Module 5 Leadership and Strategic Planning 1

Leadership The ability to positively influence people and systems to have a meaningful impact and achieve results 2

Strategic Planning The process of envisioning an organization’s future and developing the necessary procedures and operations to achieve that future. “If you don’t know where you are going, any road will lead you there.” 3

The Baldrige “Leadership Triad” 4 Leadership Strategic Planning Customer and Market Focus Operations

Executive Leadership Defining and communicating business directions Ensuring that goals and expectations are met Reviewing business performance and taking appropriate aciton Creating an enjoyable work environment Soliciting input and feedback from customers Ensuring that employees are effective contributors Motivating, inspiring, and energizing employees Recognizing employee contributions Providing honest feedback 5

Core Leadership Skills Vision Empowerment Intuition Self-understanding Value congruence – (Culture) 6

Achieving Quality through Culture 7 Your Culture is Your Brand 8 Steps: Creating a new culture calls for new methods Champion the vision and re-channel the energy Make your early moves bold, dramatic, and unwavering Surrounding yourself with talented, tough-minded nonconformists Re-engineer the reward system to reinforce the behaviors you want Track progress, measure results, and hold people accountable Remove obstacles and bureaucratic practices Establish concrete evidence and tangible results through small wins

How Great Leaders Inspire 8 _action.html “The passion is in living and working in the spirit of a quality ethic—which means having a deep belief that what you do to make quality better makes everything in the organization better” ~A.V. Feigenbaum

Question Most corporate quality failures rest with? – A) Manufacturing – B) Teams – C) Quality Management – D) Leadership 9

Leading Practices - Leadership Create a customer-focused strategic vision and clear quality values Create and sustain leadership system and environment for empowerment, innovation, and organizational learning Set high expectations and demonstrate personal commitment and involvement in quality Integrate quality values into daily leadership and management and communicate extensively Integrate public responsibilities and community support into business practices 10

Leadership Theories Trait approach Behavioral approach Contingency (situational) approach Role approach Emerging theories: – Attributional theory – Transactional (Charismatic) theory – Transformational leadership theory – Substitutes for leadership theory – Emotional intelligence theory 11

Zenger-Miller Leadership Competencies Setting or sharing a vision Managing a change Focusing on the customer Dealing with individuals Supporting teams and groups Sharing information Solving problems, making decisions Managing business processes Managing projects Displaying technical skills Managing time and resources Taking responsibility Taking initiative beyond job requirements Handling emotions Displaying professional ethics Showing compassion Making credible presentations 12

How to Start a Movement 13

Leadership System Refers to how decisions are made, communicated, and carried out at all levels; mechanisms for leadership development, self-examination, and improvement Effectiveness of leadership system depends in part on its organizational structure “The first follower is an underestimated form of leadership” “The first follower is what transforms a lone nut into a leader” “The leader is over glorified, the first follower transforms the lone nut into a leader – therefore, nurture your first followers” 14

Common Organizational Structure 15 Customers Customer team Customer team Customer team Systems and support services Executive steering committee CEO

Leadership and Public Responsibilities Ethics Health, safety, and environment Community support CSR (Corporate Social Responsibility) Sustainable Business Practices 16

Strategic Planning Formal strategy includes: Goals to be achieved Policies to guide or limit action Action sequences, or programs, that accomplish the goals 17 “A strategy is a pattern or plan that integrates an organization’s major goals, policies, and action sequences into a cohesive whole.”

Tasks Accomplished by Strategic Planning Understand important customer and operational requirements Optimize use of resources and ensure bridging between short-term and longer-term requirements Ensure that quality initiatives are understood at all organizational levels Ensure that work organizations and structures will facilitate accomplishment of strategic plan 18

Leading Practices - Strategic Planning Active participation of top management, employees, customers, suppliers Systematic planning systems for strategy development and deployment, including measurement, feedback, and review Use of a variety of external and internal data Align short-term action plans with long-term strategic objectives, communicate them, and track progress 19

Strategic Planning Process 20 MissionVisionGuiding Principles Environmental assessment Strategies Strategic Objectives Action Plans Broad statements of direction Capabilities and risks Things to change or improve Implementation Reason for existence Future intent Attitudes and policies

Mission Definition of products and services, markets, customer needs, and distinctive competencies Solectron: “…to provide worldwide responsiveness to our customers by offering the highest quality, lowest total cost, customized, integrated, design, supply chain, and manufacturing solutions through long-term partnerships based on integrity and ethical business practices.” 21

Vision Where the organization is headed and what it intends to be – Brief and memorable - grab attention – Inspiring and challenging - creates excitement – Descriptive of an ideal state - provides guidance – Appealing to all stakeholders - employees can identify with Solectron: “Be the best and continuously improve” 22

Leadership/Manager Juxtaposition 23