Learn from Obama - What business leaders need to know

Steven Pearce

In four years' time we'll know whether Barack Obama's record goes on to justify the hype of his inauguration. What is for certain right now, however, is that some of the techniques that got him to the White House in the first place have plenty to teach today's embattled business leaders as they struggle to win credibility with both markets and workforces.

Here are five secrets direct from the Obama "war room" that could transform the effectiveness of senior professionals.

1. Have a core message. "Yes we can" had the benefit of being astoundingly simple as well as refreshingly positive. Your strategy for the business should be similarly brief and uplifting: can you summarise it in a sentence?

2. Tell people what they need to hear, not what they want to hear. If there's bad news to be told, tell it. Candour will be respected, if not applauded; any sense of evasion, you're dead. Obama's inauguration speechwriters recognised this trend: few flights of rhetorical fancy + plenty of plain speaking = authentic communication.

3. Open up - reveal more of your personal story. The credit crunch has exposed the often murky link between the decisions taken at top level and the bread and butter consequences for the man on the street. Starting from now, people will take much more interest in the credentials of those who wield power. Where did you come from? What do you believe in? People (literally) bought the Obama life story, because he wrote two best-selling volumes about it before getting anywhere near the Presidential race. Self-disclosure hurts some people, but beware: having the luxury of being judged purely on what you do is history. Get used to being judged on who you are.

4. Welcome discordant voices. If one man had all the answers, RBS's Fred Goodwin wouldn't be on long-term gardening leave right now. Obama has deliberately surrounded himself with difficult, demanding colleagues. Definitely not the recipe for an easy life, but essential if your decision- making style is going to be considered as opposed to knee-jerk.

5. Nurture your grass-roots. Obama's victory was achieved by thousands of (online) foot-soldiers, most of whom had never been involved in a political campaign in their lives. His team carefully nurtured this army of Joe Does - campaign chief David Plouffe kept them regularly updated via personalised webcasts - and the result was more money and manpower than his opponent. How often do you make a real effort to engage with your front-line staff? Your administrative staff? Your temporary staff? These people are used to life in the margins. Make them feel centre-stage and astonishing, positive energy can be unleashed.