Executive Mentoring for Success by David R Sinigaglia

Executive Mentoring for Success by David R. Sinigaglia 1

David R. Sinigaglia Career Highlights Matmon Enterprises, LLC • בנגב השקעות מטמון Matmon Enterprises LLC סיניגליה דוד David Sinigaglia ' יו'ר משותף ומנכל ר Chairman &joint -CEO עומר התעשיות פארק 6 הגורן ר'ח 6 Hagoren St. Omer Industrial Park www. matmonnegevinvestments. com Israel: 050 4601 043 • Intl: (972) 50 4601 043 USA: 702 610 1292 2

Company: S. Friedman Ltd Country: Israel Position: Works Director (1958 -1960) • Domestic Appliance Manufacturer 3

(London quoted public company) 4

Company: Saran Industries Country: Israel Position: Vice President & Plant Manager (1965 -1967) • • 5 Partnering with Republic Steel USA Monsanto USA Plastics & Polymers Metal Constructions

Company: Airfix Plastics Ltd. (division of Airfix Industries) Country: United Kingdom Position: Managing Director & CEO (1967 -1975) • • • 6 Division of Airfix Industries Household Goods Leisure Toys Domestic Appliances Consumer Goods

Company: Crayonne (division of Airfix Industries) Country: United Kingdom, USA Position: Founder & CEO (1970 -1980) • New Household Products 7

Company: Benchmark Designs Studios (division of Airfix Ind. ) Country: United Kingdom Position: Founder & CEO (1975 -1980) • • 8 Home products Car Interiors (Renault) Ladies’ Fashion Mail Order Catalogs

Company: Airfix Industries Ltd. Country: United Kingdom, USA, Germany and France Position: Group Managing Director (1975 -1980) • • 9 Domestic Appliances Home products Leisure and Toys Software Fashion Supplier to Marks & Spencer and all major stores in Europe/USA Duke of Edinburgh Design Award 1975 for Crayonne Products Sunday Times Export Award of the Year

Company: US Clearfax Inc. Country: USA - Las Vegas, NV Position: President & CEO (1980 -1981) • Fax Transmission Service 10

Company: Solidyne Inc. (NASDAQ quoted company) Country: USA, UK, Netherlands Position: President & CEO (1981 -1984) • • 11 Colpitt - Heat Sealers, Stationery & Medical Packaging Stanelco - Induction Heaters & Fiber optics Thermatron - High Frequency Heat Sealers Sealomatic - High Frequency Heat Sealers

Company: North Hills Inc. (NASDAQ quoted company) (Acquired by Porta Systems Inc. Amex-quoted corporation in 1990) Country: USA, Israel. Position: President & CEO & Founder of North Hills, Israel (1984 -1994) • Data Communications Equipment • Military Power Supplies 12

Company: Integrity Ventures Inc. Country: USA, Israel Position: President founder & CEO (1994 -1997) • Corporate identity Investors in: and culture • Multimedia consultants - through • Software Wally Olins, UK • Hypertext • Infotext • Investment Management 13

Company: The American Inc. Country: USA, UK, Germany Position: President & General Manager (1997 -1998) • Global Newspaper 14

Company: Solid ISG Group Ltd. Country: USA, UK, Israel and Germany Position: CEO (1998 -2002) • Investment Banking 15

What is Executive Mentoring? 16

Helping the Executive to Grow the Business * • * • • • 17 Executive Mentoring is a special interactive form of management development Covers 2 main aspects: Personal attributes and motivation Business management and operation Process, set of behaviors and relationships Increases individual performance

Helping the Executive to Grow the Business * * * 18 • • • Management by objective Management by exception Time management Lateral thinking in decision making Embraces all business aspects

Helping the Executive to Grow the Business * 19 • Unlocks his/her potential • Maximizes business and personal performance • Designed to support the top executive • Improving performance by providing experience, focus and outside perspective • “Change Management”

Helping the Executive to Grow the Business * • • • 20 Improves executive effectiveness Provides focus and support in the process of formulating the corporate vision. Defining the goals Setting the strategy and performance benchmarks Projecting the corporate identity

