Article
Inspiring Your Team in Good Times and Bad
January 2, 2024
Inspiring and Motivating People: The #1 Correlate of Outstanding Leadership
Inspiring Your Team in Good Times and Bad
Good things happen when people are motivated and inspired. Creative juices flow, ideas proliferate, people work harder, productivity rises, and results improve. When this motivation is sparked by the leader, the organization or the country can thrive and survive the toughest of times.
In more than 40 years of coaching and studying effective and ineffective leaders as well as starting numerous entrepreneurial companies myself, one factor has stood out above all others. In large established corporations, growing start-ups and organizations in every industry around the world, what makes a leader most effective is the ability to inspire people. This means giving them vision and mission, and motivating them through the leader’s own optimism, energy, confidence, enthusiasm, determination, and commitment. This is even more important in the challenging times we live in today.
In my research on over 1800 leaders, utilizing 360 ratings and personality measures, being an inspirational leader was the #1 correlate of leadership effectiveness . This was measured by an average of 12 raters being asked to rate the leader on “Overall Leadership Effectiveness,” after they had completed ratings on 47 dimensions of leadership and management, social skills, problem-solving, character and decision making. When I dug deep into the data, it clearly showed that leaders who can light a fire under people, had unique characteristics that helped them serve as an inspiration to others. They excelled at building trust, showing confidence in the organization's ability to achieve its goals, instilled hope and motivated and energized people to persevere.
Why is the ability to inspire people so important?
Sure, people are motivated by making money and achieving financial security. Money is important, but not the only or even the most important motivator of employees. As many have said before, a compelling vision, dedication to a meaningful mission gets people mobilized. But, a leader’s optimism and enthusiasm, integrity, resilience, supportiveness and self-assurance are also critical in inspiring people to follow. It has been said that paychecks can’t buy passion. Engaged and motivated employees are far more likely to excel and to exceed performance targets. They have genuinely bought into the cause.
The ability to motivate people plays a vital role at every stage of company growth. Leaders of early stage as well as established organizations are constantly called upon to motivate people during many of the organization’s everyday challenges and problems. This is even more important in the kind of difficult times an organization will inevitably encounter, when obstacles seem to be piling up and people are becoming stressed or demoralized.
Your ability to lead will be tested when your team members are feeling discouraged about their own performance challenges, by organizational setbacks or economic downturns, by conflicts with coworkers, company politics and their own personal life problems. At this point in time, the coronavirus pandemic threatens the lives and the livelihood of all of us. This requires inspirational leadership.
If you are a leader, you can inspire by the words you speak, the vision you convey, the encouragement and support you offer, but most of all by your example. People are always watching the leader. It is well known that we humans learn best by emulating an example. The leader’s commitment, focus, follow-through and values are always on display, and set the tone for others.
A deeper dive into what helps leaders inspire and motivate people
They are vision and mission driven Leaders can inspire people when they paint a clear vision of what they want to accomplish and can skillfully and persuasively communicate this vision. But the vision must be followed with a credible plan. Ideas and big dreams are not enough. Many leaders feel destined to do something significant, even something great with their lives. The most effective leaders turn their dreams into a realistic and actionable strategic plan.
“He sold me on the long-term vision when he interviewed me for the job. I joined the company because he told a compelling story and I wanted to be part of it.”
They see the big picture and communicate its meaning to others In order to create a vision and a solid strategy, a leader must be able to understand the broad context: market trends, technology trends, economic patterns, the competitive landscape etc. and then be able to see the subtle connections, relationships, and implications of internal and external events. When the leader sees things that others don’t recognize, their insights can create products and potential markets that others just don’t see. This helps their decisions and the organization’s actions to have greater impact.
It’s easy to let the tyranny of the urgent and the need to accomplish an endless stream of daily tasks cause you to lose perspective on the broader significance of what you do. Excessive urgency can cause a leader to make a series of reactive decisions without consideration of the larger mission and long-term priorities.
“His forward-thinking view is amazing,” one person said of her boss. “This has helped the team stay focused on delivering on today’s challenges while keeping in mind where we are going over the long-term.”
But, seeing around corners and having a vision in your head isn’t enough. People tend to follow leaders who have clearly communicated where the organization is headed. Turning vision into strategy allows people to link their actions with the organization’s broader objectives. Teams need to be aligned around a “North Star” and avoid getting distracted by unimportant details. Through emails and texts, slack channels, all-hands meetings, videoconference and frequent updates, inspirational leaders continuously share their vision with followers. These things help employees see why their actions are important and where their job fits in the larger plan.
