Leslie Pratch on Assessing and Developing Leaders

By Leslie Pratch

Let’s say you are new to an organization. What are the issues that could interfere with your assimilating into the organization? How can you cut them off before they become problematic? Clients have found the worksheet below, the origins of which lie in GE’s organizational practices, useful if deployed during the first weeks or even days of entering a new management role.

STEP 1. Provide a brief introduction and an overview of the objectives of the session and review the process to all involved (team and new manager).

STEP 2: Team members, without the new leader present generate questions about:

i) The new leader (you).

Questions about professional, personal, including hopes, dreams, rumors, preconceptions . . .

ii) The new manager as a team manager.

What do you know about the team, priorities, work style, norms, communication, rumors?

iii) The new manager as a member of the broader organization.

What do you, as the new manager, know about the organization, how the team fits into it and its, priorities, assumptions, expectations, rumors?

The team should also answer the following questions that it can then present to the new manager:

i) What does the new manager need to know to be successful in new role?

What are the top three issues?

What are the secrets to being effective?

Are there any ideas for the new leader?

ii) What significant issues need to be addressed immediately?

Are there any quick fixes that are needed now?

Are there any difficult areas of the business that new leader should know about?

iii) Other questions and ideas?

What is the one question that you are afraid to ask?

What additional messages do you have?

STEP 3: New manager rejoins teams to answer questions, listen and learn.

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Leslie Pratch, Ph.D. is a clinical psychologist with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.

By Leslie Pratch

In recent years doctors have come to understand high blood pressure as not merely a function of sodium but as the relationship between sodium and potassium. Similarly, high integrity executives (see my site on integrity in business) maintain a a balance, a social orientation but also a value system that also is balance which gives a certain character to the need to be successful.

Low integrity executives lack the value system that truly values the other person. What they are left with is self-centeredness. Sometimes they may project a persona of caring about others but deep down there’s nothing that really modulates the need for self-promotion. Much of the behavior of the low integrity executives is motivated by insecurity. They are self oriented out of a need for security, to deal with a deficit. The motivation, in other words, is defensive in nature, whereas the behavior of the high integrity executives comes out of strength and development. Because the high integrity had such good relationships with their parents or other attachment figures, the need for self promoting is so integrated in growth and human expansions, human goodness, and the welfare of self and others. It’s the balance that is the key. One cannot merely look at self-centeredness or narcissism; it’s what the narcissism comes with and how it’s integrated with the part of the self that can love. Merely looking at self-centeredness is inadequate because it fails to fathom the meaning and sources of the narcissism and the integration of the different parts in the person.

What of the group in between the high and low integrity executives? After all, most of us fall within that category. Among those individuals, if their insecurity is stimulated and they lack a solid, base confidence that comes from relationships of basic trust means they will lack that relative autonomy from the system and the pressures of the system (think of the culture of Enron). The environment touches on the insecurity because it upsets the balance and it pushes them in a way that leads them to behave unethically. By focusing on the individuals that are relatively immune to unethical behavior, we can better select executives who will do the right thing no matter what.

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Leslie Pratch, Ph.D. is a clinical psychologist who trained at Northwestern Medical School with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.

By Leslie Pratch

Let me conclude with a brief note about fragmented corporate cultures. No company can prosper over the long term if every employee is a free agent, motivated solely by greed, no matter how smart he or she is.  No company can function if it only hires brilliant M.B.A.s who are loyal only to themselves, but lack a commitment to standards that transcend the self, and then pits them against each other.  Companies value team players. Team players tend to do well in networked corporate cultures. Companies do not become great solely based on the brilliance of their employees. Employees are needed who can generate new ideas and another type as well, those who can execute those ideas. As Iris Murdoch notes,

We are largely mechanical creatures, the slaves of relentlessly strong selfish forces the nature of which we scarcely comprehend.  At best, we behave well in areas where this can be done fairly easily and let other areas of possible virtue remain undeveloped.

A pure meritocracy creates a deeply dysfunctional workplace.  To quote Iris Murdoch (see my posts again in my blog on integrity in business executives):

Murdoch suggests that the authority of the Good seems to us something necessary because the ability to perceive reality required for goodness is a kind of intellectual ability to perceive what is true, which is automatically at the same time a suppression of self.  The necessity of the good is then an aspect of the kind of necessity involved in any technique for exhibiting fact.

The more the separateness and differentness of other people is realized, and the fact seen that another man has needs and wishes as demanding as one’s own, the harder it becomes to treat a person as a thing. (From The Sovereignty of Good.)

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Leslie Pratch, Ph.D. is a clinical psychologist who trained at Northwestern Medical School with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.

By Leslie Pratch

ASSESSING ORGANIZATIONAL CULTURE

We want to understand how people in the organization communicate with one another and the outside world. Are they outwardly or inwardly focused? Do they have a balanced perspective when it comes to a problem with the customer? It may not be easy to pinpoint precisely the type of culture present in an organization, division, region, team, or function. The following kinds of tools should help you to form judgments about the nature of the culture.

