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HBR.ORG                               July–August 2011
                                            reprint R1107D




Spotlight on collaboration




Are You a
Collaborative
Leader?
How great CEOs keep their teams connected
by Herminia Ibarra and Morten T. Hansen
Spotlight on collaboration

Spotlight                    ARTWORK Geoffrey Cottenceau and Romain Rousset
                             Vide-cartons, 2006




                                                                              photography: © Geoffrey Cottenceau and Romain Rousset
Herminia Ibarra (herminia.     Morten T. Hansen
ibarra@insead.edu) is a        (mortenhansen@berkeley.
professor of organizational    edu) is a management pro-
behavior and the Cora          fessor at the University of
Chaired Professor of Leader-   California, Berkeley, School
ship and Learning at Insead.   of Information, and at
She is the author of Working   Insead. He is the author of
Identity: Unconventional       Collaboration: How Leaders
Strategies for Reinventing     Avoid the Traps, Create
Your Career (Harvard Busi-     Unity, and Reap Big Results
ness Review Press, 2003).      (Harvard Business Review
                               Press, 2009).




          Are You a




W
          Collaborative
          Leader?
            How great CEOs keep their teams connected
            by Herminia Ibarra and Morten T. Hansen




            Watching his employees use a new so-              he realized that many of the people who
            cial technology, Marc Benioff, the CEO of         had critical customer knowledge and
            Salesforce.com, had an epiphany. His com-         were adding the most value were not even
            pany had developed Chatter, a Facebook-           known to the management team.
            inspired application for companies that al-          The view into top management from
            lows users to keep track of their colleagues      the rank and file was just as obscure,
            and customers and share information and           Benioff knew. For instance, the com-
            ideas. The employees had been trying it           pany’s annual management off-site was
            out internally, not just within their own         coming up, and he could tell from talking
            work groups but across the entire organi-         to employees that they wondered about
            zation. As Benioff read the Chatter posts,        what went on behind closed doors at that

                                                                        July–August 2011 Harvard Business Review 3
Spotlight on collaboration




gathering. “They imagined we were dressing up in                                      Those who climbed the corporate ladder in silos
robes and chanting,” he says.                                                         while using a “command and control” style can have
    What could he do to bring the top tier of the com-                                a difficult time adjusting to the new realities. Con-
pany closer to the workforce? Benioff asked himself.                                  versely, managers who try to lead by consensus can
And then it hit him: Let’s use Chatter to blow open                                   quickly see decision making and execution grind to a
the doors of the management off-site.                                                 halt. Crafting the right leadership style isn’t easy.
    What greeted the 200 executives who attended                                         As part of our research on top-performing CEOs
that meeting was atypical. All 5,000 Sales­ orce.com
                                            f                                         (see “The Best-Performing CEOs in the World,” HBR
employees had been invited to join them—virtually.                                    January–February 2010), we’ve examined what it
Huge TV monitors placed throughout the meeting                                        means to be a collaborative leader. We’ve discovered
room displayed the special Chatter forum set up for                                   that it requires strong skills in four areas: playing the
the off-site. Every manager received an iPod Touch,                                   role of connector, attracting diverse talent, modeling
                                                         Taking Your
and every table had an iPad, which attendees could       Collaborative                collaboration at the top, and showing a strong hand
use to post to the forum. A video service broadcast      Pulse                        to keep teams from getting mired in debate. The
the meeting in real time to all employees, who could                                  good news is, our research also suggests that these
beam in and instantaneously express their views on                                    skills can be learned—and can help executives gen-
Chatter, too.                                                                         erate exceptional long-term performance.
    The meeting began with the standard presenta-
tions. The managers watching them weren’t quite          Play Global                  Play Global Connector
sure what to do. Nothing unusual happened at first.      Connector                    In his best-selling book The Tipping Point, Malcolm
Finally, Benioff grabbed the iPad on his table and       Do you attend confer-        Gladwell used the term “connector” to describe indi-
                                                         ences outside your
made a comment on Chatter, noting what he found          professional specialty?      viduals who have many ties to different social worlds.
interesting about what was being said and adding a                                    It’s not the number of people they know that makes
                                                         Are you part of a global
joke to spice it up. Some in the room followed with      network like Young           connectors significant, however; it’s their ability to
a few comments, and then employees watching              Presidents’ Organization?    link people, ideas, and resources that wouldn’t nor-
from their offices launched a few comments back.         Do you regularly blog or     mally bump into one another. In business, connec-
The snowball started rolling. “Suddenly, the meeting     e-mail employees about       tors are critical facilitators of collaboration.
went from a select group participating to the entire     trends, ideas, and people        For David Kenny, the president of Akamai Tech-
                                                         you encounter outside
company participating,” Benioff says.                    your organization?           nologies, being a connector is one of the most impor-
    Comments flew. “We felt the empowerment in                                        tant ways he adds value. He spends much of his time
                                                         How often do you meet
the room,” recalls Steve Gillmor, the head of techni-    with parties outside your    traveling around the world to meet with employees,
cal media strategy.                                      company (competitors,        partners, and customers. “I spend time with media
    In the end the dialogue lasted for weeks beyond      consumers, govern-           owners to hear what they think about digital plat-
                                                         ment officials, university
the actual meeting. More important, by fostering a       contacts, and so on) who     forms, Facebook, and new pricing models, and with
discussion across the entire organization, Benioff       are not directly relevant    Microsoft leaders to get their views on cloud com-
has been able to better align the whole workforce        to your immediate job        puting,” he says. “I’m interested in hearing how our
                                                         demands or current
around its mission. The event served as a catalyst for   operations?                  clients feel about macroeconomic issues, the G20,
the creation of a more open and empowered culture                                     and how debt will affect future generations.” These
                                                         Are you on the
at the company.                                          board of any outside         conversations lead to new strategic insights and rela-
    Like Salesforce.com’s managers and employees,        organizations?               tionships, and help Akamai develop critical external
businesspeople today are working more collabora-                                      partnerships.
tively than ever before, not just inside companies but                                    Connecting the world outside to people inside
also with suppliers, customers, governments, and                                      the company is crucial to Kenny. He uses a number
universities. Global virtual teams are the norm, not                                  of tactics to do this. “First, I check in on Foursquare
the exception. Facebook, Twitter, LinkedIn, video-                                    often and post my location to Facebook and Twitter,”
conferencing, and a host of other technologies have                                   he says. “It lets employees in different Akamai loca-
put connectivity on steroids and enabled new forms                                    tions know I’m in town so that anybody at any level
of collaboration that would have been impossible a                                    can bring me suggestions or concerns. Second, ev-
short while ago.                                                                      ery time I go to one of our locations, I have lunch or
    Many executives realize that they need a new                                      coffee with 20 to 40 people. We go around the room,
playbook for this hyperconnected environment.                                         and people ask questions on topics they most want

