How to Lead

1. Leadership requires vision, communication, and adaptability

"I think leadership, especially at strategic levels, the very top, encompasses four critical tasks. Whether you're the commander in Iraq or Afghanistan, or the CEO of The Carlyle Group or KKR or Amazon, you have to get the big ideas right. You have to communicate those big ideas effectively through the breadth and depth of your organization. You have to oversee their implementation. And you have to determine how to refine the big ideas—and then do it all over again."

Vision and communication. Effective leadership starts with a clear vision of where the organization needs to go. This vision must be communicated effectively throughout the organization, ensuring everyone understands their role in achieving it.

Implementation and adaptation. Leaders must oversee the implementation of their ideas, using metrics and personal involvement to drive execution. Crucially, they must also be willing to refine and adapt their ideas based on feedback and changing circumstances. This cycle of vision, communication, implementation, and refinement is continuous, requiring leaders to be both consistent and flexible.

Diverse applications. This leadership framework applies across various fields, from military commanders to CEOs of major corporations. The ability to balance big-picture thinking with detailed execution is a hallmark of successful leaders in any domain.

2. Great leaders come from diverse backgrounds and experiences

"There's a big difference with HIV, David. Whenever you make a vaccine, what you rely on is the ability of the body to make an adequate response to natural infection."

Unexpected origins. Many great leaders emerge from backgrounds that might not seem directly related to their ultimate leadership roles. Dr. Anthony Fauci, for example, became a leading figure in public health despite initially pursuing a career in internal medicine.

Diverse experiences. Leaders often draw on a wide range of experiences to inform their decision-making. This diversity of background can provide unique insights and approaches to problem-solving:

• Educational experiences (formal and informal)
• Professional roles in different sectors
• Personal challenges and triumphs
• Exposure to diverse cultures and perspectives

Adaptability. The ability to apply lessons from one field to another is a key trait of effective leaders. This adaptability allows them to bring fresh perspectives to new challenges and to see connections that others might miss.

3. Effective leaders balance confidence with humility

"I have always had the viewpoint that every situation is a learning opportunity, and perhaps that was it. It's that curiosity. People say to me, 'When you hire people now, what do you look for?' and I will say one of the biggest traits I look for is curiosity."

Continuous learning. Great leaders recognize that they don't have all the answers and maintain a sense of curiosity throughout their careers. This openness to learning allows them to:

• Stay adaptable in changing environments
• Gain insights from a wide range of sources
• Foster a culture of innovation and growth

Balancing act. Effective leadership requires a delicate balance between confidence in one's abilities and the humility to recognize areas for improvement. Leaders who strike this balance are:

• More approachable to their teams
• Better equipped to handle criticism and feedback
• More likely to create an environment where others feel comfortable sharing ideas

Hiring for curiosity. By valuing curiosity in their hiring practices, leaders can build teams that are:

• More adaptable to change
• More innovative in problem-solving
• Better positioned for long-term success in evolving industries

4. Innovation and risk-taking are essential for business leadership

"I never go into a venture with the idea of making a profit. If you can create the best in its field, generally speaking you'll find that you'll pay the bills and you'll make a profit."

Focus on excellence. Successful business leaders prioritize creating exceptional products or services rather than solely focusing on profit. This approach often leads to:

• Greater customer loyalty
• Increased market share
• Long-term profitability

Calculated risk-taking. Innovation often requires taking risks, but effective leaders balance this with careful analysis:

• Assess potential rewards against possible downsides
• Create contingency plans for various scenarios
• Learn from failures and iterate quickly

Disruptive thinking. Leaders who challenge industry norms and think creatively can create entirely new markets or revolutionize existing ones:

• Amazon's expansion from books to everything
• Apple's transformation of the mobile phone industry
• Tesla's reimagining of the automotive sector

5. Political leadership demands resilience and compromise

"We absolutely have to understand that one of the biggest threats facing our country and facing our democracy is the political dysfunction we have today. When I was there twenty-five years ago with Reagan, with Bush, with Ford, we reached across the aisle and we got things done. It happened with Carter. It happened with Clinton. That doesn't happen anymore. That's truly tragic."

