vistage ceo session
TRANSCRIPT
Insights on Scaling & Growing Your Business to be Best in the World
Scaling, Growth & Talent
Roshan Thiran
www.facebook.com/roshanthiran.leaderonomics
www.linkedin.com/in/
Are the “world’s best” leaders
born or developed? Is
leadership genetic or learned?
Question
Gro
wth
Time
My “Best in the World” Experience
10. Johnson & JohnsonIndustry : HealthcareFunction: HRGlobal Role
9. GE Asia PacificIndustry : MultiFunction: HRAsia Role
7. GE AircraftIndustry : AviationCFO & Biz Leader
8. GE CrotonvilleIndustry : MultiFunction: HRLearning Leader
6. GE CIGIndustry : MultiFunction: ITProject Mgmt Global
5. GE CapitalIndustry : Financial ServiceFunction: Finance/SourcingEurope Leader
4. NBC UniversalIndustry : MediaFunction: FinanceProduct Leader
1. GE InvestmentsIndustry : Investment BankingFunction: Business DevIndividual Contributor
3. GE GCSIndustry : Oil & GasFunction: FinanceInventory Mgmt
2. GE InternationalIndustry : MultiFunction: FinanceAnalyst Global
12. LeaderonomicsIndustry : MultiFunction: CEOBusiness leader
11. Star Media GroupIndustry : MediaFunction: CEOBusiness leader
Key question: How did they become the best?
So, what does this mean?
Clearly, because of high performance leadership
Question: What is Leadership?
Leadership is . . .AttentivenessAssertivenessResponsibilityDiligence Dependability
Obedience
Loyalty ThoroughnessTruthfulness InitiativeHospitality
Humility
Forgiveness Tolerance
CompassionSincerity
CReativity
Having followersPersuasiveness Virtue
VisionDeference
DiscretionBOLDNESS
Determination Gratefulness Self-ControlSensitivity
ThriftinessGenerosity Punctuality
Proactiviness
Purpose
Enthusiasm
Availability
OrderlinessResourcefulness
Flexibility
WisdompedInnovation
Execution
If we invested in people and
taught every single skill listed on
the previous slide, would we be
able to “create” leaders?
Question
motherteresaHer story in India
Transformation
Above all,
a leader must be _________.
Transformation
Above all,
a leader must be
clear.
Time
Current Reality – Self AwarenessAb
ilit
y/A
ch
ieve
me
nt
Decision-making
GAP
Purpose/Vision
The Essence of Leadership is . . .
Learning/
Execution/
Action
GAP
Clarity of Goal
Clarity of Where We Are
Clarity of The Plan
What is stopping us from scaling and growing in the best in the world?.
OrganisationalConstraints
Individual Constraints
There are 2 ‘terrible’ constraintsstopping us from becoming best in the world:
70% of all Change or Transformation programs
Our research on Change has the following findings on transformation projects:
• 100% of all “Successful” projects had a good technical solution/approach to it
• 98% of all “Unsuccessful” projects had a good technical solution/approach to it
So, why do companies FAIL?
QUESTION ?
My Research on Organisational ConstraintsTHE 4 CONSTRAINTS SUFFOCATING MOST ORGANISATIONS
Note: The 4 constraints model is based on the work of
Roshan Thiran who spent more than 20 years studying
various successful and failed organisations. The model is
copyrighted to him and has been used in many successful
organisational growth, transformation and scaling projects
Jack
Welch
… and Six Sigma at NBC
New York city in 90s …
The broken window theory
Culture Drives Results . . .
MINDSET
Model extracted from The Results Pyramid® PIL
22
GE’s Transformation under Jack Welch1981 2000
$27.2B1.6B
404,000
9 - 11
1 - 2%
$130 B12.9B
• Revenues• Net Income
• Businesses
• Worldwide Employment
• Management Layers
• Productivity
- 45 Businesses- 350 Product Lines- 2 Global Bus.
