7 Habits of Highly Effective People Freedom to Choose 182

Stephen Covey will draw from the following slides during his June 22nd broadcast. As Dr. Covey uses somewhat of a free- flowing style during his presentation the attached slides will not be used in this order, and will not all be included. Additionally, Dr. Covey may choose to incorporate slides which are not part of this set. If that is the case, we will post those slides after his presentation.

We hope you enjoy the broadcast.

KEY LEARNINGSCOMMITMENT TO DO

Behavior is governed by values.Consequences are governed by

principles.Therefore, value principles.

What Is The Difference Between Values And

Principles?VALUESSocial Norm

Personal

Emotional

Subjective

Arguable

PRINCIPLESNatural Law

Impersonal

Factual

Objective

Self-Evident

Principles Embodied

in the 7 Habits

Behavior is governed by values.Consequences are governed by principles.

Therefore, value principles.

1. Be Proactive:

Responsibility/Initiative2. Begin with the End in Mind:

Vision/Values3. Put First Things First:

Integrity/Execution4. Think Win-Win:

Mutual Respect/Benefit5. Seek First to Understand, Thento be Understood:

Mutual Understanding6. Synergize:

Creative Cooperation7. Sharpen the Saw:

Renewal

PublicVictory

PrivateVictory

Dependence

Independence

Interdependence

Sharpen the Saw

Think Win-Win

Synergize Seek First to Understand,Then be Understood

Begin with the End in Mind

Be Proactive

Put First Things First

The 7 Habits of Highly Effective

People

Freedomto Choose

Self-AwarenessImaginationConscience

Independent Will

ProactiveStimulusStimulus ResponseResponse

ReactiveStimulus ResponseStimulus Response

(Heart)

(Mind)

(Spirit)

(Body)

Stimulus and Response

Freedom to Choose

StimulusStimulus ResponseResponse

Personal Level(Muscle Development)

StimulusStimulus ResponseResponse

Relationship Level(Skill Development)

StimulusStimulus ResponseResponseOrganizational Level

(Team / System Development)

StimulusStimulus ResponseResponseHuman Need Level

(Competitive Play)

(Home Place/Work Place/Marketplace/Community/etc.)

Stimulus and Response

Your

Job

Circle of Circle of InfluencInfluenc

ee

Reactive Focus

Wait Until Told(Co-dependent)

Your

Job

Circle of Circle of InfluenceInfluence

Proactive Focus

Your

Job

Circle of Circle of InfluencInfluenc

ee

Your

Job

Ask

“I intend to”

Do it and report periodically Do it and report immediately

Make a

Recommendation

Do it

Wait Until Told

2. Pretend Listening (Patronizing)

3. Selective Listening

4. Attentive Listening

1. Ignoring

WITHIN ONE’S OWNFRAME OFREFERENCE

5. EmpathicListening

WITHIN THE OTHER’SFRAME OF REFERENCE

Listening Continuum

Transaction

(1+ 1 = -1, -10, -100)

(1+ 1 = .5)

(1+ 1 = 1.5)

(1+ 1 = 3,10,100)Transformation

Modes of Communication

Hostility

Defensive Communication

Respectful Communication- Compromise

Synergy- Third Alternative

T

Trivia, busywork Some phone calls Time wasters “Escape” activities Irrelevant mail Excessive TV

Crises Pressing problems Deadline-driven

projects, meetings, preparations

Needless interruptions Unnecessary reports Unimportant

meetings, phone calls, mail Other people’s minor issues

Planning, Prevention PC activities Recognizing new opportunities Relationship Building Renewal, Recreation

Quadrant II Time

Management™

Urgent Not UrgentN

ot

Imp

ort

an

tIm

port

an

t

Habits 1-7

I II

III IV

Deming Prize-Winning Organizations vs. Other

OrganizationsUrgent Not Urgent

Not

Imp

ort

an

tIm

port

an

t I II

III IV

20-25% (D) 25-30%

65-80% (D) 15%

Habits 1-74 Roles

15% (D)

50-60%

less than 1% (D)

Between stimulus and response, there is a space. In that space lies our freedom and power to choose our response. In those choices lie our growth and our happiness.

Every great breakthrough is a break WITH.If you want to make minor improvements, work on behavior and attitudes. If you want to make quantum improvements, work on paradigms. A paradigm is like a mental model, an assumption, or a map.

Peter Drucker, Management Challenges for the 21st Century

The most important, and indeed the truly unique, contribution of management in the 20th century was the fifty-fold increase in the productivity of the MANUAL WORKER in manufacturing… on this achievement rests the economic and social gains of the 20th Century…

The most important contribution management needs to make in the 21st century is similarly to increase the productivity of KNOWLEDGE WORK and the KNOWLEDGE WORKER.

