Saturday, February 12, 2011

OMG - Tyrant!!!!

Whether on the world stage or within organizations, tyrants are motivated by their personal drive for self-preservation. This is at the cost of progress, open discussion and the well-being of the jurisdictions or institutions that they run.

Generally tyrannical rule is short sighted and based on fear. Although there may seem to be an illusion of stability under ironfisted leadership, in reality these structures are generally unsound and can’t withstand the inevitable dynamic of change.

As we see world events unfold in recent weeks, organizations and their boards of directors can learn some valuable lessons on the cost of tolerating dictatorial style leadership by their CEO’s or senior managers.

A tyrannical leader fears criticism or dissent and will shut down vehicles that facilitate the flow of ideas, whether this is a ‘kill switch’ of the internet, or halting regular and open staff meetings.

Thus progress, creativity, entrepreneurship and the vital early warning of potential problems, that act as a corrective feedback loop for any system, are thwarted.

Processes and tools within a system under this type of governance tend to go unmaintained, as change is something tyrants like to avoid rather than embrace. People farther down the hierarchy are fearful of raising red flags or making suggestions for improvements. As a result processes stagnate and tools become out-of-date.

Tyrants will try to hold onto power at any cost and are interested in their own well-being rather than those that they lead. Thus their decisions are highly suspect especially if they feel some threat to their personal authority.

As with a totalitarian regime, an organization tainted by a tyrannical CEO, has compromised the integrity of its internal resources, such as the HR department or the Finance Department. As these are part of the intimidating culture they often colluded with it rather than fulfilling a role of checks and balances to ensure fairness, transparency and integrity.

The younger generation, accustomed to a free flow of ideas in university and through social media, expect to have enlightened wise and intelligent leaders in the workplace. They don’t tolerate the iron rule and will quickly leave an organization where people are expected to be submissive rather than innovative.

Once a tyrant always a tyrant. These people cannot change through coaching, advice or warnings. They have a deep-seated fear of losing control over others and cannot reform or be trusted to change their ways. The only effective way to deal with a tyrant is to remove him/her from a position of power.

Organizations that have been run by a tyrant-style CEO are much more likely to see history repeat itself. The culture of the organization imprints with all the ills that a tyrant imposes on it, including fearfulness, low morale, high turnover, mediocre leadership and lack of real accountability at all levels.

Even if steps are taken to remove an ironfisted leader, very often the successive incumbent ends up being a tyrant as well. This is because the board of directors unconsciously chooses a person of the same ilk, and because they as board members neglect to conduct an evaluation of their own governance style, processes and values that have led them to tolerate a tyrant in the first place.

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