Creating the Leader of the Future Rosemary O’Leary

1. Strategic HR Management for Government: Creating the Leader of the Future Rosemary O’Leary Distinguished Professor and Phanstiel Endowed Chair Co-Director, Collaborative Governance Initiative The Maxwell School of Syracuse University, USA May 27, 2010

2. “If you don’t have a strategy you will be . . . part of somebody else’s strategy.” -Alvin Toffler

3. Thinking Strategically Moving from where we have been To where we want to go and how to get there

4. Who is Responsible for Strategy? One person? Everyone?

5. Strategic Leadership Responsibilities Determining strategic direction Exploiting & maintaining core competencies Developing human capital Developing & sustaining an effective organizational culture Establish balanced organizational controls Emphasizing ethical practices Leaders set the tone for creating an environment of mutual respect, honesty and ethical practices among employees

6. KEY TASKS for Effective Strategic Leadership SOURCE: Adapted from S. Finkelstein & D. C. Hambrick, 1996, Strategic Leadership: Top Executives and Their Effects on Organizations, St. Paul, MN:West Publishing Company.

7. Strategic Leadership and the Strategic Management Process Effective Strategic Leadership Strategic Intent Strategic Mission Successful Strategic Actions shapes the formulation of and influences Hitt, Ireland, and Hoskisson 6th Ed. Strategic Management: Competitiveness and Globalization, SouthWestern.

8. Strategic Leadership and the Strategic Management Process Strategic Competitiveness Achievement of Mission Formulation of Strategies Implementation of Strategies Successful Strategic Actions yield Hitt, Ireland, and Hoskisson 6th Ed. Strategic Management: Competitiveness and Globalization, SouthWestern.

9. Exercise of Effective Strategic Leadership Determining strategic direction Exploiting and maintaining core competencies Establishing balanced organizational controls Effective Strategic Leadership Emphasizing ethical practice Developing human capital Sustaining an effective organizational culture Hitt, Ireland, and Hoskisson 6th Ed. Strategic Management: Competitiveness and Globalization, SouthWestern.

10. Integrated HR Management The 7 S Model McKinsey

11. Strategic HR Management for Government Learning and Action need to be connected Strategic Thinking Strategic Planning Strategic Action Not linking = most fundamental flaw in most strategies

12. Planning The Primary Management Function: Laying out future courses of action Managing change rather than reacting to change

13. Strategy Making Process 2 External analysis 3 5 Internal analysis Implementation 4 Select strategies 1 1 Mission and goals Mission and goals

14. Key characteristics of well-constructed goals: 1. Precise and measurable– to provide a yardstick or standard to judge performance 2. Address crucial issues – with a limited number of key goals that help to maintain focus 3. Challenging but realistic – to provide employees with incentives for improving 4. Specify a time period – to motivate and inject a sense of urgency into goal attainment Major Goals • A goal is a precise and measurable desired future state that an organization must realize if it is to attain its vision and mission.

15. Emergent and Deliberate Strategies Source: Adapted from H. Mintzberg and A. McGugh, Administrative Science Quarterly, Vol. 30. No. 2, June 1985.

16. Integrated Performance Management: Balanced Scorecard Promoting alignment among strategy, measures, and resources

17. Today’s Changing Context • Most public challenges are larger than one organization • New approaches to addressing public issues • Contracting out/outsourcing • Changes in regulatory environment that now facilitate cooperative activities with competitors • Doing more with less • Technology is flattening hierarchy • Changing views of leadership and management • Greater role for public

18. Need to “Think DaVinci” Lateral thinking Creativity that stems from taking knowledge from one context or discipline and applying it to another DaVinci: art, science, engineering, mathematics, medicine, architecture Human arm bird’s wing flying machine

19. Collaboration “101 Definitions of Collaboration” Collaboration means to co-labor, to achieve common goals, often working across boundaries and in multi-sector and multi-actor relationships. 

20. Collaboration vs. Cooperation ----------------------------------------------------- Cooperation……….…… Coordination…….……... Collaboration………….... Service Integration (Selden, Sowa and Sandfort 2002; Keast, Brown, and Mandell 2007)

21. Three Types of Collaboration Most Often Mentioned in Literature (From a review of over 300 scholarly articles)

22. Example: Interorganizational “One stop shopping” for unemployed in the U.S. Federal $ given to states for job training, counseling, other services Seamless systems built – collaborations of state, county, NGO, private (groups of 3) Goal: Best service possible Managed through boards and strict performance measures State of Georgia: Those who used service make $.50 per hour more than those who did not.

