ne © vadim kotelnikov smart leader by vadim kotelnikov founder, ten3 business e-coach customer...

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© Vadim Kotelnikov

SMARTLeader

By Vadim Kotelnikov

Founder, Ten3 Business e-Coach

www.1000ventures.com

www.success360.com

CustomerResults

LEADERSHIPATTRIBUTES

EmployeeResults

InvestorResults

OrganizationResults

SMART Learning

Synergistic, Motivational, Achievement-oriented, Rapid, Technology-powered

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SMART Leader

© 2005 Vadim Kotelnikov, Founder, Ten3 Business e-Coach

1. Introduction to Leadership

2. Leadership Lessons

3. Leadership Attributes and People Skills

4. Leadership Styles

5. Delivering Results

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Effective Leadership Attributes x Results = The Roadmap for Improving Leaders

Demonstrate

LEADERSHIP ATTRIBUTES

Emanate personal character

Master competencies

Set directions

Build organizational capability

Mobilize individual commitment

CUSTOMERResults

Achieve

RESULTS

EMPLOYEEResults

INVESTORResults

ORGANIZATIONResults

X

“Management works in the system. Leadership works on the system.”- Stephen R. Covey

More information at 1000ventures.com:“Effective Leadership”

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Leader 360 Leadership Attributes × 360° Achievement

SELFLeadership

LATERALLeadership

BOTTOM-UPLeadership

TOP-DOWNLeadership

© Vadim Kotelnikov

Leadership

ATTRIBUTES

Leading your boss Leading yourself

Leading your subordinates

Leading your peers

More information at 1000ventures.com: “Effective Leadership”

ne Managerial LeadershipDifferences Between What Leaders and Managers Do

MANAGERS LEADERS

Deal with status-quo Deal with change

Work in the system Work on the system

React Create opportunities

Control risks Seek opportunities

Enforce organizational rules Change organizational rules

Seek and then follow direction

Provide a vision to believe in and strategic alignment

Control people by pushing them in the right direction

Motivate people by satisfying basic human needs

Coordinate effort Inspire achievement and energize people

Provide instructionsCoach followers, create self-leaders, and empower them

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SMART Leader

© 2005 Vadim Kotelnikov, Founder, Ten3 Business e-Coach, www.1000ventures.com, June 2005






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1000ventures.com

Leadership Challenge ModelThe Five Practices of Exemplary Leadership

Modeling the Way

Challenging the Process

Encouraging the Heart

Enabling Others to Act

Forming and Inspiring

a Shared Vision

Source: Study by Jim Kouzes and Barry Posner

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Mastering Effective Leadership Roles

1000ventures.com

• Give direction, set an example, and share risks or hardship

• Win respect without courting popularity

• Lead by example; practice what you preach

• Listen with understanding; be open to ideas

• Be willing to discuss and solve problems

• Support and help; back your people up; remembers their problems

• Use team approach; facilitate cooperation

• Help your team reach better decisions

• Avoid close supervision; do not overboss; do not dictate

• Delegate authority; trust your group; rely on their judgment

• Communicate openly and honestly so people can trust what you say

• Bring out best in your men; have common touch with them

ne Leadership Lessons of Lao TzuThe founder of Taoism (born app.500 BC)

1000ventures.com

• The leader is best when people are hardly aware of

his existence, not so good when people praise his

government, Less good when people stand in fear,

worst, when people are contemptuous.

• Fail to honor people, and they will fail to honor

you.

• But of a good leader, who speaks little when his

work is done, his aim fulfilled, the people say, 'We

did it ourselves.'

ne Leadership Lessons of XenophonAthenian soldier and author (431-350 BC)

1000ventures.com

Leadership is done from in front. Never ask others to do what

you, if challenged, would not be willing to do yourself.

Know your business – authority flows to the one who knows.

Lead by example.

Inspire others by encouraging them in times of difficulty orchallenge

Remind people of why they are working and striving.

