Tuesday, June 21, 2011

Leaders, Culture, Economics and Politics

Part 03.

I'm taking a detour from my original path to address a couple of pertinent side issues. I'll get back on the path in Part 04.

Someone pointed out to me that the way in which a leader reacts has more to do with the person than his/her circumstances. Taken in isolation, and limiting the consideration to how a leader reacts to his circumstances, this is undeniably, logically true.

Different people react differently in the same circumstances. On the other hand, however, whether this makes any significant difference in a given set of circumstances can be determined only by measuring the outcome. There may be more than one path to success.

The outcome depends not only upon the internal (psychological) resources the leader possesses, but the constraints under which the leader is able to bring those internal resources to bear in those circumstances. In practical terms, assuming a given level of internal strength in the leader, attempts to devise a strategy that requires a greater level of external strength or resources than are available to the leader is bound to fail. It is to the latter that the externals refer. In strategic planning both must be recognized. This critical consideration is recognized as a part of a SWOT Analysis.

A personal SWOT Analysis is fine for self-evaluation but, in practice, the only times most people care about the leader's internals are when they want to study him for the purpose of emulation or when he screws up. When the leader's on a roll, most people couldn't care less what he's thinking. It's when he screws up that they want to know, "what was this guy thinking, and why was he thinking it?"

Furthermore, in my world, the leader isn't paid to contemplate his navel. The leader is paid to deal with the external world where everything else is. We assume that, as a leader, he has something of great value to bring to the table.

To get anything done, though, a leader has to deal with the organization's SWOT analysis instead of his own. That kind of strategic planning has to do with the world outside of the leader's head. With no disrespect intended, he can do his own SWOT (and pick lint) on his own time.

Designing a strategy is not a trivial pursuit. Part of the problem people have in strategic planning is that not a lot of people understand strategy. It's important to understand clearly not only what strategy is but what it is not. Policies, opinions and concentrations on internal factors are not strategy.

Strategy sits atop a "three-legged stool." The "ends" of the strategy, the "ways" the strategy will be executed and the "means" to be used in the execution comprise the three legs. If any one of the three legs is missing, there can be no viable strategy devised.

SWOT Analysis forces us to look at both internals and externals. Extended SWOT Analysis is an even stronger tool in that respect. A good working definition of strategy (John R.Boyd) "To improve our ability to shape and adapt to unfolding circumstances, so that we (as individuals or as groups or as a culture or as a nation-state) can survive on our own terms."

It's worth remembering that the term "strategy," comes from the ancient Greek, meaning, "thinking like a general."

More in Part 04 

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