Admitting Mistakes

I spoke to a senior executive this week who said he had been dragged over the coals during a performance review, simply because he had initiated an open and honest discussion with his superiors about where he had fallen short in his goals and why. The intention of that discussion was great—to learn and figure out how to improve—but the impact, from his perspective, was simply punishment. His key learning is that he will never do that again. The story leaves me thinking about a couple of things.

First, I am reminded by stories like these that all the good ideas, scintillating management tips, and “good to great” ideas that are out there can never be applied “context-free.” When the rubber meets the road, it’s you, your boss, your organization, your particular time in history, etc, and those factors may end up trumping the objectively good advice. I remember once teaching conflict resolution skills to some employees who told me, after the session, that while they liked the concepts and were planning on applying them in their personal life, if they used that language with their supervisors (harmless “I” statements from my perspective), they would end up with weeks of unpaid “administrative” leave. Just because it’s a good idea, doesn’t mean you should actually do it.

But the other piece of that story that is critical, in my opinion, gets to the heart of “performance” reviews. As much as “measurable” goals seems like a good idea, I am not sure that typical organizational measures (goals from a strategic plan) are the best way to actually measure the performance of senior leadership. In this case, the executive was dinged because he didn’t meet the goals. Yet his behavior of admitting it and actively exploring what to do about it is perfect leadership behavior—the kind you’d like to keep around, wouldn’t you say? Where would that be captured?

Jeffrey Pfeffer writes in Business 2.0 this month that the crisis with corporate CEOs making tons of money while their companies do poorly is actually not such a big deal. When the company is doing poorly, isn’t that the time when you pay to keep a good leader? What is the best way to measure the performance of a leader?

Jamie Notter