The rise of artificial intelligence is not on the horizon.
It’s already here. Read Harvard Business Review, Forbes, The Conversation app, or any news post. As Peter H. Diamandis writes in Metatrend #2: AI & Quantum (2024), the question isn’t whether AI will change the world- it’s how quickly, and how well prepared we are to adapt. I’m a fan of his books.
Since 1997, I’ve worked with leaders across several sectors using the Action Learning model– a proven framework that aligns real-world problem-solving with strategic learning. In that time, I’ve watched leaders panic or pivot in the face of digital disruptions. You have seen the panic in 2008. Today is the pivot.
The key difference? Those leaders who thrive don’t wait for government programs or corporate re-skilling. They invest in mastering three core skills that shape their adaptability, agency, and long-term success. That’s why I earned my PhD in business psychology in my 50s… Here are some highlights. You can master these skills.
The Three Essential Skills in an AI World
In a recent Moonshots podcast conversation between Peter Diamandis and Tony Robbins, they outlined three core competencies to help leaders remain relevant:
Pattern Recognition, Pattern Utilization, and Pattern Creation.
These three skills are not new to those of us who practice Action Learning. In fact, they are embedded into the very DNA of our model.
Let’s break them down and show how they’re alive in the executive leaders I’ve coached for three decades. YOU can apply these three skills immediately.
1. Pattern Recognition: Learning from Data
Tony Robbins describes Pattern Recognition as the ability to look at history, human behavior, and technology trends and say, “I’ve seen this before.” The result is less fear.
In Action Learning, we often begin with what Revans called “programmed knowledge” and “questioning insight…” the act of recognizing patterns in current systems, processes, and outcomes. I teach leaders to ask questions like:
“Where else have you seen this behavior?”
“What patterns are repeating here?”
“What’s being ignored?”
“What numbers and words can we us to describe this behavior?”
For example: In a healthcare company facing massive turnover, our Action Learning team mapped resignation data and recognized patterns of burnout following project cycles. By naming the pattern, the client was no longer surprised by attrition. They recognized seasonality and then began to prevent it.
2. Pattern Utilization: Acting on What You See
Recognition is only useful if it leads to effective action. As Tony Robbins notes, civilization began when we learned to use the pattern of seasons—planting in spring, harvesting in fall. The leap from fear to control came through utilization. Today is the season of springtime.
In Action Learning, we emphasize “taking action and reflecting on the results.” A team that sees a pattern of client dissatisfaction, for example, must test new workflows, measure response times, before they can adapt. Tools like surveys, interviews, observations, 360 assessments are helpful.
For example: One healthcare client noticed repeated delays in patient discharges every Friday. Instead of managing around the bottleneck, they used Action Learning to test discharge protocol changes. They used cross functional teams, called Action Learning Sets, to explore solutions. They saw a 17% improvement in weekend flow within 60 days. And yes, automation helped immensely.
3. Pattern Creation: Designing What Comes Next
This is where great leaders shine. This is where YOU can shine.
Diamandis calls it the highest skill: creating new patterns. Not just responding to the world but reshaping it. He founded Singularity University, the XPrize’s, and the Open EXO community to embrace converging technologies. In Action Learning, we guide teams to generate new frameworks, policies, and cultural norms based on data and learning.
This level is visionary. It’s where leaders become creators. Practical creators of one solution after another.
For example:In a regional asphalt company, an Action Learning team created a new RACI-based scheduling protocol that reduced field crew conflicts by 42%. That new pattern, tested and refined by a newly promoted operations manager, became company policy within one quarter.
The BIG Identity Shift: From Manager to Creator
This AI revolution is not just about skills. It’s about identity.
The Action Learning model pushes leaders to shift from “problem manager” to “solution creator.” That’s the identity shift Robbins, Diamandis, Revans and I are describing. We say, “Stop managing problems. Start creating solutions.”
FACT 1: You won’t be replaced by AI. FACT 2: You’ll be replaced by someone who uses AI more creatively than you do… unless you become that person first.
If you’re interested in diving deeper into the frameworks behind this post:
Diamandis, Peter H. (2024). Metatrend #2: AI & Quantum.
