Leadership Initiative
Session 6:
Strategy, Decision-Making
and Polarity Management
5 Levels of Decision-making
Vroom Yelton
Authoritarian Decision Maker
A-I
Makes decision alone
A-II
Gathers information without telling others that
they are “participating” in the decision
Consultative Decision Maker
C-I
Consults with people individually for their input
C-II
Gathers information from the group-- has genuine
interest in feedback
C-III
Consensus--shares decision making power with group
making
Group must understand the level of decisiondesired before deliberation.
Time for decision making is greater the further down the list you go.
Can’t flip back and go from C-II to A-I.
Group should feel the magnitude of the question is sufficient to spend the
time in order to reach consensus.
Group must decide if they have enough time to make the decision by
consensus.
The group must be willing to reformat the question and alternatives if
consensus seems unachievable.
Members must abide by and support the decision once they give their
consensus.
Purpose
To enhance your leadership
performance by differentiating
between a problem to solve and a
polarity to manage.
Objectives
► To identify the value of either/or thinking
► To identify the value of both/and thinking
► To distinguish between problems to solve and
polarities to manage
► To understand how all polarities look and
work
► To learn the action steps for managing
polarities well over time
Polarity Management
Exhale
Inhale
Positive Results
Negative Results
Positive Results
Negative Results
Clean Out
Carbon
Dioxide
Get
Oxygen
Exhale
Inhale
Lack of
Too Much
Oxygen
Carbon
Dioxide
Positive Results
Exhale
Negative Results
Positive Results
Inhale
Negative Results
Polarity Management™
The Infinity Loop Energy System
A.
C.
Clean out
Carbon
Dioxide
Oxygen
EXHALE
INHALE
Lack of
Get
Too much
Oxygen
Carbon
Dioxide
B.
D.
Positive Results
Positive Results
Clean Out
Carbon
Dioxide
Get
Oxygen
Exhale
Inhale
Lack of
Too Much
Oxygen
Carbon
Dioxide
Negative Results
Negative Results
Polarity Management™ Complements
The Systems Theory notion of Virtuous Circles
EXHALE
INHALE
EXHALE
INHALE
EXHALE
INHALE
Healthy
CLEAN OUT
GET
CARBON
OXYGEN
DIOXIDE
EXHALE
EXHALE
and
INHALE
LACK OF
TOO MUCH
OXYGEN
CARBON
DIOXIDE
Unhealthy
Competitive Advantage
Stability
Greater Purpose
and
Can’t Compete
Deeper Fear
PROBLEM OR POLARITY?
Problems to solve have:
►One right answer = “If I’m right, my
opposition is wrong.”
► Two or more right answers that are
independent = “There is more than one
way to skin a cat.”
Polarities to manage have:
Two or more right answers that are interdependent – like
breathing
“I and my opposition are not only both right, we are
each dependent on the other’s truth over time.”
POLARITIES ARE:
Unavoidable, Unsolvable,
Indestructible
POLARITIES
Criteria for Polarities:
(Yes = Polarity) (No = Problem to Solve)
► Are there 2 or more necessary upsides?
► Will over-focusing on one pole undermine
the higher purpose?
► Is the difficulty ongoing, like breathing?
► Are the alternatives interdependent = do
they need each other over time?
The Polarity Management™ Process – 6 Steps
1 -Define the Issue
6 – Action Steps and
Early Warnings
Polarity
Paradox
Dilemma
2 - Include
Key Stakeholders
1-2-3-4-5-6-7-8
1-2-3-4-5-6-7-8
5 – Assess Realities
With This Polarity
3 - Build the
Polarity Map
4 - Understand
How Polarities Work
Guide to Polarity Map Content
*
Why?
Competitive Advantage
1.
1.
Positive Results
of Focusing on
Stability
2.
2.
3.
3.
4.
4.
Neutral Name
of Left Pole
Stability
Negative Results
of Over-focusing
on Stability
to the Neglect of
Change
Change
1.
1.
2.
2.
3.
