“She was in the middle of a magic show, inside a magic box. And then all the lights went out so she struggled to get out of the box.” Or so tells the mother of Rosalyn Rincon, from Blackpool, England. Training and precision are essential for pulling off a good magic trick but this counts for little when something dramatic suddenly occurs like a power cut. Unfortunately this was only the beginning of a nightmare evening for Ms Rincon and her colleagues who were working on the now infamous cruise-liner, Costa Concordia.

The £372m cruise-liner with state-of-the-art navigation equipment, an experienced crew, repeating the same voyage it makes 52 times per year, ran aground just metres off the Italian coastline. The ship capsized so quickly that the lifeboats and safety rafts on the port side became unusable. It meant that many of the ship’s emergency procedures no longer functioned or were invalid. For a time staff tried to help stranded passengers or colleagues without being clear if rescue was possible. 

I think the plight of Costa Concordia’s crew bears some similarities to the challenges facing many leaders today: Leadership is in crisis. The world is now nowhere nearly as predictable as it has been for the last fifty years. Consequently we are unable to rely on what has guided us in the past to steer us safely into the future. We are therefore left with a challenge few leaders have grappled with before: managing the no longer and the not yet. What we relied on no longer exists or is uncertain (e.g. the euro) and a new operating blueprint has not yet emerged. No wonder businesses and governments, let alone cruise-liners, are capsizing!

So what should leaders be doing? Whilst the world around us is uncertain I remain convinced that the principles of leadership have not changed. We still need to, for example:

• Clarify purpose & values
• Articulate a picture of the future that is better than today
• Design and execute a plan to arrive at that future (including the deployment of systems & processes to help keep on track)
• Implement numerous ways to engage customers, staff, shareholders, communities, and other interested parties into that plan

Frameworks, models, principles and even luck will certainly help leaders to become significantly more effective. Yet even these are insufficient.  For me one of the richest qualities of a leader is having the courage to unashamedly lead and not to give up.  I like how Mary Lou Anderson puts it:
 
Leaders are called to stand
in that lonely place
between the no longer and the not yet
and intentionally make decisions
that will bind, forge, move
and create history.

We are not called to be popular,
we are not called to be safe,
we are not called to follow,
we are the ones called to take risks,
we are the ones called to change attitudes;
to risk displeasures,
we are the ones called to gamble our lives,
for a better world.
 
 

The greatest gift a leader can give to their organisation in these current challenging times is the gift of clarity. So many people are rushing around trying to achieve the impossible - with too many goals and too many actions and too many people dependent on their delivering within the cost, quality and time targets. A visitor from another planet would describe it as foolishness but many people carry a great burden of responsibility, they do not want to let others down, and they are often so busy that it is hard to bring control and order to things.

Enter the leader! Clarity starts with prioritising – a simple question like “what are our five priorities for the next year?” can create a challenging and energetic discussion. We get more focus when we ask “what are our five priorities for the coming three months?”  I have worked with many teams that have too many goals and no discussion on priorities. In effect each individual decides their priorities and confusion and angst follows in its path with tired and exhausted people wondering if they will ever achieve anything of substance.

There are many tired and exhausted people in the NHS – and tired people miss things. It’s a delight to work with some of our clients in coaching sessions where we work together on issues around clarity and direction – or in team sessions where we try to shape focus and create joined up working. But with uncertain direction, uncertain futures and uncertain priorities people become stressed – and the poor patient becomes bewildered!

Great leaders are insistent on priorities. This creates alignment – a shared commitment to ensure certain things happen with a robust ongoing conversation in the team to track progress. New initiatives and issues don’t create a crisis – they are reviewed against the priorities. Resources and time are allocated around the priorities. The leader reinforces this constantly talking about the priorities and encouraging people to focus on results. As time passes lots of things get in the way – people issues, resource issues, resistance to change but the leader creates a determination to get things done.

This is no easy task. This is one of those clear cases where you can’t please all of the people all of the time. But it creates much more effective working. It stops people’s energy being drained by the unimportant and enables you to focus on what makes the biggest impact. A wise man once said “without a vision the people perish” – the health service desperately needs those leaders who can bring clarity, reduce the stress and bring focus. It could be you?

The recently published second set of reports from the Future Forum sets out a series of recommendations to improve the quality of patient care and achieve better outcomes. It uses some case studies to demonstrate best practice. One of them is very familiar territory for Caret – bringing together three PCTs and the City Council. In March 2010 the key stakeholders signed a section 75 agreement establishing the largest pooled budget in the country of £313 million (per year). The joint commissioning board has an independent chair (a Caret associate) and co‐located health and social care commissioning staff in order to share intelligence, use single contracts and to take advantage of different styles of commissioning.

