It's Lonely at the Top -- Who Do You Turn To?

CEOs are bombarded from all sides. Everybody looks to them for solutions, for motivation and guidance. They believe it's their responsibility to have all the answers and to be perceived as an infallible leader who engenders confidence in the company's vision and direction. But, the truth is, they have doubts and concerns like everyone else. Surrounded by people who are predisposed to their own viewpoints and agendas, whom can executives really turn to for guidance, motivation and an objective ear or a sounding board?

Trapped at the Top

On a daily basis, CEOs make critical decisions that affect corporate welfare and reputation -- mergers and acquisitions, new product development, use of resources, management approaches, hiring and firing and succession. Although managers, bankers, attorneys, accountants and Board members are typically accessible to CEOs, the top executive often has no one to talk to when it comes to critical issues. Even people, who truly want to offer an objective opinion, with the company's best interest in mind, come equipped with their own biased agendas, whether conscious or unconscious.

Beyond the agendas, being completely candid with an employee, no matter how high ranking, is out of the question. When the boss shows any degree of vulnerability, it ultimately escalates into worries about the future of the business, if not a morale crisis. One reason the CEO is reluctant to take Board members into one's confidence is because it may cause them to question the CEO's competence. Even spouses have agendas -- it is just human nature. They may represent good sounding boards and have deep appreciation for their spouses' business, but can they always be truly objective?

While CEOs might learn a great deal by soliciting everyone's input, what they really lack are objective, outside sounding boards. They need and deserve the luxury of talking to people who are not invested in the outcomes, people without agendas and ulterior motives. Such a person supplies the needed perspective that comes only from talking to others. CEOs, like everyone else, have blind spots when it comes to dealing with their own business. While they may offer great advice to other CEOs, they're often too close to their own issues to perceive them clearly.

Breaking Out

Business today is more complicated than ever, and CEOs know they need help. Lacking sounding boards, many choose to read for inspiration. Unfortunately, that still leaves them isolated since it doesn't engage the CEO in a dialogue with give and take. Alternatively, there are CEOs who attend trade shows and industry association meetings where they can get feedback and stimulation from peers, albeit infrequently.

Executive coaching is becoming a widely accepted option. High-level consultants bring to the table a wealth of diversified business experience and supply badly needed perspectives. According to an April 2001 article in Chief Executive ("Wanted: CEO Confidante"), CEOs prefer to build long-term relationships with individual practitioners or members of small boutique consulting firms because consultants from larger firms may have "self-preservation concerns." Discretion, a proven track record and showing no violations of trust are key when selecting a consultant, coach or mentor.

A growing number of leaders, however, are turning to fellow executives through the powerful vehicle of peer groups. These groups provide a practical approach for entrepreneurs and established CEOs/business owners to share advice and experience with non-competing colleagues. Here are examples:

The Young Presidents' Organization is a global network for corporate and organizational presidents and CEOs under the age of 50. In small local peer groups called "Presidents' Forums" members share knowledge, experience and expertise in an atmosphere of trust and openness. This provides a forum for addressing personal and professional challenges.

The Young Entrepreneurs' Organization, dedicated to international networking and education, also organizes meetings for small groups of colleagues. These convene monthly to discuss issues in a confidential environment of "sharing, caring and trust." Members must be under 40 years of age.

TEC Worldwide, formerly "The Executive Committee," is an international organization dedicated to increasing the effectiveness of, as well as enhancing the lives of CEOs. TEC spans the globe, with more than 7,500 members in North and South America, Europe, Asia, Australia and Africa. But, perhaps its most valued benefit comes from the local groups of 12 to 16 CEOs. These groups meet monthly in confidential forums to share experience and knowledge, help each other tackle problems and evaluate opportunities. Members can discuss highly volatile, sensitive issues in total candor and receive impartial, objective feedback from experienced colleagues. The group and its chairperson monitor goals, priorities and action items for accountability. At TEC, membership is a solution to isolation at the top because CEOs have peers who share similar experiences and perspectives.

Also at TEC, executives can get impartial advice from knowledgeable people without agendas. As Ronald M. Schwarz, President of General Industrial Diamond in Whippany, NJ, says, "My fellow employees, accountants, attorneys and other advisors do not provide the original ideas and new creativity that I get from going to TEC meetings."

The meetings also provide the support CEOs need to make critical decisions and handle delicate issues. "As a TEC member, I got great insight from others with experience when making the major decision of whether or not to construct a new building," says Tom McLeod, President of McLeod Software in Birmingham, AL. "I was able to hear detailed accounts of how someone handled a thorny issue, and have learned how to take steps to reduce the chances that it could also happen to me," McLeod says. "Sometimes it is reassuring to know that other successful companies are fighting the same battles, and to get confirmation that there are some things we are doing right. Plus, I have formed friendships with people who have more experience than I have and who make the same kinds of decisions every day that I do."

It's a proven solution to the isolation leaders so often feel. In the words of Virginia Moran, President of Label Makers, Inc. in Pleasant Prairie, WI: "My group and TEC chairman have provided board-of-director input, as well as friendships, which have offset the 'it's lonely at the top' feeling I once experienced."

CEOs typically find it hard to admit they could use a little help, but the existence of executive coaches and peer organizations proves that there are many others out there who need help and aren't afraid to admit it. A welcome relief for many CEOs, such groups and individual coaches can greatly reduce the pressures that come with leadership.

Chemistry and Trust

Selecting the most appropriate sounding board really comes down to personal chemistry. The executive needs to feel comfortable in order to develop confidentiality and trust. To obtain optimal perspective, membership in peer groups that represent a variety of different sized businesses, from diversified industries, is mandatory. Similarly, when choosing an individual mentor or coach, it's best to look for someone whose experience spans a wide range of industries and brings a well-rounded perspective to the table.

Having an outside sounding board, whether it's a personal advisor or a peer group, helps CEOs feel more confident and less isolated. It enhances the quality of their decisions and decreases anxiety and stress. True, extra time is taken for meetings -- time executives may feel they cannot afford to give up. But, the truth is, they can't afford not to.

Mark Lefko is CEO of Tegra Executive Group, based in Westlake Village, California. In addition, Mark is a Chairman for TEC Worldwide, an international organization whose mission is to improve the effectiveness and enhance the lives of its over 7,500 CEO members. For further information about Tegra Executive Group or TEC, call 805-371-0788, go to www.tegra.net or email [e-mail].