Last Tuesday we went to a meeting sponsored by the Dutch Ministry of Economic Affairs (EZ in short) and hosted by The Netherlands Office of Science and Technology. The meeting was on Innovation in Sports Technology and from the moment we entered the meeting we knew there was something different going on here than what we generally experience.
On stage was Erika Terpstra, former Olympic Athlete, former member of Dutch Parliament and current member of the Netherlands Olympic Committee. I hope I am not insulting her when I say that she doesn't show how smart she is. Actually, on stage, she doesn't take herself very serious at all. She jokes about her own short comings with abandon, but there is no lack of ambition and passion when it comes to what she has come here to say. She takes her message seriously: Sports unite people!
The atmosphere during the breaks and in the afternoon break-out sessions is relaxed, informal and enthusiastic. Everybody is passionate about sports and it shows. People are open and willing to communicate with each other, there seem to be no, or far less hidden agenda's. A breath of fresh air compared to the frantic, 'In your face' atmosphere of a business context. On most business seminars people are openly hunting and for most there is a lack of passion for what they do. Most attendants keep their cards close to their chest; so unlike the sports context which is clearly about more than the bottom line! However vague the goal essentially is, everybody wants to improve the enjoyment of sports. Sports is about being active and doing something that acknowledges your body and thereby yourself and your team mates.That experience unites the room.
We talked with two American Professors (MIT and Virginia Tech), and two Europeans, one from Austria and one from Germany. The funny thing was that the American professors who have to work in a competitive environment were very open about what they did and we should call them anytime to discuss and share ideas. The professors from Austria and Germany, who are used to working in a collaborative and government supported environment were cautious and had both had bad experiences where people stole their ideas and left them in the cold. If ever there was a contradiction. Funny thing is, the American Professors are jealous of the European way of doing government sponsored research, in stead of their 80% business sponsored research model that is more and more characterized by fighting over IPR's instead of doing valuable research. Apparently they hadn't talked to their European colleagues yet.
Coincidence? I am afraid not. In the US model you need to constantly prove that your research can improve the bottom line of the funding companies. A nice statistic is that US universities make much more money on 'selling' research than they do on IPR's, 80% to be exact. Even including Stanford and Google. In Europe mixing business and research is a taboo, and therefore can never be about improving the bottom line but has to be research that stimulates the European Knowledge economy. This is pretty vague, so who decides whether it does? Civil servants off course! Based on Government and EU policy. That makes getting funded about two things. Knowing how the system works and knowing what the politicians and by extension their civil servants find interesting. A good idea that is not politically favourable doesn't stand a chance. Suddenly it is about doing research that helps a politician gain or retain power. Call me a cynic, but if you are a person with a good idea, in Europe, you will always see the big companies get the big subsidies. Hundred and fifty million (yes, 150.000.000€) from a Dutch innovation fund to a marketing campaign for the Philips Senseo tea springs to mind.
Europe shouldn't copy the US system, it is far from perfect. At the moment, Universities are more and more fighting over IPR's with research funding companies. All with the hope of owning the IPR's for the next Google. This is highly illogical in face of the earlier mentioned statistic. For Europe, I am of a mind to compromise between the two systems.
First, whomever funds the research gets the IPR! Let us copy the open sports mentality. Off course the individual athlete doesn't like his improved shoe, skate or training methods known to other athletes before he has won some medals, come to think of it, he probably won't like it until he has won them all. But, he also knows that if it improves the whole of his sport, there will be more spectators, more opportunities for sponsoring and more money to be made in his relatively short professional life. Some even want a level playing field in order to really show they are the best. In the end isn't it about the record books? We all still remember Bob Beamon! So, let's offer the athlete who contributes to successful research a sponsorship to last him the rest of his short career. He'll love it, takes his mind off of sponsors, management and on to the task at hand, improving and winning. I see some nice parallels with universities here. They are good at research so let's keep them focused on doing their job instead of managing IPR's.
