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Last Word: Corporate America Earns a C-
January 15, 2009
Stephen Covey answers questions submitted by Matthew Breitfelder, vice president, management & leadership development, MasterCard; Tracy L. Lendi, director, training and development, Standard Parking Corporation; and Ross Tartell, Ph.D., director team leader, field training, Pfizer Inc.
By Stephen Covey

MB: What "report card grade" do you give to corporate America for the way it develops leaders? What is one thing you think companies should focus on to improve effectiveness in this area?

SC: I would give corporate America a C- and recommend that it transform its leadership development program to reflect the reality of moving from the Industrial Age to the Information/ Knowledge Worker Age so there is a higher level of empowerment; much less control command; a higher level of synergistic communication and decision-making; much less authoritative control; much more institutionalizing the empowerment of the whole person into the structures, systems, and processes of the organization; and much less perpetuating the Industrial Age focus of supervising people's methods, and using rules and regulations and obsolete procedures to replace human judgment and creativity.

TL: Do you feel that those who master the 7 Habits will be more productive and successful learners?

SC: This is one of the clearest fruits that comes from such self-mastery. The first three habits produce the private victory and the integrity within, which enables people to think Win/Win when others are thinking Win/Lose; to Seek First to Understand when you are so anxious to be understood; and to go for synergistic, creative cooperation, which produces third-alternative solutions (not compromise) that are better than what any party initially proposed, when others are going for compromise.

RT: With every working generation, there are changes in what is motivational (e.g., Boomers vs. Gen Xers). As the mix of the generations (and cultures) continues to increase, and new cohorts enter the workforce, what approaches can we use to take advantage of this diversity to build organizational performance?

SC: Synergy is celebrating diversity. So, involve people in the question you are asking and let them come up with their recommendations. Initially, start with small groups of three or four people so they are authentic and genuine in their communication and not "politically correct." Then, let each small group share their analyses and recommendations and begin to synergize at a higher level the question you are asking.

The key to this generational question is to be synergistically resolved through deep cooperation and authentic communication. Employ a great deal of empathic listening and restating another person's point until that person feels understood. This takes a different mind-set and skill set.

RT: There has been an emerging debate regarding how to build compliance behavior. It boils down to building a culture of values and ethics so people comply versus creating a set of rules that are monitored and combined with serious consequences. What suggestions do you have for building a culture of integrity and ethics?

SC: I would encourage people to synergistically develop a common purpose and value system, including vision for the future and strategic priorities. In this way, people develop a culture that is principle centered and adaptable.

The key is culture and cultural moral authority around vision, mission, values, and strategic goals to which everyone becomes accountable. The sandwich technique of performance appraisals is becoming obsolete. This is where you say a few nice words, slip them a knife, call for various improvements, and then say a few nice words to send them on their way. Instead, create a cadence of cultural accountability, not to our boss (who should become a servant-leader) but to the entire involved team.

Stephen R. Covey is co-founder of FranklinCovey and author of "The 7 Habits of Highly Effective People" and "The 8th Habit."


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