While we are not out of the woods yet and still need to focus on job creation – the economy seems to be in a steady recovery with more growth expected by the middle of this year.  The question that will start being asked is where is the most leveraged place for us to invest now that business is getting better?   Well, I have what might appear to be a self-serving response to that – focus on developing the capacity of your executives and key emerging leaders!  I do not care who you hire to do this as long as they are worth their weight and have proven processes that will enhance the impact of your leaders.

When done well – development has a very direct return on investment.  One of my earliest entries provides a first step in determining your leadership development strategy.   The key is to be targeted in your approach and to hold who ever works with you accountable for real measurable results.  But when done well – the research shows the value of investment:

• Booz Allen Hamilton’s own research shows a 650% return on investment from their executive coaching program ¹

• Extraordinary leaders generate four times the results over good leaders in areas like profitability, employee loyalty and customer retention ²

If you have no real strategy or leadership development program – find yourself a seasoned and results-focused executive coach and take a test drive!  If the coach is worth their weight – the leader being coached should be generating results greater than your development investment within 90 days as long as you have also picked the right executive to develop (see our blog article on the one remaining stumbling block in executive development).

Yes, the past year was tough and we are not out of the woods yet AND the ones who will get you out of the woods faster are your executives – especially when they have the principles and critical approaches that only a great executive coach can provide.

By Ram Charan

Straight talk from the world’s most influential consultant on how to survive and thrive during the global economic meltdown. Economic turbulence has arrived with a vengeance, and only companies that face it head-on at the beginning of this world-wide crisis will be the ones left standing once the dust clears. Renowned consultant Ram Charan traces the causes of this crisis, identifies the essential priorities managers need to focus on now, and offers clear guidelines for top executives and managers. From executive concerns to finance, marketing, sales, and manufacturing issues, Leadership in the Era of Economic Uncertainty is the necessary primer for seizing opportunity and preserving profit in today’s global economy.Inside, business advisor Ram Charan describes steps you can take right now to steer your organization away from the pitfalls and position it for a new future. You’ll find. practical techniques that will help you cope with:.

• CASH AND CREDIT CRUNCHES.
• SHRINKING BUDGETS.
• COLLAPSING MARKETS.
• SINKING WORKFORCE MORALE.
• DISAPPEARING SUPPLIERS.
• NERVOUS STAKEHOLDERS

Great business thinkers like Ram Charan see opportunity in chaos. His innovative, commonsense way of approaching problems has made him one of the world’s most sought-after consultants. Here, he provides help to leaders at every level, from the CEO and country managers to department heads in finance, marketing, sales, and manufacturing.

Leadership in the Era of Economic Uncertainty offers clear guidelines for seizing opportunity and persevering in today’s global economy. Fight your fear and anxiety and take your leadership to the next level, now!

Last week The Bureau of Labor Statistics released a new job report showing unemployment at 7.2%. This is the worst level of unemployment since 1945. While the executive and management ranks have not been hit quite so hard – it only stands to reason executive layoffs will be impacted more at some point. I am not highlighting this to increase fear but rather to examine what executives can do to bolster their job security. While none of this is rocket science – sometimes it is good to remember the basics. Especially when you have been settled in for a while.

Understanding Where You Have Control
The first thing to keep in mind is that we have no control over others, economic changes, or events that can conspire against our job security. This is the case in challenging or good times. Yet, in challenging times – the natural reaction organizations is to look at where they can cut costs. Of course payroll and compensation is one of the biggest costs for any business.  Yet, while we can’t control external influences – we can control our attitude, focus, choices and actions.  If you are sensing some possibility that your job may be in jeopardy due to the economic conditions or the state of your organization – now is the time to act.   Following these suggestions will not only prepare you for different contingencies – it will also serve you in your current position. (more…)

We all know that trust is foundational to creating and maintaining any high value relationship. If a leader is to wield any level of influence with the board, direct reports, peers, etc – it is essential. When shared trust is experienced:

• Overall performance is enhanced.
• Innovation and problem solving becomes faster because we are more open with each other.
• Approach to conflict is healthier.
• Learning and forgiveness take precedence over being right and blaming – thus further deepening trust.

Yet, strengthening trust – especially when we feel trust is not at the level it needs to be is not easy for a couple of reasons. (more…)