Agustin V. Arbulu C., CEO
Metro Home Health Care
Summer 2012
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
Individuals build organizations or succeed
because they have a clear vision
◦ Vision – 2 components
 Core Ideology
 Envisioned Future
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
Drives Vision

Drives Strategy

Drive Climate/Culture
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Leaders Create the Climate for Success
Individual
Competencies
Leadership
Styles
Organizational
Climate
50-70% of variance in
Organizational Climate
explained by
differences in Leadership
Styles
Results
28% of variance in
Financial Results
(profits and revenue)
explained by
differences
in Organizational
Climate
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Individual
Competencies
Leadership
Styles
Organizational
Climate
Results
Emotional Intelligence


We feel before we think
Our thoughts are emotionally toned by the
oldest parts of the brain, not the neocortex
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Individual
Competencies
Leadership
Styles
Organizational
Climate
Results
Competencies


Individual Emotional Intelligence suggests
how easy or difficult it will be to change
leadership behavior to match the situation
Emotional Intelligence influences the optimal
choice of leadership styles and the
successful implementation of related
behaviors
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Individual
Competencies
Leadership
Styles
Organizational
Climate
Results
Leadership Styles



Patterns of behavior
Your ability to match your behavior to the
situation
Use of the full array of styles
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Individual
Competencies
Leadership
Styles
Organizational
Climate
Results
Organizational Climate



“The feel of the place”
Your opportunity to create “star”
performers
The source of discretionary energy
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Individual Competencies

Why do some intelligent people
including students walk blindly through the
realms of life unable to perform?
i/AVAC/Pres/2004/Spring2004
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Why Do Smart People Fail?
Studies found 81% of the
competencies that distinguished
outstanding managers were related
to emotional intelligence.
Boyatzis, (1982)
i/AVAC/Pres/2004/Spring2004
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Why Do Smart People Fail?
“In studies of 40 different
corporations…emotional
competencies were found to be
twice as important in contributing
to excellence as pure intellect and
expertise.”
Goleman, WWEI
(cf. Jacobs and Chen, 1997)
i/AVAC/Pres/2004/Spring2004
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Further Data
Developing skills pertaining to selfawareness, social awareness, selfmanagement and relationship
management, account for close to
90% of what distinguishes
outstanding performers or leaders
from average ones.
i/AVAC/Pres/2004/Spring2004
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
“IQ is a threshold competence, . . .
but it doesn’t make you a star.
Emotional Intelligence can.”
William
Bennis

“An unprecedented number went on
to get MBAs…in the past it helped
them advance in their careers. [But] . .
. what sets people apart….all boils
down to EI.” Lori Kocon
i/AVAC/Pres/2004/Spring2004
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What Equates To Outstanding
Performance?
67% are “emotional intelligence” competencies
33% are related to cognitive or technical skills
To put it another way:
EI drives 2/3 of outstanding performance
EI has 2X the weight of cognitive ability and
technical skill combined
(See pages 31-37, Working with Emotional Intelligence)
i/AVAC/Pres/2004/Spring2004
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“The capacity for
recognizing our own feelings
and those of others, for motivating
ourselves, for managing emotions
well in ourselves and in our
relationships.”
Daniel Goleman
i/AVAC/Pres/2004/Spring2004
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

The keystone is the old Socratic
admonition, “Know thyself” and
using it to enhance one’s
performance.
It is also means having the ability
to read, transmit to and engage
with other people
i/AVAC/Pres/2004/Spring2004
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Self
Others
Awareness
SelfAwareness
Social
Awareness
Actions
SelfManagement
Relationship
Management
Positive impact
on others
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SelfAwareness
Social
Awareness
• Emotional Self-Awareness
• Accurate Self-Assessment
• Self-Confidence
• Empathy
• Organizational Awareness
• Service Orientation
SelfManagement
Relationship
Management
•
•
•
•
•
•
Emotional Self-Control
Transparency
Adaptability
Achievement Orientation
Initiative
Optimism
•
•
•
•
•
•
•
Developing Others
Inspirational Leadership
Influence
Communication
Change Catalyst
Conflict Management
Teamwork & Collaboration
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
Any measurable characteristic of a person that
differentiates level of performance in a given job, role,
organization, or culture
Skills
Knowledge
Social Role, Values
Self-Image
Trait
Motive
i/AVAC/Pres/2004/Spring2004
Necessary for
top performance
but not sufficient
Characteristics
that lead to
longer-term
success
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◦ Focuses on
behaviors/traits/characteristics that are
developmentally scaled
◦ For each competency, there is a target
level of behavior that, when met or
exceeded, positively impacts performance
i/AVAC/Pres/2004/Spring2004
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◦ One size does not fit all.
 “…often various combinations of compe-tencies lead
to success.” David McClelland, “Where Do We Stand on
Assessing Competencies,” 1994
◦ One competency may compensate for another.
◦ Certain combinations of competencies may
contribute to outstanding performance.
◦ Some competencies are more critical than others.
i/AVAC/Pres/2004/Spring2004
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Awareness
Actions
Self
Others
SelfAwareness
Social
Awareness
SelfManagement
Relationship
Management
Positive impact
on others
i/AVAC/Pres/2004/Spring2004
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The key source for enhancing performance:

