In a service business like Altair-Strickland’s, it’s all about the people. It’s cliché to say that these days; it’s hard to find a company that doesn’t boldly declare “our people are our greatest asset.” But it’s as true today as it was when it was a new concept, even though putting people first seems counterintuitive to focusing on profits. We need to remember it’s people, not companies, we’re selling to and servicing, so running our businesses putting our people at the forefront of our decision-making process is really the only way forward that makes sense.
Thankfully, business leadership models have embraced this philosophy. By and large, we’ve moved away from the “greed is good” mentality that brought about some of the biggest business scandals of the 21st century (Enron, Waste Management, WorldCom), and we’re now moving in a more positive direction — one that emphasizes the need to recognize each employee, whether he is a leader or follower, as an individual with needs that must be met for the business to achieve success.
In 1978, a Pulitzer Prize-winning professor and historian named James MacGregor Burns introduced the idea of “transformational leadership.” He defined a transformational leader as “one who raises the followers’ level of consciousness about the importance and value of desired outcomes and the methods of reaching those outcomes.” It was an innovative approach to leadership that, in some ways, revolutionized the way people run companies.
Prior to the concept of transformational leadership, most companies subscribed to a model of leadership known as “transactional leadership,” which states, “You, the follower have something I, the leader want (labor), and I have something you want (money). So let’s make a transaction.” It’s a model most of us are intimately familiar with. At some point in each of our careers, it’s safe to assume we’ve worked solely for a paycheck. But as we’ve gotten older and settled into careers, as we’ve emerged into leadership roles, we’ve come to see leadership as more than a transaction. Perhaps we’ve even begun to see leadership as a transformation.
Over the past 30 years, transformational leadership has been the single most studied and debated idea within the field of leadership. Published studies link Burns’ idea to CEO success, middle manager effectiveness, effective military leadership, cross-cultural leadership, virtual teams, personality and emotional intelligence. It’s a wildly successful idea that many times leads to wildly successful results.
At the core is the idea transformational leaders recognize the need for their followers to become leaders in their own right, to feel fulfilled in their roles and accomplishments in their organizations. At AltairStrickland, we believe this idea of self-fulfillment is extremely important. Personally, I believe in “flipping the org chart.” The foundation of AltairStrickland’s culture is built upon an entrepreneurial spirit that fosters leadership on multiple levels. I encourage our teams to challenge the status quo and seek improvements in all that we do. AltairStrickland is a better company when the processes through which we work require people within our culture to think critically and empowers them to make decisions, and those decisions, in turn, fulfill them.
Transformational leaders also utilize “inspirational motivation,” which involves providing a shared meaning and challenge to something a leader is asking a follower to do — something that makes it personal. I think of this as an “all hands on deck” approach. Obviously, there are times when individuals must face certain challenges on their own and be accountable, but rarely is there a case where they’re not able to consult, collaborate or share experiences to help them in the decision-making process.
Ultimately, the keys to successfully leading a service business are understanding and being connected to the people you’re leading. This requires integrity, competence and character. The people must believe you and in you. It doesn’t mean you’re perfect or every decision you make will be well received or successful. As long as you are clear in your communication, competent and have integrity in all you do, you are well on your way to being transformative.
For more information, call Jeffrey Webber at (281) 478-6200 or email him at jwebber@altairstrickland.com.