Reading: “Building Effective One-on-One Work Relationships”

❖ Introductory Main Points

1. As you progress in your career, the skills that initially helped you succeed may not be sufficient for further advancement.
2. Technical competencies were important early on, but as you move up, success increasingly relies on human
competencies and effective work relationships.
3. Developing and maintaining strong work relationships with key individuals becomes crucial, especially at higher
managerial levels.
4. Managers with consistently outstanding performance records have been found to excel in building and sustaining a
network of relationships.
5. Managers face numerous and often conflicting demands, and their role is to reconcile these expectations and make
strategic decisions.
6. Managers serve as the nerve center for their units, balancing trade-offs and negotiating and integrating interests with
others.
7. Effective network-building is essential for managers to implement their agendas and achieve both short-term and long-
term goals.
8. Managers rely on their networks for getting things done, personal and professional development, and career
advancement.
9. The focus of this text is on relationships critical for job performance and accomplishing tasks.
10.Building and nurturing these work relationships is a vital skill for managers to succeed and progress in their careers.

❖ Analyzing Your Network of Relationships

✓ On whom are you dependent and who is dependent on you?

1. Effective network-building begins with identifying those individuals who are interdependent for getting your job done,
regardless of whether the interdependencies are symmetric.
2. Ask yourself questions about whose cooperation, compliance, and potential opposition are necessary for accomplishing
your work.
3. Mapping out these dependencies can be helpful, including both "first-order" dependencies (immediate superiors) and
"second-order" dependencies (superiors of superiors).
4. It is advisable to overestimate rather than underestimate the extent of these dependencies to avoid being blindsided
by someone in a position of power.
5. In a global economy, companies are becoming more agile and entrepreneurial, breaking down traditional boundaries
and relying on horizontal networks and inter-functional teams.
6. Formal authority is losing its power, and managers must consider the needs and interests of various stakeholders to
achieve results.
7. Effective managers should focus on building relationships based on mutual expectations, trust, and influence.
8. These relationships should be developed within the complex network of individuals with whom managers are
interdependent.
9. By understanding and cultivating these relationships, managers can navigate the organizational landscape more
effectively.
10.Neglecting to recognize and nurture interdependencies can hinder a manager's success, even if they possess other
talents and skills.

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✓ How are they different from you?
1. Identify dependencies: Determine the individuals you rely on and need to work closely with in your professional
environment.
2. Understand perspectives: Step into the shoes of those individuals and gain insight into their world. Recognize
differences in goals, values, stakes, pressures, and working styles between yourself and your dependencies.
3. Identify underlying factors: Analyze the reasons behind these differences. Consider factors such as varying information
availability or contrasting incentive plans that may contribute to the existing disparities.
4. Identify potential barriers: Use the diagnosis to identify potential obstacles in establishing mutually beneficial
relationships with your dependencies. Recognize the challenges that may arise from differing backgrounds, values,
interests, or working styles.
5. Develop proactive strategies: Acknowledge that it may be easier to build relationships with individuals who are similar
to you. However, for those who are dissimilar on multiple dimensions, such as senior managers from different
functional areas in different countries, proactive strategies need to be employed. Find common ground, actively work
on establishing comfortable ways of collaboration, and make explicit efforts to build effective relationships.

✓ How are your relationships developing?

1. Periodic Assessment: Regularly evaluate the quality of your relationships with individuals you depend on. Assess the
state of the relationship, whether it needs to be developed, cultivated, improved, or repaired.
2. Three Key Qualities: According to research by John Gabarro, three qualities are vital for developing effective
relationships: a. Mutual Expectations: Establish mutual understanding regarding performance, goals, priorities, and
roles. b. Mutual Trust: Foster trust between individuals, test it in various areas, and build a solid foundation of trust. c.
Mutual Influence: Encourage mutual influence beyond formal roles, allowing individuals to exert positive impact on
each other.
3. Time and Energy Investment: Building and maintaining relationships require time and effort. It is important to start
building relationships before you truly need them. Effective relationships evolve and grow over time, becoming more
concrete, tested, and grounded.
4. Effective Relationships: Effective relationships are characterized by clear mutual expectations, a strong basis of trust,
and significant mutual influence. These elements are developed and strengthened gradually over time.
5. Less Effective Relationships: In less effective or unsatisfying relationships, expectations may be vague or conflicting,
and there may be a lack of established trust or influence. It is important to address these issues proactively to improve
the relationship.

