The Arrogance Equation: How Confidence Without Competence Undermines Leaders

Understanding the Formula for Humility and Its Impact on Effective Leadership

I was reading Henry Mintzberg's excellent book "Managers not MBAs" when I came across the formula.

CONFIDENCE - COMPETENCE = ARROGANCE

The author presented the formula in the context of humility not being a word we would label MBA graduates with. The author's challenge to the reader is that contrary to what a layperson might think, those doing MBAs are typically junior business people - often having only spent a few years in their careers before embarking on the course and paying a substantial wedge of money for the privilege of doing so. But these people hope the MBA will help put them on a fast track to the top because it will magically imbue them with management wisdom and experience. While it may help speed them on their way to the top levels of management, an MBA most definitely doesn't teach them how to manage effectively.

Anyway, enough bitching on MBAs. And before I lose an unhealthy percentage of my subscribers.

Let's return to the formula and reflect that when the aggregate of confidence less competence turns negative, we arrive at humility.

CONFIDENCE - COMPETENCE = -HUMILTY

Visually, I am not sure it is immediately clear what I mean. For the avoidance of doubt, I am saying that when one's competence is actually greater than one's confidence in one's ability, it leans towards humility rather than arrogance.

Humility is often a favourable trait in leadership. Whereas arrogance, more often than not. Arrogance is a warning sign that things will start to go wrong. If they haven't already. Two easy and quick examples come to mind: Adam Neumann (founder and former CEO of WeWork) and Elizabeth Holmes (founder and former CEO of Theranos). Both exhibited common reasons why people in leadership positions fail (from the book Why CEOs Fail):

✅ Arrogance - "You're right, and everybody else is wrong."

✅ Melodrama -" You always grab the centre of attention."

✅ Volatility - "Your mood shifts are sudden and unpredictable."

✅ Mischievousness - "You know that rules are only suggestions."

✅ Eccentricity - "It's fun to be different just for the sake of it."

This excellent short book lists twelve common reasons for leadership failure, including excessive caution and perfectionism. However, it does not feature humility.

Like all things, it isn't binary. Too much humility can also be a bad thing. For example, too much humility is more likely to stop you from reaching the more senior ranks and becoming a CEO, as there will always be others who are happy to take the accolades even when they had little involvement in the success.

Humility - why is it important?

We all make mistakes. Yet many people will not admit their faults or own up to mistakes. Therefore, they forego a fantastic opportunity to learn. By owning and sharing your mistakes, those around you can avoid similar pitfalls.

Insecure leaders don't talk openly about their mistakes, what they have learned and crucially, what they now do differently. Often, they have low self-awareness. They believe their approach is what drives high performance from those around them. Whereas their success often will be despite their involvement. This type of person isn't happy asking questions such as:

• How much did I really contribute to the success?

• What role did I play?

• Who else helped?

• What else contributed?

Reed Hastings, CEO of Netflix, says,

"Whisper wins and shout mistakes."

When you make a mistake, say it clearly and loudly so that everyone can learn and profit from your errors.

The opposite of humility is pride or arrogance. The common negative impacts of not being humble and showing humility are often:

• A diminished capacity to learn,

• A refusal to be accountable for mistakes,

• Resistance to change,

• An inability to recognise one's limitations.

These are all reasons why it is crucial in our workplaces to encourage people to talk about their mistakes and build a culture of constructive and timely feedback.

Why humility in the workplace can be so difficult

It is counter-cultural.

We live in a world of social media and the cult of me.

Humility does not sell.

In "Good to Great," Jim Collins wrote about level 5 leaders.

"Level 5 leaders channel their ego needs away from themselves and into the larger goal of building a great company. It's not that level 5 leaders have no ego or self-interest. Instead, they are incredibly ambitious - but their ambition is first and foremost for the institution, not themselves.

A key trait of level 5 leaders is that their ambition is first and foremost for the company, and they are concerned for its success rather than their own riches and personal renown. Level 5 leaders want to see the company even more successful in the next generation, comfortable with the idea that most people won't even know that the roots of that success trace back to their efforts. In contrast, the other leaders are more concerned with their reputation."

HUMILITY + WELL = LEVEL 5 Leadership

How to be a more humble leader and embrace the power of humility as part of your leadership style:

1. Ask questions, which will lead to enhanced self-awareness:

   1. How much did I really contribute to the success?

   2. What role did I play?

   3. Who else helped

   4. What else contributed?

2. Own up to your mistakes, and share what you have learned.

3. Ask those around you for feedback:

   1. What should you start to do?

   2. What should you stop doing?

   3. What should you continue to do?

4. Be fans of your teams, and compliment them in front of others.

📫 - A quote that I am currently pondering

"The higher your position in an organisation, the more dependent you become on others to get things done."

• Linda A Hill

I want to provide an addendum to this quote …" all the way up to the top job of Chief Executive Officer and the Board of Directors.”

I like orchestral conductor metaphors when it comes to leaders and leadership. So, for me, a second quote powerfully follows:

"The only member of an orchestra who doesn't produce any music directly, the conductor, like a CEO, is entirely dependent on others to deliver results."

If that isn't enough to instil some humility, then I don't know what it is.

🧾 - An absorbing and insightful (short) read

Why the Fake You will Outperform the Authentic You.

Here is a short extract: "You'll be far more successful if you focus your efforts on showing up as the most successful chameleon you can be, rather than worrying about how to stay within the artificial, authentic walls you've built around yourself." It is a powerful and a bit provocative read to counter the authentic leadership marketing materials produced by innumerable consulting firms.

🤔 - If you did have the answer to this question, what would it be?

What is the real issue, and what are the implications of doing nothing?