(1) Open-ended questions that probe to elicit information from members of the organization and uncover important details and nuances about organizational culture and business context. Ask everyone the same questions and examine the patterns. If there is inconsistency, that’s a problem.

(2) Critical incident analysis to drill down on information gained from initial open-ended questions and further clarify organizational culture as defined in the cultural mode.

(3) Anecdotes about the Company.

(4) Identification of “star qualities” for success in the organization to provide essential information for positioning the culture within the cultural model and to verify information provided through open-ended and critical incident analysis questions.

(5) Other sources of information about the Company.

(6) Interviews with outstanding performers of the organization who can provide rich data about the organizational culture (or with individuals who left the business).

Initiating Discussion with Open-Ended Questions

Initiate a discussion using open-ended questions to penetrate the interviewee’s thinking and reasoning, to learn more about the business context and corporate culture, and to begin to position the organization within the cultural model. Listen to the responses, and continue to ask questions until you are satisfied that the interviewee has fully developed the thought.

Below are some examples of open-ended questions:

- What three or four adjectives best describe your corporate culture?
- How would you describe the corporate culture in your organization?

- To what extent is it unique or different within this group?

- How do people know when they are succeeding in your organization?

- How do they know when they are failing?

- When people here don’t seem to fit in, what makes them not fit?

- When people join, what do they notice first about the work environment?

- What surprises newcomers most about what it’s like to work here?

- How would you describe the typical pace here?

- What stands out to you about how things get done here?

- How do people prefer to exchange information and ideas?

- How would you characterize work relationships?

- How are people most commonly rewarded and recognized?

- How do people prefer to share information and ideas?

- How do people manage their time?

Some other questions to assess culture:

- What has been your best customer experience?

- Tell me about the best manager you have.

- What are you most proud of?

- Describe your ideal company.

- How do you wish you had responded to a difficult situation?

- What three adjectives would a customer use to describe your company?

- What kinds of mistakes have you made? What have you learned?

- If you could change your relationship with any one client, how would you?

- What has been your most embarrassing moment?

- When you have been in a conflict at work, how have you dealt with it?

Sample Critical Incident Questions

1. If the organization created a task force to develop the corporate credo, how would people react?

- People would be eager to join the task force to challenge and extend the values of the organization.

- People would political to join or to get the “right” people on the task force to maintain the status quo.

- People would be excited and feel that it’s good to refine the core values.

- There would be resistance to changing an existing, proven set of values.

- Most would deem it unnecessary; people should focus on doing their best.

- Most would ignore the effort; some would attempt to undermine it.

- Most would support it if it would help clarify goals and financial targets.

- Most would avoid it as a distraction to the real business.

2. How does your Company respond when a significant new competitor enters your market?

- We respond quickly by innovating and applying our capabilities and values.

- We would try to steal the “stars” of the new entrant.

- People wonder: So what?

- Resources are quickly mobilized to destroy the competitor.

- We ignore it until the impact hits our own business unit.

- People work together to find ways to make entry difficult and expensive.

- We convince each other that the competition is not a serious threat.

3. How do people in the organization respond when a star performer receives a big award?

- We take it as proof we work with stars; it confirms our elite status.

- People take this as a cue that the organization undervalues them.

- We are motivated to work harder to improve our own performance.

- People set the goal of beating the star performer by any means, fair or foul.

- People make sure they are in or get into this person’s network.

- People speculate and start rumors about whether the award was merited.

- We all celebrate and are genuinely pleased.

- People see it as proof that the organization is infallible.

4. How do people generally react when someone requests help with a business issue?

- The typical reaction is to ask: “How will it help the business?”

- The typical reaction is to ask: “What’s in it for me?”

- People readily help with the expectation that the favor will be returned.

- The answer is yes, depending on who is asking.

- The answer is yes, if it will help the business.

- The answer is yes, of course, anything you need.

- People are surprised to be asked and politely decline.

- People express surprise and abruptly decline, as if insulted.

5. Describe how colleagues socialize during and after work hours.

- People talk about work together–endlessly.

- We exclude all others, even family, as we talk about work obsessively.

- When we socialize, we talk about work. There’s nothing else to talk about.

- Conversation is about upstaging one another; proving who is better at work.

- People look for opportunities to socialize and get to know each other better.

- We get as much information as possible and give back as little as possible.

- We socialize very little and when we do it is short but polite.

- We barely recognize each other. Socializing is not part of the routine.

6. How does the management deal with long-tenured mediocre performers?

- Management lets the person self-destruct.

- We complain about the mediocre performer but don’t do anything about it.

- The employee is moved to an easier job without “losing face.”

- We work around the mediocre performer.

- Mediocrity is not tolerated. Firing is quick and efficient.

- The firing is public and often done in a humiliating way.

- The employee is let go quickly and humanely to make room for new talent.

- The employee is carried past the point that is good for the organization.

7. When people identify with the organization, what is it they are identifying with?

- We identify so closely with each other that we forget about results.

