Don’t manage, lead.
(Tichy, Sherman; 1994) was one of Jack Welch’s 6 tenets that he used as CEO of GE.
This has now become a truism with the current emphasis on ‘leadership’ whilst there is a negative connotation toward ‘managing’. History shows that leadership in the absence of sound management can be a path to disaster.
The Oxford Dictionary of Current English (Oxford, UK, 2001 pp. 514, 547) offers the following definitions:
“Lead – 1 Cause (a person or animal) to go with one. 2. Be a route or means of access. 3. (Lead to) result in. 4. Influence to do or believe something. 5. Be in charge of.”
“Manage. 1. Be in charge. 2. Succeed in doing. 3. Be able to cope despite difficulties. 4. Control the use of money or other resources.”
Consider the two renown Antarctic leaders: Robert Scott and Roald Amundsen. Both led teams to attempt being the first to reach the South Pole in 1911. Scott failed and lost his life. Amundsen succeeded, beating Scott by a month, with his entire expedition safely returning to claim victory.
Using the definitions, both were leaders. Only one effectively managed. Scott opted for equipment that was not fit for purpose, including heavy mechanical tractors, heavy sleds, horses, and dogs. Amundson opted for dogs, light fur garments, and light sleds after trialling this configuration in the Arctic. In line with ‘controlling resources’, Amundsen used best management practice as opposed to only using the necessary leadership practices as detailed above. Scott failed to deploy effective management by using non-fit for purpose practices and equipment.
Steve Jobs was removed as CEO of Apple, only to return and take the company to being an amazing success. In his first iteration, he was focused on inspiring people toward his vision and failed to effectively manage, leading the company down a near terminal path with his ‘pet projects’ that were not viable in the market. Upon his return, Steve underpinned his leadership vision and passion with sound management practices. He immediately assessed all the projects that were underway, then abandoned 70% of them so that they could focus the finest talent and resources on offerings that addressed market needs and wants.
Jack Welch was able to turn GE around by focusing on his leadership whilst he ensured that there was highly capable management reporting to him. His tenet quoted above does not represent the years he spent becoming a highly effective manager. His leadership was based on his extensive management capability and practices.
If you lead your people to follow you without effectively managing how they will do it and be supported, you may be leading them toward disaster. Imagine an officer leading a charge saying: “Let’s go over the top! Oh, we didn’t get ammunition? Never mind, at least we all had fun at the last off-site!”
Despite the current popularist trend to decry management in favour of leadership, history shows that there is no ‘OR’. To be successful in business apply best management practices AND best leadership practices.
Philip Belcher MBA, FAICD, FIML is Principal of LSE Consulting Pty Ltd, a specialist business leadership and management advisory company.
