Business Schools Implement a New Selection Criteria

A recent Wall Street Journal article reported that many business schools nationwide are adding personality tests to the traditional application process. I applaud this move because it will require applicants to not only demonstrate intelligence and aptitude, but also what it takes to relate to others (and themselves) in the real world, a concept otherwise known as emotional intelligence (EQ).

Since 2010, the University of Notre Dame’s Mendoza College of Business has required applicants to fill out a 206-question Personal Characteristics Inventory. “Companies select for top talent with assessments like this,” stated Andrew Sama, senior associate director of their MBA admissions. “If we are selecting for future business leaders, why shouldn’t we be [using] similar tools?”

Personally, I have had success using my own tool to evaluate people. Specifically, I have focused on i3K—intelligence, intensity, integrity, and kindness. I developed this tool early in my career at Sperry Corporation and have used it ever since. This tool looks at both IQ as well as EQ. I learned early on that EQ is critical to building high-performance teams.

When I later arrived at AT&T, I wanted to get an early read on my senior team. I found no shortage of data from the human resources department, but unfortunately it was of no value to me. According to the files, everyone was doing a terrific job and always had. That’s when I put i3K to work. I was able to get a much more complete picture of my team.

Notre Dame is not the only school to assess emotional intelligence. Yale School of Management has also begun testing volunteer applicants in order to gather data on what traits will predict future success. Even University of Ottawa’s medical school applicants are now assessed for EQ qualities. I expect many more schools, business or otherwise, to follow suit.

At the very core of being Chief we discover that a Chief must not only dictate orders, make decisions, and put plans into action, but must also be the example. In order to achieve this, emotional intelligence is required. Fortunately, EQ can be learned. Not only will business schools be testing for emotional intelligence, but I’m sure they will also be teaching it in the years to come. I look forward to the positive results of these changes.

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Millennials—How We Can Help Them Save Us

Working with Chiefs across many industries today, I am struck by the consistency of the number one issue facing companies: how to unlock the potential of a changing workforce (namely, the Millennial Generation.) In its May 20th issue, Time Magazine writer Joel Stein offers his view of what he calls “The New Greatest Generation.” Joel concludes that Millennials will save us all. In my view and experience, we can make choices today to help them do it sooner rather than later.

According to sources like Forbes, Millennials will make up 36% of the US employee base next year, 50% by 2020, and 75% globally by 2030. Stein’s characterization of this group includes terms like business friendly, innovative, sharing, confident, and nice. This group has huge expectations, feels entitled to choices, and they are “going after what they want.” In short, Millennials offer plenty of potential. In my personal experience, concrete steps can be taken to unleash this potential. Here’s an example.

On February 1, 2000 I joined the Internet start-up Opus360 as President and Chief Operating Officer. Just one month later, NASDAQ peaked and the market began a slide that would wipe out 70% of its value. While many will remember that period as the time the market bubble burst, others will mark it as the first year the Millennials entered the workforce.

At Opus, a majority of our employees were Millennials. Thank goodness! There is no question that this group made many important contributions at a critical period in our young life as a company. In addition, the game plan we used to support this group worked particularly well and offers a potential blueprint for others. I call my five-part plan the All-In Roadmap.

Millennials Apply All-In Roadmap Elements

The roadmap starts with discipline, and Millennials have no problem with it. Although their methods of carrying out discipline may look different than those of past generations, at the end of the day Millennials get the job done.

Millennials crave support. They appreciate recognition and expect fair compensation. They need to know they can pave a path within their organization that allows them to do their best work. And when they deliver, commending their work will ensure continued successful collaboration.

They are very creative. Millennials are well equipped to think outside the box, and willing to act on their instincts: both critical when an organization is faced with new challenges.

They are insightful. As a group, Millennials are amazingly self-aware. They know what they want and are aggressive at pursuing it. Organizations that want to attract and retain these talented individuals need to involve them deeply, seek their feedback and act on it.

They support values-based organizations. Millennials seek meaning. It’s not all about money anymore. Millennials want to connect with organizations that stand for the same things they do.

The bottom line: Many Millennials are now ready to lead and the All-In Roadmap is the right tool for the right time. Good luck!

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The Power of Vulnerability

Recently, I watched Dr. Brene Brown’s TED talk on vulnerability. It was insightful. It also reminded me that the toughest job I ever had was also the same one that taught me about the power of vulnerability.

It was 1999 and I had just been named as President at AT&T’s Global Services Division. I was ecstatic

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…for a short time. I had joined AT&T three years earlier as an outside recruit to help a great team turn around the Eastern Region at Global Services. Our team had tripled the growth rate to fifteen percent and maintained that growth rate for three years to build a strong $5B unit, all while improving employee and customer satisfaction.

After I was promoted, I thought my biggest priority was to quickly introduce myself to the great team that comprised the Central and Western Regions and get started expanding on the approach that had worked in the East. It quickly became evident, however, that things were brewing both inside and outside the company that created a set of challenges I had never encountered, and it brought me to a place I had never been before.

