Market-Driven vs. Management-Driven Leadership: Which One Are You?
In the mid-market world, it’s not uncommon to hear companies explain performance this way:
“The market’s up, so we’re doing well.”
“The market’s down, so it’s been tough.”
That might sound reasonable—but it reveals a dangerous mindset: a company whose performance is tethered to external conditions rather than internal execution.
Market-Driven vs. Management-Driven
As one executive put it:
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- Market-driven companies ride the waves. Their growth mirrors the market.
- Management-driven companies set their own course. They build internal engines that outperform even in headwinds.
It’s the difference between drifting and steering.
The 20 Mile March
Jim Collins captured this distinction well with the idea of the 20 Mile March. One team marches 20 miles every day, rain or shine. Another pushes hard on good days and retreats on bad ones.
The disciplined marchers win—every time.
Management-driven companies operate this way. They define their own performance standards and hit them regardless of the market cycle. It’s not luck. It’s leadership.
Why It Matters
Tying your outcomes to external forces means ceding control. But leaders who choose to be management-driven hold themselves accountable to internal targets, not industry averages.
Ask yourself:
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- Are we accepting what the market gives us?
- Or are we creating the results we expect?
Four Ways to Shift Toward Management-Driven Leadership
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- Set Non-Negotiable Targets: Define the outcomes that matter most—and commit to hitting them no matter what.
- Obsess Over Controllables: Your execution, customer experience, team productivity—these are always within reach.
- Build Resilience Systems: When uncertainty strikes, don’t wait it out. Double down on what you can influence.
- Keep Marching: Don’t lead by mood. Lead by discipline.
Challenge
The market will rise and fall. That’s a given. The real question is:
Will you rise and fall with it? Or lead with the discipline of a 20 Mile Marcher—setting the pace, building resilience, and steering your own course?
Resources
- The Mindset of a Growth Company
- Are You Obsessed with Your Customers?
- Cash Reserves: Too Much, Not Enough or Not Sure?
- Podcast: Executive Burnout: Rebuilding Your Resilience
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