The dearth of leadership

As one looks inside failed and failing companies, one attribute is clear. These companies suffer from a lack of leadership. Leading an organization, just as leading a country, is a privilege and not a job.  The fact that leaders of failing companies are focused on their own compensation, is the first red flag for stakeholders that something is terribly wrong. Time spent on discussions around bonuses among senior leaders, should indicate that there are many wrong people in these positions. They may have reached there by luck or by politics and are likely unsuitable for leading companies. As the policy makers ponder "greater involvement," with private enterprises, they should be careful. A leader's task is not defined in political manuals, either. It is leadership that makes companies succeed. We have a structural problem in large companies that need to work itself out. This include the removal of incompetent leaders but that has to be done by the markets and not by the heavy hand of policymakers.