Category: Culture

Why Chief Innovation Officers (NOT JUST Chief HR/Diversity Officers) should be treating the “BIAS VIRUS” in your company…
SUMMARY: The very same (explicit and implicit) counterproductive cognitive biases that fuel decades of micro and macro aggressions toward women/minorities in the workplace are also fully embedded in the anchors of corporate cognitive bias and mental models that are undermining your innovation strategy, collaboration, knowledge sharing, engagement, complex problem-solving, any/all change initiatives (e.g., fixed vs. growth mindsets, knower vs. learner mindsets, victim vs. creator mindsets). Unconscious bias (UB) is a virus that’s killing your strategy and disadvantaging your best people at the same time.

SAME BRAINS. SAME BIASES.
For example, a long-held belief/bias that men are better leaders than women is as counterproductive today as a long-held belief/bias that a business strategy focused on hardware and software is better than shifting to that new “cloud” thing. The old success formula is great until it isn’t. Then holding onto it is just stupid. But your brain doesn’t care, and it’s in charge — not you. The same mental models and corporate social norms that lock those ancient systemwide biases (e.g., men over women, powerful men and women over all others) in place also keep your individual and institutional biases (e.g., reactivity over creativity, reliability over eventuality, evaluative over generative, patriarchy over mutual learning) commanding and controlling your future right into the past. Chances are your innovation strategy is so corrupted by these biases that you’re unknowingly designing your company into the 1970s. Until your executive team recognizes and addresses UB and the realities of associated gender/race inequality paradigms in your organization like the mission-critical, customer-facing, fully integrated, strategic business priority that it is (rather than treat it like a board/CEO pet project, “pseudo priority”), your company won’t make much progress toward the future. If your company is stuck in the past, chances are you are one of the powerful executives contributing to the spread of the bias virus and bystander culture.
MALPRACTICE AT WORST. INGLORIOUS “BYSTANDERING” AT BEST.
IF unconscious bias were a medical condition (and leaders/teams were the patients), THEN…most chief human resource officers, chief diversity officers, chief learning officers, learning and development directors, gender diversity and inclusion directors, the Ph.Ds. who fill those departments, and all of the CEOs and boards that sponsor/approve most of today’s UB prescriptions/UB treatment plans would be jailed/sued for malpractice…or at least fired for their silence and Paterno-like inglorious bystandering.
Unconscious bias IS the No. 1 business challenge from which all other business challenges arise. UB is silently killing your winning business strategy from the inside out. UB is stifling your business results and eating both your culture and your strategy for breakfast. UB doesn’t care. UB is sucking the energy, passion, engagement, trust, and commitment out of even your most talented populations while turning away the global talent and customers alike that you are trying desperately to attract. UB doesn’t care. UB doesn’t recognize what your company values, its purpose or business goals are. UB doesn’t care what kind of leader you think you are. UB doesn’t care what kind of leader (you think) your children think you are. UB is ruining your leadership impact. UB is making you (and your team of leaders) look outdated and oblivious. UB is killing you and the people you’re supposed to be leading. How tragic that you (should) know this already. How tragic and yet still so very little will be done about it during your tenure.
To change this trajectory, the funding and focus of disparate UB training programs, corporate universities, leadership development and innovation/transformation leadership programs all need to be elevated, consolidated and then integrated into new corporate lifestyle habits that have the power to overcome all the maladaptive biases we carry with us.
Even though our executives and boards are supposed to be made up of our highest value decision-makers, complex problem solvers and action takers (that’s the primary output of professionals in the 21st century), they aren’t adapting quickly enough today. In the context of readying the corporation for the future, these most valuable executives are supposed to be leading current and future teams of leaders through a transformative shift in their thinking patterns (investing in elevating the mental complexity and emotional intelligence of the organization) to take action against the counterproductive thinking patterns of the industrial age and the outdated behaviors that undermine the company’s current and future business strategy, ROI and competitive market positioning. They may think they are doing just that, but they are likely themselves even more trapped by the visible and invisible biases than the rest of us. Even the well-intended (enlightened) hierarchies holding the most powerful senior roles are unconsciously more imprisoned (zombified) and entrenched in perpetuating these unconscious biases largely because a) once they reach a position of power, they are less empathetic/less aware of the disadvantaged plight of those with less power; b) they are personally benefiting from the biases and power structures remaining in place. The more intelligent, accomplished and successful you are, the less likely you are to believe that your thinking + behavior could possibly be suffering from these unconscious blind spots. That makes you a more dangerous decision-maker (a “walker”).
Even when corporate boards and CEOs finally declare that mitigating gender/race/age bias is a priority, most of their employees don’t believe it — and they’re right not to. That’s because when this “pet project” of the board gets handed off to someone in HR or L&D to design and implement, it is still treated like an optional, bolted-on sidecar to the business strategy. It is underfunded. It is underestimated. The leadership mandate to make it reasonable, practical and scalable (efficient and cheap) creates a superficial treatment and doesn’t provide much cure. It’s odd that executives aren’t more sensitive to what’s effective vs. what’s reasonable and convenient. The “bias virus” (as I like to call it) doesn’t care what else is on your calendar…you’re going down, and there’s no flu shot or pill you can take to wish it away.
Today, many of the people responsible for treating corporate cognitive biases treat them as if they were only a minor, social, HR issue — a case of the sniffles or a sore throat that’ll go away with words of encouragement, patience, sensitivity and a box of tissues. They treat cognitive bias like a minor illness instead of treating it like the most Pervasive, Advanced, Chronic, Malignant, Acute, Neurodegenerative (PACMAN) and treatable leadership condition that drives individual and team behaviors while negatively affecting business activities impacted by those behaviors such as innovation, strategy, execution, customer centricity, retention, recruiting, collaboration, agility, engagement, risk-taking, knowledge sharing and culture change.
Treating deeply ingrained mental models, mindsets and biases (the “bias virus”) with the equivalent of little more than edutainment, awareness programs and two-hour webinars is like treating the Ebola virus with a bouillon cube shortcut because the equally ineffective chicken soup remedy takes too long for busy executives. That’s negligent and blameworthy to address individual, organizational and systemic corporate biases and the need to shift mindsets with programs that minimize or skip the deep, personal adult development work necessary for senior leaders to shift. It’s the only proactive development work that has the power to influence the system in a meaningful way. These bystanders, on the other hand, recommending anything less or suggesting that somewhere in the organization they are indeed working on a “much more strategic/comprehensive effort” (REALLY? LET’S SEE IT!) are complicit with their cowardly silence and sensitivity to corporate norms rather than being more sensitive to what actually works. Instead of effectively supporting the expansion of leadership capabilities, helping them ready the company for the network age that’s already passing them by, most learning and development executives (and their programs) are trapped in the same culture shackles of learned helplessness that they are supposed to be helping liberate.
2016 HARVARD BUSINESS REVIEW: “The problem is, organizations are trying to reduce bias with the same kinds of programs they’ve been using since the 1960s. And the usual tools—diversity training, hiring tests, performance ratings, grievance systems—tend to make things worse, not better.” That’s what malpractice sounds like to me.
THE MALPRACTICE IS DOCUMENTED. LEADERSHIP ACCOUNTABILITY, METRICS AND STANDARDS ARE PRETTY LOW (EVEN WHEN CLAIMING TO BE HIGH).
Even the more progressive silicon valley tech companies and venture capital companies mostly treat the UB problem by ignoring it altogether or treat it like it is a political/social/HR issue with regard to sensitivity training or some corporate social responsibility program…loosely connected to business. Again, it’s a business leadership issue; it’s a strategy execution issue. Most programs are largely limited by budget, power or sponsorship, evidenced by how the programs are implemented and how little progress has been made and exposed in this “Why Is Silicon Valley So Awful to Women?” article.
There are endless amounts of research and data in every industry, including life and death ones, like in the article Bias in the ER — about how doctors suffer from the same cognitive distortions as the rest of us. Endless amounts of research on adult development approaches to bias by Kahneman, Tversky, Kegan, etc., all say similar things about our explicit and implicit bias/limitation of the brain that gets in the way of decision-making — some that were published back in the 1770s let alone the more recent stuff in the 1970s. In 2017, senior executive professionals in the field of learning and development are aware of the research, data, lawsuits and impact that UB has on decision-making and outcomes. In 2015, 20 percent of most large companies had unconscious bias (UB) and gender, diversity and inclusion programs (GD&I). By 2020, it is predicted that 50 percent of companies will have UB and GD&I programs. But what kind of programs will they be? The “bouillon cube” kind?
WHAT WORKS? VERTICAL LEARNING PROGRAMS SHIFT MINDSETS, CHANGE BEHAVIORS, AFFECT BUSINESS-RELATED ACTIVITIES AND CHANGE OUTCOMES.

