I was frankly surprised by how surprised our political leaders seemed to be in the wake of the bill’s failure. I’ve spoken before about negotiation. One of the basic tenets is to know your audience and have an understanding of probable outcomes. Ask yourself:

• What is the best deal I could realistically achieve in this negotiation?
• What is the likely outcome of the negotiation?
• What is the limit of my authority?

One should also consider:

• What are the intended outcomes and interests?
• What are the possible outcome and interests?
• What is my Plan B?
• What is my worst case scenario?

Our political leaders may be becoming dangerously arrogant at worst, disconnected at best. It doesn’t appear that anyone seriously considered meaningful objection to the bailout plan. Successful leaders simply cannot afford this lack of preparedness, foresight or connection with their teams. We cannot bully our people into following; we must earn that right through clear, consistent and effective leadership. It all boils down to really understanding that any credible definition of leadership must include the word “influence” in it.

Integrity and credibility also play important roles in the extent to which we support and embrace our leaders. Integrity creates both trust and accountability, checks and balances upon which all organizations depend. Albert Einstein once said that whoever is careless with the truth in small matters cannot be trusted with the important matters. If credibility is then lacking in larger matters, the point is only further underscored. And once a fundamental trust has been breached, it is extremely difficult to recapture. Malcolm Gladwell’s best seller Blink makes clear that we recognize authenticity and trustworthiness in the blink of an eye; at a minimum, we recognize when they are absent. Leaders underestimate this at their peril when they diminish the trust of the people who count on them for guidance.

Leadership is demonstrated not by mere words, but through attitude and actions. We can only hope that our political and financial leaders understand this concept. At minimum, we as leaders need to get this on a fundamental level so we can emerge from any fray – if not stronger, then certainly wiser than upon entry.

Nina Nets It Out: “The task of the leader is to get his people from where they are to where they have not been.” - Henry Kissinger. Moving forward requires team support and the sweetest success is that which is a result of shared vision. Bolster your reputation and subsequent longevity: earn the trust and respect of your teams with consistent planning and preparation, through meaningful action delivered with unwavering integrity.

The bottom line is that employee dissatisfaction can largely be attributed to leadership skill and effectiveness. Of course individuals play a role and must assume some level of responsibility for their own satisfaction. But the reality is that it is up to us – right or wrong – to lead effectively, intelligently and passionately and as such inspire our teams to work in kind. The top reasons listed for disloyalty in CareerBuilder.com’s survey were: “I don’t feel my employer values me” (61%); “My efforts are not recognized or appreciated” (52%); “My employer doesn’t pay enough” (51%); and “Not enough career advancement opportunities” (44%). These are all issues over which we as leaders exercise a tremendous amount of control and influence. It is critical that we manage these areas purposefully and proactively.

We have to connect with our teams; our success depends on it. Michael Stallard captures the concept well, stating that “Unless the people in an organization have a strong sense of connection - a bond that promotes trust, cooperation, and esprit de corps - they will never reach their potential as individuals, and the organization will never reach its potential.” He suggests that we:

• Make a human connection with as many people as possible
• Treat and speak to employees as partners
• Help employees find the right roles
• Educate, inform, and listen to employees
• Decentralize decision making
• Recognize the human need for work/life balance

How are you encouraging loyalty in your teams? What are your retention rates and trends? When our teams are feeling invested, the end results extend far beyond individual performance. Beware: the converse is also true. Lead with passion and purpose to ensure engagement and long term satisfaction.

Nina Nets It Out: While we can’t fully control the decisions individuals will make, we can be mindful of the dynamics that foster satisfaction and retention, and proactively employ them with our teams. Inspiring loyalty isn’t difficult, but it does require awareness and commitment. Doing so will profit everyone in the end. Be sure to help all of your village members actively manage their careers.

We want the economy to be bailed out, but we don’t want to foot the bill. We want cheaper gas, but we want to continue to drive our vehicles of choice, eschew public transportation and equivocate when it comes to investments in alternative energy sources. We want to be homeowners, but we don’t want to have to save for a down payment or be bridled with uncomfortable mortgage payments. In essence, we want all the rewards with none of the accompanying risks or responsibility.

