By Ric Shriver

Recently I have had some time to reflect on my career and the experiences I have had, both good and bad. My reflections helped me to see how addressing both innate potential and passion is something we need to do to function at our best.

In one of my executive human resources management roles, I was charged with recruiting, selecting, and onboarding some key executives for our finance and information technology departments. Because these areas were vital to our continued growth and success as a business, I wanted to exercise appropriate due diligence in the search process. To best determine the full potential of the finalists for these key executive roles, I engaged the help of a local industrial psychologist to administer a battery of tests and assessments for the finalists. The results of those assessments provided me and our senior executive officer with valuable insight into the selection decisions we would ultimately make. One of the measures we assessed was the conceptual and critical thinking abilities of the candidates. A high level of problem solving, critical thinking, and intuitive judgement would be required for the positions we were filling, and we needed to ensure that whoever we offered the positions to could perform at the highest levels of competence. The assessment process was a success, and the candidates we offered the positions to did meet our high standards and ultimately were able to make significant contributions to our organization. A process well determined and of significant value to our organization!

The process and tools I described in the preceding paragraph intrigued and impressed me to the point that, if I was going to continue to follow a similar process for future executive or high-level leadership roles, I wanted to experience the assessment process for myself. So, I engaged the same industrial psychologist to assess my own capabilities and to provide me with a full report on how fit I was for the executive role I was in. The psychologist’s report was both insightful and unsettling. What I discovered is that while I did possess many of the “soft” skills leaders should naturally demonstrate, my conceptual and critical thinking capabilities were determined to be “high average”. For my role, which was comparable to the other executive roles that I had been filling, a much higher level of critical and conceptual thinking potential was required. My self-image was deflated.  I felt that I lacked the potential to continue to perform at the executive level. And at the time, instead of listening to and being guided by my conscience , I planned my own departure from the role that I had been successfully performing for several years – a self-fulfilling prophecy!

Choosing the best paths for our careers can be tricky. We find ourselves torn between understanding what our true potential might be and pursuing roles that far exceed what we thought we might ever be able to perform successfully. The fact is that most of us rarely can fully understand what our potential might be for certain occupations and industries. That is why seeking the guidance and wisdom of a higher power (if you are so inclined) or the sage of a respected mentor is so critical. Our conscience and/or our trusted mentor may call upon us to pursue something that is far beyond our “comfort zones” for performance. What I think is critical for us as leaders to be aware of are the obvious expectations certain roles have, the demands they may place on us, and the balance we strive to achieve between our occupations and our personal lives. Our aim should be to secure a sense of spiritual and emotional peace. Cognitive dissonance occurs when what we are perceiving and experiencing is far beyond the expectations we may have had for the roles we have found ourselves in. The altered perception creates both emotional and physical reactions that, for most of us, are considered undesirable and contrary to a sense of peace.

So, in summary, knowing ourselves, our passions, our natural strengths and limitations is critically important. But having the willingness and determination to take full advantage of our passions and natural talents is also critically important!

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As virtual and hybrid work environments continue to grow, the demand for strong communication skills among employees has never been more critical. Digital communication platforms often strip away the subtle, yet essential, elements of human interaction. According to Dr. Albert Mehrabian’s seminal research at UCLA (1971), only 7% of effective communication is derived from the actual words spoken, while 38% is conveyed through tone of voice, and a striking 55% through body language. This highlights a significant challenge in remote communication: the loss of non-verbal cues that are fundamental to shared understanding.

In the absence of face-to-face interactions, employees must learn to compensate by refining their verbal and written communication. Clear articulation, vocal tone, and precision in language become crucial. Beyond technical proficiency, the ability to actively listen and demonstrate empathy through digital channels is a defining skill in today’s workplace. These elements of communication are no longer optional—they are core competencies necessary for success in collaborative, team-driven environments.

Leadership plays a vital role in fostering a culture where communication thrives. It is not enough to simply encourage open dialogue; leaders must actively cultivate an environment of psychological safety where individuals feel empowered to share their thoughts without fear of repercussion. This trust is foundational to adaptive organizations undergoing structural or cultural transformation. As these changes unfold, communication becomes not just a tool, but a strategic asset.

