19 annual congress southern african association of ... · 1980-1997 2016 1980-1997 things worked...
TRANSCRIPT
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THE
Strategic Leadership Lectures
© Dr Sam RUTURI 2017 [email protected] Cell 263- 0734 371 341
19th Annual Congress
Southern African Association of
Accountants
TOPIC: VENUE: ELEPHANT HILLS HOTEL
VICTORIA FALLS
Date: 20th OCTOBER 2018
Facilitator: Dr Sam Ruturi
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LET ME INTRODUCE MYSELF…
PRESENTER: Dr. Sam RUTURIFETC, (Lon),AIBS,(SA);AIB,(SA); Dip. H.F (USA), Grad. Diploma IMM (SA); BBA.(SA) B. Com. (SA) B Phil. (SA);
MSc. (UK); MBA (NUST) ,MBA,(USA) PhD (USA), MCom, (SA). DBA (France) (Pending)
Director & Senior Lecturer: 1. Mortgage Banking School of Southern AfricaPart-Time Lecturer: 2. MBA-GSM; University of Zimbabwe Part-Time Lecturer: 3. MBA-GSB; Chinhoyi University of TechnologyPart-Time Lecturer 4. MBL-GBS; Bindura University of Science& Education Consultant & Facilitator: 5. Strategy, Quality, Change and Housing Finance
Email address: [email protected] Cell; 0734 371 341 / 0712221348/ Tel.
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UZ - MBA 543 - MANAGING CHANGE AND COMPLEXITY © DR. RUTURI 2014
3
Job Challenge What I do for fun
Who I admire Happiest momentin my life
PRESENTER: Dr. Sam RUTURIFETC, (Lon),AIBS,(SA);AIB,(SA); Dip. H.F (USA), Grad. Diploma IMM (SA); BBA.(SA) B. Com. (SA) B Phil. (SA);
MSc. (UK); MBA (NUST) ,MBA,(USA) PhD (USA), MCom, (SA). DBA (France) (Pending)
Director & Senior Lecturer: 1. Mortgage Banking School of Southern AfricaPart-Time Lecturer: 2. MBA-GSM; University of Zimbabwe Part-Time Lecturer: 3. MBA-GSB; Chinhoyi University of TechnologyPart-Time Lecturer 4. MBL-GBS; Bindura University of Science& Education Consultant & Facilitator: 5. Strategy, Quality, Change and Housing Finance
Email address: [email protected] Cell; 0734 371 341 / 0712221348/ Tel.
Day I bought
my first houseTom PETERS
Teaching people to
learn to act on what
they have learnt
LET ME INTRODUCE MYSELF…Dr Sam Ruturi
Play Golf
for Fun
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4
WORKSHOP:LEADING CHANGE IN A
VUCA ENVIRONMENT
TEN MBA LECTURES: STUDENT WORKBOOK- UZ,MSU, IELE
LEADERSHIP
MASTERCLASS
CERTIFICATE
© Dr Sam Ruturi-2018
CHAPTER 1: OUTLINEReading Material
Learning Outcomes1. Understand the Mega-Buzzwords2. Understand the VUCA
Environmental Context3. Understand the Leadership
Challenges under VUCA4. Understand ROLES, Skills &
Competencies for Navigating the VUCA Environment
5. Understanding the VUCA PRIME, AGILITY, & LIVED Models. .
6. Conclusion
Question and Answers
SAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
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IntroductionThe President and Board Members of SAAA, Chief Executiveofficer Mr Alex Chidindi, and Staff of SAAA, Members,Distinguished Guests, Ladies and Gentlemen
• What I would like to offer you today, is a NEW LENS ofTheories that could be used to navigate the VUCA worldand overcome some of the challenges that are giving riseto the problems afflicting your industries today.
• I will also offer you some insights on how some of thesetheories have been used successfully by institutions thathave been able to withstand the test of time.
SAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
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The quality of Accounting and Finance Professionals and
their ability to navigate the VUCA World, matters more
than we’d like to think it does.