Second to this openness, let us also copy the approach of sports towards innovation. It is about teamwork and involving as many disciplines as possible. An athlete in the current environment can not win alone. Not even Roger Federer can do without a trainer and a coach during the Grand Slams. Roger is a team effort. The team can not be copied! Don't go for point solutions, go for integrated ones that are much harder to copy and by extension have a much longer life cycle.
Third, and this is something I think is also already happening in Sports, combine the power of governments to improve the infrastructure for education and research (providing the people with places to do sports), with the power of business to select ideas with potential and fund them on an individual basis (sponsor the talent they believe in and fits their image). Ideally that would mean 50/50 funding between government and business so government facilitates and business helps to choose, both supporting development in their own way.
But I am probably just pissing everybody off for inviting the Devil to dinner. The US universities for having to share power with the ever untrustworthy government (didn't George W. Bush singlehandedly prohibit stem cell research?) and European Universities for reducing their independence from the ever untrustworthy business. Still I have some hopes, because all professors I have spoken to this year are jealous of the other continent's success. Funny thing, human nature.
Showing posts with label innovation. Show all posts
Showing posts with label innovation. Show all posts
Tuesday, November 13, 2007
Friday, April 27, 2007
To affinity and beyond; Paradoxical Leadership
Peter Drucker said: “Management is doing things right, leadership is doing the right things.” Doing things right is easily measured. All you need to do is define criteria for efficiency, cost reduction, etc. and put a reward structure in place for meeting these criteria. Doing the right things is another matter entirely. There are no easily measurable criteria that I know of; the bottom line seems to be the only one in use. The quintessential question for leadership few managers ask themselves is: “What are the right things to do and am I doing them?” Answering this question and actually doing the right things is what sets leaders apart. The knack of knowing what things to do and acting upon this knowledge is not given to everybody.
There also is this other part to leadership. The decisions about what to do cannot be delegated; someone has to make them, on his/her own. If they are the right decisions: you are revered as a champion, if they are not, you are likely to fall hard. Either way you are in a very lonely position. There are plenty of choices about what to do in today’s world, and the risks involved in actually choosing and acting upon the choices made are continuously increasing. That is why we have so very few leaders, not many men or women would take the burden of today’s complex choices and increasing risks and bear them alone.
Let us go back to management. There is an old saying: “If all you have is a hammer, all your problems become nails.” Let me add: “If you are in a hole, stop digging!” Most managers today seem to combine the two and are only using shovels, so all their problems are converted to needing bigger holes. They are getting rewarded because they meet all criteria of good management, but they’re not being judged on doing the right things. For the sake of space I will not go into examples. You know what I mean, and if you don’t, just open any business oriented newspaper or magazine and look at the amount of money that is being rewarded for shoddy work. (Enron, Parmalat, Ahold come to mind). At some point in time digging is not the best thing to be doing, filling the hole might have been a better idea.
We recently got a request for helping a department of a big consumer electronics firm to adapt its management style to what its employees expect, thereby empowering them and making optimal use of their unique talents and abilities. Different cultures were also part of the equation, but for the sake of convenience I will leave that part out of this picture. Most people associate management style with finding your affinity as a manager, bringing out the ‘you’ in your behaviour as it were. They believe that congruent behaviour (authentic and predictable) will help you develop a style that is effective and suits both you and your employees. If style where such a simple thing as being friendly, being tough or being thoughtful, or any other one dimensional trait, there would be a point to all this albeit a very limited one. But consider this: all your employees want you to be friendly to them. They also want you to be tough on people who step out of line. Come to think of it all your employees want you to think things through, for them.
Unfortunately life is not this simple, being everything at the same time to everybody is impossible. In our world the context changes continuously and so should the accompanying management style. Every context requires a different approach and so does every employee you have. The question is not whether your management style fits you, but whether it fits your context. Management style is not about you it is about how you respond to what is happening around you. Context is superior in the relation you have with it, reality drives all events, so don’t let your ego get in the way.
