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Meet the MasterMinds: Rosabeth
Moss Kanter on Confidence
 Rosabeth
Moss Kanter is a business leader, consultant, and expert
on strategy, innovation, and leadership for change.
She's the Ernest L. Arbuckle Professor of Business Administration
at the Harvard Business School, and the bestselling
author of sixteen books, including her latest, Confidence:
How Winning Streaks and Losing Streaks Begin and End.
Professor Kanter is in the top ten on the list of the
"50 most influential business thinkers in the world,"
and she's on the lists of the "100 most important
women in America" and the "50 most powerful
women in the world." She's also the co-founder
of Goodmeasures, Inc., and a sought-after speaker.
MCNews got Professor Kanter's views on how the intangible
attribute we call confidence can make the difference
between winning and losing.
MCNews: Do you think confidence is a mindset?
Kanter: Well, confidence is certainly mental, but
it's not a mindset in the sense that it's always present.
Confidence is a situational expectation--an expectation
of a positive outcome. And that expectation leads to
all kinds of investments in making that outcome come
true.
Because of confidence people put in the effort. They
invest financial and other resources. Instead of giving
up, they stay in the game longer and, therefore, have
more chances to succeed. But it's not necessarily rooted
in people's character. Some people may be more likely
to develop confidence than others, but it's definitely
a response to specific situations.
MCNews: What's the difference between confidence
that you can accomplish something and wishful thinking?
Kanter: Wishful thinking is to imagine success without
doing the work to make it happen. Confidence has to
stand on a firm foundation. The three cornerstones of
that foundation are accountability, collaboration, and
initiative.
Accountability means you've examined the facts and
your own abilities; you've worked hard to improve your
abilities so you know you can take responsibility in
a given situation and be accountable for performance.
Collaboration means that you support and are supported
by the people around you. And initiative translates
to an action you can take with the sense that you're
in control of it.
Confidence is the solid placement of everything
it takes to do the work and make that work successful.
That's why pep talks aren't effective unless they
are based on real evidence. While we all like to hear
positive words, a pep talk without evidence is empty
and people see right through it.
MCNews: So how should a leader handle pep talks?
Kanter: The best leaders are, first of all,
very good at giving people the real facts--which means
spelling out the things that don't work as well as the
things that do work. But when they cheer people on,
the best leaders show concrete examples of the capabilities
necessary for success.
MCNews: In consulting, incremental lack of success
on a project can lead to a downward spiral. What would
you suggest to reverse a downward spiral?
Kanter: A large part of this new book is about
turnarounds. First, let me make a general comment about
them: never underestimate the power of positive feelings.
If you can express something positive, it goes a very
long way.
Consultants need to understand that a downward spiral
is a losing streak. They need to be on the lookout
for the symptoms of that, which show up in specific
behaviors. You have to diagnose the symptoms because
it's easy for people to slip into those behaviors without
quite noticing it.
Focus people's energy on a goal they can achieve--a
small, concrete win that they can actually achieve in
the short term. That often shifts the energy right away.
Also, if you have any control over the conditions under
which people work, invest in upgrading those conditions.
In a losing streak, people feel abandoned. They
doubt themselves, they certainly mistrust leaders, and
they have no energy. So, if you can, show people that
they're worth something to the organization by improving
their environment.
I've seen this in companies, schools, and sports teams.
In 2002, the struggling Montreal Expos got a new manager,
who created a winning season for the team. They had
no money and terrible conditions. But he shifted what
little there was to player services.
Shift resources to the people who are delivering the
service. I saw a school principal get buildings fixed
up right away. Nobody works well in rundown facilities.
Moods often reflect physical surroundings, in part because
they're in your face all the time.
Not that I believe the physical environment is everything.
People can be highly productive in nearly any setting
if they care about the work, are well led, and have
a tremendous sense of teamwork. But if morale is shot
and behavior is bad, find a way to lift spirits.
MCNews: Do behaviors have to change to turn around
a losing streak?
Kanter: Yes. Leaders must cut off the bad behaviors,
and not permit complaining, whining, or blaming somebody
else. It takes strong leadership to bring people
out of a losing streak. Without that, the bad behaviors
make the streak worse.
