LEADERSHIP STRATEGY: ELIMINATE SUB-PAR PERFORMERS…SOONER THAN LATER
To grow you must let go
CEOs face many watershed moments when the value of an established partner, major account, product, supplier, bank, or employee is questionable. IN my 35 years of coaching the CEOs of large and midsize businesses, I have witnessed a recurring and consistently costly hesitation to sever unproductive relationships—even when metrics and gut feelings are screaming that action should be taken.
by LSI publisher Art McNeil
Common twin failings of CEOs:
(A) Delusional thinking:
- Hoping that things will improve: Wishing is not a strategy. The big question is, “are you getting the highest possible ROI”. This question cannot be answered without knowing about the availability of alternatives .
- Guilt at releasing resources that contributed in the past: Effective CEOs are forward thinkers. Decisions should be made with a current to future value perspective—not on historical to current value.
- Too busy to initiate action at the moment: When poor performance is present, time is being wasted for other links in the partner chain.
- Fear of financial implications: Most often the difficulties or lost opportunity costs being created by a sub-par performer is greater than the cost of replacement.
- Concerned about a potential backlash: CEOs that I have coached usually find employees and others asking, “what took you so long”
The bottom line: A CEOs unwillingness to take action erodes confidence in his/her capacity to lead.
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(B) Ineffective or no supervisory protocols:
- The personal performance of direct reports not measured
- no consequences for good or poor performance
- Priorities and performance targets not clearly established
- No corrective action taken when values or processes are violated
- Infrequent one on one coaching sessions
- Unproductive meetings
The E-book, Secure Corporate Viability by Creating *Transferable Wealth and Wisdom presents a sound strategy for standardizing effective supervisory protocols (for everybody with direct reports—including the CEO). * a company not dependent on the CEO or any individual
This posting is sponsored by The Baton Management System