- We closely identify with each other and value the personal loyalty.

- People identify with their profession, not the organization.

- Beyond winning, there are few personal ties and little loyalty.

- People identify with winning.

8. What are the norms around how people spend their work time?

- We spend so much time at work that our personal relationships suffer.

- Work becomes a way of life, and work and non-work time dissolve into one.

- We spend so little time together that our creativity and personal growth is limited by lack of collaborative efforts and teamwork.

- People spend much of their time out of the office with clients/customers or in professional pursuits.

- Long and/or intense work schedules frequently cause employee burn out.

- Long hours are the norm to get the job done; little time is spent socializing.

- People spend too much time socializing and too little time working.

- People spend much time, during and after work, socializing.

9. How do people prefer to exchange ideas and information?

- The expression or discussion of personal problems is discouraged.

- Communication is swift, direct, and work-focused.

- Communication is limited; meetings are resisted.

- We talk only to those worth talking to otherwise we leave each other alone.

- We mostly talk to clients and professional peers outside the organization.

- Communication flows easily between levels, replete with corporate jargon.

- Non-verbal communication is important, especially how one looks.

- Cliques and factions impede the free flow of information.

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Leslie Pratch, Ph.D. is a clinical psychologist with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.

By Leslie Pratch

Identity

Let’s look at how members of an organization express their personal identities. Perhaps the most difficult area to get a feel for, identity is an area where all of your skills are needed to tease out the subtleties. Do people try to look alike with common dress codes and manners of speech? Is there only one way to present oneself? Or does the culture encourage expressions of individuality?

Within the organization, do people identify with their team, their function, their division, the whole organization, their profession, or perhaps with their customers? For example, professionals often see themselves as lawyers or public accountants first and employees of a particular firm second. Sometimes you will see groups bind themselves together through opposition to the dominant culture. This identity is often expressed in a business unit or operating team uniting in opposition to the corporate office.

When people identify with the organization, what is it that they are identifying with? Is it their colleagues? Is it the vision and values of the organization; its traditions? Is it the strategy? Or is it with being part of the best marketing or sales team? Is it winning that binds them to the organization? And how all encompassing is this identification?

Think about what happens when people leave your organization. Is it honored by a celebration? Do those who leave still see themselves as part of the family? Do they spend their time promoting the company’s products with their next employers’? Do people who leave ever return, or do they disappear without trace?

Identity
Networked People identify with each other; close ties of sociability heighten feelings of similarity as individuals. Differences are understated and if expressed at all, they are seen in subtle variations of dress code or speech patterns. Excessive displays of personal difference are resisted, and some store is set in long-established social rituals that tie people in even after they have left (social clubs, pensioners associations, alumni association). Personal loyalties persist; although in some contexts the company may be criticized, this is often manifested in dark humor. Examples would be big corporations with strong identities where you need the identification with the company in order to rise in it (e.g., Proctor & Gamble; General Electric).	Mercenary People identify with winning. Norms of behavior emerge here as anywhere, but differences between individuals are acceptable and encouraged if they help achieve the result. What draws people together are shared experiences, goals, and interests rather than shared sentiments. Ultimately, attachments are instrumental–the enemy may eventually be the next employer if it suits personal interests. There is no shame in shifting allegiance or, having done so, in exploiting one’s knowledge of business weaknesses once employees move on. A trading desk would be an example: Any behavior is acceptable if you produce. If the competition makes you an offer, you will walk (e.g., Frank Quattrone).
Fragmented People identify with values of individualism and freedom; with personal technical excellence; with organizations that minimize interference. Personal differences between individuals are significant, but unlikely to impede achievement (i.e., low levels of interdependence) and they confirm values of freedom, individualism, and technical excellence. Allegiance will be professional rather than organizational. Private lives outside work are often a mystery to one’s work colleagues. Law firms would be an example: Your identity is as a lawyer.	Communal People identify with the values and mission of the company. The credo is lived; the words are played out, enacted, debated, applied, developed. Work becomes a way of life. Logos and symbols abound. Too much identification can lead to a loss of perspective, intolerance of criticism, and complacency. The company attracts fierce loyalty. When individuals leave, they continue to be supporters. Work identity is carried into private life (visiting company stores on weekends, use of company products). Examples would be the Marine Corps (any military organization where you are asking people to risk their lives) and Harley Davidson.

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Leslie Pratch, Ph.D. is a clinical psychologist with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.

By Leslie Pratch

Time

The third important area to observe is how people manage their time. How long do people stay at work: Are long hours the norm; and if they are who feels comfortable leaving first or arriving last? Is it okay to leave before the boss? How carefully does your company measure time at work? Are people expected to be available when they’re not a work?

How long do people stay in their jobs? And how long do you expect them to stay? In some organizations, you regard everyone as potentially transient; in others the new arrival is regarded very quickly as a potential lifer.