Experts know that mitigating the negative effects of bias requires a special kind of transformation program — vertical (adaptive) learning programs — that unlock “next-level” mental complexity and emotional intelligence for leaders who want to pursue that. It’s an operating system upgrade. But most time-constrained and mind-constrained corporations deliver bite-sized, horizontal learning. Horizontal learning is adding skills at the current level of the current operating system. Horizontal learning is fine for many developmental needs but useless with regard to more complex adult development needs. To address bias with horizontal learning programs (or not knowing the difference) is useless, negligent and blameworthy bystandering.
Complex adaptive challenges (like culture change, mindset shifts and mitigating unconscious bias) require complex adaptive leadership training to overcome bias/beliefs (long rewarded and held consciously and unconsciously), creating blinds spots at the current level that block them from seeing the possibility of additional/viable perspectives, leaving leaders trapped by their prior success and by what they know, incapable of expanding their own perspective let alone facilitating a high-performance environment that can. Vertical learning programs include: a) stretch experiences; b) more direct applicable focus on the business challenges/goals, giving everyone a stronger reason to practice; c) new paradigms, frameworks for thinking, responding, practicing; and d) are designed to create long-term, formal and informal, peer-based (social learning) communities of practice that deliver depth over speed while being speedy. That’s how adult development is accelerated. That’s how adults increase their mental complexity and emotional intelligence. Complex adaptive leadership muscles are muscles that all leaders have. But for most, they have not yet developed them sufficiently to lead in the 21st century/Fourth Industrial Revolution.
 INCONGRUENCE — NOT WALKING THE TALK
I cringe when leaders say, “Our senior executives are all very aware of this priority, but we’re still figuring out how to solve it. They are all just so busy that it is not reasonable to expect them to spend more than a couple hours on this — though that’s all they need; they are very smart.” ARE YOU SERIOUS? That’s a real quote (from a distinguished Ph.D.) heard in similar forms from more than one diversity leader and more than one innovation strategy leader at double-digit, multibillion-dollar organizations. That’s what fear and confirmation biases sound like — unknowingly contributing to protecting the preference for the status quo = homeostasis at work.
Here are some additional examples of where the (“it’s a priority”) incongruence and appropriately labeled “bystander” behavior shows up:

  1. Most senior executives don’t go through the training themselves. They don’t go through the stretch experiences and conversations that they want others to go through — and it shows.
  2. Most executive sponsors demonstrate how they perpetuate organizational contradictions and how little they have prioritized the treatment of bias with their “cringeworthy” sponsorship speeches and oblivious comments like: “I don’t even think about gender bias; I don’t do that on my team” — only to embarrass themselves and undermine the integrity of the program and leadership overall.
  3. Most programs only touch a tiny population of “high-potential” employees — with a tiny portion of content. In a company of tens of thousands of employees, they might only expose a couple hundred employees (at best) to the program over a year’s time and then send them back into the inertia of the organization where it’s quickly understood what is valued and what isn’t.
  4. Most company leaders are afraid to publish your numbers for gender and diversity pay parity, promotion rate, etc., because they haven’t changed sufficiently. They don’t publish the metrics, don’t have target goals, and blame the attorneys for that bad business practice (plenty of companies, with more attorneys than you, do publish), and the transparency tsunami is going to expose your numbers soon enough. Some are updated regularly in public Google documents (e.g., women in software engineering).
  5. Most company leaders are visibly suffering from the leadership complexity gap, unable to respond better to change, lack of agility, curiosity, collaboration, engagement, etc., any better than they could decades ago.
  6. Most company leaders still proudly protect their own status by showing a tendency to focus on short-term efficiency over effectiveness; cost vs. transformation outcomes; speed over depth; etc., contributing to a lack of progress closing the leadership complexity gap.

Why is corporate bystandering still so prevalent? We all know it’s happening, right?
Corporations have not invested in training their mindset shifting muscles. They don’t have an expert orientation to their role as culture or change leaders. L&D has taught them to prefer and settle for edutainment bu$$sh#t awareness programs.
Power, it turns out, diminishes empathy and increases the “knower/fixed” mindset. And we all know that dominant power structures are biased and don’t give up their dominance willingly, even when it’s in their best interest and the best interest of the whole. Unless, of course, you are aware of your biases, then you can work on them.
WHO’S BYSTANDERING THE MOST IN THE FACE OF BIAS AT YOUR COMPANY? IT’S DIFFERENT EVERYWHERE. YOU DECIDE.

  • CEO (chief executive officer)? Yes, ultimate accountability, but most hide behind their executive team and blame them or they blame the culture (everyone else but themselves)
  • CHRO (chief human resource officer)? Yes, they should have command of all things people related but are focused mostly on administrative, policy, procedure, budget and legal matters
  • CTO (chief talent officer)? Should be connecting future capabilities/resources and business needs (It’s rare to find one who has enough business experience and people experience to be consciously competent for this role.)
  • CLO (chief learning officer)? L&D? Should be the experts at prioritizing vertical and horizontal development needs but are trapped by the same learned helplessness as the general population — deferring to business short-term demands and power structures, living in fear from budget to budget, trying to justify their own job through self-preservation vs. effectiveness
  • GD&I (gender, diversity and inclusion) leader? Should be the powerful expert integrated into the business but typically reports to CHRO
  • BU (business unit) leader?

 WHO IS WORKING ON IT LIKE A BUSINESS PRIORITY?
Chuck Robbins, CEO at CISCO, is very clear on the business benefits of addressing biases (conscious and unconscious) in a deliberate and strategic way. It is tangible in how the CISCO innovation team aligns with learning and development and gender, diversity and inclusion priorities as you can read what Robbins wrote in his blog post:
“With the increasing pace and complexity of today’s market, it’s critical that our leadership team understands our customers, delivers results, brings diverse perspectives and experiences, and builds world-class, highly motivated teams. This will differentiate us as a much faster, innovative organization that delivers the best results for our customers.”

If victory today depends on sustained innovation, then our lack of cognitive diversity and our default/counterproductive biases will continue to be the primary obstacle (rock in the road) to designing and implementing a new, winning strategy. Our counterproductive biases are the No. 1 business challenge from which all other business challenges are born. Bias is a 21st century business issue, not a diversity issue. Are we doomed? What if we’re working for zombie leaders who are trapped by their biases? What if we’re the zombie leader? Is there an antidote that we can use to keep from becoming “walkers” ourselves?
THE METAPHOR
Like the “Rock in the Road” episode from Season 7 of the Walking Dead when Rick Grimes tells a story about a rock in the road that nobody removes, it keeps causing all kinds of problems until finally a young girl digs it out.
RICK: “Well, when I was a kid, my mother told me a story. There was a road to a kingdom, and there was a rock in the road. And people would just avoid it, but horses would break their legs on it and die, wagon wheels would come off. People would lose the goods they’d be coming to sell. That’s what happened to a little girl. The cask of beer her family brewed fell right off. It broke. Dirt soaked it all up, and it was gone. That was her family’s last chance. They were hungry. They didn’t have any money. She just… sat there and cried, but… …she wondered why it was still there… for it to hurt someone else. So she dug at that rock in the road with her hands till they bled, used everything she had to pull it out. It took hours. And then… …when she was gonna fill it up, she saw something in it. It was a bag of gold.”
The moral of the story is: Whoever has the perseverance, decency and determination to dig up the rock in the road, gets the gold reward.
It has a nice “better angels of our nature” storyline. But let’s not go there; that’s distracting. Let’s not attach this business antidote to a fictitious storyline or moral, intuitional, spiritual, anecdotal truism. Let’s not bring it up in the context of L&D, HR or gender, diversity and inclusion (none of which historically have had enough corporate authority or decision rights to drive meaningful change). That’ll just give us a reason to minimize the impact. Let’s not even attach the antidote to a legal argument. Let’s stay in the realm of objective reasoning and business logic. Let’s work within our reliability-oriented, overachiever, operational mindsets from the industrial age, where delivering business results is what matters. In business, we’re taught to “put up (the numbers) or shut up.” I’m cool with that. So let’s talk about this in the context of irrefutable evidence, observable math and real-world experiments that prove, without a doubt, exactly what to do for better business outcomes.
In our 21st century reality, we’ve been walking around our “rock in the road” for decades. Whether it is explicit or implicit (conscious or unconscious) biases, Drucker warns us that in times of change, the greatest danger to complex problem solving and effective decision-making is our tendency to act (unconsciously) with yesterday’s logic, beliefs and mental models (aka the leadership complexity gap).
But we’re all so smart and so successful that we can’t imagine that Drucker was talking about us — that other executive over there for sure…he is a classic example of being a prisoner of thought patterns, but not me…no way. The reality is that no one is immune. Our brains are always applying default biases and rules that are both productive and counterproductive whether we consciously know it or not. We’re biased about the biases that are counterproductive. We have HUGE blind spots and amazing powers of denial.
We all have biases. The problem isn’t that we have biases; the problem is that we deny that we have biases.
Here is what it sounds like when we resist learning how to mitigate our biases:
I don’t do any of that. This doesn’t apply to me. I’m not biased. If I am biased, it’s only a little, and I do not suffer from cognitive biases. I am not drawn to details that confirm my beliefs (confirmation bias and bandwagon effect). I don’t notice flaws in others more easily than I do in myself (bias blind spot).

