The MTP Business Learning Blog

This blog is produced by MTP for senior professionals highlighting relevant and interesting books and articles on business, finance and strategy, and the opportunity to comment on them. It also contains news of MTP and its clients and, from time to time, extracts from MTP publications.

Thursday 5 September 2013

How experts gain influence

‘How experts gain influence’ by Anette Mikes, Matthew Hall and Yuval Millo, Harvard Business Review, July/August 2013

There are a number of features that make this article in the Harvard Business Review unusual and, for me, worthy of special attention.  Firstly it is by three Brits who have done well to get their work into such a prestigious publication; secondly all three authors have titles that show a financial specialisation.  Accountants writing about influencing may seem an odd combination but, to all of us at MTP, this is of particular interest after our recent research on Finance Business Partnering.  Influencing is seen as a key skill by all those companies who contributed to our research.


The article is one of four within a special HBR feature on influencing and, perhaps because of the relevance to MTP’s work, I found it to be the best of the four.  This is despite an unfortunate start which describes the risk management departments of two ‘British financial institutions’ before the financial crisis; one had great influence and the other did not, the difference being the way they organised their activities.  But the credibility of this example is spoilt by the use of fictional names.  Authors don’t realise that anonymous examples are less credible and make cynical readers like me suspect that the truth has been modified to support the arguments.

The structure of the article is built around four competencies, all of which begin with a ‘T’. Yet, to their credit, the authors do not talk about the ‘four Ts’ but instead explain each competence clearly, with some good examples.  Unfortunately the examples still come from the two anonymous financial institutions; surely they could have found a few quotable companies from their research?  This would also have taken the messages out of the orbit of risk management, because their concepts seem to have wider application to all functions with specialist expertise

The four competencies are Trailblazing, Toolmaking, Teamwork and Translation and these are not mutually exclusive.  The labels are to some extent self-explanatory.  Trailblazers address issues that are outside the current vision of top management.  This does not just mean looking for new strategic opportunities; it is also about getting close to those at lower levels and obtaining insights that are not being passed up the line.
Toolmakers are those that help to spread their expertise by developing concepts and frameworks that can be used by those responsible for application.  The importance of Teamwork is perhaps the weakest of the four dimensions, in the sense that it is relatively obvious as a key skill of the expert who needs others to support practical application.  There is emphasis on the importance of discussing tools with key people, seeking feedback and incorporating ideas; all good common sense stuff.  Translation is an extension of this skill, being able to simplify complex content and help others to interpret results.

These four competencies are not presented as alternatives, nor are they seen as mutually exclusive; the implications of different combinations are suggested.    Those who combine Trailblazing and Toolmaking are seen as ‘Technical Champions’.  And - of most interest to MTP for our work on Business Partnering - those who combine Trailblazing, Teamwork and Translation, are the Business Partners, who gain the ear of decision makers by producing practical analysis and interpretation. Finally, the complete performers are those who combine all four competencies, described as ‘Engaged Toolmakers’, able to influence effectively throughout the organisation, without needing the support of others. 

After these descriptions, the authors return to the case study of the two financial institutions and, using a grid which rates each of the four competencies from low to high, show how the company with risk managers who were ‘Engaged Toolmakers’ had the most influence on decision making.  The other institution – which had people with only some of the required competencies – had less influence because there efforts were divided and uncoordinated.  Therefore the message is that an expert can be effective as a champion or business partner with only some of the competencies but you need all four to have maximum influence.  It would however have been nice to have a snappier label than ‘Engaged Toolmaker’.

This article provides an interesting and useful competency framework but, after an excellent start, was slightly disappointing.  Perhaps it was the authors’ accounting backgrounds that made them stick to Risk Management as an example of expert contributions but it was a mistake.  Other aspects of Finance - like investment decision making for instance - would have been easier to relate to and they could have moved outside the finance area for some examples. 

It is perhaps indicative of the recent trend of HBR that a slightly disappointing article seems to be their best contribution on this topic.

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