Authentic Leadership
Bill George
The Big Idea
The author expounds on what he considers to be the cause of the current leadership crisis --- a crisis
that is apparent in the business world. Looking back on his thirty years of experience as a corporate
executive, the author offers authentic leadership as a means for building people and companies
capable of making a positive contribution to the world.
Introduction:
Where Have All the Leaders Gone?
The cases of Enron and Arthur Andersen have shaken the world awake. Meeting the criterion of
security analysts has become a top priority creating pressures which have caused some to err. It is
evident that a new kind of leadership is required.
Part One: Becoming an Authentic Leader
Chapter One: Leadership is Authenticity, Not Style
An authentic leader is himself, not some image created to please the media. An authentic leader is a
person of character, of integrity, possessed by a desire to serve others.
The Authentic Leader
Being Your Own Person
Developing Your Unique Leadership Style
Being Aware of Your Weaknesses
The Temptations of Leadership
Dimensions of Authentic Leaders
Understanding Your Purpose
Practicing Solid Values
Leading with Heart
Establishing Enduring Relationships
Demonstrating Self-Discipline
Chapter Two: The Transformation of Leaders
The many years of personal development, experience, and hard work grow the authentic leader.
In the Crucible
Shooting Stars and Golden Boys
My Journey to Leadership
o Coping with Tragedy
o "Hitting the Wall"
o Finding the Right Place
Developing as an Authentic Leader
o Passion for Your Purpose
o Being True to Your Values
o Developing Compassion
o Connected Relationships
o Practicing Self-Discipline
Reflections on the Journey
Chapter Three: Leading a Balanced Life
There is more to life than just work.
A Balanced Life Makes You a Better Leader
Being Authentic in All Aspects of Your Life
Work and Family Life
Managing Dual Careers
"Hitting the Wall" at Home
Finding that Delicate Balance
Raising a Family
Friendships
Mentoring
Community Service
The Authentic Life: Putting It All Together
Part Two: Building an Authentic Company
Chapter Four: Missions Motivate, Dollars Don't
Companies with a passion for fulfilling their missions produce more shareholder dollars than
companies with a passion only for money.
Valuing the Corporation
The Essential Ingredient: Employee Motivation
The Flaws in Maximizing Shareholder Value
The Path to Long-Term Shareholder Value
o "Alleviate Pain, Restore Health, and Extend Life"
o Living by the Mission
o The Mission-Driven Approach Works for All Companies
Chapter Five: Values Don't Lie
With skillful leadership, it is possible to create and sustain a company culture that is both valuescentered and performance-driven.
Inculcating the Values
Deviating from Your Values Can Be Costly
Can the Values-Centered Culture Achieve Peak Performance?
o "It's the Way We've Always Done It . . ."
o Raising the Bar
o Creating the Cultural Changes
Chapter Six: It's the Customer, Stupid!
Superior customer service is still key to the generation of company revenue. Customers are not a
problem to be manipulated.
Learning Medtronic's Business Firsthand
Customer-Focused Quality
The Heart of the Matter
Celebrating the Customer
Infusing Passion for Customers
Chapter Seven: It's Not Just the CEO
Great corporations are built and maintained by great teams. That the CEO should take solo credit for
the success of a corporation is a myth.
Great Teams Create Great Companies
o Baptism by Fire . . . at Age Twenty-Seven
o The Executive Office: A Partnership for Leading
o The Team at the Top
Diversity Isn't About Quotas
Building Organizational Depth
Chapter Eight: Whose Bottom Line: Customers or Shareholders?
The ultimate results are the indicators of leadership success.
Stakeholders and the Bottom Line
Applying the Stakeholder Model
Part Three: In the Crucible of the Market
Chapter Nine: Seven Deadly Sins
A state of decline is not a natural phenomenon.
Pitfalls to Growth
Pitfalls to Sustainable Growth
o
o
o
o
o
o
Pitfall #1:
Pitfall #2:
Pitfall #3:
Pitfall #4:
Pitfall #5:
Pitfall #6:
Lack of a Clear Mission
Understanding Your Core Business
Depending on a Single Product Line
Failure to Recognize Technology and Market Changes
Changing Strategy Without Changing Culture
Going Outside Your Core Competencies
Pitfall #7: Counting on Acquisitions for Growth
Sustaining Growth
o
Chapter Ten: Overcoming Obstacles
Nothing Can Stand in Your Way
Overcoming Barriers
Gaining Market Access
o A Creative Inventor Spurned
o A Trip to the Supreme Court
o A Landmark Agreement
Not So Fast! The Challenges of FDA Approval
o And Now --- To Market Losing the Lead
o . . . and Battling Back
Chapter Eleven: Ethical Dilemmas
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When in Rome, Don't Follow the Romans
Confronting a Public Crisis
An Ethical Challenge in Europe
A Crisis in Japan
When in Rome? Ethical Dilemmas and Global Standards
Chapter Twelve: Innovations from the Heart
Industry has gone from the efficient use of people's hands to the efficient use of people's brains.
Success in the 21 st century will require the efficient use of people's hearts.
Passion Begets Innovation
The Story of Gleevec
"Reinventing Medtronic"
o An Uncommon Miracle That Began with "Failure"
o Yet Another Miracle: This Time for Parkinson's Disease
o Obsoleting Your Business
Innovation Begets Transformation
Chapter Thirteen: Acquisitions Aren't Just About Money
Reliance on acquisitions rather than internal growth for a company's expansion can result in
problems.
From the Brink of Disaster to Transformation
o Moving Ahead
o Facing the Angioplasty Challenge
o Weaving the Pieces Together
Reflections
Chapter Fourteen: Shareholders Come Third
"Companies that put their customers first and empower their employees to serve them will inevitably
provide greater growth in shareholder value than those corporations that focus primarily on getting
their stock price up and only give lip service to other constituencies."
Customers
Employees
Shareholders
o Focus on the Long Term
o Making the Numbers
o Transparency
o Managing Securities Analysts' Expectations
o Media
o Regulators and Government Officials
o Communities
Stakeholder Reflections
Part Four: Beyond the Bottom Line
Chapter Fifteen: Governance Is Governance
Legislating Corporate Governance
What Goes on Inside the Boardroom
A Blueprint for Improved Governance
o Governance Principles
o Governance Committee
o Composition of the Board
o Executive Sessions
o Assessing Performance
o Functioning of the Board
o Board Chemistry
Chairman and CEO: Two Positions or One?
The Delicate Power Balance
When It's Time to Change Leaders
Good News in Governance
Chapter Sixteen: Sticking Your Neck Out
Sometimes, changes can be sooner effected through public advocacy.
A Crucial Meeting at the FDA
The Change Agent at the FDA
The Pressure Begins the Build
o An Intervention by Congressman Dingell
o Tête-à-Têtes with Dr. Kessler
FDA Reform: Not a Minute Too Soon
Looking Back on "Going Public"
Chapter Seventeen: Preparing for Succession . . . and Moving On
An authentic leader intentionally prepares his own successor, and prepares him well.
What Causes Flawed CEO Selection?
A Succession Failure of My Own
o My Time at the Helm
o Transition Time
o . . . and Moving On
The Final Day
Epilogue: If Not Me, Then Who? If Not Now, When?
What is Your Unique Calling?