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Mike Hohnen

Coaching for personal growth, change and development

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Change your mind and grow

April 13, 2022By Mike Hohnen

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In my previous post, we looked at two very different ways of seeing the world of work: Transactional and Transformational.

So the next obvious question is why don’t more companies teach their leaders to be transformational?

Organizations have grown skilled at developing individual leader competencies, but have mostly ignored the challenge of transforming their leader’s mind-set from one level to the next. Today’s horizontal development within a mind-set must give way to the vertical development of bigger minds.
___John McGuire and Gary Rhodes Transforming Your Leadership Culture, Center for Creative Leadership

The challenge is that being transformational is not a skill. It’s a way of making sense of the world.

So it is not a question of adding more skills and competencies. What is needed is a different way of thinking.

As human beings and as leaders, we can develop ourselves fundamentally in two different ways. We can add skills and tools to our toolbox, if you like. We often call that horizontal development.

The other dimension of our development is vertical. It is about our growth as human beings. We go through different stages of growth from when we’re born; and these stages are, first and foremost, about how we understand the world. How do we make sense of what is happening around us?

These vertical developmental stages are very apparent when we observe small children, in whom each stage happens over a relatively short time. So, we easily notice the difference.

With grown-ups, it’s slower, and at some points, most of us stagnate at some levels.

It was the Swiss child psychologist, Jean Piaget, who was the pioneer in this area. His work has since been followed-up by researchers such as Jane Loevinger and later Susanne Cook-Greuter.

More recently, Bill Tolbert and Robert Kegan at Harvard, have both worked on grown-up vertical development and what that means in a leadership context.

Kegan describes that grown-ups typically have the possibility to develop in three overall stages. The first one he calls ‘dependent and conform,’ the next one ‘independent and achievement-oriented,’ and the last one is ‘interdependent and collaborative’.

Depending on which of these stages of development you find yourself in as a leader, your approach to a number of classical leadership competencies will be very different.

If we take some of the typical issues that we identify as leadership competencies, they could be strategic thinking, change management, conflict management, and leadership across boundaries.

And depending on where one is in one’s development, one will approach each of these very differently. In the figure below, you will see illustrations of the three developmental levels and how they are handled at each level.

Competencies

Dependent – conformer

Independent – achiever

Interdependent – collaborator

Strategic thinking – Short-term view
– Tactical tasks
– Black and white
– Either/or
– High  need for certainty
– Medium-term view
– Sees is parts of the system
– Sees is some patterns and connections
– Long-term view
– Sees many shades of grey
– Sees many patterns and connections
– Accepts uncertainty as the norm
Leading change – Change to come from above
– Needs and trusts authority to give direction
– High need for certainty
– Has own views about best change
– Sees the mechanics of change needed
– Success is achievement of individuals and teams
– Change is a collaborative process
– Comfortable with ambiguity
– Success means realisation of a shared vision
Conflict – To be avoided
– Authority is in charge
– Feels torn by conflict
– Worked out behind closed doors
– Produces winners and losers
– Healthy view together more viewers
– Something to be encouraged
– Increases learning and performance
Leading across boundaries – Trusts analysing people you know
– Them versus us
– Distrust of outsider
– Able to  think from others’ perspectives
– Horse trades for favours
– Focused on success of own self
– Sees the world through others’ perspectives to understand more
– Shares knowledge across boundaries
– Works in partnership with other functions

If you look more closely at the matrix, you will also see that this is where we find the key as to why we are not seeing as much transformational leadership as we maybe would like.

It’s only at the third stage of development in Kegan’s model, the one that is called ‘collaborative and interdependent,’ that the leader has a mindset that enables a transformative approach — the short explanation as to why this is so, is that, in the two earlier stages, the leader is often more concerned with himself.

The first stage, the dependent stage, is all about fitting in and conforming to the prevailing culture.

In the next phase, independent and achievement-oriented, it’s all about the leader being so oriented towards his own achievement that he risks falling into the trap that it’s all about his project: Better results, market share, new products, or whatever. The leader really wants to succeed personally, often in order to further his career or qualify for a bonus, or whatever. But, because it then becomes all about him and his project, he often doesn’t manage to get everybody else with him. (Followers will engage around ‘our’ project but will tend to disengage if it is just about ‘your’ project.)

