Any time raise-less promotions are made, the employer is establishing precedent, Lopez said. It is important when employers make a compensation decision of this kind that they are consistent with their message, he added. The rationale for promotions without raises might be that the company is cash strapped, the employer has lost major accounts or the industry is in a major slowdown, for example.

The employer should note whether the flat compensation is a temporary measure, such as when there is a one-year moratorium on raises. Another consideration for employers that should be planned for is whether there will be retroactive reimbursement of the raises that ordinarily would have accompanied the promotion.

Be clear about why the promotion does not include a raise and for how long it will be without a raise, he recommended. Be cognizant of the demographics of the people who are receiving promotions without raises, he said, noting that employees who receive raise-less promotions might argue that they have been discriminated against based on a prohibited factor such as sex, creed, race, color, national origin, age or disability.

To defend themselves from such claims, employers should be very fact-specific about the reason a promotion does not include a raise.

So as you hire new supervisors, if nothing else teach them the following:

RESPECT

Line managers must be careful to remember that respect is a two-way street. If they want the respect of their direct reports, then managers must show respect for their direct reports as well. “Respect is not something you only give away when it may serve your needs.” The same is true of employee recognition. You don’t show your appreciation for your employee efforts only when those efforts directly work to your advantage. You should also be liberal with your thanks when your direct reports may have performed well in helping another manager, team or department.

TRUST

Trust is often more easily gained by direct managers than senior leaders who are more removed from employees. But as with respect, trust is a two-way street. You have to earn it by the way you behave toward them and those around them. Your people need to believe that you are competent and that you care.

CARE

One way to demonstrate to employees you care about them is by taking the time to talk with them, to clearly communicate what you need them to do, praise them when they’re doing it well, and offer constructive feedback when they need improvement. Harvard Business School research showed employees overwhelmingly prefer a manager who is likeable to a person is very skilled but terrible at communicating.

However, from the start it didn’t seem that this individual was doing what they committed to do. No new ideas, no new customers, and the company did a better job of creating marketing campaigns on their own. They couldn’t understand how all the references, background checks and conversations indicated this person was going to be a real superstar for them and yet it wasn’t working out that way.

This is where I came in. They explained the circumstances leading up to the employment offer and the lack of performance since the start date. After some research, I determined that although their new hire had been a superstar in the past it had been under very specific circumstances and this company’s requirements were a little more demanding. My recommendation, make a change now before too much time passes. They may also want to look at any guarantees the recruiting agency offered.

So, what can you do when your own star performer suddenly loses his/her luster?

Ask yourself these three questions:

What is the upside to keeping him on board?
Talented performers are the spice of every organization. It is not merely that they are good at their jobs. They deliver exponentially, that is, they deliver in multiples – ideas, productivity and results. And often they do it with ease. But the upside lasts only as long as the star shines.

What is the downside to keeping him?
Just as stars perform well, when they fail, they often do so spectacularly. Often their performance carries the team, so when star slips, the team does, too. Also, there is the issue of maintenance. The effort managers must expend coddling star talent can cause discord in a team or organization. Less gifted, but still productive, employees resent the favoritism bestowed on the superstar.

Is this situation going to change?
You need to evaluate the performer’s resiliency. Successful leaders face hardships and emerge better for the experience. Many superstar performers have fragile egos; one setback – a failed project or a denied promotion – can set them back forever. They may never recover. Such people are talented but they have not learned what it takes to succeed when the odds are stacked high.

One of the biggest concerns raised is often times the lack of accountability across their organization. Many times organizations implement a training session in an attempt to change behavior.  Something I always bring up is that “skills building alone” does not change behavior.

In my experience, there are some excellent ways skills building (training) can address leader behaviors and practices in a workplace. And, training will result in leaders demonstrating desired behaviors only if the organization’s culture supports leaders modeling those new behaviors.

We have all experienced workshop participants learning new skills and practicing those skills – quite effectively – in a structured rehearsal setting during training. Observing those players demonstrate those skills could lead one to believe, “OK, they’ve got it now!” However, until desired behaviors are observed in the workplace, on the job, in real-time, one must believe that the training hasn’t translated into workplace behavior.

SKILLS for holding others accountable are different from ACTIONS for holding others accountable.

If skills have been effectively taught but desired actions are not observed, there are other things getting in the way. Attention must be focused on eliminating any policies, procedures, systems, or dynamics that hurt or hinder the demonstration of desired behaviors.

Four Steps to Consistent Accountability

Accountability is a huge requirement in the high performance, values-aligned culture. Our proven culture change process helps senior leaders be explicitly clear about performance and values expectations, and then hold all organization members, from senior leaders through front line staff, accountable for exceeding those expectations.

Our clients have had tremendous success creating consistent accountability by implementing these four steps:

1. Process Coaching – senior leaders need guidance on how to proactively champion their desired high performance, values-aligned culture. Experienced consultants coach the senior leadership team on these steps and other vital activities to ensure traction.
2. Create clarity – Create specific & measurable performance goals. Define values in behavioral terms. Get agreement from all players to embrace both.
3. Gather & Share Data – Monitor performance progress regularly and provide feedback on the good, the bad, and the ugly. Create a custom values survey which ranks the extent to which leaders demonstrate desired valued behaviors each day. Share these results within three weeks of final data gathering. Run the values survey twice annually. Successive runs of the custom values survey will include staff as well as leaders.
4. Praise & Redirect - Regularly celebrate high performers and great citizens (those who demonstrate desired values). Promptly redirect leaders and staff to increase performance to standard or better citizenship. If a values-aligned player struggles to meet performance expectations, reassign them into a role where they contribute. If they are unable to contribute in any role, you need to lovingly set them free – let them find employment elsewhere. If a player does not demonstrate desired valued behaviors, you must reaffirm values expectations and observe closely. If they can make the shift to values-alignment (it is rare), celebrate! If not, lovingly set them free.

