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- How Leaders Can Get the Feedback No One Wants to Give
Most leaders are not getting the feedback they want and need. Evidence suggests that eight out of ten employees feel their leader has an undiscussable flaw. You have the vision to be a great leader and grow your business. But, no matter how often or how directly you ask others for feedback, your request gets ignored or is focused on your strengths. Frequently, when critical feedback is provided to executives, it is too little and too late. The unfortunate truth is that there are many rational reasons why employees are less likely to discuss constructive feedback with a leader as they move up in an organization. Developing these seven constructive feedback habits helps you increase revenue and avoid costly mistakes by getting the performance and strategic feedback no one wants to give. Why Performance and Strategic Feedback Matters Silence is expensive. Continuously learning and improving is critical for any organization and leader. The operational complexities associated with disruptive changes in the workplace make the importance of leadership habits increasingly vital. The benefits associated with receiving feedback are well documented. Evidence from a study spanning more than ten years and over 50,000 executive leaders revealed that l eaders who ask for feedback are significantly more effective than those who don't. In a global study of more than 100 workplace improvement strategies, fair and accurate informal feedback had the most significant positive impact on employee performance and engagement. The evidence suggests that feedback improves workplace performance by up to 39%. Feedback improves decision-making and creates a better environment for innovation. Understanding the implicit and explicit needs and wants of followers and customers leads to creativity and decisions that are valued. The common hierarchical design in organizations naturally reduces the closeness of workplace relationships for executives. Receiving and acting on feedback from followers improves relationships. Improved relationships minimize workplace stress and improve perceptions of respect and trust . Drama in the workplace is on the rise. Feedback allows for productive conflict and helps minimize the risk of avoiding conflict that leads to workplace strife. A workplace with a strong feedback culture makes leaders and followers more comfortable with difficult conversations . "Feedback is the breakfast of champions." Ken Blanchard You may have heard the saying, Ignorance is bliss. I know I have used that saying more than once. However, being unaware of your bad leadership habits or overestimating your leadership skills is not bliss as a leader. Lacking self-awareness limits a leader's ability to realize professional and personal goals, like trying to navigate a ship without a compass. Self-aware leaders are not naive about bad habits and can develop healthy ones. The higher you move within any organization, the less objective and general feedback you receive. Limited self-awareness prevents an accurate assessment of leadership competence and strategic plans. The Dunning-Kruger effect is a relatively common cognitive bias in which people with little self-awareness overestimate their knowledge or ability in a specific area. 7 Good Feedback Habits The more constructive feedback you receive, the more practical decisions you can make that grow your career and business. The following are seven proven strategies to overcome various barriers to getting the feedback no one wants to give. Feedback Habit #1: Ask and act Make feedback a regular part of your schedule, give examples, and ask specific open-ended questions. Simply asking if you have any feedback is too vague, and you will have more success when your question includes some context. Such as, do you feel your ideas are being heard? Or how could we improve our one-to-one meetings? The more regular you make getting feedback, the less risky it will become (if you handle it well). Not taking action on the feedback you receive is one way to make sure you won't get the feedback you need in the future. Taking action doesn't always mean exactly fixing what was asked. Sometimes, you need to manage expectations by letting them know what you can or can not do. When you do take action, you always want to let others know why you are taking action. Help explicitly connect your steps back to the feedback provided. Feedback Habit #2: Be the change you want to see If you want feedback, you should lead by example. When possible, be transparent and share the tough constructive feedback others have raised and how you work to improve. Also, when providing balanced feedback, let others know what they are doing is right. Giving others feedback creates reciprocity. “We must be the change we wish to see in the world” Gahndi Feedback Habit #3: Actively listen Actively listening is your ability to hear and improve mutual understanding. Receiving feedback is not a synonym for listening. When you actively listen, you pay attention, show interest, suspend judgment, reflect, clarify, summarize, and share to gain clarity and understanding. When practicing active listening, you are available to the