Dan Erwin

Quotation of the Week: Paul Krugman

Today's column by Krugman was all about Paul Ryan's Republican response to Obama's State of the Union.  Rather, it was really about Mr. Ryan's errors.  Since Ryan did his best to make his audience believe that under Obama the US is heading for a Greek, Irish, UK and the rest of Europe's financial catastrophe.  Thus, Mr. Krugman's statement about what really happened to Ireland.

The lesson of Ireland doesn't say "cut spending nor, or bad things will happen"; it says that balanced budgets won't protect you from crisis if you don't effectively regulate your banks--a point made in the newly released report of the Financial Crisis Inquiry Commission, which concludes that "30 years of deregulation and reliance on self-regulation" helped create our own catastrophe.

        Paul Krugman, NYTimes, January 28, 2011

The Real Secret to Managing Your Boss. And Other Power People.

In my last blog, I pointed out that job security is not based on performance, but mostly upon your ability to manage your boss--specifically your ability to enhance your boss's ego. That's true with all people in power. The truth is that there are plenty of poor performers who are securely entrenched because the boss likes them.  I can hear some of you groan as you read this, but look at it this way. It's a tough world out there, and it's going to get still more personally demanding. So, enhancing your boss's ego is a highly useful survival skill.

 
Recognize, first, that it's not just the insecure that like to feel good about themselves.  All of us are motivated to seek out positive feedback.  And avoid the negative stuff! Part of the reason we get such a bang out of Garrison Keillor and his folk in Lake Woebegone is that it's the place where all the women are strong, all the men are good looking, and all the children are above average.  Seriously, the so-called above average effect has been studied in a very systematic way.  The research shows that we all overestimate our abilities.  U Florida's John Chambers points out that in the surveys more than half of respondents say they are above average on such things as intelligence, sense of humor, appearance, negotiating ability--pretty much everything.  No surprise that Keillor's description of Woebegon is a description we enjoy.

So, one sure way to make your boss feel unhappy, as Jeff Pfeffer points out, is to criticize him or her.  And that's especially true if the issue is very important to your boss and he is a bit insecure about it.  If your boss makes a mistake, see if someone other than you will point it out.

Relationship secret.

It's exceptionally important in my coaching business to find out from numerous interviewees what are the three or four most significant strengths of my client.  That's the beginning place for a long term relationship.  I've learned that very, very few people have much insight into their strengths.  They know all kinds of details about their weaknesses, (which they're unwilling to share with you), but little about their strengths.  Indeed, too often, feedback amounts to the generic stroke: You did a good job.  That's of little value, especially since research from the past twenty years has clearly shown that we don't perform at the highest levels by trying to fix our weaknesses. Instead, the best performance-improvement rule is to leverage our strengths and merely shore up our strategic weaknesses.

So,there's a lot to be gained by figuring out the strengths of the power people in your organization and flattering them.  Here's an example.

One executive, a bit of an asshole, was also a genius at keeping his people focused on the organization's strategy.  That single strength brought profitability to the firm for more than 20 years.  On numerous occasions, I commented to him that I deeply appreciated his focus on strategy, and I'd detail examples from his conversation and behavior.  Furthermore, when people complained about him to me, I often said, What you're saying is true, but John's (fictitious name) emphasis on strategy keeps the company focused on its business, provides a superb income for its managers and people, and keeps you secure in your job.  On numerous occasions John thanked me not only for what I said to him, but also for what he'd found out I said to his people.  That flattery also made it possible for me to carefully give him feedback on his developmental needs.  

Our knee-jerk response is to identify a person's weaknesses. Instead, shift your focus to finding out your boss's important, strategic strengths, and emphasize them to him or her.  Be sure to add to your emphasis that you'd like to learn from your boss's strengths for your own future.  You'll find that flattery has more value than just keeping your job.  

Will Job Performance Guarantee Job Security?

In April last year, I wrote a blog focusing on how important it is to manage your boss.  One of my readers, recently asked an astute question out of that blog.  Here's his query:  If you are talented and intelligent then there is no need to impress your boss as your job performance will automatically impress your boss and I think he/she would love to support you in your career. Correct me if I am wrong. 

