“The strength of any organization is a direct result of the strength of its leaders. Weak leaders equal weak organizations. Strong leaders equal strong organizations. Everything rises and falls on leadership.” – John Maxwell
We are living in a strange and challenging era. As the global pandemic continues to have a profound economic and social impact, two things have become very clear – this level of VUCA disruption is not going away, and the need for strong leaders has never been greater.
The virus in some way has affected each of us – Hundreds of thousands have lost their lives; tens of millions have lost the jobs; billions have been inconvenienced or stressed.
Against this catastrophic backdrop, there is no question this has also been a challenging period for leaders of organizations of all types: government agencies, public and private companies, and non-profits.
Times of crisis are an inflection point, providing an opportunity for true leaders to reveal themselves. Many have stepped up and demonstrated their true leadership attributes, while others have stumbled.
Crises can also reveal weaknesses in organizational alignment or teams that are often hidden, or conveniently ignored, when times are good. It is exactly at times like this that we can witness real leaders, showing their true characters and capabilities.
There isn’t an established playbook for leaders to follow in this type of disruptive and chaotic environment, but there are some timeless leadership principles that still work. In this article, I’ll share a few observations and some guidance for leaders as we slowly begin to re-start the economy.
The Emperor’s New Clothes
I was thinking the other day about some of the business leadership failures I have either witnessed, or heard about from my network, in the past few months. For some reason this topic reminded me of one of my favorite childhood stories, The Emperor’s New Clothes, by Danish author Hans Christian Andersen. Even though this folktale is almost 200 years old, it still has relevance.
CAVEAT: Although the parallels to some of our current political leaders are obvious, and it would be far too easy to pick on them, this article has absolutely no political aspirations or intent. My focus is purely on the world of business.
In case you have not read the story, or it has been a long time since you last heard it, here is a quick summary:
A vain emperor, who cares only about his status and appearance, and has a penchant for wearing fancy clothes, gets enchanted by two scheming weavers who promise to make him a new set of clothes unlike anything else in the kingdom. They bluff him with promises of an outfit made of fine and rare fabric that has the special power of being invisible to anyone who is unfit for their position, stupid, or incompetent. This proves to be too big a temptation for the emperor, who engages them immediately. In reality, the weavers only pretend to make the clothes. As a result, no one, not even the emperor nor his royal court can see the alleged “clothes” when they are finished, but they all play along lest they appear unfit for their positions. And the public has the same reaction when the emperor parades with his new clothes, lest they appear stupid or incompetent. Finally, a child, completely ignorant of the ruse, cries out, “But he isn’t wearing anything at all!”
As a child, I found this tale, in its profound absurdity, to be very amusing. As an adult, I am coming to appreciate some of the applications to the modern business world.
Over the years, literary scholars have noted that the phrase, “Emperor’s new clothes”, has become a standard metaphor for anything that smacks of pretentiousness, pomposity, social hypocrisy, collective denial, or hollow ostentatiousness. Others have suggested that the real moral of the story is in having the courage of one’s convictions – to speak the truth and challenge authority, no matter what the repercussions or humiliation to the recipient.
All pretty relevant to effective leadership and today’s disrupted business environment.
Some Recent Examples
This got me to thinking about some of the lapses I have seen in the world of work over the past few months:
- Companies with predominantly white male executive teams and boards, claiming they care about diversity and inclusion…
- Organizations undertaking massive RIFs while simultaneously recruiting for “exciting career growth” job opportunities…
- Public companies securing huge CARES relief loans at the expense of small ones who didn’t have the resources to apply quickly…
- Leaders who claim they “lead from the front” yet have never visited their teams, or major clients, out in the field…
- Tone deaf celebrities and business leaders sharing pictures of their swanky shelter-in-place digs (from mountain retreats to yachts)…
- Companies who claim to be high-touch and people-centric in their recruiting firing people by email or group conference call…
- Companies that have been hell-bent on growth and retail outlet expansion to gain market share, now demanding rent relief from property owners…
I’m sure you’ve probably seen a few notable examples as well.
Takeaways for Today’s Business Leaders
Of course, not all of the bad behavior examples above are attributable to vain or out-of-touch leaders, but I think many are. A few of them have garnered media scrutiny and negative publicity. Deservedly so.
Being the leader of an organization is a privilege. One that comes with responsibility.
It is appropriate to hold leaders accountable for what happens within their organizations. Depending on the example, individual leaders may not have done anything egregious, but they do craft organizational strategy, they do own the culture, they do set the tone, they should care about the well-being of their people, and by default every good leader should take full accountability for the actions of anyone in the organization.
In this new VUCA world, this time of turmoil and stress, it is time for leaders to step up.
Do the right thing.
Be a leader.
In that spirit, here are a few takeaways for today’s business leaders, which I think are also good values for any organization to embrace:
- Display empathy. Run every decision and communication you make in regards to your workforce past this filter: In the past 3 months, nearly 40 million Americans have lost their jobs. Over 100,000 have lost their lives. Unemployment is now at historic highs. Is your decision empathic to those affected already, or those who are worried they may soon be?
- Practice humility. It is not a time for grandstanding or braggadocio, it is a time to get busy, and do the hard work. The concept of servant leadership has great application here. Leaders should serve those on the front lines who are doing the work of the organization. Helping to solve problems and remove obstacles. Be a visible leader, but don’t take the credit for it.
- Be honest. Nobody expects leaders to have all the answers. However, lies and deception always catch up to the owner. If leaders do not have the answers, then they should promise to work through it and find solutions. People don’t always expect you to have to have the final and definitive answers, they just want to know that leaders care and are working towards a solution.
- Communicate, Communicate, Communicate. In fact, you cannot over-communicate to your organization in an environment like this. Practicing the above traits (empathy, humility, honesty) while providing frequent and transparent updates to your team. They will appreciate it, and you.
- Lead by example. Great leaders lead from the front, and they walk the talk. If leaders are going to open a plant or office back up, they had better be the one opening the door and greeting each worker who enters. It would not hurt to be the one serving them coffee or lunch too!
- Be human. I left this for last because I think it is the most important. Remember, business is all about people. Focus on them. Act with integrity. If all else fails, follow the golden rule: do unto others, as you would have them do unto you. Be human.
Conclusion
Organizations and their leaders show their true colors in the difficult times. In this new and unpredictable VUCA business environment, I hope more leaders step up and lead.
The world needs it. Now more than ever.
-Onward