Chapter 1. The Making of an Agile Leader

Adapting a digital mindset is a must to stay competitive and embracing agility (the ability to rapidly respond to change) is no longer a choice for companies that want to survive and thrive. They must develop a digital mindset, become acutely focused on creating and delivering customer value, and address the crisis in leadership and its inability to effectively engage a new type of workforce.

A recent study done by Altimeter, a global digital research company, found that many companies exhibit low digital literacy. They remain complacent and still aren’t investing in digital strategies, initiatives, and operating models; restraining their ability to be innovative and responsive,1 despite the fact that customers have embraced Internet of Things (IoT) products for more than 10 years now. The Altimeter survey also found that digital transformation lacks leadership and purpose, and that only 40% of companies operated with an executive-mandated steering committee responsible for digital transformation.2 Embracing new ways of working and accepting the fact that nothing is constant but change itself must become the new normal. Acutely focusing leaders on the task of building and leading organizations that identify, create, and deliver products and services that are considered valuable for both the customer and company alike.

Many companies are still intensely focused on cutting costs, instead of identifying their company’s mission, vision, and value proposition. Despite the success of companies like Facebook and Amazon that lost millions of dollars in their early years, because they iteratively and incrementally built their companies with the customer in mind. First and foremost, Mark Zuckerberg (founder of Facebook) and Jeff Bezos (founder of Amazon) focused on filling the wants, needs, and desires of this new customer. The revenue and profits eventually followed, building thriving businesses admired the world over. The mantra of this new generation of leaders has become “Build products and services that customers find useful and valuable. and the profits will eventually follow.”

However, not every company is a Facebook or Amazon, but focusing on customer value and motivating a company’s workforce so that employees are focused on delivering it requires a new form of leadership. Unfortunately, many corporate cultures are risk-averse, and leaders just don’t feel a sense of urgency to change the way they work, manage, and compete in today’s marketplace. The net impact is a crisis in leadership, resulting in low digital literacy, failed digital transformations, and a disengaged workforce.

The main obstacles being encountered include politics, egos, and fear. Unfortunately, many of today’s leaders lack the vision to confront these obstacles and the skills to make and sustain lasting change. A new way of working and a new form of leadership is necessary to harness the creativity of a new generation entering the workforce to spur innovation. The companies that embrace agility and develop new leaders that serve the greater good of the organization will survive and thrive in the long run. Those that don’t are destined to perish.

The landscape of the workplace is also changing. A new workforce is emerging as Millennials, the generation born between 1982 and 2004, seek a completely different work experience than the generations that have gone before them.3 According to Daniel Pink in his book, Drive,4 this new workforce values autonomy, mastery, and purpose. They seek transparency; being trusted, valued, and respected; having a voice; and making a difference when it comes to their work.

Unlike the generations before them, Millennials also want to be engaged instead of merely taking orders. They don’t buy into or work well within heavy command-and-control environments. These old ways will not work with this new generation. They are also social and socially conscientious, and want to work in teams and collaborate with one another, as well as work on products that are socially responsible. The way to motivate Millennials is to give them a cause or a problem, with very few limitations and barriers to slow them down. Then let them go at it, giving them purpose, allowing them to develop mastery, and permitting them to work autonomously.

Agile Is the Answer

So, how do companies develop a customer-focused digital mindset, engage this new workforce, successfully transform to these new ways of working, and address the crisis in leadership? The answer…by adopting Agile. It consists of a set of values, principles, and methods that offer companies a way to rapidly respond to both internal and external changing conditions, in order to gain or maintain competitive advantage and deliver value to both customers and stakeholders. In a world of rapidly changing requirements, that means that companies can respond quickly to both threats and opportunities.

In this second wave of disruption, characterized by a rapid rate of change, Agile methods offer a better way of working. Being Agile inherently means a company is nimble and responsive. The days where a company had the luxury of spending months and even years developing products and services is over. Months, weeks, and even days is now the cycle time from conception to market release required before the competitive advantage disappears. First to market is still king and market share is everything. That has not changed!

The Agile Manifesto and Principles

Agile answers this call to action. It offers a set of core values and principles that appeal to this new generation of workers, as well as iterative and incremental ways of working that allow companies to quickly respond to change. However, in many ways, Agile is misunderstood and many times misinterpreted. Overall, Agile is a mindset. It came into being in 2001, when 17 developers came together to discuss the state of the software industry at that time. The Agile Manifesto consists of the following four tenets:

  • Individuals and interactions over process and tools
  • Working software over comprehensive documentation
  • Customer collaboration over contract negation
  • Responding to change over following a plan

While we value the things on the right, we value the things on the left more.5

By developing and committing to the things on the left, they wanted the world to know their highest priority was to satisfy the customer, by building and delivering working software (or products) by:

  • Working in short increments and delivering products in an iterative manner, instead of taking months and years to develop something based on a waterfall project plan

  • Collaborating directly with the customer, in a face-to-face manner to understand their requirements, instead of being thrown documentation over a wall, within a siloed organization

  • Working in self-organized teams at a sustainable and consistent work pace, instead of having to answer to a project manager that was “supposed” to direct their work and push them when the teams fell behind this “arbitrary” schedule

  • Practicing agility through technical excellence, good design, and simplicity instead of wasting time on producing mounds of unwanted documentation

  • Learning and taking time to reflect, inspect, and adjust, instead of being rushed into the next phase of a project, without any time to learn and grow

They weren’t saying, however, that the things mentioned on the right, like contracts, documentation, and plans weren’t important, they were merely looking for balance. They were focusing on collaboration, transparency, trust, and respect within the software development process, ensuring that everyone was working together toward a common goal, instead of being at odds. So, they penned the Agile Manifesto and went on to develop its accompanying 12 Principles of Agile Development as a battle cry to stick up for their rights from the development side. Their goal was to change the mindset and business climate, because Agile isn’t something you do, it is a state of being. It is a philosophy; a way of living. When you truly embrace its core values and principles, you are committing to a major shift in your behavior and thought processes. And you can formally commit to its tenets by signing it at the Manifesto for Agile Software Development page.

“Doing” versus “being” Agile

Many very large, established companies have struggled to pivot to an Agile mindset, because they mostly focus on the wrong thing: “doing” Agile. That is, focusing on the methods, instead of truly understanding the mindset shift that must happen. They are either unwilling or unable to fully embrace the cultural, organizational, and political changes that must occur when it comes to “being” Agile. Or, in other words, embracing its core values and principles.

