Leadership Quote: CEO’s Job…

This month’s leadership quote:

“CEO’s job is to grow it, not run it.”

Paul Orfalea, founder of Kinkos

Easy to say, hard to do.

Whether owner or professional CEO, the temptation is to run it, to make the important decisions, because after all, we know what to do. People often say that Steve Jobs was in the weeds, involved in every key decision. And, how could this be true if he built the largest company in the world? Not physically possible. To me, he focused on growing it, not running it. It’s just that coming up with the next big idea in his business was what it took to grow it; and to some this appeared as though he was too involved.

  • What does it take in your company to grow it?
  • Is this what you are spending your time doing?
  • If you are spending time doing something else, what changes are necessary?

Why Vistage Works

Elisa K. Spain

Q1 2017 Vistage CEO Confidence Index Results: CEO Economic Confidence Reigns

Q1 2017 Confidence Index

 

A rebound in CEOs’ perceptions of economic growth combined with a more favorable outlook for the economy has created a new optimism. The Vistage CEO Confidence Index was 106.9 in the 1st quarter 2017 survey, slightly above the 105.2 in last quarter’s survey, and well above the 3rd quarter reading of 91.4. Although the surge in optimism has thus far only restored confidence to the highs recorded following the Great Recession, the return of optimism to the highs of the past few years has meant that CEOs anticipate favorable trends in their revenues and profits.

Q1 2017 Vistage CEO Confidence Index highlights include:

  • Economic growth rebounds. 57% of CEOs expect the economy to post additional gains during the year ahead, more than twice the 23% who expected improvement a year ago.
  • Robust hiring plans. 60% of all CEOs plan to expand their workforce in the year ahead.
  • Record revenues and profits. 77% of CEOs expect increased revenue, and 64% expect increased profits in the year ahead.
  • Strong investment spending. 47% of CEOs expect to increase investment expenditures in the next year, barely below the decade peak of 49% set in the closing quarter of 2014.

Why Vistage Works

Elisa K. Spain

Q4 2016 Vistage CEO Confidence Index Results: CEO Optimism Surges

CEOs expressed record increases in optimism about economic prospects following the election. The Vistage CEO Confidence Index jumped to 105.2 in the Q4 survey, up from 91.4 in the 3rd quarter, and the second-largest increase since 2003.

The expected upsurge in business prospects have given a new urgency to finding, hiring, training, and retaining employees. This was the most significant and challenging issue voiced by CEOs in the latest survey. More than one-third of all firms expressed staffing and talent management as both their most significant current issue as well as their biggest challenge for 2017. Increases in investments and hiring represent a degree of confidence in the new president’s economic policies.

 

Q4 2016 Vistage CEO Confidence Index highlights include:

  • 58% of CEOs expected the economy to improve during the year ahead, more than twice the 22% recorded in the 3rd quarter.
  • 47% of CEOs plan to increase investments in the year ahead, reaching the highest level since the start of 2015.
  • 60% of CEOs plan to expand their workforce in the year ahead, the most positive net employment intentions in ten years.
  • 78% of CEOs expect revenue gains in the year ahead, up from 64% last quarter, and the most positive revenue expectation in the past ten years.

Why Vistage Works

Elisa K. Spain

Leadership Quote: You Control Your Future…

This month’s leadership quote:

“You control your future, your destiny. What you think about comes about. By recording your dreams and goals on paper, you set in motion the process of becoming the person you most want to be. Put your future in good hands – your own.”

-Mark Victor Hansen

If you haven’t tried this, perhaps 2017 is the time to start. Write down one goal or aspiration. Put it away somewhere and then remind yourself to look at it in June and again in December.

Why Vistage Works

Elisa K. Spain

Leadership Quote: Strive Not To Be A Success

This month’s leadership quote:

“Strive not to be a success, but rather to be of value.”

Albert Einstein

As a Vistage Chair for over 10 years, I have been fortunate to work with many successful people. And to a person, the most successful by their nature, follow Mr. Einstein’s advice. It is part of who we are as human beings to want to add value. Those of us who make this our focus are destined to become successful.

Why Vistage Works

Elisa K. Spain

Do I Always Have To Negotiate?

This week’s blog post appears on Executive Street Blog. Please click this link to view it.

Every now and then, I have a conversation with one of the leaders I work with who is frustrated with a lack of compliance and accountability in their company. The leader will say something like this: “I told them exactly what I wanted. I explained the reason we needed to do it that way and I am still not seeing the results I want. What is the problem?”

When I point out that perhaps they need to allow folks to weigh in so that they can buy in, I frequently hear a sigh and expressions of more frustration. “Well, that’s just a waste of time,” they might say. Or, “Sometimes I am open to feedback. But sometimes there is a reason I want it done a certain way. I don’t want to waste time in meetings trying to convince everyone to just do it.”

At the other end of the spectrum is the leader who constantly strives for consensus. What I hear from this leader goes something like this: “When I want to implement a change, I ask everyone to weigh in. Then, if there is disagreement, we all meet and discuss it until we agree. If we don’t agree, we don’t do it.”

While there is certainly a place for each of these approaches, there is also a third option: negotiate. The leader who chooses to negotiate begins by understanding where “they” are coming from and what is important to “them,” so that they can turn the discussion into a “we.”

While all three approaches lead to a “yes,” the meaning of that yes can fall anywhere within the following five levels of agreement:

1. Acknowledge the idea
2. See value
3. Buy in
4. Qualified yes
5. Commitment

In my experience, except in an emergency, the first leader I described — the “dictator” — frequently gets only to level 1; thus, the reason for non-compliance. The second leader described — the “consensus builder” — may get to level 2 and 3 occasionally. More often, they either get to the point of watered-down action or no action at all. On the other hand, the third leader — a “true negotiator” — is likely to reach level 5 most often. This approach, like that of the consensus builder, admittedly takes more time at the front end.

Therefore, the questions to ask in each situation are: Is this an emergency? If so, dictate. If this is not an emergency, how important is it to reach true commitment?

 

Why Vistage Works

Elisa K. Spain