Copyright © 2009, James E. Lukaszewski. All rights reserved.Reproduction without written permission of the copyright owner is strictly prohibited.
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Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
2012 SCCE Utility and Energy Compliance and Ethics Conference
Monday, February 27, 201211:00 a.m. – 12:00 p.m. CST
Westin Galleria Hotel, Houston, TX
By James E. Lukaszewski, ABC, APR, Fellow PRSA
Getting the Boss to Pay Attention:Becoming a Trusted Strategic
Ethics Advisor
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
James E. Lukaszewski,ABC, APR, Fellow PRSA
Copyright © 2009, James E. Lukaszewski. All rights reserved.Reproduction without written permission of the copyright owner is strictly prohibited.
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Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
Today’s Program
• The Trusted Strategic Advisor• Management Perspective• Seven Disciplines• Strategic Tools• Question and Answer
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
It’s About the Boss
• What they want• Who they are• What they need• Who they trust and why• How they choose who’ll be at the table• What they expect from consultants and
advisors
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Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
Your Role
• Inspire• Mentor• Monitor• Report• S.T.O.• Warn
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
My Assumptions . . .
1. You are the table . . . if you want to be.2. You recognize what you need to do to be
trusted and respected.3. You are willing to change yourself to get
there4. YoYo (Strategic advising is done one-on-
one)
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My Philosophy
1. All problems are management problems before they are any other kind of problem.
2. All management problems are leadership challenges.
3. Leadership resides with those who can maintain more supporters than detractors.
4. Staff functions exist and are funded by leadership to help leaders do their jobs better.
5. Managers and leaders want to make the decisions . . . often based on the advice they receive from trusted strategic advisors.
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
Let’s Talk About Leaders And Managers First, Then
We’ll Talk About You
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What Do They Want From TSAs?
• Advance warning• Advice on the spot• Advisor / counselor / confidant• Candid relationship• Something beyond what they know• Strategic help / pragmatism• What to do next (options)
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
What Do They Need From You?
• Detection• Deterrence• Observation• Pre-emption• Prevention
Ethics and compliance programs are management’s most powerful methods for
reducing risk in an organization.But it’s leadership integrity that guides
better behaviors.
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Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
The Real World of the CEO
• Shorter tenures– 41 months; 164 weeks; 1,148 days;
27,552 hours
• Soft intrusions– 40%
• Greater personal risk– Sarbanes Oxley
• Contentious, aggressive atmosphere
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
The Changing Role of Top Executives
1. More masters2. Less cover3. More critics4. More exposure, faster5. Less tolerance for error6. Greater expectation for openness7. Lower expectations for integrity / trust
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Public Approval Is Declining
• Lower than members of Congress• Easier to attack• Anger, defiance, and contention
increasing• Losing trust at every level
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
New Relationships With Stakeholders & Constituencies• More constituents ask more questions; decisions
and damage repair take longer.• Small forces can stop very big ideas.• People without credentials have enormous
credibility and powerful personal platforms.• Proposers re-prove themselves each day.• Public debate is focused more on
embarrassment, humiliation, and blame-shifting rather than progress.
• Anti-corporate activists are acting more preemptively.
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Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
Ethical Behavior in Organizations Is Declining
• Misconduct back to pre-Enron levels.• Employees refuse to report misconduct.• Fewer companies have developed strong
ethical cultures.• Management awareness of misconduct
is declining.
Ethics Resource Center, 2007 National Business Ethics Survey, http://www.ethics.org/research/NBESOffers.asp.
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
Top Three Misconducts
1. Conflict of interest20% of employees observe
2. Abusive, intimidating behavior21% of employees observe
3. Lying to employees20% of employees observe
Ethics Resource Center, 2007 National Business Ethics Survey, http://www.ethics.org/research/NBESOffers.asp.
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Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
Ethical Risks Increasing
• The worse the working environment, the higher the incidence of misconduct.
• Employees prefer to report to supervisors, because management isn’t trusted.
• Distrust of peers is rising.
Ethics Resource Center, 2007 National Business Ethics Survey,http://www.ethics.org/research/NBESOffers.asp.
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
The Ethical Expectations of Leadership
1. Tell the truth as soon as possible.2. Teach by parable, emphasizing the right
way.3. Promptly raise the tough questions and
answer them thoughtfully.4. Vocalize and teach core business values
and ideals, constantly, by living them.5. Live by a known system of values and
virtues.
