Wednesday, March 26, 2014

Credibility, Bad News, and Morale


Chief Executive Officer A can lower morale while delivering good news.

Chief Executive Officer B can raise morale while delivering bad news.

What's the difference? 

Credibility. 

In A's case, the audience members may not trust the rosy reports or they may believe that while A is fortunate for the time being, he or she lacks the ability to keep bad news at bay.

In B's case, they may regard the description of bad news as evidence of B's candor. If that is combined with trust - and trust is based on integrity and competence - B's clear-eyed view of the situation is a positive, a characteristic of a strong leader.

One of the important skills of leaders is the ability to deliver bad news while maintaining hope. For some grand examples of this skill, read the speeches that Winston Churchill delivered in 1940.

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