Organizational Transformation Through Spiritual Leadership · • to foster higher levels of...

Maximizing the Triple Bottom Line

Through Spiritual Leadership

Louis W. (Jody) Fry PhD

[email protected]

[email protected]

http://www.iispiritualleadership.com

AGENDA

• Introduction

• Definition of Leadership

• Spirituality and Religion

• Definition of SRW

• Review of Spiritual Leadership Model

• Spiritual Leadership Survey Example

• Questions

3

Published by Stanford U. Press Published by IAP

LEADERSHIP

“Leadership is the art of

mobilizing others to want to

struggle for shared

aspirations”

Kouzes and Posner 2003

Spirituality

A person’s spirit is the vital principle or animating force

traditionally believed to be the intangible, life affirming

energy in oneself and all human beings.

For our purposes “The Spiritual Journey” will refer to

the quest for self-transcendence (moving beyond one’s

egoic self) and the attendant feeling of

interconnectedness with all things in the universe.

Religion

Spirituality is most often viewed as inherently personal, although it can reside or manifest in groups and organizations. From this perspective a religion is an institution which has formed and evolved over time around the spiritual experiences of one or more founding individuals that also provides the context for leadership based upon the beliefs and practices inherent in that religion.

RELIGION & SPIRITUALITY

Loving and serving others lies at the heart of

the world’s spiritual and religious traditions.

The common bridge between spirituality and

religion is Altruistic love – regard or devotion

to the interests of others. In religion this is

manifested through the golden rule.

Spirituality & Religion in the Workplace

SRW focuses on the satisfaction of three universal spiritual needs: an inner life that nourishes and is nourished by calling or transcendence of self (other-centerdness) within the context of a community in a way that provides feelings of compassion and joy.

Spirituality & Religion in the Workplace

There is a growing body of evidence that workplace spirituality programs not only lead to beneficial personal outcomes, such as increased positive human health and psychological well-being, but that they deliver improved organizational outcomes including, employee commitment, productivity and reduced absenteeism and turnover, are more flexible and creative as well as a source of sustainable competitive advantage.

Benefiel, M., Fry, L. & Geigle. (2014). Spirituality and religion in the workplace: History, theory, and research. Psychology of Religion and Spirituality, 6, 4, 175-187.

SPIRITUAL LEADERSHIP

Spiritual leadership involves intrinsically motivating workers through hope/faith in a vision of service to key stakeholders and a corporate culture based on altruistic love so that, collectively, we have a sense of calling and membership – that our lives have purpose and meaning and we feel understood and appreciated.

SPIRITUAL LEADERSHIP

The purpose of spiritual leadership is to:

• tap into the fundamental needs of both leader and follower for spiritual well-being through calling and membership;

• to create vision and value congruence across all organizational levels; and

• to foster higher levels of employee well-being, organizational commitment and productivity, social responsibility, and performance excellence – the triple bottom line (People, Planet, Profit)

Extrinsic vs. IntrinsicMotivation

EXTRINSIC

MOTIVATION= EFFORT PERFORMANCE REWARD

(GIVE ME A REWARD TO WORK)

INTRINSIC

MOTIVATION= EFFORT PERFORMANCE

REWARD

(MY WORK IS MY REWARD)

Qualities of Spiritual Leadership

Vision (Performance)

•Broad appeal to key Stakeholders

•Defines the Destination and Journey

•Reflects High Ideals

•Encourages Hope/Faith

•Establishes a Standard of Excellence

Altruistic Love (Reward)

•Forgiveness

•Integrity

•Honesty

•Courage

•Humility

•Kindness

•Empathy/Compassion

•Patience

•Trust/Loyalty

Hope/Faith (Effort)

•Endurance

•Perseverance

•Do What It Takes

•Stretch Goals

•Expectation of Reward

•Victory

Initiated by the developing a vision that vividly portrays a journey of service to key stakeholders which creates a sense of calling.