other person. Verbal, nonverbal, and empathic listening are a few active listening skills. Feedback Habit #4: Cultivate a community As in life, leadership is better within a community. Asking for feedback is a sign of strength and not weakness. Like a pyramid, most organizational charts narrow at the top, providing few opportunities for a role-based community. As leaders move up the corporate ladder, the healthy habit of enhancing community requires more intentional effort. Peer advisory groups, communities of practice, and affinity groups are increasingly popular leadership communities to leverage for feedback. Feedback Habit #5: Practice open strategic planning Employees are often motivated by giving feedback when they see that it impacts senior leader behaviors and company actions. Unfortunately, most organizations keep their strategies a secret . On average, 95% of employees don't know or understand their organization's strategies. Feedback Habit #6: Say thank you Your world is perfectly designed for the results you are getting—your reactions to feedback in actions and words matter. Increasing the frequency of behavior requires providing positive reinforcement to overcome the negative consequences of the behavior. Simply saying thank you can be a meaningful way to reinforce giving feedback positively. Feedback Habit #7: Engage a coach Coaching provides you with clear and direct feedback. It moves you closer to your future, assessing where you are currently and your goals for the future and exploring and discovering the steps to get to your desired future. The ultimate goal is a change (e.g., behavioral, attitudinal, or motivational) you want to make. Key Points: Getting the Feedback No One Wants to Give For many reasons, leaders are likely not receiving the constructive feedback essential to growing their careers and businesses. The best leaders ask more people and more frequently for feedback. Chances are that you are not receiving the performance and strategic feedback you want and need. However, the proven strategies outlined in this article help you to overcome the various barriers and get the input no one wants to give. References: Doolittle, J. (2023). Life-changing leadership habits: 10 proven principles that will elevate people, profit, and purpose. Organizational Talent Consulting. Grenny, J. & Maxfield, B. (2019). How leaders can ask for the feedback no one want to give them. Harvard Business Review. Kaplan, R. (2011). Top executives need feedback-here's how they can get it. McKinsey Quarterly. Kaplan, R., Norton, D. (2005). The office of strategy management. Harvard Business Review. 83(10):72-80 Kruger, J. & Dunning, D. (1999). Unskilled and unaware of it: How difficulties in recognizing ones own incompetence lead to inflated self-assessments. Journal of Personality and Social Psychology. Toegel, G. & Barsoux, J. (2019). Its time to tackle your team's undiscussable. MIT Sloan Management Review. Zenger, J. & Folkman, J. (2013). Overcoming Feedback Phobia: Take the First Step. Harvard Business Review. Zumaeta, J. (2018). Lonely at the top: How do senior leaders navigate the need to belong? Journal of Leadership & Organizational Studies.
- 5 Levers to Create a Culture of Accountability
Accountability is a frustrating topic for many leaders and business owners. Despite careful hiring practices, well-designed employment policies, and even digital monitoring, accountability remains puzzling. Why do some employees take accountability for their actions and others don't? When it's lacking, company performance and culture suffer. When done right, accountability leads to better outcomes. Holding others accountable isn't easy, but it significantly impacts your leadership and business results. An organizational culture of accountability is architected. It doesn't just happen. Here are five psychological levers for leaders to create workplace accountability, along with a quiz to help you understand if your company or team has a healthy culture of accountability. Why employee accountability matters A recent CEO benchmarking report found that nearly one in five CEOs surveyed identified holding others accountable as their greatest weakness, and almost as many struggled with letting go of underperformers. Holding employees accountable is difficult for leaders, even when they are responsible to others for business results. Employee accountability - an expectation that an employee may be called on to explain an action or inaction to others with the belief of a consequence based on an evaluation. Employees ignore, deny, blame, and play the victim in a toxic culture without accountability. Evidence from various studies links employee accountability to: Job satisfaction Motivation Stress Ethical behavior Job performance Discretionary effort “When people feel accountable and included, it is more fun.” – Alan Mulally 5 Psychological levers of accountability Researchers have found that in the workplace, these five psychological dimensions drive accountability: Accountability Lever 1: Attribution When others know who did it—the more personal, explicit, and unambiguous a task, the greater the attribution accountability. When employees expect their actions and decisions can or might be linked directly to them, and