Jason M. Lemkin explains how the CEO role differs from management: you answer to a board instead of one boss, and that board may expect you to find your own replacement. He uses the three-people-and-elephant metaphor to show why different stakeholders see competition differently, each partially right but incomplete.
Chapters
CEO is a funny job, right? Many of us, I mean, in some ways it helps if you founded a company young and you didn't have 15 years of corporate experience working for a boss. Because if you do, if you've spent your time kind of climbing the corporate ladder, one day you're CEO and you don't have a boss anymore, right? It's not a manager-employee relationship, right? First you're working for a committee, not a person, and second, if you ever went to that committee going, gosh, I wonder what we should do next quarter, right, they would look at you and say, I think you should help us find a new CEO, right? 'Cause you're supposed to know what we're supposed to do next quarter, right? Your job is to run the company. So it is not a manager-employee relationship, and managing that is difficult. The fourth issue is to what extent should I worry about competition? This is actually, I think, the most subtle question, because it evokes a lot of very passionate answers, all of which to me are partially informed. Reminds me of the story of the 3 people and the elephant. Person grabbing leg thinks it's a tree, person grabbing the tail thinks it's a rope, and everyone's very passionate about their conclusion, but they're all only seeing part of the picture.