Seth Yakatan

Raising & Selling 📈 $1B+ Raised 💰 22 Companies Sold 🤝

Are you struggling to communicate your vision to the capital gatekeepers?

Are you exploring selling your business but don’t know anything about:
✘ Due diligence
✘ Term sheets
✘ Earnouts

Friend, you're lucky you found me...

I'm Seth Yakatan.

I have 30-odd years experience as a corporate finance professional.

My specialties are:
💰 Raising money
🤝 Selling companies

And I’m f**king good at it.

I’ve raised over $1B and sold 22 businesses.

My career has mostly been supporting small-cap and major corporations seeking capital to grow, or
to find strategic acquirers.

Most of these companies are in: 
— biotech
— cannabis
— pharmaceuticals
— DTC consumer goods

I’ve been on boards, taken companies public, gone up against multinational corporations, raised from VC and PE funds.

All of it. 
Many times over.
Whatever your problem is, I’ve seen it before.

But let me level with you:

What I REALLY love is helping people to get to the finish line.

Talking to entrepreneurs excites me.

But in my experience, entrepreneurs are mostly s**t at raising capital and selling companies.

** They just don’t understand investors **

And that’s where I come in.

Together, we workshop: 
✔ Your pitch
✔ Your deck
✔ Your strategy 

And help you raise the capital to GROW and SELL your business.

If you need this help—and almost every business does—send me a DM.

Like, now.

Don't lose another potential investor or acquirer with the wrong pitch.

Seth ✌️

Co-Founder

Merchant Bank / Advisory / Family Office

While politicians are arguing about hemp, Kratom is being sold as a “natural wellness supplement.”

But let’s STOP pretending.

This is NOT chamomile tea.

This is NOT “plant-based stress relief.”

This is an unregulated opioid analogue with street-corner quality control.

And it’s ending up in gas stations, smoke shops, and TikTok “self-care” feeds.


>> Whats Happening?

Kratom is being sold everywhere with little to no restrictions.

And, IMO, it is DANGEROUS.

It contains mitragynine and 7-hydroxymitragynine, compounds that we know:

→ Bind to mu-opioid receptors
→ Produce opioid-like euphoria and sedation

And it creates tolerance and withdrawal patterns basically indistinguishable from low-grade opioid dependence.

California’s Department of Public Health just issued a formal advisory (NR25-016) warning that:

Kratom products are ILLEGAL to manufacture and sell in the state.

Claims about pain, anxiety, or withdrawal treatment are unproven.

And that multiple fatal overdoses have already been linked to kratom in Los Angeles County

This is not “maybe dangerous.”…this is DOCUMENTED harm.


>> Why This Matters?

OxyContin addiction didn’t start because people wanted to get high.

It started because people were in pain, desperate & were told something was safe and “less addictive.”

We have seen this movie before and I know exactly how it plays out.

Kratom is unregulated, inconsistently dosed and frequently adulterated.

And marketed using the same language pattern that launched the opioid epidemic:

“Natural”, “Safer than pharmaceuticals”, “Helps with withdrawal”

The result is people self-dosing their way straight into dependency.

Not because they’re reckless.

But because the product is designed to look harmless.

And the supply chain knows exactly what it’s doing....


>> What Am I Watching?

The pattern is repeating: 

Normalization via wellness marketing (“It’s just a plant.”)

Distribution concentrated in deregulated retail (Vape shops, convenience stores, social media DMs.)

Dependence masked as “daily routine" (Users don’t realize they’re sick until they stop.)

Regulators reacting only after deaths accumulate.

If we wait for “more data,” we are doing nothing more than running the Purdue Pharma playbook in slow motion.

This is not a supplement it’s an unregulated opioid with branding.

Kratom should not be sold.
Kratom should not be normalized.
Kratom should not be framed as “self-care.”
Kratom should be STOPPED.

When you want to push the boundary, what do you do?

TRY HARDER.
 
So I am honored to announce my latest collaboration with Fat Nugs Magazine x Seth Yakatan: A New Live Industry Series

>>> WHAT ?
I'm teaming up with Fat Nugs Magazine to launch a brand-new live discussion series spotlighting cannabis products and brands. 
 
And to start we're tackling pre-rolls - a category whose growth cannot be denied.

>>> WHO ?
Andrew Wells
Cesar Angobaldo
Courtney Zalewski
Fernando Bent-Mullings
Mei-Ling Campbell
Timeka Drew
Catherine Sidman
Luna Stower, MAT, CG ✨

>>> WHEN ? 

The series kicks off with its first episode Thursday, November 20th at 11AM EST/ 8AM PST.

FNM Presents: Voices of the Plant w/ Seth Yakatan
Preroll Edition 
Business. Culture. Community.

 
Sign up here: https://lnkd.in/geV4jVmy 

& MARK YOU CALENDARS for Thursday, November 20th at 11AM EST/ 8AM PST.

You want your 15 minutes of fame?

Then find me and my man Lance C. Lambert ✓ in VEGAS....

My friends at Fat Nugs Magazine have made the questionable decision of giving me a camera and a microphone (LOOK OUT!!!)

Fat Nugs Magazine  x PufCreativ event, Light Up Las Vegas, is going to be 🔥 

Me + Lance, badass activations, the food, infused beverages, live art, live music from John Shute's band, Bubala, the Faces of Cannabis, and I GOT A MIC!!!

Fat Nugs Magazine
John Shute, MBA
PufCreativ

Well folks, I have to admit that I was WRONG… I know, SHOCKER 😱

About 3 months ago I put up a post on AYR Wellness.

I said RIP…

But suddenly, AYR has come back from the dead…

Last week AYR Wellness Inc. announced that it was going to initiate CCAA proceedings. 


>> What's Happening?

On November 17, core assets of AYR’s subsidiaries will be transitioned to a newly formed acquisition vehicle (NewCo) owned by certain AYR senior note holders.

Basically this means that the lenders are going to run the company to try to get a recovery.

This is the same thing we’ve seen with several other companies…


>> Why is it Relevant?

1. Note trend
2. See #1

Just another case of investors taking the keys and trying to operate…


>> What Am I Watching?

This is about the fourth version of this flavor, will see if it tastes any different.

This industry has now become an SOP for the ‘equitization of debt and operate’ strategy…

Grabbing popcorn….

Hit the Debt Wall Jokes in the comments please.

Getting pumped for earnings season ???

WELL I AM...

Talking about Q2 a while back with the squad from 

The Dales Report

How do you think that that Q3 is going to look ???

Hit me in the Comments....

and thank you Shadd Dales + Anthony Varrell

BIG SCANDAL in NY this past month…

Omnium Health just found out the hard way that renting your license isn’t the same as running a business.


>> What’s Happening?

NY state says Omnium was renting out warehouse space to unlicensed operators and then moving products through its own distribution channels.

The regulators are moving to yank Omnium Health’s permits and hit them with 7-figure fines, and recall $10M worth of product.


>> Why is This Important?

This is the first major enforcement under the state’s new crackdown.

It signals a shift from “we’re building the market” to “we’re cleaning it up.”

