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Smart Business Thinking Newsletter:Olympic Ring 

Fuelling recovery through Engagement
Issue SixSpring 2010
 
In This Issue
Trust - how good are you at building it?
The Rules of Management
Emotional Intelligence
 
Featured Book Review: The Rules of Management 
 
Richard Templar provides a no nonsense approach to management
 We liked it so much we featured it as a series and we share the highlights here.
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Coming up in our next issue:
 
  • Using different Influencing styles to improve your leadership impact
  • New Book Review: Authentic Conversations
    Moving from Manipulation to Truth and Commitment
    by Jamie Showkeir and Maren Showkeir
     Code
  • PLUS  - more topical articles on business issues.
Spring has finally arrived after what has seemed like an interminably long winter.  With it has emerged optimism over the economy and the promise of political change in the UK with the forthcoming elections.
 
We are seeing a change in perspective from companies emerging from this recession, many of which are stronger and wiser.  The focus is on capitalising on strengths through a loyal and engaged workforce.  In the last few month a number of companies have sought Agents2Change advice on how best to develop  emotional intelligence; how to build trust between management teams and their staff; and how to bring a large workforce along a major change journey.
 
The very fact that these type of questions are being raised indicates a shift in mood even from six months ago. 
 
These are the themes we explore here, reviewing the findings from Emotional Intelligence research of a decade ago, along with a review of Richard Templar's no nonsense book, The Rules of Management. 
 
We hope you enjoy our Spring issue and please feel free to send your thoughts. 

  
Mary
Mary McGuire
Editor
 
 
 Trust - how much of it do you have in your workplace?
 
TrustHow important is Trust to an organisation's performance? Is it something that leaders need to concern themselves with? A recent study by CIPD suggests that organisations emerging from this recession do so with less trust from their staff then when they went into it. 
 
Trust is one of those emotive subjects which appears to be so potent that it is almost banned from business dialogue.  When it does make a guest appearance, in say, the dreaded annual staff survey results, organisations find themselves in heated debates that can quickly diminish into finger pointing exercises.  This is in danger of missing the point and missing a valuable opportunity to build collaboration.
 "Trust is the lubrication that makes it possible for organizations to work."  Warren G Bennis
  
Building Trust.
The characteristics that helps to build trust in relationships are similar to those cited in other models, such as Emotional Intelligence, NLP, Appreciative Enquiry etc. The reason for this is that the rapport-building and communication skills that help develop effective relationships are working on the same principles to those required for trust.
 
Types of Trust
Trust can be viewed purely at a transactional level - i.e. a contractually defined relationship with clear rules and expectations.  It can also be seen at a transformational level - i.e., developing a deep, long-term, shared-destiny working relationship.  Or, Trust can be seen as something in-between - i.e. a functional, reliable partnership where enough expectations are met by each party to make the relationship effective.    Most organisations require a practical level of investment, similar to the latter example to achieve reasonable, sustainable performance.
 
Does it Matter?
Trust and its importance is contextual.  To have a solid basis for performance, leaders need to develop rapport-building skills, good communication with their teams and encourage regular two-way communication.  The rest will depend on what performance is required and how important it is to achieve that through others.
 
 
The Rules of Management - our top 10

The Rules of Management  by Richard Templar is a no nonsense almost 'tongue-in-cheek' way of thinking about management.  In his book he presents 100 rules, split between 'Managing your Team' and 'Managing Yourself'.  Our top 10 rules are below:    Rules of management book cover
 

Get Them Emotionally involved: Rule #1 
The vast majority of people come to work to do a good job: to learn, to be stretched, to have some responsibility and to be recognised for their contribution.  Yet this is the very thing that many managers fail to attend to.  Read more

 
Be very very good at finding the right people: Rule #2
This is about surrounding yourself with capable, competent people.  Making sure you invest the time to find those people.   Read more
 
