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.

The biggest threat to local government in the coming months is not around finding cuts, efficiencies and new ways of working. It is around implementing those changes.

A few years ago Harvard Business Review featured an article by Michael Watkins, based on a book he co-authored with Max H. Bazerman on Predictable Surprises: The Disasters You Should Have Seen Coming. It is imperative that we look at the ‘predictable surprises’ facing local government. Watkins points to many examples where disasters, mistakes and problems could have been avoided.

He cites three key areas for leaders to monitor:

Did you recognise the threat?

• Can your middle managers implement the changes you want?
• How will staff react to redundancies or change?
• Will all the politicians support the hard decisions?
• Have we got the skills and new ways of thinking to deliver Total Place?

We did some scenario planning around community cohesion with the leaders in one council. We asked: What happens if there is an India-Pakistan war (possibly nuclear)? Worried looks on everyone’s face, “Goodness, that would have a devastating impact and we have not thought about it at all.” It’s a good example of a predictable surprise!

Did the leader prioritise appropriately?

Every local government leader is under tremendous time pressure. Leaders will be judged by their ability to balance the strategic and the operational – and their capacity to initiate new ways of working.

• Is sufficient thought and time given to reducing the likelihood and impact of disaster?
• How did the leader react?
• Disasters do happen – are you ready?
• Are you confident you can engage people to respond quickly and effectively?
• Has your organisation got the capacity to stop a disaster from becoming a catastrophe?

Watkins rightly delivers this sombre message:

“If a damaging event happens that was foreseeable and preventable, no excuses should be brooked. The leader’s feet need to be held to the fire.”

How do you avoid the smell of burning toes? A few items from our leadership ‘checklist’ might help:

• Is there a danger of your being over-reliant on intuition? How do you ensure predictable surprises are rigorously reviewed?
• Is there a danger that you ignore the power of short term pain when you focus on long term gain? Psychological research shows immediate, certain negative consequences are a key driver of behaviour. In other words, short term pain mobilises people into action – whatever the longer term benefits may be.
• Does your organisation listen well? Will concerns, key pieces of information and fresh ideas reach the leadership team? If you are seen as a leader who goes his/her own way, or discourages bad news, you may be the last to know when a disaster looms.
• How effective is your risk management? Is it a mechanistic tick box exercise or will you be able to spot that Manager A is likely to handle change badly, or Department B is going to resist even the smallest change? Where might unexpected cost issues come from?
• How aligned are your leaders?  Silo working, too narrow a focus on targets and territorial behaviours can all stop ‘upstream thinking’, innovation and more effective working. Whose behav-iour can limit your capacity to succeed? Who is your predictable surprise?

In times of turbulent change, leaders will be judged more harshly and more quickly than in ‘normal times’.
Keeping a delicate eye on the predictable surprises is an important tactic to both survive and thrive in demanding times.

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A very good friend was trained at Sandhurst. He took a patrol out on night manoeuvres through a dense wood - trying to avoid being discovered by the enemy. His team came to a break in the woods and had to cross a road. This was a danger point threatening the patrol with discovery - and defeat - in the exercise. He gathered his men in a ditch by the side of the road, they synchronised watches and agreed that when he signalled them they would move quickly across the road, keeping low and throw themselves in the parallel ditch. The signal came, my friend kept low, crossed the road and flung himself in the ditch, only to find the rest of his patrol were still in place where he had left them. He was a leader without followers. However clear or urgent his instructions had been he was in one place and his team were in another.

Ira Challeff created the term “followership”. As my friend’s story illustrates, it is the actions of followers that determine the success of a leader.  We were fortunate enough to spend some time with Ira recently. He describes follower as a role not a personality type. We decide whether to take that role. As Ira points out people do not like to describe themselves as a follower.  We may be reluctant followers, we may be compliant followers - or we may be courageous followers. Ira points to the well-chronicled failures of followers - failure to pass on important information, failure to challenge wrong decisions, failure to respond to challenges. Followers were ineffective in Enron, Andersons, Lehman Brothers - but of course, the reason for that failure is strongly linked to the leadership culture. Effective leaders engage followers, they encourage and actively enable openness and challenge. they respond positively to the bad news or the reality checks that come from further down the organisation. In turn this leads to empowered followers who have the confidence to make decisions, be proactive, be innovative - and support the success of the organisation. 

