Agenda

• Leadership and Challenges

• The Matrix of Change: An evolution of QFD

• How to select our Leader?

• How to create leaders using Virtual

Simulation?

• Conclusions

Research Idea

Research Idea

$14 billion annually are spent by US companies on leadership

development

$14,000,000,000/YEAR only in the US

Research Idea

• The cost of customized leadership-development offerings from

a top business school can reach $150,000 a person.

$150,000 a person

Research Idea

• Five Hundred Managers ranked leadership development as a

future and very important priority.

Current Leadership Development Feedback (just

5% of participants… noticeable change...)

Future Priority

And Power Point with so many

ideas… very boring…

Steve Jobs

Challenges: Being a leader, Classification of

leadership, Selecting our leaders, and

Creating leaders• Steve Jobs was called the classic “comeback kid of the PC”.

• Jobs has a vision of pasion, but no skills to build a stable Apple

Organization. He had to abandon Apple in 1985.– “the worst technological leader of the history”.

• Then, Jobs started NeXT, bought Pixar Animation Studies and in

a sistematic way … they became amazing organizations…

And he cameback to Apple.– Many people doubted about this “comeback.”

• Jobs died in 2011 and now:– “the best technological leader of the history”.

What is leadership?

Leadership is the ability to

influence others toward the

achievement of goals

Leadership and Management

Leadership may sound like another name for management,

but the terms are generally viewed as distinct.

Management aims to give consistency and order to

organizations; leadership seeks to provide constructive and

adaptive change.

Management is directed toward coordinating activities in

order to get the job done; leadership is concerned with the

process of developing mutual purposes.

Management relies more on a one-way authority relationship,

while leadership relies more on a multidirectional influence

relationship.

“Managers are people who do things right and leaders are

people who do the right things.”

Leadership Styles

Charles Pellerin - Experience

Social Contexts and

Behavioral Norms

Willing & Energizing

Collaboration

AddressingShared

Interests

Sustained, Effective Creativity

ExpressingReality-based

Optimism

Perceiving “Magical”Solutions

Being 100%

Committed

Outcome Focuswith no Blamers

or Victims

ResistingBlaming &

Complaining

Clear and Achievable Expectations

Clarifying Roles, Accountability& Authority

ExpressingAuthentic

Appreciation

Mutual Respect &

Enjoyable Work

Appropriately Including

Others

High Trustworthiness

& Efficiency

Keeping AllYour

Agreements

Authenticity& Aligned,

Efficient Action

Leadership Styles- The right

application is to use all of them at

the right time (the KEY)

Jack WelchIncreased the value of GE by 40x…

Today… 561 Billion Dollars

(value of GE in 2000 – 400Billion $)

Steve JobsApple is almost

725 Billion Dollars (2/2016)

And the Number 1 Brand (2016)

Leadership Styles- The right application is

to use all of them at the right time (the

KEY) – some examples are just outliers…

We have been learning that…

We can teach leadership in engineering

We are still learning…

• Engineering?

• Gender?

• Culture?

We are still learning…

• Engineers

Example… An engineer is

orange (in particular in

USA).

Very systematic… and they

enter orange to the

University

and they … leave

orange!!!!!

We are still learning…

• Women

INSEAD (France) – Analysis of

thousands of 360 degree

evaluations.

This analysis has shown that

women tend to outshine men in

all areas except one: vision.

More with INSEAD…Blue is key to the Higher

levels. Very important to be Blue

• Unfortunately, this

exception is big. In the

upper levels of

management:– the ability to see opportunities

– create strategies based on a

broad vision of the company,

– and inspire others

– Is a “must” to have it.

The two leading candidates for the Democratic

nomination for the US presidency in 2008 provide

an instructive parallel

Hillary Clinton

• Hillary Clinton, was seen as a

kind of leader who achieves

goals and an impressive ,

something boring career…

studying and taking care of the

details .

Barack Obama

• Barack Obama was seen as a

charismatic visionary who

provides a lot of hope, but

little details of the future.

The good news is…

We can teach leadership

Therefore, we must teach our

students to reach beyond the stars!

We are still learning…

• Engineers?

• Gender?

• Culture?

• Age and experience?1. They have been

exposed to several

situations…

(NOT EVERYBODY)

2. Feedback provided…

accepted…

learning occurred

(NOT EVERYBODY)

Agenda

• Leadership and Challenges

• The Matrix of Change: An evolution of QFD

• How to select our Leader?

• How to create leaders using Virtual

Simulation?

• Conclusions

The Matrix of Change (MOC)

• It helps identify important interactions and conflicting criticism within an existing organizational system;

• It helps identify the problems with the transition of existing processes to a proposed organizational system proposed;

• It can provide valuable insights related to:

– Alternatives, feasibility , sequence , location, and speed of the project.

• http://ccs.mit.edu/moc/

Matrix of Change (MOC)

Matrix of Change - Components

Interactions

• The team creates the horizontal triangular matrix to identify complementary or competing practices.

