that communication with people is respectful, appropriate, and timed appropriately.
• Listen and respond with empathy.
• Never treat someone in a way that you would not want to be treated.
• Manage people, not personalities.
• Respect different opinions.
• Never critique people—critique ideas.

HOW TO DO IT

• Make a list of key ways to treat others respectfully, and use it to guide your behavior.
• On a weekly basis, check your behavior towards others against your list of key ways to treat others respectfully; note any gaps and make changes.
• Help yourself focus by asking, How do I wish to be treated?
• In conversation, listen attentively, make good eye contact, use positive body language, and use the person's name.
• Avoid directing hostile feelings, comments, or actions toward people.
• Listen and respond empathetically. Watch for others' nonverbal behavior that may indicate their feelings.
• Never participate in negative labeling or name-calling of people or groups; do not engage in back-stabbing.
• In conflict situations, strive to remain neutral, use a moderate voice, and avoid being hostile.
• Tell a peer you want to improve in this area and ask for his or her support and suggestions.
• Implement the "$2 rule" with your work group for badmouthing others (people, departments, or groups).
• Ask your manager and employees for constructive feedback.

HOW TO USE THIS SKILL FURTHER

• Ask your spouse or significant other for feedback on what you could be doing better.
• View management videos about how to treat people respectfully.
• Read a self-help book on this topic, and take action on what you read.

RESULTS YOU CAN EXPECT

• Fewer people problems may come up.
• Others in the organization may request to work with you and your group.
• You may earn a reputation for being a good people manager.

READINGS

• Catching Success: Fishing, Leadership, and Relationships. Dewey E. Johnson. 2001. Catching Success Press: Fresno, CA, ISBN 970519265.
• Executive EQ: Emotional Intelligence and Leadership in Organizations. Robert C. Cooper & Ayman Sawaf. 1997. Grosset-Putnam: New York, ISBN 0399142940.
• How to Win Friends & Influence People. Dale Carnegie, Dorothy Carnegie, & Arthur R. Pell. 1998. Pocket Books: New York, ISBN 0671027034.
• Love 'Em or Lose 'Em: Getting Good People to Stay. Beverly L. Kaye & Sharon Jordan-Evans. 1999. Berrett-Koehler: San Francisco, ISBN 1576750736.
• Nuts!: Southwest Airlines' Crazy Recipe for Business and Personal Success. Kevin Freiberg, Jackie Freiberg, & Tom Peters. 1998. Bantam Doubleday Dell: New York, ISBN 767901843.
• Say Please, Say Thank You: The Respect We Owe One Another. Donald W. McCullough. 1999. Perigee: New York, ISBN 0399525386.
• Working With Emotional Intelligence. Daniel P. Goleman. 2000. Bantam Doubleday Dell: New York, ISBN 553378589.

ITEM 30: Asks People What They Need to Do Their Work Better

WHAT TO DO

• Ensure that you are accessible to your people, and invite them to share their work needs.
• Have patience; probe on familiar or "safe" topics to get reticent people to open up on underlying needs.
• Make time and take time to ask questions; stop doing other things, and listen!
• Be empathetic, supportive, and helpful when people share their needs with you.
• Have confidence; just ask!
• Follow up on any commitments you make to people about what you have discussed.
• Beware of your preconceived ideas about what others' needs are.
• Create an atmosphere that encourages people's questions and contrasting ideas.

HOW TO DO IT

• Questions about employees' work needs should begin with who, what, where, or when. Use open-ended questions to gain maximum information.
• Ask people, "What would it look like, how would you work better, if you had these needs met?" Listen carefully and make notes on what you hear.
• Regularly review associates' projects with them, and make notes of issues that they have asked you for help.
• Act on items you said you would act on to build credibility and encourage people to come to you with their needs.
• Avoid making any commitments that you can't keep.
• If someone's needs concern you or your management style, refrain from "building your defense." Focus on what he or she is asking about or for.
• To guard against preconceptions, remind yourself that your own needs cannot be second guessed; so do not tell people their needs before you hear them out.
• To ensure understanding of people's needs, summarize the conversation and stay open to input.
• Hold regular follow-up sessions with people to provide status or answers regarding the needs they identified when you asked.
• Observe peers and senior managers who are approached by others who share their concerns; make note of how they behave, and decide how you will adopt some of those behaviors.
• Promote the idea of "white space," where people can have some time to strategize, think, or plan, and do not have to attend meetings or work on "today's deadline." White space is often when the best ideas arise.

