The price of a well-engineered high performance German car is significantly higher than that of a car that will safely and reliably get you where you need to go. The rewards are both tangible – as in measurable performance, observable luxury – and intangible, prestige and self-satisfaction.
More subtle, however, than either of the above, is the day-to-day playing of price and rewards in our roles as leaders. An example:
She is a manager with a depth of hard-earned experience unequalled by anyone else in the business. Externally she is annoyed by the constant demands and requests for her knowledge, yet, she gets great satisfaction from being the go-to person. When there are problems, she dons her hard hat, hops on her Segway and races to it, directing what must be done to eliminate the problem in as short a time as possible. People do as told and all is good until the next time.
The reward: She rides away, standing tall and exceptionally proud of being the only one with the knowledge to solve any complex problem that shows-up. Her days are full of minor and not so minor emergencies that, while annoying, provide her with personal satisfaction. Every day is chock-full of relentless meetings because she is the holder of the knowledge.
The price: While the immediate problem is solved, similar if not the same situations reoccur. A trend develops where people do not take initiative to solve problems due to a lack of deeper understanding combined with a feeling that they are likely to be wrong in their approach. Her value to the business is significant, yet not what it could be if knowledge were more fully and deeply dispersed throughout the business.
So, let’s presume that ‘Ms. Hardhat’ is simply tired of the persistent disruption and distraction and has an epiphany. She realizes that the only way out is to take a new and different approach. She has accepted that the business and her success require that she learn to be more of a coach and more accountable for developing the capacity of others. Her new approach is a deliberate and persistent focus on helping people understand the “Why” that underlies the previous “What and How” of her standard directions. There is a price and reward equation here also.
The price: The most obvious are time and the changing of long-held beliefs about people and her role as a leader. She becomes committed to be more of a coach and less of a manager. More subtle is the price of giving up the personal satisfaction that comes from being large and in-charge as the go-to problem solver.
The reward: People learn to solve problems, take action and make good decisions without her. Her growing value to the business is tangible through the performance of others. Personal satisfaction comes in new unexpected ways. Unanticipated career opportunities emerge.
The reality: It is easier to buy the 911, M5, AMG. Write a check and the reward starts as soon as you climb in the driver’s seat.
Changing behaviors that were successful in the past to those that will be successful in the future is much longer term. You can’t see the picture of the reward clearly as with the new ride.
People behave based on what they believe and what provides validation of self-worth. Self-awareness is a characteristic of the most effective leaders.
Tangible and intangible rewards accrue to the leader who is exceptional at driving a team that learns together well and fast, and then applies that learning to business improvement, innovation and growth. Anything less and you are driving a potentially high performance team with the brakes on.