Monday 27 June 2016

3 top tips for leadership during turmoil

The UK is in a mess.  That seems to be the general consensus of opinion amongst the 'experts' that no one wanted to listen to, who predicted slumps in the pound, stock market crashes and everything else as a result of Brexit.  And it seems that the doom mongers are right.  Or are they?

Whatever the longer-term outcomes arising from Brexit the reality is that we are going through turmoil and this is a period when leaders are needed more than ever before.

It's not easy though, especially when there is so much uncertainty, so much 'mess' around.  It's difficult to get things into focus.  If it's not easy when you have a superior to report to who can act as your guide or signpost, then it's hugely difficult when you're at the top on your own with others expecting you to have all the answers.

Here's 3 top tips for those who are in that position.

Step away from the hysteria
The present situation has been whipped up over the weeks, mainly by a media that likes stark headlines, and reinforced by reporting over the last few days. Individuals can be caught in the subliminal message that's being portrayed that catastrophe is just around the corner and when enough people get sucked into that you get group hysteria which feeds upon itself.  Time will stop it but as a leader you don't have time.  Step away from the group to maintain perspective.  Resist the conversations that merely reinforce a negative scenario and introduce a reasonable, tone neutral clarification of what's happening. Beak the hysteria loop and model calm thinking for others to follow.

Keep an eye on the facts
Leaders have to have an umbrella view, to scan their own horizons and to do that you need to know the true facts and figures.   Ignore the hyperbole and focus on the specifics for your business. Ensure that others know the facts relevant to the business and discussions are held on the realities of the situation.  If your business doesn't rely on activity within the stock market then be aware but park it and ensure others do too.  If you're reliant on a certain exchange rate for your profit margins, analyse what will happen when it changes from x to y or z and have plans in place for that.  If a major customer is exposed as a result of Brexit then you'll put contingency plans in place in case they crash - as you would do for any client who might be at risk at any other time.  Good horizon scanning is a critical part of leadership and Brexit is just one of the factors that you should have been looking at in any event.

Show empathy
In a period of turmoil people look for certainty.  They're afraid of what might happen because they feel they're not in control.  They'll be worried about their own job security, their mortgages, savings, whether they can still go on holiday, that their neighbour or family member voted the other way and there's the possibility of division because of it.  Show that you understand their uncertainty, offer them options wherever possible so they can start to get a little control in their lives: let them explore how they can react if there is disharmony with their neighbours for example, how they can defuse an argument before it begins (it'll be useful within the business too!), include them in your own planning for the future of the business.  Show them a bit more attention, use your emotional intelligence and it will pay dividends.

Of course it's more complex than that and you'll have your own uncertainties.  How can you be that rock of support and leadership when you're not sure if you're doing the right thing?

So here's an extra tip for you - appoint a coach because now is the time when they come into their own.  Now, more than ever you need someone who can provide you with a protected space where you can explore the complexities of things to come, have accountability and focus on what's important for your business so you can ride the waves of turmoil in the months and years to come.

Friday 24 June 2016

David Cameron - a flawed leader

So the nation has decided and we're leaving the European Union.  David Cameron took the biggest gamble of his life, it didn't pay off and now he's paying the price.  What does that say about Cameron as a leader?

He's always been known as 'lucky Dave' or 'the Teflon Tory' as he's managed to smoothly charm his way through the party machinery to become their Leader and in effect the CEO of UK plc.  The question is now, was he up to the job, with all the complexity it entailed?

The reality is that a great CEO has to be a master tactician and strategist - or to have the insight, intelligence and wisdom to have the people around him who are. In this instance his strategy was flawed.

He had the referendum in the party manifesto - the corporate aims and objectives if you like, as a means of controlling a difficult batch of people below him.  Whilst compiling this, he bargained on not being able to put it into practice because there would be another coalition.  Could a good CEO have read the runes more correctly?  A good tactician would have had a back-up plan just in case the umbrella view of the environment hadn't been accurate.

Then he gave out a corporate message, as he'd done successfully so many times before, that there would be negotiations within the global corporation of Europe which would win the day.  Again he underestimated his influence and negotiating ability in an arena that was vastly more complicated than the one in which he'd been used to dealing.

And then the referendum campaign significantly failed, not only in the result but also it's running which merely served to distort and divide UK plc so that he had no option other than to step down.

The reality is that a failed strategy is the graveyard of many a CEO.  UK plc requires not just a good CEO but a great one. Cameron had a year where he was leading without the support of a deputy CEO in the guise of Nick Clegg.  That year has cruelly shown the level of his talents and he now joins the list of those corporate CEOs who got it wrong and were not up to the job.