Fear of Missing Out (FOMO) can significantly influence decision-making, especially when it comes to guiding a company toward its exit strategy. Last week, I shared about The Impact of FOMO on Guiding a Company to the Exit. Today, I would like to go a layer deeper into the correlation between FOMO and leadership styles, as understanding how FOMO affects different leadership styles is crucial for leaders navigating through exits.
FOMO and Leadership Styles
Leadership styles can be heavily influenced by FOMO. Those prone to FOMO may exhibit tendencies towards impulsivity, chasing trends without thorough evaluation, and making decisions based on short-term gains rather than long-term strategy. On the other hand, leaders who effectively manage FOMO are more likely to display characteristics of strategic thinking, patience, and the ability to withstand market fluctuations without succumbing to reactionary impulses.
I love Craig Groeschel’s take on leadership and I have based the styles that we will be looking at off of his 6 Types of Leaders framework (more information on this available here and here). Let’s explore how traits of the following leadership styles can correlate with FOMO tendencies using my mindset below.
1. Visionary Leadership
Leaders who fall into Groeschel’s visionary category often have a clear long-term strategy and are less likely to be swayed by short-term trends driven by FOMO. They focus on the bigger picture and are more discerning in their decision-making, weighing the potential risks and rewards before acting.
2. Strategic Leadership
Strategic leaders excel at analyzing data, identifying opportunities, and formulating plans for sustainable growth. They are less susceptible to FOMO because they prioritize and discipline behavior around initiatives that align with the organization’s strategic objectives, rather than chasing every fleeting opportunity that arises.
3. Empowering Leadership
Empowering leaders prioritize developing and empowering their teams, fostering a culture of collaboration and innovation. While they may be open to exploring new ideas and opportunities, they do so in a controlled manner, ensuring that decisions are made collaboratively and align with the organization’s long-term goals.
4. Authentic Leadership
Authentic leaders lead with integrity and transparency, which can serve as a counterbalance to FOMO-driven impulses. By staying true to their values and principles, they are less likely to be swayed by external pressures or the fear of missing out on short-term gains.
5. Courageous Leadership
Courageous leaders are willing to take calculated risks and make tough decisions, even in the face of uncertainty. While they may occasionally entertain new opportunities, they do so with a sense of caution and deliberation, avoiding impulsive actions driven by FOMO.
You can read more about Craig’s Leadership views here.
A Mindful Approach to FOMO
Leaders of all leadership styles should have FOMO on their radar in one capacity or another. The relationship between FOMO and leadership styles is a nuanced interplay that shapes the trajectory of a company’s exit strategy. As leaders, understanding this dynamic and adopting a mindful approach to FOMO can ultimately determine the success of the exit journey—either as a strategic, well-executed plan or a hasty, regrettable decision influenced by the fear of missing out.
I would love to talk with you about anything related to this article. I have lived examples of what I address throughout my 40-year career. Let’s talk. You don’t have to be a customer to spend time with me. I invite you to dig in with me. I’m sure we can learn from one another.