CEO: Going from Good to Great

From the outside looking in, the role of chief executive can look pretty sweet, with plenty of perks and power. For those in the know, the job description is a little heavier on intense, daily scrutiny, stress, and accountability than you might think.

A business leader or influencer might hatch the overall vision for a company, build the most sought-after culture, find and maintain the right resources to propel the business into the upper echelon. But a CEO does all of those things at once, plus so much more. And he or she is expected to stand strong in any storm and smile while doing so.

McKinsey senior partners Carolyn Dewar, Scott Keller, and Martin Hurt have broken down the six dimensions that separate a great CEO from a good one. At their essence, these dimensions are:

1.    Corporate strategy: Focus on beating the odds.

2.    Organizational alignment: Manage performance and health.

3.    Teams and processes: Put dynamics ahead of mechanics.

4.    Board engagement: Help directors help the business.

5.    External stakeholders: Focus on the long-term “Why?”

6.    Personal working norms: Do what only you can do.

To excel in all of these categories, a CEO has to be a superhero, a leader of Herculean character and drive, right? To some extent, yes. But the really great leaders know the secret of success: Find people who excel in areas where you do not and use their expertise to fill out a strong senior team. Of course, even the best boss has to have a little backup.

And help doesn’t always have to come from those seated around the executive table. The phrase “it’s lonely at the top” has proven true for many of the CEOs I have worked with over the past 25+ years. The successful CEOs I have seen throughout my career took care to make connections that allowed them to hit those dimensions the McKinsey team described. Their research shows that CEOs who made bold moves had the most success moving their companies up the ranks within their industries, and doing so faster than leaders who played it safe. Again, that doesn’t necessarily mean these moves are sudden or without serious thought. CEOs should recognize the need to reach out and gather informed insight from a different vantage point.

Where should a CEO look for guidance, or mentorship, if needed, to hone the skills that will allow him or her to go from good to great? Here are a few of my insights:

When I was with IBM and JPMorgan Chase, I learned that it is crucial to have people outside your reporting structure to turn to for advice, especially in a crisis. These outside coaches are trusted individuals who have been where you are now, people who have shared their advice in past situations. And someone who can be a confidante, keeping the brainstorming details private. Having such steady, knowledgeable, and seasoned leaders at the ready helps you work through various scenarios, see the pros or cons that might be in your blind spot, and prepare to carry the message forward. Doing so will help you communicate with the board or with employees, establish a scalable future or expand your executive team with the right complementary personalities and skills. Even CEOs with trusted management teams need to be able to openly explore challenges and voice fears, then return to the office knowing they’ve properly vetted their choices and views. Having a business strategy coach is a strength not a weakness and I make a point to help connect CEOs with coaches that can help them push beyond in their thinking. Even as a CEO, if you stop learning you stop moving.

Joining and participating in a group of top executives across industries gives you access to a wealth of knowledge and experience. Whether it is a seasoned group such as the Entrepreneur Organization or Vistage or an energized new association such as the Austin-based Executive Council Network, CEOs can connect with one another to share experience and solutions about high-level stressors such as mergers or troubled messaging. These organizations do a lot of the heavy lifting, vetting members either through application or invite-only so those who make the cut know their conversations will be candid and confidential, helping them grow both professionally and personally. They also offer workshops, executive summits, mentor pairings and more to help you take your career — and your business — to the next level. What sets a peer group apart from a coach or adviser are the shared experiences. These leaders face the same challenges as you do on the job every day. Such access can add immense value to a CEO working to add depth to the McKinsey team’s dimensions on board engagement and external stakeholders. And being an active part of such a group gives you authentic connections that can reap dividends long after the next deal.

You are the keeper of your company vision, but you are also the one who must make that vision stick. As Joel Trammell points out in his book “The CEO Tightrope”: “There is this sudden realization that there is a need for constant storytelling in order to win over the minds and hearts of employees.” Storytelling doesn’t come naturally for everyone, but it is a skill that all great leaders need to learn. This is where a savvy PR firm comes in. The right partner here can not only help you hone and articulate the message you want to send, it can also ensure that vision is woven into a cohesive strategy — from advertising to emails —  that sticks with all stakeholders, internal and external. Employees watch and listen for leadership. Crafting and articulating a strong message aligns with the McKinsey bullet point on dynamics. The right message attracts not only customers but also a winning team that will help drive overall business goals. Words matter, and so does the delivery. If communication isn’t your strong suit, be bold: Learn from the pros and embrace opportunities to express a vision that will take you where you want to be.

As mentioned earlier, CEOs that make bold moves find more success. Sure, you have an overall vision, but the foundation of that vision has to be fortified with strategic choices. The McKinsey report stresses the importance of reframing what “winning” means. Every company wants to be at the top of their industry, but you don’t get there all at once. Set ambitious but still achievable goals for lasting success. When you toss out a vision statement that seems impossible, very few people will buy into it. Not your employees and not your investors. Counsel of a seasoned communications team is critical here. Leverage their expertise, advice and instincts to set a robust game plan that isn’t all or nothing.

When you are running into the same crowd everywhere you look, it can be difficult to hold boundaries between the personal and professional. You are bound to see work people at the coffee shop or dog park or partake in the general social activities of dinner or a party with business associates.

Keep in mind that studies show that CEOs tend to last two to five years before being forced to move on. If you find yourself out of your job, you will likely find yourself out of the blended social/business circles you have been tending as well. That creates a sudden and lonely vacuum of interaction for you and possibly your spouse, who’s probably accompanied you to a lot of business functions. Make family time part of your social time and give it fair attention. Find new endeavors that balance work stress while stretching your mind. Look around your community and find a group or event that aligns with an interest outside the boardroom. In Austin, for example, Austin Rowing Club, Gilbert’s Gazelles, the Crux Climbing Center, or the Wine and Food Foundation of Texas all have events and get-togethers that attract people of diverse backgrounds and interests.

As CEO, you are ultimately in control of every aspect of your company. The weight of that responsibility can bring out the best and worst in a person, so be good to yourself and take steps to cultivate the best you.