leaders know their name, they are more likely to take accountability. Evidence suggests clear standards and expectations increase attribution accountability. Make job descriptions and performance expectations more explicit. Idea: Develop meaningful relationships with your team members. Accountability Lever 2: Observation In a culture of observation accountability, employees expect their behaviors and judgments to be observed by their leader, peers, followers, and others. As the audience size increases, employees' observation accountability increases because they feel more likely to be observed. Idea: Emphasize transparency and increase the visibility of individual work. “The best kind of accountability on a team is peer-to-peer. Peer pressure is more efficient and effective than going to the leader, anonymously complaining, and having them stop what they are doing to intervene.” – Patrick Lencioni. Accountability Lever 3: Evaluation Feedback is provided for actions and judgments, and the ability exists to be compared to others. Employees who expect performance to be meaningfully reviewed feel more evaluation accountability. Additionally, when the evaluation outcomes are variable, it increases evaluation accountability. Idea: Reviewer status increases evaluation accountability. Include a second level (i.e., the leader's leader) review of formal performance evaluations. Accountability Lever 4: Obligation Having to explain an action or the way a decision is made and its effect on the well-being of others. Employees who expect to answer for their actions feel an increased obligation accountability. Idea: Reporting to multiple leaders or customers increases obligation accountability. Use performance calibration meetings with other leaders at the same level to increase visibility to talent across the organization and performance visibility. Accountability Lever 5: Consequential Employees working in effective accountability systems expect their actions to be linked to good or bad consequences. Consequences and rewards involve extrinsic (ex., earning a bonus or avoiding a negative) and intrinsic attributes (ex., personal satisfaction or enjoyment). According to equity theory, employees are motivated when rewards are fair as compared to others. Idea: Involve employees in defining rewards and recognition systems and defining levels of expectation for tasks. "When we fail to set boundaries and hold people accountable, we feel used and mistreated. This is why we sometimes attack who they are, which is far more hurtful than addressing a behavior or a choice." Brené Brown Does your company or team have a culture of accountability? The following validated survey by Han and Perry can be used by leaders to better understand employee accountability within a team or across an organization. Have employees anonymously indicate their degree of agreement or disagreement with the following statements using a seven-point scale from 1 (strongly disagree) to 7 (strongly agree). What I do is noticed by others in my organization. If I make a mistake, I will be caught. I am constantly watched to see if I follow my organization's policies and procedures. Anyone outside my organization can tell whether I'm doing well. My errors can be easily spotted outside my organization. People outside my organization are interested in my job performance. The outcomes of my work are rigorously evaluated. My work efforts are rigorously evaluated. I expect to receive frequent feedback from my supervisor. I could not quickly avoid making a false statement to justify my performance. I am constantly required to follow strict organizational policies or procedures. I am not allowed to make excuses to avoid blame in my organization. If I perform well, I will be rewarded. Reasonable effort on my part will ultimately be rewarded. If I do my job well, my organization will benefit from it. Each question aligns with one of the five levers of accountability. The higher the score, the higher the dimension of accountability. Attribution Accountability (Q1-3) Observation Accountability (Q4-6) Evaluation Accountability (Q7-9) Obligation Accountability (Q10-12) Consequential Accountability (Q13-15) Consider using this survey before and after taking steps to improve the team and organizational accountability. Measurement improves focus and tracks progress over time. Holding employees accountable isn't easy, but it significantly impacts your leadership and business results. What is your real challenge in building a culture of employee accountability? References Connors, R., Smith, T., & Hickman, C. (2010). The Oz Principle: Getting results through individual and organizational accountability. Prentice Hall. Doolittle, J. (2023). Life-changing leadership habits: 10 Proven principles that will elevate people, profit, and purpose. Organizational Talent Consulting. Han, Y., & Perry, J. (2020). Conceptual bases of employee accountability: A psychological approach, perspectives on public management and governance , 3:4, 288–304 Han, Y., & Perry, J. (2020). Employee accountability: development of a multidimensional scale, International Public Management Journal, 23:2, 224-251. Howard, S. (2019). Holding employees accountable: where most leaders fail. Predictive Index.
