[Article and Picture Source: http://blog.careerintelligence.com/avoid-ceo-failure-5-reasons-ceos-fail/]
Avoid CEO Failure – 5 Reasons Why CEOs Fail
Chief executive officers rarely fail due to their drive, intelligence, and business expertise. These are the traits that enabled them to achieve their rank and status in the first place. Due to these strengths, these executives rarely fail due to poor strategic concepts and designs. Rather, executive officers tend to fail because of their inability to execute these strategies. Poor execution derives from five prominent bad habits found in chief executives. It is essential for aspiring executives to avoid these tendencies to promote their success.
1. Poor communication An executive cannot fix a problem if they are not aware that an issue exists. However, it is unfortunately all too common to have executives who are unaware of operations and difficulties that are diminishing productivity within their organisation. A chief executive’s job description is to oversee the entire organisation’s day-to-day operations. An executive must guarantee that they have all the information available to enable them to prudently make these decisions; he or she must not presume that their deputies will automatically bring developments to their attention. They must be proactive in making communication channels open and frequently utilized, so that small mishaps do not evolve into corporate disasters.
2. Arrogance Every person has had moments where they were convinced that they were right, and everyone else was wrong. Having these thoughts are acceptable; however, turning one’s thought into definitive actions is not, especially in the corporate environment. Executives must recognize the need to compromise on issues of lesser priority, so to gain momentum for the success of more meaningful agendas. This can be exemplified in the beginning stages of an executive’s tenure. Executives should not be hell-bent on altering each and every aspect of the past executive’s reign. While the executive may feel that there are better methods to follow in regards to certain protocols, it may be advisable to not alter everything at once. It is important to not shock the labor force with the elimination of all previous company norms; such actions may lead to unnecessary internal conflict directed towards the new executive. Use discretion to your advantage to promote a more comfortable work environment.
3. Eagerness to please While arrogance should be avoided, the opposite extreme must be evaded as well. Vital business decisions must not be made with the intent of being the most popular choice. The majority is not always right, and their views are frequently too simplified and lack scrutiny. An executive officer must be willing to make the hard choices which are in the best interests of the company. The opinions of the individuals who are a component of the company or the public at-large should only be viewed through the prism of how decisions will affect profits and productivity.
4. Excessive caution Deliberation and careful analysis must be conducted in every corporate decision. Executives must avoid rash decisions or boldness where conservatism is required. However, a company will not thrive if it is too cautious. Leaders must make timely decisions; the right decision made too late is still the wrong decision. Further, leaders must not be afraid to make daring choices when appropriate. Finding the right balance between bold and caution is key.
5. Attention-craving Melodramatic individuals can succeed in CEO roles; however, these individuals must make up for this detriment in fantastic ways and skills. The company should be the executive’s focal point, not fame or individual attention. The most successful executives will eventually obtain more than enough attention without attempting to be in the spotlight. Seeking such recognition will derail an executive officer from properly executing the duties required.