3.
4.
4.
Can’t Compete
GPS = Greater
Purpose
Statement
Positive Results
of Focusing on
Change
Neutral Name
of Right Pole
Negative Results
of Over-focusing
on Change
to the Neglect of
Stability
Deeper Fear
Basic Steps to Managing a Polarity Well Over Time
Action Steps
How will we gain or maintain the positive
results from focusing on this left pole? What?
Who? By When? Measures?
Greater Purpose - why balance this polarity?
Values = Positive results from focusing
on the left pole
*
Values = Positive results from focusing
on the right pole
**
Action Steps
How will we gain or maintain the positive
results from focusing on this right pole?
What? Who? By When? Measures?
&
Early Warnings***
Early Warnings
Measurable indicators (things you can
count) that will let you know that you are
getting into the downside of this left pole.
Measurable indicators (things you can
count) that will let you know that you are
getting into the downside of this right pole.
Fears = Negative results from over-focusing on
the left pole to the neglect of the right pole
Fears = Negative results from over-focusing
on the right pole to the neglect of the left pole
Deeper Fear from lack of balance
Basic Action Steps to Manage a Polarity Well Over Time
Action Steps
How will we gain or maintain the positive
results from focusing on this left pole?
What? Who? By When? Measures?
1.
GPS = Greater Purpose Statement
Effective Leader
Positive results from focusing on this
left pole:
What I Value too much of
which can lead to the
quadrant below:
** Positive results from focusing on this
right pole:
Action Steps
How will we gain or maintain the positive
results from focusing on this right pole?
What? Who? By When? Measures?
1.
At those times I would like
to be more…
Early Warnings***
Early Warnings
Measurable indicators (things you can count)
that will let you know that you are getting into
Negative results of over-focusing on
the downside of this left pole.
this left pole to the neglect of the
1.
right pole:
Measurable indicators (things you can count)
that will let you know that you are getting
into the downside of this right pole.
1.
Sometimes I think I am
too…
Negative results of over-focusing on
this right pole to the neglect of the
left pole:
What I fear if I do too much
of the quadrant above to
the neglect of the upper left
quadrant:
Deeper Fear from Lack of Balance?
Ineffective Leader
“I believe that the central leadership attribute is the ability to manage polarity.”
8 Polarities in “The Fundamental State of Leadership”
From Building The Bridge As You Walk On It by Robert E. Quinn
Spontaneous; Expressive AND Self-disciplined; Responsible
Compassionate; Concerned AND Assertive; Bold
Mindful; Reflective AND Active; Energetic
Principled; Integrated AND Engaged; Involved
Realistic; Questioning AND Optimistic; Constructive
Grounded; Factual AND Visionary; Hopeful
Confident; Secure AND Adaptive; Flexible
Independent; Strong AND Humble; Open
12 Leadership Polarities
From Polarity Management Associates
Conditional Respect AND Unconditional Respect
Task AND Relationship
Candor AND Diplomacy
Responsibility AND Freedom
Confidence AND Humility
Analysis AND Encouragement
Control AND Empowerment
Grounded AND Visionary
Structure AND Flexibility
Logic AND Creativity
Individual AND Work Group
Planning AND Implementation
Peter Koestenbaum
10 Polarities in “Level 5 Leadership”
From Good To Great by Jim Collins
Self AND Organization
Willfulness AND Humility
Debate AND Unity
Candor AND Diplomacy
Reality AND Faith
Deep Understanding AND Simplicity
Discipline AND Entrepreneurship
Technology Fads AND Pioneering
Evolutionary AND Revolutionary
Preserve Core AND Stimulate Change
8 Leadership Polarities
From Lost in Transition by Richard Elsner and Bridget Farrands
To shake things up AND To preserve
To be open to events AND To be intentional about results
To develop bonds AND To keep distance
To seek help to learn about the org. AND To give value by showing
how to succeed or avoid failure
To impose AND To facilitate
To go fast to perform AND To go slow to prepare
To clean out AND To develop
To support the team AND To serve the hierarchy and/or the wider
organization
