How the best ceos differ from average ceos

We all know the stereotypes: Great CEOs are extroverted. They’re self-promoting. They’re risk takers. But are these stereotypes true? Which traits actually differentiate CEOs from other executives? And, most importantly, which attributes separate successful CEOs from other CEOs?

There is a great deal of conjecture and mythology about CEOs and the attributes that define their success. So what should companies look for when they hire a new CEO?

To find out, we compared the results of a set of best-performing global CEOs to those of their less successful peers. We found that best-in-class CEOs stand out in three ways:

— THEY SHOW A GREATER SENSE OF PURPOSE AND MISSION, AND THEY DEMONSTRATE PASSION AND URGENCY: These traits often manifest themselves as intensity, impatience and an eagerness to move forward as well as a strong sense of ownership and immersion in activities. Researchers at McKinsey recently published related observations pertaining to new CEOs. They asserted that the worst thing new CEOs can do is “sit on their hands.” The best-performing CEOs “move boldly and swiftly to transform their companies.” We don’t advocate decisions and actions that are overly spontaneous or impulsive, but we do value efficiency and speed in analyses and when acting on strategy.

— THEY VALUE SUBSTANCE AND GOING STRAIGHT TO THE CORE OF THE ISSUE: They have an ability to rise above the details and understand the larger picture and context. They have a keen sense of priorities as they think and act. We summarize this as an ability to

separate the signal from the noise. Great CEOs have a nose for what are the most significant issues, challenges, threats and opportunities facing an organization.

— THEY HAVE A GREATER FOCUS ON THE ORGANIZATION, OUTCOMES AND RESULTS AND OTHERS THAN ON THEMSELVES: They know what they don’t know and have an ability to be open-minded, seek additional information and actively learn. This notion of a relatively modest CEO is counterintuitive for many.

There is no single profile for the successful chief executive. But at the top of the list should always be the ability to embrace effective and appropriate risks and the ability to act on opportunities in high-stakes situations — especially when the “right” action is not initially clear. These traits separate CEOs from other senior executives.

When a board wants to increase their odds of hiring a successful leader, it should interview and assess candidates for intensity and impatience, find those who focus on core issues, and search for a leader with the ability to have a point of view while still being open-minded and recognizing the power of the organization around him or her. These characteristics of our best-in-class CEOs will benefit almost every business: They are clear markers for the ability to act quickly, draw subtle and nonlinear conclusions, connect thoughtfully across a wide variety of channels, and take advantage of digital and market disruption — all essential in today’s dynamic markets.