Think too about how long it takes to get to know someone in your organization. Is time at work used to learn about the private lives of colleagues? Are people quickly open about their personal lives, or do you have colleagues whose family situations you do not know? When you get transferred to another office, does your network of previous social contacts help you to gain friends quickly?

Time
Networked People use work time to socialize–and they are not penalized for doing so. To some extent, the reverse applies: “All work and no play make Jack a dull boy.” Your ability to rise in the organization is partly a function of how sociable you are. Social activities are often extensions to the working day. This may make the working day long but enjoyable. People get to know each other quickly, and may have known each other for a long time. Examples would be a corporate office or firm with long-standing relationships with clients that are maintained through social contacts.	Mercenary Long hours are the norm, although it is acceptable to leave once the job is done. This is clearly signaled, since time and performance measures are explicit. Private time is precious and, when possible, protected. It takes a long time to know people other than in their work roles; idle chat is regarded as a waste of time. The distinction between work and play is tightly maintained. Examples would be a law firm where your time is billed or a medical clinic where procedures are performed (a surgeon, if he is not at work, isn’t working).
Fragmented Achievement, not time, is the measure (and the achievement may take a long time to deliver). Most time is devoted to the pursuit of the individual’s professional and technical excellence; anything that interferes with this pursuit, including colleagues, administrative chores, and even clients/customers can be considered a waste of time. It is possible for individuals to work “together” for many years without knowing each other. An academic or clinical research lab would be an example.	Communal People live at work; professional life is so engaging that “conventional” time is ignored. Work and non-work life dissolve into one; even at home, work can be a preoccupation. Close working relationships may be reflected in friendship groups, marriage, affairs, and so on. Work becomes a way of life; social activity that is disconnected from professional interests may be regarded as a waste of time (work is relaxation and vice versa). Silicon Valley start-ups in the 1990s had a reputation for very communal uses of time.

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Leslie Pratch, Ph.D. is a clinical psychologist with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.

By Leslie Pratch

Communication

Next, consider the way people communicate. When people meet and talk face-to-face, is it in groups or primarily one-to-one? Are these formal meetings, or do they just happen whenever two people happen to meet? Who is involved in the meetings–is it insiders only, or might customers and suppliers be involved? Picture the communication network. Who are the main players and who is not in it?

How easy is it for people to get a hold of others in the organization? Does hierarchy or function get in the way of effective communication? Or is it simply a matter of busy schedules? Do people deliberately make themselves unavailable?

How do people prefer to exchange ideas and information–by email, phone, or fax? How much time do people spend talking face-to-face?

Is the communication spontaneous as problems and issues arise or are meetings held at regular intervals where the topics to be discussed can be anticipated?

Communication
Networked Though there are formal hierarchies and processes, most communication takes place around the formal systems, in face-to-face conversation, on the phone, in “meetings before meetings.” Paper-based documents may be annotated by hand before being passed on to others in the network. E-mail may be used to gossip. In highly politicized cultures, papers may be copied routinely to key players. Skillfully managed, the networks span the business and help integration, but often cliques and factions form around functions, levels, or businesses, which impedes communication. On the other hand, because there is a lot of talk, there is the possibility of rapid information exchange and increased creativity. Considerable attention may be paid to communication in the “right” way; to style, manner, and presentation rather than content. This style is typical of large corporations, where there is a hierarchical, formal communication system; people have to know the rules; and much communication is in-house. Examples would be any bureaucratic organization that is regulated (e.g., financial services firms, automotive and aerospace firms, firms in the insurance industry and pharmaceutical sectors, power companies) –any firm that is audited regularly.	Mercenary Communication is swift, direct, and work-focused. These memos and data-laden reports leave little room for “idle” conversation. Conflicts are not likely to be resolved by gentleman’s agreements; face-to-face confrontations that are often adversarial are more common. Communication across boundaries (hierarchy, geography, etc.) is expected and accepted if it is task-focused. Meetings are businesslike–well planned and with a premium on actionable outcomes. The expression of personal problems is discouraged. An example would be corporate litigators dealing with adversaries at another firm and the in-house communication within certain management consulting and accounting firms.
Fragmented Talk is limited to brief exchanges in the corridor or on the phone. Meetings are resisted, difficult to arrange, and hard to manage for any length of time. Individuals will talk only to those who are “worth” talking to (to get rid of a problem; to pick the other person’s brains; to ask for resources); otherwise the understanding is “I will leave you alone if you will leave me alone.” Key individuals may be difficult to find, even within one’s own department. Documents may replace talk but there is no guarantee that they will be read. Much communication is directed outside–to clients and professional peers outside the firm. Transactional corporate lawyers, investment bankers, and any professional firm will reflect this style.	Communal There is communication in every channel but oral, face-to-face methods are likely to dominate. Non-verbal communication is, nevertheless, important; dress, color, and symbolism may all help individuals to feel close to others. Communication flows easily inside between levels, departments, and across national cultures, but outsiders may feel excluded. Talk is littered with the private language reaffirming the bonds between “us” and the difference from “them.” It is difficult not to talk, and there are few secrets–private or professional. Guilt and shame are used to correct “closed” behavior. The trading desk of an investment bank is probably the classic example where you had better be one of the gang or you are an outsider.