Keep a track of everything you do and say: Rule #3 
As a good manager you need to understand that your words and actions will be under greater scrutiny by your staff and by your customers.  You need to be very good at keeping a track of things so that when the inevitable misunderstanding or misrepresentation occurs, have your facts straight to address things. Read more
 
Cut the crap - prioritize! Rule #4
Templar is unequivocal about this; "When all is said and done, Money is what our work is about.  No money, no business.  No business, no job.  Cut the crap and dedicate yourself to one thing and one thing only - the bottom line ... that's what separates a really sharp manager from all others"  Read More

Set Realistic Targets - no, really realistic: Rule #5
"Realistic means you know what your team is capable of and what is expected of it by your bosses".  The trick is to hit the right balance between demands for solid performance from the company and what your team can realistically deliver without feeling that they are being worked into the ground. Read More
 
Work Hard and work well: Rule #6
"No good being a fantastic people manager if you let the basic job slip" (Templar)
 It's all very well having a great knack of building rapport and showing concern for your colleagues, but this is not enough in itself.  You have to be prepared to be diligent, organised and able to clear the work that builds up in the background before you concentrate on the job of managing your team.  Read more
 
Inspire Loyalty and Team Spirit: Rule #7
Given that you spend as much, if not more time with your work team as you do your family, Templar argues that we should see the team as a kind of family.  The best work teams are like a positive family atmosphere -  collaborative, supportive and fiercely loyal.  Read More
 
Aim for respect, rather than popularity:  Rule # 8 
You can please some of the people some of the time, but you can't please all of the people all of the time, so stop trying. Templar warns us that if we aim for popularity we end up being a David Brent copy, so he advises us to remain detached.  Friendly yes, but not seeking to win any popularity test.  Read More
 
Set an Example, Set Standards Rule # 9
You cannot expect your staff  to work well if they see that you are not turning up on time, avoiding decisions and producing shoddy work.   Behave and work in the way that you are expecting your team to work. Read More
  
Principles, without them your aimless:  Rule # 10
Finally and perhaps most importantly, have principles and stick to them!  As Templar says, you have to draw a line beyond which you will not go.  Its up to you to draw that line, to know where it is at all times and then to stick to it regardless of the pressure you are under.
 
We all know how much respect is lost when someone has no principles, or appears unable to stand up for them. Read More 

 
Emotional Intelligence & Sustained Organisational Performance  - Revisiting the Evidence    
 
heart
About 10 years ago, I jointly undertook some research with Professor Malcolm Higgs of Henley Management College on the validity of Emotional Intelligence at an organisational level  and whether we could see any links between higher Emotional Intelligence (EQ) and Organisational Performance..  The results were very mixed, but the construct and the ideas that support it are just as valid.  This month, I met with a major services group based in the UK which was wrestling with these very issues.  This gave me the opportunity to revisit the original research and see if there was any evidence to prove the hypothesis.
 
What was interesting, in reviewing the material was that from the original 9 organisations that participated,  the top 4 companies from (In EQ scores) have survived and thrived over the last decade and have emerged from the recent recession stronger (including both the financial institutions).  The bottom four scorers have not survived.  And the one in the middle is still around, but has conflicts on all sides as it struggles to determine if it will survive and thrive or go under.
 
More recent research from a range of researchers does appear to tell a similar story.  For example Dr Maureen Gaffney concluded:
"Research in 200 companies worldwide shows that at least two thirds of the difference between the 'star' performers in a company and 'average' performers is due to the individual's Emotional Intelligence. Only a third is due to technical/intellectual abilities." A similar conclusions was reached in the book "Linking Emotional Intelligence and Performance at Work".

The body of evidence emerging on Emotional Intelligence does suggest albeit anecdotally that if a significant portion of key leaders in a business display high EQ, this will lead to a more engaged workforce which directly contributes to higher performance. Read More
 
 
We hope that you have enjoyed reading  'Smart Business Thinking'.
 
One of the purposes of our communication is to provoke conversation.  So if you have a comment or a reaction, share it with us at:
 
 
We look forward to hearing from you.
Sincerely,
 

The Agents2change Team