Here’s a story that serves as a telling example. In this situation, internal IT protocols impeded effective communication, creating a disconnect between service teams and internal clients. While technology may have played a role, the underlying issue was systemic—rooted in rigid procedures for managing service requests. As explored in the Performance Management chapter of our book – Leadership Whack-A-Mole – identifying the true source of a breakdown often points to organizational policies or leadership inaction, rather than individual performance. When communication channels are constrained by outdated protocols or unresponsive leadership, the impact on organizational performance can be substantial.

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Senior leadership must ensure that teams are not only trained in communication but are also held accountable for practicing it effectively. Setting clear priorities and fostering open communication are essential to achieving business goals—especially during periods of transformation. Effective communication supports performance improvement, strategy implementation, and innovation across products and services.

Unfortunately, many organizations lack a coherent internal communication strategy. Training programs often emphasize persuasion and influence over skills like productive conflict resolution and constructive debate. Yet, these are the very capabilities that modern teams need to navigate complexity and drive meaningful outcomes.

Just as we continuously strive to improve our products and services, we must also commit to evolving our communication practices. Building a culture of open, effective, and empathetic communication is no longer a luxury—it is a business imperative.

Adapted from Leadership Whack-A-Mole: Actionable Strategies for Leadership Challenges. (c) 2024 Ric Shriver and Jeff  Fierstein.

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By Ric Shriver

I was meeting with several leaders and professional staff on a corporate campus several months ago, enjoying controlled, productive, and generally positive conversations with well-respected individuals who shared a common purpose, values, and business priorities.

I was wrapping up a final meeting with a couple of functional leaders when alarm bells started ringing through the office intercom followed by a firm and controlled announcement that employees throughout the corporate campus should quietly and quickly retreat to a secure office or room, locking the doors behind them. A brief explanation was provided indicating that a local law enforcement issue was at hand and that all employees should remain safely locked behind office or room doors until further notice! Yikes!

The functional leaders I had been meeting with led me to an open office, ensuring that the three of us were safely inside the office before locking the door. But before we could close and lock the door to the office I heard and observed what appeared to be a senior executive for the business running up and down the hallway, yelling to everyone this person saw to “get into a safe place – NOW!” I also observed this person literally slamming the office doors behind the retreating members of the staff. While we didn’t know for sure what the nature of the law enforcement issue was, we were guessing that an active shooter was present, taking aim at the corporate campus staff – a rather unsettling potential threat which we all agreed needed to be responded to in the safest and most expedient way possible.

The two functional leaders whom I was quarantined with were, for the most part, quiet and calm. While we were concerned about the circumstances and the potential threat they posed, we did our best to use our phones to seek whatever information might be available, sharing relevant information with each other as each of us received it. We stayed behind a locked door for nearly three hours until an all-clear announcement was made. Somewhat shaken by the event, we calmly bid each other a better afternoon and safe passage to our respective homes.

We later learned that there were fatalities and numerous injuries – a tragic situation under any set of circumstances and one which we hear about all too often in a world filled with growing unrest. One of the functional leaders I had been meeting with later complemented me on my calm demeanor during the crisis – I made the same observation about her. Nothing any of us could do would have made any difference to the outcome of the event, but we, along with other members of the business unit we were in, were safe. For that outcome we were grateful. My other observation and conclusion was that the observed senior executive’s shouts and perceived frantic behavior did little to calm an already frightened corporate staff.

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I had the privilege of working under the direction of a retired U.S. Army Colonel early in my career. One Friday afternoon I was asked, along with one of my peers, to spend the weekend in the office finalizing a proposal for a large acquisition our company was planning on undertaking. My colleague and I were given some precise instructions for completing a detailed analysis of complex financial data that had been pulled together during the due diligence process for the planned acquisition. While the process we were charged with was tedious, it appeared to be straightforward. Like good soldiers, we complied with the request, finishing the  analyses and documentation by mid-Sunday afternoon.