4 Harvard Business Review July–August 2011
Idea in Brief                                                                                    RATHER THAN
A hyperconnected business world,                          Make global connections that            Focus on internal
spurred on by social media and global-                    help them spot opportunities            connections
ization, demands a leadership style that
can harness the power of connections.                     Engage diverse talent from              Rely on homogeneous
                                                          everywhere to produce results           teams for new ideas
Leaders need to shed the command-
and-control and consensus styles in
                                                          Collaborate at the top to               Serve corporate politics
favor of collaborative leadership. Our re-                model expectations                      and parochial agendas
search shows that collaborative leaders
who get results do four things well:                      Show a strong hand to speed             Let groups get mired in
                                                          decisions and ensure agility	           conflict or attempts at
                                                                                                  consensus




to address. Often my answer is to connect them with       sure innovation and that more training in creativity
others in Akamai or even people at other companies        is needed.
who have expertise on the topic. Third, if I see a big       “I work hard to curate information that I don’t be-
opportunity when meeting with a customer or col-          lieve many at GE will have heard and to translate in-
league, I will schedule a follow-up visit and bring       formation in a way that is relevant to our challenges,”
along the right experts from Akamai. Fourth, when-        says Comstock. “I probably spend half of my time
ever I travel, I try to make room to meet with two to     immersed in worlds beyond GE. I hope this encour-           Taking Your
                                                                                                                      Collaborative
three people I know in that location. Whenever pos-       ages my colleagues to be more externally focused.
                                                                                                                      Pulse
sible, I bring someone else from Akamai with me to        The message is ‘If I find it important to spend some
those meetings.”                                          of my time this way, maybe you will, too.’”
    Kenny’s networking recently resulted in an im-            To connect their organizations to the wider world,
portant strategic alliance with Ericsson. Akamai is       collaborative leaders develop contacts not only in
now working with the mobile giant to change con-          the typical areas—local clubs, industry associations,
sumers’ internet experiences on mobile devices. The       and customer and supplier relations—but beyond
                                                                                                                      Engage Talent
                                                                                                                      at the Periphery
partnership evolved out of a conversation Kenny           them. Networking in adjacent industries, innovation         How diverse is your im-
had with a midlevel Ericsson executive two years          hot spots like Silicon Valley, or emerging economies        mediate team in terms of
ago at the Monaco Media Forum. “It really changed         or with people of different educational or ethnic           nationality? Gender? Age?
my idea of what Ericsson could be, and I saw that         backgrounds helps open their eyes to new business           How much time do you
we were both trying to solve a similar technical          opportunities and partners. For example, Com-               spend outside your home
                                                                                                                      country?
problem,” Kenny says. “Then I worked through mu-          stock’s external contacts in the innovation space led
tual friends to meet their CEO and arranged for the       GE to NASA, with which the corporation has shared           Have you visited your
                                                                                                                      emerging markets this
right people on his team to meet with their Akamai        insights and best practices. The two organizations          year?
counterparts.”                                            have also begun discussions about space technolo-
                                                                                                                      Does your network
    Presidents and CEOs aren’t the only executives        gies that might have applications in health care.           include people in their
building bridges between their organizations and                                                                      twenties (who aren’t
the outside world nowadays. Take Beth Comstock,           Engage Talent at the Periphery                              your kids)?
the chief marketing officer of General Electric. She      Research has consistently shown that diverse teams
is famous for her weekly “BlackBerry Beth” blog, in       produce better results, provided they are well led.
which she shares what she has learned in her exter-       The ability to bring together people from different
nal role for busy (and perhaps more internally fo-        backgrounds, disciplines, cultures, and generations
cused) GE managers. The pithy and provocative blog        and leverage all they have to offer, therefore, is a
goes out to thousands of GE’s sales, marketing, and       must-have for leaders. Yet many companies spend
technology leaders. In it, Comstock passes along in-      inordinate amounts of time, money, and energy at-
teresting information that people might have missed,      tracting talented employees only to subject them to
taking care to tie it back to challenges and opportuni-   homogenizing processes that kill creativity. In a lot
ties GE faces. For example, in a recent post from the     of multinational companies, for example, nonnative
World Economic Forum, she reported that a panel           English speakers are at a disadvantage. To senior
of scientists had come to the same conclusion that        management, they don’t sound as “leader-like” as
a GE survey had—that technology alone cannot en-          the Anglophones, and they end up getting passed

