CHAPTER 14 Human-Centred Leadership

‘A leader … is like a shepherd. He stays behind the flock, letting the most nimble go on ahead, whereupon the others follow, not realizing that all along they are being directed from behind.'

NELSON MANDELA, LONG WALK TO FREEDOM

Puts people first

Human-centred leaders start by putting people first. Although this may seem like an easy thing to do, it requires a single-minded focus and an enduring commitment.

Paul O'Neill, Alcoa

When Paul O'Neill became CEO of Alcoa in 1987 he asked to be judged by one measure: reduction in time lost to injuries. He understood that business is about people, and that when you look after your people, the profit will follow.

Charles Duhigg, writing in The Power of Habit, quotes O'Neill's presentation to analysts upon his appointment: ‘I want to talk to you about worker safety,' said O'Neill. ‘Every year, numerous Alcoa workers are injured so badly that they miss a day of work. Our safety record is better than the general American workforce, especially considering that our employees work with metals that are 1500 degrees and machines that can rip a man's arm off. But it's not good enough. I intend to make Alcoa the safest company in America. I intend to go for zero injuries.'1

O'Neill's failure to address profits and margins, capital ratios and inventories, confused analysts and led some to advise clients to exit the stock. Twelve months later Alcoa posted a record profit. After 13 years of O'Neill's leadership, ...

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