OCB: What is a Level 5 Leader, and why Christians have an Advantage in Business


Jim Collins is one of the best-known business gurus, and he proposes the idea of a Level 5 leader in his book "Good to Great". The book examines companies that significantly outperformed their competitors, such as Wells Fargo over Bank of America, or Walgreens over Eckerd, and looks at reasons why some companies go on to be extraordinary while others remain ordinary. One of Collins' conclusions is that every great company is led by what he calls a Level 5 leader.
· Level 1 is a Highly Capable Individual. This is someone who contributes through talent, knowledge, skills, and good work habits. He is nominally a leader, but at least is a productive member of the team.
· Level 2 is a Contributing Team Member. So not only is he talented and skilled, but he has the ability to work with others in a team setting.
· Level 3 is a Competent Manager. This is someone who is able to organize people and resources toward effective pursuit of objectives.
· Level 4 is an Effective Leader. Many of the leaders that you see in the news, with charisma and ability, are actually Level 4 leaders. People like Larry Ellison at Oracle, or Richard Branson at Virgin, embody this sort of leadership. They can build good organizations, but not necessarily truly enduring and great ones.
· Level 5 is simply called a Level 5 Leader. This is someone who can build greatness through a paradoxical combination of personal humility and professional will.
As Collins goes on to describe a Level 5 leader, you get the sense that he is speaking about someone with the ideals that would typically be used to describe a Christian. This is a CEO or a leader who is not trying to be the flashiest person in the room, or someone who pretends to be the smartest person. He is someone who understands his own limitations, and relies on others for expertise and feedback. This leader can be introverted, not necessarily leading from the front. He has humility, willing to admit when a mistake has been made, rather than trying to shift the blame around like seen in so many corporate executive suites. Jesus certainly would have been called a Level 5 leader. And it turns out that after much study, those who follow Christian ideals turn out to be the ones who are best able to lead a company and to grow it from something that is ordinary into something that is extraordinary.
Many more examples are given in the book, and many other mechanisms are described through which a company can become a great one. However, understanding the characteristics of the Level 5 leader will help us to understand that the business world is not completely indifferent to the spiritual one. There is overlap in Christian values and business ones. It is possible to be Christian businessmen and businesswomen, both doing good and doing good business.

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