Be firm and just in maintaining necessary order.

A leader should show humanity, a basic empathy with people.

Above all, be there – at the right time and place. Neverunderestimate the positive influence that your very presencecan exert in a situation.

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ExecutionThey are action-oriented, and

are focused on getting results

EdgeThey have a competitive edge

and a will to win

EnergizeThey energize teams, and

don't intimidate them

EnergyThey have tremendous

personal energy

Lessons from Jack WelchThe 4 E’s of Leadership

More information at 1000ventures.com : “25 Lessons from Jack Welch”

ne Powell’s Leadership Principles– General (Ret.) and Former Secretary of State

1000ventures.com

By treating everyone equally "nicely" regardless of their contributions, you'll simply ensure that the only people you'll wind up angering are the most creative and productive people in the organization.

Real leaders make themselves accessible and available.

Don't be buffaloed by experts and elites.

If you have a yes-man working for you, one of you is redundant.

Never neglect details.

You don't know what you can get away with until you try.

Keep looking below surface appearances.

Only by attracting the best people will you accomplish great deeds.

Never let your ego get so close to your position that when your position goes, your ego goes with it.

Excerpts from Powell’s 18 Leadership Lessons

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SMART Leader







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General Leadership AttributesWhat Effective Leaders Need to Be, Know, and Do

Set DirectionsSet Directions Face reality Focus on the future See change as an opportunity

Mobilize Individual CommitmentMobilize Individual Commitment Direct emotions Manage attention Share power and authority Build collaborative relationships

Build Organizational CapabilityBuild Organizational Capability Build infrastructure Leverage diversity Build teams Make change happen Design human resource systems

Demonstrate Personal Character Live values, lead by example Have and create a positive self-image Display integrity & learning ability

More information at 1000ventures.com: “Leadership Attributes”

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Technology of AchievementIntersection of Capabilities, Attitude & Opportunities

EXTERNALEXTERNALRESOURCESRESOURCES

&&OPPORTUNITIESOPPORTUNITIES

MOTIVATIONMOTIVATION

&&

ATTITUDEATTITUDE

Positioning Vision

Commitment

INTERNALINTERNAL

RESOURCESRESOURCES

&&

CAPABILITIESCAPABILITIES

© Vadim Kotelnikov

ACHIEVEMENT

More information at 1000ventures.com: “Achievement Management”

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Be a Winner!

Winners versus Losers

The Winner is always a part of the solution;The Loser is always a part of the problem. The Winner always has a program;The Loser always has an excuse. The Winner says, "Let me do it for you;"The Loser says, "That's not my job." The Winner sees an answer for every problem;The Loser sees a problem in every answer. The Winner says, "It may be difficult but it's possible;"The Loser says, "It may be possible but it's too difficult."

"He who rules

his spirit has

won a greater

victory than the

taking of a city.“

– Jesus Christ

Winners: a True Formula for Success

False formula: Winners are happy – Losers are miserable

True formula: Happy people are winners – Miserable people are losers

More information at 1000ventures.com: “How To Be a Winner”

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1 Appreciate your goal, pay attention to how attractive that goal is, make it as compelling as possible

2 Set your brain on the path toward achieving your goal so that it's working on it all day long – traveling the actual path will then become much easier

3 Vividly imagine that you have already achieved your goal, then walk back and examine the pathway toward your goal

4 Notice specific steps on the pathway you took to get there, including all those different elements – the resources, the abilities, the actions, and the people – that led, step-by-step, toward your goal

5 Go back to the present with a new appreciation for the steps on the path to your goal

NLP Technology of Achievement Creating Inevitable Success

More information at 1000ventures.com: “Success Secrets”

neNLP Technology of Achievement

Personal Change – Start with Yourself

Start with Yourself

1. Be an example of what is wanted – you are the only thing in the system that you can absolutely change

2. Learn from everyday events, treat every situation as an opportunity to learn and to gain some new choices and flexibility