“He is able to paint a clear picture and turn it into a clear road map. Hearing his vision for the company and for our group gives us a sense of confidence and excitement for what’s to come.”
“Her clear picture of the future and ability to link our current work to the long-term strategy helps us understand our roles and feel connected to the vision.” They are genuinely optimistic, cheerful, and enthusiastic The most effective leaders uplift the people around them with their upbeat demeanor and a consistently hopeful, optimistic outlook. They have a positive view of the world and genuinely tend to see the good and the potential in others. They don’t dwell on negative events and people’s shortcomings. However, their optimism is grounded and realistic, not naïve. And it’s not contrived. They don’t speak in feel-good platitudes. Their positive attitude brings out the best in others.
“She is optimistic, cheerful, and enthusiastic. Her positive energy and confidence in our ultimate success inspires team members to push themselves.”
“He never, ever transmits negative energy to the team, even in the most difficult situations. He has been genuinely optimistic during some really tough times.”
They communicate hope in tough times Part of the job of any leader is to be Chief Inspirational Officer, on a daily basis. It is easy to be cheerful when things are flowing smoothly but life is not always like that. All organizations (as all of us as individuals) have down times when the going is rough, obstacles seem bigger, and it is hard to maintain motivation and focus. Leaders who are inspirational motivate people with their positive attitude and can-do spirit. Employees recognize and appreciate this:
“His optimism, positive outlook and sense of humor helped to keep everything in perspective during tough times."
“Without her positive attitude, the bleakest days would have been too much to take.”
They love their work, and this is infectious Inspiring leaders consistently have extremely high levels of job satisfaction. They truly love their jobs. But more than that: they seem to enjoy their lives, and their work is simply a part of that. They have a passion for their mission and for the daily steps taken toward achieving it. This attitude is contagious and inspires others.
“Your work is going to fill a large part of your life, and the only way to be truly satisfied is to do what you believe is great work. And the only way to do great work is to love what you do.” - Steve Jobs
They are models of commitment and value s When it comes to organizational values, the leader sets the tone. Everyone is always watching. Everything the leaders does makes a speech about what they really value, how they really feel, what frustrates them or who and what gets their time and attention. Leaders must consistently adhere to their own and the organization’s values. Leaders must also show commitment to the organization and its greater good rather than only their self-interest.
Inspiring leaders also model honesty and integrity and this motivates the people around them. Their behavior is guided by principles and an understanding of the implications and ramifications of their decisions and actions. They act authentically, responsibly and in alignment with their values and the mission and values of the organization. They have a strong inner compass, otherwise known as conscience. They walk their talk. They follow through on their commitments. They insist upon fairness, honesty, and integrity.
“He practices all the core values of the organization every day and exhibits the highest standards of personal conduct. He is a perfect role model for any team member to follow.”
Motivating leaders set the standard of commitment for everyone in the organization. They work hard, putting in all the hours needed to do the job as effectively as they can. They show up on time and “own” every aspect of the work. They always do their best, and that commitment inspires others to perform at their best. They don’t avoid difficult or challenging situations, but they keep striving to be successful.
“It definitely makes me feel better when I see her determination, energy, and confidence, particularly when things start to fall apart.”
They show remarkable resilience and level-headedness Effective leaders also inspire their followers with their calm, steady and consistent style, showing them that they have a firm hand on the wheel, which is reassuring during tough or stressful times. Their composure in times of crisis helps their team remain calm. They recover quickly from setbacks. They keep the big picture in mind and don’t let the small unimportant things upset them. They also take the time to reflect and recharge. This allows them to maintain a certain serenity in situations of loss, failure and crisis.
They offer support and encouragement and show they care Inspirational leaders also motivate people by being supportive and providing encouragement. They are authentically caring, respectful of others, and willing to listen to people on all levels of the organization. They make a concerted effort to boost the self-esteem of their followers and help them believe in themselves, what they can accomplish, and understand how their work contributes value to the organization. This attitude of helpfulness is genuine and unselfish and unleashes the potential in people. And it fosters loyalty. These leaders know that their own effectiveness depends on bringing the best out of their people.
So, my advice here is to be lavish with praise and recognition – where it is deserved.
