Baker College Darker Side of Some Leader Behaviors Business Discussion

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Introduction Most literature on leadership paints a rather positive picture of the leader. Even our video cases show leaders doing or trying to do the right thing. There is a complementary literature, however, that suggests a darker side to some leader behaviors. I have included in this module three articles that focus on negative, i.e. toxic, features of leaders. Two are classics (Conger and Maccoby) and another (Kets de Vries) is more recent. While Conger and Maccoby provide examples relevant to the times they were writing, they both make very insightful comments on leadership, especially narcissistic tendencies on the part of some leaders. Kets de Vries expands the dark side to include mental health and passive-aggressive behaviors. It is very difficult to get an accurate assessment of these dark side traits. For example, senior executives are usually not open to completing personality questionnaires. Both Maccoby and de Vries are practicing therapists with considerable experience working with executives. So, their insights tend to be more from a psychoanalytic perspective. Discussion Assignment For this class discussion assignment, I would like you to discuss the following: • • What are some key takeaways? In this respect, I think it is a good idea to express your thoughts in your own words. Can you give some examples of a leader you know who you suspected had dark side tendencies (please disguise names, unless they are public figures). Sometimes the dark side of leadership eclipses the bright side— to the detriment of both the leader and the organization. The Dark Side of Leadership JAY A. CONGER n recent years, business leaders have gained great popularity: Lee Iaccoca and Steven / Jobs, for example, have stepped into the limelight as agents of change and entrepreneurship. But though we tend to think of the positive outcomes associated with leaders, certain risks or liabilities are also entailed. The very behaviors that distinguish leaders from managers also have the potential to produce problematic or even disastrous outcomes for their organizations. For example, when a leader's behaviors become exaggerated, lose touch with reality, or become vehicles for purely personal gain, they may harm the leader and the organization. How do leaders produce such negative outcomes —and why? Three particular skill areas can contribute to such problems. These include leaders' strategic vision, their communications and impression-management skills, and their general management practices. We will examine each to discover its darker side. PROBLEMS WITH THE VISIONARY LEADER 44 As we know, the 1970s and 1980s brought tremendous changes in the world's competitive business environment. Previously successful organizations that had grown huge and bureaucratic were suddenly faced with pressures to innovate and alter their ways. Out of these turbulent times came a new breed of business leader: the strategic visionary. These men and women, like Ross Perot of Electronic Data Systems and Mary Kay Ash of Mary Kay Cosmetics, possessed a twofold ability: to foresee market opportunities and to craft organizational strategies that captured these opportunities in ways that were personally meaningful to employees. When their success stories spread, "vision" became the byword of the 1980s. Yet though many of these leaders led their organizations on to great successes, others led their organizations on-to great failures. The very qualities that distinguished the visionary leader contained the potential for disaster. Generally speaking, unsuccessful strategic visions can often be traced to the inclusion of the leaders' personal aims that did not match their constituents' needs. For example, leaders might substitute personal goals for what should be shared organizational goals. They might construct an organizational vision that is essentially a monument to themselves and therefore something quite different from the actual wishes of their organizations or customers. Moreover, the blind drive to create this very personal vision could result in an inability to see problems and opportunities in the environment. Thomas Edison, for example, so passionately believed in the future of direct electrical current (DC) for urban power grids that he failed to see the more rapid acceptance of alternating power (AC) systems by America's then-emerging utility companies. Thus the company started by Edison to produce DC power stations was soon doomed to failure. He became so enamoured of his ov/n ideas that he failed to see competing and, ultimately, more successful ideas. In addition, such personal visions encourage the leader to expend enormous amounts of energy, passion, and resources on getting them off the ground. The higher their commitment, the less willing they are to see the viability of competing approaches. Because of the leader's commitment, the organization's investnient is also likely to be far greater in such cases. Failure therefore will have more seriou:S consequences. Fundamentcil errors in the leader's perceptions can also lead to a failed vision. Common problems include (1) an inability to detect important changes in markets (e.g., competitive, technological, or consumer needs); (2) a failure to accurately assess and obtain the necessary resources for the vision's accomplishment; and (3) a misreading or exaggerated sense of the needs of markets or constituents. For example^ with a few exceptions like the Chrysler minivan. Lee Iacocca inaccurately believed that autorriobile style rather than engineering was the primary concern of automotive buyers. At Chrysler, he relied on new body styles and his charisma to market cars built on an aging chassis (the K car) developed in the late 1970s. The end result was that, after several initial years of successful sales, Chrysler's sales plunged 22.8% in 1987. Today, the future of Chrysler looks equally cloudy. Ultimately, then, the success of a leader's strategic vision depends on a realistic assessment of both the opportunities and the constraints in the organization's environment and a sensitivity to constituents' needs. If the leader loses sight of reality or loses touch with constituents, the vision becomes a liability. Visions may fail for a wide variety of reasons; Exhibit 1 outlines some of the more significant ones. We will examine several of these categories and illustrate them with the experiences of some prominent business leaders. Exhibit 1 THE SOURCES OF EMLED VISION The vision reflects the intemal needs of leaders rather than those of the market or constituents. The resources needed to achieve vision have been seriously miscalculated. An uru-ealistic assessment or distorted perception of market and constituent needs holds swray. A failure to recognize environmental changes prevents redirection of the vision. Making the Leader's Personal Needs ParatciQunt As mentioned, one of the most serious liabilities of a visionary leader occurs whea he or she projects purely personal needs and beliefs onto those of constituents. A common example is the inventor with a pet idea whq acquires sufficient resources to initiate a venture that fails to meet the market's needs. When a leader's needs and wishes diverge from those of constituents, the consequences can be quite costly. Consider, for example, Edwin Landi inventor of the Polaroid camera. Dr. Land's experiences with a camera he developed called the SX-70 illustrate how a leader can get sidetracked by his own personal goals. As we know. Land's company, Polaroid, held a monopoly on the instant photography market for some three decades and became the household word for such cameras. Throqghout the 1960s and 1970s, Polaroid's sales climbed with astonishing speed. By 1973] four million of the company's Colorpack caxneras were being sold annually at $30 a piece. But Dr. Land was not content. His dream wfas to create what he called "absolute one-step photography"; the SX-70 camera was to embody his dream. "Photography v/ill never be the same . . . With the gargantuan effort of brinjging SX-70 into being, the company has come fully of age," Land remarked on the day of the camera's inauguration. In setting the parameters for his new vision. Land outlined several demanding criteria: The camera was to be totally automatic and would have to fold to fit into a purse or pocket, 45 Jay A. Conger is associate professor of organizational behavior at the Faculty of Management, McGill University in Montreal, Canada. He received his D.B.A. degree from the Harvard Business School, his M.B.A. degree from the University of Virginia, and a B.A. degree in anthropology from Dartmouth College. As the director of International marketing for a high-technoiogy company, he also has experience as a practicing manager. Professor Conger's research centers on executive leadership, the management of organizational change, and the training and development of leaders. His work on these subjects has been published in numerous book chapters and journals such as The Academy of Management Review and The Academy of Management Executive. His most recent books include The Charismatic Leader (Jossey-Bass, 1989) and Charismatic Leadership, coauthored with R. N. Kanungo {JosseyBass, 1988). He has servea as a consultant cp executive development and organizational change to a wide variety of U.S. and Canadian companies. 46 possess a single-lens reflex-viewing system, and focus from less than a foot to infinity. It was to be a radically new design, making earlier versions of instant photography obsolete. The SX-70 also represented a major strategic shift for the company. Before its advent, the manufacturing of Polaroid products, especially films, was subcontracted to outsiders. Plant and equipment were usually leased or rented. But Land's dream of the SX-70 required total integration of the company. A colornegative and camera-assembly plant were de- signed and built, and the company's existing chemical production and films-packaging facilities were expanded. Although the total cost of the SX-70 strategy was never formally disclosed. Land responded in an interview that it was a halfbillion-dollar investment. Other estimates have put it higher. In any case, the SX-70 was a design masterpiece. It was estimated that the reflex-viewing system cost millions of dollars and required more than two-and-a-half years of engineering effort. Engineering for the eyepiece alone cost $2 million. Land's expectations of the camera's success were as lavish as his investment in the camera. At S180 per camera, company projections were that first-year sales would reach several million. By some accounts, sales of 5,000,000 units were predicted. 'Yet despite such optimism, the camera met with only limited public support. 