1. PERFORMANCE LEADERSHIP
I.C.A.N.S.
Leading People for Greater
Performance
2011

2. The top challenges for leaders in 2011…
1. Excellence in execution
2. Improvements to
profitability
3. Engaging workforce

3. Canada shows a lack of urgency
and leadership in resolving their
productivity and competitiveness
issues.

4. The Result:

5. Our Objective Today
Translating Potential to Performance

6. The Role of Leaders

7. Execution remains
the top challenge for
all organizational
leaders.
“Key elements of Canada’s history
and industrial structure may have
nurtured a complacent business
culture.”
Don Drummond, TD Bank

8. Productivity is often understood to be
working harder or working longer.
“Nothing can be farther from the truth,
it’s deriving more output from the same
amount of time and effort.”
Don Drummond, TD Bank

9. Where is performance going now?

10. Approximately 78% of
execution losses are due to
issues of people
performance.
How can organizations
support people to perform
at higher levels to execute
against the strategy?

11. Organizations achieve 63%
of their potential
performance!
HBR Study 2009

12. Execution is more important than
strategy – 85% of bottom line results
are due to people performance via
execution than the strategy itself.

13. The leader who understands how
to maximize return on execution
depends on an awareness of the
strengths of the team’s talent in
order to execute the game plan.

14. The levers to increase the return
on execution are business
alignment and people
performance.

15. Define the strategic
drivers
What are the performance
elements that if done better
would most impact the
execution of the strategy
(positions or actions).

16. Know Your People
The greater the leader’s
insight into the
performance capability of
the team (and individual
members) the more likely
an increase in execution
will occur.

17. People Performance

18. The performance leadership framework
evaluates the three fundamental
elements of team/organizational
performance:
The Leadership
alignment
The Strategic The Productive
Focus synergy

19. The Execution Advantage
The productivity economy will reward
“do it smarter” organizations that
build a better business model.
Smart organizations will increase
their return on execution by focusing
on drivers to achieve alignment and
productive synergy.

20. The Performance
Leader

21. Where do you
focus to be an
effective
performance
leader?

22. “Only when you know yourself and operate
from your strengths can you achieve true
excellence as a manager.”
Peter Drucker

23. What do people need to be successful
in their new role as performance-based
leaders?
“Help me understand what success is going
to look like in my new role, show me with
examples, help me think differently so I can
apply these things to the development of my
people and the appropriate influencing of the
organization.”

25. Skills most needed for performance
leaders:
• Self-awareness and Emotional Intelligence
• Vision and Strategy
• Communication
• Tactical Management
• Leading Others 3.0 – coaching, delegating,
and feedback

26. The three steps to developing individual
operational leadership:
Focus • Tactical
• Individual - Know
• Strategic
– Know What, Whe
– Know
Yourself n and How
Where &
Who
Clarity Follow
Through

27. Becoming a
Performance Leader

28. Organizational strategy is a
learning process that includes
five elements:
1. Assessing where we are
2. Understanding who we are and
where we want to go
3. Learning how to get there
4. Making the journey
5. Checking progress

29. Leaders display performance
leadership when they think, act, and
influence in ways that promote the
sustainable competitive advantage
of the organization.

30. Only 27% of organizations
integrate strategy and tactics.
Benchmarking Solutions Study

31. Leaders need to focus on the strategic
drivers of the organization …
• The relatively few determinants of
sustainable competitive advantage for a
particular organization in a particular industry
or environment.

32. Most organizations have 3 to 5
strategic drivers at any point in
time.
Drivers can change – or the
relative emphasis – over time.

33. Business strategy is the pattern
of choices an organization makes
to sustainable competitive
advantage.
Leadership strategy describes the
organizational and human capabilities
needed to fulfill the business strategy
effectively.

34. Strategic Thinking

35. Strategic thinking revolves
around the ability of a leader to
help people make sense of the
world around them – the
challenges they collectively face
and how they will face them
together.

36. Strategic Acting

37. Strategic acting is committing
resources to build sustainable
competitive advantage.
Not every action is strategic – it is critical to
apply actions that will impact the
strategic drivers of the organization.

38. Strategic decisions always involve
uncertainty …
The key is not to make quick decisions but
to make timely decisions.

39. Without strategic clarity and focus it is
nearly impossible to make sound
tactical decisions.

40. Strategic Influencing

41. Forging relationships inside and outside
the organization, inviting others to the
process, building and sustaining
momentum, and purposefully using
organizational systems and culture.

42. Influence must be used in all
directions … up to senior
executives, laterally to peers, down
to reports, and outside to
stakeholders and customers.