A leader must reorient people to focus on what their
own responsibility is for a situation and on developing
a joint solution.
MCNews: Do you think it takes longer to come out
of a losing streak than to get into one?
Kanter: It can, yes, because the momentum is running
against you and the negative behaviors reinforce each
other.
A great danger in a losing streak is that people
lose respect for each other. There's so much negativity
being spread around that people look at each other as
losers. And they're afraid they're going to be labeled
as losers too.
But even the "worst" people have strengths.
Leaders have to find those strengths, highlight them,
publicize them, talk about them, and make clear that
there is a basis on which people can respect one another.
Then, figure out a way to make that combination of people
work well by using the strengths of some to compensate
for the weaknesses of others.
Instead of giving everybody exactly the same thing
to do, think about your talent mix, and communicate
and publicize strengths so that they rebuild respect.
Great leaders expect people to respect each other. And
that's not just respect in the sense of politeness,
but respect in the sense that everyone believes there
are really good people around them.
You need that respect for people to listen to each
other's ideas, join each other's project teams, go to
each other for help--all the positive behaviors that
make it possible for an organization to accomplish its
goals. This is critical when an organization needs innovation.
You need a culture of respect to come up with new products
or new ideas.
MCNews: Most of us have seen projects that look like
train wrecks about to happen. How do you know whether
or not it's really a failure in process?
Kanter: Early in my career I developed what
I call Kanter's Law: Everything can look like a failure
in the middle.
The first thing to do when something isn't working
well is to say we must still be the middle of whatever
it is. That's very helpful and reflects reality. I have
based many a consulting engagement on almost nothing
but that.
I've helped groups with major strategic initiatives
for companies. Everybody gets very excited at the beginning
of these big efforts, thinking, we're going to be in
a new product, new business, or new facility, or whatever
it is. In the midst of that excitement, I would say,
now we're going to do some planning for when it all
goes wrong.
We're going to plan for the things that could derail
this effort. People will resist doing this because,
after all, it's a downer after all of that positive
energy.
But if you get groups working on that, they not only
get very imaginative about the things that could go
wrong--including nuclear war--they also feel stronger
because they've anticipated the worst. The next question
is, now that you see what could possibly go wrong, what
do you do to be ready for it?
That's mostly about the accountability cornerstone
of confidence. You face the worst and know you can come
out of it. The groups that do the best job of weathering
adversity bounce back because they've prepared for it
in advance. That gives them confidence that they can
handle anything.
If you go through really tough hurdles while getting
ready for a project, you feel that there's nothing that
could happen later that would be as bad. That really
helps you get through the middle of a project, particularly
when the middle is not just frustrating and requires
rethinking your plan, but is a genuine disaster.
MCNews: What message should a leader send about
how disaster planning contributes to winning?
Kanter: The difference between winners and losers is
not that winners win all the time or are ahead all the
time--they're not. They're often behind, but they
bounce back quickly and they don't lose twice in a row.
Those who are not prepared for the difficult middles,
who don't have a culture of confidence, are likely to
panic.
Panic literally means losing your head. When you act
emotionally rather than rationally, it's even more likely
that things will fall apart. You really need rational
thinking to overcome unexpected obstacles.
MCNews: On the flip side, when an organization is
on a positive trajectory, how can leaders maintain the
momentum and the confidence?
Kanter: Encourage leadership everywhere in the
organization. Encourage more people to take more responsibility
and step up as leaders. That way you get more ideas,
more innovation, and more ways to improve on already
good performance.
Second, keep stretching your goals because there is
always more to be done. Celebrate success, but at
the same time go on to the next challenge. Of course
these days, the next challenge is already around the
corner, so you don't have to artificially impose it.
But the more leadership gets spread, the more people
will feel that they can contribute, tackle projects,
and innovate. Then, you are more likely to have a dynamic
organization--one that doesn't stand still.
MCNews: Last question. What are you reading these
days?
Kanter: I'm dipping in and out of an eclectic mix
of books. For relaxation, I'm reading a Sara Paretsky
V.I. Warshawski novel. I'm sitting here with a pile
of books on the new science--physics and mysteries of
the universe. I love that stuff. And I've got a whole
bunch of biographies and histories.