• “The ability of companies to adjust theircapabilities and direction over the longterm to meet the challenges of new marketsand new competitors – grows directly out ofthe quality of leadership they receive fromAccountants and Finance Professional thatare tasked to run them …”
• Joseph L. Bower, The CEO Within: Why Inside-Outsiders are the Key toSuccession Planning
SAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
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"In a time of change, it is learners who inheritthe future. The learned find themselves wellequipped to live in a world that no longerexists." — Eric Hoffer
Carpe Diem
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Please apply these theories because:“There is nothing so practical as good Theory”
The NEW LENS of Theories :
SAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
• Leadership Vs Management
• Spotting Megatrends
• Business Environment And Nature of Turbulence
• Disruptive Innovations
• Hyper-competition
• VUCA – VOLATILE, UNCERTAIN, COMPLEX,
AMBIGUOUS
• NAVIGATING
• LEADERSHIP
• TURBULENCE
• COMPETENCE DESTROYING
• STABLE EQUILIBRIUM
• PUNCTUATED EQUILIBRIUM
DISEQUILIBRIUM
• CHAOTIC
• RISK
• Conclusion
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• According to Tom Peters, the author of In Search ofExcellence and A Passion for Excellence, says in hispreface to Thriving on Chaos:
• “The winners of tomorrow will deal proactively withchaos,
• They will; look at chaos per se as the source of marketadvantage, not as a problem to be gotten around.
• Chaos and uncertainty are number one marketopportunity; capitalizing on fleeting market anomalieswill be the successful business’s greatestaccomplishment.”
• In the midst of chaos others see orderwith a lot of money to be made due to theabundance of opportunities.
LEADING AT THE EDGE OF CHAOS
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A PARADIGM SHIFT THREE STAGES
National Independence
National Reconciliation & Development1980
ZIMCORD
Successive Currency Devaluation
ESAP
2009-2014
1997-2009
Stage of Normalcy Stage of Anomalies Stage of Replacement
Perf
orm
ance
20161980-1997
1980-1997 Things worked according to expectations
1997-2009 Events on the ground contradict the paradigm
2009 -2014 There was change over to a new paradigm as expectations have changed
Education & Healthcare Expansion 1997
Black Advancement
LEADERSHIP IN ZIMBABWE IN THE LAST 38 YEARS
MANAGERIAL PARADIGM: CONSISTS OF THE WAY
MANAGERS THINK AND ACT WHEN CONDUCTING BUSINESS.
1.Multi-currency regime
2.GNU
3. Economic Stability
4. Liquidity Crunch
4. Industry Closure/ Consumer economy
6. Political Instability
7. B
on
d N
ote
Th
reat
SAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
3.Hyperinflation
2.Devaluation of Zim$
1.Formation of MDC
4.Bearer Cheques / Agro Bills
5.Land reform
6.Collapse of Industries
7. Brain-drain
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STAGES IN A PARADIGM SHIFT
RETURN TO PERIOD OF ANOMALIES 2014-2018
Printing of TBs & Bond Notes
Goods Disappear from Supermarket Shelves
ED PFEE
Fuel Shortages
Liquidity Crunch
Return of Black Market Economy
Political Instability
Industry Further Collapses
GeneralElections
Divided MDCLoosing Elections
Gamatox Vs
Weevils
G40 Vs LACOSTE
Insurrection Youth Interface Rallies
Regime Change
Food Shortages
Succession Issue In ZANU PF
Cholera & Typhoid Outbreak
Dual Currency RTGSVs US Dollar
GeneralElections
VP & CabalFIRED
VP & CabalFIRED
SI 205 of2018
MANAGERS SUFFER DISORIENTATION BECAUSE OF
THE VUCA ENVIRONMENT
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People Want Change That Brings
Added Stakeholders ValueKeep Accounting Skills
But
BRING PROFOUND
CHANGE
CHANGE IS
THE ONLY
CONSTANT – Marcus Aurelius
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Will Your Job Be Done by a Machine?
• Accountants and FinancePractitioners have 93.5%chane of their jobs being doneby machines
• Tax Preparers have a 98.7%chance of their jobs beingautomated.
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Understand the VUCA Environmental Context
Understand the
VUCA
Environmental Context
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Where did VUCA come from?
