Friday Framework: Leaders Inspire, Others Will Follow

Over my 20+ year career journey from full-stack developer to CEO, I've learned that leadership isn't about titles or positions. The most powerful lesson I learned came during my time at BCG when my manager said, "JC, you don't need permission to lead." This phrase resonated with me, but at first, I didn't fully grasp its significance. I was so focused on climbing the traditional ladder—from Project Leader to Principal—thinking each promotion would make me a better leader. But leadership, as I later discovered, is about influence, not position.

Why This Framework Matters

Reflecting on my experience, I remember my first significant leadership role at Westpac, where I led a team of >200 people. What really struck me was how much time I spent dealing with "people problems." Ninety-five percent of my time was not on the technicalities of product development or customer strategy, but on challenges involving people—team members having issues with customers, issues with each other, or even issues with me. This forced me to realize that the technical skills, which had been my bread and butter throughout my career, weren't sufficient. What I needed was a clear framework to understand and grow my influence as a leader.

This need for a structured framework became even more critical when I moved to scale operations at SocietyOne/MoneyMe, where we achieved a 15X growth in lending volumes. Such rapid growth couldn’t be achieved by just managing people; it required inspiring them to think beyond their limitations, to achieve more than what they imagined possible.

The Framework: John Maxwell's 5 Levels of Leadership

This is where John Maxwell's framework comes in. His concept of the "5 Levels of Leadership" provided me with a model that helped me contextualize my experience and offered a ladder that every leader can use to assess and improve their skills.

Let’s explore Maxwell’s framework through my personal leadership journey:

Level 1: Position

"Position is the lowest level of leadership—the entry level." - John Maxwell

When I was fresh out of my MBA and joined Westpac as Head of Strategy, I believed the title itself was enough. The business card that read "Head of Strategy" should have automatically meant that people would follow my lead, right? What I learned very quickly was that a title gets you compliance—not commitment. People may follow your instructions because they have to, but they won’t give you their best effort.

Signs you're at Level 1:

• You rely heavily on your job title to get things done.
• Team members do the bare minimum required.
• There’s high turnover in your team because people feel unfulfilled or disconnected.

Personal Example:At BCG, I was initially appointed as Project Leader, and I assumed my title would naturally inspire respect and cooperation. However, real engagement only came when I began to focus on creating value through relationships. Titles only get you in the room, but how you engage and work with others determines how well you lead.

Level 2: Permission

This level marks the point where people follow because they want to, not because they have to. This shift is essential if you want to lead effectively over the long term.

At SocietyOne, I had to learn the importance of building relationships. Relationships are the currency of leadership. Without genuine connections, people won’t open up or trust you, and without trust, there’s no true leadership.

Signs you're at Level 2:

• Team members actively seek your advice and value your input.
• There’s a significant improvement in the overall workplace atmosphere.
• Communication flows more freely, and people feel comfortable sharing ideas.

Personal Example:As COO at MoneyMe, I made it a point to hold regular one-on-one meetings with not only my direct reports but also other team members. This openness allowed me to understand their personal goals and aspirations, which in turn led to increased trust and cooperation. One memorable instance was when one of my analysts, facing a tough decision about his career path, felt comfortable enough to seek my advice. That was the kind of openness and relationship building that elevated our team’s productivity.

Level 3: Production

Leadership at Level 3 is about results. Here, influence is built on the back of credibility, which comes from consistently delivering outcomes.

In my time at BCG, I learned that results create credibility. People follow you when they believe in your competence and see your actions leading to tangible results.

Signs you're at Level 3:

• Goals are consistently achieved.
• Team productivity is notably high.
• Other departments are interested in working with your team because of your effectiveness.

Personal Example:At SocietyOne, we increased loan originations by 1,275% over a span of 5 years—from $80 million to over $1.1 billion. It wasn't just about working harder; it was about creating systems and processes that allowed everyone to do more. This success fostered a culture of achievement, where people took pride in their results, and that pride translated into further success.

Level 4: People Development

If Level 3 is about success, Level 4 is about significance. At this stage, you realize your real impact is not in the goals you achieve personally, but in the leaders you develop along the way.

During my tenure at MoneyMe, I became acutely aware of the importance of nurturing leadership within my team. The reality of rapid growth is that if you don't develop others, your influence and ability to lead effectively will be capped. The exponential effect of leadership lies in multiplying leaders—not just adding followers.

Signs you're at Level 4:

• Team members you've mentored are stepping into leadership roles themselves.
• There’s a strong pipeline for succession.
• The team’s success is not heavily dependent on you, and they can operate well even in your absence.

Personal Example:One of my proudest moments wasn’t directly related to a growth metric, but rather in seeing those who worked under me at MoneyMe become capable leaders in their own right. One particular person stands out—she was initially apprehensive about taking on a managerial role. Through mentoring, providing opportunities for her to make decisions, and giving her the space to make mistakes and grow, she eventually took on a leadership position and started guiding others. This was the true testament to our culture of leadership development.