The most valuable assets of a 20th-century company were its production equipment. The most valuable asset of a 21st-century institution, whether business or nonbusiness, will be its knowledge workers and their productivity…

The important task rarely must be done today, or even this week. . . The urgent task calls for instant action. . . The momentary appeal of these tasks seems irresistible and important, and they devour our energy. But in the light of time’s perspective, their deceptive prominence fades; with a sense of loss we recall the vital task we pushed aside. We realize we’ve become slaves to the tyranny of the urgent.

Charles Hummel

…the top software developers are more productive than average software developers not by a factor of 10X or 100X or even 1000X but by 10,000X. Quality knowledge work is so valuable that unleashing its potential offers organizations an extraordinary opportunity for value creation. Knowledge work leverages all of the other investments which an organization has already made. In fact, knowledge workers are the link to all of the organization’s other investments. They provide focus, creativity, and leverage in utilizing those investments to better achieve the organization’s objectives.

Nathan Myhrvold, Chief Scientist, Microsoft

Frederick Winslow Taylor

Now one of the first

requirements for a man who is fit

to handle pig iron as a regular

occupation is that he shall be so

stupid and so phlegmatic that he

more nearly resembles in his

mental makeup the ox than any

other type.

“Hardwired”

Birthday Gifts

•The 4 Intelligences

IQ EQ PQ SQ

•Freedom and Power to Choose•Principles (Natural Laws)

•Universal•Timeless•Self-Evident

(mostly unopened)

To LearnTo Love To LiveTo Leave a Legacy

/ Capacities

Muscle Development

Would you be willing to searchsearch for a solution that is better than what

either one of you (us) have proposed?

Would you agree to a simple ground rule:

No one can make his or her point until they have restated the other

person’s point to his or her satisfaction.

(Habits 4,6)

(Habit 5)

Two Steps to Achieving Synergy:

(Third Alternatives)

WisdomN

Industrial

Hunters/Gatherers

Agrarian

Information/Knowledge Worker

Economic Ages of Civilization

ISSUEOLD INDUSTRIAL AGE CONTROL MODEL

NEW KNOWLEDGE WORKER AGE RELEASE/EMPOWERMENT MODEL

Leadership A position (formal authority)

A choice (moral authority)

Management Control things and people Control things, release (empower) people

Structure Hierarchical, bureaucratic Flatter, boundary-less, flexible

Motivation External, carrot-and-sticking

Internal—whole person

Performance Appraisal

External, sandwich technique

Self-evaluation using 360º feedback

Information Primarily short-term financial

Compelling Scoreboard (long-and-short term)

Communication Primarily top-down Open: Light is the greatest disinfectant

Culture Social rules / mores of the workplace

Principle-centered values and economic rules of marketplace

Budgeting Primarily top-down Open, flexible, synergistic

Training & Development

Sideshow, skill-oriented, expendable

Maintenance, strategic, whole person, values

People Expense on P & L, asset lip service

An investment with highest leverage

Voice Generally unimportant for most

Strategic for all, complimentary, team

Principle-Centered Living—Three Generations

Pare

nts

Child

Gra

nd c

hild

ren

Integrity(Integrated

around Principles)

Courage(to live true)

Humility(Principles

govern)

Wisdom(Perspective)

AbundanceMentality

(no comparison)

The Level 5 Hierarchy

LEVEL 1Highly Capable Individual

Makes productive contributions through talent,knowledge,skills, and good work habits.

LEVEL 5

LEVEL 4

LEVEL 3

LEVEL 2Contributing Team Member

Contributes to the achievement of group objectives;works effectively with others in a group setting.

Competent ManagerOrganizes people and resources toward effectiveand efficient pursuit of predetermined objectives.

Level 5 ExecutiveBuilds enduring greatness through a

paradoxical combination of personal humility plus professional will.

Effective LeaderCatalyzes commitment to and vigorous pursuit of

a clear and compelling vision; stimulates thegroup to high performance standards.

