When leaders prioritize people over quarterly numbers, remarkable things happen. When they prioritize numbers over people, trust erodes and performance suffers. This chapter explores what it takes to lead with courage.
True leadership requires sacrificing short-term gains for long-term health. This takes courage because the market often punishes such decisions.
When Wall Street pressured Costco to cut employee wages and benefits, CEO James Sinegal refused. He maintained higher pay and better benefits than competitors, arguing that taking care of employees was the right thing to do.
The result: Lower turnover, higher productivity, better customer service, and long-term profitability that exceeded competitors.
Leaders who prioritize people understand business as an infinite game—there’s no final score, only the continuation of play.
Finite: Win this quarter, beat the competition this year
Infinite: Build something that outlasts you, create enduring value
These decisions boost numbers temporarily but destroy the foundation of success: trust.