• The US Military started using this termin late 90s for the post-Cold War world
• It reflects a fast-paced, increasinglyunstable and rapidly changing world
• It implores us to deal with a changingbattlescape
• Business leaders face a similar,challenging, dynamic businesslandscape
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Volatility The nature, speed, volume,
magnitude, and dynamics of
change
Uncertainty The lack of predictability of
issues and events.
Complexity The confounding of issues
and the chaos that
surrounds any organization.
Ambiguity The haziness of reality and
the mixed meanings of
conditions.
We are living in a VUCA world
SINK or SWIM
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Lets Look at a Broad Toolkit for Stable and Turbulent Environments
VUCA-Volatility, Uncertainty, Complexity & Ambiguity
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1. ExternalForces
2. InternalForces
Two Main FORCES DRIVING CHANGE
If the rate of change outside is faster than the rate of change inside.
You know the end is near. -Jack Welch
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20
A NEW SET OF NON-LINEAR SKILLS ARE
REQUIRED
Study The Rain Clouds: Clearly, A Change is Needed
SAAA Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
External Forces Industry Forces
Internal Forces
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Flatter and Leaner
Technology
KNOWLEDGE
ECONOMY
Globalization& Emerging
Markets
Socio-
cultural
Changes
Fiscal Inexactitude
Innovation & Changing Strategies
Hypercompetition
DIGITAL CONVERGENCE
Regulatory
Changes
Marketplace
Disruptions
Political
UpheavalsSocial
Upheavals
VIRTUAL
ORGANIZATIONSIndustry
Collision
WHAT KIND OF A WORLD ARE WE LIVING IN?We are living in a world that is driven by relentless challenges, issues &
dilemmas. These factors are driving change, and uncertainty in your firms.
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UNORDERED Pattern Based Leadership
ORDERED Fact based Management
CHAOTIC - VUCADisequilibriumActSense Respond
COMPLEX –PeriodicPunctuated-EquilibriumProbeSense Respond
COMPLICATEDFluctuating EquilibriumSense
AnalyseRespond
SIMPLE–Sense-makingEquilibriumCategorise
Respond“known problemsknown solutions”
“unknown problems-unknown solutions”
“known problems
unknown solutions”
“unknowable problems-unknowable solutions”
The Cynefin Framework
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TIME
PE
RF
OR
MA
NC
E
TIME
PER
FOR
MA
NC
E
Clear –enough future
TIME
PE
RF
OR
MA
NC
E
TIMEP
ER
FO
RM
AN
CE
Typ
e o
f D
isru
pti
on
Competence
Neutral/
Enhancing
Competence
Destroying
Frequency of DisruptionHighLow
The Nature of Change: Turbulence
Turbulence is Disruption of the Status Quo
DisequilibriumPunctuated
Equilibrium
EquilibriumFluctuating
Equilibrium
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Today’s Work Environment
THE NEW NORMAL
VVOLATILITY
UUNCERTAINTY
CCOMPLEXITY
AAMBIGUITY
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25
LEADERS MUST LEARN❑Leaders are already experiencing
volatility , uncertainty, complexity and
ambiguities in their operating
environment.
❑Therefore Accountants as leaders
must learn what is driving change.
SAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
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92% of Accounting and Finance Professionals are NOT Future Ready!
• Future Ready is the capacity to
be aware, predictive, and
adaptive of emerging challenges,
technological innovations, and
trends and changes in business,
population, and social
environment.
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War for Talent-Brain Gain
• Those who build great companiesunderstand that the ultimate thrust ongrowth for any great company is notmarkets, or technology, or competition,or products. It is one thing above allothers: the ability to get and keepenough of the right people. - JimCollins
Are you the right person for your firm?
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WHAT DRIVES • Technology –Customers of the future want immediate results
• Industry Collision –Telecoms, building societies, banking and retail, channel convergences, global information
• New EntrantsThey don’t play by the rules, they redefine the rulesof the game, benchmark against best –in- class
• Customer Sophisticated• Vote with their feet• Never talk to a customer who has more information than you do.
SAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
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YIELDS TO
Create a vision and “make sense of the world.”
❑ Things Changing Rapidly.
❑ Clear Vision- Focused People.
Right Direction Informed Choices.
