A vision and mission are different. The vision is the compelling dream that the leaders create to motivate and challenge the organization. The mission, on the other hand, is a pragmatic statement of what it takes, each day, to move the organization closer to the vision.

Having the ability to formulate a clear, compelling vision and working constantly to achieve it can be a major factor in differentiating between the success and failure of an organization. The vision will create the stimulus and energy to drive performance to ever higher levels.

• A vision needs to inspire those who hear or read it. For a vision to be compelling, it must be:
  • short and to the point
  • inspiring
  • connected to the key stakeholders, especially the employees
• Avoid creating a vision that’s so simplistic it becomes a cliche. Such vision statements talk about being the biggest or best in the world (often interpreted as ‘‘most profitable’’). They seldom connect with the employees of the organization, whose job it is to make it happen! Leaving employees out of the vision gives the impression that shareholders are Number One and customers are Number Two, or vice versa. But employees are certainly only Number Three.
• Create the vision. This is difficult, and it cannot happen overnight. You need to think about it, dream about it, discuss it, and discover it. Visit companies you admire. Speak to people who have created a legacy. Read about the best. Finally, before putting pen to paper or fingers to keyboard, draw a picture of what your organization should look like, not what it is now—get some crayons and be a kid again. Just draw the images that come to mind and that give you a charge. Take no more than three to five minutes. Then try and put words to the shapes and images you have drawn. Massage those words, time and time again, until they excite you and capture your enthusiasm.
• Document the vision. Don’t wait for it to percolate upward. But should it come from the leader or the leadership team or be based on a
  consensus of all employees? Involving frontline employees is impractical in most circumstances. It is up to the leader and his/her team to create it, communicate it, and plan to achieve it.

Whenever you have a great idea, you have to sell it upward as well as downward. This means getting buy-in not only from your team and your peers but also from your bosses—top management or even the board. By following a few key principles you can make the higher-ups as keen on your ideas as you are.

✓ Understand that selling new ideas is a key part of leadership. So, be ready to articulate new ideas and directions to other colleagues with whom you share power.

✓ Prepare, prepare, prepare.

• Accumulate as much backup information as you can find. The more
novel or controversial your idea, the more supporting documentation
you will need.

• Rehearse your presentation beforehand with a colleague, a friend in
the same field, or your mentor. Remember to put together a written
package to support your presentation, and have your ‘‘test audience’’
review that as well.

• Tap into the hot topics of the day. Know beforehand what’s on the
agenda of your audience so that you can align your needs with theirs. For example, if senior management’s focus is on cost cutting,
emphasize how your idea will save money.

• Research the values and beliefs of your audience so that your pitch
will be in sync with those attitudes.

• Make sure your promises and predictions or claims are realistic.
Senior management can usually smell snake oil from a mile off.

• Try out revolutionary ideas on a skeptic, not your friends. Friends
are likely to tell you what you want to hear rather than the truth.
Allow the skeptic to tear your idea apart, giving you the opportunity
to prepare answers to the most difficult questions.

✓ Present like a pro.

• Greet the executive(s) warmly. Shake hands firmly and hold the
handshake a second longer than usual. Smile with your whole face.

• Project optimism. Be an evangelist. But don’t try to hide a bad idea
behind hyperbole. Ideas delivered with enthusiasm get more buy-in
than those wrapped in a cloud of gloom.

• Focus on benefits instead of features. Senior people are not interested
in how things work—that’s the function of the operating employees.
What they want to know is the likely revenue or savings impact of
the new product or service on time, money, or other resources.

• Speak the language of the audience that you are pitching. What kind
of people are they? Are they analytical? If so, be prepared with the
numbers. If they are more likely to be driven by emotion, be ready
to supplement your presentation with anecdotes about people and
motivation.

• Be brief and to the point. Senior managers operate under severe
time constraints, and their attention spans can be quite limited. If
you have a lot of supporting documentation, make up a handout to
go with your presentation.

• Check for understanding from time to time without embarrassing
the audience. Glazed eyes, lack of eye contact, and looking at
watches are clues that you’ve lost their attention. To regain your audience, change the pace briefly by modulating your voice or asking
for an opinion.

• Help others to see your ideas. Build a picture in their minds or show
them what you are after. The better your listeners understand, the
more likely they are to buy in. Remember, a picture is worth a
thousand words.

• Make sure that you do not run over your allotted time, and provide
adequate opportunities for questions.

• Keep your eyes on the audience at all times. Do not look at notes or
the screen—you will seem to be displaying lack of conviction. Worse
still, you won’t be able to see subtle changes in body language that
will give you clues about your audience’s level of enthusiasm.

• Avoid too much detail. Typically the listeners will be big-picture
people who are interested in your conclusions (that is, the benefits)
rather than the details of your research. Should anyone need further
detail, the numbers can be provided in useful handouts.

• Choose your words carefully. The right words can captivate and the
wrong words can spell disaster. Avoid exaggeration and words such
as ‘‘always’’ and ‘‘never,’’ or adjectives that connote lack of factual
evidence, such as ‘‘amazing,’’ ‘‘fabulous,’’ or ‘‘exceptional.’’ You
could be challenged to show the evidence behind your hyperbole,
and that could damage the credibility of your entire presentation.

• Make sure that you are being understood. Listen to and show interest
in the reactions of your audience, and respond to them. This will
demonstrate the importance you place on their opinions.

• Engage the audience—without getting sidetracked—whenever possible.

• Give compliments if they are appropriate and where they are due.
Genuine compliments, especially those on topic with your idea, will
warm your audience to you and encourage further interaction.

• If you don’t get immediate buy-in, determine the objections and
request a follow-up meeting at which you can address them. And
don’t whine.

✓ Follow up quickly.