                                                                                                   July–August 2011 Harvard Business Review 5
Spotlight on collaboration




over for promotions. At a time when innovations are                                       industries shows that the collaborations that are
increasingly originating in emerging markets, com-                                        most successful (whether in terms of patent citation,
                                                           Taking Your
panies that allow this to happen lose out.                 Collaborative                  critical acclaim, or financial return) include both
    France’s Danone, one of the top performers in our      Pulse                          experienced people and newcomers and bring to-
research, makes sure its executives don’t encounter                                       gether people who haven’t worked with one another
such obstacles. When all the managers worldwide                                           before. Leaders need to make a concerted effort to
get together for the company’s annual strategic re-                                       promote this mix: Left to their own devices, people
view, many choose to present in their native tongue.                                      will choose to collaborate with others they know
Says CEO Franck Riboud: “We spend a fortune on             Collaborate                    well or who have similar backgrounds. Static groups
interpreters so that being less articulate in English is   at the Top First               breed insularity, which can be deadly for innova-
not a barrier. Some of our executives have even pre-       Do members of your team        tion. Nokia’s former executive team, for example,
                                                           have any joint respon-
sented their business case in native dress. This helps     sibilities beyond their        was 100% Finnish and had worked closely together
us steal away talent from competitors where those          individual goals?              for more than a decade. Many believe homogeneity
who don’t speak perfect English get stuck.”                Does the compensation          explains why the team failed to see the smartphone
    Reckitt Benckiser, the UK-based producer of            of your direct reports         threat emerging from Silicon Valley.
home, health, and personal care products and an-           depend on any collective           Collaborative leaders ensure that teams stay
                                                           goals or reflect any collec-
other top performer in our research, considers the         tive responsibilities?         fresh via periodic infusions of new players. Includ-
diversity of its workforce to be one of its competi-                                      ing employees from Generation Y—those born from
                                                           What specifically have
tive advantages—and a key reason it has seen net           you done to eradicate          the mid-1970s to the early 2000s, who have grown
income grow 17% annually, on average, from 1999            power struggles within         up sharing knowledge and opinions online—is
to 2010. No nationality dominates the company’s            your team?                     another obvious way to enliven collaborations. A
senior team. Two executives are Dutch, one is Ger-         Do your direct reports         number of leading companies have begun using
man, two are British, one is South African, two are        have both performance          technology to harness Gen Y ideas and perspectives.
                                                           and learning goals?
Italian, and one is from India. According to (soon-to-                                    Salesforce.com, as we have seen, brought them
retire) CEO Bart Becht: “It doesn’t matter whether                                        in from the periphery by using Chatter to open its
I have a Pakistani, a Chinese person, a Brit, or a                                        management off-site to all staff. At India’s HCL, em-
Turk, man or woman, sitting in the same room, or                                          ployees throughout the company join virtual con-
whether I have people from sales or something else,                                       versations on topics that are important to them, and
so long as I have people with different experiences—                                      CEO Vineet Nayar reaches out personally through a
because the chance for new ideas is much greater                                          popular blog that allows him to interact with a broad
when you have people with different backgrounds.                                          cross section of employees. In a market where the
The chance for conflict is also higher—and conflict                                       competition for engineering talent is fierce, the abil-
is good per se, as long as it’s constructive and gets                                     ity to attract the best and brightest helped HCL grow
us to the best idea.”                                                                     30% annually from 2008 to 2010.
    As Becht suggests, nationality isn’t the only
kind of diversity that matters. Research on creative                                      Collaborate at the Top First
                                                                                          It’s not enough for leaders to spot collaborative op-

Left to their own devices,                                                                portunities and attract the best talent to them. They
                                                                                          must also set the tone by being good collaborators
                                                                                          themselves. All too often, efforts to collaborate in
people will choose to                                                                     the middle are sabotaged by political games and turf
                                                                                          battles higher up in the organization. Consider that

collaborate with others they                                                              Microsoft, according to a former company executive
                                                                                          writing in the New York Times last year, developed

know well—which can be                                                                    a viable tablet computer more than a decade ago
                                                                                          but failed to preempt Apple’s smash hit because

deadly for innovation.                                                                    competing Microsoft divisions conspired to kill the
                                                                                          project.
                                                                                              Part of the problem is that many leadership teams,
                                                                                          composed of the CEO and his or her direct reports,
                                                                                          actually don’t operate as teams. Each member runs

6 Harvard Business Review July–August 2011
Collaboration Does Not Equal Consensus
                                                           Collaborative leadership is the capacity to engage people and groups outside
                                                           one’s formal control and inspire them to work toward common goals—despite
                                                           differences in convictions, cultural values, and operating norms.
his or her own region, function, or product or service        Most people understand intuitively that collaborative leadership is the
category, without much responsibility—or incen-            opposite of the old command-and-control model, but the differences with
tive—for aligning the organization’s various projects      a consensus-based approach are more nuanced. Below are some helpful dis­
and operations into a coherent whole.                      tinctions between the three leadership styles.
    At Brazil’s Natura Cosméticos, CEO Alessandro
Carlucci has instituted a comprehensive “engage-                            Comparing three STYLES OF LEADERSHIP
ment process” that promotes a collaborative mind-
                                                                             Command
set at all levels and has helped the firm win a top                          and Control           Consensus               Collaborative
spot on Fortune’s list of best companies for leaders.                        Hierarchy             Matrix or small group Dispersed, cross-
The process was implemented after Natura’s highly Organizational
                                                               structure                                                   organizational
successful IPO in 2004, when competing agendas                                                                             network
among the senior managers began to threaten the                              Senior management     Formally designated     Employees at all lev-
company’s prospects. Carlucci decided he needed                                                    members or represen- els and locations and
                                                             Who has the                           tatives of the relevant a variety of external
to reorganize the executive committee to unify its               relevant
                                                            information?                           geographies and         stakeholders
members around common goals and stop the power                                                     disciplines
struggles. He asked the members of the top team to
make a commitment to self-development as part of                             The people at the top All parties have equal The people leading
                                                             Who has the of the organization       authority               collaborations have
their stewardship of the company.                            authority to have clear authority                             clear authority
    Each executive embarked on a “personal journey”            make final
                                                               decisions?
with an external coach, who met with everyone in-
dividually and with the team as a group. “It is a dif-                       Financial results     Many performance        Performance on
ferent type of coaching,” Carlucci explains. “It’s not        What is the against plan             indicators, by function achieving shared
                                                                 basis for
just talking to your boss or subordinates but talking     accountability                           or geography            goals
                                                            and control?
about a person’s life history, with their families; it is
more holistic, broader, integrating all the different                        Works well within a   Works in small teams; Works well for diverse
roles of a human being.”                                                     defined hierarchy;    works poorly when       groups and cross-unit
                                                                             works poorly for      speed is important      and cross-company
    Roberto Pedote, Natura’s senior vice president          Where does it complex organizations                            work, and when inno-
                                                              work best?
for finance, IT, and legal affairs, adds: “I think that                      and when innovation                           vation and creativity
the main point is that we are making ourselves vul-                          is important                                  are critical
nerable, showing that we are not supermen, that we
have failures; that we are afraid of some things and
we don’t have all the answers.”
    Since the engagement process was adopted, Natu- will make them look good over tasks that will help
ra’s executives have become much better at teaming        them learn. A shift toward learning goals will make
up on efforts to improve the business, which grew         managers more open to exploring opportunities to
by 21% in 2010. The collaborative mind-set at the top     acquire knowledge from others.
has cascaded down to the rest of the organization,           At HCL, CEO Vineet Nayar demonstrated his com-
and the process has been rolled out to all the com- mitment to collaboration by adopting a radically dif-
pany’s managers.                                          ferent 360-degree evaluation for his top managers—
    If leaders are to encourage more innovation           one that invited a wide range of employees to weigh
through partnerships across sectors and with suppli- in. Although the company had done 360-degree
ers, customers, and consumers, they need to stop re- reviews before, each manager had been assessed by
lying heavily on short-term performance indicators. a relatively small number of people, mostly within
According to the psychologist Carol Dweck, people         the manager’s immediate span of control. As Nayar
are driven to do tasks by either performance or learn- recalls in his book Employees First, Customers Sec-
ing goals. When performance goals dominate an en- ond (Harvard Business Review Press, 2010), “most
vironment, people are motivated to show others that       of the respondents operated within the same area
they have a valued attribute, such as intelligence or     as the person they were evaluating. This reinforced
leadership. When learning goals dominate, they are        the boundaries between the parts of the pyramid.
motivated to develop the attribute. Performance           But we were trying to change all that. We wanted to
goals, she finds, induce people to favor tasks that       encourage people to operate across these bound­

