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.

I wonder how you feel about the above quotation from Jeff Skilling about ethical behavior. I won’t comment, but I can anticipate your response. Words are empty without actions and behaviors to match. Research by James Kouzes and Barry Posner, documented in their book Credibility: How Leaders Gain and Lose It, Why People Demand It, suggested that honesty is the most frequently cited trait of a good leader.

Keeping your word and being true to ethical values is key. Astonishingly, many people who have been indicted for criminal behavio—particularly white collar crimes—were often actively involved in their communities’ charitable endeavors. How can this be? Is it possible to separate business ethics and personal values? Apparently so, but this cannot be good. So here is a guide to behaviors that will keep you out of trouble, let you sleep well at night, and be a great role model to those reporting to you.

The Ten Commandments, which mirror the basic values of all civilizations, deal explicitly with integrity, stating ‘‘Thou shalt not steal; thou shalt not kill; thou shalt not covet thy neighbor’s house (or anything belonging to thy neighbor); and thou shalt not bear false witness against thy neighbor.’’ Here are some benchmarks by which we can judge our own personal ethical behavior:

Rule 1. Be honest. Be truthful at all times, even when it hurts.

Rule 2. Behave with integrity. Demonstrate consistency in intention, word, and behavior.

Rule 3. Take responsibility. Ethical people learn to live with the consequences of their actions, whether intentional or unintentional.

Rule 4. Respect the law. As a citizen of your country, you should obey its laws, especially when they are based on democratic principles that intend freedom and equality for all citizens. In some countries this principle may challenge us, especially if the laws conflict with our ethical values.

Rule 5. Be loyal. Commit to serving and assisting the people with whom you choose to spend most of your time, including family, community, and work colleagues. You can also be loyal to your traditions while respecting those of others and being open to changing those that may fly in the face of human dignity.

Rule 6. Work for a better world. Go beyond a simple belief in the possibility of a better world. Choose your area of interest and work conscientiously to improve the lot of those in need. Contributing to better social, economic, and environmental conditions starts with those around you but can soon extend beyond.

Rule 7. Be charitable. This rule follows Rule 6. Most religions have some guidelines for giving.

Rule 8. Be compassionate. Give of your time to help others, conducting yourself with a sense of joy that you have been blessed more than so many others. Behave also with kindness and humility—always be ready to listen and offer advice and assistance.

Rule 9. Be consistent. Follow your principles all the time, with all your colleagues. Don’t play favorites. Don’t change the rules because it appears to be expedient in the short run.

Rule 10. Observe rules 1–9.

Most executives not only have a solid formal education, they have also continued to learn at every opportunity. This learning has come about from formal skills development acquired at public courses, in-house programs, conferences, and, most importantly, by learning from mistakes!

Many of these formal learning opportunities diminish in value as you scale the corporate ladder. The number of programs available for executives is limited compared to the enormous quantity of programs for middle managers. However, the need to learn doesn’t diminish as you move toward the top. But the type of learning changes, as does the process. The content of new learning will be more strategic, and the process must be more engaging. So here are some alternative choices for the executive of today.

✓ Find a coach.

Business coaches are appearing everywhere. Unfortunately, many human resources and other professionals get into this business as a way of sustaining themselves between jobs, and therefore are often ill-equipped to be effective coaches. An effective coach will:

• have a demonstrated track record of success

• have certification from a recognized body

• be as interested in learning from you as you are from her

• be a good listener

• have been successful at overcoming some of the challenges you are
faced with or have helped someone else with similar issues

• be available at a time and place convenient for you

✓ Join peer networking groups.

There are many opportunities to meet with peers in network groups, such as:

• Young Presidents’ Organization (YPO). YPO is a worldwide organization
open to people who meet the following criteria:

• They are under the age of 45 at time of joining.

• They hold the title of president, chairman of the board, chief
executive officer, managing director, managing partner, or publisher
or the equivalent of any of these positions. A chairman of
the board/chief executive officer and a president of the same company
may not simultaneously be members.

• They employ at least fifty full-time people or pay salaries, excluding
the member’s, of at least $1 million.

• Their companies meet minimum annual revenue requirements or
have an enterprise value of $10 million as defined by the net
worth of assets before depreciation, an independent third-party
investment/valuation, or the company’s public equity value plus
its debt, less cash.