HOW TO USE THIS SKILL FURTHER

• With family or close friends, make a list of your assessment of their needs on some familiar topics, share it with them, and ask for their feedback.
• Practice with your spouse or significant others.

RESULTS YOU CAN EXPECT

• People may come to you more often and tell you what their needs are in order to do their best work.
• People may comment on or express appreciation for the way you listen and understand their needs.
• Projects and jobs may get done more effectively and on a more timely basis!

READINGS

• A Practical Guide to Needs Assessment. Kavita Gupta. 1998. Pfeiffer & Co.: New York, ISBN 0787939889.
• Coaching for Improved Work Performance. Ferdinand F. Fournies,. 1999. McGraw-Hill: New York, ISBN 0071352937.
• Employee Surveys That Make a Difference: Using Customized Feedback Tools to Transform Your Organization. Joe Folkman & Jack Zenger. 1999. Executive Excellence: Provo, UT, ISBN 1890009431.
• First, Break All the Rules: What the World's Greatest Managers Do Differently. Marcus Buckingham & Curt Coffman. 1999. Simon & Schuster: London, ISBN 684852861.
• Listening and Helping in the Workplace: A Guide for Managers, Supervisors and Colleagues Who Need to Use Counseling Skills. Frank Parkinson. 1995. Souvenir Press: London, ISBN 0285632426.
• On Becoming a Servant-Leader. Robert K. Greenleaf, Don T. Frick, & Larry C. Spears. 1996. Jossey-Bass: San Francisco, ISBN 0787902306.
• The Gains of Listening: Perspectives on Counseling at Work. Colin Feltham. 1997. Taylor & Francis: London, ISBN 0335192815.
• The Handbook of Coaching: A Comprehensive Resource Guide for Managers, Executives, Consultants, and HR. Frederic M. Hudson. 1999. Jossey-Bass: San Francisco, ISBN 787947954.
• The Intelligent Organization: Engaging the Talent & Initiative of Everyone in the Workplace. Gifford Pinchot & Elizabeth Pinchot. 1996. Berrett-Koehler: San Francisco, ISBN 1881052982.

ITEM 31: Ensures that People Receive the Training They Need to Succeed

WHAT TO DO

• Realize that the best development opportunities often occur on the job.
• Be sure that employees have the skills needed to do their best work. If not, provide them with the necessary training.
• Ask employees if they need additional training to accomplish the assigned project.
• Provide adequate orientation to new employees. Conduct an orientation training program for them that takes minimum time to administer, yet effectively integrates them into your organization.
• Identify and clearly communicate the purpose, goals, and expected results of the training for your employees.
• Involve your employees in deciding their training needs, and identify possible programs or seminars for them.

HOW TO DO IT

• If you are not always available, assign a mentor within your organization to assist new employees. Make sure the experienced employees understand their responsibility.
• Ask the mentors for feedback on the new employees in order for you to determine the additional training needs.
• Encourage employees to ask questions and express their concerns.
• Discuss specific training needs and programs with your employees to increase their interest and willingness to participate and learn.
• Ask your employees to make a presentation to their peers about what they learned from the training.
• Give developmental feedback to your employees on how they apply the new skills on the job.
• Study existing training materials at your organization to determine what you could use for your people.
• Discuss techniques with managers who excel at training and developing people.

HOW TO USE THIS SKILL FURTHER

• Assign people to leading-edge projects.
• View videotapes or read books about effective quality management.
• Practice with your spouse or significant others.

RESULTS YOU CAN EXPECT

• The productivity of your organization may increase.
• Employees may comment on or express appreciation for the way you listen and provide support on their developmental needs.

