Level 5 leaders sit on top of a hierarchy of capabilities. To be a full-fledged Level 5 leader requires the capabilities of all the lower levels, plus the special characteristics of Level 5. Catalytic mechanisms help catapult organizations over this hurdle. These simple yet powerful tools enable companies to propel commitment past the point of no return. They are galvanizing, non-bureaucratic means of turning visions into reality, usually involving a redistribution of power.
Short pay is a defining example of a catalytic mechanism.
Granite Rock mobilized its employees to feverish levels of performance improvement with this simple but radical policy that invites customers who are not completely satisfied to reduce their invoice payment, without returning product. Receive Free E-Mail Updates on what's new from HBR OnPoint. All rights reserved .