Which Leader Do You Admire?

For me, its Satya Nadella. He has shown the roadmap to lead companies in a sustainable manner during uncertain and troubled times like now (post covid era).

His book-"Hit Refresh" is a relevant and important read today for all leaders.

I became curious about this leader because of what he said when he was announced as Microsoft’s CEO in 2014. He was not the boisterous, flamboyant leader I had expected. Instead, Nadella delivered a speech that was as refreshing as it was unexpected. He delivered it with quiet confidence.

His words were not about market share or revenue targets. Instead, he spoke of empathy, of empowering people, and of building a world where technology served humanity. This marked a stark departure from the aggressive, product-centric rhetoric that had defined Microsoft for years.

An important trait that all leaders must have is Self Awareness. Satya Nadella demonstrates his self awareness thru his value. At the core of Nadella’s leadership is his belief in the power of empathy. He emphasises the importance of understanding the needs and perspectives of others, a value he believes is essential for building strong relationships and fostering innovation. This emphasis on empathy is evident in Microsoft’s shift towards a more customer-centric approach.

Peter Drucker had famously said, “Culture Eats Strategy for Breakfast”. Setting aside the arguments about the truth of this statement, Nadella has shown how both Strategy and Culture are equally important.

STRATEGY

To navigate Microsoft through a rapidly changing technological landscape, Nadella outlined a clear strategy. He recognized the growing importance of cloud computing and positioned Microsoft as a leader in this space. Azure, Microsoft’s cloud platform, has grown exponentially under his leadership, becoming a formidable competitor to Amazon Web Services.

Simultaneously, Nadella invested heavily in artificial intelligence, recognizing its transformative potential. From Bing to Office, AI has been integrated into Microsoft’s products, enhancing user experience and driving growth.

CULTURE

But Nadella’s success extends beyond financial metrics. He has been instrumental in transforming Microsoft’s culture. Replacing the company’s hyper-competitive, win-at-all-costs mentality, Nadella has fostered a culture of collaboration, innovation, and empathy.

A key component of this cultural shift has been the emphasis on growth mindset. Nadella believes that everyone has the capacity to learn and grow, and he has encouraged employees to embrace challenges and setbacks as opportunities for development. He transformed Microsoft from a culture of ‘know-it-all’ to ‘learn-it-all.’ He emphasized the value of learning from mistakes and perceiving challenges as opportunities for growth and development. In adopting this philosophy, Nadella cultivated an environment where innovation wasn’t merely accepted – it was actively celebrated.

Moreover, Nadella has worked to align everyone at Microsoft towards a shared common purpose: to empower every person and organization on the planet to achieve more. This overarching goal has provided a clear direction for the company and inspired employees to work towards a common vision.

To foster open communication and collaboration, he made the members of his senior leadership team read the 2003 book "Non Violent Communication-A Language of Life" by the psychologist Marshall B. Rosenberg. Nadella?handed out copies of the book?at his first executive meeting. He fostered a framework for empathic dialogue, into the company. This initiative aimed to reduce conflict and create a more harmonious work environment.

Nadella’s authenticity and vulnerability have also been instrumental in building trust and credibility. He has openly acknowledged mistakes and learned from failures, demonstrating that even leaders are not infallible. This human touch has made him relatable and earned him the respect of employees and customers alike.

Since Nadella took the helm in 2014, Microsoft’s financial performance has been nothing short of spectacular. The company’s market capitalization has soared, and its share price has multiplied several times over. This remarkable growth is a testament to Nadella’s leadership and the effectiveness of his strategy.

According to Microsoft’s annual reports, the company’s revenue has grown consistently since 2014. The cloud business, in particular, has been a major driver of growth. Azure’s revenue has expanded rapidly, solidifying Microsoft’s position as a leading cloud provider.

Satya Nadella has undoubtedly transformed Microsoft. His emphasis on empathy, collaboration, and innovation has created a company culture that is both inspiring and productive. By focusing on empowering others and serving customers, he has not only achieved remarkable financial success but also positioned Microsoft as a force for good in the world.