Opinion

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Business Is Personal

Leading Change, Part 1

Our leadership choices become more important as the pace of change increases.

Listen closely to how today’s business and political leaders talk about change. How many of them are talking about preparing their businesses, our cities, our states, and our country (much less the world) for change?

More often than not, their conversations are about slowing down, stopping, or reversing changes – ignoring a future that will arrive whether they like it or not. (No, I’m not referring to the virus.) These leaders might appear to be in charge of leading change (or at least managing our response to it), but most of them aren’t actually doing anything of the sort… not really.

The majority of the conversations are positioned in terms of the good old days, whether that was 10 months, 10 years or half a century ago. A few are talking about a future that will advance at a pace not unlike the pace of the last 20 years. The idea is that we manage an unforeseen next five years with the thinking learned a decade (or three) earlier, expecting the pace of progress (in either direction) during that next five years to match the pace of change of the prior five years.

Perspective

The problem with trying to manage all this with thinking from the good old days, or with thinking formed while working with the pace of change over the last 20 years, is that these approaches fail to recognize the current reality: That the pace of change is increasing constantly.

While the jaded might think this perspective is intentional, I suspect most of it isn’t. Some of it is a lack of vision. These folks are too tightly coupled to a reality / situation they need or want to defend, even if it’s from another time and place. I’m speaking broadly here: not specifically about any one business, personal situation, financial position / viewpoint, etc. We have to be very, very careful how we choose business and political leaders as we move forward. Look back at how technology and automation changes have caught leaders and groups of leaders (like Congress) completely off guard.

An obvious and somewhat recent example is that they’ve had to react well after the fact to the internet’s impact on things. Is it a utility? (because that means we can put an existing administrative organization and rules in charge of it) Is it a service? Is it a monopoly? Is it a right? Or do we decide that it’s another kind of telephone call so that we can use all the old phone regulations to manage it? (and thus, protect it or ruin it, depending on your outlook). Look back at rural electrification for clues.

Our leadership choices become more important every day because of the increasing pace of change. The virus has helped a lot of people understand how exponential change works. When exponential change takes hold, 15 quickly becomes 300, and soon 30,000.

What we’re ill prepared for from a leadership perspective is that change itself is changing at an exponential pace.

Important at all levels

It isn’t important solely at the Federal level. It’s important at every level from the Feds all the way down to a seemingly innocuous city / county position on a board. Imagine that a local county board member considering an important decision. Does it matter if their vote on a health topic is based on their evaluation of information collected by qualified, highly-experienced, trusted people in the county, or is it OK if the decision is made based on the Greeks’ four humors?

Let me simplify this a bit. Is it a bad idea to eat week old sushi? Does it depend on the status of a diner’s humors? Whether the topic is sushi aging, inoculations, water rights, or traffic circles – do you want someone whose mindset is mired in the 1700s making those decisions for you?

Dealing with change isn’t easy. As humans, we tend to avoid it by our very nature. As Chris Hogan says “Nobody likes change, but everyone likes improvement”. Even so, planning for and dealing with change – often in advance – is leadership’s job whether they like it or not.

It’s not hard to look around and find examples that show how difficult it is for leaders at all levels to keep up with the changes that have occurred over since 1980 (OMG was that really 40 years?). Compare not just the changes between 1940 and 1980 to the changes between 1980 and 2020, but the pace of change in those two periods.

Now consider that we’ve even accomplished many of the things many people expected of us 80 or even 60 years ago. Where are the flying cars?

Want to learn more about Mark or ask him to write about a strategic, operations or marketing problem? See Mark’s site, contact him on LinkedIn or Twitter, or email him at mriffey@flatheadbeacon.com.