Executive leadership attributes can determine how quickly and efficiently a company achieves its goals. Outside of individual qualities they possess, executive leaders must be united on a vision, goal, and decision-making style to get the best out of each of themselves and their respective teams. When friction occurs in these areas, especially in the C-suite, issues can come about.
For CFOs, who must often be the skeptic in the room, an organization disunited on goals and decision-making approaches can make allocating resources to people and technology — while trimming in the areas deemed feasible to cut — very difficult.
According to the search firm Kingsley Gate’s report on the most important factors when hiring executives, disagreements on how to be successful leaders and how to make decisions are taking place between executives and their companies. The firm’s data shows only 36% of all leaders say their decision-making style aligns with that of their organization.
But that’s also not a surprise, according to the results of another question: one-quarter (25%) of executives didn’t discuss the topic of decision-making style when they were interviewed for their role.
Decision-Making Factors
When making a decision, business leaders’ life experiences, skills, education, and foresight come into play. Nearly three-quarters (74%) of the 400 executives in five countries surveyed said their personal values and beliefs influence how they make decisions.
However, being able to consider the viewpoint of others is also important. Nearly nine in 10 (87%) of those surveyed said they consider the impact of their choices on others, and three-quarters (75%) also said they prioritize the well-being or protection of others over themselves.
While executives think of impacts on other people, they also want something back for their decision-making: validation. Over three-quarters (78%) of executives said was essential for them to know that other team members approve and respect their decisions. In a lot of cases, that isn’t just tacit approval. To appear credible and knowledgeable, 62% said they had to justify or defend their decisions to others.
Waning Confidence and Potential Solutions
Alongside the disagreements among leadership, executives’ lack of confidence in their organizations is taking a toll. About half (49%) of senior executives said they’re confident in their company’s ability to make a decision. But more than one-third said they resigned from a position because of their company’s decision-making, alongside another 29% who said they considered resigning for the same reason.
According to those surveyed, the onus to fix the problem is on people. Just under half (48%) said company leadership has the responsibility to tackle decision-making conflicts, while 44% said new employees can be part of the solution. A nearly identical amount (43%) said they would play a large part in fixing the issue.
The Kingsley Gate survey was conducted in May and June 2023, asking questions of executives from five countries: the United States, the United Kingdom, Spain, the United Arab Emirates, and Singapore.