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You've seen the jobs video,
where he shares with his employees,

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an initial vision for where the company
is today and where it's going.

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We'll come back to that interaction,
that meeting with his employees.

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But first I want to share with
you some cutting edge research,

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that we've been conducting
over the last decade or so.

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On the business case for why visionary
leadership, why having leaders who

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can create compelling visions that bring
people together around a shared direction.

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Why this visionary leadership is so
important.

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The data that you see here, is from one of
the most comprehensive studies to date.

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We published this study back in 2011.

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We looked at over 900 studies,

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beginning in the 1940's and 1950's.

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Over 900 studies, that had examined the
impact of leadership on team performance.

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We found that the leader of a team,
accounts for

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31% of whether that team performs well or
not.

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Of the 31%, we looked at what are the most
critical, most essential behaviors,

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that leaders are engaging in,
that enable teams to perform well.

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And we found that the three
behaviors you see here,

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were three of the most important.

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Note the first and most important,
is to create and communicate a vision

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that provides that team a sense
of shared direction and meaning.

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The behavior of creating and communicating
a vision, accounted for over six percent.

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That one behavior, accounted for

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over six percent of the variation to
whether teams perform well or not.

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Other behaviors that are important,
structuring the team, roles,

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responsibilities, defining
the intersections and

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points of interdependence.

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That's a behavior we will talk about,
when we talk about how you design and

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manage teams.

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Another behavior is being able to show
consideration for individual team members.

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That's a behavior that we will talk about,
when we discuss how you can motivate

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individual team members, by understanding
their needs and their values.

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But coming back to the ability to
create and communicate a vision.

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Your ability to be able to define reality,
and create and

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communicate a vision that gives
shared direction to your team,

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is quite possibly the most important
behavior you can engage in,

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if we look across all of the studies
published in history on team leadership.

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Another study that we've looked at,
the impact of visionary leadership,

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not only on teams, but
also how firms perform.

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A good friend of mine,

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Dave Waldman out at Arizona State, has
conducted studies in large organizations.

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Looking at the impact
of visionary leaders,

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on firm performance in terms
of profitability, growth.

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And what he's found, is that your
ability as a leader to create and

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communicate a vision,
is most important in times of uncertainty.

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When the market around you
is extremely dynamic and

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changing very rapidly,
very fast, what he's found is,

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that visionary leadership is most
important in those times of change.

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Much like the organizations
that you work in today, or

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that you will work in in the future.

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Here's a study by another set of
colleagues of mine, Baum and Locke.

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Published back in 2004, where they
looked at over 200 CEO entrepreneurs.

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And the impact of visions for

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growth on firm performance, in small
startup high growth organizations.

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So the ultimate outcome
they were interested in,

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was how fast do these firms grow?

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They controlled for how fast the firm
was growing prior to the study,

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how old the firm was, how big it was,
where it was in terms of region.

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These firms were all in North America,
but they were in different regions.

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So they controlled for region.

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They controlled for things like access
to financial capital from VCs, or

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other investors.

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And then they controlled for

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how passionate the CEO was about the firm,
how engaged that CEO was.

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All within idea of trying to understand
the impact of the vision articulated and

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communicated by that CEO entrepreneur,
and the impact that it had on the firm.

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And here's what they found.

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The ability to communicate a clear vision,

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from the CEO to the organization, did
a number of things in that organization.

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Most importantly, was it enabled

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stretch goals to be created and
cascaded down through the organization.

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The vision was the definition of where
are we today and where are we going.

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And then that enabled managers in the
organization to create very specific, but

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stretch goals, for their employees and
their teams within the organization.

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Those stretch goals,
actually increased the confidence level

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of the employees within the organization.

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That confidence was a big
predictor of how fast the firms

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ultimately were able to grow.

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The numbers you see here on the screen
on the slide, those are the effect sizes

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of each component of
the model on the next.

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So the ability to communicate a vision
had a significant positive impact,

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on the presence of stretch
goals in the organization.

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Which then had a significant
positive impact,

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on how confident the employees were, which
then ultimately had a significant and

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positive impact on the rate of growth for
each of these firms.

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But the real question here, and this is
the question that I have been exploring

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now for the last several years,
is what are those successful CEOs,

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those successful entrepreneurs doing
when they communicate a vision

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that ultimately spawns confidence and
motivation among the employee.

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These CEOs,
the entrepreneurs that are successful,

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what do their visions look like?

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The CEOs that are less successful,
what do their visions look like, and

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what can we learn by comparing those?

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And that's the model that I'm gonna
share with you in this course.

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It's beginning to unpack,
what is an effective vision.

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What are the components?

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And I'm gonna give you a framework for
understanding.

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What is the content of
an effective vision?

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Ultimately, what is the vision?

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And then second,
is how do you communicate it?

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So first, what is the vision,
the content of that vision?

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And then second,
how do you communicate that vision,

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in a way that compels people to want to be
part of your team and your organization.