plan and lead in the right direction by rex gatto, ph.d. gatto associates, llc 412-344-2277 email:...
TRANSCRIPT
Plan and Lead in the Plan and Lead in the Right Direction Right Direction
By Rex Gatto, Ph.D.By Rex Gatto, Ph.D.
Gatto Associates, LLCGatto Associates, LLC
412-344-2277412-344-2277
Email: [email protected]: [email protected]
Website: www.rexgatto .comWebsite: www.rexgatto .com
Thought Provoking BooksThought Provoking Books
“Smart Mangers FAQ” by Gatto
“ Winning in Fast Time ” Harness the competitive advantage of Prometheus by Warden
“Blue Ocean Strategy” by Kim
Leadership ObjectivesLeadership Objectives
I. Learn leadership styles and dimensions needed for firm development characteristics
II. Learn how to write a strategic plan process for your firm
III. Learn how to effectively lead people to achieve
Strategic LeadershipStrategic Leadership
Every action affects the future of your firm
Specific actions = a specific future
Everything happens in a system
All systems can resist change
Four Leadership Four Leadership ImperativesImperatives
Design the future
Target for success
Campaign to win (who is the person on the white horse)
Finish with finesse
LeadershipLeadership
Asking the right questions
Making the right choices
Leadership Planning ProcessLeadership Planning Process
Pre-planning
Environmental Scan
Formulate Strategy
Implement Strategy
Evaluate Strategy and Make adjustment
Pre-PlanningPre-Planning
Decide on:
Process
People involved
Time frame
Planning tools (i.e. SWOT or PEST)
Have and Wants (reviewed later)
Environmental ScanEnvironmental Scan
How is the firm doing?
Do we have the right people in place?
Right niche or department mix?
Are we meeting competitive challenges?
Where are we NOW?
Formulate StrategyFormulate Strategy
NOT TOO SOON!
Develop your firm’s vision
Develop your firm’s mission
Establish your firm’s values (what is rewarded)
Establish measureable action plans
Where do we want to be?
Implement StrategyImplement Strategy
Develop measurable goals
Develop a budget
Develop niche or department goals
Develop individual partner goals to support niche/department goals
Execute: take the right action
How do we get to where we want to be?
Evaluate Strategy and Make Evaluate Strategy and Make AdjustmentsAdjustments
Measure actions and results
Adjust (do not wait)
Continue to use the strengths of the firm for a competitive advantage
Be specific and layout practical steps toward achievement
Know your: firm, industry, marketplace and technology
Strategic PlanningStrategic PlanningPages 13-26; 237-241Pages 13-26; 237-241
IntroductionIntroduction
Development of a Planning Process
Ability to plan is an important part of the business environment
Planning should answer the questions of how and why
IntroductionIntroduction
Development of a planning process
Ability to plan
Future behavior
Response
Decision making
Self development
Planning Process in ActionPlanning Process in Action
Background: analyze present situation
Reason to plan: Identify needs, wants, and desires; Course correct goals if needed
Comparison: future to present situation
Implementation: explain the goal, develop alternatives, and be flexible
Planning ProcessPlanning Process
The Right QuestionsThe Right Questions
Where are we now?
Where do we want to be?
Definition of PlanningDefinition of Planning
Decision making
Where you are
ID risks
Hazards/opportunities/goals
Power to control
Plan to SucceedPlan to Succeed
Identify the future
Understand the present
Develop a strategy
Present/Future ModelPresent/Future Model
Have
Don’t Have
Want Don’t Want
Acquire
Maintain
(Strength)
(Future Direction)
Prevent
Eliminate
(Problem)
(Possible Pitfalls)
2. 3.
4.1.
Present Situation
Future Situation
Planning for the Future
Simplified Strategic Process Simplified Strategic Process OrganizationOrganization
GoalsGoals
Strategic ActionStrategic Action
ParticipationParticipation
ResultsResults
Simplified Strategic Process Simplified Strategic Process OrganizationOrganization
BenefitsBenefits
Shared Visions – measurableShared Visions – measurable
Teamwork – shared ideasTeamwork – shared ideas
Set priorities and adapt to Set priorities and adapt to changechange
Develop new thinkingDevelop new thinking
Simplified StrategySimplified Strategy
Work with the end in mindWork with the end in mind
Establish a personal/team visionEstablish a personal/team vision
ACTACT
InputInput
Know the desired resultsKnow the desired results
Five BenefitsFive Benefits
List five benefits you will gain from List five benefits you will gain from strategic planning:strategic planning:
1.1.
