The Ride of a Lifetime: Lessons Learned from 15 Years as CEO of the Walt Disney Company

Iger, Robert

Prologue

Optimism. 

• One of the most important qualities of a good leader is optimism, a pragmatic enthusiasm for what can be achieved. Even in the face of difficult choices and less than ideal outcomes, an optimistic leader does not yield to pessimism. Simply put, people are not motivated or energized by pessimists.

Courage. 

• The foundation of risk-taking is courage, and in ever-changing, disrupted businesses, risk-taking is essential, innovation is vital, and true innovation occurs only when people have courage. This is true of acquisitions, investments, and capital allocations, and it particularly applies to creative decisions. Fear of failure destroys creativity.

Focus. 

• Allocating time, energy, and resources to the strategies, problems, and projects that are of highest importance and value is extremely important, and it’s imperative to communicate your priorities clearly and often.

Decisiveness. 

• All decisions, no matter how difficult, can and should be made in a timely way. Leaders must encourage a diversity of opinion balanced with the need to make and implement decisions. Chronic indecision is not only inefficient and counterproductive, but it is deeply corrosive to morale.

Curiosity. 

• A deep and abiding curiosity enables the discovery of new people, places, and ideas, as well as an awareness and an understanding of the marketplace and its changing dynamics. The path to innovation begins with curiosity.

Fairness. 

• Strong leadership embodies the fair and decent treatment of people. Empathy is essential, as is accessibility. People committing honest mistakes deserve second chances, and judging people too harshly generates fear and anxiety, which discourage communication and innovation. Nothing is worse to an organization than a culture of fear.

Thoughtfulness. 

• Thoughtfulness is one of the most underrated elements of good leadership. It is the process of gaining knowledge, so an opinion rendered or decision made is more credible and more likely to be correct. It’s simply about taking the time to develop informed opinions.

Authenticity. 

• Be genuine. Be honest. Don’t fake anything. Truth and authenticity breed respect and trust.

The Relentless Pursuit of Perfection. 

• This doesn’t mean perfectionism at all costs, but it does mean a refusal to accept mediocrity or make excuses for something being “good enough.” If you believe that something can be made better, put in the effort to do it. If you’re in the business of making things, be in the business of making things great.

Integrity. 

• Nothing is more important than the quality and integrity of an organization’s people and its product. A company’s success depends on setting high ethical standards for all things, big and small. Another way of saying this is: The way you do anything is the way you do everything.

Part One: Learning

PART ONE LEARNING CHAPTER 1 STARTING AT THE BOTTOM

• There are certain ways I’ve always been, things I’ve always done, that are the result of some inscrutable mix of nature and nurture. (I’ve always woken early, for example, as far back as I can remember, and cherished those hours to myself before the rest of the world wakes up.)
• With few exceptions in my life, I’ve never worried too much about the future, and I’ve never had too much fear about trying something and failing.
• To this day, I wake nearly every morning at four-fifteen, though now I do it for selfish reasons: to have time to think and read and exercise before the demands of the day take over. Those hours aren’t for everyone, but however you find the time, it’s vital to create space in each day to let your thoughts wander beyond your immediate job responsibilities, to turn things over in your mind in a less pressured, more creative way than is possible once the daily triage kicks in. I’ve come to cherish that time alone each morning, and am certain I’d be less productive and less creative in my work if I didn’t also spend those first hours away from the emails and text messages and phone calls that require so much attention as the day goes on.
• ABC Sports showed me the world and made me more sophisticated. I got exposed to things I’d never contemplated before.
• I witnessed firsthand how people lived behind the Iron Curtain, and got a sense of the daily challenges of their lives.
• I also saw the ways in which their dreams were no different from the dreams of the average person in America.

