Judgment: How Winning Leaders Make Great Calls by Tichy, Noel, and Warren Bennis - Book Report/Review Example

Judgment: How Winning Leaders Make Great Calls by Tichy, Noel, and Warren Bennis Book Review Overview of the Message of the Book Central Arguments: The book “Judgment: How Winning Leaders Make Great Calls” is an exploration into the multidimensional and complicated world of decision making. In the title of the book, the word “call” has been used in the sense of decision making. The writers Noel Tichy and Warren Bennis explore a less discussed, focused, and debated concept of practical management science- that is a judgment call in the runtime. The literature in this book assists the future manager in understanding the practical and theoretical aspects of organizational management. The baseline to develop a propound understanding of decision making lies in the fact that every organization has a way and reason to work. An organization needs a good manager at the level of organizational skills, who will lead it to winning results even in a complicated and challenging situation. The book “Judgment: How Winning Leaders Make Great Calls” explore the basic decision making mechanism that helps in the development of organizational skills in a given unpredictable business and management scenario. And it is the ability to judge the things appropriately that makes the difference. Without correct judgment, nothing else can matter. The book puts forward that the ability of making a correct judgment is the very essential element of leadership. The leader can be a political head of the state, a sports coach, a Chief Executive Officer, or wartime general. The book assumes that even in diverse fields, leadership quality proportionally depends on the leader’s ability of making a correct judgment. A wrong judgment of the perspective will lead to a wrong decision. Eventually, that will bring downfall of the organization. A right judgment of the perspective, on the other hand, will help in taking a right decision and subsequently benefit the organization. This simplistic theory would cover a wide spectrum of knowledge areas, specializations, and activities. Criticisms: Without a correct a judgment, nothing else can matter. Is this statement completely true in the realm of decision making? Masking a correct judgment is a largely psychosomatic process concerned with the leader, and it is rather beyond the control of an organization, particularly when it is a centralized one. And leaving an organization to the psychosomatic activity of an individual is neither an intelligent decision, nor an admissible design. In such a scenario, even if there is proper judgment, an organization without a certain degree of decentralization cannot succeed for long. Hence, it is not wise to say that without judgment, absolutely nothing else can matter. Moreover, how can be similar techniques applied to the businesses and organizations over a wide range of specializations? Of course, a judgment has a definite role to play but it cannot be randomly defined. While in some cases, a judgment can mean an estimation, in other cases it may mean an innovation altogether. So how can we categorize the judgments in an all-acceptable and mathematically defined process? The book under discussion explores the world of decision making and focuses on the value of proper, correct, and timely judgment. However, in the same go, a proper modeling of the case specific scenarios and related decisions must be done. In this context, the writers have tried out a detailed case study based investigation into the theory they have proposed. But still, probabilistic studies and the real role of chance factor have not been explicitly discussed. Key Lessons 1. The leader must develop a Teachable Point of View (TPOV). This TPOV would help to model and predict every discussion. 2. Building a story for the organization concerned is important. Consistently adjust, expand, and express your story. 3. Develop a leadership culture to bring up the future leaders. A top leader must help his/her juniors to become effective future leaders. Judgment Calls The judgment domains that are covered under a leader’s decision making principles are: People, Strategy, and Crisis. People: People in an organization are perhaps its greatest asset. In the time of an emergency, the primary policy should focus at the minimal damage of human-wealth. For example, suppose an office building has caught fire. In such circumstances, instead of protecting inventory, fittings, records, etc. the main focus should be on evacuating the building as soon as possible, because once there is a damage in organization specific human resource, the damage is most probably irreparable. When it comes to decision making and the role of people, it becomes an expanded concern. People farming may concern the development of a strong social network while personnel management can mean a lot more. Managing people does not merely mean recruiting them in correct job positions. Rather, it means understanding their hidden abilities, deploying them suitably, refreshing and sustaining them in an impressive manner, etc. Particularly in the field of sales, people management is a very important aspect. Managing people is not only specific to the organization, but also based on the greater social structure. Customer Relationship Management (CRM) is the backbone of the personnel management in this field both inside and outside the organization. And in this regard, we have the illustrious case of Brad Anderson, CEO of Best Buy. The people management strategy of Brad Anderson was mainly two fold. First, he committed his organization towards a customer centered policy establishment. Of course, in the world of sales, the primary focus should be on customer satisfaction where one is less likely to get positive feedbacks all the time. In the same go, he channeled the ability of his ‘people’ in a way such that they could totally concentrate on a customer-centric policy oriented