Last month, I had the privilege of facilitating a strategy validation workshop. During his closing remark, the board chair emphasized the need for unity of purpose, focus on results and positivity going forward. He suggested that most missed targets under the previous strategic plan could be attributed to low levels of commitment amongst the leadership team – board members and senior management.
The foregoing statement led me into deep reflection about the role leaders play in not only strategy implementation but in driving organizational performance and success. In the process, I remembered an experience I had in 2023 where I has facilitating a training for a a Tier 3 (small) SACCO who were facing a “good” problem — excess liquidity. I recall how several directors approached potential solutions with skepticism, focusing first on the drawbacks of each proposal. In the words of their Board Chair, this risk-averse mindset was consuming valuable time and energy, limiting the SACCO’s ability to capitalize on growth opportunities.
A similar dynamic played out in a bank where the risk management department had veto power over loan approvals. Despite clients succeeding elsewhere with similar loan requests, the bank’s leadership remained entrenched in a defensive posture. When three managers proposed performance-enhancing initiatives, the CEO dismissed them without evidence, discouraging future suggestions. Within two years, this negativity manifested in the bank’s declining financial performance.
On the flipside, at the onset of the 2008 global financial meltdown, a bank CEO reassured staff that no layoffs would occur and that a financial “war chest” had been prepared. He challenged the team to focus on growth rather than fear. Despite economic instability and political unrest in Kenya, the bank expanded its branch network and achieved strong financial results. The CEO’s optimism and forward-looking vision galvanized the organization, proving that a leader’s tone can inspire resilience and drive performance even in adversity.
Another good example is Tabitha Karanja, then CEO of Keroche Breweries. Facing an entrenched monopoly, punitive tax laws, and gender bias, she remained focused on her vision to provide affordable alcoholic beverages to Kenyans. When taxation rendered her fortified wine unviable, she pivoted to a new product rather than exiting the industry. Her interviews emphasized opportunity and internal strengths over external threats. This mindset not only sustained her company but also inspired other entrepreneurs. Her leadership tone—rooted in conviction and positivity—was instrumental in navigating strategic challenges.
Business leaders across Africa and Asia have also demonstrated how tone influences strategy. In Africa, Strive Masiyiwa, founder of Econet Wireless, faced immense regulatory resistance in Zimbabwe. For five years, his company was denied a license to operate. Instead of succumbing to frustration, Masiyiwa maintained a tone of perseverance and legal integrity. He took the matter to court, eventually winning the case and transforming the telecommunications landscape in Africa. His unwavering belief in the rule of law and his mission set a tone that empowered his team and attracted global investors.
In Asia, Indra Nooyi, former CEO of PepsiCo, exemplified strategic leadership through positivity and inclusivity. When she introduced the “Performance with Purpose” initiative, aiming to align profitability with sustainability and health-conscious products, she faced internal resistance. However, her consistent tone of optimism, backed by clear communication and stakeholder engagement, helped shift corporate culture. Under her leadership, PepsiCo diversified its product portfolio and improved its environmental footprint, all while maintaining strong financial performance.
These examples reinforce a central truth: leaders set the emotional and strategic tone of their organizations. A focus on negativity breeds risk aversion, stifles innovation, and erodes morale. Conversely, a tone of positivity fosters resilience, encourages solution-oriented thinking, and energizes teams. Leaders who emphasize opportunities over obstacles, strengths over threats, and vision over fear create environments where strategy can thrive.
Effective strategy implementation hinges not only on sound planning but also on the tone set by leadership. Leaders influence organizational culture, shape attitudes toward risk, and determine whether teams focus on possibilities or obstacles. The articles provided illustrate how leadership tone can either catalyze growth or stifle innovation, depending on whether it is rooted in positivity or negativity.
Dr. Weru Mwangi is the CEO & Lead Consultant at Ultimate Management Solutions, a firm specializing in Training and Consulting in Finance, Risk Management, Strategy, Governance and Leadership Development. He can be contacted on werum@umslgroup.com or +254 788 858570, 722 858570.
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