READINGS

• Building Leaders: How Successful Companies Develop the Next Generation. Jay Alden Conger & Beth Benjamin. 1999. Jossey-Bass: San Francisco, ISBN 787944696.
• Coaching for Leadership: How the World's Greatest Coaches Help Leaders Learn. Marshall Goldsmith, Laurence Lyons, & Alyssa Freas. 2000. Jossey-Bass: San Francisco, ISBN 787955175.
• Distance Training: How Innovative Organizations Are Using Technology to Maximize Learning and Meet Business Objectives. Deborah A. Schreiber & Zane L. Berge. 1998. Jossey-Bass: San Francisco, ISBN 0787943134.
• Effective Training Strategies: A Comprehensive Guide to Maximizing Learning in Organizations. James R. Davis & Adelaide B. Davis. 1998. Berrett-Koehler: San Francisco, ISBN 157675037X.
• Executive Development and Organizational Learning for Global Business. J. Bernard Keys & Robert M. Fulmer. 1998. Haworth: Binghamton, NY, ISBN 0789004798.
• Living Strategy: Putting People at the Heart of Corporate Purpose. Lynda Gratton. 2000. Financial Times Prentice Hall: New York. ISBN: 0273650157.
• Personal Coaching for Results: How to Mentor and Inspire Others to Amazing Growth. Louis E. Tice & Joyce Quick. 1997. Thomas Nelson: Nashville, TN, ISBN 785273557.
• Structured On-The-Job Training. Ronald L. Jacobs & Michael J. Jones. 1995. Berrett-Koehler: San Francisco, ISBN 1881052206.
• The Leadership Investment: How the World's Best Organizations Gain Strategic Advantage Through Leadership Development. Robert M. Fulmer & Marshall Goldsmith. 2000. AMACOM, New York, ISBN 814405584.

ITEM 32: Provides Effective Coaching

WHAT TO DO

• Recognize that coaching and guidance are communication skills aimed at motivating members of your work group to put forth their best effort to achieve results.
• Recognize that effective coaching requires the leader to understand before he or she tries to be understood.
• Expect the best of people.
• Review performance of subordinates on a regular basis to determine the need for coaching support.
• Recognize that a good coach is a good listener, learner, and teacher.
• Provide support whenever needed, and monitor progress routinely to ensure that everything is going smoothly.
• Use encouragement and motivation techniques rather than punishment and threats.
• Let employees know that you have a personal stake in their success and well-being.
• Recognize that even a winning team needs to be coached.
• Be aware of the overall team picture, and be sensitive to diversity in your work group that can affect communication.
• Develop your skills in supporting others, creating choices, setting commitment, and encouraging openness.
• Achieve a balance between being supportive and being firm about what is expected.
• Focus on behavior that requires change, not on the person.
• Agree on a plan and follow up with performance feedback.
• Establish clear expectations for performance.

HOW TO DO IT

• Practice your skills in observing performance in order to spot opportunities for performance improvement.
• Set up a coaching session to discuss one or two issues at a time. Schedule the meeting at a time and place convenient for the individual or team.
• Assess the situation by asking questions rather than by making statements.
• Present your comments with warmth, optimism, and open-mindedness.
• Get input for an action plan and timeline from the team or person you are coaching.
• Agree on a plan that includes follow-up steps for each of you.
• Praise improvements. Celebrate successes one-on-one or in groups.
• Provide more coaching if the desired results are not produced.
• Give performance feedback in a supportive manner.
• Take the initiative with your manager or a peer and ask her or him to coach you on a problem you are experiencing.
• Analyze the coaching session, and ask yourself what went well and what could have been improved.
• Ask your manager or coach to give you regular developmental performance feedback.

HOW TO USE THIS SKILL FURTHER

• Expand your use of coaching skills "up and out" (beyond your own work group) when opportunities arise.
• Think of a time when someone tried to help you improve a skill. Were you successful? Did the coaching you received make a difference? If not, what do you think was missing? What would have helped?
• Observe an associate or a friend to spot an opportunity for improvement. Tell the person you would like to practice your coaching skills, and ask for feedback during the meeting. (Agree on identifying a problem, discuss possible solutions, and reach agreement on an action plan.)
• Help yourself become an effective coach by asking, How do I prefer performance feedback to be given?"

RESULTS YOU CAN EXPECT

• People in your group may be more enthusiastic about your leadership and express this by initiating contact with you to get coaching and guidance.
• People in your work group may feel more supported, and you may be able to measure positive results in quality and productivity.
• Employees may be more interested in skill development and taking on new assignments.
• Employees may compliment you on how you help them with their performance issues.
• There may be an absence of surprises or "rude awakenings" when employees receive corrective performance feedback.
• Employees' performance may noticeably improve, because they have the information they need, when they need it, in order to make changes in their performance.

