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Highlights
Are you a bad CEO?
As someone who consults for multiple companies and oversees a few billion in monthly volume here are the lessons I learned that seperate a great CEO and leadership team from a bad one.
- At the core of a bad team is data delusion; obsessing over sales KPIs is always a recipe for a bad leadership, this may sound counter intuitive but it usually does to those to those who follow bad practices.
Business isn’t about money.
Let me say that one more time, business is not an organization focused on money.
…business is about the systematic experiential reproduction of value.
Systematic meaning organized. Experiential meaning delivered clearly. Reproduction meaning repeatable. Value meaning something of value.
First principles logic, means business is not about money but about the consistent reproduction of clearly delivered value, around which we must build systems, and those systems require staff. A byproduct of that value equals money.
Read that again, money is a byproduct of value, money is not the goal. So then what is? Value. Focus on the experience of providing value to customers and money will always come.
It’s not a revolutionary concept but an arrow shooting at the wrong target is sure to miss, and a lot of CEOs and leadership teams are aiming at the wrong target and experiencing stagnation as a result.
- 8 Hour Work Day & Outdated Beliefs - One of the lowest hanging fruits for any business is change their employee work day from an 8 to a 6 hour work day.
Here is why, when you have less time, it means from a psychological level you value convenience, things that are quick and can “cram” into your schedule, instant gratification mentality.
As a CEO, you know business is not a sprint, it’s a marathon, yet you are by definition of an 8 hour work day, forcing your employees to work for you 8 hours a day, reducing their free time, forcing them to rush and cram decisions in their personal life to fit around their work life.
This psychology carries over to their work performance. That instant gratification? It increases a desire for reward upon doing good work, and if managers don’t observe that psychological need for validation and follow through on it, that dopamine hit doesn’t happen, good work isn’t validated and employee performance suffers. Procrastination sets in and out of an 8 hours a day you may at best get 3 hours of actual work out of them.
Not to mention, healthy life choices such as fitness, socializing, pursuing passions, all take back seat to the time crunch an 8 hour work day creates. This lowers energy, further affecting performance. Also when you pay for convenience you pay a premium so those same employees feel the pinch of their salary more, feel less satisfaction with their position, and are more likely to quit for greener pastures leading to higher turnover.
Bad CEOs and leadership focus on sales KPIs, good CEOs focus on people.
For more tips, follow for part two on this topic…
