The Evolution of People Leaders: What They See & What They Miss

Our interest in people leaders and managers continues.

So much so that it was our introductory topic for a recent Chief Learning Officer conference in Boston. As we opened the discussion, we wanted to know if the top learning leaders had the same observations inside their companies as we’ve had as coaches all year.

We asked them to choose the statement below that best represented their companies:

1. Managing people has never been a more challenging role in our company.
2. Managing people is one of the strongest skills we have in our company.
3. Managing people has become a continuous learning curve that we can’t stay ahead of in our company.

Only one attendee felt the second statement fit their company. Everyone else felt statement one or three applied. So, we went a little further.

We asked them to choose the statement below that best represented their people leaders:

1. Our people leaders are set in their ways and frustrated by a broader set of expectations from us and our employees.
2. Our people leaders are inexperienced and haven’t developed the skills needed to manage how employees want to work and what they need to feel valued.
3. Our people leaders are exhausted by trying to stay aligned to demands in our business and expectations of our employees.

The start of our discussion confirmed what we’ve observed for the last few years. People leaders are under pressure and don’t have the right tools or skills to manage all the expectations coming their way.

And while we expected the responses to the opening questions, the discussion surprised us.

Even for those it’s a top pain point, supporting people leaders is not a top priority. Many of these leaders talked about it as an employee problem more than a manager’s challenge. And it validated our biggest observation which is that people leaders are begging for support, and no one has an easy answer. In fact, the pressure on people managers is getting worse.

Gallup measured the changes that people managers said they navigated last year:

• 64% said they were given additional job responsibilities, not promotions.
• 51% said they were restructuring teams.
• 42% said they were managing “budget cuts,” which often has a resource implication.

And the HR teams, for the first time ever, have the highest turnover of any functional area within a company.

Why is this such a gap?

Because companies reset a work model, and a rigor, without a manual. Senior leaders are pushing harder for results, and they don’t have a view of how that gets translated or implemented three levels below.

Remote work has done a lot of good things from reducing costs to expanding talent pools. But it takes more effort in coordination, teamwork and culture. Managers bear much of the responsibility of overcoming those challenges. We didn’t see it in a strong labor market because people just left if they didn’t like their manager. But job hopping has slowed down, and disgruntled employees are staying. Soon, we’ll all feel the frustration inside companies.

Why is it so hard to manage?

Because we introduced so much flexibility during the pandemic that managers don’t have guardrails to put any sort of team expectation back in place. Companies thought flexibility was temporary; employees thought it was permanent. And there continues to be friction to find balance.

Employees say their needs are unmet. They aren’t getting opportunities for development, and managers aren’t delivering on their expectations. And many employees have big expectations. Some are not realistic, but they still create challenging conversations. And companies have a limited view of how their managers handle them.

And why aren’t people managers catching on?

That’s the hardest part. Most people managers would say they are sitting in the middle of a perfect storm…increased demand from the company and higher expectations from employees. They’re trying! They’ve asked us for help handling conversations about:

• Limitless vacation and employees who’ve taken advantage of it.
• Requests for a sabbatical in the second year of employment.
• Employees who don’t like traffic, don’t like mornings, need fitness breaks, quiet rooms, and space away from a difficult colleague.
• Employees who go around managers if they don’t get the approval they want.
• Employees won’t don’t fly, who don’t turn on virtual cameras, who don’t answer cell phones, who don’t always seem to be working.

It’s harder than it’s ever been. Not because employees don’t have needs and expectations. But because the rules have shifted, and the interpretation of those new rules sits squarely with the people managers.

As our conversations continued at the conference, we heard more about gaps within companies and different situations managers were dealing with.

It’s handling conversations, demands and feedback. It’s knowing when to be firm and when to be lenient. And it’s being confident enough to pause and think before you respond.

It put us into coaching overdrive sharing ideas to:

• Reset teams to working as a team, not just as individuals
• Coach a manager to feel confident and stay settled in a challenging conversation
• Communicate a difference in a promotion and a development opportunity
• See, listen, and understand before you solve
• Set the difference in a general expectation and a specific request
• Adopt a conversation model to uncover the WHY underneath a skill or behavior gap
• Define parameters so exceptions don’t evolve into patterns

And while the spontaneous conversations were lively, we can do more than sketch an idea on a napkin! We’ve embraced this challenge, and we’ve developed workshops to help people managers evolve, expand and reinvent their skills. We meet them right in the middle of their experiences and responsibilities, and we coach a new way of communicating options and decisions. And I hope we’ve built confidence to help managers move through the perfect storm.