Communicate Belief Focus
See things from a more strategic & long-term perspective
VUCA PRIME MODEL
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• CURIOSITY - ask questions (coach) that challenge
the status quo in your organization every day
• EMPATHY - get where people are coming from – their
hopes, fears and desires
• OPEN MIND - explore new ideas, reflect and seek
constructive criticism
• IDENTIFY CAUSES – nothing happens out of nothing
UNCERTAINTY
YIELDS TO
VUCA PRIME MODEL
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31
Multiple and competing realitiesSAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
Hyper-competition
Leadership
Failure
Industry
Collision
Political Factors
Technological
Change
Disruptive
Innovation
Sanctions
Indigenisation
Policies
Culture of
Entitlement
Dependency
Culture
Micro
Management
Liquidity
Shortages
Lack of
Exports
Knowledge
Economy
COMPLEXITY - Yields– TO CLARITY
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VUCA PRIME MODEL
• SIMPLIFY - chop the fat, cut through the
complexity and distill the core down to its essence
• INTUITION - use the gift of knowing without
reasoning, trust your gut and your experience
• SYSTEMS THINKING - approach problems from
a holistic perspective (a system of dynamic,
interacting, interdependent parts)
YIELDS TO
COMPLEXITY
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• DECISIVENESS - adapt quickly to changing
circumstances and make decisions with confidence
• INNOVATE OR DIE - learn from your mistakes and
continuously seek new ways to get better at what
you do
• EMPOWER - value networks over hierarchy,
collaboration over control and set people free to do
great work
VUCA PRIME MODEL
YIELDS TO
Am
big
uit
y Agility
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Stakeholder GroupsStakeholder groups will see things according totheir stake in the problem. Thus there are manydifferent ideas about what kind of solutions theremight be. We See & Value The Same Thing Differently
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UNDERSTAND
LEADERSHIP
CHALLENGES
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36
IT’S A VUCA WORLD!
“We are moving from a world of
problems, to a world of
dilemmas”
MOVE FROM TERRA FIRMA TO TERRA
INCOGNITO.
DON’T MANAGE YOUR BUSINESSES INTO
OBLIVION BY BEING SATISFIED WITH THE
STATUS QUO.
SAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
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Primary Differences Between Risk Versus Uncertainty/ Ambiguity
Terra Firma: Risk - Known
World of Problems
Terra Incognita: Uncertainty -
Unknown World of Dilemmas
Known markets Uncharted markets
Known products Uncharted products
Known customers Uncharted customers
Known business models Uncharted business models
Known Competitors Uncharted Competitors
Known Technology Uncharted Technology
Many known variables & data
exists
Many unknown variables & no data
We can calculate risk& take a
spreadsheet based design
doing what if analysis,
simulations and modelling.
Cannot calculate uncertainty and
decisions need to be made with
minimum spreadsheet calculations
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Risk Managers Uncertainty Navigators
THERE ARE TWO TYPES OF LEADERS
Quality ControlCreativity
Methods
Assets Utilisation
Corporate Rebranding
& New Brand
Development
Operational
EfficiencyGlobal Research
LogisticsStrategic Alliances
& Partnerships
Cycle TimesFuture Strategy: DI.
BOS, &
Hypercompetition
Managing Costs Growth /
Innovation
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COMPETING ON THE EDGE OF CHAOS
Paradigm Re-
invention
ParadigmShift
Paradigm Pioneer
Paradigm Paralysis
Stand still Improving Benchmarking Resistance to Change
Out of the Box
New Context
Impact of Transformational and Change
Sco
pe
of
Tran
sfo
rmat
ion
an
d C
han
geThe Current Known World The Future, Unknown
Paradigms
Reinvented
Transformation
Quantum Change
or Demise
Paradigms
Challenged
Environmental Change Curve
The Edge of
Chaos
Discomfort
Management Paradigm
Focus on DoingLeadership Paradigm
Focus on Being
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What is Your Unique Position?
Risk
Uncertainty
Ambiguity
Risk
Managers
Uncertainty
Navigators
Ambiguity
Explorers
High
LowLow High
Problem Clarity
So
luti
on
Cla
rity
Too Many
Too Few
Too
Much
Scarcity
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Leadership
Competencies
& Skills
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The VUCA Prime can be seen asthe continuum of skillsleaders can develop to helpmake sense of leading in aVUCA world.
