With the recent LIBOR scandal currently in the news, once again the spotlight is on the quality of leadership in Banking and the Financial Services Industry in general.
In 2009 the UK Government commissioned a review of leadership and corporate governance of the Banks. The report by David Walker made a number of useful recommendations, including, in Annex 4 on the Psychological and behavioural elements in board performance.
In this section it states in its findings:
Leadership behaviour is considerably more predictive of success in complex roles so should be given more weight over industry experience in the decision-making process. The assessment report should be used not just as a decision-making tool for selection, but also as a key part of building an induction and gap management plan to integrate new members and reduce the risks inherent in groups that work together for long periods.
It then goes on to list the well-researched and validated Schroder framework as a recommend leadership model suited to complex and volatile leadership challenges
We couldn’t agree more, which is why my360plus is based on the very same model.
You can download a full copy of the Walker review from the HM Treasury website. You can find the relevant section from page 139 onwards.
Or Is it measuring what you want it to measure?
We come across literally hundreds of ‘competency’ frameworks used within organisations. While some are great, many are not. Most have little or no rigour behind them.
Many describe a mix of outcomes, values and outlooks as well as behaviours. All of these jumbled together make it hard to work out what the messages are for the individual or organisation, or what action to take. Making strategic decisions based on flakey data is a costly business…
The underlying framework used in my360plus is the respected and validated Schroder model, which describes objective behaviours that have been shown to lead to superior performance.
As well as having literally decades of research and testing behind it, the model has stood the test of time, across business sectors, geographies and cultures.
The Schroder framework objectively measures behaviour, ie what people actually say and do as opposed to ‘outcomes’ which often pepper frameworks. The problem with outcomes (eg ‘meets or exceeds targets’ or ‘builds strong teams’ ) is that knowing you met or did not meet the expected outcome is interesting, but gives you no insight into HOW you delivered that outcome and therefore how to replicate it, transfer the skills to other tasks or help others to do the same. Measuring behaviour allows you to understand what you do now AND what you should do if you want to develop your performance.
The Schroder framework also expresses tightly-defined negative manifestation of the behaviours. This is behaviour which actively erodes value. Crucially, my360plus measures and reports both positive and negative behaviours simultaneously so that complex ratings (such as a ‘strength with some limiting behaviour’) can be reported and explained, together with appropriate coaching advice.
We can, and do, modify behaviour and cluster names, and behaviour descriptors to reflect corporate language and other requirements where necessary. This is always done my our experienced consulting team and cross checked to ensure question validity is maintained and that we are in fact still testing for the underlying, validated behaviour.
Practical benchmarking and use of the Schroder framework over four decades has shown that no one has strengths in all areas. (It could even be argued that no single leader needs strengths in all areas.) However, as a leader deals with increasingly complex and dynamic business challenges, they develop (ie strengthen) their profile. The keys to success are to:
- understand your profile – really understand what it is telling you about how you work and interact with others
- stop any negative behaviour immediately
- work on developing behavioural strengths that are important to your role
- work with colleagues with complementary strengths.
For more information on the Schroder framework contact us at firstname.lastname@example.org.