In the business world, few names resonate as profoundly as Elon Musk. Renowned for his audacious ventures in space, electric vehicles, and technology, Musk’s acquisition of Twitter has once again thrust him into the spotlight. Beyond the headlines, however, lies a deeper narrative—a glimpse into his enigmatic leadership style.
This article explores the dimensions of Musk’s approach to management, drawing upon the experiences of two former employees, and extracts valuable lessons for leaders looking to achieve sustainable growth and long-term success.
A Multifaceted Examination Of Elon Musk’s Leadership
When assessing Elon Musk’s leadership, it’s impossible to label it as strictly black or white. Through the perspectives of Jim Cantrell, a former SpaceX executive, and Esther Crawford, a former Twitter executive, the following analyses illustrate that Elon Musk’s leadership isn’t a one-note symphony.
The Two Faces Of Elon Musk
The good Elon is very funny and charming. He brought you along with his big ideas, and you got to be a part of it. The bad Elon would yell at you, and he would be frustrated. Nobody was good enough for him; nothing was good enough for him.Jim Cantrell, former Vice President of Business Development at SpaceX
On one hand, Musk’s charismatic approach, marked by an ability to infuse humor and charm into his leadership style, serves as a magnetic force. It draws employees into his grand vision, making them feel integral to the company’s overarching purpose. Such a feeling of belonging and contribution is no small feat—it’s a potent motivator that can drive loyalty and effort.
On the flip side, Musk’s demanding expectations can manifest as frustration and yelling. His relentlessness, often perceived as vexing, stems from an insatiable pursuit of excellence. Under the weight of this high-pressure environment, employees often feel that they can never quite measure up. This intensity, paired with his charm, creates an unpredictable work atmosphere.
Takeaway For Employers: Embracing Duality
Effective leadership isn’t a universal formula. Some employees thrive under intense environments, drawing energy from high-pressure conditions, while others may find such atmospheres stifling or overwhelming.
- Pros Of Duality: Musk’s ability to switch between two extremes, as described by Cantrell and Crawford, underscores the importance of adaptability in leadership. Leaders who can pivot between different styles, tailored to unique circumstances, empower their teams to confront various challenges. It fosters resilience, preparing employees for the ever-changing landscape of business.
- Cons Of Duality: However, if duality becomes inconsistent or unpredictable, it can breed confusion and uncertainty. When employees don’t know what to expect, morale and performance can suffer.
To truly capitalize on the advantages of duality, leaders must harness the strengths of duality without succumbing to its pitfalls. Catering leadership styles to the unique needs of team members lays the foundation for organizational success, fostering a culture where resilience and empathy coexist.
The Need For Speed Vs. Employee Burnout
Musk’s expectations are high and urgent, accepting nothing less than quick and efficient results. Speed has been a hallmark of his success, propelling teams of employees to achieve remarkable feats in record time.
We delivered [the project] on schedule – truly against the odds…Showing up and giving it your all should, in most cases, be celebrated. Obviously, you can’t work at that pace forever but there are moments where bursts are mission critical.Esther Crawford, former Director of Product Management at Twitter
However, his demanding work ethic can come at a cost: burnout. This state of physical and emotional exhaustion is brought about by prolonged periods of exposure to high-stress work. In Musk’s “hustle” culture, employees may find themselves on a never-ending treadmill of long hours and intense pressure, deteriorating their well-being and exacerbating burnout.
Employer Takeaway: Balancing Speed With Well-Being
Imagine a company as a living, breathing organism with a heartbeat. Just as in humans, where the heart rate varies depending on activity and demands, a company too can have its “heartbeat” – the pace and intensity of work that fluctuates based on projects, seasons, or market demands.
Like a well-regulated heartbeat, the pace of work should be balanced and adaptive. Employers must recognize that while there are times when speed is essential, there are also moments when a slower, more sustainable rhythm is necessary to maintain employee well-being.
Realistic goal setting is crucial for productivity, morale, and overall success. Leaders can establish achievable objectives through systems and processes such as:
- OKRs (Objectives And Key Results): By providing clear objectives and measurable key results, OKRs create transparency, enabling teams to see how their work contributes to the organization’s mission. This alignment boosts morale as employees understand their role in achieving success. At Wellable, OKRs are established on a quarterly basis, ensuring consistent alignment and adaptability to evolving business objectives.
- S.M.A.R.T. Goals: The S.M.A.R.T. criteria (Specific, Measurable, Achievable, Relevant, Time-bound) provides a structured approach to goal setting. Leaders can encourage their teams to follow these principles when defining their objectives to ensure goals are well-defined, realistic, and have manageable timelines.
- Data-Driven Decisions: Analyzing past performance, market trends, and other relevant data can provide a more accurate basis for setting realistic goals. By seeking out and leveraging available data and expertise, leaders can make informed decisions that are rooted in reality, not wishful thinking.
[Musk] didn’t seem compelled to seek out or rely on a lot of data or expertise to inform [decisions]. That was particularly frustrating for me since I believed I had useful institutional knowledge that could help him make better decisions.Esther Crawford, former Director of Product Management at Twitter
The Pitfalls Of Autocratic Leadership
An autocratic leadership style, often characterized by a singular decision-making process where the leader holds absolute authority and expects strict compliance from subordinates, has been observed in various influential leaders, including Elon Musk.