VUCA model identifies theinternal and externalconditions affectingorganizations today. Thechaotic “new normal” in
business is real.
VUCA MODEL VUCA PRIME MODEL
V
C
UA
Volatility
Uncertainty
Complexity
Ambiguity Yield toVUCA
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43
U ncertainty Yields to U nderstanding
V olatility Yields to V ision
C Omplexity Yields to C larity
A mbiguity Yields to A gility
VUCAVUCA MODEL VUCA PRIMEYields to
Graduate School of Management-University of Zimbabwe - MBA 543 - Managing Change & Complexity © Dr. Sam RUTURI 2017 Email: [email protected] cell: 263 734371341 Landline 263 4 750447/8
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ANTICIPATE
• This is the ability to
see way in advance
whats next
• Disruptions:
• Problems:
• Customer Needs:
• New Opportunities
• This is the ability to see way in
advance whats next
• BEFORE THEY HAPPEN
• BEFORE YOU HAVE THEM
• BEFORE THEY HAVE THEM
• BEFORE THE
COMPETITION
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ANTICIPATORY FINANCE AND ACCOUNTING PROFESSIONAL
Anticipatory
Reactionary
Future Focused
Legacy Thinking
Transform & extend
Protect & Defend
PEOPLE CULTURE PROCESS
Current Organisation
Anticipatory OrganisationTo
ols
an
d S
kil
ls A
pp
lied
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ANTICIPATORY LEADERSHIP
AO
CO
ACTUALISED
OPPORTUNITY
MAXIMUM
OPPORTUNITY
Current
Opportunity
Opportunity
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Matching Your Mindset to Turbulence
The Nature of Change and the Nature of Competitive Advantage
Typ
e o
f D
isru
pti
on
High
Fluctuating
Equilibrium
➢ Leverage Layer
Core of
CompetenciesDisequilibrium- VUCA
➢Disruptive Innovation
➢Hypercompetitive Strategies
➢Industry Convergences
Low
Equilibrium➢ Defensive Strategies
▪Strong Barriers &
▪Monopoly Power
▪Cartels, Associations
Punctuated Equilibrium ➢Strategy as Revolution❖Open Boundaries
❖ New Market Space
❖ Rebranding
❖ New Products/ scope
❖ Unbundling
❖ Partnerships & alliances
Competence
Neutral/
Enhancing
Competence
Destroying
The Nature of Change and Strategy
SAAA © Dr. Sam RUTURI 2018 Email: [email protected] cell: 263 734371341
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THERE ARE THREE MODELS WHICH I RECOMMEND LEADERS TO ADOPT
VUCA PRIME MODEL
AGILITY MODEL
LIVED MODEL
OTHER COMPETENCIES
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Leadership Strategies and Tactics
V.U.C.A. Leadership
Skills
Competencies
Volatility Vision Flexibility, Insightfulness, and
situational awareness
Uncertainty Understanding Initiative and Listening Generously
Complexity Clarity Intuition and Collaboration
Ambiguity Agility Perspective taking, Openness to others
and Tolerance
Instructions
Using 1 identified competency from each V.U.C.A. condition, explain how
that competency supports each of the Leadership Strategy responses, in
other words, how does developing the competency of Flexibility support
Vision as a Leadership Strategy?
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The AGILE Leadership Model for changing worldprovides five drivers for dealing with VUCA, asfollows
• Anticipate Change: Interpret the potential impact of businessturbulence and trends along with the implications to the enterprise.
• Generate Confidence: Create a culture of confidence andengagement with all stakeholders especially associates in effectiveand collaborative teams.
• Initiate Action: Provide the fuel and the systems to enable things tohappen proactively and responsively, at all levels of theorganization.
• Liberate Thinking: Create the climate and conditions for freshinnovative solutions by empowering, encouraging, teaching andexpecting others to be innovative.
• Evaluate Results: Maintaining a strong focus and feedback systemto continuously learn and improve from actions and changingdynamics.