Will, Harper, and Nora Lee Dawson are heirs to a vast Southern empire. But when their father dies without a will and their calculating mother disappears, the family’s motto becomes a curse. Do they “Protect our assets? Trust nobody?”
Threats include legal ambiguity, AI manipulation, cyber predators, bizarre beneficiaries, and new advisors with contradictory expertise. To unlock – and protect- their family legacy, the siblings must develop new powers that their parents never taught them: Hope. Agency. Resilience. Optimism.
They have to do what they’ve never done before— trust each other.
FREE access is at https://action-learning.com/product/legacy-locked-book/. Use the coupon code crubne3q
Legacy Locked is more than a novel.
It’s a journey into the forces that shape what we inherit… and what we hide.
Gift #2: Download Legacy Locked book now. While it’s still free. FREE access is at https://action-learning.com/product/legacy-locked-book/. Use the coupon code crubne3q
Because the only thing scarier than a locked legacy… is never knowing what was inside.
You know the myth: Business succession is difficult and full of conflicts.
The myth is that outrageous Hollywood movies like Succession, The Godfather, Dallas or Dynasty are the norm. The myth is that tax advisors are never able to minimize taxation, that estate attorneys are well intentioned but haphazard, that more wealth leads to more conflict.
The fact is that most wealth transitions occur quietly when there is shared understanding of decision making. That’s called governance.
Good governance is the reality for ALL of my clients- or they wouldn’t hire me.
Good governance can be taught and developed.
Let’s start with two definitions. Then I’ll share 4 steps that really work.
There are two types of conflict: Interpersonal conflict is usually bad, and Task conflict is usually good.
Interpersonal conflict is based on emotions and should be managed carefully, even if you dislike that cousin who just said something outrageous. But how do we self-manage? We are emotional animals driven by fears. Threats are everywhere. !Right?! Behavioral psychology research confirms that we think faster or slower depending on the stimulus and the situation. When I’m inclined to speak impulsively, I often massage the back of my head. Why? Because I want to slow down, think, and respond with care. We can all practice self-management. The oldest part of our brain is in the back of our skull. The prefrontal cortex, our executive center, is in the front of our brains. So, on good days, we practice self-managing to avoid interpersonal conflicts. (Or not…)
Task conflict is based on different understandings of information or roles. When one cousin wants to invest in a new digital marketing program, and another cousin wants to invest in a new building, they will have task conflict. Task conflict is usually good because it may lead to innovations. I define innovation as “new ideas applied.” One reason for agendas and information packets before board meetings or family meetings, is to share information so that the participants can make smarter, more informed decisions. There can still be emotional moments- full of drama- but the focus of the meeting is on decision-making to address the task conflicts.
One reason for a facilitator with expertise in behavioral psychology (like me) is to minimize the interpersonal conflict and maximize the task conflicts.
As a species we all want to create order out of chaos. That’s why we construct processes, and (occasionally) organize our closets. That’s why we ask experts for advice. When we require a healthcare assessment we expect nurses to collect data, so that physicians using AI can diagnose and treat our evolving needs. Right? When we require a transfer of assets we expect attorneys and wealth advisors to assess needs in a deep discovery process, then recommend next steps. Right?
I organize teams of advisors to serve families because I know what works. Holistic advising is here to stay. And my clients deserve a team of experts. They also deserve a cleanly defined process. Something useful.
Here are the 4 steps in my Family Capital Discovery Process (based on my research and decades of consulting). Think of these as 4 phases in any engagement together. Notice the verbs in bold font. Perhaps you can adopt these?
a. Assess the current and future Family Enterprise ecosystem. I call these states the Now and the Next. Each ecosystem has unique history, values, legacy, stages, visions, and risks. A Family Business may generate assets, like a golden egg or a core business. And there may be multiple businesses over time, called a Family Enterprise. Think of Cargill or Walmart. Or think of the nearby franchise owner or car dealership in your city. Perhaps you know that over 60% of our GDP and job growth is driven by Family-Owned Businesses. How do you assess those unique strengths and weaknesses? Lately I’ve been using AI tools to accelerate that assessment process.
