Development Plan

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BEST OF HBR 1999
Success in the knowledge
economy comes to those who
know themselves—their
strengths, their values, and
how they best perform.
Managing Oneself
by Peter F. Drucker
•
Included with this full-text Harvard Business Review article:
1 Article Summary
The Idea in Brief—the core idea
The Idea in Practice—putting the idea to work
2 Managing Oneself
12 Further Reading
A list of related materials, with annotations to guide further
exploration of the article’s ideas and applications
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BEST OF HBR 1999
Managing Oneself
The Idea in Brief
The Idea in Practice
We live in an age of unprecedented opportunity: If you’ve got ambition, drive, and
smarts, you can rise to the top of your chosen profession—regardless of where you
started out. But with opportunity comes responsibility. Companies today aren’t managing their knowledge workers’ careers.
Rather, we must each be our own chief executive officer.
To build a life of excellence, begin by asking yourself these questions:
Simply put, it’s up to you to carve out your
place in the work world and know when to
change course. And it’s up to you to keep
yourself engaged and productive during a
work life that may span some 50 years.
COPYRIGHT © 2004 HARVARD BUSINESS SCHOOL PUBLISHING CORPORATION. ALL RIGHTS RESERVED.
To do all of these things well, you’ll need to
cultivate a deep understanding of yourself.
What are your most valuable strengths and
most dangerous weaknesses? Equally important, how do you learn and work with
others? What are your most deeply held values? And in what type of work environment
can you make the greatest contribution?
The implication is clear: Only when you operate from a combination of your strengths
and self-knowledge can you achieve true—
and lasting—excellence.
“What are my strengths?”
To accurately identify your strengths, use
feedback analysis. Every time you make a key
decision, write down the outcome you expect. Several months later, compare the actual
results with your expected results. Look for
patterns in what you’re seeing: What results
are you skilled at generating? What abilities do
you need to enhance in order to get the results you want? What unproductive habits are
preventing you from creating the outcomes
you desire? In identifying opportunities for improvement, don’t waste time cultivating skill
areas where you have little competence. Instead, concentrate on—and build on—your
strengths.
“How do I work?”
In what ways do you work best? Do you process information most effectively by reading
it, or by hearing others discuss it? Do you
accomplish the most by working with other
people, or by working alone? Do you perform best while making decisions, or while
advising others on key matters? Are you in
top form when things get stressful, or do
you function optimally in a highly predictable environment?
“What are my values?”
What are your ethics? What do you see as your
most important responsibilities for living a
worthy, ethical life? Do your organization’s
ethics resonate with your own values? If not,
your career will likely be marked by frustration
and poor performance.
“Where do I belong?”
Consider your strengths, preferred work style,
and values. Based on these qualities, in what
kind of work environment would you fit in
best? Find the perfect fit, and you’ll transform
yourself from a merely acceptable employee
into a star performer.
“What can I contribute?”
In earlier eras, companies told businesspeople
what their contribution should be. Today, you
have choices. To decide how you can best enhance your organization’s performance, first
ask what the situation requires. Based on your
strengths, work style, and values, how might
you make the greatest contribution to your
organization’s efforts?
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Success in the knowledge economy comes to those who know
themselves—their strengths, their values, and how they best perform.
B E S T O F HB R 1 9 9 9
Managing Oneself
by Peter F. Drucker
COPYRIGHT © 2004 HARVARD BUSINESS SCHOOL PUBLISHING CORPORATION. ALL RIGHTS RESERVED.
We live in an age of unprecedented opportunity:
If you’ve got ambition and smarts, you can rise to
the top of your chosen profession, regardless of
where you started out.
But with opportunity comes responsibility.
Companies today aren’t managing their employees’ careers; knowledge workers must, effectively, be their own chief executive officers. It’s up
to you to carve out your place, to know when to
change course, and to keep yourself engaged and
productive during a work life that may span
some 50 years. To do those things well, you’ll
need to cultivate a deep understanding of yourself—not only what your strengths and weaknesses are but also how you learn, how you work
with others, what your values are, and where you
can make the greatest contribution. Because only
when you operate from strengths can you
achieve true excellence.