My colleague and I arrived at our corporate office early the next morning to review our work with the Chief Financial and Legal Officers for our company. My managing executive, the retired Army Colonel, was also present at the meeting. Less than five minutes into the presentation to the officers, the Chief Financial Officer dropped his pen and began shaking his head exclaiming “you used the wrong parameters to complete your analysis – this is useless for us!”  I didn’t respond well. In a rather stern and frustrated voice I threw the printout of data I was holding onto the conference table and conveyed to those present that “if the &%$#ing financial people couldn’t give us the right instructions, why the hell did we just spend the entire weekend analyzing the wrong data?!” I stormed out of the room after voicing my animated discontent. My managing executive (the retired Army Colonel) followed me out the door and into the office lobby. He placed his hand on my shoulder and said in a calm but stern voice, “calm down.” He then conveyed to me that he too had experienced some bad days, the worst of them being when he realized he had lost ten of his men in a battle during the 1991 Desert Storm in Iraq. Nothing could have shut my fiery emotions down quicker than the hard truth he shared with me during that moment – yes, that put my current setback in perspective, and I was humbled. I will never forget that moment and his calm, yet firm, message. I needed to “get a grip!”

As leaders we never know for sure what types of crises we may face in our respective roles. The scenarios described in the preceding paragraphs are not unusual, but what is not expected or appreciated by the teams of people we lead and the customers and clients we serve are uncontrolled, emotional outbursts that only compound the distress our stakeholders are experiencing. So, the watch word for all leaders is to stay as calm, collected, and cool as possible. Demonstrate confident resolve to face the crisis with resolve while conveying competence and confidence to the members of our teams.

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Open Systems Theory teaches us that a change in one part of a system inevitably impacts other parts—and the system as a whole. Within this framework, the concept of “suboptimization” is critical. Suboptimization occurs when one part of a system seeks to optimize its own performance without considering the broader organizational context. This can result in unintended negative consequences for other parts of the system or the organization as a whole.

To illustrate this point, consider a real-world example from my experience. I worked with a company that had launched a quality improvement initiative. Each department was tasked with developing its own project tailored to departmental goals. These projects were tracked monthly and reported to a central program coordinator, who monitored progress and outcomes.

At one point, senior leadership celebrated a particular department whose cost-saving initiative was selected for presentation at a state-level quality conference. However, while that department was being recognized, a manager from another unit contacted me with concerns. The improvements made by the presenting department, while impressive in isolation, had inadvertently slowed down workflows in other areas. Their drive for cost savings had increased wait times and decreased overall productivity for other departments. In other words, they had optimized their own performance at the expense of the system—classic suboptimization.

This example underscores the necessity of adopting a systems-wide perspective when implementing change. Without it, we risk creating ripple effects that harm overall performance.

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In the introduction to our book Leadership Whack-A-Mole: Actionable Strategies for Leadership Challenges, we used the analogy of the classic arcade game “Whack-a-Mole” to explain this phenomenon. In the game, every time one mole is hit, another pops up. This metaphor reflects the persistence of organizational problems when tackled in isolation—one issue is resolved, only for another to emerge. This cycle results from a segmented, rather than holistic, approach to problem-solving.

Fortunately, organizations are beginning to adopt strategies that take a more integrated view. Tools and methods such as visioning, purpose alignment, cross-functional teaming, strategic thinking, Lean Six Sigma, Agile methodologies, non-linear organizational structures, experimental work protocols, and decentralized decision-making are showing promise. These approaches help organizations respond more effectively to both internal challenges and external pressures.

The critical question for organizations today is how quickly and effectively they can adapt before reaching a state of entropy or decline. History offers numerous examples—across industries—of companies that failed to see the whole picture. Their segmented approach to change was insufficient, and as a result, many no longer exist.

Sustainable success requires a systems-thinking mindset. Organizations that prioritize integration and alignment across all parts of the system are better positioned to thrive in today’s dynamic environment.

Adapted from: Leadership Whack-A-Mole: Actionable Strategies for Leadership Challenges. (c) 2024 Ric Shriver and Jeff Fierstein.  To learn more about the book, peruse this website or click on the banner below.

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As a management consultant, I’ve frequently encountered instances of customer dissatisfaction that were not directly tied to a company’s products or services. In many cases, the root cause stemmed from internal performance issues within the organization.