❖ Managing Conflict

✓ Balancing Inquiry and Advocacy

1. Advocacy vs. Inquiry: Managers are typically trained to be advocates, focusing on problem-solving and influencing
others to adopt their plans. However, inquiry skills, the ability to ask questions and embrace diverse perspectives, are
often overlooked but become crucial as managers face complex issues diverging from their personal experiences.
2. Importance of Balance: Balancing advocacy and inquiry promotes mutual learning and effective communication. It
involves presenting your reasoning and encouraging others to challenge it, inviting feedback and alternative viewpoints.
This approach facilitates a deeper understanding of the subject matter and encourages collaboration.
3. Pitfalls of Advocacy without Inquiry: Advocacy without inquiry leads to a cycle of more advocacy, with each side
becoming more entrenched in their positions. Escalations and disagreements arise, hindering progress. Managers may
avoid stating differences publicly due to emotional and political costs, impacting decision-making and fostering
misunderstandings.
4. Pitfalls of Inquiry without Advocacy: Inquiry without advocacy can be counterproductive if it is manipulative or lacks
transparency. When superiors question subordinates without revealing their own positions, it can create a sense of
manipulation and pressure to align with the desired response, undermining open and honest communication.
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5. Balancing Advocacy and Inquiry: Effective communication involves balancing advocacy and inquiry. Managers can stop
the snowball effect of advocacy by asking clarifying questions and seeking examples or data to support differing
viewpoints. By fostering an environment that encourages both advocacy and inquiry, managers can promote
constructive dialogue, collaboration, and mutual learning.

✓ The Discipline of Reflection

1. Importance of Balancing Advocacy and Inquiry: Balancing advocacy (expressing one's viewpoint) and inquiry (asking
questions to understand others' perspectives) is crucial in resolving conflicts. It helps individuals test their mental
models, clarify assumptions, uncover contradictions, and develop a mutual and accurate understanding of the
situation.
2. The Significance of Mental Models: Everyone has internal mental models, which are simplified abstractions of how the
world works. These models shape our actions and interpretations of events. However, individuals often make leaps
from particulars to general concepts, leading to biases and unexamined assumptions.
3. The Ladder of Inference: The "ladder of inference" describes the process of abstracting and making leaps from specific
observations to generalizations. People tend to jump up the ladder quickly and unconsciously, making their conclusions
seem obvious without considering the intermediate steps or questioning their assumptions.
4. Case Study Example: The case of Paula and John illustrates how their different mental models influenced their
perceptions, interpretations, and behavior during a team meeting. Their past experiences, beliefs, and assumptions
created divergent views of the purpose of the meeting, the client's expectations, and the appropriate behavior.
5. Reflection and Inquiry for Mutual Understanding: Balancing advocacy and inquiry requires disciplined reflection. By
questioning their mental models and exploring assumptions, individuals can slow down their thinking, become aware
of biases, and engage in open dialogue. Reflection and inquiry help uncover contradictions, challenge assumptions, and
develop more accurate mental models through tested assumptions. This process fosters mutual learning,
understanding, and the embrace of multiple perspectives.

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 Reading: Understanding Another Person, Part I: The Individual Frame of Reference
❖ Introduction

1. Importance of Interpersonal Relationships: The text emphasizes that a manager's day is largely spent in interactions
with peers, subordinates, colleagues, and clients. These relationships are crucial for effective management and the
success of the firm. Understanding and addressing the human problems underlying these interactions is essential.
2. Sensitivity to Human Problems: The manager's effectiveness hinges on exercising sensitivity towards the individuals he
works with. This can be done consciously or intuitively, and it requires understanding their behaviors and needs.
Recognizing and addressing these needs contribute to better relationships and managerial success.
3. Subjectivity and Bias: Understanding others is challenging because our subjective views and biases can influence our
perceptions. The manager's observations of others often reveal more about himself than about them. However, with
effort and self-awareness, one can recognize and minimize the impact of biases on understanding others.
4. Understanding Yourself and Others: The text highlights the interconnectedness of understanding oneself and others.
Developing the ability to understand others enhances self-awareness, and vice versa. By simultaneously exploring and
reflecting on both aspects, managers can gain deeper insights into their own dilemmas and improve their
understanding of others.
5. Sequential and Simultaneous Understanding: The paradox of understanding oneself and others is resolved by
recognizing that it is an ongoing process. At times, the focus may be on self-reflection, while other times it may shift
towards understanding others. Both aspects should be addressed sequentially and simultaneously over time to foster
personal and interpersonal growth.

❖ A Way of Thinking About Individuals

✓ Whose Point of View?

