Are You Missing Out? The Hidden Value of Cross-Industry Leaders

We often talk about finding the right leaders for your business, but I've been thinking a lot lately about how we define "right". Are we sometimes too focused on fitting a perfect mould, a blueprint of what a “CFO” should be, based on industry expectations?

You’re looking for a new COO. You naturally start by looking at COOs from within your sector. It's a logical step. They “get” your business, the regulations, the nuances.

But what if you’re overlooking a hidden gem? What if the perfect person to revitalise your operations is currently excelling in a completely different sector?

Can a leader from a seemingly unrelated industry truly make a difference to your business? In my experience, the answer is a resounding yes.

Let me explain.

We've all been there. You've got a vacancy. Your internal team or HR are tasked with finding the perfect fit. They create a job description, tick all the relevant boxes, and start sifting through CVs. Everything is geared towards finding someone who’s “done it before,” in a similar company, in a similar role, in a similar industry. It's a safe bet, right?

Well, maybe. But "safe" isn't always what you need to drive innovation and achieve real growth.

Think about it: how often do truly groundbreaking ideas come from staying within the confines of what’s always been done? Often, it's the fresh perspective, the unconventional thinking, that ignites real change. And that's precisely what a leader from a different industry can bring to the table.

The Power of a Different Perspective

I’ve seen it time and time again. A CFO from the manufacturing sector joining a retail business and revolutionising their supply chain management. A CEO from a tech startup breathing new life into a traditional financial services company.

Why does it work?

Unlocking Innovation: Leaders who've thrived in different environments bring fresh eyes and innovative problem-solving approaches. They aren't bound by industry dogma. They challenge assumptions and bring new perspectives.

Cross-Pollination of Best Practices: Every industry has its strengths and weaknesses. A cross-industry leader can identify best practices from other sectors and adapt them to your business, giving you a competitive edge. For example, a marketing expert from the fast-paced consumer goods sector might bring invaluable insights to a more traditional B2B business.

Breaking Down Silos: Often, internal teams get stuck in their ways. An outsider can help break down those silos, encourage collaboration, and foster a more agile and adaptable culture. They can be the catalyst for positive change.

Transferable Skills Are Key: At the executive level, many skills are universally valuable: strategic thinking, financial acumen, leadership, communication, and the ability to build high-performing teams. These skills translate across industries. A strong leader is a strong leader, regardless of the specific context.

Let's look at a real-world example:

I worked with a client in the logistics sector who was struggling with inefficient warehouse operations. They were primarily focused on hiring someone with a logistics background. After some discussion, we encouraged them to consider candidates from the automotive industry, where lean manufacturing principles are highly developed. They hired a COO with experience in automotive manufacturing, and within a year, the company saw a significant improvement in warehouse efficiency and a reduction in operating costs. The new COO brought a data-driven approach to process optimisation that simply hadn't been considered before.

The Risks (And How to Mitigate Them)

Of course, there are risks involved. A leader from a different industry might face a steep learning curve initially. They might not have the same level of established networks within your sector. They may misunderstand certain legal or regulated environments.

But these risks can be mitigated with the right approach.

Executive Search Expertise: That's where we come in. As an executive search firm, we can help you identify candidates with the right transferable skills and the potential to thrive in your specific environment. We assess not only their technical skills but also their leadership style, adaptability, and cultural fit.

Strong Onboarding and Support: Provide your new leader with a comprehensive onboarding program that helps them quickly understand your industry, your company culture, and your key stakeholders. Give them the support they need to succeed.

Mentorship: Pair your new leader with an internal mentor who can provide industry-specific guidance and support.

The Bottom Line

Don't limit yourself to the obvious. Be open to the possibility that the best leader for your business might be someone who doesn't fit the traditional mould. By considering candidates from different industries, you can unlock a wealth of talent and gain a significant competitive advantage.

As Peter Drucker famously said, "The greatest danger in times of turbulence is not the turbulence – it is to act with yesterday’s logic."

We at Ambrose and Bell are experts at finding leaders, not just filling positions, and we can help you find that hidden gem. We look beyond the surface, assess transferable skills, and ensure a strong cultural fit.

If you're looking to shake things up and bring a fresh perspective to your business, let's have a conversation. We can help you identify the perfect leader, regardless of their industry background.

Thank You!

Thanks for reading and for being part of this community. Your support makes this bi-weekly newsletter possible, and I’m truly grateful you're here. Here’s to our continued growth and leadership journey—unlocking our fullest potential together!

Dr. Stephen McCormac

London and Thames Valley Vistage Chair

Email: stephen.mccormac@vistagechair.co.uk

Mobile: +44 7796 313938