And now the fallout is real:

Multi-million dollar recall.
Permanent ban on participation.
Dozens of brands hurt.


>> What Am I Watching?

I have called out that New York’s cannabis roll out experiment has been chaos from DAY ONE.

Slow licensing, illegal stores on every block, and bureaucrats chasing their tails.

But this move finally shows they’re willing to go after the suits, not just the bodegas.

It’s a warning shot.

Maybe, just maybe New York will clean up its act?

You enjoy your freedom ?

Then thank a VETERAN...

I am honored that members of my family have proudly served to ensure that my butt can. go get a burger fries and a coke...

Lets give it up for a REAL AMERICAN HERO...

Evan Hunt

Evan is a:

— Decorated 20-year veteran and combat aviator
— Community and business leader
— Texas family man
and has NO AGENDA other than his SERVICE !

He's running for U.S. Congress in Texas as a Democrat. 

He's taking on MAGA extremism and wants to recapture the House in 2026.

You can donate to help his cause here: https://lnkd.in/gQana6Wu

Who keeps me bullish?

Wyld & Aaron Morris

In ANY other industry, THAT'S A ROLL-UP PLATFORM.

General Catalyst (CALL ME)

Thanks to the gents From the Weeds to the Clouds - Michael Krefman + Michael Peterson

Do you have a functioning company?

i.e. Are you generating CASH FLOW??

Then consider yourself SUCCESSFUL, because you are in the MINORITY
in c@nnabis.

So what advice do I give you....???

Well with 5 companies over $150M in revenue in receivership...

1. STAY IN IT
2. STAY IN IT
3. STAY IN IT!!!

And thanks to my friend Scott Greiper for moderating a great panel....

The 5 Stages of Grief: Cannabis Edition


Stage 1: Denial

For everyone: The initial shock and disbelief that loss has occurred, acting as a buffer against overwhelming emotions.

For us: The initial shock that prices are NOT going to stay high forever and act as a buffer against the mountain of debt raised.


Stage 2: Anger

For everyone: A natural reaction to loss, where one may feel frustration, resentment, or rage at the situation.

For us: Manifests in yelling at A/R collections, city counsel meetings, boardrooms, or in the comments on LinkedIn.


Stage 3: Bargaining

For everyone: Negotiate with fate or a higher power to undo the loss, often involving phrases like "If only..." or "What if...".

For us: “Well I can just SELL the license, not pay taxes, not pay suppliers, vendors, employees or investors and get my creditors to amend and extend, plus FEDERAL HAS TO come soon, right??”


Stage 4: Depression

For everyone: Feelings of sadness, despair, and hopelessness set in as the reality of the loss becomes clearer.

For us: This market SUCKS, this industry SUCKS, these people SUCK, this government SUCKS. 


Stage 5: Acceptance

For everyone: Reach a point where the loss is acknowledged and understood, and one begins to adapt to the new reality.

For us: Lower prices, market volatility, hope for “catalysts” and a maybe we never get a Federal “save”.

Plus, all this s**t I’m eating is making my stomach stronger!

Did this resonate with anyone??

Hit those comments.

Want to see me in a SUIT???

Well if you are Inside the Beltway today there is a CHANCE...

You'll find me in my clown suit, all dressed up for my crew at IgniteIt Cannabis.

See you today in the District for my photo opp.

Use my link and get in at a discount: https://lnkd.in/e45zHKrW

I Failed As An Odds Maker
And almost got run out of Vegas as a result !!!

What I Thought ??? 
I used to believe I could predict things. 
I thought outcomes were logical: 
Markets mature THEN prices stabilize 
Regulators see tax revenue AND regulation eases 
Consumers migrate to legal markets WHILE illicit fades 
Capital flows to efficiency LETTING good operators win 
None of that happened.

What I Learned ??? 
Regulation became politics: NOT economics 
Taxation became punishment: NOT policy 
Consumers followed availability: NOT governance 
And capital flowed to the loudest or biggest: NOT the best
So, I tried to be an odds maker and failed..

What Did I Learn ??? 
The cannabis and hemp space is not a market it's a game of unlocks: 
Access unlocks: Who can sell where 
Distribution unlocks: Who gets shelf space 
On-Premise unlocks: Who gets to shape consumer behavior 
Regulatory unlocks: Which side of the line you operate on

The people who win are not the ones with the best products
They're the ones with the best positioning when the unlock happens
I wasn’t wrong about the demand…I was wrong about the sequencing

So I failed as an odds maker, and changed my lens 

I stopped predicting when something will change 
I started positioning for what happens when it does 

I don’t need to guess the date Congress wakes up 
I just need to be on the board when they do
You don’t have to be an oddsmaker… 
You just have to be aligned when the unlock hits. 
And that’s a game I like my odds in.

Today I give THANKS...

That I am not a Turkey...although some of you might beg to differ....

Thats it...

Happy Holidays !!!

And make sure you tell someone you love them today....

Here’s the big thing I learned from the hemp ban:

First, NO ONE has been louder than me about the coming “inflection.”

Well…maybe I’m the dumbest guy on the internet…

Let’s break down why:


>> The Good

The Farm Bill allowed for the ubiquitous distribution of these molecules.

Loophole/Grey Area/ Unintended consequence, I don’t care what you think about that.

Putting the MOLECULES on Main Street and in the mail was NOT the intent.

But guess what, the consumer chose….the MOLECULES. 


>> The Bad

Cannabis is demonized, marginalized and constrained.

Produce, manufacture and sell in limited silos in specific areas in selected states.

Want to purchase? Go to the crappiest part of town where they put airports, chop shops and strip clubs.

Banking? Forget it. Normalization? Sure as soon as there is a dispensary on Rodeo Drive.


>> The Ugly

Once the Farm Bill allowed for the democratization of cannabis to occur, the consumer made a clear choice.

THEY CHOSE THE MOLECULES.

In the mail, in grocery stores, in liquor stores, in big box retail.

When you put the MOLECULES in the normal consumer purchase cycle they CHOSE IT.

and then what happened? Retail adopted. 

And that SCARED THE SH$T OUTTA: 
— ALCOHOL
— BEVERAGE
— CPG
— TOBACCO
— PHARMA

End of the day whether its Hemp or THC we are talking about the same MOLECULES.

The public WANTS it. So let’s keep making that case and stay united.

When something that NEEDS to exist but doesn't, what do you do?

YOU CREATE IT.
 
So I am honored to announce my latest collaboration with Fat Nugs Magazine

A new series of LinkedIn Live sessions to educate, spotlight and discuss critical issues around PRODUCTS.

Why? 

Because Instagram is NOT a safe space and LinkedIn seems to have critical mass for OUR INDUSTY.
 
I'm teaming up with Fat Nugs Magazine to launch a brand-new live discussion series spotlighting cannabis products and brands. 

Expect we will amplify voices from every corner, deeply knowledgeable professionals to everyday consumers.

Episodes will stream across multiple platforms, giving an unfiltered look at the products, stories, and people behind them.
 
And to start we're tackling pre-rolls - a category whose growth cannot be denied.

