There is more to a job than just winning. A great example of a leader who came to that realization is David Blatt. In January of 2016, Blatt was coaching the Cleveland Cavaliers basketball team of the NBA. In the middle of the season, while his team was leading the Eastern Conference with an impressive record of 30-11 (30 wins and 11 losses), he was fired. The general manager, David Griffin, explained that the separation was due to a lack of fit. A coach who performs at the highest level and is successful based on, arguably, the most important objective metric in professional sports (wins), can still lose his job. Maybe winning isn’t everything after all.
Happy Leadership Friday and last Friday of 2017! This year, we've covered a range of topics, from toxic leadership, to organizational change, to working with millennial leaders. And, we rolled out our Leadership Tips subscription. If you haven't subscribed yet, you can sign up here - you'll get brief, actionable tips delivered to your inbox weekly.
In case you hadn’t noticed, I’ve had quite a bit to say on this topic lately. It started with an introduction to the concept (How to Recognize Toxic Leadership), because it is about more than just disagreeing with your boss or working for a micromanager. Toxic leadership occurs when a person in power negatively affects the organization and its people with their words or actions.
Executives: They are the ones who drive the development and strategic direction of an organization, manage the day to day operations, and shape organizational culture. So, it's obvious that the selection process for your future leaders is critical. But, practitioners who implement pre-employment assessments at the executive level face a big challenge: difficulty in demonstrating their validity or ROI using typical approaches. Here's why:
It’s no surprise that leaders have a critical impact on the success and evolution of a business or organization. Given today’s economy and hyper competitive global markets, executive selection and development are more important than ever. The cost of leadership failure can often mean the success or failure of the entire organization.
I recently read an intriguing article that spoke about the four components that set successful CEOs apart from their lower performing counterparts. There were two very interesting points in the article. First, the finding that hiring managers (in this case, the Board of Directors) who are hiring/appointing the next CEO do not have much success. They make a classic hiring mistake: they look for extroverted and engaging candidates with Ivy League educations that look good both in person and on paper. In the absence of other information, I would agree that these seem like good data points to use to make a hiring decision. In reality, though, many of these CEOs are not actually successful in these roles and about a quarter of their departures are involuntary. We know, and this confirms, that this type of selection criteria just doesn’t work.
Happy Fourth of July weekend! As we celebrate the independence of America, we have to reflect on the leaders that made it possible. This reminds us of how critically important the leaders within our organization are to the success and evolution of our business. How would you rate the leaders at your organization?
Given today’s economy and hyper-competitive global markets, executive selection and development is more important than ever before. The cost of leadership failure can often mean the success or failure of the entire organization. Every executive or leadership personnel choice is a high-stakes decision for organizations, their shareholders, and associates, so it’s extremely important to have accurate information available when making these decisions. Here are four points to keep in mind when you are assessing your leaders:
1. Selecting the Wrong Leader Can Cost Your Organization More Than You Think
These costs not only include lost business, but also turnover costs. Estimates of executive turnover costs range from $300,000-$1,000,000 depending on the size of the company, and can increase dramatically the longer they stay with the organization. Accurate information on a candidate’s assets and limitations, as well as promotion potential, can help to make a more informed hiring decision.
2. All Employees Lose When a New Leader Fails
Goals aren’t met, opportunities are missed, and relationships may be irreparably damaged. Employee morale can also be negatively affected. The “soft” costs of derailment can be immeasurable. The negative consequences of a bad hire or placement can continue long after the individual has been terminated.
3. Find the Right People for the Right Job
Getting a clear picture of the strengths and liabilities of your entire leadership team can help ensure the right people are placed in the right roles. This can also help to defray the direct and indirect costs of derailment.
Imagine you have an employee who is consistently receiving good performance reviews, meeting all his/her goals, and showing up on time everyday for work. This employee has been with the company for 5 years now and has proven to be very effective in his/her current role. This employee sounds like the perfect person for promotion into a leadership position, right? Well, not so fast … Oftentimes these star employees will be promoted to leadership positions based on their current performance and, once in the role, will not be successful. In other words, these leaders derail.