The art and science of CEO selection: Egos masquerading as leaders
There are a few mistakes you don't want to make when selecting a CEO. While arguably not the most important person in the business, the CEO does have a disproportionate influence and power at this level can do significant damage. The science of selection would indicate that job performance is directly proportional to brain power. Let me explain.
What I mean by this is that smarter CEOs will perform better than their less smart counterparts. True as this may be, you want a lot more from your CEO. Where I see companies struggling most is not through a lack of solid core intelligence, but rather an over-abundance of ego:
Large egos play havoc in organisations
One reason is because of the power hierarchies that exist, CEOs with big egos are often told what others think they want to hear. Big egos do not like being wrong, do not see failure as an option and require lots of stroking from the senior crew.
In that old dinosaur Good to Great, Jim Collins notes that in the most successful companies leaders have an intense will to succeed coupled with a solid sense of humility. I agree. The last thing anyone needs is a CEO who has to be treated with kid gloves, has eggshells sprinkled around his or her feet, and whose self-awareness can be carried in a matchbox.
If I were to select a CEO, I’d take the selection process seriously, applying a number of tools to assist in selecting the best. One of those tools would be a simple lunch meeting with the potential incumbent:
- I would be careful to notice how they treat the waiters.
- I’d listen carefully to the amount of time they spend talking about themselves rather than asking questions. Excessive pontificating, a lack of porousness on big issues and self-aggrandisement would all set big red flags for me - I have seen ample evidence of narcissism masquerading as leadership.
- I would be impressed with someone who asks a lot of relevant questions, who is interested in people, who is able to reflect what he hears and relate to it.
- I would be impressed with someone who does not believe that their views are the obviously correct ones.
When it comes to selecting a CEO, my advice would be: small ego, good brain, effective listener and an ample dose of humanity.
