Last week I did another interview for my new book, and we hit the topic of ‘over-confidence.’
As 2022’s challenges revealed themselves, I got a little overconfident. There were a lot of layoffs. And I was like; it’s going to be fine. Don’t worry; this has happened to us before. So I spent the first quarter telling people to relax; it’s fine. Then, I started to see how that wasn’t the case in the second quarter.
I misjudged what was happening this year and how a flash-in-the-pan moment of the pandemic is very different from an impending recession. If I had a more objective mindset, I would have seen, ‘Oh, this is going to be different. But I leaned on a little bit too much confidence.
I think we’ve all seen this around us or even experienced it ourselves. And the question is: How can we avoid it? How can we avoid becoming too overconfident?
The reality is: We can’t if we don’t get out of our bubbles.
It’s not enough to speak with our inner circle: our leadership team, investors, and board advisors.
Why? Because they’re all stakeholders – they all have a vested interest and therefore are biased. So you can’t be totally free.
Here is where CEO peer groups kick in. People like yourself. Who’re living your problems but can look at your situation unbiasedly.
I asked Rami Darwish, CEO of Arrowlabs and a member of the CEO Mastermind program I run weekly, why this is so valuable to him.
Here are his top 5:
- “It helps me to flesh out burning questions with a group of peers that are not going to judge you”
- “It’s an outlet to describe my issues being unhinged and explain my problem with no hidden agenda.”
- It gives me an outlet to air out and recharge because the people in the room are there to listen, help and share.
- Knowing I am not alone in the journey. Being amongst peers who are going through the same or different challenges.
- It gets you to think about things you usually don’t get to think about. It brings diverse perspectives.
Question for you to reflect upon
Where in your SaaS business are you running the most significant risk of leaning too much on overconfidence? What could you change today to have a more objective mindset?