The Power of Margin

When I start working with high-growth founder CEOs, I often see a similar pattern.

Full calendars.
Decisions that never stop.
First in, last out.

It looks like commitment. But it’s actually a warning sign.

From the outside, the business may look healthy. Revenue is growing. The team is busy. On paper, things still look successful.

But internally, something starts to shift.

Decision-making flows upward. Leaders wait instead of owning. Important conversations get delayed because everything still runs through one person.

The team is capable. But over time, the business becomes increasingly dependent on one leader to keep everything moving.

Being busy is not a badge of honor.

The CEO has slowly become the ceiling.

That’s what a lack of margin often looks like.

What margin actually creates

Margin is the space between your next commitment and your capacity to think clearly.

It’s not a luxury.

It’s what allows leaders to stay strategic, develop leaders around them, and lead from clarity instead of constant reaction.

What the best leaders protect

The healthiest leaders I know protect their margin.

Space to think.
Space to reflect.
Space to develop the people around them.
Space to develop the business.

The best thinking doesn’t happen in back-to-back meetings.

It happens on a walk. During quiet thinking time. In quality conversations that aren't rushed.

For me, it often comes through a committed morning routine, yoga, flying, time in nature, travel, and quality time with family and friends. I’m also privileged to lead a team that steps into leadership to better serve our clients.

Where to start

Margin has to be built intentionally.

Start small. Ninety minutes a week. One block protected on the calendar.

But for many CEOs, the deeper issue is not just the calendar.

It’s that too many decisions still flow back to the CEO.

Over time, that creates a business where leaders wait instead of owning and the CEO becomes the bottleneck for clarity, direction, and decision-making.

The Function Accountability Chart is one of the first tools I use when I start working with leadership teams. When ownership becomes clear, leadership teams stop reacting and start leading together.

• Where does your clearest thinking happen, and how much of your week is actually designed around it?

• Does every person on your leadership team know exactly what winning looks like in their seat?

Your business needs the best of you. And so does everyone else in your life.

The One Conversation Most Leadership Teams Have Never Had

One of the most transformational moments in scaling a company happens when a leadership team stops operating on assumptions and starts operating with clarity.

The Function Accountability Chart is far more than an org chart. It is a leadership alignment tool that defines who is accountable for each critical function of the business and, more importantly, the outcomes that define success in that role.

When senior leaders openly clarify ownership around people, strategy, execution, cash, customer experience, and operational excellence, confusion begins to disappear.

Silos break down. Trust increases because expectations are no longer hidden or implied. The leadership team gains the confidence to challenge, support, and collaborate at a higher level because everyone knows who owns what.

In healthy scaling organizations, leaders stop protecting territory and start building together as one team.

What gets in the way?

Lack of clarity.

Excuses instead of accountability.

And often, a misunderstanding of what actually creates value within each function of the business.

But here’s what I see in practice.

Most leadership teams have the right people. But when I ask what winning looks like in their seat this quarter, the room goes quiet.

Most leaders know what their team does. Fewer know the outcomes they are accountable for driving.

Without that clarity, the default becomes activity. People stay busy. Meetings happen. Projects move. But over time, capable leaders stop driving and start reacting.

Marketing blames sales. Sales blames operations. Leaders start protecting functions instead of building together as one team.

That’s what unclear ownership produces.

This is why the Function Accountability Chart matters so much. It creates clarity around ownership and outcomes.

How to build one

List every function on your leadership team. Sales, Marketing, Operations, Finance, HR, and any others specific to your business.

For each function, assign one name. Not a team. One person.

Then for each seat, answer two questions: What outcomes is this function responsible for driving? What metrics validate success?

Once it’s built, ask four questions:

• Is there more than one person in this seat?

• Is one person stretched across too many seats?

• Are there empty seats nobody owns?

• Would you enthusiastically rehire the person for that role?

That last question is the one most leaders avoid. It’s also the most important.

Because now the conversation is no longer about activity. It’s about whether the business can scale beyond the CEO.