Now we come to the central point of this piece. To us Management style is context dependent and is about your ability to show the right style given the context you are in. Every individual has certain affinities, preferences for dealing with situations. Some managers like to control a situation whereas other managers would rather provide the freedom to act. These managers do see when a context is better dealt with through control or freedom, but under pressure they will act according to their affinities and go with what they feel instead of what they know they should be doing. The point is, that your natural affinities will make you effective in one situation, thereby successful, but those very same affinities might prove disastrous in another situation. If the context requires control and the person’s first inclination is to give people freedom . . . . . Well you can paint the picture yourself. The wisdom in leadership is in understanding these two things: is your natural affinity (‘style’) effective for this context, and if not, can you produce the appropriate style or do you need someone else? Someone that is preferably already a member of your team!
This is where Paradoxical leadership comes in, recognizing how to act given your context and who to put in charge given this context. As the manager of a team of people, you should always keep an eye out for people’s egos taking on contexts that should be dealt with by those better equipped to deal with this context. That is why you need to know the affinities of the team of people you are leading and let them deal with contexts they have affinities for. Not only does this solve the “It’s lonely at the top” aspect of leadership - you are delegating your leadership according to who is best suited to deal with the situation - it also solves the earlier mentioned department’s empowerment issue and the use of its team’s unique talents and abilities. Three flies in one stroke!
Paradoxical leadership is about reflection on what is happening around you and acting accordingly, even if your actions seem to contradict earlier actions. This reflection is much easier if done with a diverse group of people, as is the subsequent delegation process of leadership. There are very few leaders who do the right thing in any context, because the individual that sees any context for what it is, is a very unique individual indeed. Under pressure we all revert to our natural affinity, which means that most people will use their hammer even when their problem is a hole. The solution in this case is very simple; build a team of people with different affinities that has the ability to choose and adapt as a whole!
Let us take a start-up as an example. First you need the freedom to generate ideas, structure them into concepts, package them into products that you can sell, sell them and make money. Second, you need to put rational goals in place to grow your business. Third you need to set up internal processes to improve efficiency, control the flow of money and manage the risks. Fourth, if you grow big enough, you need to support your employees with career opportunities, training, et cetera. The first is about freedom and focus on the market, the second is about control and focus on the market, the third is about control and internal focus and the fourth is about freedom and internal focus. The challenge is, that though these are phases, certainly by the time you reach the fourth they all happen at the same time. Paradoxical leadership is not only phase dependent, that would make it easy, it is about adapting to the challenges you meet when confronting them all at the same time.
Back to the manager stuck in a hole. Why not help him gather teams around him with the ability to look at the same situation from different viewpoints, with different tools to adapt and in the process give him an opportunity to continuously adapt his leadership to the given context? In other words make a paradoxical leader out of him!
There also is this other part to leadership. The decisions about what to do cannot be delegated; someone has to make them, on his/her own. If they are the right decisions: you are revered as a champion, if they are not, you are likely to fall hard. Either way you are in a very lonely position. There are plenty of choices about what to do in today’s world, and the risks involved in actually choosing and acting upon the choices made are continuously increasing. That is why we have so very few leaders, not many men or women would take the burden of today’s complex choices and increasing risks and bear them alone.
Let us go back to management. There is an old saying: “If all you have is a hammer, all your problems become nails.” Let me add: “If you are in a hole, stop digging!” Most managers today seem to combine the two and are only using shovels, so all their problems are converted to needing bigger holes. They are getting rewarded because they meet all criteria of good management, but they’re not being judged on doing the right things. For the sake of space I will not go into examples. You know what I mean, and if you don’t, just open any business oriented newspaper or magazine and look at the amount of money that is being rewarded for shoddy work. (Enron, Parmalat, Ahold come to mind). At some point in time digging is not the best thing to be doing, filling the hole might have been a better idea.
