Leadership and Complexity

I received several direct emails about my recent posting titled "Where Have All The Leaders Gone?"

I’d like to share one with you, and then offer some comments about the point made by this European-based procurement professional. Here is what Ion from Bucharest wrote:

Hi Robert!
I read with interest your article, Where Have all the Leaders Gone?
Your perception is right, many companies are run by procedures and internal rules, the[real] leaders do not find their place in these kinds of organizations.
I live and work in Europe, where many industries were dramatically hit by crisis - and the procedures are not meant for crisis.
I see in many companies the lack of a Leader capable to move an organization and run a business outside of procedures and internal rules.
But now the perception might change.
Congratulations for the nice article.

Is your organization one in which procedures and internal rules constrain (or even overwhelm) your ability to do what is right? In our experience, too many organizations have an imbalance between the need for procedures, and their ability to pursue and achieve their strategic objectives. This can manifest itself in a variety of ways: the classic situation is where a procurement professional is responsible for both the strategic and the tactical/administrative activities for a group of commodities. And, because the tactical must be performed promptly (to avoid production interruptions, for example) the strategic never receives the attention it deserves. Until, that is, a transformation occurs. (More on this example at a later date.)

Success in business requires a balance between "management" and "leadership" (see the Figure below). And, as noted in the prior posting, "leadership" is not the sole domain of the CEO’s office. Leadership can, and should, be practiced at all levels.

For those of you interested in learning more about the subject of leadership and how it differs from management, I strongly recommend the book "The Leadership Challenge" by Kouzes and Posner. A shorter alternative is to read chapter 6 of my book "Beat the Odds: Avoid Corporate Death and Build a Resilient Enterprise."

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Robert A. Rudzki is a former Fortune 500 Senior Vice President & Chief Procurement Officer, who is now President of Greybeard Advisors LLC, a leading provider of advisory services for procurement transformation, strategic sourcing, and supply chain management. Bob is also the author of several leading business books including the supply management best-seller “Straight to the Bottom Line®”, and the leadership book “Beat the Odds: Avoid Corporate Death & Build a Resilient Enterprise.” You can reach him directly at: rudzki@GreybeardAdvisors.com

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