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Leslie Pratch, Ph.D. is a clinical psychologist with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.

By Leslie Pratch

No competency framework is complete until you have an understanding of the organizational culture in which the individual will have to perform. This set of entries defines culture in terms of how physical space is used, how people communicate with one another, manage their time, and express their identities. In the next few posts, I outline the basic matrix for identifying organizational culture. The last post of this series will provide some tools for assessing organizational culture.

Physical Space

The ways that physical space is used tells us something about how the organization thinks of itself, its employees, and the customers with which it does business.

Main entrances to corporate headquarters are often designed to convey an important sense for how the organization thinks about itself. Is the corporate logo prominent? Is the reception desk imposing? Are the furnishings expensive? Are there spaces to sit? Do people move through busily, or stop to chat? Are products on display? Is there a big difference in physical space between head office and the operating units or factories?

Space usually tells you something about status, power, and connections of the occupant. That individuals with the most power and status get the most desirable spaces is generally the rule in most organizations. How is that space allocated and then reallocated as status and power among individuals evolves over time?

Think about the space occupied by the group you are evaluating. Is it shared? Who is it shared between? Do people defend their space? Culture can be read in evaluating the ways that people carve out territories.  Are doors firmly closed? Do departments “police” their boundaries with gatekeepers, secretaries? Is security conspicuously present in the building?

Next think about the way people decorate their space. In some offices the walls are bare, in others there are family pictures. Post-it notes, certificates of professional achievement, sales prizes, photographs with the managing director. All these items tell you about an individual’s connection to the organization.

Another thing is consider is how formal and rigidly enforced are the rules for how individuals may decorate their spaces. Are certain decorative touches (plants, couches, and personal items brought from home, for example) permissible only to persons of a certain rank or may lower-level employees do as they please?

Physical Space
Networked Office doors are open; people move freely into and out of each others’ rooms. Pictures of family, postcards, cartoons, humorous notes, pictures of colleagues decorate offices. Large allocations of space are for special activities such as lounges and sporting facilities. Privileged space (larger offices; parking) may be linked to the formal hierarchy or to special arrangements. Different territories may be defended in ways that set them apart: marketing may be a no-go zone for finance. Outsiders are easy to spot, they knock on doors before they enter or dress differently. Examples would be a standard corporate staff office; any firm that has a “campus” feel to its headquarters (e.g., Nike, Microsoft).	Mercenary Space is allocated “functionally”–in ways that help to get the job done. Open-plan or flexible desk use is possible–but in order to assist with simple, efficient, cost-effective methods of task achievement—not chatting. Uninvited visitors who drop by are likely to be shooed away if someone is busy. Little space is wasted in work areas. Awards, recognitions of achievement may dominate office decorations. There are no favors in the parking lot; indeed, the priority is likely to be the customer. An example would be the desks that car salesmen have in the windows of a dealership or any kind of salesman space in an organization where the only reason to be at the desk is to close the deal.
Fragmented Space is designed to help individuals work without interruption. Office doors are closed and offices are well-equipped so that employees are effectively self-contained. Much of the time these offices may be empty (employees are on the road; working from home; at a conference) but it is hard to tell if they are there or not. In a virtual /fragmented organization, there is very little corporate space: work is conducted from home. Examples would be any firm with members who have professional credentials or a professional identity (engineers, lawyers, architects) and any firm where privacy matters to doing the job (doctors, lawyers, psychologists).	Communal Much space is shared either formally (open plan) or informally (lots of movement in and out of offices). It may sometimes be difficult to determine whose office you are in, and there are few barriers between departments or functions. There are unlikely to be big differences in space allocation between people. Formal social facilities are supported by extensive informal socializing; food and drink spread into work space. The corporate logo is everywhere; office decoration will improvise around, extend, or adapt the language of the company values, credo, or mission/vision. An example would be a Wall Street trading desk or an advertising agency.

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Leslie Pratch, Ph.D. is a clinical psychologist with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.

By Leslie Pratch

The base-level competencies within the Personality domain include:

Achievement Drive

Personal desire to achieve in what one does, committing oneself to accomplishing challenging objectives and competing against self-defined standards of excellence. Enjoys competition and actively seeks to out-perform others.

Takes carefully calculated entrepreneurial risks. Actions designed to minimize risk involved while weighing against them the costs, possible benefits and likelihood of success of the objectives.

Expresses pride in work well done and disappointment or frustration with less than optimal performance. Concerns about wasting resources leads to effective use of own time and resources.

Tenacity and Resiliency

The ability to persevere, over an extended period of time, overcoming significant obstacles to achieve a desired or expected objective; sees projects through to completion.

Does not quit after meeting with rejection or other frustrations; bounces back time and again using alternative strategies to eventually reach goals. Persists even when faced by discouraging information.

