Achieving Business Excellence with John Spence

The Courage to Speak Up

happy employees happy customersRecently, I took a few moments to talk about something I see far too often in the companies and groups I work with all over the world. It’s something that exists in every organization to some degree – in every industry – and it’s something I’m passionate about helping leaders identify and work on with their teams.

Check out the text below or, if you prefer, watch the video on my YouTube channel.

 

This is one of those videos you’re gonna wanna gather everyone around the computer or send it out to everyone in your organization, because I’m gonna discuss an issue that drives me crazy that I see over and over again in organizations when I’m coaching people or working with different groups or teams. It’s the unhappy employee who doesn’t bother to tell management they’re upset.

They sit at their desk, they brood, they build up more and more anger and frustration and resentment. Oh, and they’ll go tell other people in the organization, or they’ll go home and tell their family, but they won’t go to their manager, leader, boss, whatever it might be and say, “Hey, I’m not happy about this,” or “I think this isn’t going well.” Many of you that are watching this now that you think yourself, “Well I got some things I really don’t like about how they do things around here, but I’m not gonna go tell my boss, because I’ll get” – and I love this term one person told me – “I’ll get vaporized.” And you’re gone.

If you live in an environment where bringing criticism, let’s say negative feedback, pointing out something that doesn’t seem to be going right to you, if you work in an environment where doing that would cost you your job, you probably need to work someplace else because you work for a poor leader and things will likely not ever get better.

State or Trait?

There’s another thing to check: Maybe it’s your attitude. What I always say when I teach this sort of stuff in companies is, is it a state or trait?

A state, “I’m just having a bad day, I’m just upset about this one project, I’m just … Things aren’t going well in other parts of my life and I feel like taking it out on the company.” It’s just a temporary state of being dissatisfied, frustrated, whatever it might be… stress.

If it’s a trait – that you see this happening over and over again in your life and you’re constantly frustrated and upset, then you might wanna look at the mirror and say, “Maybe it isn’t the people around me, maybe it’s me.”

This is also, – now I’m gonna shift to the leader – this is also something to look at when someone brings you a critical feedback or they’re frustrated or upset or angry or stressed. Is it a state or a trait? Are they just having a bad day or is this an employee who just has a bad attitude?

Leaders: Listen Up

Let me now speak to the leaders. The only people that can tell you how to improve your company are your customers and your employees. I am flabbergasted at how often leaders and companies don’t wanna hear from either group. “Let’s send out a customer survey? Oh no, they’d tell us all the things they want us to change and expect us to change them.” or “I don’t wanna get the negative feedback.”

I see this a ton internally, where I’ll go to a leader, a CEO and say, “When did they do an audit of your internal organization?” They’ll say, “No, no way, I don’t wanna hear what they’re complaining about, I’d have to do something.”

Now the reverse is I work with a lot of organizations and great leaders who want to get that feedback. Often times it frustrates them that they don’t get enough of that feedback, because they know everything’s not perfect. They think to themselves, “Wow, if people would just bring the information, I could fix it.”

It’s kind of like if you’re really sick but you don’t wanna tell the doctor about it, I’m not thinking you’re gonna feel a lot better soon. But this is the really important point for leaders, managers, leaders, bosses, CEOs, and presidents: You have to make it safe for people to bring you bad news. You can’t kill the messenger.

If someone goes way out on a limb to share some not-so-great information with you, don’t saw the limb off, run out there and give them a hug. Say, “Thank you. I didn’t like hearing this, I’m upset to hear this is going on in the company,” or “I’m distraught to know that you feel this way.” But you can’t have retribution, finger pointing, getting back at them, telling them they’re wrong. You’ve gotta make it safe – you’ve got to make it really safe for people to bring you even bad news because you can’t fix it unless you know about it.

Ignoring the Problem Solves Nothing

If it’s down there festering and people are afraid to talk to you about it, it will likely hurt or kill your organization. We’ve got two things here: If you’re an employee, you have to have enough courage to go and talk to the people above you about issues or problems or concerns or criticisms you have if they’re bad enough to really impact your productivity. If you’re a little upset, a little frustrated, let it go, this too shall pass. But if it’s really something that’s got you worked up, you owe it to yourself and to the company to let people know. Now the other side of that, I‘m saying again, Leaders, is you have to make it safe. You have to thank them, thank them, thank them for bringing you the bad news, the criticism, the negative feedback and encourage other people to do it, too. Hold them up as someone that brought you information you didn’t want to hear, but information that, now you know it, you can work on it, improve it, fix it and make the company better for everybody.

