12. 5/4/2012
• Transformed by new technologies.
• Increasingly dominated by global organisations.
• Rapidly transforming under the impact of high levels of innovation.
• Highly competitive.
• Driven by knowledge development.
• Consuming resources at unsustainable levels.
12
19. 5/4/2012
LEADING AN ORGANIZATION ALONG WITH ITS PEOPLE IS
VERY DIFFERENT FROM MANAGING IT. THEY ARE THE TWO
MOST ESSENTIAL INGREDIENTS STRINGING TOGETHER THE
FABRIC OF ANY ORGANIZATION. THE LEADER HAS TO LOOK
AHEAD OF CURRENT TIMES AND STEER THE
COMPANY/ORGANIZATION THROUGH ALL PHASES. HE/SHE IS
EXPECTED TO BE ENTERPRENEURIAL AND RISK-TAKING.
HENCE, AN ORGANIZATON EXPECTS ITS LEADERS TO PROVIDE
VISION, DIRECTION AND A WAY FORWARD. A LEADER LOOKS
AT THE ORGANIZATION AS A WHOLE AND WORKS FOR THE
BENEFIT OF THE COHESIVE GROUP.
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20. 5/4/2012
• Conflicts of interest
ACTORS: • Secrecy and
confidentiality
• Honesty
Employees Organization
• Hiring and firing
• Wages and working
conditions
• Privacy and respect
Three basic areas of
concern for managerial
ethics are the Subject to ethical ambiguities
• Advertising and promotions
relationships of the firm
• Ordering and purchasing
to the employee, the • Bargaining and negotiation
employee to the firm, • Financial disclosure
and the firm to other • Shipping and solicitation
• Other business relationships
economic agents.
Economic Agents
• Customers
• Competitors
• Stockholders
• Suppliers
• Dealers
• Unions
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21. 5/4/2012
LEADERSHIP
Leadership Activity Management
Establishing direction and Creating an agenda Planning and budgeting,
vision for the organization allocating resources
Aligning people through Developing a human network Organizing and staffing,
communications and actions for achieving the agenda structuring and monitoring
that provide direction implementation
Motivating and inspiring by Executing plans Controlling and problem
satisfying needs solving
Produces useful change and Outcomes Produces predictability and
new approaches to challenges order and attains results
21
22. 5/4/2012
Leadership Formation:
Beyond Leadership Development
Contemporary leadership development sits largely within the leader as
Therapist Discourse, i.e. HR departments identify hi-potential individuals,
and a process of psychometrics and leadership development programs
are used to increase an individuals leadership skills. Yet leadership is
not a technique to be learnt. Leaders are formed through multiple
experiences, and it is an organization‟s task to create this formation
process; specific to its organizational needs. In these days of democracy
in the workplace, the power that comes with leadership is increasingly
becoming diffused, while traditional hierarchies are being undermined—
to a combination of „hard‟ and „soft‟ power, which I call „smart power‟.
22
23. 5/4/2012
CORPORATE LEADERSHIP: BEYOND THE
OBVIOUS
SUCCESSFUL LEADERS WILL BE THE PEOPLE
WHO HAVE DEVELOPED THE SKILLS OF
THINKING AND ACTING „OUTSIDE THE BOX‟,
WHO CAN CONFRONT AND CHALLENGE OLD
PATTERNS OF BEHAVIOR, AND SPEARHEAD
NEW INITIATIVES — AT ANY LEVEL IN THE
ORGANIZATION.
23
24. 5/4/2012
Culture is a Key Building Block of Success
Corporate
Culture
Management
Systems
Operational
Systems
Financial
Performance
Resources
Products
Markets
24
25. 5/4/2012
Culture Management Process
Define the Culture Needed to Support
Long-Term Success (“Desired
Culture”)
Identify the
Current Culture
Identify And Analyze Significant Gaps
Between Desired Culture And Current
Culture
Develop Culture
Management Plan
Communicate The “New” Culture, As
Well As The Steps Being Taken To
Manage It
Monitor Implementation Of Desired
Culture And Update/Refine The Culture
Management Plan
25
26. 5/4/2012
“JUST TALKING ABOUT INNOVATION
DOESN’T WORK. OVER A DEFINED PERIOD
OF TIME A BUSINESS HAS TO MEET THE
GROWTH RATE THE MANAGEMENT
SETS AND AN INNOVATION STRATEGY IS
NECESSARY FOR THIS-THE BAR FOR
TALENT SHOULD BE RAISED BY
CORPORATE ACHIEVER.”