For example, a manufacturing facility received numerous customer complaints due to delayed order deliveries. The dissatisfaction was not about the product itself, but rather the result of an inefficient manufacturing process that could not meet delivery timelines. From the customer’s perspective, the internal challenges are irrelevant—they expect the product to be delivered as promised. If your organization fails to meet these expectations, rest assured that your competitors are ready to fill the gap.

This scenario underscores a critical leadership responsibility: to establish a structured, objective process for identifying and addressing the root causes of customer dissatisfaction. Without such a framework, businesses risk not only losing clients but also damaging their reputation in the market.

In my experience, the most effective way to ensure consistent customer satisfaction is through process management. A business functions as an interconnected system, where various processes must work in harmony to deliver value to customers. To meet customer expectations, all internal processes must be both optimized and aligned.

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Each process in the system produces outputs that must meet specific standards—typically in terms of cost, quality, and schedule. These outputs must be measurable to ensure compliance with those standards. Conceptually, a business operates like an assembly line, with each functional unit passing its output to the next stage in a coordinated sequence. Although the example often originates in manufacturing, the same principles apply across service-based and other non-manufacturing industries.

Functional “Assembly Line” as a Process Flow

The Process Management Method

A structured approach to process management includes the following key steps:

1. Identify and quantify customer requirements, focusing on cost, quality, and delivery timelines.
2. Map the processes and functions necessary to fulfill those requirements.
3. Establish a clear process flow that defines how materials or services move internally between functions.
4. Ensure each function’s inputs meet predefined standards for cost, quality, and schedule.
5. Develop internal systems for communication, monitoring, and measurement of each function’s inputs and outputs.
6. Assess the effectiveness of each function’s output as input for the next stage in the process.
7. Identify performance gaps or process variations and implement corrective actions.
8. Continuously repeat and refine the process, particularly when customer requirements evolve.

Each function—or department—within an organization contributes to a larger process flow that ultimately culminates in product or service delivery to the customer. Each function receives inputs, transforms them through its unique capabilities, and produces outputs that serve as inputs for the next function in the chain. This creates a system of internal “suppliers” and “customers,” with each function accountable for meeting the needs of the next.

For example, as illustrated in the figure above, the Design department receives customer specifications (channeled through Sales) as input. In turn, the Design team must ensure its output meets internal requirements—such as cost, quality, and schedule—for the Engineering department to proceed effectively. This cascading sequence continues until the final product or service is delivered to the external customer.

By applying disciplined process management principles, organizations can significantly enhance their ability to meet customer expectations consistently, reduce inefficiencies, and remain competitive in their respective markets.

Adapted from: Leadership Whack-A-Mole: Actionable Strategies for Leadership Challenges. (c) 2024 Ric Shriver and Jeff Fierstein. To learn more abut the book, peruse this website or click on the banner above.

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Overview

Two years ago, I was approached by a nonprofit organization facing significant financial and operational challenges. Among the issues raised were ineffective fundraising, siloed departments, and a toxic workplace culture. A newly appointed CEO sought to reverse these trends by leading a culture transformation initiative. I was engaged as an external consultant to help guide and implement this change.

The chapter in question was part of a national nonprofit network of 50 chapters. At the time, the Chapter ranked last in performance and had been placed on probation by the national office. The CEO believed that transformation was achievable with a strategic and data-driven approach to cultural change.

Objective

The central objective was to shift the organizational culture—fostering collaboration between departments, reducing destructive behaviors, and creating a mission-aligned, high-performing environment. This transformation would be supported by employee engagement, leadership development, and performance metrics, and would unfold over two years.

Strategic Assumptions

Working with the Senior Leadership Team (SLT), we defined key assumptions to guide our change strategy:

• Employee involvement is critical for successful change.
• Strengthening collaboration between Operations and Development departments would enhance overall performance.
• All employees, including leadership, must commit to and model new behaviors.
• Ratings from national headquarters serve as a key performance indicator.
• Continuous learning and feedback are essential.
• Change efforts must align with the organization’s strategic plan and mission.