Phase – 2: Review of Models available for dealing with VUCA:
2. AGILE Model
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2. AGILITY MODEL For Agile Leadership
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The AGILE Leadership Model for changing world
provides five drivers for dealing with VUCA, as follows
Anticipate Change:
Interpret the potential impact of business turbulence
and trends along with the implications to the
enterprise.
Generate
Confidence:
Create a culture of confidence and engagement with
all stakeholders especially employees/ associates in
effective and collaborative teams.
Initiate Action: :
Provide the fuel and the systems to enable things to
happen proactively and responsively, at all levels of
the organization.
Liberate Thinking:
Create the climate and conditions for fresh innovative
solutions by empowering, encouraging, teaching and
expecting others to be innovative.
Evaluate results:
Manages own emotions effectively, builds positive
relationships and uses emotions to influence and
inspire others
AGILE Model
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Team development
What individuals are
doing to grow
capacity in their
teams:
• Collaboration
• Systems thinking
• Value diverse
perspectives
• Driving results
Skill building Developing learning agility:
• Present new learningexperiences toaddress complexchallenges
• Provide opportunitiesto reflect and makesense of newexperiences
• Find ways toincorporate new skillssets into daily work
The Three Phase Journey In Agility
Learning
agility
Developing capacity for agility
Leadership
agility
Enabling the enterprise
Broader actions leaders take to embed agility as an enabler:• Define what agility looks
like in business/strategy
• Socialize new thinking
• Create learningenvironment
• Reinforce/reward agilityin action
• Build stakeholdercoalitions for success
Strategic /Enterprise
agility
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Relational
Web
Three Perspectives of Agility
Leadership
Agility
Learning
Agility
Strategic/
Enterprise
Agility
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Three Perspectives of AgilityLeading Self Learning Agility
is the ability to rapidly develop neweffective behaviour, based on newexperiences.
Relational
Web
Relational Web
is the personal
and system-wide
network for
mutual support,
coordination,
resource and
idea sharing.
While it includes
your social
network, it also
includes your
relationship and
access to
relevant
knowledge and
resources.
Leading Others
Agile Leadershipis inclusive, democratic, and exhibit a greater openness to ideas and innovations. With a passion for learning, a focus on developing people, and a strong ability to define and communicate a desired vision.
Leading Organisations
Strategic agility
Is the ability of an organization to
sense and respond to opportunities
or obstacles through planning, swift
execution and effectively
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Learning agility is the ability
andwillingness to learn
from experience,and subsequently apply that
learning to perform successfully under
new or first-time
conditions.
Learningagility
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Learning Agility Factors
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Mental
agilityThose with this type of
Are very curious.
Get to the root causes.
Have a broad perspective.
Find parallels and contrasts.
Question conventional wisdom.
Find solutions to tough problems.
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People
agility...Those with this type of
❑Understand others.❑Are skilled communicators.❑Enjoy helping others succeed.❑Are comfortable with
diversity.❑Handle conflict constructively.❑Use others effectively.
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Change
Enjoy tinkering with things.Often introduce new perspectives.Strive for continuous improvement.Can take the heat and pressure of change.Understand impact of change and how to manage it.
agility...Those with this type of
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Results
Build high-performing teams.Are very flexible and adaptable.Perform well in first-time situations.Driven by challenge.Accomplish things against the odds.
agility...Those with this type of
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Self-Awareness
agility...Those with this type of
Actively seeks feedback.Tend to be self-reflective.Is candid to a fault about self.Sensitive to their impact on others. Know personal strengths and weaknesses.Take corrective action based on feedback
SELF
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Leadership Agility Profile
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Leadership Agility Profile
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Leadership Agility Profile
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LEADERSHIP AGILITY PROFILE
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FIVE KEY DRIVERS OF LEADERSHIP AGILITY
• Anticipating change
• Generating confidence
• Initiating Action - Act with & communicate a sense or urgency:–
collaborating, decision making, & bias for action
• Liberating thinking – personally employ out of the box thinking
• Evaluating Results – obtain regular feedback and learning from
your results
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Being Agile While Doing Agile Individuals
&
Interactions
Working
Software Customer Collaboration
Responding
to Change
Bein
g A
gile A Anticipate Change
G Generate Confidence
I Initiate Action
L Liberate Thinking
E Evaluate Results
Doing Agile
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1. BUSINESS AGILITY For Agile Leadership
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Self ActivityHow much of your organization’s strategy is dependent on each
of the five factors on a scale from 1 to 5 (1 – the least, 5 – the most)?