They know how to get buy-in Inspiring leaders motivate people by making an effort to enlist their support, ask for their input, genuinely consider their needs and opinions and get them to feel part of the solution or initiative. They know that they can’t create a successful business alone. They know they need cooperation and support for their proposals from a variety of stakeholders if they are going to accomplish their goals.
They have the ability to influence, persuade and motivate others to support their initiatives. They systematically identify key individuals and organizations whose support is essential and what are the things that each of these stakeholders’ values. Then they propose their ideas or initiative to them in a manner that combines persuasion based on a credible command of the facts with a willingness to listen and adjust to their needs, values, priorities and concerns.
Building support requires dialogue, really hearing others perspective and the reasons for their resistance. They understand how to influence rather than demanding, intimidating or just pushing too hard. This simply creates resistance. They understand that proactively involving people in problem-solving or decision-making helps to build cooperation and support because they become part of the solution and their points of view and suggestions may not only be useful but makes them feel a part of the solution.
They show confidence without arrogance Inspirational leaders are confident and secure, and their teams can sense this. They simply feel that they have what it takes to succeed, and this is reassuring to their followers. In other words, they are comfortable in their own skin. They are not plagued by fear or insecurity. They believe in themselves. As a result, they don’t hesitate to take charge when the situation requires them to do so. Their sense of self-worth is solid and secure without arrogance, pride and hubris.
Many are quite modest about their accomplishments and openly admit that they have weaknesses. They reflect upon their past successes and failures and recognize and learn from them. As one direct report put it, “His confidence inspires us, but he is also humble and always willing to learn.” This causes others to see them as human, authentic and unpretentious. They are simply real; what you see is what you get.
Good things happen when people are motivated and inspired. Creative juices flow, ideas proliferate, people work harder, productivity rises, and results improve. When this motivation is sparked by the leader, the organization or the country can thrive and survive the toughest of times.
In more than 40 years of coaching and studying effective and ineffective leaders as well as starting numerous entrepreneurial companies myself, one factor has stood out above all others. In large established corporations, growing start-ups and organizations in every industry around the world, what makes a leader most effective is the ability to inspire people. This means giving them vision and mission, and motivating them through the leader’s own optimism, energy, confidence, enthusiasm, determination, and commitment. This is even more important in the challenging times we live in today.
In my research on over 1800 leaders, utilizing 360 ratings and personality measures, being an inspirational leader was the #1 correlate of leadership effectiveness . This was measured by an average of 12 raters being asked to rate the leader on “Overall Leadership Effectiveness,” after they had completed ratings on 47 dimensions of leadership and management, social skills, problem-solving, character and decision making. When I dug deep into the data, it clearly showed that leaders who can light a fire under people, had unique characteristics that helped them serve as an inspiration to others. They excelled at building trust, showing confidence in the organization's ability to achieve its goals, instilled hope and motivated and energized people to persevere.
Why is the ability to inspire people so important?
Sure, people are motivated by making money and achieving financial security. Money is important, but not the only or even the most important motivator of employees. As many have said before, a compelling vision, dedication to a meaningful mission gets people mobilized. But, a leader’s optimism and enthusiasm, integrity, resilience, supportiveness and self-assurance are also critical in inspiring people to follow. It has been said that paychecks can’t buy passion. Engaged and motivated employees are far more likely to excel and to exceed performance targets. They have genuinely bought into the cause.
The ability to motivate people plays a vital role at every stage of company growth. Leaders of early stage as well as established organizations are constantly called upon to motivate people during many of the organization’s everyday challenges and problems. This is even more important in the kind of difficult times an organization will inevitably encounter, when obstacles seem to be piling up and people are becoming stressed or demoralized.
Your ability to lead will be tested when your team members are feeling discouraged about their own performance challenges, by organizational setbacks or economic downturns, by conflicts with coworkers, company politics and their own personal life problems. At this point in time, the coronavirus pandemic threatens the lives and the livelihood of all of us. This requires inspirational leadership.
If you are a leader, you can inspire by the words you speak, the vision you convey, the encouragement and support you offer, but most of all by your example. People are always watching the leader. It is well known that we humans learn best by emulating an example. The leader’s commitment, focus, follow-through and values are always on display, and set the tone for others.
