Today, I want to share my thoughts on a subject that have been bothering me for long. All this while I have been talking about how the leadership needs to evolve, what are the factors that go on into making a true leader, and so on. In this post, I wish to share some thoughts on what leaders need to do to truly bring some passion across the organization - and it involves taking some tough decisions.
What do you think is common between Yishan Wong, Peter Chou, Bryan Stockton, and Don Thompson or the recent example of Uber’s Travis? Well, they all have been CEOs of some top-notch companies running billion-dollar businesses. Unfortunately, over time when things didn't progress as expected, they were either fired or asked to leave their position.
That is invariably the case across the globe when companies start faltering on their balance sheets or market share. It is the CEO who faces the brunt of the situation. While I wholeheartedly agree that as a leader, the final responsibility rests on the CEO's shoulders, it is also crucial to check if there are other weaker links at the C-level which are responsible for the company's non-performance and low productivity.
Face the uncomfortable questions
If you are a CEO or a leader per say, I want you to sit down and answer some questions with sincerity.
1) Can you name the lowest performer in your team?
2) What are the reasons that the person is still a part of your team?
3) Have you, by any chance, working on aspects which ideally are someone else's responsibility?
4) As a CEO, you would want the entire organization to follow the same vision and mission so as to progress on the right path. Do you see a person in there who not only isn't sharing the same passion but might be distracting others as well?
Answering these questions will allow you to zero in on one or a few of your directs or second level leaders, who are being a deterrent to the company's growth. For example, as a CEO, you would have a second-in-command team execute your vision and ensure that the goals which you have set for the organization are met across different business functions.
These individuals have an important role to play, not only in attaining the organization growth but also in maintaining the team morale and company culture. Hence, I would want you to check if the ones at your organization are truly capable of executing the company vision. Do they have the necessary business depth to understand the needs of running the company? Are they adding any significant value to the organization – the value which is relevant to today’s time and age?
Are they competent to understand the latest technological advancements and disruptions? Basically, are they worthy of their position and the responsibility it entails? Have they upgraded their knowledge, skills and abilities commensurate with changing times and finally are they relevant and capable to achieve the direction that you, as a CEO, are envisaging.
If your answer is no to any of these questions, it is time to simply fire them. Yes, while it may sound a little harsh but that’s the only option. The reason being that having such employees on board at the management level isn't at all productive for the company. In fact, it could just be the reason why the company is not performing to its full potential. So even if they have been around for long, it is wise to refrain from being emotional and ask them to leave.
Identify the weak links
Based on my experience of working with several worldwide organizations with their transformation initiatives, here are some characteristics shared by the people who are not really contributing to the overall company growth:
Boss Pleasers - These employees are only out there to please the top bosses. They have no firm opinions, capabilities or accountability to execute any strategies but try to stay in the limelight just by trying to please the bosses. I personally feel that the C-Suit executives, in fact, should have their own opinions and should not hesitate to vouch for those to the boss if that’s for the betterment of the company. A bunch of talented people thinking about the company’s growth is always better than the people pleasers.
Micro Managers – This category of people spends its entire time and energy in being authoritative and micromanaging the rest of the team. The result is that precious time is wasted in tackling minor issues while the bigger management role is missed. I firmly believe that the C-suit execs should find the right people to do the right job, empower them, provide guidance when required and trust them for their abilities to deliver the results.
The Favorites - These are the ones who are around thanks to their close association with the business heads. They may boast of a good number of years of experience but they do not always have the expertise to lead a team. A company needs managers with fine business acumen which they considerably lack.
The book 'People in Organizations: Understanding Their Behavior' by Dr. Terence Mitchell states that 'when a supervisor depends on an employee, the supervisor is less likely to attribute poor performance to the employee's ability or attitude, and more likely to attribute the poor performance to forces beyond the employee's control'. My point is, if you happen to have anyone fitting into the above-mentioned categories, it is better to fire them. They are non-performing assets causing a major growth slowdown.
Fire-up the rest!
Well, I am not suggesting that fire the non-performers and execute everything yourself. You are definitely going to need a team to translate your vision into reality. The advice I give here is, look for capable people – people who understand how to operate in an agile way, those who are techno-savvy or Digital Masters, as I call them. Look for people who have business knowledge and depth. Hire those who can quickly ideate, validate, and roll out. Look for value creation rather than job position filling. Apart from skills and talent, ensure that your values align.
In most cases, these people will be right within your company but they never got a chance to demonstrate their capabilities because of bad managers or leaders. Find them, spend time in developing them, build their confidence and they will surprise you with results!
Did you see leaders in your organization taking such tough decisions? OR do you see many incompetent leaders or managers around? What challenges are you facing or what benefits did you see, if you have witnessed CEOs building right team around them? I will be curious to hear your experiences and expectations.
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Thank you for reading my post. I write about leadership, strategy, and business transformation. If you would like to read my regular posts then you can connect with me on LinkedIn here. Feel free to connect with me via Twitter at @spbarve. Look forward to some great connections here!