Emotional Self-Awareness: Recognizing how our
emotions affect our performance


Accurate Self-Assessment: Knowing one’s own inner
resources, abilities and limits


Figuring out one’s emotional pulse
Having a sense of one’s own strengths and limits
Self-Confidence: A strong sense of one’s self-worth
and capabilities

Being self assured or having presence
i/AVAC/Pres/2004/Spring2004
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i/AVAC/Pres/2004/Spring2004
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
The essence of Self-Awareness is seeing
yourself as others see you.
◦ People with high Accurate Self-Assessment (ASA)
have smaller gaps between self and others’ views
than people who score low on ASA*
(Burckle & Boyatzis, 1999).
* N=214, t-values range from 2.27 to 6.46, p<.001
◦ Key starting component. Individuals who accurately
assess themselves can move toward success!!
i/AVAC/Pres/2004/Spring2004
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
Self-Regulation
◦ Emotional Self-Control: keep disruptive emotions
and impulses in check
◦ Transparency: maintains integrity, acts
congruently with one’s values
◦ Adaptability: flexibility in handling change

Motivation
◦ Achievement: strives to improve or meet a
standard of excellence
◦ Initiative: ready to act on opportunities
◦ Optimism: persistence in pursuing goals despite
obstacles and setbacks
i/AVAC/Pres/2004/Spring2004
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◦ Empathy: senses others’ feelings and perspectives,
and takes an active interest in their concerns
◦ Organizational Awareness: reads a group’s
emotional currents and power relationships
◦ Service Orientation: anticipates, recognizes, and
meets customers’ or clients’ needs
Note: Gus Pagnois, a retired general, highly decorated in both
Vietnam and first Gulf War, states empathy is an “absolutely
vital quality” in being a leader . . . helps know “where you can
draw the line and make it stick.”
i/AVAC/Pres/2004/Spring2004
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Awareness
Actions
Self
Others
SelfAwareness
Social
Awareness
SelfManagement
Relationship
Management
Positive impact
on others
i/AVAC/Pres/2004/Spring2004
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
Leading Others
◦ Developing Others: senses others’ development needs
and bolstering their abilities
◦ Inspirational Leadership: inspires and guides
individuals and groups
◦ Change Catalyst: initiates or manages change

Working with Others
◦ Influence: has impact on others
◦ Conflict Management: negotiates and resolves conflict
◦ Teamwork and Collaboration: works with others
toward a shared goal
i/AVAC/Pres/2004/Spring2004
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It’s About Two Things:
◦ Ability to lead, inspire others
◦ Ability to cooperate, work well with others
i/AVAC/Pres/2004/Spring2004
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◦ The leader’s personal characteristics/traits
(competencies identified with EI)
◦ The styles used by others
◦ The organization’s espoused values
◦ Specific leadership situations and the people
involved
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◦ Experience
◦ A person’s strengths and weaknesses
◦ Complexity of tasks
◦ Time pressures
◦ Risk associated with deviating from performance
◦ Resources available
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◦ Directive
◦ Visionary
◦ Affiliative
◦ Participative
◦ Pacesetting
◦ Coaching
Comment: In times of uncertainty and change,
successful individuals use the 6 leadership styles.
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

Primary objective:
Getting immediate
compliance

Questions to ask:
◦ Who controls the work?
◦ What is the nature of
performance feedback?
◦ What is the nature of
the work of the group?
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
Most effective:
◦ When applied to relatively
straightforward tasks
◦ In crisis situations
◦ When deviations from
compliance will result in
serious problems
◦ With problem employees
(when all else has failed)