Implemented through a culture and ethical system based on the values of altruistic love that creates a sense of membership.

Enables/supports employees’ inner life or mindful practice to help them be more self-aware and conscious from moment-to-moment and draw strength from their spiritual or religious beliefs, be that a Nondual Being, Higher Power, God, or philosophical/ethical teachings .

14

Spiritual Leadership

Spiritual Leadership Spiritual TripleWell-Being Bottom

Line

Employee Engagement

Organizational Commitment

Organizational Productivity

Life Satisfaction

Social Responsibility

Performance Excellence

CALLINGMake a Difference

Life has Meaning/

Purpose

MEMBERSHIPBe Understood

Be Appreciated

HOPE/

FAITH VISION

ALTRUISTIC

LOVE

INNER

LIFESpiritual/Mindful

Practice +

++

+

+

+

+

+

+

+

Mindfulness as a Source of Spiritual Leadership

Mindfulness Exercise

Mindfulness in the Age of Complexity – HBR March 2014

Benefits of Mindfulness –Better Performance, Better focus and memoryHigher levels of creativity and innovationLess judgmental and more compassionate

A number of studies using multiple measures have found SRW and

spiritual leadership (SL) to be positively related to organizational

commitment, job satisfaction, productivity, and other measures of

performance

In addition, empirical research has demonstrated that measures of SRW

and SL are significantly related to altruism and conscientiousness; self-

career management; reduced interrole conflict; reduced frustration;

organization based self-esteem; involvement; retention; and ethical

behavior. These results are consistent across various countries and

cultures, including Brazil, China, India, Iran, Malaysia, Pakistan,

Taiwan, and the United States.

Research on SRW and Spiritual Leadership

The Spiritual Leadership Balanced Scorecard Business Model provides a process for fostering the development of the motivation and leadership required to maximize the triple bottom line (People, Planet, Performance Excellence).

Maximizing the Triple Bottom Line through


Spiritual Leadership as the Keystone for the Triple Bottom Line

19

Spiritual

Leadership

Organizational

Commitment

Productivity

Quality

Customer

Satisfaction

Financial

Performance

Human

Dignity

Calling

Membership

Corporate

Social

Responsibility

People & Planet

Well-Being

Performance

Excellence

SPIRITUAL LEADERSHIP BALANCED SCORECARD &

BALDRIGE - BASED BUSINESS MODEL

Callin

gMake a

DifferenceLife Has

CallingMake a Difference

Life Has MeaningCommitmen

t

Performanc

e (Vision

)

Performance

(Vision)

Membershi

pBe

UnderstoodBe Ap

MembershipBe Understood

Be Appreciated

Rewar

d(Altruistic

Love

Reward(Altruistic Love)

Effor

t(Hope/Faith

) Work

Effort

(Hope/Faith)

Works

Mission &

Visio

n

Mission &

Vision

Internal &

External

Analysi

Internal &

External

Analysis

Strategy &

Objective

s

Strategy &

ObjectivesImplementatio

nImplementation Evaluat

eEvaluate

Strategic Management Process

Leading Indicators/Managing Metrics Outcome Indicators/Strategic Performance Indicators

Customer

Satisfactio

n

Stakeholder &

Customer

Satisfaction

Financia

lPerformanc

e

FinancialPerformance


Process

Outputs:

Qualit

yDeliver

Outputs:

Quality

Products &

Service

Processe

s

ProcessesInputs

Scorecard

Inputs

Input/Output Model

Kaplan & Norton

Balanced

Scorecard

Performance

CategoriesOrg Commitment

Member Well-Being

Corporate Social

Responsibility

Learning &

Growth

Cat 2

Cat 3

Cat 1

Cat 7

Cat 5

Cat 6

Cat 4

Establishing a Baseline through the

Spiritual Leadership Survey


The spiritual leadership survey has been extensively tested and validated for over 14 years and is used to establish a baseline for the variables in the spiritual leadership model. The survey, usually administered in intervals of 12 to 24 months, also identifies key issues that, if addressed through organizational transformation/development interventions, will move the organization to the next level of performance.

