Leadership DNA: The Ford Motor Story

Training & Development, March, 2001 by Stewart D. Friedman

Ford Motor Company created transformational leaders to change itself, and possibly to make a difference in the world.

We live in extraordinary times. Not a day goes by when we don't hear or read about a new discovery, invention, or business initiative that will ultimately affect all of our lives. New media are transforming virtually every aspect of human action. On top of the digital revolution, add new business models, globalization, and new labor market dynamics (such as increased diversity and fresh attitudes about work and one's personal life) and you have a different world than business leaders have ever seen before.

The underlying structure of the global economy is shifting, bringing with it a bewildering array of unprecedented challenges that require a new kind of leadership. Developing the next generation of leaders at a time of momentous change is a monumental task. Yet, those of us in the field of leadership development must continue to ask fundamental questions:

* How can we accelerate the identification of candidates for leadership positions?

* What methods should we use to enable our people to become competitive in the new economy?

* How can we challenge our leaders to contribute to the transformation of our company?

* How can we accelerate the preparation of our best leaders for senior executive roles?

* How can we drive our company's vision deep into its culture?

* How can we create a new leadership mindset that invests in the developing leader as a whole person, capable of contributing not only at work, but also at home and in the community?

Ford Motor Company is facing those same questions; senior management has set the direction. In our 2000 Corporate Citizenship Report, chairman William Clay Ford Jr. writes:

"We see no conflict between business goals and social and environmental needs. I believe the distinction between a good company and a great one is this: A good company delivers excellent products and services; a great one delivers excellent products and services and strives to make the world a better place."

In the same report, our CEO Jacques Nasser observes:

"The transition from a traditional manufacturer to a 21st-century consumer company is critical for our long-term financial success. It requires a new mindset--one focused on connecting not only with our customers, but also with all of our stakeholders to make it work."

The DNA revolution

Adopting a consumer mindset as well as one of environmental and social responsibility requires leadership. We need leaders who can make informed business decisions that will make our company better able to meet customer needs and increase shareholder value, as well as honor commitments to the world in which we live. Change like that is easy to talk about but difficult to implement. It will take nothing less than a massive shift in culture to create new leadership DNA. Nothing short of revolution will do.

And that is where our Leadership Development Center enters. Our vision is to be the center for the revolution, developing Ford Motor Company leaders to change the world. Our mission is to accelerate transformation to a consumer- and shareholder-driven business, to accelerate the identification and development of leadership talent, and to drive the company's mission, vision, and values deep into its culture.

How can we do that? We've developed a series of leadership programs centered around these core principles:

* Adopt a transformational mindset.

* Use action learning--learning by doing, leading, and teaching.

* Leverage the power of e-tools.

* Integrate work and life, what I call "total leadership."

* Generate business impact.

Let's examine the first two in depth and the others later on.

Adopt a transformational mindset.

The chief way that Ford's Leadership Development Center is fomenting revolution is by creating transformational leaders--men and women who know how to get things done in ways that use the talents of their people for maximum business impact. Our leaders also learn to think "outside of the box" because our programs force them out of their comfort zones in everything from selecting a project to working with new people. Participants return to their positions enthused and ready to look at familiar challenges with fresh eyes and to try new ideas that deliver results.

We nurture the transformational mindset by consistently challenging participants to think of alternative possibilities. That push really begins before participants start the training. The workload of most programs isn't light, and the real work isn't done in the classroom but in the field of real business activity. Participants are expected to do work prior to the classroom phase--mainly, to choose a project and research feasibility. They must devise innovative ways to balance their usual workloads and assume responsibility for meeting program requirements. The challenge is to find ways to eliminate unnecessary tasks and obtain help. Many participants learn to empower their staff and to network with peers to delegate their day-to-day responsibilities. In itself, that is a significant opportunity for leadership lessons.