It’s only when you, as a human being, have developed to the stage where you are more inclusive and collaborative, have a higher tolerance of others, and are not as focused on yourself – and your personal success – that you actually are capable of inspiring everybody else around you to contribute to what everyone will see as ‘our’ project.

Filed Under: Leadership, Leadership/Management, Training & Development Tagged With: Development, Leadership, Transactional Leadership, Transformational leadership

Implementing the Service Profit Chain requires a different state of mind.

May 4, 2016By Mike Hohnen

Death_to_stock_photography_Vibrant_(10_of_20)

As we have seen in previous posts, our state is influenced by how we see things – SeeBeDo.

The dominant way of seeing the world of work is called transactional – it’s the something-for-something system – and as we saw in my previous post, it is not madly inspiring.

But what is the alternative?

Is there a different way to look at the world of work that would produce a different state of mind and as a consequence, a different kind of leadership?

The short answer is yes – it is called transformational leadership and what is puzzling about this is that this way of seeing work has been around since the late 1970s.

Transformational Leadership was first coined by the historian and political scientist, James MacGregor Burns in the late 1970s, and was used to distinguish the inspirational leadership style from Transactional Leadership.

It was later expanded on by Bass and Rigio in their book “Transformational Leadership”

“Superior leadership performance — transformational leadership — occurs when leaders broaden and elevate the interests of their employees, when they generate awareness and acceptance of the purposes and mission of the group, and when they stir their employees to look beyond their own self-interest for the good of the group. Transformational leaders achieve these results in one or more ways: They may be charismatic to their followers and thus inspire them; they may meet the emotional needs of each employee; and/or they may intellectually stimulate employees. “

Transformational leadership includes four central components:

Idealized Influence being a role model that is highly regarded, valued, trusted, and deserving of emulation
Inspirational Motivation encouraging enthusiasm in others through challenge and instilling a sense of significance while promoting cohesion, harmony, and confidence
Intellectual Stimulation kindling creativity and inventiveness by encouraging novel ideas, questioning, and thinking outside the box
Individualized Consideration paying particular attention to the individual needs of each follower

 

At the core of this is a fundamentally different approach to what work and life is all about

Transactional Transformational
 Homo economicus – humans are rational, and
act only out of self-interest.Reward and punishment are the prime motivators.
  The integrated human works on developing herself
on many levels, physical, mental and emotional.Humans are driven by a need for purpose / meaning and a hunger for development and autonomy.
 The transactional manager works within the established way of thinking and does not question these basic assumptions about how the organisation operates.    The transformational leader is continuously
renewing the organisation by challenging existing
assumptions and implementing new ideas process
that question the status quo.
The employee and the  employer have opposite interested it a zero  sum game, I win/ you lose   The employer and the employee have common or
at least overlapping interest and concerns. It’s a
win/win or a lose/lose.

 

There is a ton of academic research that shows that the transformative approach produces superior results.  If we then drill down and try to understand what exactly it is that makes this significant difference, two things jump out.

  • Transformational leadership, more than anything else, creates a high level of employee enthusiasm / engagement.
  • In a rapidly changing world full of wicked problems – survival, let alone growth, is dependent on the contribution of everyone.

The transformative leader is distinguished by the ability to mobilise all the resources that are present in a given group or organization. And because people feel involved, included, and accepted for who they are, you get a completely different level of engagement. It becomes a self-reinforcing upward spiral.

Because of this, there are better relations and a much better understanding of each other’s perspectives. This also builds a culture where everybody feels like contributing and adding their point of view and ideas without being nervous about being criticized, ridiculed, or otherwise falling foul in the system.

This also means that the transformational leader is more humble in respect to other people and open to their ideas and contributions, because it’s not about the leader as a hero, but about a challenge, a purpose, that we need to solve together.

The transformative organization does better over time – they are much better equipped to handle change.

This also solves a personal inquiry I have had for a few years now: Why is it that some organisations implement the Service Profit Chain framework with a natural ease and subsequent amazing results, while others seem to get stuck.