READINGS

• Coaching for Leadership: How the World's Greatest Coaches Help Leaders Learn. Marshall Goldsmith, Laurence Lyons & Alyssa Freas. 2000. Jossey-Bass: San Francisco, ISBN 787955175.
• Personal Coaching for Results: How to Mentor and Inspire Others to Amazing Growth. Louis E. Tice & Joyce Quick. 1997. Thomas Nelson: Nashville, TN, ISBN 785273557.
• Structured On-The-Job Training. Ronald L. Jacobs & Michael J. Jones. 1995. Berrett-Koehler: San Francisco, ISBN 1881052206.
• The Handbook of Coaching: A Comprehensive Resource Guide for Managers, Executives, Consultants, and HR. Frederic M. Hudson. 1999. Jossey-Bass: San Francisco, ISBN 787947954.
• The Heart of Coaching: Using Transformational Coaching to Create a High-Performance Culture. Thomas G. Crane. 1998. F T A Press: San Diego, CA, ISBN 966087402.
• Up Is Not the Only Way: A Guide to Developing Workforce Talent. Beverly L. Kaye. 1997. Consulting Psychologists Press: Palo Alto, CA, ISBN 891060995.

ITEM 33: Provides Developmental Feedback in a Timely Manner

WHAT TO DO

• Create a developmental climate.
• Demonstrate your belief that employees can do their best.
• Acknowledge employees' accomplishments or performance improvements as well as existing strengths.
• Learn about the different types of feedback, assess which types individual employees prefer, and apply the corresponding techniques.
• Anticipate the consequences of withholding performance feedback.
• Determine the best time to give performance feedback.
• Ensure that feedback is accurate and balanced as well as timely.
• Focus on behavior that requires change, not on the person.
• Avoid mixing emotional responses or personality observations with developmental performance feedback.
• Establish clear expectations for performance. At the time work is assigned, let people know what results you expect as they complete the work.
• Dispense recognition for outstanding performance immediately after the performance.
• Celebrate successes one-on-one or in groups.

HOW TO DO IT

• When assigning work to employees, agree on a plan and follow up with performance feedback.
• Observe employee's performance in order to spot opportunities for performance improvement.
• Make time in your schedule to give performance feedback. Make sure you and the employee have time to listen and focus during feedback.
• Give performance feedback in a supportive manner.
• Conduct regular sessions for performance feedback.
• Anchor your feedback by referring to previously established, clear performance standards.
• Hold regular debriefing sessions after key tasks or projects are completed. Ask employees what went well and what they would do differently next time.
• Create a development climate by rewarding and recognizing those who take on developmental tasks or projects.
• Practice a supportive feedback approach by criticizing in private, recognizing in public, using techniques that maintain the person's self-esteem, and planning sufficient time for feedback and discussion.
• Get employees to take stock of their performance by reflecting on how they are performing, explaining how you believe they are succeeding, and identifying what they will commit to do to improving.
• Ask associates to assess their own strengths and development needs. Have them write a plan to work on the areas of development. Take time to discuss the plan with them.
• Take the time to describe what was done well and why it was important.
• Ask employees how they would like to get feedback. Make notes and retain for reference.
• Take a course to learn about the different motivators of people and how to use them to manage performance.
• Encourage people to ask for help and feedback.
• Ask your manager to give you regular performance feedback.
• Make providing feedback, both positive and negative, part of your daily "To Do" list.

HOW TO USE THIS SKILL FURTHER

• Help yourself focus by asking, How do I prefer performance feedback to be given?
• Practice giving feedback with your children and family and ask them how you are doing.

RESULTS YOU CAN EXPECT

• There may be an absence of surprises or "rude awakenings" when employees receive corrective performance feedback.
• Employees' performance may noticeably improve, because they have the information they need, when they need it, in order to make changes in their performance.

READINGS

• 360 Degree Feedback: The Powerful New Model for Employee Assessment & Performance Improvement. Mark R. Edwards & Ann J. Ewen. 1996. AMACOM: New York, ISBN 814403263.
• Difficult Conversations: How to Discuss What Matters Most. Douglas Stone, Bruce Patton, Sheila Heen, & Roger Fisher. 2000. Penguin USA: New York, ISBN 014028852X.
• Encouraging the Heart: A Leader's Guide to Rewarding and Recognizing Others. James M. Kouzes & Barry Z. Posner. 1999. Jossey-Bass: San Francisco, ISBN 787941840.
• Make Success Measurable!: A Mindbook-Workbook for Setting Goals and Taking Action. Douglas K. Smith. 1999. John Wiley & Sons: New York, ISBN 471295590.
• Management of Organizational Behavior: Leading Human Resources. Paul Hersey, Kenneth H. Blanchard, & Dewey E. Johnson. 2000. Prentice Hall: Upper Saddle River, NJ, ISBN 130175986.
• Structured On-The-Job Training. Ronald L. Jacobs & Michael J. Jones. 1995. Berrett-Koehler: San Francisco, ISBN 1881052206.
• Turning Feedback into Change: 31 Principles for Managing Personal Development Through Feedback. Joe Folkman & Gene Dalton. 1996. Executive Excellence: Provo, UT, ISBN 963491725.

