{"id":2330,"date":"2016-02-25T15:39:18","date_gmt":"2016-02-25T20:39:18","guid":{"rendered":"http:\/\/flevy.com\/blog\/?p=2330"},"modified":"2016-12-29T16:07:30","modified_gmt":"2016-12-29T21:07:30","slug":"what-leadership-indicators-drive-organizational-performance","status":"publish","type":"post","link":"https:\/\/flevy.com\/blog\/what-leadership-indicators-drive-organizational-performance\/","title":{"rendered":"What Leadership Qualities Drive Organizational Performance? (Hint: Trick Question.)"},"content":{"rendered":"<p><img decoding=\"async\" class=\"alignright size-medium wp-image-2331\" src=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2016\/02\/competing_2-300x292.gif\" alt=\"competing_2\" width=\"300\" height=\"292\" \/>A few decades ago,\u00a0faculty members at the University of Michigan were\u00a0researching the major indicators of effective organizational performance. \u00a0What came from this research was an incredibly useful model for organizing and understanding a wide array of organizational (and individual)\u00a0topics. \u00a0These include theories on Organizational Effectiveness, Corporate Culture, Leadership Competencies, Stages of Life Cycle Development, Financial Strategy, among others.<\/p>\n<p>This model is\u00a0the <a href=\"https:\/\/flevy.com\/browse\/flevypro\/competing-values-framework-1966\">Competing Values Framework<\/a>, developed by Robert Quinn and Jon Rohrbaugh. \u00a0Based on statistical analyses of a comprehensive list of effectiveness indicators, Quinn and Rohrbaugh discovered 2 major dimensions underlying conceptions of effectiveness, focused on:<\/p>\n<ol>\n<li><strong>Organizational Focus.\u00a0<\/strong>This\u00a0dimension differentiates an emphasis on flexibility, discretion, and dynamism from an emphasis on stability, order, and control.<\/li>\n<\/ol>\n<ol start=\"2\">\n<li><strong>Organizational Preference for Structure.\u00a0<\/strong>The second dimension differentiates an internal orientation\u2014with a focus on integration, collaboration, and unity\u2014from an external orientation\u2014with a focus on differentiation, competition, and rivalry.<\/li>\n<\/ol>\n<p>Together, the 2 dimensions form 4 quadrants. \u00a0The diagram\u00a0visualizes the framework and places names for each the quadrants:<\/p>\n<ul>\n<li><strong>Human Relations Model<\/strong><\/li>\n<li><strong>Open System Model<\/strong><\/li>\n<li><strong>Internal Process Model<\/strong><\/li>\n<li><strong>Rational Goal Model<\/strong><\/li>\n<\/ul>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-2332\" src=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2016\/02\/competing_1.gif\" alt=\"competing_1\" width=\"646\" height=\"364\" \/><\/p>\n<p>Each quadrant represents a unique and defining sets of organizational and individual values and implications. \u00a0In fact,\u00a0values and implications from diagonally opposing quadrants are complete opposites&#8211;hence the name, Competing Values Framework. \u00a0Someone who strives in one quadrant may be completely ineffective and counter-productive if placed into an organization that is aligned with a different quadrant. \u00a0Therefore, it critical to understand what quadrant your own organization falls into and the associated implications of being in this quadrant. \u00a0Knowing this will help you identify the criteria for effectiveness that should be pursued, the leadership and managerial competencies that are most effective, and the underlying corporate culture.<\/p>\n<p>Let&#8217;s look at an example.<\/p>\n<h2><strong>Human Relations Model<\/strong><\/h2>\n<p>The top-left quadrant, called the Human Relations Model, places a lot of emphasis on flexibility and internal focus.\u00a0 It stresses cohesion, morale, and human resources development as criteria for effectiveness.\u00a0 Tools and techniques, including teamwork, collaboration, talent management, empowerment, or inter-personal relationships, are highlighted here.<\/p>\n<p>Leaders here tend to be\u00a0Facilitators, Mentors, and Team Builders. \u00a0The culture is one of Collaboration with the\u00a0mantra, &#8220;do things together.&#8221; \u00a0Value drivers include Commitment, Communication, and Development.<\/p>\n<h2><strong>Rational Goal Model<\/strong><\/h2>\n<p>On the opposing (bottom-right) quadrant, we have the Rational Goal Model. \u00a0Rational Goal Model\u00a0emphasizes control and an external focus.\u00a0 It regards planning, goal setting, productivity, and efficiency as being effective.