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Variant 10.

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Leadership and Stewardship

Leading a team involves motivation, support and maximizing the contribution of individuals

to achieve agreed objectives. Leadership is a skill to be learned. It is also a situational matter. What is effective leadership in one situation is ineffective in another. Leading a team is more than barking orders at people. Team leading is about motivating a group of people to work supportively and effectively together. Each member of a team is an individual. Team leading is also about maximizing the contribution that each different individual can make to the team as a whole.

Leadership is usually taken to mean change. The leader is not content with what appears satisfactory today. The leader is constantly seeking better and better results. Leaders have visions of what is possible – and they achieve these visions in different ways. Some inspire followers; others invest in teaching people. Still others see and create a system that people can live within.

Robin Stuart-Kotze, in his recent research, distinguishes leadership from stewardship. A value adding behavior is Leadership. Value protecting behavior is Stewardship. Thus, leadership is about change, about seeking to create the conditions in which people will perform to ever higher standards, to change the company constantly to compete in an ever-changing world. Stewardship, which we might think of as ordinary management, is about maintaining the status quo, keeping things going, and doing the best one can with what one has got.

Thus, leadership is generally taken as having a creative aspect while management (or stewardship) as having a controlling aspect.

The Process-Centered Company

In the early 1990s, once-mighty companies such as Sears, General Motors, and IBM found themselves floundering amidst changing market conditions over which they had lost control. How had these companies fallen into such predicaments? Why hadn't they reacted to change? Because they couldn't. These companies were not built or designed for change, and when change occurred, they were paralyzed. Process-centered organizations must build in change processes to be able to react and react quickly when necessary. Here's how.

There are four major features of the process-centered company – its business processes, its jobs and organizational structure, its management and measurement systems, and its values and beliefs. This four-part structure is the business system that delivers today's products or services. The same system, however, must also deliver tomorrow's products or services. Since those products will probably be different from today's, the system must change as well.

To create that change, a process-centered organization needs two systems: the surface system everyone sees, and the deep system. The deep system doesn't process orders, develop new products, or in any way create customer value. Instead, it monitors, adjusts, and reforms the surface system that creates customer value. The deep system is a sensor that is always turned on the surface system to sense when change is needed. When the alarm goes off, the deep system kicks into gear and makes the necessary changes.

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