Being a CEO – as thrilling as it sounds – comes with a heavy burden of responsibilities that often shape the destiny of a company. A CEO can propel the organisation to success, or even plummet into failure.
While battling numerous challenges, they have to be rule-abiders as well as trailblazers, forever vigilant to make the perfect move – whether to build upon success or rebound from a misstep. The path to being an exceptional CEO is an amalgamation of extraordinary skills, traits, and qualities that define their journey.
Drawing insights from Syed S Kaiser Kabir, CEO and Managing Director, Renata Limited; Emran Hasan, Chief Executive Officer, Shanta Asset Management Limited; and Golam Murshed, Managing Director and CEO, WALTON, The Business Standard delves into the heart of what truly sets these leaders apart.
Mindset and vision
Kaiser Kabir, CEO of Renata Limited, believes that exceptional CEOs are well-versed in their understanding of ground realities yet have a remarkable aptitude to act with a contrarian perspective. “In other words, instead of following existing trends, they reshape reality which then becomes the new de rigueur.”
For example, he explained, “Before the advent of microcredit, it was accepted wisdom that the poor are not creditworthy. Yet, due to exceptional leadership by Professor Yunus, we now know that the poor are excellent at repaying loans. As a consequence, microcredit has boomed throughout the world.”
He went on to draw the example of Sir Fazle Hasan Abed. In the 1970s, many believed that infant mortality in Bangladesh could not be reduced without an elaborate healthcare system. But he took up an ambitious yet inexpensive programme to teach every household how to make Oral Rehydration Salt (ORS), which drastically reduced infant mortality.
People skills
Some CEOs employ rigidity to get things done and some others opt for a more lenient approach. To lead the force, Golam Murshed, Managing Director and CEO of Walton, recommends a less bossy environment.
“My philosophy revolves around creating a friendly and slightly informal work atmosphere. Personally, I strive to be a supportive colleague rather than just a boss. This approach, I believe, accelerates progress,” said Murshed.
Exceptional CEOs possess the ability to understand their team members’ unique strengths and empower them to perform at their best.
Highlighting the significance of people skills, Emran Hasan, CEO at Shanta Asset Management notes, “A good CEO knows what to assign to whom, how to bring the best out of an employee. Every employee is different, so everyone is to be dealt with differently.”
Seeing the bigger picture
When one understands a part of the business very well and is unaware of the other mechanisms, it makes the individual the head of a department at best, not a CEO. A CEO must have the eyes to see the bigger picture.
While sharing his journey to becoming a CEO, Emran Hasan revealed that he realised he needed a broader perspective on his company to make his career more purposeful.
By supervising multiple departments and witnessing the interconnections between various functions, he gained a newfound appreciation for the work he does. “Every part of the work is interlinked, and when you see the puzzle getting together, it’s fun,” he remarked.
Hasan started as a fund manager and business analyst. He realised that apart from getting paid every month, there is much more to it to run the company.
He was looking at the full picture to make his job more purposeful. “I asked my boss to let me handle one department and broadly supervise the team. He agreed. When he saw that I could manage the one quite fine, he passed me to another department. When there was a vacancy for the CEO post, I thought that I was fit for it. The board thought the same and I was appointed.”
Building and leading a team
Building a great company often involves relying on high-calibre individuals. Yet, managing this talent pool is not easy as they tend to get bored easily. “Most smart people need new and challenging tasks to stay motivated,” stated Kaiser.
According to him, a proven way in creating a vibrant work environment is to adopt a project-based approach. Key management staff are regularly assigned new projects. They are also encouraged to design projects of their own.
This approach also has a huge influence on leadership development in the company. While on a new project, senior leaders delegate existing tasks to their juniors. This means new leaders get created down the management chain.
“Most people in their youth are keen to make a difference to the world. As such, young members of our team are actively encouraged to take on difficult tasks,” he emphasised.
In fact, the vast majority of people who have built Renata over the years and continue to do so are now in the age bracket of 23 to 45.
