Prince sure knew a thing or two about management

Barack Obama won no new supporters in the UK with his warning that the country would slide to the back of the queue in any trade deal with the US if it left the EU, and was quickly, strongly and quite rightly put down.

While the President’s remarks were interpreted by many as being dismissive of Britain’s ability as an independent trading nation, in reality they said more about America’s preference to deal with big trading blocs like the EU rather than individual countries. For many, the question of whether it will be good — or bad — for the UK to stand alone outside Europe is still unanswered, largely because the debate has not been played out well by either side.

While the Americans have been backtracking ever since, the simple fact is that Obama was offering nothing whatsoever that was helpful to the debate — because what he said was seen as a threat and clouded the issue. In business, as in politics and many other fields, leaders set examples by what they say, how they act, and how they touch those around them.

Some do it better than others, and in the world of sport, few have done it better than Sir Alex Ferguson. When Fergie kicked off his new role as a lecturer in executive education at Harvard Business School, and began giving insights into his job as manager of Manchester United, top academics were open-mouthed at the challenges he faced, and how he overcame them.

Like any business going through hard times, as was the case at Old Trafford when Ferguson arrived in 1986, the football club was in urgent need of remedies for its ailments, and for a strategy to take it to the next level. It also required a leader capable of instilling belief in the policies that would be implemented, and in his ability to see them through.

Ferguson started by introducing a new level of discipline, immediately tackling the drinking culture of senior players. He made the club’s academy a major priority, developing the talent for tomorrow, and showed great shrewdness in the way he discarded top players who were past their prime, and brought in others who had more to offer.

The results spoke for themselves as Ferguson’s team achieved an unparalleled level of success over 26 years. Added to the record 38 trophies he won, Ferguson transformed a football club with a big stadium and a large fan base, but a relatively modest income, into a business which last year had a revenue of 395 million pounds, half of that coming from a fast growing commercial sector.

Transferring his thinking into the workplace, business leaders achieve similar results by surrounding themselves with the best talent they can find, and by building a high performance team in which everyone blends. Good leaders are always investing in the talent of the future, and they’re not afraid of making the tough decisions, especially when it’s in the best interests of the organisation for individuals who are not performing to be moved on.

Forward thinking leaders in the business place trust in their young talent, encourage them, and back them to come up with ideas that work, spending time with them to explain while others aren’t practical. When the artist Prince died last week, famous landmarks across the world, from the Eiffel Tower to the San Francisco City Hall, were lit up in purple to honour him.

It’s known that, apart from being a musical genius, Prince gave huge encouragement to many budding artists. He is said to have mentored and motivated them by encouraging them to be themselves.

When in his company, they felt they could do anything. In the same way, a good CEO, someone who has reached the top of his own career ladder, is always open to sharing his experiences — good and bad — with members of his team, regardless of their level in the company.

Some of the old school of thinking in business is that leaders should avoid being too transparent, particularly with younger individuals. But the head of an organisation who is prepared to engage his team fully by sharing success and failure with them in equal measure, is repaid many times over in loyalty and effort.

The writer is Head of PA Consulting Group, Middle East and North Africa. All opinions expressed are his own.