• Divested 30% of ‘80 Sales• Invested $21B in
Acquisitions
• 20+% Avg. Annual Yield for Shareholders
• Net result of Acquisitions/ Divestitures/Rationalizations
• Reshaping the Decision Making Process
• Six Sigma• Work-Out• Best Practices• Boundaryless Behavior
- 11 Unique Businesses
- All Global
270,000
4 - 5
8.5%
Extracted from GE Field Book by Robert Slater
History of Transformation under Jack
Biz Model, Structure, Culture & Leadership all required for success
Biz Model & Structural Revolution
Fix, Sell, Close
• 350 Business Units• 400 000 Employees• US - based• Stagnant stock price• Bureaucratic
Cultural & Leadership Revolution
Speed, Simplicity, Self Confidence
• 20 core business• 276 000 Employees• Global – 42% revenues int’l• Double digit growth• “Boundaryless”
The 80’s
The 90’s
Extracted from GE Case Study – Harvard Business School Case
Time
^ New Product IntroductionQuick Market IntelligenceOrder to RemittanceSupplier Partnership Extracted from GE Field Book by Robert Slater
Work-Out / Town Meetings/Action Workout:Belief: empowerment, bureaucracy busting, action vs wait for boss for instructions
“Copy Shamelessly” Initiative: QMI, NPI, SP, OTRBelief: looking outside GE vs all great ideas are in GE
Bullet Train:Belief: continuous improvement vs improve when requested
Change Acceleration Process:Belief: Change can be fast and successful vs slow & painful
Globalisation Strategic Initiatives:Belief: The world is our market vs US is our market
Making Customers Winners:Belief: Customers are key vs customers are a pain
Six Sigma QualityBelief: Data driven decisions vs gut-feel
DigitizationBelief: Value People vs People are dispensable
high
low
IntensityofChange
Innovation
Stages of Jack’s Culture & Leadership Change
“For performance to go any higher, the limitation is not competency,
…it is culture.”
Joseph TanCEO, Leaderonomics Good Monday
Part 1 – Destroy yourself first (leadership)
• Are you the right leader to scale your organization?
• Do you have the right skills to lead the organization into this new era?
• Do you have “beliefs” about
the way the organization
should be run that will hold
you back from scaling?
• You have to UNLEARN
everything and RELEARN
everything
CORPORATE SERVICESTrusted talent growth partner of companies
from multiple industries
COMMUNITYLeadership development for kids, youth,
university students and NGOs
MEDIAEngaging content in text, audio and video and
interactive mediums
Part 2 – Destroy Your Biz Model1. Move from “Pharmacy” to “Hospital”
2. Build Digital business to DESTROY our core business
Red Ocean
CUSTOMER VALUE PROPOSITIONWhat did we change?
Product selling(‘Pharmaceutical
company’)
Diagnosis(‘Hospital’)
99.9% of
training/learning
organisations
Blue Ocean
Part 3 – Eliminate Old “Processes” and structures and create new ones for scale
1. Revamped entire value chain – 1 person per account to scalable processes with center of expertise in each area
2. Create digital infrastructure and leverage technology for consistent processes
New structure in
Corporate Services
to improve
efficiency and
agility in customer
service, and quality
of delivery
Customer team
Deep diagnosis and data analysis to optimise solutions
Design & Impact team
Designing and executing impactful learning experiences
Content team
Developing world-class content
Rethinking Corporate Services
PROCESSES/STRUCTURETo scale current Corporate Services offerings to 10x levels
Brand Content
COEs for functions –
Finance & IT
Product management
Team to own and
lead enterprise-
level initiatives to
eliminate
duplication of
efforts in divisions
Setting up Enterprise
PROCESSES/STRUCTUREOverall organisational synergies and leverage
Building infrastructure to support BD and client servicing
1. Back-end customer management
• Track data, monitor execution and produce reports for greater sales efficiency, customer intimacy and incentive for customers to lock in long-term
2. Front-end engagement
• Designing new customer centric platforms to lead potential customers from discovery stage to engaging Leaderonomics for products and services
TECHNOLOGY INFRASTRUCTURECustomer happiness systems
Part 4 – Create “New Culture”
Beyond
Expectations
Top
Leadership
Authority
in 5 Countries
Set up in 5
Countries(Thailand, Cambodia, PNG,
Philippines, Indonesia)
100k Reach
100m Views
Our R2To achieve by 2019
Our Key Result AreasTo achieve by 31 December 2015
Revenue: xx Income: xx
Be A Leaderonomer
10 T1 NPS >8.5
PDP
Our Cultural Beliefs
• I actively seek out and lead collaborative opportunities
Be Synergistic
• I take personal ownership to deliver on all expectations entrusted to me
Be Accountable
• I am open to honest and authentic conversations and feedback
Be Courageous
• I find opportunity in all circumstances and will adapt myself to thrive in them
Be Agile
• I accept challenges and exceed expectations in all that I do
Be Excellent
Our Experiential ‘Rituals’
• Weekly customer synergy session (CSS).