26
27. 5/4/2012
Pyramid of Organizational Development
Corporate Culture
Values Beliefs Norms
Management Systems
Management Perf.
Planning Organization Development Mgmt.
Operational Systems
Accounting: Personnel:
Production: Marketing:
• Billing • Hiring
• Payroll •Shipping • Selling • Compensation
Resources Management
Financial Technological and Human
Resources Physical Resources Resources
Products & Services
Develop Products (Services)
Markets
Define Market Segments and Niche
Business Foundation
Business Definition Strategic Mission Core Strategy
27
28. 5/4/2012
A BLUEPRINT FOR TRANSFORMATION
(FROM Q. JONES, D. DUNPHY ET AL, IN GREAT COMPANY: UNLOCKING THE SECRETS OF CULTURAL
TRANSFORMATION, HUMAN SYNERGISTICS, SYDNEY, 2007, COPYRIGHT)
28
29. 5/4/2012
SEVEN SECRETS TO BUILDING: EMPLOYEE
LOYALTY
Set high expectations
Communicate constantly
Empower, Empower, Empower
Invest in their financial security
Recognize people as often as
possible
Counsel people on their career
Educate them
29
32. 5/4/2012
Eco-leadership Discourse
Connectivity
Ethics
Leadership Spirit
The Eco-leadership discourse focuses on connectivity, inter-dependence, ethics and
leadership spirit. The aim is to create distributed leadership at local levels, encouraging
leadership from the edge and building networks that are responsive and adaptive to change.
Eco-leaders recognize that the workplace as interconnected eco-systems, and central control
is obsolete. Sustaining strong networks and building coalitions and collaborative
relationships are vital to success. New business models, new organizational forms and new
leadership are essential to work within the global, political advanced technical and turbulent
yet fragile environment we find ourselves. This new leadership assumption until recently is
was a marginalized voice but progressive business and political leaders are finally
embracing this discourse. It is not just about the environment but dealing with the internal
ecology of an organization as well.
32
33. The Eco-Leader: „working across boundaries‟
Organizational External
eco-system environment
Internal organizational eco-system: creating thinking spaces, breaking silo
culture, connecting and communicating, working with feedback loops to
respond to change, creating an organizational architecture that enables
distributed leadership thus creating an adaptive organization.
Eco-leaders also focus on the external environment: political and
environmental trends, stakeholders, competitors, realizing the interdependence
between their internal organizational ecosystem within a wider eco-system.
This is no-longer considered an altruistic act, but vital for sustainable success.
Corporate social responsibility, sustainability and ethics, continuity and change,
and leadership spirit are key attributes of eco-leadership.
34. 5/4/2012
DEMOGRAPHIC SHIFTS IN THE WORKFORCE ARE REAL
…and there is a skills gap in developed countries…
Western Europe
• By 2050, 60% of the working age
population will be people over 602
• Germany has seen engineering
graduation rates decline by a third since
19952
U.S.
• The US Department of Education estimates
that 60% of all new jobs in the 21st century Japan and South Korea
will require skills that only 20% of the • Within 10 years, 26% of the Japanese
workforce possess1 population will be over 65 years old 3
• US colleges and universities will graduate • By 2050, the percentage of the South
only a fraction of the number of scientists and Korean‟s over the age of 60 will jump to
engineers that will retire through 20181 41% of the population from 14% today, an
increase of more than 300% 4
1 Corporate Leadership Council, Managing the Workforce Planning Process, August 2004
2 Deloitte Research
3 Corporate Leadership Council
4 Hewitt International Report, October 2003
34
35. 5/4/2012
DEMOGRAPHIC SHIFTS IN THE WORKFORCE ARE REAL
…while wage inflation and attrition in emerging markets is decreasing
their attractiveness as an alternative labor market…
China
• Only 50% of Asian executives believe the
supply of skilled labor is adequate
• Labor force will begin to decline by 20171
Eastern Europe
• Difficulty fielding critical talent due to cultural
assimilation into the business; limited
experience working in a multi-national
organization; inadequate people management
and communication skills4
India
• Salaries for supervisory positions rose 20% in
2005 2
• Indian companies are increasingly focused on
1 China Population and Development Research Center developing employees to drive retention as the
2 Innovation in Emerging Markets, Deloitte Research, 2006
3 “HR Considerations For Entering The Asian Labor Market”, CLC, June 2005
war for talent grows increasingly competitive3
4 “Resourcing in Eastern Europe”, Feb 2004, CLC
35
36. 5/4/2012
HR IS GROWING IN IMPORTANCE, IF…
…we envision and manage HR as a business
Consumer Markets
Consumer Markets
Value delivery better than
Value delivery better than
What Business competitors
competitors
is HR In?
