Jim Collins discusses Level 5 Leadership in his book Good to Great; it refers to the kind of leadership which creates lasting success and features both personal humility and professional will as essential elements.
Level 5 leadership often comes naturally within an individual; however, life experiences may prompt its development further. Self-reflection, conscious development and mentor guidance may all prove helpful.
Humility
Level 5 Leadership requires humility as its defining characteristic, an inborn quality that allows these leaders to put the needs of their companies before personal gain. They listen carefully to team feedback and can take difficult decisions when necessary for company growth.
Level 5 Leaders possess both humility and will to build lasting greatness within their companies, which sets them apart from other forms of leaders. Their combination of professional will and ambition sets them apart as being truly exceptional leaders. While other managers may possess either humility or ambition alone, Level 5 Leaders excel at merging both qualities simultaneously into lasting greatness for their companies.
Level 5 Leaders may appear reserved at first, yet are fearless when it comes to making tough decisions for their businesses. Their motivation does not lie with personal gain – rather, they have strong senses of honor and perseverance as part of their commitment to achieving greatness.
The Level 5 Leadership concept stands apart by being supported by research from Jim Collins’ Good to Great project, which disproved conventional wisdom that only charismatic leaders could lead companies towards greatness. His study revealed eleven companies which went from good to great all had Level 5 leaders while all eight companies which went from good to bad had at least Level 4 leaders.
Intense Focus
Level 5 leadership is an exercise in duality, balancing humility with strong will. These leaders prioritize the needs of their company and employees over their own desires; while remaining humble enough to understand that building great companies requires hard work that may be unpleasant or unpopular. At the same time, these leaders remain fanatically driven to achieve excellent results so their company will thrive for years.
These leaders, unlike the more visible heroes often sought by boards, do not aspire to become larger-than-life figures. Instead, their sole intention is to make an impactful difference in society – from financial success and social contributions, to learning itself – they show genuine passion in everything they do and that passion helps guide others along similar lines.
These leaders will work diligently and tenaciously towards reaching their goals while resisting any distractions that might take them off track. Their focus and energy motivate others to follow suit.
Finally, these leaders always accept full responsibility for any problems or failures that arise in their companies, regardless of personal cost. When things went awry in comparison companies, however, their leaders were more likely to blame external forces or colleagues when things went amiss.
Those aspiring to becoming Level 5 leaders will need to take steps in order to develop their leadership abilities, whether this involves self-reflection, conscious self-development or finding an experienced mentor who can teach you the principles of Level 5 Leadership.
Personal Discipline
Level 5 leadership differs from other forms of leadership by placing emphasis on serving both the company and its people rather than themselves. Therefore, Level 5 leaders aren’t driven to produce incredible results for themselves but are instead determined to bring about positive changes within their organization despite challenges or risks involved.
Level 5 leaders possess strong personal disciplines that enable them to focus on the long-term success of their company. They foster an atmosphere of excellence within their organization and set uncompromising standards of performance that cannot be compromised. While striving for perfection, level 5 leaders do not seek credit for their efforts but instead accept responsibility when failures occur despite not having direct control.
Collins asserts that Level 5 leaders lack both ego and selfishness. Although ambitious, their ambition is first for their company and then for themselves; this allows them to make difficult decisions for its benefit without concern about how others might respond or pass blame onto other individuals or external factors.
Collins found in his research that level 5 leaders often undergo life experiences which mark their transformation from good to great, such as near death experiences or religious conversions, which catalyze their transformation from average to great leaders. Yet these same characteristics of level 5 leadership could either be acquired innately or acquired through hard work and dedication; an effective combination of humility and ferocious resolve in pursuit of noble causes are the ingredients required for such change in companies.
Deferred Gratification
Delayed gratitude is one of the hallmarks of Level 5 leadership; this skill allows leaders to focus on the bigger picture and understand that success does not belong solely to them, but must instead benefit all they serve.
Good-to-great CEOs typically displayed humility when they achieved success, redirecting any financial gains to something that benefited others rather than themselves. For instance, Colman Mockler donated $5.5 million from his retirement package to a fund which helps low-income Americans obtain mortgages.
Level five leaders demonstrate a distinct commitment to building long-term success for their organizations even after they’ve left, by sharing credit for achievements with all team members rather than taking credit themselves and passing blame when something goes awry.
Level 5 leaders display an admirable and rare combination of modesty and will. Their modesty is coupled with an unyielding determination to do whatever is necessary to make their company great, such as Darwin Smith from Kimberly-Clark, Lee Iacocca from Chrysler and George Cain from Abbott Laboratories who all display this combination of humility and will.
Becoming a level five leader may not be easy, but it is possible. To explore this leadership style further, Jim Collins’ book “Good to Great” may help. His research team conducted an examination of 1435 established companies and found only 11 made the transition from good to great; these 11 all had level five leaders as their helm.
Ambition
Collins asserts that Level 5 Leadership requires both humility and professional will to succeed. These leaders do not rely on personal gain for motivation; rather they are driven by a deep dedication to the success of their organizations and employees alike. Through this commitment they create cultures of excellence while driving strategic focus for strategic alignment of resources to meet objectives for reaching business objectives.
Level 5 Leaders differ significantly from their high-flying CEO counterparts by exuding quiet determination and deep personal humility. While avoiding public attention and having an subdued demeanor that may seem reserved, these leaders remain fiercely ambitious for the betterment of their organizations and won’t back down from making tough decisions when making tough choices are required.
Collins asserts that Level 5 Leaders need to recruit talent with high potential, eliminate bad hires and place everyone in positions which suit their skillsets as soon as possible if great companies want to achieve greatness. It’s critical that leaders of successful organizations pay close attention to human capital before worrying about business tactics.
Although becoming a Level 5 Leader may not come easily, Collins believes that most leaders possess the capabilities to do so. Although dormant or hidden initially, under certain conditions such as self-reflection, conscious self-development, mentoring relationships or significant life events (and even loving parents), leadership capabilities may emerge.