23. Example: Interorganizational Metropolitan Alliance of Community Centers (MACC) Coalition of 13 human service NGOs in Minneapolis-St.Paul Competitors collaborated for funding Shared resources in finance, human resources, technology (Source: www.e-parc.org and www.maxwell.syr.edu/parc/eparc)

24. Example: Interorganizational Water Safety Plan Network for Latin America and the Caribbean EPA Pan-American Health Organization (PAHO) Centers for Disease Control and Prevention (CDC) International Water Association (IWA) World Health Organization (WHO) Inter-American Association for Environmental and Sanitary Engineering Purpose: to assist in the development and implementation of Water Safety Plans (WSPs) in Latin America 1998 – Hurricane Mitch severely damages Latin American countries’ drinking water supplies Led to EPA promoting WSPs for improved safe drinking water (Source: http://www.epa.gov/international/water/drinkingwater/wsp-lac.html) (Source: www.e-parc.org and www.maxwell.syr.edu/parc/eparc)

25. Example: Group of Individuals Young Professionals Network for the Arts Purpose: Develop the next generation of civic arts leaders Bring together volunteer oriented young professionals to build arts above ground and below ground infrastructure in central Florida (Source: www.e-parc.org and www.maxwell.syr.edu/parc/eparc)

26. Example: Public Participation Collaborative budgeting in Menlo Park, California (“Your City/Your Decision”) Modeled after collaborative budgeting in Brazil Phase One: Survey Phase Two: Community workshops. Findings: Community preference for combined approach of cost reductions, taxes, and fee increases (not reduction or service elimination). (Source: www.cacities.org)

27. Strategic HR Challenge: “Collaborative public management”: the process of facilitating and operating in multiorganizational arrangements to solve problems that cannot be solved or easily solved by single organizations. Can include the public. O’Leary, Gazley, McGuire, and Bingham 2009

28. Strategic HR Challenge Solutions often transcend the position of any single participant • Salamon (2005) “. . . [S]hifts the emphasis frommanagement skills and the control of large bureaucratic organizations toenablement skills, the skills required to engage partners arrayed horizontally in networks, to bring multiple stakeholders together for a common end in a situation of interdependence.”

29. Networks Structures of interdependence, involving multiple nodes – agencies and organizations – with multiple linkages Can be formal or informal Public goods or services planned, designed, produced and delivered Public, private, non-profit (Adapted from O’Toole 1997; McGuire 2003; Agranoff 2004)

30. Major Challenges • All networks are not created equal • Motivation to collaborate varies • Collaboration not always wise • Trend toward short-term “couplings” • Calls for new management and leadership strategies and skills • Paradox: Collaboration may yield conflict (yet conflict may be lessoned through collaboration)

31. HR challenges of managing organizational networks • Networks are interorganizational and interpersonal • Multiple members • Members bring both disparate and common missions • Each network organization has a different organization culture • Each network organization has a different method of operation

32. HR challenges of managing organizational networks, cont. • Network organizations usually have different stakeholder groups and different funders • Network members have different degrees of power • Often multiple issues • Multiple forums for decision-making • Variety of governance structures available to networks • Conflict within network and with the public

33. Example • Center for Disease Control planned national response to pandemic flu epidemic working with county health professionals, federal agencies, industry, consumer advocates, state governments, minority groups

34. HR Paradox • Those who work in networks must work both with autonomy and interdependence. • Members and networks have both common and diverse goals • Members work with both a smaller number and a greater variety of groups • Members need to be both participative and authoritative

35. HR Paradox, continued • Members need to see both the forest and the trees • Members must balance advocacy and inquiry

36. Example State of Arizona – Wilderness Working Groups develop land management strategies for each local area. Bring together environmental advocates, ranchers and farmers, industry officials, and government representatives.

37. Strategic HR Challenge More than 90% of global executives surveyed by the Center for Creative Leadership said collaboration is vital for leadership success. But less than half of those same executives said the leaders in their organizations were actually good at it.

38. Importance of the Individual • Frederickson (2007): While organizations and established jurisdictions do formally collaborate, it is always in the form of managers and officials. • Effective collaboration is “deeply dependent” upon the skills of officials and managers. • Organizations may appear to collaborate, but in fact it is the individuals representing organizations who collaborate.

39. Example • International City/County Management Association: #1 Role of local manager now is facilitator of processes that yield solutions….not the provider of the solution itself. • Decatur, Georgia: Soccer fields for children needed– Government unable to provide City manager facilitated solution among private college, YMCA, private business, schools, and parks

40. Strategic HR Challenge “Leading when you are not in charge”

41. Skills of the collaborative manager • Collaborative problem solving • Conflict management • Facilitation • Negotiation • “Diversity Thinking” (NASA)

42. Example Conference of State Bank Supervisors in Mortgage Policy working with 50+ state agencies/regulators to come to ONE nationwide, voluntary policy on how to license loan originators

43. Strategic HR Challenge • “Incentivizing” collaboration • Pay for performance does not encourage collaboration (Getha-Taylor 2008) • Reward systems must reward performance, AND be aligned with and reinforce the organization’s design, strategy, and goals • Performance evaluation shifts to focus on individual and the group.

44. Today’s Strategic HR Management for GovernmentTo Create the Leader of the Future Learning and Action must be connected . . . Strategic Thinking Strategic Planning Strategic Action . . . But in a more complex, challenging and often collaborative context

45. Back Up Slides

46. Major Factors to Consider LEADERSHIP

47. Please tell me about your collaboration experiences Anonymous Web Survey of Government, Non-Profit, and For-Profit Leaders • Give me your business card • OR • Email Rosemary O’Leary roleary@syr.edu An invitation to take survey will be emailed to you