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Pressure Makes Diamonds

April 30, 2024

In a con­ver­sa­tion with a CEO to pre­pare for a strate­gic meet­ing, we pro­posed a new approach to ask peo­ple to rate their peers’ per­for­mances over the last quar­ter, make obser­va­tions about what they have done well and sug­gest how they might improve.

When we dis­cussed the idea, some­one said that some peo­ple might be uncom­fort­able doing this is such an open and trans­par­ent way.

The CEO, with whom we’ve worked togeth­er for a long time, and I looked at each oth­er and smiled – and I knew what he was thinking.

In the past, we’d been in many sit­u­a­tions where tough deci­sions need­ed to be made that required hard work. He had a lot of suc­cess, then, cre­at­ing a lot of pos­i­tive ten­sion as he led his orga­ni­za­tion through those chal­leng­ing times. And, while some team mem­bers weren’t com­fort­able, they per­se­vered and suc­ceed­ed – and their per­for­mance improved.

And that’s why we knew that, in this case – because we were in a room full of high per­form­ers – pos­i­tive ten­sion would cre­ate pos­i­tive outcomes.

The Sweet Spot of High­est Potential

A CEOs job is to cre­ate pos­i­tive ten­sion in the organization.

Not so much that per­for­mance is dimin­ished, and peo­ple’s abil­i­ties are par­a­lyzed. But enough to put peo­ple into the sweet spot of their high­est poten­tial. Ten­sion that increas­es focus and cre­ativ­i­ty so that they per­form bet­ter and, ulti­mate­ly, increase the organization’s growth and value.

Your A Play­ers will vis­i­bly thrive, and you will quick­ly be able to see who is not able to step up and per­form at a high­er level.

If a CEO doesn’t cre­ate reg­u­lar­ly cre­ate pos­i­tive ten­sion, they become more like an admin­is­tra­tor, and growth will like­ly slow, decline or, poten­tial­ly, stop.

Clear Goals & Accountability

That’s why, in the strate­gic plan­ning process, it’s crit­i­cal that your orga­ni­za­tion is aligned and com­mit­ted to where it wants to be in three years.

The excite­ment and ten­sion are cre­at­ed when the teams are locked, loaded and ful­ly com­mit­ted to achieve those great things.

Then, you cas­cade down to build out the annu­al and quar­ter­ly goals to get there. And, ide­al­ly, a quar­ter­ly score card for each exec­u­tive and key leader, that clar­i­fies their per­son­al con­tri­bu­tion, every 90 days, toward the team’s big­ger commitment.

In one com­pa­ny, we even had the team plan how they would cel­e­brate togeth­er as a team, and as a com­pa­ny, when they reached that amaz­ing milestone.

The Chal­lenge

  • What could you do to apply more pos­i­tive atten­tion to achieve your most impor­tant com­pa­ny or department/​divisional goals?

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About Lawrence & Co.
Lawrence & Co. is a growth strategy and leadership advisory firm that helps mid-market companies achieve lasting, reliable growth. Our Growth Management System turns 30 years of experience into practical steps that drive clarity, alignment, and performance—so leaders can grow faster, with less friction, and greater confidence.

About Kevin Lawrence
Kevin Lawrence has spent three decades helping companies scale from tens of millions to hundreds of millions in revenue. He works side-by-side with CEOs and leadership teams across North America, the Middle East, Asia, Australia, and Europe, bringing real-world insights from hands-on experience. Kevin is the author of Your Oxygen Mask First, a book of 17 habits to help high-performing leaders grow sustainably while protecting their mental health and resilience. He also contributed to Scaling Up (Rockefeller Habits 2.0). Based in Vancouver, he leads Lawrence & Co, a boutique firm of growth advisors.