21st Century Economy and Business: Leading and managing for results

1. 21stCentury Economy and Business: Leading and Managing for Results Kayode Adebiyi, FCA, MBA at the 3rdICAN-MALAYSIA INTERNATIONAL ACCOUNTANTS CONFERENCE KEDAH, MALAYSIA March 24-25, 2021

2. Our Roadmap The Great Shift Digital transformation MFR Organization MFR Manager MFR Skills

3. The Great Shift

4. “The 20th 21stCentury Organization compared” Kotter, John P, Leading Change, pg.172 and

5. Structure 21stCentury 20th Century •Non-bureaucratic, with fewer and employees rules •Bureaucratic •Multileveled •Limited to fewer levels •Organized with the expectation that senior management manage •Organized with the expectation that management will lead, employees will manage will lower-level •Characterized create many complicated internal interdependencies by policies that •Characterized procedures that produce the minimal internal interdependence needed to serve customers by policies and

6. Systems 20thCentury 21stCentury •Depend information systems •Depend on many performance information systems, data on customers especially on few performance providing •Distribute performance data executives only to •Distribute widely performance data •Offer management training and support systems to senior people only •Offer management training and support systems to many people

7. Culture 20thCentury • Inwardly focused • Centralized • Slowto make decisions • Political • Risk averse 21stCentury • Externallyoriented • Empowering • Quick to makedecisions • Open and Candid • More risk tolerant

8. VUCA Increasing rate of change A term originated by a US Military College to describe the new challenges facing leaders. Volatility Less clarity about the future Uncertainty Multiplicity of decision factors Complexity There may be no “right answer” Ambiguity 8

9. We are moving … • From “Old World” … • …To “New World” • High complexity, fast change • Lower complexity, slower change • Learning has a short shelf-life • Learning has a long shelf- life • Knowledge is scattered • The ‘senior ones’ know most • No individual can pretend to ‘know’ • Somewhere ‘someone’ knows • ‘More of the same’ is the rule • Innovation is the ‘rule’ Source: Obeng, E and Gillet, C (2008) The Complete Leader. London Business Press, Buckingham, p3

11. Change! •“In times of rapid change, experience could be your worst enemy.” - J. Paul Getty www.terrypaulson.com

12. Adaptability

15. Result-based leadership

17. Leadership versus Management Management Leadership Promotes vision, creativity, and change Promotes stability, order and problem solving within existing organizational structure and systems M L L Takes care of where you are Takesyoutoa newplace

18. Managers vs. Leaders • Managers know how to plan, budget, organize, staff, control, and problem solve • Managers deal mostly with the status quo • Management is a bottom line focus: How can I best accomplish certain things? • Management is doing things right • Leaders create and communicate visions and strategies • Leaders deal mostly with change • Leadership deals with the top line: What are the things I want to accomplish? • Leadership is doing the right things

19. Results-Based Leadership Effective Leadership = Attributes x Results Skills Values Motives Competencies Behaviors Style Action Programs Projects Goals Initiatives Strategy Source - David Ulrich: Results-Based Leadership

25. What is a result? A result is a measurable or describable resulting from a cause and effect relationship. change

26. What is Managing for Results? An approach to management used by an organization to:  Determine the most important results  Establish and communicate direction  Monitor progress toward meeting its goals  Invest resources strategically for results  Use fact-based performance information to continually improve performance and provide accountability for results  What gets measured gets done 26

27. Results are supposed to be S.M.A.R.T. • Specific • Measurable • Attainable • Result-oriented and relevant • Time-bound

28. Resources to Results

29. MFR Organization

30. The Four Levels of Every Organization Short term Easiest Physical (processes, tools, and structures) Abilityto influenceor change Infrastructure (management systems, measurements, and rewards) Durability of the change Behavioral (what groups and individuals do) Cultural (values,beliefs,and norms) Most difficult Long term ©1997, Russell Consulting,Inc. Used with permission.

31. The Componentsof Organizational Alignment Vision Capabilities • Technical • Leadership Culture • Norms • Sharedvalues Structure • Spanof control • Team composition • Hierarchy Systems • Accounting • HR • Sales • IT

32. The Organization as an Iceberg Metaphor Prentice Hall, 2002

33. What you are seeing is ……

34. Organizational (Corporate) Culture A pattern of basic assumptions that are considered valid and that are taught to (or “caught by”) new members as the way to perceive, think, and feel in the organization.

35. Culture stuff that people dowithout noticing it HenrikKniberg

38. MFR strategy

39. Strategy or tragedy? “Without strategy, the possibility of tragedy is not far off” - Anonymous. a viable

41. Strategy Definition: “Strategic planning is creating a vision of the future and managing toward that expectancy” It's an effective process for aligning your short-term decisions with your long-term goals Strategic planning answers the three big questions: 1. Where are we today? 2. Where do we want to be in the future? 3. What should we be focused on today, in order to make it more likely we will be where we want to be in the future?

42. The Secret to how to do more with less . . . Collaboration STRATEGY Leadership Innovation

45. Remember, Cultureeats Strategyfor breakfast! HenrikKniberg

46. MFR Skills

47. MFR Skills Problem solving, decision making Focus Synergy Delegation Change Leadership Collaboration

48. Changeleaders vs. status quo managers

49. The Journey ThroughChange Stability 1. Comfort and Control Looking Forward Looking Back 3. 2. Inquiry, Fear, Anger, and Resistance Experimentation, and Discovery Chaos Leading Change Training, Jeff and Linda Russell, 2003

50. Embrace synergy