The New Economy of the 1990s brought much that was new and refreshing to work — casual office culture, enthusiastic employees, nonhierarchical leadership principles. It also led to excesses (on-site personal fitness trainers, luxury cars, stratospheric salaries for unseasoned managers, stock options for everyone) that topped even the avarice of the 1980s. That party is over, for now. Internet entrepreneurs (the few that are left from headier days and the latest entrants) are more restrained. Corporate leaders are reverting to classic styles of leadership. In Europe, CEOs such as Gunter Thielen of Bertelsmann AG and Jürgen Dormann of ABB Group are concentrating on basic tasks: business and cost consolidation, reorganization, shifting of strategic priorities, and rebuilding.
|“Many younger executives have discovered that you can’t be innovative and effective if you’re always at the mercy of your passions.”|
No. The truth is, leadership styles are always evolving, with newer elements complementing more traditional ones. Increasingly, senior executives, even entire corporate cultures, are combining classic leadership values, such as discipline, focus, and execution, with more contemporary values, including openness, a greater emphasis on the quality of communication, and naturalness. This bodes well for the future of all companies.
In many ways, it’s unsurprising that the integration of a new, younger generation of leaders into archetypal industrial enterprises is producing new leadership methods. It remains to be seen, though, whether this trend will include continued appreciation for one of the most beneficial shifts in business culture to occur during the 1990s — a greater tolerance and respect for expressing emotion and personal values, even spirituality. As Anselm Grün, a German Benedictine friar who is the business manager of the Abbey of Münsterschwarzach in Germany and an author of many books, writes: Only the one who “is able to find his peace inside himself, and in God, may create an atmosphere of peace around himself making employees feel well and enabling them to enjoy their work.” Grün, who oversees 20 companies owned by the Benedictine order, is also an acclaimed writer in Germany, with a strong following among German CEOs.
|“The new leadership combines classic leadership values, such as discipline and focus, with contemporary values of openness naturalness.”|
The New Sobriety
Neither Fox nor Grün would argue that the restlessness and tempestuousness characteristic of younger men and women who came of age as business leaders in the New Economy’s first decade is an appropriate way to lead for most companies. Indeed, many of the companies led by such executives discovered that you can’t be innovative and effective if you’re always at the mercy of your passions. Creative free spirits must also be productively guided by discipline, purpose, and accountability. “Be able to lead yourself before you lead others,” Grün writes.