Thursday, May 18, 2006

Bill Swanson's "25 Unwritten Rules of Management"

The CEO’s Secret Handbook


It seems there have been some allegations that Bill Swanson, the long sitting CEO of Raytheon (a Financial Times Global 500 firm) may have appropriated some of the content for his famous booklet from insufficiently credited sources. In fact, Bill has, at times, openly said he used engineering Professor W. J. King's book written six decades ago for some of the booklet’s rules.

However Swanson assembled his list, it doesn't change the fact the 25 rules have proven invaluable to many senior business leaders over the years.

Recently I was working on a senior diversity search where the interviewing of candidates had been subcontracted out to us. Our assignment was to do the interviews and make recommendations (e.g., responding to: "Here, take this stack of resumes and find us the real corporate warriors!"). I like these assignments since I've never met a candidate I couldn't learn something useful from. This project was no exception. In the course of the interviews a couple of the candidates mentioned Mr. Swanson as someone they admired (among other things Swanson is dedicated to diversity in the workplace).

Since we did occasional work for the government I'd heard Swanson's name before but never really focused on it other than knowing that, as a manager, he's the real thing. Now curious, I finally looked into it and quickly realized he's the same Swanson that wrote "Swanson's Unwritten Rules of Management” which I had heard rumors about under the name 'The CEO's Secret Handbook'. You may take issue with some of the "rules" and probably have some of your own, but, by and large, it's a powerful list for improving an organization. The list follows.

25 Unwritten Rules of Management


1.         Learn to say, “I don’t know.” If used when appropriate, you will use it often.
2.         It is easier to get into something than it is to get out of it.
3.         If you are not criticized, you may not be doing much.
4.         Look for what is missing. Many know how to improve what’s there, but few can see what isn’t there.
5.         Viewgraph rule: When something appears on a viewgraph (an overhead transparency), assume the world knows about it, and deal with it accordingly.
6.         Work for a boss with whom you are comfortable telling it like it is (AKA Truth to Power - TN). Remember that you can’t pick your relatives, but you can pick your boss.
7.         Constantly review developments to make sure that the actual benefits are what they are supposed to be. Avoid Newton’s Law.
8.         However menial and trivial your early assignments may appear, give them your best efforts.
9.         Persistence or tenacity is the disposition to persevere in spite of difficulties, discouragement, or indifference. Don’t be known as a good starter but a poor finisher.
10.      In completing a project, don’t wait for others; go after them, and make sure it gets done.
11.      Confirm your instructions and the commitments of others in writing. Don’t assume it will get done!
12.      Don’t be timid; speak up. Express yourself, and promote your ideas.
13.      Practice shows that those who speak the most knowingly and confidently often end up with the assignment to get it done.
14.      Strive for brevity and clarity in oral and written reports.
15.      Be extremely careful of the accuracy of your statements.
16.      Don’t overlook the fact that you are working for a boss. Keep him or her informed. Avoid surprises! Whatever the boss wants takes top priority.
17.      Promises, schedules, and estimates are important instruments in a well-ordered business. You must make promises. Don’t lean on the often-used phrase, “I can’t estimate it because it depends upon many uncertain factors.”
18.      Never direct a complaint to the top. A serious offense is to “cc” a person’s boss.
19.      When dealing with outsiders, remember that you represent the company. Be careful of your commitments. (Under promise, over deliver. - TN)
20.      Cultivate the habit of “boiling matters down” to the simplest terms. An elevator speech is the best way.
21.      Don’t get excited in engineering emergencies. Keep your feet on the ground.
22.      Cultivate the habit of making quick, clean-cut decisions.
23.      When making decisions, the pros are much easier to deal with than the cons. Your boss wants to see the cons also.
24.      Don’t ever lose your sense of humor.
25.      Have fun at what you do. It will reflect in your work. No one likes a grump except another grump.

Think about it…

"Cashing a paycheck is an oath to perform your best." -T. Newhart

Sunday, February 5, 2006

Six Traits of a Good Manager

I came down to Cuernavaca, Mexico to interview a candidate for a one-year operations assignment seated in Europe. In the course of the interview I asked the candidate what he felt the components of a good leader are (this was one of the questions the CEO wanted us to ask in addition to our usual Q deck), basically, the candidate’s take on the traits of good leadership. The question was asked within the context of what he would be tasked to do if he was hired, and that was to open up a new supply chain in Europe. He broke it down to the six traits he typically looks for when hiring people that report to him. He clarified that these traits focus “inwardly on the management team” rather than outward into the realm of client advocacy which he felt equally as strongly about.

As you review the list you can see Carlos’ overarching theme is to make sure everyone in the organization understands they must strive to somehow add more value to the organization and its customers, thus increasing the company’s value in both financial and social terms. He constantly challenged his employees to ask themselves “How can I add more value?” and to ask themselves that question at least once every day.

The Traits Related Behaviors

1.     Being able to make a decision. Good managers are like good generals—they can make decisions. Sometimes the suggestions come from team members and smart internal advisors, but often the decisions come from that mysterious place inside true leaders. Good managers slice through all the minutia and make a decision. Nothing happens without a decision. Even doing nothing is a decision. Carlos said the problem with the latter is that doing nothing is often so comfortable. But if you’re doing nothing, you’re probably standing still and that’s when your competition will run you over. Also, accept responsibility for your decisions whether or not they turn out to be right or wrong. Learn from your mistakes.
2.     Be a good role model. Never forget, in one respect business organizations are no different from fish: they both start to smell bad from the head down. Be consistent to the company’s philosophy. Talk is cheap, actions count. As the leader, people will gravitate to, and emulate, your behavior. It always has to point toward creating sustainable increases in equity holder value while hopefully supporting sound social values as well.
3.     Focus. Good leaders pick out the most important thing and that’s what they do. Once that’s done, they move on to the next, then the next.
4.     Being there. Don’t just sit behind your desk. Get out there to your employees and customers. Let people know that you know what’s going on and that you care. Great managers aren’t detached. They get out there and are symbolically on the shop floor.
5.     Give positive feedback to their team members. Always be net positive. When he had to be critical Carlos would think it out and try to be just as honest in his criticism as he was complimentary. This helped his team members trust what he had to say.
6.     Always move forward. Always stay dynamic. Stay optimistic and continually make things better. A complacent manager is doomed. A great enterprise never “arrives” anywhere; it’s always in motion. Be like the Eveready bunny—just keep going and going and going. “A good manager will always strive to reach the horizon even though he knows he can never arrive.”
 Think about it…