Roone Arledge

• He knew, first and foremost, that we were telling stories and not just broadcasting events, and to tell great stories, you need great talent. He was the most competitive person I’ve ever worked for and a relentless innovator, but he also knew that he was only as good as the people he surrounded himself with.
• He wanted to try every new gadget and break every stale format. He was looking, always, for new ways to connect to viewers and grab their attention.
• Roone taught me the dictum that has guided me in every job I’ve held since Innovate or die, and there’s no innovation if you operate out of fear of the new or untested.
• He was also a relentless perfectionist. No detail was too small for Roone. Perfection was the result of getting all the little things right.
• He wasn’t a yeller, but he was tough and exacting and he Thanks communicated in very clear terms what was wrong and that he expected it to get fixed, and he didn’t much care what sacrifice is required to fix it.
• His commitment to making things great was galvanizing. It was often exhausting, often frustrating (largely because he would wait until very late in the production process to give notes or demand changes), but it was inspiring, too, and the inspiration far outweighed the frustration. You knew how much he cared about making things great, and you simply wanted to live up to his expectations.
• His mantra was simple: “Do what you need to do to make it better.” Of all the things I learned from Roone, this is what shaped me the most. When I talk about this particular quality of leadership, I refer to it as “the relentless pursuit of perfection.” In practice, that means a lot of things, and it’s hard to define. It’s a mindset, really, more than a specific set of rules. It’s not, at least as I have internalized it, about perfectionism at all costs (something Roone wasn’t especially concerned about). Instead, it’s about creating an environment in which you refuse to accept mediocrity. You instinctively push back against the urge to say “There’s not enough time, or I don’t have the energy, or This requires a difficult conversation I don’t want to have or any of the many other ways we can convince ourselves that “good enough” is good enough.
• Japanese word shokunin, which is “the endless pursuit of perfection for some greater good.” I fell in love with Jiro when I watched it and became fascinated by the concept of shokunin.
• “the relentless pursuit of perfection.” This is what it looks like to take immense personal pride in the work you create and to have both the instinct toward perfection and the work ethic to follow through on that instinct.
• One day I found myself standing next to him at a urinal. To my surprise, Roone began to talk with me. “How’s it going?” After a moment of stunned silence, I said, “Well, some days I feel like it’s tough just keeping my head above water.” Roone looked straight ahead. Without missing a beat, he said, “Get a longer snorkel.” Then he finished his business and walked out.
• He wasn’t much for excuses. Only later, when I worked more closely with him, would I discover what people meant when they said that he refused to accept no for an answer. If he asked you to do something, you were expected to exhaust every possible method to accomplish it. If you came back and said you tried and it couldn’t be done, he’d just tell you, “Find another way.”
• It’s a delicate thing, finding the balance between demanding that your people perform and not instilling a fear of failure in them. Most of us who worked for Roone wanted to live up to his standards, but we also knew that he had no patience for excuses and that he could easily turn on anyone, in his singularly cutting, somewhat cruel, way, if he felt we weren’t performing to his satisfaction.
• In your work, in your life, you’ll be more respected and trusted by the people around you if you honestly own up to your mistakes. It’s impossible not to make them; but it is possible to acknowledge them, learn from them, and set an example that it’s okay to get things wrong sometimes. What’s not okay is to undermine others by lying about something or covering your own ass first.
• It’s so simple that you might think it doesn’t warrant mentioning, but it’s surprisingly rare: Be decent to people. Treat everyone with fairness and empathy. This doesn’t mean that you lower your expectations or convey the message that mistakes don’t matter. It means that you create an environment where people know you’ll hear them out, that you’re emotionally consistent and fair-minded, and that they’ll be given second chances for honest mistakes. (If they don’t own up to their mistakes, or if they blame someone else, or if the mistake is the result of some unethical behavior, that’s a different story, and something that shouldn’t be tolerated.)
• I was naturally resilient, I think, and working for Roone made me more so. And I prided myself on working hard, especially in a place where so many of the people around me were better educated and from more sophisticated backgrounds. It was important to me to know that when it came down to it, I could outwork anyone else, and so I was focused much more on that than I was on the vicissitudes of Roone’s moods.
• Excellence and fairness don’t have to be mutually exclusive. I wouldn’t have articulated it that way at the time. Mostly I was just focused on doing my job well and certainly wasn’t thinking about what I’d do differently if I were in Roone’s shoes. But years later, when I was given the chance to lead, I was instinctively aware of both the need to strive for perfection and the pitfalls of caring only about the product and never the people.