Helping the Executive to Grow the Business * • * 21 Fostering corporate ethical culture within the organization • Safeguarding ethics credibility and integrity • Leading to stronger leadership • Strong leadership is paramount for success

Questions to be asked… • For the young entrepreneur. – Tell me all about yourself and your business! – Why did you go into business? • • • Self-management? Financial independence? Creative freedom? Mange your own time? To best deploy your skills for your own benefit? What do you expect Mentoring can do for you? 22

Questions to be asked… • For the young business executive (not self employed) – – – Tell me all about yourself and your business! Is this a family business? Is management your job or hobby? Are you happy in your job? Are you doing what you like, or like what you are doing? – Would you rather be doing something else? If so what? What do you expect mentoring can do for you? 23

Business Ethics Mentoring • What is Business Ethics? Business Ethics refers to the value structure that guides the executive and his staff in the decision making process when they are faced with a dilemma of how to behave within their business or professional lives. Usually the impact of that decision will not be felt only in their immediate, organizational environment. * but in the community around. Business ethics is a management discipline. 24

Business Ethics Mentoring • Moral business behavior encourages long lasting and successful business relationships and loyal employees. * Integrity demands honesty even when it is contrary to financial advantage. 25

Business Ethics Mentoring * • 26 Ethical values consistently applied, are the cornerstone in building a commercially successful and socially responsible business.

The Science of Conduct * • * 27 The mentoring process is about what is right or wrong, and learning to do what is right: – Dealing with the challenge of what is right to do – Doing the right thing regardless “who is right” but what is right – Managing competing rights – The role of senior management in setting the ethical agenda – Key factors in ethical success or ethical melt down of a business organization

The Science of Conduct * 28 • Ethical blind spots that are sources of organization missteps • The role of executive leaders in determining ethical (or non) ethical organizational behavior

The Science of Conduct * • 29 Avoiding the common pitfalls – “Everyone else does it” – “They will never miss it” – “Nobody will care” – “No one will know” – “It is not my job”

Traits of the Ethical Organization • Characteristics of a highly ethical organization managed with integrity. * 30 – There exists a clear vision and picture of integrity throughout the organization. – The vision is owned and embodied by top management. – The reward system is aligned with the vision of integrity. – Policies and practices of the organization are aligned with the vision, no mixed messages. – It is understood that every significant management decision has ethical value dimension.

Bottom Line Benefits • Overall benefits of ethics Mentoring program, and what can it do for the bottom line? * 31 – Managing ethical values in the workplace legitimizes managerial actions, strengthens the coherence and balance of organization’s culture. – Improves trust in the relationship between the staff, Suppliers, Customers, Service Providers, Investors/Shareholders. – Supports greater consistency in standards and qualities of products. – Cultivate greater sensitivity to impact of the enterprise’s values and messages.

CHARACTER TRAITS OF AN EFFECTIVE BUSINESS LEADER • • • * 33 • • • • ** * Integrity, honesty loyalty and responsibility Creative and visionary Knowledge of own strengths and weaknesses Humble but confident Never sends mixed messages Effective communicator Patient Passionate Perseverance power Self- motivation Able to say no when required Experienced Able to teach Optimistic in character Adaptable Assertive powers Able to inspire others Organized * • • • • • Respects self and respects others Praises others for work well done GREAT LISTENER Delegates and trusts others Friendly Decisive Self-aware Dedicated Knows when to forgive Mediates conflicts Resourceful Pro-active Diplomatic Energetic and productive Inquisitive in detail Willing to consider changes Willing to take risks Efficient Prepared to accept and admit his own faults • • • Able to plan and set goals Assess past successes and failures Builds consensus Overcomes setbacks Stands for personal values and beliefs Understands his/hers limitations Assumes responsibilities Ability to give and receive feedback Willing to trust feelings and intuitions Personable Always rallies the troops around the flag

LEADERSHIP AND CULTURE * • • * • 34 A leader must earn respect, not demand it The best concept cannot withstand poor leadership Leadership is the ability to get extraordinary achievement from ordinary people. A true leader thinks and talks about solutions. Followers think and talk about problems. Leaders do not always make the right decisions, but they make their decisions right!