Expect 8 panelists to break down the good, the bad, and the ugly of pre-rolls,

Panelists will also get the chance to sample prerolls LIVE, bringing real-time reactions and insights to the conversation.

This isn’t just another panel, it’s the start of an honest, wide-open dialogue about the products that define our industry.

The series kicks off with its first episode Thursday, November 20th at 11AM EST/ 8AM PST.

FNM Presents: Voices of the Plant w/ Seth Yakatan
Preroll Edition 

Business. Culture. Community.
Welcome to Voices of the Plant - the new Fat Nugs Magazine LinkedIn Live series that brings real conversations from the heart of cannabis.
 
Sign up here: https://bit.ly/3LpTDXd

& MARK YOU CALENDARS for Thursday, November 20th at 11AM EST/ 8AM PST.

You doing anything today??
 
Fat Nugs Magazine x Seth Yakatan present: The Plant Panel

We're hosting a new LinkedIn live with some of the sharpest minds working in cannabis.

Andrew Wells
Cesar Angobaldo
Courtney Zalewski
Fernando Bent-Mullings
Mei-Ling Campbell
Timeka Drew
Catherine Sidman
Luna Stower, MAT, CG ✨

TODAY: November 20th at 11AM EST/ 8AM PST.

FNM Presents: The Plant Panel w/ Seth Yakatan

Episode one is the Preroll Edition 

Business. Culture. Community.

Sign up here: https://lnkd.in/geV4jVmy

Believe it or not, I continue to hear from people that c@nnabis is NOT efficacious.

“Cannabis doesn’t really work for pain, sleep, or anxiety.”

I hear this from people who have:
— Never read a single clinical data table
— Never treated a patient
— Still think weed = teenagers + Bob Marley poster

Meanwhile, the SCIENCE is right there.


>> What’s Happening?

Recent clinical evaluations show consistent, measurable benefits:

Pain: 
→ Patients report statistically significant reductions about 0.5cm on a 10cm scale across populations. 
→ No placebo, that’s real analgesic effect at scale.

Sleep: 
→ Cannabis improves subjective sleep quality. 
→ If you’ve ever actually not slept, you know that you feel in the morning matters more than what your polysomnography printout says.

Anxiety: 
→ At appropriate dose and context, cannabinoids produce reliable anxiolytic effects, especially CBD.
→ THC requires respect and calibration yes. But to pretend it “doesn’t work” is just LAZY.

These effects are real, repeatable, clinically observed, and patient-reported across thousands of data points.

This is evidence!!!


>> Why Does This Matter?

There is a massive cultural blind spot around what counts as “meaningful efficacy.”

We are conditioned to think only in miracle outcomes:

— Erase all pain
— Cure insomnia
— Eliminate all anxiety

That’s not how real medicine works.

Real medicine is incremental improvement that accumulates into quality of life.

And cannabis delivers exactly that.


>> What Am I Watching?

The brands, operators, clinicians, and researchers who will win the next decade are the ones who:

1. Respect the evidence
2. Respect individual response and dosing
3. Position cannabis as a meaningful tool in the therapeutic toolkit
4. Communicate in clinical, human terms

Because here’s the TRUTH:

Cannabis works. It’s medicine. PERIOD.

So when someone dismisses cannabis because it’s not a miracle cure…

They’re telling you they don’t understand patients, medicine, or reality.

(and if you don’t know who is with me in the picture DO YOUR HOMEWORK)

I’m in a New York State of Mind right now.

I’ve been spending some time in the Empire State recently.

I’ve put together a few observations and suggestions…

Take them with a grain of salt.


>> Lessons From The Future

New York is currently a $1.7B market and will certainly grow.

But price compression has not yet begun to occur…

Jarred 1/8ths are amongst the highest price per gram of any legal state.

Most pure retail operators are not businesses but borderline not-for-profits.


>> Where the Pitfalls Are

Regulators in New York have already showed their hand, so HOPEFULLY they won’t continue the clown games.

A/R issues are coming, bank on it.

More brands are coming, and so is more high quality flower.

Retailers are going to feel the pinch of high rent, overbuilt stores and lack of profitability.


>> Who Can Win?

1. Those willing to study and learn from the past to avoid the inevitable future

2. Brands and those who are both entrenched and currently profitable

3. Anyone with one of the 10 RO licenses

4. Those currently there and in the lead


>> Who Can Lose? 

1. Consumers and investors

2. Anyone who is currently unprofitable - because it AIN’T gonna get easier.

3. Anyone without one of the 10 RO licenses.

4. Those eyeing the market from other states thinking it’s a gold mine...

Agree? Disagree?

Hit those comments.

So Ohio just issued a BAN on THC drinks, gummies, other hemp products…

Is this just another domino to fall in the ever changing Hemp landscape?

I’ve seen this movie before, pretty sure I now how it is going to end…

Alcohol lobby keeps making it RAIN!!


>> What’s Happening?

Ohio Gov. DeWine just dropped a 90-day ban on intoxicating hemp products — drinks, gummies, the whole lot.

The justification? Predictably it was to “protect the children…”

The reality is this is just another political move after months of legislative inaction.


>> Why It Matters?

Let’s be clear: This isn’t about safety. It’s about control.

Hemp beverages have been sitting on shelves for years — in gas stations, grocery stores, and yes, maybe even in a few PTA moms’ purses. 

But now they’re suddenly dangerous candy? Please.

What’s really happening is that regulators are scrambling because hemp is moving faster than their tax codes and licensing frameworks.

Meanwhile, the consumer is left wondering why they can buy 1.5L of vodka at Target but not a 5mg seltzer.


>> What Am I Watching?

I’m watching who profits from the pause. Follow the money and, more importantly, the LOBBYING.

Does this becomes a blueprint: ban first, regulate later? (n=2 Ohio and California?)

How do brands now pivot? On-premise and licensed retail just became the only legal outlets for 90 days.

I hate watching growth and innovation get punished for outpacing bureaucracy.

And Ohio just told every hemp company: “Thanks for the R&D, we’ll take it from here.”

So your cannabis company “got international distribution?”

Well….let’s look a little more closely here shall we:


THE REASON PEOPLE ARE RUNNING OVERSEAS

Domestic cannabis margins are garbage right now.

Wholesale prices down 40–70% in key markets in 24 months.

Effective tax rates north of 60% because 280E is the IRS’s medieval torture device.

45%+ of “multi-state operators” are over-levered and drowning in debt like college kids with their student loans.

So everyone says the same thing:

“We’ll just go international. Less competition. More upside. Cleaner markets.”

Yes. But also NO.

International IS an opportunity… it’s just not the one you think it is.


THE ACTUAL RISKS (THESE ARE NOT THEORIES)

Currency risk
— Mexico, Colombia, Israel, Thailand have all experienced 5–35% currency swings in the last 18 months. Your “15% margin” becomes a rounding error.

Political volatility
— Governments change & cannabis policy gets rewritten in the hallway on the way to the vote.

No brand memory
— Your U.S. brand means nothing to a consumer who has never seen THC sold legally… ever.