 

CHAPTER 2 BETTING ON TALENT

• There are moments in our careers, in our lives, that are inflection points, but they’re often not the most obvious or dramatic ones.
• Taking Dennis up on his offer proved to be one of the best career decisions I ever made. I’d soon learn that I had been totally wrong in my assessment of him. He was an amiable, funny guy; his energy and optimism were infectious; and, crucially, he knew what he didn’t know. This is a rare trait in a boss.

Tom & Dan’s leadership at Capital Cities 

• It was also a function of the culture that Tom and Dan created. They were two of the most authentic people I’ve ever met, genuinely themselves at all times. No airs, no big egos that needed to be managed, no false sincerity. They comported themselves with the same honesty and forthrightness no matter who they were talking to. They were shrewd businesspeople (Warren Buffett later called them “probably the greatest two-person combination in management that the world has ever seen or maybe ever will see”), true integrity—a sense of knowing who you are and being guided by your own clear sense of right and wrong—is a kind of secret weapon.
• Their business strategy was fairly simple. They were hypervigilant about controlling costs, and they believed in a decentralized corporate structure. Meaning: They didn’t think every key decision should be made by the two of them or by a small group of strategists in corporate headquarters. They hired people who were smart and decent and hardworking, they put those people in positions of big responsibility, and they gave them the support and autonomy needed to do the job. They were also tremendously generous with their time and always accessible. Because of this, executives working for them always had a clear sense of what their priorities were, and their focus enabled us all to be focused, too.
• The need for optimism. Things were dire, for sure, but I needed to look at the situation not as a catastrophe but as a puzzle we needed to solve, and to communicate to our team that we were talented and nimble enough to solve these problems and make something wonderful on the fly.
• My instinct throughout my career has always been to say yes to every opportunity. In part this is just garden-variety ambition. I wanted to move up and learn and do more, and I wasn’t going to forgo any chance to do that, but I also wanted to prove to myself that I was capable of doing things that I was unfamiliar with.
• Tom and Dan were the perfect bosses in this regard. They would talk about valuing ability more than experience, and they believed in putting people in roles that required more of them than they knew they had in them. It wasn’t that experience wasn’t important, but they “bet on brains,” as they put it, and trusted that things would work out if they put talented people in positions where they could grow, even if they were in unfamiliar territory.
• “We want you to survive here, Bob. We hope when you’re done you’ll be carrying your shield and not being carried out on it!”
• “Life’s an adventure,” she said. “If you don’t choose the adventurous path, then you’re not really living.”

 

CHAPTER 3 KNOW WHAT YOU DON’T KNOW (AND TRUST IN WHAT YOU DO)

• Your inexperience can’t be an excuse for failure. So what do you do in a situation like that? The first rule is not to fake anything. You have to be humble, and you can’t pretend to be someone you’re not or to know something you don’t. You’re also in a position of leadership, though, so you can’t let humility prevent you from leading. It’s a fine line, and something I preach today. You have to ask the questions you need to ask, admit without apology what you don’t understand, and do the work to learn what you need to learn as quickly as you can. There’s nothing less confidence-inspiring than a person faking knowledge they don’t possess. True authority and true leadership come from knowing who you are and not pretending to be anything else.
• The task was to not let my ego get the best of me. Rather than trying too hard to impress whoever was across the table, I needed to resist the urge to pretend I knew what I was doing and ask a lot of questions.