Self-Confidence

Holds a strong belief in own capability and competence whether in selecting an effective approach to tackling problems and tricky situations, dealing with others, or achieving results. Willing to exercise and trust one’s own independent judgment.

When moving from base-level to high-level we see the following shifts:

BASE LEVEL	HIGH LEVEL
FROM:	TO:
Personal achievement oriented	Business achievement
Supported	Unsupported
Clarity of role and goals	Ambiguity
Clear direction	Lack of guidance
Protected	Exposed
Responsive	Proactive
Low risks	High risks
Little at stake	Much at stake
Limited personal accountability	“The buck stops here”

High Level Definitions, Interview Questions, and Indicators

BUSINESS ACHIEVEMENT ORIENTATION

Is oriented toward the organization’s success rather than with personal aggrandizement. Identifies with and strives hard to enable the business to attain challenging and stretching performance targets. Personally identifies with business vision and takes pride in shared success.

Interview questions:

Evidence of business achievement orientation will be seen in how the candidate responds to other interview questions. In addition, the following kinds of questions may elicit information regarding this competency:

- Where do you see yourself in five years?

- What are your personal goals?

- Describe an important achievement in your business.

Behavioral indicators:

NEGATIVE	POSITIVE
Needs much external recognition, perquisites	Motivated to achieve as recognition of personal competence.
Achievements are seen as personal not as organization’s. Self-aggrandizing.	Personal achievements are seen as belonging to the organization.
Talks exclusively about personal achievements rather than business or corporate performance.	Talks in terms of “we” about business performance rather than in terms of “I” about personal achievement.

EMPATHY/SENSITIVITY

Can perceive the subtleties of feelings in others; communicates with tact and nuance. Sensitive to unspoken communication; can read between the lines. Is able to see situations from the perspective of another and to use that as a basis to try to maneuver to get what he or she wants.

This competency is important for working well with others, for relating to others in a sophisticated way. This is a competency that affects one’s effectiveness in many other dimensions of competency. Being empathic goes a long way toward making up for deficiencies in other areas; being poor at this undermines the individual’s effectiveness in influencing others.

Interview questions:

In general, candidates for sales and human relations will probably be good at providing examples to the following question; others may have a harder time generating examples.

- Describe for me a situation when more was being communicated than was being said. Elaborate on it. What was being said? How did this bear on your response?

Behavioral indicators:

NEGATIVE	POSITIVE
Obtuse; only dimly perceives others.	Master at sensing feelings, anticipating them, and taking them seriously.
Cannot read between the lines of what others say.	Excellent listener including non-verbal communication.
Perceives feelings after the fact; slow on the uptake.	Anticipates responses and picks up group feelings.
Indifference to others’ motives, perspectives, even if not own.	Tactful.

AUTHORITY/RESPONSIBILITY

A natural; takes full charge. Has the feeling that he or she belongs in a leadership role; takes responsibility for leading. Is fully confident will lead well.

Interview questions:

- Under what situations do you regard taking the initiative to be appropriate? When would you not take the initiative?

- Give me an example of when you led others.

- Give an example of a significant success in overcoming a difficulty in work. Include a description of the problem, your reaction to it, and how you resolved the difficulty.

Behavioral indicators:

NEGATIVE	POSITIVE
Follower. Works within narrowly defined roles and responsibilities.	Is fully confident will lead well and probably better than most.
Bends over backward to please.	Takes full charge.
Cannot give direction or take control.	Sets direction and others follow willingly.

COPING/STRESS TOLERANCE

Maintains personal effectiveness and reasonableness in dealing with others when confronted by frustration, too much work, an ambiguous role, or even open hostility. Deals constructively with obstacles and overcomes them. Confronts and masters ambiguous, novel, or rapidly changing situations in which the stakes are understood to be high. Resilient; bounces back from setbacks and defeats, and learns from mistakes.

Interview questions:

- Identify a time in the recent past when you were faced with considerable work overload; role ambiguity or conflicting demands from differing sources; or antagonism or hostility from your colleagues or others. What led up to this situation? How did you feel about it? What did you do? What happened in the end?

- Describe a significant failure or frustration in your work life. Indicate how you handled it.  Can you imagine how you might have handled it differently?

- Under job related stress, what do you think are some of your best qualities and what are those that you would like to improve?

- Describe a time when your ability to cope with stress has been stretched to the limit. How did you respond? What happened? In what circumstances would it happen again?

- Describe the most stressful situation you have found yourself in during the last few years and describe how you reacted to those pressures.

Behavioral indicators:

NEGATIVE	POSITIVE
Becomes silent or angry when meeting opposition to own ideas.	Shows evidence of bouncing back from setbacks to initiate new approaches.
Tends to personalize particularly when under pressure. Scapegoats.	Praises people while disagreeing with their views.
Is shaky and visibly tense under the stress of being interviewed.	During interview is relaxed, physically calm, alert, and displays a range of emotions from serious to playful.
Provides evidence that an emotional response, or the bottling up of an emotional response interfered with work performance.	Own business performance is unimpaired (or even improved) when working under pressure or in a stressful environment.
Doubts own competence, believes he needs help before taking on added responsibilities.	Seems to enjoy change.
Loses interest when encounters resistance or frustration.	Keeps looking for ways around obstacles. Maintains zest and optimism out of confidence a solution will be found.