The truth is that smaller and more nimble organizations are out-competing more established companies. The rise of startups over the last two decades and recent breakthrough success stories from companies such as Facebook, Zappos, Airbnb, and Spotify has ushered in a second wave of disruptive innovation. This new wave is characterized by embracing and focusing on putting the customer at the front of the development process to develop and deliver customer-defined value.

Agile delivers customer value

With so many options available today, products and services must be developed with customer value in mind. Customers are more demanding than ever, expecting exciting new products and services to be introduced to the market on a regular basis. Development efforts must be value-based and offer today’s customer something they want, fill a need, or satisfy a desire. There are way too many alternatives out there nowadays, and companies must produce value-based products and services to survive in the keenly competitive markets that exist today.

Also, Agile organizations understand and employ the concept of a minimum-viable product (MVP)—that is, one with just enough features to release out to the market so that customers find value in it. Once the product is released, companies can understand customer preferences, behaviors, and desires in real time, which minimizes risk and ensures they are working on the “right stuff.” By employing these fast feedback loops and learning cycles, Agile methods offer effective ways to continue to evolve their products with the customer in mind, resulting in higher customer satisfaction. By incorporating these learnings back into the development cycle, the company validates that it is developing the right products and services.

Agile supports revenue-based thinking

Many companies have stayed afloat during the 21st century by reducing costs. However, there comes a time when there is nothing more to cut, and revenue generation becomes a must. This shift is going to be hard for many, but doing so may mean the difference between remaining a going concern versus perishing alongside some of the biggest and most well-known companies in the world, such as Eastman Kodak, Blockbuster, Nokia, and Borders.6 Each a giant in their own industry at one time, all are now defunct. Shifting customer demand and not keeping up with the changing times resulted in the death of these companies. Netflix killed Blockbuster, Borders fell to Amazon, Kodak and Nokia were done in by Apple, and on and on. At some point, all of these companies had an opportunity to respond to changing customer demand, but unfortunately made the choice to continue with the status quo.

Progressive companies are using Agile methods to move away from thinking that reducing costs is their only option, to focusing on increasing revenue by satisfying customer needs and delivering innovative new products out to the market. This shift has ushered in the age of revenue-based thinking, focused on satisfying the insatiable appetites of their 21st-century customer base and their cravings for the “next big thing” to hit the market.

Agile requires holistic enterprise alignment

Agile doesn’t work in siloed organizations. To introduce Agile methods into an organization means that product management, portfolio management, technology, and business operations must all be holistically aligned, which represents a completely different operating model. Information must move freely across the entire enterprise value chain, and every part of the organization must work together to produce value-adding, customer-focused products and services.

To break down the siloes, companies must reevaluate their operating models and consider how value creation and delivery moves through its enterprise value chain. Identifying this path, and then restructuring the organization to break dependencies, is crucial. Once this is accomplished, organizations can capitalize on Agile methods focused on iterative and incremental product development techniques.

Agile fosters innovation

The need to innovate is pushing the envelope. To survive and thrive in today’s business climate, companies need to embrace innovation. Agile methods allow for iterative, rapid development that focuses on quickly determining what doesn’t work, adjusting, and trying again. This loop continues until products and services that add value are brought to market, based on customer wants, needs, and desires. This is a radical departure from more traditional methods, where senior executives dictate product direction. In Agile companies, customers are invited in and treated as first-class partners. The old saying that “The customer is king,” is true and engrained in the very fabric of an Agile organization.

Agile fits the 21st-century company

Agile offers the solution to developing a digital mindset and focusing on creating and delivering customer value by:

  • Making satisfied customers the highest priority

  • Welcoming change to harness competitive advantage

  • Delivering working software in a couple of weeks or months

  • Stressing collaboration, autonomy, simplicity, transparency, and trust

  • Providing a supportive working environment that fosters innovation and a motivated workforce

  • Supporting continuous improvement through a culture of adaptation and reflection that periodically pauses to learn from its mistakes and adjust

  • Following the mantra “Fail fast, and adjust,” so that you figure out what doesn’t work—and determine what does as fast as possible

Now, let’s address the “why” behind our current crisis in leadership, as well as the issues associated with effectively engaging this new type of workforce, before moving on to discuss how Agile can solve both issues.

The Challenging Aspects of Agile for Leaders

Agile is “not natural” for command-and-control leaders. Its methods are not intuitive and might not even “feel” comfortable to those coming from a more traditional Scientific Management background. During the 20th century, Scientific Management was taught as the predominant management theory within business schools throughout the world. Fredrick W. Taylor, regarded as the father of Scientific Management (also known as Taylorism) and recognized to be the first true management consultant, documented his research findings in a book published in 1911 entitled The Principles of Scientific Management. Taylor had very precise ideas about how to introduce his system, as well as the role of management versus workers:

It is only through enforced standardization of methods, enforced adoption of the best implements and working conditions, and enforced cooperation that this faster work can be assured. And the duty of enforcing the adoption of standards and enforcing this cooperation rests with management alone.7

He believed that control should rest with management, and not the workers performing the work. His theories stressed that workers must be taught to follow the rules and obey authority. Coloring outside of the lines was not an option and highly discouraged.

The Effect of Generational Work Styles

Following process and chain of command is still alive and well today in many 21st-century companies. After all, these were the methods being taught when Baby Boomers (defined as the generation born between 1946 and 1960) went through school. Taylorism influenced almost 60 years of management thought. It wasn’t until the 1990s that management theory shifted as Gen Xers (defined as the generation born between 1961 to 1981) came of age. They were filled with entrepreneurial spirit, individualism, and risk taking, and sought more work/life balance than their parents. Management thought leaders, such as Tom Peters, Warren Bennis, and Stephen Covey wrote about leadership, instead of management; they emphasized teamwork, collaboration, and a virtually overlooked leadership style known as servant leadership.

