Richard Franzi Discusses Cats, Rats, and the Power of Peers in Business

Richard Franzi is the Founder and CEO of Critical Mass for Business, a premium social and peer learning organization for executives who lead firms with annual revenue up to $100 million. Richard’s third book, Killing Cats Leads To Rats: Mitigating The Negative Effects of Unintended Consequences of Business Decisions, will be released in early 2018. He is a business partner with Renaissance Executive Forums, an international advisory board firm founded in 1994. Richard currently chairs CEO Peer Groups® throughout Los Angeles and Orange County, CA. You can learn more by going to CriticalMassForBusiness.com.

Sam Reese On Making Better Decisions

Sam Reese brings over 30 years of experience leading and advising senior leaders in complex organizations. As the CEO of Vistage Worldwide, Sam leads the world’s largest CEO membership advisory firm. Vistage members – 21,000 strong in 17 countries – gather in trusted, confidential peer advisory groups where they tackle their toughest challenges and biggest opportunities.  Although Sam has been the CEO since 2016, he was a longtime Vistage member when he was with his previous company.

Peter Fuller Talks About Purpose and Our Peers

Today’s guest is author, executive coach, and president of Live Fused, Peter Fuller. After launching more than 13 companies, two industry associations, one nonprofit and raising $60 million in the process, Peter chose to radically change the direction of his life. Rather than continuing as a serial entrepreneur, he realized his successes and many failures could help business owners and executives, so he became an executive coach, Vistage Chair, and certified Gestalt therapist. Today, as the author of Start With You and president of Live Fused, he’s a created a powerful program that fully adapts to the professional and personal aspirations of each of his company’s clients. Peter, welcome to the show!

Scott Mordell Talks About the Value of Shared Experiences and Having a Safe Haven

Scott Mordell has been CEO of a number of privately-held organizations.  He has served as YPO’s CEO for six years.  YPO is the global platform for chief executives to engage, learn and grow. YPO members harness the knowledge, influence and trust of the world’s most influential and innovative business leaders to inspire business, personal, family and community impact.

Today, YPO empowers more than 25,000 chief executives in more than 130 countries, diversified among industries and types of businesses.  Altogether, YPO member-led companies employ more than 15 million people and generate USD6 trillion in annual revenues.

Next week’s guests are  Jimmy LeBlanc and Perry Stagg, Louisiana Department of Corrections.

Jeffrey Hayzlett on Paying It Forward

Jeffrey Hayzlett is the primetime television host of C-Suite with Jeffrey Hayzlett and Executive Perspectives LIVE on C-Suite TV and is the host of the award-winning All Business with Jeffrey Hayzlett on C-Suite Radio.  Hayzlett is a global business celebrity, Hall of Fame speaker, best-selling author, and Chairman of C-Suite Network, home of the world’s most trusted network of C-Suite leaders.

Next week’s guest is Christina L. Martini, Partner at DLA Piper LLP (US).

Leon Shapiro on The 1 Year Anniversary of The Power of Peers

Leon Shapiro is the coauthor of The Power of Peers: How the Company You Keep Drives Leadership, Growth & Success and a director at The Advisory Board Company, a global research, technology and consulting firm that partners with more than 200,000 leaders in 4,100 organizations across health care and higher education.  He also is the former CEO of Vistage Worldwide, an organization that assembles and facilitates peer advisory groups for CEOs and business leaders in the U.S and around the world.

Next week’s guests: Bri Seeley and Thais Sky, co-founders of The Amplify Collective.

Are You Inspiring Leaders or Creating Ringleaders?

One could argue that the most recent findings of the Edelman Trust Barometer suggest that our peers have never mattered more than they do today.  The growing influence of our peers has been evident since Edelman reported that trust shifted from authorities to peers in 2005 and, a year later, revealed that “a person like me emerged as a credible spokesperson.”  According to the 2017 installment, we trust our peers as credible spokespersons as much as we trust academic and technical experts.  Consider also that employees now trust one another more than they trust their CEO or other senior executives.  This is powerful information for business leaders  – especially those who understand how much culture matters to leading a healthy organization.  Harnessing the power of peers properly can mean the difference between inspiring employees who want to be leaders and those who seek relevance by being ringleaders.  Let me explain.