We recently got a request for helping a department of a big consumer electronics firm to adapt its management style to what its employees expect, thereby empowering them and making optimal use of their unique talents and abilities. Different cultures were also part of the equation, but for the sake of convenience I will leave that part out of this picture. Most people associate management style with finding your affinity as a manager, bringing out the ‘you’ in your behaviour as it were. They believe that congruent behaviour (authentic and predictable) will help you develop a style that is effective and suits both you and your employees. If style where such a simple thing as being friendly, being tough or being thoughtful, or any other one dimensional trait, there would be a point to all this albeit a very limited one. But consider this: all your employees want you to be friendly to them. They also want you to be tough on people who step out of line. Come to think of it all your employees want you to think things through, for them.
Unfortunately life is not this simple, being everything at the same time to everybody is impossible. In our world the context changes continuously and so should the accompanying management style. Every context requires a different approach and so does every employee you have. The question is not whether your management style fits you, but whether it fits your context. Management style is not about you it is about how you respond to what is happening around you. Context is superior in the relation you have with it, reality drives all events, so don’t let your ego get in the way.
Now we come to the central point of this piece. To us Management style is context dependent and is about your ability to show the right style given the context you are in. Every individual has certain affinities, preferences for dealing with situations. Some managers like to control a situation whereas other managers would rather provide the freedom to act. These managers do see when a context is better dealt with through control or freedom, but under pressure they will act according to their affinities and go with what they feel instead of what they know they should be doing. The point is, that your natural affinities will make you effective in one situation, thereby successful, but those very same affinities might prove disastrous in another situation. If the context requires control and the person’s first inclination is to give people freedom . . . . . Well you can paint the picture yourself. The wisdom in leadership is in understanding these two things: is your natural affinity (‘style’) effective for this context, and if not, can you produce the appropriate style or do you need someone else? Someone that is preferably already a member of your team!
This is where Paradoxical leadership comes in, recognizing how to act given your context and who to put in charge given this context. As the manager of a team of people, you should always keep an eye out for people’s egos taking on contexts that should be dealt with by those better equipped to deal with this context. That is why you need to know the affinities of the team of people you are leading and let them deal with contexts they have affinities for. Not only does this solve the “It’s lonely at the top” aspect of leadership - you are delegating your leadership according to who is best suited to deal with the situation - it also solves the earlier mentioned department’s empowerment issue and the use of its team’s unique talents and abilities. Three flies in one stroke!
Paradoxical leadership is about reflection on what is happening around you and acting accordingly, even if your actions seem to contradict earlier actions. This reflection is much easier if done with a diverse group of people, as is the subsequent delegation process of leadership. There are very few leaders who do the right thing in any context, because the individual that sees any context for what it is, is a very unique individual indeed. Under pressure we all revert to our natural affinity, which means that most people will use their hammer even when their problem is a hole. The solution in this case is very simple; build a team of people with different affinities that has the ability to choose and adapt as a whole!
Let us take a start-up as an example. First you need the freedom to generate ideas, structure them into concepts, package them into products that you can sell, sell them and make money. Second, you need to put rational goals in place to grow your business. Third you need to set up internal processes to improve efficiency, control the flow of money and manage the risks. Fourth, if you grow big enough, you need to support your employees with career opportunities, training, et cetera. The first is about freedom and focus on the market, the second is about control and focus on the market, the third is about control and internal focus and the fourth is about freedom and internal focus. The challenge is, that though these are phases, certainly by the time you reach the fourth they all happen at the same time. Paradoxical leadership is not only phase dependent, that would make it easy, it is about adapting to the challenges you meet when confronting them all at the same time.
Back to the manager stuck in a hole. Why not help him gather teams around him with the ability to look at the same situation from different viewpoints, with different tools to adapt and in the process give him an opportunity to continuously adapt his leadership to the given context? In other words make a paradoxical leader out of him!
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