I don’t fill in characteristics from stereotypes, generalities and prior history (fundamental attribution error, negativity bias). I don’t preference people I’m familiar with or fond of as better than others (in-group and out-group bias).

I don’t simplify probabilities and numbers to make them easier to think about (normalcy bias, gambler’s fallacy, neglecting probability bias). I don’t assume I know what other people are thinking. I don’t infer what others’ intentions are (illusion of transparency, projection bias). I don’t project my mindset and assumptions onto the past and future (self-consistency bias).
 
I don’t favor the immediate, relatable thing in front of me over the unknown future thing (hyperbolic discounting). I don’t avoid making irreversible decisions or making mistakes because I’m trying to preserve autonomy and group status (status quo bias). I don’t have a tendency to disproportionately advocate for or focus on things I’ve invested time and energy into (sunk cost bias).
You might think, “I get it, and I am humble enough to realize that, yes, I can make mistakes. Got it.” No, NO, NOOO. The point is that I/we do not/cannot appreciate the extent to which I/we have error-prone thinking patterns (biases), as evidenced by the near century of data (and neuroscience) illustrated in this beautiful graphic on the 200+ biases that our limited minds and egos can’t seem to comprehend.
That’s part of the problem. Most successful, smart senior executives “know” this on an intellectual level. We “know” too much, actually. We’re stuck in the knower mindset versus the learner mindset. Apparently, we don’t “know it” in a way that we’ve been able to consciously choose to do the things it takes to mitigate these biases when it matters most. Our biases from the industrial age have us trapped and make us unwilling to effectively change our corporate lifestyles/habits quickly enough to walk our talk when it comes to “leading differently.” Against Drucker’s warning, we have not prepared ourselves to lead more effectively in the networked age. In most cases, we are far behind where we should be. We need to drop everything and train on deliberate, focused lifestyle practices that help with readying ourselves to pursue a new master plan. Now is not the time to be defensive nor waste valuable time and energy enabling professionals who still choose to deny their own biases.
THE WINNING FORMULA
Let’s get to the antidote — the best way to mitigate the limitations of our own brains. While taking a University of Michigan massive open online course (MOOC) on Model Thinking and Understanding Complexity, I came across Scott E. Page, a famous social scientist, professor of economics, director of the Center for the Study of Complex Systems and author. He is best known for his research on path dependence, culture, collective wisdom, adaptation and computational models on how human beings work together. In his decade-old book, Page reveals the winning formula that every business professional can embrace as fact…the absolute fact…the undeniable mathematical rules…the gold prize under the rock in the road…the Diversity Prediction Theorem.
Companies that love the reliability of math, algorithms and big data, like Google, Netflix etc., have been putting the formula to work to improve predictions about the future, modeling consumer behavior and addressing previously unsolvable business challenges. The formula proves to be true, beyond any doubt. No assumptions have to be made. No conditions have to be considered. It’s just a mathematical fact. The math shows that the Crowd’s Error is the Average Error minus the Diversity. Said differently, our team’s accuracy is driven by individual’s accuracy plus the team’s diversity. Individuals make decisions/predictions based on models (e.g., mental models, math models); therefore, the more models/perspectives that we use, the more accurate our decisions/predictions will be. This is a very important concept, as it shows that optimal outcomes are attained with more diverse perspectives.
Question: How can a group attain more diverse options to choose from and therefore better potential responses to challenges and circumstances?
Answer: By having different perspectives from a diverse group of people. “A perspective is the way in which an individual views the possible solutions to the problem. The way to attain a variance of perspectives is to have a diverse group across multiple variables. These variables can include age, race, gender, education, location, religion, sexual orientation, class and occupation. When people are different across these lines, they have different perspectives on many solutions. The different perspectives create the variance that is important to the Diversity Prediction Theorem.” Put more simply: The greater the number of perspectives, the more options we have. The more options we have, the better our decision-making and strategies will be. (Yes, I’m aware that my confirmation bias has led me to find this Diversity Prediction Theorem…bias strikes again. See how that works?)
THE ABSOLUTE AND INEVITABLE
In the networked age of the Fourth Industrial Revolution, VUCA is the norm. Global markets, interconnectedness, digital transformation, complexity and exponential change drive the need for expanded capabilities. Corporations in all industries are transforming themselves in pursuit of greater advantage from specific competencies and cultural attributes (i.e., collaboration, innovation, agility, building high-performance teams, attracting, hiring and retaining the best talent). Where leadership and culture transformation is concerned, the unit of work is dialogue. Problem solving and decision-making are the highest value products of professionals.
“When solving complex problems, cognitive diversity beats talent, and when making a prediction, diversity matters just as much as ability.”
Not “probably” matters — cognitive diversity ALWAYS matters. So when leadership transformation programs, immunity to change programs and/or gender, diversity and inclusion programs that are intended to address bias and shift mindsets are bolted on like an elective course versus integrated into business strategy, you continue to see the disconnect between biased behavior and what is in the best interests of the business. Investors, leaders and boards of directors who ignore this fact are enabling their organizations to continue to walk around the rock in the road. That seems negligent and unprofessional, like the childish ostrich effect (cognitive bias) in behavioral finance, which is the attempt made by investors to avoid risky financial situations by pretending they do not exist. The awakened market won’t let childish leaders/bystanders get away with that kind of “pretending” for long.
Here’s where we can choose to stay awake or give in to the temptation to go back to being unconscious. Conscious leaders make better innovation leaders — stay calm and be conscious.
Adult development and culture transformation are not mysterious black boxes. The solutions are simple but not necessarily easy. They’re not necessarily “hard” either. It depends on and is relative to your current individual and collective readiness levels. Do the deep work and train together to accelerate the transformation.
The majority of senior leaders want to expand their level of mental complexity and emotional intelligence so they can lead successfully in today’s business environment. They don’t want to be a prisoner of their biases, nor do they want their organizations to be limited by their collective biases. They want their organizations to break down the silos, be more open, collaborative, creative, curious, engaged, courageous and inclusive. Ironically, though, their own biases make them unaware of the impact that their mindsets and behaviors have on stifling the expanded capabilities of the organization they want to create. It’s a vicious circle. Leaders’ biases keep them trapped in the comfort zone of what they know (knower mindset). Leaders’ biases make them still want to be the ones who have all the power. Leaders’ biases make them think they can keep the power by having all the answers and telling everyone else what to do.
Leaders’ biases make them still want to believe that what worked in the past (the old success formula) will work today. Leaders’ biases make them still think they know which sticks and carrots (recognition and rewards) will motivate people to comply with company rules and be motivated to fulfill company goals. Leaders’ biases still make them think they can command and control their way through complexity and culture change.
Decade after decade, despite the irrefutable research on how adults can, in fact, update their mental models, the rock still sits in the middle of the road. It trips us up. We struggle trying to shift from a fixed mindset to a growth mindset. We struggle trying to shift from a victim orientation to a creator orientation. We struggle trying to wake up from being socially defined to self-authoring. Our organizations suffer unnecessarily until serious, permanent damage to the organization itself causes the long-awaited transformational awakening. Until then, most leaders will remain trapped by their (industrial age) biases like zombies/“walkers.” If they are trapped, then we all are trapped. If they are “walkers” (walking around the rock in the road), then we are destined for unnecessary suffering.
CONNECTING THE DOTS
We will need to choose the deep work of individual and collective transformation in order to be leaders who see our own unconscious bias and try to understand it and mitigate it. The aware but “consciously incompetent” leader, pointing out everyone else’s biases, does us little good. Rewiring our default, industrial age habits for the age we’re entering into will lead us to our “bag of gold.” Today, a business leader’s job isn’t to just be better at responding to volatility, uncertainty, complexity and ambiguity; it is to nurture a more self-led, learning and adaptive environment while facilitating teams of diverse human beings to bring 110 percent of their passion, curiosity, creativity, intelligence, identity and courage to work. Leaders need to be working on elevating mindsets and putting wedges in place that make it impossible to regress to the default (old), counterproductive, less accurate ways of thinking. The ROI is there.
A powerful “connecting-the-dots” approach to business benefits will prove to be the only sustainable, proactive cure for these “walking dead.” And only a few of the best culture transformation programs — as well as gender, diversity and inclusion programs — have proven to be successful at facilitating the powerful mindset shifts (e.g., from knower to learner, from fixed to growth, from victim to creator) that lead to individual behavior changes, team behavior changes and organizational behavior changes that then lead to better business outcomes.
 
WHO’S DIGGING? WHO’S “BYSTANDER-ING”?
Who’s responsible for the road to the future at your company? Who’s responsible for digging out the rocks in the road? CEO, the buck (the rock) stops with you. Walking around the rock undermines your winning business strategy. Why would you tolerate that? Digging out the rocks will amplify your winning strategy and the desired results.
Let’s not keep walking around the rock in the road. Let’s commit to keep on digging.
______________________________
This idea also is represented in the recent book “The Obstacle is the Way,” by Ryan Holiday. In the book, he shares a similar story about a “rock in the road” that blocks a common path of travel for the villagers. Each of the villagers who came upon the rock tried and failed to move the obstacle.
 