Inside the company, thirty days into the new assignment I got a new boss. He was not a fan of mine. Thirty days later I learned that due to budget cuts I needed to lay off fifty percent of my work force using a voluntary program with no exclusions. The best producers could leave. Shortly after, I learned that forty percent of my accounts would be shifted to other business units at year end.

Outside the company, we faced a competitor who was operating illegally. Specifically, Worldcom was reporting overstated revenue and profit growth at the same time they were waging a price war in our market. (CEO Bernie Ebers subsequently went to jail.) Our business targets had been set to match the competitor’s growth claims.

Employees were shaken and so was I. But I was able to rely on a roadmap that had served me well in other difficult situations. I had experience using discipline, support, creativity, and values to align our team. I also had experience with insight to keep me balanced in the face of the lunacy. The challenge was to find a way to connect our nationwide workforce in order to pull together and raise their game in spite of all that was going on around them.

The answer came as the senior leadership team continued our practice of open dialogue yet added a willingness to acknowledge and share our own feelings of concern for the future. Personally, I openly shared my concerns and my vulnerability. I made it clear that I was not sure what senior management’s plans for me would be in the future. I was not looking for sympathy but rather simply trying to model straight talk. This was not typical of senior leaders at AT&T. Then, at one particular all-hands meeting I decided to go even further.

At the meeting, I was asked by an employee about the health care coverage options available for those who voluntarily left the company. He went on to explain that his wife was recovering from cancer surgery. I chose that time to share a secret I had held for over ten years—that I too had battled cancer. You could have heard a pin drop in the auditorium as I shared my news. News about my disclosure spread quickly—I was surprised by how many times it came up in later discussions with employees. In hindsight, I may have actually “joined” the workforce at AT&T that day. While some might question the wisdom of this level of openness, for me it was the right decision and made a huge, positive difference. My vulnerability allowed me to connect to the team at AT&T. Brene Brown explains this very phenomenon in her talk.

Amazingly to some and in spite of all the challenges we faced, the Global Services team actually doubled our revenue growth rate that year, although we did not reach our plan. We also set record levels for customer satisfaction. Perhaps most significant was our record-setting employee satisfaction improvement. Employees—who saw half their peer group leave during the year including those who were being transferred out of our unit—reported a huge increase in their confidence in unit leadership.

There is no doubt that our team worked hard and smart that year. For me, however, the breakthrough that enabled this amazing performance was the level of teamwork prompted in part by our choice to be open, honest, and vulnerable.

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Startups and Multinationals: Swapping Lessons

Why are startups so attractive and why do so many of them fail? Why do multinationals continue to expand yet find it a challenge to attract and retain the best talent? The answers to these questions may be found in lessons each can learn from the other.

Let’s start with startups. The author of Drive, Daniel Pink, would argue these young companies offer three key elements of motivation that help them attract talent.

First, startups offer autonomy. With few resources everyone has a key role and a divide-and-conquer mentality. People enjoy the ability to set their own plan and work it. They are clear on their individual scope and they enjoy it.

Second, start-ups offer a great opportunity for mastery. People love to learn new things and experience increased confidence as they improve in new areas.

Third, start-ups often begin with a strong sense of mission. Early employees are attracted to the thought of being part of something bigger than them.

In my experience, too many large companies miss the opportunity to focus on these important attributes. However, larger companies could keep these elements if they remained committed to decentralization wherever possible, continual employee education and training, and a focus on objectives beyond an all-consuming attention to the bottom line.

So where do the lessons go the other way? In my experience there are at least three areas where well-run multinationals have something to offer start-ups.

First, strong multinationals can handle complexity. While change is a constant everywhere, the ability to stay responsive to massive change is a learned behavior and requires a healthy dose of discipline.

Next, strong multinationals are excellent at planning and adjusting. They develop detailed plans with associated dashboards of metrics and measures, including leading indicators to let them know when plans need to be adjusted.

Finally, strong multinationals utilize a well-understood set of values that are consistently communicated to unify their workforce.

In my experience, start-ups can learn from these practices even though it is common to eschew anything that looks too “corporate.” However, startups could benefit if they remained committed to regularly scheduled planning sessions, accountability reviews, dashboards (with leading indicators), and an agreed-to set of values available for everyone to see.

Both the best startups and multinationals excel when they share a practice of encouraging leadership at all levels. By swapping these best practices, each could be more successful.

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Leading in a Storm

Rick Miller featured in Empower Me Magazine online publication:

START_QUOTE_30t_smAs an entrepreneur or senior leader in a small business, you have never had an easy job. Among lots of other tasks, you must envision, strategize, and plan tactics for your company after you have researched the market for your products or services. Of course, you do all of these things with limited resources. Assuming you have developed an appropriate financial plan for your company, and have kept your competitive profiles updated, you must also flawlessly implement your plans and measure with quality and speed to produce results. You are accountable to align your employees by communicating direction throughout the organization by being confident, clear, concise, convincing, and compelling (5 C’s).