Does every person on your leadership team know exactly what success looks like in their seat this quarter?

Or are people still operating on assumptions?

If you’re ready to build this with your team, I’d love to be in the room. The FAC is one of the first tools I use with every leadership team I work with. Reach out and let’s build it together.

Leveraging AI & Discernment

Meta announced this week that it is tracking every keystroke of its employees to train AI.

Most leadership conversations right now are about adoption. What tools to use? What to automate? How fast to move?

But the advantage has shifted.

It is no longer about access to information. It is about knowing what to do with it.

That is discernment.

What We Did About It

A few months ago at PFD, we had this conversation.

Not just which tools to use. But what outcomes we actually wanted AI to drive. How we wanted it to shape our culture. Where it could support us. And where people always come first.

Because in a world where AI gives everyone access to unlimited information, leadership is about knowing what to do with it.

The leaders navigating this moment well are not just adopting AI quickly.

They are being intentional about how it shapes their culture, decision-making, and the energy of their teams.

Where Working Genius Comes In

Every person on your team is wired differently. Wonder. Invention. Discernment. Galvanizing. Enablement. Tenacity.

AI does not change that. It amplifies it.

The best use of AI is not replacing people. It is freeing them to spend more time in their genius. Less administrative drag. More human energy directed toward work that creates momentum.

Used well, AI becomes a force multiplier.

Curious to learn more about Working Genius? More information here → The Working Genius Model

Three Questions Worth Your Time

Is AI reinforcing your culture or quietly reshaping it?

What work should AI accelerate, and what should stay deeply human?

Are your people spending more time in their Working Genius or less?

The companies that answer those questions well will not just move faster. They will build healthier, more energized teams while they do it.

Celebrating Core Values: Reinforcing Behaviors That Shape Your Culture

Last quarter, a senior leader at one of our clients faced a situation that didn't have an easy answer. Rather than defaulting to what was fast or convenient, he leaned into their values. He slowed down, asked better questions, and chose the harder, better path.

The result was an outcome that created real value for the company. But more importantly, it was one of those moments that remind you what your culture is actually made of.

One of the most important jobs a CEO has is stewarding their culture. And in my experience, the best way to do that is by finding the stories of when your people lived your core values and sharing them widely.

Core value awards are how you make that visible. The CEOs who do this consistently show their teams what "great" looks like.

Why Core Value Wins Matter

To be clear: you are not trying to change people's core values. You are identifying the behaviors that reflect your company's values, reinforcing them consistently, and attracting people who naturally live them.

If you do not actively recognize values in action, your culture will default to reinforcing whatever gets results in the short term, often at the expense of long-term alignment.

Core value wins make the invisible visible.

How to Identify Core Value Wins

Look for moments under pressure

Values show up most clearly when something is at stake.

• A leader who chose integrity over speed.

• A team member who prioritized people over profit.

• A decision that reflected long-term stewardship over short-term gain.

These are the stories worth elevating.

Focus on behavior, not just outcomes

Results matter. Behavior is what scales culture.

Instead of highlighting that someone closed a major deal, highlight that they walked away from a misaligned opportunity to uphold your values.

Capture the story while it is fresh

Build the habit of asking what happened, what made it hard, and what value was demonstrated. This creates a steady pipeline of meaningful stories.

How to Reinforce and Scale These Wins

Make it a leadership discipline

Start every leadership meeting with core value wins. Each leader brings one or two examples, a clear connection to a value, and a brief story behind it. This builds alignment at the top.

Teach through stories

When sharing a core value win, describe the situation, the tension, and the decision that was made. The emotional detail is what sticks and gives your team something to model.

Make it visible across the organization

Do not let these stories stay in leadership meetings. Share them in all-hands meetings, internal updates, and quarterly off-sites in a company culture book. Repetition builds clarity.

Create meaningful recognition moments

Take your strongest stories and elevate them further with quarterly core value awards, annual recognition tied to specific values, and peer-nominated awards across teams. Every award should be tied to a real story and a clear behavior.