3y the end of its first year inl973, only 470,000 SX-70 cameras had been sold. Ir would take several years, many design changes, and significant price cuts before the camera would gain widespread market acceptance — all at the cost of sacrificing many of the camera's original features. Land's personal vision or the instant camera had missed vvhat the irKirket wanted. Most important, in his quest for the perfect instant camera he had failed to take into account lessons that his company had already learned about consumers' needs. Before the SX70, Polaroid's experience with both its blackand-white and its color cameras was that demand was intimately tied to price. Consumers wanted an inexpensive, earj^^-to-use, instant camera. Their foremost desire was not a perfect picture but a relatively good instant picture at a low price. In the j.960s, the marketplace had powerfully demonstrated its needs to Polaroid after the company first introduced its color system in 1963. Vvhen the Colorpack cameras priced at SlOO met with only limited market interest, Polaroid introduced a version at $75 and, by 1969, a 830 Colorpack. At the $30 price level, volume dramatically expanded, and 4.000,000 units were sold by 1973. Consumers wanted instant photography but only at an inexpensive price. So how could 5,000,000 SX-70s at $180 a piece be sold when only 4,000,000 Colorpack cameras had been sold at $30 each? Clearly they could not. Dr. Land's vision was a personal ideal, one that was not shared by consupiers at a price of $180 per camera. VVhat happened to Land that he failed to learn from the past? There are several possible explanations. For one, his initial vision of instant photography had been correct; people really did want instant photographs. This initial success, however, may have convinced him of the 'invincibility of his ideas. Second, Land was an engineer at heart; he loved the technology rnore than the marketing of the product. His very background made him product- and technology-driven, not so much marketplacedriven. Finally and most important, I believe that Land, like other leaders, came to identify with his vision to an unhealthy extreme: The vision personified him. A similar example is seen in Henry Ford, who vyas willing to build a Model T of any color as long as it was black. The vision in essence becomes so much a part of the leader's persortality that he or she is unwilling or unable to consider information to the contrary from staff members or from the marketplace. Convinced by past successes of their invincibility, such leaders plov/ ahead without considering other viewpoints — a sure course toward failure. Becoming a "Pyrrhic Victor" In the quest to achieve a vision, a leader may be so driven as to ignore the costly implications of his strategic aims. Ambition and the miscalculation of necessary resources can lead to a "Pyrrhic victory" for the leader. The term "Pyrrhic victory" comes from an incident in Ancient Greece: Pyrrhus, the King of Epirus, sustained such heavy losses in defeating the Romans that despite his numerous victories over them, his entire empire was ultimately undermined. Thus the costs of a "Pyrrhic" victory deplete the resources that are needed for future success. In this scenario, the leader is usually driven by a desire to expand or accelerate the realization of his vision. The initial vision appears correct, and early successes essentially delude or weaken the leader's ability to realistically assess his resources and marketplace realities. The costs that must be paid for acquisitions or market share ultimately become unsustainable and threaten the long term viability of the leader's organization. Robert Campeau is the quintessential Pyrrhic victor. After amassing a fortune as a real estate developer, he proceeded to expand his empire into retailing with a series of purchases in the mid-1980s totalling $13.4 billion. He did this despite the fact that he knew little about the business of retailing itself. His celebrated purchase of the Allied and Federated Department Stores alone cost him some $400 million in bankers' and lawyers' fees and added $?^1.7 billion of debt to the Campeau Corporation. They also transformed him overnight into the most powerful retailer in the world. The price of course was an enormous amount of debt— much of it in the form of high-interest junk bonds that would soon demand most of the company's operating cash to service. When asked how he planned to successfully integrate and enhance the profitability of these new and unrelated acquisitions, Campeau explained that it was only a matter of consolidating various operations, selling off assets to pay off company debt, and motivating management by giving them stock options. With an air of great confidence, he commented: "I own the best department stores in the world, and they will be damned profitable." He also envisioned enormous potential for synerg^i^ between his retailing and real estate operations. His plans included the building of some 50 US. shopping malls anchored b3'^ his newly acquired retail stores. These projects, which included 17 new Bloomingdale's stores, were estimated at a cost of $1.5 billion. In comments to the press, he stated: "Most retail managements 47 48 don't know much about real estate and finance . . . [but] real estate is the gravy on top of these great retailing deals." For Campeau, his newly acquired stores sat on prime land—ripe for future deals. It was an intriguing and untried dream. Ironically, these bold strategic moves were all made during a sales slowdown in the department store industry and in a country glutted with shopping malls. As well, the two chains he had acquired were prestigious but also notoriously inefficient. None of these factors seemed to impede Campeau, who was intent on building an empire. Despite his rosy projections for the future, Campeau's kingdom quickly unraveled within a few years. After struggling to meet a crushing debt load, Campeau's retail operations ran out of operating cash in August 1989. By January 1990 his company stood on the edge of bankruptcy, and so did Campeau himself. The projections of great profitability for the retail operations had never materialized. New and last-minute junk-bond financing to keep the company alive came at a dear price, with interest rates as high as 1775%. But this would not save the company as soaring debt-servicing costs forced Campeau to sell off company stock to others and to default on company loans. Even the company's crown jewel — Bloomingdale's—was soon put up for sale. Campeau's own personal fortune of $500 million was said to have ail but evaporated by February 1990. Campeau's tragic error in this case was tied as much to blind ambition as it was to poor strategic and financing decision. His history of successes in the real estate field, in combination with an ambitious personality, led this visionary leader to dream, of ever-greater expansion, but in new and unfamiliar territories. The idea of an "empire" became more important than the satisfaction of enjoying his present successes. Failing to see that he lacked the long-term resources or skills needed to sustain his grand, plan, he continued to acquire companies and debt at an alarming rate. Then, too, in wishing to maintain an im- age of self-confidence, he may have denied or minimized the existence of any problems. Already an autocratic leader, Campeau became even more autocratic. For example, he himself assumed the position of chairman of the board at both Federated and Allied, a job he had originally and sensibly promised to an executive of a highly successful retail chain. He wanted to run his new and glamorous acquisitions personally. Sadly, this scenario is all too typical of the Pyrrhic victor whose ambitions stymie his ability to assess goals and resources realistically. Investment bankers and subordinates may further encourage visions of grandeur. As serious problems emerge, their importance is minimized. Once a crisis stage is reached, the leader exerts greater personal control and becomes less able to hear the counsel of advisors or staff members who might be helpful. In the worst case, such as Campeau's, the organization's resources are exhausted and the company fails. Chasing a Vision Before Its Time Sometimes a leader's perceptions of the market are so exaggerated or so significantly ahead of their time that the marketplace fails to sustain the leader's venture. The organization's resources are mobilized and spent on a mission that ultimately fails to produce the expected results. In this case, the leader is perhaps too visionary or too idealistic. He or she is unable to see that the time is not ripe, so the vision goes on to failure or, at best, a long dormancy. Robert Lipp, former president of Chemical Bank, is an example of a visionary charismatic who in one project was essentially too far ahead of his time. He had championed a vision of home banking in the early 1980s. Sensing that the personal computer was revolutionizing many aspects of everyday life, Lipp and others at Chemical Bank expected personal banking to be the next beneficiary of the personal computer revolution. Tiirough a modem, phone line, software supplied by the bank, and a personal computer at home, individuals could instruct their banks to carry out certain transactions. A service fee of $8 to $15 a month was charged for personal users and $20 to $50 a month for small businesses. From the user's viewpoint, home banking provided convenience in bill paying and ease of access to accounts. While on travel, the user could instruct the system to pay bills on exact due dates. For banks, electronic home banking was banking led to consumer resistance. First, customers were reluctant to give up the "float" between when they wrote a check and when it was cashed. With home banking, once the computer authorizes a payment, it is immediately debited from the customer's account. Second, some investment—for a computer and a modem—was required on the customer's part. It is estimated that only 10% of personal computer owners had modems — and the num- sconce a crisis stage is reached, the leader exerts greater personal control and becomes less able to hear the counsel of advisors or staff members who might be helpful." very appealing. The printing, processing, and return of some 41 billion checks annually in the United States amounted to $41 billion. This figure represented 20 % of the annual revenues of banks belonging to the Federal Reserve System. Hc^me banking offered the possibility of a tremendous reduction in operating costs. In 1P83, Chemical Bank under Lipp's guidance introduced a home banking system called the Pror^to Two with a goal of four m illion customers v^rithin several years. By 1988, however, the total nationwide users of home banking systems jiad reached only 100,000 people. An article iiji Business Week (February 29, 1988) remarked: "When Chemical Bank unveiled the idea of home banking in 1983, it projected that 10% of itjs customere would eventually pay bills and make banking transactions from their home computer. Talk about misplaced optimism. Today, if you're among those who deal with any bank by J)ersonal computer, you're in a minority of a mere 100,000 people —and that includes a numbet of small business operators," Only 30 banks |were offering the service by 1988, out of a tot4 of 14,000 banks nationwide. What Chemicaii and others later discovered was that Several inherent problems with home ber of personal computers in homes v.ias limited. Finally, it was a matter of opinion whether writing a paper check was not jiist as simple and convenient as paying bills by personal computer. Given the costs of such opmputer systems, it was believed that only by providing a wider range of services, such as home shopping services, would home banking's appeal increase — and that a period of 10 to 15 3^ars was required for market acceptance. In Lipp's case, his vision was essentially premature for its market. Part of the problein could be attributed to the difficulty of tryiiitg to predict a future event for which there isi rto history. It is extremely difficult to accurately estimate the demand for a particular product or service; the leader is essentially relying; oln his or her forecast of resources and market trends. The margin for error in these situations is high, and the costs and time horizons for introducing a new product or service 'a-ve often underestimated. Such miscalculati6;ris can forestall a vision. Two other factors may play important roles. In their own excitement over an idfefi, leaders may fail to adequately test-market ii new product or service or fail to hear naysayters 49 or overlook contrary signs from the environment. Again, because of successes in other projects (Lipp had had several outstanding ones), they may delude themselves into believing they know their markets more accurately than they actually do. Or their spellbinding ability to lead may not be backed up by an adequate understanding of marketplace trends. HOW LEADERS COME TO DENY FLAWS IN THEIR VISIONS All three of these cases share certain characteristics that cause leaders to deny the flaws in their visions. Often, for example, leaders will perceive that their course of action is producing negative results, yet they persist. Why this happens can be explained by a process called "cognitive dissonance," which prevents the leader from changing his course. Simply put, individuals act to keep the commitments they have made because failing to do so would damage their favorable perceptions of themselves. For example, studies have found that executives will sometimes persist in an ineffective course of action simply because they feel they have committed themselves to the decision. This same process, I suspect, occurs with leaders. 