Be Synergistic
• 5 crucial conversations a year. Be Accountable
• Monthly ‘courageous conversations’. Be Courageous
• “Going Beyond” Projects. Be Agile
• “Going Beyond” AwardsBe Excellent
OrganisationalConstraints
Individual Constraints
Let’s go back to the 2 constraints stopping you:
Personal ConstraintsWhat are these constraints stopping you from becoming the best?
Do you BELIEVE you can?
Are you willing to go through the pain of LEARNING?
How many of you like
to learn?
Question to the class
“Learning… the process by which change in
knowledge or skills is acquired through
learning or experience”
Key Questions:1. Change?
2. Learning
3. Experience
Learning….
Why is learning so
hard?
Question to the class
LEARNING = CHANGE
What is learning?
1. What percentage of people reach their target weight ?
2. What percentage of people maintain their target weight?
3. What percentage of people quit smoking and never start again?
4. What percentage of people quit smoking after a physical crisis?
5. What percentage of re-engineering efforts are successful?
6. What percent of companies on the 1955 Fortune 100 list are still
around today?
7. What percent of Fortune 500 companies on the 1970 list had vanished
by 1985?
8. What percent of executives in Fortune 500 companies who had
financial losses in 1993-1994 attributed it to poor leadership and lack of change?
Change Quiz
1. What percentage of people reach their target weight ?
2. What percentage of people maintain their target weight?
3. What percentage of people quit smoking and never start again?
4. What percentage of people quit smoking after a physical crisis?
5. What percentage of re-engineering efforts are successful?
6. What percent of companies on the 1955 Fortune 100 list are still
around today?
7. What percent of Fortune 500 companies on the 1970 list had vanished
by 1985?
8. What percent of executives in Fortune 500 companies who had
financial losses in 1993-1994 attributed it to poor leadership and lack of change?
4%
1%
16%
43%
30%
32%
41%
>50%
Change Quiz
Learning is painful….
“I listen, and I forget; I see, and I understand; I do, and I can” – Confucius
Source: Pesquisa IBM; Whitmore, “Coaching for Desempenho”
Information/ Knowledge
Awareness
Skill
Advanced Skill
Expertise
Context Content
Composition of Delivery:
90% Content, 10% Context
Composition of Delivery:
10% Content, 90% Context
This model is based on the
research of Roshan Thiran
and Leaderonomics.
Learning is contextual too!
• 70% of learning is through EXPERIENCE:
- Seek new experiences and always accumulate new experiences
- Volunteer for special projects that will stretch you and force you to learn and gain new perspectives
• 20% of learning is through FEEDBACK:
- Ask for feedback from your bosses, peers and subordinates.
- Take 360 degrees feedback and schedule weekly/monthly feedback sessions
- Give feedback to others when it is appropriate and needed
• 10% of learning is through NEW SKILL DEVELOPMENT:
- Find time to practice whatever you learn. Attend training to grow
- Take time to learn online or through reading new material.
- Always look for ways to improve yourself – be better tomorrow than you are today -
The 70-20-10 way to keep Learning & Growing:
In Summary: Becoming the Best in the World
Organisational
constraints
• Business Model
• Leadership
• Process/Structure
• Culture
Personal
constraints
• Belief
• Pain of Learning
What is constraining us from succeeding?
How do we overcome?New experiences
Continuous Feedback
New Skill Development
www.leaderonomics.com
www.facebook.com/roshanthiran.leaderonomics
www.leaderonomics.com