3. Don't rely just on the feedback you receive, solicit feedback actively

4. Increase flexibility in your thinking and your actions

Personal Change:Your Empowering Beliefs

1. 'I enjoy new ideas'

2. 'I have an open mind‘

3. 'I know I can change‘

4. 'I've learnt so much before, and I use every opportunity to learn more'

More information at 1000ventures.com: “Changing Yourself”

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Taking responsibility Taking risk

Demonstratingentrepreneurial

creativity

1000ventures.com

Taking initiative

Entrepreneurial LeadersSpecific Attributes

Entrepreneurial leadership is leadership that is based on the attitude that the leader is self-employed.

Entrepreneurial leadership involves instilling the confidence to think, behave and act with entrepreneurship in the interests of the intended purpose of the

organization to the beneficial growth of all stakeholders involved.

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Leader as an EntrepreneurTalent & Temperament & Technique Synergy

Source: Adapted from “Entrepreneurs”, Bill Bolton and John Thompson 1000ventures.com

TALENT

Creativity Courage Focus Resourcing

Opportunity spotting Advantage orientation Teambuilding Networking TEMPERAMENT

Ego drive Mission Activator Dedication

Urgency Competition Responsibility Performance

Opportunity taking

TECHNIQUE

Entrepreneur’s skill set

Experience

Techniques to develop talents and manage temperament

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SHAREDVALUES

Teamwork as a Distinctive CapabilityDream Team

Adapted from “The Wisdom of Teams”, John Katzenbach and Douglas Smith

Well-definedworking

approach

Meaningfulpurpose

Clearperformance

goals

Mutualaccountability

Smallnumbers

Complementaryskills

More information at 1000ventures.com: “Team Building and Teamwork”

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The Tao of Influencing People

© Vadim Kotelnikov

• Being interested in people

• Knowing people

• Understanding emotions

• Effective listening

• Observing people

• True compassion

• Managing attitude

• Establishing rapport

• Asking effective questions

• Persuading

• Leading and coaching

• Inspiring and energizing

"Before you can inspire with emotion, you must be swamped with it yourself. To convince them, you must yourself believe." – Winston Churchill

YangActive, Creative

Inside-Out

YinPassive, Receptive

Outside-In

More information at 1000ventures.com: “Influencing People”

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The 10 Essentials of Effective Communication

1 Know your audience and match your message to the audience.

2 Respect your audience and suspend judgments.

3 Know exactly what you want to achieve.

4 Think and organize before you proceed.

5 Think from your audience point of view.

6 Be mindful of what you face and body are conveying nonverbally.

7 Listen carefully to all responses.

8 Be willing to share what you know and hear what you don't know.

9 Stay focused on what you want to achieve and don't get distracted.

10 Find a way to get your audience to explain what they think you said. Discuss differences until you hear a satisfactory version of the message you wanted to convey.

More information at 1000ventures.com: “Effective Communication”

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Effective Listening

Effective Listening Techniques

• Encouraging

• Pretending ignorance

• Noting and reflecting emotions

• Paraphrasing

• Summarizing.

Barriers to Effective Listening

• we "know" what we are going to hear;

• we judge delivery (how they say it), not content (what they say);

• we are seeking confirmation, not information;

• what's being said is getting in the way of what needs be said.

"A good listener is not only popular everywhere, but after a while he knows something." – Wilson Mizner

More information at 1000ventures.com: “Effective Listening”

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Employee EmpowermentThree Levels

Degree of Empowerment & Leadership

Organizational Benefits

Encouraging employees to play a more active role in their work

Involving employees in taking responsibility for improving the way that things are done

Enabling employees to make more and bigger decisions without having to refer to someone more senior

Getting closer to the customer Improving service delivery Innovating continuously Increasing productivity Gaining the competitive edge

Adapted from “Empowering People”, Jane SmithMore information at 1000ventures.com: “Employee Empowerment”

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Equity Competence

Participation

1000ventures.com

Identity

Energizing PeopleFour Principles of Empowering and Energizing Employees

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1000ventures.com

Inspiring PeopleFour Key Strategies to Inspire Employees to Act

Allow experimentation and

the freedom to fail. Makebusiness fun.