\u00a0 Tools and techniques, including competitiveness, fast response, decisiveness, driving through barriers, or goal achievement, are highlighted here.<\/p>\n<p>Leaders here to be Competitors and Producers. \u00a0The culture is more\u00a0around Competition, where folks live by the mentality, &#8220;do things fast.&#8221; \u00a0Value drivers include Market Share, Goal Achievement, and Profitability.<\/p>\n<h2>Leadership Development<\/h2>\n<p>As alluded to, the Competing Values Framework can be\u00a0applied to Leadership Development. \u00a0The subtlety that this model addresses is that an effective leader in one organization may not be an effective leader in a different organization. \u00a0Why? \u00a0Well, it&#8217;s because the 2 organizations may not fall within the same quadrant.<\/p>\n<p>Leadership development experiences and executive education programs often focus on competencies and capabilities that reside in each of the 4 different quadrants.\u00a0 Eight categories of leader behavior, or roles, emerge from this framework:<\/p>\n<ol>\n<li>Mentor Role<\/li>\n<li>Facilitator Role<\/li>\n<li>Monitor Role<\/li>\n<li>Coordinator Role<\/li>\n<li>Innovator Role<\/li>\n<li>Broker Role<\/li>\n<li>Producer Role<\/li>\n<li>Director Role<\/li>\n<\/ol>\n<div class=\"aside\"><strong>Are you a management consultant?<\/strong> \u00a0You can download this and hundreds of other <a href=\"https:\/\/flevy.com\/pro\/library\/frameworks\">consulting frameworks<\/a>\u00a0and <a href=\"https:\/\/flevy.com\/pro\/library\/consulting\">consulting training guides<\/a> from the FlevyPro library.<\/div>\n<p>The specific leadership tools and techniques that receive emphasis with leadership groups are often determined by the organization\u2019s own culture, aspirations for change, competencies of the management team, or the feedback that individuals receive from various assessments.<\/p>\n<div class=\"aside\">For a more in-depth discussion on Leadership, read my <a href=\"https:\/\/flevy.com\/blog\/flevy-author-spotlight-our-interview-with-a-leadership-expert-michele-sancricca\/\">interview with Michele Sancricca here<\/a>.<\/div>\n<p>What are your thoughts on this model? \u00a0Where does your organization fall? \u00a0Please share your thoughts in the comments below. \u00a0 You can download an editable PowerPoint about the\u00a0<a href=\"https:\/\/flevy.com\/browse\/flevypro\/competing-values-framework-1966\">Competing Values Framework here<\/a>\u00a0on the Flevy documents marketplace.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>A few decades ago,\u00a0faculty members at the University of Michigan were\u00a0researching the major indicators of effective organizational performance. \u00a0What came from this research was an incredibly useful model for organizing and understanding a wide array of organizational (and individual)\u00a0topics. \u00a0These include theories on Organizational Effectiveness, Corporate Culture, Leadership Competencies, Stages of Life Cycle Development, Financial&hellip;&nbsp;<a href=\"https:\/\/flevy.com\/blog\/what-leadership-indicators-drive-organizational-performance\/\" rel=\"bookmark\"><span class=\"screen-reader-text\">What Leadership Qualities Drive Organizational Performance? (Hint: Trick Question.)<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":2331,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"","neve_meta_content_width":0,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","footnotes":""},"categories":[85],"tags":[995,106,1074,1073,1075],"class_list":["post-2330","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-organization","tag-culture","tag-leadership","tag-organizational-design","tag-organizational-effectiveness","tag-organizational-performance"],"_links":{"self":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/2330","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/comments?post=2330"}],"version-history":[{"count":10,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/2330\/revisions"}],"predecessor-version":[{"id":2765,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/2330\/revisions\/2765"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media\/2331"}],"wp:attachment":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media?parent=2330"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/categories?post=2330"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/tags?post=2330"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}