The 10% Differentiator

1. Ideas, Insights and Inspirations

A Coffee with the CEO: Unpacking the Essentials of Effective Leadership

I recently had the chance to grab a coffee with a CEO and dive into what he sees as the non-negotiable qualities of leadership. Our conversation was enlightening, offering a no-frills perspective on what he expects from his leadership at the Company. Here's the essence of our chat, revolving around three key themes:

Decision-Making: Fast but Considered

The CEO started by pointing out how vital it is for leaders to make decisions swiftly and wisely. "Leaders need to have the courage to make tough calls," he emphasised. But it's not just about being bold. He broke it down further:

• Courage and Integrity: Making difficult decisions and standing by them is crucial. It’s about not shying away from the hard choices.
• Awareness: He noted the importance of understanding the ramifications of these decisions. “You need to think about the immediate and the long-term impacts,” he explained.
• Business Acumen: “You can’t make sound decisions without a deep understanding of the business,” he added. This means knowing how things work inside and out and anticipating how choices will affect the company.

Accountability: Holding the Line

Our conversation shifted to accountability, which the CEO described as a cornerstone of leadership. He detailed what this looks like in practice:

• Team Performance: “Leaders are only as good as their teams,” he said. This means setting up an environment where trust and performance go hand in hand.
• Empowerment and Delegation: He was clear about the importance of giving team members the space to make their own decisions. “Micromanagement kills initiative,” he stated, stressing the need for leaders to step back and let their team members take credit.
• Feedback Processes: Being open to feedback is crucial. “It’s about being humble enough to learn and improve,” he mentioned. Giving and receiving feedback constructively is vital for continuous improvement.

Profitability: The Ultimate Measure

Towards the end of our talk, the focus turned to the ultimate goal of any business: profitability. Here’s how the CEO puts it:

• Cost Management and Opportunity Seeking: Leaders should always be looking for efficiencies and new possibilities. “Innovate, look for new markets, think about new products,” he urged.
• Focus on Profitability: He wrapped up with a straightforward reminder: “We’re here to make a profit.” That means every decision, every strategy should contribute positively to the bottom line.

As we finished our coffees, he summed up his philosophy on leadership. "What have you done lately to move the business forward, what does your leadership resume look like?" he posed. It’s a question that he believes every leader should ask themselves regularly.

2. Reflections

In the fast-paced and ever-evolving business landscape, effective leadership is not just about guiding a team - it’s about driving measurable outcomes that align with the organisation’s strategic goals. I have designed a Leadership Impact on Profitability and Growth self-reflection tool that is indispensable for any leader committed to effectively assessing and amplifying their contributions to an organisation's financial health and market expansion. You can download a copy of the tool below.