- Mergers & Acquisitions: The Importance of Creating a Shared Culture
Mergers and acquisitions (M&As) are key growth strategies for many organizations: entering new markets, acquiring new technologies, or leveraging scale and size. Culture is acutely critical during notable changes, such as M&As, which offer an opportunity for a renewed start on culture. When two organizations combine through mergers and acquisitions for economic reasons, it is doubtful that the two cultures will remain precisely the same. Sadly, evidence suggests that 50% to 85% of mergers fail to deliver on shareholder returns despite leadership's best intentions. The two cultures must harmonize to achieve the desired financial goals of the new organization and avoid a clash. Anyone who has endured an M&A knows how stressful it can be for everyone. The clashing of organizational culture is the most cited reason for failure. The leadership challenge is to figure out the best way to manage the formation of a blended new shared culture. Without intervention, it is most likely that a new culture will evolve, and the dominant culture will assimilate or reject members from the other culture. The best method to achieve the goals of the merger or acquisition is to identify the best parts of both cultures and create a new harmonized culture. This article explains the role of culture in M&As, cross-cultural issues, and the proven practices of creating a shared culture intentionally. How to read this white paper This white paper has six sections. All sections are essential to understanding the importance of creating a shared culture. The white paper starts with an explanation of culture and a summary of its role in organizations. It then discusses the challenges and proven steps to harmonize the two cultures. The white paper ends with a discussion of the significant benefits of creating a shared culture and a conclusion. This white paper explains why creating a shared culture when bringing two organizations together is essential. As designed, it presents a clear picture of the organizational culture and, ultimately, a leader’s role in leading culture harmonization for the merger or acquisition. Section 1: Understanding Organizational Culture Culture has been studied for years, resulting in many different models and definitions. Also, if ten employees are asked to define the company culture, there may be ten different answers. The concept of culture is abstract and not well understood. Organizational culture is complicated because it involves individuals, their interactions, teams, and the organization as a whole. A working technical definition of corporate culture is an often hidden shared pattern or system of beliefs, values, and behavioral norms. A simplified working definition of organizational culture is how things get done within the organization when no one is watching. Culture lives in the stories that are passed on from employee to employee. An organization’s culture reflects the various lessons it has learned through its history and incorporates the many behaviors and processes that have developed over time. Often, many elements of an organization’s culture are not visible to its employees. It is comparable to breathing. Breathing is essential to life but controlled unconsciously. Likewise, many elements of culture drop into the background and become automatic. However, highly visible and disruptive events like mergers and acquisitions can make cultural differences striking. Section 2: Understanding the local cultural context Today, many industries and organizations operate on a global scale. Understanding the dynamics of organizational and local cultural context is imperative for leaders in these organizations. Not understanding the impact of local culture on organizational culture can lead to grave miscalculations. Local culture is learned at the beginning stages of childhood and reinforced by local social, spiritual, economic, and education systems. It is held deeply and typically changes slowly over generations. It influences how employees perceive and judge the organization's and leaders' actions. Also, local culture affects employee communication both verbally and nonverbally. Organizational culture does not replace local culture. Therefore, leaders have the opportunity to harmonize local and organizational cultures. Leaders have to be experts in the paradox of local versus organizational culture. Most global organizations face significant issues related to the diversity of employee and customer interactions. One company in the casual dining industry that has navigated some of these issues well holds to company quality standards and values but allows local flexibility on its customer menu. For example, rice is a substitute for fries in Indonesia and roasted pork for hamburgers in Korea. Section 3: The role of culture in organizations Organizational culture impacts everything in business and plays a role at the individual, team, and organizational levels. The following is a short list of some of the critical roles of organizational culture by level: Individual Level Drive and reinforce profitable behaviors among employees. Shape employee interactions in the workplace. A healthy culture promotes employee trust , community, positive competition, and effective leader-follower relationships. Enhance individual commitment to the company within the workplace. Influence the leaders’ leadership style . Team Level Shape the structure, performance, capability, and effectiveness of teams. A healthy culture promotes productive conflict, team member participation, and team engagement. Organization Level Support the brand image with a unique identity to the market. Organizations become known by their culture. Provide policy guidance enabling the organization to bring out the best in each employee. Influence organizational