Least effective:
◦ When applied to tasks
that are more complex
than straightforward
◦ Over the long term
◦ With self-motivated,
capable employees
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
Primary objective:
Provide long-term
direction and vision for
employees

Questions to ask:
◦ Is there a vision for the
group or organization?
◦ Are employees
committed to the vision?
◦ How is the leader
perceived by his/her
direct reports?
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
Most effective:
◦ When a new vision or
clear direction and
standards are needed
◦ When the leader is
perceived as the
“expert” or the
“authority”
◦ With new employees
who depend on the
leader for guidance

Least effective:
◦ When the leader does
not develop employees
◦ When the leader is not
perceived as credible
◦ When trying to promote
self-managed teams
and participatory
decision making
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
Primary objective:
Creating harmony

Questions to ask:
◦ What are the predominant
employee/employee and
employee/leader
interactions?
◦ What is the nature of
performance feedback?
◦ How are goals and
standards represented in
this organization?
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
Most effective:
◦ When used as part of a
repertoire
◦ When giving personal
help
◦ In getting diverse,
conflicting groups to
work together
harmoniously

Least effective:
◦ When employees’
performance is
inadequate
◦ In crises or complex
situations needing clear
direction and control
◦ With employees who are
task-oriented or
uninterested in
friendship with their
leader
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
Primary objective:
Building commitment and
generating new ideas

Questions to ask:
◦ How are decisions made in
this organization?
◦ How is poor or less-thansatisfactory performance
dealt with?
◦ Who provides the direction
in this organization?
◦ What is the level of
competence of the
employees in this
organization?
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
Most effective:
◦ When employees are
competent
◦ When employees must
be coordinated vs.
managed
◦ When a leader is
unclear about the best
approach

Least effective:
◦ In crises
◦ When employees are
not competent, lack
crucial information,
need close supervision
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
Primary objective:
Accomplishing tasks
to high standards of
excellence

Questions to ask:
◦ What happens when
work is not performed
to expectations in this
organization?
◦ Does the leader feel
comfortable
delegating his work to
others?
◦ What is the pace of
work in this
organization?
◦ What is the level of
competence of the
employees in this
organization?
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
Most effective:
◦ When employees are
highly motivated,
competent, know their
jobs
◦ When managing
individual contributors
◦ In making the
organization move fast
◦ For developing
employees who are
similar to the leader

Least effective:
◦ When the leader cannot
do all his/her work
personally
◦ When employees need
direction, development,
and coordination
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
Primary objective:
Supporting the long-term
professional development
of others

Questions to ask:
◦ Do employees have
development and/or
career plans?
◦ Are employees
supported in achieving
their professional
development goals?
◦ Are employees
interested in their own
personal development?
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
Most effective:
◦ When employees
acknowledge a
discrepancy in
performance
◦ With employees who are
motivated to seek
professional
development

Least effective:
◦ When the leader lacks
expertise
◦ When employees
require considerable
direction and feedback
◦ In crises
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◦ Leadership style employed in the work place
impacts outcomes/results.
◦ People’s perception of “what it’s like to work
here”
◦ Aspects of the environment that directly impact
employees’ ability to do their jobs well
◦ Determines how well leaders optimize their
human resources and tap their “discretionary
effort”
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◦ Flexibility
◦ Responsibility
◦ Standards
◦ Rewards
◦ Clarity
◦ Team Commitment
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
Definition:
◦ Lack of constraints in the
workplace
◦ No unnecessary rules,
policies, procedures, or
practices
◦ New ideas are accepted
freely

Questions to ask:
◦ Do employees have to
fight against
unreasonable
constraints?
◦ Is it easy to innovate/get
new ideas accepted?
◦ Are there unnecessary
rules and procedures?
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
Definition:
◦ Employees have a lot of
authority delegated to
them
◦ Employees have freedom
to make decisions about
doing their own job
◦ Employees are held fully
accountable for the
outcome of their work

Questions to ask:
◦ Are important tasks
delegated to employees?
◦ Are employees
encouraged to take
initiative?
◦ Are individuals
encouraged to take risks
based on their own
judgment?
◦ Are employees allowed
the opportunity to
experience the success
or failure of their own
efforts?
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
Definition:
◦ The emphasis employees
feel management puts on
improving performance
and doing one’s best
◦ The degree to which
people feel that
challenging but
attainable goals are set
for individuals and the
organization
◦ The extent to which
mediocrity is not
tolerated