If your people managers could use a little support, we’d like to learn more about their challenges. And as we continue to talk to companies about building a better manager toolkit, we’re considering different formats which may include an open enrollment program that brings managers from different companies together. Let us know your interest by joining us on a call to explore the topic further.

We’re here when you need us!

Want a free 15-minute consultation with us to see how we can help you or your leaders? Book a call now!

When the Company Story Becomes a Financial One

When a company is up for sale, three key players take center stage: the current investor, the banker and the top executives.

And while the PE firms and the bankers know their roles well, the company leadership team is walking into a setting that’s less familiar to them. As the key spokespeople for the company, they should be the company’s best communicators. And in most settings, they are.

They bring credibility to a big prospect presentation. They add inspiration to an employee all-hands meeting. And they establish buy-in with their current investor and Board on strategies and new opportunities.

But pitching the company as a financial story is something they haven’t done often. And it’s different enough that they lose some confidence and conviction around how to do it well.

Here’s why:

It’s not the way they tell the story. – The storyline is created by the bankers. And it’s much less about solving needs for clients or inspiring a culture behind a vision. It’s focused with a critical eye on the value of the company and the potential that value has to expand in the future. It’s much less about where you’ve been and much more about proving where you could go. It’s a sum of details that have to add up. And it’s a way of positioning the company and assessing it that the founders or current leaders haven’t considered.

It’s heavy on data and details. – Most leaders don’t use slides in a lot of what they do. They’re the inspiring element of the company, so they speak from the heart, they speak from an outline or they speak off the cuff. They do not speak from heavy data slides. So, when the bankers hand over a deck for a management presentation, it’s overwhelming to them. Many leaders say they don’t see “their story” within it.

The story’s there, but it’s a different way of presenting it. It’s full of insights. It’s full of data points. It maximizes landscape with 9 or 10 points on every page. And that’s different than how a business leader has been coached to inspire and engage an audience.

And it’s more of a team effort than they’re accustomed to. – That’s a nuance that matters in communication. Leaders present together, but they stay in their own lanes and talk to their areas of responsibility. They might call it a team presentation, but it’s more five focus areas coming together. In a management presentation, they need to align to the same core messages and the same sound bites. They need to be well-aligned on handling questions so that there is a consistent response and belief across the team.

And it’s the ability to solve those three differences that brought us into the investment coaching space more than a decade ago. The role of the key players remains the same: positioning the company for a successful exit from one investor to another. Our role is an added addition: helping the communicators, as individuals and a team, find their confidence in a tougher setting with a different lens on content.

We do it with a three-step process that focuses on: the talk track, the communicators and the team.

The talk track doesn’t mean the deck or the positioning. That’s the bankers’ role. Our work focuses on helping each leader find their voice in a storyline that is less familiar to them. While the slides are dense to leaders, it’s common place in a sell position. These decks are used to position companies as pre-reads and as documentation to set the story without the leaders. So, the slides won’t change. But we can help leaders consider how their voice comes through and how to work with headlines and foot lines to avoid getting bogged down in the details and losing their train of thought or their audience as a result of it.

The seasoned communicators need some support in thinking through how they want to position themselves along with the story. Most of this work is on personal style and leveraging great communication skills to be clear, concise and compelling. It’s a high-pressure setting. So, each leader wants feedback and a few coaching adjustments to be sure they bring their “A” game to the setting.

And finally, the team. Learning to manage key messages and sound bites in a messaging document is a new skill for most leadership teams. It’s pulling everything into a few big concepts that help them consider how to make points repeatable. And it’s a rehearsal that helps them see the flow of the talk track, their ability to tether back to key points and appear as an aligned team in a high-stake setting.

We’re the added addition that allows the bankers and current investors to stay focused on attracting buyers while we stay focused on helping the leadership team find their voice in presenting a financial storyline. So, whether your role is exiting a company in your portfolio or building the financial storyline to pitch it to other investors, we can ensure that the communicators you’re counting on bring their best to the opportunity.

Call us when you need us.