Level 5: Pinnacle

The pinnacle is where leaders develop other leaders who can then go on to develop yet more leaders. Few reach this level, and I’d be lying if I said I was there myself. But I've had the privilege of learning from those who have reached this level—like some of the partners at BCG who took the time to mentor me and invest in my growth.

Signs you're at Level 5:

• Other leaders from outside your organization seek your guidance.
• Your influence extends beyond your immediate team or organization.
• Leaders you've developed are actively mentoring others.

Personal Example:My current work with Empowered Leader is an effort to aspire to this level. By focusing on empowering other leaders, I'm trying to achieve an enduring impact that extends beyond just one team or one company.

How to Put This Into Practice

Leadership is not a passive endeavor. To grow, you need a systematic approach. Based on my experience of leading teams ranging from small groups to over 200 individuals, here is a weekly leadership challenge:

Leadership Challenge: Level-Up Assessment and Action Plan

Monday: Assess Your Current Level

• Map out your relationship with each team member.
• Identify which leadership level you are at with each individual.
• Note specific examples that justify your assessment.

Tuesday: Build Permission-Level Relationships

• Schedule one-on-one meetings, focusing not only on professional matters but also on personal interests.
• Learn what motivates each team member.
• Practice active listening. You’ll be amazed at how this alone can build permission-level influence.

Wednesday: Focus on Production

• Review your team's key performance metrics.
• Identify any obstacles to productivity.
• Create targeted action plans that address these roadblocks.

Thursday: Develop Others

• Identify individuals within your team with leadership potential.
• Develop a plan that includes assigning them responsibilities that help them grow.
• Start informal mentoring sessions where you guide them on specific aspects of leadership.

Friday: Legacy Planning

• Document key leadership lessons that you've learned during the week.
• Share these lessons with your team—either in a meeting or via a group message.
• Encourage team members to also share their growth journeys, creating a culture of reflection and development.

Implementation Tips from My Journey:

Start Where You Are

‍When I transitioned from technical roles to leadership, it didn’t matter how much experience I had—it was all about influence, and that had to be built from scratch. Even today, I remind myself to not rush through the levels but to fully establish my foundation at each stage.

Be Patient

‍It took me 2.5 years and 18 interviews to land a spot at BCG. Similarly, leadership development is a marathon, not a sprint. Growth takes time, and there’s value in the struggle.

Stay Authentic

‍Authenticity is critical. One of the lessons that stayed with me from scaling SocietyOne was that people respond more to authenticity than they do to a polished but insincere leadership persona. When I shared my own struggles, people could connect with me, and that connection led to better engagement.

Measure Progress

‍At SocietyOne, we tracked metrics for everything—loan originations, time to approve, customer satisfaction, etc. Apply that same measurement rigor to your own leadership growth. Use the feedback from your team to see how you’re progressing.

Seek Feedback

‍The best feedback I've received has often come from the most unexpected sources—team members, clients, peers, and even competitors. At BCG, I learned that opening yourself up to critique is a critical aspect of growth.

Personal Learning Points

Throughout my career transitions—from developer to banker, consultant to COO, and eventually CEO—I’ve gathered some key lessons that are essential to leadership:

• Technical Skills Get You in the Door, but Leadership Breaks the Ceiling: The skills that are often most rewarded early in your career become less critical as you grow. What’s needed at higher levels is emotional intelligence, relationship building, and influence.
• Trust Is Hard to Build but Easy to Lose: The fintech world, with its rapid changes, often throws up challenges that require trust. Being transparent and consistent is what helped me maintain trust, even in times of upheaval.
• How You Achieve Success Matters as Much as the Success Itself: During my time at BCG, I learned the importance of people-centric leadership. It wasn’t just about hitting targets—it was about how we treated the people while achieving them.
• Multiplication, Not Addition: The real impact of leadership is when you multiply yourself—when the leaders you develop go on to develop other leaders.

Common Pitfalls to Avoid

There are several pitfalls that many leaders, myself included, have faced while growing through the different levels:

• Rushing Through Levels: When I became a people manager for the first time, I was eager to become a "great leader." In reality, I needed to focus on building foundational skills before moving to higher levels. You cannot skip these stages.
• Neglecting Previous Levels: Even as I moved to COO, the relationship-building of Level 2 remained crucial. Each level builds on the previous one—you can't just leave the earlier stages behind.
• One-Size-Fits-All Approach: Different people respond to different styles of leadership. What worked with my teams at Westpac did not work at SocietyOne, and a different approach was required at MoneyMe. Adaptability is crucial.

Conclusion

Leadership is an ongoing journey. It’s not about perfection, but about continuous improvement. As I work today to empower the next generation of leaders, I realize that the core principles remain the same: put others first, help them grow, and the results will naturally follow.

Next week, I’ll explore another framework that has been instrumental in my leadership journey. Until then, challenge yourself to move up one level with at least one team member.

For more insights on leadership and personal growth, visit Empowered Leader or connect with me on LinkedIn.

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