Here’s a big, big idea: Happy employees lead to happy customers, which leads to more profit. Unhappy employees lead to unhappy customers, a bad workforce, and talent leaving, which isn’t typically the way you run a successful business.

I really hope you take this to heart, pass it around your organization, send it to other folks because this is an issue I see over and over again. I see how bad it hurts the individual and the company not to be able to discuss things that aren’t easily discussed, that might be a little bit uncomfortable, but if fixed or attended to, it could have a huge positive impact on everyone involved.

I hope you found this helpful.

 

How To Manage Up For Change

It is always challenging when you’re trying to convince someone in upper management to change the way they do things. Senior leaders, especially owners of private businesses, are often emotionally tied to the organization and feel that a request to look at things differently is a personal attack on their leadership abilities. I’ve had to deal with this challenge multiple times in my career and from my experience, there is a continuum of “aggressiveness” that one needs to move through to convince upper management to change their ways.

Here is the continuum from least aggressive to most aggressive:

Level I: if you have a good relationship with the senior leader then simply go visit with them and share your ideas. Make sure that you are extremely well-prepared, understand the full ramifications of what you are proposing and come with solutions, not problems.

Level II: if you personally do not have a great relationship with the senior leader, gather a small group of employees that the leader respects, talk to them about your proposal for change, gain their buy-in, and then go as a small team to speak with the senior leader. Again, be extremely well-prepared and come with solutions, not problems.

Level III: find a sponsor on the senior management team who believes in your ideas and is willing to take them to the CEO or owner. Let them use their credibility, experience, and relationship to support your ideas and encourage the top leader to embrace your proposed changes.

*** At this point you move from trying to convince a single leader, to attempting to change the thinking of the entire senior leadership team. This gives your idea more leverage against the leader who does not agree with your proposed changes.

Level IV: this is the one I use most often; overwhelm them with data. Do surveys, focus groups, research – whatever you can to build a solid case for your proposed changes. In the change process we call this creating an “irresistible case for change,” a scenario so irrefutable that it is nearly impossible to ignore the facts of the situation. Unfortunately, many people will choose to ignore them nonetheless.

Level V: find some excellent articles or blogs, on a topic your senior leadership team strongly supports, and then send those articles to everyone in the organization (if it is a small company), or to selected leaders. The first few articles should be about a topic that the leaders will enjoy reading about because they believe in it. After sending several articles that that support their ideology, start to drop in articles on the change you want to make the organization. This is a way to begin the conversation in an innocuous way, by introducing your ideas slowly, mixed in with articles and blogs on ideas they are in favor of. The goal here is to change the conversation across the organization, or at least within the senior leadership team, in hopes that they will see that they need to make changes within the business.

Level VI: gather together a group of key employees, gain their 100% commitment to the change, and then go as a group and demand change from the senior leadership team. This is different from my suggestion at level II because now you are being dramatically more aggressive and basically threatening the senior leaders that if they do not change, there is a possibility they will lose good employees.

Level VII: tender your letter of resignation. Explain fully why you are leaving, that you think the change you are championing is necessary but that the senior leadership team, or senior leader, refuses to make the necessary changes, therefore you are going to go to a new company that is more in alignment with your ideas about business success.

I have given this list to hundreds of people and typically they never have to reach level VII. At some stage along the way the senior leaders or leader eventually come around and either embrace the change or give a solid and thoughtful answer as to why the organization has chosen not to go in the direction you are proposing.

I hope you found this helpful – John

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Four Great Questions About Leadership

A few weeks ago, a student named Joey Brodsky, who is studying business at the University of Florida and is taking a class from a close friend of mine, Dr. Alex Sevilla, sent me some questions about some of the things he was learning about management and leadership.  I thought the questions were excellent and that you might find my answers of some value.  Here is the conversation between myself and Joey.

 

Mr. Spence,

Currently I am taking a senior leadership course taught by Dr. Alex Sevilla here at the Heavener School of Business. We are working on both theoretical and application based leadership strategies, learning how to combine them with our skills to become better managers.

Some questions I have for you below are about how you implement specific leadership theories in your work (or don’t), experiences you have had being an influential leader from such a young age, and certain challenges you have faced overseeing and motivating individuals. My goal is to relate some of the topics I’ve learned in my course to real world experiences. I’ll keep them brief as I know your time is valuable, but any information you feel would be influential I would love to learn from!

Questions:

  1. One of the first topics we discussed in class was the differences between trait leadership and process leadership ideologies. Trait leadership having to do with personality traits that influence one’s skill of leadership and process leadership being more interaction based. Do you find leadership to be a more inherent quality to individuals, or would you say it has more to do with the way someone interacts with their ‘followers’?