Several years ago, Paola Schifino, principal at Florida-based advertising and branding agency Schifino Lee, told me a story about her daughter’s soccer team I’ll never forget.   Turns out, there was a girl who wasn’t very happy with the way the coach was leading the team.  This girl shared her feelings with her teammates in an effort to build support for her point of view, which then triggered a groundswell of negativity.   Upon learning what was happening, Paola gently offered the girl a piece of advice.  She said, “Be a leader not a ringleader!”

I’m not sure I can recall hearing a sentence that was so short, yet communicated so much.   We’ve all come across ringleaders in organizations where we’ve worked, right?  Peers wield enormous power when it comes to influencing their fellow employees.   It’s power that can be a force for good (leader) or one that can breed negativity (ringleader).

What do you do to recognize and leverage the power of peers in your organization?  How do you approach inspiring leaders as opposed to perpetuating a culture that breeds ringleaders?

Peer Group Accountability: Who’s Responsible?

In workshops I’ve been conducting with CEO and executive peer groups across the country recently, group members are challenged to assess their overall performance (and develop an action plan for improvement) using the five factors common to high performing peer groups as described in The Power of Peers: How the Company You Keep Drives Leadership, Growth & Success.  The five factors are 1) having the right people in the room, 2) promoting a safe and confidential environment, 3) fostering valuable interaction, 4) practicing group accountability, and 5) having excellent servant leadership.  You’ll find brief descriptions of each of the five factors here.

The richest conversations in these workshops tend to focus on how to create and sustain a disciplined culture of group accountability – what many group leaders regard to be among the most important, if not THE most important, of the five factors.  This essentially means that group members hold one another accountable for doing what they say they will do (DWTSTWD) to achieve their goals.  It’s not about accountability to the leader, it’s about accountability to one another.

Yet, to address weaknesses in this area, which are quite common, the tendency of some members is to offer recommendations and action items for the leader.  Of course, this is antithetical to what group accountability really means, right?.   While the leader can set the tone and serve as a backstop when necessary, the leader should not play the role of implementer and enforcer.  If the group wants to practice what it preaches, it can’t cede its responsibility to the leader.  It’s up to the individual members and the group as a whole.  Unless they take the lead, it will never take hold, nor be very effective.

Let me illustrate the point.  If I, as an individual member, bring up an issue or opportunity for discussion with my group and take 45-minutes of their time, benefiting from their experiences and guidance, and declare the action(s) I’m prepared to take based on the conversation, isn’t it my responsibility to offer a status update at the next meeting?   Shouldn’t I be the accountability driver?  Isn’t that the least I can do for the gift I received from my fellow members?  Group accountability has to start with me.

Now, let’s say the next meeting comes along, and I don’t volunteer a status update.  It could be because I didn’t do what I said I would do at the last meeting and maybe I’m a bit embarrassed by that.  I might not say anything in the hope I can slide and no one will notice.  Not a good strategy because it only negatively impacts me and, worse yet, eats away at the culture of the group.  The right thing to do is for me to own up to it and say I’ll do better next month.  (It’s not the end of the world and at least I’m being honest with my group).   Or, it simply slips my mind to report on my action items from the last meeting.  In that instance, the next line of defense rests with the group.  After all, the other members, all of whom are committed to group accountability, should be interested enough in my progress, given the valuable time they spent helping me at the last meeting, to say, “Hey, Leo.  Tell us how your new initiative is coming along?”

If neither I, nor the group, offer an update or fail to ask about it, it would then be up to the leader to ask me why I didn’t initiate the conversation and then to challenge the group by asking, “How is it that not one of you thought to ask?  You can’t have a culture of group accountability unless everyone in the group is committed to it.”  This is what I mean by the leader serving as the backstop.

