How leaders handle incompetence #1

 

All of us experience this. An employee who simply doesn't get the job done. You give him the time and resources he needs. What you ask of him is not complicated. Yet he makes mistakes which are so fundamental that it makes you wonder whether he is qualified for his position in the first place. It is frustrating. 

The first thing you need to ask is this - are you making it worse? 

Time and again, I observe leaders who worsen the performance of their staff. Yes, often these employees are indeed not performing up to par, and it is understandable that we feel frustrated. However, when we only show impatience and distrust, and we mercilessly criticise every mistake, it doesn't help the situation. It only helps us vent. There are more practical steps we can take. The first thing we need to have awareness of is whether we are making things worse. If our employees constantly work in fear, their performance will likely worsen, not improve. 

Do you know how to break rules?

 

I recently conducted my business simulation activity Rivers and Lakes with a group of entrepreneurs. It is amazing to see how creative they are not only in solving problems, but also in supporting one another, and interestingly, also in breaking rules.

As part of this learning activity, I designed a rule which forbids participants from showing a piece of information to others. It is a trick I play on them. There are ways to share and obtain this information, circumventing the rules, and it is important to do so. Most groups I have conducted this activity with do not fully grasp this. This particular group of entrepreneurs passed this test with flying colours.

To achieve success:
(1) We follow rules
(2) We understand why the rules are the way they are
(3) We break rules
(4) We make rules
(5) And we do this all over again

"In business, it doesn't pay to be honest"

 

At one recent training event, one of the activities required participants to make as much money as possible, and it was done as a closed economy. Everyone received $500 toy money at the start of the game. It was a zero sum game. During the debrief, I came to a difficult situation. I asked the participants their biggest takeaway, and more than one said, "In business, it doesn't pay to be honest". If you were the trainer, what would you do? 

Indeed in this activity, those who are desperate enough can cheat. We did have people who broke rules without getting caught, and indeed they did well. This was what I said. 

"Business is about trust. By being dishonest, you can win in this activity today, but if you lose the trust of a friend today, how many future opportunities have you lost?" 

Those who conduct business unscrupulously may well win one deal, close one transaction. But they will need to keep hunting for the next victim. Those who conduct business with integrity will build a network of trust, and this network grows and compounds. 

What would you do if you get to play doctor for a day?

 

This was what I kind of did, when I had the opportunity to put on professional grade medical scrubs from Oslo Scrubs (https://www.iamoslozen.com). I had this opportunity because of the BNI business network I am in. I started my own business as a leadership trainer only 5 years ago. Back then I had run other people's businesses, but I had not built my own from scratch. It was my business community, the BNI Lighthouse Chapter, which helped me tremendously to get my business off the ground and to a sustainable stage. I learned to be a better entrepreneur. I received business referrals. I also built meaningful friendships. Being able to cosplay is just a minor perk. If you are in business, find a community of like-minded business leaders, and you will grow as your help others grow too. 

"What is the ROI I get out of your leadership training?"

 

If a potential client asks me this question, it usually means I will walk away from the discussion. Now it is fair to want training to be effective and to yield results. However when a potential client frames the question this way, it is an indication that they expect the leadership trainer to magically transform the participants into great leaders who quickly make more money for the company. Developing good leaders is not a 2-day affair, or even a 2-month exercise. A leadership training programme introduces leadership concepts and tools, and offers a platform for participants to reflect on their leadership. However it takes determined and consistent application of what they have learned to become good leaders. Leadership training is not magic. It is about opening minds and setting the stage for continued practice. 

The challenge of 2nd generation businesses #2

 

Lack of exposure outside of the family business. 

Some 2nd generation business owners started their career in the family business right after graduation. They have never worked for someone else other than family. They have not played the role of just an employee. They have always been the scion, the successor. They have a world view which is different. It gives them different insights, and also comes with limitations and blind spots. 

If this has been your path for the past 20 years, you can't go back to change that. What you can do is to spend time with people who have walked different paths. Not just your employees, but also friends with whom you have no business transactions or business interest. Acknowledge you want to leverage others' experience, and that will save you time and pain.

The challenge of 2nd generation businesses #1

 

Conflict between 2nd generation owners and 1st generation staff. 

If you are the 2nd gen, and these uncles and aunties have known you since you were a kid, it may not be easy for you to ask them to change the way they work. "We have be operating this way for years and we have been fine." It is hard for people who have worked in the same company for 20 years to get out of their comfort zone. Also, some have strong egos. What can a young 2nd gen do? 

Start with the soft approach. Respect the elders. Build relationships and trust. If you have known them for years, it helps with this approach. If you want change, they need time to gain confidence in you. Build your credibility and prove your capability and sincerity before pushing for drastic changes. Let them feel listened to. Despite all the above, you still need to be prepared that some may not be willing to change or may not be capable of change. Then you eventually have to proceed without them.