What marks the great business leaders apart is not their capacity for hard work. Virtually all work insanely long hours. Nor is it their intelligence. Most CEOs are smart people. Nor is it good fortune. In life and business luck tends to even out over a life or a career. No, what separates the great from the merely good is […]
Mindfulness has become the rage these days, from Wall Street to Westminster Hall. The surge has inspired major organisations like Google, Virgin Atlantic, Barclays Bank, British Telecom, and UK Parliament to invest in employee mindfulness training. Some people think mindfulness may be a fad, and who could blame them? Imagining monks running board meetings sounds like the start of […]
Despite claiming to be interested in hiring the best people, most managers aren’t actually comfortable with the very best. They don’t feel at ease directing employees who understand the task at hand and what it requires better than they do. They worry that employees who are too gifted will make contributions that outshine theirs. They have no idea what […]
Debt maturity represents an important dimension of corporate financing policies. Inferior debt maturity structure can lead to suboptimal liquidation of the firm. The impact of firm characteristics on the choice of debt maturity structure is well understood. More recently, studies have turned to examine how the personal characteristics of corporate executives affect debt maturity decisions. This makes intuitive sense […]
In my 35 years as an executive coach, I have seen some of the world’s most powerful leaders struggle with changing their behaviour. I have come to believe that no one, no matter how determined or passionate, can do it without structure. You might wake up every morning sure that you will spend your day listening better, being more […]
This interview is based on Dave Ulrich’s book The Leadership Capital Index: Realizing the Market Value of Leadership, Berrett-Koehler Publishers, 2015.
Q: What exactly is the Leadership Capital Index?
One of the things I really like to do is to bring together two different fields and find an intersection. In this case one field is leadership and the other one is investment. That intersection between […]
Despite good intentions — and widespread acceptance of the importance of innovation — efforts to innovate at large companies often go off the rails.
There is no other organisational capability with such a gap between importance and performance. In the 2015 BCG survey, 70 percent of executives replied that innovation was either the company’s top priority or among the top […]
Some kind of productivity is the ultimate goal for all organisations. However, this goal cannot be realized unless employees experience a high level of motivation for their tasks. Moreover, some level of well-being is also necessary to keep it going in the long run. Indeed, how managers can promote optimal motivation, well-being, and productivity has been an important question […]
Altruistic CEOs can be as risky as greedy ones
The most successful leaders exhibit moderate self-interest, argue Katalin Takacs-Haynes, Matthew Josefy and Michael A. Hitt
Leadership in three words: leaders change things
Change, however, is never easy, writes Stuart Crainer. He looks at the dynamics behind successful change actions
When managing risk, overconfident managers don’t always follow the fundamentals
They tend to make hedging […]
The Securities and Exchange Commission recently adopted a requirement for U.S. companies to disclose the disparity between CEO and worker pay. This outcome reflects present tensions between the desire to reward performance while also seeking to establish what is an equitable division of the wealth generated by today’s behemoth corporations. The latest requirement is arguably an outcome that has resulted […]
‘Leadership produces change. That is its primary function,’ observes Harvard Business School’s John Kotter. Former CEO and author Larry Bossidy puts it like this: ‘The leader’s job is to help everyone see that the platform is burning, whether the flames are apparent or not. The process of change begins when people decide to take the flames seriously and manage by […]
Why and how firms hedge has been an area of interest in corporate finance for a long time. The traditional notion of hedging is matching one risk with an opposing risk. Gains on the hedge offset the losses on the position otherwise exposed to price uncertainty, making the resulting cash flow volatility lower. The traditional theories of corporate risk […]
Human capital is getting much more attention lately. The Conference Board’s 2014 survey of global CEO challenges ranked human capital issues as the number one challenge. In our work, we have found that the leadership profile of successful CEOs matches the leadership profile of effective Chief Human Resources Officers (CHROs), that HR issues are increasingly a part of firm […]
Many of us spend much of our time in meetings and at conferences. But too often these waste time and fail to make the most of those present.The meeting formats we use today are very old. Board meetings, assembly meetings and conferences have not changed for many hundreds of years. Newer methods include boards surrounded by screens with data, […]
Over the last 50 years organisations have changed dramatically but we have yet to understand how these changes affect organisational performance. One of the major changes was away from centralised decision-making and hierarchies and towards teamwork. During the same time organisations have grown to be more diverse. It is now more common than before that people from different cultures […]
If you are a manager, you were probably told at one point in your career to consult your subordinates before making important organisational decisions. Consulting makes employees feel respected, fairly treated and in control, which leads to more work motivation, a better job performance, and increased group morale. Because of the positive effects associated with consultation, organisations worldwide frequently […]