CEOs make decisions. But they don’t decide everything on their own. A business is a microscaled version of society. That means that there is always a flow of power through a business and that flow is never smooth and never quite according to seniority or experience or skillset or rank.
Which takes us to the decision-making process.
Every business decision requires data. The more data, the better. Data allows specific pros and cons to surface so that the business decision can be made.
Power doesn’t follow data. It is built out of relationships and reputation. It is driven by ego and opinion.
The power struggle in every organization lies between those who want a decision to be taken according to data and those who want a decision to be taken because it’s going to be good for them or their department.
CEOs who don’t follow the data end up conceding their decision-making to those who can leverage them the most. That is never good for a business.
Where does the real power reside in your business?
How do you know?