Methodology

We implemented a structured change management process that included:

1. Defining Clear Goals and Metrics: Organizational and departmental objectives were established and communicated organization-wide.
2. Employee Climate Surveys: Annual surveys measured organizational climate across dimensions such as communication, trust, and engagement.
3. Team Assessments: Using The Five Dysfunctions of a Team framework, teams identified and addressed barriers to collaboration.
4. Behavioral Reinforcement: Operating norms were developed, training was delivered, and recognition programs were introduced.
5. Individual Assessments: All employees completed the DiSC profile to improve communication and self-awareness.
6. Strategic Planning: A strategic plan was created to ensure long-term alignment and sustainability.

Implementation Highlights

• Survey and Feedback Loops: The 57-item Climate Survey provided a baseline and guided annual action planning. Focus groups helped interpret results and shape priorities.
• Behavioral Training: All employees participated in workshops based on The Five Dysfunctions of a Team. Team norms were created and reinforced in monthly all-hands meetings.
• Leadership Coaching: The CEO and SLT received weekly coaching, enabling continuous reinforcement of cultural expectations.
• Performance Incentives: A new financial bonus structure was tied to organizational performance metrics.

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Results

Organizational Outcomes

Across a four-year span (extending beyond the original two-year plan), employee satisfaction improved markedly, as measured by the Climate Survey. Year-over-year gains were evident in all categories, and organizational performance followed suit:

• Operational efficiency improved by 12% in Year 1.
• Fundraising (Development) increased by 18% in the same period.

Low-rated survey items—related to promotion opportunities and compensation—were addressed through targeted goals and initiatives led by the SLT.

Team-Level Progress

All teams completed a team effectiveness assessment using the Lencioni model. By Year 2, scores improved significantly in all five dysfunction categories (Trust, Conflict, Commitment, Accountability, Results). These assessments informed team-level planning and performance reviews.

Individual Development

DiSC profile assessments enhanced understanding of communication styles. Teams used these profiles to improve collaboration, reduce conflict, and enhance productivity. A composite assessment of the SLT revealed a strong presence of Steadiness (S) and Influence (i) styles, which helped guide communication and leadership strategies.

Cultural Impact

By the end of Year 4, the Chapter had developed a reputation for excellence. The organizational climate was visibly more positive, collaborative, and focused on continuous improvement. The chapter was formally recognized by the national headquarters as a model for turnaround success.

Leadership as the Catalyst

Crucially, the transformation was driven by the vision and commitment of the CEO. Her leadership—marked by clarity, consistency, and personal accountability—was instrumental in aligning the organization around shared values and goals. Without her stewardship, this culture change would not have achieved the scale or speed of success realized.

Conclusion

The Chapter’s cultural transformation underscores the power of structured, participatory change. A focused, data-driven plan—executed with discipline, transparency, and full organizational commitment—enabled this chapter to not only reverse its decline but emerge as a top-performing unit within its national network.

For a free copy of the 9-page case study summary – with detailed Methodology, Actions, Graphs, and Results – type the word “Transformation” in the Comments section below and submit. We’ll email your case study to you.

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By Ric Shriver

“Vanity of Vanities – All is Vanity. What does man gain by all the toil at which he toils under the sun!”

These are the words scribed by King Solomon in the opening verses of the book of Ecclesiastes in the Holy Bible. These words are on my mind this week as I continue to hear about the billions of dollars that have been spent by so many different organizations on so many endeavors, most of which originally espoused worthwhile pursuits with hopes of positively impacting a variety of different cultures, people, customers, and conditions that have challenged mankind since the beginning of time. One might argue that those leaders directing the expenditures for all the various causes might have seen their intentions as altruistic, heralded sacrifices of time and energy for causes they grew to believe were worth the continued focus and investments of valuable resources.

I ask the question “so what?” What difference have any of the thousands of well-funded causes made in both the public and private sector outcomes most of us can philosophically and ideologically support but have been absent in measurable results. Millions are still afflicted with chronic diseases, substance abuse still plagues millions throughout our culture, heart disease continues to take the lives of millions, and families continue to be torn apart for a multitude of psychological and economic reasons. What truly makes a difference?

I can recall finishing my senior year of high school, preparing for what I had hoped would be a successful collegiate athletic career in track and field with the ultimate desire of attaining international acclaim as a champion endurance athlete. I assumed that, in addition to denying myself the joys of loving and enjoyable relationships, true resilience would need to be a consistent and obvious characteristic of my life, demonstrated through increasingly harsh and painful investments of physical, psychological, and emotional exertion. What I felt I deserved was continued punishment and self-cleansing, which I faithfully secured through a daily devotion to intense, cardiovascular endurance activities.

