THE POWER OF STRATEGIC COMMITMENT This page intentionally left blank THE POWER OF STRATEGIC COMMITMENT Achieving Extraordinary Results Through Total Alignment and Engagement Josh Leibner Gershon Mader Alan Weiss, Ph.D. American Management Association New York * Atlanta * Brussels * Chicago * Mexico City * San Francisco Shanghai * Tokyo * Toronto * Washington, D. C. Special discounts on bulk quantities of AMACOM books are available to corporations, professional associations, and other organizations. For details, contact Special Sales De- partment, AMACOM, a division of American Management Association, 1601 Broad- way, New York, NY 10019. Tel: 212- 903- 8316. Fax: 212- 903- 8083. E- mail: [email protected] Website: www.amacombooks.org / go / specialsales To view all AMACOM titles go to: www.amacombooks.org This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is sold with the understanding that the publisher is not engaged in rendering legal, accounting, or other professional service. If legal advice or other expert assistance is required, the services of a competent professional person should be sought. “Strategic Commitment” is a registered service mark of Quantum Performance, Inc. Library of Congress Cataloging-in-Publication Data Leibner, Josh. The power of strategic commitment : achieving extraordinary results through total alignment and engagement / Josh Leibner, Gershon Mader, Alan Weiss. p. cm. Includes index. ISBN 978-0-8144-1374-6 1. Organizational effectiveness. 2. Strategic planning. 3. Management. I. Mader, Ger- shon. II. Weiss, Alan, 1946– III. Title. HD58.9.L545 2009 658.4'012—dc22 2009004734 © 2009 by Josh Leibner and Gershon Mader All rights reserved. Printed in the United States of America. This publication may not be reproduced, stored in a retrieval system, or transmitted in whole or in part, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of AMACOM, a division of American Management Association, 1601 Broadway, New York, NY 10019. Printing number 10 9 8 7 6 5 4 3 2 1 For Sammy—in my heart, always and forever. Mom, Laurie and Shoshana—thank you for your love and support. Dad, you would have enjoyed the read. —Josh For Na’ama, Ongi, Eden, and Osher, thank you for your unwavering love and support. —Gershon For Maria and another wonderful forty years . . . —Alan This page intentionally left blank CONTENTS Acknowledgments xiii Introduction xv Chapter 1: Why Commitment Trumps Compliance 1 Why Commitment Is More Important Than Ever Even the Most Successful Organizations Don’t Operate at Their Full Potential 1 It’s a Question of Now or Never 5 Most Leaders Confuse Compliance and Commitment 10 Generating Commitment Requires Great Courage 14 Chapter 2: What Is Strategic Commitment? 19 If It’s So Important, Why Don’t I Know About It? There’s Commitment and There’s Commitment 19 What Drives True Commitment? 21 The Heart of Strategic Commitment: Content and Context 22 The Drivers of Context 25 The Characteristics of a Strategic Commitment Environment: Why Should You Care That They Don’t Care? 32 You Might as Well Find Out Where You Stand Before Reading On 37 vii viii THE POWER OF STRATEGIC COMMITMENT Chapter 3: Working Back from the Future 39 How to Generate Strategic Commitment We’re Not Here to Stick Our Toe in the Water, We’re Here to Make Waves 40 Barriers to Assessing the Current Reality 43 What Are the Warning Signs? 45 Diogenes Searching for the Honest Man 52 The Picture Emerges from the Mosaic 55 Are You Your History or Your Future? You Really Have a Choice 57 Crafting a Bold and Compelling Future 58 Chapter 4: Pushing Through the Thermal Layer 65 How to Engage Middle Managers in Strategic Commitment You Can’t Lead Without Light 65 Avoid Strategic Limbo 67 Offer to Listen, Then Demonstrate That You Have Listened 71 Involvement Is Magic 74 Why Slow Is Fast 77 Chapter 5: Leading from the Front 81 “Follow me!” (Not, “I’ll Be There in a Minute . . .”) The Résumé of the Senior Leadership Team: Ten Essential Leadership Competencies and Qualities 85 How Leadership Behavior Has Changed to Less Leadership 97 Why the Trusted Few Can’t Be Trusted 100 Cold Cruel World: Commitment from Key Outsiders 103 Chapter 6: Taking a Stand—The Key to Strategic Commitment 107 Why the Aztecs Put a Stake in the Ground Putting a Stake in the Ground Means No Retreat 108 People Are Not “Goaled,” They’re Committed 110 Contents ix When the Going Gets Tough, You’re Finally Making Progress 112 Success and Failure Ebb and Flow, but Courage Cannot 117 Dedication for Him Isn’t Necessarily So for Her: Tailoring Commitment 120 Chapter 7: Building and Restoring Trust 127 Essential Competencies for Generating Strategic Commitment What Is Trust, Anyway? 127 The Real Question: How Is Trust Built? 135 The “Building Trust Dialogue” 136 Five Steps to Recovering and Building Trust 137 Moving Forward 142 Chapter 8: Return on Strategic Commitment 145 On Competitive Edge and Profi t Margins Financial Performance 145 Customer Service, Satisfaction, and Loyalty 146 Quality 148 Safety 149 Innovation 151 Cross- Functional Collaboration 152 Integration of Cultures (Mergers and Acquisitions) 153 Employee Morale, Loyalty, and Satisfaction 155 The Drivers Working Every Day 156 When Strategic Planning Meets Strategic Commitment 157 A Strategic Plan Fit for Strategic Commitment 159 Doing It Right 163 Chapter 9: Lead, Follow, or Get Out of the Way—HR at the Crossroads 165 The Role of HR in Generating Strategic Commitment To Be or Not to Be: Can Your Human Resources People Actually Help? 166