A deeper dive into what helps leaders inspire and motivate people
They are vision and mission driven Leaders can inspire people when they paint a clear vision of what they want to accomplish and can skillfully and persuasively communicate this vision. But the vision must be followed with a credible plan. Ideas and big dreams are not enough. Many leaders feel destined to do something significant, even something great with their lives. The most effective leaders turn their dreams into a realistic and actionable strategic plan.
“He sold me on the long-term vision when he interviewed me for the job. I joined the company because he told a compelling story and I wanted to be part of it.”
- Ask yourself, have you formulated a clear and compelling vision for yourself and your organization?
- Have you shared that vision enough times and with enough clarity that others truly get it?
- Have you turned this vision from a picture in your own head into a plan that people can understand and believe in?
They see the big picture and communicate its meaning to others In order to create a vision and a solid strategy, a leader must be able to understand the broad context: market trends, technology trends, economic patterns, the competitive landscape etc. and then be able to see the subtle connections, relationships, and implications of internal and external events. When the leader sees things that others don’t recognize, their insights can create products and potential markets that others just don’t see. This helps their decisions and the organization’s actions to have greater impact.
It’s easy to let the tyranny of the urgent and the need to accomplish an endless stream of daily tasks cause you to lose perspective on the broader significance of what you do. Excessive urgency can cause a leader to make a series of reactive decisions without consideration of the larger mission and long-term priorities.
“His forward-thinking view is amazing,” one person said of her boss. “This has helped the team stay focused on delivering on today’s challenges while keeping in mind where we are going over the long-term.”
But, seeing around corners and having a vision in your head isn’t enough. People tend to follow leaders who have clearly communicated where the organization is headed. Turning vision into strategy allows people to link their actions with the organization’s broader objectives. Teams need to be aligned around a “North Star” and avoid getting distracted by unimportant details. Through emails and texts, slack channels, all-hands meetings, videoconference and frequent updates, inspirational leaders continuously share their vision with followers. These things help employees see why their actions are important and where their job fits in the larger plan.
“He is able to paint a clear picture and turn it into a clear road map. Hearing his vision for the company and for our group gives us a sense of confidence and excitement for what’s to come.”
“Her clear picture of the future and ability to link our current work to the long-term strategy helps us understand our roles and feel connected to the vision.” They are genuinely optimistic, cheerful, and enthusiastic The most effective leaders uplift the people around them with their upbeat demeanor and a consistently hopeful, optimistic outlook. They have a positive view of the world and genuinely tend to see the good and the potential in others. They don’t dwell on negative events and people’s shortcomings. However, their optimism is grounded and realistic, not naïve. And it’s not contrived. They don’t speak in feel-good platitudes. Their positive attitude brings out the best in others.
“She is optimistic, cheerful, and enthusiastic. Her positive energy and confidence in our ultimate success inspires team members to push themselves.”
“He never, ever transmits negative energy to the team, even in the most difficult situations. He has been genuinely optimistic during some really tough times.”
They communicate hope in tough times Part of the job of any leader is to be Chief Inspirational Officer, on a daily basis. It is easy to be cheerful when things are flowing smoothly but life is not always like that. All organizations (as all of us as individuals) have down times when the going is rough, obstacles seem bigger, and it is hard to maintain motivation and focus. Leaders who are inspirational motivate people with their positive attitude and can-do spirit. Employees recognize and appreciate this:
“His optimism, positive outlook and sense of humor helped to keep everything in perspective during tough times."
“Without her positive attitude, the bleakest days would have been too much to take.”
They love their work, and this is infectious Inspiring leaders consistently have extremely high levels of job satisfaction. They truly love their jobs. But more than that: they seem to enjoy their lives, and their work is simply a part of that. They have a passion for their mission and for the daily steps taken toward achieving it. This attitude is contagious and inspires others.
“Your work is going to fill a large part of your life, and the only way to be truly satisfied is to do what you believe is great work. And the only way to do great work is to love what you do.” - Steve Jobs
They are models of commitment and value s When it comes to organizational values, the leader sets the tone. Everyone is always watching. Everything the leaders does makes a speech about what they really value, how they really feel, what frustrates them or who and what gets their time and attention. Leaders must consistently adhere to their own and the organization’s values. Leaders must also show commitment to the organization and its greater good rather than only their self-interest.