Final Takeaways

Culture is not what you say. It is what you consistently reinforce and reward. You are not trying to change people. You are building an environment where the right behaviors are recognized, celebrated, and repeated.

Reflection Questions

1. What are one to two core value stories your entire company should hear right now?

2. Are your values being taught through stories or just stated in words?

3. What behaviors are you currently reinforcing, intentionally or unintentionally?

Done well, this practice aligns your team, accelerates execution, and ensures your organization scales in a way that reflects your values, not just your goals.

The Power of an AI Advisory Board: How to Get Started

Even the most seasoned CEOs face times when the path forward is unclear, the decisions carry weight, and guidance feels out of reach. In those moments, what if you could draw on the wisdom of leaders like Warren Buffett, Martin Luther King Jr., Sara Blakely, or Nelson Mandela?

An AI Advisory Board makes that possible. By thoughtfully curating the perspectives of history’s most effective leaders, you can systematically bring their insights into your most important decisions. Instead of defaulting to generic advice or falling back on your own limited vantage point, you can widen your lens—challenging assumptions, surfacing blind spots, and leading with greater conviction.

How to Get Started

Creating your AI Advisory Board is simpler than it sounds.

1. Select Your Voices
   Choose 10–15 leaders whose wisdom reflects both your personal values and your organization’s biggest challenges.

2. Craft Thoughtful, Specific Prompts
   Ask targeted questions that bring their distinct perspectives to life:

• “How would Peter Drucker frame this management challenge?”

• “What assumptions would Jim Collins push me to re-examine?”

• “How might Maya Angelou guide my decision toward greater integrity?”

3. Make It a Practice
   The power is in consistency. Incorporate this virtual board into your regular decision-making process, not just when you feel stuck. Over time, these diverse voices will shape the way you approach challenges, embedding wisdom and discipline into every major choice.

4. Don’t Forget the Human Perspective
   AI can broaden your perspective, but it can’t replace the wisdom of your team, customers, and family. Before making major decisions, test your thinking with the people who live with the outcomes every day.
   

Our AI Advisory Board at PFD

At PFD Group, we’ve intentionally built an AI Advisory Board that mirrors our own values of growing to give, serving as confidants, and stewarding lives around us. Each voice was chosen with care:

• Martin Luther King Jr. & Maya Angelou – for their moral courage and clarity when helping CEOs navigate ethical complexities.

• Warren Buffett & Jim Collins – for their long-term, disciplined perspective on building organizations that endure for decades.

• Nelson Mandela – for his resilience and transformational leadership in the face of seemingly impossible challenges.

• Sara Blakely – for her bold innovation and ability to reimagine possibilities in ways that expand influence and impact.
  

Each of these voices brings a different kind of wisdom. Together, they remind us that great leadership isn’t about having all the answers—it’s about staying true to your values while moving forward with focus and conviction. That’s the balance that helps leaders grow their organizations and spend their lives on what matters most.

Final Take Aways

Building your AI Advisory Board is not about replacing trusted mentors or wise peers. It’s about supplementing their input with a disciplined practice of seeking wisdom from history’s greatest leaders.

Done consistently, this practice doesn’t just sharpen decision-making. It keeps your decision-making rooted in your BHAG, centered on your core values, and connected to the broader mission of your organization.

The Hedgehog Concept: Simplifying Strategy for Lasting Impact

With every season of growth comes a wave of new opportunities. The key is knowing which ones truly align with your mission.

Jim Collins’ Hedgehog Concept, first introduced in Good to Great, offers a timeless, clarifying framework. Inspired by an old Greek parable—“The fox knows many things, but the hedgehog knows one big thing”—rather than chasing every opportunity, this concept helps leaders to build with intention.

While the fox dashes from tactic to tactic, the hedgehog survives and thrives by doing one thing exceptionally well: rolling into a ball of spikes no predator wants to challenge.

The Three Questions That Define Strategic Clarity

For leaders committed to building organizations that last, Collins poses three questions that guide your “hedgehog” focus:

• What can you be the best in the world at?
  Not just what you’re good at—but where you can lead your industry with unmistakable authority.

