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Too much 'vision' When chief executives offer too many ideas, companies founder

BY: MICHAEL STERN February 14, 2007


When people consider the ideal characteristics of a CEO, “vision” often tops the list. Clearly, the ability to pull together a roadmap for the organization’s future and then communicate it to others is a trait almost everyone expects of their leaders.

Some of the best-known CEOs have been visionary leaders: Jack Welch, Michael Dell and Steve Jobs, or Canadians such as RIM’s Jim Balsillie, or Bank of Montreal’s Tony Comper. All have expounded specific visions for their organizations and led them consistently towards their goals.

But there is also such a thing as too much vision. When CEOs start offering too many ideas – a constant stream of new strategies and tactics, sometimes contradictory – organizations can founder. Emphasizing innovation over execution can be just a harmful as having no vision at all.

A few years ago, for example, there was an executive vice-president of a U.S. firm who was widely regarded as a knowledgeable and successful visionary in his industry. When a Canadian company lured him away as their CEO, the Canadian industry was all abuzz.

The new CEO arrived with a clear vision for the company – and scores of ideas for improvement. Visionary edicts emanated from head office like snowflakes in a blizzard. Some of the ideas were good, many were horrid, some were ahead of their time. Others never got a fair shake – because there were too many initiatives going on at once. Two years later, the CEO was out.

What went wrong? The CEO was focusing way too hard on the “vision thing.” He was championing too many ideas, which meant testing and execution became secondary to sheer volume of activity. No company could have kept pace with his demands for change.

When industry analysts looked back at the CEO’s success at his previous employer, they realized he had operated the same way there. But he had been successful because he reported to a strong CEO who kept his vision in check – diplomatically snuffing out nine of every 10 ideas he proposed.

When he became CEO, the executive had no one to fine-tune the idea flow. What had seemed to be vision and innovation was suddenly revealed to be idea diarrhea.

Even the most visionary CEOs need to have their instincts and initiatives grounded in reality – either by others in the organization or by their own common sense. You can only spend so much time on “vision”: you also have to make time to be the company spokesperson and the confident helmsman, the leader who works closely with his or her markets, customers and employees.

The best organizations, like a healthy political system, develop checks and balances that help CEOs stay grounded. Whether it’s a strong board, an experienced COO, or a confident and capable executive group, you need a counter-force to help the chief executive focus on a few key priorities.

There are, of course, showboat CEOs who don't much like dissent or even balance. But in his best-selling book Good to Great, U.S. management guru Jim Collins demolishes the myth of rock-star CEOs. He demonstrates that lasting results come not from vision, but from forceful leaders who overcome their egos and act with humility and discipline to bring out the best in their subordinates.

Ideals such as these, of course, are welcome anywhere in management – not just at the top. Employers should look for executives who welcome feedback – people who know their limitations as well as they know their strengths.

It’s never easy. Dave Nichol, the grocery king who pioneered the President’s Choice brand, admits “I thought I knew everything” when he was first made president of Loblaws in Ontario. To get everyone shopping at Loblaws one Labour Day weekend, he decided to put blade steaks on sale at 99 cents a pound.

Nobody had warned Nichol that his meat departments couldn't keep up with the demand. With customers getting into fist fights, Nichol learned his lesson. “I wised up,” he said in a later speech. “I got into my car and drove across Ontario and talked to every store manager and asked them what we needed to turn Loblaws' Ontario stores around. They told me, I did it.”

How do you know if a management candidate has the self-awareness needed to turn vision into success?

* Inquire about some of their greatest successes. Notice how much they attribute that success to their own brilliance, and how willingly they share the credit with others.

* Ask how they solicit feedback from others, especially from subordinates. Follow up by asking for examples of how they have adapted their tactics and strategies based on feedback they’ve received.

* Ask candidates what their current boss would describe as their major weaknesses. If the candidates dodge the questions (or use the pat answer, “I work too hard”), probe further to see how deeply their lack of self-awareness runs.

In business, perfect vision is rare. Knowing when to look at the world through different lenses can be the difference between success & failure.