CEO Coaching: Random Activity Won’t Cut It!
“Random activity hoping for an above-average return on assets.”
You’ve likely never read that in a finance or business class, yet it describes the so-called “strategy” employed by too many leaders. Successful organizations thrive when guided by well-thought-out ideas.
The two key reasons for having these ideas embedded throughout your organization are alignment and resource allocation (both financial and human). Without these guiding ideas, decisions either become inconsistent or get funneled back to the CEO or owner. Both are inefficient—and frankly, unsustainable—ways to run a business.
In previous posts, I’ve discussed the seven most important questions a CEO must answer to lead an effective organization. But here’s my broader point: your business direction must be informed by clear, well-developed, and widely agreed-upon ideas. Otherwise, you risk falling into the trap of “random activity” disguised as strategy.
Every seasoned executive I’ve worked with has a set of guiding principles. However, few have taken the time to formalize them in writing. By memorializing your principles, you can share them with your team and use them to direct business activities. This should include not just your strategy, but also your values, leadership principles, and clear goals. In my experience, those who commit these ideas to paper often find themselves refining and sharpening their beliefs.
Well-run organizations are not victims of random activity. They allocate resources efficiently. Alignment and effective asset allocation only occur when your decisions are guided by a clear set of ideas.
So, what are yours? Does your team know what they are?
coaches CEOs to higher levels of success. He is a former CEO and has led teams as large as 7,000 people. Todd is the author of, Never Kick a Cow Chip On A Hot Day: Real Lessons for Real CEOs and Those Who Want To Be (Morgan James Publishing).
Connect with Todd on LinkedIn, Twitter, call 303-527-0417 or email [email protected].
