Steve’s Philosophy on Leadership Pt. 2 – Authenticity

Earlier this year, I had the chance to discuss my leadership style evolution on Episode 13 of the Clockwork CIO Podcast with James Williams, where we talked about how my approach has shifted over the years. The feedback from that conversation inspired this series of articles, where I’ll share my personal philosophy on what effective leadership looks like in today’s world.

Over a series of six articles, I’ll dive into key aspects of leadership that I’ve found essential during my 35+ years in the field. These lessons come from both successes and mistakes, with the aim of helping you grow as a leader and make your teams stronger, more productive, and ultimately more successful.

With article #1 on Persistence already in the bag, this week we’ll explore how authenticity is critical to be accepted as a leader. And stay tuned for more in the coming weeks as we delve into other topics including:

•          Continuous improvement

•          Transparency

•          Failing fast

•          Daring to dream

Lesson #2 – Be Authentic and Own What You Say

In today’s world, how we experience everything around us has changed dramatically. Social media has exploded, news comes from countless sources, and advances in artificial intelligence have given rise to things like fake news and deep fakes. The result? Reality is getting more complex to navigate, and this affects how we are perceived, too. Authenticity matters now more than ever. For any CEO worth their salt, this should be top of mind, because the truth is, everyone has an opinion. Whether those opinions are informed or not, people aren’t shy about sharing them.

The key to cutting through the noise? Clear, transparent and honest communication. When you present your vision for the firm, do it with an authentic voice—one that’s real, not sugarcoated. Credibility is like trust: once you lose it, it’s almost impossible to get back. And without credibility, no one will follow you.

As Carl Jung, the Swiss psychotherapist, once said:

“The privilege of a lifetime is to become who you truly are.”

For years, CEOs were expected to keep emotions tightly in check, to stay steady no matter what. I get the thinking behind that. But today, people see right through it when a leader steps up and acts out a performance, pretending to be something they’re not. Being in love with the idea of being a CEO often comes off as self-serving, and people won’t follow a leader like that.

I’ll be the first to admit I used to get nervous before presentations. It’s a natural reaction. All those eyes on you at once can make you feel like you’re being judged, and then adrenaline kicks in. It’s human to feel imposter syndrome creep up in those moments. The best advice I can give? Be prepared. You might not deliver the perfect speech. You might fumble a line or two. But that’s fine. What matters most is that people see you are human.

Preparation, and not worrying about what people thought of me, had a huge impact on me. As a leader, you need to do what’s right for the company. If you don’t believe in what you’re saying – and, more importantly, if you don’t back it up with action – people will see right through you.

These days, showing emotion is not only okay, it’s essential. Being vulnerable doesn’t mean you’re weak. In fact, real weakness is hiding your true self. Strength lies in believing in your mission, staying true to your values, and letting people see the human side of you.

Leadership is about vision and getting others excited to join you on that journey. Whether or not people like you isn’t the issue—your job isn’t to make friends with everyone—but they must respect your authenticity. People will criticize you for many things, but not for being genuine.

Mark Yusko, the CEO of Morgan Creek Capital Management, put it well:

“One person cannot captain a ship, no matter how skilled a sailor they are. You’ve got to build a team and convince them it is a good idea (to sail to the end of the earth). A great leader has to be a visionary. But a great visionary also has to be a great salesperson…sales is transferring your enthusiasm to another person.”

I took that to heart throughout my 30-year career, especially during town halls. I’d tell employees to ask me anything, and they did. Some of those questions were tough, even uncomfortable—like asking about my compensation in the middle of layoffs. But I always answered, unless it was illegal (such as discussing non-public information) or unethical to do so.

Being open, honest, and as truthful as you can be—that’s the hallmark of good leadership.

As we head toward the next U.S. presidential election, authenticity has become a buzzword. Some might dismiss it as a passing trend, but the truth is, with so much misinformation out there, both in politics and business, authenticity is in short supply. It’s no wonder there’s a growing distrust across the board.

Your authenticity should reflect your core values—who you are at your very essence. When you walk into the office, when you hang out with friends, those values shouldn’t change. Your communication and actions need to align with them consistently. There will be times when people disagree with your decisions, and that’s okay. As long as you’re clear about the values guiding those decisions, you’ll get through it. And your team will respect you for it.

Being a leader means getting comfortable with discomfort.

As Bill George, former Medtronic CEO and Harvard professor, once said:

“Before you can become an authentic leader, you have to know who you are. That’s your true north: your most deeply held beliefs, your values, the principles you lead by, and what inspires you.”

According to Bill George, there are five main characteristics that define authentic leadership:

  • Purpose and passion: An authentic leader should have a sense of purpose and know exactly who they are and what they are about.
  • Values and behavior: Part of being an authentic leader means having a strong set of values and sticking to them in a consistent manner.
  • Relationships and connectedness: Building relationships and having a real connection with others is an important characteristic of authentic leadership.
  • Self-discipline and consistency: Having a strong sense of self-discipline is important for an authentic leader because you will need to stay focused on specific goals and maintain a consistent pace toward those goals.
  • Compassion: A key element of authentic leadership is compassion, which shows you are sensitive to the needs of others and want to help everyone thrive and grow in the organization.

You can spot inauthenticity from a mile away. Think about athletes giving media interviews. Many are so well media trained in what to say that they sound robotic. It’s risk management. But the ones who speak freely, with emotion and personality, are the ones we remember. They are the ones we gravitate towards and enjoy listening to – and yes, criticize – because their authenticity humanizes them.

In leadership, I’ve learned that people crave realness. Take Jalen Hurts, the quarterback for the Philadelphia Eagles. He’s an incredibly talented player and a great person, but when it comes to media appearances, he doesn’t exactly inspire. Compare that with his former teammate, Jason Kelce. After a tough loss, Jason never minced words: “That was pathetic. There are so many things wrong with us, including my own play. It’s frustrating and embarrassing.” It was raw, honest, and refreshing. It wasn’t a bland “we will learn from this and we will get better.”

As I was reflecting on this topic, I reread a 2020 article from Forbes titled, “The Trouble with Authenticity.” The piece raised an important point: too much of any virtue, authenticity included, can become a liability. The ancient Greeks believed that to be truly virtuous, a trait had to be tempered with wisdom. Authenticity, like courage or kindness, is no different. It’s about making thoughtful choices daily.

Being a leader means making tough calls. It’s your responsibility. But how you communicate those decisions makes all the difference. You need to say: “Here’s where we’re going. Here’s what I believe in. Here’s the North Star. And with your help, we’ll get there together.” Leaders need to own the message, own the process and own the outcome.

That, in my mind, is what authentic leadership looks like.

Have a question about passive investing in a real estate fund? Schedule a no-obligation call with the Investor Relations team.

Categories:

Tags: