Getting unstuck using leadership paradox to execute with confidence

Fewer people know that there are principles and practices they can use to address personal, role, leader, organization, and global paradoxes.. Chapter 1 Discovering paradoxes: How to dif

Humans are naturally wired to solve problems Implement the right

solutions and the problems generally go away Paradoxes are quite

different They consist of opposites that do not appear to be able to

coexist, but must Most of the issues that keep organizations from

achieving strategic success are not problems, they are paradoxes

Practical approaches to address our most important paradoxes do

exist By reading this book you will learn how to address the paradoxes

commonly encountered in organizations and in life

Getting Unstuck: Using Leadership to Execute Paradoxes with

Confidence will teach you how to balance key paradoxes to achieve

greater long-term growth and enhanced sustainability than those who

rely on financial data and problem solving methods alone It addresses

the issues that are the most troublesome to people and the

organiza-tions they work for

Describing how to think and work more strategically, the book

intro-duces the language and tools you need to share innovative approaches

to dilemmas within your organization and to develop better working

relationships, both internally and externally It provides a practical and

powerful platform to help you develop new possibilities and achieve

your strategic objectives You will learn how to see conflict with a fresh

set of eyes, how to redefine your roles, and how to become more

effective professionally and personally

If you have experienced trouble implementing strategic objectives,

difficulties getting people from different parts of your organization to

work together; if you want to achieve a higher level of success, if you

feel stuck, then read this book Filled with examples of real-world

paradoxes, it supplies valuable insights into the root causes of

work-place conflicts to help you execute change with greater confidence and

effectiveness.

Execute with Confidence

Getting Unstuck Using Leadership Paradox to Execute with Confidence

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Noah, Evan, Erica, and Lisa

Preface xi

About The Leader’s Toolbox xv

Introduction xvii

Chapter 1 What’s a Paradox? Why It’s Relevant! 1

What Am I/Are We Supposed to Do? 1

It’s Not Really a Problem 2

Is This a Problem or a Paradox? 4

Whatever Happened to Right and Wrong? 4

The Paradox Training Advantage 5

Chapter 2 Organization Paradoxes: Understanding Resistance to Change 9

It Shouldn’t Be This Hard 9

What May Not Help? 10

Common Organization Paradoxes 11

Organization Paradox Examples 11

The Drama of the Unbalanced Paradox 13

Your Leadership Role 17

How Can You Spot a Strategic Paradox? 18

Strategic Paradoxes: How to Create Sustainable Growth 24

Structural Paradoxes: How to Lower the Silos 29

Overview 29

It’s a Battle in Here 31

How to Overcome Structural Paradoxes 34

Additional Options to Creating More Effective Structures 36

Hackathon: Example of an Emerging Organization Structure 37

Functional/Division Paradoxes: Why Are We Fighting with Each Other? 38

The Issue 40

The Work of Senior Leadership: Balance the Functional Silos 42

How to Spot a Functional Paradox 43

Chapter 3 Role Paradox: Damned If You Do…Damned If

You Don’t 47

The Paradox of Time: The Struggle to Focus on the Important 48

The Secret to Improving Productivity AND Employee Engagement 48

Achieving the Balance 51

Living a More Powerful Life 52

The Paradox of Team 58

Chapter 4 Leader Paradoxes: Conflicting Roles/Conflicting Advice 71

Personal Leader Paradoxes 71

Paradoxical Commandments of Leadership 74

The Paradoxes of Making Decisions 75

Limitations of Judgment 76

Addressing Decision-Making Paradoxes 78

The Paradoxes of Building a Corporate Culture 79

Leading Organization Cultural Change: The Drama 82

The Best Leadership Model 90

Chapter 5 Personal Paradox: Addressing Life’s Universal Challenges 93

Universal Human Paradoxes 93

The Polarity Map™ 96

When Interests and Values Collide 106

Closing Thoughts on Personal Paradox 109

Chapter 6 Addressing Humanity’s Most Pressing Challenges 111

What We Experience 111

Antibiotics in Agriculture Processed as Paradox 115

The Healthcare Paradox 118

Breaking Down the Silos 119

In Conclusion 121

Chapter 7 The Right Moves: Taking Action 123

Taking Individual Action to Balance Your Most Critical Paradoxes 123

Moving from Thinking to Action 125

Leadership Actions to Balance Paradox 128

Time 128

Taking Leadership Action 129

The Organization Path to Balancing Paradox: An Example 132

Appendix Three Roles That Leaders Play 137

Instructions 137

Bibliography 139

Index 141

The Author 149

The ancient Greek philosophers dealt with such paradoxes as the origins

of life (chicken vs egg), what reality is, and the sources of knowledge During the next several thousand years the concept of paradox remained mysterious, to be addressed primarily by philosophers who directed their attention to obscure issues that were far from the concerns of practical, everyday existence

In the last 100 years, society has overcome many of the issues that had been deeply problematical Significant progress has been made in the sciences, technology, food production, urban living, etc Living life has in many ways become safer and easier Yet existential issues that we feel seem more deeply entrenched We are threatened at fundamentally higher levels We worry about the continued health of the environment, the depletion of natural resources, the continued efficacy of government institutions, and the ability to limit the destructive military capabilities of nations As individuals, organizations, and government institutions, we wonder what we can do to impact our lives proactively and positively.The typical response to these existential issues is to search for immedi-ate solutions to assuage our anxieties We sometimes ask others—experts, the government, etc.—to address the problem for us Too often the efforts

of these others fall short of our expectations We are likely to advocate for simple solutions that make total sense to us We cannot imagine that others can hold valid points of view contrary to our own Tensions esca-late The parties become emotionally polarized Their discussions about

critical issues soon degenerate into determining who is right—our lying assumption being there is only one “right” answer (ours) Your solu-tions are “wrong.”

under-The alienation that we feel is the result of treating the issues as problems that can be solved In reality the complex issues before us—whether in our home lives, organization, or society—have no simple resolutions They cannot be adequately addressed as problems Problems have solu-tions that, when implemented, seem to resolve the issues before us The challenges before us, even as they are exacerbated by shrinking time and space, are not problems at all They are intractable paradoxes that need to

be managed over the long term They will never go away

The concept of paradox has moved from the domain of the philosopher to our personal domain Developing our capacity to address a number of criti-cal paradoxes is central to the welfare of humanity The major questions of modern life—the continuity of our planet, human existence, the success of our organizations, and our personal happiness—are all complex paradoxes

I have worked with companies, C-level leaders, and individuals for more than 25 years In all this experience I discovered that few people know what the word “paradox” means and its relevance to their success Fewer people know that there are principles and practices they can use to address personal, role, leader, organization, and global paradoxes And fewer still know the difference between a problem to be solved and a paradox to be balanced What is more, they don’t know that, if they treat a paradox as a problem, the problem intensifies

In 2013, The Korn/Ferry Institute compared the findings of its recent study with those 5 years earlier The changes in the economic climate in Europe have significantly changed the characteristics required for senior leaders and their organizations to be successful “Executives who could once lead with a steady hand must now have the fluidity to manage dis-ruption and creativity—and opportunities that arise out of constraint.” Table 0.1 compares the competencies from the 2007/2008 survey with the one completed in 2012

The desired characteristics shift from strong management and ship skills to the ability and emotional stamina required to navigate high levels of uncertainty Though the study was conducted in Europe where the current economic situation is far more uncertain than in the United States, there are a number of market sectors, such as healthcare, that are finding themselves in unchartered and choppy waters

relation-This book was written to address the issues that are most troublesome

to people and the organizations they work for I intend to provide readers with deep insights into the root causes of workplace issues In this book

I provide practical language and tools to address the paradoxes that seem

to block the achievement of success and life satisfactions You will find this book insightful and deeply practical My intent is to arm you with concepts and tools to navigate this challenging terrain

The impetus for writing this book came from the requests of many business professionals, healthcare leaders, and individuals with whom

I have worked, who have found their new understanding of paradox to

be transformative

I intend to provide the means for understanding this powerful, often sive subject I describe principles and tools that, when implemented, have the power to help individuals, organizations, and nations to become unstuck.The concept of paradox no longer needs to be a mystery The approaches presented here are easy to learn and easy to apply In the hands of many, they can transform personal life, organization, and national success

illu-PURPOSE

In this book you will find ways to work with life’s most vexing and persistent issues Readers are not asked to change their beliefs, their skill sets, their

TABLE 0.1

Shift in Competency Importance Rankings

1 Customer focus 1 Dealing with ambiguity

2 Drive for results 2 Customer focus

3 Motivating others 3 Manage vision and purpose

4 Priority setting 4 Strategic agility

5 Problem solving 5 Managerial courage

6 Timely decision making 6 Perspective

7 Strategic agility 7 Priority setting

8 Organizing 8 Motivating others

9 Command skills 9 Drive for results

10 Business acumen 10 Listening

motivations, or their values Instead, this book provides practical language and effective tools for seeing the world with a new set of eyes for more easily working through issues.

This book helps individuals and groups better understand why challenges that seem unique or deeply personal are most commonly experienced The reader is encouraged to work with others who have different perspectives Working together allows new possibilities for creating greater organization success, deeper employee engagement, and much reduced personal stress The reader is encouraged to use the practical tools to achieve success in addressing issues that have previously defied effective resolution

A special thank-you goes to the leaders of those organizations with whom I have worked over the last 25 years From you I gained an apprecia-tion of the many challenges at the organizational, professional, and deeply personal levels that must be addressed when trying to do the right thing You have taught me a lot

Deane Gradous has been a wonderful friend and supportive editor who helps transform my thoughts into quite readable and comprehensible prose Her constant guidance to keep going and, “I’ll fix it,” helped me understand the value of moving forward with this work and the need to put it on paper for others to partake

Many thanks to Larry Rudnick for providing the examples that drive home the existence of naturally occurring paradoxes in nature, to Alfie Marcus for sharing ideas and leadership concepts, and to Michael Brindisi for his talent bringing my thoughts to life I greatly appreciate the support

of Mike Humphrey, who strongly urged me to share my ideas in book form

to create a better platform to share the work Your inspiration and support have mattered greatly

To Carrie, who instinctively knows how to be helpful, your ever present support allowed me the freedom to express my thoughts, to try to help others in more effective ways, and to create greater meaning in my life by allowing me to pursue my life’s passion Thank you for always being here

The Leader’s Toolbox teaches people how to think and work more gically New language and tools provide the necessary platform for peo-ple to facilitate the sharing of innovating, often conflicting ideas, to build stronger working relationships both inside and between organizations, and to more easily implement strategic objectives and change Through training, coaching, and consulting we build a resilient, adaptable work-force that more easily anticipates and responds to unpredictable, fast, and challenging markets

strate-When we discovered that conventional change and improvement approaches proved slow and ineffective, we built new paradigms of leader-ship development and change management Working with healthcare organizations, companies of all sizes, government, and non-profits, we developed powerful, practical and proven approaches to more easily accomplish business objectives that provide a direct payback on time and financial investment Our work is sustainable Years after our initial engagement we typically find that people and organizations continue to use our methods They stick because they work

If you are having trouble implementing strategic objectives, having people from different parts of the organization work together, or want to achieve higher levels of success we would be happy to talk with you

If you would like additional guidance to work through your paradox or found success using the approaches presented in this book, please contact us

If you want additional free tools, please visit our website

Ralph Jacobson

The Leader’s Toolbox, Inc ralph@theleaderstoolbox.com

952-831-7488 theleaderstoolbox.com

personal-• You laid out objectives, provided frequent updates, and gave direct feedback, but your relationships with subordinates and peers remain strained.

• You attempted to become more strategic and to demonstrate more leadership behaviors, but the challenge of balancing these with the short-term expectations of others feels insurmountable

• Your business market demands frequent change and innovation, yet all efforts to implement change are met with internal resistance—placing great risk on the ability to achieve strategic intent

You seem to have few solid choices, few solutions to complex issues You wonder whether the issue is you, the others around you, the job, or life itself You imagine that the grass must be greener elsewhere, yet you realize that is unlikely to be so Seeing no options, you become angry, frustrated, and perhaps depressed

ARE THERE BETTER ANSWERS?

This book provides approaches to the critical issues before you that are easy to learn and easy to apply If you follow the principles and practices

outlined here, you will more certainly and consistently accomplish your professional and organizational objectives As an experienced organi-zation consultant and leadership coach, I realize that most of the com-monly proposed solutions to leadership dilemmas are inadequate Instead,

I offer powerful and effective approaches to help you understand and work through the paradoxical issues of professional leadership

You won’t be asked to focus on your personality type or the quality of your communication skills, or define who you should be Rather than a long list of leadership attributes, you will learn what you can effectively do.Whether you are the leader of a project, function, department, or com-pany, by the time you finish reading this book, you will see the major issues in your life from a different, more powerful perspective You will:

• Understand that many of the issues you face are not problems to

be resolved

• Learn active approaches to allow you to create a satisfying set of possibilities

• Get where you want to be as quickly as possible

After you read these few pages and work through the exercises, you will

be able to apply your new knowledge and skills to your real-world issues

WHY THIS BOOK?

Why yet another leadership book when there is no shortage of books

designed to improve leadership skills? Why should you read yet another

one? What makes this book different? As a consultant who works every day with people who do the heavy lifting in organization settings, I under-stand where people become stuck when dealing with critical issues Here you will find practical approaches that that are easy to put into practice These new approaches will make a positive difference in your personal and professional life…and most often improve your organizations in some significant way

HOW TO READ THIS BOOK

Read the first chapter Then read the chapters that most interest you

Chapter 1 Discovering paradoxes: How to differentiate a problem

from a paradox…and why it’s critical for personal,

professional, and organization health

Chapter 2 Common organization paradoxes: How to spot and

manage the most important aspects of organization life

Chapter 3 Role paradoxes: How you get in and out of your

professional box

Chapter 4 Leadership paradoxes: Addressing the universal

complexities of leading and implementing change

Chapter 5 Personal paradoxes: How we get what we don’t want…

and what to do about it

Chapter 6 Societal paradoxes: Insights to address some of humanity’s

greatest challenges

Chapter 7 The right moves: Utilize the approaches in this book

to improve your life, your organization, and society

You and a small group of colleagues could test the ideas by working through a few of the exercises The tools in this book provide power ful insights and effective ways to deal with the issues you face

1

What’s a Paradox? Why It’s Relevant!

The great paradox of the 21st century is that, in this age of powerful nology, the biggest problems we face internationally are problems of the human soul

tech-—Ralph Peters

WHAT AM I/ARE WE SUPPOSED TO DO?

Have you ever…

• Been so angry at people that you just wanted to tell them what you thought AND then realized doing so might jeopardize your friend-ship? On the one hand, if you tell them, you will feel better because it’s now “off my chest” and you will have a more honest connection

to those people On the other hand, if you tell them, they may not be able to handle “the truth.”

• Wanted to spend more time on things that are personally tant to you AND worried that if you did, you wouldn’t do what you needed to do professionally, which might affect your ability to keep your job or get a promotion?

impor-• Heard one side of an argument and agreed with that person AND then heard a different opinion and agreed with that opinion as well?

• Wanted to delegate responsibilities to others AND worried that you would be held accountable if they didn’t perform as expected?

• Been caught between the needs of a boss who wants you to think more strategically AND the needs of direct reports who want you to focus on operational issues?

• Been caught between the need to be more open with people AND wanting to protect them from larger issues that could affect their morale or their loyalty to your organization?

Most of us, when we face issues like those described here, feel caught between a rock and a hard place We feel compelled to choose one side or the other AND that whatever “side” we choose will feel wrong How do we get ourselves in such “damned if we do/damned if we don’t” situations?

IT’S NOT REALLY A PROBLEM

From early childhood we learn that doing and saying the right things frequently bring rewards When we correctly identify a color, we are ready to move from kindergarten to first grade Our getting a good grade point average in college helps us secure a good job or be accepted into a good graduate school Our meeting or exceeding the boss’s expectations over time warrants a promotion Through life experiences we come to believe that…

1 Most things have answers

2 Provide the right answers, and we may expect a reward

3 Provide the wrong answers, and we are likely to achieve less success and perhaps feel shame

4 Our fear of not coming up with the right answer leads us to avoid making wrong decisions

In other words, when we try to find answers to issues that have no apparent “solutions” we feel stuck

Is there:

• Long term OR short term?

• Professional time OR personal time?

• Tight control OR delegation?

iar either/or formula will not work In order to work through the preceding issues, we have to change the formula to both/and There must be:

• Long term AND short term!

• Professional time AND personal time!

• Stability AND change!

• Team AND individual!

• Me AND us!

• Centralization AND decentralization!

• Breathing in AND breathing out!

• Life AND death!

How does this work?

Should we focus on long-term success? This is a no-brainer…of course!Should we focus on short-term success? How do you get long-term success

if you don’t have short-term success? Also a no-brainer! But when an issue

is posed as an either/or question—“Should we focus on the short term OR the long term?”—the implication is that we are required to make a choice

We feel compelled to answer the question as framed We are persuaded to

choose one side or the other.

A paradox is a conflict between two perspectives that appear incapable

of simultaneously existing at the same time…yet they must A paradox has at least two apparent options, called polarities (for example, short and long term) The effective management of a paradox requires balancing the polarities over time

The issue is not whether to choose one OR the other…but rather to

choose both polarities…simultaneously Putting it this way sounds easy

What then keeps us from choosing both?

First, people hate uncertainty and anxiety and will do almost anything

to avoid or reduce them Important paradoxes create conditions that

bring out the fight or flight impulses in each of us We feel compelled to take quick action to reduce internal tensions We may choose to take an either/or approach to ameliorate the situation for the time being.

For example, you are swamped at work You respond by spending more professional time, which reduces personal time The workload doesn’t diminish Ten years later you realize that you missed the challenges and rewards of being a parent during the formative years of your children’s lives On the other hand, you may have reaped the rewards of financial recognition and keeping your job Nevertheless, you sometimes think about Peggy Lee’s song, “Is That All There Is?”

Paradox, then, is a situation or statement that seems impossible or is difficult to understand because it contains two opposite facts or character-istics The polarities of a paradox are viewed as a contradiction, inconsis-tency, incongruity, dilemma, and/or oxymoron

Is This a Problem or a Paradox?

It is important to know if the issue before you is a paradox or a problem!Treat a problem like a paradox: The problem never goes away

Treat a paradox like a problem: The paradox gets worse

These three questions help to determine if the issue before you is a lem to be solved or a paradox to be balanced:

1 Have you tried implementing solutions for a long time…and nothing seems to help?

2 Do you see at least two viable alternatives?

3 Is the issue of some importance to you?

If you answered YES, the issue before you is likely a paradox that must

be balanced

Whatever Happened to Right and Wrong?

Most paradoxes have two polarities—for example:

Right for me ↔ Right for us

Invest ↔ Take profits

Diverse points of view ↔ Efficient use of time

Which polarity in each pair is right? Which is wrong? In a paradox they are both right AND wrong In the midst of our predicament, we may not see this quite so objectively Rather, we are likely to:

• Choose one polarity over the other by either advocating our solution

or passively withdrawing participation because we assume the issue

is a problem with an obvious solution The danger, of course, is that our solution may create the next issue or deepen the current para-dox The “winner” in any argument over a paradox tends to be the individual or function with the most resources or political clout or …

• Accommodate both sides with a compromise—an unsatisfactory

“little bit of this and little bit of that.” Although compromise reduces the short-term tension between those who hold differing points of view and it appears to create a consensus, it does little to help balance the paradox over the long term The effective management of paradox

requires strong emphasis of both polarities…simultaneously or …

• Stubbornly emphasize both polarities Each party feels that it is right and is unwilling to see the value of the other The strain of the result-ing argument pulls the two sides further apart A power struggle ensues And a “winner” emerges—which generally means the orga-nization loses over the longer term The seeds of discord can survive far longer than the original issue itself

The Paradox Training Advantage

Armed with an understanding of paradox, two individuals, functions, or organizations that hold opposing points of view are more likely BOTH

to advocate their own perspective AND to see the potential value of the other’s perspective Each understands that the optimal path forward may

be to embrace totally opposite views fully They leave their conversation with a clear understanding of the strengths and weaknesses of their own and the other’s positions They also leave their conversation with greater understanding, a resolution to move forward, and an agenda that includes possibilities that neither could have imagined at the start They leave having developed mutual respect for each other

Learning to understand paradox, its effect on decision making, and how to conduct a dialogue accordingly has an immediate and long-lasting positive impact on working relationships and organization outcomes Following training sessions on the topic, the idea of paradox often goes viral People who were not participants in the initial training learn about and use the principles of paradox with their peers.

PARADOXES IN NATURE:

UNCERTAINTY AND POSSIBILITY

At the beginning of the twentieth century, physicists could envision knowing everything There were practical problems, to be sure, but if you could simply measure where something was and how fast it was moving at any instant of time, you could predict where it was going

to be at the next instant By now measuring position and velocity for every particle in the universe, from the atoms in the farthest stars

to the charged particles carrying signals in our brains, you could lay out the complete future of everything The entire universe would become predictable, under control, at our fingertips, if we simply kept pushing on the details

And then the dream died As German physicist Werner Heisenberg articulated in 1926, there were built-in, fundamental uncertainties in any measurement—you could not simultaneously measure the posi-tion and the velocity of a particle to whatever accuracy you wanted There was now an irrevocable tension, a paradox, if you wanted to know where a particle would go next; neither those who wanted to measure position nor those who wanted to measure velocity could have it all Even Einstein rebelled at the thought In the end, though, the dream was indeed lost, the battle between position and velocity was unresolvable

Out of the ashes of this deterministic universe, however, came

a far deeper and richer understanding—a new way of looking at particle behavior that, today, we call quantum mechanics The uni-verse certainly became a messier place with probability replacing certainty But it was also an incredibly more vibrant one, where atoms and molecules discovered how to dance together, human hands cre-ated miraculous electronic devices, and even the stars learned how

to shine

A Before-and-After Example

THE CONTEXT

Residents in medical training provide direct patient care under the supervision

of the faculty as they learn more about their profession Medical school deans want to offer as many residencies as possible since it adds prestige to their pro- grams But hospital and clinic financial administrators want to limit the num- ber of openings because residencies cost more than the income they generate.

In many medical schools the discussion of the number of residencies to

be offered is contentious One person, charged with determining the ber of residencies, mentioned that a decision he made had so alienated a few

num-of his closest prnum-ofessional colleagues that they continue not to talk with him

20 years later.

THE DRAMATIC CONFLICT

Charles was the chief medical officer for a hospital and health network that

is associated with a medical school The number of resident positions for the following year had to be determined In past years, the dean relent- lessly pursued the maximum number of openings He seemed unmoved by the financial implications of his decision The chief financial officer felt the organization had to limit the number of openings because the hospital was increasingly unable to subsidize new positions Charles was in a double-bind situation: He worried about having to favor either the reputation or the finances of the school.

THE RESOLUTION

Coincidently, Charles participated in a professional training session on the role of paradox in decision making He first applied the test to determine whether this issue was a problem to be solved or a paradox to be balanced:

1 Have you tried implementing solutions for a long time…and nothing seems to help?

Indeed this issue was faced by Charles’s predecessors and takes place

in many medical schools The battles typically take place between the dean and the chief financial officer.

2 Do you see at least two viable alternatives?

Indeed, there are two opposing points of view that both have validity The school must have as many residents as practical AND remain financially viable.

3 Is the issue of some importance to you?

Getting this issue right is central to the success of the institution.

Based on this analysis, Charles immediately realized that he was indeed directly in the path of a maelstrom that was a paradox that must be balanced, not a problem to be solved If he treated this issue as a problem, whatever the number of residents he selected, he would be wrong.

The situation demanded that the two opposing sides sit in the room together with him to help make the decision With some coaching from the author, he developed the courage to bring both parties together He explained the idea of paradox The challenge for all three people in the room became how to have a strong residency program AND maintain the financial integ- rity of the organization The parties came to consensus on the number of openings and looked for ways in which every residency could begin to pay for itself.

THE LEARNING

Charles assumed the dean was disinterested in the financial aspects of the decision By bringing the parties together and defining the issues as para- dox, both sides were able to see the perspective of the other In addition, Charles discovered that he had more ability to influence the situation than

he originally imagined He learned that the paradox process led to a ent kind of conversation—one where he could be more open and honest He

differ-no longer needed to fear controversy He stopped feeling as if he were caught

in the middle of a no-win situation.

RALPH’S THOUGHTS

• The more paradoxes I see, the fewer solutions exist

• I like things simple so that I can understand them Getting to simple

is complex

• There are no silver bullets, though I keep looking for them

One of the greatest frustrations organization leaders experience is ing to work through a multitude of paradoxes The next chapter describes many commonly experienced organization paradoxes, why it is important

try-to deal with them effectively, and practical approaches try-to address them

IT SHOULDN’T BE THIS HARD

Leaders need structure and effective tools to help them lead Mission and vision define why the organization exists and what it wishes to become Goals and objectives outline what needs to be accomplished in the short term and how progress will be measured The budget allocates financial resources The organization chart spells out who is accountable for what Performance-management processes define what must be achieved and how and what skills people need Taken together, these fundamentals assure that everyone in the organization knows why, what, when, and how work will be completed

Despite having communicated the preceding points with clarity, leaders typically ask:

• Why is it so hard for people to comprehend and act upon my messages?

• Why can’t departments and functions complement rather than pete with one another?

com-• Why is it so hard for people to address long-term issues?

• Why do simple solutions become controversial?

• Why can’t the leadership group function as a team?

• Why do we constantly struggle with one another when we should focus on attacking the competition?

• Why is it so difficult to implement change?

Despite their many efforts to reduce uncertainty and to gain control, leaders are often befuddled by the apparent chaos before them They wonder why people “don’t get it.” They recognize the almost insurmount-able obstacles involved in getting people to move together toward a com-mon objective and to use financial and human resources effectively, all of which significantly reduces the organization’s ability to achieve its purpose and remain adaptable to shifting market circumstances They wonder what more they can do to provide greater clarity and improve execution

What May Not Help?

Many leadership experts focus on improving the leader’s style and munication skills They assume that if the leader says the right things in the right way, people will more likely follow and the organization will ultimately become more successful Unfortunately, the way out of many recurring and complex issues is less about the leader’s communication style and more about changing the leader’s fundamental understanding of the issues and the substantive actions that will make a difference

com-Leaders are eager to get things done quickly Speed of execution is how they personally achieved their ascent up the organization chart Further, they are inclined to see complex issues as problems to be solved—an approach that often leads to creating more problems, which may explain

in part their failure to get the organization to move forward

As noted in Figure 2.1, the approaches to issues that might have worked for managers and individual contributors at their levels are inadequate

Problems to solve

Entering Professional Manager Director Vice President CEO

Paradoxes to balance

FIGURE 2.1

Ratio of problems and paradoxes by position on the organization chart.

further up the hierarchical ladder Leaders not only need to develop new relationships and communication styles and techniques, they also need to see the issues before them with a new set of eyes A more comprehensive understanding of the issues can become the foundation for more effective strategy, tactics, and employee engagement.

This chapter describes many common organization paradoxes, explain why they exist, and shows what can be done to help manage them

COMMON ORGANIZATION PARADOXES

Typically, organization paradoxes:

• Take place in the context of an organization setting

• Are the result of meeting competing organization requirements

• Persist over time despite numerous interventions to manage them

• Are critical to organization success

Though organization paradoxes are typically experienced as unique

to a specific organization or industry, in fact they are almost universal Naming the paradoxes and providing appropriate methods to address them lowers resistance to change, improves cross-functional communica-tions, creates a better climate for rational decision making, and opens a path to new possibilities Using structured approaches to common para-doxes makes it easier for people and organization leaders to work through critical challenges that appear to defy resolution

Organization Paradox Examples

Table 2.1 provides typical examples of organization paradoxes and how they are often experienced by various stakeholders Review the table, highlight the items that seem most critical to you or your organization, and add to the list as necessary

Exercise: How Are Organization Paradoxes Affecting Us?

Select three of the most important highlighted paradoxes and place them

in the first column of Table 2.2 You will use your answers as you proceed through the rest of this chapter You will have a path to address them

Common Organization Paradoxes

Strategy • Long versus short term

• Local versus global

• Invest versus take profit

• Core versus new

• Explore versus exploit

• Innovation versus quality

• Stability versus change

• Customize versus standardize

• Frequently shifting priorities

• Infighting between leadership group, divisions, and functions

• Reduced leader credibility

Structure • Hierarchy versus flat structure

• Centralization versus

decentralization

• Needs of the tops versus needs of

the bottoms vs needs of middles

• Do what boss wants versus argue

for doing what I think is right

• Do what’s best for my function

versus best for the company

• Be strong individual player

versus be strong team player

• Opposing priorities between organization functions/parts

• Suboptimization of the parts

• Significant infighting between the parts

• Struggles among the members

of the leadership team Team versus

individual • Do what’s best for me versus best for the group

• Motivate strong individual

performers versus work with others/across boundaries

• Best performers leave the organization

• Inability of teams to make decisions or take decisive action Time • Focus on long-term or

short-term issues

• Do what I do well versus do

what is helpful to the organization

• Professional versus

personal time

• Feeling like not making a difference or that work is not valued

• Not growing professionally

• Sense of hopelessness that nothing will change Organization

values • Customer focus versus employee focus

• Some functions valued and

treated differently from others

• Top-down versus consensus

THE DRAMA OF THE UNBALANCED PARADOX

Unbalanced Organization Paradoxes

Unmanaged and unbalanced paradoxes foster employee cynicism, wasted resources, and missed opportunities Figure 2.2 describes the predictable stages of unmanaged, unbalanced paradoxes

Stage 1: Dissatisfaction and Fear

Unbalanced paradoxes typically reveal themselves in poor profits, high levels of employee turnover, and in-fighting among parts of the orga-nization With the lack of a clear forward path, ambiguity and tension trigger employee awareness that the status quo is fraught with danger Some employees cling to the past, while others realize that their former responses are no longer sufficient

TABLE 2.1 (Continued)

Common Organization Paradoxes

Culture • Open to diverse points of view

versus getting things done

• Cost versus quality

• Joint decision making versus

individual decision making

• Adapt/experiment versus stay

with what we know

• Too much or too little experimentation

• Inability to get people to support change

Exercise: Seeing the Most Critical Organization Paradoxes

Highlighted Paradox Our Organization How It Is Hurting If This Were Improved, What Would Happen?

Long term versus

short term We can’t get our priorities clear We would define what has to be fixed now…and what issues are not now hot,

but will be in the future

Stage 2: Advocacy

To ameliorate their anxieties, people sincerely believe that only one side

of an ongoing organizational struggle can prevail They lobby for that side to the exclusion of the other side Leaders are then cast in the posi-tion of refereeing internal battles Thinking they must confront a series of problems rather than managing one or more paradoxes, the leaders are tempted to choose sides However, their deciding in favor of one side over the other further hardens functional walls and prevents finding opportu-nities to harmonize opposing interests

Stage 3: Suboptimization

Choosing one side over the other comes with costs, such as a focus on short-term gains rather than long-term profits, a concentration on a narrow customer set, or the dominance of one group over another Well intentioned choices sow the seeds of further dissatisfaction More impor-tantly, they suboptimize the chance of finding a range of options and limit the ability of the organization to respond effectively over the long term Choosing one side feels good because it feels as if a decision has been made, but it often detracts from organizational resiliency and guarantees that the same or similar paradoxes will have to be revisited in the future

Stage 4: Negative Consequences

Choosing one side over the other minimizes the ability of the zation to address its present and future challenges fully Over time, the

organi-Dissatisfaction/

fear

optimization

same issues resurface in such symptoms as unnecessary turnover, reduced profits, lessened competitive strength, and a corporate culture of cynicism

As Figure 2.2 demonstrates, the drama continues as leaders in this and the next generation seek to remedy the ills of the past by choosing the “other” side of the paradox

Overcoming the consequences of poorly managed paradoxes requires bringing together those who hold opposing points of view and establish-ing common ground based on careful listening Wise leaders recognize the strengths in others’ perspectives and the deficiencies in their own They consider how to accommodate various points of view and how to ensure that all perspectives are taken into account

Given the inherent challenge and lack of understanding of paradox, many leaders and their organizations often perform well for short peri-ods of time, but then are unable to sustain advantage over the long term Wise leaders who understand the power of positively balancing paradox increase their capacity to affect change They build resilient organizations that adapt in uncertain and turbulent times A deep understanding of par-adox increases leaders’ awareness of the effects of competing perspectives

on organization behavior Bringing together opposing perspectives allows the creation of new and more powerful possibilities

Example: Organization Paradox War Zone

THE CONTEXT

First Rate Bank (a pseudonym) is one of the country’s largest banks Marta, who heads the national commercial real estate division, is widely acclaimed for her knowledge of the industry Because of her sound leadership, in the last economic slowdown, when many banks were caught with large quanti- ties of unsecured loans, First Rate fared far better than many of its com- petitors Since then, however, the division has experienced unprecedented competition—not only from commercial banks, but also from other finan- cial institutions Demand for new construction, the bank’s historical target market, is down The bank has never before emphasized the market for reconstruction loans, but Marta now wants to respond to a changing market

by creating new loan packages that reflect current needs.

All loans offered by the commercial real estate division are approved by the credit division Lowell, the credit division’s manager, is charged with protecting the bank against the risk of taking on loans that might default

He has been with the bank for more than 20 years, has a stellar track record, and is a highly valued member of the executive team.

THE DRAMATIC CONFLICT

The relationship between Marta and Lowell has become acrimonious over the last few years There appears to be little respect between the two Bank executives are aware of the many battles between them.

The CEO asked the Human Resources vice president to intervene Initial remedies centered on rebuilding the working relationship The results were disappointing The Human Resources Department then administered per- sonality style and competency tests, the results of which indicated that both leaders were highly dominant and could improve their communica- tion skills.

With coaching, the relationship between the two improved for a short while before settling back into old conflicts.

THE RESOLUTION

An external consultant who was asked to work with Marta and Lowell saw that their conflicts masked the true issue, a paradoxical situation Their indi- vidual leadership capabilities, or lack of them, were not the cause of conflict Rather, a paradox had pitted people with opposing, yet valid, perspectives against each other.

Obviously, the bank had to achieve the highest levels of profitability

by selling as many loans as possible AND ensure the safety of those loans

Someone from outside the fray clearly saw and understood what those on center stage could not.

The consultant first defused the difficult emotional climate by explaining the paradox and by helping the leaders understand the value of the other’s perspectives The two leaders subsequently formed a cross-functional group

to develop formal decision rules for making loans, review potential new markets, and develop a process for dealing with disputed loans.

THE INSIGHTS

A number of critical insights emerged:

• People may be unable or unwilling to view an issue from differing perspectives.

• Tensions between people often indicate that a broad, fundamental paradox is keeping them from effectively working together.

• Considerable time, energy, and money are wasted when a paradox is not appropriately addressed.

• Understanding the concept of paradox helps people get unstuck and develop new possibilities.

Exercise: What Paradoxes Are You Dealing With?

Now that you have identified one or more critical organization paradoxes

in Table 2.2, use the next 5 minutes to complete Table 2.3 to think about

how they may be affecting your organization A small investment of your time could clarify the sources of a few internal conflicts and provide you with insights why the stakeholders in those conflicts find it challenging to collaborate with one another.

Now that you understand how the paradoxes are affecting your zation, you are in a place to help people work through them

organi-YOUR LEADERSHIP ROLE

People tend to line up behind particular points of view or polarities Political battles ensue, in which the participants lobby for your atten-tion, approval, and additional human and financial resources Struggles between factions put leaders in the middle, an uncomfortable place to be

As action-oriented people, leaders may be inclined to favor one faction They may even believe their job is to be decisive and to put the issues at rest

so that the organization can focus on other matters As a result, leaders are likely to favor the point of view that aligns more closely with their own.When dealing with problem situations, it is often appropriate to decide When dealing with paradoxes, however, it is helpful to play a more neutral role In such circumstances, the leader’s job is not to decide, but rather

to bring those with opposing positions together in a forum where all can process their points of view Keep the factions talking and connected with one another so that they can develop alternative and more powerful ways of addressing the relevant paradoxes AND find value in the other’s point of view

Changing the leadership role from decider to facilitator reduces nal struggles and creates a more adaptable organization It also makes the leader role more enjoyable and meaningful This is not an easy transition The exercises in this book are designed to help leaders succeed

inter-TABLE 2.3

The Stages of an Unbalanced Paradox

Paradox Dissatisfaction/ Fear Advocacy Suboptimization Consequences Negative

Each department

in survival mode

No time for innovation; no long range projects

Two-Minute Exercise: Your Leadership Role

Continue with the highlighted paradox from the previous exercise

1 What role have you played in continuing the drama of the anced paradox?

2 What actions did/could you take to help people work through the paradox?

HOW CAN YOU SPOT A STRATEGIC PARADOX?

Here are some hints about how to spot an organization paradox:

• Focus on issues that persist, despite your best efforts to resolve them

• Examine situations where there has been high turnover

• Review areas of friction between departments, functions, or individuals

• Evaluate strategic issues that you’d rather avoid, especially if they are crucial for success

• Consider those issues that keep you up at night

Whenever there is drama or irresolvable tension, the natural human tendency is to “fix” it—to get rid of it as quickly as possible However, solu-tions, when implemented, often fuel the paradox Move out of the cycle by viewing the issue from a different perspective

A better way is to ask different questions Rather than, “How can I get

rid of this problem?” ask, “What’s the problem I want to tackle?”

Remember the adage, “What you see is what you get.” If you see a bigger picture, you will provide a better approach to help manage the paradox

A simple thought device is a ladder that will help you view the issue from different perspectives Every rung provides a new vantage point At every rung a different question is asked It is possible to determine which ques-tion is most helpful Use the following three steps to build your ladder:

1 Listen to the history of the issue and determine whether it meets the paradox criteria

2 If so, determine the rungs on the ladder and develop a question for each rung

3 Select the most relevant question

Example: Building the Ladder: Finding the Right Intervention

CONTEXT

John, a vice president, is reputed to be a solid manager People like him for his integrity and leadership skills He tells us that he is about to fire Jack, the third director in the last 5 years All three directors had been carefully chosen Each performed well for the first 6 months; others then started com- plaining that they were not able to get along with the incumbent director

or that he did not possess the skills to do the job John decided to find a

“ stronger” person No one thinks John’s leadership style is causing the issues.

We asked John several questions:

• Who are Jack’s peers?

• Is there a built-in conflict between the roles or the peers?

• Is there a perceived shortage of resources?

• Do some of Jack’s peers want to hold on to the past—while others feel there is a need for change?

• Are there paradoxes within the role itself?

• Where do people in Jack’s role typically get “stuck?”

From John’s responses we learned:

• Jack is expected to bring about change—his peers, who have been with the organization a long time, are interested in stability All three

of the directors struggled with this paradox.

• There are no forums in which to address the competing challenges of trying to develop the new, while maintaining the old.

• The organization provided insufficient resources.

• All three of the directors were viewed by their peers as being “pushy” and uncompromising.

Together with John, we built a ladder in order to see the issue from ous perspectives:

vari-1 We and John defined the rungs on the ladder.

2 We determined the appropriate question for each rung.

3 John determined the rung on the ladder that needed to be addressed During the entire exercise, which took less than 10 minutes, John devel- oped several startling insights, as noted in Figure 2.3 and Table 2.4.

DRAMATIC CONFLICT

John historically saw the issue of the previous directors as their being inadequate to meet job expectations He coached and counseled them to work in closer partnership with their peers and challenged them to bring about significant change.