What accountability systems have you or your organization had success with to increase accountability for performance and values?

Peer leadership is something that is often overlooked in leadership circles because, most often, we focus on what and how leaders lead their followers. This is appropriate, but much of what’s accomplished within an organization is because of people in the middle who get things done. Sometimes it requires leading up — what you do for your boss — but often, it requires what you do with and for your colleagues — leading peers.

Throughout history, we have seen seemingly ordinary people step up and take charge. Look up the “Cincinnatus model.” Cincinnatus was a Roman farmer who left his land behind to serve as Rome’s leader when the city was threatened. When peace was restored, Cincinnatus resigned his post and returned to his farm. His abandoning of his work to serve Rome, and especially his immediate resignation of his absolute authority at the end of the crisis, has often been cited as an example of outstanding leadership, service to the greater good.  His actions served as inspiration for George Washington, who followed his example. Leadership from the middle does not be an act of heroism, but it should be done with forethought and planning.

The first thing to understand about leading peers is that it is a means of exerting control over someone else. If you have brothers and sisters, or if your children do, then you know the frequent complaint: “You’re not the boss of me.” With peers, you do not boss — you lead — and most often you do it by setting the right example. Let me offer some suggestions:

• Find the pain. Sometimes the need to act is urgent; it will hit you with the force of a two-by-four across the face. Crises provoke the need for immediate action. But you do not need to wait for a burning platform to step forward. Sometimes the need to act comes from what is not being done — processes that are malfunctioning, employees being misdirected, or customers not being served. That may call for action from the middle.
• Listen more than you speak. Before you go too far, listen to others. Get their assessment of the situation. Find out if they want or need help. None of us like a meddler. If people do want help, do not pull a “command and control” act. Listen to what their needs are, and identify the true problem before you act. When trouble brews, it may only be a symptom of a larger issue. Therefore you need to size up the situation and assess what you can do.
• Stand back. If you have the power to act, do it. But work with people — not in spite of them. Think like a film director. You are the one behind the camera. The actors are doing the work. You are simply providing some direction, but they are doing the work. Be willing to lend a hand but do not try to take over. Remember that you are a colleague, not a boss.

Peer leadership is fraught with peril. Too often, those who try to do it get burned. Sometimes this is because they have overreached, or because they do not have the authority to do what they want to do. Often there are rivalries among peers, such as two or more people going for the same job. Navigating that terrain can be treacherous.

There is no easy way around such issues, but one method is to lead with your project. Let what you are seeking to accomplish — your project, your initiative, your process — be the star. Demonstrate its benefits for the organization. This way, you show that you are more interested in helping the company succeed than in shining your own star.

Leading peers, of course, is a good way to get noticed. When done correctly, it positions you as someone who knows how to make things happen. It’s even better when your peers support you. Then, you demonstrate that you have the support — and most often — the trust of others.

Those who lead from the middle are a rare breed, but one that is essential to the success of any enterprise.

But as I think back to that review, she really taught me a great lesson.  She cared enough to step out of the norm and tell me where I needed to improve, and I did.  Had she not been willing to tell me the truth, I would have never focused in the finance and accounting area since it is not exactly the enjoyable part of my job.  But I had to be knowledgeable in all areas of business if I was going to continue to grow and expand in my career.

Any criticism can be hard to accept. But surprise feedback — criticism that seems to come without warning is the hardest. We’re far more likely to be defensive.   About the only thing I would have suggested to her today would be to have discussed her expectations with me before that meeting and provide me with information about those weak areas so when that review time came, I wouldn’t be surprised.

The other strong lesson I learned is to prepare your employees on your methodology as it relates performance reviews.  If you don’t give high marks, unless someone walks on water, tell them ahead of time how you will be rating them.  Everyone seems to take criticism better, when it doesn’t come as a complete surprise.

So as you listen to criticism and your adrenaline starts to flow, pause, take a deep breath, and:

Look beyond your feelings. Look beyond their delivery. Feedback is hard to give, and the person offering criticism may not be skilled at doing it well. Even if the feedback is delivered poorly, it doesn’t mean it’s not valuable and insightful. Not everything will be communicated in “I” statements, focused on behaviors, and shared with compassion. Avoid confusing the package with the message.

Don’t agree or disagree. Just collect the data. If you let go of the need to respond, you’ll reduce your defensiveness and give yourself space to really listen. Criticism is useful information about how someone else perceives you. Make sure you fully get it.

Later, with some distance, decide what you want to do. Data rarely forces action, it merely informs it. Recognizing that the decision, and power, to change is up to you will help you stay open.

Many of you ask, well if they don’t know how to lead, how did they rise to their current positions? As unbelievable as it sounds, the survey results are clear and I’m not sure we should be all that surprised.

Who out there hasn’t worked under — either directly or further down the ladder — a manager or executive who wasn’t really leading? Think of the boss who seems to just “boss” you around or the micromanager. They aren’t really leading.

In his book, Lead by Example: 50 Ways Great Leaders Inspire Results John addresses the challenges all leaders face when seeking to bring people together around a common cause. It argues that leaders must create conditions for people to succeed.  He definitely has some ideas on how to get managers and executives where they need to be in terms of leadership. What do you think? Is your company taking steps to grow better leaders? I’d like to hear your thoughts and ideas.