CRM design. Of course, this two-fold people management was a premium step in conformity with simplification of the complicated world of sales. Strategy: In the case there are several options in front of the manager, decision making becomes a complicated subject and sometimes it involves several considerations. In such a state of affair, we have to turn around and take a look of the available methodologies of project management and implementation. In this context, Multi-Criteria Decision Making emerges as a primary concern. In the presence of several options, we must ascertain several criteria. Some of the analysis methods, for example, are TOPSIS, WSM, AHP, etc. However, one may sit down with a calculator and mathematically model the selection tool. Else, a good manager can take the burden himself/herself. The procedures must entail quantification of the data that express several qualities regarding the given array of options and problems. In a research and development organization, this type of strategic analysis is what we need most. The book has followed the approach of a case based study and when it comes to strategy, the case of General Electric (GE) can be regarded as the best case scenario. The story of GE, in this context, is rather centered on a man called Jeff Immelt, the CEO of the said company. GE has several branches, wide spectrum of operations, and various fields of endeavor. For example, GE Capital deals with the capital and financial markets and specializes in actuarial sciences in the insurance sector too. GENPACT is the undertaking that deals with large scale business process outsourcing. Jeff Immelt took the bold judgment to focus on research and development. Despite the fact that the company has a proven track record in finance, insurance, and management, Jeff Immelt strategically drove his huge team towards more innovation in the research and development wing. This transformed the company into a growing establishment, which deals in innovative techniques and has an ambitious design in the field of emerging technologies. Also, another example is the case of Boeing, where the CEO Jim McNerney strategically reinforced and redeveloped a culture of high moral standards, respect, and trust for the troubled company. Crisis: Crisis can be encountered in several forms, or in the form of crisis itself. The events like selection of the apex team, succession of the CEO, handling a Justice Department investigation, a special operation, etc. can amount to a crisis when there is a case of dispute or serious dilemma regarding the selection of an option in limited time. Also, high degree of risk can add complications to a crisis. Assessment of the risk factors and finding appropriate solutions to them may be regarded as the key issues in crisis management. A project, company, or situation specific framework that would find out what risk factors are to be evaluated and addressed in time is important. Fiscal overheads and cost factors too can be very generic contemplations. In the face of uncertainty, ambiguity, conflicts, succession issues, etc. the manager may have to handle a critical situation. The writers of the book see these sorts of crises as “opportunity for development of leadership”. This is true only if we are asked to believe the axiom that under pressure, innovation may take place. The story of general Wayne Downing can be recollected in this context. The late general was leading his troops to apprehend dangerous Manuel Noriega. Capturing this military dictator of Panama was of course not an easy task. The special operation involved raid, encounter, and capture. During the operation, Downing got entangled in a crisis but was able to find out an excellent solution like a true leader. He emerged successful in achieving his goals, which eventually caused Noriega to surrender. He countered the crisis he faced in a limited time frame. My Storyline Concept and Scenario I work in a publishing house in Hobokon and I am employed at the middle level management. Lori and John are my colleagues who work in parallel capacity with me. Lori, John, and I are actually rivaling for the posi9tion of General Manager (GM) and we three work in the same office at the middle level management. Mr. Parkinson is the current GM and he is supposed to retire in about six months. I feel that the lessons learnt in the book under discussion worked well in the context of my workplace due to the following reasons: 1. Concept – the challenge lied in the fact that only one of us required to emerge as the future leader. 2. Scenario – the case involved succession issue and team management. Due to fierce competition, Lori, John, and I rivaled each other in doing our job. We wished to outperform each other. Mr. Parkinson acted as a cool minded leader. He exploited the rivalry among us for the betterment of the company. He was aware that a battle of succession had broken out, and everyone among the three subordinates he was supposed to handle was ambitious to succeed him as soon as he was supposed to retire. Last month, Mr. Parkinson fell ill and he had to take medical leave. In such a state of affair, he appointed me as the GM for the time being. He, of course, had an explanation for his decision. However, he did not get enough time to brief me and my colleagues. Also, he went on the medical leave for an undefined period of time. Hence, I landed in an unpredictable situation. I was acting as an interim GM. I was to be removed from the capacity as soon as Mr. Parkinson was to get well. There was no guarantee that I would be chosen during the final selection as well. And the most problematic aspect of the situation was that nobody was prepared to accept me as the superior, Particularly Lori and John were most reluctant. Therefore, now the situation was a testing condition and I was supposed to practically use the lessons from the book “Judgment: How Winning Leaders Make Great Calls”. Teachable Point of View (TPOV) Now, the three pillars of making a correct judgment