Book Review: Derailed. Does Character Really Trump Competence?

Derailed by Tim Irwin takes a look at 6 extraordinarily talented CEOs who experienced “catastrophic failures of leadership.”  It looks at the causes of those failures, the process of derailment, and then provides guidance on how to develop the character and systems to avoid the same mistakes.

For all 6 CEOs – Robert Nardelli, Carly Fiorina, Durk Jager, Stephen Heyer, Frank Raines, and Dick Fuld – the failure had nothing to do with competence.  All 6 leaders failed because of character flaws – not in the sense of ethical failures, but four specific character areas they were lacking.

These four areas, which Irwin says can prevent a similar derailment if developed, are:

• Authenticity
• Self-management
• Humility
• Courage

Favorite quotes from the book:

• Greatness does not result from competence only; it flows from an inspired workforce who trusts the character of its leader. (p35)
• We always become who we are… what’s inside tends to come out. (p100)
• EQ (emotional intelligence) counts for 80-90 percent of the factors that distinguish average from outstanding leaders. (p125)
• Self-aware individuals pay attention to their emotions without being ruled by them. (p126)
• It takes humility to recognize the need for teamwork. (p136)
• Character trumps competence. (p160)
• You cannot become fully aware when your own thoughts and feelings are the sole source of input. (p180)
• Perhaps the most important contributor to resilience is clarity of purpose. (p191)

Personal Thoughts

In general, I tend to evaluate people – including myself – primarily in terms of intelligence and competency.  That’s usually what jumps out at us first.  Plus it’s easier to evaluate.  Irwin’s claims that “character trumps competence” and “emotional intelligence counts for 80-90 percent of the factors that distinguish average from outstanding leaders” stand in direct contrast to that.

Does character really trump competence?

Clearly to be a great leader, you need both.  But I think as you reach higher levels of leadership you find that just about everyone is very competent and character becomes a bigger differentiator.

So, if I believe character trumps competence, am I doing as much to develop my character as I am to grow my knowledge and skills?

I am intentional about doing things to develop my character, but when it comes to getting better at my job my instinct is still to focus on gaining knowledge and improving skills.

Fortunately, the book provides a lot of great suggestions for how to develop one’s character in the areas of authenticity, self-management, humility and courage.  Those action steps are not just for CEOs either, anyone can benefit by doing them.

What do you think?  Does character trump competence?  If so, are you doing as much to develop your character as your competence?  What are those things?