Running a company (with the help of many others!) requires thinking about numerous things — often simultaneously, it seems. Your top competitor just launched a great product, your VP of HR has some very disturbing numbers about turnover, and your bank is worried that you’re close to breaking a covenant. And then there’s that upcoming […]
Not so long ago, Russia had an explosion at a missile testing site. All good, says Vlad the Putty. No problem. Then, mysteriously, four nuclear monitoring sites went silent. “Transparency” and “Russian government” are two terms rarely used in the same sentence unless it also has the words “no, nyet or are you kidding?” Dictatorships […]
The Primary Job of a CEO: How Do You Best Serve Shareholders? Milton Friedman said a company’s sole obligation was to serve shareholders. A group of CEOs of the largest organizations in America recently took issue with that and said companies must consider all stakeholders. Purpose and profit must both be served. I’m a fan […]
You’re the CEO. You’re supposed to be the strategy expert. How do you feel about that? Nervous? Most CEOs spend 99% of their time (sometimes 100%) on execution. Perhaps they’ve been fooled by consultants who shout, “It’s all about the execution!” Execute what? Most have never been trained on how to create a new strategy. […]
Strategy is about ideas, not brute force “One man on a wall was worth 10 beneath it.” —Game of Thrones Taking the high ground for military advantage is a well-worn axiom. Building moats, putting men on walls, using the element of surprise, concentrating forces, and employing many other phrases of war are often used in […]
“Lack of Action Led to CEO’s Ousting” — headline from the Wall Street Journal CEO John Flint was only in his role for 18 months at large bank HSBC. His ouster was a result of his leadership style and ability to act decisively. Before taking the job, he told colleagues he preferred not to be […]
Being an effective CEO is not all about work! I don’t often do “sick” days, but today is one. I struggled through facilitating a six-hour client meeting yesterday, and the adrenaline kept me going (that and six cups of coffee). But I only had a few nonessential meetings today so was able to move them. […]
“A ruler who hides behind paid executioners soon forgets what death is.” — Lord Stark of Winterfell I hope your business isn’t as bloody as Game of Thrones, but Stark makes a good point. Hiding behind the castle walls and having others do the dirty work means you soon forget what your business is about. […]
What? Research on “diffusion of responsibility” found that we’re most likely to take heroic action when we’re alone rather than with others. The hypothesis is that we: (a) don’t want to look foolish and (b) are influenced by what the other person is doing — probably nothing. Although the case facts were later refuted, the […]
Numerous studies identify that CEOs’ ability to create value for the firm is highest in their tenure’s “middle innings.” Longevity in the corner office helps, but only to a point. There’s also evidence that the longer CEOs remain in the corner office, the more adept they become at internal relationships. However, the firm’s relationships with […]