Supply Chain Reality
— “We have a distributor” ≠ you have distribution. You have a person with a PDF and enthusiasm. Ask anyone who has done cross-border THC/GMP transport.
The paperwork alone can send a grown adult into silent prayer.


SO WHEN DOES INTERNATIONAL WORK?

When you stop trying to export identity and start importing infrastructure.

The winners will be the ones who:

1. Partner with local operators who already own distribution
2. Don’t show up loud but show up boring
3. Aren’t dependent on the U.S. capital mood swings
4. Understand on-premise unlocks will take years, not quarters
5. Oh and you know…have a grown-up strategy!


WHEN DOES IT FAIL?

When you think: “We found a supplier and a buyer… we’re global now.”

No, you’re not.

You just created a customs liability and a future LinkedIn apology tour.

I am bullish on international markets. 

There is real opportunity.

But don’t confuse “different” risk with “less” risk.

International is not your lifeboat.

It’s a rope bridge in a windstorm.

Still walkable.

Just don’t do cartwheels on it….

Lead In 30

Co-founder of Lead In 30 - the future of leadership development. Organizations use Lead In 30 as the new way to train and develop leaders.

Lone Rock Consulting

We help senior executives teams get aligned and accelerate achieving Key Results. Honored to work with leaders of some of the biggest companies in the world.

Senior Partner, Co-Founder

CULTURE PARTNERS 

Was senior partner and worked with senior executives of Amazon, Lockheed Martin, General Motors, Cigna, HCA, Hormel, and other companies in 14 countries.

Senior Partner

Spectrum Association Management

Was on the senior leadership team of a market disruptor called Spectrum Association Management based in Texas. Helped transition the company from being a Hill family-owned startup to a corporation managing more than 900 communities. 

This experience was basic training in building process to drive scale and customer experience design to drive growth. Was quite the ride!

Vice President of Growth

Bonneville International

I worked as an executive for a national broadcast company during the final glory days of traditional media. We purchased underperforming media brands in top 50 markets and my role ultimately became to help turn them around. 

This is where I began learning the importance of culture management. How do you turn underperformers into revenue and ratings leaders in less than three years? I discovered you have to change the culture.

Vice President of Operations

KSL Media

Worked as a reporter and anchor, and then led news and sports teams at KSL Media. Covered news events ranging from a tsunami in Indonesia that killed 250,000 people to Olympic Games to Elizabeth Smart's disappearance and remarkable return.

Director of News, Programming, and Reporter/Anchor

KTSA Radio

Was general assignment reporter for KTSA Radio.  Covered everything from the LA riots following the Rodney King verdict to the lunch time massacre in Killeen to the daily news events in San Antonio. Ok, those were the BIG stories. Let's be honest - I was usually reporting on house fires and car chases.

News Reporter

Cofounder of Lead In 30 • Upgrade your leaders • Human resources and leadership development

It was one of the most memorable moments of my career. I was standing in the front of the room finishing a meeting with the top 200 leaders of a large hospital system in the DC area. I handed the microphone to the CEO to close us out. What he said shocked me and has stuck with me for years. After hours of discussion about the culture of his organization of 18,000 people that day he ended the meeting looking into the eyes of his top 200 and saying into the microphone, "I have come to an inconvenient and disgusting conclusion that I am the problem."

That's a direct quote.

He was gone less than two months later. 

He left.

For almost a decade I've traveled the world meeting with leaders of some of the world's biggest companies. Amazon, Walmart, Lockheed Martin, General Motors, Johnson & Johnson, Cigna, Hormel, BD, Darden Restaurants, Fox, and HCA to name a few. I've averaged 165 flights a year. New York, London, Singapore, Sydney, New Zealand, and a lot of less notable locales have been stops along the way.

Here's what I've learned...

Leaders make or break an organization.

They are the competitive advantage.

Or the anchor sinking the ship.

One leader can change everything. Positively or negatively.

After years of consulting senior executives on their company-wide culture transformation projects I'm now spending all of my time with a smaller group of leaders. Call them executive coaching clients or whatever you want. They are leaders of teams, divisions, business areas, or enterprises that aren't yet who they want to become.

We help successful executives grow their careers through strengthening their leadership effectiveness.

That's the phrase we wrote as we founded our firm.

Perhaps you're that leader who could benefit from our questions, perspective, and proprietary models. Or maybe you know that leader.  

DM me. 

I'd love to chat. 🎯

Russ Hill

Jim Farley didn’t panic. He built urgency without chaos. That’s why Ford beat the clock on EVs. In 2020, Farley took over a Ford that was years behind Tesla...

Deadlines loomed. Pressure was mounting. 
But instead of demanding all-nighters and pushing heroics, Farley made a counterintuitive move:

He gave teams six-week decision windows.
If an experiment failed in week 3, they pivoted in week 4, not in the next quarter.

He publicly celebrated a team that killed its own initiative after the data didn’t hold up.

The message?
“We’re not chasing perfection. We’re chasing fast learning.”

During critical sprints, Farley held daily standups; not to pressure, but to unblock.

Because urgency doesn’t mean chaos. 
It means removing drag.

It means more communication, not silence.
It means more clarity, not more fear.

And it worked:
- The Mustang Mach-E shipped in under 3 years
- Smart risks replaced politics
- Teams stayed engaged without burning out

Urgency sharpens focus. Panic narrows it.

If your team is spiraling under pressure, ask yourself:
- Are we building urgency or just spreading fear?
- Are we removing blockers or just piling on noise?
- Are we pushing clarity or defaulting to chaos?

Want more leadership insights?
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Cofounder of Lone Rock Leadership • Upgrade your managers • Human resources and leadership development

No alternative text description for this image

Michelle Gass joined Levi's as incoming CEO in 2020 and walked into a culture of paralysis. The teams weren't lazy. They weren't incompetent. They were terrified. Here's what happened:

Years of cost-cutting and operational tightening had created an invisible rule: don't risk anything. Don't try anything new. Don't be the person who fails.

So they didn't.

Product launches slowed. Innovation stalled. Meanwhile, competitors were moving fast, and Levi's - a 170-year-old icon - was at risk of becoming irrelevant.

Most CEOs would double down. Push harder. Set aggressive targets. Demand more output.

Gass did the opposite.
She launched what she called "permission to play" sessions.

Here's how they worked: Cross-functional teams got 90 days to test ideas that normally would have required 6 months of approvals. No business case required upfront. No punishment for failure. Just experiment, learn, iterate.

The only rule? Share what you learned, whether it worked or not.

Within 6 months, the results were undeniable. A digital-first denim line launched in half the normal time. Sustainable fabric experiments that would have been "too risky" became real products. Store teams tested customer experience changes that increased conversion by 12%.

The breakthrough wasn't the specific ideas. It was then that people started moving again.

Here's what most leaders miss: Movement isn't motion.

Motion is activity. Meetings, emails, busy work. Movement is progress toward what matters.

And movement happens when you remove the friction, not add more pressure.

I see this constantly when coaching executives. A director will tell me their team is "being thorough" or "doing their due diligence."