Inspiring leaders also model honesty and integrity and this motivates the people around them. Their behavior is guided by principles and an understanding of the implications and ramifications of their decisions and actions. They act authentically, responsibly and in alignment with their values and the mission and values of the organization. They have a strong inner compass, otherwise known as conscience. They walk their talk. They follow through on their commitments. They insist upon fairness, honesty, and integrity.
“He practices all the core values of the organization every day and exhibits the highest standards of personal conduct. He is a perfect role model for any team member to follow.”
Motivating leaders set the standard of commitment for everyone in the organization. They work hard, putting in all the hours needed to do the job as effectively as they can. They show up on time and “own” every aspect of the work. They always do their best, and that commitment inspires others to perform at their best. They don’t avoid difficult or challenging situations, but they keep striving to be successful.
“It definitely makes me feel better when I see her determination, energy, and confidence, particularly when things start to fall apart.”
They show remarkable resilience and level-headedness Effective leaders also inspire their followers with their calm, steady and consistent style, showing them that they have a firm hand on the wheel, which is reassuring during tough or stressful times. Their composure in times of crisis helps their team remain calm. They recover quickly from setbacks. They keep the big picture in mind and don’t let the small unimportant things upset them. They also take the time to reflect and recharge. This allows them to maintain a certain serenity in situations of loss, failure and crisis.
They offer support and encouragement and show they care Inspirational leaders also motivate people by being supportive and providing encouragement. They are authentically caring, respectful of others, and willing to listen to people on all levels of the organization. They make a concerted effort to boost the self-esteem of their followers and help them believe in themselves, what they can accomplish, and understand how their work contributes value to the organization. This attitude of helpfulness is genuine and unselfish and unleashes the potential in people. And it fosters loyalty. These leaders know that their own effectiveness depends on bringing the best out of their people.
So, my advice here is to be lavish with praise and recognition – where it is deserved.
- Increase the ratio of praise to criticism
- Praise specific behaviors and achievements
- Look for employees doing things that are positive and valuable to the organization, and show your appreciation
- Recognize and celebrate accomplishments
- Deliver praise as soon after the event as possible
They know how to get buy-in Inspiring leaders motivate people by making an effort to enlist their support, ask for their input, genuinely consider their needs and opinions and get them to feel part of the solution or initiative. They know that they can’t create a successful business alone. They know they need cooperation and support for their proposals from a variety of stakeholders if they are going to accomplish their goals.
They have the ability to influence, persuade and motivate others to support their initiatives. They systematically identify key individuals and organizations whose support is essential and what are the things that each of these stakeholders’ values. Then they propose their ideas or initiative to them in a manner that combines persuasion based on a credible command of the facts with a willingness to listen and adjust to their needs, values, priorities and concerns.
Building support requires dialogue, really hearing others perspective and the reasons for their resistance. They understand how to influence rather than demanding, intimidating or just pushing too hard. This simply creates resistance. They understand that proactively involving people in problem-solving or decision-making helps to build cooperation and support because they become part of the solution and their points of view and suggestions may not only be useful but makes them feel a part of the solution.
They show confidence without arrogance Inspirational leaders are confident and secure, and their teams can sense this. They simply feel that they have what it takes to succeed, and this is reassuring to their followers. In other words, they are comfortable in their own skin. They are not plagued by fear or insecurity. They believe in themselves. As a result, they don’t hesitate to take charge when the situation requires them to do so. Their sense of self-worth is solid and secure without arrogance, pride and hubris.
Many are quite modest about their accomplishments and openly admit that they have weaknesses. They reflect upon their past successes and failures and recognize and learn from them. As one direct report put it, “His confidence inspires us, but he is also humble and always willing to learn.” This causes others to see them as human, authentic and unpretentious. They are simply real; what you see is what you get.
share this
Related Articles
Related Articles
Founders live in a world of chaos. It’s exhilarating, intense, and downright terrifying. You’re constantly shifting between the thrill of new ideas and the crushing weight of responsibility. Every decision feels like a life-or-death moment for your company, and the stress is unrelenting. Yet, amid this madness, there’s one thing that determines whether you’ll thrive or crash and burn: personal grounding.