Gen Xers gravitated to these thought leaders and ushered in the “first wave of innovative disruption” in the dot-com era, kicked off by the founding of Amazon in 1994 and ending in 2003 when Time Warner dropped “AOL” from its title, even though it was AOL that acquired Time Warner.8 Now in our second wave, beginning with the founding of Facebook in 2004, a 2015 study by the Sage Group reported that Gen Xers “dominate the playing field” with respect to founding startups in the United States and Canada, launching the majority (55%) of all new businesses in 2015:9

Small businesses and the entrepreneurial spirit that Gen Xers embody have become one of the most popular institutions in America. There’s been a recent shift in customer behavior and Gen Xers will join the “idealist generation” in encouraging the celebration of individual effort and business risk-taking. As a result, Xers will spark a renaissance of entrepreneurship in economic life, even as overall confidence in economic institutions declines. Customers, and their needs and wants (including Millennials) will become the North Star for an entirely new generation of entrepreneurs.10

Agile appeals to Gen Xers and Millennials because it stresses values and principles that didn’t exist in Tayloristic environments, such as risk taking, creativity, autonomy, collaboration, entrepreneurship, and an unwavering focus on the customer.

However, Baby Boomers are a whole different story. They were brought up to obey the rules and respect chain of command. They sought security and routine, because of the uncertain world of the 1970s and early-to-mid-1980s. Survival was based on following the rules as a means of maintaining order and a sense of security on the heels of a post-World War II society, living on the brink of World War III and nuclear holocaust as a result of the Cold War between the United States and Soviet Union. These factors added up to a generation that learned to play it safe and seek security in a turbulent world.

As a result, Agile doesn’t feel “natural” to Baby Boomers. To embrace Agile values, principles, and methods, it will take a greater mind shift for them than is the case with Gen Xers and Millennials. For Baby Boomers, Agile means being way more than a little out of their comfort zones, which causes resistance to change. To develop a digital mindset, it will require a genuine desire to change and a conscious shift in both mindset and working style to thrive in the world of Agile.

A generation gap between these three groups has formed, on a level that the world of work has never experienced before. And if you take a look at the organizational structure of many established companies (excluding most startups, of course), they are run by Boomers at the top, with Gen Xers making up much of middle management, while the workforce consists mostly of Millennials. It’s a generational clash spurred on because of the differences between Taylorism and this new, emerging way of working known as Agile. The two are in such stark contrast that the former doesn’t understand the latter, and vice versa, causing natural conflict between the two styles in the world of work. Let’s discuss several factors that are blocking the adoption and successful transformation to Agile within many established companies today.

Agile Is About Doing What I Say and Do as an Executive

Agile is perceived by many executives as a free-for-all, with little structure and no control. To solve this issue, the senior leadership team must change its perception of Agile. The best way to make this happen is to have them run like a Scrum team, embracing Agile’s core values, principles, and ways of working. Senior leaders must learn to apply the same discipline and rigor that the development teams do. By applying the same techniques as the rest of the organization, they physically show their support for the behaviors and culture they are trying to build.

For example, GE Digital’s11 COO, Brad Surak, who began his career in software engineering and who was a Scrum Master himself, piloted the use of Scrum with its top executives. They built their backlog, ran two-week sprints, conducted stand-ups three times a week, and charted their progress on their Scrum board in a conference room open to everyone. The result: the executives learned Scrum and how to sprint, and the employees were able to visually see what the team was working on and what progress they made toward their sprint goals, as well as working through many impediments that were important to them. By using Scrum, they were also able to solve some difficult problems around pricing issues for products requiring input from multiple GE businesses, as well as leading by example and really embracing Agile core values and principles and the Scrum framework.

Agile looks like the Wild Wild West

Agile methods are perceived as chaotic or even anarchist. To an unschooled eye looking into an Agile organization, it appears very disorganized. A Tayloristic manager would immediately ask, “Who’s in charge?” Because to them, it looks like the answer is no one! This is a perception issue, because the teams appear to be working on their own.

Agile stresses “just-in-time” planning instead of the long, upfront, and drawn-out planning cycles employed by more traditional methods. It happens in cycles throughout the organization, instead of being concentrated at the top. Agile methods stress strategic, product, release, and development planning sessions in the same manner and level as more traditional methods. The difference is in who does it. The teams are involved in planning to a level that is not present in traditional methods.

Instead of having program and project managers figure out and plan the work, the team is empowered to do the heavy lifting when it comes to planning. It looks anarchist, because the teams are self-organizing. Many confuse self-organizing with self-led and that is not the connotation being discussed here. Self-organizing means the teams figure out how to get the work done. They self-select what they work on from a predetermined backlog. However, they still have a leader in that the product owner figures out the priority and what the team works on and in what sequence for each development cycle, known as a sprint in Scrum.

Agile is not a “silver bullet”

Agile cannot fix all the issues within an organization, and if you ask most senior leaders why they want to adopt an Agile mindset and implement Agile ways of working, it’s not about empowering teams, creating feedback loops to build better products, or even creating customer value. More times than not, it’s about missed commitments and not delivering on time; poor quality; lack of visibility and transparency into what is going on within their organizations; and lowering costs. Adopting Agile methods will solve most of these issues, but it is going to take a lot of time and effort to reap these rewards.

Transforming an organization costs money and requires the entire organization to change its structure, culture, and ways of working. Change agents embarking on a journey to agility face an uphill battle, no matter how progressive the company. Change is a scary thing, and requires concessions and discomfort at every level. Also, support must come from the top. Senior leaders must be the first to be retrained and embrace an Agile mindset and ways of working.

Half-hearted buy-in attempts result in low digital literacy and a splintered organization. Oftentimes, this leaves the organization worse off than it was before the transformation started, because returning to the way things were is frankly impossible. Because of these botched attempts, statements like “We’ve tried Agile here and it just doesn’t work for us,” can be heard in the hallways and meeting rooms as the organization struggles to find its way out of the black hole it created for itself. The seriousness of the decision to adopt Agile should not be taken lightly, and the implications to the organization should not be underestimated. Agile is a journey and you must be realistic about what you are committing to: that is, a never-ending journey of continuous improvement.

What Does “Being Agile” Mean to Leaders?

Agile’s ultimate goal is to get products into the hands of customers faster, by directly engaging the customer, exploiting fast feedback loops that stress learning and the evolution of both the team and the product, and giving a group of motivated individuals a purpose and letting them figure out the best way to accomplish it. That is what Agile is all about! For leaders, it means stepping out of the way and allowing the workforce to decide the best way to accomplish the goals of the organization.