Encourage challenges to

the assumptions and the status quo

Createan inspiring vision

andset stretch goals

Create freedomfrom bureaucracy and

celebrate diversity

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Effective CoachingDefinition and the Keys to Success

What the Coach Does

• acts as an external expert observer making sure that the player's aim is true and their actions are congruent

• helps players identify and define their specific goals, and then organize themselves to attain these goals

• provides help in motivating and keeping the players motivated to reach their goals

Coaching is the art and practice of inspiring, energizing, and facilitating the performance, learning and development of the player.

THREE KEYSto Effective Coaching

1. Listening2. Observing3. Questioning

More information at 1000ventures.com: “Effective Coaching”

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Coach 360 Coaching Arts × 360° Achievement

SELFCoaching

LATERALCoaching

BOTTOM-UPCoaching

TOP-DOWNCoaching

© Vadim Kotelnikov

Coaching

ARTS• Listening

• Questioning• Inspiring

• Energizing

Coaching your boss Coaching yourself

Coaching your subordinates and kids

Coaching your peers and customers


ne Coaching YourselfSet and Achieve Your Personal and Business Goals

Think StrategicallyBuild a TeamEnergize & Coach

Learn & Cross-pollinateBoost Your CreativityDiscover Opportunities

Understand PerceptionsListen & Ask QuestionsTalk, Write & Present

Know PeopleBuild RelationshipsConnect & Influence

© Vadim Kotelnikov

BUILD PEOPLE SKILLS

LEAD

COMMUNICATE

INNOVATE

MANAGE YOURACHIEVEMENTS

Define Your Vision & GoalsUnlock Your CapabilitiesManage Your Attitude

More information at 1000ventures.com: “Coaching Yourself”

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Structuring the Coaching SessionThe GROW Model

Adapted from: “The Tao of Coaching”, by Max Landsberg

RealityReality• ASSESSMENT Invite self-assessment

• EXAMPLES Offer specific examples of feedback

• ASSUMPTIONS Avoid or check assumptions. Discard irrelevant history

OptionsOptions• RANGE

Cover the full range of options

• SUGGESTIONS Invite suggestions from the player. Offer suggestions carefully

• CHOICES Ensure choices are made

• AIM Set long-term aim if appropriate

• OBJECTIVE Agree specific objective of session

• TOPIC Agree topic for discussion

GoalGoal Wrap-upWrap-up• ACTION

Commit to action

• OBSTACLES Identify possible obstacles and how to overcome them. Agree support

• MILESTONES Make steps specific and define timing


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The Tao of Cultural IntelligenceHarmony Between Receiving and Giving Side

© Vadim Kotelnikov

Your capability to grow personally through continuous learning and good understanding of diverse cultural heritage, wisdom, and values.

Your capability to deal effectively with people from different cultural background and understanding.

YangActive, Creative

Inside-Out

YinPassive, Receptive

Outside-In

More information at 1000ventures.com: “Cultural Intelligence”

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Effective LeadershipCorrelation Between Major Leadership Schools

Focus onLEADERSHIP ATTRIBUTES

&STYLE

Principle-Centered Super-leadership

Inclusive Values-Based Strategic

Focus on RESULTS

Results-Based Entrepreneurial Transformational Volatility Creative Horizontal

Situational Functional

Anarchistic

© Vadim Kotelnikov 1000ventures.com

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Values-based LeadershipSynergy of Effectiveness, Morality, and Time

1000ventures.comConcept by James O’Toole

Morality– measuring how change affects concerned parties

Effectiveness– measuring the achievement

of the objectives

Time– measuring the desirability

of any goal over the long term

"The only thing that works is management by values. Find people who are competent and really bright, but more importantly, people who care exactly about the same things you care about.“