The role of the leader, however, is different. Challenges, difficulties and setbacks are all part of the package, and we must understand that these are essential components of standard business cycles, ongoing growth and development, and life in general. John McDonnell, former CEO of McDonnell Douglas, noted that “adversity introduces you to yourself.”  Indeed, it makes you come face-to-face with your strengths, weaknesses and abilities to navigate sub-optimal conditions. And it is from the midst of the most challenging conditions that true leaders emerge. Remember if you will just how much adversity Oprah Winfrey confronted in her own life and how she chose to emerge from it all like a phoenix rising from the ashes.

Of course no one likes discomfort, let alone failure. But “the fastest way to succeed,” IBM’s Thomas Watson, Sr., once said, “is to double your failure rate.” The best leaders know that failure is a prerequisite to invention and innovation — in fact, Wes Ball suggests that leaders must nurture others through a failure. Our best products and processes tend to be launched by those willing to both take and encourage risk taking, current and future leaders who are open and able to learn from – and take responsibility for - the subsequent and inevitable mistakes. As Marion Jones’ story demonstrates, failure is not only acceptable but, in many ways, desirable for it rewards us with lessons that could not otherwise be learned.

Challenging times require resilience, an ability to tackle and overcome adversity despite all. Setbacks and upheavals can provide incredible opportunities for innovation and growth, if you’re up to the challenge.  Leaders do not succumb to hardship; they acknowledge difficulties, learn from them and resolve to move forward.

Nina Nets It Out: “When nothing is sure, everything is possible.” - Margaret Drabble. Use these turbulent times to determine acceptable risk tolerance for your organizations, whether you are properly poised for less than ideal conditions, and how you can make the most out of the worst. Differentiate yourself with attitude and creativity. And remember — performance under pressure is a leadership prerequisite.

The 50th issue is on the subject of “presenting small” and its author, Andrew Abela, asks us to carefully consider our objectives before we plan for or present our slides in a meeting. In particular, he suggests we determine whether we want to:

• Share information, motivate the audience or even entertain them; or
• Have our audience make a specific decision or take action

Normally, the former means presenting to a large crowd – maybe a hundred or even a thousand people or more. This is the domain of PowerPoint. The latter is much more personal. It is where you are presenting in a room (not a theater). It is where you are selling your products or services, pitching an idea or seeking a commitment of some kind – you are seeking change.

Now, I don’t know about you, but the majority of my presentations are to smaller groups. They may be to a dozen or so executives, a handful of board members or just my direct reports. I almost always want to see some outcome. This means making my presentations:

• Interactive: Allow people to digest ideas in their own way and encourage them to ask questions. Even better, turn the lights on.
• Detailed: It is the details that add persuasiveness to your presentation. Even if people don’t read the detail, they will be comforted to know it is there and available.
• Distraction Free: Clip art and color can confuse your audience. Everything must have a reason and be mutually reinforcing. Don’t encourage your audience to think about your choice of image or color at the expense of your ideas.

In addition to these tips from Andrew Abela’s ChangeThis manifesto, I would also include:

• Make it personal: If you are presenting to a small group, ensure that the business resolution you are seeking is personalized for the people in the room. Help them come to a personal decision. Focus your materials on the business objective at hand.
• Ask: Don’t forget to ask for commitment.

The current political scene has brought an important issue to the forefront.  Specifically, how, if at all, are leadership and gender intertwined?  While in the past I have written about leadership and women, what the current situation clarifies for me is that it’s not really about gender at all; but rather, it is about skills and, ultimately, the performance of a leader that matter most.

With Sarah Palin now a central focus of the Republican presidential ticket, people are asking if she has what it takes to be the vice president and “one heartbeat away” from the presidency.  To be fair, some ask these questions in a completely gender-agnostic way, questioning her credentials and experience.  However, there are those that ask the question from the perspective that she is a woman and a mother of five children, one a special needs child.  As far as I am concerned, it is completely appropriate to inquire about a candidate’s viability for the role they are seeking.  But again, these inquiries ought to come from the perspective of qualifications, not gender.  No father of however many kids has ever been asked this, so why ask Sarah Palin?  Mind you, I’m not defending or admonishing Sarah Palin for joining the Republican ticket.  As a citizen of the United States, my concerns are more about identifying and electing the ticket [including both the president and vice president] that can address the issues of importance to me and our country.

In fact, it would be interesting if we were able to hold “blind campaigns” wherein candidates campaigned based solely on their views, policies and credentials without listing their names or otherwise being identified to the public at large.  This would force us all to look at the issues and focus our collective concerns on resolving the issues of priority rather than being caught up in questions around gender, race, personality or popularity. After all, most voters can’t even accurately describe their candidate’s view or positions on critical matters — they just know which way they are voting.