design in support of the vision, mission, strategies, and critical priorities. Section 4: Cross-cultural issues in mergers and acquisitions Many studies have reported that the first reason for merger and acquisition failure is the lack of cultural integration. Even companies with strong organizational cultures may develop into dysfunctional organizational cultures after a merger without actions to harmonize the two cultures. Mergers and acquisitions create volatile, uncertain, complex, and ambiguous environments for those trying to integrate cultures. Additionally, in recent years, the push for a quick return on investments has impacted how cultures are integrated. This push leads to an organizational priority placed on financials, and creating a shared culture takes a back seat to financial needs. Also, as momentum builds, more people become involved, and it becomes more visible and harder to stop. Lack of cultural due diligence is often a problem. Usually, due diligence is conducted by lawyers and experts in finance or accounting rather than experts in understanding and diagnosing culture. Because culture is resilient and implicit, it is not susceptible to change. The staying power of culture is because it feels right and natural; cultural values imposed are opposed and seldom replace existing cultural elements. Employee communication is difficult during mergers and acquisitions. Both organizations struggle to know whom to communicate with and when to communicate, leaving employees in the dark about the merger and acquisition, amplifying the rumor mill, and fear among employees being left out. Communication is a skill that becomes critical for leaders during mergers and acquisitions. Listening becomes more complex as workloads increase. Awareness of employees' concerns and questions is crucial for knowing what to communicate. Employee retention is a challenge during mergers and acquisitions. Negative thoughts and beliefs about the change can result in employees leaving. Uncertainty, lack of job security, questions about leadership credibility and trust, and confusion frustrate employees. The added complexity of the merger and acquisition of the turnover creates distractions, making it harder to get the work done. Also, the turnover contributes to the loss of tribal knowledge about how to get things done. Global mergers and acquisitions can present challenges due to physical distance and time zone differences between employees. Language differences can also become cross-cultural issues in mergers and acquisitions and can create added costs for translations or misunderstandings. Additionally, variations in national culture can further complicate communication. M&A may create a sense of fear among employees because of the anticipated changes and known high failure rate. Perhaps it is the fear of the unknown or the fear of repeating a past failure. Employees from the announcement start to wonder how this change will impact them personally, such as redundancy of their position, changes in reporting structure, changes in responsibilities and their capabilities to meet the changes, and many more factors. Section 5: Proven steps to integrate culture The following are not expectations of a panacea that will guarantee success but practical and proven steps and tools a leader can take to face the challenges of cultural issues in mergers and acquisitions. The key is to engage in efforts to create a shared culture early in the merger and acquisition process rather than waiting for a culture clash to occur. Changing culture requires much more than creating and communicating a new company's catchphrase, vision, and mission statement. Successful mergers and acquisitions require more than integrating policies, organization charts, and systems that often get the most attention. Strategies need to include CEO sponsorship, reinforcement, communication, and specific action plans. Proactive and transparent communication can help build trust. A frequently asked question (FAQ) document to communicate answers to questions employees might have in advance of them being asked can help reduce fears and rumors. Creating a shared culture requires lots of involvement, input, ideas, teamwork, and commitment to take place. Culture During Mergers and Acquisitions The merger and acquisition process has three phases. First, the organization identifies a growth strategy in the pre-combination phase, and potential targets are selected. Due diligence begins, the executives negotiate the deal, and then it is legally approved by shareholders and regulators. Second, in the combination phase, action plans start to combine both companies. Third, in the post-combination phase, the shared culture begins to form and settle in. Creating a shared culture in mergers and acquisitions begins with the pre-combination phase to review potential targets and conduct due diligence. Once the company has selected a target for merger or acquisition, then the target’s culture should be discussed. Be discrete during the due diligence to allow for analysis. If not already defined, it is a good practice to assess the current state of the culture and identify the company’s strengths and weaknesses. Potential targets should be reviewed for known elements of the target’s external culture. Consider the target’s ability to adapt by evaluating their perceived customer focus, change resilience, mission, and vision. Also, it is vital to establish cultural goals along with economic growth goals. In the due diligence stage, creating the desired end state for the culture is critical. It is a target, not an absolute. Through the M&A, there may be issues or opportunities, and the goal is to adapt as they arise. While there are many ways to define the end state (see Defining the End State figure below), ranging from using one culture or another