Enterprise Strategy
and Objectives
Human Capital Strategy to Achieve
the Enterprise Strategy
Talent Markets
Talent Markets High High Competitive Financial Markets
Financial Markets
Performance Performance HR
Employer of choice –
Employer of choice – Talent Organization Services Returns in excess of
Returns in excess of
Employees of choice
Employees of choice alternatives
alternatives
Dependable HR Controls
Public Policy and
Public Policy and
Reputation
Reputation
Conformity with
Conformity with
expectations
expectations
36
37. COMMON SKILLS AND COMPETENCIES 5/4/2012
THEMES
❖ DEVELOP ORGANIZATIONAL VALUES THAT NOT ONLY SPEAK TO PROFIT GENERATION BUT ALSO
TO THE GROWTH, DEVELOPMENT, AND WELL BEING OF EMPLOYEES.
❖ CREATE AND IMPLEMENT CORPORATE WIDE BUSINESS METRICS THAT PROVIDES A CLEAR
SENSE OF WHAT NEEDS TO BE DONE.
❖ PROVIDE CLEAR AND CONSTANT TWO-WAY COMMUNICATION OF CORPORATE VALUES, VISION,
MISSION, AND CRITICAL SUCCESS FACTORS FOR THE PURPOSES OF UNDERSTANDING AND
CONTEXT. THE CORPORATION MUST ALSO LISTEN TO EMPLOYEES AND TAKE APPROPRIATE
ACTION. EFFECTIVE CORPORATE LEADERSHIP IS OPEN TO CRITICISM, SEEKS FEEDBACK, AND IS
ACCOUNTABLE FOR ITS ACTIONS.
❖ EMBRACE AND FOSTER CREATIVITY, INNOVATION AND LEARNING. AN ORGANIZATION‟S ABILITY
TO LEARN IN TODAY‟S MARKETPLACE IS PERHAPS ITS GREATEST STRATEGIC ADVANTAGE.
❖ CREATE AN ENVIRONMENT OF TRUST AND RESPECT.
❖ REMOVE REDUNDANT CORPORATE BUREAUCRACY.
❖ CREATE AND IMPLEMENT A SUCCESSION/CAREER PROGRESSION PLANNING PROGRAM THAT
CLEARLY ARTICULATES CORPORATE EXPECTATIONS AND CHARTS A COURSE FOR EMPLOYEE
DEVELOPMENT.
❖ CREATE SPACE FOR LEADERSHIP TO GROW.
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38. 5/4/2012
BUILDING CORPORATE LEADERSHIP FOR THE
FUTURE
THE FUTURE OF AN ORGANIZATION IS DRIVEN BY ITS
LEADERSHIP. FURTHERMORE, TO MAKE AN ENDURING IMPACT,
LEADERSHIP EFFECTIVENESS NEEDS TO START AT THE TOP
AND PERCOLATE DOWN, BECOMING PART OF THE
ORGANIZATION'S CULTURE, INCLUDING STRUCTURES,
PROCESSES, AND SYSTEMS. TODAY, ONE OF THE BIGGEST
CHALLENGES CORPORATE LEADERS FACE IS BALANCING THE
NEED TO INCREASE SHAREHOLDER VALUE WHILE
SIMULTANEOUSLY PROVIDING A WORK ENVIRONMENT THAT
TRULY ENGAGES THE PASSION AND COMMITMENT OF ITS
EMPLOYEES.
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41. 5/4/2012
“TODAY’S CORPORATE LEADER … HAS TO BE
INNOVATIVE, INSPIRING, ENTREPRENEURIAL,
GLOBAL, INCLUSIVE AND THINK ABOUT NEW
STRATEGIES WHILE PRESERVING
CURRENT BUSINESS — AND HAVE SIGNIFICANT
INTELLECTUAL CAPACITY TO BE
ABLE TO DO ALL OF THIS AT ONCE.”
41
43. THANK YOU FOR YOUR 5/4/2012
“ATTENTION”
RAMBABU PENTYALA
M.A.LITT(ENG.), M.B.A(HR, MKTG & SYS.MGMT)
AVP-HR AND OPERATIONS
YOU CAN REACH ME AT:
43
rambabupentyala@gmail.com