2.2.
3.3.
4.4.
5.5.
Avoid in Strategic Avoid in Strategic PlanningPlanning
Unclear goal; not clarifiedUnclear goal; not clarified
No input from othersNo input from others
Not utilizing resourcesNot utilizing resources
No implementationNo implementation
No measured successNo measured success
Failure to support ideasFailure to support ideas
Not complying with strategyNot complying with strategy
Not making tough decisionNot making tough decision
Conceptual ModelConceptual Model
1. Our firm will be committed to achieve recognition as business leaders 1. Our firm will be committed to achieve recognition as business leaders in providing effective and ethical accounting principles to clients in providing effective and ethical accounting principles to clients
2. Our partners, managers and staff will be perceived as dedicated, 2. Our partners, managers and staff will be perceived as dedicated, competent and quality conscious.competent and quality conscious.
3. Our firm will be know for offering a fair equitable and stable work 3. Our firm will be know for offering a fair equitable and stable work environment with competitive compensation, learning opportunities environment with competitive compensation, learning opportunities and career growth for it peopleand career growth for it people
4. Our clients will recognize us for our leadership, business acumen and 4. Our clients will recognize us for our leadership, business acumen and advice in providing business accounting servicesadvice in providing business accounting services
Strategic Actions: Points of Strategic Actions: Points of MeasurementMeasurement
Cultivate and nurture productive partnerships – Cultivate and nurture productive partnerships – people - business communitypeople - business community
Acknowledge and recognize our people & Acknowledge and recognize our people & clientsclients
Establish best team practices Establish best team practices
Collaborate/Educate without being Collaborate/Educate without being condescendingcondescending
Determine right method to cost inventoryDetermine right method to cost inventory
Understand the impact of our decision in other Understand the impact of our decision in other areasareas
Support each other - unificationSupport each other - unification
Operational TacticsOperational Tactics
Operational tactics = Operational tactics = Decisive ActionsDecisive Actions
Strategic Action Strategic Action StatementStatement
Tactical actions support Tactical actions support and help to achieve the and help to achieve the Strategic actionStrategic action
Follow-up ActionFollow-up Action
What is being What is being worked onworked on
Significant Significant experiencesexperiences
LearningsLearnings
Do differentlyDo differently
Situational changeSituational change
Gone wellGone well
ChangeChange
Decision MakingDecision Making
Thought processThought process
Selection of a course of Selection of a course of actionaction
Final choice = decisionFinal choice = decision
Therefore, decision-Therefore, decision-making is a reasoning making is a reasoning process, which can be process, which can be rational or irrational, rational or irrational, and can be based on and can be based on explicit assumptions or explicit assumptions or tacit assumptionstacit assumptions
Examples: shopping or Examples: shopping or eatingeating
Equation for Decision Equation for Decision MakingMaking
(Vroom Jargo)(Vroom Jargo)
D (effectiveness) D (effectiveness)
==
D(quality) + D(Commitment) D(quality) + D(Commitment)
– – D (time penalty)D (time penalty)
QuestionsQuestions
Questions: Questions:
Is commitment high or low? Is commitment high or low?
Is leaders’ information high or low?Is leaders’ information high or low?
Is problem stated clearly?Is problem stated clearly?
Do followers share the Do followers share the goal/outcome? goal/outcome?
Is there conflict? Is there conflict?
Do you have enough information?Do you have enough information?
Equation for Decision Equation for Decision MakingMaking
Overall (effectiveness) + Dec. Overall (effectiveness) + Dec. (effectiveness) – Costs +Development(effectiveness) – Costs +Development
Overall (effectiveness) + Overall (effectiveness) + D(effectiveness) – Costs D(effectiveness) – Costs +Development(time/training)+Development(time/training)
We don’t see a decision – we see We don’t see a decision – we see
the observable actions from it.the observable actions from it.
Common Decision-Making Common Decision-Making BiasesBiases
Common Decision-Making-Biases.Common Decision-Making-Biases.
Selective search for evidence Selective search for evidence
Premature termination of search for evidence Premature termination of search for evidence
Conservatism and inertia Conservatism and inertia
Experiential limitations Experiential limitations
Selective perception Selective perception
Wishful thinking or optimism Wishful thinking or optimism
Choice supportive bias - when we distort our Choice supportive bias - when we distort our memories memories
Recent - attention on more recent informationRecent - attention on more recent information
SummarySummary
You are going through a developmental leadership
process; challenge yourself to be the best version of a
leader that you can