The answer lies in their fundamental approach to work, is it transactional or is it transformational?

Even with the best intentions, if your fundamental state of mind is transactional, you will not create the kind of internal quality that is foundational for success when implementing the Service Profit Chain.

Filed Under: Leadership, Leadership/Management, Learning Tagged With: Leadership, Learning, Mindset, Service Profit Chain, Transformational

Your leadership capacity is a question of what you believe.

May 11, 2016By Mike Hohnen

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In my previous post and inspired by: Management is what we do – and Leadership is who we are, I touched on the subject that our leadership capacity is linked to the state we are in. Who we are comes out in our character and our character shows up primarily in our interactions with others.

So the way we see the world – what we hold to be true or believe is the foundation for our state. If you believe that people with red hair are more temperamental than people with fair hair, then that influences your state whenever you are interacting with people with red hair. That is a very simple way of explaining it but I am sure you get my drift.

So when we talk about leadership, the dominant existing belief or paradigm around leadership is based on a thinking which is called Transactional Leadership. Its source is Taylorism and scientific management. And before that, the term ‘homo economicus,’ the economical human, which briefly means that a human being is a rational person who only acts in his own interest.

We could also use a simpler term and call it the Something-for-something system.

How the Something-For-Something System Works

Transactional leadership is what happens in most organizations today.

You come in to work and give some of your time in return for a salary. If you work a bit harder, or a little bit more, or a little bit better, you have an expectation that you will also be rewarded for it — a bonus, overtime pay, a promotion, or whatever.

If you don’t work so hard or don’t do your job very well, it is built into the model that you can expect some kind of ‘punishment’.

Basically, you come to work because it is in your own interest. You need the money so you can pay your rent, feed the kids, or play golf during the weekend. It’s a something-for-something kind of thinking which has thousands of years behind it.

Just think of the expression, “work/life balance,” which would imply that work is not life. Today it is the existing paradigm governing our thinking about work in a large part of society.

The Game We Play

If the employer and the employee, or in practical terms, the manager and the employee, have a relationship which basically is about something–for-something, then it very easily becomes a game where you, as employee, try to get away with doing as little as possible while at the same time getting the maximum amount out.

In that perspective, you could say that from the employee’s perspective, you have actually won something if you managed to do a little bit less and still get paid the same for it. This is, of course, even more so in the case where the employee is in a situation where the job is boring or in other ways not inspiring.

The management role in an organization that practices transactional leadership is not very inspiring either, because what this means is that the manager’s most important role is to control whether or not the organization is actually getting the output that the organization is paying for. That means time-stamping, control sheets, registration, serious conversations, the possibility of written warnings, and eventually, the ultimate punishment – layoffs.

In a transactional world, an effective manager is a person who distributes reward and punishment in such a way that he maximizes the output of the employee. That is the bottom line success criteria.

Unfortunately, a lot of research shows that this management style is not actually the most productive. It’s not something that creates an extraordinary organization or fantastically enthusiastic and loyal customers. It produces something that is often okay but rarely fantastic. It’s built into the model that it has to be like that; it is all that can happen, as long as we have that mindset.

Now you may wonder, “But what about all those modern organizations who are offering bright canteens, fresh fruit, and football games in the hallways? Aren’t they doing something right?”

Well, that depends.

Because it is not about the fresh fruit and football games – in some organizations they are offered as part of the something-for-something deal – in other organizations, they are offered as part of a different way of thinking about work – we will get to that shortly.

Management by Exception

In a transactional world, the manager leads by exception. By that, I mean that the manager is actually only exercising their management role when something is not working according to the plan, not living up to the expectations. Only when somebody’s not doing what they’re supposed to be doing, do they put on their leadership cap and do something… maybe.

Maybe, because as most of us don’t actually enjoy being bossy, the management role very easily turns into non-management – something I only do if I absolutely must.

If things are going sort of reasonably OK, then there’s no real reason to do much, is there? It becomes a sort of ‘let sleeping dogs lie’ atmosphere. And in the organizations that are really bad, the supervisor, who is supposed to manage his front-line, gets this same treatment from his department head, who gets exactly the same laissez-faire management from the division VP or whatever. The something-for-something culture runs all the way through the system. Not exactly an inspiring work environment. Everyone is in the same basic state.