                                                                                                     July–August 2011 Harvard Business Review 7
Spotlight on collaboration




When people try to collaborate on everything,
they can wind up in endless meetings, debating
ideas and struggling to find consensus.

                             aries.” Nayar set the tone by posting his own 360-        someone can end the discussion and make a final
                             degree evaluation on the web. Once executives             call. Although constructive confrontation and tem-
                             got used to the new transparency, the 360-degree          pered disagreements are encouraged, battles aren’t
                             reviews were expanded to a broader group. A new           left raging on. This is exactly how things work at
                             feature, “Happy Feet,” was added, allowing all em-        Reckitt Benckiser. When teams meet, people know
                             ployees whom a manager might affect or influence          that it is OK—in fact expected—to propose ideas
                             to evaluate that manager—regardless of their report-      and challenge one another. They debate loudly and
                             ing relationship.                                         furiously until the best idea wins. If no obvious
Taking Your
Collaborative                    Depoliticizing senior management so that ex-          agreement is reached in time, the person chairing
Pulse                        ecutives are rewarded for collaborating rather than       the meeting normally makes a decision and the rest
                             promoting their individual agendas is an absolute es-     of the group falls in line. This ensures vigorous de-
                             sential. At Reckitt Benckiser, there’s little tolerance   bate but clear decisions and quick action—diversity
                             for politics. Says Bart Becht: “We go out of our way      in counsel, unity in command, as Cyrus the Great
                             to make sure that politics get eradicated, because        once said.
Show a                       I think they’re very bad for an organization. I think
Strong Hand                  they’re poison, to be honest with you.” Becht’s direct,   Loosening Control
Have you killed any col-
laboration projects in the
                             no-nonsense style and the expectation that people         Without Losing Control
past six months?             should openly disagree with one another in meet-          In the old world of silos and solo players, leaders had
                             ings also help keep politics to a minimum, allowing       access to everything they needed under one roof,
Do you manage dynam-
ically—forming and           real teamwork to take hold.                               and a command-and-control style served them well.
disbanding teams quickly                                                               But things have changed: The world has become
as opportunities arise?      Show a Strong Hand                                        much more interconnected, and if executives don’t
Do the right people in       Once leaders start getting employees to collaborate,      know how to tap into the power of those connec-
your organization know       they face a different problem: overdoing it. Too of-      tions, they’ll be left behind.
they can “close” a discus-
sion and make a decision?    ten people will try to collaborate on everything and          Leaders today must be able to harness ideas,
                             wind up in endless meetings, debating ideas and           people, and resources from across boundaries of all
Does your team debate
ideas vigorously but then    struggling to find consensus. They can’t reach deci-      kinds. That requires reinventing their talent strate-
unite behind decisions       sions and execute quickly. Collaboration becomes          gies and building strong connections both inside and
made?                        not the oil greasing the wheel but the sand grinding      outside their organizations. To get all the disparate
                             it to a halt.                                             players to work together effectively, they also need
                                 Effective collaborative leaders assume a strong       to know when to wield influence rather than author-
                             role directing teams. They maintain agility by form-      ity to move things forward, and when to halt unpro-
                             ing and disbanding them as opportunities come and         ductive discussions, squash politicking, and make
                             go—in much the same way that Hollywood produc-            final calls.
                             ers, directors, actors, writers, and technicians es-          Differences in convictions, cultural values, and
                             tablish teams for the life of movie projects. Collab-     operating norms inevitably add complexity to collab-
                             orative efforts are highly fluid and not confined to      orative efforts. But they also make them richer, more
                             company silos.                                            innovative, and more valuable. Getting that value is
                                 Effective leaders also assign clear decision rights   the heart of collaborative leadership. 
                             and responsibilities, so that at the appropriate point                                          HBR Reprint R1107D

8 Harvard Business Review July–August 2011
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Are youa collaborativeleader