But when I dig deeper, the pattern is clear: people are stalling because they're afraid of being wrong.

Watch for these signals that fear is blocking your team:

They ask for "one more analysis" when they already have the answer. They schedule meetings to prepare for meetings. They wait for perfect information that will never come.

Contrast that with teams where fear has been removed: They make decisions with 70% of the information. They test small, fail fast, and adjust. They self-correct instead of waiting for permission.

They move.

The difference isn't capability. It's psychological safety.

This is exactly what we address in Lead In 30. We give leaders a systematic process to identify what's blocking movement, remove the friction, and create the clarity teams need to act without fear.

If your team has the talent but lacks the movement, let's talk.

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Lead with impact.

When Josh Silverman took over Etsy in 2017, teams were working 60-hour weeks, going nowhere. He made ONE radical decision that changed everything. Here's how he transformed chaos into clarity:

Most leaders think more direction means better results. They add initiatives, create new priorities, and launch fresh campaigns. 

But here's what actually happens: teams freeze. 
When everything's important, nothing's important.

Silverman inherited exactly this problem.

The company was drowning. Not in debt or bad products, but in priorities. Over 50 competing initiatives, each with its own champion, its own meetings, its own urgency.

Nobody could tell you what Etsy's actual strategy was. Ask five different employees and you'd get five different answers.

Silverman's approach was surgical.

He didn't ask teams to prioritize their own work. That's how you get 50 initiatives in the first place. Instead, he identified the 3-4 metrics that would actually move Etsy's business: seller growth, buyer engagement, revenue per customer, and platform stability.

Then he did something radical: he killed everything else. Not paused. Killed.

Product features that teams had spent months building? Scrapped if they didn't tie to one of those four goals. Marketing campaigns? Cut if they couldn't demonstrate impact on the core metrics.

The reaction was predictable. Outrage, resistance, and fear that critical work would fall through the cracks.

But here's what happened: within 90 days, teams stopped asking "What should I work on?" and started asking "Which of our four goals does this impact most?"

The energy didn't change. The direction did.

Etsy's stock price increased significantly within a year. But the real shift happened internally. Teams moved faster, made better decisions, and actually knew if they were winning or losing.

This is the Clarity Paradox: the more you add, the less people understand. When clarity is absent, the void fills with assumption. Teams make up their own priorities, pursue their own definitions of success, and wonder why leadership seems disappointed.

The 3rd Leader framework starts exactly where Silverman did: with clarity. 

Not the kind of clarity that lives in strategy decks, but the kind that changes how teams make decisions every single day. 

Then it creates the alignment that prevents people from working at cross-purposes. Finally, it generates the movement that actually changes outcomes.

If you're leading a team that feels busy but not effective, working hard but not making progress, the issue probably isn't effort. It's clarity.

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Jim Sinegal built Costco into a $400B giant. But the secret wasn’t strategy; it was something deeper. One principle, repeated for 40 years, made all the difference...

Before launching Costco in 1983, Jim Sinegal spent 30 years learning retail under Sol Price at FedMart.

What he learned wasn’t a tactic. 
It was a philosophy:

Charge members, not markup.
Offer deep discounts.
Pay employees better than anyone else.

Most leaders publish values on a slide deck once a year.
Sinegal lived his - every day, for decades.

When he and Jeff Brotman founded Costco, those principles weren’t negotiable. They were the operating system.

Fair wages. Low margins. Member value first.

Even after stepping down in 2011, Sinegal still showed up every Tuesday at HQ.
Same desk. Same routine. Same values.

He’s 89. And still there.
Not for nostalgia, for consistency.

That consistency built culture.
That culture built trust.

And trust built a $400B company with an $86B private label brand (Kirkland).

No gimmicks. No pivots. No quarterly reinventions.
Just one message, lived relentlessly for 40+ years.

That’s what The 3rd Leader framework is all about:
Clarity → Alignment → Movement.

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When Carol Tomé became CEO of UPS in 2020, the company was drowning in complexity. Thousands of processes. Endless meetings. Here's how she turned it around with one simple mantra:

She inherited a company running on autopilot toward mediocrity.

Package delivery drivers followed 23 different standard operating procedures. Middle managers spent 60% of their time in meetings about meetings. A simple pricing decision required 14 approval layers.

The company wasn't failing. It was suffocating under its own weight.
Tomé didn't start with a big announcement or a flashy restructuring plan. She started with questions.

Which of these 23 procedures actually prevent errors? Which meetings drive decisions versus consume time? Which approval layers add insight versus just delay?

The answers were uncomfortable.

Most processes existed because they'd always existed. Most meetings happened because they were on the calendar. Most approval layers were vestiges of leaders who'd long since moved on.

So Tomé introduced one mantra: "Better, not bigger."

Then she cut. Not randomly. Systematically.

She eliminated initiatives that created confusion without driving results. She simplified processes that buried frontline teams in unnecessary detail. She gave teams clearer guidance, not more guidance.

The distinction matters more than most leaders realize.

Your brain craves simplicity. Too much detail doesn't create clarity, it collapses it. When you pile on processes and initiatives, you're not helping your team execute. You're paralyzing them.

Within 18 months, UPS reported its strongest operating margins in over a decade. Customer satisfaction scores rose 12%. Employee engagement jumped 15%.

But the most telling metric? Decision velocity increased 3x. 
The company could move.

Complexity kills execution. Simplicity scales it.

If you want to apply this in your organization, start by asking three questions:

Which processes confuse your team more than help them? Which initiatives exist without clear ownership or measurable impact? Where are you adding when you should be subtracting?

This is the foundation of effective leadership. Clarity doesn't come from adding more strategy. It comes from ruthlessly eliminating what doesn't serve the mission.

In my work with leaders at Amazon, Walmart, and hundreds of other organizations, the ones who transform performance master this skill. They use frameworks that force simplification, not complexity.

You'll find this and more frameworks in my latest book: Deliver: Why Some Leaders Get Results, and Most Don't. Available now at https://lnkd.in/eaiPFZhw.

You can dive more into creating clarity by cutting the noise so teams can focus on what actually moves the business forward.

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Lead with impact.

You announce a major change. The team resists. It looks like defiance, but it’s something else entirely...

Most leaders think resistance means disagreement.
It doesn’t. It means threat detection.

You’ve spent weeks crafting airtight logic - slides, data, strategy - to explain why your change makes sense.

You present it.

And instead of buy-in, you get silence... skepticism... subtle foot-dragging.
So you double down: more presentations, more rationale, more logic.

But here’s what your team is actually thinking:
- “Do I still matter?”
- “Do I have the skills for this future?”
- “What if I fail?”

You’re speaking strategy.
They’re experiencing survival.

That’s exactly what Arvind Krishna faced when he pivoted IBM into hybrid cloud in 2020.

His senior engineers - lifers in the mainframe era - pushed back.
Not because they disagreed.
Because their careers suddenly felt fragile.

Krishna didn’t counter with more logic.
He did something smarter: he made it safe to feel uncertain.

He held open office hours.
Engineers were blunt:
“I’m not sure I have the skills for this world.”

