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Leadership For Women and the Missing 33%

We have heard it many times. Half of what you need to succeed in business is “people skills”. For example, here’s what head coach Marshall Goldsmith had to say on the subject in one of his own. Fast Company column:

“Your people skills often make the difference in how high you rise. Who do you want as a CFO? A moderately good accountant is is great with people…or a skilled calculator that is useless to him [people]… The candidate with excellent people skills will win every time, mostly because he (sic) will be able to … lead.”

But such wisdom about leadership is based on research conducted and models established in the 1970s. At that time almost all the presidents of US companies were men and when the way of thinking was either/or a world. For example, managers either focus on tasks or they focus on relationships. The conclusion is always that if you can master both, you will rise to the top. So, the formula that came out of the 70s was 50 percent people skills + 50 percent professional skills = 100 percent career success.

Before we examine this formula, it is important to note that a comparison of the performance evaluations of men and women in similar positions, with similar tenure and in similar companies, shows that women are superior to men in terms of personal skills. . In fact, Business Week with a story titled, “As leaders, women are dominant.”

If women excel in interpersonal skills and if they consistently outperform men in this area, then why don’t women hold more positions at the top of organizations? There is a tricky answer: Because people skills and professional skills are two halves of a whole. Together they make up only 66 percent of the entire story.

33% is lost ™ business intelligence. Where men are consistently rated by bosses as superior performers. And, it’s a skill that most leadership development programs ignore.

So, how do you improve your business acumen?

  1. First, get a copy of Ram Charan, What the CEO Wants You to Know. It’s an introduction to business acumen in less than 150 pages. And look at me No Borders, No Wallsshow up.
  2. After committing the book(s) to memory, sit back and figure out how the work you are doing or overseeing contributes to cash generation, profitable growth, customer service/ & compliance and returns (profit x velocity). Work on this until you can draw a clear line from the work of your employees to the key business results for your organization.
  3. Then, learn the difference between actions, results, and outcomes—and drive for results.
  4. Finally, learn how to communicate with your boss, colleagues, direct reports, and strangers who might want to hire you, about how your leadership is contributing to your business.

When you add the 33% loss to the leadership success equation, you have a winning formula.

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