With the magnitude of the current economic crisis, the ramifications of the ongoing geo-political turmoil and the turning tides within international power struggles, we really must focus on the capabilities and performance of our leaders and ignore meaningless criteria such as gender, looks, age, etc. Moreover, we must remember that every successful leader owes their achievement to the dedicated and energized organization that supports them — or what I call a village. For sure, a leader leads, but one also needs followers, supporters and a raft full of other leaders at all levels. It’s high time we put the focus on where we want to go and how we are going to get there. In five, ten or even 50 years time, we will look back and judge our new presidential team only by the results that they delivered to the U.S. people. All the rest is, well, lipstick on a …

The last couple of weeks has seen some very important decisions being made by the U.S. Federal Reserve. Lehman Bros has been allowed to fail, filing for Chapter 11 bankruptcy while Fannie Mae, Freddie Mac and now insurance giant AIG have been bailed out. Some of our largest financial giants have sunk, some have been rescued and others continue to swim (or tread water). While these decisions will have widespread ramifications for consumers, businesses and financial markets globally, they have been made by the Fed to quickly restore confidence and certainty in what can be described as the most uncertain of times.

In fact, the market turmoil provides an interesting study in the unease that ensues when rules are unclear and inconsistent. We often think of this as either “sinking or swimming”. As leaders we have both incentive and responsibility to provide ongoing clarity and consistency for our teams, while simultaneously encouraging risk taking and innovation. To do so requires emotional intelligence — what Daniel Goleman calls the ability to “acquire and apply knowledge from your emotions and the emotions of others” to make effective decisions in any situation.

In challenging times, one way of achieving this balance is to understand the critical role that emotions play in both perception and performance:

1. Emotions affect how we respond to changing conditions as well as to one another
2. Emotions are highly contagious (as Annie McKee reminds us)

When we experience negative emotions — especially fear and distress –- we tend to spiral into avoidance, paralysis or hysteria. These mindsets feed off one another, clearly inhibit productivity, and can swell to epidemic proportions if collectively embraced. As leaders, we have to be vigilant about infusing passion and positivity into everything we do if we want our teams to be focused and optimistic in turn. After all, we have large and difficult challenges to face individually and collectively — and we will need every ounce of innovation, creativity and collaborative teamwork to move forward.

As a leader, think about how are you keeping the waters calm in your organization. How can you best reward risk taking while concurrently discouraging over-zealousness? Look for the leaders amongst your teams — those that demonstrate strong emotional intelligence. Look for those who are resilient, confident and highly communicative, infusing their teams with those same qualities and energy. Look also for those who need your help. Nurture those teams’ abilities to cope with stress and negativity, and you will be rewarded with people with enhanced confidence who can deliver stronger performance and success.

Lao Tzu, the Chinese philosopher, lived in 4BC and was a contemporary of Confucius. He is credited as the author of Tao Te Ching, which is widely quoted in management teachings. One of my favorite quotes comes from Chapter 17:

Fail to honor people, They fail to honor you. But of a good leader, who talks little, when his work is done, his aims fulfilled, they will all say, “We did this ourselves.”

Great leaders know that personal power extends only as far as one’s personal reach. This is power by control. However, as Jamie Notter points out, “leadership is effectively a capacity within the entire system” — and when it works this way, ownership in the efforts of an organization rests with the entire team. By honoring the efforts and input of your village, leaders effectively transform their businesses with little resistance. After all, one does not need to “sell-in” a change when the change is self-initiated and driven by the individuals in your team.

As Henrik Edberg points out on the Positivity Blog, Lao Tzu is about “getting things done” — which is another way of managing to outcomes. And as a leader, there can be no greater satisfaction than seeing your team celebrating their own leadership successes.

Nina Nets It Out: The personal power of leaders only extends so far. But as the Chinese philosopher, Lao Tzu reminds us, great leaders empower their people. Remember this today.

The ForbesLife Executive Women’s list of the highest-paid women in corporate America provides an interesting benchmark. Clearly, money is just one measurement — and for most executives, it is not the overriding factor in taking a leadership role. However, looking at the Forbes list, there are 100 women earning at least $3 million per year — which pales in comparison to the best-paid men in corporate America who pocketed at least $18 million.