A few weeks after my graduation from high school and the severing of a high school romance, I mounted my 10-speed bicycle and embarked on a ride from Winston-Salem to Boone, North Carolina. The route that I took was not a direct route, rather I chose to take a more “scenic” route that involved several thousand feet of climbing, first up to the Blue Ridge Parkway via Elkin, N.C., then along the parkway to the Bamboo Road exit at   milepost 294. The final turn led to the end of my journey at a campground near the local Boone Air Strip.  My high school running partner and soon to be college teammate had rented a small camping trailer at the campground, and while cramped, it served as a good place to end my journey. My friend still recalls today how, when he opened the door to the camper, I fell onto the floor, exhausted from the arduous ride.

At the age of 18 I thought I was invincible, strong enough to tackle the 121-mile journey on a bicycle, that by today’s standards was too heavy and improperly geared to be used for such a daunting journey. The confidence I had to embark on the journey that warm August morning was, in my young mind, rational. Through my high school years, I had become an accomplished long-distance runner. Just a few weeks before I had won the North Carolina State High School 2-mile championship and was one of only a few high school runners in the nation who had run several sub-3-hour marathons. So, in my own mind, I was physically invincible.

I completed the ride without injury. But to this day I can honestly say that the nearly 12 hours I spent on the road that hot August day were, and will be, the most grueling hours of physical endurance of my life. It was also the most reckless, ill-conceived adventure I have ever undertaken in my life. I often think about what I might have done, or how I would have responded to, my daughter informing me at the age of 18 that she would be embarking on such a reckless journey. I would have strongly objected. And if she was adamant about taking the trip, I would have driven behind her in my car for the entire journey.

What I experienced during the first two years of my collegiate athletic career was a continuation of super-human investments of time and energy in workouts intended to build a formidable sense of resilience and psychological fortitude with the intention of “muscling” through whatever the competition might present. What transpired over the first two years of my college athletic career was a complete breakdown of my physical, mental, and emotional health with increasingly disappointing competitive outcomes. In fact, by the end of my sophomore year of college I was suffering from a lower back injury that, for several months, ended my ability to continue running with a subsequent loss of the athletic scholarship that had opened the door for my college education. Thousands of hours, thousands of miles, and thousands of dollars spent training harder and harder with disastrous results.

Unfortunately, throughout my professional career I have experienced similar “reckless” expenditures of time and energy, working on projects and initiatives that were financially, physically, mentally, and emotionally exhausting with little or no positive impact on the cultures, customers, or clients being served. These expenditures were typically the products of obsessive-compulsive leaders who felt that they were developing true resilience for the members of their teams, encouraging self-sacrifice and tireless efforts focused on unparallelled activity and volumes of tangible outcomes that provided little or no value to anyone other than to the leader driven by deep-seated emotional insecurities.

The experiences described in the preceding paragraphs beg the question “so what?” What truly constitutes resilience, and most importantly, meaningful, fruitful, and positively impactful results.  The Webster’s Dictionary definition of resilience is the capacity to withstand or to recover quickly from difficulties; the ability of a substance or object to spring back into shape, or elasticity. Two words stand out in the preceding definition – “recover” and “elasticity”. This implies that, while noteworthy efforts may be exerted towards a measurable goal or outcome, there is also a focus on understanding when recovery and elasticity, or flexibility, are critical. In Leadership Whack-A-Mole: Actionable Strategies for Leadership Challenges, I address the optimal performance of a radio transmitter. Maximizing power rarely, if ever, results in the best signal strength and clear reception. Atmospheric conditions, geographic location, frequency being used, and antenna length are factors that call on the radio operator to “moderate” the wattage being used based on the unique combination of these and potentially other variables. Simply put, as intelligent human beings, we must “adapt” to the conditions and circumstances we are experiencing, then pursue realistic, well-balanced strategies for success. As a college distance runner, I would have benefited from coaching that recognized the diminishing results in competition, observable fatigue, and the growing incidents of injury to the members of the team. My coaches always assumed we just needed to put in more mileage and exhausting interval workouts on the track, all of which further diminished our performance. As a human resources and organizational development leader, I would have benefited from senior leaders who called upon us to facilitate policies, initiatives, and development opportunities that positively impacted our cultures and human performance – that was rarely the case. Again, I experienced leaders who stood behind “more is better!”

