Strategy v. Leadership

Recently in a discussion group the following question was asked; Which is more important good strategy or leadership? Here was my response: Assuming that leadership already exists and is recognized within an organization, leadership will always win in the short term. Short term results are based on tactical actions that lead to or create a stated specific desired effect or result. For sustainable success, strategy and leadership must coexist but be independently recognizable by the organization. Leadership is the enforcement and strategy the plan, one can not carry the burden of improvement or change without the other. Unless unified and evident by daily actions and responses, the destiny of any project or the success of any organizational goal, will ultimately yield results below expectations.

In the absence of leadership, good strategy will remain on paper only. Leadership without strategy will perish.

Whether you ascend into leadership or have it placed upon you, strategy development (that is to say, strategic planning and strategic visioning) is the primary support structure that holds you in position.

A New Beginning?

So it is the start of a new year and if you are like most people, you think through things you want to improve or change about the direction your life is taking. Some may even write a note of commitment to help them stay focused on the new behavioral changes they hope to make. This seems obvious for individual behavior but is it as obvious and commonplace for most small businesses. How many of the owners and senior managers of independent businesses take time to seriously evaluate the past year and then actively plan how to make the new year more successful? My guess is not many. Businesses that do not use the past as a means to understand their successes/failures and or their strengths/weaknesses are destined for mediocrity. I am not advocating some large multi-layered and time consuming process but simply, an honest appraisal.

Ask of yourself or business any or all of these questions:

1. What would I do differently or not at all that would have made for a better 2007?
2. What should I have done or do more often that would have made for a better 2007?
3. What problem do I need to solve in order to be more successful in 2008?
4. What actions do I need to take to solve this problem?
5. What opportunity do I need to create in order to be more successful in 2008?
6. What actions do I need to take to bring this opportunity to our door step?

These are very basic questions that on some level we ask of ourselves each and every year. Isn't obvious then that we should ask about our businesses?

Wishing you a Happy and Prosperous 2008

Business Basics

Some one once said, "just wait a moment and things will change." This is certainly true for many business models. Technologies change, production methods change, consumer demands change, pricing models change, competitors change and yes, even customers change. But the one thing that is still consistent about business is the need to manage and continue to follow the basic concepts that make for a successful business.
In the game of football a coach told me that in the end it all comes down to blocking and tackling. If you can do those two things well then you will come out ahead when the whistle blows. Sure you may say that game day strategies and play calling are critical to scoring or preventing a score but the plain and simple fact remains that no strategy ever made a tackle on the goal line on the last play of the game.
Blocking and tackling, is what businesses, especially small businesses need to remember to do in order remain successful. So, what are the basics?

1) Be more efficient tomorrow than you are today
2) Be aware and ahead of market changes
3) Be customer driven
4) Communicate, communicate and communicate your value

These four (4) things can also be labeled this way;

1) Cost effectiveness
If you are not, then your competition will be
2) Future focus
If you are not, then you will become obsolete
3) Relationship builder
If you are not, then customers will find some one who is
4) Marketing and promoting
If you are not, then no one will find you
For many businesses these fundamentals are too often ignored, especially when things begin to heat up and profits are eroding or sales are not growing. They become reactionary in response to changing market conditions and all to frequently make hasty decisions that are not in concert with managing these 4 principles. Yes, business can still survive even when making or not making decisions that are not rooted in the above. But are they as successful as they can be or as they had been.
Businesses most continue to reinvent themselves. Sometimes this is a long process and other times the nature of the business dictates a faster turn around. Either way, while in the process of reinvention you need to keep true to that which keeps you in business today;

1) Profitability = Efficiency
2) New products and services = Market awareness
3) Customer retention and growth = Relationship building
4) Making yourself known = Marketing and promotion