  • 1. HBR.ORG July–August 2011 reprint R1107D Spotlight on collaboration Are You a Collaborative Leader? How great CEOs keep their teams connected by Herminia Ibarra and Morten T. Hansen
  • 2. Spotlight on collaboration Spotlight ARTWORK Geoffrey Cottenceau and Romain Rousset Vide-cartons, 2006 photography: © Geoffrey Cottenceau and Romain Rousset
  • 3. Herminia Ibarra (herminia. Morten T. Hansen ibarra@insead.edu) is a (mortenhansen@berkeley. professor of organizational edu) is a management pro- behavior and the Cora fessor at the University of Chaired Professor of Leader- California, Berkeley, School ship and Learning at Insead. of Information, and at She is the author of Working Insead. He is the author of Identity: Unconventional Collaboration: How Leaders Strategies for Reinventing Avoid the Traps, Create Your Career (Harvard Busi- Unity, and Reap Big Results ness Review Press, 2003). (Harvard Business Review Press, 2009). Are You a W Collaborative Leader? How great CEOs keep their teams connected by Herminia Ibarra and Morten T. Hansen Watching his employees use a new so- he realized that many of the people who cial technology, Marc Benioff, the CEO of had critical customer knowledge and Salesforce.com, had an epiphany. His com- were adding the most value were not even pany had developed Chatter, a Facebook- known to the management team. inspired application for companies that al- The view into top management from lows users to keep track of their colleagues the rank and file was just as obscure, and customers and share information and Benioff knew. For instance, the com- ideas. The employees had been trying it pany’s annual management off-site was out internally, not just within their own coming up, and he could tell from talking work groups but across the entire organi- to employees that they wondered about zation. As Benioff read the Chatter posts, what went on behind closed doors at that July–August 2011 Harvard Business Review 3
  • 4. Spotlight on collaboration gathering. “They imagined we were dressing up in Those who climbed the corporate ladder in silos robes and chanting,” he says. while using a “command and control” style can have What could he do to bring the top tier of the com- a difficult time adjusting to the new realities. Con- pany closer to the workforce? Benioff asked himself. versely, managers who try to lead by consensus can And then it hit him: Let’s use Chatter to blow open quickly see decision making and execution grind to a the doors of the management off-site. halt. Crafting the right leadership style isn’t easy. What greeted the 200 executives who attended As part of our research on top-performing CEOs that meeting was atypical. All 5,000 Sales­ orce.com f (see “The Best-Performing CEOs in the World,” HBR employees had been invited to join them—virtually. January–February 2010), we’ve examined what it Huge TV monitors placed throughout the meeting means to be a collaborative leader. We’ve discovered room displayed the special Chatter forum set up for that it requires strong skills in four areas: playing the the off-site. Every manager received an iPod Touch, role of connector, attracting diverse talent, modeling Taking Your and every table had an iPad, which attendees could Collaborative collaboration at the top, and showing a strong hand use to post to the forum. A video service broadcast Pulse to keep teams from getting mired in debate. The the meeting in real time to all employees, who could good news is, our research also suggests that these beam in and instantaneously express their views on skills can be learned—and can help executives gen- Chatter, too. erate exceptional long-term performance. The meeting began with the standard presenta- tions. The managers watching them weren’t quite Play Global Play Global Connector sure what to do. Nothing unusual happened at first. Connector In his best-selling book The Tipping Point, Malcolm Finally, Benioff grabbed the iPad on his table and Do you attend confer- Gladwell used the term “connector” to describe indi- ences outside your made a comment on Chatter, noting what he found professional specialty? viduals who have many ties to different social worlds. interesting about what was being said and adding a It’s not the number of people they know that makes Are you part of a global joke to spice it up. Some in the room followed with network like Young connectors significant, however; it’s their ability to a few comments, and then employees watching Presidents’ Organization? link people, ideas, and resources that wouldn’t nor- from their offices launched a few comments back. Do you regularly blog or mally bump into one another. In business, connec- The snowball started rolling. “Suddenly, the meeting e-mail employees about tors are critical facilitators of collaboration. went from a select group participating to the entire trends, ideas, and people For David Kenny, the president of Akamai Tech- you encounter outside company participating,” Benioff says. your organization? nologies, being a connector is one of the most impor- Comments flew. “We felt the empowerment in tant ways he adds value. He spends much of his time How often do you meet the room,” recalls Steve Gillmor, the head of techni- with parties outside your traveling around the world to meet with employees, cal media strategy. company (competitors, partners, and customers. “I spend time with media In the end the dialogue lasted for weeks beyond consumers, govern- owners to hear what they think about digital plat- ment officials, university the actual meeting. More important, by fostering a contacts, and so on) who forms, Facebook, and new pricing models, and with discussion across the entire organization, Benioff are not directly relevant Microsoft leaders to get their views on cloud com- has been able to better align the whole workforce to your immediate job puting,” he says. “I’m interested in hearing how our demands or current around its mission. The event served as a catalyst for operations? clients feel about macroeconomic issues, the G20, the creation of a more open and empowered culture and how debt will affect future generations.” These Are you on the at the company. board of any outside conversations lead to new strategic insights and rela- Like Salesforce.com’s managers and employees, organizations? tionships, and help Akamai develop critical external businesspeople today are working more collabora- partnerships. tively than ever before, not just inside companies but Connecting the world outside to people inside also with suppliers, customers, governments, and the company is crucial to Kenny. He uses a number universities. Global virtual teams are the norm, not of tactics to do this. “First, I check in on Foursquare the exception. Facebook, Twitter, LinkedIn, video- often and post my location to Facebook and Twitter,” conferencing, and a host of other technologies have he says. “It lets employees in different Akamai loca- put connectivity on steroids and enabled new forms tions know I’m in town so that anybody at any level of collaboration that would have been impossible a can bring me suggestions or concerns. Second, ev- short while ago. ery time I go to one of our locations, I have lunch or Many executives realize that they need a new coffee with 20 to 40 people. We go around the room, playbook for this hyperconnected environment. and people ask questions on topics they most want 4 Harvard Business Review July–August 2011