1. Two Frames of Reference: Human behavior can be observed from two broad perspectives: an external frame of
reference, where behavior is analyzed based on the interaction between individuals and their situations, and a
perceptual frame of reference, which seeks to understand behavior from the individual's own point of view.
2. External Frame of Reference: The objective or external frame of reference focuses on observing the behavior of others
and the situations in which it occurs. It involves explaining behavior by analyzing the interaction between individuals
and their environment.
3. Perceptual Frame of Reference: The perceptual or personal frame of reference aims to understand behavior by
empathizing with the individual and seeing things from their perspective. It involves asking questions such as what the
individual wants, thinks, or feels in order to anticipate and comprehend their behavior.
4. Personal Observation: When confronted with understanding someone's behavior, most people, whether they are
professional psychologists or laymen, naturally adopt a perceptual frame of reference. They put themselves in the
individual's place and ask questions to gain insight into their motivations, thoughts, and emotions.
5. Phenomenological Approach: The perceptual frame of reference is also known as the phenomenological approach,
emphasizing the importance of understanding an individual's subjective experiences and how things appear to them.

✓ The Individual Frame of Reference

1. Understanding the Individual Frame of Reference:

• To understand someone, it's essential to temporarily suspend our own viewpoint and imagine their perspective.
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 • This involves paying close attention to their behaviors, words, and actions to infer their underlying assumptions,
perceptions, and feelings.
• Developing empathy, rather than sympathy, allows us to connect with and comprehend what the other person is
experiencing.
2. Unique Perceptions and Personal Meanings:

• Each individual sees the world uniquely based on their past experiences and personal meanings.
• While some aspects of their worldview may be similar to others, there are likely unique and different elements.
• How a person sees themselves within the world, their roles, responsibilities, and beliefs about right and wrong,
are all interconnected.
3. Importance of Self-Concept:

• A person's self-concept plays a significant role in shaping their behavior and worldview.
• How individuals perceive themselves as individuals greatly influences their actions and decisions.
4. Understanding Others to Improve Relationships:

• To enhance performance and address concerns, it is beneficial for a manager to understand the challenges faced
by their employees.
• By seeking to understand the meanings and values associated with various aspects of their lives, managers can
approach sensitive issues more effectively.
5. Complex Nature of Relationships:

• Interactions between individuals in a business setting are intricate and multifaceted.

• Both parties bring personal values, aspirations, and problems into the organization.
• Recognizing the developmental life cycle and the influence each person has on the other is crucial in navigating
these complex situations.

❖ The Idea of Self Concept

1. Self Concept: Self-concept refers to a person's internalized set of relatively stable perceptions about themselves. It
includes ideas about what makes them unique, what distinguishes them from others, and what is important to them.
These perceptions are resistant to change and of central importance to the individual.
2. Development of Self Concept: A person's self-concept develops over time based on past experiences and the meanings
they derive from those experiences. It evolves slowly and selectively. Self-perceptions become firmly established as
part of the self-concept and influence how individuals perceive themselves and behave in future situations.
3. Impact on Behavior: Central aspects of self-concept significantly impact a person's behavior, including what matters to
them, how they respond to situations, and how they see themselves in those situations. Understanding someone's
self-concept can help predict their behavior and responses.
4. Varied Self Concepts: Each individual's self-concept is unique and complex. People may have diverse self-perceptions
that reflect their personal values, roles, and identities. Self-concepts can include aspects related to religion, culture,
ethnicity, regional background, social class, and institutional affiliations.
5. Empathy and Understanding: To better understand others, it is important to try to view situations from their
perspective and imagine their reality. By increasing our capacity to see and hear more of another person's world, we
can enhance empathy and gain a deeper understanding of their experiences.

✓ Inferring Self Concept in a Situational Context

1. Manager's limited access to detailed self-concept information: Managers typically lack detailed knowledge about the
self-concepts of the individuals they work with, including how these self-concepts have developed over time and
personal histories. This understanding requires a close and long-term relationship with each individual.
2. Developing deeper understanding: Gaining a deeper understanding of an individual's self-concept requires a significant
amount of time and intimate knowledge of their expectations, sources of identification, and internalized needs for
approval.

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3. Inferring self-concept: In the absence of a long-term acquaintance, managers can infer an individual's self-concept
based on daily situational interactions, recurrent patterns of behavior, words, and actions. Self-concept is an abstraction
that is not directly observable.
4. Example: Illustrating the process of inferring self-concept: Consider the case of a manager in a consulting firm who is
concerned about the performance of a junior consultant. The manager recalls instances where the consultant
expressed the importance of being "number one" and his disappointment at not achieving top rankings. These
observations suggest that being competitive and achieving top positions are important aspects of the junior
consultant's self-concept.
5. Using inferred self-concept to understand performance issues: By combining observations of the consultant's desire
for top rankings, disappointment regarding billings and project assignments, the manager can tentatively infer that the
consultant's self-concept is being threatened, which may be related to his poor performance. This understanding allows
the manager to develop hypotheses about the reasons for the performance issues and work with the consultant to
improve performance.

