The Responsible Leader

Developing a Culture of Responsibility in an Uncertain World

Tim Richardson

• Publisher: Kogan Page
• Year: 2015
• ISBN:
  9780749471828
• Edition: 1
• Topic: Business
• Subtopic: Management
• Index: Business

Responsibility as a leader is the ability to respond quickly to a complex and changing business environment. It means using values to make decisions that not only affect brand trust and corporate reputation, but impact upon employees and the wider community. In today's increasingly interconnected world, it is more important than ever that managers can achieve goals and desired results while still maintaining a degree of authenticity, ethics and stewardship. The Responsible Leader identifies what it means to be an authentic leader, taking in intra-organizational relationships, role modelling and ethical practice.Addressing the practical challenge of implementing a framework of corporate social responsibility in an organization that may embrace thousands of people, The Responsible Leader sets out what this strategy looks like in practice and advises on creating a new and hopeful narrative for the future. Drawing on in-depth case studies from HSBC, PwC, Oasis and Marks and Spencers that chart the journey to responsible and sustainable management in challenging environments, it presents a fresh vision for leadership success that goes beyond simple compliance.

Part One

A fresh response: outlining the case for responsible leadership

02

What distinguishes responsible leaders?

Why should anyone be led by you?

(ROB GOFFEE AND GARETH JONES)

Regulation alone cannot be sufficient to govern the market. We have to look deeply at important questions of purpose, ethos and responsibility.

(LORD GREEN, FORMER CHAIRMAN AND CEO OF HSBC)

In the VUCA (volatile, uncertain, complex, ambiguous) world where uncertainty prevails, we have a conundrum. How can we lead people in the traditional and expected ways when we do not know clearly what is going on? Will this work? How, if at all, do the ways we think about leaders and leadership need to evolve further? This part of the book sets out to build a more detailed picture of that fresh expression.

Initially, by way of a reminder, leadership theory over time identifies that effective leaders typically do the following (among other actions). They:

• have a clear vision for the future;
• set direction;
• inspire others to follow them;
• enable greatness in others;
• are able to mobilize teams and resources to deliver against that vision;
• create followership through trust, respect and loyalty, among other things.

The above are some of the answers that we often hear when we ask the question: ‘What do great leaders do?’

When we ask the supplementary question about what qualities effective leaders possess, charisma plays a part, as we have seen, and is often evidenced by a kind of aura and presence. Talk to anyone who met Margaret Thatcher, Nelson Mandela or Bill Clinton and they will all agree that when these individuals came in to the room, the atmosphere changed, as if filled by their own magnetism. People were drawn to them. When you meet Richard Branson, founder and driving force behind the Virgin brand, you are struck first by the fact that he is not a large man (Clinton, like Mandela, is over six feet tall) but that he has a remarkable ability to make you feel special when he is talking to you, as he seems to focus exclusively on you. He is renowned for not being a typical businessman concentrating on numbers and performance but a leader who is an ideas generator and more of a people person, very much at home in a celebration and limelight launch.

These qualities are far from redundant in the modern world. Throughout time, when faced with journeys of fear and uncertainty, followers have tended to look for reassurance and confidence, someone in whom they can believe and someone in whom they can trust. As followers, we give our discretionary loyalty and commitment based on a wide range of factors, including the extent to which a leader commands our respect, earns our trust, wins our affection, inspires our response and action, and believes in us such that we believe in ourselves.

In the 21st century, when many leaders across all aspects of our lives – business, religion, politics, communities – have been found out for betraying trust and diminishing value, there is a call for leaders who exhibit strength of character that balances talent and capability. I invite you to join me in building a more complete picture of responsible leadership. In the previous chapter we identified that to lead responsibly is to have a wider systemic perspective and to be mindful of how decisions impact that system positively and for the greater good. Now I propose that we start by highlighting some foundational paradigms – patterns of thinking – that we should be looking for in our leaders of today and tomorrow. I believe in simplicity if at all possible. Figure 2.1 presents a simple progression and virtuous cycle that I have found helpful when working with individuals and groups – one that provides a foundational understanding of important paradigms that is needed now and in the future in our leaders.

Figure 2.1 Responsible leadership: authentic core

Simply and first, if my leadership is about how I reassure and inspire others to act, perform or achieve, we should consider what it is that will draw people to my leadership and what it is that encourages people to trust and respect me. Based on what we know about people who lead well now and most likely in the future, we can identify four important points at the core of being a responsible leader (Figure 2.2):

• the degree to which leaders possess and exude internal assuredness and attractiveness;
• the degree to which they are adaptable and oriented to learn;
• the degree to which they think and operate relationally;
• the degree to which they inspire others with their purpose and focus.

Figure 2.2 The role of internal assuredness and attractiveness

Internal assuredness and attractiveness

The starting point in this virtuous cycle is the fact that responsible leaders know who they are, are confident yet humble, and their authenticity is attractive (see Figure 2.2). The principle of attractiveness is an important one for responsible leaders, as this draws people to want to work with and be led by such leaders. By attractiveness, we are not referring to any physical appearance, but rather the natural presence that engages with others and appeals to others at a deeper emotional level.

In much of my work with leaders across all sectors I tend to ask the following questions, often early on in my interactions with them:

• Who are you?
• What do you stand for?
• Why should people follow you and trust you?
• How can you lead from your natural strengths?

I have worked with senior groups throughout the world who are often floored by such simple questions, expecting instead a session on the skills and qualities needed to be an effective leader. And yet, unless we are able to answer these fundamental questions, as Rob Goffee and Gareth Jones say in their great book Why Should Anyone Be Led by You? (2006), we present people with an unauthentic role model that is potentially confusing and not reassuring.

