Lessons from Executive churn (Part 1)

In the public spaces there are all sorts of conversations about the challenges confronted by Executive leaders. Critical staff shortages, severe supply chain interruptions, the transition to remote and flexible work, the state of national politics and its implications, climate change, the increase in cyber-attacks, the mounting demands for greater diversity, equity, and inclusion.?

Agreeing forecasts in these conditions is understandably challenging and at times polarising. This can make for lively discussions when industry colleagues connect.

Among the more strategic CEOs I am noticing another conversation.?

Here is what I am hearing…

When looking through the disruptive fog to the industry transformed, the personal conundrum is where to tread within the Executive and Board dynamics.

A feature of an industry through disruptive times is Executive churn rates increase.

This means more Incumbent or incoming Executives can see across the tenure of their predecessors, and industry colleagues in comparable organisations, seeing patterns which are useful for navigating.

Executives are observing predecessors were intelligent, hardworking leaders with a track record of achievement.

“It is not the strongest of the species that survive, nor the most intelligent, but the one more responsive to change.”

~ Charles Darwin

The “responsive to change” part of the famous Darwin quote also grates. At first pass that can seem far too simplistic. There was a lot of work done. There were a lot of factors at play.

The conversation is that industry colleagues were using valid engagement and change tactics in their relationship with the Board and trying to set themselves up with a successful path. Tactics that have worked.?

Some examples discussed include:

• Project confidence, be obliging to requests, and raise issues when you feel the timing is right.

(The risk for the Executive is they never have the real conversations, continuing to work hard, yet still not satisfying over time. Concern at this communication gap, and its implications on performance, now has Boards being advised to consider adopting a policy of being aggressive.)

• Create awareness of the issues that need to be addressed through to the other side of the transformed industry.

Awareness is known to be an initial phase in creating an environment for identifying opportunities and solving problems.

(The risk is losing the crowd as perceived as negative over time. Particularly in a complex context.)

• Focus on the financials as a form of ‘licence to operate’. Coming up through the ranks as a Business Unit Manager, many have experienced that achieving Budget was what was measured and therefore managed.

(The risk is this one dimensional and typically lag perspective doesn’t acknowledge the complexity of the situation and becomes associated with mounting “surprises” over time.)

• Identify and deliver “quick wins” to build confidence with the Board.?

(The risk is that the hoped “quick wins” are often more tangled in complexity than they were in junior, tightly scoped roles. Work takes longer and results not clearly agreed across the Board.?There is not the hoped for level of mutual assurance.)

• Work hard on short-term challenges and be ready to move on.

There is NO magic recipe.

This is where the “responsive to change” twists in these conversations.

Like the challenges we confront in transitioning the industry, we are one player in a complex dynamic between Board and Executive.

There are human factors and the thinking frames we are trying to work within.

It’s beyond the comfort zone – but those in these conversations agree the answer appears to be in going deeper.

Acknowledging our human nature. As Board Members, despite our professional disciplines, as humans we prefer instant gratification and seeking assurance all is safe which those dealing with us can feel. As Executives, despite how cool, calm and collected we aspire to be, our ambition activates our desire to please, and be seen as an achiever.

The Performance Management frameworks – informal and formal - often spoken about when considering Executive performance, typically come from a simple or complicated context for performance management, not acknowledging the context is more dynamic and also includes complex and chaotic conditions for current CEOs.

(For more on aligning with complex conditions refer to articles here and here.)

This personal conundrum and the conversation will continue as we continue to move through the disruptive fog.

Where to tread within the Executive and Board dynamics?

There are so many things we cannot be certain of.

One thing we can be certain of, that keeps coming up - when the exponential effects take hold, the inaction will be clear to everyone.?The suffering of being caught disrupted will be real. People in the public, past and present employees and partners, and the people it is your Mission to serve, will all see what ‘could’ or ‘should’ have been done.?The years squandered will be regretted.?This truth is very evident to us all as we watch leaders caught out through the Pandemic.

I expect this conversation will continue to become more intense this year.

What has been your experience?

Bernie

__________________________________________________________________________

Bernie is known for building capability and confidence in leaders who need to transform organisations that are continually reshaping to survive and thrive.

From first-hand experience as an executive leading through major transitions and over 10,000 hours in facilitation and training for organisational transformation, Bernie sets leadership teams to build change-fitness to deliver what matters.

Bernie welcomes connecting with and talking to leaders tackling the challenges of organisational transition.

If you received value from this article and want to be a part of the ongoing conversation with the Shapers Circle community join here:

https://berniekelly.activehosted.com/f/12

#change #transformation #berniekelly #community

Contact Bernie via LinkedIn: www.dhirubhai.net/in/berniekelly100/ or Email: [email protected] or Phone: + 61 421 915 608