And so I ask, “so what?”

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Toxicity in the workplace—whether exhibited by managers or peers—is often overlooked in organizational discourse. However, both research and real-world experience consistently highlight its significant impact. When left unaddressed, toxic behaviors can lead to heightened stress, reduced productivity, diminished morale, increased burnout, higher turnover, and even disruptions to employees’ personal lives.

Purushothaman and Stromberg (2022) estimate the cost of U.S. workplace toxicity at $50 billion annually.

Surprisingly, toxic individuals are not always reprimanded; in some cases, they are promoted. This paradox often stems from a focus on performance metrics, where strong individual results may overshadow destructive interpersonal behavior. Toxic traits, especially when subtle or concealed, may go unnoticed by upper management. In other cases, such individuals may be politically savvy enough to deflect criticism or avoid accountability. As one anecdote reveals, a persuasive but manipulative leader maintained their position despite multiple complaints—likely because of their effectiveness or the permissiveness of a toxic organizational culture.

Some leadership experts suggest that toxic behaviors may originate from deeper psychological patterns. Narcissism, for instance, can manifest as a constant need for admiration, grandiosity, and a willingness to manipulate others for personal gain. Individuals with such tendencies are often poor collaborators and may be compensating for underlying insecurities. While not a clinical diagnosis, this perspective may help explain certain destructive leadership styles observed in organizations.

In some companies, toxicity is not isolated to individuals but is woven into the fabric of the culture, starting at the top. When CEOs and senior leaders exhibit toxic behaviors, it sets a precedent throughout the organization. Employees look to leadership for cues on acceptable conduct, and when toxic behavior is normalized at the highest levels, it tends to cascade downward. This environment fosters disengagement and attrition—how many professionals have you known who left a role due to a toxic team or corporate culture? I count myself among them.

Transforming a toxic culture requires commitment from the top. Since culture is shaped and reinforced by leadership, meaningful change must begin there. Unfortunately, many executives are either unaware of their role in perpetuating toxicity or lack the skills to effect change. In such cases, external support through coaching or organizational development consulting is often essential.

While a comprehensive guide to cultural transformation is beyond the scope of this article, some promising approaches include individualized coaching for toxic leaders, facilitated discussions between management and staff, team-based norm-setting sessions, and establishing clear behavioral expectations across the organization.

Addressing toxicity is not just a matter of improving morale—it’s essential to the long-term health and success of any organization.

For a detailed discussion of workplace and leader toxicity, see the book Leadership Whack-A-Mole: Actionable Strategies for Leadership Challenges. (c) 2024 Ric Shriver and Jeff Fierstein. Click on the banner below.

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By Ric Shriver

“Nearly all men can stand adversity, but if you want to test a man’s character, give him power.”

Abraham Lincoln

Most of us in our current or prospective leadership roles ponder how we will utilize the various forms of power that we now, or will in the future, possess. Most of us have experienced the various demonstrations of power, both positive and negative, by leaders we have been exposed to or subject to during our careers. Based on our own personal values, beliefs, and perceptions about the appropriate uses of power, we have formed our own opinions about what is effective and what is ineffective. What I trust you, as the leader completing this year-long journey of observation, consideration, and application, have discovered is that every organization, every team, and every individual whom you lead presents unique challenges that call on us to tap into the various forms of power to inspire the best results for all stakeholders of the organization.

In my recent book Fears of A Leader, I address the inappropriate demonstration of power by narcissistic, self-centered leaders – leaders who seek self-adulation and gratification versus what is good for their organizations and teams. What I have witnessed in a few of my career roles, are leaders with obsessive compulsive disorders and narcissistic tendencies being extremely vocal, abrasive, and dismissive of the team members’ boundaries. These individuals, particularly those in leadership roles, will consistently expect to be the center of attention through their raised voices, abrasive and loud mannerisms, and their obsessive need for recognition and adoration. These individuals often engage in physical and verbal interactions with members of their teams that could constitute a hostile work environment.