He didn’t sugarcoat. He validated:
“You’re right to feel that way. This is a shift. Let’s bridge it together.”

And resistance began to dissolve.
That’s what real leadership looks like.

Here’s the shift to make:

- Stop assuming silence is agreement.
- Stop seeing resistance as defiance.
- Start seeing it as an emotional signal.

Before explaining what’s changing, acknowledge what that change might threaten.

Try this:
“Some of you might be wondering if your skills still matter. That’s a legitimate concern. Let’s talk about it.”

Then pause. Really pause. Let people speak.
And when they do - don’t correct their fear. Name it. Normalize it.

Why this matters:

✔️ Most change efforts fail because emotional resistance goes unacknowledged.
✔️ Teams don’t fear strategy. They fear irrelevance.
✔️ Safe teams adapt. Unsafe teams stall.

If you’re announcing change and facing resistance, you don’t need a new strategy. You need a new leadership lens.

That sequence is at the heart of my new book Deliver: Why Some Leaders Get Results and Most Don’t.

It explains why the fastest teams are not the most talented, they are the most trusted. We’re letting a limited group preview it before the November 10 release.

Read the PDF, leave an honest Amazon review, and we’ll send you two signed copies as a thank you.

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In 2016, a power outage grounded 2,000+ Delta flights overnight. Ed Bastian had one choice: hide or own it. Here's what he did that turned the crisis into Delta's defining cultural moment:

Most Fortune 500 CEOs follow the same crisis playbook.

Let PR craft the perfect statement. Blame the technology vendor. Promise to "investigate thoroughly." Then disappear until the news cycle moves on.

Bastian did the opposite.

Within hours of the outage, he recorded a video from his phone. No script. No teleprompter. Just him, looking directly into the camera, taking full responsibility for the failure.

Then he announced immediate compensation for every affected traveler before the crisis was even resolved.

Wall Street analysts predicted massive reputational damage. Instead, the response became a masterclass in crisis leadership.

What made Bastian's approach culturally transformative wasn't just what he did. It's what he refused to do.

He refused to let lawyers and PR teams sanitize his message. That directness signaled to every Delta employee: when we fail, we own it immediately. No committees. No blame-shifting. No waiting for perfect information.

He refused to use passive corporate language. "We're investigating" is what legal teams write. Taking direct responsibility is what real leaders do. That choice told employees their leaders would model the same accountability expected from frontline staff.

He refused to wait until the full cost was calculated before offering compensation. The decision came fast, even though they didn't know the financial impact. That bias toward action over analysis became a cultural permission slip: when customers are hurting, we move first and worry about spreadsheets later.

This is how singular moments become cultural inflection points.

Most managers won't face a crisis this public. But you'll face your moment where your team watches to see if your values are real or just wall art.

That moment is coming faster than you think.

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Doug McMillon saw it before anyone else. Walmart's supply chain was a sleeping liability. No crisis yet, but fragility everywhere. So he did what most CEOs don’t:

He built the fix before the fire.
Years before COVID disruptions, he invested heavily in automation, real-time inventory systems, and predictive logistics.

No media coverage. No quarterly boost. Just quiet prevention.
Then the storm hit.

In 2021–2022, Target struggled with stockouts. Amazon missed delivery windows.

Walmart? They kept shelves full and trucks moving.
That’s the power of preventative leadership.

But here’s the problem:
Most companies don’t reward prevention.

They reward the hero who pulls the all-nighter, not the planner who avoided the crisis.

They promote the manager who “handles escalations well,” not the one who has none.

They praise the engineer who patches the outage, not the one who built the alert that caught it two weeks earlier.

This is how firefighting cultures form.

The real work of prevention is invisible:
Planning buffers before they’re needed
Investing in root cause fixes, not surface wins
Creating systems that scale sanity

The best leaders don’t just ask:
“What happened?”
They ask:
“What system let this happen?”

You’ll know you’re rewarding the wrong behaviors when:
- Planning meetings keep getting canceled for “urgent issues”
- Employees stay late to fix recurring bugs, and get applauded
- The phrase “We got lucky” shows up in every postmortem.

Prevention isn’t flashy.
It doesn’t make headlines.
But it makes history.

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Emma Walmsley didn’t bluff her way through a crisis. She told her team and investors exactly what GSK had failed at and what she didn’t know yet. The result? 

Trust surged, top talent returned, and innovation restarted.
Most leaders think saying “I don’t know” will cost them respect.

The opposite is true. 
Admitting uncertainty builds more credibility than faking confidence ever will.

When Emma Walmsley became CEO of GlaxoSmithKline in 2017, the company was struggling.

Its R&D pipeline had stalled. Top scientists were leaving.
Analysts questioned whether GSK could compete in modern pharmaceuticals.

Walmsley did something most executives avoid: she told the truth.

In her first earnings call, she told analysts that GSK had "failed to invest appropriately in innovation.”
No predecessor would’ve used that language. No spin. No deflection.

Then she went further.
She told her top 20 leaders she didn’t have the answers and asked them to redesign R&D from scratch.

That honesty unlocked what years of PR couldn’t:
• Research partnerships with 3 top universities that had previously refused to engage
• A 34-point jump in internal trust within 18 months
• Re-engagement from scientists who had stopped taking GSK’s calls

Why did this work?
Because your team already knows when you're bluffing.

The VP who spends 45 minutes defending shaky market projections doesn’t protect his credibility.

He destroys it. 
His team walks away executing on targets no one believes in.

Most leaders default to false certainty because we’re trained to believe authority means having the answers.

But what your team needs isn’t omniscience.
It’s clarity on what you know, what you don’t, and how you’ll solve it, together.

Here’s a simple 3-part framework:
- Say what you know, with specifics.
- Name what you don’t, without hedging.
- Propose how you’ll figure it out, using the team’s intelligence.

The skill is knowing when to lean into transparency and when to project steadiness.

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Tony Hsieh eliminated all managers at Zappos to fix bureaucracy. 260 employees immediately quit. Here's why consensus-driven leadership destroys companies just as fast as founder mode:

Tony built Zappos into a billion-dollar company by trusting employees completely. Customer service reps could spend $2,000 solving problems without asking permission. The culture was legendary.

Then bureaucracy crept in. One resignation letter changed everything.

In 2013, Tony got a resignation letter that shattered his vision. This wasn't just any employee complaining - this was someone who embodied everything Zappos stood for. 

Someone who had lived the culture and was now walking away because the very thing Tony thought he'd eliminated had returned: soul-crushing corporate bureaucracy.

He introduced holacracy - self-organizing teams, no bosses, distributed decision-making. Pure democracy. The business press celebrated it. Employee engagement scores initially hit all-time highs. People felt energized by the radical experiment.

Then reality hit.

Simple decisions that took minutes now required multiple team consultations. A website change that should have taken days needed 6 months and 3 circle consultations. By the time teams reached consensus, competitors had shipped similar features months earlier.

Projects stalled as teams struggled to figure out who had the authority to decide anything. Customer service scores dropped because representatives became unclear about their power to solve problems.  

