1 Leaders at the Core and On the Edge Patti O’Neal, SVP General Manager

2 Overview of Session Leadership Leadership –Current Leadership Challenges –The Notion of Paradox –Converging Factors Core, Edge and Agility Model Core, Edge and Agility Model –Individual Agility –Organizational Agility –Pushing One’s Comfort Zone Through Agility

3 Leadership Challenges What are Your Leadership Challenges?

4 Leadership Challenges Looking back three years Looking back three years –What have been the greatest challenges you have faced as leaders? Looking out to the next three years Looking out to the next three years –What are the greatest leadership challenges you are likely to face?

5 Converging Factors for Leaders Economic dislocation and faster pace of business creating a more intense leadership environment Global/virtual team performance Increased scrutiny on financials Competing demands and expectations of leaders are more complex: “Back to the Basics” is not a viable solution   Aging workforce and turnover at the senior level reaching 100% in 20 years

6 Paradox for Leaders

7 The Notion of Paradox Style

8 LHH Leadership Survey 100 Senior-level leaders 100 Senior-level leaders 65% are in CEO, COO, CFO or President positions; 35% report to those levels 65% are in CEO, COO, CFO or President positions; 35% report to those levels 92 organizations, 14 industries, consisting of multinational Fortune 500 companies, universities and professional service organizations 92 organizations, 14 industries, consisting of multinational Fortune 500 companies, universities and professional service organizations

9 A Different Response from Leaders Converging factors and paradoxes are becoming more pronounced. Although this makes leadership more challenging, it is ultimately a positive development. “As leaders, fully utilizing the concept of paradoxes is one of our most powerful sources of innovation.” - Fred Harburg, Chief Learning Officer, Motorola

10 The Leadership Paradox Leaders must drive business results amid contradictory situations and paradoxes.

11 Paradox 1 Be More Hands-On the Business, Less Hands-On the People Be More Hands-On the Business, Less Hands-On the People –Leaders feel need to be more involved in operations, without becoming more controlling “The number one factor in developing leaders is the amount of decision-making authority they are given.” “The number one factor in developing leaders is the amount of decision-making authority they are given.” Corporate Leadership Council, Voice of the Leader Study, 2001

12 Paradox 2 Seek Diverse Points of View, Seek Diverse Points of View, Drive Unified Action –Requires the agility to shift between dialogue and action “What is important is to not let the desire for consensus get in the way of making a final determination.” Carol Coffman, CEO, Chela Financial

13 Paradox 3 Promote Experimentation, Contain Risk Promote Experimentation, Contain Risk –Take chances to remain competitive while safeguarding the business “…In order to lead effectively, I must sometimes live out of my comfort zone. If I’m not open to continually learning, I do myself, my teammates and the business a disservice.” Allen Ibara, COO, MicroProbe

14 A New Leadership Framework Based on over seven years of leadership consulting and coaching Based on over seven years of leadership consulting and coaching Older leadership models don’t address today’s new, complex challenges Older leadership models don’t address today’s new, complex challenges Validated new model with survey Validated new model with survey Organizations are seeking a simple model to develop effective leadership and drive business results Organizations are seeking a simple model to develop effective leadership and drive business results

15 LHH’s Leadership Model Leadership at the Core and on the Edge™ Leadership at the Core and on the Edge™ –Based on the notion of leadership paradox –Inclusive and flexible - applies to leaders at all levels –Common language to help leaders drive results

16 Core and Edge Model Definition  LHH’s Core and Edge leadership model predicts that the most successful leaders are adept and agile at using a wide range of behaviors, in the moment.  It’s having the awareness, skill and agility to shift between how a leader applies behaviors, in either a Core or Edge way, and allows leaders to operate with maximum effectiveness.