Managing Creatives 

• Managing creative processes starts with the understanding that it’s not a science—everything is subjective; it is often no right or wrong. The passion it takes to create something is powerful, and most creators are understandably sensitive when their vision or execution is questioned.
• I’m exceedingly mindful of how much the creators have poured themselves into the project and how much is at stake for them. I never start out negatively, and unless we’re in the late stages of production, I never start small. I’ve found that often people will focus on little details as a way of masking a lack of any clear, coherent, big thoughts. If you start petty, you seem petty. And if the big picture is a mess, then the small things don’t matter anyway, and you shouldn’t spend time focusing on them.
• The first time I sat down with Ryan Coogler to give him notes on Black Panther, I could see how visibly anxious he was. He’d never made a film as big as Black Panther, with a massive budget and so much pressure on it to do well. I took pains to say very clearly, “You’ve created a very special film. I have some specific notes, but before I give them to you, I want you to know we have tremendous faith in you.”- Empathy is a prerequisite to the sound management of creativity, and respect is critical.
• “I’d much rather take big risks and sometimes fail than not take risks at all.” I didn’t want to be in the business of playing it safe. I wanted to be in the business of creating possibilities for greatness. Of all the lessons I learned in that first year running prime time, the need to be comfortable with failure was the most profound. Not with lack of effort but with the unavoidable truth that if you want innovation—and you should, always—you need to give permission to fail.
• You can’t erase your mistakes or pin your bad decisions on someone else. You have to own your own failures. You earn as much respect and goodwill by standing by someone in the wake of a failure as you do by giving them credit for a success.
• Finding that balance between accepting credit for real achievements and not making too much of the hype from the outside world has only gotten more necessary during my years as CEO. I often feel guilty in front of other people with whom I work, when so much attention and credit is being directed toward me. It manifests itself in strange ways. I’m often in meetings with someone from outside the company and that person will look only at me, even though I’m surrounded by colleagues at the table. I don’t know if other CEOs feel this way, but it’s embarrassing to me, and in those moments I make a point of directing praise and attention to my coworkers. Similarly, when I’m the one attending a meeting with a group outside of Disney, I make sure to connect and speak with every person at the table. It’s a small gesture, but I remember how it felt to be the overlooked sidekick, and anything that reminds you that you’re not the center of the universe is a good thing. *Reminiscent of Roger Federer running back into the Nike building -They walked out of the building and were headed for their next meeting when Federer stopped in his tracks and said, “I’ve got to go back.” Nakajima asked him if he had forgotten something, and Federer said he had forgotten to thank the people who helped him with the shoes. “So we ran back into the building, downstairs, through security so he could say thanks,” Nakajima said. “Now what athlete does that?”
• In September 1994, I became president and COO of Capital Cities/ ABC, a year and nine months after becoming president of the network. It was a dizzying and sometimes destabilizing trajectory. I wouldn’t as a rule recommend promoting someone as rapidly as they promoted me, but I will say one more time, because it bears repeating: The way they conveyed their faith in me at every step made all the difference in my success. Reminds me of Randall Stutman’s “Fanness” approach to leadership. 

Chapter 4: Enter Disney

• “Avoid getting into the business of manufacturing trombone oil. You may become the greatest trombone-oil manufacturer in the world, but in the end, the world only consumes a few quarts of trombone oil a year!” He was telling me not to invest in projects that would sap the resources of my company and me and not give much back.
• Managing your own time and respecting others’ time is one of the most vital things to do as a manager. You often have to sit through meetings that, if given the choice, you might choose not to sit through. You have to learn and absorb. You have to hear out other people’s problems and help find solutions. It’s all part of being a great manager.
• It’s a hard thing to do, especially in the moment, but those instances in which you find yourself hoping that something will work without being able to convincingly explain to yourself how it will work—that’s when a little bell should go off, and you should walk yourself through some clarifying questions. What’s the problem I need to solve? Does this solution make sense? If I’m feeling some doubt, why? Am I doing this for sound reasons or am I motivated by something personal? Awareness… 

Chapter 5: Second in Line 

• It’s important to know how to find the balance—do the job you have well; be patient; look for opportunities to pitch in and expand and grow; and make yourself one of the people, through attitude and energy and focus, that your bosses feel they have to turn to when an opportunity arises. Conversely, if you’re a boss, these are the people to nurture—not the ones who are clamoring for promotions and complaining about not being utilized enough but the ones who are proving themselves to be an indispensable day in and day out.
• At every stage, I worked hard to absorb as much as I could, knowing that if I performed, they had larger plans in place. As a result, I felt profoundly loyal to them.
• We all want to believe we’re irreplaceable. The trick is to be self-aware enough that you don’t cling to the notion that you are the only person who can do this job. At its essence, good leadership isn’t about being indispensable; it’s about helping others be prepared to possibly step into your shoes—giving them access to your own decision making, identifying the skills they need to develop and helping them improve, and, as I’ve had to do, sometimes being honest with them about why they’re not ready for the next step up.
• It’s a tricky thing, moving people over to your side and enlisting their enthusiastic engagement. Sometimes it’s worth talking through their reservations and patiently responding to their concerns. Other times you simply need to communicate that you’re the boss and you want this done. It’s not that one approach is “nice” and the other isn’t. It’s just that one is more direct and nonnegotiable. It really comes down to what you believe is right for the moment—when a more democratic approach is useful both in getting to the best outcome and in building morale, and when you have enough certainty in your opinion that you’re willing to be an autocrat even in the face of disagreement. Delicate balance. 

