Posts

The New Leadership is Horizontal, Not Vertical

/20 Comments/in /by

Horizontal LeadershipSeveral decades ago, when “leadership” became a Big Thing, it was heavily personality-based. It posited Leadership as something done by Leaders, who had learned the art of how to Lead. As a consultant friend of mine, Renee Wingo, put it, “It’s a subject whose proponents can’t figure out whether it’s a noun, a verb, or a gerund.”

Leaders were thought of as those who were followed by others. This dichotomy fed the idea that there are two kinds of people in this world – those who lead, and those who follow. Besides reinforcing the personality-based view of leadership, it raises the classic make or buy question – are Leaders just born, or can their secrets be unlocked and learned by others?

Finally, this distinction between leaders and followers fed a natural assumption that those roles were vertically related within an organization. Think military chain of command. Think bosses and subordinates.  To this day you’ll find many business writers harping on “the difference between leaders and managers,” as if the terms carried some ordained meaning.  In any case, it meant that leaders outranked followers.

Warren Bennis was (and still is) the [leading] guru of leadership. Much of what he has written is about Great Leaders, whether as exemplars, or as subjects in their own right. He held conversations with Leaders, who basked in his attention as much as he did in theirs. The majority of Bennis’s many book titles on the subject center around the noun “leader.”

Leadership development, in this personality-based view of the subject, was something that companies offered to elite groups – those with “high potential,” who had the inner capabilities to become leaders of others. The few, the proud, the Leaders – those were the ones granted the key to the next level.

Away from Personality-based Leadership

That was then; this is now. Things have changed, gradually but firmly. The concept of a hierarchical, vertical relationship between “leaders” and “followers” or “managers” has become less and less descriptive of the world of business. In its place we have networks, webs, relationships, alliances, collaborations, joint ventures, ecosystems, cultures, and communities.

This is not just a function of web-based aggregations, or faddish vocabulary. It is built into industrial structure, with much greater global sourcing, modular supply chains, and focus on core businesses. Language follows structure, not the other way ’round.

Enter Horizontal Leadership

What that means for leadership is simple but profound: the essential relationships are no longer the vertical relationships contained within corporate silos,  but the horizontal ones that link people across organizational boundaries. The New Leadership isn’t vertical, it’s horizontal.

This forces us to do a better job of defining leadership.  It never was about getting people to follow; it was about getting things done. It still is. Except now you get things done less by lining up the troops, and more by generating movement around a common goal. Horizontal leadership might be defined as “persuading others over whom you have absolutely no direct control to join you in a common cause.”

The “skills” of old and new leadership certainly overlap. You can’t lead horizontally or vertically if people think you’re dull, or an ass-kisser, or hopelessly insecure. But there are differences. The skills of horizontal leadership rhyme with influence, persuasion, and trust. Particularly trust.

Because the biggest difference between vertical and horizontal leadership is reciprocity. To be a vertical leader, you don’t have to be a good follower. But to be a good horizontal leader, you must know how to be trusted – and how to trust. It is not enough to be trustworthy; you must also be a risk-taker, and know how to be vulnerable, two prerequisites of the ability to trust.

Vertical leadership, like command and control, largely goes one way – from top down. But horizontal leadership is best practiced through trust, and trust is bi-lateral; you have to be good at trusting, and at being trusted. “Leader” is not a permanent attribute – it is a mindset/skill-set/role that is played at a given time by a given person, who the next day must play, equally well, the role of follower.

Which means, in today’s world, we each have to behave as leaders, or we simply don’t succeed. This is not New Age pablum-talk; it is a meaningful statement. In a networked, connected world, the skills of playing nicely together in the sandbox – horizontal leadership – cannot be squandered on an elite “high-potential” group; they have to be broadly taught. The concept of leadership development needs democratizing.

The future of leadership is horizontal, not vertical; and the future of horizontal leadership is learning the ways of trust. That means teaching trusting, and being trusted. And it means an approach to teaching leadership that is far more broadly-based than it has been.

Trust based Leadership

/2 Comments/in /by

With all the trust surveys proliferating out there, I’m sure one of them includes questions that rhyme with “do you trust leadership of __?” And if so, I’m pretty sure the numbers have declined over recent years.

And I think most C-suites would agree that leadership—at corporate and institutional levels—would benefit greatly from being more trusted. In other words, the times scream out for a clear approach to trust-based leadership.

So—here are the headlines. 

Trust-based Leadership: the Top Ten List

1.    Don’t Fake It. The best way to be trusted—by far–is simply to be trustworthy. Reputation follows trustworthiness—not the reverse. The best PR comes from publicizing good things, not from spinning them. Don’t put your marketing, PR, or communications in charge of trust; you are in charge of trust, 24-7, by your own thoughts and actions. Don’t confuse the metrics with what they are supposed to measure.

2.    Your Ego is Not Your Amigo. Being driven can be OK. So too can being impatient, customer-obsessed, product-obsessed, design-obsessed, or people-obsessed. What cannot be OK is being obsessed with yourself. If you can’t check your ego at the door, seek professional help; stop taking it out on others. It is Not About You. If you think it is About You–you might be a bad leader.  

