𝗖𝗮𝗻𝗱𝗼𝗿 𝗜𝘀𝗻'𝘁 𝗝𝘂𝘀𝘁 𝗡𝗶𝗰𝗲-𝗜𝘁'𝘀 𝗮 𝗕𝘂𝘀𝗶𝗻𝗲𝘀𝘀 𝗜𝗺𝗽𝗲𝗿𝗮𝘁𝗶𝘃𝗲

Candor may be a personal goal, but it also brings real business value.

Through honest, clear communication, we can become better leaders and encourage growth.

Candor means communicating openly and sincerely—a practice essential for building trust and strong relationships in both personal and professional contexts. Though people can maintain deceptive communication temporarily, stakeholders and potential customers will eventually notice when words don't match actions.

Candor creates an environment of trust, creativity, and motivation in companies, which drives excellence. Let me share two personal examples.

At one small business, we faced a challenging economic climate. Several industry competitors had already announced major layoffs. We had to make the tough choice of eliminating a few positions, some for performance reasons and others for restructuring. We had plans to hire new talent the following month for critical roles but never shared those plans publicly. Our team reacted to the changes with worry and uncertainty, interpreting them as signs of financial trouble.

Looking back, we could have prevented much of the office anxiety by being more proactive about explaining the reasons for the restructuring and clearly communicating our future hiring plans. Greater transparency about our strategy could have helped our team stay focused and confident.

Later in my career, I worked at a SaaS company approaching profitability before an upcoming fundraising round. We knew that new capital would temporarily increase our expenses and show negative income for several months until revenue caught up. Achieving profitability for one month was crucial to our future success. It would demonstrate to potential investors or acquirers that the company could be profitable.

Two months ahead, I shared our strategy with the team. For the next month, we will delay certain costs, such as new laptops and training programs, until after the fundraising round. I asked for their patience and understanding and highlighted the long-term benefits it would bring to the company.

The team responded remarkably well to this request. They not only understood our reasoning but also suggested additional ways to reduce costs. Through this collaborative effort and our temporary belt-tightening, we achieved our profitability goal that month. Had we not been transparent about our plan, the team likely would have felt uncertain and frustrated about the spending freeze.

Candidly Say More about the Benefits?

Candor catalyzes business success by promoting efficiency, enhancing performance, and delivering results through accountability and open two-way feedback.

Greater Efficiency

Consistently following your values and promoting the truth is a faster way to success. When everyone works from the same set of facts, teams can focus on context rather than debating strategy. This clarity reduces miscommunication and eliminates unnecessary meetings, leading to streamlined decision-making.

With candor, decisions flow more efficiently because all relevant information is openly discussed, following a "surface, debate, improve, decide" approach. This process saves time and reduces costs by eliminating prolonged discussions and duplicate efforts.

When everyone shares a clear understanding of priorities and works toward common goals, resources are allocated more efficiently on core priorities.

Peak Performance

Effective leaders want to learn and develop quickly. Time is wasted when you or others hesitate to communicate the facts and implications. Being candid allows decisions to move forward faster.

Candor facilitates improved learning and development by enabling clear and direct communication. This openness encourages collaboration and innovation, as team members feel empowered to contribute their ideas and perspectives. Moreover, candor reduces misalignment and errors by ensuring everyone clearly understands the company’s goals, leading to more efficient performance aligned with desired business outcomes.

Candor increases engagement and retention by making employees feel valued and heard. People are more willing to accept feedback if they feel part of the team.

Finally, candor allows companies to adapt quickly to challenges by fostering an environment where issues can be addressed openly and swiftly, ensuring agility in a rapidly changing business landscape.

“Candor is the key to collaborating effectively.

Lack of candor leads to dysfunctional environments.”

– Edwin Catmull

Giving Better Feedback

You want to deliver candid feedback in a respectful and empathetic manner, ensuring that honesty is paired with compassion. Let the person know you will deliver critical feedback, give them praise before and after the feedback, and emphasize that you are spending time delivering this information because you believe in their continued strong performance.

To make feedback more effective, prepare specific examples and focus on behaviors rather than personal traits. This clarity ensures that the feedback is actionable and constructive. During the conversation, practice active listening by encouraging the recipient to share their perspective and truly hear their viewpoint. This approach not only improves the effectiveness of the feedback but also shows that you value their input.

After delivering feedback, follow up to see how the individual is progressing and offer support and resources to help them implement changes. This ongoing support can significantly enhance the impact of the feedback.

Cultural or personal perspectives can influence how candor is received. For instance, some cultures expect a lot of eye contact during intense conversations, while others might find it offensive or intimidating. Being aware of these differences can help tailor your approach and ensure effective and respectful communication.

At two companies, people complained to me about an employee’s hygiene. In the first company, I was nervous about bringing up the issue, so I asked the manager to handle it. While the concern was addressed, it was not done tactfully, and the manager made it clear that I had raised the issue. Those employees avoided me.