To many leaders, this sounds like a scary way to operate. It means stepping back and getting out of the way of the team to move forward. It also means allowing your customers, partners, and employees to own the process. Leaders are no longer expected to have all the answers. Instead, their role becomes focused on empowering this group of people to do amazing things together. That is the role of an Agile leader.

However, it doesn’t mean leaders go away. Now more than ever leaders are sorely needed. It’s just a different form of leadership—one that requires leaders to pivot to this new paradigm, which can and will be difficult for some because it means:

  • Adopting a more collaborative and transparent leadership style

  • Learning new skills and new ways of leading

  • Leaving the command-and-control mindset at the door

  • Learning new ways to motivate, communicate, and innovate

It means becoming a servant leader, and putting the team’s wants, needs, and desires first over that of your own, protecting and empowering them so that they can focus on the work at hand. To become an organization that embraces agility, leaders must lead from a position of service, not power.

Agile’s Foundation: Servant Leadership

The term “servant leader” was coined by Robert K. Greenleaf in an essay he published in 1970.12 It is ironic that at this point in history we need to take a step back to move forward. Reaching back in time to pull forward a concept that is essential to developing a culture of agility. Greenleaf also believed that the world was experiencing a crisis in leadership, and it was his duty to address it and introduce a new mindset to support the shift that needed to happen to move the world forward.

Greenleaf was inspired to define servant leadership after reading Hermann Hesse’s Journey to the East. In Hesse’s story, a band of men on a mythical journey were accompanied by a servant named Leo. Leo, through his incredible presence, was the lifeblood of the group. He looked after, entertained, and sustained the men. Until one day, Leo disappeared, and the men abandoned their journey. Leo was such a vital part that the men could not continue on their own. Time passes and some years later, the narrator is taken in by a religious order, only to find that Leo, whom he had first known as a servant, was its guiding spirit, a great and noble leader himself.

To Greenleaf, this story clearly exemplified that “A great leader is a servant first, and that simple fact is the key to his [or her] greatness.”13 He believed leadership was bestowed upon Leo because of who he was by nature…a servant. His desire and ability to serve was what made him a great leader. Something that could not be taken away, because it was inherently inside of him to serve and focus on the needs of others, and to help them grow and flourish. And in his joy to serve, his leadership abilities sprung forth.

Greenleaf also wrote that he believed the country was in a state of crisis in leadership.14 And he believed that he should do what he could about it, which spurred him to write the essay and to introduce the concept of servant leadership to the world. In response to the clearly evident servant stature of the leader, he later went on to say:

Rather, they will freely respond only to individuals who are chosen as leaders because they are proven and trusted as servants. To the extent that this principle prevails in the future, the only truly viable institutions will be those that are predominantly servant-led. I am mindful of the long road ahead before these trends, which I see so clearly, becoming a major society-shaping force. We are not there yet. But I see encouraging movement on the horizon.15

We are at a crossroads in the world today, as the old, Tayloristic ideas clash with disruptive innovation, a changing workforce, and the need to shift to a customer focus. Now more than ever, there is a need for leaders to step up and serve to move us forward.

Agile Embraces Servant Leadership

Little did Greenleaf know that it would take over 30 years for a movement to come along that would be founded on his leadership beliefs. Agile embraces servant leadership and is very important when it comes to creating an environment of agility. The high levels of uncertainty present in the world today require a lot of creativity. The team needs to be empowered and supported to develop the best possible solution, not crushed under the weight of an autocratic, command-and-control leader.

Agile’s core values and beliefs are founded on collaboration, trust, empathy, and ethical use of power. Servant leaders strive to holistically approach the world from multiple dimensions, such as intellectual, emotional, spiritual, and relational, to lead from a balanced position that encourages and supports the team to get the “job done well” through their commitment to serve others. Leaders must be willing to stand up and face this leadership crisis head on, and become totally committed to taking this next step forward in our evolutionary journey.

So, who must become a servant leader? Greenleaf stated that:

The servant-leader is servant first — as Leo was portrayed. It begins with the natural feeling that one wants to serve, to serve first. Then conscious choice brings one to aspire to lead.16

In Agile, the person most often tapped on the shoulder to be or become a servant leader is the Scrum Master (SM) within the Scrum framework. However, conflict arises when at the team level, the SM performs as a servant leader, but the upper and middle management layers still employ the old command-and-control style of managing. What results is an inherent mismatch, and angst and animosity begin to form and become apparent within the organization.

Servant leadership needs to be practiced from the top down, throughout the organization. If you think about it, the SM for a team of executives is the Chief Executive Officer (CEO). The other members of the C-Suite (CIO, CPO, CSO, CMO, etc.), form the Scrum team. The CEO must serve this team and help them to self-organize to get the work done. In turn, each member of the C-Suite is also an SM, helping their teams to self-organize, and so on. In this manner, servant leadership is propagated throughout the organization and executives lead through their service to their teams and organization.

Servant leadership and “being Agile”

Moving to Agile means embracing a servant leader’s mindset. Without completely making this shift in leadership style, companies are only paying lip service to “being Agile.” The lack of the right type of leadership within companies trying to adopt Agile, in my opinion, is the biggest reason for the failure of many Agile transformations. When leaders lead from a position of serving first, their followers reward them by giving them their trust, respect, and the willingness to follow. In judgment, values, competence, and sustaining spirit in support of the tenacious pursuit of a common goal: working software.

15 Traits of a Servant Leader

To become a servant leader, you must develop a whole new set of traits to be able to serve both your teams and organization. Let’s look at the traits that characterize a servant leader.

Leads by example

One of the most famous quotes in the classic book by Sun Tzu, a Chinese general who lived around 500 BC and wrote a treatise entitled The Art of War stated, “A leader leads by example, not by force.” That is, a leader demonstrates and supports his or her beliefs through action. They must model the behavior they desire from their followers that most benefits the collective good of the organization. Then, back it up with consistent and predictable words that reinforce the behaviors.

As a leader, whether you realize it or not, you are being watched. Your followers look for inconsistencies, because being predictable is actually very comforting to them. The fastest way for a leader to lose credibility and the trust of his/her followers is to be inconsistent and unpredictable. Leading by example elicits trust and respect from a leader’s followers. It displays the leader’s integrity and conviction to the path he/she has chosen, because a true leader would never ask anyone to do something he or she would not do themselves.