Founders often carry a mythic aura, celebrated for their vision, charisma, and relentless drive. They are the bold risk-takers who disrupt industries, change lives, and will entire markets into existence. These narratives—as addictive as they are—often lead to an unfortunate misconception: that sheer genius is enough to scale a startup. It isn’t. Vision alone might get you through the knife-fight phase of a startup’s life, but when it’s time to scale, your brilliance can become a bottleneck. Founders who cling to the illusion that they can power through scaling challenges with charisma and creativity often fail spectacularly. This blog is a wake-up call for founders, potential founders, failed founders, and investors alike: genius alone will not carry you to the finish line. What separates the startups that thrive from those that crumble is not brilliance but the ability to build enduring systems, structures, and processes. Let’s dispel the myths and explore the unseen and often unglamorous work that founders need to master if they hope to turn a scrappy startup into a billion-dollar business. Myth 1: Vision Is Everything Most founders are natural Visionary Evangelists. They see around corners, spot market opportunities, and inspire teams with their bold ideas. Investors bet on these qualities, and for good reason: vision is what ignites the startup engine. But as the company grows, the same traits that propelled its early success can become liabilities. Vision without structure leads to chaos. Founders can’t just "will" their companies to scale. At some point, the organization’s complexity will outstrip the founder’s ability to manage it. The lack of clear systems and processes creates bottlenecks, frustrates teams, and erodes trust. Reality Check: Vision is critical, but it’s not a substitute for operational rigor. Scaling requires founders to translate their big ideas into actionable, repeatable systems. Without this bridge between strategy and execution, even the most promising startups will stall. Myth 2: The Founder’s Hustle Will Carry the Team In the early days, startups thrive on heroic efforts. Founders wear multiple hats, pulling all-nighters and stepping in wherever there’s a gap. This scrappy hustle becomes a badge of honor, an identity. But as the team grows, this approach becomes unsustainable and even destructive. Here’s the problem: many founders struggle to let go. They micromanage, make unilateral decisions, and refuse to delegate. Why? Because they’ve convinced themselves that no one else can match their passion or capability. This creates a toxic dynamic where the founder becomes the bottleneck, stalling progress and demoralizing their team. Reality Check: Hustle is not a scalable strategy. Founders must transition from being the hero to being the architect of systems that empower others to execute effectively. This means delegating, coaching, and trusting their team to own outcomes. Myth 3: Startups Should Avoid Bureaucracy The word “bureaucracy” sends chills down the spines of most founders. Isn’t the whole point of a startup to move fast and break things? Isn’t bureaucracy the enemy of innovation? Not exactly. While startups should avoid unnecessary red tape, the absence of structure often leads to inefficiency and burnout. Teams waste time reinventing the wheel because there’s no documented process. Priorities shift on a whim, leaving employees confused and disengaged. Founders who reject all forms of process in the name of agility often end up with chaos instead of speed. Reality Check: Scaling startups need “just enough” process to provide clarity and direction. Think of processes as guardrails, not handcuffs. They should enable agility, not stifle it. Myth 4: Scaling Is About Adding More Resources When startups hit growing pains, the instinctive reaction is to throw more resources at the problem: hire more people, buy better tools, raise more money. While these are sometimes necessary, they’re rarely sufficient. Scaling isn’t just about doing more; it’s about doing better. Consider this: doubling your team without clear systems in place will only amplify inefficiencies. Throwing money at problems without solving root causes leads to waste. Founders who equate scaling with “more” often find themselves with bloated organizations that are slow and unprofitable. Reality Check: Scaling is about improving efficiency and effectiveness. Before adding more resources, founders need to optimize their existing processes to handle greater complexity. What Successful Founders Do Differently So, what separates the founders who successfully scale their startups from those who don’t? Here are the key actions they take: 1. Re-engineer Inefficient Processes Successful founders don’t just patch over inefficiencies; they dig deep to redesign broken systems. They prioritize scalability from the start, asking questions like: “Can this process handle 10x growth?” If the answer is no, they fix it. 2. Shift from Doer to Leader Founders who scale learn to let go of day-to-day tasks and focus on strategic leadership. This means empowering their team to own decisions and outcomes while providing clear guidance and support. 3. Invest in People and Culture Scaling isn’t just about systems; it’s also about people. Great founders invest in hiring top talent, developing their team’s capabilities, and creating a culture that aligns with their values and vision. 4. Embrace Feedback and Adaptation Scaling is a messy process that requires constant iteration. Founders who thrive are those who actively seek feedback from their team, customers, and investors—and use it to refine their approach. 5. Build Operational Discipline This is where many founders falter. Operational discipline means setting clear goals, tracking progress, and holding people accountable. It’s about creating a rhythm of execution that ensures the company delivers on its promises. A Challenge to Founders If you’re a founder, ask yourself: Are you still trying to do everything yourself? Do your teams know their priorities, or are they constantly scrambling to figure out what matters most? Are your processes built to scale, or are you just winging it? Be honest. The answers to these questions will reveal whether you’re truly ready to scale your company or if you’re standing in your own way. For potential founders: Don’t romanticize the hustle. Building a startup requires more than just a big idea and hard work. Be prepared to master the unsexy, behind-the-scenes work of creating systems and structures that enable growth. For failed founders: Reflect on where things went wrong. Was it a lack of vision, or was it the inability to scale operations? Use those lessons to rebuild stronger. For investors: Stop glorifying the lone genius. Look for founders who are not just visionary but disciplined in execution. Invest in those who are willing to grow alongside their companies. The Takeaway Scaling is not a magical process that happens when you raise enough money or hire enough people. It’s a deliberate, disciplined effort to build the systems, structures, and processes that allow your company to grow sustainably. Vision might light the fire, but operational excellence keeps it burning. For founders willing to do the hard work, the rewards are immense. The ability to scale beyond genius is what separates the unicorns from the also-rans. The question is: are you ready to put in the work?