Here in the Upper Midwest my reader would find agreement with his idea.  There's a long history of belief that performance is the final arbiter of security and job success.  Anything else tends to be looked at with a jaundiced eye.  For example, when I suggest that a person's boss may be clueless about performance, or may want to keep you right where you are because of your performance, the person quickly moves to a political statement.  It takes one of two forms.  Either, "I don't believe in playing politics," or, "I don't believe in sucking up." 

Once and for all, the truth of the matter is that your performance has very little to do with job security or job opportunity.  There's a very weak link between your performance and your career success.  This always goes down hard.  People want to believe in justice, and this is not fair.  But this is an idea that you need to forget.  Business doesn't work that way. Job performance will not guarantee job security.

In Jeff Pfeffer's marvelous new book on power, he puts it succintly: The data shows that performance doesn't matter that much for what happens to most people in most organizations.  Extensive and systematic research reveals that performance doesn't guarantee either a promotion or a raise, and it may not even keep you from losing your job.  

So what really does guarantee job security, promotions and raises?  To quote Pfeffer's studies and summary of the research: You need to be noticed, influence the dimensions used to measure your accomplishments, and mostly make sure you are effective at managing those in power--which requires the ability to enhance the ego of those above you. 

Quotation of the Day: Mayor Christopher Coleman of St. Paul

If you've been reading one of the more intelligent newspapers, or even a better national magazine, by now you're aware that cities are having a difficult time with their finances.  These are especially grim times for mayors who have been meeting in Washington to discuss their predicament.  Many mayors have already raised taxes, cut services and laid off workers, even police and firefighters.  And some are seriously considering bankruptcy.  One mayor put his unique issue succintly:

Taxpayers don't want to keep seeing their tax bills go up.  But as unhappy as they are about that, try to close a library sometime.

            --Mayor Chris Coleman of St. Paul, MN

In our town closing a library impacts everybody and his uncle.  It's not just books and magazines, but it's online computer services, etc., etc., and etc.  It's in the same ballpark as closing trails to snowmobilers.  Hmmm.  If you're not from the snowy midwest, you may not understand.  But in the summer this is fish country, in the Fall, it's hunting country, and in the winter it's snowmobiling country. 

I suspect that closing a library in the Twin Cities is as difficult as closing suburban schools in the rich end of a town.  Still, I'm very glad about that.  Libraries are the gift of the gods.  The library board brought in the the great architect Caesar Pelli to design the new downtown Minneapolis library just a few years ago.  Two-thirds of the residents approved a $140 M referendum for the library.  And Roseville, the next suburb over, is completing a $17M renovation and addition.  And that, in the middle of a recession.  Now I know why only Massachusetts students scored higher than Minnesota in the world wide math and science studies. 

In a conversation with local school architects a few years ago, I asked about school architecture in other states.  One Minnesotan commented, if you want to see the greatest school architecture, go to Massachusetts.  It's all about the cultural values.  

Unbelievable! The Economist Argues for Gun Control!

The January 15th issue of the Economist magazine, perhaps the leading capitalist journal in the world, argues for gun controls.  And it's the lead article.  To quote: Politer politics would help America in many ways, but it needs sensible gun laws much more.  Wayne LaPierre of the NRA must be having nightmares.  After seemingly endless legislative victories enlarging gun rights, here's a business journal challenging the that culprit: guns and gun laws.

The article proposes that political opportunists who would blame the Arizona shootings on words, would do us all better by focusing on bullets.  The economist concludes with the following:

The tragedy is that gun control is moving in the wrong direction. The Clinton-era ban on assault weapons expired in 2004 and, to his discredit, Mr Obama has done nothing to try to revive it. In 2008 the Supreme Court struck down Washington, DC’s ban on handguns, and in 2010 Chicago’s went the same way; others are bound to follow. In state after state the direction of legislation is to remove restrictions on gun use (those footling bans on bringing weapons into classrooms or churches or bars), rather than to enhance them.