Leaders - Lift Others to Greatness

A unique and almost entangible quality of a true leader is the ability to bring out the best in others. A leader understands that success is the accomplishment of something that had not happened before. Success is not the repetition of past events but the creation of new opportunities, solutions, processes, products or services that are unique in their time frame and market or environment. To overcome the challenges of creating something new, requires people to rise to a level that they did not know the had inside themselves. Leaders find motivational tactics and processes that encourage and challenge those around them to raise their game. This is not to say that the motivaitonal process is always a pleasing process. Leaders learn to when to push and when to pull back in motivating people. Often those involved will find themselves frustrated and unsure of why they have accepted the challenges of working with a leader driven to accomplish their goal. A good leader knows when they are asking too much from those in their care. But a good leader will work to keep that person on the edge of creation and the brink of eruption without crossing the line and losing the confidence they have in the value of the task at hand and their ability to make it happen. Not all people are able to work with strong driven leaders, but those that do will find a reward that many others will never encounter. The joy of achievement and the satisfaction of knowing they could accomplish that which others could not. Leaders surround themselves with people who have an urge to define themselves differently from the masses. People who appreciate the value of accomplishment. Assembley of a team is people with the focus and ability to carry out the tasks at hande is just the starting point for a leader. He or she must know the motivational buttons for each and every team member. These button are not the same for everyone. What is motivational to one person may be disrespectful to another. Leaders challenge people to evaluate themselves and their abilities. The process of challenging people is a delicate balance of critism and encouragement. Leaders find that edge that cause a person to not be satisfied with their progress but yet not discouraged with their ability to accomplish the desired results. This balance is the key to unlocking the true potential of others and the key to creating that which no one else before you have been able to create.

Leaders manage relationships

Leaders know the value and the importance of relationships with their family, friends, peers, associates and employees. In order to be effective you have to treat the people and supporting businesses that you associate with in a fair and balanced manner. There is no such thing as a casual relationship. Any relationship that is worthy to be called a relationship needs to be cared for and always be in a constant state of development. This is not to say that every relationship works. Rather to say that when a relationship slides downward, leaders mange the process. The successful leader knows the dangers and risks associated with a badly managed relationship. One poorly managed relationship will have more impact on future opportunities then 5 strong relationships. The key to success is to minimize the negative influences along your path to achievement. Make your association with others your priority and manage it carefully. If a relationship needs to end in order to move forward, then treat the decision with proper attention, research and care. Be sure that all involved understand the decision in a manner the will retain interest in your future success.

Leaders do their homework

Leaders know the terrain upon which they make their path for success. No successful company or team ever got to the top without knowing how they got there. In order to know where, when or how to make your move you need to do your research and know the factors and issues that got you where you are today. The best leaders live in the future while learning from the past. They see the possibilities and fully visualize the accomplishment of their goals. Yet, they avoid pitfalls and barriers that contributed to past failures. To secure success for the future, you must know what has gone before you. Leaders, fully analyze the situation that exists today. They uncover obstacles and seek disclosure of information and performance issues of the past, so as not to repeat them or be surprised by issues that will detract or derail them from making the changes that are necessary for success. History is the study of past events that lead to current situations. Harnessing the experiences and the knowledge gain along the way is a key ingredient to future success. How is it possible to know where you are going if you do not know where you have been? If you can not answer this question you may end up back to where you started.

Leaders - Lead

There is a difference between leadership and management. By definition, true leadership is focused on the achievement of specific goals, working to bring future opportunities into a reality today. This is not to say the leadership is single minded and myopic in its perception of reality. Rather to say that leadership, real recognizable leadership is the outward expression and the ability of a chosen few to visualize a (not THE) future, understand its potential impact and assemble others to bare the load and share in the development of creating the path that will ultimately determine the future. Leadership cuts through the drudgery of skepticism and sheds the negativity of doubtful minds in the quest to create a new opportunity. It is important to note that "leadership" is not a term that should be perceived as purely for the "good". There is an equal amount if not more leadership that is focused on "evil and destruction" but understand that the qualities of a leader are no less the same. What is different is the agenda and the goal. In many organizations you can look back on the successes and failures and see for yourself that there were leaders in both the positive role and the negative role of achievement. Some people may term the negative leaders as "devils advocates" or "pessimistic pragmatic critics". You have all seen this. For every positive statement in direction there are those who do not see it the same and will work aggressively or passively to prevent those goals from being achieved and by doing so the look to achieve their own goal of status quo or reverse productivity just to prove they were right and had the power to lead, all be it in the wrong direction. Leaders fight for what they want. Leaders take the hit for problems that occur while following their path. Leaders take responsibility for their actions and for the actions of their followers. Leaders with stand the pressure of opposition. Leaders are servants to their goal and their followers that make the path clear. Leaders stand up to be counted. In short, Leaders, lead. The key to success is know your leadership style. Are you a leader for the positive change or are you a leader for the status quo?