INTEGRITY

Has a sense of belonging to something larger than the self and behaves according to the norms of that larger system; behaves according to expected norms and conventions even at the price of personal short-term gains.

Interview questions:

- In listening for integrity, does the candidate spontaneously mention valuing honesty, trust, and integrity, both in self and in others?

- Is there evidence of taking advantage of someone when the other person had the right to expect better?

- Is there evidence of regarding colleagues as opponents or the system as something to be gamed?

- From how the candidate talks about his/her own actions and achievements, is there a sense that this person behaves within some ethical framework, whether explicit or not, that guides his actions? Or is there a sense that this person pursues every opportunity that is before him that leads to advantage?

Behavioral indicators:

NEGATIVE	POSITIVE
Plays by one set of rules when everyone else is playing by another. Takes advantage of those who have a right to expect better.	Plays by the rules even at the expense of a short-term gain. Treats others with respect and fairness to which they are entitled even if there is no direct or immediate benefit.
Ethical rigidity interferes with good business judgment; opportunities missed because preoccupied with inventing rules. Use of ethics conceals doubt about own integrity..	Understands the difference between doing what’s right and what’s legal. Has perspective about how integrity and the law interact. Understands how culture conditions how we see right and wrong.
Expects the worst behaviors in colleagues and customers.	Expects others to maintain the same high levels of integrity.

________________________________________________________________________
Leslie Pratch, Ph.D. is a clinical psychologist with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.

By Leslie Pratch

Base-level competencies within the Management domain include:

Planning

The ability to plan and organize own work and work of others, deciding what needs to be done, setting targets and identifying performance indicators. Effectively communicates plans, making clear what needs to be done and why and reaching agreement about how it will be achieved.

Task and Performance Management

Sets clear goals, standards of performance, and schedules. Checks and monitors the progress. Takes action by identifying which problems slow the rate of expected progress. Will adjust objectives in the face of information that indicates it is necessary to modify objectives for the task. Encourages others to assess their own performance and provides realistic and timely feedback.

Team Management

Is able to gain cooperation among a group of people, direct reports or otherwise. Seeks input of group members into problem-solving and decision-making, encourages participation, treats individual and the group as a whole fairly and equitably, keeping them informed. Picks up early signs of conflict or other issues affecting group and individual performance and finds ways of addressing these issues before they escalate. Motivates the group, builds a sense of group/team identity and provides full and comprehensive feedback on performance, celebrating success.

Productivity

Seeks the most efficient mix of time, money, and other resources when bring tasks to completion. Assesses cost/benefit payoffs, seeks ways to do things more quickly, more easily, with less waste and at lower cost. Communicates concern for efficiency to others and generates a climate conducive to productive work.

In moving from base-level to high-level management competencies we see a shift of the following nature:

BASE LEVEL	HIGH LEVEL
FROM:	TO:
Tactical/operational	Strategic
Short term	Medium/long-term
Individual	Group performance
Task/output indicators	Bottom-line measurement
Working within resource constraints	Resource generation and allocation
Adherence to policy	Policy formulations
Personal/team focus	Department/business unit focus

High Level Competency Definitions, Interview Questions, and Behavioral Indicators

STRATEGIC LEADERSHIP

The ability to define the enterprise’s basic long term goals and objectives, and adopt courses of action and allocate the resources necessary to carry out these goals. The ability to identify conflicts among goals and the tradeoffs that need to be considered as well as strategic variables and the time horizons over which decisions can be made. Has the ability to identify how specific decisions result in specific outcomes that have major impact on the business. Leads by example and motivates others to follow.

Interview questions:

- What are the key things you want important subordinates as well as outsiders to understand in your business? How do you bring about that understanding?

- What are your staff’s key worries? What have you done about them?

- When you have to tackle a complex problem for the first time how do you approach it? Walk me through a specific example.

- Describe a situation in which you were able to solve a problem or clarify an issue that others had not been able to solve.

Behavioral indicators:

NEGATIVE	POSITIVE
Is physically located at a distance from staff; has no wish to get closer. Never leaves desk. Will not go into field to meet customers, scope competition, or understand colleagues’ concerns.	Allocates serious, continuing time to field visits. Mixes with colleagues at all levels. Seeks information on their problems; shows concern. Has finger on pulse of the organization.
Focuses on short-term goals; does not consider the future or what the organization is seeking to become.	Considers the pattern of goals, purposes, or objectives and the major policies and plans for achieving them.
Reactive, moves only when prodded. Often does not want to know information. Fails to consider risks.	Proactive; attacks problems strategically with well-defined goals. Plans long-term, step-by-step advance ahead of the competition.
Conveys lack of confidence in others’ abilities.	Conveys confidence in others’ ability to meet high ethical standards and do their best.
Does not build understanding how and why a course of action or approach is useful.	Provides resources and support to ensure that strategies are achieved. Provides constructive, timely, and specific feedback.
Inconsistent application of rules, procedures.	Holds others accountable in fair, firm, consistent way.
Coerces rather than inspires.	Leads by example.