– Steve Jobs, Co-founder, Apple Computer

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Principle-Centered LeadershipAlternate Life and Organizational Centers

Source: “Principle-Centered Leadership”, Stephen R. Covey, 1991

PrinciplesPrinciples

Enemy

Friend

Pleasure

Work

Possess-ions

Money

Family

Spouse

Self

Religion

Power

Guidance

Wisdom

Security

PrinciplesPrinciples

Policy

Program

Customer

Owner

Employee

Supplier

Profit

Techno-logy

Image

Compe-tition

Power

Guidance

Wisdom

Security

ALTERNATE LIFE CENTERS ALTERNATE ORGANIZATIONAL

CENTERS

1000ventures.com

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Situational LeadershipManagerial Leadership Styles

Adapted from “Leadership and the One Minute Manager”, Kenneth Blanchard 1000ventures.com

DIRECTIVE BEHAVIOR

SU

PP

OR

TIV

E B

EH

AV

IOR

Low High

High

EMPOWERINGEMPOWERINGTurning over responsibility for

day-to-day decision-making

For people who have High Competence High Commitment

SUPPORTINGSUPPORTINGPraise, listen, and facilitate

For people who have High Competence Variable Commitment

DIRECTINGDIRECTINGStructure, control, and

supervise

For people who have Low Competence High Commitment

COACHINGCOACHINGDirect and support

For people who have Some Competence Some Commitment

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1000ventures.com

1 Managers makes decision and announces it

2 Manager “sells” decision

3 Manager presents ideas and invites questions

4 Manager presents tentative decision subject to change

5 Manager presents problem, gets suggestions, makes decision

6 Manager defines limits; asks group to make decision

7 Manager permits subordinates to function within limits defined by superior

Adapted from: “The Tannenbum and Schmidt Leadership Continuum”

Managing bydirecting

Leading by empowering

Situational LeadershipContinuum of Leadership Behavior that Emphasizes Decision Making

Team

maturity

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Entrepreneurial LeadershipBuilding Attributes and Delivering Results

CUSTOMERResults

INVESTORResults

ORGANIZATIONResults

EMPLOYEEResults

© Vadim Kotelnikov

Leadership Attributes Entrepreneurial Creativity Strategic Thinking Business Systems Thinking Results-based Leadership Volatility Leadership Energizing & Coaching Opportunity-driven Management Change Management Venture Management

Leadership Arts, Skills, & Tasks

More information at 1000ventures.com: “Entrepreneurial Leadership (MBS course)”

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SMART Leader







ne Results-Based LeadershipEffective Leadership = Attributes X Results

BALANCED LEADERSHIP WHEEL

CUSTOMERResults

Results-Based

Leadership

EMPLOYEEResults

INVESTORResults

ORGANIZATIONResults

Leaders do much more than demonstrate

leadership attributes – character and

competencies.

Effective leaders get RESULTS.

Desired results must serve multiple constituents –

customers, investors, employees, and

organization – in a BALANCED way.

Adapted from "Results-Based Leadership", Dave Ulrich, Jack Zenger, and Norm Smallwood, 1999 More information at 1000ventures.com: “Results-based Leadership”

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Twelve Major Causes of Failure in Leadership

1000ventures.comAdapted from: "Motivate to Win", Richard Denny

1 Inability to organize detail

2 Unwillingness to do what they would ask another to do

3 Expectation of pay for what they know instead of what they do

4 Fear of competition from others

5 Lack of creative thinking in setting goals and creating plans

6 The "I" syndrome

7 Over-indulgence, destroying endurance and vitality

8 Disloyalty to colleagues

9 Leading by instilling fear instead of encouraging

10 Emphasis of title instead of knowledge and expertise

11 Failure to face the negative reality

12 Being ultra-positive

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Strategic LeadershipGeneric Role and Main Functions