THE ART OF MANAGEMENT * • Management is the art of getting things done through others. • Management is also working with people to create an atmosphere which encourages the most effective and efficient use of all the organization’s resources and creates corporate culture. • Motivating people is a major challenge 35

PERSONAL MOTIVATION * 36 • Self- motivation is the power that raises you to any level you seek !! • A common reason for human failure is total disregard for self-motivation !! • It is impossible to motivate someone else until you’ve learned to motivate yourself !! • SELF-MOTIVATED PEOPLE MAKE COMMITMENTS; ORDINARY PEOPLE MAKE PROMISES !!!

DELEGATION A KEY TO GROWTH – IF YOU DON’T GROW, YOU GO 37

DELEGATION * * 38 – Delegation is an essential managerial skill – Far more time is taken up by routine activities that should be delegated. – Delegation involves entrusting another person with a task for which, you the delegator, loses direct control, but retains overall responsibility. – You start with proper briefing of the role. – You cannot hold people responsible for vague or undefined tasks.

DELEGATION * 39 – Putting in place a proper monitoring process is essential, but it should be used for control and mentoring rather than interference. – Given the delegate a sense of achievement and a greater sense of satisfaction as well as a greater sense of growth. – The fear of overburdening your staff is a strong barrier to delegation. – How much authority is a delegate able to exercise without referring back to you? – How far you should exercise direct influence over the work of the delegate?

DELEGATION * 40 – It is important not to allow the overburdening argument to result in overwork for yourself. – Learning that “letting go” of work gets easier the more you do it. – Fear is a major barrier to delegation. – Fear to lose control or fear to delegate to the wrong person. – When you recognize the barriers that are preventing you from delegating effectively, you’re more than half way towards dealing with them. – Once you have overcome your initial fear, your efficiency as a delegator will be greatly increased.

DELEGATION * 41 – Overcoming possessive feelings about the retention of tasks which are negative and unproductive. – Keeping hold of minor tasks impedes the development of effective management. – Overcoming the excuse that you can’t delegate because you lack the time to explain or monitor the tasks that should be delegated. – Organize to insure that enough time is allocated to plan and manage delegation properly, including initiating effective briefing, and the actual monitoring of the delegate.

DELEGATION – The more delegates realize that they have real responsibility and won’t be second guessed, the better they will do. – Delegate tasks to delegates that you consider to be honest, honest enough to tell you if they disagree with you. – If you don’t trust a member of your staff, let them go. 42

POST MERGER CONSOLIDATION MENTORING * 43 • FOR EVERY MERGER THAT TURNS INTO SUCCESS, THREE OTHERS ARE DISAPPOINTMENTS OR FAILURES.

POST MERGER CONSOLIDATION MENTORING • Frequently, this is not because the mergers have been ill conceived, but because they were poorly executed. • Consolidation success depends on a clear vision of what the new entity is supposed to achieve. 44

POST MERGER CONSOLIDATION MENTORING * * 45 • Communicating the business objective of the merger • Implementing the action plan with speed • Attending to culture differences • Building momentum to gain early benefits

POST MERGER CONSOLIDATION MENTORING • What are the main challenges? * 46 – You must have a superb plan backed up by a firm commitment – Effective and diligent management is essential for a successful merger. – Penalties for failing can be staggering

MENTORING FOR SUCCESSION AND DELEGATION * • When the time has come to plan for succession by one person taking the place of another and assuming one’s duties and rights, partly or fully, the act of succession is in progress. • When the process of empowering one to act for another is in progress, the act of succession delegation is committed. – (this process is different than pure management delegation) 47

MENTORING FOR SUCCESSION AND DELEGATION • What are the challenges? – Require a very detailed plan of action – Must plan ahead and be committed – Failure often due to poor execution of the succession and delegation process 48

MENTORING FOR SUCCESSION AND DELEGATION • To succeed in carrying out this complex process, five main factors have to come together. * * 49 – Determining the degree of preparedness to make the change. – Making sure that the will exists to appoint a successor and why. – A well-defined timetable to start and end the process of handing over. – There exists a will and resignation to let go and delegating to others. – Room is being created for the successor to take over, by handing down and transferring the appropriate authority, while one assumes responsibility.