Gender

0

10

20

30

40

50

60

70

80

90

100

Female Male

%

Generation

0

10

20

30

40

50

60

70

80

90

100

27 or younger

28-40 41-60 61 or older

%

Tenure

0

10

20

30

40

50

60

70

80

90

100

Under 6 Mo 6 Mo thru 2 Yr 3 thru 8 Yrs Over 8 Yrs

%


• Consists of 40 items that measure Spiritual Leadership Theories’ Nine Variables.

• Utilizes a 1-5 response set that ranges from strongly disagree, disagree, neutral, agree, to strongly agree.

• For the bar graphs:1. Averages are given in the lower right corner

(possible range is from 1-5).

2. Strongly disagree/disagree, and agree/strongly agreecategories are combined to give percentage of respondents who agree, are neutral or disagree.


For high levels of spiritual leadership, the response averages for all variables should be above 4.00 and the agree percentages above 60%

Inner LifeThe extent to which one has a spiritual or mindful practice

28

Inner Life Questionnaire Items:

1. I seek guidance on how to live a good life from people including the wisdom of people I respect, of great teachers/writings, and from my Higher Self or a Higher Power.

2. I maintain an attitude of gratitude even when faced with difficulties.

3. I maintain an inner life or mindful practice (e.g., spending time in nature, prayer, meditation, reading inspirational literature, yoga, observing religious traditions, writing in a journal).

4. I have compassion for the hopes and fears of all people, regardless of how they view the world based on their culture and past experiences.

Inner Life

0

10

20

30

40

50

60

70

80

90

100

%

Disagree Neither Agree

Average

Dept 1 - 4.21

Dept 2- 4.24

Dept 3 – 4.02

Vision – Answers three questions:

What is our journey?Why are we taking it?

Who are we and what do we do?

Vision Questionnaire Items:

1. I understand and am committed to my organization’s vision.

2. My organization has a vision statement that brings out the best

in me.

3. My organization’s vision inspires my best performance.

4. My organization’s vision is clear and compelling to me.

Vision


%Average

Dept 1 - 4.17

Dept 2 - 4.24

Dept 3 - 4.12

0

10

20

30

40

50

60

70

80

90

100

Hope/FaithThe belief/conviction that things hoped for (the vision), but

yet unseen or proven by evidence, are true.

Hope/Faith Questionnaire Items:

1. I have faith in my organization and I am willing to “do what it

takes” to insure that it accomplishes its mission.

2. I persevere and exert extra effort to help my organization

succeed because I have faith in what it stands for.

3. I set challenging goals for my work because I have faith in my

organization and want us to succeed.

4. I demonstrate my faith in my organization and its mission by

doing everything I can to help us succeed.

Hope/Faith

0

10

20

30

40

50

60

70

80

90

100

%


Average

Dept 1 - 4.23

Dept 2 - 4.27

Dept 3 – 4.31

Altruistic LoveA sense of wholeness, harmony, and well-being PRODUCED

through care, concern, and appreciation of BOTH self and others.

Altruistic Love Questionnaire Items:

1. My organization is kind and considerate toward its workers, and

when they are suffering, wants to do something about it.

2. The leaders in my organization “walk the walk” as well as “talk

the talk”.

3. My organization is trustworthy and loyal to its employees.

4. The leaders in my organization are honest and without false

pride.

5. The leaders in my organization have the courage to stand up

for their people.

Altruistic Love

0

10

20

30

40

50

60

70

80

90

100

%


Average

Dept 1 - 4.39

Dept 2 - 4.44

Dept 3 – 3.79*

Meaning/Calling A sense that one’s life has meaning and makes a

difference.