If there are employees not aligned with that vision, he will chew them out and he will do it in a vicious way, which is his right as owner.Jim Cantrell, former Vice President of Business Development at SpaceX
Musk expects complete alignment from his teams with his ambitious goals. For him, this alignment isn’t a preference— it’s non-negotiable.
When employees fail to meet his expectations or deviate from his grand plan, they face intense criticism and frustration. Such experiences can be demoralizing and threaten psychological safety. Additionally, workers may become hesitant to voice their opinions or take creative risks, fearing repercussions.
The challenge is his personality and demeanor can turn on a dime going from excited to angry. Since it was hard to read what mood he might be in and what his reaction would be to any given thing, people quickly became afraid of being called into meetings or having to share negative news with him.Esther Crawford, former Director of Product Management at Twitter
Employer Takeaway: Alignment Over Autocracy
While alignment with a visionary leader is important, it should not come at the cost of individuality or innovation. Striking a balance requires:
- Clarifying The Vision: When leaders clearly articulate their vision, there is a cohesive understanding of the overarching goal, enabling employees to chart their own paths to get there.
- Embracing Autonomy: With the vision clearly communicated, have trust in employees to execute their tasks accordingly. Empower them to be creative and take ownership of their work.
- Practicing Emotional Intelligence: Emotional intelligence is an often overlooked, but critical, workplace skill. As leaders, developing strong emotional intelligence ensures employees feel heard and respected, resulting in healthier interactions and greater alignment.
Elon has an exceptional talent for tackling hard physics-based problems but products that facilitate human connection and communication require a different type of social-emotional intelligence.Esther Crawford, former Director of Product Management at Twitter
Organizational Impact & Culture
The transformation of Twitter before and after Elon Musk’s involvement reflects a shift from a cumbersome environment to one characterized by the promise of revitalization.
As described by Crawford, Twitter’s culture had stagnated before Musk’s arrival, suffocated by excessive bureaucracy. It lacked innovation, took no risks, and often saw projects abruptly canceled, all while overlooking underperforming elements within the company.
Twitter often felt like a place that kept squandering its own potential, which was sad and frustrating to see.Esther Crawford, former Director of Product Management at Twitter
Musk’s entry introduced the potential for change and many workers found a newfound sense of purpose and motivation.
Up close it was both amazing and terrible, like so many other companies and things in life… I think of life as a game, and being at Twitter after the acquisition was like playing life at Level 10 on Hard Mode. Since I like taking on difficult challenges, I found it interesting and rewarding because I was growing and learning so rapidly.Esther Crawford, former Director of Product Management at Twitter
Musk’s “brutalist and hardcore” nature is a double-edged sword, described as both “amazing and terrible”. While his leadership has driven remarkable achievements, it has also presented challenges.
- Team Morale: Musk’s passion and unwavering commitment to bold ideas can motivate employees and instill a sense of purpose. However, his unrealistic expectations and occasional outbursts also lead to frustration and anxiety. This dynamic creates a rollercoaster effect on team morale, where employees experience highs of inspiration and lows of stress.
- Organizational Effectiveness: Musk’s drive for speed and alignment with his vision has led to various organizational successes, but this approach can also result in burnout and employee turnover. Balancing ambition with sustainability is essential for long-term effectiveness and retaining top talent.
I made peace with the fact that I didn’t have psychological safety at Twitter 2.0 and that meant I could be fired at any moment, and for no reason at all. I watched it happen repeatedly and saw how negatively it impacted team morale.Esther Crawford, former Director of Product Management at Twitter
Employer Takeaway: Visionary Leadership & Human-Centric Culture
A bold, visionary leader has the power to inspire their workforce and steer their organization toward greatness. However, it’s crucial to remember that employees are most loyal to an organization and its mission when they are treated as human beings, not just as a means to an end. As employers look to drive innovation and set ambitious goals, it’s crucial to prioritize the following:
- Open Communication: An environment where employees feel free to express their thoughts, concerns, and ideas fosters creativity and innovation. This means leaders need to create spaces where candid feedback is welcomed and considered. Open channels of communication also reduce misunderstandings and ensure that everyone is aligned with the organization’s objectives.
- Empathy: Recognizing and valuing the emotions and experiences of employees can go a long way in building trust. Leaders who show understanding and empathy towards their team’s challenges and stressors demonstrate that they value their employees as individuals, beyond just their professional contributions. This helps in reducing burnout and retaining talent.
- Respect: Mutual respect in the workplace ensures that every voice is valued, irrespective of rank or position. By showing genuine regard for each employee’s input and ensuring that everyone is treated fairly, employers can cultivate a collaborative and inclusive environment. Respect also means recognizing and appreciating the diverse perspectives and backgrounds that each team member brings to the table.
In essence, while visionary leadership can propel an organization to new heights, it is the human-centric culture, underpinned by open communication, empathy, and respect, that ensures sustainable growth and long-term success.