Leadership teams that don't work—and how to fix them

Leadership teams are the driving force behind an organization's success. However, even the most talented group of executives can fall prey to dysfunction, leading to decreased productivity, low morale, and missed opportunities. In this article, we'll explore the common types of dysfunctional leadership teams, their root causes, and effective strategies to transform them into high-performing units.

Dysfunctional leadership teams are groups of executives who struggle to work together effectively, often due to interpersonal conflicts, lack of trust, or misalignment of goals. These issues can significantly impact an organization's performance and culture.

As Thomas Keil, management professor at the University of Zurich, notes:

"Initially when we started our study, we were not really looking at failing leadership teams. But as we spoke with people and as they often talked in more detail and often also asking to stay anonymous, they opened up that they had a lot of issues with the leadership team and it was surprisingly common in fact."

The Three Main Types of Dysfunctional Leadership Teams

Research by Thomas Keil and Marianna Zangrillo has identified three primary patterns of dysfunction in leadership teams:

1. Shark Tanks

Shark tank teams are characterized by:

• Intense competition among team members
• Frequent infighting
• Political maneuvering

In these teams, winning is prioritized over collaboration, leading to a toxic work environment.

2. Petting Zoos

Petting zoo teams exhibit:

• Extreme conflict avoidance
• Excessive collaboration
• Lack of constructive criticism

While harmony is important, these teams fail to challenge each other, resulting in stagnation and missed opportunities for growth.

3. Mediocracies

Mediocracy teams suffer from:

• Complacency
• Lack of competence
• Focus on past performance rather than future potential

These teams often struggle to adapt to changing market conditions and drive innovation.

Root Causes of Leadership Team Dysfunction

Understanding the underlying causes of team dysfunction is crucial for developing effective solutions. Some common root causes include:

1. Lack of Trust

When team members don't trust each other, they're less likely to be vulnerable, share ideas, or collaborate effectively.

2. Poor Communication

Ineffective communication can lead to misunderstandings, conflicts, and missed opportunities for alignment.

3. Unclear Goals and Expectations

Without clear objectives and role definitions, team members may work at cross-purposes or fail to prioritize effectively.

4. Ineffective Leadership

CEOs play a crucial role in shaping team dynamics. As Marianna Zangrillo points out:

"We do see that in situations like a shark tank, it is often just one or two team members, which may be the problem. And if the CEO pays attention to how the individuals behave, they may quickly identify the one who might be the problem, have conversations with him and her."

Strategies for Fixing Dysfunctional Leadership Teams

Transforming a dysfunctional leadership team requires a multi-faceted approach. Here are some effective strategies:

1. Foster Trust and Psychological Safety

Create an environment where team members feel safe to express their ideas, concerns, and vulnerabilities without fear of retribution.

2. Improve Communication

Implement regular check-ins, encourage open dialogue, and establish clear channels for sharing information and feedback.

3. Clarify Goals and Expectations

Ensure that all team members understand the organization's objectives and their individual roles in achieving them.

4. Address Conflict Constructively

Encourage healthy debate and provide tools for resolving conflicts productively.

5. Develop Emotional Intelligence

Invest in emotional intelligence training to help team members better understand and manage their own emotions and those of others.

6. Promote Accountability

Establish clear performance metrics and hold team members accountable for their commitments and results.

7. Encourage Diversity of Thought

Actively seek out and value diverse perspectives to drive innovation and better decision-making.

The CEO's Role in Fixing Dysfunctional Teams

As the leader of the organization, the CEO plays a critical role in addressing team dysfunction. Thomas Keil emphasizes the importance of the CEO's behavior:

"How the CEO acts himself or herself as a leader, how he or she interacts with the individual team members, interacts in those meetings is such an important driver. And often CEOs talk one game and then themselves behave differently, and that completely derails any kind of change that they may try to institute."

To effectively lead a transformation, CEOs should:

• Model desired behaviors
• Provide clear direction and expectations
• Address problematic team members promptly
• Foster a culture of continuous improvement
• Seek feedback and be open to change

Assessing Your Leadership Team's Health

Regular assessment of your leadership team's dynamics is crucial for identifying and addressing potential issues before they escalate. Consider implementing the following practices:

• Anonymous surveys to gauge team sentiment
• 360-degree feedback for all team members
• Regular team effectiveness evaluations
• External consultants to provide objective assessments

Case Studies: Successful Leadership Team Transformations

Case Study 1: Tech Startup Overcomes Shark Tank Dynamics

A rapidly growing tech startup was struggling with intense competition among its leadership team. The CEO implemented a series of team-building exercises focused on trust-building and collaborative problem-solving. Within six months, the team's dynamics had shifted dramatically, leading to improved product development and a 30% increase in revenue.

Case Study 2: Manufacturing Company Addresses Mediocrity

A long-established manufacturing company found its leadership team stuck in outdated thinking and resistant to change. The CEO brought in a leadership coach to work with the team, focusing on innovation and adaptability. The result was a reinvigorated team that successfully launched three new product lines within a year.

The Impact of Fixing Dysfunctional Leadership Teams

Addressing dysfunction in leadership teams can have far-reaching benefits for the entire organization, including:

• Improved decision-making and strategy execution
• Increased innovation and adaptability
• Enhanced employee morale and retention
• Better financial performance
• Stronger organizational culture

Transforming a dysfunctional leadership team is no small feat, but the rewards are substantial. By identifying the type of dysfunction, addressing root causes, and implementing targeted strategies, organizations can unlock the full potential of their executive teams.

As Marianna Zangrillo concludes:

"It's very important that every individual takes ownership of own behavior, own future, and also organizational success. If everybody thinks that it's only the CEO or the leader job to do the correct things, then the likelihood that the organization takes a good direction is much smaller."

By fostering trust, improving communication, and promoting accountability, leadership teams can overcome dysfunction and drive their organizations toward sustained success in an ever-changing business landscape.