Meaning/Calling Questionnaire Items:

1. The work I do is very important to me.

2. My job activities are personally meaningful to me.

3. The work I do is meaningful to me.

4. The work I do makes a difference in people’s lives.

Meaning/Calling

0

10

20

30

40

50

60

70

80

90

100

%


Average

Dept 1 - 4.13

Dept 2- 4.17

Dept 3 – 3.98

MembershipA sense that one is understood and Appreciated.

Membership Questionnaire Items:

1. I feel my organization appreciates me, and my work.

2. I feel highly regarded by my leadership.

3. I feel I am valued as a person in my job.

4. I feel my organization demonstrates respect for me, and my

work.

Membership

0

10

20

30

40

50

60

70

80

90

100

%


Average

Dept 1 - 4.26

Dept 2 - 4.30

Dept 3 – 3.85*


Degree of loyalty or attachment to the organization.

Questionnaire Items:

1. I feel like “part of the family” in this organization.

2. I would be very happy to spend the rest of my career with this

organization.

3. I talk up this organization to my friends as a great place to

work.

4. I really feel as if my organization’s problems are my own.

5. I feel a strong sense of belonging to my organization


0

10

20

30

40

50

60

70

80

90

100

%


Average

Dept 1 - 4.18

Dept 2 - 4.25

Dept 3 – 3.78*

ProductivityEfficiency in producing results, benefits, or profits.

Productivity Questionnaire Items:

1. In my department, work quality is a high priority for all

workers.

2. In my department, everyone gives his/her best efforts.

3. My work group is very productive.

4. My work group is very efficient in getting maximum output

from the resources available.

Organizational Productivity

0

10

20

30

40

50

60

70

80

90

100

%


Average

Dept 1 - 4.12

Dept 2 - 4.21

Dept 3 - 3.82*

Life SatisfactionOne’s sense of subjective well-being or satisfaction

with life as a whole.

Life satisfaction Questionnaire Items:

1. In most ways my life is ideal.

2. The conditions of my life are excellent.

3. I am satisfied with my life.

4. So far I have gotten the important things I want in life.

5. If I could live my life over, I would change almost nothing.

Life Satisfaction

0

10

20

30

40

50

60

70

80

90

100

%


Average

Dept 1 - 3.89

Dept 2 - 3.87

Dept 3 – 4.00

Summary • There were no significant differences in the spiritual leadership

variables between Department 1 and Department 2.

• All Department 3 variables were lower than Departments 1 and 2

with the exception of Life Satisfaction. The differences were

statistically significant for Altruistic Love (3.79 to 4.39/4.44),

Membership (3.85 to 4.26/4.30), Organizational Commitment (3.78 to

4.318/4.25), and Productivity (3.82 to 4.12/4.21).

• For generation, the 27 or younger group reported significantly lower

Meaning/Calling than the other age groups (3.84 to 4.05/4.27/4.85).

• Males scored significantly higher than females on Altruistic Love

(4.47 to 4.21), Meaning (4.32 to 3.97), Membership (4.43 to 4.16),

and Commitment (4.37 to 4.11).

Summary of Firm Spiritual Well-Being

CallingM

ember

ship

Independent

Professionals

Hell on

Earth

Contented

Cows Spiritually

Fit

Low

High

Low High

D1D2

D3

CommitmentP

rod

uctivity

Low

High Low High

Chicken

With No

Head

Here for

the Check

Nobody’s

Home

World Class

Summary of Department Performance:

Commitment & Productivity

D3

D1

D2

I feel free to speak my mind on a controversial

topic when I am in the minority

%

Average

Dept 1 - 3.76

Dept 2 - 3.67

Dept 3 – 3.90

0

10

20

30

40

50

60

70

80

90

100


At work my opinion seems to count

%

Average

Dept 1 – 4.09

Dept 2 – 3.99

Dept 3 – 3.68*

0

10

20

30

40

50

60

70

80

90

100


I am excluded from important information

and decisions

%

Average

Dept 1 – 2.47

Dept 2 – 2.65

Dept 3 – 2.27*

0

10

20

30

40

50

60

70

80

90

100


I have a voice in decisions that affect

me and my work

%

Average

Dept 1 – 4.03

Dept 2 – 4.08

Dept 3 – 3.67*

0

10

20

30

40

50

60

70

80

90

100


Summary of Employee Comments

Good points:

• Vision is clear and values are strong.