“Through a joint approach using a care cost calculator, market development and single contracts, the team was able to balance the pooled budget for the first time in many years at the end of 2010/11 and is on balance for 2011/12, as they were able to find efficiency savings of £4 million (per year).  The percentage spent on residential care has fallen, with more people receiving support in different housing options. A programme of quality assistance visits, including assessments by non‐professionals, is underway.“ (Future Focus – Integration report 10.1.12)

Caret has contributed strongly to the success in Birmingham. We ran a range of workshops to address the differences in cultures and identify shared hopes and aspirations. We identified an effective way of joint working and helped build trust and openness between all the parties. The independent Chair role has been central to the success of this programme. Our colleague Rob Sykes the former CEO of Worcester CC engaged all sides, helped shape the strategic vision and ensure there was a clear direction rather than a paralysis around different agendas. He handled tensions and issues behind the scenes and helped bring GPs on board quickly and successfully. He used his independent status to cut across conflicts, adapt to the tensions that each stakeholder was feeling due to internal pressures and changes, incorporate new members and build respect and co-operation.

The service won the regional ‘Good Commissioner’ Award at the Great British Care Awards.

Apparently 2012 could be a bit tricky. Germany’s Chancellor Merkel said in her recent TV address “next year [2012] will no doubt be more difficult than 2011.” A BBC poll of leading economists finds them predicting a recession in Europe during the first half of 2012. Leaders everywhere are clearly facing tough conditions and yet they are tasked to press on and pursue a path that successfully takes people somewhere better. It reminds me of the challenges faced by the great explorers and pioneers.
 
Ben Macintyre’s delightful article in the Times on 27th December tells of one of the great pioneer explorers – Dr David Livingstone: “The intrepid explorer was suffering from pneumonia, malaria, foot ulcers and piles so savage he could barely walk. The roasting heat was punctuated by sudden torrential downpours. Many of his porters had run away and he had been forced to pull out most of his rotting teeth. He had been attacked by leeches, slavers and hostile African tribesmen. Lurking in his gut was a blood clot the size of a cricket ball that would shortly kill him.
 
“In his tent, by the light of a candle, Livingstone picked up his pen and, using berry juice because he had run out of ink, he wrote these magnificent words: ‘It is not all pleasure, this exploration.’”
 
There will be so many reasons in 2012 for leaders to stop, give up, and take cover. There will be a number of occasions when you’ll feel you can barely walk and that that the way forward is even harder than the tough route you’ve just travelled. But perseverance is a hallmark of great leaders. General Eisenhower said, “What counts is not necessarily the size of the dog in the fight - it’s the size of the fight in the dog.” So here are five things to help put fight or grizzle in your dog in 2012:

• Be crystal clear to yourself and others of your specific goals for the year and why they are achievable
• Do one thing every day that moves forward one of these goals
• Be a champion of hope AND brutally honest about your circumstances
• Find someone who thinks you can be better than you actually are. Listen to them for all you are worth
• Never, ever give up!

Christmas is nearly upon us and workplaces across the land are beginning to look forward to the staff Christmas party and other shared festivities. It’s usually an occasion of great fun and team bonding but it’s also the time when leaders and managers can be at their most vulnerable.

Most leaders are wise enough not to drink too much and end up doing something inappropriate or embarrassing. Yet managers can also get ambushed at parties once the alcohol has begun to flow with colleagues. Sober judgement can be suspended and words said to the boss that are later deeply regretted. In other words, it’s not just about what you do or don’t do; it’s also being aware of what others may do because you are there.  One seasoned chief executive I work with has a principle for these occasions of being the first to the bar and the first to leave the party.

I think the boss should always go to the party. It’s important to party with your people. But go with a plan.

Merry Christmas!

 I think Mitt Romney has taken up voodoo. I don’t know this for sure but I am suspicious about the way his Republican opponents for the presidency are so spectacularly bombing. From Governor Perry’s catastrophic “Oops” moment in a televised debate (http://www.youtube.com/watch?v=kTNjhcyx7dM) to Herman Cain’s delightful Libyan disaster (http://www.youtube.com/watch?v=KAGGpK7bSWc) and trail of sexual misconduct allegations, Mr Romney’s prospects just keep on getting better.

Interestingly, has anyone noticed what Romney is saying? Because he isn’t saying much of significance. And that’s probably a great strategy! Being (relatively) quiet is proving to be a useful asset for him as he seeks to impress voters.

Sometimes being quiet is a powerful tool for leaders in tackling challenges and managing people. For example you don’t need to always have the last word in meetings or to fill the uneasy gaps after you’ve asked a difficult question. Being quiet can mean choosing not to be openly critical or grumble about others; or even to defend yourself (which as a strategy worked well for Jesus, Wilberforce and Gandhi).

Obviously being quiet is a device to be used carefully lest you be thought of as ‘light’ or creating a vacuum of leadership. Nevertheless silence can be powerful.

Today there will be situations in which you can tackle challenges and difficult people by choosing to be quiet. Have a go and see what the results are. And if all else fails, buy some pins!

