Level 5 Leadership

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One of the most counterintuitive findings in Collins' research was the nature of the leadership that drove the good-to-great transitions. The researchers expected to find bold, high-profile executives: magnetic personalities who transformed organisations through force of vision and charisma. What they found instead was almost the opposite. The leaders of every good-to-great company shared two seemingly contradictory qualities: extreme personal humility and fierce professional will. Collins calls this combination Level 5 leadership. Level 5 leaders are almost invisible. They give credit to others when things go well and accept responsibility when things go badly. They are not primarily motivated by fame or recognition. They are motivated by the success of the organisation and the people in it. At the same time, they are relentless about results. They are not soft or indecisive. They set demanding standards and hold to them without flinching. The humility and the will work together: the humility removes ego from the equation, so decisions are made for the right reasons; the will ensures those decisions are followed through. When Collins compared the good-to-great companies to those that stayed good, he found that the comparison companies were much more likely to have high-profile, ego-driven leaders. These leaders often produced short-term improvements but rarely built anything that lasted beyond their tenure.