MANAGEMENT TEAM BUILDING

Attracts and develops subordinates whose talents in particular areas may be greater than one’s own and works well with them. Has a nose for great hires and will fire under-performers.

Interview questions:

- Tell me about a time you had to assemble a team to meet some corporate objective. How did you decide which individuals to include?  How did you manage tensions within the group? What did you do to keep the group focused and able to meet objectives in a timely fashion?

- Tell me about one of the toughest teams/groups you have had to manage. What made it difficult? What did you do?

- Tell me about when you had your greatest success in building team spirit. What specific results did the team  accomplish?

- Give me an example of a team decision you were involved in recently.  What did you do to help the team reach the decision?

- Tell me about a time you had to fire someone. Looking back, would you have handled it differently?

- How have you dealt with conflicting demands among team members? Imagine, for example, having a subordinate whose expertise is absolutely vital to a project but whose personality is detrimental to morale. What would you do? How would you handle it?

Behavioral indicators:

NEGATIVE	POSITIVE
Feels threatened by expertise.	Hires, rewards, grooms individuals with exceptional talents.
Disparages individuals for mistakes and failures.	Commiserates with subordinates following setbacks.
Unwilling to confront under-performers and set expectations.	Willing to fire under-performers. Conveys sense that achievements and strong performance will be rewarded.
Fosters a dog-eat-dog world and devil-take-the-hindmost attitude toward the well-being of peers and subordinates.	Fosters sense of camaraderie, collegiality. Works collaboratively with peers.
Conveys sense that his or her well-being comes at the expense of that of subordinates; is either not part of team or identifies too closely with it.	Conveys sense that he or she is the head of the group as opposed to trying too hard to be liked by and one of the team.

PRODUCT AND PROCESS KNOWLEDGE

Has a working knowledge of the principles and processes underlying the company’s technology or service and some proficiency in their application to the business. Communicate with the scientists who do research on the technologies and materials most relevant to the company’s business. Can relate the company’s technology or service to a wide variety of business functions, including sales, marketing, manufacturing, finance, human resources, and others. Pursues opportunities to continue own education and that of subordinates.

Interview questions:

This is an area where you should know the questions you want to ask about candidates’ technical understanding of a company’s products and/or services. In general, the kinds of questions that would elicit pertinent responses would have the following character:

- How do you keep up with developments in the field? How does your technical understanding compare with that of your peers in your functional area, such as marketing?

- Has your ability to function in marketing, finance, been hindered by a lack of technical understanding? If so, what did you do?

Behavioral indicators:

NEGATIVE	POSITIVE
Values functional expertise over a working knowledge of the enterprise’s technology.	Works to keep self abreast of needed understanding of product and process knowledge.

BUSINESS EFFECTIVENESS ORIENTATION

Identifies and takes action to improve business effectiveness, not necessarily by doing the same things better or more efficiently but by fundamentally reviewing the way things are done and bringing about changes that deliver better bottom line performance. This involves monitoring performance against key operational and financial metrics. Demonstrates concern for meeting for customer needs; evaluates product, processes, and services against quality and delivery standards.

Interview questions:

- In very general terms, describe a situation where meeting operational timetables and deadlines meant shipping a product that your firm’s R&D staff was not happy with? Can you explain the tension? How did you resolve it?

- What have you done to make a business operate in a fundamentally different manner as opposed to improving how it currently operates?

Behavioral indicators:

NEGATIVE	POSITIVE
Improvement goals do not relate to overall corporate strategy.	Takes action to translate strategic thinking into prioritized, strategic related, change goals.
Gives few or no instances of taking initiative to build on the business’s strengths or overcome weaknesses.	Identifies the business’s strengths and the ways to build on them.
Talks more about tightening up on efficiencies rather than effectiveness.	Identifies business limitations and figures out ways to overcome them while being profitable.
Describes merely satisfactory performance against cost recovery/minimum standards rather than reaching for more difficult goals.		Describes performance in comparative terms against what has been achieved in previous periods and against competitors.
Starts projects but fails to drive them through to completion; not monitoring vigilantly enough or taking prompt control action.		Shows evidence of encouraging others to think productively about initiatives that will grow the business.
Concerned about “maintenance” activities, “keeping the ship on an even keel.”		Finds better, more productive or more efficient ways to do things in the business.

________________________________________________________________________
Leslie Pratch, Ph.D. is a clinical psychologist with an M.B.A. in Strategy and Finance and a B.A. in Religion from Williams College. She works with boards of directors and private equity investors to select and develop executives. She can be reached at (312) 464-7919 or email her at leslie@pratchco.com or visit www.pratchco.com.