In times of challenge and change it is so easy (and tempting) to revert to a command and control style of leadership. This creates compliant followers. The more courageous leader wants to tap into the passion and intelligence of their teams, to find the new and more effective ways of working, to have front line staff who can be powerful ambassadors for the organisation. Ira’s book ‘Courageous Followers’ gives a refreshing insight into the impact of leadership - it is an essential read whether you are on night manoeuvres or have bigger battles to fight in the day to day challenges of enabling organisation change.  

If you were a business leader in New York City in 1886, what to sort of things might you be paying special attention? As it turns out, (as reported by Roy Williams), according to Manufacturer and Builder, the leading monthly journal of innovation and change, the big news in New York was the scandal over the proliferation of overhead electric lines.  And, there’s more. One of the most important discoveries reported in the journal was a new way to colour bricks red!!  But, what else was going on in 1886?  How about this as a starter for ten? 

• Crates containing the Statue of Liberty were being unloaded by dock workers
• Richard Sears was launching a company that would bring catalogue shopping to America
• In Atlanta, John Pemberton was finalising the concoction that would become Coca-Cola
• Gottlieb Daimler was completing the world’s first car - across the pond

As a leader, how might you make sure you are not so fixated on the slightly unusual (overhead electric lines!!) that you are blinded to crucial changes such as the birth of what was to later become the giant company Sears?

I started my “proper” working life at Longbridge - then a factory employing 20,000 workers, the UK’s biggest at the time. To join up I had to walk through a picket line of angry engineers - they were relatively polite and sympathetic to my need to reassure my employers that I was alive and well and reporting for duty. As time went on the striking got worse, the assembly workers came out and filled the nearby parks with mass meetings and angry placards. We faced a weekend when all of us in Personnel were told to go home and prepare to make thousands redundant if crucial talks between management and unions broke down. Fortunately there was a breakthrough but the knock on effect in terms of suspicion and lack of cooperation persisted for many years.

Move forward to the present day. I was facilitating a day long workshop for an excellent group of HR Managers working in local government. At one point we considered the key risks their organisation faced as it prepared for significant change. There were big issues: significant damage to service delivery, inability to simplify processes and bring in new ways of working with reduced resources, antagonistic staff, a new structure with fewer people working but with less commitment to support vulnerable people or children. We looked at the capacity of their middle managers to take their teams with them through difficult change. “Oh my goodness,” one of the managers sighed, “some of them will be great but some of our managers will be an absolute nightmare.” My Longbridge experience was partly driven by very militant unions but it also symbolised a vote of no confidence in the senior managers. It was as if the workforce all joined together to sing “You don’t know what you’re doing.” In change, the organisation as a whole may be able to take the workforce with them during economically difficult times. But some managers “won’t know what they are doing” and will lose the confidence of their teams. The result? At best poorly implemented change - at worst antagonism and tensions for years to come.

The job of senior managers during change is to find the middle managers who are most likely to destroy staff morale or commitment. Leaders need to be looking carefully at who gets their vote of confidence to take people with them through change - and who needs attention now before they create disproportionate damage.  

The Guardian recently carried an article with the theme “an obsessive focus on people - rather than a rod of iron” is the key” in tough times. They reported on research by The Work Foundation challenging the assumption that workers with a “controlling and target - driven approach” are essential. Their report stated that in tough times “Outstanding leaders focus on people. Instead of seeing people as one of their many priorities they put the emphasis on people first.”  In short the report finds that those leaders with good emotional intelligence are able to bring people through change and enable change to succeed.

Our experience of working with leaders who are driving substantial and often painful change reinforces this. Insensitive leadership of the “we have not got time to discuss this, just flipping do it” camp can produce early results but also produce disengaged, resentful, antagonistic staff leading to poorly implemented and unimaginative change. Change is not judged by the calibre of the change plan but by the effectiveness of its implementation - which in turn is driven by engaging key stakeholders. The Guardian article also quoted an extensive piece of research by the Institute of Leadership and Management (ILM) showing that 31% of UK employees have low or no trust in senior management. This lack of trust will fuel resistance to change and leads to situations where many people bring their bodies to work but leave their commitment at home!