When a mandate to “go Agile” comes down from senior leadership, it must be reinforced through your behavior as a leader. Embracing the characteristics of servant leadership must happen within the organization. Without it, you’re just going through the motions, and real and lasting change will not be achieved.

Inspires action through vision and purpose

Vision is the future state the leader is attempting to create. It is something that he or she can see so very clearly in their mind’s eye, that it gives them purpose and defines who they are and what they are about. And when they share it with their followers, it becomes the driving force that rallies the organization in its quest to fulfill its mission (why it exists). A leader’s vision is a call to action for his or her followers. Action that is both genuine and purposeful, by building a vision and setting goals, then working toward their achievement, gives those that follow a sense of purpose, as well as great fulfilment when the goal is achieved. To paint a picture of where the organization is going and what it is trying to accomplish, forms a mutual sense of purpose. A leader whose vision is so clear concerning what he or she is trying to create, is a very easy leader to follow indeed.

Fosters innovation and creativity

Servant leaders encourage those they serve to experiment and take risks. To color outside of the lines. To tap into and unlock the vast amounts of creativity inherent in all of us. Many a great invention would never have seen the light of day if their inventors had played it safe. They challenged the status quo and didn’t look for the easy way out. They fostered an environment for innovation by encouraging collaboration and originality, as well as thinking outside of the box. Servant leaders lead through openness and a willingness to ask for ideas. They don’t shut people down when new ideas are presented. However, people must be given the time to be creative and innovative in order for the organization to reap the rewards. That means the organization as a whole must buy in and support this process as well.

Exhibits empathy and acceptance

The old saying that states, “You really don’t know what a man has gone through until you have walked a mile in his shoes,” is a very true statement. However, empathy is one of the most greatly misunderstood qualities of humankind. To put yourself in someone else’s place and truly understand what they are going through is the difference between sympathy and empathy. To be a leader that people want to follow, you must exhibit empathy. It makes you genuine and real, as well as accessible. An empathic leader accepts people for who they are and what they are about, as well as being realistic as to what they can achieve and how much they can be challenged, stretched, and grown. However, pushing someone beyond their limits or setting unrealistic expectations is a sure way to push your followers away.

Developing empathy is not an easy thing to do. It means first taking stock of yourself, and truly evaluating who you are, what you are about, and what strengths, weaknesses, and talents you possess. It means understanding your vulnerabilities. To be strong, sometimes we need to be or appear weak; not weak in the sense of ineffective, actually just the opposite. Empathy is about showing your followers that you can be vulnerable, which accentuates being approachable. It is the very essence of what makes a leader want to serve. To empathize drives us to want to improve the followers’ state of being, for the good of both the individual and company as a whole.

Empathy means acceptance as well. When you say, “I understand and accept you for who you are, right now, right here,” you are acknowledging that everyone is not created equal. You accept them for who they are—their authentic selves. Cookie-cutter molds don’t exist for people and diversity abounds in today’s workforce. Everyone is not created the same and people process the world around them through their past experiences, which makes us unique. Servant leaders embrace that uniqueness and understand the gifts that each of us possess.

Bringing out the best in people is about empathizing in the here and now concerning what they can and cannot realistically accomplish, which ultimately builds trust. Set your people up for success, and support and nurture them as they move through their careers. Come from a position of service, and you will build relationships that last a lifetime, as well as experiencing the immensely fulling feeling of serving others as you help them find their way.

Embodies humility and tolerance

Tolerance is born out of failure and suffering. You can only empathize with someone if you put yourself in their shoes. If you’ve never failed at anything, then you haven’t pushed yourself hard enough. The only way teams can grow is by trying new things. Not every initiative will be successful, and how you react to failure is crucial to your people. Work with them to figure out why the failure happened and adjust. Encourage learning from mistakes and failures as a positive thing, building the understanding that succeeding every time is not realistic. And, do not employ the “win at any cost” mentality or sacrifice your morals and values. When you come from a position of genuine humility, you will be viewed as genuine, which amplifies your credibility.

Practices mindfulness

Servant leadership focuses on serving the common good. It means releasing your ego and letting go to tap into the collective consciousness and wisdom of the team. To give a voice to everyone as equals, havingthe same potential to contribute and influence the direction of the team. It means the unification of individuals into a common whole for the collective good. Mindfulness is about being in a state of heightened consciousness or awareness. It means being in the here and now—or, in other words, being present! In our fast-paced society of sensory overload, mindfulness can be hard to achieve. There is so much stimuli coming at us every waking minute of the day that even focusing in for five minutes at a time can be difficult for many. Being still in mind so that you can focus is extremely important when it comes to being an effective leader.

For example, when I am at a client site working with my team, I must be present in mind, not just in body. I owe it to both my client and my team. As a leader, I must constantly be perceiving and interpreting the interactions and events that are happening all around me, and unconsciously synthesizing them to understand what my team and client need to solve the problems that brought us there in the first place. At times, especially as I grapple to understand the problem and make logical sense of it all, admittedly it is sensory overload. If I start from a place of chaos, that is my point of reference and my effectiveness is diminished. If I start from a place where my mind is still, and I allow my unconscious mind to engage, my intuition and perception experience a heightened sense of awareness. I put aside all the clutter in my mind that adds little to the tasks at hand, so I can focus on the immediate problem.

Athletes call it “being in the zone,” and as an avid runner and cyclist, I know this feeling well! My ability to serve in the moment is greatly magnified, because I am present in the moment. I experience greater clarity, creativity, perception, emotional intelligence, empathy, and compassion. The end result: I am much more effective and more capable of leading from a place of calmness and mindfulness. What I am able to accomplish is elevated, because I am deescalating the chaos, and both internally and externally focusing on developing the solution.

Also, be mindful of what you say and do. As discussed earlier, your followers are watching and listening. Remember, you lead by example through both your words and actions. Case in point, if your company is undergoing an Agile transformation, and you don’t fully support it, this is going to come through loud and clear in what you say and do. Merely going through the motions of support will seem artificial, false, or ungenuine. It is better to voice your concerns and objections by laying them out on the table. Tap into your unconscious mind by understanding where your objections are coming from, and truly explore what is motivating your words and behavior. Challenge yourself to dig deep and ask the tough questions, wherever they are coming from. Then, find the person in your organization that can address them. If you are questioning the transformation, others are probably doing the same thing.

