1. Level Three Leadership Jim Clawson Darden Graduate School of Business University of Virginia 1

2. Time Cone FUTURE PAST TODAY BIRTH DEATH 2

3. Looking ahead: What organizations will you be called on to lead? FUTURE TODAY 3

4. Looking back: What are your core leadership principles? FUTURE PAST TODAY 4

5. Covey’s Seven (+1) Habits 1. Be Proactive 2. Begin with the End in Mind 3. Put First Things First 4. Think Win/Win 5. Seek First to Understand 6. Synergize 7. Sharpen the Saw 8. Find Your Voice Seven Habits of Highly Effective People, Stephen Covey, Simon and Schuster, 1989. 5

6. Jack Welch’s Operating Principles Control Your Destiny or Someone Else Will Face Reality as it is, not as it was or as you wish it were Be candid with everyone Don’t manage, lead Change before you have to If you don’t have a competitive advantage, don’t compete Control Your Destiny or Someone Else Will, Noel Tichy and Stratford Sherman, HarperBusiness, 1993. 6

7. Thomas Jefferson's Ten Commandments 1. Never put off until tomorrow what you can do today. 2. Never trouble another for what you can do for yourself. 3. Never spend your money before you have earned it. 4. Never buy what you don't want because it is cheap. 5. Pride costs more than hunger, thirst, and cold. 6. We seldom repent of having eaten too little. 7. Nothing is troublesome that we do willingly. 8. How much pain the evils have cost us that never happened. 9. Take things always by the smooth handle. 10. When angry, count 10 before you speak; if very angry, count 100. 7

8. An Exercise 8

9. 1.Visible Behavior 2.Conscious Thought 3.VABEs Levels of Human Activity 9 Chamberlain’s L3 Approach

10. Leadership Technique and Consequence 1. Level One Techniques: Pay, rewards, punishments, threats, coercion, intimidation 2. Level Two Techniques: logic, data, evidence, reason, statistics, charts, analysis 3. Level Three Techniques: vision, purpose, values, stories, music, symbols, strategy, TPOV BUY-IN 1.Passion 2.Engagement 3.Agreement 4.Compliance 5.Apathy 6.Passive Resistance 7.Active Resistance 10

11. In search of high performance SubparExtra- ordinary Ordinary Good Enough 1’s 2’s 3’s 4’s 5’s How do you shift this distribution? 11

12. Traditional Leadership Technique Planning Organizing Motivating Controlling Goal Setting Performance Reviews Reward Systems and Incentives … 12

13. The Moral Foundation of Extraordinary Performance SubparExtra- ordinary Ordinary 0100 Truth Telling Promise Keeping Fairness Respect for the Individual Good Enough Rich Teerlink, CEO Harley Davidson 1’s 2’s 3’s 4’s 5’s 0 0 0 100 Olympic Gold Medal 13

14. Six Steps to Effective Leadership 1. Clarifying your center 2. Clarifying what's possible 3. Clarifying what others can contribute 4. Supporting others so they can contribute 5. Being relentless 6. Measuring and celebrating progress 14

15. Key Leadership Initiatives LEADER STRATEGY ORGANI- ZATION RELATION- SHIPS Clarifying your center Clarifying what's possible Clarifying what others can contribute Supporting others so they can contribute Being relentless Measuring and celebrating progress 15

16. RESULTSFINANCESCUSTOMERSOPERATIONSPEOPLERESULTSFINANCESCUSTOMERSOPERATIONSPEOPLE Elements in Effective Leadership Individual TaskOthers Organization 16 ENVIRONMENT

17. Power Power is the ability to get others to do what you want them to do. 17

18. Leadership Leadership is … ability 1.The ability to influence others, and willingness 2.The willingness to influence others, voluntarily 3.So that they respond voluntarily. 18

19. LEADERSHIP POINT OF VIEW 1. See what needs to be done 2. Understand the situation thoroughly 3. Courage to Act to make it better 19

20. Leadership Technique and Consequence 1. Level One Techniques: Pay, rewards, punishments, threats, coercion, intimidation 2. Level Two Techniques: logic, data, evidence, reason, statistics, charts, analysis 3. Level Three Techniques: vision, purpose, values, stories, music, symbols, strategy, TPOV BUY-IN 1.Passion 2.Engagement 3.Agreement 4.Compliance 5.Apathy 6.Passive Resistance 7.Active Resistance 20

21. Levels of LEADING SOCIETAL ORGANIZATIONAL WORK GROUP/PROGRAM PERSONAL-- INDIVIDUAL 21

22. The Dance 22

23. Organizations are made of people. As our activities become global, understanding other people in different parts of the world--all the way to the roots of their thinking--is very important. That means understanding the factors on which their values and sense of judgment are based. Yotaro Kobayashi, chair of Fuji Xerox, Fortune, 11/27/95, p. 100 23

24. Leadership is, as you know, not a position but a job. It’s hard and exciting and good work. It’s also a serious meddling in other people’s lives. One examines leadership beginning not with techniques but rather with premises, not with tools but with beliefs, and not with systems but with understandings. This I truly believe. Max DePree, Leadership Jazz, p. 7 24

25. Ralph Waldo Emerson There are two parties: the establishment and the movement. 25

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