✓ Understanding Another Person’s Frame of Reference

1. Mental Models: Each person uses mental models, which are imperfect and constantly evolving representations of the
world around them. These models are based on past experiences and shape decision-making processes in both
personal and business life.
2. Assumptive Frameworks: Assumptive frameworks are clusters of assumptions that form the basis of how individuals
perceive and navigate the world. They include beliefs, values, and attitudes. Assumptions are updated through new
perceptions and experiences.
3. Importance of Assumptions: Assumptions are crucial for individuals to navigate the world effectively. They provide a
foundation for understanding cause-and-effect relationships. Some assumptions are more important than others, and
many are not consciously aware of them until they are challenged.
4. Perception and Self-Concept: Each person's perception of the world is influenced by their assumptions, perceptions,
and feelings. Self-concept and how individuals view themselves in specific situations are also shaped by their
assumptive frameworks.
5. Understanding Others' Perspectives: To understand another person's point of view, it is necessary to consider their
assumptive frameworks, perceptions, and feelings. Each person's unique set of assumptions influences how they
experience and interpret encounters.

❖ Assumptions, Perceptions and Feelings

1. Assumptions: Assumptions encompass beliefs, values, and attitudes that individuals hold about how things are and
how they should be. These assumptions are shaped by past experiences and perceptions. Charged assumptions are
those that dictate how one ought to behave or how things ought to be, serving as the basis for action.

• Beliefs: Beliefs are fundamental assumptions that define the relationships individuals perceive between things or
characteristics. They form the underlying understanding of oneself and the environment. Beliefs are derived from
sensory experiences or external authorities.
• Values: Values are evaluative assumptions about what is or what ought to be, expressing positive or negative
preferences. They reflect personal judgments and principles, such as valuing honesty or freedom.
• Attitudes: Attitudes are more complex assumptions that are based on beliefs and values but are generalized in
nature. They encompass a person's disposition or viewpoint on a particular topic or issue. Attitudes can be
charged, complex, and have broader implications than beliefs or values.
2. Perceptions: Perceptions refer to how individuals consciously perceive or interpret what is happening in a given
situation. Assumptions often influence perceptions, and individuals may see what they believe or expect to see.
Distinguishing between assumptions about how things should be and present perceptions is crucial, as conflicts arise
when important assumptions are challenged by perceived reality.
3. Feelings: Feelings represent emotional and affective responses triggered by a person's perceptions. Strong negative
feelings indicate that important assumptions are being threatened or violated. Disconfirmation of significant

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 assumptions can lead to surprise, anger, confusion, or other negative emotions, while confirmation of important
assumptions elicits positive emotions.

✓ Summary

Understanding Frame of Reference: The note emphasizes the importance of understanding another person's frame of
reference. Concepts such as self-concept, assumptions, perceptions, and feelings provide tools for gaining insight into
how individuals perceive and experience situations.

Sharpening Awareness: The concepts of assumptions, perceptions, and feelings are presented as tools for sharpening
awareness. By becoming more aware of these factors, individuals can better understand why people see situations
differently and improve their interpersonal effectiveness.

Diagnosing Interpersonal Problems: The concepts described in the note are essential for diagnosing interpersonal
problems, including those that go beyond simple misunderstandings. Effective actions to address such problems
require first understanding the perspectives of individuals involved.

Application in Communication and Conflict: The cases and readings in this section of the course focus on problems of
communication and interpersonal conflicts. These real-life scenarios raise questions about improving interpersonal
effectiveness and highlight the necessity of understanding different viewpoints.

Relevance to Motivating Leadership and Influence: The concepts discussed in the note have broader applicability
throughout the course. They serve as a foundation for subsequent material on motivating leadership and influence,
indicating their ongoing relevance in understanding and addressing interpersonal dynamics within organizations.