Three Broad Functions

Achieving the common TASKTASK

Building and Maintaining the

TEAMTEAM

Motivating and Developing the

INDIVIDUALINDIVIDUAL

Seven Role Functions

1. Purpose / Vision

2. Strategic Thinking and Planning

3. Operational / Administration

4. Organization Fitness to Situational Requirement

5. Energy, Morale, Confidence, Spirit

6. Allies and Partners, Stakeholders, Political

7. Teaching and Leading the Learning by Example

Adapted from “Effective Strategic Management”, John Adair, 2002 More information at 1000ventures.com: “Strategic Leadership”

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Strategic

THINKING

Strategic

LEARNING

Adapted from “Changing Strategic Direction”, Peter Skat-Rørdam, 2003

Strategic AchievementThinking × Action × Learning → Synergy

Strategic

ACTION

STRATEGIC THINKING

1. Look behind the symptoms2. Combine intuition and data3. Recognize the value of synergy4. Live the life of the customer5. Balance the short and long term

STRATEGIC LEARNING

1. Undertake strategic control2. Experiment3. Constantly refine the strategy4. Learn from mistakes

STRATEGIC ACTION

1. Make a choice2. Take risks3. Sell the new strategy4. Calculate the reactions5. Get the timing right6. Acquire the appropriate resources

More information at 1000ventures.com: “Strategic Achievement”

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1000ventures.com

Setting Effective Goals

SMART Goals

1. Specific

2. Measurable - that can quantify the results

3. Achievable

4. Relevant

5. Time bounded – are governed by deadlines

Effective Goals are:

• Stretching, but

• Achievable

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80/20 Strategic ThinkingHow To Achieve More with Less

80%

80%

20%

INPUT OUTPUT

20% 80% of outputs result from 20% of inputs

80% of consequences flow from 20% of causes

80% of results come from 20% of effort

Source: “The 80/20 Principle”, Richard Koch

Progress means moving resources from low-value to high-value uses:• 80% of value is produced with 20% of resources

• 80% of growth and profitability comes from 20% of clients• 80% of defects can be eliminated by correcting 20% of causes• 80% of cost reduction can be achieved by focusing on 20% of the whole business

More information at 1000ventures.com: “80/20 Principle”

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The Tao of Managerial LeadershipEfficiency & Effectiveness: Finding the Delicate Balance

1000ventures.com

YinPassive, accepting side

YangActive, aggressive side

OBJECTIVE EFFICIENCY EFFECTIVENESS

STYLE Management Leadership

MOTTO Doing things right Doing right things

MEASUREMENT Benchmarking Strategic achievement

FOCUS ON Individual elements The total result

APPROACH Analytical; looking at the parts Holistic; looks at the whole

DIRECTION Looking internally Looking externally

GROWTH Eliminating problems Pursuing opportunities

KNOWLEDGE Know how Know why

© Vadim Kotelnikov

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1. is a person who makes a significant difference

2. is creative and innovative

3. spots and exploits opportunities

4. finds resources and competencies required to exploit opportunities

5. is a good team-builder and networker

6. is determined in the face of adversity and competition

7. manages change and risk

8. has control of the business

9. puts the customer first

10. creates capital

Entrepreneur is a person who habitually creates and innovates to build something of recognized value around perceived opportunities.

Adapted from “Entrepreneurs”, Bill Bolton and John Thompson, 2000

Leader as an EntrepreneurTen Key Action Roles

More information at 1000ventures.com: “Entrepreneur”

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Ten Volatility Leadership Best PracticesManaging the Challenges of a Volatile and Chaotic Economy

Adapted from "Leading on the Edge off Chaos," Emmet C. Murphy and Mark A. Murphy, 2003. 1000ventures.com

1 Make haste slowly

2 Partner with customers

3 Build a culture of commitment

4 Put the right person, in the right place, right now

5 Maximize knowledge assets

6 Cut costs, not value

7 Outposition your competitors

8 Manage stress without loosing your competitive edge

9 Communicate your message through the "noise“ of chaotic times

10 Stay focused and on track

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Managing Change Six-Step Process

