“LEADERSHIP OF RIVALS” LINCOLN’S MANAGEMENT STYLE

"LEADERSHIP OF RIVALS" ? LINCOLN'S MANAGEMENT STYLE

ASAE & the Center for Association Management 2006 Annual Meeting

Presenters: Virgil R. Carter Executive Director American Society of Mechanical Engineers

Diane James, CAE Executive Director Women's Transportation Seminar International

Steven Worth President

Plexus Consulting Group, LLC

Handout Contents:

(1) Presentation Slides (2) Article: "Managing in a Global Era" by Steven Worth

"Leadership of Rivals" ? Lincoln's Management Style

ASAE & the Center for Association Management

2006 Annual Meeting

Setting the Scene: The U.S. in November 1859

Steven Worth President Plexus Consulting Group

Situation

1. Threat of Civil War 2. Division within Northern ranks 3. Threat of external intervention (GB) 4. Election in which the victor was everyone's

second choice

? 4 rivals: Edward Bates (Attorney General), William Seward (Secretary of State), Salmon Chase (Secretary of Treasury), Edwin Stanton (Secretary of War) whom Lincoln chose to include in his management team

Situation (Cont.)

z Strengths (of Lincoln's approach):

? Management team included all party leaders representing all factions and diverse regions

? Creative, strong-willed, intelligent individuals ? Agreement on country's mission & values

z Weaknesses:

? Regional, political & personal diversity of leaders ? Key team members lacked respect for the leader &

could count on separate and independent power bases to advance their personal ambitions

Situation (Cont.)

z Opportunity:

? Redefine the nation and its values

z Threat:

? Failure and Dissolution of the government

How is this applicable to managers today? (Cont.)

z Traditional Command & Control Management Styles:

- Hub and Spoke

- Pyramid

How is this applicable to managers today? (Cont.)

z Strengths of Command & z Weaknesses of

Control

Command & Control

- Focus

- Harmony/unity within management group

- Ability to act efficiently and quickly

- Lack of diversity leads to "blind spots" and "groupthink"

- Possible disconnect with constituent base

How is this applicable to managers today?

z No one today faces threats quite like those of the US president in 1860 but...

? "When it comes to loyalty, only 43 percent of the 2,000 senior executives and managers interviewed said their current workforce is loyal, while 72 percent would seek loyalty in future hires."

- Source: NFI Research Survey, March 2004

? "As for being trustworthy, less than half of respondents said that characteristic was found in current employees, but 87 percent would be looking for it in future hires."

- Source: NFI Research Survey, March 2004

A Modern Leadership Style

z Article: "Bad News for Bullies" by David Gergen in US News & World Report (6/19/06)

z Argues that employees increasingly prefer leaders who focus on consensus building and act respectfully and compassionately toward employees.

"Bad News for Bullies" By David Gergen

US News & World Report 6/19/06

The "Servant Leader"

"A Leader of Leaders"

z Robert K. Greenleaf coined this phrase in an

z "Increasingly, the best leaders are those who

essay titled "The Servant as Leader."

don't order but persuade; don't dictate but draw

z His ideas have been incorporated in popular

out; don't squeeze but grow the people around

leadership literature by Stephen Covey, Ken Blanchard, and Max DePree.

them. They push power out of the front office, down into the organization, and become a

z "A new moral principle is emerging," writes

Greenleaf, in which followers will "respond only

to individuals who are chosen as leaders

because they are proven and trusted as

servants."

"Bad News for Bullies"

leader of leaders. Most important ... they

understand that the people in an organization

are its No. 1 asset."

? David Gergen

"Bad News for Bullies"

By David Gergen

By David Gergen

US News & World Report

US News & World Report

6/19/06

6/19/06

12

"Leadership is an Art"

z Max DePree, former chair of Herman Miller Inc., wrote in his book Leadership Is an Art that employers should give employees "space so that we can both give and receive such beautiful things as ideas, openness, dignity, joy, healing, and inclusion."

"Bad News for Bullies" By David Gergen

US News & World Report 6/19/06

"Servant-Style Leadership" Success Story

z Howard Schultz, CEO of Starbucks z Made sure his employees had "health

insurance and a positive working environment" z Starbucks is flourishing, with "a strong brand following"

"Bad News for Bullies" By David Gergen

US News & World Report 6/19/06

"Bad News for Bullies"

z "At a time when young professionals are looking for a different set of values in work ? studies show they're less interested in power and prestige than in positive relations with colleagues and interesting challenges ? the bully may finally see his end."

? David Gergen

"Bad News for Bullies" By David Gergen

US News & World Report 6/19/06

On the International Scale

z Would the equivalent be unilateralism vs. multilateralism?

z Is the UN Management model really the only multilateral option?

The Institute of Internal Auditors (IIA)

z By 1999, IIA's membership was split evenly between North American and non-North American auditors.

z However, the Board of Directors was still primarily comprised of North American members.