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 Reading: The Leadership Journey
❖ Introduction
1. Transformation of Blue Cross of California: The author shares their experience as the chief executive of Blue Cross of
California, which was initially a struggling organization. They took decisive action, such as firing unnecessary staff like
the pastry chef, to address wasteful spending and turn the company around.
2. From Floundering Bureaucracy to Success: Blue Cross of California transformed into WellPoint Health Networks, a
successful public company and one of the largest health insurance organizations in the United States. They expanded
their services, grew revenues significantly, and achieved consistent profitability since 1989.
3. Evolution of Leadership Styles: The author describes their personal transformation as a leader. Initially, an autocratic
style was necessary to drive the turnaround of the business. However, as the company improved, the author adopted
a more hands-off approach, focusing on motivating others to act. Later, they transitioned to a reformer style,
representing the company's interests on a broader stage.
4. Leadership as a Journey: The author emphasizes that leadership is not a static state but an ongoing journey. Effective
leadership requires adapting to the needs of individuals, organizations, industries, and society. There can be overlaps
and shifts between different leadership styles, depending on the circumstances.
5. Tailoring Decisions and Actions: By recognizing the different roles and styles required at various times, the author
became adept at tailoring decision-making processes, communication approaches, and time management strategies
to address the most pressing needs of the organization.

❖ The Autocrat
1. Autocracy in Turnaround Situations: Autocratic leadership, although not enjoyable, has its place in turnaround
situations where quick decision-making is crucial. It prioritizes making decisions promptly and taking action over
conducting thorough analysis and attempting to influence others' opinions.
2. Autocratic Leadership as Emergency Room Surgeon: Autocratic leaders can be compared to emergency room surgeons
who must do whatever it takes to save a patient's life. While autocracy may cause pain and arouse antagonism, the
CEO's role is to assume personal responsibility, act quickly, and stay focused on the mission at hand.
3. Autocratic Approach in Government Positions: The author shares experiences from their roles in state and federal
government, highlighting the need for autocratic decision-making to overcome resistance and achieve organizational
objectives. Examples include budget cuts in response to financial crises and consolidating agencies to improve
efficiency.
4. Autocratic Leadership in a Dysfunctional Organization: The author recounts their experience at Blue Cross of California,
an organization facing financial losses and customer dissatisfaction. As the CEO, they had to make difficult decisions,
including laying off employees and implementing significant changes to save the company.
5. Transition to Participative Leadership: With the company's financial stability restored and a focus on innovation and
customer service, the author's days of autocratic management came to an end. The emphasis shifted from any decision
being better than no decision to promoting collaborative decision-making and customer-centric approaches.
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Notes:
1. Autocratic leadership is effective in turnaround situations, prioritizing quick decision-making over extensive analysis.
2. Autocratic leaders assume personal responsibility, act quickly, and stay focused on the mission at hand.
3. Autocracy can be necessary in government positions to overcome resistance and achieve desired outcomes.
4. The author's experience at Blue Cross of California showcases the use of autocratic leadership to save a dysfunctional
organization.
5. The transition from autocratic to participative leadership occurred as the company stabilized, emphasizing innovation
and customer service.

❖ The Participative Leader

1. Transitioning to Participative Leadership: The CEO's role shifted from making autocratic decisions to focusing on long-
term success by adopting participative leadership. This approach involved receiving information from employees to
make strategic decisions while delegating implementation to line managers.
2. Loose-Tight Management: WellPoint employed a loose-tight management methodology to balance control and
autonomy. Clear goals were set by the executive management team, and specific strategies were outlined. Line
managers had the freedom to execute these strategies within ethical and regulatory boundaries.
3. Goal Setting and Monitoring: WellPoint established clear goals, such as leveraging technology or increasing customer
value, and developed strategies to achieve them. Progress was tracked through milestones, and regular monitoring
ensured alignment with the goals. Strict adherence to budgets and strategies allowed line managers to identify
innovative opportunities.
4. Empowering Line Managers: Line managers were given autonomy in their decision-making process, including hiring
and task assignment, as long as they stayed within the defined goals and strategies. Senior leaders trusted their
judgment, allowing them to find the most effective means of achieving the goals.
5. Balancing Rigidity and Innovation: While the organization maintained tight control over budget and strategy
implementation, the flexibility provided to line managers fostered innovation. By closely adhering to the established
framework, line managers discovered unforeseen business opportunities and developed creative solutions.

❖ The Reformer
1. Leadership Style: The author adopts a reformer leadership style, aiming to defy convention and make positive changes
in the managed-care industry.
2. Motivation for Change: The author's personal challenge is to change the perception of the managed-care industry,
specifically to build consumer trust in insurance providers.
3. Challenging the Status Quo: WellPoint undertakes a drive to make allergy drugs, such as Claritin, available over the
counter. This strategic move aims to address the spiraling costs of prescription drugs and provide affordable alternatives
for consumers.
4. Identifying Opportunities: By scrutinizing prescription costs and FDA regulations, WellPoint's chief pharmacy officer
discovers the potential to petition for the reclassification of allergy drugs. This proactive approach leads to submitting
a petition and ultimately gaining FDA approval.
5. Impact of Change: Making allergy drugs available over the counter reduces prescription costs for patients and insurers,
while also providing consumers with an effective and affordable allergy medicine option that has minimal side effects.

