Leadership in Economic Development: On the Line
By Joy Wilkins, CEcD
Every day, in every facet of our lives, opportunities to lead call out to us. At work and at home, in our local communities and in the global village, the chance to make a difference beckons. Yet often, we hesitate. For all its passion and promise, for all its excitement and rewards, leading is risky, dangerous work. Why? Because real leadership – the kind that surfaces conflict, challenges long-held beliefs, and demands new ways of doing things – causes pain. And when people feel threatened, they take aim at the person pushing for change.
– Ronald A. Heifetz and Marty Linsky
Leadership is nothing short of a daunting undertaking.
It means bearing responsibility for those who have entrusted us to serve them. It means making tough decisions with less than perfect information, and often during times of discomfort or in the face of seemingly overwhelming odds.
It also means putting ourselves “out there” to be dependent on, and subject to, the world around us. And for the economic development leader, it means serving on the front lines to address incredible challenges, all while adapting to new game-changing circumstances and pursuing the opportunities of tomorrow.
How does one not only survive but thrive in the midst of these dynamics? In their 2002 book Leadership on the Line, Ronald A. Heifetz and Marty Linsky provide how-to guidance.
“Leadership is an improvisational art,” the authors write. “You may have a vision, clear, orienting values, and even a strategic plan, but what you actually do from moment to moment cannot be scripted.” In other words, our actions must be geared toward the situation at hand.
Heifetz and Linsky are renowned thought leaders in exercising adaptive, courageous, and confident leadership. The concepts they share are based on decades of consulting, teaching, and observation experience with leaders around the world.
Get on the balcony
As change agents, we may often find ourselves in situations that call for us to see the bigger picture in order to respond effectively. However, it may not be possible to do so if we continue to stay where we are.
Using the analogy of a dance, Heifetz and Linsky explain times that call for achieving a “balcony perspective,” when one needs to leave the dance floor to see the situation more objectively. This involves stepping back briefly to become a detached yet careful observer for a time before returning to the dance floor. Doing so, they say, enables one to find out where people are, what is challenging them most in a situation, and what is really important to them (beyond what they say).
This is especially challenging in economic development, as we often serve many direct and indirect stakeholders with varied perspectives – whether elected or appointed officials, business and civic leaders, affected property owners, special interest groups, or the general citizenry – on any given project. Trying to read where each stakeholder is coming from before acting involves time and effort, sometimes beyond what is desired by stakeholders who seek quicker action. However, as many in our profession can attest, it is time and effort well spent.
Think politically
Echoing other leadership writers, the authors note that one of the distinguishing qualities of successful leaders is the priority they give to relationship management – that is, developing, sustaining, and strengthening personal connections with others. This is especially true in economic development, where the work we do requires community support in order to be successful. Heifetz and Linsky note that there are three groups of people to consider, all of equal importance: those who are in support, those who are in opposition, and those who are undecided and wary.
For the economic development leader, it is tempting to focus on those who are in support, as they may be natural partners and allies. While these are essential relationships to cultivate, the authors point out that it is also important to build relationships with those in opposition. Ineffective relationships with them can hinder, delay and even prevent an initiative from moving forward.
This is especially the case in our profession. How often do we hear about a community project that was killed because of the influence of a vocal few? “To survive and succeed in exercising leadership, you must work as closely with your opponents as you do with your supporters,” say Heifetz and Linsky.
Regarding the undecided and wary, these individuals are likely to resist supporting anything that requires a change in their thinking and doing. They are in every community, no matter the size. The authors suggest that, before asking them to change, it is critical to take the time to understand them and their needs, values, and previous experiences first. It could be, according to Heifetz and Linsky, that such a change ultimately is asking them to let go of something (e.g., attitudes, behaviors or values) they have lived with for years. It is important to acknowledge and respect their sense of loss, and appreciate their sacrifice, they explain.
Wherever people are coming from, the economic development leader plays a critical role in helping them see how the benefits of a change outweigh the benefits of the status quo. For example, you may be serving in a region where leaders of nearby communities have been accustomed to acting in isolation and don’t yet see the value of working together. Or, you may be in a community where the stakeholders have been so focused on one strategy, such as large-scale industrial development, that they don’t yet recognize the value of an entrepreneurship support strategy. Or maybe you’re in a place where community members have been satisfied with no or little growth but are dealing with a dwindling tax base that can’t support the cost of public services, and could use some help seeing the value in supporting new industry development.
Orchestrate the conflict
“The hope of leadership lies in the capacity to deliver disturbing news and raise difficult questions in a way people can absorb, prodding them to take up the message rather than ignore it or kill the messenger,” say Heifetz and Linsky. They point out that conflict will always be a part of any effort to bring about change. This makes it a mainstay in the everyday life of an economic developer.
Rather than avoid conflict, the authors suggest taking the heat while also working to control the temperature. For example, if a situation warrants raising the temperature (so enough people sit up and pay attention), they suggest drawing attention to the tough questions or bringing conflicts to the surface. In such cases, conflict can be a useful tool for bringing about a fruitful conversation. On the other hand, if the situation calls for lowering the temperature to avoid rash, counterproductive decision-making, it may be best to slow down the process, steady the course, and keep people mindful of what’s important.
In conclusion
Leadership experts agree: Change is inevitable, but how we deal with this change is the difference-maker. With change always comes a new set of challenges or problems which, as Heifetz and Linsky point out, are “not amenable to authoritative expertise or standard operating procedures.” There is no one-size-fits-all, and an effective leadership response is custom-designed to each situation. This is, of course, modus operandi for those of us serving in economic development.
And while each situation is unique and different, all leaders inevitably face some similar challenges. For example, we will at some point, and often multiple points, undergo doubts and fears regarding our call to leadership; feel confounded by changing circumstances; make mistakes and errors in judgment; let someone we care about down...yet we are called to learn from these experiences. In other words, we are called to adapt and evolve as leaders throughout our leadership journey.
Along the way, the authors highlight the importance of being mindful in taking the time and effort to anchor ourselves and manage our own vulnerabilities. “We get caught up in the cause and forget that exercising leadership is, at heart, a personal activity,” say Heifetz and Linsky. “It challenges us intellectually, emotionally, spiritually, and physically.” In all, they suggest we do the following:
- Distinguish the leadership role we play from our identity and self-worth.
- Keep trusted confidantes (but don’t confuse them with allies).
- Find a sanctuary, a place for reflection and renewal.
ABOUT THIS ARTICLE
Economic development leaders are true change agents for the world around them. The impact of their leadership on those they serve is untold and often cumulative in nature. This article is part of IEDC's ongoing series of articles on "Leadership in Economic Development" that focuses on the application of leadership principles to economic development practice. How do we respond to the call for dynamic and adaptive leadership given the ever-evolving economic, social, environmental and political considerations affecting our communities and organizations? This article, and the series as a whole, aims to contribute to the conversation. The author expresses sincere gratitude to IEDC's managing editor Louise Anderson for her partnership in producing the series.
[This article first appeared in Economic Development Now, a publication by the International Economic Development Council (IEDC), in February 2014 and appears here with permission.]
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