At the second company, I addressed the hygiene issue directly. I rehearsed my points carefully, kept my message brief and clear, and explained its impact on workplace relationships. When we met, I acknowledged that the conversation might be tough, addressed the problem immediately, answered questions, and thanked them for listening. While certainly awkward, they would eventually talk with me again about other work matters and the relationship stayed intact.

Finally, remember that candor should be a two-way process. Encourage open feedback from others to understand your own areas for improvement and foster a culture of continuous learning, which leads us to the next section.

Receiving Constructive Feedback

Performing your best requires timely and valid input. People can sense sincerity and are more eager to respond, knowing you’re trying to be candid and learn. Your desire for higher performance will foster similar behavior in others. Most people hesitate to give contrarian opinions or critical feedback to founders. When you demonstrate that you are open to that feedback, your stakeholders are more likely to offer valuable responses.

By being willing to receive feedback, you encourage open communication within your business, which leads to a more collaborative and innovative environment. This openness builds trust and credibility with your team and makes them more comfortable sharing concerns and insights. It also fosters a growth mindset, where mistakes are seen as opportunities for growth rather than failures, leading to increased resilience and innovation.

Receiving feedback improves decision-making by providing diverse perspectives that might otherwise be overlooked. By considering these inputs, leaders can make more informed decisions that better align with the company’s goals. Moreover, it enhances accountability within the team, as members are more likely to take responsibility for their actions and address issues proactively when they know their input is valued.

This vulnerability/confidence encourages the team to readily share ideas, report problems early  (which gives you more options to solve them rather than finding out after the damage is done), and stand by you during difficult times.

As discussed further in the chapter on Self-Awareness, receiving feedback is a powerful tool for personal and professional growth.

Improved Results

When stakeholders understand your vision and expectations, they can better evaluate your progress and provide recommendations. You will be held accountable as you share plans and desired results. As you demonstrate accountability, others become more likely to take responsibility themselves and engage in productive discussions, knowing you're genuinely interested in learning.

Candor fosters an environment where team members feel empowered to challenge existing practices, which can lead to breakthroughs and competitive advantages. While the founder has to make final decisions, the more input you gather, the better the options will be.

Moreover, candor encourages employees to communicate potential vulnerabilities and concerns, enabling founders to manage risks more effectively.

By promoting open communication, candor improves collaboration across teams, leading to more cohesive and effective teamwork. This alignment with the company’s vision is essential for better results. It also helps retain top talent by fostering a culture where people feel valued and heard, improving job satisfaction and reducing turnover.

One Warning

Unfortunately, candor can also be weaponized. People may use honesty to be hurtful under the guise of trying to be helpful.

The distinction is offering constructive feedback for productive purposes versus providing feedback for personal motives. Leaders must ensure that candor leads to more productive behavior to maximize its benefits while minimizing potential drawbacks.

Introverts and Candor

Meetings or group settings may feel stressful and tempt you to say whatever will get you out of the room fastest—even if it's not the most candid response. Introverted leaders often prefer written communication and need time to reflect before speaking.

There are several ways to handle these situations while reducing pressure. You can offer to provide a response later, explaining that you need time to consider the best answer, discuss your plan with those directly impacted first, or want to send a written response due to the complexity or timing (e.g. the meeting is supposed to end in a minute).

It's perfectly acceptable to say that you haven't thought through a particular issue or that you recently received new information that may inform your direction. Resist the urge to be constantly confident and embrace ambiguity when there is time to weigh options in search of the best one.

You may want to speak with key stakeholders individually about your plan to gauge their questions and responses. This one-on-one approach is more comfortable for introverts and may reveal points you hadn't considered, preparing you for potential objections.

For urgent but non-critical issues, tell the team you'll send a written response. This approach leverages an introvert's strengths. Consider sending your response to a small group first, framing it as a draft, and requesting feedback on your thoughts and wording.

Finally, some topics are emotionally charged. Take time to address these issues carefully to avoid quick responses that aggravate emotions without resolving the matter.

With any of these approaches, be clear about how and when you'll respond. People typically react negatively to hasty, incomplete answers but appreciate thoughtful responses that take time to develop. Also, offer to pick up the discussion again if there are remaining questions, and open the next meeting with that point to be sure everyone understands your direction.

Key Takeaway: While embracing openness may challenge some individuals, the benefits of candor including enhanced efficiency, performance, and decision-making make it well worth the effort.

How Can I Keep Learning? Based on the examples above, identify one specific way to increase candor in your company. Then test your idea by sharing it with a colleague within the next week to get their feedback.

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Build Scale Grow solves problems for fast-growing startups, specializing in Social Impact, EdTech, and Health Tech and focusing on Introverted Founders.

I wrote this post with AI editing. Photo by Anh Tuan To.

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