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The Hidden Signal That Predicts Future CEOs

Wall Street Journal US Business •
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An analysis of a decade of earnings calls suggests that one behavior stands out among executives who later rise to the top: inviting others to speak. The study found that executives who regularly bring colleagues into the conversation come across as more cooperative and collaborative to listeners.

The finding offers a window into how leadership potential may be recognized long before a formal promotion. Earnings calls, where executives present results and field questions from analysts, are closely watched by investors and industry observers. The way a speaker handles that stage can shape perceptions of their judgment, credibility and ability to work across a company.

Rather than dominating the call with personal commentary, executives who hand the floor to others signal confidence in their teams. That reading of the speaker's style suggests the trait may be a useful indicator for boards and talent teams searching for the next generation of leaders.

The research underscores that leadership signals are often subtle and visible in everyday professional settings. For companies seeking to identify future CEOs, the analysis points to a practical question: who in the room makes space for others to be heard?

Source: Wall Street Journal US Business · Summarized by HeadlinesBriefing