I’m going to guess that you started your business, or became a leader, because you wanted to make a difference. You care about people. You believe in creating something meaningful, but somewhere along the way, the line between “leader” and “friend” may have gotten a little blurry.
Maybe you’ve had a bad boss before, and you’re determined not to recreate that experience for your team. Maybe you avoid confrontation. Maybe you’re a compassionate and empathetic person – which, to be clear, are great traits for leaders to posses.
Here’s the thing, leadership requires more than kindness. It requires trust, respect, and the courage to make, and act on, difficult decisions.
Inconsistency Erodes Trust
Trust is a foundational element of leadership (and I’d say, a required one). Trust is built through consistency, fairness, and accountability – not team lunches, inside jokes, or being liked.
When employees observe inconsistent treatment, even if unintentional, it sends a message that can lead to an erosion of trust. For example:
- An employee is habitually late without valid cause, and it’s overlooked.
- A top performer asks to leave early for a legitimate reason, and you say no.
To that high-performing team member, the inconsistency is clear, and damaging. Trust isn’t just about your intentions, it’s about the impact of your actions, decisions, or inactions.
Similarly, imagine that a strong contributor flags a concern about a peer who’s frequently distracted on their phone. If nothing changes, they may assume that you either didn’t follow up, or that you chose to ignore it. Either way, their motivation to continuously demonstrate a high degree of willingness and competence may drop.
To be clear: this isn’t about public reprimands or inappropriately providing confidential information to the team – feedback and accommodations should always be handled with discretion; however, leadership is visible, and your standards are communicated in both what you say, and what you permit.
Does Your Team Respect You?
Being the “fun boss” might earn you laughs and participation when things are going well, but will it earn you respect?
When the boundaries between “leader” and “peer” aren’t clear, it becomes difficult to maintain authority – especially when tough conversations need to happen. This is particularly common when someone is promoted from peer into leader or when a founder leads a small, close-knit group.
Here are a few things to consider that will help you be able to both socially enjoy spending time with your team, and maintain your position as respected leader:
- Casual or inappropriate inside jokes might seem harmless, but to new employees, they can signal a lack of professionalism.
- Long-standing team dynamics may make newer hires feel excluded – or question your judgement as a leader. You can think of promotions based on something being liked, versus having the capabilities to do the job.
- “Over-sharing” or blurring professional boundaries can make it hard to enforce policies or give critical feedback without being seen as hypocritical, or needing to justify these leadership requirements.
You can have friendly relationships with your team – and you should! However, as the leader, you also need to set the tone for professionalism, equity, and growth. The best leaders aren’t distant or cold – they’re warm and human, and they’re clear on their role.
Hard Decisions are Part of the Job
Leadership isn’t just about visions, it also requires making hard decisions in the service of that vision.
You may need to conduct layoffs. You might have to performance manage someone who used to be a go-to person. You could find yourself pivoting the business model and eliminating roles altogether.
These moments are never easy – and if you’ve set yourself up as “just one of the team”, they become even harder. Your team might expect a level of justification and transparency beyond what is appropriate, or take decisions personally.
When you’ve built a foundation of clarity, respect, and leadership presence, you’re better positioned to lead through tough changes. You’re not withholder – you’re protecting confidentiality. You’re not being distant – you’re being responsible.
You are still a Human
Let’s be clear, leadership isn’t about becoming a robot or being inaccessible. It’s about stepping into your full role – as someone who leads with integrity, fairness, and vision.
You don’t have to sacrifice empathy to lead effectively. In fact, some of the best leaders are compassionate and relational, but compassion without boundaries and equity can lead to your burnout. And leading with likability, without structure, and lead to chaos.
You didn’t start your business to create dysfunction – you did it to create something better.
Build Your Leadership Foundation
If you’re ready to move from reactive management to intentional leadership, the People Playbook was made for you.
Designed specifically for founders and small business owners, this digital HR resource gives you the tools, templates, and guidance you need to lead with clarity and confidence.
Whether you’re navigating employee challenges, setting performance expectations, or scaling your team – we’re here to help you build the HR foundation you and your business deserve.
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