11 Important Organizational Polarities
3 Organizational Polarities
From Polarity Management Associates
From The Three Tensions
by Dominic Dodd and Ken Favaro
Centralized Coordination AND Decentralized Initiatives
Profitability AND Growth
Recognize the Individual AND Recognize the Team
Today AND Tomorrow
Reduce Cost AND Improve Quality
The Whole AND The Parts
Competing with Others AND Collaborating with Others
Stability AND Change
1 Organizational Polarity
Celebrating Our Differences AND Celebrating Our Commonalities
From Built to Last by Collins and Porras
Care for My Part of the Organization AND Care for the Whole Organization
Showing Respect for Every Person AND Showing Respect Based on Performance Preserve the Core AND Stimulate Progress
Getting the Job Done (task) AND Building Relationships
Taking Care of the Organization AND Taking Care of the Customer
Work AND Home
7 Organizational Polarities
From Managing on the Edge by Richard Tanner Pascale
(Left column = the 7 areas of “Excellence” from In Search of Excellence)
Strategy ……...Planned AND Opportunistic
Structure…..….Elitist AND Pluralistic
Systems..……..Mandatory AND Discretionary
Style…………..Managerial AND Transformational
Staff…………..Collegiality AND Individuality
Shared Values…Hard Minds AND Soft Hearts
Skills…………..Maximize AND Meta-mize
10 Strategic Management Polarities
From Strategy Synthesis by Bob de Wit and Ron Meyer
Logic AND Creativity
Deliberateness AND Emergentness
Revolution AND Evolution
Markets AND Resources
Responsiveness AND Synergy
Competition AND Collaboration
Compliance AND Choice
Control AND Chaos
Globalization AND Localization
Profitability AND Responsibility
6 Cross-Cultural Polarities
From Building Cross-Cultural Competence by Charles Hampden-Turner and Fons Trompenaars
Universalism AND Particularism
Individualism AND Communitarianism
Specificity AND Diffuseness
Achieved AND Ascribed Status
Inner Direction AND Outer Direction
Sequential AND Synchronous
5 Cross-Cultural Polarities
From Cultures Consequences by Geert Hofstede
High Power Distance AND Low Power Distance
High Uncertainty Avoidance AND Low Uncertainty Avoidance
Individualism AND Collectivism
Masculinity AND Femininity
Long Term AND Short Term
POLARITY PRACTICE
Choose a polarity pair from the lists or
create your own.
As a table, complete the polarity map.
Basic Steps to Managing a Polarity Well Over Time
Action Steps
How will we gain or maintain the positive
results from focusing on this left pole? What?
Who? By When? Measures?
Greater Purpose - why balance this polarity?
Values = Positive results from focusing
on the left pole
*
Values = Positive results from focusing
on the right pole
**
Action Steps
How will we gain or maintain the positive
results from focusing on this right pole?
What? Who? By When? Measures?
&
Early Warnings***
Early Warnings
Measurable indicators (things you can
count) that will let you know that you are
getting into the downside of this left pole.
Measurable indicators (things you can
count) that will let you know that you are
getting into the downside of this right pole.
Fears = Negative results from over-focusing on
the left pole to the neglect of the right pole
Fears = Negative results from over-focusing
on the right pole to the neglect of the left pole
Deeper Fear from lack of balance
Fortune 100 Company - USA
Action Steps
Action steps to gain or maintain the positive
results from focusing on this left pole.
1. Higher capital authority level (increase
amount for BU) and processing speed –
Bob and Dave will make recommendation –
May 14, 2003
2. Take a common customer approach with 35 selected customers (where we have them
between BUs and/or w/company, work
together synergistically) – Sam – May 14,
2003
3. Mary & Ed meet to share customers and
have a common sales approach
4. Joint sales training (more sophisticated) –
have initial design discussions
5. Joint development of ingredient systems
(look harder when we go to a customer
about other systems we have access to in
the company – work together with the
company to figure out how we are going to
develop ingredient systems) – SEE
COMPANY UPSIDE 4 and 5 GREEN
FLAGS
Higher Purpose = Why Balance This Polarity?
