One of the largest roles a CEO plays is the “calm hand.” That statement reminds me of the old saying:

“It’s lonely at the top…”

It very much applies here - here’s how:

Let’s say something good happens or you THINK something good is about to happen, you’re inclined to want to RUN to the team and tell them. But, really, is that the best thing to do?

Some would argue that, “Yes, your team deserves to know right away and it will only help motivate them…”

I would tend to agree, however, here is where the “overreaction” comes into play - are you telling them BEFORE you signed the deal officially? Think about it…a huge portion of deals just fall apart anyways, do you really want to get THEIR hopes up too?

So, for good news, bottom line, deliver it once paperwork is signed, cash is in hand. Of course, some members of the team will have to know because they’re directly working on the deal - I just mean, don’t issue a company-wide memo on “heresay.”

The REAL Important time NOT to overreact - “BAD” news…

It’s amazing how quick your SLIGHT negativity can have a rolling effect on your entire company. If something “not so great” is happening, you need to do two things:

1. Don’t tell anyone about it until it’s 100% sure that it happened. The only ones that should know about it are those who can help you AVOID it from happening. Again, “need to know” basis - not everyone in the company needs to know.

2. After it does happen, sometimes it’s critical to let others in the company know. At that point, you NEED to find a positive spin on it and deliver it with SOME good news.

Too many shots of bad news at one time can really drain on morale - even if you have to deliver it, do it in small doses and team it up with good news.

How To Stop Overreacting - Rule #1…

Don’t react at all. Step back and give things some time to SINK in. If you react the MINUTE you have a thought, you’re generally going to make the wrong decision.

Soak in what has happened, think about it and let it have some time. Once you’ve had time to wrap your head around it and possibly come up with your own solution or time to close the deal, THEN find a way to open it up to everyone.

See, that’s why it’s lonely at the top, you don’t really have that many people to talk to without risking adverse reactions that can snowball.

(( I wonder if a lot of CEOs see therapists ))

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My advice of the day - The next time something happens that makes you want to RUN and tell someone, ANYONE - don’t. Force yourself to sit on the news for a minimum of 24 hours (unless it’s urgent of course - use your judgment). Get in the habit of thinking twice and even thrice about everything you say to your team, to your executive team and all.

They are not there to make you feel better, it’s actually the other way around. Suck it up and deal with it!

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Tags: how to stop overreacting

This entry was posted on Tuesday, May 6th, 2008 at 2:32 am and is filed under Managing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.