MCNews: Thanks for your time.
Find out more about Professor Kanter, her books and
services at http://www.changetoolkit.com
and http://www.goodmeasure.com.
Send me an email
with your thoughts on this interview.
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From
the Consultant's Bookshelf: Sample Chapter Downloads
As you contemplate which books to add to your reading
list, here are two that give you a sample chapter before
you spring for the entire book.
The
Dollarization Discipline: How Smart Companies Create
Customer Value...and Profit from It, by
Jeffrey J. Fox and Richard C. Gregory
Ever wonder how to quantify the economic value of your
services? Fox and Gregory show you an approach to sales
and marketing that goes beyond features and benefits
strategy to selling based on value. This book isn't
theory, either. It's full of examples and case studies
to guide your way.
Follow this link to read a sample chapter: http://www.wiley.com/WileyCDA/WileyTitle/productCd-0471659509.html.
What
I Learned From Sam Walton: How to Compete and Thrive
in a Wal-Mart World, by Michael Bergdahl
Whether you love or hate Wal-Mart, the company rewrote
the book on running a business. Bergdahl reveals what
he learned from his work with Sam Walton.
If you want to read a sample chapter, follow this link:
http://media.wiley.com/product_data/excerpt/84/04716799/0471679984.pdf.
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Where
and When to Begin Marketing, by Jay Conrad Levinson
This article by the Father of Guerrilla
Marketing may be just what you need to get your marketing
plan in gear for the New Year. Learn two simple ways
to measure the impact of your marketing and why Levinson
says you should think about marketing like you think
about your rent.
Read
the article
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Top Ten MCNews Downloads
MCNews readers access our archives frequently. Here's
the list (with links) of December 2004's ten most popular
articles.
1. Seth Godin's e-book, The Bootstrapper's
Bible: How to Start and Build a Business With a Great
Idea and (Almost) No Money, reveals how he,
and others, bootstrapped their nascent ideas into real
companies using grit, determination and, of course,
a bit of money. http://www.managementconsultingnews.com/8.01.BootstrappersBible.pdf
2. Doug Stone is the co-author of the bestseller,
Difficult Conversations, a partner at
Triad Consulting Group, and a Lecturer at Harvard Law
School. We asked Stone for advice on how consultants
can deal with tricky conversations. http://www.managementconsultingnews.com/stone_interview.php
3. Philip Kotler is a Distinguished Professor
of International Marketing at the Kellogg Graduate School
of Management, and he is included on the Thinkers
50 list of the most important living management
thinkers. In this interview, he brings a simple but
potent message to readers: master the basics and you'll
win. http://www.managementconsultingnews.com/interviews/kotler_interview.php
4. William Bridges has been helping clients
with mergers, reorganizations, leadership changes, and
cultural shifts for more than two decades. He's the
author of ten books, including the bestsellers Transitions
and Managing Transitions. In this interview,
Bridges offers practical and inspirational tips about
how consultants can improve results for clients in a
world of flux.
http://www.managementconsultingnews.com/bridges_interview.php
5. Suzanne Lowe is the President of Expertise
Marketing and author of Marketplace Masters:
How Professional Service Firms Compete to Win.
