the secret of leadership: practical emotional intelligence

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Practical Emotional Intelligence is the secret to becoming a successful leader

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Why I the Humm

Practical Emotional Intelligence:The secret of Leadership

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S P Jain 25 July 2014

Christopher Golis

MA (Cambridge) MBA (London) FAICD FAIM

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CharacteristicAbility to solve complex problems and make decisionsEthical/high personal standardsFlexible and adaptable to changeGood "people" skillsSelf-managementStrategic thinkerTeam playerVisionary

What makes a successful GM?

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Karpin: Survey of 100 GMs

Characteristic%Ability to solve complex problems and make decisions25Ethical/high personal standards23Flexible and adaptable to change50Good "people" skills75Self management33Strategic thinker58Team player32Visionary52

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People Skills = Practical & Valid Profiling Tool

Practicality = Midpoint (Simplistic, Complexity)

= 7 items

Validity = Agrees with latest science

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DISC = Valid but simplistic (2 variables)

NLP= Invalid & Simplistic (3 variables)

Myers-Briggs = Invalid & complex (16)

? = valid & 7 variables

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My EQ Journey: 1973

Defining moment:

Charles Handy with the key to businesssuccess

Turned down job offer from McKinsey

Became a salesman after emigrating to Australia

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1974: The Humm- Wadsworth

1935 Humm & Wadsworth 7 components 1st decent personality assessment

1975 Unhooked only IBM account in world

1979 Won 15 major tenders in a row

1980 Became investment banker VC

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1989 & 1991

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1995 Golemans EQ

Self-Awareness

Self-Management

Social-Awareness = Empathy

Social Skills

Book explains why and the what but not the how

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Goleman in the Appendix made reference to Paul Ekman

And his work Papua New Guinea with pre-literate cultures.

The natives could recognise the emotions on 4 face drawings.

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1995 The $ or The Book

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$20 million

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2007: Dad, What books should I read?

Up the Organization Robert Townsend

My Years With General Motors Alfred Sloan

Good to Great Jim Collins

The 7 Habits of Highly Effective People

The Art of War Sun Tzu

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I decided to write the book myself. How could I refuse her?

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The Humm-Wadsworth Temperament Model

We are all slightly mad

7 core emotional drives

6 most common forms of insanity

Other = Freuds superego

First scientifically valid personality test

Normative test

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Temperament may be defined as our genetic predisposition to moods and emotions. The model I use is known as the Humm-Wadsorth or Humm for short. This model says we are all slightly insane and as I get older I am more and more relaxed about this hypothesis. The model also says we have 7 core emotional drives based on the six most common forms of insanity and a seventh drive that tries to bring logic and order into our personality. In my books I have changed the original Humm names but have ensured that the same first initial is used as a short-hand.

The 7 core desires

Movercommunication

Hustlermaterial success

Double-checker security

Artistcreate

Politicianwinning

Engineercompleting projects

Normalorder

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This model, based on the first personality test ever developed in 1935, analyses people in terms of seven core emotions which are listed here. I used the technique very successfully in my selling and management career and subsequently wrote Empathy Selling in the early 1990s.

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Mover

Desire to communicate

Extraverts

Active and dynamic

Cheerful and enthusiastic

Either black or white

Multi-taskers

Fluctuations in mood

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Golis (C) - We now go through the seven components. At each component I ask did anyone have a peak at this component M=3. We also jointly analyse Rudd and Howard.

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Doublechecker

Desire for security

Agreeable and likeable

Cautious, double checkers

Apprehensive and nervous

Compassionate and sympathetic

Pessimistic and critical

Low energy output but can show D drive

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Artists

Desire to create

Inarticulate, aloof and reserved

Self-conscious and over-sensitive

Stubborn and single-minded

Good visual imaginations

Individualistic: beat to a different drum

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Politicians

Desire to win

Competitive and assertive

Persistent and tenacious

Defend fixed ideas skillfully

Suspicious

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Engineer

Desire to complete projects

Conscientious

Painstaking planners, read everything

Practical and objective

Dedicated enthusiasm

Hands-on operators

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Hustler

Desire for material success

Astute, good financial acumen

Love of gambling and excitement

Winners and losers

Opportunistic

Self-interest

Egocentric

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Golis (C) - I worked for Rene for 4 years as his inhouse venture capitalist. I have some great stories.

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Normal

Desire for order

Unemotional (cold fish?)

Co-operative and law abiding

Mature and self-controlled

Consistent and rational (boring?)

Self reliant and confident

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Normal

Normal is comparable to Freuds superego:conscience, rules & standards

As your age increases, your Normal increases

The Normal is soluble; In vino veritas

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The 7 components are like a web with several strong and several weak strands

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Humm Distribution

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Dominant Humm Component DistributionSample size = 65,508 people

NHMDAPE0.397768211516150880.137006167185687260.56260304084997270.520501312816755160.439152469927339030.385632289186055350.56724369542651365

Component

% of population having dominant component

The Big 5

O = Openness to creativity

C = Conscientiousness

E = Extraversion

A = Agreeableness

N = Neuroticism (lack self-control)

Where is the dark triad? Corporate psychopath

Where is the Type A? Corporate bully

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O is for Openness to creativity People high in this trait have an appreciation for art, are emotionally sensitive and curious, and seek adventure, unusual ideas, and variety of experience.

C is for Conscientiousness People high in this trait are self-disciplined, act dutifully, and demonstrate planned rather than spontaneous behaviour.

E is for Extraversion People high in this trait are outgoing, positive and energetic and seek stimulation in the company of others.

Agreeableness People high in this trait are friendly, compassionate, and cooperative rather towards others.

Neuroticism People high in this trait lack self-control and tend to easily experience unpleasant emotions such as anger, anxiety, depression, or vulnerability.

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The Big 5 & The Humm

O = Artist

C = Engineer

E = Mover

A = Double-checker

N = Normal

Corporate psychopath = Hustler & N

Corporate bully = Politician & N

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Why is identifying corporate psychopaths important?

Myers-Briggs converted a 85,000 employee company 16 people in one year.

Myers-Briggs destroyed Arthur Andersen

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Arthur Andersen

Not enough money in the city of Chicago

Think straight, talk straight

Four cornerstones of Arthur Andersen:

Provide good service to client

Produce quality audits

Manage staff well

Produce profits for AA

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Arthur Andersen was founded in December 1913. The next year he asked by the president of a local railroad, which was also its largest client, to approve a peculiar transaction. His reply was famous.

Not enough money in the city of Chicago to make me do that.

Andersen was fired but the railroad company filed for bankruptcy months later.

Thus the legend was born. Of all the major auditing firms Andersen was regarded as the most logical and principled.

The motto of the company became Think straight, talk straight

Every person joining AA learned the Four cornerstones:

Provide good service to client

Produce quality audits

Manage staff well

Produce profits for AA

Arthur Andersen (2)

First firm to introduce consulting

Eliminated conflicts with the Method

Myers-Briggs embraced

1989 Jim Edwards & Eye of the Tiger

1992 Great Partner Purge

2001 Enron and Worldcom

2002 85,000 16 employees in 1 year!!!

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AA was the first major auditing firm to introduce management consulting. This of course had great potential for conflict of interest. It would be difficult to qualify the audit o