Transition

• The team builds the

transition matrix - a

square matrix that

combines horizontal

and vertical arrays that

helps determine the

degree of difficulty in

the transition from

current practices to

desired ones.

Final Matrix

Agenda

• Leadership and Challenges

• “The Matrix of Change: An evolution of QFD

• How to select our Leader?

• How to create leaders using Virtual

Simulation?

• Conclusions

Organizations do their very best to hold on to good managers.

CEO’s at the biggest companies in the world are given incredible salaries and excellent benefits, including stock options, to insure that they will stay with their company.

It is very hard to find a good replacement for a great executive.

GE and Jack Welch

This has been clearly demonstrated when Jack Welch, former CEO of General Electric, stepped down after 20 years in the position.

Under Welch’s leadership;◦ GE’s worth increased by $400 Billion

◦ It became the most valuable corporation in the world. (Storrs, 2006)

GE and Jack Welch

When Jeff Immelt took over, GE’s stock was at $40 a share

10 years later that figure dropped by 50% and the company had long lost its title as being the most valuable company in the world. (Colvin, 2011)

GE and Jack Welch

Jeff Immelt first day as CEO was only four days before the September 11th attacks. ◦ GE’s Insurance business lost $600 million in one day.

Jack Welch took GE to the next level multiple times. Where could Jeff Immelt possibly take it?

But… Immelt’s transition to CEO is considered by many to be an excellent textbook example.

The problem of succession planning is that; it is not such a concrete dilemma, the factors are, at times, very ambiguous.

No scientific method has been developed to tackle this problem and as a result organizations continue to have mixed results.

◦ How does one measure and rank a CEO’s

Perception of innovation?

Level of influence on stakeholders and employees?

Ability to work with and adapt to various cultures?

◦ How do board members use these factors to decide who they want to see as the next managing executive at their company?

• Yahoo! was the most recognized brand in the industry of

search algorithms .

• But several competitors began offering a full range of products

and services and eclipsed Yahoo!

• In early 2013 the market share of this industry was distributed

as follows:

– Google ( 77.3 % )

– Microsoft (9.0 % )

– Yahoo! ( 8.8 % )

Case Study: Yahoo!

• They have been working hard… to diversify their portfolio.

• Summary of Yahoo! Products and services:

Case Study: Yahoo!

• (2010-2011) In two years Yahoo! had gone through five CEOs.

• More recently were 130 days of Scott Thompson in 2012 where

he began a much-criticized 14% reduction in the workforce of

Yahoo and received $ 7 million in compensation.

• Thompson was replaced by Vice President Ross Levinsohn for

two months until the former Google executive Marissa Mayer

took over the situation.

Case Study: Yahoo!

• Marissa Mayer Profile:Marissa Mayer is 39 and was for a long time Google

executive until he was named CEO of Yahoo

three years ago. It was the twentieth employee

of Google, the net value of Marissa Mayer is an

impressive $300 million. While at Google ,

Mayer was crucial in the development of

products such as Gmail , Google Maps, Google

Earth and more.

Mayer graduated with honors from Stanford

University with a degree in symbolic systems

and MS in computer science . For both

degrees, she specialized in artificial

intelligence. In 2009, the Illinois Institute of

Technology granted Mayer an honorary

doctorate in recognition of hes work in the

field of search algorithms.

Case Study: Yahoo!

• The first initiatives of Marissa at Yahoo!:

1. Rationalization of Smartphone and

tablet interface to match the

desktop version

2. More than 18 acquisitions to

become more competitive in the

distribution of content , social

networking and mobile

applications.

3. A policy of non-work from home

that was widely criticized for

boosting morale and improve

productivity.

Case Study: Yahoo!

Case Study: Yahoo!

• August 22, 2013: it was announced that Yahoo had surpassed Google in Internet traffic and is once again the number one website in the United States.

And that reminds us of…

• One of the Rules for

success in Engineering: The

new graduate makes

his/her "brand" within the

first two years of working in

a corporation.

• Machiavelli - and his book

The Prince.Mckinsey 2015

What makes a CEO exceptional?

Mckinsey 2017• “Our focus was on

the top 5 percent of

the CEOs in our

sample as a whole

whose companies’

returns to

shareholders had

increased by more

than 500 percent

over their tenure.”

Agenda

• Leadership and Challenges

• The Matrix of Change: An evolution of QFD

• How to select our Leader?

• How to create leaders using Virtual

Simulation?

• Conclusions

Autocratic Leader

Some of the Results

Agenda

• Leadership and Challenges

• The Matrix of Change: An evolution of QFD

• How to select our Leader?

• How to create leaders using Virtual

Simulation?

• Conclusions

Conclusions

• Leadership is important ... and in

technology and engineering … of

course!

• We must learn to use all dimensions

and think globally.

• Strategy and execution go together.

• The MOC help us plan before

introducing projects and also offers a

mechanism to decide our leader.

Steve Jobs

Challenges: Being a leader, Classification of leadership,

Selecting our leaders, and Creating leaders

• Blue is Blue!• Vision and Creativity … not so equal