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2. Marshall your arguments and, backing your team’s decision to the
hilt, attempt to win over the CEO, but be willing to accept that,
should you fail, the decision will have to be changed, perhaps for
something more “politically” acceptable.

3. Invite the CEO to explain her reservations, but make it clear that the
decision stands unless she indicates something that your people
cannot have known that effects the decision. You make it abundantly
clear that you have absolute faith in the capability and motives of
your team and that you only pass down decisions to those best
qualified to make them.

Situation three

You are the CEO. An opportunity has arisen that will give your firm a con-
siderable short-term advantage over competition. Exploiting it will, how-
ever, mean diverting resources from a strategic plan that is on track to
deliver your key strategic goals within the planning horizon of three years.
The effect of such a diversion will be to delay the achievement of the strat-
egy by at least a year. It will, however, produce a substantial extra profit
this year and the shareholders, who at last year’s AGM vociferously
demanded a quick return on their investment, will be happy.

Choices

1. Your responsibility as a chief executive is to the shareholders. Exploit
the short-term opportunity. Keep the shareholders off the Board’s
back in the short term and try to conserve enough of the extra profit
to bring in additional resources to accelerate progress toward the
strategic goals next year and thereafter.

2. Keep your focus on the strategy. Avoid anything that diverts attention
from the mission.

3. Put the dilemma before the Board. Try to get consensus and go with
whatever decision the Board makes.

Situation four

You are marketing director. Your advertising agency has developed a plan
that will take you head to head against a bigger competitor. If it is suc-
cessful the plan will deliver a massive increase in sales and revenues, but
given the much greater resources of the competitor it is a high-risk tactic.

Choices

1. Go for it! Business is about risk.
2. Carefully assess your own competitive strengths and weaknesses and

develop a series of comprehensive marketing and sales campaigns to
pick off weaker competitors one by one, pitting your known strengths

“Leadership is what leaders DO!” 85