Additionally, Kaiser suggests empowering with responsibility is an effective approach to build a skilled team.
“Employee empowerment does not mean that a CEO has the luxury of not having to stay in touch with ground realities. A CEO who delegates without staying in touch with the operating environment is not empowering others, but merely abdicating responsibility,” he asserted.
Every day counts
An exceptional leader grows every day, learns every day and adapts themselves with the ever evolving world. For Kabir, it is important to realise that leadership develops daily, especially in organisations that perpetually buzz with new and exciting activities.
“For example, at Renata, we are trying to build an organisation that is world-class. This aspiration places an impetus on our team leaders to stay up-to-date with latest standards, innovate to create new market opportunities, and improve productivity using new technologies and practices. In essence, our corporate culture challenges us daily to become better leaders,” he continued.
Trusting gut feelings and making quick moves
Exceptional CEOs produce impacts that are truly new and transformative. As such, a risky venture designed to produce a novel outcome may not have access to large quantities of data.
For example, prior to the 1990s, it would have been impossible to get accurate data on consumer demand for something called the ‘internet.’ “In the absence of high-quality data, exceptional CEOs are generally guided by their vision or plain ‘gut-feel.'” said Kaiser.
“When I assess someone if he is a CEO material or not, there are some personality traits I look for, such as, the authority to take responsibility and to make independent decisions,” said Emran.
For example, he explained, there are employers who don’t like to take active decisions, always asking the supervisor what to do. A great CEO must know to make a swift decision, even if it is wrong sometimes.
“There is nothing to fear about going wrong because with time your decisions will be more accurate,” he added.
Balancing work and life
In reality, work-life balance is quite difficult to achieve. But all the CEOs admitted that it is good to have some off-work activities.
“I have never been good at maintaining work-life balance. However, as a 60-year-old facing accelerated biological degradation, I wish I had tried a little harder at maintaining this balance earlier in life,” said Kaiser.
Emran Hasan is a strong proponent of work-life balance and he engages himself in a wide array of activities. “Most exceptional CEOs of my acquaintance do not have anything resembling a work-life balance. Their lives are characterised by relentless slogging,” he added.
Walton’s Murshed on the other hand is not a strong proponent of rigid work-life balance. He believes striving for perfect equilibrium can be counterproductive. “However, I acknowledge the importance of setting aside personal time. I sometimes play badminton and table tennis after work.”
Retaining expert hands for challenging times
The Walton boss focuses on nurturing and retaining experienced workforce to battle the challenging times. “Most of our employees have been with us for over a decade, contributing to our very high retention rate. These seasoned hands possess a deep understanding of operations, seasonal fluctuations, and how to manage tough situations, and they are pivotal in steering through challenging times.”
Their commitment to employee well-being is exemplified by offering three meals a day. “By eliminating the worry of preparing meals, we make life hassle-free for our staff. We also emphasise organic, self-sourced food through our bakery, farms, and fisheries.”
Even during challenging periods like the COVID-19 pandemic, they refrained from layoffs. In essence, prioritising employee retention and capitalising on the experience of long-term team members aids in navigating adversity.
Reiterating the same, Kaiser said, “Renata is blessed with many high-calibre individuals who feel a strong bond with the company. Working as a team, we are confident of navigating the troubled waters.”
Sticking to basics
With different businesses, a CEO’s approach might be different, depending on the situation. There might be innovative approaches, unique styles etc. However, great CEOs are all alike in their basics.
Emran stresses the importance of a diverse skill set for a CEO. He remarks, “A CEO must have ‘pass’ marks in all branches of knowledge that concern his business; he might not be an expert in all areas, but he can supervise if he has little grasp in those.”
In Golam Murshed’s view, the foundation of exceptional leadership lies in hard work and dedication, complemented by strong leadership skills.
A CEO needs to cultivate an environment where employees feel at ease working together. While mistakes might occur during operations, a competent leader refrains from placing blame on individuals and instead strives to collaborate with everyone, offering the necessary support.