Time is the scarcest resource for leaders. No matter how hard they work or how many hours they put in, there is never enough of it. A constant stream of issues demands their attention, forcing leaders to make strict choices about what they will—and won’t—do. In an insightful article for Harvard Business Review, A.G. Lafley, former CEO of Procter & Gamble, and Roger L. Martin, former dean of the Rotman School of Management, propose a four-step process to help leaders focus their time and energy effectively. They apply the economic theory of comparative advantage—typically used in international trade—to leadership, offering a fresh perspective on prioritization.
The essence of their argument is simple but profound: leaders shouldn’t spend their scarce time on tasks simply because they are important. Instead, they should focus on what only they can do—tasks where they have a unique advantage—and delegate the rest. Lafley and Martin call this their “definition to win.” Let’s break down their four-step process:
- Remove Tasks Where You Lack Absolute Advantage
Leaders often inherit tasks that have “always been done this way.” Lafley, for instance, delegated managing relationships with key investors to his CFO, while the CEO of Lego stopped chairing dozens of meetings. Leaders must challenge tradition and let go of tasks that don’t require their unique skills or perspective.
- Delegate Tasks Where You Have Little Comparative Advantage
Even tasks that leaders are competent at may not be the best use of their time. Lafley stopped attending brand reviews, trusting his business leaders to handle them. He also delegated external representation to country presidents and functional leaders. Delegation isn’t about shirking responsibility, it’s about empowering others and ensuring the leader’s time is spent where it matters most.
- Focus on Tasks Where You Have Strong Comparative Advantage
Leaders should reinvest the time saved from Steps 1 and 2 into tasks where they excel. For Lafley, this meant personally interacting with consumers and product innovators to understand their experiences and provide actionable advice. His legendary visit to a woman washing clothes in a Chinese river exemplifies how such interactions can inspire transformative ideas.
- Prioritize Tasks Only You Can Do
Some responsibilities are uniquely tied to the leader’s role. For Lafley, this included building P&G’s future leadership team and dedicating eight full days to teaching an internal course on leadership and strategy. These tasks are irreplaceable and demand the leader’s full attention.
The Idiosyncrasy of Leadership
This approach aligns closely with what I’ve described as the “idiosyncrasy” of leaders in my book Misled. 11 Lies About Leadership. Every leader has a unique combination of strengths and priorities—what they are exceptionally good at and what they value most. These idiosyncrasies shape their leadership style and the organization’s culture. For example:
- A leader known for innovation will inspire employees to propose bold, creative ideas.
- A leader focused on sustainability will see their team align with the UN’s Sustainable Development Goals.
- A leader obsessed with numbers will find their team meticulously preparing spreadsheets and meeting quantitative targets.
This cycle of focusing on strengths, achieving results, and being recognized for them reinforces the leader’s impact. However, it’s crucial that the leader’s idiosyncrasies align with the organization’s context. When this alignment occurs, leaders find their “Ikigai”—the Japanese concept of the perfect intersection between what you love, what you’re good at, what the world needs, and what you can be paid for. But as contexts change, so too must the leader—or the organization may need someone new.
Self-Awareness and Team Complementarity
Great leaders are self-aware. They know their strengths and weaknesses and are unafraid to admit them. They focus on their unique contributions while surrounding themselves with people who complement their gaps. Leadership isn’t about individual perfection, it’s about building a team that collectively possesses all the necessary qualities. Leaders also work to mitigate weaknesses that could harm the organization, but they don’t waste time striving for unattainable perfection.
The Power of Stories and Signals
The qualities and imperfections of leaders are magnified in the stories circulating within the organization. These stories—like Lafley’s visit to the Chinese river—become part of the leader’s legacy. Leaders can use this mechanism to their advantage by consistently embodying the values they want to promote. For example:
- A leader who orders house wine, flies economy, and stays in modest hotels signals cost-consciousness.
- A leader who attends Singularity University and uses cutting-edge technology signals a focus on innovation.
Even small behaviors—how leaders speak in meetings, treat colleagues, or interact with waitstaff—send powerful signals. Followers admire leaders but also gossip about them, humanizing them in the process. Stories about their strengths become heroic, while anecdotes about their flaws make them relatable.
The Takeaway
The four-step process from Lafley and Martin provides a practical framework for leaders to focus their time and energy. Combined with the concept of idiosyncrasy, it highlights that leadership is deeply personal and context-dependent. There is no universal right or wrong, leaders must make their own choices based on their unique strengths and the needs of their organization. By doing so, they can maximize their impact and create a lasting legacy.