John French and Bertram Raven’s 1959 research on the “Social Bases for Power” conveyed that there are five formal sources of social power:

1. Formal/Authoritative/Legitimate Power – Power derived from the position and authority we are endowed with in our respective organizations and assigned roles.

2. Reward Power – Power derived from our access to and ability to provide both intrinsic and extrinsic rewards to the people we are trying to influence or control.

3. Coercive Power – Power derived from our access to and ability to provide punishment or consequences for undesirable performance or outcomes.
4. Expert Power – Power derived from our technical knowledge of the functions, challenges, or performance issues we are trying to impact.

5. Referent Power – Power derived from our personal and behavioral attributes displayed in our interactions with others.

I add another source of power to French and Raven’s model that has become instrumental for most leaders to possess – Informational Power. We reference the importance of the appropriate use of Information in both the chapters focused on Change and Communication in Leadership Whack-A-Mole: Actionable Strategies for Leadership Challenges. So, given that we may have these six (6) general sources of power to tap into as we exercise direction, alignment, and overall execution of our assigned priorities, which source is best for us to use?

CHALLENGE QUESTIONS FOR LEADERS:

1. In your leadership role, what do you feel is your best source of power to tap into? Why do you feel that this is best for your team? Your organization?
2. Under what circumstances do you feel it is important to rely primarily on your authoritative power, power granted to you by your business and organizational structure?
3. Under what circumstances do you feel that it is important for you to rely primarily on your power of expertise, the technical or clinical knowledge you possess in your field of discipline?
4. Under what circumstances do you feel that it is important for you to rely primarily on the power of internal relationships within or outside of your organization, seeking their reinforcement and/or expertise to address the challenges at hand?
5. What sources of power have been positively and constructively impactful for you and your career? Who demonstrated that form of power? What characteristics were observed and remembered by you and others similarly impacted?

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Performance issues are a reality in any workplace—and they’re not always the fault of the individual. When problems arise, jumping straight to a Performance Improvement Plan (PIP) may not be the most effective path. Instead, it’s far more useful to take a step back and conduct a performance analysis.

Performance analysis helps identify the true cause of the issue, and there are several models designed to do just that. By looking at the broader performance system—not just the person—you’re more likely to find sustainable solutions.

Start With the Basics: What’s the Goal?

The first step is to define what successful performance actually looks like. That means establishing clear goals and standards. Let’s say the goal is to produce 100 widgets a day, but someone is consistently producing only 75. The 25-widget gap tells us there’s a problem, but it doesn’t tell us why the problem exists.

Blaming the person is often the default response—but it can be a costly mistake. To fix the issue properly, we need to dig deeper and identify the other possible causes.

What Impacts Performance?

One useful model (from my Performance Planner) breaks performance down into three main areas of influence:

1. The Performer
   Sometimes, an individual may lack the ability to meet expectations, even with training or support. No amount of pressure or discipline will change that. For example, I’m not on the Chicago Bulls—and no amount of effort is going to change that! Similarly, the idea that “you can be anything you want” simply isn’t realistic.
2. The Job
   Sometimes the job itself is the issue. If it’s poorly designed, lacks clear standards, or doesn’t offer proper feedback, even the best employees will struggle. I once saw performance reviews docked because of impossible standards (100% accuracy on every task, every time). The manager couldn’t or wouldn’t adjust the expectations—so the system set people up to fail.
3. The Environment
   The work environment plays a major role too. This includes resources, tools, incentives, and even company culture. If people are punished for doing the right thing—or rewarded for the wrong one—performance will suffer. In one of my roles, the organizational culture clashed so deeply with my values that it became a barrier to doing good work

Why This Matters

Skipping performance analysis and blaming the individual can damage trust and morale. Worse, it can lead to resignations from talented employees who feel unfairly treated.

Taking the time to analyze the whole system—not just the performer—shows leadership, builds credibility, and leads to better outcomes.

Adapted from: Leadership Whack-A-Mole: Actionable Strategies for Leadership Challenges. © 2024 Ric Shriver and Jeff Fierstein. To learn more about the book, peruse this website or click on the banner below.

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