History’s great achievers—a Napoléon, a da
Vinci, a Mozart—have always managed themselves. That, in large measure, is what makes
them great achievers. But they are rare excep-
harvard business review • january 2005
tions, so unusual both in their talents and
their accomplishments as to be considered
outside the boundaries of ordinary human existence. Now, most of us, even those of us with
modest endowments, will have to learn to
manage ourselves. We will have to learn to develop ourselves. We will have to place ourselves where we can make the greatest contribution. And we will have to stay mentally alert
and engaged during a 50-year working life,
which means knowing how and when to
change the work we do.
What Are My Strengths?
Most people think they know what they are
good at. They are usually wrong. More often,
people know what they are not good at—and
even then more people are wrong than right.
And yet, a person can perform only from
strength. One cannot build performance on
weaknesses, let alone on something one cannot do at all.
Throughout history, people had little
need to know their strengths. A person was
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Managing Oneself •• •B EST OF HBR 1999
Peter F. Drucker is the Marie Rankin
Clarke Professor of Social Science and
Management (Emeritus) at Claremont
Graduate University in Claremont, California. This article is an excerpt from his
book Management Challenges for the
21st Century (HarperCollins, 1999).
harvard business review • january 2005
born into a position and a line of work: The
peasant’s son would also be a peasant; the artisan’s daughter, an artisan’s wife; and so on.
But now people have choices. We need to
know our strengths in order to know where
we belong.
The only way to discover your strengths is
through feedback analysis. Whenever you
make a key decision or take a key action, write
down what you expect will happen. Nine or 12
months later, compare the actual results with
your expectations. I have been practicing this
method for 15 to 20 years now, and every time
I do it, I am surprised. The feedback analysis
showed me, for instance—and to my great surprise—that I have an intuitive understanding
of technical people, whether they are engineers or accountants or market researchers. It
also showed me that I don’t really resonate
with generalists.
Feedback analysis is by no means new. It
was invented sometime in the fourteenth century by an otherwise totally obscure German
theologian and picked up quite independently,
some 150 years later, by John Calvin and Ignatius of Loyola, each of whom incorporated it
into the practice of his followers. In fact, the
steadfast focus on performance and results
that this habit produces explains why the institutions these two men founded, the Calvinist
church and the Jesuit order, came to dominate
Europe within 30 years.
Practiced consistently, this simple method
will show you within a fairly short period of
time, maybe two or three years, where your
strengths lie—and this is the most important
thing to know. The method will show you
what you are doing or failing to do that deprives you of the full benefits of your
strengths. It will show you where you are not
particularly competent. And finally, it will
show you where you have no strengths and
cannot perform.
Several implications for action follow from
feedback analysis. First and foremost, concentrate on your strengths. Put yourself where
your strengths can produce results.
Second, work on improving your strengths.
Analysis will rapidly show where you need to
improve skills or acquire new ones. It will also
show the gaps in your knowledge—and those
can usually be filled. Mathematicians are born,
but everyone can learn trigonometry.
Third, discover where your intellectual arro-
gance is causing disabling ignorance and overcome it. Far too many people—especially people with great expertise in one area—are
contemptuous of knowledge in other areas or
believe that being bright is a substitute for
knowledge. First-rate engineers, for instance,
tend to take pride in not knowing anything
about people. Human beings, they believe, are
much too disorderly for the good engineering
mind. Human resources professionals, by contrast, often pride themselves on their ignorance of elementary accounting or of quantitative methods altogether. But taking pride in
such ignorance is self-defeating. Go to work on
acquiring the skills and knowledge you need to
fully realize your strengths.
It is equally essential to remedy your bad
habits—the things you do or fail to do that inhibit your effectiveness and performance. Such
habits will quickly show up in the feedback.
For example, a planner may find that his beautiful plans fail because he does not follow
through on them. Like so many brilliant people, he believes that ideas move mountains.
But bulldozers move mountains; ideas show
where the bulldozers should go to work. This
planner will have to learn that the work does
not stop when the plan is completed. He must
find people to carry out the plan and explain it
to them. He must adapt and change it as he
puts it into action. And finally, he must decide
when to stop pushing the plan.