MENTORING FOR SUCCESSION AND DELEGATION * • 50 The MENTORING PROGRAM is designed to deal with questions of divided loyalties inside and outside the organization during the handing over period.

CORPORATE IDENTITY & CORPORATE CULTURE • EVERY BUSINESS HAS AN IDENTITY… • THE ROLE OF EXECUTIVE MENTORING IN DEFINING THE CORPORATE IDENTITY AND DEVELOPING CORPORATE CULTURE 51

Culture Assessment * • It is critical to find out who you really are as well as who you are striving to be • Provide measurable data about the real organizational values and norms • Measure how near and far off the mark things really are 52

Culture Assessment * 53 • Asses whether management is practicing what it preaches • Helps the executive to fine tune the emerged identity • Assist in developing the corporate culture

CORPORATE IDENTITY & CORPORATE CULTURE * • • • 54 The success of a business enterprise derives from its products backed by its economical power Derived from the organization’s moral behavior Aesthetic projection of its image Power of its culture

CORPORATE IDENTITY & CORPORATE CULTURE * • 55 Every business, by its nature, communicates all the time, inside and to the outside, regardless of its end products, services or manufacturing, etc. The company is communicating its message in every form. The totality of the way the business presents itself, and is seen to be can be called its identity

CORPORATE IDENTITY & CORPORATE CULTURE * • Before a corporate culture is developed in a business organization, a complete comprehension of its identity should be clear • Controlling the corporate identity can be the single most powerful influence on the corporate culture 56

CORPORATE IDENTITY & CORPORATE CULTURE • Most companies’ identity emerge naturally • Identity developed intuitively as the company grows • Manifestation of the personality of the * founder • Bears his or her “name and imprint” 57

CORPORATE IDENTITY & CORPORATE CULTURE * 58 When the business expands, often the identity gets out of step with reality

CORPORATE IDENTITY & CORPORATE CULTURE * • Strong corporate identity helps the company to differentiate itself • Founder is no longer “alone” the identity evolves into a team culture or corporate culture. 59

CORPORATE IDENTITY & CORPORATE CULTURE • The importance of developing a strong corporate culture is growing as a result * of companies’ policies encouraging employees to be more responsible, and to act and think like owners. We see this manifesting itself as companies’ adopt practices of issuing stock and stock options at all ranks 60

Corporate Culture * 61 • Drives the organization and its actions • “Operating system” of the organization • Guides how employees think, act and feel - it is the personality of the organization • Interactive dynamic experience • Some are visual and tangible while others are intangible and almost unconscious

Corporate Culture and Employees * 62 • Most valuable assets in a business organization • “buy into” the corporate culture • Results in a smoother introduction • Will give a business advantage • Saves time and cost

AN EXAMPLE OF OPERATIONAL SUBJECTS COVERD BY THE MENTOR • • Client’s market research Focusing the vision Formulating the business plan Review the recruitment policy procedures, staff training &employees manual * • Auditing personnel & assessing manpower requirements • Review present capacity • Project future capacity need 63

AN EXAMPLE OF OPERATIONAL SUBJECTS COVERD BY THE MENTOR * 64 • Analyze quality of products and services • Analyze banking facilities • Review list of professionals being used

AN EXAMPLE OF OPERATIONAL SUBJECTS COVERD BY THE MENTOR * * 65 • Analyze products costs • Determining desired product mix • Relate marketing costs-efforts to sales results • Analyze IT benefits costs • Review all reporting policies& procedures