Strategy execution is a central issue for companies and their directors. Academics and executives have long been researching for the best theories, practices and effectiveness. Studies have found that two-thirds to three-quarters of large organizations struggle to implement their strategies[1]. Figure 1 shows the average performance loss (by importance ratings) that managers gave to specific breakdowns in the planning and execution process[2]

Figure 1 – average performance loss in specific breakdowns in the planning and execution process

All but one of the factors presented in Figure 1 is controlled by the leadership. In addition, the reasons for this high failure rate can be traced to both hard and soft skills. By hard skills, we mean the processes and methods to organize ideas and to establish indicators, among other management tools, that are taught at most business schools. On the other hand, strategic execution soft skills are the intra and interpersonal attitudes and behaviors that engage people to deliver the processes
The hard side: the strategic execution and alignment process and tools
The term “strategic administration” (and, further, “strategic management”) comes from the 1960’s, when academics, especially Igor Ansoff, questioned the efficacy of performing the strategic planning process once a year. As a result, several models and theories were developed over time. One of the most popular of these models was introduced by Kaplan & Norton, and is illustrated on Figure 2. By management system, the authors refer to the integrated set of processes and tools that a company uses to develop its strategy, translate it into operational actions, and monitor and improve the effectiveness of both.
The model includes five stages, beginning with the strategy development stage, which involves applying tools, processes, and concepts such as mission, vision, and value statements, SWOT analysis, shareholder value management, competitive positioning, core competencies, etc. to formulate a strategy statement. That statement is then translated (Stage 2) into specific objectives and initiatives, using other tools and processes, including strategy maps and balanced scorecards.
Strategy implementation (Stage 3), in turn, links strategy to operations with a third set of tools and processes, including quality and process management, reengineering, process dashboards, rolling forecasts, activity-based costing, resource capacity planning, and dynamic budgeting.
As implementation progresses, managers continually review internal operational data and external data on competitors and the business environment. Finally, managers periodically assess the strategy, updating it when they learn that the assumptions underlying it are obsolete or faulty, which starts another loop around the system[3].

Figure 2 – Kaplan & Norton Closed-Loop Management System

Level order planning is a planning model based on the formal logic of cascading goals and strategies throughout an organization to drive action towards the creation of a future desired business state. In Figure 3, the formal logic of goal oriented planning is illustrated. Goals and strategies are cascaded throughout the organization based on the transfer of strategies from one level to the goals of the next level. This simple model describes how alignment of direction is achieved throughout different levels of an organization.
As you begin the planning process throughout the levels, it is important to understand the definitions of goals, strategies and tactics. First and foremost, the definition of a goal, strategy or tactic can be answered best in the context of the level within which it is being defined. One level’s goals may be another level’s strategies. For example, in the chart below, a second level’s goals are derived directly from the first level’s strategies and so on.
Goals define a future desired business state relative to the part of the organization that is defining the goal. Goals can be stated as measurement and this is often a clear way to define their intended purpose. Strategies are a statement of “how to” accomplish a goal. Strategies further define action for the organization. Tactics are most important at the level of planning closest to the customer. Although tactics can exist at each level within the enterprise, tactics always describe “what” actions need to be taken to fulfill a particular strategy[4].

Figure 3 – Strategic Alignment and Level Order Planning

The soft side: conscious business, alignment and coordination
Hard tools and processes are a necessary but insufficient condition for impeccable execution. Statistics show that alignment is not a problem. Coordination and collaboration are. A recent study showed that 84% of managers can rely all or most of the time on their bosses or their direct reports. However, when this question is about colleagues in other departments and external partners, positive answers drop to 59% and 56%, respectively.  What it comes down to is that most executives are just not used to coordinate and collaborate
To increase execution effectiveness, then, we need to look at the “who”. The “who” refers to the people that control the tactics, that manage the systems and processes and that insure the execution of the strategy. No matter what type of business or situation, the only way to guarantee effective execution is through talented, motivated and conscious employees, led by conscious leaders in a conscious business context.
By conscious employees and leaders, we mean those that demonstrate seven qualities, as defined by Fred Kofman (Figure 4)[5]. The first three are character attributes: unconditional responsibility, essential integrity, and ontological humility. The next three are interpersonal skills: authentic communication, constructive negotiation, and impeccable coordination. These qualities seem obvious but they challenge deep-seated assumptions we hold about ourselves, other people, and the world.

Figure 4 – Conscious Business Principles

In addition, every organization has three dimensions, as shown in Figure 5: the impersonal, task, or “It;” the interpersonal, relationship, or “We;” and the personal, self, or “I.” The impersonal realm includes technical aspects. It considers the effectiveness, efficiency, and reliability of the organization. The interpersonal realm comprises relational aspects. It considers the solidarity, trust, and respect of the relationships between organizational stakeholders. The personal realm comprises psychological and behavioral aspects. It considers the health, happiness, and need for meaning of each stakeholder[6].
Over the long term, the “It”, “We”, and “I” aspects of this system must operate in concert.  Execution (the “It”) will not be effective without equally strong interpersonal solidarity (“We”) and personal well-being (“I”).

Figure 5 – Integral Approach: Three Dimensions

Finally, as shown in Figure 6, our attention is normally drawn to that which we can see (the effect), which obscures the importance of what remains hidden (the cause). We focus on results (the having) and forget the process (the doing) necessary to achieve those results. We are even less aware of the infrastructure (the being) that underlies processes and provides the necessary capabilities for their functioning. Achieving specific results requires behaving in the way that produces such results, and behaving in such a way requires being the type of person or organization capable of such behavior[7].
Thus, the highest leverage comes from becoming the person or organization capable of behaving in the way that produces the desired results.

Figure 6 – Integral Approach: Three Levels

The path to impeccable execution
The path to impeccable execution is presented in Figure 7, where we compare and contrast the hard and soft skills, and how they interact with each other[8]. The worst-case scenario is in the lower left-hand quadrant, with low soft and hard skills. This situation is very rare, since companies in this condition would not be sustainable in a competitive world over the long haul.
The most common case we see is in the upper left-hand quadrant, the one we call “Mechanical Process” (high hard, low soft skills). For example, we worked with a mid-sized service company facing this problem. One senior manager was consistently getting negative feedback from the CEO in every strategy execution meeting (stage 4, in Figure 2). However, he didn’t seem to care, didn’t seem to change his behavior and consistently failed to deliver on his commitments. After several attempts to identify the root cause of the problem, he finally confessed that he didn’t know how to coordinate his team.
The lower right-hand side (low hard, high soft skills), the situation we call “Unleveraged Energy”, is a strange case, but it also is present in a variety of companies. An example is a large telecom company we worked with, that had 10 regional units. In one case, they tried to develop an inventory of projects, integrating all the projects from all the units into a single plan. At the time, they had more than 300 initiatives, and many of these were identical to others in other units. Because of the work, they were able to reduce their investments by $6 million just by identifying repeated projects among the units and joining them.
Finally, in the upper right-hand corner (high hard and soft skills), we find the situation we call “Impeccable Execution”. In our experience, we don’t see many companies in this space, but we are encouraged to note some positive growing trends here.

Figure 7 – The Path to Impeccable Execution

One important case in this space was the successful design and implementation of a Strategic Alignment project (Figure 8) in our client, Microsoft LatAm[9].
Through a focused plan of alignment and coordination at all levels, that included more than 350 managers from across the region, all teams became aligned with common goals, interdependent strategies and detailed action plans.  The employees’ individual commitments also were tied to the company’s strategic direction. The process created strong organizational alignment and a culture of accountability throughout the region, from the Leadership Team to individual contributors.
The results were nothing short of spectacular: The region’s revenues grew 49.7% in four years while the region scored the highest rating in the company’s internal organizational climate survey. The planning process itself became a company best practice.

Figure 8 – Strategic Alignment Process

As the Microsoft example shows, Impeccable Execution is possible when you have the right balance between hard tools and soft skills.  All else depends on luck!  It is time that more companies recognize the importance of these soft skills and move towards an execution mindset in addition to their tools and KPIs.  In addition to alignment, this will foster coordination and collaboration, which will increase execution effectiveness.