• What drives your economic engine?
  The key financial metric or model that fuels your organization’s long-term sustainability and scale.

• What are you deeply passionate about?
  The work that stirs your soul—the mission that energizes your team and aligns with the legacy you’re building.

Where these three circles overlap, you find your Hedgehog Concept: the core of your strategy, the heart of your identity, and the engine of enduring impact.

Focus is a Leadership Advantage

We often remind our clients that the most successful leaders build from a place of clarity. The Hedgehog Concept isn’t just a strategy tool—it’s a mindset. One that helps you simplify complexity, align your team, and accelerate toward your vision with conviction.

As your organization continues to scale, revisit your Hedgehog. Make the choice to focus. And trust that doing so will bring both short-term momentum and long-term legacy.

Discovering Your Core Values: Using Jim Collins' Mission to Mars Framework

Core values aren't something you create in a boardroom brainstorming session. They're already there, embedded in the DNA of your organization, living and breathing through your best people. The challenge for scaling companies with $10M+ in revenue isn't inventing values—it's discovering what's truly core to who you are as an organization.

Jim Collins' Mission to Mars framework provides a powerful lens for this discovery process. As a Scaling Up coach working with high-growth executive teams, I've seen this exercise transform how leadership teams understand their organizational identity and identify their rising stars simultaneously.

The Mission to Mars DISCOVERY EXERCISE

Here's the scenario: Your company has been selected to establish the first permanent business colony on Mars. You can only send five to seven leaders—people who so authentically embody your core values that they could recreate your organizational culture 140 million miles away from Earth.

The critical constraint: These leaders must come from at least one level below your current leadership team. This isn't about sending your C-suite; it's about identifying the people who naturally demonstrate your values in their daily work.

The Discovery Process: A Step-by-Step Approach

Phase 1: Identify Your Mars Colonists (60-90 minutes)

Begin your leadership team session by posing Collins' question: "Who are the five to seven people in our organization that we would send to Mars to recreate our culture?"

Key guidelines for this discussion:

• Focus on people at least one level below the leadership team

• Look for those who enthusiastically live your values, not just perform well

• Consider individuals who others naturally gravitate toward

• Think about who embodies "how we do things here" at your company

This conversation reveals remarkable insights. You'll notice patterns in who gets nominated and why. Pay attention to the passionate advocacy certain team members receive—this signals something deeper about your organizational values.

Phase 2: Analyze the Traits (45-60 minutes)

Once you've identified your Mars colonists, dive deep into what makes them special:

Essential questions to explore:

• What specific behaviors do these people consistently demonstrate?

• How do they handle pressure, conflict, and uncertainty?

• What makes them magnetic to other team members?

• How do they approach problem-solving and decision-making?

• What do they prioritize when faced with competing demands?

Pro tip: Record this portion of the discussion. The raw, unfiltered observations about these individuals contain the authentic language of your culture. You'll want to reference these insights later.

Phase 3: Distill Into Core Values (30-45 minutes)

Look for the common threads among your Mars colonists. What traits appear consistently? These patterns become the foundation of your core values.

Best practices for distillation:

• Start with 8-12 traits and consolidate into 4-6 core values

• Use language that feels authentic to your organization

• Ensure each value is distinct and meaningful

• Test that each value would help you make difficult decisions

Phase 4: Wordsmith and Clarify (Between sessions)

Take your initial core values and develop them further:

• Create 2-3 sentences that explain each value

• Provide context for what each value means in practice

• Ensure the language resonates with your broader organization

• Make them memorable and actionable

The Testing and Calibration Process

Core values discovery isn't a one-and-done exercise. Once you have your initial framework:

Internal testing:

• Share with trusted team members outside the leadership group

• Observe reactions and gather feedback

• Look for recognition: "Yes, that's exactly who we are"

• Note where clarification is needed

External validation:

• Test with key customers and partners

• See if the values align with how others experience your organization

• Use feedback to refine language and emphasis

Continuous calibration:

• Plan to finalize values before your next quarterly Scaling Up offsite

• Use the interim period for real-world testing

• Come to your next session ready to commit and implement

Additional Best Practices for Success

Create psychological safety: This exercise requires honest assessment of people and culture. Establish ground rules for confidential, constructive discussion.

