Knowledge Network: Faculty & Research

Aspiring global leaders must challenge conventional wisdom, stay nimble and listen to diverse voices, PetSmart Chairman and CEO Robert Moran told graduates April 27, 2012, at Thunderbird School of Global Management in Glendale, Arizona.

“Leadership is really about what your people are doing when you’re not around,” Moran said during his keynote speech to 316 graduates from 39 countries. Rallying people around a shared vision is not always easy, but Moran has found success at Phoenix-based PetSmart by applying at least three lessons from his own leadership journey.

1. Create the third option

The first key is to ask questions, try new things and challenge the status quo. “Keep digging for that better way to do something because there is always a better way,” Moran said.

He said PetSmart leaders follow the “rule of three,” meaning they search for at least three possible solutions to any problem.

“When you limit yourself to just two, chances are it will become an either/or scenario,” Moran said. “Challenge yourself to create that third option, and you might get an answer that is stronger and more compelling than the first two.”

2. Avoid the comfortable couch

Leaders must also remain aggressively nimble. “Be prepared to adjust and change direction quickly,” Moran said. “Strong leaders anticipate what needs to change before it has to change.”

He said the main thing that kept him awake at night as a new CEO was success. “I worried that all our fantastic results and reviews would become a comfortable couch that we would sink into and stay there,” Moran said. “I worried that we would literally get caught napping by a competitor.”

3. Treat your office like a prison

The third leadership challenge is to create an inclusive workplace culture that encourages people from diverse backgrounds to express their ideas. Then leaders must listen and respond to the feedback they receive.

“Treat your office like a prison, and escape from it as often as possible,” Moran said. “If you want to know what people are up to, go find out.”

Innovation comes when leaders empower others to speak up and take risks in a safe environment. “When people are authors of the ideas, they own it,” Moran said. “They give you a commitment.”

>> Related Article: Thunderbird Launches New Era with Interim President Barbara Barrett
>> Video: Keynote speech by PetSmart CEO Bob Moran (9:14)
>> Photos: To see photos of the Spring 2012 Commencement ceremony, please visit Thunderbird’s Flickr stream.

Flag Ceremony: Students representing 35 countries participate in the commencement flag ceremony April 27, 2012, in Glendale, Arizona.	Class Speaker: Emily Mahoney speaks on behalf of the Global MBA On-Demand class April 27, 2012, at Thunderbird.
Keynote Speaker: PetSmart CEO Bob Moran delivers the commencement keynote address April 27, 2012, at Thunderbird.	Thunderbird Oath: Students recite the Thunderbird Professional Oath of Honor during commencement ceremonies April 27, 2012.
Emeritus President: Thunderbird School of Global Management gives Angel Cabrera, Ph.D., the honorary title of “emeritus president” in a resolution from the Board of Trustees.	Interim President: Thunderbird School of Global Management transfers presidential authority to U.S. Ambassador Barbara Barrett on April 27, 2012, in Glendale, Arizona.