❖ Summary
1. Concrete goals throughout the leadership journey:

• Each phase of the leadership journey involved specific goals, such as consolidating organizations, fighting for
corporate survival, driving marketplace success, or transforming the healthcare industry.
• Having clear, tangible objectives provides a sense of direction and purpose in leadership roles.

2. Adaptability and shifting management style:

• The ability to adapt and adjust management styles according to the specific challenges faced is crucial.

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 • Different situations require different leadership approaches, and being able to shift perspectives and strategies is
highly effective.
• Falling back on old approaches in new and demanding situations is often ineffective.

3. Market demands shaping the leadership journey:

• The marketplace plays a significant role in shaping leadership experiences.

• Market demands drive the need for change and innovation in leadership strategies.

• Successful leaders pay attention to market processes and align teams to fulfill goals effectively.

4. Importance of processes and team alignment:

• Paying attention to processes is essential in achieving long-lasting results.

• Aligning teams with the leader's dedication to goals is crucial for success.

• Building a shared commitment within the team contributes to lasting achievements.

5. Lasting impact beyond temporary solutions:

• Focusing on processes, team alignment, and adaptability allows leaders to create lasting impact.

• This approach results in sustainable outcomes that endure beyond short-term solutions.

• Building something enduring is more effective than relying on temporary fixes.

Reading: Why Should Anyone Be Led by You?

❖ Introduction
1. The provocative question: "Why would anyone want to be led by you?" has a profound impact on executives,
highlighting the importance of effective leadership in today's empowered times. Executives need to understand what
it takes to engage and inspire followers.
2. In addition to the commonly recognized qualities of leaders (vision, energy, authority, and strategic direction),
inspirational leaders possess four unexpected qualities: they show vulnerability to appear approachable and human;
they rely on intuition to make timely decisions; they manage with tough empathy, passionately caring about their
employees and their work; and they embrace and capitalize on their unique differences.
3. The focus of the research is on leaders who excel at inspiring people and capturing their hearts, minds, and souls. While
financial results are important, the ability to inspire is considered crucial for achieving great results in business.
4. The research into leadership has been conducted over a span of 25 years and encompasses three streams: academic
exploration of leadership theories to develop a working model, testing the theory through workshops and observations
with executives worldwide, and validating the theories through practical implementation in the authors' own
organizations.
5. The abundance of leadership advice available can be overwhelming, with thousands of books published each year.
However, this research aims to provide a comprehensive understanding of leadership by identifying the unexpected
qualities that inspire and engage followers, going beyond conventional wisdom.

❖ Reveal Your Weaknesses

1. Importance of Authenticity: When leaders openly reveal their weaknesses, it establishes trust and authenticity. By
demonstrating vulnerability, leaders show that they are human and approachable, which fosters a collaborative
atmosphere.
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2. Building Solidarity: Sharing weaknesses creates a sense of solidarity between leaders and followers. It helps followers
connect with leaders on a human level, leading to increased support and engagement in their endeavors.
3. Protection and Perception: Exposing selected weaknesses offers leaders protection against the creation of false
narratives. By revealing minor flaws, leaders preempt the invention of more damaging weaknesses by others, such as
the media or observers.
4. Strategic Weakness Selection: Leaders should carefully choose which weaknesses to disclose. It is crucial not to reveal
flaws that could be perceived as fatal flaws, jeopardizing their professional role. Instead, they should focus on tangential
weaknesses that divert attention away from major concerns.
5. Genuine Vulnerability: It is essential for leaders to be perceived as genuinely vulnerable. Feigning weakness or using it
as a disguise can backfire, leading to derision and loss of support. Leaders should be sincere in their admissions and
avoid using vulnerability as a mask for other shortcomings.

❖ Become a Sensor
1. Inspirational leaders possess strong situation sensing skills, relying on their instincts to detect weaknesses or
differences. They excel at collecting and interpreting soft data, allowing them to perceive subtle cues and underlying
currents of opinion without explicit information.
2. The CEO of Roche, Franz Humer, is cited as an example of a highly perceptive leader. He developed his sensing skill
while working as a tour guide, becoming adept at predicting outcomes and gauging unexpressed feelings within groups.
3. Effective sensors can accurately judge whether relationships are working or not, and they possess the ability to detect
information that is not directly communicated to them. They can read silences and nonverbal cues within an
organization.
4. However, while being a great sensor is essential for leaders, there are risks associated with this skill. Leaders must
exercise judgment to determine how far they can push without losing the support of their followers. Overstepping
boundaries can result in losing trust and goodwill.
5. Sensing skills can also lead to projection, where a leader attributes their own ideas or thoughts to others. This can
interfere with accurately perceiving the truth of a situation. Reality testing is crucial to ensure that sensing capabilities
are grounded in actuality.