At the same time, feedback will also reveal
when the problem is a lack of manners. Manners are the lubricating oil of an organization.
It is a law of nature that two moving bodies in
contact with each other create friction. This is
as true for human beings as it is for inanimate
objects. Manners—simple things like saying
“please” and “thank you” and knowing a person’s name or asking after her family—enable
two people to work together whether they
like each other or not. Bright people, especially bright young people, often do not understand this. If analysis shows that someone’s brilliant work fails again and again as
soon as cooperation from others is required, it
probably indicates a lack of courtesy—that is,
a lack of manners.
Comparing your expectations with your results also indicates what not to do. We all
have a vast number of areas in which we have
no talent or skill and little chance of becoming even mediocre. In those areas a person—
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Managing Oneself •• •B EST OF HBR 1999
and especially a knowledge worker—should
not take on work, jobs, and assignments. One
should waste as little effort as possible on improving areas of low competence. It takes far
more energy and work to improve from incompetence to mediocrity than it takes to improve from first-rate performance to excellence. And yet most people—especially most
teachers and most organizations—concentrate on making incompetent performers into
mediocre ones. Energy, resources, and time
should go instead to making a competent person into a star performer.
How Do I Perform?
It takes far more energy
to improve from
incompetence to
mediocrity than to
improve from first-rate
performance to
excellence.
harvard business review • january 2005
Amazingly few people know how they get
things done. Indeed, most of us do not even
know that different people work and perform
differently. Too many people work in ways that
are not their ways, and that almost guarantees
nonperformance. For knowledge workers, How
do I perform? may be an even more important
question than What are my strengths?
Like one’s strengths, how one performs is
unique. It is a matter of personality. Whether
personality be a matter of nature or nurture, it
surely is formed long before a person goes to
work. And how a person performs is a given,
just as what a person is good at or not good at
is a given. A person’s way of performing can be
slightly modified, but it is unlikely to be completely changed—and certainly not easily. Just
as people achieve results by doing what they
are good at, they also achieve results by working in ways that they best perform. A few common personality traits usually determine how
a person performs.
Am I a reader or a listener? The first thing
to know is whether you are a reader or a listener. Far too few people even know that
there are readers and listeners and that people are rarely both. Even fewer know which
of the two they themselves are. But some examples will show how damaging such ignorance can be.
When Dwight Eisenhower was Supreme
Commander of the Allied forces in Europe, he
was the darling of the press. His press conferences were famous for their style—General
Eisenhower showed total command of whatever question he was asked, and he was able to
describe a situation and explain a policy in two
or three beautifully polished and elegant sentences. Ten years later, the same journalists
who had been his admirers held President
Eisenhower in open contempt. He never addressed the questions, they complained, but
rambled on endlessly about something else.
And they constantly ridiculed him for butchering the King’s English in incoherent and ungrammatical answers.
Eisenhower apparently did not know that
he was a reader, not a listener. When he was
Supreme Commander in Europe, his aides
made sure that every question from the press
was presented in writing at least half an hour
before a conference was to begin. And then
Eisenhower was in total command. When he
became president, he succeeded two listeners,
Franklin D. Roosevelt and Harry Truman. Both
men knew themselves to be listeners and both
enjoyed free-for-all press conferences. Eisenhower may have felt that he had to do what his
two predecessors had done. As a result, he
never even heard the questions journalists
asked. And Eisenhower is not even an extreme
case of a nonlistener.
A few years later, Lyndon Johnson destroyed
his presidency, in large measure, by not knowing that he was a listener. His predecessor,
John Kennedy, was a reader who had assembled a brilliant group of writers as his assistants, making sure that they wrote to him before discussing their memos in person. Johnson
kept these people on his staff—and they kept
on writing. He never, apparently, understood
one word of what they wrote. Yet as a senator,
Johnson had been superb; for parliamentarians have to be, above all, listeners.
Few listeners can be made, or can make
themselves, into competent readers—and vice
versa. The listener who tries to be a reader will,
therefore, suffer the fate of Lyndon Johnson,
whereas the reader who tries to be a listener
will suffer the fate of Dwight Eisenhower. They
will not perform or achieve.