Questions to ask:
◦ Does the performance
bar rise every year?
◦ Can employees get away
with doing less than their
best?
◦ Is mediocrity tolerated?
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
Definition:
◦ Rewards and recognition
linked directly to
performance
◦ Rewards and recognition
differentiate levels of
performance
◦ People know where they
stand in terms of their
performance

Questions to ask:
◦ Do rewards outweigh
punishment?
◦ Are rewards tied directly
to the quality of
performance?
◦ Does good performance
lead to increased
opportunities for
personal growth?
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
Definition:
◦ Employees know what is
expected of them
◦ Employees know how
those expectations relate
to the larger goals and
objectives of the
organization

Questions to ask:
◦ Do employees have a
clear idea of what is
expected of them?
◦ Do employees know how
they personally
contribute to the
mission?
◦ Are goals, policies,
procedures and lines of
authority clearly
articulated and
understood?
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
Definition:
◦ People are proud to
belong to the
organization
◦ Everyone provides extra
effort when needed
◦ There is trust that others
in the organization are
working toward a
common objective

Questions to ask:
◦ Do individuals and teams
cooperate effectively to
get the job done?
◦ Do conflicts get resolved
effectively?
◦ Do feelings of trust,
pride, and organizational
loyalty exist in the
workplace?
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◦ Individuals who demonstrate the job
competencies required perform better than
counterparts who do not
◦ Managers who use leadership styles effectively
perform better
◦ Competencies and styles impact leaders’ ability
to create a positive organizational climate
◦ Organizational climate impacts performance
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General Managers who created high performance
climate for their teams achieved better margins*
General Managers
n=21
Creating High
Performance or
Energizing Climates
n=11
Creating Neutral
or Demotivating
Climates
n=10
Average 2001 Business Results
Gross Margin*
Profit Margin*
48%
29%
36%
17%
= Statistically Significant Difference
* p< .06
* Global Technology Organization, Hay McBer 2002
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The earnings impact of creating a positive climate
is substantial*
General Managers
(n=21)
2001 Business Results for the Accounts ($MM)
Gross Margin
Creating High
Performance or
Energizing Climates
(n=11)
Average 2001 Account
Revenue = $356MM
Creating Neutral or
Demotivating Climates
n=10
Average2001 Account
Revenue = $250 MM
Dollar Value of
Positive Climate
$1,880 MM
Profit Margin
$1,136 MM
$900 MM
$425 MM
$980 MM
$711 MM
* Global Technology Organization, Hay McBer 2002
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Productive Organizational
Climate
Over time organizational climate predicts financial
growth and performance*
75%
Outstanding
Executives
50%
25%
Good
Executives
25%
50%
75%
Financial Success
The average growth among outstanding executives totaled
63%; growth among typical executives totaled 24%
*Life Insurance Leadership Study, LOMA & Hay/McBer, 1996
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General Managers who created high performance
climates had a broader repertoire of leadership
styles*
Mean Percentile of Differentiating Managerial Styles**
General Managers
n=21
>66 % is considered a dominating Leadership Style
Pacesetting
Creating High
Performance or
Energizing Climates
n=11
Creating Neutral
or Demotivating
Climates
n=10
Visionary
Coaching
Affiliative
Participative
48%
80%
71%
76%
71%
75%
40%
40%
41%
46%
= Statistically Significant Difference
**p < .05
* Global Technology Organization, Hay McBer 2002
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SelfAwareness
Social
Awareness
SelfManagement
Relationship
Management
Leadership styles:
how we interact with
those we lead
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Visionary Style
SelfAwareness
Social
Awareness
• Empathy
SelfManagement
• Transparency
• Emotional Self-Control
Relationship
Management
• Inspirational Leadership
• Influence
Visionary Style
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Affiliative Style
SelfAwareness
Social
Awareness
• Empathy
SelfManagement
• Emotional Self-Control
Relationship
Management
• Collaboration
Affiliative Style
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Participative Style
SelfAwareness
Social
Awareness
• Empathy
SelfManagement
Relationship
Management
• Emotional Self-Control
• Adaptability
• Collaboration
• Conflict Management
• Influence
Participative Style
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Coaching Style
SelfAwareness
Social
Awareness
• Empathy
SelfManagement
• Emotional Self-Control
• Optimism
Relationship
Management
• Influence
• Developing Others
Coaching Style
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
Concluding Remarks

Questions

For additional information contact:
◦ Agustin V. Arbulu C.
◦ E mail: AArbulu@aol.com
◦ Phone: 248.953.1614
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