Saturday, September 17, 2011

Common Purpose Leadership


Leadership
In Common Purpose, consultant Joel Kurtzman makes the case that excellent leaders build a sense of inclusiveness—a sense of we—within the organization by creating a common purpose. A place where people know what to do and why, and understand what the organization stands for. Based on interviews and first-hand experience, Common Purpose lays out how to achieve and then sustain a culture based on a common purpose. For example:


Emphasize One Goal – Gordon Bethune, CEO of Continental Airlines, recognized that his customers valued on-time performance. He set this as the measure of success for the company. In order to underscore this goal, Bethune decided to send every employee a check every time the company was first in on-time arrival. In the different cities, pilots, flight attendants, agents, mechanics, baggage handlers, and everyone else united together to achieve this one goal, while reinforcing the feeling of “one team”.



Become Flat, Instead of Hierarchical – In a hierarchical organization information supplied by subordinates is looked at with condescension by individuals at the top. In the case of Enron, Sherron Watkins signaled to Ken Lay, the chairman of the organization, that something was wrong with the company’s partnerships and the way they were kept off the books. Lay ignored the information due to the rationalization that if something was wrong, he, as chairman, would know. Creating different levels of importance in an organization usually works against common purpose.


Leaders at All Levels – When a company has a common purpose, all employees have an understanding of what the organization stands for, enabling them to make a decision independently based on that information. Simon Cooper, president and CEO of Ritz-Carlton, calls this “scriptless service”. With such a diverse clientele, employees cannot simply operate by choosing from a limited number of preselected solutions to guest requests. A chambermaid must be empowered to decide on her own volition whether to give a guest extra towels based upon what was used the night before.


Lead by Listening – FM Global’s chairman and CEO, Shivan Subramaniam, takes every opportunity to listen to his employees. He eats in the company’s cafeteria and often sits with random groups of FM Global employees. Subramaniam puts himself in the loop of what is going on with the company. It also makes him accessible to his employees, in case they wish to share their ideas


by Michael McKinney

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