Leadership

Leadership Blind Spots: The Silent Risk Few CEOs See Coming

3 Minutes read

For a CEO, a blind spot is not just a mistake, it’s an ignored reality that can turn into a strategic risk.

Blind spots can manifest in many forms:

  • Strategic projects that never take off, with no clear explanation.
  • Loss of key talent that “no one saw coming.”
  • Lack of innovation in a fast-changing market.
  • A culture that seems aligned, but actually operates on fear or complacency.

They’re not a result of inexperience. Quite the opposite: they often grow in direct proportion to the leader’s success and authority.

Real-world examples

  • In 2021, Facebook rebranded as Meta, making a full bet on the metaverse—investing over $36 billion in Reality Labs. The blind spot was strategic: anticipating mass adoption of a still-immature technology, without real signs of demand or traction. While the market was shifting toward artificial intelligence, Meta continued to double down on a vision that failed to take off. The result: massive cuts in 2023 and a pivot in narrative toward efficiency and AI.
  • When Satya Nadella took over Microsoft in 2014, the company was heavily focused on Windows and Office. He identified a blind spot: the internal culture was obsessed with control and didn’t collaborate. Instead of reorganizing teams, he changed the mindset — from “know-it-all” to “learn-it-all.” Outcome: Azure, GitHub, and a market cap of over $3 trillion in 2024.
  • When Alan Mulally became CEO of Ford, he found that no executive admitted problems in their area. There was a culture of silence. He introduced weekly meetings where transparency was rewarded. When someone finally reported a failure, they were applauded. That changed everything. Outcome: Ford avoided the 2008 financial bailout that GM and Chrysler needed.

Why don’t CEOs see their blind spots?

  • Structures that filter the truth. The higher you go, the harder it is for raw, unfiltered information to reach you.
  • Past success that becomes dogma. What worked before turns into belief — not a testable hypothesis.
  • Environments that reward complacency. If everything “seems fine,” no one dares to challenge it.

How to detect (and reduce) them

  • Surround yourself with truth tellers. Not “yes people.” Actively seek out honest feedback, even when it stings.
  • Create collective reflection rituals. Spaces where the team can debate decisions without hierarchy. Example: pre-mortems before launching major initiatives.
  • Look beyond your industry. Ask: what are disruptors doing that we’re not seeing yet?
  • Use data to ask questions, not just confirm beliefs. What patterns surprised you in your NPS? Why did satisfaction drop in a top team?
  • Join an external peer board. A group of fellow CEOs who can challenge your assumptions, like a REF Forum Group.

Blind spots don’t disappear with more information — they shrink with greater awareness. And that awareness requires three things: humility, structure, and community.

The question isn’t whether you have blind spots. The question is: which one is quietly growing while you’re not looking?