What does this mean and look like in practice?

Clarity about identity

At the core of the responsible leader is a quiet assuredness based on a clear sense of ‘who I am’. A strong personal identity, if you will. This is built on a real understanding and acceptance of one’s uniqueness – personality, motivations, strengths and weaknesses – and a confidence that means ‘I do not need to pretend to be someone I am not’. For example, Richard Branson is not a gifted public speaker. I have seen and heard him and it is quite painful to watch. But he knows this and does not let this weakness hinder his personal effectiveness, which is based on his ability to see an opportunity, his drive to prove others wrong, his sense of adventure, his strong sense of justice and freedom, and his love of people and belief in their potential. These are what make him unique and attractive to millions of people, customers and staff alike.

I work with many individuals, helping them explore their personal story as they reflect back through their lives to discover the patterns they intuitively follow that reveal what drives them and what gives them real and deep fulfilment. To be ‘in the flow’, in the words of Mihály Csíkszentmihályi (2002), is to be so absorbed and focused as to feel that one is operating almost effortlessly. And this is very powerful, both for the individual and for those observing. I recently sat in a lecture theatre listening to a professor from a London university talking to teenagers who might be prospective students at a brand new school. His talk was about how engineering and biology were becoming interlinked, resulting in the development of new technologies that were just astonishing. However, what was even more impressive to me was his passion and natural ability to communicate his subject with wit and in a way that was simply compelling. He was ‘in his element’ as Ken Robinson would say (2009). Robinson (himself a truly gifted communicator) expands on the profound truth that when as humans we are operating in our element – doing what we seemingly were made to do – it is wonderful to behold. As such, the professor was inspiring both to me as an adult and moreover to the assembled 14- and 15-year-olds. I was not surprised to find out that he was a regular presenter on TV as well.

Being clear about these aspects of one’s identity allows a leader to relax and get on with leading – making decisions, inspiring others, mobilizing resources.

Clarity about personal values

The next step towards internal assuredness is being clear about personal values and beliefs and living by these. Although there is nothing new in this, I am amazed at the number of people in senior leadership positions who have never taken the time to pause, reflect, and dig deep to find out what they stand for. I am talking about much more here than the corporate blandness surrounding values statements such as ‘honesty, integrity and teamwork’ (apologies if these are your company’s values – they happen to be the three most popular values words used by corporations). I am talking about beliefs, morals and ethics. For it is these that actually govern behaviours and the choices we make. We can get quite specific here, too. By way of example, I heard a debate on the radio after the tragic suicide of L’Wren Scott, a famous fashion designer in New York who happened to be the girlfriend of Mick Jagger. The debate focused on the publication of a photo of Jagger distraught, having just been told of the news of the death of his lover. To publish or not was the question posed to one editor of a national newspaper. Press editors are leaders whether they acknowledge this or not, and their ethical choices lead public responses. So a choice to publish because Jagger lived his life in the public gaze once again brought into question what privacy is for famous people and, more importantly, the extent to which an editor will go to sell copies. Interestingly, the debate between the editor and photographer became heated, the latter seeing it as his job to be there and take the picture as an historical record.

The important point is that unless the editor has done the tough thinking about what he or she really stands for and would not be compromised over, how could he or she make such a delicate decision with the urgency needed? Moreover, with the unending pace of change and the demands on us to think instantly, largely as a result of technology, as leaders we have to be able to respond consistently. This is a key to being a responsible leader for the future. For example, Twitter, which we referenced earlier, allows instant communication to thousands, perhaps millions. This can be a powerful force for good and, as has been all too often the case, the source of embarrassment and even libel. At Nelson Mandela’s funeral in December 2013, world leaders gathered to pay their respects to a remarkable man who embodied responsible leadership as fully as anyone has done. The joyful occasion got the better of the US president, the UK prime minister and the Danish prime minister, who when seated together decided to take a selfie (a photo of yourself on a smartphone). This innocuous event would have gone unnoticed but for Twitter and the modern social media. The photo was posted online, presumably by an observer, and became an instant global phenomenon. Sadly, people read into the scene motives that were probably not there, but it was clearly a somewhat insensitive thing to be doing at such an event – even if it was a celebration of a life well lived. Whether the US, UK and Danish leaders had thought about the context and how it would be received, we do not know. Nonetheless, had they thought about who might be seeing the photo or scene, and how it might impact their reputation, they might have thought differently. Modern leaders need to be wiser than simply being caught up in the moment.

Personal values do shape the decisions we make. Take, for example, the CEO of a small charity that I know of. He was presented with a dilemma. One of his small staff team had let herself down with some poor behaviour that was witnessed by others, albeit at a social event rather than in the normal course of work. Unfortunately, the event took place on the site of the charity. When asked what he wanted to do about the behaviour and ultimately what he wanted the action to be, he pondered for a while and then uttered a profound statement. ‘If we are about giving young people a second chance, or a third chance in their often mixed-up lives, then we should do the same for one of our staff team as well.’ He disciplined the individual but then encouraged her to take on more responsibility, to allow her to see herself in a different light – a bold and values-driven decision that led to a happy outcome and spoke volumes to colleagues and clients alike.

Throughout this book we will meet other men and women who embody responsible leadership. In my conversations with them and through my research, I have come to realize that they typically hold some clear beliefs that act as a source of energy for them. Values and beliefs are interwoven in their lives and find their way into, and are worked out through, their careers and how they lead. Be it a religious or spiritual faith, a belief in the inherent goodness of people or the integrity of nature, such beliefs embed themselves deeply in the soul of such people and inform their decisions.

A clear and established values ...