The good thing about emotional intelligence is that whilst some people will have some natural traits much of it can be taught. Leaders can raise their self awareness, can learn to manage their emotions and frustrations, and can develop their ability to make a positive impact and build good relationships with others. The Work Foundation encourages leaders to understand their staff. Our experience shows that leaders need to be more hands on in change; they need to monitor morale closely and recognise that even their most gifted staff can adopt strange behaviours in times of stress. Leaders need to be more prepared to give their team’s clear focus and to intervene when there are blockages. Leading change is about enabling others to change - those leaders that enable well in the coming months will make the difference between success and failure.

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Thomas Watson Snr turned IBM from a small scale mechanical data processing company to an industry giant.  He was driven by a passion to discover new ways of doing things. He believed that success was based on enthusiasm - his sales people needed to discover what their customers’ problems were and discover the best possible solutions. Around the organisation a one word poster was prominent - IBM managers and staff were constantly reminded to “Think”. In the 30’s to 50’s he took the organisation on a remarkable journey that laid the foundations for computer driven data processing.

IBM had its eccentricities under Watson (let’s all join together in the company song whilst wearing our conventional blue suits) but no one can argue with the fact that this was a period of dynamic growth.

We need thinking organisations and people today. We need cultures that encourage proactivity, and seek out new ways of doing things. Most of all given all the changes around us we need high quality thinking time. When in future years we look back on the traumas and challenges of 2009/2010 I wonder will we regret that in the busy and demanding circumstances we faced we did not mobilise our organisations to give quality time and quality discussion to thinking? Perhaps we need some posters?

‘Most managers look for golden opportunities when the good times are rolling. This is a mistake. The best ones often arise during downturns.’ So said Donald Sull, from Managing in a Downturn. Caret Consultant Tammy Tawadros recently wrote an article discussing how harnessing inquiry and capturing learning can often make the difference between an organisation that thrives and one that fails.

The current economic climate has left many organisations in the grip of huge anxiety and uncertainty about future survival. Many face grave external challenges. Internally, many are in a state of crisis. And crisis, like the proverbial cloud, carries within it the silver lining of opportunity. This is the kind of opportunity that can only be grasped and transformed into competitive advantage when there is space and the ability to think and learn collectively within the organisation. It is the very capacity that is diminished by crisis and the feelings of threat, danger and anxiety that it engenders.

It takes wise, humble and self-knowing leadership, with considerable ability, to enable the organisation to metabolise ‘toxic’ emotion, to resist overconfidence and the urgent call to action and, instead, to create the space to reflect and learn during crisis. Whilst it appears to be unfashionable still to talk about wisdom, the other qualities required by leaders at times of crisis have been well documented: humility and fierce resolve; psychological presence and personal authority; and emotional and social intelligence.

Just as each failure carries within it the germ of success, opportunities to learn abound at a time when so many leaders and organisations are in the grip of anxiety and uncertainty. But they are also, arguably, least able to harness them. Harnessing inquiry and capturing learning can often make the difference between an organisation that thrives and one that fails. During an economic downturn, successful leaders are likely to be those best able to capitalise on their personal humility and determination.

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I am not a big fan of Formula One - it’s a sport I have never attempted to understand. But even an ignoramus like me spotted that Jenson Button won the World Championship. Are there any lessons for leadership in the boy from Frome’s historic win?

I think there are two key things for me:

1. It’s not just one race - it’s a championship: in today’s challenging environment we may feel we are judged race by race. At the beginning that was good news for Button - he won event after event. But there came a time when he looked uncertain and others literally overtook him. But the challenges facing many leaders are more than on race - can they prove their long term capacity to win the World’s ‘most engaged staff in a crisis’ challenge, at the World’s ‘making difficult financial decisions’ drivers championship

 2. It’s about the delivery vehicle - Button without the right vehicle would be a nobody. Brawn emerged from very difficult circumstances at the beginning of the championship to create a winning car and driver combination. What’s your delivery vehicle - is it the organisation that works for you? Is it a lean, clean, driving machine? Does it perform like a dream or like a three legged hippo on ice? Will it take the difficult corners at speed? Is it robust enough for the drive you want to take it on in the next few months? Will the vehicle get you where you want to go next year, or does it need time in the pits?

In sport, last year’s car is often not good enough to beat this year’s. In organisations, next year’s vehicle will be taking a very bumpy and fast moving ride…is yours ready to help you win the championship?