What does it take to be a CEO? A lot: all the things you need to look for in your next CEO--or, if you are already sitting in the corner office or think you're clearly on your way there, what you need to keep in 'the front of your brain.'.

• Author: Hindery, Leo, Jr.
• Position: CEO DEVELOPMENT AND EVALUATION

THE CEO ISN'T THE be-all and end-all of a company. Far from it! But just as the principal sets the tone in the school, the minister sets the tone in the church, and the captain sets the tone on the ship, the CEO sets the tone in the company. When you go shopping for a place to commit your time, energy, and loyalty, look to the top first. Ask yourself whether the man or woman you see there has the following characteristics. I'll summarize them in what I call the "CEO checklist."

Bright, well-educated, and well-informed?

Today, more than ever, the leader of a company has to be outward-looking and forward-looking. He has to have both a broad perspective and a deep reservoir of knowledge about the company and its competitors. Listen to him talk--or, less reliably, read what he has written. (When it comes to writing, he may simply have good speechwriters at work.) Is this someone who can guess where the competition is going, and leapfrog over those competitors? How smart is he, anyway? Where did he go to school? Is he active in the lives of those institutions?

An inquiring mind?

An extension of the above. Smarts and education aren't worth much if the CEO doesn't apply them. Again, the standards are broad and deep. What kinds of "scouting parties" does this CEO send out? When confronted with a business puzzle, how deeply does she dig down to get the answer? How does she react when she finally gets the answer? If she's delighted, that's a very good sign.

What does she read? Whom does she quote? Does she ever attend symposia, colloquia, or other gatherings that aren't directly related to the conduct of the business? Does she ever make speeches? Why, and to whom?

Articulate?

A leader can't lead without being able to articulate the vision. This has two main components: 1) the ability to think straight, and 2) the ability to express those thoughts in ways that speak directly to the crowd he is addressing. Good body language, good timing, knowing how to use a microphone, a pleasant speaking voice: all of these are helpful, of course. But there's a deeper level of articulation--one that's hard to describe, but you sure know it when you hear it. It comes from the person who gives his brain and his heart equal access to his tongue, so that it somehow comes out okay--both pointed and passionate.

Exceptionally hard-working?

Thomas Edison is some people's candidate for "CEO of the Century." You've surely heard him quoted to the effect that genius is 10 percent inspiration and 90 percent perspiration. Well, so is leadership. You've simply got to put in the hours--there's no other way to get the job done and inspire others to also give their utmost. A great CEO earns his or her pay, and then some (of course, that assumes that the pay scale is in touch with reality).

As a subset of this point, I'd suggest that the CEO needs to be in reasonably good physical shape. I've always believed that physical exercise, done right, creates more energy than it consumes. How does your CEO keep his or her batteries charged?

Honest and ethical?

Asking that a leader be honest and ethical sounds like a call for motherhood and apple pie, right? Maybe so--but it still bears repeating. An organization simply can't thrive under a leader who doesn't have a really good sense of what's right. Period. A fish rots from the head, as they say.

To complicate it a little bit, a great leader also has a clear sense of what appears to be right. In other words, she not only instantly rules out bad behavior, but also rules out behaviors that might be misconstrued to her disadvantage or to the disadvantage of the company. Former SEC head Bill Donaldson recently commented. "You must have an internal code of ethics that goes beyond the letter of the law to also encompass the spirit of the law." Exactly.

Demonstrates a sense of fairness and fair play?

This is an outgrowth of the above, and maybe doesn't need much elaboration. Have you spent time with any young children recently? Youngsters have an exquisite, almost paralyzing sense of fairness. They can spend more time making up the rules and enforcing the rules than they spend actually playing the game.

No, you don't want exactly that quality in your CEO. On the other hand, a strong sense of what's fair, and the capacity for moral outrage when the rules are flouted, are necessary qualities of a leader.

Lives life with grace?

A CEO needs to be comfortable with himself and with the...