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Friday, 27 November 2009 16:37 UAE time

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CEOs in the making

by This email address is being protected from spam bots, you need Javascript enabled to view it  on Sunday, 23 August 2009

I am often asked, “Why there are not enough Arab business leaders?” and almost always, this conversation digresses to the topic of education and whether the schools in the GCC are capable of producing business leaders.  

We all know that the obvious conclusion is that GCC schools (public and private) are not CEO makers.  

As a leadership expert, my intended point in this article is not related to the quality of the education system, although it may be in need of an overhaul. The point is what can the GCC do to produce CEOs and business leaders.

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Preparation for becoming a CEO is holistic, however, in the GCC it is practiced as if education is the single source solution.

Currently governments and businesses act as if they are convinced that they can buy the best education in the world in order to have the best leaders. This makes sense, right?  

If global organisations are full of leaders who graduated from top tier business schools, then all one needs to do is receive a degree from one of those institutions and he or she is ready to attain the coveted post.

Let’s examine a couple of real-life (company names removed) examples from leading organisations in the GCC to see how they are trying to develop their leaders:

Example #1 - Strategy for growing leaders

Title of the Strategy “Develop the Leaders”

The main objective of the programme is to educate the future leaders in the best possible way in line with the requirement of XXXXX as defined in the talent master plan.

• The programmes are provided by the best institutions in the Education field, such as Harvard, and the graduates get certification from these institutions.

• In addition to best institutions, the programmes are custom made for the region and environment.

• XXXXX Leadership is fully supporting the programmes, with monetary incentives such as higher salaries and easier allocation to jobs with fast tracking.

The Leadership Programmes is about preparing future leaders who will lead the advancement of XXXXX.

In this example, XXXXX is relying exclusively on education to develop and prepare the leaders of the future. They are practicing as if education is the single source solution for leadership development.  

XXXXX might as well label it what they are really practicing “Leadership Education” not “Leadership Development”.

Example #2 – Results from Leadership Development Programmes

YYYYY in the UAE invested approximately $3 million in sending their local “high-potentials” to the globally top-rated executive education programme.  

After 150 participants completed the programme, YYYYY concluded that they wasted their money, as the programme failed to produce the type of business leaders they had hoped for.

Other companies throughout the GCC are also wrestling with the reality of investing in a programme that is supposed to yield senior business leaders and they did not get the results they were after.  Many are asking, “What just happened?” “Where are the leaders?”

It is obvious that something needs to be done to rectify this practice.

When one scans the headlines of the local press, there is a reshuffling of the C-Suites, people who graduated from the esteem programmes are being pushed out of their position or suddenly choosing to alter their career path.  

According to research conducted in the spring of 2009, leadership effectiveness in the GCC is startling 47%, amongst the lowest in the world.  

And 67% of CEOs believe the Middle East faces a shortage of leadership talent. And for every reader, this begs an answer to the question of “Where do business leaders come from?”

What can the GCC do to grow business leaders and CEOs?

Governments and organisations need to complement the education system with opportunities to build business leadership habits. Don’t mistake the point; education is a part of the process. But it is only a part of a holistic path.

Let’s go on a journey into the halls of the IVY league institutions to discover the balance of the holistic path.  Obviously these institutions seek and produce academically superior students. But the key to the impact in the C-Suite comes from understanding what they look for in a student.  

In addition to academic prowess, they seek future leaders who have:
unusual promise through experience or achievements

evidence that they have overcome significant obstacles

excellence in a particular endeavor—academic, extracurricular or otherwise

enthusiasm, creativity and strength of character

training, stamina and passion

To summarise, they look for performance, achievement and promise.

Organisations tend to be conservative and they want to grow future leaders following the same routines the previous leaders did, even if they are out of date. After all, those approaches served them well. But what if there is another way, a better way?

If you were starting from scratch to grow future corporate leaders, you would look for four habits:

A Habit of Leading

A Habit of Performance

A Habit of Thinking

A Habit of Numbers

Organisations often look for a specific answer to the following question: If a potential leader does A, B, and C, will he or she become a CEO? Unfortunately, so many factors are at play in the process that outcomes for most people are impossible to predict. Genuine business leadership talent cannot be narrowly defined.

But, companies in the GCC can distinguish themselves by building these habits in their future leaders.  

And the Governments can distinguish themselves by leading the way in the Emerging Markets and taking a holistic approach to growing leaders through complementing the educational programmes with the above listed habits.

For the GCC to become serious about making CEOs, it will need to adopt a holistic approach in the development process.  

Education alone does not suffice. When significant focus is given to the habits of leading, performance, thinking and numbers, then the GCC will have the CEOs that it desires.

Dr Tommy Weir is a leadership expert specializing in fast growth and emerging markets and the author of The CEO Shift. He has a PhD in strategic leadership from Regent University and speaks regularly on the subject of Leadership.

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READERS' COMMENTS

Disclaimer: The views expressed here by our readers are not necessarily shared by ArabianBusiness.com or its employees.
Education and Leadership
Posted by ML, Doha, Qatar on Wednesday 26 August 2009 at 09:45 UAE time


The present belief is simple cause and effect. Having the magical paper gets a national elevated from nowhere to stratosphere in one organizational step, so reinforcing the belief that the magical paper is the cause. I could not agree more that until this cause and effect is removed, the nationals will continue in their belief that experience and actual knowledge is not necessary - only the magical paper is required. The disastrous results from fast tracking inexperienced people is only compounded by forced increase in quotas of nationals in key positions. Some make it, but many more fail, especially where there is inadequate ex-pat support to keep the system running. It will take generations for the true benefits of education to take hold, but the new generations will complain bitterly as they have to work harder for those senior management positions that have come all too easily in the past. In a culture where age and seniority should be respected, the social unrest created by disrespect for those failing in senior positions will be yet another problem to be handled.
Education and Leadership
Posted by Jlep, Alexandria, United States on Tuesday 25 August 2009 at 18:58 UAE time


I have recently returned to the US after teaching Business in a GCC country. From my experience, there is a systemic problem which stems directly from the attitude towards education. Most of my students were pursuing a "piece of paper" not an education. By this I mean, there seemed to a belief that if they got the paper magically they would be qualified to be a manager. Education is not a piece a paper. Like the Anny posted, it involves both doing and books. And more than anything it involves thinking, reflecting and questioning. Unfortunately, these skills are not really emphasized in the national education systems.

Furthermore, Leaders are needed at all levels of a business not just at the CEO level. In fact developing effective and encouraging junior leaders who can both lead and manage, an organization can develop, in time, the CEO's it requires.
As Dr. Weir, rightly stated leadership develop is a holistic project in which academic education is a part but not the whole. It is also a project which needs time.
response to the above article
Posted by anny, dubai, unite arab emirates on Tuesday 25 August 2009 at 12:33 UAE time


This is in response to Dr.Tommy Weir s essence of the article that education is not really a holistic approach but a part of the holistic approach.
I feel that education (which includes both formal and informal) can become a holistic approach if viewed in a different way. Education is not merely what we study inside the confines of our classrooms. But its also about making a condusive environment (keeping the objectives in mind) and then identifying talents.
I agree with your point that all top rankers cannot be successful CEOs. However , top rankers in accordance to our specified leadeship objectives, can surely be successful CEOs.And probably then sending such talents will prove fruitful.

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