For group accountability to become ingrained in the group culture, the individual members and the group as a whole have to accept it as their responsibility.   If this is not the dynamic in your peer group today, give it a try and, over time, watch peer group accountability improve and see how everyone starts to achieve even better results.

Why You Should Engage Peers Who Are Different From You

If you asked someone to define the word peer, or to describe a peer, he/she might respond by saying, “Someone like me.”  While that’s partly true, it doesn’t mean you can’t have peers who are very different from you as well.  When you think of the word peer in this way, you can start to consider the implicit value of peer diversity.

The very notion of peer diversity may feel like a contradiction, but by broadening your definition of peer, it allows you to consider the value of engaging people from different backgrounds and various walks of life.  When I interviewed iHeartMedia Chairman & CEO, Bob Pittman for The Power of Peers, he told me:

“I go to Burning Man every year.  I go there because it’s the most radical departure from the life that I lead in business that I could imagine. It’s great for me because, for a week, I’m seeing the world completely differently. I like to travel to exotic places and countries. I like to go to Bhutan, where they have “Gross National Happiness” instead of gross national product, and spend a week there just to sort of sense, okay, how can I change my perspective?  I think everyone in this company is looking to my leadership to be open-minded. They’re looking to me to find a new path, to help find the pivots, to help find the transformations.  Anything that can guide me on that is the most important thing.”

Peer diversity is not an oxymoron.  As you prepare for the new year (the Year of the Peer, if you will), think about spending time with people outside your social circle or vertical industry sector. Step out of your comfort zone.  Hang out with people whose experiences and backgrounds are different from your own and who likely know things you don’t.  When they espouse an opinion that’s different from yours, rather jump to making a judgment about it (as many of us often do), ask questions in the hope you can discover where they are coming from and how they formed their opinion – even if you ultimately don’t agree with it.  This is how we learn and how we keep that open mind Bob Pittman talked about.

Consider this quote from Seth Godin: “A fundamentalist considers whether a fact is acceptable to their faith before they explore it.  A curious person explores first and then considers whether they want to accept the ramifications.”

As you prepare for the upcoming year, rather than make a lofty new year’s resolution, make yourself a promise instead:  engage more people unlike yourself and stay curious.

Image: Burning Man, 2013

Peer Advantage and Connections

Yesterday, I spoke to an audience of CEOs and business leaders at the Vistage Executive Summit in Washington, DC.  I was doubly excited about having been invited because I not only knew it would be a great event, but I’d also get to visit my youngest daughter who lives in DC.  I arrived a day early where we met for a lovely lunch, enjoyed a trip to the  Smithsonian’s Renwick Gallery, and took in a Nationals game.  For the purpose of this post, I’d like to focus on the Renwick Gallery.

The featured exhibit is called Connections, and I was struck by the first paragraph of its description painted on a wall:

“The Internet has fundamentally transformed the way we think over the last quarter century.  We now see the world through an infinite web of “hyperlinked” ideas.  We have information at our fingertips like never before and our attention has shifted from the data-driven to the interpretive, seeking out patterns and cultivating relationships.  Connecting is at the heart of modern life, and the connections we make whether factual or fantastic, tell us stories about ourselves and the world among us.”

I was also intrigued by a quote I discovered later during our tour of the exhibit:

“Everything eventually connects – people, ideas, objects.  The quality of the connections is the key to quality per se.”Charles Eames

When we talk of peer advantage, we mean people connections with individuals and in group settings.  I incorporated what I saw at the Renwick Gallery into my presentation to the CEOs and business leaders at the event the following day.   As you might imagine, it added a certain weight – a special brand of gravity to the value of the people we surround ourselves with and how and why they matter so much.  It’s these connections that so often either lift us up, drag us down, or hold us at bay.  Food for thought for the weekend, as you are hopefully spending time with those whom personally lift you up the most.

*The featured image is from the exhibit – a woven sculpture by Janet Echelman.  I invite you to read its description here and check out her amazing work by clicking on her name.