I'm looking for any sign I can find that we're in recovery -- not
only that the economy is turning around, but that the mindset that led
us into this mess is shifting.
I found a good one.
The
chief learning officer of a highly admired company was talking about
leadership development. He was describing who and what leaders will
need to be to cut a navigable path for others to follow in a future
that is certain to be uncertain, convoluted and complex. His anger and
disappointment about how out of whack we seem to have gotten as a
society match my own...
I'm
scratching my head over AIG and all the lookalikes. Bonuses paid out in
the millions to people costing the company billions? People undermining
the world economy? Oh, right. They're not performance incentives,
they're retention bonuses. You wouldn't want people like that to get
away.
But this CLO has on his boxing gloves. His dukes are
up. He wasn't naming names, but he PowerPointed this quote, attributed
to a Wall Street trader, on a 20-foot screen:
"What
we are experiencing is a colossal failure of leadership in the business
community. CEOs are greedy, shortsighted, unethical, arrogant, and
lacking in vision and commitment. It's truly pathetic."
The quote is depressing. But the
context is encouraging. This CLO is setting out to make some changes. I
think many people, not just the high-profile
multi-million-dollar-earning executives, have been swept up by
the distorted dream defined by our derivatives debacle -- the idea of
spinning gold out of paper. But I believe more and more people are also
looking for something better, more hopeful, and more balanced.
I think we are starting to inch our way out of this mess.
Make a Difference,
Brian
Blog: Brian@GrowthWorks -- Life, Learning & Leadership
Related Stories: | Topics:Innovation, Leadership, Management, creativity, ideas, Business, Jobs and Labor, Employee Compensation, American International Group Inc., Wall Street |
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Recent Comments | 2 Total
August 20, 2009 at 5:34pm by Graham Shevlin
The attitude correction will take a lot longer than simply the recovery from the current recession. The value and measurement system in corporations, particularly public corporations, is out of whack. Just one example - the idea that senior leaders should be given multi-million dollar stock-based bonuses simply for keeping the stock price at some "market level" is nuts. During economic good times, a rising tide lifts all boats. No business leader should be getting credit for that. You're supposed to be incenting leaders to excel, not run with the crowd.
However, the change in the value system requires sustained pressure on Boards of Directors from many different directions - government, the public (via shareholder agitators), and employees. Right now, many corporate leaders live in a bubble, where they interact only with other leaders, and seem to have adopted a value system that is no longer aligned with the value systems of the majority of the population.
Changing the mindset from robber-baron "slash and burn" to enlightened stewardship will take time. However, if there is no change, business leadership in the USA will continue to suffer from an ethical and moral deficit. Ultimately this will result in talented people deciding to do other things.
--
Graham Shevlin
Professional Non-conformist
August 20, 2009 at 5:35pm by Graham Shevlin
The attitude correction will take a lot longer than simply the recovery from the current recession. The value and measurement system in corporations, particularly public corporations, is out of whack. Just one example - the idea that senior leaders should be given multi-million dollar stock-based bonuses simply for keeping the stock price at some "market level" is nuts. During economic good times, a rising tide lifts all boats. No business leader should be getting credit for that. You're supposed to be incenting leaders to excel, not run with the crowd.
However, the change in the value system requires sustained pressure on Boards of Directors from many different directions - government, the public (via shareholder agitators), and employees. Right now, many corporate leaders live in a bubble, where they interact only with other leaders, and seem to have adopted a value system that is no longer aligned with the value systems of the majority of the population.
Changing the mindset from robber-baron "slash and burn" to enlightened stewardship will take time. However, if there is no change, business leadership in the USA will continue to suffer from an ethical and moral deficit. Ultimately this will result in talented people deciding to do other things.
--
Graham Shevlin
Professional Non-conformist