Developing System Resources

One of the most profound observations in the research, was how a designed leadership system can change the dynamic of development vs management. Every organization, no matter the size or industry, has three key resources that are used to create customer value.

  • People;
  • Money; and
  • Knowledge

In a paradigm shift, high performing organizations view these resources differently. While most organizations understand resources as assets to be managed (a nice way of saying controlled), high performing organization see them as opportunities for development and value creation.

People

During a personal interview, Erin the elementary school principal, was clear that she was all about developing people, but not just the professional bits. She wanted to see the whole person grow and develop. When asked for clarification, her response was, “of course, why would I want half a teacher walking in the door?”

Money

One key difference between mediocre organizations and organizations that sustain high performance is their understanding of money. High performing organizations understand money as a resource with every increasing value. Mediocre organizations understand money as an asset to be controlled.

Knowledge (innovation)

Conventional wisdom says “hire smart people”, (as who is going to intentionally not hire smart people). However, high performing organizations see people as opportunities for innovation, and seek to capture every ounce of creativity energy they have. In this way, they build a culture of learning and innovation. With this kind of culture, they attract smart people.

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