50 Others in the organization, who tend to become dependent on a visionary leader, may perpetuate the problem, through their own actions. They may idealize their leader excessively and thus ignore negative aspects and exaggerate the good qualities. As a result, they may carry out their leader's orders unquestioningly—and leaders may in certain cases encourage such behavior because of their needs to dominate and be admired. The resulting sense of omnipotence encourages denial of market and organizational realities. The danger is that leaders will surround themselves with "yes people" and thus fail to receive information that might be important but challenging to the mission. Their excessive confidence and the desire for heroic recognition encourages them to undertake large,, risky ventures — but because of Exhibit 2 POTENTIAL LIABILITIES IN THE LEADER'S COMMUNICATIONS AND IMPRESSION MANAGEMENT SKILLS Exaggerated self-descriptions. Exaggerated claims for the vision, A technique of fulfilling stereotypes and images of uniqueness to manipulate audiences. A habit of gaining commitment by restricting negative information and maximizing positive information. Use of anecdotes to distract attention away from negative statistical information. Creation of an illusion of control through affirming information and attributing negative outcomes to external causes. their overreliance on themselves and their cadre of "yes people," strategic errors go unnoticed. Bold but poorly thought-out strategies will be designed and implemented. The leader's vision, in essense, becomes a vehicle for his or her own needs for attention and visibility. Finally, problems with "group-think" can occur where the leader's advisors delude themselves into agreement with the leader or dominant others. In such a case, decision-making becomes distorted, and a more thorough and objective review of possible alternatives to a problem are all but precluded. This is especially true of groups that are very cohesive, highly committed to their success, under pressure, and possessing favorable opinions of themselves—common characteristics in the organizations of powerful and charismatic leaders. When group-think occurs, the opinions of the leader and advisors with closely allied views come to dominate decision making. Doubts that others might have are kept hidden for fear of disapproval. It is more important "to go along to get along" rather than to consider contrary viewpoints. John DeLorean is an example of a leader who may have purposely created group-think situations. One executive of the DeLorean Motor Company, after being dismissed by DeLorean from the company board, com- mented: "He told me he knew how some of the things the board was doing bothered my conscience. He said he wanted me to keep a clear conscience and not to worry as much as I did, so he had dropped me from the board. . . . . When I told him he couldn't bear having anyone disagree with him so he had to stack the board his way, John , . . just nodded and said, 'That's right. It's my company and I'm going to do what I want to do — when you get your own company, you can do the same'" (Hill Levin, Grand Delusions, Viking, 1983, pg. 248). MANIPULATION THROUGH IMPRESSION MANAGEMENT ANT) COMMUNICATION SKILLS Because some leaders are gifted at communicating, it may be quite easy for them to misuse this ability. For instance, they may present infoi'mation that makes their visions appear mof'e realistic or more appealing than the visions actually are. They may also use their language skills to screen out problems in the larger er^vironment or to foster an illusion of control when, in reality, things are out of control. Exhibit 2 highlights a number of these possible problem areas. While at General Motors John DeLorean was partjicularly adept at employing skills of articulation and impression management to promote! himself. For example, he would often claim responsibility for projects without acknowledging the contributions of others. His aim was simply to manipulate information so that he afjpeared as the originating genius. In the case 6f the highly successful Pontiac GTO, DeLoreah claimed to be the engineer at Pontiac whc^ conceived the idea of combining a lighter version of the Tempest body with a powerful engine to create the GTO. In reality, the idea jwas suggested by a GM colleague. In Current Biography, DeLorean is described ai owning "more than 200 patents, including fjhose for the recessed windshield wipers arid the overhead-cam engine." How- ever, Hill Levin in his biography of DeLoreian reported that the U.S. Patent Office listed a total of 52 patents, none for the wipers or Jor the overhead cam. Exaggeration of personal deeds was perhaps DeLorean's way of building the legend. What we see with some leaders is that their need for personal recognition and visibility is so high that they feel compelled to distort reality to enhance their own image. When leaders rely greatly on their impression management skills in communicating, ttiey do themselves a disservice. For instance, research in impression management indicates not only that one's self-descriptions are effective in deceiving an audience, but also that they may deceive the presenter as well. This is especially true when an audience reinforces and approires of the individual's image. Such positive iresponses encourage leaders to internalize their ov\m self-enhancing descriptions, Especiallj/^ when exaggeration is only moderate, leaders tend to internalize and believe such claims. So DeLorean may ultimately have come to believe in his own responsibility for the Pontiac GTQ, Considerable research has also been performed on people who are ingratiators ~ people who play to their audiences by telling them what they want to hear. Two particular tactics that I suspect charismatic leaders use to ingratiate themselves with their audiences are to (1) fulfill stereotypes and (2) create an image of uniqueness. Research shows that if individuals behave in ways that fulfill the positive stereotypes of an audience they are more likely to interact successfully with them. This can be achieved by espousing the beliefs, values, and behaviors associated with the stereotype and appearing as the stereotype is expected to look. For example, DeLorean supposedly went to great efforts to present the image of a young, highly successful executive with an entrepreneurial spirit. He underwent cosmetic surgery, dieted from 200 pounds to 160, lifted weights, dyed his grey hair black. He flew only first class. When he ate out, he always obtained the best table. To many, his image fulfilled the stereotype of the successful businessman, 51 DeLorean used the second tactic—to demonstrate uniqueness —through his unconventional actions while working at General Motors and his tales of innovations at the automobile giant. These stories created the image of a highly successful, unique individual excelling in the corporate world. In terms of how or what a leader communicates, according to Charles Schwenk, there are several tactics that individuals can use to gain commitment from others even when the circumstances are unethical. Because our ability to process information is limited, we rely on simple biases to reduce the amount of information needed to make a decision. Byplaying on these biases, a leader can create or heighten commitment to a course of action. They may manipulate information so as to encourage biases in others that will increase confidence in and commitment to the leader's strategic choices. For example, leaders can withhold information that is not favorable to a cause and present instead more positive information. Or they may relate anecdotes designed to draw attention away from statistical information that reflects negatively on their plans. 52 DeLorean's management of investors in his automobile venture offers one example of this process. If investors had looked at history, they would have found that the odds of his succeeding were slim. Not since the founding of the four major auto companies had a new automobile company succeeded, and there had been many attempts in the interim. Moreover, there was negative statistical information in the company prospectus that might have dissuaded investors. But instead of focusing on such important statistical infonnation, the investors allowed themselves to be swayed by DeLorean's personal character and his impressive press coverage while at General Motors. Could it be that L")eLorean aimed to create aflashyimage in the minds of investors in order to draw their attention away from other sources of information? Anecdotal infonnation may be used by the leader not only to influence decision makers' Exhibit 3 POTENTIAL LIABILITIES OF A LEADER'S MANAGEMENT PRACTICES Poor management of people networks, especially superiors and peers. Unconventional behavior that alienates. Creation of disruptive "in group/out group" rivalries. An autocratic, controlling management style. An informal/impulsive style that is disruptive and dysfunctional. Alternation between idealizing and devaluing others, particularly direct reports. Creation of excessive dependence in others. Failure to manage details and effectively act as an administrator. Attention to the superficiaL Absence from operations. Failure to develop successors of equal ability. choices, but also to increase their confidence in a choice. The sheer amount of information the leader provides may act to build overconfidence. Various studies of decision making indicate that more information apparently permits people to generate more reasons for justifjdng their decisions and, in turn, increases the confidence of others in the decisions. Leaders might also create an illusion of control by selectively providing information that affirms they are in control and attributes failures or problems to external causes. All of these tactics may be used by leaders to mislead their direct reports and their investors. MANAGEMENT PRACTICES THAT BECOME LIABILITIES The managerial practices of leaders also have certain inherent liabilities. Some leaders are known for their excessively impulsive, autocratic management style. Others become so disruptive through their unconventional behavior that their organizations mobilize against them. Moreover, leaders can at times be poor at managing their superiors and peers. In general, some of the very management prac- tices that make leaders unique maj/^ also lead to their downfall. Leaders' liabilities fall into several categories: (1) the way they manage relations with important others, (2) their management style with direct reports, and (3) their thoroughness and attention to certain administrative detail. Typical problems associated with each of these categories are shown in Exhibit 3. We will start with the first category: managing relations with important others. Managing Upwards and Sideways Some leaders —particularly charismatic leaders in large organizations — seem to be very poor at managing upwards and sideways. Because they are usually unconventional advocates of radical reform, they may often alienate otheirs in the organization, including their own bosses. The charismatic leader's unconventiona^l actions may trigger the ire of forces within the organization which then act to immobilize him or her. Leaders' aggressive style may alsp alienate many potential supporters and ultiinately leave them without sufficient political support for their ambitious plans. This problem is common when charismatic leaders are broujght in from the outside; their radically different values and approaches may alienate the rest of the organization. This kind of situation occurred at General Motors jf/hen Ross Perot was made a board member^ Once on the board, Perot became one of the company's most outspoken critics. As an entrepreneur, he was quite naturally accustomed to running his own show, and after his comfJany, Electronic Data Systems (EDS), merged ilvith CM he insisted that any changes made in EDS procedures be cleared through him. His style and outspokenness were so much at odds with the General Motors culture that the company offered Perot $700 million in stock to step down, from the board — an offer he finally accepted. A second problem related to managing relations within large organizations is the ten- dency of certain leaders to cultivate a feeling of being "special" among members of their operating units. This practice is often accompanied by a corresponding depreciation of other parts of the corporation. In short, the leader creates an "us versus them" attitude. Although this heightens the motivation of the leader's group, it further alienates other groups that may be important for resources or political support. Steven Jobs did this with the Macintosh division at Apple Computer. E\ien though the company's Apple II Computer provided the profits. Jobs consistently downplayed that division's importance. He essentially divided the company into two rivals. He was fond of telling people in the Macintosh division, "This is the cream of Apple. This is the future