As a transformational change agent, I’ve heard some very valid reasons and blockers around transforming to Agile ways of working. And it has helped my team and I address those things right up front. Serve the common good and get to the bottom of why it is unsettling for you. Then share your journey and the end result with others. If your points are valid, then work to solve them for the collective whole and greater good of the organization. If not, face your fears and change your mental model. In my experience, leaders don’t silently undermine change initiatives, but managers do. Make the choice to be ahead of the change curve, once you deal with your own objections and understand why the change is necessary. Then help others accomplish the same thing.

To calm your mind and elevate yourself above both the internal and external chaos present in the world today, you must find time to be reflective and introspective on a daily basis. Take the last 30 minutes of your day to still your mind and ground yourself through meditation and reflection. Overall, you will find it gives you greater clarity and calmness of mind. When the going gets tough and tough decisions need to be made, you’ll be able to focus in and make better decisions, because of this calmness.

It’s hard to explain until you experience it for yourself. Personally, I didn’t much believe in this technique until I tried it for myself. I was having drinks with a colleague one evening and was explaining to her the anxiety I felt about all the things I needed to get done and how stressed out it made me feel. She recommended this meditative technique to me. At first, just a few minutes was really hard for me to accomplish. Then, little by little, I was able to work up to 15 minutes, then 30, and eventually to 45 minutes; not daily of course, but when I have the time, I do the longer increments, usually on the weekends. About six months later, I had dinner with her again and she actually noticed the difference in my personality and presence. I was more “posed” and there was a sense of calmness about me that wasn’t there before. It worked! I did feel calmer, less stressed, and more in tune with my mental and emotional states and abilities. My mind felt sharper and less chaotic than it did just six months ago.

Then, take the next 15 minutes to do a daily retrospective and ask yourself:

  • What worked well today?

  • What didn’t work so well?

  • How can I improve on things tomorrow?

Just like a Scrum team, practice inspection and adaption on a personal level to continuously evolve your leadership abilities. Build your own impediments backlog and work to solve what is blocking your forward progress and how you can learn and adjust to make improvements to become the best leader possible.

Leverages common sense and intuition

Common sense and intuition are the intangibles of leadership that aren’t measured from an academic perspective. Our past experiences and who we are affects our ability to serve and lead. Locked away in our unconscious minds are vast amounts of knowledge, that if accessed, allow us to function at a much higher level. Science calls these cognitive schemas that help us process the events that happen to us in the world. Based on past experience and events, your degree or ability to access your common sense or take advantage of intuition hinges on what you learned from those past events. That is what we call common sense and intuition. That is why practicing inspection and adaption is so important to serve well. You must learn from past experiences and recognize their potential to affect your present situations.

Leaders sometimes must make decisions on hunches or with less than 100 percent of the required information. In these situations, servant leaders need to rely on common sense or intuition at times to bridge that gap. What “feels” right to them based on past experience or a feeling of somehow “knowing” the right course of action. Or, in other words, to employ their best judgment. To some, this will come naturally, to others, not so much. Practice being conscious and aware as you go about your day. Practice meditation and reflection to still your mind and learn from your daily interactions. Learn from the past, live in the present, and always seek to improve on your future. That is how you will develop the common sense and intuition that will establish you as the type of leader who people will willingly follow.

Faces challenges head on

Servant leaders encourage risk taking in themselves and others. To think outside of the box and put themselves in challenging situations. To accept both failure and success as a natural part of the process. To embrace a willingness to experiment and fail, then pivot or experiment again until there is a breakthrough. Or until the realization that the effort needs to be abandoned, because all the options have been exhausted.

There is no shame in cutting your losses and it takes a lot of courage to separate yourself from something that at one time you thought was a great idea. Wise business people do it every day, addressing failure as a learning experience, and not beating themselves up or dwelling on it by going back over it in your mind time after time. Don’t let the fear of failure get in your way. Take both the risk of failure, along with the chance for success, as possible, realistic outcomes. Then accept whatever happens and believe you gave it your all, whether it succeeded or failed. The point is, recognize that you challenged yourself in the first place and took the risk head on, instead of playing it safe.

Possesses decision-making capabilities

Making well-informed, objective decisions is one of your biggest responsibilities as a leader, and the most demonstrative way of leading is through your decision-making capabilities. Not making the tough calls doesn’t mean they don’t get made. It means that someone below you will have to make them. Someone who possesses less information than you, but must make the decision so that the team can move forward.

Not making decisions displays a lack of conviction. Leaders must have conviction, and not be conflicted. It’s OK to collect facts and others’ opinions to build consensus so that your decisions are fact-based, objective, and unemotional. However, if you think you can just float along, wing it, push out taking a stand, or skip making a crucial decision, think again! It doesn’t work that way. You don’t get the luxury of passing the buck, and through this behavior, you’re letting both your team and yourself down.

Passing on making decisions builds a culture of indifference, as those who observe your behavior follow your lead. Remember, your people are watching. When crucial decisions are pushed too far down in the organization, many relevant data points could possibly be unavailable. This means major errors in judgment could occur, sending the team in the wrong direction.

There is no place for ego in the decision-making process, so leave it at the door. Servant leaders truly develop the skill of being direct and expressing their point of view. Not in a forceful or threatening way, but through collaboration, concise communication, active listening, and facilitation. It’s better to be clear, and sometimes wrong, then indecisive. Having a point of view and expressing it to gain buy-in or to work through the problem with your team, establishes trust and a track record of collaboration and respecting others. I always tell my direct reports if you make a decision and it turns out to be an incorrect one, as long as you can back it up with the thoughts and reasoning behind why you went in that direction, I will support you to the end at whatever the cost. At least you made the decision, and in some way, the team moved forward.

If this happens to you, it’s your opportunity to exercise compassion and self-restraint. Turn it into a learning opportunity, and view it as a teaching moment. Coach your people and show them how the decision-making process works. Course corrections are not the end of the world and no one is expected to be right all the time. Perfection is an illusion that you must not buy into and support within your corporate culture. It sets people up to fail and causes finger pointing. A “culture of blame” is a very destructive thing and extremely anti-Agile.