3.    Collaborate, Don’t Compete. No one is the enemy. Not your customer, not your supply chain, your employees, the union, not even your competitors. If you think you are competing with anyone, you are focused on gaining advantage over others; you are making yourself the center of things. (See Rule 2 above). Let others obsess with competing. You be the one to go think about what you can do for [customers, employees, your supply chain, even your competitor]. She who adds the most value lives best. And longest, at least in terms of client loyalty.

4.    Leading is Emotional. Choose your own leader; not one of the Usual Suspects. Now ask: were they passionate? My guess is they were, and their moments of passion were the source of much of their influence. Leaders lead, which means others follow them, and emotional passion is a big driver. Very few people follow the numbers-only guy or gal.

5.    Integrity Means Wholeness. You can’t be all things to all people. The more you try, the less integrity you appear to have. What you can do is to be the same person, at all times, to all people. That makes you whole, entire, integral—one who has integrity. A leader is unafraid to show his whole self.

6.    Be Transparent. A trust-based leader welcomes reality. The goal is to change reality, not to spin it. To see things as they are and to change them is noble. To see things as they aren’t and talk about them as you think you would wish others to see you as talking—well, that’s just BS. Don’t go there.   A leader knows that reality is her friend.

7.    Play Long Ball. You can’t be transactional and be trusted. Transactions can only be trusted in packages. Time is the key. Never cut a deal with someone—cut the 27th deal in a chain of 132 deals you intend to cut with them. That way you build a relationship—reliability, connection, mutual obligations, and the business vocabulary to express them. A leader is always thinking and acting in the long term.

8.    It’s Personal. The Godfather line, “It’s not personal; it’s business” was precisely wrong. It is both. Leadership can’t be trusted unless leaders are trustworthy. Companies aren’t trusted (except for the narrow case of reliability); people are. Trust can be engineered; but at the end of the day, all trust is experienced as personal.  A leader exemplifies it.

9.    Trust is Relationship. Robinson Crusoe didn’t need trust (before Friday, anyway). Trust is like ballroom dancing—you need two to tango. One trusts, the other is trusted. One by itself isn’t even the sound of one hand clapping. It’s non-trust. You can’t be trusted if you don’t trust back.  There is no trust without both parties in relationship. A leader knows how to play both roles; by trusting, he becomes trusted. By being trustworthy, he invites trust.

10.There is no Trust without Risk. Trust mitigates risk, but only by taking another risk. Ronald Reagan’s ‘trust but verify’ was good politics, but bad trust. Verification destroys trust. Trust is risk freely-taken, for the greater advantage of both. It is paradoxical, which is why risk-mitigation techniques end up destroying it. A leader knows that sometimes, she’s just gotta take a leap.

Trust Is the New Leadership In A Flat World

/5 Comments/in /by

Thomas Friedman’s book The World is Flat is an absurdly great best-seller.

It was a best-seller when printed in 2005, and as of today it’s still ranked #112 on Amazon. That’s a lotta bananas.

I don’t recall if Friedman ever defines “flat”—but it is an apt adjective.

“Flat” conveys the sense of “level playing field,” as in markets opening up to competitors from everywhere. It suggests a levelling of wages and prices, for the same reason. And it certainly conveys the feeling of lots and lots of interaction between buyers and sellers.

But enough about Friedman. Here’s what “flat” says to me.

Business used to be about stable, vertically organized, fire-walled, corporate entities—which competed against each other. That was business.

Not any more.

In the “flat” world, we don’t have corporations—we have supply chains. The vast majority of the auto industry’s costs are purchased costs. I’m told that when Tata set out to design a sub-$2500 car, they didn’t call a company meeting—they called a supply chain meeting.

The old job of leaders and managers—to organize (largely hierarchical) efforts within the walls of the Good Ole Corporation—is disappearing.

The new job is being done by supply chain managers, customer relationship managers, key account sales managers, and field engineers.

And that new job is not about directing people over whom you have control—it is about influencing those over whom you have absolutely no control whatsoever.

Trust is the new leadership.

It’s no longer about how you measure, motivate and inspire those beneath you or with the same W-2 form as you. It’s about how you connect with, help, and serve those with whom you interact in the Great Outside World.

Trust is the new leadership.

It’s no longer about how you help those who depend on you. It’s about how you help those on whom you depend.

And there’s the rub. Our old leadership models were internal; it was OK to help your people—after all, you all worked for Good Ole Corp.

But in old-think strategy, the customer and the supplier are your competitors too (think Five Forces model). Don’t share your cost information; contract for everything; you get what you bargain for; check with the lawyers.

In a flat world, old-think strategy runs smack up against new-think leadership.

In a flat world, you actually have to trust your supply chain. Your supply chain is your friend, not your enemy.

It’s no mistake Davos this year was all about collaboration. Collaboration is the new competition.

And trust is the new leadership.

Like old “internal” leadership, it comes with a paradox. If you focus on serving others, you will be served yourself. But if you set out to serve yourself by the “means” of serving others, you will be found out.