Chapter 6: Good Things Can Happen 

• What struck me, and what was invaluable in my own education, was his ability to see the big picture as well as the granular details at the same time, and consider how one affected the other. Holistic systems approach. Michael Eisner often saw things that other people didn’t see, and then he demanded that they be made better. That was the source of so much of his and the company’s success, and I had immense respect for Michael’s tendency to sweat the details. It showed how much he cared, and it made a difference. “great” is often a collection of very small things
• Zenia Mucha has said to me, in a way only she can: “Bob, you know you did that, but the world doesn’t need to know, so shut up!”)
• Optimism in a leader, especially in challenging times, is so vital. Pessimism leads to paranoia, which leads to defensiveness, which leads to risk aversion.
• Optimism sets a different machine in motion. Especially in difficult moments, the people you lead need to feel confident in your ability to focus on what matters, and not to operate from a place of defensiveness and self-preservation. This isn’t about saying things are good when they’re not, and it’s not about conveying some innate faith that “things will work out.” It’s about believing you and the people around you can steer toward the best outcome, and not communicating the feeling that all is lost if things don’t break your way. The tone you set as a leader has an enormous effect on the people around you. No one wants to follow a pessimist.
• It was the first time in my career I’ve ever had to withstand the glare of so much press scrutiny, and while there was no way to reverse the tide that was coming in, I look back on that moment and feel proud for having been able to stand there and hold my ground.

Chapter 7: It’s About the Future 

• A company’s culture is shaped by a lot of things, but this is one of the most important—you have to convey your priorities clearly and repeatedly. In my experience, it’s what separates great managers from the rest. If leaders don’t articulate their priorities clearly, then the people around them don’t know what their own priorities should be. Time and energy and capital get wasted. People in your organization suffer unnecessary anxiety because they don’t know what they should be focused on. Inefficiency sets in, frustration builds up, morale sinks.
• You can do a lot for the morale of the people around you (and therefore the people around them) just by taking the guesswork out of their day-to-day life. A CEO must provide the company and its senior team with a road map. A lot of work is complex and requires intense amounts of focus and energy, but this kind of messaging is fairly simple: This is where we want to be. This is how we’re going to get there. Once those things are laid out simply, so many decisions become easier to make, and the overall anxiety of an entire organization is lowered.
• After the meeting with Scott, I quickly landed on three clear strategic priorities. They have guided the company since the moment I was named CEO: 
  • 1) We needed to devote most of our time and capital to the creation of high-quality branded content. In an age when more and more “content” was being created and distributed, we needed to bet on the fact that quality will matter more and more. It wasn’t enough to create lots of content, and it wasn’t even enough to create lots of good content. With an explosion of choice, consumers needed the ability to make decisions about how to spend their time and money. Great brands would become even more powerful tools for guiding consumer behavior.
  • 2) We needed to embrace technology to the fullest extent, first by using it to enable the creation of higher quality products and then to reach more consumers in more modern, more relevant ways. From the earliest Disney years under Walt, technology was always viewed as a powerful storytelling tool; now it was time to double down on our commitment to doing the same thing. It was also becoming clear that while we were still, and would remain, primarily a content creator, the day would come when modern distribution would be an essential means of maintaining brand relevance. Unless consumers had the ability to consume our content in more user-friendly, more mobile, and more digital ways, our relevance would be challenged. In short, we needed to view technology as more of an opportunity than a threat, and we had to do so with commitment, enthusiasm, and a sense of urgency.
  • 3) We needed to become a truly global company. We were broad with our reach, doing business in numerous markets around the world, but we needed to better penetrate certain markets, particularly the world’s most populous countries, like China and India. If our primary focus was on creating excellent branded content, the next step was to bring that content to a global audience, firmly planting our roots in those markets and creating a strong foundation to grow significantly in scale. To continue to create the same things for the same loyal customers was stagnation.