 

Want a free 15-minute consultation with us to see how we can help you or your leaders? Book a call now!

The Big Pitch with Rachel Spasser

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This episode’s topic is The Big Pitch. And it’s a discussion of one of the most important presentations you may ever give. It has a definitive and measurable impact. It’s rarely shared with a large audience. And while the audience may be small, they are a critical one. Because their interest and reaction to the presentation may change the future of a company. And in fact, that’s actually the point. Today, we’re going to talk about “pitch” presentations. Those opportunities when a start-up, mid-size or even a large corporation wants to be acquired.

The Big Pitch is a different kind of storyline with huge expectations and potential disappointments. And when you’re the communicator, it’s a crash course in how to position your company in a story that will resonate and attract a buyer.

Today’s guest, Rachel Spasser, will share her insight into The Big Pitch as well as expectation and best practices.

More about Rachel Spasser

Rachel Spasser is a Managing Director and Chief Marketing Officer at Accel-KKR Consulting Group. Rachel provides strategic guidance as well as sales and marketing leadership across Accel-KKR’s portfolio. Prior to joining Accel-KKR’s Consulting Group, Rachel was the Senior Vice President and Chief Marketing Officer for Ariba, Inc., an SAP Company. With over 25 years of experience in marketing, business development and general management, Ms. Spasser has spent the past 20 years focused on the business-to-business technology space and speaks frequently on topics such as marketing strategy, demand generation and management and customer adoption marketing.

Show Notes

• What are Pitch Presentations?
• Rachel Spasser
  • Managing Director and Chief Marketing Officer at Accel-KKR
• What is the market like today after an unprecedented year?
  • Q2 of last year was quiet.
    • Companies that were going into investment during Q2 pulled back to wait and see what the market was going to be like going forward.
  • Q3 through the end of the year was very busy.
    • • A lot of capital in the market and investment firms need to deepen that capital.
• Acquisition has become an essential part of the growth strategy.
• Listeners and the buyers are financial backers and sponsors.
  • Listeners are the deal teams
• Strategic side
  • Development department and functional leaders interested in acquiring that business.
• Make sure you understand who the listeners are going to be prior to the pitch.
• What are people listening for?
  • Expertise
  • Metrics of their business
  • Leadership and the team dynamics
• Common mistakes in storytelling.
  • People fall short on the presentation itself by rambling or going deeper than the listener can comprehend and not reading signals well.
  • Data is important and should support the story you’re telling.
  • Telling the rearview mirror story rather than the forward story.
    • Backstory is great color and great context but there has to be context of what the future looks like.

• Seller can make the story real with good examples and buyer can have a vision for tomorrow.
• The deal makers and the bankers – most knowledgeable about the situation.
  • What role do they play?
  • The best bankers are the ones that can coach and bring the team along and develop a compelling way to bring the story along.
• Communicator – or the seller.
• Typically not a normal sales process.
• Pitch is high pressure environment.
• Salespeople are the most prepared for pitches.
• The pitch team should consist of:
  • Key functional leaders CEO and CFO and senior leadership team
  • CTO
  • Head of Marketing
  • Chief Customer Officer
• What do you do when your Chief Operating person or Executive is not comfortable in this space?
  • Don’t bring them into the room.
  • Hire a coach to help them feel comfortable presenting even a small part.
  • Investor is looking at the team asking “can these people get me to where I want to go?” and sometimes the CEO doesn’t want to go there.
  • Team showing up and showing well is important.
• If the numbers don’t add up, it doesn’t matter how great the story or the pitch is and the numbers alone aren’t enough, you need both.
• Having a good presentation where the investors can believe that the team can take the investment to where they want to go.
• Investors are partners – It’s challenging to create this partnership virtually.
  • Have informal interactions, virtual drink online, relationship building
  • Third parties are important, references, customer calls, and we’ve adapted to Zoom and become better at it.
  • Video is important if you’re going to make it through.
• Make sure to have assigned parts in a Zoom presentation to avoid speaking over each other.
• The big pitch, does it make or break a deal?
  • Red flags will make the deal more difficult.
• Use stories to bring your product to life – help the buyer understand why customers want to continue to work with your company. Data can support those stories but without those stories data is easy to forget. How do you make the story stick in a way that makes you and your company memorable?

 

Like what you hear? Hear more episodes like this on the What’s Your Story podcast page!