Leaders must also be able to confidently deliver both good as well as bad news. Not all decisions will be popular with your followers. Being a leader is not a popularity contest. Remember, you are making decisions for the collective whole, not a small group of individuals.

Understands the importance of being proactive

Stephen R. Covey, in his book The 7 Habits of Highly Effective People, stated that if leaders want their teams to behave and respond in a proactive way, they must be constantly synthesizing the present to anticipate the future, by learning from the past.23 In other words, to be proactive and confront issues before they become major errors in judgment. Knowing when to act is just as important as how to act.

Being proactive is even more important today because of the rapid rate of change. Information travels at the speed of light within our society. Leaders must stay current with social and economic trends on a global level. The stakes are very high, because a failure to act may result in the loss of competitive advantage that could cause the demise of the organization. Sitting on yesterday’s successes just doesn’t cut it any more. Either be green and growing, or ripe and rotting. Those are the only two choices in today’s disruptive business climate.

Practices active listening

Servant leaders automatically respond to problems by listening first. To truly solve a problem and not just look for someone to blame, you must effectively identify its root cause and solve for that, not its symptoms. Listening instead of immediately reacting also differentiates servant leaders from other types of leaders, because they take the time to fully understand the problem and how people are affected and impacted by it. They care about what others think the problem might be by listening to them. This builds respect and trust on both sides.

Actual communication is about both listening and speaking. Many leaders are under the impression they are supposed to speak more than listen, which reinforces their authority and expectation that they “have all the answers.” In Agile environments, leaders are not expected to be omniscient. It is the collective wisdom of the team that elicits the best problem-solving methods. A servant leader taps into this collective wisdom and solves problems through consensus, instead of mandate.

A servant leader also realizes that silence is an option that allows others to voice their opinion, as well as ask questions and come up with solutions. Living in that silence can be one of the hardest things a leader must learn to do. They must let go of the notion that he or she needs to be the one that is always speaking. Communication is a dialogue, not a monologue. A servant leader listens, understands the power of asking questions, summarizes, and then forms a conclusion. There is a general misconception that the one who is speaking is in control of the conversation. That is truly not the case, because the one asking the questions is actually leading the conversation. So, becoming a great asker of questions hones your listening skills, and allows you to collect information and observe behavior. When exercising critical thinking skills during the decision-making process, keep in mind that a lot of times it’s not what people say that is important—rather, it is how they say it that counts.

Understands the art of facilitation

Servant leaders understand how to facilitate conversations to get the best out of people. They facilitate the bringing together of individuals that can collectively solve problems together. They moderate conversations through asking open-ended questions that spark true conversation, as well as building mutual respect. They arbitrate disagreements and handle differences in opinions in respectful and proactive ways by validating others’ viewpoints, instead of trying to push their point to create a personal win. Validating and really listening to contradicting opinions, instead of discounting them just because they aren’t your own, creates a “win/win” situation for everyone.

It also means asking “What can I do to make my team’s work easier?”, then going about the task of solving whatever impediment that is blocking forward movement. As a servant leader, you are there to facilitate resolutions to issues and remove impediments for the team. In short, to make their work lives better, no matter at what level you lead within an organization. Servant leaders constantly seek out opportunities to facilitate and achieve greater work/life balance for their followers.

Acts as teacher, coach, and mentor

Acting as a teacher, coach, and mentor goes hand in hand with being a servant leader. The intention of each is to help people become better at whatever they do, as well as to help develop themselves. All involve spending time helping people improve through sharing knowledge, wisdom, and life experiences to help overcome challenges and obstacles. Servant leaders give freely of their time and genuinely care for those they serve. The passion to be the best person possible, as well as helping others develop themselves, comes naturally to servant leaders.

Engages in lifelong learning

Dr. Edward Deming, the father of Quality, in his book Out of Crisis said24:

Long-term commitment to new learning and new philosophy is required of any management that seeks transformation. The timid and the fainthearted, and the people that expect quick results, are doomed to disappointment.

Deming’s words say it all: being a lifelong learner is a must for a servant leader!

Learning, especially through reading, plays a crucial part in a leader’s development, because it generates a constant flow of new ideas, spurs intellectual thought, and keeps the mind sharp. Albert Mohler in his book The Conviction to Lead: 25 Principles for Leadership that Matters states, “When you have found a leader, you have found a reader.” He goes on to say that, “there is no substitute for effective reading when it comes to developing and maintaining the intelligence necessary to lead.”25

Maintains a sustainable work pace

Just like Agile teams, leaders need to maintain a sustainable work pace. Always being on high alert—or worse yet, creating fires, is a sure way to quickly burn yourself out (as well as burning out your followers). Limit your own work in progress (WIP), and don’t overcommit. If you are constantly running full out, ask yourself “Do I have the energy to handle an unforeseen emergency or problem?” If the answer is “no,” then you need to seek a better balance. Make whatever changes are necessary to bring your WIP down, until you can achieve a steady work pace that you can maintain in the long run.

Steps to Building a Culture of Servant Leadership

Establishing a culture of servant leadership is a must for Agile organizations. However, what are the steps to accomplishing this task? The following discussion on the five steps offers assistance in answering this question.

Step 1: Develop Your Strategic Decision-Making Framework

The first step is to take a holistic perspective and invite your customers, partners, and vendors to sit down with your workforce and hold a conversation concerning where you want to go (mission), what the future you want to build looks like (vision), and what value are you attempting to create (value proposition). If you don’t know where you are going, what that journey looks like, or how you will measure success, the results you achieve will be mediocre and inconsistent at best.

I know, it sounds so simple, but you’d be surprised how many large organizations can’t answer these questions in a simple and concise manner. To develop servant leaders, they must understand the strategic direction of the company, in order to serve it in the most effective way possible. Having a strategic framework that everyone understands allows decisions to be made at the level where the work is performed. And because Agile organizations rely very heavily on the success of the teams, you are effectively empowering the entire organization to make good decisions based on facts instead of conjecture.

Step 2: Redesign the Operating Model to Embrace an Agile Mindset

There are no ifs, ands, or buts…restructuring the organization is a must! If you leave the structure alone and think you’re going to affect change, you are very mistaken. As long as there is a “bridge” back to the old ways of working, lasting change will not be possible. Shut the door on going back to these old ways of working. The only way to affect cultural change is to take people out of their comfort zones. Empower the teams through self-organization and reward mastery, autonomy, and purpose.