 

“You’re having a classic anxiety attack, Bob. You have to get some rest.” It was a relief, but also a worry. I’d always thought of myself as somewhat impervious to stress, able to stay focused and calm intense situations. The strain of this process was taking a bigger toll than I’d admitted even to myself, much less to my family or close friends, and a bigger toll than it should take. – Being a CEO is hard. Rockefeller lost all of his hair instantly because of it. Understand the toll it will take and cultivate an environment and routines to manage. 

• When I look back on that time now, I think of it as a hard-earned lesson about the importance of tenacity and perseverance, but also about the need to steer clear of anger and anxiety over things you can’t control.

Part Two: Leading

Chapter 8: The Power of Respect 

• If you approach and engage people with respect and empathy, the seemingly impossible can become real.
• You can’t wear your disdain for people on your sleeve, though. You end up either cowing them into submission or frustrating them into complacency. Either way, you sap them of the pride they take in their work.
• You have to do the homework. You have to be prepared. You certainly can’t make a major acquisition without building the necessary models to help you determine whether a deal is the right one, but you also have to recognize that there is never 100 percent certainty. No matter how much data you’ve been given, it’s still, ultimately, a risk, and the decision to take that risk or not comes down to one person’s instinct.
• It was all about the future, and our future depended on three things: making high-quality branded content, investing in technology, and growing globally. I couldn’t have anticipated back then how everything we would do would emerge from that template, and I could have never predicted a day like this one, in which those three pillars would be so overtly on display as we demonstrated the company’s plans for the future.
• I’m comforted by something I’ve come to believe more and more in recent years—that it’s not always good for one person to have too much power for too long. Even when a CEO is working productively and effectively, it’s important for a company to have changed at the top. I don’t know if other CEOs agree with this, but I’ve noticed that you can accumulate so much power in a job that it becomes harder to keep a check on how you wield it. Little things can start to shift. Your confidence can easily tip over into overconfidence and become a liability. You can start to feel that you’ve heard every idea, and so you become impatient and dismissive of others’ opinions. It’s not intentional, it just comes with the territory. You have to make a conscious effort to listen, to pay attention to the multitude of opinions. I’ve raised the issue with the executives I work most closely with as a kind of safeguard. “If you notice me being too dismissive or impatient, you need to tell me.” They’ve had to on occasion, but I hope not too often.

 

No matter who we become or what we accomplish, we still feel that we’re essentially the kid we were at some simpler time long ago. Somehow that’s the trick of leadership, too, I think, to hold on to that awareness of yourself even as the world tells you how powerful and important you are. The moment you start to believe it all too much, the moment you look yourself in the mirror and see a title emblazoned on your forehead, you’ve lost your way. That may be the hardest but also the most necessary lesson to keep in mind, that wherever you are along the path, you’re the same person you’ve always been.

 

Lessons to Lead By

They are the lessons that shaped my professional life, and I hope they are useful for yours. 