b. Develop a Family Manifesto that describes the Family Purpose and reasons for working with multiple advisors. Most families have a verbal understanding of what the founder, Elder or owners want. When that verbal understanding is written and shared, teams can evolve. For example, in a recent series of meetings, I conducted interviews with the Elders, took detailed notes, and shared their asset map with the Next Gens. They had never seen one list of their capital and financial assets- and there were plenty of rumors! Finally, they were able to draft a manifesto that accelerated succession planning. After decades of avoidance and mystery, they were finally able to make crucial investment decisions. Four branches – over 50 people- were relieved. When verbal or unstated assumptions become written and shared, family businesses can evolve. That’s called organizational maturity. And that process is not too difficult. Perhaps you know a family that can benefit from a Family Manifesto? Perhaps you can accelerate that process?
c. Define the four Family Focus Pillars. These are 4 critical questions used by families with over $50M in investable assets, who may have a Family Office to organize their legacy. (With credit to my friend Peter Vogel and his team at IMD). My experience is that these 4 questions can be useful for any family, with any amount of wealth. Perhaps you can answer them this weekend when you sit down for your next family dinner. Who we are? What do we own? How do we function? What is our impact on society and the environments and legacy? Yes, I’ve had these discussions with our nuclear family. Yes, you can do so also!
d. Organize more effective work guidelines with a team of advisors. We all need a little structure at times. We can’t play football without yard lines and goal posts. We can’t have a swim meet without lanes and a timing system. I recommend the least amount of structure in the moment. Families need to evolve. The reason I wrote the Success Playbook for Next Gen Family Business Leaders (2024) is because clients asked me to do so. It’s a playbook of books, structures, and great resources. Perhaps you know someone who needs a little structure or a loving nudge?
Bottom line: Now you know what works. Please share this post with those who would appreciate knowing what works.
One fact is that succession usually happens quietly, without conflicts.
Another fact is that good governance can be taught and developed.
Another fact is that we can each minimize interpersonal conflicts and maximize task conflicts.
He stood there for so long that a gigantic security guard said, “You can’t just stand here.”
No response.
Then the guard said, ” If you don’t move along then I’ll have to fine you $100.”
Still no response.
Then the guard said, “What are you doing here? Where are you going?”
The positive psychologist smiled and said, “How about if I pay you the $100 and come back next week? I want you to ask me those two questions week after week.”
And so began the history of professional coaching…
Yes, you can define a meaningful outcome for yourself!
Based on my research, here are the top outcomes for business coaching. Pick one or two.
Top business coaching outcomes:
o Banking and financing
o Board of directors/advisors
o Branding
o Change management
o Communication skills
o Compensation and benefits
o Computer security
o Conflict resolution
o Customer service
o Ethics
o Insurance / risk management
o Leadership assessments
o Managing growth
o Managing others
o Marketing
o Net profit
o Operations
o Personal finances
o Personal health and well-being
o Presentation skills
o Safety/ workers compensation
o Sales
o Talent development
o Time/energy management
Now what?
Find someone who can ask you those two questions: “What are you doing here? Where are you going?”
Here is Annual Self-Assessment Form. Copy this. Print this. Post your notes with YOUR coach or accountability partner.
Date: _________
Step 1:
List the top 5 people who are most important in my life today.
Instructions:
For each statement below, imagine how those who know you well would score you. Use a scale of 1 (low) to 10 (high). After scoring yourself, add comments for additional insights or actions to improve.
Hope: “I have the “will and the way” to achieve my goals. Score: ____
Efficacy: “I feel confident in my ability to take on challenges and achieve desired outcomes.” Score: ____ Comments: ________________________________________________________
Resilience: “I can bounce back from setbacks and adapt to changes.” Score: ____ Comments: ________________________________________________________
Optimism: “I focus on the positive aspects of situations and believe in the best possible outcomes.” Score: ____ Comments: ________________________________________________________
Humility: “I value the contributions of others and admit my mistakes.”