Review Organization Chart & Line of Command 66

Review Organization Chart & Line of Command 67

Review Organization Chart & Line of Command 68

EXECUTIVE MENTORING FOR THE GLOBAL ARENA DIVERSITY PROGRAM COORDINATION 69

EXECUTIVE MENTORING FOR THE GLOBAL ARENA * * 70 • Assist the executive in clarifying his corporate vision, for the organization worldwide. • Formulate a corporate policy worldwide, and create the foundation for a dynamic corporate culture. • Assist in creating a multi-cultural, multi-national team. • Ascertain that corporate policy is carried out as corporate culture takes place in all locations of the corporation. • Assist in turning global diversity into an opportunity.

EXECUTIVE MENTORING FOR THE GLOBAL ARENA * • * • • • * • 71 Assist in formulation free-flowing resource allocation schemes. Monitoring consistency of corporate policy, while ensuring flexibility for local needs. Facilitate a better understanding amongst people who are different. Assist in building strong foreign business relationships. Assist in fostering strong leadership in decentralized and distant operations, and monitoring performance.

SYMPTOMS * 72 • You realize you are far off the mark • Don’t understand why things are not happening • You can’t see things clearly, you must be too close or too far. • You talk, and nobody listens, and it’s not because they can’t hear. • Success is claimed by all, but you are the only address for failures. • You hear them talking to you, but you’re not listening to them.

SYMPTOMS * * 73 • You are the only one who is surprised. • You are informed of the need for changes, but you are the only one expected to make them. • Your most loyal employee appears to behave disloyally. • You have transformed from a human being to a human “doing”. • You wish you knew more about managing people day to day

SYMPTOMS * 74 • Managing is becoming a chore that you would prefer to dispense of, and spend all of your time on reaching for your vision. • You feel that you should know more about business economics of the downside risk against the upside turn. • You feel overwhelmed by demand find it difficult to satisfy supply. • You feel that your limited business experience is stymieing your growth.

SYMPTOMS * • • • 75 You feel the need to expand the business, but you are not sure that this is really what you want for yourself. You feel that everything is urgent, and you can’t cope with the pressure. You are afraid to lose control of the business. Through no fault of yours, the company’s integrity is being compromised. You find it difficult to face problems, and avoidance is tempting as a solution

SYMPTOMS * • * 76 You are the last to go home, and you don’t recall than anyone said good night. • Having done all that you have done, you feel unhappy with the outcome. • Blaming others for your failures has to stop, but you can’t bring yourself to accept the blame. • People around you expect to be handed more and more authority, but will shirk from their responsibility.

SYMPTOMS * 77 • Your day is getting longer and longer, but you appear to achieve less and less. • You start wondering who is out of step, you or them. • You appear to be the only one with all the answers all of the time. • The outsiders appreciate you more than the insiders. • The truth and the facts speak for themselves, and you appear to be the only one to see it

SYMPTOMS * • • • 78 You would like to go back to where you were, so that you can go to where you intended to be in the first place. You want to round up a posse, but you can’t find any deputies. You feel that you tend to over-commit and underdeliver. You think that you have given away generously, but instead of appreciation you are experiencing resentment. You wake up to a rude awakening and realize that you are different from “them”.

SYMPTOMS * • You think that you have delegated all that you should for now, but you are being pressured to relinquish more. • You think that you have treated everybody equally, but you find out that some expect to be treated more equal than others. • You are working hard and feel that you are getting no recognition in return. • You feel that it is time to make a change, but you are not getting support around you. 79

SYMPTOMS * 80 • People around you seem to be saying the same things again and again, but you are yearning for innovation. • The people that you teamed up with surprise and disappoint you. • You would “throw in the towel”, but you can’t afford the luxury. • You feel that you could do much better, but you don’t feel like putting in the necessary effort.

SYMPTOMS * • • • 81 You know that things are not what they look like, but you can’t face reality. You start wondering if you are more like them than like yourself. You feel that it is time to stop pretending, but you can’t face it alone. In spite of all positive occurrences, one negative mars the outlook. Your credibility appears to be waning.