The internet is flooded with articles about how MDs and CEOs should operate. It is not just about management. They need to be seen to be leading, inspiring, motivating – ensuring that others follow where they boldly tread to go.

My experiences this week reminded me that there is another competence test that these senior execs face. In fact, if you were to map their required skills, this element would come before the need to demonstrate qualities of leadership. Here’s what I mean.

I am mentoring a CEO in the Israeli high-tech sector,  who had been in the process of revamping her strategy. The process compelled her to evaluate the impact of the changes on existing human resources’ set up. In turn, this resulted in some difficult decisions vis-a-vis releasing specific individuals. All that remained was to verify the conclusions and then decide the hows and whens.

While this was evolving, it emerged that one of the candidates for dismissal had acted in an inappropriately over a contract. Madam CEO was outraged. What should be said and done?

After much private consultation, the subject of the contract was barely mentioned. Why? Because the CEO realised that what was core was the future direction of the company. It had already been decided who this did and did not included.

The subject of the contract was a sorrowful diversion. While it strengthen the CEO’s resolve, it did not derail her from what she had originally planned to say to her worker.

Her internal feelings remained in second place, deferring to a professional and commercial approach. This allowed her to remain professional throughout. In other words, the CEO made sure that she had identified the key issue, before acting and before going out to explain her decision later-on to other senior players in the company. And that is a sign of a strong company leader.