It is fanciful to imagine that guns will ever disappear from America; they are too deeply embedded in its founding myths and its culture. But that does not mean that more effective checks on the mentally unstable are impossible, or that restrictions on the killing power of what can be sold are doomed to failure. Neither of these will happen, though, unless the blame is directed to where it belongs.

Quotation of the Week: Steve Jobs on Innovation

Shortly after Steve Jobs showed off the IPad tablet last year, he was asked what consumer and market research guided its creation.  His  response was telling:

    --None.  It isn't the consumer's job to know what they want.

Although that may seem an arrogant response, I take a different orientation to it.  In many cases it's very appropriate.  One of my long term clients, 3M Corporation, usually operates out of the same model.  The famous and highly profitable Post-Its came into being on that basis.  To a significant degree, many, perhaps most of their products are developed by their research people with little input from their clients.  And, as most know, they've been highly profitable. Still, even though it sounds like Jobs and 3M totally ignore the consumer, that's not at all the case.  They are very familiar with the larger consumer context, but the consumer never "guides" the innovation.  The innovation goes several beyond consumer knowledge and expectations.

As a management consultant, I've also found the same model highly useful.  Here's how I go about it.  When a client contacts me for work, typically they have an idea of what they need.  I develop an in-depth understanding of their need, then come back and double-check to see whether I've understood their needs correctly.  With their affirmation, I'm ready with a much more creative, more effective program.  It's rare for them to reject my unique contribution.  Furthermore, the quality of that innovation often means that I'll have return business.

The Ten Best Books I Read in 2010

As a thoroughgoing bibliophile, here are my best books of 2010.  They are reflective of my interests in career development, organizational behavior and current affairs.

1.  "Power: Why Some People Have It--And Others Don't," by Jeffrey Pfeffer: This book not only explains power, but brilliantly tells you how to build power in your career, and your life.  It's filled with counter-intuitive advice, sourced by cutting-edge research--and phenomenally realistic.  This is  one of those books that every person in business should have on their shelf for reference.

2.  "Nudge: Improving Decisions About Health, Wealth, and Happiness," by Richard Thaler and Cass Sunstein: These are two very bright U Chicago guys writing about practical policy ways of achieving exactly what the title says.  It cuts new ground, and provides a textbook for Obama's approach to policy. Sunstein currently serves in the White House where he is putting his ideas to work.

3.  "Death of the Liberal Class," by Chris Hedges: As the front flap says, the Pulitzer Prize winner has written a devastating book chronicling the gradual corruption and death of the liberal class.  It's over the top, but too close to reality to be anything but scary.  Just don't forget that if a writer gets people to see the world as he does, he has unwittingly framed every subsequent choice.  

4.  "You Majored in What?"  by Katharine Brooks: This is my argument for liberal arts as the best background for business or most any other career.  You really, really can succeed in business with an English or Philosophy major--and be better off for it.  In a world where innovation is key, the expertise of the liberal arts is the best path to innovation.

5.  "Reappraisals: Reflections on the Forgotten Twentieth Century," by Tony Judt: The late Tony Judt, a brilliant historian and thinker, argues that we've set aside too much of what we've learned about where we came from.  His connections from Hannah Arendt on evil to Kennedy, Khruschev and Cuba are positively dazzling.  He takes us beyond what we think we know about yesterday to how we know it, and reveals much of the nonsensical myth making of today's world.  If you like to think, this is the book for you.

6.  "Negotiation Genius: How to Overcome Obstacles and Achieve Brilliant Results at the Bargaining Table and Beyond," by Deephak Malhotra and Max Bazerman: These guys know the stuff on negotiation, whether you're trying to get the best deal on a snowblower, buy a new car or negotiate with Vladimir Putin.  You can always count on their well-researched advice. Exceedingly practical.  Besides, if you follow their recommendations, they'll save you a lotta dough.