Mental Agility
People Agility
Change Agility
Results Agility
Self-Awareness
1 – 2 – 3 – 4 – 5
1 – 2 – 3 – 4 – 5
1 – 2 – 3 – 4 – 5
1 – 2 – 3 – 4 – 5
1 – 2 – 3 – 4 – 5
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Strategic Fit Illustration• Strategic fit index for innovation and mergers and acquisitions
(M&A) strategies. Learning agility profiles for companies pursuing:
• Innovation - need talent with high levels of Mental and Change Agility.
• M&A - need talent with high levels of Change and People Agility.
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Enterprise Agility Diagnostic
How agile are we? Which areas are critical to our strategy?
How ready are we?
Overall strategic fit Strategy ReadinessFactors results and
importance to strategies
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Enterprise Agility DiagnosticWhich areas are critical to our strategy?
Factors results and importance to strategies
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3. LIVED MODEL
The LIVED Model provides a framework for
Leadership Assessment in a VUCA World.
Learning:
Willing and able to adapt to new environments and challenges
by drawing on learning and feedback from previous
experiences
Intellect:
Thinks incisively, deals effectively with complex and ambiguous
information, sees issues in a broader context and takes sound
decisions based on this analysis
Values:
Acts in an authentic and consistent way, inspires trust and
demonstrates integrity, courage and respect for others
Emotions:
Manages own emotions effectively, builds positive relationships
and uses emotions to influence and inspire others
Drive: Sets challenging goals, takes an action-oriented approach and
shows passion and determination to overcome obstacles, act
decisively and achieve results
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The LIVED Leadership Model Dimension Definition Elements
Learning
Willing and able to adapt to new
environments and challenges by drawing
on learning and feedback from previous
experiences.
❑ Finding Learning
Opportunities
❑ Evaluating Experiences
❑ Applying Learning
Intellect Thinks incisively, deals effectively with
complex and ambiguous information,
sees issues in a broader context and
takes sound decisions based on this
analysis.
Incisive Analysis
Strategic Perspective
Insightful Judgement
Values Acts in an authentic and consistent way,
inspires trust and demonstrates integrity,
courage and respect for others.
Acts With Integrity
Fairness and Respect
Courage
Emotions Manages own emotions effectively, builds
positive relationships and uses emotions
to influence and inspire others.
Managing Own Emotions
Building Relationships
Influencing and Inspiring
Others
Drive Sets challenging goals, takes an action-
oriented approach and shows passion
and determination to overcome obstacles,
act decisively and achieve results.
Action Orientation
Drive for Results
Enthusiasm and Commitment
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Phase – 4:Leadership Competencies for
A VUCA World• Following is a list of Leadership Competencies
along with a short/simple in-built description ofchange management aspect, in view of theneeds of VUCA.
• Some of these competencies could be a part andparcel of existing competencies; however,keeping the needs of VUCA in mind, it may berequired to redefine them.
• Again, customization of content shall be donebased on specific needs of organizations.
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[1] Adaptive Mind-set: Being able to navigatesuccessfully through the maze of VUCA, beingcomfortable with unclear situations and being readyto move in unexplored paths
[2] Agile Learning: Being in a constant self-learningmode; being a beginner and a curious learner ofnew concepts, techniques etc.; having the ability tounlearn what is not relevant.
[3] Anticipate Change: Having a future mindednessand strategic foresight to estimate the possiblechanges that could occur in future
[4] Design for Future: Design systems, procedures,networks and alliances to safeguard the interests ofthe organization from unexpected challenges
Phase – 4:Leadership Competencies for
A VUCA World
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[5] Develop Others: Creating learning forums; coach &mentor others and enable them to tap their latentpotential; provide futuristic orientation in view of the latesttrends
[6] Flexibility: Being open to consider the ideas of others;accept criticism; learn from exposure of others and takelead where necessary, instead of preferring own ideasalways.