of Apple." He even went so far as telling marketing managers for Apple II that they worked for an outdated, clumsy organization. Jobs's later departure from Apple stemmed in part from morale problems he created within the company by using this tactic. In another case, the charismatic president of a division in a large corporation used as His group's emblem a mascot symbol of the TV cartoon character Roadrunner. (In the cartoons, Roadrunner was particularly adept at outwitting a wily coyote.) To him, his division managers were the "roadrunners" who were smarter and faster than the corporate "coyotes" who laid roadblocks in their path. He also had a habit of ignoring corporate staff requests for reports or information, and he returned their reports with "STUPID IDEA" stamped on the front cover. Although such behaviors and tactics fostered a sense of camaraderie and aggressiveness within the charismatic leader's division, they were ultimately detrimental both to the leader and to the organization. In this case, the executive eventually stepped dovm from the organization. Relationships with Subordinates Highly directive and visionary leaders are often described as autocratic. Jobs, for exatn- 53 pie, has been described as dictatorial. I suspect that in many cases the vision is such a personification of the leader that he or she becomes obsessed about its perfection or implementation. Leaders' natural impatience with the pace of the vision's achievement exacerbates the problem and encourages them to be more hands-on, more controlling. There also appears to be, at times, an impulsive dynamic at work in the way leaders manage — and at such times they will override subordinates' suggestions or insights. Again, this occurs especially in relation to accomplishing the vision. DeLorean is described as increasing his production of the DeLorean car by 50% in the belief that his product would become an overnight sensation. Production went to an annual rate of 30,000 cars. This was done in spite of market research that showed total annual sales of between 4,000 and 10,000 cars. A company executive lamented, 'Our figures showed that this was a viable company with haif the production. If the extravagence had been cut out of New York, we could have broken even making just 6,000 cars a year. But that wasn't fast enough for John. First he had to build his paper empire in the stock market. A creditable success was not enough for him" (ibid., pg. 282). 54 Steven Jobs is known to have darted in and out of operations causing havoc: "He would leap-frog back and forth among various projects, dictating designs, with little or no knowledge of whether or not the technology even existed to make his ideas work" (L. Butcher, Accidental Millionaire, Paragon House, 1988, pp. 140-141). Another potential problem can arise from a style of informality when managing the hierarchy of an organization — this is especially true of charismatic leaders. Advantages of this style are that leaders are highly visible, approachable, and able to react quickly to issues and problems. The drawback is that they often violate the chain of command by going around direct reports and thus undercut their direct reports' authority. If a particular project or idea interests them, they do not hesitate to become involved, sometimes to the detriment of the project managers' responsibilities. DeLorean would drop in on his engineers to suggest what seemed trivial ideas. One company engineer said: "He came in one day to say we should hook into the cooling system and make a little icebox for a six-pack of beer behind behind the driver's seat. Or, another time, he told us to work on a sixty-watt radio speaker that could be detached and hung outside the car for picnics" (H. Levin, ibid., pg. 267). Administrative Skills Some visionary leaders are so absorbed by the "big picture" that they fail to understand essential details-except for "pet" projects in which they become excessively involved. laccoca, for instance, turned over most of the dayto-day operations to others as he became increasingly famous. As a result, he lost touch with new model planning. He himself admitted: "If I made one mistake, it was delegating all the product development and not going to a single meeting" (ibid., pg. 267). A DeLorean executive complained "He [John DeLorean] just didn't have time for the details of the project. But attention to detail is everything" (ibid., p. 267). Then, too, leaders may get so caught up in corporate stardom that they become absentee leaders. Again, laccoca is an example. His success at Chrysler led to his becoming a best-selling author, a U.S. presidential prospect, and the head of the $277 million fund-raising campaign for the Statue of Liberty-all of which distracted him from the important task of leading Chrysler. Because these individuals are often excited by ideas, they may at times be poor implementors. Once an idea begins to appear as a tangible reality, I suspect they fed the need to move on to the next challenge, thereby leaving subordinates scrambling to pick up the pieces. Furthermore, because some leaders have high needs for visibility, they gravitate toward activities that afford them high people contact and recognition. Such activities are generally not per- formed at a desk while paying careful attention to the details. Succession Problems A tiiue leader is usually a strong figure and, as noted, often one upon whom subordinates develop dependencies. Thus it is difficult for others with leadership potential to develop fully in the shadow of such leaders. For while they may actively coach their subordinates, I suspect that it is extremely difficult for them to develop others to be leaders of equal power. Leaders simply enjoy the limelight too much to share it, so when they ultimately depait, a leadership vacuum is created. Moreover, under charismatic leadership authority may be highly centralized around the leader—and this is an ar- rangement that, unfortunately, weakens the authority structures that are normally dispersed throughout an organization. It's clear that many of the qualities of a strong leader have both a positive and a negative face. That's why the presence of leaders entails risks for their direct reports, their organizations, and at times their societies. They must be managed with care. The negatives, however, must always be weighed in light of the positives. For companies and society, the need for organizational change and strategic vision may be so great that the risks of confrontation, unconventionality, and so on may seem a small price to pay. It is also possible that organizations and educational institutions can train, socialize, and manage future leaders in ways that will minimize their negative qualities. SELECTED BIBLIOGRAPHY For ^n in-depth look at the psychological dynamics of the dark side of leaders, we recommend The Neurotic Organization (Jossey-Bass, 1984) by Manfred Kets de Vries and Danny Miller and "Personality, Culture, and Organization" {The Academy of Maniigement Review, April 1986), also by Manfredi Kets de Vries and Danny Miller. Works that provide an informative treatment on the topic of impression management include The Presentation of Self in Everyday Life (DoubledayAnchor, 1959) by Erving Goffman and Impression Management (Brooks/Cole, 1980) by B.R. Schlenker. Books arid articles that deal more systematically with the issue of-commitment to a course of action as well as communicating information are A Theory of Cognitive Dissonance (Row, Peterson, 1957) byL. Festinger; Charles R. Schwenk's "Information, Cognitive Bias, and Commitment to a Course of Action" {The Academy of Management Review, April 1986); Barry Staw's "Knee Deep in the Big Muddy: A Study of Escalating Commitment to a Chosen Course of Action" {Organizational Behavior and Human Performance, June 1976); and "The Escalation of Commitment to a Course of Action" {The Academy of Management Review, October 1981). The defir^itive work on group-think is Victims of Group Think (Houghton Mifflin, 1972) by I. L. Janis. Readers wishing more depth on the individual case studies of leaders should consult the follov/iiig sources. For Edwin Land and the SX-70 camera, see G.W. Merry's Polaroid-Kodak Case Study (Harvafd Business School, 1976) and P.C. Wensberg's Land's Polaroid (Houghton Mifflin, 1987). Several articles on Robert Campeau include "Buy-Out Bomb" {Wall Street Journal, Jan. 11, 1990), Kate Ballen's "Campeau Is on a Shopper's High" {Fortune, Aug. 15, 1988), and Eric Berg's "Is Campeau Himself Bankrupt?" {New York Times, Feb. 2,1990). Two interesting sources on John DeLorean are Michael Dal/s 'The Real DeLorean Story" {New York, Nov. 8,1982) and Hill Levin's Grand Delusions (Viking Prei^s, 1983). Accidental Millionaire (Paragon House, 1988) by Lee Butcher presents a darker-side view of Steii^sn Jobs. Two articles on the home banking indusl:ry and its slow takeoff are Efrem Sigel's "Is Home Banking for Real?" {Datamation, Sept. 15, 1986) aitd Laura Zinn's "Home Banking Is Here — If You V\fent It" {Business Week, Feb. 29, 1988). // you wish to make photocopies or obtain reprints of this or other articles in ORGANIZATIONAL DYNAMICS, please refer to the special reprint service instructions on page 80. 55 100 Harvard Business Review . April2014 HBR.ORG Four pathologies that can hobble an executive and bring misery to the workplace-and what to do about them. by Manfred F.R. Kets de Vries April 2014 Harvard Business Review 101 COACHING THE TOXIC LEADER enior executives have the power to create an environment that allows people to grow and give their best-or a toxic workplace where everyone is unhappy. How executives end up using that power depends in part on their mental health. Sound, stable bosses generally build companies where the rules make sense to employees, freeing them to focus on perforrning their jobs well. But if the boss's psychological makeup is warped, business plans, ideas, interactions, and even the systems and structure of the organization itself will reflect his or her pathologies. As an executive coach, I've sometimes come across leaders with mental demons. I've put a num­ ber of these bosses on the couch, in an effort to un­ derstand and counsel them. In the following pages I'll describe some of the more common pathologies I've encountered and explain how I've helped people deal with them. Notably, these pathologies don't include iso­ lated instances of depression. Depression is part of the human condition; we all suffer from it. When it's moderately present, it doesn't require special coaching intervention. And when it's acute and chronic, it tends to be part of the syndromes I'll pre­ sent here. 102 Harvard Business Review April 2014 Not everyone falls neatly into one or another of the categories I describe; we're often a bit of this and a bit of that. And most bosses are not mentally ill, but a surprising number of senior executives do have a personality disorder of some kind. Even with ex­ ecutives who are relatively healthy emotionally, you nearly always run across some of the characteristics described here, which need to be addressed in simi­ lar fashion (though not necessarily accompanied by medication and formal therapy). While these disorders can be managed, some toxic leaders will prove impossible to change. (See the sidebar "The Incurable Executive?') Change can often be an uphill battle, in no small part because many companies support (and are even breeding grounds for) dysfunctional behavior. Fortunately, most executives recognize when they have prob­ lems and have the strength of character to want to fix them, as the stories that follow will illustrate. THE NARCISSIST The dysfunction most frequently found at senior levels is pathological narcissism. Narcissism is not something a person either has or hasn't. We all possess narcissistic characteristics to a degree. In fact, we need a modicum of narcissism to function properly-it's part of the immune system, if you will, HBR.ORG Idea in Brief THE PROBLEM THE REMEDIES Executives sometimes suffer from serious personality disorders, such as pathological narcissism, manic-depression, passive-aggressiveness, and emotional disconnection. When these leaders reach positions of power, they create dysfunctional organizations in which everyone is miserable. An executive coach can help people combat these syn­ dromes, provided the coach recognizes their signs and understands how to address them. Each pathology requires a different approach. Narcis­ sists have fragile self-esteem (despite their apparent confi­ dence) and react poorly to con­ frontation. Coaches must build defending us against the vicissitudes of life. It en­ ables us to feel good about ourselves and to impose ourselves a little. But too much narcissism is danger­ ous. Driven by grandiose fantasies about themselves, pathological narcissists are selfish and inconsiderate, demand excessive attention, feel entitled, and pur­ sue power and prestige at all costs. How to Recognize the Condition A good way to spot a narcissist is to look at how his subordinates respond to him. Let me tell you about Simon. When I first met him, he was regarded as one of the most promising senior executives in his company, although a number of directors had doubts about whether he was the right person to succeed the CEO. Would Simon be able to take the company to its next level? Did he have enough ma­ turity? Given their doubts, I was asked by Agnes, the VP of talent management, to become Simon's executive coach with the ·aim of preparing him for possible succession. Questions about Simon had begun to arise, Agnes explained, after he made a series of rash decisions, which raised a red flag about whether he understood what the corporation's culture was all about. Mean­ while his lobbying efforts to be elected "business­ man of the year" had inspired resentment in the company. If that weren't enough, he had relocated the regional head office to a new, more upmarket location. It may have been the right decision (given the cramped conditions of the old office), but it had turned out to be a Jot more expensive than planned. Capping that (and here Agnes sounded exasper­ ated), Simon was leasing a small corporate plane­ his somewhat lame excuse being that it would save money, given the difficulties of connecting the head office to the other offices in the region. Another criticism related to his deal making. Ag­ nes told me that Simon had embarked on a dramatic them up carefully. In contrast, making manic-depressives face reality (in combination with therapy and medication) is key to getting them on track. The goal with passive-aggressives is teaching them to express an­ ger in a healthy, direct manner. And exploring and describing emotional experiences helps the disconnected relate better to others. THE BOTIOM LINE Though some people will prove impossible to change, these disorders can all be managed, and with the right interven­ tions, executives with them can turn things around and become effective leaders. expansion plan and discussed possible acquisitions with investment bankers, despite cautioning from the people who worked for him. More generally, people in the organization viewed Simon as a "user" -he never reciprocated. One per­ son said that he felt like part of the furniture on Si­ mon's stage to success. Agnes told me that when she met with some of Simon's subordinates over drinks, they went on and on about their dislike of what was happening at the office. Some of the better people had already joined the competition; some had trans­ ferred to different units. It made her (and others) wonder whether Simon really was the golden boy. Like many narcissists, Simon was anything but a wallflower. He was tall, well dressed, and friendly, with a somewhat seductive manner. He seemed easy to talk to; he didn't hold back and opened up quickly about his relatively short tenure at the company­ telling me he'd been "poached" from a competitor and adding that the press had made a fuss about how costly a hire he'd been. He told me that he'd really liked his previous job, but given how things stood, the top job would not have been open for some time. That was the main reason that he'd accepted his present position. When I asked about his future, Simon made it apparent that he believed he was a shoo-in as the CEO's replacement. He obviously didn't think much of the other candidates. Most revealing was the extent to which Simon lived in a binary world where people were either "for" or "against" him. He made quite clear that any­ one against him would be a target. He'd already re­ moved some of the more independent thinkers on his team. Executives who hesitated to take his side were easily cast as villains. Coaching a Narcissist Tempting though it may be to administer a loud wake-up call, the first rule when dealing with narApril 2014 Harvard Business Review 103 COACHING THE TOXIC LEADER cissists is to avoid anything that might upset their delicate sense of self. Typically, their grandiosity is a childhood coping mechanism compensating for a sense of inadequacy-of never being able to please a parent (although parental "overstimulation" with­ out a realistic foundation can have a similar effect). Narcissists may seem very confident, but that confi­ dence conceals a deep vulnerability. The coach's first goal, then, must be to place the narcissist's self-esteem on firm foundations, not destroy it. You must convey respect and acknowl­ edge his or her need to be recognized. Though you shouldn't reinforce grandiose self-perceptions (which would constitute a denial that anything was wrong with the executive's way of dealing with oth­ ers), neither should you accentuate weaknesses (which could frighten the narcissist). Show empathy initially to gain trust, so you can begin to try minor confrontations of individual dysfunctional behaviors. The key to success here is exploiting two aspects of a narcissist's relationships with others: Transference. Typically, narcissists have a binary tendency to idealize and devaluate. They're prone to transferring their childhood desire to please their parents onto other authority figures, and a coach is very likely to be one of them. Experienced coaches (who stay attuned to the fact that the pendulum can swing in the other direction) will use this propensity to establish a more secure working relationship that allows them to begin confronting the narcissist about his dysfunctions, pointing out how they're limiting him. Simon quickly saw me as an authority figure, and that allowed me to make mild suggestions about what actions might or might not improve his stand­ ing in the firm. For example, I was able to suggest that although the corporate jet might well be a practical asset for a busy executive, it may actually look some­ what ridiculous and perhaps perverse in a context of cost-cutting initiatives elsewhere-a comment he took to heart. Competitiveness. Narcissists' ambitions can be used to motivate them. With Simon I once went too far in a criticism, making him angry. He tried to per­ suade Agnes to cancel my engagement, but when we reminded him that he'd been assigned a coach be­ cause of his high potential to succeed the CEO, he was willing to continue, and over several sessions I man­ aged to restore equilibrium. The challenge in drawing on ambitions, of course, is to avoid fueling the nar­ cissist's grandiosity. It helps to keep conversations tactical. Tacitly accept the ambition and discuss how 104 Harvard Business Review April 2014 likely possible actions are to help or hinder the real­ ization of the executive's goal. This improves the ac­ tual behavior and strengthens the coach's credibility. Building self-confidence takes time, as it did in Simon's case. But gradually I could see him become less needy and more prepared to share the limelight. He slowly began to empathize with colleagues and become an effective mentor. All in all, his behavior was more grounded in reality and better attuned to the values of the company. The key decision mak­ ers there noted the changes and liked what they saw. When the time came for the CEO to retire, Simon was selected for the top job. Unfortunately, narcissists all too commonly re­ gress into their old ways, especially once they've achieved their ambition. For this reason, it's impor­ tant to follow up with more engagement. To ensure the continuity of Simon's new self after his appoint­ ment as CEO, I suggested that he attend a CEO semi­ nar I was running. I felt that these group sessions with leaders from other companies would help sta­ bilize his new, more balanced self-image. THE MANIC•DEPRESSIVE Manic depression, or bipolar disorder, is another psychological condition that some executives suffer from. Like most mental disorders, it varies in inten­ sity, but even relatively mild forms can derail careers and alienate friends and colleagues. HBR.ORG The Incurable Executive It's hard to imagine that there are people who function without a con­ How to Recognize the Condition Let me share another experience I had, this one with a founder and CEO called Frank. People told me that dealing with Frank, a person for whom there seemed to be no emotional middle ground, often made them feel like fuefigbters; they were constantly running behind him putting out emotional blazes. But, de­ spite his volatility, colleagues also noted how attrac­ tive and contagious Frank's energy and ebullience could be. What's more, he had a knack for drawing people to him-something that had contributed to the original success of the furn. Yet Frank was now a major risk. The firm's situ­ ation was precarious: A big expansion attempt had failed, creating a serious liquidity problem, while a worrisome number of capable executives were leav­ ing or looking for an exit. If Frank couldn't be reined in, the dissolution of the furn was a real possibility. When I talked to Frank, it became clear that he had a bipolar disorder. Some years before (on the ad­ vice of his wife), he'd consulted a psychiatrist, who bad prescribed him lithium. Frank acknowledged that it had helped him for a while but added that the experience had been mixed. Life with the drug was not as rich as life without it: It was more flat and less exciting and dampened his emotions. What­ ever he did-looking at the garden, listening to the birds, talking with an associate, making a deal-was experienced much less deeply. He missed the "high highs;• and he decided to stop taking the medication. Frank was also no stranger to substance abuse. He would turn to alcohol when he was feeling manic, because it seemed to prolong and intensify his eu­ phoria. He also confessed that he had experimented with cocaine. I learned that his marriage, at the age of 23, had helped balance his moods. Recently, however, his wife had embarked on a part-time career, which had changed the dynamic in their home, as they saw less and less of each other. Frank began to spend even more time at the office and on the road. He reluc­ tantly confessed that he'd had a number of affairs. He wasn't sure whether his wife knew, but it was apparent that his behavior had affected their rela­ tionship. According to Frank, he and his wife had become like ships passing in the night. He admitted that he longed for their previous intimacy. Coaching a Manic-Depressive Serious mood disorders like manic depression are usually treated with a combination of psychotherapy exercise. He seemed eager to oblige, but when the results came back, science (except for the occasional feedback from a number of impor­ theless, sociopaths and psychopaths do exist, and they blend in very easily. Both types are the product (in particular, his subordinates) was missing. I asked him to do something about this, naming the people he of genetic and environmental fac­ should include. As expected, the second report historical tyrant or dictator). Never· tors, though sociopaths are more environmentally influenced while psychopathic disorders tend to be more hereditary and more danger­ ous The bad news is that neither tant people with whom he interacted came back with sharply negative comments: Arnold never acknowl­ edged his mistakes and always shifted responsibility for them to type of disorder can be cured. others. He broke promises and did I've learned from experience that psychopaths' and sociopaths' not respect confidentiality. I let him make his own interpretation of the feedback, asking him how relationships with coaches usually take one of two forms. Individuals with these dysfunctions will either he experienced the information: What surprised him? What was fair try to enlist the coach as an ally against the people who "forced" and what was unfair? I knew that them to undergo treatment or try to impress the coach to gain some kind avoid arguments and head-to-head confrontations. of advantage. In both cases they will "mirror'' what you want them to be with people like Arnold you have to Despite my reservations, Arnold and claim that they have seen the managed to convince his bosses that he had made progress, and they sent error of their ways. him to Southeast Asia to spearhead