1. Envisioning

2. Activating

3. Supporting

4. Installing

5. Ensuring

6. Recognizing

Motivational & Leadership TasksMotivational & Leadership Tasks (elements 1 ÷ 3), aimed to: Inspire people Reduce resistance Ensure everyone is participating

Administrative TasksAdministrative Tasks (elements 4 ÷ 6), aimed to: Clarify what has to be done Measure whether or not it

has been achievedSource: “Managing Change”, David Hussey More information at 1000ventures.com: “Change Management”

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Why Change FailsEight Common Errors in Organizational Change Efforts

1000ventures.comSource: “Leading Change,” John P. Kotter, 1996

1 Allowing too much complacency

2 Failing to create a sufficiently powerful guiding coalition

3 Underestimating the power of vision

4 Undercommunicating the vision

5 Permitting obstacles to block the vision

6 Failing to create short term wins

7 Declaring victory too soon

8 Neglecting to anchor changes firmly in the corporate culture

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Leading ChangeThe Eight Stage Change Process

1000ventures.comAdapted from: “Leading Change,” John P. Kotter, 1996

Defrosting the hardened status-quo

1 Establishing a sense of urgency

2 Creating the guiding coalition

3 Developing a vision and strategy

4 Communicating the change vision

Introducing many new practices

5 Empowering a broad base of people to take action

6 Generating short term wins

7 Consolidating gains and producing even more change

Grounding the changes in the culture, and making them stick

8 Institutionalizing new approaches in the corporate culture

ne Making Big ChangesTen Questions to Answer

Adapted from “Making Big Changes,” Ten3 NZ Ltd. 1000ventures.com

1 Are you prepared to take this risk?

2 On whom will your making this change impact?

3 What do you need to have in place to feel OK about this change?

4 What do you need to do before making the change?

5 Who can help you, and how?

6 What will it cost you not to do it?

7 If you are going to do it, how will you make this work for you?

8 How long will the journey take?

9 What will you do when you feel scared? Who can support you in staying on track?

10 How can you celebrate your successes?

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Leading InnovationTips for Making the Vision a Reality

1Empower people at all levels by articulating your vision, agreeing clear goals and objectives and giving them the authority they need to be entrepreneurial in finding ways of achieving their goals.

2 Remove fear of the unknown and fear of the failure in your words and actions.

3 Stay focused on the key strategic goals despite all the day-to-day distractions.

4 Create a working environment that encourages creativity and innovation.

5 Allow people time for exploration and discovery in addition to normal work.

6 Plan for success but prepare for failure too.

7Invest in employee training and coaching. Help them to develop entrepreneurial and creative skills.

Adapted from "Lateral Thinking Skills" by Paul Sloane, 2003 More information at 1000ventures.com: “Leading Innovation”

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Managing Radical Innovation Projects:

Loose-Tight Leadership

1000ventures.com

Loose-tight leadership alternates: the creation of space for idea generation and free exploration with a deliberate tightening that selects and tests specific ideas for

further investment and development

Ideas

ProfitableInnovation

Divergent Thinking(Loose Leadership) Convergent Thinking

(Tight Leadership)

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GE Market Capitalization

US$13 billion

US$500 billion

2000

Jack Welch steps down

as CEO of GE

1981

Jack Welch appointed

as CEO of GE

1. Develop a vision for the business

2. Change the culture to achieve the vision

3. Flatten the organization

4. Eliminate bureaucracy

5. Empower individuals

6. Raise quality and efficiency

7. Eliminate boundaries

Welch’s Seven-Point Program for Management

by Leadership

More information at 1000ventures.com: “Jack Welch – a Corporate Change Leader”

Management by Leadership: Success Story

Jack Welch

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THANK YOU!THANK YOU!THANK YOU!THANK YOU!

Helpful Links to Ten3 Business e-Coach at www.1000ventures.com

• Effective Leadership• How To Make Effective Presentations

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