The Institute of Internal Auditors (IIA)

z European members were in revolt about what they saw as an injustice in the IIA's governance structure.

z Instead of suppressing the European opposition, the North American members decided to focus on the mission of the organization and find agreement among the global membership

The Institute of Internal Auditors (IIA)

z By establishing a collaborative relationship between the North American and European membership, IIA revised its governance, committee structure, and staff and operations to realize its global mission.

z The new attitude between the once opposing sides of IIA allowed the organization to prepare for rapid global expansion and capitalization of its key resources and markets.

Associations & Leading Globally: Teams of Rivals?

Association Leadership: Not for the Uncommitted!

Virgil R. Carter Executive Director American Society of Mechanical Engineers

Objectives

z Is Lincoln's leadership relevant in today's global marketplace?

z Do association executives have rivals? z Stories--successful & otherwise

z Discussion & sharing

Is Lincoln's Leadership Relevant?

z Humble beginnings & early poverty; Family tragedy & little formal education

z Business & financial struggles; Political failures

z Unlikely presidential candidate; Early presidential challenges

z Tragic death z One of the most honored &

respected Presidents z Leadership role model

Lincoln's Strengths

z Vision & determination

z Key personal values

z Never used authority or

? Sympathy

coercion

? Sense of proportion &

z Influence through

humor

communications, infinite patience & sagacity

? Subordination of himself to his work

z Intensely practical, but decisive

& steadfast

z Honesty & integrity

z Accessibility

Do Association Execs Have Rivals?

z Those who want your job, authority or power

z Those who want a bigger share of the pie

z Those who want to keep their pie intact

z Those wanting to advance their interests ahead of your association's

z Those that simply want you out of the way & gone

Global Association Leadership

z How do you attract & keep strong willed, diverse, but talented people?

z How do you achieve results with differing cultures, demographics, traditions, currencies, time zones & language?

z Is it about amassing education, credentials & power--"my way or the highway?"

z Is it about smashing dissent or contrary opinions?

z Can leaders be effective without being heavyhanded?

z Global leadership stereotypes

Stories--successful & otherwise!

z A volunteer who wanted my job (and became my president and a best friend)

z A past president who wants my authority & power & has called for my contract to not be renewed (and I haven't been able to reach him)

z The world's best association executive staff team

Revisiting Lincoln's Strengths

z Vision & determination

z Key values

z Intensely practical, but decisive ? Sympathy

& steadfast

? Sense of proportion &

z Never used authority or

humor

coercion

? Subordination of

z Influence through

himself to his work

communications, infinite

patience & sagacity

z Honesty & integrity

z Accessibility

Discussion & Sharing

Is Lincoln & "Team of Rivals" relevant for you?

Associations & Leading Globally: Teams of Rivals?

Association Leadership In Challenging Times

Diane James, CAE Executive Director Women's Transportation Seminar International

Issues for Exploration

z If so many admire Lincoln, why do so few employ his strategies?

z Why wasn't Lincoln defeated by his rivals? z Can we use Lincoln's philosophy even if we

fall short of his stature? z Real life lessons and discussion

Lincoln's success: simple ideas... but not so quite so simple...

z Lincoln sought the most qualified experts for each post ? a cabinet of competence

z Issues of the day were so demanding, any lack of skill or accomplishment could literally result in the collapse of the union

z While truly humble, Lincoln trusted his own political skills and judgment

z Did not put political ambition ahead of moral judgment

Lincoln's skills in managing the rivalries essential to success

z Not prone to belittle, embarrass or mistreat subordinates

z Protected his rivals by taking responsibility for failures

z Social, generous with compliments and spent personal time with rivals to make them supporters, if not friends

z Didn't focus on being liked or facilitating liking one another

Neither a one size fits all, nor a uniform response

z Chase ? eventually forced out of the cabinet after repeatedly threatening to resign

z Seward ? became Lincoln's close friend z Just two examples of different outcomes, but

most came to respect Lincoln's trustworthiness and ethics, setting aside prior rivalries for greater good.

We know we're no Abe Lincoln...

z Thinking about Lincoln's reasoning in filling staff or volunteer positions

z Doing the hard work of interacting with people who don't share our ideas

z Knowing others' stories and sharing our own z Putting larger goals ahead of personal

ambition or interests

International Leadership

z Differences among people may be harder to understand or more fundamental

z Becomes even more important to share each others' stories

z Qualities of humor, humility, patience and empathy keys to success

z Arrogance and suppression of ideas/dissent create backlash

Drawing from Personal Experiences

z Challenge from those who sought a position to which I succeeded and undermined my efforts

z Particular challenge for CEOs when leaders/members applied for position

z Staff challenges among peers z Falling prey to my own ambition and learning

from results

Valuing Loyalty and Competence

z Lesson from Lincoln is that both are important but must be based on principles

z When starting from foundation of ethical leadership, choices become clear

z Others respond to leadership founded on integrity and remember past actions

z Passing on opportunities for short-term political gain can win long term political victories

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