What Remains…What Evolves

Certain aspects and behaviors of leaders and managers that were important twenty
five years ago are still critical today and will likely still be important 100
years from now. These include acting with integrity, leading by example, develo
ping talent and ensuring customer satisfaction/loyalty.
However, there are vast differences between the old-style of administrating and
directing and the new idea of guiding and inspiring. Today’s managers and leaders
are faced with a whole new set of expectations in the way they motivate the peo
ple who work with or follow them, setting the tone for most other aspects of wha
t they do. People today not only don’t want to be managed, in most cases, they si
mply won’t be managed. Today’s employee wants to be led. They want to participate
and engage in every aspect of their job. Creating a two way relationship is cri
tical especially considering that many knowledge workers today know more about w
hat they are doing than their boss does.
Another significant shift for managers and leaders today is the necessity of thi
nking globally. The impact of globalization has affected all aspects of busines
s. Appreciating and leveraging diversity is an additional shift that correlates
to our world becoming smaller and smaller; the broad expansion of businesses sp
ans seas, cultures, and religions. In addition to these actions and areas of fo
cus, leaders and managers today must be more innovative and more proactive, anti
cipating problems and opportunities as well as entirely new markets and products
.
The following chart captures the changes that are both occurring and necessary:
Area 25 Years Ago Today
Environment Stability Constant change
Focus Managing work Managing results AND leading people
Thinking horizon Short term Short term AND Long term
Approach to work Plans details Sets direction and monitors
Fine tuning what is Creating entirely new/what could be
Transactional Transformational
Decision making Made them Facilitates them
Reactive Proactive
Energy Controlling others Passion for the work, the company, the industry
and the people
Risk taking Avoided it Takes it and enables others to take it
Rules Made them and measured to them Breaks them and encourages others to do
the same
Conflict Avoided it Uses it
Concerned with Being right Doing what is right
Change is only going to get faster. Work is only going to get more complex, wit
h more opportunities. Make sure you are adjusting your leadership and managemen
t style at a pace to keep up with everything else going on around you and your t
eam.
It is a paradox of globalization that, as the world becomes more interconnected,
groups that come together – physically or virtually– are becoming more heterogeneou
s rather than more homogeneous. Common elements of globalization, such as langua
ge use and technological communication systems, are indeed becoming more univers
al, but the various individuals drawn together by these vehicles increasingly re
present diversity rather than uniformity.
On the negative side, the heightened awareness of difference can lead to polariz
ation, to a retreat from the surge towards greater interdependence and collabora
tion. In its extreme form, it may lead to a narrow chauvinism or a desperate sta
nce to preserve local identities and cultures at the expense of rejecting –sometim
es with violence – all that is not perceived as one’s own. On the positive side, a h
ealthy diversity can lead to a mutual respect and understanding of differences,
and the potential for growth, harmony, and learning that can come from rich inte
raction.
It is in the context of this setting that the role of leadership can and must ev
olve. Management and leadership are often studied, discussed, and practiced in t
he context of a relatively homogenous work-force and a static organizational set
up. Hence the focus on managing people, time, and other resources towards clearl
y identified and fixed goals, in the most efficient manner possible. Priority at
tention implicitly shifts from the individuals being managed to the goals and ta
rgets to be achieved.
There are certain qualities of leadership that were important one hundred years
ago – and will still be important one thousand years from today. Elements such as
demonstrating integrity, leading by example, creating a vision, motivating peopl
e, developing talent, ensuring customer satisfaction, and maintaining a competit
ive advantage were important in the past and will be important as long as busine
sses exist.
A few years ago, Cathy Greenberg, Alastair Robertson, Maya Hu-Chan and I did a r
esearch study that asked over 200 high-potential managers from organizations aro
und the world how leadership has changed and is changing. Five factors emerged t
hat differentiated the leader of the future from the leader of the past.
- Thinking globally – Historically the vast majority of leaders focused on local o
r domestic issues. Later, businesses began to become suppliers and customers to
organizations from other counties. In the future leaders will have to be much mo
re aware of the impact of globalization on all aspects of their business.
- Appreciating cross-cultural diversity – In America, one hundred years ago, there
was little diversity in leadership. Almost all business organizations were run
by white, male Americans. In the recent past, “diversity” was a term that Americans
used to describe relationships with women and minorities in the US. In the futur
e, cross-cultural diversity will mean an appreciation of differences that span r
eligions, cultures, and people around the globe.
- Developing technological savvy – While leaders have always had to understand the
ir businesses own core technology, they have not had to understand the larger im
pact that technology had on society and their customers. In the future, leaders
will not all have to be ‘technologists’ but they will have to understand the impact
that new technology has on their business, their customers and their world.
- Developing alliances and partnerships – IBM is a great case study of the “past vs.
future” in building alliances. In the “old days”, IBM had almost no partnerships or a
lliances. They were very proud of internally producing products and services. To
day, IBM forms alliances and partnerships every week. The leaders of the future
will not just run linear organizations. They will manage complex sets of allianc
es and partnerships from around the world.
Sharing leadership – Peter Drucker noted that “the leader of the past knew how to te
ll. The leader of the future will know how to ask.” More and more leaders of the f
uture will manage knowledge workers. Knowledge workers are employees who know mo
re about their work than their boss does. It is hard to tell people what to do a
nd how to do it – when they know more than we do. Leadership in the future will in
volve more two-way involvement and sharing – and less one-way direction.