Employees spent more time talking about work than actually working.

By 2015, Tony issued an ultimatum: commit to holacracy or leave with generous severance. Around 260 people - roughly 18% of the workforce - walked out the door.

While Tony was drowning in democratic discussion, Reed Hastings at Netflix was proving the opposite approach worked.

Reed didn't eliminate hierarchy - he weaponized it. "We're not a family. We're a team," he told employees.

Just clarity and accountability. When someone wasn't performing, they got generous severance. When decisions needed making, leaders made them.

The result? Netflix became one of the fastest-growing companies in history while Zappos fell off Fortune's Best Companies to Work For list for the first time in 8 years.

Steve Jobs put it even simpler: "Real artists ship."

Tony solved for Alignment but sacrificed Clarity and Movement. Perfect alignment around going nowhere is still going nowhere.

Leaders are trapped between two broken extremes: founder mode autocracy that burns out teams, or consensus mode paralysis that stalls everything. Both destroy companies. Both drive away top talent.

The answer isn't balancing these approaches. It's replacing them with a systematic framework that delivers Clarity, Alignment, and Movement simultaneously.

I explore this framework and the full Zappos story in my new book, Deliver: Why Some Leaders Get Results, and Most Don't. Available now at https://lnkd.in/eaiPFZhw.

When Nintendo's profits fell, CEO Satoru Iwata cut his salary by 50%. Most executives protect themselves first. He absorbed the pain. Here's the leadership lesson that changes everything:

Most CEOs in crisis mode blame the market or lay off staff. Iwata did the opposite.

The result? Teams didn't scatter. They rallied.

Here's what most leaders miss about trust:
Your team isn't listening to your words about sacrifice. They're watching whether you're willing to feel it first.

When Iwata cut his salary, he did something most executives avoid: he made his pain visible before asking anyone else to absorb impact.

That shift in sequence, me first, then us, completely changes team psychology.

Instead of resentment ("easy for you to say"), you get commitment ("we're in this together").

Leaders often underestimate the power of example. People follow what you do long before they follow what you say.

The rally at Nintendo didn't happen because Iwata gave better speeches afterward. It happened because he demonstrated that leadership meant absorbing impact, not delegating it.

Your team is watching how you handle pressure. And they notice the gaps.

When you ask them to work weekends, but protect your own calendar. When you freeze their hiring budget but approve your conference travel. When you demand transparency about their mistakes but hide your own.

These moments teach them that sacrifice flows in one direction.

Flip the sequence: Before you ask your team to take on extra load, what are you willing to absorb first? Before you implement budget cuts, where are you cutting from your own resources?

The visibility matters. They need to see you feeling the impact before they're asked to.

Accountability doesn't rise through motivational talks. It rises when people watch you demonstrate that being a leader means going first into discomfort, not last.

The fastest way to build trust is to take responsibility before assigning it.

If this resonates, I recently explored this idea in one of my podcast episodes: “Stop Breaking Glass – How Effective Leaders Stay Calm.” You’ll hear the exact framework: Breathe → Elevate → Lead, a system for staying steady under pressure so your team feels protected, not exposed.

Listen to it here:
https://lnkd.in/e2kHfmQX

If every decision goes through you, it's not leadership. It's a traffic jam. Here's how Daniel Ek turned Spotify into a decision-making machine:

Your calendar is back-to-back approvals. Product decisions. Pricing decisions. Hiring decisions. Your team waits hours (or days) for answers you could give in minutes - if you weren't drowning in other people's decisions.

Most managers believe this is control, that approving every decision keeps quality high and mistakes low.

The opposite is true. When decisions stack at the top, 3 things happen.

Speed dies. Your competitor ships in 2 weeks, while your team waits 3 months for approvals.

Innovation stops. Your people stop proposing bold ideas because they know you'll water them down through 4 rounds of review.

Your best people disengage. They came to build and create. You've turned them into order-takers who execute your vision instead of owners who contribute their own.

Daniel Ek figured this out at Spotify. He built the company around small teams with real decision-making authority.

Product squads could ship features without executive approval. Engineering teams could choose their own tech stack. Marketing teams could launch campaigns.

But not chaos. Guardrails everywhere.

Teams owned decisions within their domain. They couldn't change company strategy or blow the budget. They had clear boundaries, transparent metrics, and quarterly check-ins.

The result? Product cycles that used to take months took weeks. Innovation came from dozens of teams experimenting simultaneously instead of 5 executives guessing what might work.

Here's what most leaders miss: Your job isn't to make every decision. It's to build a system that makes good decisions without you.

Start by sorting decisions into 3 buckets:

1. Strategic (company direction, major investments, key hires) - you own these.

2. Operational (how to execute strategy, resource allocation within budget, team structure) - push to your direct reports.

3. Tactical (daily execution, minor resource shifts, individual choices) - these should never reach you.

For everything you push down: Define clear boundaries. Set outcome metrics. Create transparency so you can monitor without micromanaging.

The test: If a decision can be reversed easily and the worst case is a learning moment, it shouldn't require your approval.

The best organizations don't have hero leaders making all the calls. They have systems that create good decisions at every level.

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When Anne Fudge took over Young & Rubicam in 2003, the legendary ad agency was in crisis. Clients were leaving. Revenue was dropping. The board brought her in to fix it fast...

Everyone expected her to show up on day one with a turnaround plan.
She did something that looked like the opposite.

For 100 days, she didn't announce a single initiative. She walked the halls instead. Sat in cubicles. Had hundreds of conversations with people at every level of the company.

And she asked the same question every time: "If you were CEO, what would you change first?"

The people who actually served clients told her what executives had been too afraid to say out loud. Those insights didn't just inform her strategy—they became her strategy.

Most leaders think they need to talk more. The best leaders listen more and speak last.

Here's what Fudge understood that most leaders miss: Questions unlock truth. Listening unlocks commitment.

When you ask people what they'd change, you're not just gathering data. You're signaling that their perspective matters, that it's safe to tell the truth, and that you're building solutions together rather than imposing them from above.

That's the shift from Answer-First to Question-First leadership.

Most leaders resist this approach because asking questions feels like admitting weakness. But here's the paradox: When you ask instead of tell, you actually build more credibility, not less.

People commit to solutions they help create. 
They resist solutions imposed from above.

Start Monday with one question: "What's one thing we should stop doing?"

Then do the hardest part - stay quiet and actually listen. Don't defend, don't explain, don't problem-solve yet. Just let your team tell you what they see.

The most transformative thing a leader can do is ask a better question.

I've worked with leaders at Amazon, Walmart, and Lockheed Martin to build this approach into their daily leadership. The transformation happens when leaders stop imposing and start uncovering.

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Most CEOs sent memos when COVID hit. Tony Fernandes went live. And saved AirAsia with one move most leaders avoid...

When COVID grounded AirAsia in 2020, most executives issued top-down updates about layoffs and cost-cutting.

Tony did something radically different.

He hosted weekly livestreams - unfiltered Q&As with pilots, crew, and baggage handlers. He didn’t spin a PR message. He listened. He acknowledged fear. He celebrated small wins.