We tapped Lowe's twenty years of experience in services
marketing by asking her what it takes for consultants
to become Marketplace Masters. http://www.managementconsultingnews.com/interviews/lowe_interview.php
6. Tony Buzan is the author or co-author of
more than eighty books, and the inventor of the thinking
tool called the Mind Map®. In this interview,
Buzan provides insights on how management consultants
can take advantage of this simple, yet amazingly effective
tool. http://www.managementconsultingnews.com/buzan_interview.php
7. Deborrah Himsel is Vice President of Organizational
Effectiveness at Avon. Himsel, the author of Leadership
Sopranos Style, shares what consultants can
learn about leadership from a mob boss. http://www.managementconsultingnews.com/Himsel_interview.php
8. Jack Phillips is an expert on measurement
and evaluation. He's the author or editor of more than
thirty books, including The Consultant's Scorecard:
Tracking Results and Bottom-Line Impact of Consulting
Projects. MCNews talked to Phillips about the
process he developed for measuring return on investment
for consulting projects. http://www.managementconsultingnews.com/interviews/phillips_interview.php
9. Michael Michalko is an author and creativity
expert. In this interview, Michalko shows readers how
to make use of creative-thinking strategies and offers
innovative solutions to problems consultants face every
day. http://www.managementconsultingnews.com/interviews/michalko_interview.php
10. Harry Beckwith is recognized for his marketing
expertise and as a speaker on marketing and customer
relationships. Beckwith is the author of Selling
the Invisible, The Invisible Touch,
and What Clients Love. MCNews asked Beckwith
for some practical advice on how consultants can give
clients what they love. http://www.managementconsultingnews.com/beckwith_interview.php
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Jumping on the RFID Bandwagon?
Few business technologies were featured
as widely in 2004 as radio frequency identification
(RFID). The market research firm, IDC, estimates that
consulting, implementation, and other services related
to the use of RFID increased 47% in the past year, with
most of the spending driven by mandates from Wal-Mart
and other retail giants.
Future growth in RFID services, which is forecasted
to reach $2 billion by 2008, will be driven by projects
beyond the Wal-Mart mandates and extend to other functions
of the business. Among companies considering RFID projects,
roughly 66% reported they would look to external resources
for help.
Many companies face a daunting challenge as they decide
how to deploy RFID. The challenge with RFID isn't how
to make the technology work--though that's not a trivial
task--but where in the business the RFID investment
will yield the most benefit.
Clients aren't likely to make Y2K/ERP level investments
in RFID, so smart consultants will suggest quick payback,
high value RFID ideas to clients to use as pilots. The
longer-term strategy for RFID can evolve with clients'
experiences and as RFID technology matures.
Find out more at http://www.idc.com/getdoc.jsp?containerId=pr2004_11_23_110241.
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Two Seminars with David
Maister
Consultant and author David Maister is
offering two seminars in 2005 that are bound to be relevant
for consultants (see below). If you want an up-close
look at Maister before registering for one of his seminars,
check out the MCNews interview
with David Maister from our archives.
Managing a Group of Professionals
Maister will provide a comprehensive training program
on how to be an effective manager of professionals.
For details and dates: http://www.mblseminars.com/managing_professionals.php.
Marketing Professional Services
This seminar will tackle the subject of marketing for
professional services providers. For details and dates:
http://www.mblseminars.com/marketing_professionals.php.
Note: MCNews receives no commission or consideration
for purchases made by MCNews subscribers.
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This Month in History
On January 1, 2000, Britain initiated
Greenwich Electronic Time (GeT). The intention
is to provide a single time standard for worldwide Internet
users in the same way that Greenwich Mean Time has helped
travelers keep time since 1884.
On January 7, 1785, Frenchman Jean Pierre Blanchard
and American scientist John Jeffries made the first
air crossing of the English Channel from England
to France in a hot-air balloon--the first international
flight.
On January 27, 1964, DuPont introduced Corfam,
a synthetic substitute for leather. In spite of DuPont's
expectations, vigorous marketing, and solid technology,
US customers snubbed the synthetic leather in droves.
DuPont took a $100 million write-off and sold its Corfam
operation.
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Coming
Attractions
Watch for MCNews next month when our guest will be
Charles Decker, author of Lessons
from the Hive: The Buzz on Surviving and Thriving in
an Ever-Changing Workplace. Decker is a
Vice President at Acumentum, Inc., an electronic publishing
company, and a contributing writer for Fast Company
magazine. He was formerly a senior executive
at Amazon.com.
Lessons from the Hive is a business fable
based on the true story of a small company dealing with
the aftermath of a takeover by a conglomerate. We'll
talk to Decker about his thoughts on how change impacts
an organization's people, processes and politics, and
what executives must do to keep change programs moving
in a positive and productive direction.
Look for the next issue of MCNews on February 1, 2005.
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The
End Page
"Now this is not the end. It is not even the
beginning of the end. But it is, perhaps, the end of
the beginning." - Winston
Churchill
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