7.  "How We Decide," by Jonah Lehrer: If you read his magazine articles in the New Yorker, Seed, the NYTimes or his blog, you know that he is one of the top thought leaders of Gen-Y.  His writing is exceptionally fascinating, fun, well-researched, and like that of Gladwell, filled with practical application. A Columbia grad and a Rhodes Scholar with a background in neuroscience, you'll be hearing a lot from him.  

8.  "The Checklist Manifesto," by Atul Gawande: This is the MacArthur genius, the Harvard surgeon, author of Complications and Better, and staff writer for the New Yorker. It is a fascinating study of how the simple, hackneyed checklist, is the key to avoiding deaths and complications in surgery.  And also, how it can be used to bring about improvements in fields as varied as homeland security and businesses of all kinds.  Gawande has great stories.

9.  "Freedom for the Thought That We Hate," by Anthony Lewis: This Pulitzer Prize winner is a fascinating story of the political conflicts and hard choices of those who led in the realization of the first amendment--the guarantee of free speech--and who over time brought it to the place where it is today.  For those with little background in constitutional history, this is one place to start.

10.  "Good Boss, Bad Boss," by Robert Sutton: This is a book for both managers and their people.  It is fact and research-based, filled with fascinating stories and interactions with managers from all over the planet, and loaded with very, very useful advice.  On top of all that, it’s exceptionally readable. 

Not all of these were published in 2010, but they were my favorites reads for the year.  I failed to list my favorite mystery and espionage books, but they don't count: they're all for escape.  

What's on your list?

Quotation of the Day: Paul Gewirtz, Yale Law School

Joe Klein had an insightful article in the January 24, Time, on the subject of arms and the unbalanced. Klein inveighed against the excesses of gun control.  I could only cynically muse, doesn't he know that the arms business (the umbrella industry for guns) is highly profitable?  And what right-minded capitalist would inveigh against a highly profitable business?  FYI: Statistics from 2006 indicate that the arms business of the top 100 arms producing companies amounted to $316 billion.  It is part of what President Eisenhower called the military-industrial-congressional complex.

Looking at that issue and a number of others from a more intelligent perspective, here's one law prof's take on the matter.

    Our various legal rules, taken together, may be producing a society in which liberty is bordering on disorder.

As Klein points out, the libertarian tendency (a focus on the individual's rights) goes back all the way to the Whiskey Rebellion in the 1790s--that excise tax forced on farmers by East Coast elites.  It's also obvious that our liberties must be balanced against any civilized society's need fro behavioral constraints, all agreed upon by the consent of the government.  I think there's little doubt that not only the shootings, but also the verbal violence of the media point in the same direction. Sounds to me like it's time to reassess the excessive liberties we've granted ourselves in the past 25 years.

7 Steps for Making Your New Year's Resolutions Stick

Two weeks into 2011 is a good time to think through those resolutions you made for this year.  Maybe it was to create a regular exercise program, speak up in team meetings, learn to manage your boss more effectively, develop a quality network, take a couple courses to enhance your career, or lose twenty pounds.  

So how can you ensure that your determination to achieve your objectives in 2011 sticks around past Valentine's Day?  By creating new habits.

Achieving those objectives takes time and energy.  But keep nudging yourself in the direction of your achievements.  A new skill won't become automatic overnight, but you may enjoy some its benefits fairly quickly if you follow these steps.