  • 5. Idea in Brief RATHER THAN A hyperconnected business world, Make global connections that Focus on internal spurred on by social media and global- help them spot opportunities connections ization, demands a leadership style that can harness the power of connections. Engage diverse talent from Rely on homogeneous everywhere to produce results teams for new ideas Leaders need to shed the command- and-control and consensus styles in Collaborate at the top to Serve corporate politics favor of collaborative leadership. Our re- model expectations and parochial agendas search shows that collaborative leaders who get results do four things well: Show a strong hand to speed Let groups get mired in decisions and ensure agility conflict or attempts at consensus to address. Often my answer is to connect them with sure innovation and that more training in creativity others in Akamai or even people at other companies is needed. who have expertise on the topic. Third, if I see a big “I work hard to curate information that I don’t be- opportunity when meeting with a customer or col- lieve many at GE will have heard and to translate in- league, I will schedule a follow-up visit and bring formation in a way that is relevant to our challenges,” along the right experts from Akamai. Fourth, when- says Comstock. “I probably spend half of my time ever I travel, I try to make room to meet with two to immersed in worlds beyond GE. I hope this encour- Taking Your Collaborative three people I know in that location. Whenever pos- ages my colleagues to be more externally focused. Pulse sible, I bring someone else from Akamai with me to The message is ‘If I find it important to spend some those meetings.” of my time this way, maybe you will, too.’” Kenny’s networking recently resulted in an im- To connect their organizations to the wider world, portant strategic alliance with Ericsson. Akamai is collaborative leaders develop contacts not only in now working with the mobile giant to change con- the typical areas—local clubs, industry associations, sumers’ internet experiences on mobile devices. The and customer and supplier relations—but beyond Engage Talent at the Periphery partnership evolved out of a conversation Kenny them. Networking in adjacent industries, innovation How diverse is your im- had with a midlevel Ericsson executive two years hot spots like Silicon Valley, or emerging economies mediate team in terms of ago at the Monaco Media Forum. “It really changed or with people of different educational or ethnic nationality? Gender? Age? my idea of what Ericsson could be, and I saw that backgrounds helps open their eyes to new business How much time do you we were both trying to solve a similar technical opportunities and partners. For example, Com- spend outside your home country? problem,” Kenny says. “Then I worked through mu- stock’s external contacts in the innovation space led tual friends to meet their CEO and arranged for the GE to NASA, with which the corporation has shared Have you visited your emerging markets this right people on his team to meet with their Akamai insights and best practices. The two organizations year? counterparts.” have also begun discussions about space technolo- Does your network Presidents and CEOs aren’t the only executives gies that might have applications in health care. include people in their building bridges between their organizations and twenties (who aren’t the outside world nowadays. Take Beth Comstock, Engage Talent at the Periphery your kids)? the chief marketing officer of General Electric. She Research has consistently shown that diverse teams is famous for her weekly “BlackBerry Beth” blog, in produce better results, provided they are well led. which she shares what she has learned in her exter- The ability to bring together people from different nal role for busy (and perhaps more internally fo- backgrounds, disciplines, cultures, and generations cused) GE managers. The pithy and provocative blog and leverage all they have to offer, therefore, is a goes out to thousands of GE’s sales, marketing, and must-have for leaders. Yet many companies spend technology leaders. In it, Comstock passes along in- inordinate amounts of time, money, and energy at- teresting information that people might have missed, tracting talented employees only to subject them to taking care to tie it back to challenges and opportuni- homogenizing processes that kill creativity. In a lot ties GE faces. For example, in a recent post from the of multinational companies, for example, nonnative World Economic Forum, she reported that a panel English speakers are at a disadvantage. To senior of scientists had come to the same conclusion that management, they don’t sound as “leader-like” as a GE survey had—that technology alone cannot en- the Anglophones, and they end up getting passed July–August 2011 Harvard Business Review 5
  • 6. Spotlight on collaboration over for promotions. At a time when innovations are industries shows that the collaborations that are increasingly originating in emerging markets, com- most successful (whether in terms of patent citation, Taking Your panies that allow this to happen lose out. Collaborative critical acclaim, or financial return) include both France’s Danone, one of the top performers in our Pulse experienced people and newcomers and bring to- research, makes sure its executives don’t encounter gether people who haven’t worked with one another such obstacles. When all the managers worldwide before. Leaders need to make a concerted effort to get together for the company’s annual strategic re- promote this mix: Left to their own devices, people view, many choose to present in their native tongue. will choose to collaborate with others they know Says CEO Franck Riboud: “We spend a fortune on Collaborate well or who have similar backgrounds. Static groups interpreters so that being less articulate in English is at the Top First breed insularity, which can be deadly for innova- not a barrier. Some of our executives have even pre- Do members of your team tion. Nokia’s former executive team, for example, have any joint respon- sented their business case in native dress. This helps sibilities beyond their was 100% Finnish and had worked closely together us steal away talent from competitors where those individual goals? for more than a decade. Many believe homogeneity who don’t speak perfect English get stuck.” Does the compensation explains why the team failed to see the smartphone Reckitt Benckiser, the UK-based producer of of your direct reports threat emerging from Silicon Valley. home, health, and personal care products and an- depend on any collective Collaborative leaders ensure that teams stay goals or reflect any collec- other top performer in our research, considers the tive responsibilities? fresh via periodic infusions of new players. Includ- diversity of its workforce to be one of its competi- ing employees from Generation Y—those born from What specifically have tive advantages—and a key reason it has seen net you done to eradicate the mid-1970s to the early 2000s, who have grown income grow 17% annually, on average, from 1999 power struggles within up sharing knowledge and opinions online—is to 2010. No nationality dominates the company’s your team? another obvious way to enliven collaborations. A senior team. Two executives are Dutch, one is Ger- Do your direct reports number of leading companies have begun using man, two are British, one is South African, two are have both performance technology to harness Gen Y ideas and perspectives. and learning goals? Italian, and one is from India. According to (soon-to- Salesforce.com, as we have seen, brought them retire) CEO Bart Becht: “It doesn’t matter whether in from the periphery by using Chatter to open its I have a Pakistani, a Chinese person, a Brit, or a management off-site to all staff. At India’s HCL, em- Turk, man or woman, sitting in the same room, or ployees throughout the company join virtual con- whether I have people from sales or something else, versations on topics that are important to them, and so long as I have people with different experiences— CEO Vineet