Synergistic value – achieve the company vision.
Greater value to company
Positive results from focusing on this
left pole:
1. Reason to believe – further along on
the life cycle – operational
2. More clear goals/focus
3. Brings in cash
4. Speed/nimble
5. Easier for employees & customers to
be connected (more traditional)
6. High level of control within the BU
7. BU initiative and creativity
8. Products/services better defined
9. Aligning ee interest/skill sets w/BU
BU
Action Steps
*
** Positive results from focusing on this
Right pole:
1. Synergy/coordination
2. Strategic advantage (distinctive)
3. Greater leverage of capabilities
and broader skill set
4. Integrator
5. New revenue streams
6. Insulation of ingredient sales
7. Different customer relations
8. More emphasis on intangibles (IP)
9. Less capital intensive
10.Knowledge generation/sharing
Company
Early Warnings***
Negative results of over-focusing on
Negative results of over-focusing on
this left pole to the neglect of the
this Right pole to the neglect of the
Measurable indicators (things you can count)
Right pole:
Left pole:
that will let you know that you are getting
into the downside of the left pole.
1. Higher costs/duplication of effort
1. More overhead
1. We don’t address the duplication of effort 2. Focus is too narrow/siloed/myopic
2. Bureaucratic and slow
(trend line on SG&A as a percentage of
3. Loss of biz opps
3. Lack of clarity (internally &
gross profit)
externally)
4. Less sustainability of value
4. Lack of focus on ingredient sales
2. Platform “the approach” revenue goals are 5. Lessened ability to integrate techs
not met
5. Narrower customer base
6. Less leverage of capabilities
6. Slower to market/slower dev of new
3. Less knowledge sharing (how measure?
7. Less competitive advantage
ingredients
Call reports?)
8. More intense external competition
7. Loss of cash flow
9. Less knowledge sharing
8. Loss of some specific capabilities or
10.Less employee networking/career
individuals (specialty ingred skills)
opps
Deeper Fear from Lack of Balance?
Some of the existing BU’s will not exist
* Thanks to John Scherer, Center for Work and the Human Spirit
** Thanks to The Strategy Academy, Rotterdam, The Netherlands
*** Thanks to Todd Johnson, Rivertown Consultants
Action steps to gain or maintain the positive
results from focusing on the Right pole.
1. Merging common functions and assets
(quantifying and creating synergy value) –
see budget mtg action list (end of April)
2. Specifically plan projects that grow
ingredient sales – Sal by June 1, 2003
3. Target key BU customers and take an
integrated/systems approach to unseat the
incumbent
4. BUs forwarding project ideas and/or
customers for solutions approach for the
company (Corp. Steering Team)
5. Within BUs, develop ingredients or derivative
systems that achieve company goals (i.e.
achieve consumer needs) – Bob and Bruce
initial discussion by May 14, 2003
6. Share/assign xxx contacts between BUs and
CST, identify ee within BU to lead sales effort
with specific customer – Bob to get xxx list
compiled by June 15, 2003 – Mary and Sam
to assign appropriate sales contact for target
customers by May 14, 2003
Early Warnings
Measurable indicators (things you can count)
that will let you know that you are getting
into the downside of the Right pole.
1. Meeting audit (measure of value, speed
of decision making)
2. BU revenue goals are not met
3. Shrinking BU customer base
4. Engagement survey q’s that relate to
lack of clarity
Using the Six Steps of Polarity Management
Step 1 - Define the difficulty
Step 2 - Include key stakeholders
Step 3 - Map one key polarity
Step 4 - How does this polarity work?
Step 5 - Do you want to suggest or offer an ongoing assessment?
Step 6 – Taking Action
What might be some Action Steps?
What might be some Early Warnings?
Step 2 - revisited – Include Key Stakeholders
STRATEGY
Denise Walker
CORLearning