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Level   5   Leadership


               Syed Ali Asad Zaidi
                        &
                 Raveel Hameed
Good to Great




                  Buildup
  Level 5
      Level 5 First Who…    Confront the Hedgehog Culture of Technology
Leadership Then What
    Leadership              Brutal Facts Concept Discipline Accelerators
      Disciplined People     Disciplined Thought    Disciplined Action
Level 5 Leadership




  5–Level 5 Executive

  4–Effective Leader

  3–Competent Manager

  2–Contributing Team Member

  1–Highly Capable Individual
Level 5 Leadership
 Leaders who employ a paradoxical mix of personal
  humility and professional will
 Set up successors for even greater success
 Compelling modesty, self-effacing, understated
 Devotedly driven to produce
  sustainable results
 More plow horse than show        5–Level 5 Executive
  horse                            4–Effective Leader

                                   3–Competent Manager

                                   2–Contributing Team
                                   Member

                                   1–Highly Capable Individual
Level 5 Leadership


 Attribute success to other
  than themselves
 Look in mirror and take
  full responsibility for poor   5–Level 5 Executive

  decisions.                     4–Effective Leader
 Many people have the           3–Competent Manager
  potential to evolve into       2–Contributing Team Member
  Level 5.
                                 1–Highly Capable Individual
Good to Great




             Buildup

  Level 5 First Who…
            First Who… Confront the Hedgehog Culture of Technology
          Then What
Leadership Then What Brutal Facts Concept Discipline Accelerators
  Disciplined People    Disciplined Thought    Disciplined Action
First Who, Then What

                                  Leaders began the
                                  transformation by first
                                  getting the right people
                                  on the bus (and the
                                  wrong people off the
                                  bus).


“Who” questions came before “what” decisions -
before vision, strategy, organization structure, and tactics.
First Who, Then What
 Leaders were precise, not ruthless in people
  decisions.
 Three practical disciplines for being precise:
   1. When in doubt, don’t hire
   2. When you know you need to make a people
       decision, act.
   3. Put your best people on
       your best opportunities,
       not biggest problems
First Who, Then What

 Management teams debate energetically to find
  best answers, yet unify behind decisions.

                         “Right” person has more
                         to do with character traits
                         and innate capabilities than
                         with knowledge,
                         background, or skills.
Good to Great




            Buildup
                     Confront the
  Level 5 First Who… Confront the Hedgehog Culture of Technology
Leadership Then What BrutalFacts Concept Discipline Accelerators
                     Brutal Facts
  Disciplined People    Disciplined Thought  Disciplined Action
Confront the Brutal Facts

            Setting off on the path to
             greatness requires
             confronting the brutal facts
             of current reality.
            Must create a culture
             wherein people have a
             tremendous opportunity to
             be heard and, ultimately, for
             the truth to be heard.
Confront the Brutal Facts
          Four basic practices:
          1. Lead with questions, not
             answers
          2. Engage in dialogue and
             debate, not coercion
          3. Conduct autopsies, without
             blame
          4. Build red flag mechanisms
             where information cannot be
             ignored
Confront the Brutal Facts


 Stockdale Paradox:
  Retain absolute faith that you can and that will prevail
  in the end…
 AND at the same time
  confront the most brutal facts
  of your current reality,
  whatever they might be.
Good to Great




            Buildup
                                Hedgehog
  Level 5 First Who… Confront the Hedgehog Culture of Technology
Leadership Then What Brutal FactsConcept Discipline Accelerators
                                   Concept
  Disciplined People  Disciplined Thought    Disciplined Action
Hedgehog Concept

 Hedgehogs simplify a complex world into a single
  organizing idea, a basic principle or concept that
  unifies and guides everything.



 Hedgehogs see what is
  essential, and ignore the
  rest.
Hedgehog Concept

 The Hedgehog Concept is a deep understanding of
  three intersecting circles translated into a simple,
  crystalline concept:

 1. What you are deeply
    passionate about
 2. What you can be best in the
    world at
 3. What drives your economic
    engine
Hedgehog Concept

                                          Simplicity
           What you are deeply            within
            passionate about              the three
                                          circles




What you can                     What drives
be the best in                      your
 the world at                     economic
                                   engine
Hedgehog Concept
 Getting the Hedgehog Concept takes an average
  of four years.
 It is an iterative process by The Council:
1. The right people

2. Engaged in vigorous dialogue and
   debate

3. Infused with the brutal facts

4. Guided by questions formed by the
   three circles
Hedgehog Concept
  All Guided by                        An Iterative
                       Ask Questions
the Three Circles                       Process




     Autopsies            The          Dialogue &
                                        Debate
     & Analysis          Council