• Formal Networking Clubs. These clubs are most often franchises
run by well-connected local businesspeople. Membership is usually
limited to a dozen executives, none of whom are from competing
businesses. The members usually meet monthly, with each person
getting the chance to host a session, thereby giving others an opportunity to learn about a new business. Members share their concerns
in a confidential forum, allowing for input from others that may
shed new light on a vexing problem. By offering advice to one
another, these executives are often able to reflect on their own shortcomings,
as often there is a gap between what we know is right and
what we actually do. These clubs also bring in high-caliber speakers
who will challenge members with new ideas.

✓ Learn on the job.

Perfection eludes us all. We often fail to do things properly. But how often do we pause to reflect on the issue, figure out what we did wrong
and how we might deal with it differently the next time? Opportunities to improve yourself are considerable. So take the time after every unsuccessful meeting, futile attempt at problem resolution, miscommunication with a colleague, or failure to meet your customer’s needs, and figure out the problem. Take personal responsibility for fixing the problem by doing things better next time.

✓ Become a mentor.

That’s right—don’t find a mentor (not a bad idea either) but become one! How does mentorship help you learn? The best programs give senior managers an opportunity to mentor some of the best and brightest potential stars in the organization, often people with different technical backgrounds. This gives the mentor a wonderful chance to learn by exchanging information. And helping someone else grow enables you to develop yourself as well.

✓ Attend targeted executive education opportunities.

Set aside at least five days for your own personal education each year. Talk to others who have done likewise and see what kinds of opportunities exist. Keep changing how you do it, switching from a formal process to a less-formal one in the next program you take. Focus on opportunities that will stretch you and force you to operate outside your comfort zone.

✓ Be receptive to feedback—from your employees.

At least twice a year, absent yourself from departmental meetings and ask your employees to discuss your performance. One or two representatives can then summarize the discussion and provide you with key points on your strengths and areas that need development.

If you feel that the technological developments you’ve recently experienced are impressive, for sure you’re going to be even more amazed in the years ahead. Astonishing advances not even contemplated a few years ago are now just around the corner. Consider, for example, that in the eight months between the time that these words are written and then published, the number of transistors in a microprocessor may double to almost a billion. When the first microprocessor was created in 1971, it contained 2,250 transistors. And every eighteen months since then the numbers have doubled.

These developments will change our lives in many ways as these microscopic chips find their way into all facets of our lives. No other aspect of our organizations changes as quickly as information technology (IT), which makes that aspect difficult to understand and control. As a leader you cannot afford to spend time being the technical guru, but you can ensure that technology helps add value to your organization’s success. These practices will make that a reality:

✓ Demonstrate the importance of technology as a key ingredient for survival and growth by working closely with your chief technology officer and her staff.

✓ To identify new opportunities to improve, benchmark your IT practices against organizations that have excellent reputations in the IT field. In order to identify what levels of service are reasonable and practical, listen to companies that want you to outsource your IT function to them. Hold your IT department to the same service standards as may be available from outside.

✓ Evaluate who is doing the value-added tasks—your own employees or consultants. It is a generally accepted principle that anything created
by your own employees remains the property of the company. However, in general, anything created by external consultants belongs to them and can be used outside your organization unless it is specifically agreed to the contrary in writing.

✓ Review work that is done in-house that could potentially be outsourced. Conversely, are there opportunities to ‘‘in-source’’ work that could be done more effectively by your own employees and give you the additional benefit of flexibility and control? If outsourcing is an option, consider the problems that must be overcome, including:

• lack of control

• lack of flexibility

• redundancy among employees and its impact on morale

• the cost of employee severances

✓ Be sensitive to the number of platforms being used across the organization, with a view to standardizing. Consult with your IT people to ensure that your platforms are compatible with those being used in the organizations to ensure standardization and compatibility wherever possible.

✓ Encourage your staff to follow personal-use policies so that everyone knows:

• how much time, if any, can be devoted to personal surfing and
e-mails

• the types of Web sites or specific sites that are either approved or
forbidden for access

• the types of messages from outside the organization that employees are strictly forbidden to distribute, such as jokes, sexist materials,
chain letters, and pornography

✓ The form of disciplinary action associated with infractions should also be specified. How this policy will be enforced will be influenced by factors such as the cost of policing and the severity and sensitivity of each breach of company policy.

✓ Review the strategy and costs associated with avoiding spam and viruses, such as the use of specific software and firewalls. Look for new and productive ways to deal with this scourge.