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Virtues – Moral Excellence
Behaviors that reflect:
• Morality• Decency• Humility• Sensitivity• Empathy• Integrity• Trustworthiness
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Discipline OneBe Trustworthy
• Trust and influence• Trust and loyalty• Loyalty has limits
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The Ingredients of Trust
• Boundaries• Candor• Credibility• Competence• Integrity• Loyalty
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Discipline TwoBecome a Verbal Visionary
• Offer advice on the spot• Be outcome-directed• Tell stories• Be memorable• Be thoughtful• Be inspirational• Be direct
– The orange suit– BurgerMax
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Discipline ThreeManagement Perspective
• Use management language.• Provide truly strategic insight.• Talk, think, and recommend in an
operational context.• Focus on the ultimate outcome.• Provide substantive intensity.• Go for the useful increments.
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Managerial Relevant Questions
• How does the current situation affect strategy?
• Which management mistakes change the strategy?
• How can we gain employee commitment to changing circumstances?
• What resources can management allocate now?
• Have any rules, regulations, or laws been bent, broken, or compromised?
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Discipline FourThink Strategically
A unique mixture of mental energy verbally injected into an organization through communication, which results in behavior that achieves organizational objectives.― James E. Lukaszewski
A core idea or concept moving through changing circumstances.— Jack Welch
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Strategy Is
• Positive energy• Constructive• Inconsistency• About tomorrow• Key product of leadership
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Discipline FiveBe a Window to Tomorrow
Pattern Intuition
• All incidents and circumstances have prior history and patterns.
• Draw existing information together to extract new insights.
• Find a solution by working against the patterns.
• Forecast based on pattern knowledge.
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Insidious BehaviorsThat Lead to or Foster Unethical Behavior
• Lax control• Overlooking infractions• Encouraging noncompliance• Incentivizing bad behavior• Ignoring signs of rogue behavior• Doing whatever it takes• Belittling those who act ethically• Demeaning those who blow the whistle• Codes of silence
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Discipline SixAdvise Constructively
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Make Recommendations in an Operational Context
Step 1: Situation description: Briefly describe the nature of the issue, problem, or situation. (60 words)
Step 2: Analysis/explanation/ interpretation: Briefly describe what the situation means, its implications, and how it threatens or presents opportunities for your organization. (60 words)
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Make Recommendations in an Operational Context (Continued)
Step 3: The Goal: Where are we headed? What’s our destination? What’s the end-point? How far do we have to go? (60 words)
Step 4: Options: Develop at least three response options for the situation you’re presented. You can suggest more, but three is optimal for management to choose from. Make sure that one of the options is “doing nothing.” (150 words)
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Make Recommendations in an Operational Context (Continued)
Step 5: Recommendations: This is what you would do if you were in the boss’ shoes, and why. (60 words)
Step 6: Justification: Identify the negative or positive unintended consequences, events, and problems that could arise due to the options you have suggested or by doing nothing. (60 words)
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Discipline SevenShow the Boss
How to Use Your Advice
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You Are the Table
• Understand what leaders think and need.• Recognize and anticipate what leaders
expect.• Study leaders and leadership.• Have relationships built on trust and
service.• Practice the disciplines of the trusted
strategic advisor.• YOYO
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Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
See You at the Table
Please let me know what you learn along the way.
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
James E. Lukaszewski,ABC, APR, Fellow PRSA
Questions&
Answers
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AVAILABLE IN BOOK STORES
Call The Lukaszewski Group at 914.681.0000 or visit www.e911.com
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Contact Information
James E. Lukaszewski, ABC, APR, Fellow PRSAPresidentThe Lukaszewski Group, Division of Risdall Public Relations550 Main Street, Suite 100New Brighton, MN 55112
Phone: 651.286.6788Fax: 651.631.2561E-mail: [email protected] Site: www.e911.comBlog: www.e911.com/crisisgurublog.htmlLinked In: www.linkedin.com/in/jameslukaszewski
Copyright © 2009, The Lukaszewski Group Inc. All rights reserved. Ten Bank Street, Suite 530 White Plains, New York 10606-1966 914.681.0000
2012 SCCE Utility and Energy Compliance and Ethics Conference
Monday, February 27, 201211:00 a.m. – 12:00 p.m. CST
Westin Galleria Hotel, Houston, TX
By James E. Lukaszewski, ABC, APR, Fellow PRSA
Getting the Boss to Pay Attention:Becoming a Trusted Strategic
Ethics Advisor