                         Executive
                         Decisions
Good to Great




             Buildup
                                          Culture of
  Level 5 First Who… Confront the Hedgehog Culture of Technology
Leadership Then What Brutal Facts Concept Discipline
                                           Discipline Accelerators
  Disciplined People  Disciplined Thought     Disciplined Action
Culture Of Discipline

 Getting disciplined people who
  engage in disciplined thought and
  who then take disciplined action,
  fanatically consistent with three
  circles


 Not about a tyrant who
  disciplines
Culture Of Discipline


 Involves a duality.
 Requires people who
  adhere to a consistent
  system.
 Gives people freedom and
  responsibility within
  framework of that system.
Culture Of Discipline
 Includes willingness to reject opportunities that fall
  outside the three circles.
 Budgeting is to decide which arenas fit Hedgehog
  Concept and should be fully funded and which should
  not be funded at all.
 “Anything that does not fit with
  our Hedgehog Concept, we will
  not do.”
Good to Great




            Buildup
                                                   Technology
  Level 5 First Who… Confront the Hedgehog Culture of Technology
Leadership Then What Brutal Facts Concept Discipline Accelerators
                                                      Accelerators
  Disciplined People  Disciplined Thought    Disciplined Action
Technology Accelerators

 Good-to-greats avoid technology
  fads and bandwagons.
 Yet they often become pioneers
  in the application of carefully
  selected technologies.
 Does it fit directly with your
  Hedgehog Concept?
 Good-to-greats used technology
  as an accelerator of
  momentum, not a creator of it.
Technology Accelerators

 “Technology by itself is never a root cause of either
  greatness or decline.

 “Crawl, walk, run” can be a
  very effective approach,
  even during times of rapid
  and radical technological
  change.
Good to Great




             Buildup

  Level 5 First Who… Confront the Hedgehog Culture of Technology
Leadership Then What Brutal Facts Concept Discipline Accelerations
  Disciplined People  Disciplined Thought    Disciplined Action




                          Flywheel
The Flywheel

 Good-to-great
  transformations never
  happened in one fell
  swoop.

 Instead they followed a predictable pattern of
  buildup and breakthrough.

 Like pushing on a giant, heavy flywheel, it takes a
  lot of effort to get the thing moving at all, but . . .
The Flywheel
                1. With persistent pushing

                2. In a consistent direction

                3. Over a long period of time
 The flywheel builds momentum . . .
 In good-to-great companies problems of
  commitment, alignment, motivation, and
  change largely take care of themselves.
 Alignment follows from results and
  momentum, not the other way around.
The Flywheel




             Buildup

  Level 5 First Who… Confront the Hedgehog Culture of Technology
Leadership Then What Brutal Facts Concept Discipline Accelerators
  Disciplined People  Disciplined Thought    Disciplined Action
THANK YOU

QUESTIONS?

