Promoting top individual contributors into management often backfires. Their competitive nature, which drove individual success, makes it hard to share tips, empathize with struggling team members, or handle interpersonal issues, turning a perceived win-win into a lose-lose situation.

Leaders in investment organizations are often promoted for their exceptional technical skills—analysis, presentations—not for their management abilities. This creates a leadership deficit that requires deliberate focus and coaching to overcome.

New leaders often fail because they continue to operate with an individual contributor mindset. Success shifts from personal problem-solving ("soloist") to orchestrating the success of others ("conductor"). This requires a fundamental change in self-perception and approach, not just learning new skills.

Companies often cannot differentiate between healthy confidence and narcissism. Narcissistic individuals excel at self-promotion and appearing decisive, which are frequently misidentified as leadership qualities, leading to their accelerated advancement over more competent but less self-aggrandizing peers.

Despite posters championing collaboration, a company's real priorities are revealed through promotion decisions. When individuals who manipulate metrics or undermine teams are advanced, it proves those behaviors are what the organization actually rewards, rendering official values meaningless.

Effective leadership prioritizes people development ('who you impact') over task completion ('what you do'). This philosophy frames a leader's primary role as a mentor and coach who empowers their team to grow. This focus on human impact is more fulfilling and ultimately drives superior business outcomes through a confident, motivated team.

New managers often fear that promoting their team's accomplishments will make them seem unnecessary. In reality, a key indicator of a successful manager is when senior leaders know the individual names of their team members, demonstrating the manager's ability to build talent and get results.

Many leaders focus on having the correct analysis. However, true leadership requires understanding that being right is useless if you can't persuade and influence others. The most successful leaders shift their focus from proving their correctness to finding the most effective way to communicate and achieve their goals.

There are no universal leadership traits; successful leaders can be introverts, extroverts, planners, or chaotic. What they share is the ability to make others feel that following them will lead to a better tomorrow. This emotional response is what creates followers, not a specific checklist of skills.