[1] Source: Sull, Homkes & Sull, 2015.
[2] Source: Mankins & Steele, 2005.
[3] Source: Kaplan & Norton, 2008
[4] Source: Durig, 2010
[5] Fred Kofman, 2006
[6] Ibid.
[7] Fred Kofman, 2004
[8] Altaffer & Kallás, 2017
[9] Axialent

Why Do It?
Empowerment seems to have become an over-used term, often regarded as too vague or fluffy. So what is the real meaning of empowerment and why do it? According to dictionary definitions, there are two sides to the empowerment coin. One is to invest someone with power or authority; in other words, to delegate. The other meaning is to equip them with the ability to use that power and authority.
Proponents of empowerment have hard-edged economic outcomes in mind, going beyond the goals of increasing happiness and satisfaction of individuals. They’re also seeking the practical and strategic goals of organizational innovation, customer problem solving and lifting productivity. They see empowerment as a path to increase pro-activity, autonomy and a sense of ownership throughout the company.
In today’s business world, the demand for agility and fast learning within teams and across organizations is even higher. In the face of the VUCA world (it’s volatile, uncertain, complex and ambiguous), the ability to gain and discard knowledge, and to act without certainty or pre-established rules, is essential for survival and makes ‘empowerment’ a no-brainer.
“It doesn’t make sense to hire smart people and then tell them what to do; we hire smart people so they can tell us what to do.” –Steve Jobs

Why Not ‘Just Do It’? (or, what leaders are afraid of)
If the benefits of empowerment are so clear, why don’t we all ‘just do it’? What stops us from building a culture of empowerment? Maybe it’s the fear of what could go wrong – what if I empower people and they go too far and make a mess of things? After all, as a leader, you’re the one responsible for making sure that things run well. However, that fear of what might go wrong can lead to too much control, often called micromanaging, and that’s disempowering to others, who end up feeling their contribution is unimportant.
People need to have confidence that they have the resources to act and solve a problem. For that reason, the leadership mindset of ‘how do I set them up for success’ (rather than telling them how to do it), is at the heart of the matter. We must face our own fear of what might happen when we relinquish control, and do it anyway. As the economist, Friedrich August von Hayec, said, “Our faith in freedom does not rest on the foreseeable results in particular circumstances, but on the belief that it will, on balance, release more forces for the good than for the bad…. Freedom granted only when it is known beforehand that its effects will be beneficial is not freedom.”

Forgotten Power (or, what we’re all afraid of)
It’s not only hesitation to relinquishing control in management that hampers the road to empowerment. Many people in organizational life at all levels have simply forgotten their own power. They have learnt to buckle under, to stick to the known  and many live in fear. They fear their boss, fear losing their job, fear not getting on with their colleagues, fear failure… and this leads to a learnt helplessness and a lack of self-empowerment, often based on rational choices. You, as a manager, might begin to provide a culture of empowerment and find that your employees don’t take the initiative. This is because of learnt helplessness that has developed over the years. Employees with this challenge can be likened to the Thai elephants who were tethered with an 18-foot lead from the time they were young and didn’t discover they could break the tether as they grew stronger; even as adults without the tether, they won’t go further than 18 feet. Like this, in the context of organisations , we can fail to see how much choice and how much strength we actually possess.
These preconceptions of our own power can mean good intentioned “giving”  of empowerment results in cynicism and even panic in the team. People might not see the benefits of empowerment, and only see unguided and unresourced work,  which will cause them to feel panicked and unprepared. Human beings exist in three states: the comfort zone, where we function automatically, comfortably and often without even thinking; the stretch zone, which is the learning zone where we are consciously thinking about what we’re doing and applying effort to it; and finally, the panic zone, where things are overwhelming and happening too quickly and we are unable to think clearly.

What Motivates People?
A leader’s responsibility is to help people to expand their stretch zone: where they can learn, grow and be empowered. In the stretch zone, we’re curious, open, engaged, pro-active and present; we listen, experiment, learn and practice. This is a level of consciousness beyond the auto-pilot of sleep-walking through our workday.
The good news is that people want this level of consciousness for themselves. We all yearn for work that engages us this way. Take the work of Shawn Achor and Dan Pink . They notice people being productive in happinessand motivated by autonomy, mastery and purpose.
But there is a hurdle to overcome, as we each must tackle the fear of failure that dominates so many of our organizational cultures. While most human beings want to do nothing but the right thing, our organizations hold fear as a driver, and in that context, people fear the eye of criticism far more constantly than they feel a hand of support at their back.
In the words of Benjamin Zander, who believes in giving his students an “A” at the beginning of class and then letting them live up to it —  practicing the art of possibility in the very words we use to encourage and teach others (https://youtu.be/qTKEBygQic0). That’s an environment where empowerment can thrive.

High Delegation + High Support
It’s important to make sure that employees don’t feel that they’re being “empowered”  to do more work without having the capability, resources and support for it. Like the metaphor of driving, if we want people to take high responsibility for how they drive their car, for the safety of their car and for their passengers, as we all do? for others on the road, then agreed upon rules and support for learning are also required. We call this ‘freedom within a framework’.
What does this high delegation and high support require in the context of your leadership and your teaming?
If you want to empower others, you should ask yourself how you can serve the happiness and empowerment of your colleagues and your teams. How can you make a difference? Consider the impact your own behavior has on others. Each of your conversations can bring increased power to the other person. Increasing both the authority given to the other person and your support will increase that person’s self-responsibility and sense of ‘I can do it’. Increased self-responsibility increases a person’s capability to live in the stretch zone.

One Conversation at a Time
By tacking  this “One Conversation At a Time ” you cannot go wrong. You can change the culture of an organization step by step, one conversation at a time. You control yourself and your actions. If you don’t get it right the first time around, you can come back at it again and again. There is no  a ‘wrong thing’ to do, there is only learning.

Three types of mutually empowering conversations are  :

1. More Authentic Appreciation There are many times we think something positive about a member of our team, but we never actually voice it. The key to authentic appreciation is to be specific. Instead of saying, “Thank you for your work on this,” consider saying, “Meghan, last week when you offered to help me with my project, I felt really supported and relieved, whereas before I had felt stressed and overwhelmed. You have helped me a lot.Thank you.”

2. More Inquiry Put yourself in the shoes of the other person and ask that person to explain whatever you need to understand their. Be curious about what is happening for them especially when something goes wrong. Discover their perspective and listen to them with patience.

3. Mutual Learning Conversations These are conversations that are set up to solve a problem together, while always empowering and supporting the other person. Use phrases like: “What would you like to have happen?” “Given that, what is under your control?” “What could you do?” and “What help can I offer to help you achieve that outcome?” You can also ask questions that empower them to be part of the solution, putting themselves in the picture. That’s empowering.

And, in summary, these tips…

  • Listen, be curious, ask people what they think
  • Give honest and appreciative feedback as a way of life; catch people doing good
  • Freedom within a framework, be highly transparent about boundaries and expectations (not about the details)
  • Magnify courageous actions, expand confidence that risk taking is learning, is worthwhile
  • Encourage what is under their control, rather than focusing on them and theirs, look at me and mine, we and ours
  • Be available for mutual learning conversations
  • Put your “red pen” away

As a leader, asking yourself, “What will I do to serve the happiness and engagement of my colleagues and my team today?” – that’s empowerment.

“There is a world out there, and we speak about it.”  Most of us grew up with that story.
As I learned more about how human beings make sense of the world, I came across a concept that much more truthfully describes the process. “We only see out there the world that we can speak about.”  Is that possible?
Think for a moment about having a language for things, in the power of distinctions. For example, imagine for a second you raise the hood of your car. If you are like the vast majority of people I know, you will see “an engine and stuff”. In the face of a problem with your car, you will probably as a next step close the hood and call for help. Your friend Joe, who is an amateur mechanic, will notice something completely different. He will notice the spark plugs or the injectors, the crankshaft, the pulleys, the water pump, the radiator, etc. In his world, the system makes sense, he understands the harmony or lack thereof, the interdependencies, what is a condition for what, what certain symptoms mean in terms of possible causes. Joe has a capacity to intervene in the system that you don’t; he has distinctions you don’t. He can “see” what you can’t because he has a language for it. Finally, he can fix the engine while you can’t.
Extrapolate this to your current life, at work and beyond. You walk around trying to produce results you desire. You want to be happy. What’s wrong with that after all? Sometimes it works for you; other times it doesn’t. Why is that; what is going on? I want to postulate that you walk around using “filters” through which you look at the world. These make things appear to you in a certain way, and they have limitations, they have poor distinctions, outgrown by the context of increasing complexity and interdependence, therefore standing in the way of your accomplishments and your happiness.
Let me address some of these filters. By using more powerful lenses you will unleash creative energy that will enable you to effectively pursue your dreams.
 
Language and the Persuit of Happiness - image of robot with speech bubble

The filter of certainty

You have grown up doing three things:

  1. making stories about events you observe in the world
  2. believing these stories to be true (after all they are your stories…)
  3. forgetting you told these stories to yourself

You then walk around having opinions about almost everything, “knowing” what is going on. These constructs may have been useful at some point ; however, in the face of VUCA, they become outdated, useless. The context changes, but as you have grown oblivious and blind to your stories, you don’t question them . You continue to operate like they continue to be true.  The challenges and difficulties, the “not getting what we want” conditions,  start to show up pervasively. Then the response you give is to try (even) harder. You have the belief that if you keep at it long enough, if you keep striving, you will eventually succeed. Success becomes more and more elusive, and a tunnel vision ensues. You persist, struggling, pushing, toiling and … failing.
I want to offer that,  by taking one breath of awareness, you can reconnect with your cognitive limitations, your vulnerability, your bounded rationality. This can come across as weakness. I want to suggest that completely the opposite is true. In the midst of volatility, uncertainty, complexity, and ambiguity (VUCA), questions become much more powerful than answers. By entering this space of humility and consciousness you may begin to inquire with the curiosity of a child, finding alternatives that before were completely out of your field of awareness.
I recently read a quote that moved me to tears  – “A creative adult is a child that survived.”  Can you survive your magical child spirit and grow into that adult that can question the world from a place of wonder and awe? Can you once again recreate the conditions so the child within can survive and prosper?
And just like that, having these distinctions, as in the initial example of peeking under the hood of a car, create richer options so you can successfully pursue your dreams.
 

