Retail Observer

RETAILOBSERVER.COM MARCH 2017 36 A s those of you who read my column regularly know, I often write about leadership. Over the years, I've shared many examples of stellar leadership—the kind that develops a shared vision with such passion that those around him become obsessed with achieving it. Think Bill Gates whose mission to put a computer on every desk in America was met with IBM's findings in their study that the world-wide market for personal computers was only a few hundred. Forbes list of the World's Greatest Leaders include Fred Smith, CEO of FedEx whose vision as a graduate student became the reality of overnight delivery; Howard Schulz founder and former CEO of Starbucks who has made coffee drinking a culture; Ellen Kullman CEO, DuPont who is the first woman to head the 212-year-old company. Kullman took over as a dismal 2009 began and by year-end had publicly vowed to raise earnings over three years at a 20% annual compound rate. She did 24%, as she accelerated a major strategic change—"and nobody likes change," says a colleague—that downplayed chemicals and positioned agriculture and nutrition to power DuPont's third century. And there's 18-year-old Malala Yousafzai internationally-recognized advocate for education rights who first stood up to the Taliban when she was 11. A fierce and outspoken defender of a female's right to education, the Swat Valley schoolgirl was shot by them four years later aboard her school bus. The senseless act stunned the world, just as her recovery and continued activism—despite more death threats—have drawn many to her cause. It's no surprise that the Forbes list also includes Pope Francis and Warren Buffett. Poor leadership has caused business failures, military losses, coups and revolutions and management turnover. We've all seen the results of woeful leadership committed to doing things the same way they've always been done. I've just found something even worse than bad leadership— no leadership. I'm working with a group of old friends to plan the 50th reunion of our high school graduating class. (Yes, I am that old!) I made it clear in the first message I sent to the group that I'd happily help but I had no interest, time or inclination to chair the event. In the six months since I sent that first message we've made some progress but it's not enough. I did call the one meeting we had and hosted it at my home. We have chosen a date and a venue but we're way behind in the major things that need to be done. We've only found 80 of our 879 classmates—not a hard job with the online tools available today, but tedious and time-consuming. We've raised $1800 of the $7500 in seed money we need to move the event forward. The folks on our committee are educated, active and energetic. They are community leaders, lawyers, professionals, doctors and successful business owners. Some are retired from great careers and enjoying the benefits of their hard work. But none of us is motivated to lead this effort. And so it is lumbering along. If someone doesn't step up quickly we may have the smallest, most low-key reunion in history. I've seen many examples of similarly rudderless companies in our industry. In many cases, formerly energetic leaders are burned out and tired. Unable to develop a succession plan, their stores fall into a slow freefall to the bottom. Other leaders were put into their positions because of family ties. Their lack of enthusiasm comes with their lack of interest in retailing. They'd rather be somewhere else doing something else. In some cases, once great leaders have stopped being successful. In publicly-held companies, unsuccessful leaders are replaced; in closely-held businesses top positions are almost lifetime appointments. I've seen countless sales managers fail because their skills as the top sales leader didn't translate into managing other sales associates. Their teams essentially have no leader. Where do you and the other leaders fall on the leadership spectrum? Are you a great leader with people around you eager to come to work every day? Are you a poor leader headed for certain failure? Or is your company completely lacking in real leadership? If so you may stumble along until someone steps up to the plate. Or your business will reflect its lack of leadership with no clear direction and no plan of action, continually moving from one priority to another one seemingly without reason. Honest assessment of your company's leadership quality is the first step in ensuring that you have a solid business. As the proverb says "the fish stinks from the head." Elly Valas is an author, speaker and retail consultant. She can be reached at elly@ellyvalas.com or 303-316-7568. Elly Valas Retail Views RO WHEN NO ONE LEADS

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