If I’m reading this correctly, it seems that you are asking the age-old question, “Are leaders born or made?”  I believe that if someone has good values – they are honest, they act with integrity, they show respect, they have empathy and concern for others – I can send them to a class to learn most of the process skills they need to be a good leader. However, if someone lies, cheats, steals, manipulates and doesn’t care about others – there is no way they will ever become a truly effective leader.  

Also, there are many people that talk about extroverts versus introverts as leaders.  I have seen many leaders that are highly motivational and inspiring, that can get up in front of a group and move them to action – I’ve also seen many leaders that are quiet, humble and introspective. But they have a burning passion for what they are doing and that passion creates highly loyal followers.  

In my opinion, a leader must be superb at two skill sets: they must be absolutely excellent at what they do, their actual job description, and they have to have strong leadership skills.  

Lastly, remember that leadership is not only the purview of the people at the top of the organization, every person in an organization leads at some level.

  1. Another interesting concept we have learned is the difference between an assigned leader (a leader because of a formal position) and an emergent leader (a leader because of the way others respond to them). Being such a young CEO at 26 when working with the Rockefeller Foundation I would expect you were very influential among your peers and showcased your leadership earlier on. Can you tell me a little about how you leveraged your leadership skills as an emergent leader into a more formal leadership role so early in your career? What are some of the characteristics you displayed that you think helped you to stand out?

Almost immediately after joining the foundation I became the “right-hand man” to the CEO (not Mister Rockefeller, a professional manager who was running the company on his behalf).   I spent a lot of time watching him, learning what to do, and learning what NOT to do.  At this point in my career I was reading every single business book I could get my hands on and listening to 4-5 business books a week.   In a meeting with our Board of Directors, one of the key directors asked a question that the CEO could not answer – and then the director (a multibillionaire) turned to me and asked me if I knew the answer – which I did.   Then, the board started asking me for my opinion more often, and when the current CEO began to stumble, they put me in as an interim CEO – which eventually led to me becoming the permanent CEO.  

Very frankly, I was in no way ready to lead an organization at that age, I was woefully unprepared.  I realized that I could not be successful if my team was not successful.  For my part, I studied, read, worked and did everything I could to learn as much as I could about leadership and business success.  I tried to model the behavior of lifelong learning and always striving to do your best.  I also went to my team and asked for help and focused a great deal on empowerment.  In the early days, I was very immature as a leader, but as I faced more situations I slowly learned how to run the business and be a better leader to my team.

  1. One quote from Professor Sevilla that really resonated with me was “It’s not about you [the leader] . . . it’s about them [the followers].” He said if there were to be only one thing we take away from this class, let it be this statement. In your professional experience, how important has it been to focus more directly on the group and achieving common goals, rather than just using subordinates to achieve more personal objectives?

Dr. Sevilla is 1,000% right.  This is a concept known as servant leadership, where the leader understands that they are actually there to serve their employees.  As to your question about common goals or personal objectives – it’s not an Either/Or – it is a Both/And.  Everyone in the organization must be focused on the vision, strategy, and a set of common goals they are all aligned to as the do their work.  It is the job of the leader to ensure that they execute the strategy with discipline and continuously deliver superb business results.  ALSO, the leader needs to help each person grow as an individual and show them how their work directly ties into the success of the overall organization.  

  1. Over the last few decades you have become one of and got to work with many of the greatest business leaders in the world. I don’t expect there to be a catchall answer on how to become a powerful and respected leader in the business world, but what are some of the strongest traits or strategies you see these leaders (and yourself) using to motivate others? Are there some particular things you think are more important for a young leader, like myself, to help showcase my skills to companies?

Rather than give you just my opinion, here is a list of traits that have emerged from the thousands of leadership classes I’ve taught and the great leaders I have had the honor to spend time with.

Honesty – tell the truth all the time – period.  Another word here would be integrity.

Excellent communicator – asks great questions and is an intense listener.

The courage to be vulnerable, to admit that you don’t have all the answers. Another word here would be authentic.

Competence – you must be exceedingly good at what you do.  My favorite phrase in this area is, “be so good they can’t ignore you.”

Great team player – treats their employees as partners and peers.  Shows them respect and gives them trust.

Compassionate – shows a genuine concern for their people and their personal and professional growth.

Visionary – has a vivid, compelling vision and strategy for growth that is well communicated across the entire organization.

Passionate – another word would be inspiring.

Innovative – a lifelong learner who is a good creative and strategic thinker.

 

Joey, I hope you found these answers helpful, let me know if you need any more information.