The filter of “blaming others and the world” for my suffering

“I was late to the meeting because of traffic.”  I am sure you heard this many times. Is it true? Of course, it is, as most cities’  freeways we live and work in are crammed with cars every morning. I read a phrase very appropriate to describe this explanation: TBU  – “true but useless”. The generative question is “ What is your power to influence the system?” If you place causality on traffic it is very low . Unless the 500,000 careless drivers become more conscious and decide not to pack the highways when it is your time to drive to work, you are doomed. Of course, a voice inside your head is yelling, “ Just wake up earlier you lazy bum..” By focusing on parts of the system where you have higher leverage, you can produce results that are dependent on you. You become power-full rather than power-less. I often ask in our workshops the (rhetorical) question,  “How do you wish to live, as a powerless victim or a powerful player?”. Of course, 100% choose the latter. However, as I also often show them through role playing, the choice of being in  the driver’s seat comes with a cost, the cost of anxiety, of accountability ; we must be willing to endure the consequences of our actions as the price to pay for power, for being in control of our lives.
I suggest that this mindset of always “responding to challenges” offers an outlook of hope and inspiration. You are in charge of your life and choose moment by moment how you wish to respond to the circumstances that are presented to you. Between the action and re-action, there is a space of consciousness. This process of becoming and acting, in consequence, can change your life forever. And,  as in our initial example, it boils down to having more powerful distinctions that create a richer field of possibilities.
Easy to say, not easy to do, but it must be done if we wish to pursue and accomplish a life of fulfillment, expansion, and joy.


(“d3&t” is borrowed from barbellshrugged.com, a podcast team that focuses on “talking training with crossfit games athletes, strength coaches and more.”)
Some of the biggest companies in the world are consolidating learning and development (L&D) efforts to focus on key changes that will transform how their companies work every day. They are focusing on embedding specialized lifestyle transformation leadership training, transformational DNA, communities of practice, and prioritizing deliberate daily training rituals to help shift mindsets and biases and elevate conscious awareness into the daily/weekly calendar of senior leadership.
You can see some of the real world cases of this being put into action in the following examples (and an even longer list of examples, case studies and references can be found at the end of this article):

As corporate dinosaurs watch these progressive-thinking giants working on their own individual and collective de/re-programming, they’re panicking noticing the gap widening faster and faster.
These companies are training vigorously to strengthen their innovation and transformation muscles in order to continually upgrade their operating systems.
WHY ARE THEY EMBEDDING THIS KIND OF TRAINING EXPERTISE?
“In three years’ time four out of 10 CEOs expect to be running significantly transformed companies.” According to KPMG’s 2016 CEO study, “65% of U.S. CEOs acknowledge that the next three years will be more critical for their industries than the past 50.”
The essential need in business today is to reimagine and reinvent business. This starts as a business strategy, design and implementation conversation, and it continues into a culture, people and mindset transformation conversation. That’s why one needs to focus on not just being a better leader (that won’t be enough), but being a transformational leader.

If you are among the business leaders responsible for implementing a new winning strategy, building new competencies and nurturing new cultural attributes, you are probably struggling to get the results you want and are open to learning about what works.
How you arrange your day to prioritize deliberate practice will distinguish the “best from the rest” when it comes to learning new things and delivering elite performance. Drop everything that stands between you and your transformation dojo. Stop all other L&D programs, so that you can focus your energy and budget on training your innovation and transformation muscles more effectively, for the sake of better business outcomes. If you are not sure which L&D programs to continue and which to leave behind, you should work with an objective specialist who can direct you and help challenge your current thinking.
MOST CORPORATE L&D PROGRAMS ARE UNDERMINED BY THE SYSTEM ITSELF
The “system” is represented by those with the power. Sometimes even the individuals who are demanding the transformation are unaware that they are not appropriately integrating L&D into the strategy, which, in the end, compromises the transformation results.
Most large corporate leadership developmental efforts are highly limited because:

  • They mistakenly treat development like an event, not a daily lifestyle practice commensurate with the chosen lifestyle change.
  • They do not tackle the dynamics of the dominant power system, which is responsible for locking leadership’s default patterns and habits into place.
    • Their L&D departments and programs often suffer from the same “learned helplessness” taught by the system. They become overly sensitive to what’s reasonable, practical and convenient for leaders to “work-in” instead of being more sensitive to what’s impactful/effective:

DON’T JUST EXERCISE — TRAIN!
The repeated cycle of failed transformation efforts isn’t for a lack of intelligence or lack of effort. It is more often a lack of understanding around how we orient ourselves to the transformation opportunity itself. We might be putting in a lot of effort, but not necessarily our best effort.
“d3&t” — Drop Everything and Train is a mantra from a podcast that focuses on talking about fitness training with crossfit games athletes, strength coaches and more.  The phrase places an emotional, physical and spiritual emphasis on refocusing and recommitting to your goals and purpose every day. There are no secrets or shortcuts for making extraordinary gains, whether we are talking about physical gains inside the gym or business transformation gains in the world of commerce.
Specifically, the metaphor of “physical fitness” is too generic to suggest an appropriate training regimen for an athlete or a company. What kind of “fit” do you want to be? World-class athlete kind of fit? Olympic medal worthy? Gold medal worthy, or will you settle for any medal? Or are you happy just to qualify for the games?  What is the specific goal? Clarity around your goal, and honesty about how far away you are from the goal, will help expose the fitness (or capabilities) gap. From there you will be able to consciously plan an effective training regimen.
More likely than not, your company’s L&D programs and culture efforts are executed like a poorly planned exercise regimen – the efforts don’t actually match the planned shift, because in most cases the transformation goals require training for a lifestyle change. Most companies brave the transformation strategy because something is not working the way they want at the current level. They feel stuck and they want to shift to the next level. Most companies in this position are lucky to get any transformation at all, much less the world-class transformation they are hoping for.
Continuing with the analogy of physical fitness, if you just want to lose some weight or just get in better shape, then exercise is enough. Engage in some physical activity that gets you moving and burns calories – simple as that. But powerlifter and author Mark Rippetoe makes the distinction that random physical exercise cannot produce a physical transformation beyond a certain point. Once the initial inspiration to get in shape wears off, our interest in transforming wanes and we stop making meaningful progress.
The only way to achieve the desired physical transformation (or transformation gains) is to carefully plan and monitor the full integration of intensely focused training for said goal. This vertical learning trajectory is required to get to the next level. Just working on horizontal learning at the current level won’t be enough. It requires an elevated awareness and focus. One must stay committed to the prescribed ongoing deliberate practice with increasing levels of stress/tension, renewal and growth across all the relevant diverse dimensions of performance training for very specific domains/specialties (e.g., strength, endurance, speed, agility, flexibility, mobility, mental toughness). One must also be willing to persist regardless of circumstances, accepting uncertainty and fear of failure achieving that specific goal. One must be committed to staying in the tension of the transition between the current level and next level.
If yours is like most companies on a transformative path, you are working on shifting from one unhealthy word cloud of culture descriptors to an ideal word cloud of culture descriptors:

  • From unhealthy (e.g., stalled sales, declining margins, commoditization, distribution pressure, self-centered, highly reactive, driven by habit, very siloed, political, risk-avoidant, fearful, punitive, command and control, traditional, discouraging, overconfident, distracted, “armored-up”)
  • To becoming a “world-class” competitor at the highest level of competition in your chosen domain (e.g., growing, partnering, reconfiguring value chains, client-centric, open, collaborative, creative, resourceful learning, integrated, inclusive, courageous, empowering, energizing)

 

DON’T JUST TWEAK THE SYSTEM – TRAIN!
“Tweaking the system” is a related metaphor and a similar trap to be aware of. Some believe that making slight modifications and additions will miraculously provide most of the transformation all on its own. See if you recognize these patterns:

  1. Physical fitness: Buying a standup desk and visiting the gym three times a week to exercise doesn’t transform my lifestyle. It doesn’t give me six-pack abs or sufficiently elevate my performance to a next level domain. It doesn’t even guarantee I’ll be healthy.
  2. Corporate fitness: Attending a few workshops every year, doing the homework exercises in my head (instead of in writing), reading a few books now and then, and sharing articles and podcasts doesn’t make me ready and fit to lead my organization on a transformation journey. It doesn’t mean I’ll be more adaptive or skilled at facilitating teams or be any more effective at complex problem solving. It doesn’t even guarantee that I’ll be better at stopping myself and recovering more quickly when my reactive stress triggers make me want to rescue, persecute, yell, gossip and bully people with my old command and control default habits.