Jim CollinsGood to Great

Mind

Spirit

Heart

Body

Four Areas of Choice

Make and Keep Promises

Educate and Obey your Conscience

THE FIRE WITHINTHE FIRE WITHIN

Respect, Balance, Integrate, DevelopRespect, Balance, Integrate, Develop

Mind/To Learn

SpiritTo Leave a Legacy

Heart/To Love

BodyTo Live


Four Needs of People

Mind/To Learn

Mental Use of Talents


Spiritual Integrity

HeartTo Love

Emotional Respect

BodyTo Live Economic Security

Four Needs of Organizations


Mind/To Learn


HeartTo Love

BodyTo Live

Four Needs of People

Mind/To Learn


HeartTo Love

BodyTo Live

Four Needs of Organizations

Co-missioning Blending Voices

N

EmotionalIntelligence

(EQ)

PhysicalIntelligen

ce(PQ)

Four Intelligences

of People

THE FIRE WITHINTHE FIRE WITHINSpiritual

Intelligence(SQ)

Mental Intelligence

(IQ)



N

HeartPassion

BodyDiscipline

Leading a Balanced,

Integrated, Powerful Life

THE FIRE WITHINTHE FIRE WITHINSpirit

Conscience

Mind/Vision



Vision, Discipline, and Passion governed by Conscience change the (your) world for good (lifts

and lasts).

HeartEmpowering

BodyAligning

Four Roles of Leadership

SpiritModeling


Mind/Pathfinding

Leadership is a Choice

H: 1-7H: 1-7

H: 7H: 7

H: 2H: 2

H: 3H: 3H: H:

4,5,64,5,6

Manage Things; Lead People

Heart/Treat me

kindly

Body/Pay me fairly

Whole Personin a Whole Job

Spirit/In serving human needs

in principled ways


Mind/Use me creatively

The High Cost of Low Trust

Four Chronic Problems

Mind/No Shared

Vision/Values

Heart/Disempowermen

t

Body/Misalignment

Spirit/Low Trust

DEAD ASHESDEAD ASHES

N

NO SHARED VISION/ VALUES

Interdepartmental rivalry,

Co-Dependency,Clear Hypocrisies,

Resolvable Misalignments

MISALIGNMENT

Backbiting,In-fighting,Victimism,

Defensiveness,Not sharing

information

LOW TRUST

Apathy, Moonlighting,Daydreaming,

Boredom,Escapi

sm,Anger,Fear

DISEMPOWERMENT

Low quality,Bloated costs,Inflexible, Slow

Failure in the“marketplace”, Negative Cash Flow

Symptoms of Chronic

Problems

Ambiguity,Hidden agendas,Political games,

Chaos

Workplace/Organizational

Principles: Execution Gaps

•Clarity—understand key priorities

•Commitment—emotionally connected to key priorities

•Translation—”line-of-sight” from job, team, etc., to key priorities

•Enabling—remove structure/system and cultural barriers

•Synergy—work together to arrive at better ways to achieve goals

•Accountability—responsible for achieving key prioritized goals

Clarity……………

Commitment…..

Translation……..

Enabling…………

Synergy………….

Accountability…

Industrial Age (Cause)

Knowledge Worker Age (Solution)

Announcing

Identification/

Involvement

Execution Gaps

Selling

Job DescriptionCarrot & Stick (people as expense)“Cooperate!”Sandwich Perf. Appraisal

Whole Person in a Whole

JobAligning Roles/Goals for

ResultsAligning structures/ systems/culture

3rd Alternative

CommunicationFrequent, Open, Mutual re: Compelling

Scoreboard

EXECUTION

Lack of Clarity

Lack of Commitment

No Translation to Action

No Enabling

No Synergy

Lack of Accountability

The Roots of the Execution Gap

The Four Disciplines

Discipline 1: Focus on the Wildly ImportantPrinciple: People are wired to do only

one thing at a time with excellence.

Old Thinking: We can effectively accomplish six, eight, or even ten important goals at once.New Thinking: Organizations/Teams can only accomplish two or three goals at once with excellence.

Outcome: Clarify your team’s Wildly Important Goals and align them to the organization.


Discipline 2: Create a Compelling Scoreboard

Principle: People play differently when they’re keeping score.

Old Thinking: Once we’ve communicated the goal, people will know we’re serious about it.New Thinking: We’re not really serious about the goal until we start keeping score.Outcome: Identify key measures for your team’s goals and transform them into a visible, dynamic scoreboard.


Discipline 3: Translate Lofty Goals into Specific Actions

Principle: To achieve goals you’ve never achieved before, you need to start doing things you’ve never done before.Old Thinking: If people know the goal, they’ll

know what to do about it.

New Thinking: Goals will never be achieved until everyone on the teams knows exactly what they’re supposed to do about them.Outcome: Identify the new and better behaviors

needed to achieve your goals and then translate those behaviors into weekly and daily tasks.


