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LEADERSHIP: AVOIDING BLACK-SWAN DISEASE

published:2010-07-26 01:00:00

Nassim Nicholas Taleb, the best-selling economist and author of The Black Swan, is famous for his arresting insights. His recent postscript to The Black Swan is no exception: presenting ten lessons from the Global Financial Crisis. Above all, he recommends learning from “Mother Nature” – by making our

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LEADERSHIP: FOR SUCCESS – AND HAPPINESS

published:2010-07-19 01:00:00

Like Professor Clayton Christensen, I’ve faced a life threatening cancer and found it a crucible for clarifying my thinking about what’s important. The day

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LEADERSHIP: TRAINING AND DEVELOPMENT - BUT HOW?

published:2010-07-13 01:00:00

Due to a backlog of new registrations to work through this Potshot has been delayed by a day. Our apology to our regular readers

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LEADERSHIP: THAT ONE KEY LESSON

published:2010-07-07 01:00:00

How do you rate yourself on the following five actions? Showing self-awareness?. Demonstrating authenticity, integrity and compassion? Understanding and engaging people as

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LEADERSHIP: BEWARE SELF-DELUSION

Open your eyes; keep your feet on the ground.  Be realistic re yourself and what you can do
Don't overstate your skills or capabilities.  Colleagues will see through it and abandon you

Half a dozen times in the last 20 years, I've worked with a CEO, who'd completely lost touch with reality.  In discussing strategy, they believed themselves as informed and proficient as they'd been in their prime.  Whether talking about customers, markets, technology or staffing, they knew it all - and, worse, felt no-one was ready to succeed them.  But, in each case, their colleagues (particularly their immediate team) saw the fading powers - and the growing self-delusion.  So, how would your team rate you on objectivity versus conceit?  Are you honest about your strengths and weaknesses - and your use-by date?  Here are six check-points.

  • Business drivers: would your team say you understand the industry success-factors for the next leg of the business cycle?  What are they?
  • Execution: do you still drive the business plan with the same vigour as five years ago?  Or are you keener on chairing meetings and representational roles?
  • Winning: would people say you're committed to leading the way into new markets, or more concerned to protect reputation in old ones?  Which ones?
  • Excellence: would competitors say you still know what's best-in-class and could contribute to your organisation achieving it?  Do people still turn to you for insights?
  • Engagement: do you know which people in the business are really valuable - and who's not?  Do you spend time with the best?  Or, more with politicians and committees?
  • Rethink: are you at the front edge of the long-term reinvention of the organisation - or resisting it?  Do people test their ideas on you; or, avoid your perceived nay-saying?

We're all somewhat deluded.  When young, we think we know more than we do.  And, when old (notwithstanding experience), we again know less than we think.  I get signals daily that remind me of my slowing memory, lack of technical knowledge and reduced stamina.  But, if I'm honest (and open about it) with myself and others, we get on fine.  Colleagues can then value what remains of my strengths and forgive (and compensate) for what's missing.

What destroys enterprises (and their people, particularly successors) is self-protective arrogance.  A leader claiming knowledge, capability and insight ungrounded in reality.  This leads to decisions (re appointments, products, investments and other business activities) that are protective (often self-protective) rather than forward looking.  Personally rather than commercially driven.  Over time, this leads colleagues to disengage, move on or exercise passive resistance - undermining the business.  Or, like true revolutionaries, rise up and dethrone the king.  In two cases I've seen, that's exactly what happened.

So, take an hour and think through where you stand today.  And, more importantly, what colleagues need from you if the business (and they) are going to thrive.  Our V|E|C|T|O|R Leadership® Action Planning tool is a good place to start.  But, only if you're serious.  It's a complete waste of time for anyone, who's self-deluding.

Categories for this Potshot:

Career planning, Be EQ-effective, Build competitive advantage, Push execution and follow-up, Focus on being the best, Lift benchmarks and IP, Engage people, Drive strategic rethink,



Dr. Timothy Pascoe AM
PhD (Cambridge), MBA (Harvard), BE & BEc (Adelaide)
Creator, V|E|C|T|O|R Leadership®

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