 

In both physical and corporate metaphors, to break away from status quo leadership behaviors and dominant culture, leaders need to be transformational. They need to be:

  • Training to sustain a mastery pattern of learning (vertical learning)
  • Training to sustain adaptive levels of growth and performance
  • Training to sustain relational connection, support, coaching and identity

Exercising and tweaking the system are not the same as training.We don’t get the desired result of getting to “consciously competent” with new capabilities and new default habits that help amplify the business strategy with mere exercise. Without proper lifestyle training (reprogramming), we are still consciously INCOMPETENT and therefore undermining the business strategy with our consciously incompetent gaps.
 

Corporate training L&D programs designed specifically to support transformation include a very focused training regimen. Effective programs clearly articulate the business context, shape the environment, and design the strategic scaffolding of support, discipline and liberating structures. Effective programs make it safe enough and challenging enough to help individuals and teams reach their full transformational potential. The most effective training focuses on integrating the deep work of the intellectual, physical, spiritual, emotional, relational, procedural, structural areas of people’s lives. Transformation happens in community. So, we have to train together in a way that recognizes them/us/me as a whole human being, irreversibly changing the DNA of the person, the team and the culture. That’s how to accelerate the desired lifestyle transformation.
d3&t
We’re all at our own current level – pursuing our own next level. We are all working through that transition on the path to transformation.  Winning and losing the transition follows basic patterns that one can unconsciously fall into or consciously train to more effectively climb out of. See for yourself – sample from the never-ending buffet line of training benefits.
Don’t just be a better leader, be a transformation leader.
Or consciously choose not to transform.
Prioritize what needs to transform and why it matters to you. Prioritize which muscles need to be developed and in what integrated sequence – then get your reps in. Embed a deliberate practice into every day and embrace the lifestyle changes that need to be made. Be kind to yourself as you prototype your own sustainable rituals and rhythms that you can fall in love with.
 
Don’t just exercise and tweak the system – train. Train like your business strategy and results depend on it. Or consciously choose not to transform.
Train like you’re truly committed to developing these new muscle groups by making irreversible lifestyle choices. Just “exercising” undermines your winning strategy. Real, integrated “training” for a transformed lifestyle, over time, amplifies your winning strategy.
Don’t just train alone – train together. Practice not quitting — together.
Or consciously choose not to transform.
Life is the dojo. Life is the curriculum. There’s nothing to figure out, nothing else to go find. Drop everything that stands between you and your “dojo.”  Drop everything and train.

It can be hard for very successful leaders to retool their leadership abilities.
But we all can.
It’s actually very simple, but it’s not always easy.
Easy or not, many of us are upgrading our leadership constitutions. We’re leading in times of extraordinary change; many believe it’s now or never. Many of us are self-authoring the greatest chapters of our leadership story.
Many C-suite execs have been working on their own personal retooling for many years, transforming themselves. As a result, they are amplifying the impact they have on their team, their families and their organization. They are leading differently at work and at home – it shows and it’s working.
They are building momentum towards a culture where curiosity, openness, understanding, wise risk-taking, agility, creativity, commitment and accountability become embedded in “the way we do things around here.”
These transformational leaders have chosen to engage in an ongoing mutual process of learning to raise one another up and shifting to a culture (a new system) with higher standards and higher levels of purpose, relationship and performance in order to more quickly and effectively get to the complex problem solving together.
But they were probably born for this, right? They probably have more time to work on that kind of stuff than we do. Their situation is probably different; they are different; they are special and gifted in the magical secrets that we don’t have access to.
Probably not. They are not unicorns and there are no shortcuts.
They have simply adopted new lifestyle habits that strengthen their transformation leadership muscles. We all have these muscle groups, but they haven’t all been developed yet. We all have the gift. We all have the same amount of time. With deliberate, purposeful, intensely focused practice (embedded in the way we work and schedule our days), these new muscles have helped them see more + work better + feel stronger in the face of transformation challenges. That’s how adult development works. If we want the elevated performance benefits of vertical learning we have to train in the same way that high-performance athletes develop their muscles to respond differently. Transformation leaders have been training their muscles to be transformation-fit, like Navy SEALs train to be SEALFIT . It’s a form of integrated training with specific, sustainable, lifestyle performance goals in mind.
Transformation (innovation) leaders have learned to get better at letting go of their biases and default/reactive habits in favor of greater awareness leading to resourceful, more effective habits. They have learned to respond more creatively, more collaboratively, more adaptively and more curiously. They don’t respond perfectly every time, but they recover more quickly now and they respond better more often (than yesterday) and, more importantly, when it matters most. They’ve learned to manage polarities and leverage the simple rules that drive complexity better. They have learned to use power differently and play the long game better. They’ve learned to let go of their addiction to old success formulas, dominant power structures and outdated leadership paradigms that have limited the visibility of all their options/choices/possibilities holding their teams back and holding their organizations and strategy hostage for far too long.
They have chosen to be more ready to lead change than others. They have chosen to be more ready to “mobilize for the fourth industrial revolution – It’s now or never,” proclaims the cover of KPMG’s CEO Outlook 2016. The summary headlines in this CEO report are echoed everywhere – in every forward-looking body of research: “The next three years are business critical. Industries are transforming faster than ever before. Innovation is a matter of time. Customer focus and investment will increase.”
It’s never going to be this slow again. Transformation is no longer just a business practice. It has become a way of life – a lifestyle choice for leaders in the new normal.
Are we ready to embrace transformation leadership and innovation as life? The more of us who are ready, the further we all get.
In our lifetime and our children’s lifetime , it will always be time to “chop wood and carry water.”
It’s time to fall in love with the process.
It’s time to train.

The hard reality is that good people do bad things and honest leaders let it happen. While out-and-out fraud certainly occurs, the daily parade of headline-grabbing scandals that impact our leading corporations are being instigated by leaders we would otherwise think of as normal, hard-driving executives.
As we learn from behavioral economists such as Dan Ariely, it is normal human nature for all of us to cheat a little bit. Human nature as it is presents a constant choice between satisfying our self-interest and doing what we feel is right. We balance our desire to get more for ourselves with our desire to perceive ourselves as honest. So long as our self-aggrandizing actions don’t make us feel like we are cheaters, we will continue to act only in our self-interest.
We start with little things: white lies becoming bigger, taking office supplies and small fudging of details on expense reports. We see whether such actions are the kind of things we can share with peers around the coffee machine. Once we get feedback that these actions did not cause us harm or social ostracism, we find ourselves pushing the envelope further. We are now well on our way down the slippery slope. We are all vulnerable to varying degrees of rationalization and self-deception. We will tell ourselves stories to justify our actions and remove the dilemmas from our decision-making.
So how do we change behavior and make ourselves more virtuous? The first step is self-awareness of what we are, in fact, doing. Just being mindful that we are human and subject to these pulling demands is a critical place to start. We don’t need guilt for not being “perfect.” Being human is being in the game of daily choices and not pretending that we can stand on a pedestal of propriety and be immune to the dilemmas we all face. We need to be mindful of the blind spots and unconscious biases we all embody. Our upbringing and social environment embed our unique set of biases: what is right or wrong, what is safe or dangerous. In organizations, this is the vital first step for leaders — to recognize that an ethical culture is not created by just setting high standards but by understanding how we are all vulnerable.
The critical second step is then to create an environment that reduces the temptation that plagues all of us. Leaders have an obligation to understand what will reduce the risk of misconduct.
Where do we start? We each need to understand where we may be our own worst enemy. Ethical people are not always ethical leaders. They may be giving mixed signals to employees about expectations. They may be unknowingly creating a workplace environment that is so stressful that it leads individuals to take actions they are not proud of.
What steps can we take? Several tools used in conscious business provide a powerful platform for the self-awareness needed to reduce the risk of unethical conduct.
I/WE/IT — The I/WE/IT model is a powerful tool to see a broader picture of how to find a sustainable and successful balance in one’s actions. In the narrow focus of achieving goals (IT), individuals can allow themselves to put on blinders that focus only on this goal. However, remembering the “I” is an important stopgap that gives pause to one’s blind focus actions. Taking steps to remember why I am engaged in this action and asking if it truly serves me can be a valuable wake-up call. Similarly, having a healthy set of relationships (WE) in your world can also be a powerful wake-up call. Having individuals whom you trust enough to call you out on your actions can help break the auto-response blinders of self-deception.
Managing polarities — One of the more common reasons why good people engage in bad behavior is they push themselves into a binary decision: “I have no choice but to take this wrong action”; “the ends justify the means.” But what if we could acknowledge the tensions between what the organization says it needs and what is the right thing to do? Polarity mapping is a powerful tool to understand that organizational goals and maintaining high levels of integrity are not opposites, even if they are in tension. The exercise of understanding what the positive and negative drivers of meeting business goals at all costs are, as well as the effective and ineffective way of imposing standards, will create a powerful dialog that can help individuals and organizations find an effective balance.
We all want to do the right thing. But we are also human. Understanding how our human nature influences our decision-making gives us the power to prevent good people from doing bad things.