[7] Guiding Change: Being there with the people andmanagement through the stages of understanding,initiating and mobilizing, whenever change occurs in theorganization
[8] Human Engagement: Promote the basic drivers ofhuman motivation: trust, hope, sense of worth, feel ofbeing competent etc. in the organization and constantlyencourage people to play active roles in the organization
Phase – 4: Leadership Competencies for VUCA World
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[9] Inspiring Others: Motivating others so as to ensure theycontribute willingly and find job satisfaction and stayintact through changing times
[10] Mindfulness: Being observant of own actions; beingwatchful of when the actions of self could adverselyimpact others; being alert in focusing efforts in line withthe immediate needs/priorities of the organization
[11] Self-Awareness: Having an accurate picture ofstrengths and weaknesses of self; making it a consciouspractice of increasing awareness in line with the changesin internal and external environments
[12] Situational Awareness: Being able to comprehend thecurrent happenings and having the ability to forecast thenear future occurrences by studying the recent trends
Phase – 4: Leadership Competencies for VUCA World
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COMPETENCY DEVELOPMENT
It may be noted that this is only an indicative list withsimplified definitions.
Competency development, in the first place, requiresdesigning of the entire competency managementsystem that involves
(a) identification of competencies,
(b) developing the competency content withproficiency levels,
(c) mapping & profiling of competencies based onroles
(e) initial assessment of competencies,
(f) giving feedback to concerned individuals and
(g) initiating developmental activities.
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IV. CONCLUSION• VUCA has become inevitable for organizations and
people; all that one can expect now is more VUCA.
• After witnessing the fate of once highly successfulcompanies like Kodak, Enron, WorldCom, Pan Am, Nokiaand close to home ZUPCO, POSB, corporates do notneed more examples.
• The only thing they can do is to embrace this new normaland learn to live with it.
• In order to just survive, if not to thrive, the one thing thatorganizations must and should do is to develop theirleaders who in turn can guide their organizations throughthe turbulences of VUCA.
• VUCA is so unforgiving that an organization which takesno time to prepare could fall prey to its perils.
• What Mr. Jack Welch had quoted cannot be forgotten:
“If the rate of change on the outside exceeds the rate ofchange on the inside, then the end is near.”
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What is VUCA?
❖Volatility - ‘A high rate of change’
❖Uncertainty - ‘Lack of clarity about the present and the future’
❖Complexity - ‘Multiple factors impacting key decisions’
❖Ambiguity - ‘Lack of clarity about the meaning of events’
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Worksheet #1 – V.U.C.A. Defined• The acronym V.U.C.A. stands for:
• Volatility - Is the speed of change compounded by the whiplash
of unanticipated forces, and radical shifts.
• Uncertainty – Critical decision making information is only
partially available and much is ambiguous. This situation is in
competition with external forces and pressures that work to redirect
focus.
• Complexity - There are so many interdependent elements that
all proposed solutions have unforeseen and unintended
consequences that can negatively impact project success.
• Ambiguity – A lack of clarity, loss of stability, and exactness
creating a situation where opposing solutions can be equally true.
• Directions
• Using the definitions provided, have students discuss the
definitions of V.U.C.A. and relate personal examples of each of
the circumstances.
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References
• What VUCA Really Means For You by NathanBennett and G.James Leoine, HarvardBusiness Review, January 2014 (Kindle edition)
• Winning a SuperVUCA World – saatchikevin.com/Winning_in_a_SuperVUCA_World/
VUCA - http://en.wikipedia.org/wiki/Volatility,_uncertainty,_complexity_and_ambiguity
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But for the Future
–Accountants– Beware of Arrogance
“Today’s Peacock is Tomorrow’s Feather Duster”
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Dr Sam RuturiMBSSA Training and Advisory Services
A division of
Mortgage Banking School of Southern Africa (Private) Limited
80 Folyjon Crescent, Folyjon Estate, Glen Lorne, HarareEmail: [email protected]; [email protected]
[email protected]@mbssa.net ; [email protected]
Telephone:263 773610 590, 263 712 610 590Cell; 263 - 0734 371 341 or 263 - 0712 221 348
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