The 7 Deadly Sins of Management

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The 7 Deadly Sins of Management
University of Ulster Belfast 22 February 2007
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Objectives of This Research Study

• Create a practical guide to leadership based upon
  the collective knowledge, experience and wisdom
  of influential business leaders of today
• Find a way forward to better connect leadership
  development to the needs of business
• Identify the most lethal practices and behaviours
  which can lead to even good organisations
  under-performing or going pear-shaped
• Provide a practical guide to identifying these
  issues in your own organisation and in your own
  style of management

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Objectives of This Research Study

• Generate a set of compelling management questions
  which can be utilised as a basis for
• Further research
• Subject matter for CEO Forums or other high level
  discussion platforms of senior executives
• Provide a Northern Ireland leadership perspective
  as a foundation upon which further expansion to
  an all Island viewpoint could be determined
• Provide workshops for current and future senior
  executives to enhance and develop their
  leadership skills
• What to avoid and what to focus on moving forward

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Objectives of This Research Study

• Create a practical how to do it right going
  forward guide looking now at the positive -
  not just how to avoid the 7 Deadly Sins - but
  instead how to achieve greater success from a
  business perspective through
• Aligning the organisation (strategic alignment)
  around a well articulated and communicated vision
  (e.g., being visionary)
• Understanding all aspects of organisational
  capability and how to assess them (e.g., people,
  process, culture, internal working relationships,
  core competencies)
• Developing agility and ensuring continuous
  renewal/ability to adapt
• Creating and delivering value
• Achieving excellent stakeholder relationships
• Creating and maintaining competitive advantage
• Ensuring sustainability
• Creating effective teamwork among the senior
  executive team
• Ensuring the effectiveness of the Board and
  proper balance of non-executive Directors

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Organisational Competencies
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Why Good Companies Under-perform or go
Pear-ShapedLack of Organisational Competencies
Inability to adapt
Lack of strong culture and values
Organisational Competencies
Lack of agility
Lack of customer and market focus
Lack of innovation
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Senior Management Capabilities Primary Set
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Why Good Companies Under-perform or go
Pear-ShapedLack of Senior Management Capabilities

• Lack of vision

Risk averse
Complacency
Lack of focus
Senior Management Capabilities
Short-termism
Lack of constancy of purpose
Arrogant Weve made it
Lack of accountability or discipline
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Senior Management Capabilities Multi-dimensional
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Other Contributing Management Behaviours and
Practices I
Markets

• Customers

Not close enough to the dynamics of the
business
Staff
Product Evolution
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Other Contributing Management Behaviours and
Practices II
Work in not on the business

• Too much focus on
• process and not outcomes

Too close to the business macho image
Too much operating, too little
managing and not enough leading
Lack of vision too tactical
Activity versus accomplishment
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Other Contributing Management Behaviours and
Practices III
Insular

• Lack of 2-way communication

Lack of personal engagement
Lack of respect for fellow workers
Not being accessible or available
Allowing an us versus them culture
Not approachable
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Other Contributing Management Behaviours and
Practices IV
Mechanistic

• Blame culture

Too much focus on the numbers
Lack of patience
Short-termism
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Other Contributing Management Behaviours and
Practices V
Words and actions do not match

• Not taking ownership or responsibility

Inappropriate role model
Not open to learning
Lack of passion caretaker
Inflexible
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Where Organisations are Perceived to be Weakest
and Leaders Need Support

• Being visionary and being able to align their
  organisations around the vision
• Creating and maintaining competitive advantage
• Creating an agile organisation
• Organisational renewal (adaptation to change
  continuous improvement innovation)
• Creating and delivering value

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The 7 Deadly Sins

• Lack of vision (no desired future state
  identified that we are or can be working towards)
• Lack of focus (if you dont know where you are
  going, any road will get you there)
• Inappropriate role model (not leading by example
  actions not matching words, not open to learning,
  not taking ownership/responsibility)
• Not close enough to the business (lack of
  understanding of markets, customers, staff or
  product evolution)
• Lack of accountability or discipline (no
  punishment for non-performance,
  chaotic/firefighting environment, too fluid)
• Lack of constancy of purpose (at one point or
  possibly still, a forward direction had been
  identified however, there have been too many
  distractions or opportunities which have caused
  the eye to be taken off the ball, management by
  gut feel rather than facts)
• Too much focus on the numbers (short-termism,
  lack of patience, mechanistic environment, blame
  culture)

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Key Management Questions Worth Pursuing

• What is the best way to get the whole
  organisation aligned around its vision and ensure
  constancy of purpose?
• How do you ensure effective teamwork among the
  senior management team?
• What does it look like? How would you recognise
  it? How would it manifest itself in terms of more
  favourable outcomes or results for an
  organisation?
• What set of cultural values can contribute most
  to the on-going success of an organisation and
  therefore should be most highly valued?
• What affects an organisations capability to
  adapt to change with its markets and operating
  environment?
• How should leadership effectiveness be defined
  and measured?
• Can it be measured?
• Looking at a continuum, where does management end
  and leadership begin?
• What is the best way to assess an organisations
  capability to renew itself?
• Renewal includes, but is not limited to
  innovation, creativity/out-of-the-box thinking,
  continuous improvement, change management/adaptati
  on to change
• Why do we need a vision?
• What is a best practice approach to creating one?

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Other Related Issues Teamwork, Boards,
Stakeholders
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Teamwork, Boards, Stakeholders

• Summary of Key Findings
• Teamwork
• Joined up thinking
• This does not mean that a group of yes men is
  desirable rather some creative friction is more
  desirable
• Embracing change and other points of view is an
  attitude essential to enabling the full value of
  teamwork to be realised
• All one team all pulling together
• Common vision/goal/purpose Communication,
  coordination, collaboration and motivation are
  keys
• Boards
• Their effectiveness is in direct proportion to
  their willingness to act.
• Too often, there is a tendency for Boards to
  focus mainly on the financial results and the
  consequences of these results on the shareholder
• If they drive this perspective too hard, problems
  can occur
• Stakeholders
• It was unanimous that excellent relationships
  with key stakeholders is critical to success
• Companies cant live as an island
• All are essential to making the business
  successful
• The expectations of the various stakeholders must
  be balanced

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Getting a Positive Focus
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The Way Forward Achieving Your Vision
Culture
Strategic Alignment Vision
ORGANISATIONAL CAPABILITY
AGILITY RENEWAL

• Balanced
• Scorecard
• Assessment
• Measurement outcomes and results

Value Creation Delivery
Impact
MARKET COMPETITIVENESS SUSTAINABILITY
STAKEHOLDER RELATIONSHIPS
Review and Prioritise
Improvement
Action Planning