When I met Arnold, a highflier at a large consumer products company, he seemed really on the ball. He was good-looking, gregarious, and, not Least, adept at sweet-talking me, but his deferential manner didn't sit well with me. I began by suggesting that he undergo a 360-degree evaluation the firm's expansion in that region. A year later I read in the financial press that the company had been involved in a major bribery scan­ dal. Arnold had initiated a kickback operation in which he was one of the major beneficiaries. and medication. The problem is, manic-depressives are rarely receptive to receiving treatment (and Frank was no exception). Their reality testing is impaired: Whether manic or depressed, they have poor insight into how they are perceived by and act toward others. Getting them to admit that they have a problem is a main challenge. Here, the best approach is the op­ posite of what you would do with narcissists: Make manic-depressives confront the reality of their rela­ tionships with others and work with the people they affect to create a new structure in which they can op­ erate safely. In this kind of situation a coach would do well to draw on the help of others (in Frank's case, his spouse and supporting executives). Partners and family. I suggested to Frank that it would be useful to meet his spouse-an atypical April 2014 Harvard Business Review 105 COACHING THE TOXIC LEADER you can more easily confront them with the truth and work with them. Over six months I managed to help Frank figure out how to restructure his job, which helped him stabilize his mental state, both at work and at home. At the end he began working regularly again with a psychotherapist, and he has since begun to take medication. THE PASSIVE•AGGRESSIVE coaching request. But given her role in helping Frank stabilize his moods, I believed that it was essential to have his wife as an ally. To get his approval, I said it was important for me to know what her wishes and goals were, since he needed to better understand her perspective. After developing a working alliance with both of them, I explored with Frank various sce­ narios about how he saw himself in the future. What did he really want? Where would he like to be? Who would be a part of his life? Once Frank realized what was happening to his relationship with his family, he had an incentive to do something about his behavior. Colleagues. At the same time, I talked to Frank's executive team and a number of nonexecutive direc­ tors about what they felt was particularly disruptive about his behavior. Before I did, I got Frank's permis­ sion, of course, explaining that I had to get a sense of how he was perceived in the organization. At first I talked to these stakeholders separately, but then I brought Frank into the discussions. In these conver­ sations he began to recognize that he needed to play a different role in the company, one that got him away from day-to-day activities, where his penchant for micromanagement was causing stress. He decided to appoint a chief operations officer to handle those responsibilities. Frank recognized that his greatest contributions came from his contacts with important clients. That was where he should put his energy. Even though they have trouble admitting it, manic-depressives (unlike narcissists) are at some level aware that they have a problem, which is why 106 Harvard Business Review April 2014 This term describes a person who expresses negative feelings indirectly and shies away from confronta­ tion. The behavior originates in families where the honest, direct expression of desires is forbidden; children quickly learn to repress their feelings and are very reluctant to be assertive. They go through life being outwardly accommodating but obstructive in an underhanded way. What's more, their feelings may be so repressed that they don't consciously real­ ize that they're being uncooperative. So when oth­ ers get upset by their behavior, they take offense, be­ cause in their minds whatever caused the irritation was someone else's fault. How to Recognize the Condition Though passive-aggressive executives overtly agree to requests, they covertly express their resentment of them by missing deadlines, showing up late for meet­ ings, making excuses, or even undermining goals. They tend to use procrastination, inefficiency, and forgetfulness to avoid fulfilling obligations. Although they can become dy sfunctional when pushed, if they're not feeling pressured, they can produce high­ quality work-which explains why some manage to reach senior executive positions. They themselves are usually the principal victims of their behavior. Take Mary, who was referred to me by a senior ex­ ecutive I had been working with for some time. He told me that he thought she had a lot of potential but somehow never delivered on that promise. Listening to his lament, I realized that I might be dealing with a passive-aggressive person, and my first meeting with Mary confirmed my suspicion. I experienced her as cold, passive, and even somewhat depressed. When I asked about her colleagues and her boss, she described them as unreasonable. Whether she felt that she herself played a role in the poor chemis­ try was not apparent. Indeed, when I asked her why she was seeing me, she could not give a coherent answer. The only thing she could come up with was that her boss had told her it would be a good idea. HBR.ORG She didn't seem to realize (in spite of having gone through a 360-degree feedback exercise) that others were perturbed by her behavior. Coaching a Passive-Aggressive Passive-aggressives need to resolve their hostility toward authority figures. To help them do that, the coach has to encourage transference. By getting Mary to see me as an authority figure, I would attract her anger, which would allow me to work on help­ ing her express it in a healthier, direct manner. This work involved: Consistent confrontation. Every time that Mary was passive-aggressive with me I'd say something like: "Mary, it seems to me that you are angry at me. Is that what you are experiencing?" I would also point out the inconsistencies in her behavior. Of course, she would resort to denial or evasion-often citing forgetfulness as an excuse when she hadn't done what she was supposed to-but it became in­ creasingly difficult for her to get away with it. I was always careful, however, to accept her defensive reactions for the time being. When dealing with people like Mary, you should never argue or cor­ rect denials; just quietly back away, leaving them to reflect on your comments. Passive-aggressives see arguments as an invitation to cast themselves as victims, making you the bad guy, and they are very experienced at it. By sharing my awareness of her covert anger, I gave Mary the message that her style was not the way to deal effectively with interper­ sonal relationships. Practicing better behavior. Passive-aggressives have low self-esteem, and the coach has to help them build it up. This is best done by getting them to practice directness and asking them to explain how they would resolve or improve situations they find themselves in. In the beginning Mary would hem and haw, but over time I persuaded her to stick her neck out. I also assigned her specific tasks, putting them in writing. If she didn't deliver, I expressed my disappointment with her directly, factually, and un­ emotionally. I would say that I was confused by her behavior: Why did she keep doing what she was do­ ing? Why not find a better way? Ifshe wanted to con­ tinue our coaching sessions, such behavior needed to stop. At the same time, I devoted a considerable part of each session to acknowledging her strengths. Exploring the family. Mary needed to recognize the causal relationship between her tendency to procrastinate and the resentment she felt toward People often ask this question. and they get various answers. Some claim that the distinction lies in time orientation­ that coaching focuses on the present and the future while therapy looks more at the past. Others draw a line between the conscious (coaching) and the uncon­ scious (therapy). Still others see psycho­ therapy as a long-term treatment. and coaching as a short-term intervention. These all seem rather artificial distinctions to me. It's fair, perhaps. to say that psychotherapists have more­ intensive training in personality dynam­ ics, while executive coaches focus more on the general work environment in which executives operate. But it's my conviction that therapists can benefit from knowing more about the organi­ zational world. and coaches without training in psychology would do well to acquire its basics. In my own work, when appropriate. I often move from past to present and from conscious to uncon­ scious material. Both as a therapist and as a coach, I've had some assignments that were short and highly focused and others that lasted for years. the person making the request. Discussing her origi­ nal family dynamics helped Mary understand why she was the person she was; it quickly came out that it had been very difficult for her to stand up to her authoritarian father. The analysis of her childhood April 2014 Harvard Business Review 107 COACHING THE TOXIC LEADER led to a general discussion of the way she dealt with authority figures-including me-and her frequent anger toward them, which she gradually came to ac­ knowledge. Some of our discussions also centered on the way Mary dealt with her own family. We explored how her style affected her children-and what the consequences would be. After all, she wanted them to be happy, and the way she was treating them was no prescription for happiness. Coaching passive-aggressives is exhausting. They're irritating because they subtly show that they feel a sense of accomplishment when they've managed to frustrate you. It took a lot not to let Mary get to me. But as time passed, she took the first baby steps of trying to interact with people in a different way. She would practice expressing her ir­ ritation more directly and then report her successes and failures back to me. And because she generally liked the results, she gained the assurance to con­ tinue down the right path. Eventually, I expressed confidence that she could go on without my help. Thereafter, I saw her a few times to check that she had not fallen into her old habits. • THE EMOTIONALLY DISCONNECTED The previous cases deal with executives who may be troublesome but can also be quite charismatic- 108 Harvard Business Review April 2014 the kind of people who don't leave you emotionally untouched. But with the fourth type of pathology, a lack of feeling rather than an excess of it gives rise to difficulties. The term psychiatrists use for these people is alexithymia, which comes from the Greek and means "no words for emotions." Alexithymics are literal­ minded, display little imagination, and typically are unable to describe or even recognize their feelings. This inability makes it difficult for them to interpret the many and often complex emotional signals they receive from others, which they perceive as danger­ ous, potentially uncontrollable forces. That doesn't mean alexithymics cannot be suc­ cessful, particularly within large, bureaucratic or­ ganizations where playing safe, making the right noises, predictability, and relative inconspicuous­ ness are rewarded. But in other kinds of organiza­ tions, they provide entirely the wrong role models for others. Since alexithyrnics don't exude the dyna­ mism, inspiration, or vision that a high-performing organization needs, it's hard for them to motivate others. Having poor communication skills and being hard to read, they don't get the best out of people . And because they have difficulty dealing with the unpredictable, they may get in the way of progress. Their emotional absence puts a negative stamp on an organization's culture, discouraging creativity and innovation. How to Recognize the Condition One executive-let's call him Robert-came to me because he felt he was at a dead end in his firm. Until recently, he had been quite successful in his career, but after changing jobs he seemed to hit a wall. When I asked about his new job, he mentioned that he felt uncomfortable with its lack of structure. It wasn't clear to him what he was expected to do; there was a great fluidity in relationships and structures. Robert had left a technical function in a govern­ ment job to become the chief information officer of a private company, a position that required consider­ able interpersonal skills. Robert saw that he had dif­ ficulties integrating himself with the executive team. Not knowing what to do, he spoke with a colleague in HR, who suggested that he try to work on his emo­ tional intelligence-the reason he came to me. At our first meeting, I was struck by the mechani­ cal manner in which Robert answered my open­ ended questions-always completely matter-of-fact. From the way he talked about friends and family HBR.ORG members, I also inferred that he did not have any Describing the pain. Once I'd built up Robert's intimate relationships. When I asked how he saw confidence in the coaching process, I started getting his future, his imagined scenario was devoid of any him to describe more-difficult encounters at work, emotional content. His fantasy life and emotional pushing him to say which part of the experiences had memory seemed impaired. caused him pain. When distress bad manifested itself When I asked how he felt under stress, he men­ physically, we developed a story about these symp­ tioned stomach pains, muscle tension, and head­ toms-why they happened, what they represented, aches, but was unable to articulate the correspond­ and how they fit within the chain of events described. ing feelings. That's typical of alexithymics: They feel After many sessions, Robert began to recognize the physically unwell rather than recognize emotional link between his symptoms and emotionally disturb­ reactions. It was clear that Robert didn't understand ing events in his life. As we progressed, he displayed why his body acted the way it did. an increasing depth of feeling, and it dawned on him Despite their physical complaints, you should that sharing it with others would be beneficial in his resist any temptation to recommend medical inter­ work. He became more playful and less mechanical. ventions to alexithymics. (Physicians, take note.) In Other approaches can also work with alexithy· Robert's case, his doctor (obviously at her wit's end) mies. I've found that group and family therapy had sought to refer him to a psychiatrist or a psycho­ can help coachees learn to recognize, tolerate, and therapist, but he had not chosen that option. verbalize the emotional spectrum. It gives them a chance to practice reflective self-observation. Be­ Coaching the Emotionally havioral techniques such as biofeedback, relaxation Disconnected training, autogenic training, guided imagery, and Because alexithymics are not the most engaging cli­ hypnosis may also help. These techniques may give ents, there's a risk that their coaches will get bored, people with the disorder a sense of control over which may undermine their effectiveness. And there stressful responses, increasing their awareness of is no direct medication for this disorder, although the relationship between bodily sensations and the antidepressants can help people with it focus on events around them. feelings and interpret inner experiences. With Rob­ Like the Tin Man, who discovered that he bad a ert, my goal was to gradually get him to recognize heart, alexithymic executives can learn to deal with and react appropriately to emotions. Our engage­ emotions. When they do, the change in how they re­ ment had two phases: late to others goes a long way toward inspiring the Fixing immediate problems. What works best for best from their people, raising morale, and making me when dealing with people like Robert is first to their organizations more exciting places to work. explore and find solutions to their immediate inter­ personal problems. To build a trusting relationship SIGMUND FREUD once told the novelist Stefan Zweig with Robert, therefore, I needed to help him become that all his life he had been "struggling with the more effective in his day-to-day work environment, demon"-the demon of irrationality. Executives and in our initial sessions I focused on this. When who fail to recognize their irrational side are like I asked whether anything had recently happened ships facing an iceberg, forgetting that the greatest at work that puzzled him, he mentioned the strange danger lies below the surface. Effective executives behavior of his new assistant, who had suddenly know how to combine reflection with action by us­ burst into tears in his office. When I pressed him ing self-insight as a restraining force when the sirens on what he had felt when that happened, he said, of power beckon them. It is here that the executive "Not much." It only gave him a headache. When I coach can help by pointing out the extent to which asked what he'd done to stop his assistant from unconscious, seemingly irrational processes affect crying, he said, "Nothing?' But he had asked her to behavior. (:, HBR Reprint R1404H return to her office. I asked whether it might have executive coach, psychoanalyst/psychotherapist, been more helpful to inquire what her problem t:::t An and management scholar, Manfred F.R. Kets de Vries was-and if there was anything he could do to help is the Distinguished Professor of Leadership Development her. He responded that he hadn't thought about it, and Organizational Change at lnsead in France, Singapore, and Abu Dhabi. His most recent book is The Hedgehog but if such a situation recurred, he would try to fol­ Effect: The secrets of Building High Performance Teams low my advice. (John Wiley & Sons, 2011). m April 2014 Harvard Business Review 109 Harvard Business Review Notice of Use Restrictions, May 2009 Harvard Business Review and Harvard Business Publishing Newsletter content on EBSCOhost is licensed for the private individual use of authorized EBSCOhost users. It is not intended for use as assigned course material in academic institutions nor as corporate learning or training materials in businesses. Academic licensees may not use this content in electronic reserves, electronic course packs, persistent linking from syllabi or by any other means of incorporating the content into course resources. Business licensees may not host this content on learning management systems or use persistent linking or other means to incorporate the content into learning management systems. Harvard Business Publishing will be pleased to grant permission to make this content available through such means. For rates and permission, contact permissions@harvardbusiness.org. Narcissistic Leaders: The Incredible Pros, the Inevitable Cons by Michael Maccoby The Harvard Business Review January-February, 2000 There’s something new and daring about the CEOs who are transforming today’s industries. Just compare them with the executives who ran large companies in the 1950s through the 1980s. Those executives shunned the press and had their comments carefully crafted by corporate PR departments. But today’s CEOs—superstars such as Bill Gates, Andy Grove, Steve Jobs, Jeff Bezos, and Jack Welch—hire their own publicists, write books, grant spontaneous interviews, and actively promote their personal phi-losophies. Their faces adorn the covers of magazines like Business Week, Time and The Economist. What’s more, the world’s business personalities are increasingly seen as the makers and shapers of our public and personal agendas. They advise schools on what kids should learn and lawmakers on how to invest the public’s money. We look to them for thoughts on everything from the future of e-commerce to hot places to vacation. There are many reasons why today’s business leaders have higher profiles than ever before. One is that business plays a much bigger role in our lives than it used to, and its leaders are more often in the limelight. Another is that the business world is experiencing enormous changes that call for visionary and charismatic leadership. But my 25 years of consulting both as a psychoanalyst in private practice and as an adviser to top managers suggest a third reason—namely, a pronounced change in the personality of the strategic leaders at the top. As an anthropologist, I try to understand people in the context in which they operate, and as a psychoanalyst, I tend to see them through a distinctly Freudian lens. Given what I know, I believe that the larger-than-life leaders we are seeing today closely resemble the personality type that Sigmund Freud dubbed narcissistic. “People of this type impress others as being ‘personalities,’” he wrote, describing one of the psychological types that clearly fall within the range of normality. “They are especially suited to act as a support for others, to take on the role of leaders, and to give a fresh stimulus to cultural development or damage the established state of affairs.” Throughout history, narcissists have always emerged to inspire people and to shape the future. When military, religious, and political arenas dominated society, it was figures such as Napoléon Bonaparte, Mahatma Ghandi, or Franklin Delano Roosevelt who determined the social agenda. But from time to time, when business became the engine of social change, it, too, generated its share of narcissistic leaders. That was true at the beginning of this century, when men like Andrew Carnegie, John D. Rockefeller, Thomas Edison, and Henry Ford exploited new technologies and restructured American industry. And I think it is true again today. But Freud recognized that there is a darker side to narcissism. Narcissists, he pointed out, are emotionally isolated and highly distrustful. Perceived threats can trigger rage. Achievements can feed feelings of grandiosity. That’s why Freud thought narcissists were the hardest personality types to analyze. Consider how an executive at Oracle described his narcissistic CEO Larry Ellison: “The difference between God and Larry is that God does not believe he is Larry.” That observation is amusing, but it is also troubling. Not surprisingly, most people still think of narcissists in a primarily negative way. After all, Freud named the type after the mythical figure Narcissus, who died because of his pathological preoccupation with himself. Yet narcissism can be extraordinarily useful—even necessary. Freud shifted his views about narcissism over time and recognized that we are all somewhat narcissistic. More recently, psychoanalyst Heinz Kohut built on Freud’s theories and developed methods of treating narcissists. Of course, only professional clinicians are trained to tell if narcissism is normal or pathological. In this article, I discuss the differences between productive and unproductive narcissism but do not explore the extreme pathology of borderline conditions and psychosis. Leaders such as Jack Welch or George Soros are examples of productive narcissists. They are gifted and creative strategists who see the big picture and find meaning in the risky proposition of changing the world and leaving behind a legacy. Indeed, one reason we look to productive narcissists in times of great transition is that they have the audacity to push through the massive transformations that society periodically undertakes. Productive narcissists are not only risk takers willing to get the job done but also charmers who can convert the masses with their rhetoric. The danger is that narcissism can turn unproductive when, lacking self-knowledge and restraining anchors, narcissists become unrealistic dreamers. They nurture grand schemes and harbor the illusion that only circumstances or enemies block their success. This tendency toward grandiosity and distrust is the Achilles’ heel of narcissism. Because of it, even brilliant narcissists can come under suspicion for self–involvement, unpredictability and—in extreme cases—paranoia. It’s easy to see why narcissistic leadership doesn’t always mean successful leadership. Consider the case of Volvo’s Pehr Gyllenhammar. He had a dream that appealed to a broad international audience—a plan to revolutionize the industrial workplace by replacing the dehumanizing assembly line caricatured in Chaplin’s Modern Times. His wildly poplular vision called for team-based craftsmanship. Model factories were built and publicized to international acclaim. But his success in pushing through these dramatic changes also sowed the seeds for his downfall. Gyllenhammar started to feel he could ignore the concerns of his operational managers. He pursued chancy and expensive new business deals, which he publicized on television and in the press. On one level, you can ascribe Gyllenhammar’s falling our of touch with his workforce simply to faulty strategy. But it is also possible to attribute it to his narcissistic personality. His overestimation of himself led him to believe that others would want him to be the czar of a multinational enterprise. In turn, these fantasies led him to pursue