The CEO is the Bottleneck! The Story of How I Was an 'Emperor with No Clothes' #33

Andersen's fairy tale 'The Emperor's New Clothes' is extremely famous.

A vain emperor has clothes made that are supposedly 'invisible to fools.'
Although the clothes do not actually exist, both his servants and his subjects praise the invisible garments, all because they 'do not want to be thought of as fools.'

And so, the emperor parades around naked.
Finally, a child shouts out:

'The emperor is naked!'

This story has been told as a symbol of organizations where the truth cannot be spoken and of powerful figures who have become blind to their surroundings.

In fact, this is also my own story.

■ To Rebuild Dysfunctional Management

Ten years ago, I was entrusted with turning around an organization where management was not functioning, and I took the top position.

Even when I encouraged autonomy across the board, action rarely followed.
So, what I chose wastop-down micromanagement.
• Centralizing decision-making
• Giving clear instructions
• Increasing execution speed

The results were clear.
My ideas reached the front lines quickly, and performance improved in a short period.

■ 'Success Experiences' Were Reinforced During the COVID-19 Pandemic

In 2020, a common enemy appeared: COVID-19.

In times of crisis, the following become important:
• Rapid decision-making
• Consistency of messaging
• Strong leadership

My top-down approach worked brilliantly, and the organization came together to achieve results.

However, this success was dangerous.

Before I knew it, I was harboring the illusion that



'my thoughts are being properly conveyed.'The numbers were there.

The results were there.

But the management of the organization was not normal.

■ 'The CEO is the bottleneck'

I was made aware of this by a submission from an employee.

'The CEO is the bottleneck!'

To be honest, it even contained emotional and selfish expressions.
However, that was enough.

To realize that the reason the organization was not clicking was
due to my own methods.

By intervening dictatorially, I was:
• Depriving managers of opportunities to make decisions
• Undermining the initiative of the front lines
• Weakening the autonomous functions of the organization

I was truly an 'emperor with no clothes,' dressed only in the clothes of numbers.

■ The Limits of Top-Down

Top-down is certainly effective.
It becomes a powerful weapon, especially in times of crisis.

But what happens when it becomes routine?
• Decisions concentrate at the top
• Middle managers do not grow
• Honest opinions do not reach the top
• The organization becomes passive

Even if results appear in the short term, the organization will weaken in the long term.
I was prioritizing numbers and self-satisfaction, and conveniently interpreting the thoughts of my employees.

■ Changing How I Engage from the Ground Up

From that point on, my way of engaging with the organization changed significantly.

1. Minimize top-down
I intentionally reduced the number of times I provided answers.

2. Thorough delegation of authority
I clearly returned authority to the managers I had hollowed out.

3. Ask questions
Instead of answers, I throw out questions.

4. Allow for failure
Once authority is handed over, I accept failures that result from doing what needed to be done.

This is not 'neglect.'
It is a decision to intentionally step back.

It is faster if I act myself.
However, the organization grows better if I do not.
The organization will start to bottom-up proactively.

I decided to believe in that.

■ The Management Challenge is 'Strengthening Organizational Capability'

Currently, our management challenge is 'strengthening organizational capability.'

An ideal organization is one that is:
• Based on management philosophy
• Aligned with policies
• Capable of proactive, coordinated action

At the very least, it should be an organization that does not stray far from its path even without detailed instructions from the top.

I, in the past, was undermining that potential myself.
That is why I am now focusing on creating an environment where managers can demonstrate their management abilities.

We are still in a transitional period.
There is hesitation and friction.
Even so, I intend to steadily promote this direction.

■ Continue Being an Emperor, or Change?

The emperor in 'The Emperor's New Clothes' continues his parade even after being pointed out by a child.

However, I want to make a different choice.
If I realize I am naked, I should make the effort to put on clothes.

And someday, I want to make this an organization that functions even without an emperor.
That is my next challenge.