How do I learn? The second thing to know
about how one performs is to know how one
learns. Many first-class writers—Winston
Churchill is but one example—do poorly in
school. They tend to remember their schooling as pure torture. Yet few of their classmates
remember it the same way. They may not have
enjoyed the school very much, but the worst
they suffered was boredom. The explanation is
that writers do not, as a rule, learn by listening
and reading. They learn by writing. Because
schools do not allow them to learn this way,
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Managing Oneself •• •B EST OF HBR 1999
Do not try to change
yourself—you are
unlikely to succeed. Work
to improve the way you
perform.
harvard business review • january 2005
they get poor grades.
Schools everywhere are organized on the assumption that there is only one right way to
learn and that it is the same way for everybody.
But to be forced to learn the way a school
teaches is sheer hell for students who learn differently. Indeed, there are probably half a
dozen different ways to learn.
There are people, like Churchill, who learn
by writing. Some people learn by taking copious notes. Beethoven, for example, left behind
an enormous number of sketchbooks, yet he
said he never actually looked at them when he
composed. Asked why he kept them, he is reported to have replied, “If I don’t write it down
immediately, I forget it right away. If I put it
into a sketchbook, I never forget it and I never
have to look it up again.” Some people learn by
doing. Others learn by hearing themselves talk.
A chief executive I know who converted a
small and mediocre family business into the
leading company in its industry was one of
those people who learn by talking. He was in
the habit of calling his entire senior staff into
his office once a week and then talking at them
for two or three hours. He would raise policy
issues and argue three different positions on
each one. He rarely asked his associates for
comments or questions; he simply needed an
audience to hear himself talk. That’s how he
learned. And although he is a fairly extreme
case, learning through talking is by no means
an unusual method. Successful trial lawyers
learn the same way, as do many medical diagnosticians (and so do I).
Of all the important pieces of self-knowledge,
understanding how you learn is the easiest to
acquire. When I ask people, “How do you
learn?” most of them know the answer. But
when I ask, “Do you act on this knowledge?”
few answer yes. And yet, acting on this knowledge is the key to performance; or rather, not
acting on this knowledge condemns one to
nonperformance.
Am I a reader or a listener? and How do I
learn? are the first questions to ask. But they
are by no means the only ones. To manage
yourself effectively, you also have to ask, Do I
work well with people, or am I a loner? And if
you do work well with people, you then must
ask, In what relationship?
Some people work best as subordinates. General George Patton, the great American military
hero of World War II, is a prime example. Patton
was America’s top troop commander. Yet when
he was proposed for an independent command,
General George Marshall, the U.S. chief of
staff—and probably the most successful picker
of men in U.S. history—said, “Patton is the best
subordinate the American army has ever produced, but he would be the worst commander.”
Some people work best as team members.
Others work best alone. Some are exceptionally talented as coaches and mentors; others
are simply incompetent as mentors.
Another crucial question is, Do I produce results as a decision maker or as an adviser? A
great many people perform best as advisers
but cannot take the burden and pressure of
making the decision. A good many other people, by contrast, need an adviser to force themselves to think; then they can make decisions
and act on them with speed, self-confidence,
and courage.
This is a reason, by the way, that the number two person in an organization often fails
when promoted to the number one position.
The top spot requires a decision maker. Strong
decision makers often put somebody they trust
into the number two spot as their adviser—
and in that position the person is outstanding.
But in the number one spot, the same person
fails. He or she knows what the decision should
be but cannot accept the responsibility of actually making it.
Other important questions to ask include,
Do I perform well under stress, or do I need a
highly structured and predictable environment? Do I work best in a big organization or
a small one? Few people work well in all
kinds of environments. Again and again, I
have seen people who were very successful in
large organizations flounder miserably when
they moved into smaller ones. And the reverse is equally true.
The conclusion bears repeating: Do not try
to change yourself—you are unlikely to succeed. But work hard to improve the way you
perform. And try not to take on work you cannot perform or will only perform poorly.
What Are My Values?
To be able to manage yourself, you finally
have to ask, What are my values? This is not a
question of ethics. With respect to ethics, the
rules are the same for everybody, and the test
is a simple one. I call it the “mirror test.”
