03/14/2025 15:30:00 +0800
● Learn why many CFOs lose time second guessing themselves
● Discover the impact of indecision on you and your team
● Unlock the simplest key to powerful executive presence.
A few years back I started working with a CFO who had recently taken on a new role working underneath a highly effective CEO. Working with him was a dream. He respected her opinion, trusted her judgement and managed his CFO and the rest of the senior leadership team just enough to get the best out of them and no more.
Yet she was struggling. You see, in her previous role, my new CFO had worked in a low trust environment, where she was micromanaged and second guessed at every turn. To adapt, she'd learned to play it safe by always keeping one foot on the brake and one on the accelerator.
I call this being an orange light CFO. They're the type of CFO who never fully commit to anything. They're happy to play the role of advisor but never that of decision maker, unwilling to put their head above the proverbial parapet.
Finance leaders typically fall into one of three camps;
Red Light CFOs are risk avoidant and can find themselves paralysed by indecision. Their caution prevents mistakes but also stalls project progress and frustrates their teams.
Orange Light CFOs are half in, half out. They're careful about perceptions and hesitant to make a decision. They spend too much time second-guessing themselves and preparing for pushback that may or may not ever eventuate.
Green Light CFOs are clear, confident, and committed. They make decisions quickly and communicate them with authority.
Most CFOs tend to fall into the Orange Light category. This has nothing to do with their ability. Instead, they take a bet each way because they're afraid to back themselves.
Red light, orange light, green light. Which are you?
Why Being an Orange Light CFO is Exhausting
Being an orange light CFO is exhausting. The hesitation, and the second-guessing drain your energy and slow everything down. You want to make decisions and move forward however you end up stuck in a loop of overthinking and revisiting choices you've already made.
One of the telltale signs of an orange light CFO is decision making by consensus. Decisions that should be straightforward become drawn-out debates, often revisited multiple times. It's not uncommon for these CFOs to delegate tasks, only to step back in and take control again. This creates confusion and leaves their teams hesitant to act, unsure of what's really expected.
When you hesitate, it signals to others that you lack confidence in your own judgment, making it harder for them to trust your decisions. This uncertainty creates a ripple effect across the business. Worse still, it erodes your self-trust, making every decision feel heavier and amplifying the cycle of doubt.
True executive presence requires conviction, and the confidence to stand by your choices. Without it, your influence can fade.
The Power of Unwavering Self-Confidence
When we talk about powerful executive presence, most people picture something almost mystical; an aura that some leaders just seem to have. But in reality, executive presence boils down to one thing: belief in your own competence. You don't need to have the loudest voice in the room, much less all of the answers.
You merely have to trust in your own ability to pivot if something goes wrong.
In fact, it's so simple that I'd suggest that being a green light CFO is easier than being an orange light CFO. All it requires is for you to back yourself.
In Essentialism: The Disciplined Pursuit of Less, Greg McKeown makes the statement that;
"100% in is easier than 99% in."
That lingering 1% of doubt is what keeps so many CFOs stuck at the orange light. You can't be half-pregnant. Commitment must be total. A CFO who hesitates creates a ripple of uncertainty that slows down the entire organisation.
Confidence isn't born of knowing you're always or even mostly right; it's born of knowing that you can handle whatever comes next, even if things don't go to plan. When you can do that, your team will follow suit. Because confidence is contagious.
What's one decision you've been putting off that you could commit to with confidence today?
What would change for you if you did?
I'd love to hear your thoughts.