Bipartisan cooperation. Effective political leadership often requires working across party lines to achieve meaningful progress. This involves:

• Finding common ground on key issues
• Building relationships with political opponents
• Prioritizing national interests over party loyalty

Resilience in adversity. Political leaders face constant scrutiny and opposition, requiring:

• Thick skin to handle criticism and attacks
• Persistence in pursuing long-term goals
• Ability to bounce back from setbacks and defeats

Balancing ideals and pragmatism. Successful political leaders must navigate between their ideological beliefs and the practical realities of governance:

• Knowing when to stand firm on principles
• Recognizing opportunities for compromise
• Communicating effectively with diverse constituencies

6. Military leadership requires decisive action and strategic thinking

"I always knew, based on what had happened with John Sculley and Steve Jobs in the 1980s, that it was their company and my job was to make their company successful."

Clarity of mission. Military leaders must have a clear understanding of their objectives and the larger strategic context:

• Align tactical decisions with overarching goals
• Communicate mission objectives effectively to all levels
• Adapt strategies as circumstances change

Decisive action. In high-stakes situations, military leaders must make quick, informed decisions:

• Gather and analyze available information rapidly
• Trust instincts honed through training and experience
• Take responsibility for outcomes, both positive and negative

Team empowerment. Effective military leaders build strong, cohesive units:

• Foster trust and mutual respect within the team
• Delegate authority appropriately
• Recognize and develop talent at all levels

7. Transformational leaders challenge the status quo

"You don't dictate to people. But if you let them know what your vision is, hire the best people, and then don't get in their way, those are the qualities of a good leader."

Vision casting. Transformational leaders articulate a compelling vision for the future that inspires others to action:

• Paint a clear picture of what success looks like
• Connect the vision to individual and collective values
• Consistently reinforce the vision through words and actions

Empowering others. Rather than micromanaging, great leaders:

• Hire talented individuals who share the vision
• Provide resources and support for success
• Give team members autonomy to innovate and excel

Challenging assumptions. Transformational leaders are willing to question established norms:

• Encourage creative problem-solving
• Foster a culture that embraces change
• Lead by example in pushing boundaries

8. Ethical leadership builds trust and long-term success

"Integrity is at the center of being a great leader. Once you lose people's trust, you have nothing."

Foundation of trust. Ethical leadership is crucial for building and maintaining trust within an organization:

• Consistently model ethical behavior
• Create clear ethical guidelines and expectations
• Hold all team members accountable, regardless of position

Long-term perspective. Ethical leaders prioritize sustainable success over short-term gains:

• Make decisions that benefit all stakeholders
• Invest in employee development and well-being
• Consider environmental and social impacts of business practices

Transparency and accountability. Ethical leaders:

• Communicate openly about challenges and mistakes
• Take responsibility for organizational outcomes
• Create systems for reporting and addressing ethical concerns

9. Crisis leadership tests a leader's true mettle

"I don't think there will ever be a full accounting of the way he did the diplomacy at the end of the Cold War, with respect for [Mikhail] Gorbachev and never humiliating the Soviet Union. Not dancing on the wall."

Calm under pressure. Effective crisis leaders maintain composure in the face of uncertainty:

• Project confidence to reassure others
• Think clearly and rationally in high-stress situations
• Make difficult decisions with limited information

Adaptability and quick learning. Crisis situations often require leaders to:

• Rapidly assess changing circumstances
• Adjust strategies on the fly
• Learn from mistakes and iterate quickly

Empathy and communication. During crises, leaders must:

• Acknowledge the human impact of the situation
• Communicate clearly and frequently with all stakeholders
• Provide hope while being realistic about challenges

10. Inclusive leadership drives organizational success

"I have always followed the 'Prior preparation prevents poor performance' mantra. I think those things made a difference. I was brought up to believe that if you start something, you finish it, or you do everything you can to finish it."

Diverse perspectives. Inclusive leaders actively seek out and value diverse viewpoints:

• Build teams with varied backgrounds and experiences
• Create environments where all voices are heard
• Leverage diversity to drive innovation and problem-solving

Equitable opportunities. Effective inclusive leaders:

• Identify and remove barriers to advancement
• Provide mentorship and development opportunities for all
• Recognize and reward contributions fairly

Cultural competence. Inclusive leaders cultivate an understanding of different cultures and experiences:

• Develop self-awareness of personal biases
• Adapt communication styles to connect with diverse team members
• Create a workplace culture that celebrates differences

Last updated: January 25, 2025