Curiosity: “I actively seek new knowledge, ask questions, and explore diverse perspectives.” Score: ____ Comments: ________________________________________________________
Collaboration: “I work effectively with others, fostering trust, and contributing to collective goals.” Score: ____ Comments: ________________________________________________________
Accountability: “I take responsibility for my actions and follow through on commitments.” Score: ____ Comments: ________________________________________________________
Empathy: “I show understanding and compassion toward others’ experiences and emotions.” Score: ____ Comments: ________________________________________________________
Vision: “I communicate a clear and compelling vision that inspires others to act.” Score: ____ Comments: ________________________________________________________
Reflection Questions:
What do these scores and comments suggest about your current leadership strengths?
Which area(s) do you most want to improve over the next year?
How can you leverage your relationships with the five most important people in your life to support your personal and professional growth?
12 months from now, what are 1-2 important aspects of your life that you would regret losing? (These are the 1-2 aspects to focus on ahead).
Naturally, this self-assessment can be repeated at any time to track your growth and identify areas for continued development.
If you have advice on how to improve this self assessment, please comment or reply directly.
There are many opinions about the top strengths of family business leaders.
One of my recent projects answers that question.
We (Kent Rhodes, Ed.D) and I recently developed and validated a 360 assessment process for next generation family business leaders. See www.AssessNextGen.com for details. We determined the top 50 items.
Our recent research found that the number 1, top strength, or Career Catalyst for family business leaders is Item 13: “Keeps confidences about family business wealth.”
Hmmm. On a scales of 1-10 how well does your family business keep confidences about family wealth? Here are some quick thoughts about how to apply this finding to your family enterprise or family business consulting.
For more details contact Doug Gray, Ph.D. at Gray@theFBCG.com or Kent Rhodes (Ed.D.) at Rhodes@theFBCG.com
Here is the transcript for your reference and sharing:
Title: What is the most important strength for Family Business leaders?
Description on YouTube post: A quick research update from www.AssessNextGen.com. We can now answer that ancient question, “What is the most important strength of Family Business leaders?” Here are some tips for your family enterprise or consulting.
Transcript of video:
Sometimes people wonder, “what are the top competencies that family business leaders need?” And I’m happy to report some early results from the Assess Next Gen Family Business Leadership 360 assessment. This data is from 163 responses in the last few months. Here is the top score, in other words, the Career Catalyst, the behavior that is number one. I’ll give it to you and then I’m going to ask you to reflect on it.
The top score, the thing that our raters said others ought to do, is item number 13: “Keep confidences about the family business wealth.” To repeat, the most important strength of Family Business leaders is to “keep confidences about family business wealth.” What does that mean for you and your family or your enterprise?
I recently asked that question of a friend of mine, John Broons, who’s in Australia, who is pretty brilliant. And he said, “family wealth needs to be part of the conversation. It’s too often not discussed.”
I agree. We need to prepare for risks, like a transition or a succession or continuity or another line of business. And too often family members don’t have any idea of what’s next. There’s the core business. Perhaps there might be other lines of business, but family wealth conversations should definitely stay within the family.
Many of my clients have a charter or clause which states, “This is what we will say, and to whom.” They may have a conversation with the wealth advisor and estate attorney, and they may not have that conversation with somebody like me, a business consultant. The family members are the only ones who have access to that information. This is to protect them from journalists or politicians or inappropriate people seeking to learn something about that wealth. And often this confidentiality clause is written in an agreement. So we’re really talking about the two first words here…
Keep confidences. The most important strength of Family Business leaders is to keep confidences.
How do we keep confidences? I think we need to reinforce some useful guidelines. My clients require trust guidelines. Let me give you a quick example. One of my clients has eight G4 children on this side and four children on this other side. Potential conflicts, right? So they made an agreement in writing, and verbally reinforced it in every one of their meetings, about what could be shared with Doug as the family business consultant working with that G4 generation. My focus is on leadership development. Part of my job is to reinforce for them what’s confidential and what they need to keep confidential.
It’s a bit like driving a car when you’re driving down an unfamiliar road. You’ve got the white lines on the right side, the yellow lines on the left side. Like a good driver, we need to keep confidences. We don’t want to go to the edge of those lines. We don’t want to go off the center of the road. We certainly don’t want to go in the dirt or the gravel on the side.
So, my invitation is to keep confidences about family business wealth. Keep that conversation sacred. There you go. Tip of the moment.
For more details on the Assess Next Gen Leadership 360 process, see www.AssessNextGen.com
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