Let’s be real. Our classic learning and development world was designed around the knowledge and expertise “haves and have-nots.” The world has evolved, and it is time that we do as well. We do not need more content and more cognitive knowledge. It is all at our fingertips in this age of the sharing economy.
We live in a world of savvy, digitally native creators where little happens, even if you are an individual contributor, without the interdependency of others and the influence of outside data. Cognitive knowledge is one Bing, Google, MOOC or TED Talk away.
Gone are the days of simply rolling out “training.” We are in a world of constant change, and digital disruption is now both a tool and a distraction.
Learning and development professionals have to navigate these new realities in order to create opportunities — like flipped classrooms and virtual conferences — and leverage what we know about neuroscience and the power of social learning. This navigation is often further complicated by corporate restructuring that leaves us focused on helping “survivors” be our outstanding talent of the future in an environment of uncertainty and change.
We are doubling down on doing more with less in a climate where leaders who demonstrate curiosity, creativity, agility and authentic collaboration hallmark true sustainable success.
The sharing economy is a disruption and an opportunity. With mutual need, trust and collaboration at its heart, the sharing economy is here to stay and changing the way we do business and see the world.
The mindset of “sharing,” value creation, opt-in, open source and easy access are growing expectations of our employees and customers alike. This means that we as learning and development professionals need to create and curate programs that are relevant, valuable, easy to use, accessible and very focused on leveraging the knowledge that already lives in the system. Our focus is quickly shifting to being curators and enablers of learning in action and through collaboration. This has major implications on what programs we sponsor and how we sponsor them. Gone are the days of the sage on the stage. We are now guides on the side, connecting our employees to learn from one another and leveraging the internet umbrella of knowledge available just a few clicks away. Building technical expertise will still be important, but what will be critical is building stellar learners and sharers within our organizations. Most of the work done in today’s corporate environment requires collaboration in and across high-performance and, better yet, purpose-driven teams.
The challenge is that these teams are not only global but they also operate virtually in a complex matrix where it is necessary for them to source their measures of success intrinsically rather than from the certainty of executing on their task, as these tasks can get reprioritized in a single email exchange.
Leaders and team members alike need to possess strong interpersonal skills that translate in a virtual environment. These skills are needed to create an inclusive environment with the understanding that cultural differences matter, and mutual value creation is what drives healthy interdependence.
One of the most difficult tasks for leaders of global teams in this new world is to have the humility to recognize that their styles of decision-making may be deeply rooted in old ways of working before the rise of mutuality and sharing. Research shows that, in a geographically distributed team, trust is measured almost exclusively in terms of reliability, so leaders of virtual teams need to concentrate on creating clear expectations for all members of the team while checking in mutual value creation within and across to other teams.
The implications for learning mean that the human elements of building trust through impeccable coordination, humility and reliability require very different skills and mindsets for leaders. We are charged with growing leaders who have human-centered mindsets and skill sets that enable learning in action, sharing of ideas, and the agility to pivot in the moment while maintaining strong and often virtual relationships.
We are charged with tapping into the knowledge within and outside our systems. We need to curate experiences that grow adaptive systems thinking, polarity management, design thinking and the inclusive leadership needed to drive innovation (creativity) as well as the ability to leverage diversity, build partnerships, foster a learning attitude and inspire vision. Devices will never replace or even compete with the learning benefits of human interaction. However, the internet is an organizer, amplifier and information accelerant that feeds our desire to learn, with powerful tools that allow us to create our own paths of inquiry and share what we learn. Search is magic, and that information has never been more engaging, accessible and customizable. But “learning” and “development” are two different things. Current curriculum, even when delivered with the tools and media of the information age, do not fully engage leaders nor prepare them with the skills they need to prosper in the 21st century.
Global learning and development is no longer about rolling out training. It is about transforming the mindsets of leaders, including how they define their individual identity, and shifting success from knowing to success from learning and sharing.
We need to be thought leaders in developing expert disrupters and creating transformative environments where learning and development are as easy, seamless, respectful and collaborative as Uber is to transportation and Airbnb is to hospitality. Virtual classrooms will only work with a strong focus on human connection and opportunities for learning in collaborative action, where we are leaning on our peers and making learning and development a sign of success rather than an opportunity to prove what we know.
Search for the pain points in your organization, identify allies within the system to influence learning solutions, and make it real, relevant, valuable and collaborative with a strong focus on humanness, while leveraging the knowledge that exists within the system. As leaders who walk their talk, we need to go about this in a way that demonstrates the very mindsets and skills that we are aspiring to grow within our systems.

With the exponential rate of change in the world, talent wars, a competitive focus on penetrating new and emerging markets faster and more effectively, merger and acquisition growth strategies and the cultural complexities that arise accordingly, organizations are requiring a very different set of leadership competencies.
While logic, mechanical thinking, and technological advances drove the past economic eras, we have now transitioned into a new economic and social era driven by more human dimensions as the world becomes more flat and our workforces much more global and diverse. The business case for diversity is well established; however, the art of the inclusive leadership necessary to leverage this diversity is still emerging.
Truly competitive organizations are transitioning away from running on the adrenaline and cortisol of stress and fear to a much more sustainable focus on creating purpose-driven value and competing for top talent through the safety and care in their inclusive and innovative cultures. The old paradigm of hierarchical infrastructure, of command and control, and of top-down leadership is crumbling under the weight of stakeholder demand for creativity, inspiration, and meaning from the companies they support and trustworthiness from the leaders within these organizations. Successful organizations are in need of diverse leadership talent who can demonstrate greater and greater agility and drive innovation to meet and compete in the changing and demanding marketplace.
What are the qualities of an organization where agility, inclusive leadership and innovation come together culturally?
Imagine a workplace where experimentation and participation are encouraged. Imagine a place where ideas are challenged and people feel safe to speak their minds. Imagine a place where mistakes are considered opportunities for learning and best practices are naturally transferred across the business. Imagine an organization where it is safe for people to ask for help. Imagine a place where people are not measured only by their technical expertise, the amount of knowledge they possess and their bottom-line results but also on the quality of their questions, their ability to create followership, and their ability to leverage the diverse thought leadership in their teams. Imagine a culture where leadership prowess includes the ability to create the conditions for others to experiment, create, fail, learn and thrive. These are the hallmarks of an inclusive, agile and innovative work environment. Research has shown that sustainable innovation is impossible without an inclusive work environment.
The problem is that we can’t simply DECLARE an inclusive and innovative work environment. We can’t simply TELL leaders that they need to be more agile and inclusive. We have to address the mindsets and behaviors, systems and symbols that make this culture commitment real.
Inclusive and innovation cultures are not born of well-positioned internal or external marketing campaigns and declarations. They are the result of diligent culture work and of inclusive leaders who are committed to people feeling welcomed, valued, heard and respected. These cultures are driven by leaders who know that, as human beings, we are working against an innate hardwiring of unconscious bias and drive efficiency and equilibrium. Inclusive leaders know that we are neurologically designed to filter information and to compartmentalize in order to navigate our complex worlds. They know how easy it is to fall into the trap of believing that our truth is THE truth.
Inclusive leaders know that their leadership effectiveness is not dependent on the idea and intention to include but the DEMONSTRATION of inclusivity, which requires a commitment to deep self-awareness, humility and curiosity. Inclusive leaders are more focused on learning and leveraging the talent of their team than being “right” or “looking good.”
In a 2012 study* on the business performance implications of diversity matched with inclusion, showed that when employees believe that their organization is committed to and supportive of diversity AND employees feel included, they report significantly better business performance in terms of their ability to innovate (an 83 percent uplift), their responsiveness to changing customer needs (a 31 percent uplift), and in team collaboration (a 42 percent uplift). Inclusive leaders welcome opportunities to expand their viewpoints. They know that their limited perspectives, no matter how experienced, allow them to perform efficiently at the speed required by the circumstances (“economy of habit”). They also know that there is a cost to these perspectives and habits. They role model the humility and curiosity needed to make it safe to speak up and challenge authority in service of doing things in ways other than “the way we have always done it.”
Creating a culture of agility and innovation requires leaders to go beyond their comfort zones and get curious about others’ perspectives. It requires inclusive leaders who take responsibility for their actions and their impact on others. Agile cultures are driven by inclusive leaders who visibly champion diversity and drive innovation initiatives. They are driven by leaders who demonstrate a collaborative leadership style and embody merit-based decision-making. Agile cultures reward leaders who seek out and value others’ opinions. They champion leaders who create a sense of collective identity/shared goals within their teams — leaders who have the mindsets and skill sets to actively manage conflict and establish clear assessment criteria while promoting a nonauthoritarian “speak up” culture. Agile and innovative cultures encourage appropriate risk-taking, and they reward leaders who demonstrate tolerance for “noise” and “disruption” needed for true creativity. These cultures provide open and easy access to decision-makers and challenge leaders to manage team member “airtime” in order to create an environment that is safe and open.
Organizations that are determined to meet the exponential change in the marketplace are first addressing the change needed in the workplace. They are redefining what leadership looks like, moving away from leaders who are the sages on the stage to inclusive leaders who are the guides on the side. This requires a commitment to redefining leadership and success to include the deep self-awareness, humility and curiosity necessary for agile, inclusive and innovative cultures.
 
*Deloitte: Waiter is that inclusion in my soup? A new recipe to improve business performance.