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Level 5 leadership 2

  • 1. Level 5 Leadership Syed Ali Asad Zaidi & Raveel Hameed
  • 2. Good to Great Buildup Level 5 Level 5 First Who… Confront the Hedgehog Culture of Technology Leadership Then What Leadership Brutal Facts Concept Discipline Accelerators Disciplined People Disciplined Thought Disciplined Action
  • 3. Level 5 Leadership 5–Level 5 Executive 4–Effective Leader 3–Competent Manager 2–Contributing Team Member 1–Highly Capable Individual
  • 4. Level 5 Leadership  Leaders who employ a paradoxical mix of personal humility and professional will  Set up successors for even greater success  Compelling modesty, self-effacing, understated  Devotedly driven to produce sustainable results  More plow horse than show 5–Level 5 Executive horse 4–Effective Leader 3–Competent Manager 2–Contributing Team Member 1–Highly Capable Individual
  • 5. Level 5 Leadership  Attribute success to other than themselves  Look in mirror and take full responsibility for poor 5–Level 5 Executive decisions. 4–Effective Leader  Many people have the 3–Competent Manager potential to evolve into 2–Contributing Team Member Level 5. 1–Highly Capable Individual
  • 6. Good to Great Buildup Level 5 First Who… First Who… Confront the Hedgehog Culture of Technology Then What Leadership Then What Brutal Facts Concept Discipline Accelerators Disciplined People Disciplined Thought Disciplined Action
  • 7. First Who, Then What Leaders began the transformation by first getting the right people on the bus (and the wrong people off the bus). “Who” questions came before “what” decisions - before vision, strategy, organization structure, and tactics.
  • 8. First Who, Then What  Leaders were precise, not ruthless in people decisions.  Three practical disciplines for being precise: 1. When in doubt, don’t hire 2. When you know you need to make a people decision, act. 3. Put your best people on your best opportunities, not biggest problems
  • 9. First Who, Then What  Management teams debate energetically to find best answers, yet unify behind decisions. “Right” person has more to do with character traits and innate capabilities than with knowledge, background, or skills.
  • 10. Good to Great Buildup Confront the Level 5 First Who… Confront the Hedgehog Culture of Technology Leadership Then What BrutalFacts Concept Discipline Accelerators Brutal Facts Disciplined People Disciplined Thought Disciplined Action
  • 11. Confront the Brutal Facts  Setting off on the path to greatness requires confronting the brutal facts of current reality.  Must create a culture wherein people have a tremendous opportunity to be heard and, ultimately, for the truth to be heard.
  • 12. Confront the Brutal Facts  Four basic practices: 1. Lead with questions, not answers 2. Engage in dialogue and debate, not coercion 3. Conduct autopsies, without blame 4. Build red flag mechanisms where information cannot be ignored
  • 13. Confront the Brutal Facts  Stockdale Paradox: Retain absolute faith that you can and that will prevail in the end…  AND at the same time confront the most brutal facts of your current reality, whatever they might be.
  • 14. Good to Great Buildup Hedgehog Level 5 First Who… Confront the Hedgehog Culture of Technology Leadership Then What Brutal FactsConcept Discipline Accelerators Concept Disciplined People Disciplined Thought Disciplined Action
  • 15. Hedgehog Concept  Hedgehogs simplify a complex world into a single organizing idea, a basic principle or concept that unifies and guides everything.  Hedgehogs see what is essential, and ignore the rest.
  • 16. Hedgehog Concept  The Hedgehog Concept is a deep understanding of three intersecting circles translated into a simple, crystalline concept: 1. What you are deeply passionate about 2. What you can be best in the world at 3. What drives your economic engine
  • 17. Hedgehog Concept Simplicity What you are deeply within passionate about the three circles What you can What drives be the best in your the world at economic engine
  • 18. Hedgehog Concept  Getting the Hedgehog Concept takes an average of four years.  It is an iterative process by The Council: 1. The right people 2. Engaged in vigorous dialogue and debate 3. Infused with the brutal facts 4. Guided by questions formed by the three circles
  • 19. Hedgehog Concept All Guided by An Iterative Ask Questions the Three Circles Process Autopsies The Dialogue & Debate & Analysis Council Executive Decisions
  • 20. Good to Great Buildup Culture of Level 5 First Who… Confront the Hedgehog Culture of Technology Leadership Then What Brutal Facts Concept Discipline Discipline Accelerators Disciplined People Disciplined Thought Disciplined Action
  • 21. Culture Of Discipline  Getting disciplined people who engage in disciplined thought and who then take disciplined action, fanatically consistent with three circles  Not about a tyrant who disciplines
  • 22. Culture Of Discipline  Involves a duality.  Requires people who adhere to a consistent system.  Gives people freedom and responsibility within framework of that system.
  • 23. Culture Of Discipline  Includes willingness to reject opportunities that fall outside the three circles.  Budgeting is to decide which arenas fit Hedgehog Concept and should be fully funded and which should not be funded at all.  “Anything that does not fit with our Hedgehog Concept, we will not do.”
  • 24. Good to Great Buildup Technology Level 5 First Who… Confront the Hedgehog Culture of Technology Leadership Then What Brutal Facts Concept Discipline Accelerators Accelerators Disciplined People Disciplined Thought Disciplined Action
  • 25. Technology Accelerators  Good-to-greats avoid technology fads and bandwagons.  Yet they often become pioneers in the application of carefully selected technologies.  Does it fit directly with your Hedgehog Concept?  Good-to-greats used technology as an accelerator of momentum, not a creator of it.
  • 26. Technology Accelerators  “Technology by itself is never a root cause of either greatness or decline.  “Crawl, walk, run” can be a very effective approach, even during times of rapid and radical technological change.
  • 27. Good to Great Buildup Level 5 First Who… Confront the Hedgehog Culture of Technology Leadership Then What Brutal Facts Concept Discipline Accelerations Disciplined People Disciplined Thought Disciplined Action Flywheel
  • 28. The Flywheel  Good-to-great transformations never happened in one fell swoop.  Instead they followed a predictable pattern of buildup and breakthrough.  Like pushing on a giant, heavy flywheel, it takes a lot of effort to get the thing moving at all, but . . .
  • 29. The Flywheel 1. With persistent pushing 2. In a consistent direction 3. Over a long period of time  The flywheel builds momentum . . .  In good-to-great companies problems of commitment, alignment, motivation, and change largely take care of themselves.  Alignment follows from results and momentum, not the other way around.
  • 30. The Flywheel Buildup Level 5 First Who… Confront the Hedgehog Culture of Technology Leadership Then What Brutal Facts Concept Discipline Accelerators Disciplined People Disciplined Thought Disciplined Action