The role of a CEO is one of immense influence and responsibility, shaping an organisation’s culture, direction, and reputation. For CEOs, character is their greatest asset—a foundation of trust, integrity, and authenticity that drives decision-making and inspires teams.
Stephen Carter, CEO of Melbourne-based recruitment firm Sharp & Carter, recently attracted significant attention for his candid pre-Christmas party address to employees. In his speech, Carter advised staff against drug use and infidelity at work events, stating, “I take drugs myself; I just don’t do it at work events.”
This forthright approach was influenced by a recent internal scandal, adversely affecting staff morale and client relationships.
Carter intended to preemptively address potential issues by promoting professionalism during company events. However, the speech, recorded and shared by an employee, went viral, leading to widespread media coverage and public scrutiny.
Reflecting on the incident, Carter acknowledged that he would have chosen his words more carefully had he anticipated the speech reaching an external audience. He emphasised that his primary goal was to protect employees from actions that could harm themselves or others, underscoring that while he doesn’t oppose drug use in social settings, it has no place at work functions.
This article underscores the critical role of a CEO in setting the tone for company culture and the potential repercussions of their communications. Leaders must balance transparency with discretion, ensuring that their messages uphold the organisation’s values and maintain professionalism, especially in public or potentially public forums.
Guess what? It is tough at the top, and we all make mistakes. However, what do you think?
Why CEOs Should Be Mindful of Public Messages
A CEO sets the tone for an organisation’s internal and external culture. Their words and actions, especially in public or semi-public forums, can significantly impact the company’s reputation, employee morale, and client relationships. While honesty and authenticity are valued, leaders must balance transparency with professionalism. Unscripted remarks, like Stephen Carter’s viral address at Sharp & Carter’s Christmas party, illustrate how quickly words can spiral beyond their intended audience, amplifying unintended consequences.
What Leaders Should Learn From This
- The Power of Perception: In today’s digital world, words spoken in private settings can easily be shared publicly. Carter’s remarks meant as a candid attempt to address workplace behaviour, were seen by some as inappropriate, overshadowing the intent of his message. This highlights the importance of aligning tone and content with the company’s values.
- Cultural Influence: Leaders shape workplace culture. If a CEO is perceived as endorsing behaviours like drug use—regardless of intent—it can undermine organisational standards and credibility. Employees and stakeholders look to leaders to model the values they want to see reflected throughout the company.
- Crisis Management in the Digital Age: This incident went viral because of employee sharing, highlighting the necessity for leaders to anticipate the potential consequences of their messages and manage their communication strategically.
How Leaders Can Improve Their Approach
- Prepare and Align: Craft clear, concise messages that reinforce the organization’s culture and values. Before addressing sensitive topics, practice delivery to ensure clarity and alignment with company principles.
- Focus on Accountability, Not Condescension: Address workplace issues with solutions and guidance rather than personal anecdotes that might detract from the message. For instance, Carter could have focused on fostering a safe and inclusive environment instead of personal disclosures.
- Training for Public Speaking: CEOs and senior leaders must train to improve their ability to convey important messages clearly, particularly in situations where emotions or sensitivities are heightened.
- Communicate With Empathy: Ensure that the intent to protect and empower employees is communicated clearly and without unnecessary distractions. Instead of emphasizing what not to do, highlight desired behaviours that reflect the company’s values.
- Create Feedback Loops: Encourage employees to provide feedback on communication styles and messages. This helps build trust and ensures leadership is connected to workplace dynamics.
A Takeaway for All Leaders
Leadership isn’t about perfection—it’s about growth, accountability, and leading by example. While Carter’s intent to address workplace issues is commendable, his delivery underscores a key leadership principle: how you communicate is as important as what you communicate. Leaders must remember that their words have power far beyond the immediate audience.
This is an opportunity to learn, reflect, and adapt. Leaders who embrace feedback and grow from these moments can transform missteps into valuable lessons for themselves and their organisations.
Every Executive Needs Coaching and Development
Leadership is a journey, not a destination. No matter how high an executive climbs, the need for growth, reflection, and guidance never diminishes. Whether they’re a CEO, senior leaders, or aspiring executives, continuous development is essential for navigating the complexities of modern leadership. Recent high-profile incidents, like Stephen Carter’s Christmas party remarks, highlight the importance of coaching and development for leaders at all levels to refine communication, leadership style, and decision-making.
