Management lessons through story telling-Circuit City

Lead with questions, not answers

In 1973, one year after he became CEO, Alan Wurtzel’s company stood at the brink of bankruptcy. At the time, the company was a hodgepodge of appliance and hi-fi stores with no unifying concept. Over the next ten years, Wurtzel and his team not only turned the company around, but also created the Circuit City concept and laid the foundation for a stunning record of results.

When Wurtzel started the long turnaround, he began with the question of where to take the company. Unlike many CEOs, Wurtzel resisted the urge to walk in with the answer. Instead, he began with questions. Wurtzel stands as one of the few CEOs in a large corporation who put more questions to his board members than they put to him.

He used the same approach with his executive team, constantly pushing and probing and prodding with questions. Each step along the way, Wurtzel would keep asking questions until he had a clear picture of reality and its implications. “They used to call me the prosecutor, because I would home in on a question,” said Wurtzel. “You know, like a bulldog, I wouldn’t let go until I understood. Why, why, why?
Adapted from “Good to Great” by Jim Collins.