Power & Influence by Robt. Dilenschneider | POWER AND INFLUENCE by Robert Dilenschneider Page 1 L-We were careful, however, never to try to dismiss the Public's fear directly. When the scare was over, the Wall Street\ Journal editorialized on the grape and apple scares: “Public officials have learned that standing up to the howling of activist ‘groups, politicians and melodramatic TV reports is like trying ~ to resist the mob storming Frankenstein's castle. As a defense, officials hide behind zero-risk absolutism,” which simply means that managers won't take risks that would compromise their ob, their department, or the person who put them in the job! ‘As inherently wrong as a zero-risk approach may be, it none- theless remains a very widespread reaction. The tendency on the part of top corporate executives to use itis deeply ingrained. But it is, in every instance I can think of, the wrong reaction. What you have to do, especially if you are dealing with an unsafe product situation, is to take a deep breath and then see if the panic is warranted. If it isn’t then you ca isolate the fear, step by methodical step, and counteract a [patra the word influence has become synony- swith “influence peddling”—that’s unfortunate because influence peddling means the inappropriate use of influence, either influence wrongly used or used for personal gain. In reality, influence is an indispensable part of everyday life. Used ethically, influence is a formidable skill. Without influence, organizations could not succeed, consensus and coalitions could not be built, and attitudes would never change. Gill Bowen, who i vice-chairman of Heidrick & Strug- giles, has told me, “There are certain influence patterns that I think are common to all good top managers. First, they must have strong self-esteem. To lead, a top manager needs a strong ego, but that manager must also know how to reign it in, 1 listen carefully to the yerbal cues of this ego balance. If a manager describes the achievements of his company as ‘we tackled this tough technology problem,’ or if he explains accomplishment as ‘I... 1... 1." To me that boils down to skill in getting recognition—an essential factor in having influence.Robt, Die od, ‘What do people who are able to exert influence and~ POWER_& INET.UENCE ig mie their careers know? What is the secret that they understand so well? I would say that they grasp a very simple relationship: the connectign between communication, recog- nition, and influence desrbe that relationship as the power t - To bea good communicator, you don't have to be a great orator. One CEO I counsel suffers from such stage fright that he won't ask for money for the United Way unless he does it on videotape. Still, he’s a good communicator. He uses his influence effectively and controls the agenda of his business. He knows what matters to people and how to resolve problems, Some people would say this CEO only knows how to manage, but I've been a CEO watcher for some time, and I know that the secret of his success is more basic than that. He knows how to_communicate, and that’s why he ges SO well_ Communication is the more fundamental skill. I as con Tea Tau say it But communication is not style, not the slegance of your letterhead any more than the eloquence of your speech. Rather, communication is the very bear oT management. It is solid thinking trafslated into clear messages. “Communications has clearly become the number one aptlfilde of the CEO, and this is true for several reasons,” Bill adds. “First, CEOs become CEOs earlier than they used to, and the same is true of other top managers. When Walter Wriston left Citicorp, people were amazed at the relative youth of the top management team compared with what they had been used to. People nicknamed Citicorp ‘Kiddycorp’ but what happened at Citicorp and other forward-looking institutions rapidly became the trend in industry. Second, more and more CEOs particularly did not grow up in the companies that they are running. They have moved around a bit—often to three or four different firms. Third, they can burn out faster—they are: more vulnerabl used to be" More mobile and younger CEOs must rely more heavily on communications to exert influence. What goes for CEOs also holds to an equally important extent for all managers. Our predecessors leaned more on seniority, familiarity with the firm’s culture, and technical skills. Today's top manager is often “shallow” in each of these suits. i fou are perceived as com- petent, effective, worthy of respect—powerful. Power comes from remembering and using the linkage of communication, n, and influenct al Page 2 ae‘; Tom Wolfe explains the Favor Bank, it “means if POWER & INFLUENCE ou don't take care a me today, I won't take care a Cie Dilenschne: you tomorrow.” It captures an essential element in how the world of influence works. And, it means simply that you had better be able to deliver favors— to draw on the Favor Bank—if you want to have influence. As Bert Lance, who headed the office of the budget for the Carter White House, explained to me once, “You have to expend capital for what you need to do.” That capital, of course, can be of many sorts, but often itis using influence to solve a roblem.—. Support the “rainmakers.” When Rabbi Arthur Schneier (one - 4f the most influential men in New York and president of the Appeal of Conscience Foundation) called me on a Sun- day afiernoon and asked if Hill and Knowlton would help lead the Armenian relief effort (after the devastating 1988 earthquake), it took me one second to say yes. ‘The same thing happened when IBM’s retired CEO Frank Cary asked for our help on a project in New York City. First, it was right to take on both projects. Second, it has paid off handsomely in how we are regarded. Third, it was answering a rainmak- fers call, If you want to maintain an active balance at the Favor Bank, jump when a rainmaker calls fFigure out whom you need and who needs you. There are Lwo kinds of balances you can draw on in the Favor Bank. Consider the first to be your personal account—the balance you build up by doing favors for others. The second is your corporate account, which is the balance you get for your company simply by being in your position. If you're the CEO, or even a middle manager, there are plenty of people who need you and your company’s business. Surprisingly, ‘most people underestimate who needs them. Just think about it. In any business situation, there are a remarkable number ‘of vendors and suppliers who make their living because of your business. Of course, I'm not suggesting you lean on these people for bribes or theater tickets. But, you should leverage these resources for abusshoasladafiiges and fae vors that can advance your business. “J CGerrei for your favors. I am called to assess a candidate for a senior management job at a major bank. 1 give him a strong recommendation, and they say he's at the top of the short list. | immediately call the candidate and tell him he's likely to get the job. Who do you think the candidate will think helped him cinch the position? “> sider