Notes:

1. Inspirational leaders rely on instincts and situation sensing to identify weaknesses and differences.
2. Examples of successful sensors include Franz Humer (CEO of Roche) and Ray van Schaik (chairman of Heineken).
3. Sensing skills involve collecting soft data, reading subtle cues, and accurately judging unexpressed feelings.
4. Leaders must be cautious not to overstep boundaries and risk losing followers' support.
5. Sensing abilities should be accompanied by reality testing to validate perceptions and avoid projection.

❖ Practice Tough Empathy

1. Hype around showing concern for teams: There is a criticism of the idea that leaders must undergo training programs
to demonstrate concern for their teams. Real leaders are naturally empathetic and do not need external training to
show they care about their employees.
2. Real leaders empathize fiercely: True leaders have a strong ability to empathize with the people they lead. They
genuinely care about their employees and the work they do. This empathetic approach helps build strong relationships
and fosters a sense of trust and loyalty within the organization.
3. Alain Levy's example: The former CEO of Polygram, Alain Levy, is cited as an example of a leader who effectively closes
the distance between himself and his followers. He demonstrates his passion and concern by actively participating in
critical tasks, such as helping junior record executives choose singles for albums.
4. Tough empathy: The concept of tough empathy is introduced, which means providing people with what they need
rather than what they want. This approach is not about being soft or accommodating, but rather about pushing
individuals to reach their full potential and making tough decisions when necessary.

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5. Balancing respect for individuals and tasks: Tough empathy requires leaders to balance respect for both the individuals
and the tasks at hand. It is a challenging task, especially in times of crisis or when the organization is in survival mode.
Caring leaders must selflessly support their team members while knowing when to step back and make difficult
decisions for the overall benefit of the organization.

❖ Dare to Be Different

1. Importance of leveraging differences: Inspirational leaders recognize the value of what sets them apart from others
and purposefully capitalize on those differences. They use their unique qualities, whether in appearance, skills, or
personality traits, to create a sense of distinctiveness and establish a social distance between themselves and their
followers.
2. Communicating uniqueness: Effective leaders understand the significance of openly communicating their unique
attributes to others. They may showcase their differences through their dress style, physical appearance, or distinct
qualities such as imagination, loyalty, expertise, or even a handshake. By doing so, leaders make it clear that they
possess characteristics that set them apart from the crowd.
3. Networking and team formation: In a world where networking and the rapid formation of teams are crucial, leaders
who are aware of and able to leverage their unique qualities have an advantage. Being aware of one's distinctive
attributes and effectively communicating them enables leaders to stand out, build connections, and assemble teams
quickly.
4. David Prosser's leadership style: David Prosser, the CEO of Legal and General, demonstrates a leadership style that
incorporates subtle but powerful differences. Despite being generally approachable, he has a hard edge that he
utilizes in an understated yet highly effective manner.
5. Use of a hard edge: Prosser's hard edge becomes evident in his interactions. At a cocktail party, when a sales manager
was boasting about the company's cross-selling capabilities, Prosser intervened with a low voice, stating, "We may
be good, but we're not good enough." This remark created a chill in the room, conveying the message that Prosser
sets the standards and maintains a sense of authority.
6. Keeping everyone on their toes: Prosser's hard edge extends to his top team as well. It serves as a means to keep
everyone on their toes, fostering a sense of accountability and reminding them of his leadership role. This approach
helps maintain a level of discipline and focus within the organization.
7. Separateness as a motivational tool: Inspirational leaders understand that creating a slight sense of separateness can
motivate their followers to perform better. They recognize that followers tend to push themselves harder when their
leader maintains a certain level of aloofness. This approach is not about being manipulative (Machiavellian), but
rather about leveraging human psychology to drive higher performance.
8. The danger of over-differentiation: Executives can fall into the trap of excessively differentiating themselves from their
followers in an attempt to express their separateness. However, this can lead to a loss of contact and connection with
the team. When leaders create too much distance, they lose the ability to sense and understand their followers' needs
and concerns. This lack of empathy and connection can have negative consequences for leadership effectiveness.
9. The case of Robert Horton: Robert Horton, the former chairman and CEO of BP in the early 1990s, is mentioned as an
example where over-differentiation led to detrimental outcomes. Horton's conspicuous display of his intelligence was
perceived by others as arrogance and self-aggrandizement. This resulted in a significant distance between him and
his followers, impairing his ability to effectively lead and care for the organization. Ultimately, this contributed to his
dismissal from the position.