Why Coaching and Development Are Critical for All Executives
- Blind Spots Are Universal: Every leader, regardless of experience, has biases and areas they may not fully recognise. Coaching helps identify and address these blind spots, ensuring decisions and behaviours align with organisational goals and values.
- High Stakes Demand Precision: Executives set the tone for their organizations. Their words and actions ripple through teams, stakeholders, and beyond. Coaching equips leaders to make thoughtful, intentional choices, even in high-pressure situations.
- Evolving Challenges Require New Skills: Modern leadership demands agility in addressing technological disruptions, workforce diversity, and mental health challenges. Development ensures leaders remain relevant, adaptable, and effective.
- Leadership Can Be Isolating: The higher the position, the fewer the opportunities for candid feedback. Coaches provide a trusted partner to offer perspective, challenge assumptions, and foster growth.
What Coaching and Development Offer Executives
- Refined Communication Skills: Effective leadership hinges on clear and impactful communication. Coaching helps executives tailor messages that resonate and inspire across an organization’s levels.
- Strengthened Emotional Intelligence (EQ): High EQ is essential for building trust, resolving conflicts, and leading with empathy. Coaches work with leaders to enhance self-awareness, social awareness, and relationship management.
- Strategic Thinking and Vision: Coaching allows leaders to think critically about long-term goals, assess risks, and align strategies with the organization’s purpose and mission.
- Improved Crisis Management: Coaching prepares executives to lead with composure and clarity during tough times, whether navigating organisational changes or external challenges.
- Personal Growth and Authenticity: Leadership starts from within. Coaching supports executives in exploring their values, strengths, and opportunities for growth, helping them lead with authenticity and integrity.
How Executives Can Embrace Development
- Seek Feedback Regularly: Invite feedback from peers, direct reports, and stakeholders. Honest input is invaluable for identifying areas to improve.
- Invest in Professional Coaching: Partner with a coach who can provide tailored guidance, accountability, and tools for continuous improvement.
- Reflect and Self-Assess: Set aside time to reflect on leadership decisions, behaviours, and outcomes. Use tools like journaling or facilitated discussions to deepen self-awareness.
- Engage in Peer Learning: Join executive forums or peer groups to share experiences, learn best practices, and gain fresh perspectives.
- Commit to Lifelong Learning: Stay current by attending workshops, reading leadership-focused literature, and participating in training programs.
The Ultimate Takeaway
Leadership is about growth, not perfection. Whether you’re leading a small team or an entire organization, seeking coaching and development isn’t a sign of weakness—it’s a hallmark of outstanding leadership. The most effective executives are those who are open to feedback, willing to adapt and committed to becoming the best version of themselves.
Every leader has the potential to grow. By investing in coaching and development, executives elevate their own performance and set an inspiring example for their teams and organisations. Leadership isn’t about knowing everything—it’s about being willing to learn and evolve every step of the way.
Conclusion
Leadership is not about having all the answers; it’s about being open to learning, adapting, and growing. For every executive, the commitment to development is what separates great leaders from the rest. Seeking feedback, engaging in coaching, and embracing opportunities to reflect and evolve are hallmarks of leaders who inspire trust, foster innovation, and drive meaningful change. By prioritising your growth, you’re not only elevating your own leadership but also empowering your teams and organizations to thrive. Remember, the best leaders are those who never stop learning—and that’s what makes them truly exceptional.
About LeadershipHQ and How We Can Help
At LeadershipHQ, we believe leadership isn’t just a title—it’s a way of being. In a world full of challenges like technological disruption, workforce dynamics, and economic uncertainty, leaders need more than just skills; they need courage, authenticity, and purpose. That’s where we come in. We are Australia’s leading consulting organisation for executive coaching, executive programs, team building. cultural transformation and more.
We’re not your average leadership company. We specialise in helping leaders and organisations ditch outdated models and embrace bold, impactful leadership. Our mission is simple: to empower leaders at every level to show up, speak up, and lead unapologetically.
How We Can Help You Thrive
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Whether you’re a seasoned CEO, an emerging leader, or an organisation ready to transform, LeadershipHQ is your partner in leadership excellence. Together, let’s redefine what it means to lead and make an impact.
Are you ready to lead with courage, kindness, and purpose? Let’s make it happen.