LEADERSHIP: G20, GEE PLENTY

Published: 2009-04-08   There is 1 comment ... please add yours below

Committees are often the worst way to get things done.  Particularly in nervous times.  And, the pre-G20 vibes were net nervous.  There was positive energy (particularly from Barack Obama) about working together to restore financial and economic vitality.  But, from others, finger-pointing - for example, at bankers and, more generally, those with "blue eyes".  And, insistence (from Nicolas Sarkozy) that it would be his solution or none - with a walk-out threatened for good measure.  And, as always, cries for legislation and regulation - noisily slamming stable doors after the credits have bolted.  Sadly, it's often no different in business.  When things go bad, there can be a rush to blaming - and backside covering.  Also, pushing personal solutions.  So, how have you and your people behaved in the downturn?

Nerves notwithstanding, the G20 delivered a good outcome including a trillion-dollar stimulus, action on tax havens, hedge funds and rating agencies, and initiatives to strengthen the IMF.  That's plenty for one day - and hugely better than it might have been.

Whether markets continue their initial positive response will be evident in coming weeks - and beyond.  But, at least there's been action and a lifting of expectations.  On the day, the grandstanding gave way to teamwork.  A good example for all of us!

So, what actions have you taken (and what success have you had to date) to ensure your own business begins to fare better in these tumultuous times?  For interest, here are some actions from leaders I've talked with recently, to address their own challenges.

• Talk to all key stakeholders: customers, suppliers, bankers, staff and so on.  To ascertain their worries, new needs, etc. - and their desired actions by us.
• Re-jig (or totally revise) business and service models to reflect revised stakeholder needs.  In some cases, they've changed little; in others dramatically.
• Define new goals and outcomes for the business over the next two years.  It's hard to see very far ahead at present.  But, previous goals are certainly no longer realistic.
• Adjust technical delivery to match new demands - in major areas such cheaper offerings or different credit terms but also in less obvious areas such as customer communications.
• Make our plans more specific to deal with our people's fears and help them adapt to working with fewer colleagues and resources, changed customer deliverables, etc.
• Communicate much more often and keep seeking feedback, which is pretty obvious from all the above.  Almost week to week, stakeholder worries are changing.

There's nothing new or revolutionary in any of these six steps.  But, the current high-risk climate gives them urgency.  Warren Buffett commented that it's only when the tide goes out, we know who's been swimming naked.  That's as true of leadership as it is of investment.

If you adopted the above actions, they'd make a sensible enough plan.  But, better to do your own Leadership Action Plan, focusing on your people and their specific needs.

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