White Hat Leadership

What is White Hat Leadership?Posted on August 20, 2010 by Joe Gabriel

But I’m getting way ahead of myself.  Let’s start with something simple . . .the White Hat – symbol of the good guys in the American West. The Lone Ranger wore one, and so did lots of other cowboys and cowgals who always did the right thing, rode into town, and saved the townspeople.

They were special because they placed service to others over their concern for themselves. They took risks, but were skilled enough to come out on top. They valued the people around them, and were often even hospitable to the “bad guys”. They lived in integrity, with the Cowboy Code as their guide (listed at end).

Some of today’s leaders were inspired by the image of the white hat cowboys, if only sub-consciously. They bring leadership traits to their companies that reflect much of what’s in The Cowboy Code.

The Seven Traits of White Hat Leaders

1. They value their employees, listen to their ideas, and give them the authority to take action that serves the customers’ interest.
2. They go above and beyond in serving their customers.  They are loyal to their customers, who in turn are loyal to them.
3. They have integrity, so they do what they say they will do. Their word is their bond.
4. They take the long view and don’t get caught up in all the drama of short-term results.
5. They seek to constantly develop themselves and their companies through ongoing learning from many sources.
6. They use money wisely for the benefit of their company and employees, invest in research, and voluntarily give back to the community and the world, grateful for what they have and for the ability to help others less fortunate. They do not pursue money for its own sake or to acquire symbols of wealth, but rather to enjoy the rich life experience money affords them.
7. They are real people, sometimes even humble, who value the process (journey) of building and nurturing their company, employees, and their own humanity instead of their egos.

For a fuller description of these values see http://wp.me/P11Ecy-4g

Leaders who have adopted these traits run some of the most successful companies in America. At the head of the pack is Tony Hsieh (pronounced Shay) of Zappos,

who grew his company in only 10 years from nothing to a net worth of $1.2 billion. Although he sold Zappos to Amazon, he remains CEO and runs the company as he always has.  I was delighted when Tony shared with me a few of the methods he uses to screen new employees:

1. Everyone that joins the company must be trained for 4 weeks and then spend their first month helping customers on the phone. No exceptions, even for C-level executives. That’s because everyone needs to understand the core value offered by the company and how it’s delivered.
2. When candidates are shuttled-in for interviews, Zappos uses a very effective way to weed out people who talk the talk, but don’t walk it.  In addition to the standard interview process, the hiring manager asks the shuttle driver how they were treated by the candidate. If the driver was shown any rudeness or disrespect, the candidate is not hired, no matter how impressive their resume or how well they did with their interviews. All employees must have a positive spirit, and be open and honest in their communication with others.
3. After employees receive their initial 4 weeks of training, they are offered $3,000 to quit. Those that really want to work at Zappos reject the offer because they value the company and how its culture allows them to bring their authentic selves to the workplace. Those that accept the offer self-select out of the company before any more time and money is spent on them. The end result is amazingly low turnover, which more than offsets the $3,000 payouts.

And Tony is not alone. More and more companies are adopting White Hat Leadership values as they realize that the true path to profits lie with the employees, who will thrive and contribute only if the corporate culture values them.

 

More to come on White Hat Leadership . . .  My goal is to highlight 36 White Hat Companies, tell their stories, and find the common threads that make them great. Future blogs will tell these stories, along with some of my personal learning experiences growing up and later working in a vast array of corporate cultures; some White Hat, and others not.

My hope is that you will be inspired to share these blog postings with others; that you will spread the word about White Hat Leadership and accelerate the pace of our county’s rebirth.  Together, we can win more profits for the White Hat companies, bring prosperity to all, and just maybe convert some of the “bad guys” into White Hat Leaders.

 

 

 

 

The Lone Ranger A fiery horse with the speed of light, a cloud of dust, and a hearty ‘Hi-ho Silver away!

 The Cowboy Code[2]

1. A cowboy is loyal to his “brand,” to his friends, and those he rides with.
   
2. Honesty is absolute – your word is your bond, a handshake is more binding than a contract.A cowboy always helps someone in need, even a stranger or an enemy.
3.  Respect the land and the environment by not smoking in hazardous fire areas, disfiguring rocks, trees, or other natural areas.
    
   
4. Consideration for others is central to the code, such as: Don’t stir up dust around the chuckwagon, don’t wake up the wrong man for herd duty, etc.
    
5. Real cowboys are modest.  A braggert who is “all hat and no cattle” is not tolerated.
6. Always be courageous. Cowards aren’t tolerated in any outfit worth its salt.

---

[1]The origins and growth of this phenomenon are worth investigating, but beyond the scope of this discussion.

[2] http://www.legendsofamerica.com/we-codewest.html