In the early years of this century, the most
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Managing Oneself •• •B EST OF HBR 1999
highly respected diplomat of all the great powers was the German ambassador in London.
He was clearly destined for great things—to
become his country’s foreign minister, at least,
if not its federal chancellor. Yet in 1906 he
abruptly resigned rather than preside over a
dinner given by the diplomatic corps for Edward VII. The king was a notorious womanizer
and made it clear what kind of dinner he
wanted. The ambassador is reported to have
said, “I refuse to see a pimp in the mirror in the
morning when I shave.”
That is the mirror test. Ethics requires that
you ask yourself, What kind of person do I
want to see in the mirror in the morning?
What is ethical behavior in one kind of organization or situation is ethical behavior in another. But ethics is only part of a value system—especially of an organization’s value
system.
To work in an organization whose value system is unacceptable or incompatible with one’s
own condemns a person both to frustration
and to nonperformance.
Consider the experience of a highly successful human resources executive whose company was acquired by a bigger organization.
After the acquisition, she was promoted to do
the kind of work she did best, which included
selecting people for important positions. The
executive deeply believed that a company
should hire people for such positions from the
outside only after exhausting all the inside possibilities. But her new company believed in
first looking outside “to bring in fresh blood.”
There is something to be said for both approaches—in my experience, the proper one is
to do some of both. They are, however, fundamentally incompatible—not as policies but as
values. They bespeak different views of the relationship between organizations and people;
different views of the responsibility of an organization to its people and their development;
and different views of a person’s most important contribution to an enterprise. After several years of frustration, the executive quit—at
considerable financial loss. Her values and the
values of the organization simply were not
compatible.
Similarly, whether a pharmaceutical company tries to obtain results by making constant,
small improvements or by achieving occasional, highly expensive, and risky “breakthroughs” is not primarily an economic ques-
harvard business review • january 2005
tion. The results of either strategy may be
pretty much the same. At bottom, there is a
conflict between a value system that sees the
company’s contribution in terms of helping
physicians do better what they already do and a
value system that is oriented toward making
scientific discoveries.
Whether a business should be run for shortterm results or with a focus on the long term is
likewise a question of values. Financial analysts believe that businesses can be run for
both simultaneously. Successful businesspeople know better. To be sure, every company
has to produce short-term results. But in any
conflict between short-term results and longterm growth, each company will determine its
own priority. This is not primarily a disagreement about economics. It is fundamentally a
value conflict regarding the function of a business and the responsibility of management.
Value conflicts are not limited to business
organizations. One of the fastest-growing pastoral churches in the United States measures
success by the number of new parishioners.
Its leadership believes that what matters is
how many newcomers join the congregation.
The Good Lord will then minister to their
spiritual needs or at least to the needs of a
sufficient percentage. Another pastoral, evangelical church believes that what matters is
people’s spiritual growth. The church eases
out newcomers who join but do not enter into
its spiritual life.
Again, this is not a matter of numbers. At
first glance, it appears that the second church
grows more slowly. But it retains a far larger
proportion of newcomers than the first one
does. Its growth, in other words, is more solid.
This is also not a theological problem, or only
secondarily so. It is a problem about values. In
a public debate, one pastor argued, “Unless
you first come to church, you will never find
the gate to the Kingdom of Heaven.”
“No,” answered the other. “Until you first
look for the gate to the Kingdom of Heaven,
you don’t belong in church.”
Organizations, like people, have values. To
be effective in an organization, a person’s values must be compatible with the organization’s values. They do not need to be the same,
but they must be close enough to coexist. Otherwise, the person will not only be frustrated
but also will not produce results.
A person’s strengths and the way that per-
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Managing Oneself •• •B EST OF HBR 1999
son performs rarely conflict; the two are complementary. But there is sometimes a conflict
between a person’s values and his or her
strengths. What one does well—even very well
and successfully—may not fit with one’s value
system. In that case, the work may not appear
to be worth devoting one’s life to (or even a
substantial portion thereof).