Now, I hope you are beginning to see what the problem is.

As long as we understand the world from a transactional paradigm, the something-for-something mindset, we aren’t going to get any further. We are stuck.

We need a new paradigm.

If we are to shift our state, we need to change how we see work and people in organisations.

Filed Under: General, Leadership, Leadership/Management Tagged With: Leadership, management, transcantional leadership

SeeBeDo

April 14, 2022By Mike Hohnen

Death_to_stock_communicate_hands_2

I have been reading “Building the bridge as you walk on it” by Robert E. Quinn.  It’s a lovely book. What struck me the most and what has been going round in my head for a while since reading the book is this very simple statement:

“Management is what we do. Leadership is who we are.”

So from that perspective, all this talk about leadership tools and training misses the point. What we need to talk about is what it takes to develop a healthy leadership state.

And that made me go back and dig out some writings by Doug Silsbee. He has a lovely acronym SeeBeDo that reminds us that the way we choose – and it is a choice –   to see things, influences the way we are. Our state.  And the state that we are in will influence our actions. And our actions determine the outcomes that we get in life.

A simple example: The way I drive on the day I have all the time in the world, meandering through the countryside on the first spring day, is different from when I am late for the airport and traffic is dense in the rain. And the way behaviour shows up comes out most obviously in how I behave towards other people.

I expect that you can imagine for yourself the two different scenarios and the two different types of driving behaviour that are the result. I say no more.

But the implication of this line of thought is that my driving style is at the mercy of the circumstances that I happen to be in. Ultimately, that means I see myself as either a lucky guy out for a drive in the countryside, or as a victim of bad weather and crowed motorways and I behave accordingly.

Ouch…..

I don’t need more driving lessons – that is not the point – I need to learn to manage my states.

The first step in managing my states is to examine closer how I choose to see what goes on around me. The state that I am in is driven by the way I choose to perceive the situation.

Neuroscience has documented this very well; we are what we give our attention to. Whatever we hold in our mind unconsciously influences what we can notice and focus on – and maybe more importantly, what we are unable to notice and focus on.  This too has been well documented in “the Gorilla on the court” experiments.

So to what extend are we conscious of what we are holding in our mind? And is what we are holding in our mind supportive of the leadership responsibility before us or is it getting in the way, possibly even hindering us in understanding what is truly going on?

As always I would love to hear your thoughts and comments on this topic. Feel free to leave your comments below and let me know what you think.

Filed Under: General, Leadership, Leadership/Management, Training & Development Tagged With: Employee loyalty, GROW, Leadership, Learning

Are you the chief employee experience officer?

March 31, 2016By Mike Hohnen

852

Focusing on the customer experience is the key to high customer loyalty – it’s well established.

That is also why around 70% of medium to large UK companies have a customer experience manager at the level of VP or equivalent. The current buzz-tool for developing these customer experiences is ‘service design thinking’.

So far so good.

But if you’re familiar with the service profit chain, you also know that the key to an exceptional customer experience starts somewhere else. We need to create what we call ‘internal quality’ – more popularly referred to as ‘a dream team cycle’.

So what would happen if we were to turn all this service design thinking on its head and focus more on the employee experience? When did we last sit down to analyse the employee journey as it unfolds throughout the day?

Do we know what the critical touch points are? Have we done some emotional mapping that could help us understand what the possible frustrations are during a day?

What are the learning opportunities? Does this job have varying challenges, or is it just the same thing day in, day out?

This idea came to me as I read Global Human Capital Trends 2016, published by Deloitte University Press. According to this latest survey, 92% of executives listed organisational design as very important and something they will be focusing on this year.

So designing our service organisations from the employee perspective should receive the same kind of attention and resources as we use when looking at the customer experience. Yes?

This leaves the question of who the chief employee experience officer is going to be in your organisation. Will they be part of HR, or will your organisation create a totally separate role?

I would love to hear your views on this, so please feel free to reply to this mail.