ITEM 34: Provides Effective Recognition for Others' Achievements

WHAT TO DO

• Communicate clear performance standards and expectations.
• Find out the values and motivators of each employee, and reward accordingly.
• Provide timely positive feedback. Be specific.
• Reward individual and team achievements.
• Celebrate success with your work group.
• Make it your priority to recognize employees' performance regularly.
• Catch someone doing something right.

HOW TO DO IT

• Interview your workers and ask questions regarding values and motivators toward goal-directed behavior.
• Tell workers what was done well and why it was important.
• Give positive feedback and relate it specifically to the action or behavior at target points of task completion.
• Be cheerful and enthusiastic about the success of others.
• Use one-on-one communication, staff meetings, performance appraisals, and merit increase recommendations as tools to recognize achievement of quality and productivity goals.
• Promote high performers.
• Make sure responsibility and accountability are clearly assigned and communicated.
• Review progress with teams or individuals on a regular basis.
• Discuss techniques with managers who excel at rewarding and recognizing people.
• When you have identified individuals who are high performers, sit in on their meetings or meet one-on-one to listen to their ideas and get their input.
• Delegate more responsibility to high performers.

HOW TO USE THIS SKILL FURTHER

• Gather ideas for ways to provide recognition by thinking about your own most successful accomplishment. What made it feel good to you? What kind of recognition did you get?
• Ask people whom you respect these same questions.

RESULTS YOU CAN EXPECT

• More top priority items may be completed on time.
• Your workers may be less frustrated.
• You may notice more energy, productivity gains, and higher quality performance in your organization.
• Your organization may be known as a "good place to work."

READINGS

• Encouraging the Heart: A Leader's Guide to Rewarding and Recognizing Others. James M. Kouzes & Barry Z. Posner. 1999. Jossey-Bass: San Francisco, ISBN 787941840.
• First, Break All the Rules: What the World's Greatest Managers Do Differently. Marcus Buckingham & Curt Coffman. 1999. Simon & Schuster: London, ISBN 684852861.
• Leader to Leader. Frances Hesselbein & Paul M. Cohen. 1999, Jossey-Bass: San Francisco, ISBN 0787947261.
• Love 'Em or Lose 'Em: Getting Good People to Stay. Beverly L. Kaye & Sharon Jordan-Evans. 1999. Berrett-Koehler: San Francisco, ISBN 1576750736.
• Managing with Carrots: Using Recognition to Attract and Retain the Best People. Chester Elton & Adrian Robert Gostick. 2001. Gibbs Smith Publisher: Layton, UT, ISBN 1586850776.
• Why We Do What We Do: Understanding Self-Motivation. Edward L. Deci & Richard Flaste. 1996. Penguin USA: New York, ISBN 0140255265.
• You Made My Day: Creating Coworker Recognition and Relationships. Janis Allen & Michael McCarthy. 2000. Lebhar-Friedman Books: New York, ISBN 0867307870.

Endnotes

1. Healthcare, Philippines, 36.

2. Investments, United States, 27.

3. Information adapted from "Retaining High Impact Performers" by Marshall Goldsmith. Leader to Leader, No. 1, Summer 1996. Published jointly by the Drucker Foundation and Jossey-Bass.

4. Kotter, J. The New Rules: Eight Business Breakthroughs to Career Success in the 21st Century. Free Press: New York. 1997.

5. Telecommunications, United States, 35.

6. Larson, Carl E., & Frank M. J. LaFasto. TeamWork: What Must Go Right/What Can Go Wrong. Newbury Park, CA: Sage Publications, 1989.

7. Technology, Japan, 41.

8. Government, Canada, 34.

9. Technology, Taiwan, 23.

10. Products and services, United States, 42.

11. Products and services, United States, 35.

12. Technology, United States, 34.

13. Products and services, United States, 41.

14. Products and services, United States, 41.

15. Technology, United States, 28.

16. Telecommunications, United States, 32.

17. Technology, United States, 32.

18. Healthcare, United States, 33.

19. Technology, United States, 45.