Focus on behaviors, not personalities: Look for specific, observable actions that demonstrate values in practice.

Embrace the dual benefit: While discovering core values, you're also identifying high-potential talent for succession planning and development.

Document the journey: Keep detailed notes about why certain values emerged and how they connect to your Mars colonists. This context helps with future communication and implementation.

Leadership Team Commitment: Core values only matter if they influence hiring, firing, promotion, and recognition decisions. Begin planning how these values will be integrated into your systems.

The Transformative Impact

When done authentically, the Mission to Mars framework creates profound clarity about organizational identity. Leadership teams consistently report that this exercise helps them understand not just what they value, but why certain people thrive in their culture while others struggle.

More importantly, it transforms core values from wall art into operational tools. When you can point to specific individuals who embody your values, those values become real, tangible, and actionable.

Getting Started

The Mission to Mars framework benefits significantly from independent facilitation. An outside perspective helps guide the discussion objectively, manage group dynamics, and ensure the leadership team stays focused on authentic discovery rather than falling into familiar patterns. We've seen firsthand how this independent viewpoint drives tremendous client value—core values are simply one of the most important things for a leadership team to get right. The investment in this discovery process pays dividends in cultural clarity, talent development, and organizational alignment.

Remember: your core values already exist in your organization. The Mission to Mars framework simply helps you discover them, articulate them, and leverage them for sustainable growth.

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The Mission to Mars framework is credited to Jim Collins and represents one of the most powerful tools for authentic core values discovery. For more insights on building enduring great companies, explore Collins' extensive body of work on organizational excellence.

The Secrets to Building Leaders Who Can Stay Ahead of Your Company’s Growth

As organizations scale from $10M to $500M+, one of the most overlooked, yet critical growth factors is the evolution and growth of the senior leadership team.  The job requirements of the COO or Chief People Officer for a company with $500M in revenue are more complex than the job requirements for the same functions when the company has $10M in revenue.  The Team that got you where you are can be, but rarely is, the same team that can take you to the next level.  That’s not a failure - it’s a natural, but often painful, evolution.  

One of a CEO’s core responsibilities is assessing a leader’s ability to grow - in hard and soft skills - at, or faster than the rate the company is growing.  A leader’s ability to grow faster than the company is growing means that they have capacity to see, chase and capitalize on opportunities as they arise.  Robert Glazier has a great graphic illustrating this concept in the first chapter of his book, Elevate Your Team: Empower Your Team To Reach Their Full Potential and Build A Business That Builds Leaders.

When a leader is a great cultural fit, but you see the needs of a role outgrowing that leader’s capabilities, you need to determine whether that leader has the capacity to grow with investment & training, or whether you can best serve the company AND the leader by engaging authentically and openly with the leader on both their core strengths and the future needs of the role.  

Transparently planning with a leader for them to transition into a role that will continue to align with their talents will engender loyalty. Bringing in the talent that has the skills to help you achieve your growth objectives will enhance your team’s trust in your commitment to achieving your vision. This means 1) evaluating leaders for core strengths & future scalability, not just current performance, 2) identifying leadership gaps before they hinder growth and investing in their growth, and 3) committing to authentic, transparent conversations with your leadership team.  This is how mission-driven CEOs can intentionally build teams that grow with the business - while maintaining culture, clarity, and vision.

Reflections:

1. How have the needs and skills of key organizational functions changed? Do the team members in those roles have those skill sets - hard and soft? I.e. Would you enthusiastically re-hire each person on your team based on the current needs of the role?

2. Which members of your current leadership team are thriving - and which are struggling to scale with the business?

3. How would the needs and job requirements of each leadership role change if your business doubled (or 10x’ed) in size in the next 24 months?