✓ Review the practicality of the technology being used. Is it the most practical or is it the most fashionable—and possibly the most expensive? Ask yourself if less-expensive systems might do the job equally well.

✓ Evaluate the policy on funding new equipment. Are you taking advantage of group discounts? Are you getting the best tax advantages from
purchasing practices? Are you leasing equipment that has a short life span and buying equipment that has a longer life span?

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.

Leaders spend a good portion of their time in meetings, and much of that time is wasted. It is possible to cut meeting times in half, especially if you use a few simple techniques. These techniques are important since as a leader you will set the standard for meetings that others need to emulate.

1. Let people know in advance what the meeting is about. Send out an agenda showing:

• time and place
• meeting objectives
• items that will be dealt with
• any preparation needed

2. Start the meeting on time, even if some stragglers come late.
3. Provide a copy of the agenda.
4. Create common understanding at the outset. You should confirm that everyone understands:

• the purpose
• the amount of time that the meeting will take
• the process that will be used

5. Get organized. Since you will be preoccupied with the process and content, it is valuable to have others assist in different roles. For example, you may want to get volunteers to:

• keep time
• take the minutes
• record items on a flip chart, as needed

6. Keep the process moving, one item at a time. Each item may require a different process depending on whether it is:

• Information Sharing. This purpose often requires a formal presentation.
  It’s good to have visuals so that members can see what is
  being discussed.
• Feedback. This agenda item requires that you give everyone a
  chance to comment on an issue. Encourage people to listen to each
  other’s ideas, and record them on the flip chart if necessary. If
  there is concern that a few people will dominate the discussions,
  consider a round-robin approach—giving each person a chance to
  speak in turn—enabling people to ‘‘pass’’ if they have nothing new
  to contribute.
• Problem Solving. Take a systematic approach. Start with agreement
  about the nature of the problem. State it succinctly. Next, canvass
  for ideas as to the cause. If a variety of ideas are offered, consider
  recording these on the flip chart or with sticky notes. Group the
  ideas and discuss them until a consensus emerges as to which is/
  are the most important. Finally, agree on a plan of action, making
  sure that someone takes responsibility for each item.
• Planning. Create a list of items that need to be taken care of and
  allocate responsibility for each item. Get commitment to a specific
  date for completion.

7. At the end of the meeting summarize what has been achieved and any plans for a follow-up meeting. Thank those who have attended.

If the meeting has not been as constructive as you would like, take a risk and share that observation with participants. Ask them for ideas as to what could be done better next time.

How should decisions be made in fast-moving organizations? Should they be made by the people who are most qualified? Sure, but the matter is far more complex than that. Issues of governance abound. And in today’s management culture we are expected to be more consultative. As a consequence, the following principles should be uppermost in your mind when decisions are being made.

✓ Consider who will be affected. Each stakeholder has different needs. Shareholders and the board want timely information and no unpleasant
surprises. They expect to have little to do with day-to-day decisions, but they do need to be informed, if not invited, to give their opinions on major operational decisions. They always need to be involved in strategic decisions such as:

• acquisitions
• disposal of major assets
• changes in executive management

✓ How about your union? Labor organizations feel strongly about being left out of important decisions that affect their members. They certainly need to be consulted about decisions that have an impact on the collective agreement. And if they are not involved in decisions outside
of the collective agreement that affect their members, they should at least be informed about them as quickly as possible.

✓ And then there are the employees. People increasingly expect to be involved in decisions that affect them. And that makes good sense, as
the results of decisions that involve employees are more likely to be implemented, and much faster too. So when should employees not be involved? Clearly, when:

• a decision needs to be made quickly
• health and safety are being compromised
• an expert opinion is required and available, rendering consultation
  and consensus superfluous

✓ The number of people who are affected by decisions will also influence how decisions are made.

• If the numbers are small, then a consensus is ideal especially if the
  group will need to implement the idea. A consensus is best achieved
  by:

1. presenting all the options to the group
2. allowing them to evaluate the pros and cons of each
3. narrowing down to the best choice
4. confirming that everyone can ‘‘live with’’ the idea

• For larger groups a majority vote is usually the best option. A vote
  gives everyone a say and can be done quickly.
• Minority decisions are always appropriate when:

1. one or a few people have specialized expertise
2. time is short
3. the decision is strategic
4. they have been assigned that task from the top
5. the decision has health, safety, or environmental implications that
   would land management in hot soup if there were a breach in
   regulations