True to Yourself

true to yourself THE SOCIAL VENTURE NETWORK SERIES true to yourself LEADING A VALUES - BASED BUSINESS Mark Albion True to Yourself Copyright © 2006 by Dr. Mark S. Albion All rights reserved. No part of this publication may be reproduced, distributed, or transmitted in any form or by any means, including photocopying, recording, or other electronic or mechanical methods, without the prior written permission of the publisher, except in the case of brief quotations embodied in critical reviews and certain other noncommercial uses permitted by copyright law. For permission requests, write to the publisher, addressed “Attention: Permissions Coordinator,” at the address below. Berrett-Koehler Publishers, Inc. 235 Montgomery Street, Suite 650 San Francisco, California 94104-2916 Tel: (415) 288-0260, Fax: (415) 362-2512 www.bkconnection.com Ordering information for print editions Quantity sales. 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First Edition Paperback print edition ISBN 978-1-57675-378-1 PDF e-book ISBN 978-1-57675-950-9 2008-1 Cover design: Leslie Waltzer, Crowfoot Design Interior design and composition: Beverly Butterfield, Girl of the West Productions Editing: PeopleSpeak Indexing: Rachel Rice To a foot soldier for transformation, Josh Mailman, who has taught me that the true measure of a leader’s success is in the lives touched This page intentionally left blank Contents Letter from the Editor of the Social Venture Network Series Preface Acknowledgments Introduction: Leading Differently 1 2 3 4 5 6 7 The New Values: Transparency, Sustainability, and Responsibility The Three Cs: Competence, Compassion, and Commitment Turn Your Values into Value Walk Toward the Talk Communicate with Care Facilitate Personal Growth Collaborate for Greater Impact ix xi xv 1 13 33 57 73 93 111 131 151 159 163 169 171 Summary: Leadership Is Learning Resources Index About Social Venture Network About the Author vii This page intentionally left blank Letter from the Editor of the Social Venture Network Series Business can be beautiful. If any overarching theme characterizes the books in this series, that’s it. And the notion that starting or running a business can be a joyful experience emerges more clearly than ever in this inspiring book by Mark Albion. Mark’s topic is leadership, one of the most fundamental aspects of any organization—and perhaps the most basic of all. It’s no coincidence that academic observers of the world of business have noted a strong correlation between a company’s financial performance and its adoption of socially responsible business policies and practices. The explanation they offer? That what distinguishes these companies is superior leadership. Their enlightened policies and practices reflect a leader’s deeper, more sensitive understanding of the marketplace and the world in which we all live and work. They make a business run better. Few people anywhere could tackle the theme of leadership in business with more authority or grace than Mark Albion. Mark has approached business from almost every conceivable angle—as an employee, a serial entrepreneur, a consultant, a cofounder and adviser (Net Impact, formerly Students for Responsible Business), a professor (Harvard Business School), and a bestselling author (Making a Life, Making a Living®: Reclaiming Your Purpose and Passion in Business and in Life). Other notable authors have treated the subject of business leadership in general. Some have made extraordinary contributions to our understanding of the topic and how we may internalize the lessons they’ve learned through painful experience. ix But no one previously has addressed the special challenges, and the special rewards, of running a company dedicated to the triple bottom line of people, planet, and profit. That’s Mark Albion’s turf. Mark has been one of the leading lights of Social Venture Network for many years. I’m proud to have known and learned from him through all that time. As you make your way through the pages of this book, you’ll learn, too. I’m sure of it. Mal Warwick Berkeley, California May 2006 x True to Yourself Preface In the fall of 1988, when I was thirty-seven, the first part of my adult work life ended. I left my job at Harvard Business School to build a business that reflected my values. I did have some practical experience. Before I became a professor, I had worked with my father selling real estate. Dad began his career working with his father in their chemical products company. After many ups and downs, the business failed. So in the summer of 1967, Dad and I went to work for Gulf American Real Estate Corporation, selling undeveloped property in Florida to New Englanders. Bankrupt and unable to get a bank loan, Dad also sold insurance to pay the bills for his family of six. The following year, he used our real estate commissions to buy options on our own undeveloped property in Florida. We divided the property into several lots and sold them with a ten-year mortgage that we kept ourselves. This meant that we got less money at first (a 10 percent down payment) but a decade of monthly payments with interest, too. We used this cash flow to pay off our cost of the entire property over time while keeping several lots for ourselves. Through real estate, Dad taught me my first three lessons for building a business: 1. Nothing is impossible. You might not have any money, but that doesn’t mean you can’t start a business