1. Dream big.  Really worthwhile goals often look very large.  So you want to learn to make effective presentations or manage that difficult boss?  With perseverance, encouragement and coaching support, you can do it.  You might be amazed how often setting some ambitious goals inspires others and makes them very willing to give you a helping hand.
2. Break those big dreams into small wins.  All the research says that if you try to take on the big dream in one fell swoop, you're liable to fail big time.  Instead, success in personal change and growth usually takes place in baby steps.  So look for surefire bets.  If, for example, you're learning to speak up in team meetings, set a goal for speaking up just once for each of the next three sessions, then add to it.  Oh yeah, pick the easy steps first.  That way you can enjoy the experience of success more often.
3. Figure out what keeps you from making a change.  Until you grasp why you're sticking to old habits and routines, it may be hard to muster enough will and energy to succeed.  At least part of the reason we stick to old habits is that we enjoy them.  Bill Bridges of Managing Transitions fame points out that we need to start by figuring out what we're saying goodbye to.  Then recognize that it's the transitions from goodbye to hello that do us in.  Rosabeth Kanter talks about that change difficulty as the miserable middle.  Inevitably, success implies letting go of the past and muddling through the transition.  Be realistic with yourself.
4. Commit yourself.  Make yourself accountable.  Telling people your goals can result in one very important motivational tool.  Some of my clients regularly push me on my big dream.  Although I get frustrated with them on occasion, I'm aware that they really care or they wouldn't push my buttons so often.
5. Celebrate your successes.  Don't wait until you've achieved the big dream.  Nearly all changes are incremental.  Acknowledge your success as you tick off each small win.  Get a pat on the back from your coach or your spouse.  You may think that "attaboys" are hokey, but they are very useful for all of us.
6. Learn from your failure.  Any time you screw up attempting to make a change, be smart about your interpretation.  Screwing up is one more step toward your ultimate goal.  I once asked my son-in-law, a research physician, how he dealt with research failure.  He had a quick response: "Each research failure gets me closer to my ultimate research goal.  After each one, I know what won't work, and that sets me free to try something else."
7. Give thanks for your achievements.  Forget perfection.  Set your sights on the ultimate goal, not the process.  You'll find that you'll benefit, and often significantly, even if you don't achieve exactly what you planned.

If Surprises Are the New Normal, Then Resilience Is the New Skill

In yesterday's blog, Harvard's Rosabeth Kanter summarizes her five lessons from 2010 worth repeating, beginning with the recognition that surprise and change are the new normal.  That being so, then resilience for individuals is the new skill.  Simply put, resilience is the ability to bounce back successfully when facing stressful or even traumatic experiences. 

Experience suggests that most of us are not very reliable at predicting how we'll behave when facing difficult situations. That may mean the loss of a child, a spouse or a job, or in my case the loss of my wife to Alzheimer's and the subsequent downsizing from a large home to an apartment.  Reflecting on my two recent traumas, I can tell you now that I should have multiplied my expectations by 8 to 10.  My training in stress management didn't improve my predictive ability, although it was a great help in managing much of the stress.

Many of us have faced or will face the question posed by Benedict Carey: Do I have the right stuff?  Or, is this sinkhole simply too deep?

There is a long history of the study of resilience, but two studies are of special value for facing a volatile economy that that continues to affect many of us in very personal ways.  A recent lifetime resilience study by Seery, Holman and Silver finds that our success at resilience is not a matter of personality, genes or even the nature of our stresses and traumas.  Instead, as Dr. Silver finds: Each negative event a person faces leads to an attempt to cope, which forces people to learn about their own capabilities, about their support networks--to learn who their real friends are.  That kind of learning, we think, is extremely valuable for subsequent coping. 

But there's a caveat: Frequency makes a difference.  You can have too much stress, and go under.  Or, you can have too little experience with stress and trauma and then be hit, unprepared, by a knock-out blow.  I've found numerous settings in which highly capable business people have sailed through top schools without the slightest perceived difficulty, and then fumbled badly.  So badly that some never recovered from their first major job or family stress.  Dr. Seery said that the people in the study who recalled zero or one negative event were actually worse off than those with a handful of adverse events.

In short, the people in the middle who had successfully faced two to six major stresses throughout their life showed the greatest resilience.  Because they neither avoided nor were inundated by stress, they were able to learn how to successfully cope with their traumas.

The second study, which I believe is more valuable, found that the source in overcoming hardship and adversity is not a matter of individual toughness.  Rather, it is an individual's relationships.  Through them resilience can be strengthened.  The study reported by Linda Hartling of Wellesley College showed that the focus on resilience development will need to be on growth-fostering relationships.   

In sum, when faced with difficult situations, reframe them as opportunities to learn and grow, and keep building those quality relationships.