43. Key strategic influencing tactics…
-Influence others by involving
them in the process
- Create common
understanding, create
champions, demonstrate others are
valued

44. Key strategic influencing tactics…
-Influence others by connecting
on an emotional level
- Learn what is important to others
- Use the power of language
- Connect to aspirations

45. Developing Performance
Leadership:
• Assessing where you are, to
• Understand who you are and where you
want to go, to
• Learn how to get there, to
• Make the journey, and
• Check your progress

46. The Evolution of
Strategic
Management

47. Strategy arose as a managerial
discipline in the 1960s.

48. Models were
developed to define
strategy.
Boston Consulting Group and
McKinsey & Company were key
in developing frameworks to
explain strategy.

49. The Definition of Strategy:
An integrated set of actions designed
to create a sustainable advantage over
competitors.

50. The Evolution of Strategic
Management – four phases …

51. Planning routinely progresses through four
discrete phases of development.
At each phase, a company adopts attitudes
and gains capabilities needed in the phases
to come.

52. Phase One
Financial Planning
 Annual budgeting process to forecast
revenue, costs, and capital needs over the next year.

53. Phase Two
Forecast-based Planning
 Extend the financial budgeting beyond the
one-year time horizon
Start using trend analysis, regression
models, and simulation models

54. Phase Three
Externally Oriented
Planning
 Issues orientation – responsibility to lay out
the key issues facing the organization

55.  Attention is shifted externally to
customers, suppliers, and competitors.
 Resource allocation becomes dynamic and
plans are adaptive
 Portfolio analysis is used to focus on
competitive attractiveness and strengths

56. Phase Four
Strategic Management
 Planning techniques are cascaded throughout
the organization and strategic thinking is linked to
operational decision making

57.  Discussions are defined by tomorrow’s
strategic issues rather than today’s
organizational structure
 Systems are in place to negotiate trade-
offs, review progress, and motivate and
reward performance

58. The Performance
Edge
Strategy for a Bigger
Future

59. For achievers and teams, the
struggle is focus.

60. The Dip Between Potential and
Performance

61. How do we bridge the gap between
potential and performance?

63. Strategy is the North Star that
drives action and performance.

64. Strategy …
• Builds prepared minds
• Provides a framework for effective
decision-making
• Acts as a catalyst for team engagement

65. STRATEGY is the real
competitive advantage.

66. Most individuals and teams
don’t do strategy well:
• Only 8% of strategies achieve results
as planned
• 37% of strategies fail outright
• Teams assess leaders as 69%
effective at performing against plans

67. Why is strategy so difficult?

68. It is human nature to talk about
the future and then move
directly to short-term tactics.
We skip strategy!

69. Without strategy, we become
distracted by…
• Shiny Object Syndrome
• Commitment Creep

70. The results:
• The short term takes over
• The pace is accelerated
• Work is reactive rather than
proactive
• We are tactical not strategic

71. Defining Strategy:
The plan that a team takes to differentiate itself
positively from the competition using its strengths
to provide value to satisfy customer needs now
and in the future.

72. Strategy involves:
• Clear, concise and measurable statement of 3-
5 objectives
• Realistic assessment of key factors guiding
team actions
• Description of key approaches used to realize
results

73. We need to resist the urge to hit
the ground running.

74. The Strategy Perspective:
Bridging the Performance Gap
Diagnose before the cure

75. The Strategy Triangle:
Working the Sweet Spot
Understand the interaction of the three key
influencers on your performance … your
team, your clients, and your competitors.

76. The Strategic Sweet Spot
The strategic sweet spot of a company is
where it meets customers’ needs in a way
that rivals can’t, given the context in which
it competes.
CONTEXT
(Technology, Industry
demographics, regulation, and so on)
COMPETITORS’ CUSTOMERS’
offerings needs
Sweet
Spot
COMPANY’S
capabilities

77. The Strategic Drivers:
The Art of Focus
Mindpower over manpower.

78. Start with the end in mind and
clarify your results – then work
back.

79. Focus on five key strategies – gives
a great feeling of motivation for
everyone.

80. The Performance Scorecard:
Measuring for Success
“What gets measured gets
better”

81. The Performance Scorecard is an
instrument to navigate your future
success, and a means of effective
communication and motivation.
You link cause and effect.