 

Filed Under: General, Leadership, Leadership/Management, Learning, Service Profit Chain, Training & Development Tagged With: Employee loyalty, Leadership, service, service design thinking, Service Profit Chain

Why learning is your key to engagement

April 13, 2022By Mike Hohnen

Death_to_stock_photography_community_premium_4

“When we grow people’s experience of competence, we inevitably grow their engagement”

– Ron Friedman.

A foundational piece of the Service Profit Chain is the dream team cycle:  The seven steps that need to be in place in order for us to foster the kind of environment that ultimately will produce the best possible customer experience.

The third step of the cycle, Build Skills and Capacity, is all about the opportunities we give our people to develop and improve.

We all understand that training and development is useful when there is an obvious need to improve skills. But that is just one aspect. The other and possibly more important aspect is that personal growth and development is a key factor in securing engagement.

This is highlighted in the most recent Global Human Capital Trends 2016 Published by Deloitte University Press where 84% of executives surveyed rated learning as important or very important. This focus on learning comes as organisations see learning opportunities as a driver of engagement and strong workplace culture. Both are more than ever recognised as drivers of performance, according to the report.

“Compared to last year, companies appear to be making strides in adopting new technologies and embracing new learning models.”

That is also why in the Great Place to Work or Gallup engagement survey they ask employees if they have had the opportunity to grow and learn in the past year.

Unfortunately we see time and again that not many have had that opportunity.

It requires leadership capacity to provide learning opportunities for our people. It is not just a question of finding the budget to send them on a course. Learning and development happens mainly on the job. (Check out 70:20:10 – if you are not sure you agree).

It is by walking the precipice between our current abilities and the skills just beyond our reach that growth occurs. But that requires that you as a leader must design a path for your people that will take them out on that precipice from time to time. And that includes being there in case there is a need for a bit of hand-holding along the way.

But a first and even simpler step to ensure engagement in your team is to provide adequate feedback. Without feedback, we lack the crucial information needed in order to improve. And when we do not have a clear direction on what it is we need to do in order to succeed, it just a matter of time before we lose our engagement.

You can download your own Dream Team checklist here and benchmark yourself on how you are doing on all seven steps. The Dream Team Questions on a pdf – click here [wpdm_package id=’5519′]

Filed Under: General, Leadership, Leadership/Management, Learning, Training & Development Tagged With: engagement, Learning

What is their secret sauce?

April 13, 2022By Mike Hohnen

Pal's sudden Service‘People go out of calibration just like machines go out of calibration’, CEO Crosby explains. ‘So we are always training, always teaching, always coaching. If you want people to succeed, you have to be willing to teach them’.

HBR just ran a lovely portrait of Pal’s Sudden Service, a 26-unit fast food chain based in Kingsport, Tennessee.

The chain apparently outperforms all the big national fast food chains on all the key parameters, including customer satisfaction, quality, speed, service, value…and employee satisfaction.

Pal’s Sudden Service is a showcase example of the service profit chain implemented as a strategic foundation for success.

Education, training and coaching are at the core of the culture. Managers are expected to teach others every day

New employees get 120 hours of training before they are allowed to work on their own, and they must be certified in the specific jobs they perform.

When you take a closer look, you can see the nine core elements of creating a Dream Team.

Check out my overview of The service Profit Chain and how to creat a dream team

Filed Under: General

Do you want Strategic HR?

January 21, 2017By Mike Hohnen

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In a hyper-competitive environment, service is probably the last frontier of sustainable competitive advantage.

Service creates customer loyalty, not because of mechanical processes and scripts, but because, if done right, service creates an emotional connection.

We can ‘force’ our frontline people to give scripted mechanical service – saying things like ‘Have a nice day’ – but they can only offer an emotional connection if they feel like it.

An emotional connection is established by employees who care and who feel that creating one is meaningful.

But to make this happen, the first emotional connection they must feel is with their workplace.

So what does it take to create an organisation that provides this?

This is what the Service Profit Chain is all about.

Show your colleagues this simple slide show. Make sure everyone at the top understands how it works.

It could be the first step to a strategic HR approach that takes your customer experience to the next level.

Download my presentation on the Service Profit Chain here:

Filed Under: General Tagged With: Leadership, Service Profit Chain, strategic HR

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