❖ Leadership in Action

1. Unique and personal approach: Inspirational leadership cannot be mechanically replicated or imitated from other
leaders. It requires leaders to be themselves while continuously developing their skills. Executives must be aware of
the four leadership qualities discussed and adapt them to create a personal leadership style that suits them.
2. Context-dependent and subtle results: There is no universal formula for leadership, and the approach needed varies
from context to context. The effectiveness of leadership is often subtle and depends on the specific circumstances.
Results may not always be dramatic but can have a significant impact over time.

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3. Authenticity and self-control: The story of Sir Richard Sykes, the chairman and CEO of Glaxo Welcome, highlights the
importance of authenticity and self-control in leadership. During a heated debate with a researcher, Sykes displayed
his anger but quickly regained composure. This incident showcased his ability to handle challenging situations while
maintaining professionalism.
4. Authenticity and Belief in Values: The story of Sykes demonstrates the importance of authenticity in leadership. Sykes's
display of irritability, which may have been perceived as a weakness by some, actually showcased his deep belief in the
company's value of discussing basic science. It cemented his credibility as a leader and highlighted his commitment to
the organization's principles.
5. Empathy and Identification: Sykes's ability to identify with his colleagues and their work is another notable leadership
quality. By engaging with the researcher as a fellow scientist, he established an empathic bond with his audience. This
demonstrated his genuine care for others, albeit with a tough empathy approach, and helped him connect on a deeper
level with his team.
6. Embracing Differences and Natural Communication: The story also emphasizes Sykes's willingness to show his
differences and embrace his unique qualities as a leader. Despite being a highly successful businessman, he retained
his distinctive northern accent and did not conform to the "standard" English expected in certain settings. His
passionate and natural communication style reflected his authenticity and aligned with the behavior of real leaders
who act and communicate
naturally.

❖ Can Female Leaders Be True to Themselves?

1. Women and stereotypes: Women are often subject to stereotypes based on gender differences, which may not align
with their own preferences or choices. These stereotypes can limit women's ability to define their own differences and
roles, particularly in management positions where there is a lower representation of women.
2. Stereotyping and representation: According to social psychology research, when a group's representation falls below
20% in a society, it tends to be stereotyped. Women, due to their underrepresentation in management, may be typecast
as "helpers," "nurturers," or "seductresses," which can hinder their ability to express their true capabilities.
3. Disappearing and blending in: Some women, especially those in their fifties, try to avoid negative stereotyping by
making themselves invisible. They may wear clothes that hide their bodies or adopt a tough demeanor to blend in with
men. While this strategy helps them avoid negative stereotypes, it diminishes their chances of being recognized as
potential leaders and hampers their ability to promote their authentic selves.
4. Collective resistance and limited time: Another response to negative stereotyping is collective resistance, such as
advocating for women's rights and opportunities. However, women often have limited time for such formal
organizations due to day-to-day survival challenges they face.
5. Playing into stereotypes: Some women choose to play into stereotypes for personal advantage. They consciously
embrace the role of "nurturer" at work but do so with skill and wit, allowing them to benefit from it. However, this
strategy perpetuates harmful stereotypes and continues to limit opportunities for other women to express their
genuine personal differences.
6. The cost of playing into stereotypes: While playing into stereotypes may bring personal benefits to some women, it
reinforces harmful stereotypes and restricts opportunities for other women to showcase their authentic capabilities
and perspectives.

❖ Four Popular Myths About Leadership

1. Not everyone can be a leader: Contrary to popular belief, not everyone has the necessary self-knowledge and
authenticity required for effective leadership. Additionally, not all talented employees are interested in assuming
leadership roles as they may prioritize their personal lives or have different career aspirations.
2. Leadership doesn't guarantee business results: Good leadership alone does not always guarantee business success.
Factors such as industry monopolies or competent management can contribute to positive outcomes even without
exceptional leadership. Conversely, well-led businesses may not always achieve immediate results, especially in the
short term.

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3. People in leadership positions aren't always leaders: Simply occupying a leadership position does not automatically
make someone a true leader. Political skills or organizational hierarchies may have played a role in their ascent, rather
than their actual leadership qualities. Effective leaders can be found at all levels of an organization, and leadership is
defined by having followers rather than rank.
4. Leaders are not necessarily great coaches: While there is an emphasis on leaders being good coaches, the reality is that
not all leaders excel in coaching others. Exceptional leaders like Steve Jobs, for example, may inspire through their
vision rather than their coaching abilities. While some leaders may possess coaching skills, it is not a universal
characteristic.

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