Leaders can often become too wedded to plans. Consider the political bun fight going on between the government and opposition about making any changes to economic policy. Certainly having a plan at the very least gives people reassurance and a sense of direction but when should plans be adjusted or even abandoned? Why does it matter changing a plan?
 
General Eisenhower said, “Plans are dispensable, planning is indispensable.” The art of leadership involves improving planning capabilities and this includes nurturing an attitude of flexible thinking. Adjusting plans in response to  a volatile strategic context is often necessary. The trick for leaders is to change tack whilst explaining (and explaining again) why you are doing so and also ensuring that all activity is being realigned to the modified plan.

Eisenhower shifted the date of D Day because of adverse weather conditions. What needs to shift in your plan?

Much has been said and written about the Big Society – some of it sceptical, some seeing the positive benefits, but most adopting a “when we see it we will take it seriously” approach. It is alive and well and living amongst us! The big society can be seen in many neighbourhoods up and down the country where citizens provide support to each other.

Demos have just launched a national report “Civic Streets – the Big Society in Action”. It looks at what the ‘Big Society’ means for struggling communities in need of regeneration and learns lessons from places and communities that have come together and have trail-blazed this approach. It chooses two neighbourhoods in Birmingham – Castle Vale and Balsall Heath – places we in Caret know very well and work closely with.

As a leadership consultancy we are interested in types of leaders that help create not just any old transformation, but transformation that is long term, generous, and inclusive.

It is clear there are four key leadership building blocks:

• A leader with a clear sense of purpose – community change is generally long term  -successful leaders need to have the drive and determination that enables them to stick at their vision despite the barriers they face.
• A facilitative leader – someone who engages others, encourages broad participation in their street, block or wider neighbourhood. Generally these leaders are able to put the good of the community to the forefront and leave their egos and status behind.
• A collaborative leader who forges effective partnerships, with Police, the local authority, housing providers, health, community groups etc.
• An innovative leader who can help find new and more effective ways of understanding and addressing the community’s needs

The jury is out on whether the Big Society will work, or whether its success remains limited to a few exceptional neighbourhoods. But the potential of a Big Society approach - to reduce the number of people with mental health problems, address health inequalities, raise access for isolated people to key services and support, generate new community focused employment and to enable public services to raise their impact - is very high. What is more Balsall Heath and Castle Vale are thriving, supportive and energetic places to live.

If the Big Society is to succeed it will require big hearted, determined and generous leaders – can volunteers for the role raise their hands?

‘Gung ho’ managers in times of crisis say “failure is not an option”. 

Sadly, failure is more likely than success. It is an option and some organisations have it built into their DNA. Esteemed author Ron Heifitz argues we need to adapt. Our context, morale, resources, opportunities, risks are all changing – so must we.

“..mobilising people to tackle tough challenges is what defines the new job of a leader”

Adaptive leaders know the need to listen more, communicate more and invest heavily in earning trust and credibility.  They know that they need to facilitate some real brain-stretching thinking and generous listening if they are to shape the future. 

Equally, they need to be more visible, accessible and focused during change. They need sensitive performance management that paces change and recognises that some resistance is inevitable but prolonged resistance is destructive. As change moves forward they need their ‘failure radar’ at full alert: It can happen, it is likely to happen. Let me reduce the chances of it hitting us.

Good leaders face failure full on, they do not hide from it, but adapt their style to deal with it.

Caret Associate Tammy Tawadros considers the wider implications of stress on leadership and life in her latest article Manage Your Stress… Before it Manages You.

As business leaders we demand a lot from work but we often forget about what it demands of us. The impact of overreaching ourselves physically, emotionally and intellectually is huge, and is even greater if we fail to understand what is happening to us.

A timely piece of research from the Finnish Institute of Occupational Health adds a harsh perspective:  people who work 10 to 12 hours a day are almost 60% more likely to develop heart disease or have a heart attack than people who work less than 10 hours.

The study of over 6,000 British civil servants aged 39-61, with no history of heart problems, tracked the effects of long working hours on coronary health over an average of 11 years. Accounting for conventional risk factors such as smoking, excess weight, blood pressure and high cholesterol, the research revealed that the overtime group tended to be at the younger of the participants, were likely to be men rather than women and in a higher occupational grade.

The research suggested that working overtime could affect metabolism or mask depression, anxiety and cause sleeplessness - a major stress contributor. It also explored a phenomenon called “sickness presenteeism”, whereby employees who work overtime are likelier to work while ill, ignore symptoms and not seek medical health.

In contrast, job satisfaction has a significant impact on the effects of long working hours. Those who enjoy their jobs and have a degree of control over their decisions tend to work longer hours just for the pleasure, and generally have a lower rate of Coronary Heart Disease than their less satisfied counterparts. 

On that positive note I’ll leave the last words to Tammy:

It is the small realisations and sweet moments of reflection on genuine successes and achievements, on ‘what really matters’ in life and at work, that seem to ameliorate stress and build resilience.