The answer: RADICAL INNOVATION!

Radical innovation is going to be a critical component in a leader’s toolkit in the future, and this does not mean that you “try innovation” over a week-end brainstorming retreat. It happens by disrupting the current environment, challenging old assumptions and even turning the culture upside down so that you can move ahead and start being highly competitive.

Each day I meet leaders, and the first question I ask is “On a scale of 1-10, with 10 being super sticky, how stuck are you?” Most people laugh, and they usually respond by saying “I’m a 20 or a 25!” So, when you are stuck, you have to break up the pattern…turn a table upside down and figure out a way to still use the table as an eating surface, roll out of the bed on the other side, shave with the hand you don’t normally use…do something to be disruptive. This is the same for companies…what would happen if you do the opposite of what you’ve always done? What would you do if you totally destroyed your most profitable item and had to start from scratch? Or, how would an artist, physician or scientist suggest that you change your company?

To keep your company relevant, a culture must foster a sense of psychological safety for employees to not only feel comfortable but be encouraged to challenge the status quo and bring fresh, radical ideas to the table and feel safe that they are not going to be criticized or made to feel silly in the process. Everyone in the company needs to be brought up to speed on the vision and direction of the company, and the leader needs to make a statement that the game is now on…everyone is going to be challenged to think radically, innovate, think strategically and that a part of this is to be open to divergent thinking and to allow open debate to get to the root of the issue. You have to be willing to get very uncomfortable…to laugh nervously and feel the sweat bead up on your brow.

Staying ahead will also call leaders to design an environment that includes a diversity of people…a mix of cultures, ages, ethnicities and religions can bring new, more creative ideas to the table. It will also be very important to add a Chief Knowledge Officer to your staff…someone who has their finger on the pulse of what is going on in the world and how your company fits in and how competitive you are to people who are thousands of miles around the world from you.

Tomorrow is already here. Are you relevant, or are you becoming obsolete? Only you can answer that question!

I am still not convinced that Senator Clinton can win the democratic nomination. She seems to still be struggling with the likability factor, and her husband continues to cause problems for her with the media and the public at large. However, there is one thing I have to say that is working for Clinton…she’s a fighter, and she does not back down or give up, even in the face of adversity.

She won Pennsylvania yesterday by 10 points. This still keeps Obama squarely in the lead with 1714 delegates to Clinton’s 1584. BUT…She said she was going to win PA, and she did.

I have learned in life a valuable lesson…that giving up too soon is often the reason for failure. Much of this has to do with the craving we have in today’s world for instant results and immediate gratification. When we have a setback, we often throw up our hands and say “I quit”.

We hear it every day…that setbacks and failures are a part of success. We seem to get it intellectually, but we often can’t seem to internalize it enough to make the change. Today, as you are reading this blog, think of a past failure or setback and what this watershed moment did for you in your life. What did you learn? How did life change? How did you grow? You may be surprised that you will find a few pieces of gold in those thorns.

As we move into the future, the face of leadership is going to change. As the Millennial Generation explodes onto the business scene, they will be bringing with them an entrepreneurial spirit unlike anything we have seen before in history. In order to lead in the future, not only are we all going to be called to understand what it means to be an entrepreneur, we are going to be challenged to shift our thinking and to start challenging our assumptions about the human dynamics which are at play for all business leaders…and those dynamics are going to be moving heaven and earth (just look at what is going on in our world today economically, politically and socially).

To help you along your journey, I am recommending two must reads (and I don’t recommend books that often). These two books are critical additions to your library, because both of these authors have worn many hats in life, have experienced a huge variety of business opportunities and will be the first to admit that they have made mistakes along the way. In spite of any demons they have met in the past, everything they have touched has turned to gold (so of course, why would you not read their books).

So…here we go…the two top reads for this month are:

Beyond Booked Solid: Your Business, Your Life, Your Way Its All Inside by Michael Port

I have come to the conclusion that anyone and their grandmother can write a marketing book. But…writing a marketing book with passion and from the human emotions we all experience as business owners requires a master craftsman. Michael Port is truly such a master, and this book is at the top of my list of biz books for 2008. Port goes deep…challenging business owners to look at the internal shifts required to go from being a great business owner to one making a significant impact on the world.  As we all know, each growth phase of a business requires a new attitude and a new way of seeing your business and the world, and I can promise you this…if you read this book, your life and business are going to change for the better, and there’s no turning back…you will never see your business or your life as you see it today (and that is a great thing…as I always say, you can’t do what you’ve always done to get where you’re going today and tomorrow!). Fabulous!

Awakening the Entrepreneur Within: How Ordinary People Create Extraordinary Companies by Michael Gerber

Michael Gerber’s mission is “to create a turnkey system for awakening the entrepreneur within every person who wishes to go into business for themselves, while providing them with the support for doing it”. Well, he has certainly achieved this mission with this passionate book…calling even the most frustrated entrepreneurs to start dreaming big about what they want for their businesses and their lives. As with The E-Myth Books, Gerber makes this simple and just a great read. You can read the entire book on a Saturday afternoon (while sipping hot tea or coffee in your snuggly robe, but after you read it, you are going to want a hot night out on the town dressed to the nines, because the book will set your soul on fire!) Truly inspiring!