Attempted together, these tasks can seem daunting. Yet in tough times, even these practices alone are not enough. In fact, when things get difficult the MOST IMPORTANT part of your job might be that while you are communicating with the 5 C’s, you also need to be truly OPEN to input and opinions from key stake holders in and around the organization.

With today’s unprecedented turbulence, the most successful leaders are those who can confidently set the direction for their group while actively seeking, and intently listening to, input from employees and customers for much needed innovative ideas.

In Servant Leadership, Robert Greenleaf describes the approach required of a leader who truly understands that game-changing insight can come at any time, from anyone. “One must make choices. Perhaps one

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chooses the same aim or hypothesis again and again. But is always with a fresh and open choice, and it is always under a shadow of doubt”. Leaders open to fresh perspectives are more likely make critical adjustments ahead of others. In today’s “stormy” business climate, this ability is critical.

Greenleaf also offers a perspective on how a leader can create true communication and engagement. He emphasizes both the exercise of authority and the inner quality of humility that characterize a true servant leader. With a commitment to serve first, a leader is more likely to truly listen. With an underlying belief in equality and respect for every individual, successful leaders appreciate the necessity to learn from anyone and everyone.

With the economic, political, social, and environmental challenges we are now facing, pressure to perform is higher than ever. You will always be looked to for future direction. Your due diligence and the quality of your strategies and plans will continue to be an important starting point of your business. You will continue to need to display confidence in your organizations. In light of today’s complexities and uncertainties, however, your long-term success may hinge far more on your ability to find the right balance of confidence and the humility that comes with a healthy dose of doubt.

I suggest you add a big “O” to the 5C’s. The O is a reminder to be OPEN. You’ll get better ideas and employee engagement will stay high, just when you need it most.END_QUOTE_30t_sm

source

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Being Chief—What Does It Mean to Be Chief?

A new advertising campaign from IBM asserts that a successful CFO should be viewed as a Chief Future Officer. I smiled when I saw the ad because I thought businesses had exhausted all possible Chief Officer titles. Today, it seems most companies have shifted from various combinations of Vice President titles (VP, SVP, EVP) to Chief titles as a way to identify who is in charge. As companies named endless vice presidents in times past, lately it seems Chief titles are taking over.

This practice has not been limited to business. The same seems to hold true in government where one finds Chief titles of all makes and models, including Chief, Senior Chief, Deputy Chief, Administrative Chief, and Assistant Chief. Recently, I also noticed a shift to Chief titles outside the workforce altogether.

Specifically, a new Lincoln Financial Group advertising campaign advocates that everyone view themselves as a Chief Life Officer®. Their award-winning promotion resonates with a segment of the population that connects a title with authority. But with so many Chief titles out there, do we really know what it means to be Chief?

Thinking back to when I was growing up, I don’t remember hearing or reading the term “Chief” all that often. Certainly there was Commander-in-Chief, and closer to home there was the Chief of Police. (I also recall watching the original television portrayal of Superman where Jimmy Olson invariably referred to Perry White, editor of the fictional Daily Planet newspaper, as Chief.) The term was reserved for those who were in charge at the very top level.

I also remember the stories my Dad told us when he came home from work about what it really took to be Chief.

It’s a Matter of Choice

My Dad was a mid-level personnel manager (human resources) working at the only non-union machine tool shop in central Massachusetts. Dad would tell me and my brothers about grievances, pay and benefit issues, and his challenge of connecting the managers at Heald Machine to the workers so the company could grow. In twenty-seven years at Heald, there was never even a single union vote. Why? Because my Dad treated everyone with respect and led without any positional authority.

Dad taught me that being Chief had more to do with choice than title or level. I have benefited greatly throughout my career from the foundational lessons my Dad taught me.

In the first phase of my career, I worked in one organization at a time. Over thirty years, I served in many roles in five organizations in five different industries. Early on I found myself consistently thrust into turnaround situations. Later, I sought them out. Success in each was due in large part to a specific roadmap that I used to enable Chiefs at all levels to unlock their potential.

Five years ago, I made a personal decision to change my life-work balance. The nature of my turnaround assignments in phase one had taken a toll on the time I was able to spend with my wife Diane and our two children. As my oldest was entering high school, I decided not to pursue another big job until both kids graduated. I founded my own company, Choices & Success LLC, as part of phase two. I began working as a Chief, supporting a limited number of Chiefs in different organizations. It was rewarding to serve others who could use my roadmap and guidance to help them grow as their organizations grew.

BEING CHIEF—Taking It to the Next Phase

I am excited to announce the beginning of phase three with the launch of BEING CHIEF LLC. I will expand my service as a confidant and advisor, supporting select clients’ business and personal growth. In addition, I will be expanding my speaking schedule and my advocacy for Chiefs at all levels. The lessons that started with my Dad are now research-based, broadly road-tested and simplified to help Chiefs and companies grow. In 2014, my new book BEING CHIEF…the CHOICE is YOURS will be published to serve a larger audience.

As we build a community, I am grateful for the opportunity to engage with so many others who believe it’s not about title or level, but choice.

Thank you. I look forward to our continuing conversation.

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