• In a memo, thank the people who attended your presentation as
soon as possible. This memo should address the main issues raised
by the audience and indicate your determination to deal with them
immediately.

• Gather information about outstanding objections (if there are any)
and implementation (if you got immediate approval) and put this
information in a report to senior management. Don’t let the idea
rest until a decision is made.

Strategic alliances are not a new management fad. They are a response to a shrinking economy and circumstances that can change with bewildering speed. Alliances are excellent vehicles to enhance the growth and reach of an organization, enabling it to:

✓ enter new markets

✓ increase market share

✓ gain access to new techniques

✓ share risks

✓ access additional resources

✓ reduce costs by rationalizing activities

Alliances work particularly well when the parties:

✓ give clear and agreed-upon objectives

✓ are anxious to cooperate and achieve success

✓ provide adequate resources to ensure success

✓ organize and manage the enterprise effectively

✓ complement each other’s skills

✓ have realistic expectations of the difficulties and opportunities

There are three major forms of alliances:

1. joint ventures

2. research and development (R&D) consortia

3. strategic alliances

.

Joint Ventures

✓ A joint venture is a business organization between companies, formed
for the achievement of common goals.

✓ This form of business is often chosen as a vehicle for entering foreign
markets where foreign ownership may be restricted.

✓ Joint ventures are generally defined by an equity ownership, with parties
typically represented on the board in proportion to their ownership.

✓ Ownership splits typically reflect the size of each organization. A seventythirty
split would result from one partner being much smaller than
the other.

R&D Consortia

✓ Sometimes the cost of developing a new product or process is incredibly
difficult because:

• the costs are too high for one organization to bear

• the expertise is only available elsewhere

• the development timelines are extremely long

✓ R&D consortia take advantage of the availability of sophisticated communication,
planning, and design tools to enable virtual teams to work
collaboratively from any part of the world.

✓ Before committing to an R&D partnership, ask yourself if you:

• Have protected your contribution.

• Understand the intellectual property laws of other countries you’ll
be operating in. Check with others who have ventured into those
countries to learn what mistakes they might have made that you can
avoid.

Strategic Alliances

Strategic alliances are relationships between two or more organizations that bring about synergies that they could not achieve individually. Usually each organization has strengths and abilities that the other is lacking. A typical example is a relationship in which one organization has developed a product and the other has a strong marketing and sales organization that has an established presence in the marketplace.

Deciding on whether an organization could benefit from some form of alliance is best done through a strategic-planning exercise. Such an exercise will include a SWOT analysis—strengths, weaknesses, opportunities, and threats.

Determining whether you have chosen the right partner is a function of a number of factors. Consider the following issues.

✓ Do you have complementary skills?

✓ Can you envision working effectively with the partner, bearing in mind
any cultural differences?

✓ Has the potential partner had a history of successful relationships with
other partners?

✓ Is the partner fully committed?

✓ Is the partner trustworthy?

The effort taken to find the right partner will pay handsomely, as it will help to avoid delays, misunderstandings, subpar performance, and the likelihood of a breakup.

Some people see working in a team-based organization as slow-moving and inefficient. If teamwork means collaboration, is there any alternative? Surely not. Knowing when to use a team to make decisions and when decisions should be made by a leader is important. It will help to build commitment when needed and speed up decisions when necessary.

✓ Effective team leaders know that not all decisions need to involve the team. In fact, the team would not be consulted when:

• a decision needs to be made urgently

• one member is an expert in the matter under consideration

• the leader is specifically empowered to make the decision

✓ Team members should be involved in decisions that:

• are complex

• require a creative solution

• need the commitment of the members to the outcome

✓ Team decisions should ideally be made as commonsense agreements that all the members can live with. They need not be thrilled with the outcome, but they should feel that it has sufficient merit to win their support.

✓ Working in a team is challenging. It’s difficult enough to work effectively with one other person, and much more difficult to work with
many, especially in view of the different personalities, perspectives, goals, and levels of motivation. To be successful requires that all members work hard to reap the rewards of their combined talents.

✓ Helping a disparate group of people to band together will be easier if you ensure that they incorporate these essential team elements in their daily activities:

• Clear Goals and Objectives. The goals should be specific, measurable,
agreed upon, realistic (yet challenging), and time-based (SMART).
The agreed-upon element is important in creating shared ownership.

• Shared Rewards and Benefits. The ‘‘what’s in it for us’’ syndrome
finds meaning for members if benefits are linked to performance
and goal achievement. The rewards could be tangible—such as
shared bonuses—but should also include nonmonetary rewards
such as accolades from the CEO or board, celebratory parties, pizza
lunches, or outings together.

• Well-Defined Structure and Roles. The team needs to divide roles
so that everyone knows how to work together without stepping on
each other’s toes. Roles should also be clearly defined so that leadership
is a nonissue. Someone needs to take ultimate responsibility for
keeping the team on track.

• Agreed-Upon Ground Rules. The team members should define the
quality of their relationships with one another, including decisionmaking
processes, in terms of open communications, trust, support,
and loyalty.

• Standards of Performance. The team needs to identify its customers
(internal or external) and how it intends to serve them. What minimum
level of performance is acceptable? How quickly should each
key activity be executed? How does the team measure success, and
what should be the minimum level of achievement?

• Clear Communication. No matter who makes the decisions, the
entire team must know what is going on. Keep the team up-to-date
as a group; don’t breed dissatisfaction by encouraging or engaging
in piecemeal, one-on-one information sharing.

✓ Make changes to the team when necessary. One bad apple can have a major debilitating impact on the team, and this situation is sometimes
allowed to continue for years. A decisive leader who fails to turn nonperformers around will be lauded for decisive action in removing people whose values are incompatible with those of the team. Their departures can boost morale tremendously. And equally important is that this action sends a strong signal about the leader’s values and priorities.