• To tell great stories, you need great talent. 
• Now more than ever: innovate or die. There can be no innovation if you operate out of fear of the new. 
• I talk a lot about “the relentless pursuit of perfection.” In practice, this can mean a lot of things, and it’s hard to define. It’s a mindset, more than a specific set of rules. It’s not about perfectionism at all costs. It’s about creating an environment in which people refuse to accept mediocrity. It’s about pushing back against the urge to say that “good enough” is good enough.
• Take responsibility when you screw up. In work, in life, you’ll be more respected and trusted by the people around you if you own up to your mistakes. It’s impossible to avoid them; but it is possible to acknowledge them, learn from them, and set an example that it’s okay to get things wrong sometimes. 
• Be decent to people. Treat everyone with fairness and empathy. This doesn’t mean that you lower your expectations or convey the message that mistakes don’t matter. It means that you create an environment where people know you’ll hear them out, that you’re emotionally consistent and fair-minded, and that they’ll be given second chances for honest mistakes. 
• Excellence and fairness don’t have to be mutually exclusive. Strive for perfection but always be aware of the pitfalls of caring only about the product and never the people.
• True integrity—a sense of knowing who you are and being guided by your own clear sense of right and wrong—is a kind of secret leadership weapon. If you trust your own instincts and treat people with respect, the company will come to represent the values you live by. 
• Value ability more than experience, and put people in roles that require more of them than they know they have in them.
• Ask the questions you need to ask, admit without apology what you don’t understand, and do the work to learn what you need to learn as quickly as you can. 
• Managing creativity is an art, not a science. When giving notes, be mindful of how much of themselves the person you’re speaking to has poured into the project and how much is at stake for them. 
• Don’t start negatively, and don’t start small. People will often focus on little details as a way of masking a lack of any clear, coherent, big thoughts. If you start petty, you seem petty.
• Of all the lessons I learned in my first year running prime time at ABC, the acceptance that creativity isn’t a science was the most profound. I became comfortable with failure—not with lack of effort, but with the fact that if you want innovation, you need to grant permission to fail. 
• Don’t be in the business of playing it safe. Be in the business of creating possibilities for greatness.
• Don’t let ambition get ahead of opportunity. By fixating on a future job or project, you become impatient with where you are. You don’t tend enough to the responsibilities you do have, and so ambition can become counterproductive. It’s important to know how to find the balance—do the job you have well; be patient; look for opportunities to pitch in and expand and grow; and make yourself one of the people, through attitude and energy and focus, whom your bosses feel they have to turn to when an opportunity arises.
• My former boss Dan Burke once handed me a note that said: “Avoid getting into the business of manufacturing trombone oil. You may become the greatest trombone-oil manufacturer in the world, but in the end, the world only consumes a few quarts of trombone oil a year!” He was telling me not to invest in small projects that would sap my and the company’s resources and not give much back. I still have that note in my desk, and I use it when talking to our executives about what to pursue and where to put their energy. 
• When the people at the top of a company have a dysfunctional relationship, there’s no way that the rest of the company can be functional. It’s like having two parents who fight all the time. The kids know, and they start to reflect the animosity back onto the parents and at each other.
• As a leader, if you don’t do the work, the people around you are going to know, and you’ll lose their respect fast. You have to be attentive. You often have to sit through meetings that, if given the choice, you might choose not to sit through. You have to listen to other people’s problems and help find solutions. It’s all part of the job. 
• We all want to believe we’re indispensable. You have to be self-aware enough that you don’t cling to the notion that you are the only person who can do this job. At its essence, good leadership isn’t about being indispensable; it’s about helping others be prepared to step into your shoes—giving them access to your own decision-making, identifying the skills they need to develop and helping them improve, and sometimes being honest with them about why they’re not ready for the next step up.
• A company’s reputation is the sum total of the actions of its people and the quality of its products. You have to demand integrity from your people and your products at all times. 
• Michael Eisner used to say, “micromanaging is underrated.” I agree with him—to a point. Sweating the details can show how much you care. “Great” is often a collection of very small things, after all. The downside of micromanagement is that it can be stultifying, and it can reinforce the feeling that you don’t trust the people who work for you. 
• Too often, we lead from a place of fear rather than courage, stubbornly trying to build a bulwark to protect old models that can’t possibly survive the sea change that is underway. It’s hard to look at your current models, sometimes even ones that are profitable in the moment, and make a decision to undermine them in order to face the change that’s coming.
• If you walk up and down the halls constantly telling people “the sky is falling,” a sense of doom and gloom will, over time, permeate the company. You can’t communicate pessimism to the people around you. It’s ruinous to morale. No one wants to follow a pessimist. 
• Pessimism leads to paranoia, which leads to defensiveness, which leads to risk aversion. 
• Optimism emerges from faith in yourself and in the people who work for you. It’s not about saying things are good when they’re not, and it’s not about conveying some blind faith that “things will work out.” It’s about believing in your and others’ abilities. 