If I may, allow me to interject a personal
note. Many years ago, I too had to decide between my values and what I was doing successfully. I was doing very well as a young investment banker in London in the mid-1930s, and
the work clearly fit my strengths. Yet I did not
see myself making a contribution as an asset
manager. People, I realized, were what I valued, and I saw no point in being the richest
man in the cemetery. I had no money and no
other job prospects. Despite the continuing
Depression, I quit—and it was the right thing
to do. Values, in other words, are and should
be the ultimate test.
What one does well—
even very well and
successfully—may not fit
with one’s value system.
Where Do I Belong?
harvard business review • january 2005
A small number of people know very early
where they belong. Mathematicians, musicians, and cooks, for instance, are usually
mathematicians, musicians, and cooks by the
time they are four or five years old. Physicians usually decide on their careers in their
teens, if not earlier. But most people, especially highly gifted people, do not really
know where they belong until they are well
past their mid-twenties. By that time, however, they should know the answers to the
three questions: What are my strengths? How
do I perform? and, What are my values? And
then they can and should decide where they
belong.
Or rather, they should be able to decide
where they do not belong. The person who
has learned that he or she does not perform
well in a big organization should have learned
to say no to a position in one. The person who
has learned that he or she is not a decision
maker should have learned to say no to a decision-making assignment. A General Patton
(who probably never learned this himself)
should have learned to say no to an independent command.
Equally important, knowing the answer to
these questions enables a person to say to an
opportunity, an offer, or an assignment, “Yes, I
will do that. But this is the way I should be
doing it. This is the way it should be structured. This is the way the relationships should
be. These are the kind of results you should expect from me, and in this time frame, because
this is who I am.”
Successful careers are not planned. They
develop when people are prepared for opportunities because they know their strengths,
their method of work, and their values.
Knowing where one belongs can transform an
ordinary person—hardworking and competent but otherwise mediocre—into an outstanding performer.
What Should I Contribute?
Throughout history, the great majority of people never had to ask the question, What
should I contribute? They were told what to
contribute, and their tasks were dictated either by the work itself—as it was for the peasant or artisan—or by a master or a mistress—
as it was for domestic servants. And until very
recently, it was taken for granted that most
people were subordinates who did as they
were told. Even in the 1950s and 1960s, the
new knowledge workers (the so-called organization men) looked to their company’s personnel department to plan their careers.
Then in the late 1960s, no one wanted to be
told what to do any longer. Young men and
women began to ask, What do I want to do?
And what they heard was that the way to contribute was to “do your own thing.” But this solution was as wrong as the organization men’s
had been. Very few of the people who believed
that doing one’s own thing would lead to contribution, self-fulfillment, and success achieved
any of the three.
But still, there is no return to the old answer of doing what you are told or assigned to
do. Knowledge workers in particular have to
learn to ask a question that has not been
asked before: What should my contribution
be? To answer it, they must address three distinct elements: What does the situation require? Given my strengths, my way of performing, and my values, how can I make the
greatest contribution to what needs to be
done? And finally, What results have to be
achieved to make a difference?
Consider the experience of a newly appointed hospital administrator. The hospital
was big and prestigious, but it had been
coasting on its reputation for 30 years. The
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Managing Oneself •• •B EST OF HBR 1999
The first secret of
effectiveness is to
understand the people
you work with so that
you can make use of their
strengths.
new administrator decided that his contribution should be to establish a standard of excellence in one important area within two
years. He chose to focus on the emergency
room, which was big, visible, and sloppy. He
decided that every patient who came into the
ER had to be seen by a qualified nurse within
60 seconds. Within 12 months, the hospital’s
emergency room had become a model for all
hospitals in the United States, and within another two years, the whole hospital had been
transformed.
As this example suggests, it is rarely possible—or even particularly fruitful—to look
too far ahead. A plan can usually cover no
more than 18 months and still be reasonably
clear and specific. So the question in most
cases should be, Where and how can I achieve
results that will make a difference within the
next year and a half? The answer must balance several things. First, the results should
be hard to achieve—they should require
“stretching,” to use the current buzzword. But
also, they should be within reach. To aim at
results that cannot be achieved—or that can
be only under the most unlikely circumstances—is not being ambitious; it is being
foolish. Second, the results should be meaningful. They should make a difference. Finally, results should be visible and, if at all
possible,