or transforming a new culture, perhaps the best option is to utilize the best of both companies, achieving synergy through harmonization. Blending the best of both cultures is often the most successful. Anticipate that most people will initially respond to the merger or acquisition with concern. During the pre-combination phase of the merger or acquisition, it is an excellent practice to be confidential with a small team to allow for as much work as possible before both organizations find out. More work done in advance allows for a quicker response and minimizes employee turnover risk. Expect that the process of working toward a shared culture will take time. Plan on the creation of a shared culture to take at least a year. Establishing a new culture is like pouring cement; it takes time to cure completely. Even after the initial work is done, do not let up. Don’t walk away. Define the End State Figure adapted from Marks, M. L., & Mirvis, P. H. (2011). A framework for the role of the human resource in managing culture in mergers and acquisitions. Human Resource Management, 50(6), 859-877. Conducting a current-state culture assessment of the newly merged or acquired company is essential during the merger or acquisition's combination phase. Do not accept comments that the two companies are exactly alike. The evaluation will surface strengths and weaknesses and identify any possible subcultures or areas of opportunity. Taking the time to assess both cultures allows for a better definition of the culture and behaviors necessary for teamwork and optimal performance. Engage in a discussion to create a shared understanding of the evaluation results and to discuss the implications of the current culture. This discussion helps clarify an approach to creating a shared culture. Next, choose what to harmonize, gaining agreement on keeping the best of both and focusing the efforts on areas with the most significant business impact. Lastly, create action plans to move the shared culture forward by prioritizing and developing specific action plans. It is essential to anticipate and plan for likely reactions from both companies’ employees. What leaders reinforce, either from positive reward and recognition or negative threats and punishment, will be done. Leaders at all levels play a vital role in the success of the M&A. When creating action plans, utilize the following primary and secondary actions and tools for leaders to embed the new culture : Primary Actions and Tools Pay attention to metrics that matter and provide regular updates Respond to organizational crises Resource allocation Training and development Rewards and recognition Selection, promotions, and terminations Manage change Secondary Actions and Tools Organization design Policies and procedures Rituals and events Workspaces Traditions and stories Vision and mission statements Remember that resistance is almost guaranteed with mergers and acquisitions, even when perceived as desirable. The disruption from resistance can derail or delay action plans. Make plans to respond to disruptions and quickly respond to questions, concerns, or rumors that surface from employees. During the post-combination phase of the merger or acquisition, sustaining the efforts to create a shared culture is crucial. A culture assessment should be repeated to measure the progress made in this process. The assessment results can also be used to develop new action plans to support and shift to the new shared culture and connect culture back to the economic goals of the merger or acquisition. Section 6: The benefits of creating a shared culture Mergers and acquisitions continue to be widespread forms of corporate economic growth strategies. The two years of 2020 and 2021 demonstrated that M&A activity is highly resilient and rebounds quickly from setbacks. In 2021, the overall value of worldwide mergers and acquisitions in business amounted to almost six trillion dollars . In 2023, the total deal value of global mergers and acquisitions (M&A) was $3.2 trillion. According to Forbes, financially successful companies have identified organizational culture as a critical factor in their success. Empirical evidence has also highlighted the importance of organizational culture in organizational performance. Ultimately, every organizational result is the direct contribution of an employee. In addition to organizational outcomes, research has linked culture to employee morale, commitment, health, productivity, and well-being. Conclusion Most mergers and acquisitions (50-85%) fail to be successful. So why do organizations pursue them? If successful, mergers and acquisitions can lead to tremendous organizational growth. Creating a shared culture is the best method for achieving merger and acquisition success. The proven actions and tools leaders can use to harmonize both cultures and avoid culture clashes outlined in this article do not guarantee success. Best practices are to consider the culture and take action at each phase of the merger or acquisition from pre-combination to post-combination. References Cameron, K. S., & Quinn, R. E. (2011). Diagnosing and changing organizational culture: Based on the competing values framework (Third ed.). Doolittle, J. (2023). Life-Changing Leadership Habits: 10 proven principles that will elevate people, profit, and purpose. Organizational Talent Consulting. Heffernan, M. (2012). Why Mergers Fail. Marks, M. L., & Mirvis, P. H. (2011). A framework for the human resources role in managing culture in mergers and acquisitions. Human Resource Management, 50(6), 859-877. M&A Community. (2024). Mergers and acquisitions examples: Major deals from the past seven years. Schein, E. H., & Schein, P. (2016). Organizational culture and leadership, 5th edition (5th ed.) John Wiley & Sons.
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