No strategy deck. Just empathy, live.

The result? What should have caused mass resignations turned into loyalty.

AirAsia rebounded faster than competitors, kept more staff, and reengaged its workforce around a shared future.

Because strategy without empathy is just noise.

Execution isn’t logical. It’s emotional.
People don’t follow plans, they follow voices that make them feel safe.

Fernandes understood this. That’s why his people followed him through crisis.

Here’s the leadership test:
If your team isn’t moving, it’s probably not because the plan isn’t clear.
It’s because they don’t trust they’ll be okay inside it.

A great vision needs an empathetic voice.

You can find this and more insights in my new book, "Deliver: Why Some Leaders Get Results and Most Don’t"

If you want an early copy, join the Advance Reader Group.

You’ll get the full PDF now, and two signed print copies after you leave an honest review.

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When teams break down under pressure, it is almost never a systems problem. It is a standards problem. Here's why:

Two teams can have the same training, the same procedures, and the same workload, yet deliver completely different outcomes. 

The difference is the leadership expectation at the top. 

Weak leaders tolerate chaos and explain it away as “being in the trenches.” Strong leaders set a non-negotiable bar for excellence and build environments where people are set up to win.

Your team will always mirror the standards you hold.

Capacity inside a team is rarely fixed. 
Leaders who assume their people are “maxed out” end up creating the ceiling themselves. 

When you stop assigning challenging work, hesitate to delegate, or protect people from stretch opportunities, the team interprets that as doubt. They pull back, play safe, and contract to match the expectations you set.

The ceiling becomes a self-fulfilling prophecy.

But when a leader signals belief and backs it with support, people consistently outperform their own assumptions about what they can do. 

High-capacity teams are almost always built by leaders who expect more and equip people to rise to it.

Here’s what this looks like in practice:

1. Remove tolerances that drain performance.
Identify the lowest standard you’re currently accepting. Chronic lateness, “good enough” work, technical performers who spread negativity - whatever it is, that tolerance sets the floor for the entire team. Raise it, and the rest of the team will rise with it.

2. Use stretch goals properly.
Stretch goals only work when they’re paired with support. Set targets that push the team 20–30 percent beyond their comfort zone, then remove obstacles, provide resources, and explain why you believe they can deliver. The combination of challenge and support drives expansion.

3. Lead with visible belief.
Teams rarely outperform the level of belief their leader communicates. When you model growth, people step into growth. When you signal doubt, people shrink.

Leadership is not about loading people with pressure. 
It is about raising the standard, backing your expectations with action, and creating an environment where excellence is normal, not extraordinary.

Catch this episode on our podcast, Lead in 30: https://lnkd.in/egJnM3eA

Every organization has values. What separates good leaders is how they act when those values collide with real-world pressure. Alan Jope faced one of those moments, and his decision left a lasting mark:

In 2021, a private equity firm approached Unilever about acquiring a profitable personal care brand. The financials looked perfect. $200M revenue, 18% margins, immediate accretion to earnings.

The board saw an easy win.

But Jope's team discovered the brand's supply chain relied on palm oil from suppliers with documented deforestation practices. It violated Unilever's sustainability commitments.

Not technically. Explicitly.

Investors pushed back. One board member asked the question Jope knew was coming: "Isn't this exactly why we have audits? To fix these issues after acquisition?"

The path of least resistance was obvious. Buy the brand. Fix the supply chain later. Everyone wins.

Jope rejected the deal entirely.

Not because it was easy. Because Unilever's values meant something only if they guided decisions when the stakes were real.

The result wasn't chaos. Employee engagement scores rose 12% in the following quarter. Brand equity strengthened as customers and talent saw that the company meant what it said.

Teams watched their CEO choose principle over profit and thought, "Maybe we actually mean what we say."

Clarity without consistency fails. 
People trust what leaders prove, not what they say.

Values aren't beliefs you discuss in offsites. They're behaviors you demonstrate under pressure.

And the moment you compromise them for convenience, your credibility collapses.

I watched this play out with a director at a Fortune 500 tech company. She'd promised her VP they'd ship a new feature by end of quarter, tied to her bonus and promotion review.

Two weeks before deadline, her lead engineer showed her the code. It worked. Technically.

But the error handling was incomplete. Ship it now, and 5% of users would hit crashes they couldn't recover from.

She called the VP: "We're pushing the launch 3 weeks. The feature isn't ready."
He wasn't happy. She didn't get promoted that cycle.

But her team watched her choose quality over her own advancement. Six months later, when she asked them to pull weekends for a critical launch, they showed up.

Because they'd seen what she was willing to sacrifice.

Your team is watching. Not what you post about integrity. What you do when living your values costs you something.

That's when they start believing.

This principle sits at the core of The 3rd Leader framework. When I work with leaders, we focus on building trust through decisions, not declarations.

Because your team doesn't believe what you say in town halls. They believe what you prove when it costs you something.

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Lead with impact.

When Feike Sijbesma took over Royal DSM in 2007, he inherited a 20,000-person petrochemicals giant that was slowly dying. Most CEOs would have started with layoffs and restructuring...

Sijbesma did something different.

The company's identity was embedded in 100+ years of chemical manufacturing. Employees saw themselves as producing materials, optimizing yields, managing costs. That's what they'd always done.

Sijbesma recognized something crucial: you can't change 20,000 people's behavior by changing the org chart. You have to change what they believe they're building.

He reframed DSM's entire purpose around a single question: How do we improve global health and nutrition?

Not through efficiency metrics or cost reduction. Through meaning.

This wasn't just messaging. He restructured investments, shifted R&D priorities, and aligned every business decision to this new north star. When people understood they were solving global malnutrition rather than optimizing chemical yields, something shifted.

Alignment moved from resistance to momentum.

DSM transformed into a global leader in life sciences and nutrition innovation. The same 20,000 people, radically different results.

Here's what made it work: Sijbesma understood that alignment accelerates when people grasp the case for why they're being asked to do something. Not what. Not how. Why.

Most leaders try to convince people to do something different. They build presentations, create incentives, and restructure teams.

But alignment isn't persuasion. When people understand the purpose, alignment becomes passion.

This is the foundation of the 3rd Leader framework: Clarity drives alignment, and alignment creates movement.

Purpose-driven leaders build teams that move faster and deliver better results because they've solved the hardest problem first. They've answered why it matters. 

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The Battle

Seth Yakatan

Russ Hill

Followers

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Performance ScoreSeth Yakatan's LinkedIn Performance

Performance ScoreRuss Hill's LinkedIn Performance

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taplio

The Battle

Seth Yakatan

Russ Hill

Followers

Posts

Engagements

Likes

Performance Score.css-goub6s{font-size:var(--chakra-fontSizes-md);font-weight:500;color:var(--chakra-colors-gray-600);display:block;margin-top:var(--chakra-space-1);}Seth Yakatan's LinkedIn Performance

Performance ScoreRuss Hill's LinkedIn Performance

Ready to grow your LinkedIn presence?

Performance ScoreSeth Yakatan's LinkedIn Performance