8 minute read
Great leaders are excellent communicators, and great communicators make excellent leaders. Despite this truth, the ability to communicate well is too often undervalued and underrepresented in the modern boardroom – at least until a crisis hits.
Communication is still dismissed as a mere ‘soft skill’ rather than a core leadership competency in many energy companies. But there are signs that this is changing – especially as companies face more public scrutiny, social media backlash, and the need for strong internal cultures.
CEOs still tend to be recruited or promoted for their technical expertise, their administrative prowess or their genius at financial management. Clearly, these are central to corporate success, but for too long they’ve been prioritised over the ability to communicate clearly and persuasively.
However, a CEO’s communication skills can make or break a company’s reputation, employee morale, and investor confidence. Given that the average CEO is estimated to spend a third of their time on communication, it is arguably their most important role.
Despite this, research from McKinsey indicates that, while 58% of CEOs think that external affairs is a top priority for them, only 12% feel that they are handling it well.
It’s not much better internally either. A recent study from Stanford University revealed that only 25% of employees believe that their leader’s communication style matches their expectations and needs. There is a clear and pressing need for CEOs to up their game and develop their skills.
What does excellence look like?
Great CEO communicators share certain traits. Firstly, they excel at painting a compelling big picture – a vision or a mission – for their organisation. Next, they can articulate their strategy in easy-to-understand terms. Thirdly, they can effortlessly discuss and embody the ethics and values of the organisation. Finally, their leadership inspires through inclusive storytelling and clarity of purpose.
The CEOs who get it right are those who have a strong sense of who they are, what their vision is and what audiences really matter to them. Authenticity matters and the days of the slick, bland, ‘empty suit’ CEO who avoids saying anything controversial, honest or even meaningful have passed.
The flipside of excellent communication is poor communication which can easily destroy morale, undermine performance and negatively affect growth. Poor communicators often default to ‘command and control’ rather than ‘listen and engage’ mode which alienates stakeholders. Good CEO communication involves actively seeking constructive feedback and, just as importantly, acting on it. At all times it seeks clarity and consistency.
In broad terms CEOs who communicate well will build trust, align goals and inspire and motivate stakeholders from employees to customers and investors.
"Communication is the most important skill any leader can possess"
The power of three: the top CEO communicators
Sir Richard Branson
The founder of Virgin Group, renowned for his charismatic, upbeat and approachable communication style, believes in the power of communication. He is on record as saying that: “Communication is the most important skill any leader can possess."
Sir Richard built the Virgin brand from nothing by sharing bold ideas and telling enthralling stories that appealed to employees and customers alike. His friendly, fun public persona and willingness to speak openly about business and social issues helped foster a strong, relatable brand identity.
Steve Jobs
The co-founder of Apple was another accomplished storyteller who used his craft to make connections and captivate his audiences. Widely celebrated for his fascinating, narrative-driven presentations, Jobs had a unique ability to simplify complex technology and inspire both employees and consumers with his vision.
The greatest testimonial for the power and importance of Jobs’ communication abilities comes from his great competitor and friend, Bill Gates: “Jobs was a genius. He was such a wizard at motivating people. I could see him casting the spells, and then I would look at people and see them mesmerized. I was so jealous.”
Anders Opedal
The CEO of Equinor has built a reputation as a measured but highly effective communicator, particularly around the company’s approach to the energy transition. He consistently aligns messaging across diverse stakeholder groups, from investors to governments, while clearly articulating the company’s dual role in delivering energy security and decarbonisation.
Opedal’s communication strength lies in clarity and credibility. He speaks plainly, avoids corporate jargon, and grounds strategic narratives in evidence and long-term thinking. His ability to balance transparency with authority has been key in maintaining stakeholder confidence through a rapidly shifting policy and geopolitical landscape.
Seven reasons why communication excellence is the most important attribute of the modern CEO
- Crisis response: Poor communication during crises (e.g. layoffs, scandals, or financial downturns) can make a bad situation worse. An emotionally intelligent and articulate CEO can mitigate risks, maintain stakeholder trust and set the stage for long-term recovery. Oxford Business School found that a well-handled crisis can increase shareholder value by up to 15% in the year after the crisis event took place.
- Cultural leadership: Companies thrive when CEOs can bring diverse teams together and unite them under a shared vision. A weak communicator struggles to inspire or maintain cohesion which can lead to a toxic workplace culture. The repercussions can be serious with negative impacts on employee morale, productivity, and the company’s bottom line.
- Investor and market trust: Markets respond not just to numbers but to narratives. CEOs who articulate a compelling strategy often secure better valuations and investor confidence. As CEO of GSK, Andrew Witty was adept at creating a narrative around a journey: in his case, R&D investment in scientific breakthroughs that improved lives and delivered sustainable growth. This reassured shareholders and contributed to a steady valuation at a time of great change for the company.
- Political engagement: There is an increasing need for effective political engagement at the highest level, given the geopolitical situation in the energy markets. This is often led by the CEO. They need to be compelling, convincing and able to articulate the company’s position. CEOs need to step into the role of corporate statesperson, being able to talk effectively with parties ranging from sovereign governments to influential NGOs.
- Employee engagement: A CEO who speaks authentically and transparently fosters loyalty and productivity. Silence or unclear messaging breeds uncertainty and can adversely affect the ability to recruit and retain talent.
- Brand and reputation: In the digital age, a CEO’s words are instantly scrutinised. A single misstep can go viral and harm the company’s image. During the Brexit campaign and the COVID-19 pandemic, Wetherspoons founder Tim Martin made controversial statements that attracted widespread criticism with many customers boycotting the chain. Sales were affected and reputation was damaged.
- Technological disruption: Amid the AI revolution there is an influential school of thought that human roles can be done better by machines. AI systems certainly beat CEOs hands-down in many of the traditional business competences such as data analysis, budgeting, scenario planning, pattern identification and process efficiency
But AI falls way behind humans in soft skills. AI systems simply don’t possess the very human talents that are crucial for effective leadership. They lack emotional intelligence and empathy, are poor at social interactions, and they can’t inspire and motivate staff in the way that a great CEO does.
As AI remains incapable of understanding and adapting to human emotions, CEOs should double down on their communication skills as a big differentiator between them and the machines. Human-led communication is irreplaceable.
Many CEOs try to say too much at once. But audiences – be that employees, media, investors, or policymakers - rarely take away more than one clear message. That’s why great communicators define their Single Overriding Communication Objective (SOCO): the one thing they want people to remember.
From there, everything flows:
- What are the three core messages that support your SOCO?
- What evidence and proof points can you use?
- What’s the real benefit to your audience?
- What challenges or objections might arise, and how will you address them?
This disciplined structure isn’t about dumbing down. It’s about making complex ideas memorable and impactful. Whether you’re preparing for a keynote, a town hall, or a regulatory hearing, this approach helps CEOs lead with purpose, and land with power.
Conclusion
Today, there is a great emphasis on storytelling, emotional intelligence and transparency in leadership, especially with CEOs who use communication as a strategic tool and see it as their most important role – the communicator-in-chief.
It's therefore extremely important for CEOs to be excellent communicators. A CEO sets the vision, motivates teams, builds trust, and influences stakeholders – including employees, investors, customers, and the public. Even the best strategies can fail if they aren't communicated effectively.