Discipline 4: Hold Each Other Accountable—All of the Time

Principle: Knowing others are counting on you raises your level of commitment.Old Thinking: As long as the goal is clear and

compelling, people will remain focused and committed.New Thinking: Maintaining commitment to the goal requires frequent team engagement and accountability.Outcome: Learn and apply an ongoing team

accountability process to engage the team in accomplishing the Wildly Important Goals.

Finding Your Voice

(Individual, Team, Organizational)

VOICE

Talent Need

Passion Conscience

(Mind)

(Body)

(Heart)

(Spirit)

xQ Scores by Principles of Execution (National Average &

Top 10%)CLARITY

COMMITMENT

INDIVIDUAL GOALS: Clear, Measurable, deadline-driven work goals

ORGANIZATIONAL DIRECTION: Organizational strategy and goals precisely understoodTEAM FOCUS: Diligent work-team focus on top goals

TEAM GOALS—QUALITY: Clear, measurable team goalsINDIVIDUAL ENGAGEMENT: Individuals motivated and valuedINDIVIDUAL COMMITMENT: People committed to organizational direction

53 90

45 85

48 97

65 88

42 83

54 95

58 85

51 88


Top 10%)TRANSLATION TO ACTION

ENABLING

ORGANIZATIONAL LINE-OF-SITE: All workers focused on organizational goals

TEAM PLANNING: Clear, Correlated assignments and follow-through

INDIVIDUAL PLANNING: Systematic approach to scheduling

TEAM GOALS—QUALITY: Clear, measurable team goalsORGANIZATIONAL PERFORMANCE INVOLVEMENT: Consistent, systematic approach to improving performanceORGANIZATIONAL SUPPORT: Active support for work-team goals

49 85

53 90

44 94

38 80

46 93

43 91

56 87

48 90

INDIVIDUAL TIME ALLOCATION: Time spent executing top goals

60 75


Top 10%)SYNERGY

ACCOUNTABILITY

TEAM COMMUNICATION: Mutual understanding and creative dialogueTEAM TRUST: A safe “win-win” work environmentORGANIZATIONAL COLLABORATION: Smooth cross-functional work and communication among teams

TEAM ACCOUNTABILITY: Commitments honored among team membersTEAM MEASURES—QUALITY: Success measures tracked accurately and openly INDIVIDUAL PROACTIVITY: Individual initiative and responsibility for results

42 92

43 92

40 90

37 92

44 87

34 88

43 89

40 88

ORGANIZATIONAL TRUSTWORTHINESS: Organizational values and commitments honored

48 94

Organizational Level

Line-of-site

Direction

Collaboration

Trustworthiness

Performance Improvement

Support

Sample xQ Scores at the Organizational Level

48 92

53 90

48 97

37 92

48 94

43 91

56 87

Organization

Nat.

Avg

.

Top 10%

44

22

54

74

13

4

95

45 89

42 83

44 94

43 92

40 90

46 93

44 87

34 88

65 88

Team Level

Quality of Team Goals

Planning

Communication

Trust

Empowerment

Accountability

Measures--Quality

Focus

Sample xQ Scores at the Team Level

Organization

Nat.

Avg

.

Top 10%54

36

38

82

52

60

30

95

41

Individual Level

Individual Goals

Engagement

Planning

Accountability

Commitment

Time Allocation

Sample xQ Scores at the Individual Level

50 85

45 85

54 95

38 80

43 89

58 85

60 75

Organization

Nat.

Avg

.

Top 10%

76

41

98

61

91

68

97

Principle-Centered Leadership

Personal Greatness

Leadership Greatness

Organizational Greatness

The 7 Habits of Highly Effective People

Modeling (7H)

Pathfinding Aligning

Empowering

Mission, Values, VisionClarity,

Commitment Translation,

Synergy Enabling, Accountability

The Sweet SpotEXECUTION

The Sweet SpotThe 4 Disciplines of Execution (4DX)

Focus on the Wildly Important Create a Compelling Scoreboard

Translate Lofty Goals into Specific Actions

Hold Each Other Accountable—all of the time

Principle-Centered Leadership

Personal Greatness

Leadership Greatness

Organizational Greatness

The 7 Habits of Highly Effective People

Modeling (7H)

Pathfinding Aligning

Empowering

Mission, Values, VisionClarity,

Commitment Translation,

Synergy Enabling, Accountability

Blending VoicesEXECUTION

7 Habits of Highly Effective People Freedom to Choose 182

Documents

mind stimulus

important task

urgent task

productivity of knowledge

value principles

knowledge work leverages

quality knowledge work

organizationsnot urgent