Leading With Vision, Not Fear

One of the most powerful truths in business and life is this: you become what you think about most. This principle, articulated by Napoleon Hill, is not just symbolic — it’s practical. Leaders who dwell on challenges, setbacks, and competition often find themselves trapped in a reactive cycle. In contrast, those who direct their mental energy on where they want to go, with a focus on vision, opportunity, and growth, cultivate progress. The key isn’t ignoring problems—it’s approaching them with a solutions-first mindset.

Every scaling organization hits walls: team misalignment, cash flow pressure, changing market conditions. But the most successful entrepreneurs and CEOs don’t focus their mental energy on what’s broken. They keep their mind fixed - even in the face of challenges and setbacks - on what they are trying to achieve — a thriving culture, scalable systems, or a breakthrough product. This intentional focus shifts how they show up daily, make decisions, and communicate with their teams. Vision becomes contagious when it’s held consistently and authentically.

This doesn’t mean we avoid problems, competition, or even fear in an uncertain environment. It means we see them for what they are—temporary obstacles through which we have to navigate - with an eye on our vision and an unwavering commitment to our core values. By training ourselves and our leadership teams to focus on our desired future, we condition our organizations for problem-solving, collaboration, and growth. Scaling up isn’t just about building systems to grow; it’s about leading with vision, clear and frequent communication, disciplined execution, and consistent action toward what matters most.

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3 Key Scaling Up Questions

• What are we currently focusing on that might be holding us back rather than moving us forward?

• How clearly and consistently are we articulating our vision for the next 12-36 months to our team?

• What is the solution to our top constraint that will help move us forward?

Love and Legacy: The Heart of Mission-Driven Leadership

As a mission-driven CEO, your work isn’t just about profits or performance—it’s about purpose. The choices you make, the culture you foster, and the vision you create all have a profound ripple effect. At the heart of this impact lies two often-overlooked, yet essential elements: love and legacy.

Leading with Love

Love in leadership isn’t about sentimentality; it’s about deeply caring for the people and the mission you serve. It’s about seeing your team, customers, and stakeholders not just as contributors to your success but as individuals whose lives you have the privilege to steward. When love is at the center of your leadership, it inspires trust, loyalty, and a sense of belonging.

This approach transforms your organization into a place where people don’t just work—they thrive. Love pushes you to listen more, act with empathy, and make decisions that balance being fully present with long-term impact.

Building a Legacy

Legacy is the enduring impact of your leadership. It’s not just about what you accomplish but how you make people feel, the values you uphold, and the stories you leave behind. Mission-driven CEOs often have a unique opportunity to create legacies that extend beyond business metrics, influencing industries, communities, and future generations.

Focusing on your legacy means aligning your vision with your values and ensuring every step you take reinforces the greater purpose you’re working toward. Not to mention, it makes the journey a lot more enjoyable.

Five Reflective Questions for Mission-Driven CEOs

To lead with love and build a meaningful legacy, it helps to pause and reflect. Here are five questions to guide your journey:

1. What do I want people to feel when they experience my leadership?

   • Consider the emotions you want to evoke in your team, customers, and community. Are you inspiring trust, passion, and purpose?

2. How do my values show up in the way my leadership team and I make decisions?

   • Reflect on whether your daily actions and choices align with the core values you want to embody.

3. What kind of culture am I building within my organization?

   • Is your team environment one of collaboration, authenticity, and excellence? If not, what can you do to shift it?

4. How will I measure the success of my legacy?

   • Beyond financial performance, what metrics or milestones represent the impact you want to leave behind?

5. Am I balancing personal fulfillment with professional purpose?

   • Leading with love starts with yourself. Are you creating a life where you feel deeply connected to your mission and your personal well-being?

The Power of Purposeful Leadership

When you ground your leadership in love and legacy, you create more than a successful business—you create a movement that inspires others and endures long after you step away. As you navigate the challenges of leadership, take time to reflect, refine, and realign your vision to ensure it serves not just your goals but also the greater good.

Remember, your love for the mission and the legacy you leave will define how others experience your leadership and the world you help shape.