I wish you every possible happiness and success – John

A very important question…

Google Research on Key Habits of Top Managers and Leaders

Here is some really powerful information on what it takes to be a highly effective manager and leader. It is based on a Google research project that looked at 10,000 of their top employees. I urge you to take a few minutes to watch the video – I think you will find it very helpful.

Also, please share this video with anyone you feel would find value in the ideas I cover, I believe these concepts can help a lot of people to be more successful.  Thank you very much – John

Remember to share this with your network

*** If you have not read it yet, here is a link to download my short eBook on how to build and sustain a winning culture – for FREE!

 

 

 

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Does Your Team Measure Up?

A Perfect Breakfast Storm

240_F_90927099_z6LSkcqAbKKIpsbNmhygPROfNiNTK1x9Recently I witnessed a perfect storm of two prevalent business problems:

 Activity vs. Results and The Law of Unintended Consequences.

 

I was having breakfast at a very nice hotel. When I was seated I asked the hostess if I could have a menu but she explained to me that they only offered a buffet. So I walked over and put together a plate of food. When I returned there was a glass of water on my table, however, I really like to have iced tea with my breakfast, so I looked around to try to catch the attention of one of the servers. I was literally the only person in the restaurant, yet I couldn’t get any help. The staff was feverishly working away at folding napkins and setting tables for lunch (it was 8:40 AM), busy as could be and completely ignoring me. When I started to eat my meal, the eggs were cold, the sausage was cold and the potatoes were cold, so I decided I might as well have some yogurt, because it’s supposed to be cold. I set my plate to the side and went back to the buffet for the yogurt, upon returning my plate was still there and no iced tea. After I ate my yogurt I waited patiently for someone to come over so that I could ask for a check, and no one ever came to my table. So on my way out of the restaurant I mentioned to the hostess that no one asked me to pay for my breakfast, to which she replied, “Oh it is included in with room, you have already paid for it.”

That is when it dawned on me. Because they had no way to earn a tip, nobody put any effort into helping the customers, it was much easier to just look busy folding napkins so that their manager did not give them a hard time. Again, I tell you these sorts of stories not to complain, but to hold up a mirror and ask you: Do you ever do this in your business? Do you judge your employees by how early they get to work, how late they stay and how busy they look – not on the quality of their work or results they deliver? Is your reward and recognition system in alignment with the priorities of your business?

Are you paying your people to do what is most important and drive success, or to have nicely folded napkins?

If you would like some ideas about how to improve your culture, I wrote a short ebook with my best ideas. Here is a link to learn more:

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Two Superb Books I Highly Recommend

John SpenceI have just returned from three weeks on the road, including 10 days on a speaking tour across Poland as a guest of the United States Consulate General in Krakow. I had a lot of time on airplanes and read several books but there are two that I would especially like to recommend.

The first is called “BOOKSMART – hundreds of real-world lessons for success and happiness,” by my friend Frank Sonnenberg. This is an absolutely fantastic book of wisdom and sage advice that is presented in a very user-friendly way, with lots of lists of things to think about and apply. The book covers numerous topics around business, family, success, financial health, marriage and other critical issues. The chapters are short but powerful. I have already reread this book twice and have applied several of the ideas to my business and life. This is one of those books I plan to come back to often as a reminder of what I should be focusing on and how to build a happy, joyful and highly successful life. This book would be a wonderful Christmas present for anyone you know that enjoy books on self-improvement or business improvement.

The other book I’d like to recommend to you is called, “The Leaders Mindset – how to win in the age of disruption,” by Terence Mauri. In this book Terence describes three major leadership mindsets:

  1. Think Big Mindset (Future Shaper)
  2. Act Bold Mindset (Risk Taker)
  3. Learn Fast Mindset (Knowledge Seeker)

He then goes on to describe how to integrate all three of these mindsets in order to be an effective and successful leader. I underlined a lot of this book, and I’ve recommended it to several of my clients. It’s a good, solid book that will help you take a new look at how you lead in your organization. One of the reasons I love this book so much, is that it aligned very strongly with what I have been studying for years about great leaders and great organizations. It was reassuring to read such focused and detailed ideas and descriptions that match so closely with my strongly held beliefs about what makes a real leader. If you are interested in a book that will help you examine the way you think about leadership and the actions you take as a leader, you will definitely enjoy this book.

I have just a little bit of downtime around the Christmas holidays, so I will have a few more books to recommend at the start of the new year. If you have recently read a great business or self-help book, please comment on it here so that my followers and I can pick it up and learn from your recommendations.

I hope you find these books of great value – take good care – John