call were right before me: People: Although most of my subordinates accepted me slowly but steadily, I faced problems with Lori and John. Both of them cross examined me when they got a chance, sometimes even behaved rudely, and often questioned the quality of my instructions. However, I remained polite and accommodating. I did not change my behavior towards them and never let them feel that I was their superior. I had appreciated the idea that people should be managed with consistency, and this outlook ultimately helped me to convince both Lori and John. Strategy: My approach always remained diplomatic and I followed the strategy of a soft spoken executive. I had to utilize my soft skills up to the best. Crisis: Mr. Parkinson’s absence remained a critical issue all the time, and sometimes, nervousness and confusion loomed in the office. Although I was able to maintain the performance of my department, there was always the issue that I was not as experienced and efficient as Mr. Parkinson. I arranged for frequent meetings and in those meetings, I told my colleagues and subordinates about the early struggling days of our company. In my speeches, I stressed on the proficiency and work culture, which our company was known for. Also, I thanked the senior colleagues for their consistent contribution and performance. I judged that the situation was complicated and tried my best to create a stable understanding throughout my team. Knowledge Assessment The book under discussion proved to be pretty helpful in acquiring a new understanding of management science. Judgment had always been a crucial issue, but it was less scrutinized and talked of. The book focused on how important judgment could be in the context of an organization. Self: The book helps in self motivation. However, self motivation must be preceded by self evaluation. The manager must know that where he/she is lacking, what are his/her weak points, and how to eliminate them. In situations of low confidence, personal examination becomes important. After ascertaining the weak points, positive and concrete steps should be taken to rectify them. Also, determining the strong points is important. The target of evaluating oneself should be judging one’s effectiveness. Next, the manager must emerge as a motivator. The leaders showcased in the book have spent considerable time for developing and coaching their junior leaders. Social Network: Social network is very much concerned with one of the judgment domains – People. We have to understand the people around us prior of taking a decision that can help the organization in a real sense. Understanding the people inside and outside the organization should be a prior consideration. For example, in a research project team, the temperament and aspirations of the technologists should thoroughly be understood. Customers at the level of CRM should be understood, and the understanding should be infused in the sales team. By partnering with potential clients, winning combinations of people and executives can be created across the market. Organizational: In this context it is a good idea to start with the story of Jim McNerney, the CEO of Boeing. The ethical standards of the company were deteriorating and the confidence level among the stakeholders was low. Jim McNerney took up the task of restoring a culture of confidence and trust. At that time, Boeing was under a Justice Department investigation and the morale of the company needed to be boosted up. And in such circumstances, only an organization that has a clear vision and mission can survive. In the other examples provided in the book, reiterating the vision and mission of the company during the hard times has been a critical element of the judgment calls. This can be a good organizational strategy to overcome problems. By means of discussions in this context, the organization can develop a proper way of addressing, processing, and viewing the problems it faces. Contextual: Contextually with the problems that I faced in my organization, I found the book very helpful. First of all, I realized the importance of personnel management and understanding the people around me. Convincing my rivals was always a difficult consideration, but I managed to do it by means of proper temperament and consistent efforts. Also, by arranging meetings and motivation sessions, I reiterated the lessons learnt during the early days of the company. These lessons structured the mission and vision of the establishment and the senior colleagues proved to be productive in this regard. In this way, together with my team, I developed a strategy to face the problems in the absence of the senior GM. Also, we developed a clear perspective to view the issues, and a roadmap to process the complications that came in our way. Strategic Analysis Current position: My current position is at the middle level management. As an unexpected opportunity, I got to work in the capacity of GM for the time being. However, since there is no guarantee that I will be allowed to continue in this capacity, I consider myself essentially at the middle level management. Desired position: I want to be positioned at the higher level management in the capacity of the GM. I want to take on new challenges and excel in the field of management all the more. Strategy of attainment: Although Mr. Parkinson’s absence was unfortunate; it gave me a chance to work in the capacity of the GM on a temporary basis. This gave me an opportunity to sharpen my skills and get hand on experience on team building. Also, I developed a diplomatic approach to restore balance in my team and concentrated to convince my rivals. Frequent meetings, inspirational speeches, and motivational discussions helped to create a positive outlook and energetic environment. Winning over the senior colleagues is always beneficial in the context of confidence building. Work Cited Tichy, Noel, and Warren Bennis. Judgment: How Winning Leaders Make Great Calls. Richmond: Portfolio, 2007. Print. Read More