In a recent Founders Keepers newsletter entitled “When Their Moral Compass Fails, Leaders Fail: How Greed, Power, and Pressure Can Destroy Founders” I discussed how the pressure of investor demands, and the corrosive effects of power and greed can erode a founder’s moral compass. These challenges are not limited to startup founders; they affect leaders across all industries. However, our research on nearly 2,000 executives, including the top 200 leaders who emerged as the “best” based on 360-degree feedback ratings, provides a critical insight: the best leaders are unwavering models of integrity and values. This is not just an ideal to aspire to—it’s a requirement for sustainable success. When leaders prioritize integrity and live by a clear set of values, they build trust, inspire their teams, and create a foundation for enduring impact. This post will delve into what it means to lead with integrity, how the best leaders embody these principles, and actionable steps you can take to align with these ideals. Integrity: The Cornerstone of Leadership Integrity in leadership is about much more than honesty. It encompasses consistency between words and actions, ethical decision-making, and a commitment to doing what is right, even in the face of adversity. Leaders with integrity act as a moral compass for their organizations, guiding decisions and behavior through a clear ethical lens. Our research on the best leaders revealed several defining characteristics of integrity in leadership: Consistency in Actions and Words: The best leaders “walk the talk,” ensuring their actions align with their stated values. This predictability fosters trust and reduces organizational uncertainty. Ethical Decision-Making: These leaders prioritize ethical considerations, making decisions that align with their values rather than taking shortcuts for short-term gains. Accountability: They own their mistakes, modeling humility and responsibility for their teams. Take Howard Schultz, the former CEO of Starbucks, as an example. Schultz demonstrated integrity by prioritizing ethical sourcing, offering healthcare benefits to part-time employees, and fostering a culture of respect and inclusion. His leadership not only built a globally respected brand but also created an environment where employees felt valued, and customers felt connected to the company’s mission. According to a comprehensive review of the literature, leaders who demonstrate integrity cultivate stronger trust among their teams, improve morale, and enhance overall organizational performance. The ripple effects of their behavior extend to organizational reputation, customer loyalty, and financial success. Values as the Leader’s Guiding Light Values are the principles that define what is most important to an individual or organization. For leaders, values serve as a decision-making framework, shaping their behavior and influencing their teams. Leaders who model and promote core values create a strong organizational culture where employees feel aligned and inspired. In our study of the best leaders, the following behaviors stood out: Leading by Example: The best leaders don’t just articulate values; they embody them. Their behavior demonstrates the standards they expect from others. High Standards of Conduct: These leaders maintain impeccable personal and professional standards, setting a tone that permeates their teams and organizations. Promoting Organizational Values: By aligning their behavior with the organization’s mission and vision, these leaders reinforce the importance of shared values. Brian Chesky, CEO of Airbnb, exemplified these principles during the COVID-19 pandemic. Faced with difficult decisions, Chesky ensured that laid-off employees received generous severance packages and career support. His transparent and empathetic approach reinforced Airbnb’s values and preserved the company’s reputation during a challenging time. The literature supports these findings, emphasizing that when leaders align personal and organizational values, it leads to increased job satisfaction, higher productivity, and reduced turnover. Trust: The Currency of Leadership Integrity and values contribute to the most critical currency a leader possesses: trust. Leaders who consistently demonstrate integrity earn the confidence of their employees, stakeholders, and customers. This trust forms the foundation of effective collaboration, open communication, and organizational resilience. Our research showed that trust was a hallmark of the best leaders. They were described as dependable, reliable, and fair. Their actions consistently reflected their commitments, which inspired loyalty and respect. Paul Polman, former CEO of Unilever, is a shining example of how