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There is no one-size-fits-all leadership style. Finding an effective leadership approach takes time and often involves trial and error as CEOs learn from their very own experiences and the best practices and mistakes of their peers. At Vistage, we have a front-row seat to how SMB CEOs are committed to constantly improving their leadership with a spirit of selflessness, curiosity, and humility. I imagine these SMB leaders are making the world go round. By working every day to change into higher leaders, they are strengthening their firms, families, and communities.
Having had the opportunity to learn from so many of those leaders throughout my profession, I have seen that there are many other ways to be an effective leader. The key? Find what is true for you. For recent CEOs attempting to develop their leadership style —or experienced ones who are just attempting to perfect it—here are some proven strategies I’ve seen from CEOs of small and midsize businesses, in addition to common pitfalls to avoid:
Leadership best practices
The world’s best leaders focus on authenticity and humility:
They strive to enhance—not only for themselves, but for the good of their employees and the company. When leadership principles are based on true CEO beliefs, they are held accountable to those values. This results in consistency in the way leaders show as much as work each day and lead meetings, which permeates the entire culture of the company.
Great leaders define success:
They strive for big goals that mobilize the team and be certain that the team collectively makes progress toward their goals. When they fall short, they mobilize the team to get back up and stay connected to the mission, vision, and purpose. A giant a part of measuring success is determining whether the company attracts and retains employees who are aligned with the mission and vision. feel true joy and purpose in your work. Employee retention and satisfaction are key indicators of a leader’s effectiveness.
Good leadership is based on cooperation, trust and transparent communication:
Trusting the team implies that leaders respect the incontrovertible fact that everyone deserves to be treated fairly and recognized for their unique contributions. This philosophy is based on the fundamental belief that every worker is open to learning, willing to work hard, and committed to the success of the company. As a result, great leaders take heed to their team, getting input from employees who are closest to the motion and can offer real feedback on what is working and what is not. They have a sense of the every day challenges their employees face and the opportunities that are value profiting from.
Leadership Traps
Command and control leadership doesn’t work:
When leaders feel they should know All answers, they don’t seek recent opinions or ideas. They isolate themselves in the decision-making process, believing that their job is to carry the key to every decision the organization makes. New CEOs often start with this authoritarian approach; and it fails time and time again. Employees change into unhappy because they are not engaged in finding solutions. Over time, experienced leaders discover that the best solutions come from in search of different perspectives.
Hiding bad news helps no one:
Eternal optimism seems like a good thing, but it will possibly change into a negative when leaders only share excellent news, painting a rosy picture that stops the team from engaging with the real challenges the company faces. Leaders may do this because they fear that their team will lose motivation in the face of inauspicious business conditions. They often see themselves as the only person able to dealing with difficult facts. However, great leaders know that can work with their team to beat difficult challenges. When leaders are honest with their employees, it creates a culture where everyone rolls up their sleeves and works together to search out a solution. The team is locked in and goes into battle together.
There are no shortcuts to great leadership:
One way leaders take shortcuts is by focusing solely on strategy and ignoring day-to-day operations. While focusing on strategy is essential, great leaders also have a pulse on what’s actually happening with customers and employees. Leaders can trust their team while being confident that the team is performing at a high level.
On the other hand, spoke and hub team leaders assign tasks without first presenting the overall technique to the team:
When CEOs try to regulate all the details, it results in frustration for leaders and their teams. Leaders can’t scale with this approach. If they don’t have clarity on direction, they set the entire team up for failure. Great leaders often communicate strategy. When leaders learn to delegate and articulate the vision, employees gain the autonomy to execute the strategy.
Most leaders have stories of mistakes they learned early on in their leadership journey, and even the best leaders can revert to bad leadership habits they know are ineffective when under severe stress. The excellent news is that we are able to all at all times improve. The best CEOs in the world are consistently looking for opportunities to grow and evolve. Leadership is a lifelong journey, and leadership styles are meant to adapt over time, just as leaders do.