82. The Strategic Roadmap
A two-page summary of your
strategy.

83. The solution to connect
potential to performance is to
proactively set up the
environment for success.

84. The Strategic Roadmap
The Performance Scorecard
Critical to your success.

85. The benefits:
• Create a winning team
• Sharpen your client focus
• Add value
• Consistent and coordinated action

87. The Performance Edge:
Mindset for progress not perfection.
Focus strategically to achieve best
results.

88. Creating A Vision

95. A strong vision is correlated with:

97. •
•
•
•
•

99. •
•
•

102. •
•

103. •
•

105. •

110. •
•

115. •
•

126. Organizational
Performance

127. Organizations face a
daunting and seemingly
contradictory set of goals:
• Provide a differentiated client
experience at lower costs
• Generate significant growth while
managing the bottom line

128. Organizations face a
daunting and seemingly
contradictory set of goals:
• Use technology for greater
efficiency without losing personal
client connection
• Standardize and … customize

129. The Common Element:
People – people are more than
ever a source of critical skill and
knowledge as well as the
foundation for sustainable
competitive advantage.

130. The Global Engagement Gap
Where does Canada stand?
7%
23% Engaged
25%
Enrolled
45% Disenchated
Disengaged
Source: Towers Perrin (2009)

131. The engagement gap can be defined
as:
the difference between the
discretionary effort that employers
need for competitive advantage and
employers’ ability to elicit this effort
from a significant portion of their
workforce.

132. Workforce Engagement is a Normal
Distribution

133. The Economics of
Engagement
Part 1
Improving the engagement – and in
turn the performance – of an
employee has the potential to
increase overall productivity by up to
23% on average.
Source: Cascio (2009)

134. The Economics of
Engagement
Part 2
Approximately 68% of your
employees have the potential to
increase overall engagement and
leverage productivity.
Source: Cascio (2009)

135. The Economics of
Engagement
Part 3
The key question is not which talent
group has the greatest value but
rather in which talent group would a
change in performance variation
have the greatest impact?

136. The Economics of
Engagement
Part 4
Performance varies across jobs.
• The nature and scope of the
job
• The relative value of
variations in performance of
the job

137. The Economics of Engagement
Part 5
Potential engagement / productivity
enhancement is position dependent
 Low complexity position … 15% boost
 Moderate complexity position … 25% boost
 High complexity position … 46% boost
Source: Cascio (2009)

138. The Economics of Engagement
What are the high complexity
positions in your organization that
can be most highly leveraged with an
increase in engagement to a boost in
productivity?

139. The Economics of Engagement
Invest in positions where the value of
performance variance is the highest and
the organization gains the most
strategic return.
Find the most pivotal position.

140. Leaders play a pivotal role in the
engagement equation:
 The need for effective leadership at
the top
 The need for customizing the
culture and work environment to
support employee engagement
 Putting employees under the same
microscope as customers to take
actions

141. Effective Long-Term
Drive Employee Enables Drive Customer
Profitability
Management Satisfaction
Satisfaction
Practices and Growth

142. Continued business productivity
growth today depends on
closing the engagement gap and
maximizing employee input.

143. How Engagement Affects Financial
Performance
Source: Towers Perrin (2009)

144. Source: Towers Perrin (2009)
How
engagement
affects individual
performance …

145. How Employees Rate Leaders on Key
Engagement Supports
Source: Towers Perrin (2009)

146. The Leadership Divide
Many senior leaders began their
careers in specific professional /
technical positions with key
analytical and rational skills.
Empathy, communication, and
gaining perspective may not be
key strengths even now.

147. The Five Steps
1. Start with the end in mind
2. Specify the skills needed
3. Develop the right skills the
right way
4. Support the transition of pivot
positions
5. Engage and inspire people to
meet business needs

148. The Pivotal Investment
Overall workforce engagement can
be increased with the greatest
leverage through the right
investment – leaders are the critical
supporters needed for this
investment.

149. The Pivotal Investment
To move the productivity curve
outward …
“An investment in
knowledge pays the best
interest.”
Benjamin Franklin

151. People Performance

152. People Performance
The leader’s ability to measure and
manage the team’s (and individual’s)
instinctive approach to the drivers of
the strategy will close the gap.

153. The Performance Process
Productive
Action
Motivation
Reason
Instincts Will
Affective Conative Cognitive

154. The Five-Factor Framework™:
Improving Execution through
People Performance
1. Define the strategic drivers
2. Measure the instinctive leadership
approach
3. Measure & assess the instinctive culture to
support the strategy and the
organizational culture
4. Assess the organizational instinctive
performance map
5. Identify and close gaps

155. Define the strategic
drivers
What are the performance
elements that if done better
would most impact the
execution of the strategy
(positions or actions).

156. Measure
the
leader’s
instinctive
approach

157. Measure the instinctive
strategy culture

158. Measure the instinctive
organizational culture

159. Measure the instinctive
strategy and
organizational culture

160. Assess the organizational
instinctive performance
map

161. Identify and close instinctive
performance gaps

162. Insights and Actions:

163. Thank You!
For More Information,
Please contact us at:
(902) 425 – 0467 or email GetResults@BluteauDeVenney.com