• People sometimes shy away from big swings because they build a case against trying something before they even step up to the plate. Long shots aren’t usually as long as they seem. With enough thoughtfulness and commitment, the boldest ideas can be executed.
• You have to convey your priorities clearly and repeatedly. If you don’t articulate your priorities clearly, then the people around you don’t know what their own should be. Time and energy and capital get wasted. 
• You can do a lot for the morale of the people around you (and therefore the people around them) just by taking the guesswork out of their day-to-day life. A lot of work is complex and requires intense amounts of focus and energy, but this kind of messaging is fairly simple: This is where we want to be. This is how we’re going to get there. 
• Technological advancements will eventually make older business models obsolete. You can either bemoan that and try with all your might to protect the status quo, or you can work hard to understand and embrace it with more enthusiasm and creativity than your competitors. 
• It should be about the future, not the past. 
• It’s easy to be optimistic when everyone is telling you you’re great. It’s much harder, and much more necessary, when your sense of yourself is on the line.
• Treating others with respect is an undervalued currency when it comes to negotiating. A little respect goes a long way, and the absence of it can be very costly. 
• You have to do the homework. You have to be prepared. You certainly can’t make a major acquisition, for example, without building the necessary models to help you determine whether a deal is the right one. But you also have to recognize that there is never 100 percent certainty. No matter how much data you’ve been given, it’s still, ultimately, a risk, and the decision to take that risk or not comes down to one person’s instinct. 
• If something doesn’t feel right to you, it won’t be right for you. 
• A lot of companies acquire others without much sensitivity toward what they’re really buying. They think they’re getting physical assets or manufacturing assets or intellectual property (in some industries, that’s more true than others). But usually what they’re really acquiring is people. In a creative business, that’s where the value lies.
• As a leader, you are the embodiment of that company. What that means is this: Your values—your sense of integrity and decency and honesty, the way you comport yourself in the world—are a stand-in for the values of the company. You can be the head of a seven-person organization or a quarter-million-person organization, and the same truth holds: what people think of you is what they’ll think of your company. 
• There have been many times over the years when I’ve had to deliver difficult news to accomplished people, some of whom were friends, and some of whom had been unable to flourish in positions that I had put them in. I try to be as direct about the problem as possible, explaining what wasn’t working and why I didn’t think it was going to change. There’s a kind of euphemistic corporate language that is often deployed in those situations, and that has always struck me as offensive. If you respect the person, then you owe them a clear explanation for the decision you’re making. There’s no way for the conversation not to be painful, but at least it can be honest.
• When hiring, try to surround yourself with people who are good in addition to being good at what they do. Genuine decency—an instinct for fairness and openness and mutual respect—is a rarer commodity in business than it should be, and you should look for it in the people you hire and nurture it in the people who work for you. 
• In any negotiation, be clear about where you stand from the beginning. There’s no short-term gain that’s worth the long-term erosion of trust that occurs when you go back on the expectation you created early on. 
• Projecting your anxiety onto your team is counterproductive. It’s subtle, but there’s a difference between communicating that you share their stress—that you’re in it with them—and communicating that you need them to deliver in order to alleviate your stress.
• Most deals are personal. This is even more true if you’re negotiating with someone over something he or she has created. You have to know what you want out of any deal, but to get there you also need be aware of what’s at stake for the other person. 
• If you’re in the business of making something, be in the business of making something great.
• The decision to disrupt a business model that is working for you requires no small amount of courage. It means intentionally taking on short-term losses in the hope that a long-term risk will pay off. Routines and priorities get disrupted. Traditional ways of doing business get slowly marginalized and eroded—and start to lose money—as a new model takes over. That’s a big ask, in terms of a company’s culture and mindset. When you do it, you’re saying to people who for their entire careers have been compensated based on the success of their traditional business: “Don’t worry about that too much anymore. Worry about this instead.” But this isn’t profitable yet, and won’t be for a while. Deal with this kind of uncertainty by going back to basics: Lay out your strategic priorities clearly. Remain optimistic in the face of the unknown. And be accessible and fair-minded to people whose work lives are being thrown into disarray. 
• It’s not good to have power for too long. You don’t realize the way your voice seems to boom louder than every other voice in the room. You get used to people withholding their opinions until they hear what you have to say. People are afraid to bring ideas to you, afraid to dissent, afraid to engage. This can happen even to the most well-intentioned leaders. You have to work consciously and actively to fend off its corrosive effects. 
• You have to approach your work and life with a sense of genuine humility. The success I’ve enjoyed has been due in part to my own efforts, but it’s also been due to so much beyond me, the efforts and support and examples of so many people, and to twists of fate beyond my control.
• Hold on to your awareness of yourself, even as the world tells you how important and powerful you are. The moment you start to believe it all too much, the moment you look at yourself in the mirror and see a title emblazoned on your forehead, you’ve lost your way.