The First 90 Days, Updated and Expanded. Michael D. Watkins
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Development (hereafter the Genesis/HBR/IMD study), respondents reported an average of 18.2 years of professional work experience.2 The typical leader had been promoted 4.1 times, moved between business functions (such as from sales to marketing) 1.8 times, joined a new company 3.5 times, moved between business units in the same company 1.9 times, and moved geographically 2.2 times. This totals 13.5 major transitions per leader, or one every 1.3 years. As you will learn later, some of these transitions likely happened in parallel. But the implications are clear: every successful career is a series of successful assignments, and every successful assignment is launched with a successful transition.
Beyond these easily identified milestones, leaders also experience many hidden transitions. These transitions occur when there are substantial changes in leaders’ roles and responsibilities without corresponding changes in titles. These are common occurrences, often the result of organizational shifts due to rapid growth, restructuring, and acquisition. Hidden transitions can be particularly perilous, because leaders do not always recognize them or give them the attention they deserve. The most dangerous transition can be the one you don’t recognize is happening.
Leaders also are impacted by the transitions of many others around them. Each year about a quarter of the managers in a typical Fortune 500 company changes jobs.3 And each leader transition materially impacts the performance of roughly a dozen other people—bosses, peers, direct reports, and other stakeholders.4 So even if you aren’t personally in transition, you likely are having the transitions of others inflicted on you. To see this, think about the other people in your immediate neighborhood who also are in their first 90 days. The number likely will surprise you.
The problem is that even though a lot has been written and discussed about how to be a more effective leader in general, little research and writing addresses how to successfully accelerate through leadership and career transitions. People still go through these all-important career crucibles with little preparation and no reliable knowledge or tools to help them. That’s what this book is designed to give you.
Reaching the Break-Even Point
Your goal in every transition is to get as rapidly as possible to the break-even point. This is the point at which you have contributed as much value to your new organization as you have consumed from it. As shown in figure I-1, new leaders are net consumers of value early on; as they learn and begin to take action, they begin to create value. From the break-even point onward, they are (one hopes) net contributors of value to their organizations.
FIGURE I-1
The break-even point
When more than two hundred company CEOs and presidents were asked for their best estimates of the time it takes a typical midlevel leader who has been promoted or hired from the outside to reach the break-even point, the average of their responses was 6.2 months.5 Of course, there can be a great deal of variation in the time it takes to reach the break-even point. If you have inherited a disaster—the classic burning platform—you may be creating value from the moment your appointment is announced. If you have been hired from the outside into a very successful organization, it may take a year or more for you to be a net value contributor. However, even though the time varies (and I explore in depth the challenges of different types of transitions), the goal is the same: to get there as quickly and effectively as possible.
This book provides a blueprint for dramatically condensing the time it takes you to reach the break-even point, regardless of your level in your organization. In fact, independent research has shown that you can reduce the time by as much as 40 percent through rigorous application of the principles described in this book.6
Avoiding Transition Traps
Like most leaders, you’ve probably learned to make transitions in the school of hard knocks—trying things, making mistakes, and ultimately winning through. In the process, you’ve developed approaches that have worked for you… at least until now. But what works well in some situations doesn’t work in others, and you may not figure that out until it’s too late. That’s why it is crucial to follow a comprehensive framework for making transitions, one that distills the experience of many leaders facing a diverse range of situations.
Consider, for example, the following list of common traps, developed through interviews with experienced leaders and supplemented by responses to questions in the Genesis/HBR/IMD study. As you look at the list, think about your own experience.
Sticking with what you know. You believe you will be successful in the new role by doing the same things you did in your previous role, only more so. You fail to see that success in the new role requires you to stop doing some things and to embrace new competencies.
Falling prey to the “action imperative.” You feel as if you need to take action, and you try too hard, too early to put your own stamp on the organization. You are too busy to learn, and you make bad decisions and catalyze resistance to your initiatives.
Setting unrealistic expectations. You don’t negotiate your mandate or establish clear, achievable objectives. You may perform well but still fail to meet the expectations of your boss and other key stakeholders.
Attempting to do too much. You rush off in all directions, launching multiple initiatives in the hope that some will pay off. People become confused, and no critical mass of resources gets focused on key initiatives.
Coming in with “the” answer. You come in with your mind made up, or you reach conclusions too quickly about “the” problems and “the” solutions. You alienate people who could help you understand what’s going on, and you squander opportunities to develop support for good solutions.
Engaging in the wrong type of learning. You spend too much time focused on learning about the technical part of the business and not enough about the cultural and political dimensions of your new role. You don’t build the cultural insight, relationships, and information conduits you need if you’re to understand what is really going on.
Neglecting horizontal relationships. You spend too much time focused on vertical relationships—up to the boss and down to direct reports—and not enough on peers and other stakeholders. You don’t fully understand what it will take to succeed, and you miss early opportunities to build supportive alliances.
Have you fallen into any of these traps in the past? Have you seen others do so? Now think about your new role. Are you in danger of making any of these mistakes? To help avoid derailment and get to the break-even point faster, keep these in mind as you take on your new role.
Creating Momentum
Each of these traps enmeshes its victims in a vicious cycle (see figure I-2). By failing to learn the right things in the right ways at the outset, for example, you can make bad initial decisions that damage your credibility. Then, because people don’t trust your judgment, it can become still more difficult to learn what you need to know. You consume energy compensating for early miscalculations, and the downward spiral takes hold.
But your objective is not only to avoid vicious cycles; you need to create virtuous cycles that help you create momentum and establish an upward spiral of increasing effectiveness (see figure I-3). Good initial decisions founded on the right kind of learning, for example, bolster your personal credibility. As people come to trust your judgment, your ability to learn accelerates, and you equip yourself to make sound calls on tougher issues.
FIGURE I-2
The vicious cycle of transitions
FIGURE I-3
The virtuous cycle of transitions
Your overriding goal in getting up to speed and taking charge is to generate momentum by creating virtuous cycles, and to avoid getting caught in vicious cycles that