integrity builds trust. Polman led Unilever with a focus on sustainability and social responsibility, proving that profitability and ethical practices can coexist. His leadership attracted like-minded stakeholders, enhanced the company’s reputation, and set a benchmark for ethical corporate governance. Building trust, however, is not a one-time effort. It requires continuous reinforcement through ethical behavior, transparency, and accountability. As one executive in our study remarked, “Trust takes years to build, seconds to break, and forever to repair.” The Downside of Losing Integrity The stakes for leaders who fail to model integrity are high. Our review of business failures, including infamous cases like Enron and Theranos, highlights how a lack of ethical leadership can lead to catastrophic outcomes. Leaders who compromise their values for short-term gains risk not only their reputations but also the viability of their organizations. The Enron scandal was rooted in accounting fraud and ethical violations by top executives who prioritized personal gain over organizational integrity. Similarly, Elizabeth Holmes of Theranos allowed ambition to override honesty, leading to the downfall of a once-promising company. These examples underscore the importance of ethical leadership in avoiding reputational and financial disaster. Expanding the Legacy: The Ripple Effects of Integrity Leaders who model integrity extend their influence far beyond their immediate teams. They create a ripple effect that shapes organizational culture, industry standards, and even societal expectations. A consistent pattern in our research is that ethical leaders inspire ethical behavior at all levels of the organization, amplifying their impact. For instance, Satya Nadella’s leadership at Microsoft has transformed the company culture from one of cutthroat competition to collaboration and innovation. By prioritizing empathy, inclusion, and a growth mindset, Nadella has demonstrated how values-driven leadership can rejuvenate a global organization and inspire employees worldwide. This ripple effect is not accidental; it requires intentional effort to embed integrity into every aspect of leadership. Leaders must ask themselves: How can I ensure my values are reflected in the decisions I make, the systems I design, and the culture I cultivate? Actionable Steps for Leading with Integrity So, how can leaders ensure they remain models of values in the face of challenges? Here are actionable strategies based on our research and the broader literature: Clarify Your Core Values: Take time to reflect on your principles and create a personal mission statement. Ensure your values align with your organization’s mission. Lead by Example: Demonstrate your values through consistent actions. Be the behavior you wish to see in your team. Be Transparent: Openly communicate your decisions and the values guiding them. Transparency builds trust and accountability. Own Your Mistakes: When you fall short, acknowledge it. Use failures as an opportunity to model humility and resilience. Seek Feedback: Regularly solicit input from your team to understand how your behavior aligns with your values. This fosters self-awareness and continuous improvement. Promote Organizational Values: Reinforce the importance of shared values by embedding them into your organization’s culture and decision-making processes. Practice Ethical Decision-Making: Develop a habit of evaluating decisions through an ethical lens. Ask yourself how your choices align with your values and their impact on others. Amplify Your Influence: Leverage your position to mentor others, advocate for ethical practices, and inspire your industry to prioritize integrity. An Inspiring Legacy The best leaders are not only successful but also admired for their integrity and values. Their influence extends beyond organizational performance to leave a lasting legacy of trust, inspiration, and ethical conduct. As leaders, we must constantly ask ourselves: What kind of legacy are we building? In the words of one of the best leaders from our study, “Leadership isn’t about being in charge; it’s about taking care of those in your charge.” By prioritizing integrity and living by our values, we can inspire those around us and build organizations that stand the test of time. As you reflect on this, revisit the challenges I outlined in Founders Keepers —the pressures, greed, and power that can erode integrity. Let this serve as a reminder to stay grounded in your values and lead with unwavering commitment to what is right. Success is fleeting, but integrity endures.
STAY UP TO DATE
GET PATH'S LATEST
Receive bi-weekly updates from the church, and get a heads up on upcoming events.
Contact Us