Nayar reaches out personally through a because the chance for new ideas is much greater popular blog that allows him to interact with a broad when you have people with different backgrounds. cross section of employees. In a market where the The chance for conflict is also higher—and conflict competition for engineering talent is fierce, the abil- is good per se, as long as it’s constructive and gets ity to attract the best and brightest helped HCL grow us to the best idea.” 30% annually from 2008 to 2010. As Becht suggests, nationality isn’t the only kind of diversity that matters. Research on creative Collaborate at the Top First It’s not enough for leaders to spot collaborative op- Left to their own devices, portunities and attract the best talent to them. They must also set the tone by being good collaborators themselves. All too often, efforts to collaborate in people will choose to the middle are sabotaged by political games and turf battles higher up in the organization. Consider that collaborate with others they Microsoft, according to a former company executive writing in the New York Times last year, developed know well—which can be a viable tablet computer more than a decade ago but failed to preempt Apple’s smash hit because deadly for innovation. competing Microsoft divisions conspired to kill the project. Part of the problem is that many leadership teams, composed of the CEO and his or her direct reports, actually don’t operate as teams. Each member runs 6 Harvard Business Review July–August 2011
  • 7. Collaboration Does Not Equal Consensus Collaborative leadership is the capacity to engage people and groups outside one’s formal control and inspire them to work toward common goals—despite differences in convictions, cultural values, and operating norms. his or her own region, function, or product or service Most people understand intuitively that collaborative leadership is the category, without much responsibility—or incen- opposite of the old command-and-control model, but the differences with tive—for aligning the organization’s various projects a consensus-based approach are more nuanced. Below are some helpful dis­ and operations into a coherent whole. tinctions between the three leadership styles. At Brazil’s Natura Cosméticos, CEO Alessandro Carlucci has instituted a comprehensive “engage- Comparing three STYLES OF LEADERSHIP ment process” that promotes a collaborative mind- Command set at all levels and has helped the firm win a top and Control Consensus Collaborative spot on Fortune’s list of best companies for leaders. Hierarchy Matrix or small group Dispersed, cross- The process was implemented after Natura’s highly Organizational structure organizational successful IPO in 2004, when competing agendas network among the senior managers began to threaten the Senior management Formally designated Employees at all lev- company’s prospects. Carlucci decided he needed members or represen- els and locations and Who has the tatives of the relevant a variety of external to reorganize the executive committee to unify its relevant information? geographies and stakeholders members around common goals and stop the power disciplines struggles. He asked the members of the top team to make a commitment to self-development as part of The people at the top All parties have equal The people leading Who has the of the organization authority collaborations have their stewardship of the company. authority to have clear authority clear authority Each executive embarked on a “personal journey” make final decisions? with an external coach, who met with everyone in- dividually and with the team as a group. “It is a dif- Financial results Many performance Performance on ferent type of coaching,” Carlucci explains. “It’s not What is the against plan indicators, by function achieving shared basis for just talking to your boss or subordinates but talking accountability or geography goals and control? about a person’s life history, with their families; it is more holistic, broader, integrating all the different Works well within a Works in small teams; Works well for diverse roles of a human being.” defined hierarchy; works poorly when groups and cross-unit works poorly for speed is important and cross-company Roberto Pedote, Natura’s senior vice president Where does it complex organizations work, and when inno- work best? for finance, IT, and legal affairs, adds: “I think that and when innovation vation and creativity the main point is that we are making ourselves vul- is important are critical nerable, showing that we are not supermen, that we have failures; that we are afraid of some things and we don’t have all the answers.” Since the engagement process was adopted, Natu- will make them look good over tasks that will help ra’s executives have become much better at teaming them learn. A shift toward learning goals will make up on efforts to improve the business, which grew managers more open to exploring opportunities to by 21% in 2010. The collaborative mind-set at the top acquire knowledge from others. has cascaded down to the rest of the organization, At HCL, CEO Vineet Nayar demonstrated his com- and the process has been rolled out to all the com- mitment to collaboration by adopting a radically dif- pany’s managers. ferent 360-degree evaluation for his top managers— If leaders are to encourage more innovation one that invited a wide range of employees to weigh through partnerships across sectors and with suppli- in. Although the company had done 360-degree ers, customers, and consumers, they need to stop re- reviews before, each manager had been assessed by lying heavily on short-term performance indicators. a relatively small number of people, mostly within According to the psychologist Carol Dweck, people the manager’s immediate span of control. As Nayar are driven to do tasks by either performance or learn- recalls in his book Employees First, Customers Sec- ing goals. When performance goals dominate an en- ond (Harvard Business Review Press, 2010), “most vironment, people are motivated to show others that of the respondents operated within the same area they have a valued attribute, such as intelligence or as the person they were evaluating. This reinforced leadership. When learning goals dominate, they are the boundaries between the parts of the pyramid. motivated to develop the attribute. Performance But we were trying to change all that. We wanted to goals, she finds, induce people to favor tasks that encourage people to operate across these bound­ July–August 2011 Harvard Business Review 7
  • 8. Spotlight on collaboration When people try to collaborate on everything, they can wind up in endless meetings, debating ideas and struggling to find consensus. aries.” Nayar set the tone by posting his own 360- someone can end the discussion and make a final degree evaluation on the web. Once executives call. Although constructive confrontation and tem- got used to the new transparency, the 360-degree pered disagreements are encouraged, battles aren’t reviews were expanded to a broader group. A new left raging on. This is exactly how things work at feature, “Happy Feet,” was added, allowing all em- Reckitt Benckiser. When teams meet, people know ployees whom a manager might affect or influence that it is OK—in fact expected—to propose ideas to evaluate that manager—regardless of their report- and challenge one another. They debate loudly and ing relationship. furiously until the best idea wins. If no obvious Taking Your Collaborative Depoliticizing senior management so that ex- agreement is reached in time, the person chairing Pulse ecutives are rewarded for collaborating rather than the meeting normally makes a decision and the rest promoting their individual agendas is an absolute es- of the group falls in