I was thinking yesterday about an exercise that I was given one time to spend one day asking questions only (and not giving advice or any answers). I have to say that it was one of the most challenging activities I have been given. As a leadership consultant, I make a living by asking questions but when asked to live a day by only asking questions and being genuinely curious, this seemed to be a lot harder than I had thought it would be.

After one day of this activity, I realized how much I was missing out on. By not asking questions, I was missing some very important information from my family, friends and colleagues. The dialogue was so much richer and deeper through my curiosity.

In my work with leaders, I cannot help but notice that many don’t ask questions…they give advice and answers. Curiosity seems to be a leadership skill which is often forgotten (or it has never been considered by many to be a leadership skill in the first place), so it has me wondering “Why”?

As you read this blog entry, consider this question “What is it that causes you to want to give answers and advice and not ask questions?” and “How would your life as a leader be different if you invested 75% of your time asking questions and 25% of your time giving answers?” Send me a comment and let me know your thoughts.

The article dates back to January of 2007, but it’s relevance is still quite strong:

Keeping Leadership and Research at Home

“Nine leaders offer their opinions on what the U.S. should do to hold onto its braintrust and stay on the cutting edge of innovation”

Even though the article discusses strategies specifically for the United States, the focus on education and continuing education is something that I find many seasoned leaders take for granted in their organizations.  There seems to be an assumption that people are “skilled enough” or that training offered one time a year will keep employees inspired and competitive.  Quite frankly, I don’t believe this position is going to get anyone very far into the future.  Ongoing education (both formal and informal) is not only going to be required for employees, employers are going to be asked to develop a first in class ongoing training and development program which keeps members of the organization one step ahead of the rest of the world.     This article shares some very cutting edge suggestions (Example:  “Open Source Education”).

As we move into the next 3-5 years, this article is a must read for any leader in any corner of the world.

I need to make a change in my company…How do I do it, and how do I manage it?

This is a question I hear from business leaders every day . . . yet the question often comes to me after the fact . . . when people are up in arms and ready to bolt. A change can be something as simple as new stationery or as tumultuous as a merger or acquisition, and while the change is often seen by top leadership as necessary to move ahead of aggressive competitors, this is not always the case for employees. Why? I believe the answer is this: Your employees are not angry about the change itself . . . they are angry because they are often the last to hear, you did not get their buy-in, their vote didn’t count , and bam . . . Trust is shattered!”

Imagine this: During a strategic planning meeting, the executive team of a large technology company makes the decision to launch a new product line and ditch an existing one. Ditching the existing product line means that a few talented employees will become obsolete, and the new product line will require a new pool of talent. The executive team chooses to “keep this quiet” until they are ready to launch (yeah right!) They begin to meet after hours in a locked room to discuss their plans. As human behavior often teaches us, it is very hard to keep a secret when you know you have one inside you. So . . . Sally Smith, CIO, makes the decision to tell one person outside the executive team: “I have something to tell you, but you have to promise not to tell anyone” (yeah right . . . again.) In addition, the janitor knows something’s up . . . he cleans after hours and sees the big dogs locked in a room every night for three weeks, and he begins to whisper in the halls to his comrades. Suspicion builds and the grapevine begins to circulate rumors: “I hear the company is closing,” or “I heard we are merging” or “I heard that we are headed for a 20% lay off” or “I heard that the company is in big trouble” and so on. The fear, doubt, worry and anxiety begin to build. People are not sure what is going on, but all they know is that it must be big, and they are nervous . . . very, very nervous!

Change efforts are delicate, and they require finesse . . . they can’t be taken lightly, and they must be communicated from the top to the bottom of the organization. I believe that the key to success during any change initiative includes three very important aspects:

Communication - Communication needs to be clear, consistent and repeated again and again. Repeat the communication until you hear yourself and others saying “Okay, okay . . . we got it . . . we are tired of hearing about it . . . we are on it!” Communicating a change takes time for people to really hear it. The have to roll it over in their minds, talk about it with others and get clear about what’s what. The first time employees hear about a change, they are usually hearing it through filters of fear, doubt, worry, and confusion. So . . . don’t expect them to get it the first time, and by all means . . . don’t send it in a memo! Use verbal communication . . . talk to them, talk to your managers, talk to your team, and keep repeating the message again and again.

Gain Commitment - During a change initiative, it is critical for a company to gain buy-in from everyone in the organization. You want each person in the company to support the change and to feel as if they have been a part of planning the change initiative. Empower your employees by inviting them to collaborate during the change. The “town meeting” format is perfect for this purpose and coupled with smaller management meetings. This approach can provide an open forum for people to be able to clear (a form of venting which is highly constructive . . . allow for 10 minutes of clearing in the beginning of each town meeting,) ask questions and above all to allow their ideas to be heard and implemented.

Coaching - Emotions will be running high during a period of transition, and I believe that coaching for the entire organization during this time is not a luxury…it is a requirement. Managing people during change is one thing but managing their emotions is an entirely different animal. It requires listening, empathy and the giving of time. Coaching during change can support an organization in building teamwork and can foster a sense of support and trust.

As thought leader Phil Harkins, President of Linkage, Inc and author of Powerful Conversations: How High Impact Leaders Communicate says “The organizational change coach operates like a free safety—a term for the player who can move freely around the field as the play requires. In other words, the coach must be able to work when and where the need arises, in order to facilitate the shift that is taking place.” From The Art and Practice of Leadership Coaching by Howard Morgan, Phil Harkins, and Marshall Goldsmith.