• The organization does a good job of removing misfits.

• Great place to work. Sense of family. Great clients for the most part.

• Short-timers are very happy.

• Positive moves on maternity leave and mileage reimbursement.


General Themes:

• Silos: Growth and influx of new people has created silos. Difficult to get to know

people. A sense that we have become separate departments versus one big

cohesive family. Everyone just seems to do their own thing.

• Mentoring: System of mentoring not clearly understood. Some variance across

Partners.

• Selection: More reactive than proactive. More focus needed on selecting on

values.

• Voice: Hesitation to speak up and questions things Summary of comments: This

affects innovation in that sometimes challenging ideas or the status quo (e.g., We

are so great and don’t need to change or have no problems) threatens collaboration

and leads to conflict, which is seen as “bad.” Fear of being labeled a “complainer.”


General Themes:

•Beginning of competition. Being the “Best of the Best” rather than all one.

Favoritism.

•Lack of clear steps to get become a successful manager. Need to clearly identify

different career tracks and make sure all are valued equally by the firm, even

though they may have different pay ranges.

•Uncertainty experienced in the different tenure group cohorts and what happens to

those who don’t get promoted.

• Maintaining balance of accountability versus care for each other culture

• Need for increased team building/bonding activities.

What does XYZ Need to do to move employees from

“neither” to “agree” categories and maintain high levels of

the triple bottom line (People, Planet, and Profit) as we grow?

• Leaders and XYZ culture:

– Active program to promote cooperation and collaboration (lifting all boats) versus

competition, especially among those aspiring to become leaders.

– Actively role model seeking to hear people out and promote open dialogue.

– Promote as a value that it is everyone’s responsibility to exercise their voice.

• Implement 360 degree feedback so everyone is able to give and receive feedback,

be heard, and have an opportunity to respond.

• Conduct training on a process for identifying, surfacing, and addressing within and

between departmental issues. This includes understanding conflict styles and

managing conflict and change through collaborative, consensus-based decision

making.

Implementing Spiritual Leadership

• Administer Organizational Spiritual Leadership Survey.

• Conduct Vision/Stakeholder effectiveness analysis with the organization’s leadership team to:

1. Create a dialog for shared organizational vision/purpose/mission/values.

2. Identify stakeholder expectations and issues.

3. Organize empowered teams/task forces around key issues.

4. Develop and implement goals and strategies to address these issues.

5. Review/develop information systems to measure stakeholder effectiveness

57

Implementing Spiritual Leadership

58

• As appropriate conduct skills training in:1. Mindfulness (of Primary Importance)2. Collaborative, consensus-based decision making.3. Managing conflict.4. Managing and overcoming resistance to change.5. Overcoming anger, resentment and fear through

forgiveness, acceptance, and gratitude.

• Align changes with organization design variables,especially reward systems, 360 degree and stakeholder evaluations, and recruiting and selection process.

59

Organization Design Variables

•Scope of data base

•Frequency

•Formalization

•Access

Structure

Reward

SystemPeople

Information

Technology

•Centralization

•Standardization

•Formalization

•Departmentalization

•E P R Motivation

•Compensation

•Promotion

•Leadership Style

•Interdependence

•Variability

•Analyzability/Difficulty

•Recruiting.

•Selection.

•Training.

Cultural

Values

Caring

Integrity Fun

TrustHumility

Patien

ceTask

QUESTIONS

?

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