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In a recent FORTUNE magazine interview, Jim Collins, renowned author of business blockbusters Built to Last and Good to Great, shares his insights on the ingredients that make great decisions, great leaders and great companies. What value do Collins’ remarks have for professional communicators?

If you work in corporate America, you have likely heard of Jim Collins, his bestselling books, his famous “Hedgehog Concept” or all of the above. Collins is arguably the most reputed business author since business guru Tom Peters published his classic In Search of Excellence almost 25 years ago.

In a recent FORTUNE magazine interview, Collins discussed insights he had gathered from analyzing the processes behind key decisions in business history. His remarks are worth noting for those seeking leadership tips, but they also offer good advice for communications professionals looking to effectively use internal or external communications to deliver company messages.

“Collins-isms” of note:

“. . . when I look at my research notes and I look at interview transcripts from the executives we’ve interviewed, one theme that comes through is that their greatest decisions were not ‘what’ but ‘who.’ They were people decisions.” Jim Collins firmly believes that great leaders make decisions about which people to bring on the team – not which strategy to implement. Collins contends that if a leader has a team of capable people, that team will know how to find the solution when a major business challenge occurs.

see see eye translation: tell your company’s people stories wherever possible (versus going on about the company’s strategy). Include tales of people accomplishing what seemed to be unachievable, people going to great lengths and people contributing out-of-the-box ideas that led to success. People stories are far more engaging and send a message that good people are what the company (and CEO) values.

“. . . the leaders who ended up setting things in place that produced extraordinary results over time, and a series of great decisions over time, really were very comfortable saying ‘I don’t know’ until they knew.” According to Collins, it’s better for a leader to say “I don’t know” and mean it than to pretend he/she knows the answer to something in order to appear resolute. Or worse, says Collins, “The CEO has already made a decision and his definition of leadership is to get people to participate so that they feel good about the decision he’s already made.”

see see eye translation: whenever possible, present your CEO as a real person – someone who is approachable, explains things in simple terms and isn’t afraid to admit she/he doesn’t have all the answers. Use conversational language when drafting copy for him/her for an annual report or other communications. If your CEO relies on a leadership team, holds internal “town meetings” or roundtable discussions on key topics, or incorporates other means of obtaining feedback when formulating decisions, find ways to showcase this management style in your internal and external communications via visuals and copy. It will send a positive message to employees and other stakeholders that their opinions matter and that the CEO doesn’t pretend to have all the answers.

“No major decision we’ve studied was ever taken at a point of unanimous agreement. There was always some disagreement in the air.” Jim Collins believes that great leaders aren’t afraid of conflict – in fact, they look for people with a streak of irreverence and independent thought. They push people to defend their points of view. They let debates rage. Then they make the best decision based on the information presented.

see see eye translation: If there are matters involving great change or big decisions within your organization, use your internal or external communications where appropriate to bring your stakeholders in on the debate process. Of course, there may be topics of confidentiality that prohibit a company or organization from publicly airing all sides of an issue. However, if stakeholders can see that a matter has been explored from all sides in preparation for a major decision, Collins says his research proves that people can “then set aside their disagreements and work for the success of the enterprise.”

“The question is not what the world does to you but how you make an impact on the world. Decision-making is ultimately a creative act.” Collins firmly believes that we are masters of our own destiny. He points out that companies who engender this psychology within their organizations can and do beat the odds within their industries. One case in point: Southwest Airlines, who for a 30-year period between 1972 to 2002, was the No. 1 performing publicly traded company in terms of return to investor (Collins makes the point that airline stocks are considered among the most volatile as an airline’s performance is prone to numerous outside influencers – fuel prices, interest rate spikes, deregulation and wars, to name a few).   

see see eye translation: Communications can play an important role in reinforcing concepts of personal responsibility and overcoming obstacles. Stakeholders can be encouraged to have faith in a leader and company who believes in their ability to succeed.  Of course, at some point along the way, a company’s performance will need to match up with its message. However, assuming that there are positive signs, an organization’s communications can help build stakeholder confidence in the future and maintain the loyalty necessary to arrive at the common goal.

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