Step 3: Conduct Company-Wide Training on Servant Leadership and Team Dynamics

Develop a training plan to teach managers how to lead from a servant perspective. Build a curriculum that focuses on the 15 traits that servant leaders must possess outlined earlier. Make sure you develop training that is scenario-based, instead of being driven by lecture-based instruction. The participants must role play and try out the traits in a safe, non-judging environment, before trying to implement them in the workplace. The more they practice, the better they will become, and both their comfort level and confidence will increase.

Reaching back to traditional leadership theories to train today’s leaders is also a very relevant strategy. Traditional leadership thinking is very relevant today. Appendix A contains a recommended reading list of 15 classic leadership and management books that are still very relevant and worth reading for today’s servant leaders.

Step 4: Institute Leadership Scrum Teams and Hold Them Accountable

To effect change, you must model the behavior you want at the very top of the organization. Remember, you must lead by example. The best way to do that is to train your leadership teams at every level on how to operate within the Scrum Framework. Build Scrum boards in very obvious, and easy to access places, and make everything visible and transparent. Hold the teams accountable for achieving results by burning down their backlogs and removing impediments.

Step 5: Implement the New Model and “Burn the Bridge” Behind You

Burning the bridge behind you means making a lot of tough choices. As Greenleaf put it so many years ago, the difference between a person who wants to lead from a position of power versus being a true servant leader “manifests itself in the care taken by the servant-first to make sure that other people’s highest priority needs are being served.”28

As leaders, that is your job. To serve your customers, workforce, and organization to the best of your ability. You must make the decisions that are truly best for everyone. The question then becomes: do your actions make those you serve better off? By helping them to become enlightened, empowered, and autonomous, they in turn will help others to do the same. That is how a culture of servant leadership is born, through example and through your own behavior.

Conclusion

When casting off the chains of old structures and outdated ways of working, you must leave your ego at the door and as Nike says, “Just do it!” Taking this leap of faith is the first step in becoming an Agile leader. You must think of others first and foremost, because that is what leaders do. Embracing a servant attitude and thinking about it from the perspective of what’s best for everyone is the essence of servant leadership.

If you come from this perspective, you will be seen as a leader by those that will end up following you. However, a following is something that must be earned. True leadership is not something that is bestowed; it is earned.

It is not easy to become a servant leader. It means truly taking stock of your strengths and weaknesses. To sit quietly and reflect on who you are and what you are about, then proactively making the changes required to shift to a servant leader’s mindset. It requires leaving your fears at the door, and developing a sense of urgency to drop the command-and-control mindset and embrace servant leadership, by developing and/or realigning your company’s priorities to compete in the digital era. Living in the black and white is a fallacy, and becoming comfortable in the grey is a must, as well as dropping the belief that you can control change.

Understand that championing change is the “new normal” and that change comes from the behaviors at the top. If it is not supported through the behavior, actions, and attitudes of a company’s leaders, it will not be lasting change. Engage not only your customer, but workforce as well. In an age of complexity, embrace simplicity. Paul Bellack, VP of Global IT and CIO, Magna International, says to keep things simple so that people can quickly grasp your message, and then communicate it over and over again, until everyone in the organization “gets it.”30

A Final Thought… Charge!

If you picked a “metaphorical” hill to charge up and do battle for your company’s survival, would the people you serve follow you?

1 Solis, Brian and Aubrey Littleton. “The 2017 State of Digital Transformation”. Altimeter. October 3, 2017. p. 4.

2 Ibid., Solis and Littleton. p. 5.

3 Wikipedia. “Strauss–Howe Generational Theory”. Accessed November 4, 2017.

4 Daniel Pink, Drive (Penguin, 2011).

5 The Agile Manifesto. Accessed November 3, 2017.

6 Locker, Melissa. “8 Iconic Brands that Have Disappeared”. November 9, 2014. Accessed November 3, 2017.

7 Frederick W. Taylor, The Principles of Scientific Management (Harper and Brothers Publishing, 1911), Ch. 2, p. 83.

8 World History Project. “Dot-Com Bubble timeline”. Accessed November 5, 2017.

9 “2015 State of the Startup”. Sage. 2015. Accessed November 5, 2017.

10 Morley Winograd; Michael Hais (2012). “Why Generation X is Sparking a Renaissance in Entrepreneurship”. Retrieved April 22, 2013.

11 Rigby, Darrell K., Sutherland, Jeff, and Takeuchi, Hirotaka. “The Secret History of Agile Innovation”. Harvard Business Review. April 20, 2016. Accessed November 4, 2017.

12 Greenleaf, Robert K. “The Servant as Leader”. Greenleaf.org. Accessed October 8, 2017.

13 Ibid., Greenleaf, p. 2.

14 Ibid., Greenleaf, p. 2.

15 Ibid., Greenleaf, p. 3.

16 Ibid., Greenleaf, p. 6.

17 Farfan, Barb. “Amazon.com’s Mission Statement”. March 20, 2017. Accessed June 29, 2017.

18 Heer, Patrick. “What is Amazon’s unique value proposition?” June 14, 2017. Accessed June 29, 2017.

19 Crockett, Zachary. “The Man Who Invented Scotch Tape”, December 30, 2014. Accessed September 17, 2017.

20 Ibid., Crockett.

21 Hope, Vanessa Schneider. “‘Pitch the Immeasurable’ and Other Leadership Tips”. FirstRound.com. Accessed October 7, 2017.

22 Ibid., Hope.

23 Covey, Stephen R. The 7 Habits of Highly Effective People (Free Press, 2004).

24 W. Edwards Deming, Out of the Crisis (MIT Press, 1982).

25 Mohler, Albert. The Conviction to Lead: 25 Principles for Leadership that Matters (Bethany House Publishing, 2012). Chapter 12, “Leaders Are Readers.”

26 Elkins, Kathleen. “Bill Gates says ‘This Is the Book Every College Grad Needs to Read.’” May 17, 2017. Accessed October 28, 2017.

27 Ibid., Elkins.

28 Ibid., Greenleaf, p. 6.

29 Henry William Brands, TR: The Last Romantic (Basic Books, 1997).

30 Heller, Martha. “Building shared services in a culture of fierce decentralization”. The Heller Report. October 4, 2017.

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