17 Core and Edge Defined Core Core – Applying behaviors to things that are “known” – Driving consistency and accuracy through operational expertise and proven practices Edge Edge – Applying behaviors to things that are “unknown” – Pushing creatively and strategically into areas of risk and possibility

18 Typical Applications: Core Reviewing financials Reviewing financials Reflecting on experience when making a decision Reflecting on experience when making a decision Developing plans based on existing information Developing plans based on existing information Directing and monitoring performance to meet established standards Directing and monitoring performance to meet established standards Relying on technical competence Relying on technical competence Emphasizing consistency and accuracy Emphasizing consistency and accuracy

19 Typical Applications: Core

20 Typical Applications : Edge Driving significant change Driving significant change Creating vision Creating vision Seeking feedback Seeking feedback Using a conceptual approach and brainstorming Using a conceptual approach and brainstorming Coaching the performance of others by allowing them to create solutions Coaching the performance of others by allowing them to create solutions Taking a risk and not being able to control the outcome Taking a risk and not being able to control the outcome

21 Typical Applications : Edge

22 Which behavioral applications predominate throughout your organization – Core or Edge? Which behavioral applications predominate throughout your organization – Core or Edge? What are the leadership implications? What are the leadership implications?

23 Agility: A Key to Effective Leadership Agility Agility –the ability to proactively select and apply behaviors to a wide range of contradictory situations and competing demands –knowing how to shift attention, priority and required behaviors

24 Why is Agility Important? It helps you proactively drive business results through intentional behaviors. It helps you proactively drive business results through intentional behaviors. It takes you to the next level of effectiveness – apply leadership skills to your functional and technical competencies. It takes you to the next level of effectiveness – apply leadership skills to your functional and technical competencies. Agility is not the same as multi-tasking or flexibility (which are reactive). Agility is not the same as multi-tasking or flexibility (which are reactive).

25 Applying Agility As a Leader  Scan – Determine what behaviors are needed  Focus – Understand how behaviors are used and effectively executed  Shift – Know when to shift behaviors

26 Leading From the Core to the Edge How have your roles changed requiring you to be more agile? How have your roles changed requiring you to be more agile? What are some specific examples where leadership agility is being effectively modeled? What are some specific examples where leadership agility is being effectively modeled? –Personal examples –Within your department –Within the larger organization

27 Individual Agility What can you do to increase agility between core and edge behaviors?

28 The Leadership Agility Tool Kit Examines your ability to: Examines your ability to: –Scan –Focus –Shift

29 Partner Activity Complete the Scoring section of the Agility Tool Kit Complete the Scoring section of the Agility Tool Kit Pair off Pair off Reflect with your partner on what you learned from the assessment Reflect with your partner on what you learned from the assessment

30 What’s Your Agility Index? Where are you most effective? Where are you most effective? Would others see you as an agile leader? Would others see you as an agile leader? What are the applications that will increase agility? What are the applications that will increase agility? What steps can you take to get there? What steps can you take to get there?

31 Personal Activity Complete the Action Steps section of the Agility Index Complete the Action Steps section of the Agility Index Selected individuals will report out Selected individuals will report out

32 Organizational Agility What are some common, everyday situations occurring within your company which require leadership agility?

33 Applying Core, Edge & Agility Behavior: Tactical Core Applications: Identity is wrapped up in working closely with people to get job done Identity is wrapped up in working closely with people to get job done Focus on time-tested actions and practical problem solving to achieve immediate results Focus on time-tested actions and practical problem solving to achieve immediate results Tendency to be hands on in the day-to-day operations Tendency to be hands on in the day-to-day operations Edge Applications: Empower their people to achieve results Empower their people to achieve results Direct employees to try new untested methods to get immediate results Direct employees to try new untested methods to get immediate results Manage employee’s efforts by periodic metrics vs. daily involvement Manage employee’s efforts by periodic metrics vs. daily involvement Get up on the balcony to observe what is happening Get up on the balcony to observe what is happening

34 Applying Core, Edge & Agility Behavior: Delegation Core Applications: or write out instructions or write out instructions Provide sample of how it is done or was done Provide sample of how it is done or was done Define outcomes in terms of content, look, standards and deliverables Define outcomes in terms of content, look, standards and deliverables Develop a checklist to ensure scope, authority, standards and deliverables Develop a checklist to ensure scope, authority, standards and deliverables Edge Applications: Brainstorm the outcome and encourage other ideas Brainstorm the outcome and encourage other ideas Provide necessary info including timelines and checkpoints, then let go Provide necessary info including timelines and checkpoints, then let go Ask for action plan detailing project implementation and completion steps Ask for action plan detailing project implementation and completion steps Plan for and allow mistakes while continuing to delegate Plan for and allow mistakes while continuing to delegate

35 Pushing Your Comfort Zone What is your personal action plan for increasing your agility and your effectiveness as a leader?