line. This ensures vigorous de- sential. At Reckitt Benckiser, there’s little tolerance bate but clear decisions and quick action—diversity for politics. Says Bart Becht: “We go out of our way in counsel, unity in command, as Cyrus the Great to make sure that politics get eradicated, because once said. Show a I think they’re very bad for an organization. I think Strong Hand they’re poison, to be honest with you.” Becht’s direct, Loosening Control Have you killed any col- laboration projects in the no-nonsense style and the expectation that people Without Losing Control past six months? should openly disagree with one another in meet- In the old world of silos and solo players, leaders had ings also help keep politics to a minimum, allowing access to everything they needed under one roof, Do you manage dynam- ically—forming and real teamwork to take hold. and a command-and-control style served them well. disbanding teams quickly But things have changed: The world has become as opportunities arise? Show a Strong Hand much more interconnected, and if executives don’t Do the right people in Once leaders start getting employees to collaborate, know how to tap into the power of those connec- your organization know they face a different problem: overdoing it. Too of- tions, they’ll be left behind. they can “close” a discus- sion and make a decision? ten people will try to collaborate on everything and Leaders today must be able to harness ideas, wind up in endless meetings, debating ideas and people, and resources from across boundaries of all Does your team debate ideas vigorously but then struggling to find consensus. They can’t reach deci- kinds. That requires reinventing their talent strate- unite behind decisions sions and execute quickly. Collaboration becomes gies and building strong connections both inside and made? not the oil greasing the wheel but the sand grinding outside their organizations. To get all the disparate it to a halt. players to work together effectively, they also need Effective collaborative leaders assume a strong to know when to wield influence rather than author- role directing teams. They maintain agility by form- ity to move things forward, and when to halt unpro- ing and disbanding them as opportunities come and ductive discussions, squash politicking, and make go—in much the same way that Hollywood produc- final calls. ers, directors, actors, writers, and technicians es- Differences in convictions, cultural values, and tablish teams for the life of movie projects. Collab- operating norms inevitably add complexity to collab- orative efforts are highly fluid and not confined to orative efforts. But they also make them richer, more company silos. innovative, and more valuable. Getting that value is Effective leaders also assign clear decision rights the heart of collaborative leadership.  and responsibilities, so that at the appropriate point HBR Reprint R1107D 8 Harvard Business Review July–August 2011
  • 9. sponsor's perspective from the sponsor The Power of Face-to-Face Collaboration on the Go Equipping your company with collaboration tools is the key to keeping your business productive and evolving. Face-to-face video meetings allow collaboration to take place anytime, anywhere. Whether you’re looking to connect distributed teams or foster collaboration with external partners and clients, GoToMeeting with HDFaces allows you to work face-to-face with anyone, from anywhere. Here’s how five companies from different industries are using GoToMeeting with HDFaces to collaborate internally and externally to keep their business bustling. CONSTRUCTION DPR Construction is a national commercial contractor with over 3,000 employees, who are regularly dispersed between offices and work sites. With GoToMeeting with HDFaces for the iPad, iPhone and Android, DPR keeps its employees in the field connected to the office so that dispersed team members can make informed business decisions together without traveling to meet.  “ GoToMeeting is a business decision tool. It allows people in any location to become engaged and knowledgeable so they can make an informed decision.” Ron Stinson II, IT Capability Lead, DPR Construction Inc. EDUCATION Branson School Online is an online public school in Colorado that serves grades K-12 and offers students the ability to attend school online in place of having to travel up to 100 miles to the school building in Branson. Branson School uses GoToMeeting with HDFaces to unite distributed students, teachers and staff through video conferencing in order to enrich and personalize the online education program.  “ HDFaces has been a great tool for kids to connect with each other in a way that is more real. They can work on communication skills and get to know classmates by actually seeing them each week.” Kate Henson, Kindergarten and First Grade Teacher, Branson School Online NONPROFIT Best Friends Animal Society operates the nation’s largest sanctuary for homeless animals and provides adoption programs. Best Friends switched to using GoToMeeting with HDFaces because of its cloud- based and easy-to-use nature. The nonprofit uses GoToMeeting with HDFaces to connect its dispersed teams and add visual communication to their meetings. “ Switching from a complicated, self-installed video conferencing system to GoToMeeting with HDFaces was like night and day. The hosted Citrix Online service is simple and easy to use, requires a quarter of the bandwidth compared to competitive products, and provides high-quality video.” Tyler West, Senior Manager, IT Services, Best Friends Animal Society
  • 10. sponsor's perspective from the sponsor The Power of Face-to-Face Collaboration on the Go HEALTHCARe Medibank Health Solutions is an Australian healthcare insurance provider with almost 4,000 employees. GoToMeeting with HDFaces enables Medibank to provide triage care via video interaction and keeps its 600 remote workers connected to and engaged with other employees and the home office.  “ Personal engagement is one of the key challenges in running a work-at-home environment. For us, video collaboration with HDFaces has created a new type of virtual office. We use HDFaces to connect our team together – it’s much more interactive seeing someone than hearing them on the phone. For our staff, it helps them overcome the feeling of being isolated and faceless, and allows them to build relationships and have more meaningful conversations with their colleagues based in other locations.” Dave Buckmaster, Technology Manager, Medibank Health Solutions HIGH TECH Cornerstone Technologies is an IT consulting firm in Silicon Valley whose employees often work on the go and from home. Cornerstone Technologies uses GoToMeeting with HDFaces video conferencing to connect with clients face-to-face without traveling and to provide a better work-life balance for their employees, who are freed from the confines of the office.  “ We pride ourselves on integrity and client trust. HDFaces video conferencing engenders trust because participants can see expressions and body language as if we were all face-to-face. In fact, we recently finished several projects where we never set foot in the client’s location, yet they were highly satisfied with our services.” Eugene Alfaro, Director, IT Professional Services, Cornerstone Technologies Try GoToMeeting Free for sponsored by 30 Days8 Online Meetings Made Easy® GoToMeeting is the extremely simple, extraordinarily powerful web conferencing service from Citrix. It integrates HD video conferencing, screen shar- ing, audio conferencing and mobile technology, allowing you to collaborate in a face-to-face environment that naturally enhances communication. Hold unlimited meetings from your Mac or PC for one low flat fee. GoToMeeting will change the way you work and perhaps a whole lot more.