a merger with Renault, which was tremendously unpopular with Swedish employees. Because Gyllenhammar was deaf to complaints about Renault, Swedish managers were forced to take their case public. In the end, shareholders aggressively rejected Gyllenhammar’s plan, leaving him with no option but to resign. Given the large number of narcissists at the helm of corporations today, the challenge facing organizations is to ensure that such leaders do not self-destruct or lead the company to disaster. That can take some doing because it is very hard for narcissists to work through their issues—and virtually impossible for them to do it alone. Narcissists need colleagues and even therapists if they hope to break free from their limitations. But because of their extreme independence and self-protectiveness, it is very difficult to get near them. Kohut maintained that a therapist would have to demonstrate an extraordinarily profound empathic understanding and sympathy for the narcissist’s feelings in order to gain his trust. On top of that, narcissists must recognize that they can benefit from such help. For their part, employees must learn how to recognize—and work around—narcissistic bosses. To help them in this endeavor, let’s first take a closer look at Freud’s theory of personality types. Three Main Personality Types While Freud recognized that there are an almost infinite variety of personalities, he identified three main types: erotic, obsessive, and narcissistic. Most of us have elements of all three. We are all, for example, somewhat narcissistic. If that were not so, we would not be able to survive or assert our needs. The point is, one of the dynamic tendencies usually dominates the others, making each of us react differently to success and failure. Freud’s definitions of these three personality types differed over time. When talking about the erotic personality type, however, he generally did not mean sexual personality but rather one for whom loving and above all being loved is most important. This type of individual is dependent on those people they fear will stop loving them. Many erotics are teachers, nurses, and social workers. At their most productive, they are developers of the young as well as enablers and helpers at work. As managers, they are caring and supportive, but they avoid conflict and make people dependent on them. They are, according to Freud, outer directed people. Obsessives, in contrast, are “inner directed.” They are self-reliant and conscientious. They create and maintain order and make the most effective operational managers. They look constantly for ways to help people listen better, resolve conflict, and find win-win opportunities. They buy self-improvement books such as Steven Covey’s The 7 Habits of Highly Effective People. Obsessives are also ruled by a strict conscience—they like to focus on continuous improvement at work because it fits in with their sense of moral improvement. As entrepreneurs, obsessives start businesses that express their values, but they lack the vision, daring, and charisma it takes to turn a good idea into a great one. The best obsessives set high standards and communicate very effectively. They make sure that instructions are followed and costs are kept within budget. The most productive are great mentors and team players. The unproductive and the uncooperative become narrow experts and rule-bound bureaucrats. Narcissists, the third type, are independent and not easily impressed. They are the innovators, driven in business to gain power and glory. Productive narcissists are experts in their industries, but they go beyond it. They also pose the critical questions. They want to learn everything about everything that affects the company and its products. Unlike erotics, they want to be admired, not loved. And unlike obsessives, they are not troubled by a punishing superego, so they are able to be very aggressive in pursuit of their goals. Of all the personality types, narcissists run the greatest risk of isolating themselves at the moment of success. And because of their independence and aggressiveness, they are constantly looking out for enemies, sometimes degenerating into paranoia when they are under extreme stress. (For more on personality types, see “Fromm’s Fourth Personality Type.”) Strengths of the Narcissistic Leader When it comes to leadership, personality type can be instructive. Erotic personalities typically make poor managers—they need too much approval. Obsessives make better leaders—they are your operational managers: critical and cautious. But it is narcissists who come closest to our collective image of great leaders. There are two reasons for this: they have compelling, even gripping, visions for companies and they have an ability to attract followers. Great Vision. I once asked a group of managers to define a leader."“A person with vision ” was a typical response. Productive narcissists understand the vision thing particularly well, largely because they are by nature people who see the big picture. They are not analyzers who can break up big questions into manageable problems; they aren’t number crunchers either (these are typically the obsessives). Nor do they try to extrapolate to understand the future—they attempt to create it. To paraphrase George Bernard Shaw, some people see things as they are and ask why; narcissists see things that never were and ask why not. Consider the difference between Bob Allen, a productive obsessive, and Mike Armstrong, a productive narcissist. In 1997, Allen tried to expand AT&T to reestablish the end-to-end service of the Bell System by reselling local service from the regional Bell operating companies (RBOCs). Although this was a worthwhile endeavor for shareholders and customers, it was hardly earth-shattering. By contrast, through a strategy of combining voice, telecommunications and Internet access by high-speed broadband telecommunication over cable, Mike Armstrong has “created a new space with his name on it,” as one colleague has put. Armstrong is betting that his costly strategy will beat out the RBOC’s less expensive solution of digital subscriber lines over copper wire. This example illustrates the different approaches of obsessives and narcissists. The risk Armstrong took is one that few obsessives would feel comfortable with. His vision is galvanizing AT&T. Who but a narcissistic leader could achieve such a thing? As Napoléon—a classic narcissist—once remarked, “Revolutions are ideal times for soldiers with a lot of wit—and the courage to act. ” And as in the days of the French Revolution, the world is now changing in astounding ways; narcissists have opportunities they would never have in ordinary times. In short, today’s narcissistic leader is getting the chance to change the very rules of the game. Consider Robert B. Shapiro, CEO of Monsanto. Shapiro described his vision of genetically modifying crops as “the single most successful introduction of agriculture, including the plow” (New York Times, August 5, 1999). This is certainly a huge claim—there are still many unanswered questions about the safety and public acceptance of genetically engineered fruits and vegetables. But industries like agriculture are desperate for radical change. If Shapiro’s gamble is successful, the industry will be transformed in the image of Monsanto. That’s why he can get away with painting a picture of Monsanto as a highly profitable “life sciences” company—despite the fact that Monsanto’s stock has fallen 12% from 1998 to the end of the third quarter of 1999. [During the same period, the S&P was up 41%.] Unlike Armstrong and Shapiro, it was enough for Bob Allen to win against his competitors in a game measured primarily by the stock market. But narcissistic leaders are after something more. They want—and need—to leave behind a legacy. Scores of Followers. Narcissists have vision—but that’s not enough. People in mental hospitals also have visions. The simplest definition of a leader is someone whom other people will follow. Indeed, narcissists are especially gifted in attracting followers, and more often than not, they do so through language. Narcissists believe that words can move mountains and that inspiring speeches can change people. Narcissistic leaders are often skollful orators, and this is one of the talents that makes them so charismatic. Indeed, anyone who has seen narcissists perform can attest to their personal magnetism and their ability to stir enthusiasm among audiences. Yet, this charismatic gift is more of a two-way affair than most people would think. Although it is not always obvious, narcissistic leaders are in fact quite dependent on their followers. A narcissist needs affirmation and preferably adulation from his admirers. Think of Winston Churchill’s wartime broadcasts or JFK’s “Ask not what your country can do for you” inaugural address. The adulation that followed from such speeches bolsters the self-confidence and conviction of the speakers. But if no one responds, the narcissist usually becomes insecure, overly shrill, and insistent—just as we saw with Ross Perot. Even when people respond positively to a narcissist, there are dangers. That’s because charisma is a double-edged sword—it fosters both closeness and isolation. As he becomes increasingly self-assured, the narcissist becomes more spontaneous. He feels free of constraints. Ideas flow. He thinks he’s invincible. This energy and confidence further inspires his followers. But the very adulation that narcissist demands can have a corrosive effect. As he expands, he listens even less to words of caution and advice. After all, he has been right before, when others had their doubts. Rather than try to persuade those who disagree with him, he feels justified in ignoring them—further creating a sense of isolation. The result is sometimes flagrant risk taking that can lead to catastrophe. In the political realm, it would be hard to find a clearer example of this than Bill Clinton. Weaknesses of the Narcissistic Leader Despite the warm feelings that charisma can evoke, narcissists are typically not comfortable with their own emotions. They listen only for the kind of information they seek. They don’t learn easily from others. They don’t like to teach but prefer to indoctrinate and make speeches. They dominate meetings with subordinates. The result for the organization is greater internal competitiveness at a time when everyone is already under as much pressure as they can possibly stand. Perhaps the main problem is that the narcissist’s faults tend to become even more pronounced as he becomes more successful. Sensitive to Criticism. Because they are extraordinarily sensitive, narcissistic leaders shun emotions as a whole. Indeed, perhaps one of the greatest paradoxes in this age of teamwork and partnering...
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My Key Takeaways
Everyone's behavioral qualities that make them challenging to work with are, at times,
what got them into power as a result. I've learned that evaluations of a person's character and
supposed 'dark side' could count over twice more than the positive attributes most typically
utilized in choice mechanisms in personality tests and work quality results. As a result, I
believe that growth and selection initiatives directed at shifting the scale from "poor" to
"better" will have a more significant impact than those aimed at pushing people from "good"
to "exceptional."
The issue with dark side actions is that they undermine subordinates' confidence in
superiors. Bosses benefit from dark side tendencies, but their trustworthiness with associates
suffers. For example, narcissistic people are often egotistical, self-centered, demanding, and
angry (De Vries, 2014). They have a high feeling of self, believing that they are exceptional
and worthy of applaud and admiration. Nonetheless, this appearance is distinguished by a
superficial self-image, as they prefer to perceive everyone else as inferior to themselves and
are often apathetic or aggressive toward others. They tend to evaluate data with a self-serving
bias, and their actions are more focused on advancing their status than the well-being of
others.
To accommodate a leader's dark side, one must first comprehend the rationale behind
the irritating conduct to engage in psychological judo and redirect these evil energies against
themselves. I've learned t...


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I was having a hard time with this subject, and this was a great help.

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