Now, I agree, to the average person, these salaries appear astronomical. But it is important to remember that executive salaries set the benchmark by which all other pay scales are measured. Why, as a society, do we deem it acceptable for discrepancies of this magnitude to exist? They should no more exist at the executive level than they should at the intern level.

Judith H. Dobrzynski suggests that we need to herald the achievements of women leaders at the highest levels while also recognizing the work of women leading smaller firms and sizeable divisions of companies. Only by doing so, can we turn around the stereotyping that limits the opportunities open to women in corporate America. A good place to start is on the News on Women website. For while there is more work ahead of us, we are clearly not alone.

Nina Nets It Out: While great gains have been made by women in the corporate world, there is still a massive disparity between the earnings of women and men. Supporting and publicizing the success of women leaders at all levels is an essential part of transforming the workplace. Have you done your part today?

Ronald Heifetz, Harvard professor and co-founder of its Center for Public Leadership, encourages leaders to:

• Openly acknowledge the complexity of the issues head on, without attempting to minimize the difficulties involved. Research has found that ignoring or oversimplifying complex challenges does not work.
• Avoid authoritative (top-down) solutions. Shift responsibility for problems from the leader to the primary stakeholders.
• Consider how individuals’ differing values influence their views and behaviors. This is not a “right” or “wrong” analysis. Rather, it is an acknowledgement that as everyone views situations differently, buy-in necessitates a multi-pronged approach.

Consider the challenges that you are facing. What is and is not working? Map it out. Think about how you are communicating with your teams. Heifetz suggests those who are cognizant of and incorporate the concepts above manage more effectively. Try these five tips for when the going gets tough:

1. Confront the problem. Don’t dodge the issue. Acknowledge it openly.
2. Reject absolutes. Get comfortable with the idea that there is no “right” answer.
3. Avoid expressions of power or dominance. Promote and encourage an atmosphere in your teams that is conducive to cooperative thought and execution.
4. Celebrate differences. Acknowledge that differences are vital to a full appreciation of issues and their most effective resolution.
5. Recognize your own built-in bias. No one person’s ideas will ever represent an absolute truth — and that includes you.

There is no one way to get a difficult job done - quite the contrary. Elicit the best performance possible in an environment that rewards innovation and cooperation as a means to solid team results. But should things turn sour, and a complex problem become a “crisis”, take the STOP approach to begin turning your issue around.

Nina Nets It Out: “The best executive is the one who has sense enough to pick good [people] to do what he wants done, and self-restraint to keep from meddling with them while they do it.” - Theodore Roosevelt. Make an assessment of your teams. Try implementing some of the ideas above in those areas needing improvement, and see if more ownership and innovation ensue.

Marshall Goldsmith tells an interesting story about the behaviors and actions of a CEO, Bob — and how these combine to impact on Bob’s effectiveness as a communicator. Bob had fallen into the well worn trap of believing that those in his team liked being managed in the way that he enjoyed being managed. This presented a challenge:

My job was to make Bob see the problem, which I like to call the “golden-rule fallacy.” He assumed that his people were just like him and, therefore, liked to be treated the same way he did.

As we go about building our businesses, we find natural affinities with some people. We are drawn to them. We may even nurture those who demonstrate capabilities that are like our own. But what of the rest of your village? Sometimes we need to look into a different kind of mirror to understand how to inspire, drive and deliver high performance.

Professor Teresa Amabile conducted research that showed a powerful link between a leader’s behavior and the high performance, innovation and creativity shown by her teams. It boils down to five (yes only five) elements:

1. Emotional support: Clearly, if you consider your team as part of your village, you need to provide some form of emotional support.
2. Positive feedback: Leaders need to provide constructive feedback in a positive manner and also provide additional context to help your team members produce better work.
3. Recognizing good performance: It sounds trite, but publicly acknowledging good work is essential for high performance.
4. Consult with your team: Your village is a vast knowledge base. Use it to the advantage of your business.
5. Collaboration: One of the most powerful roles of the leader is to pitch in. Roll-up your sleeves and help your teams close the deal.

And while each of these elements seem to be “every day”, take a look into a different mirror. Think about what your team see when they work with you. What will they take away? How will your words and actions impact their performance both today and through the week? It is the every day, ordinary touches that can create an extraordinary team performance.

Nina Nets It Out: A leader’s behavior can have a significant impact on the performance of a team. Will your interaction with your team today result in a positive or negative experience? How do you ensure high performance? It is simple — focus on the every day interactions and watch the results.