Jane Fraser, CEO of Citi: Lead with Empathy

Quick Overview

Jane Fraser, CEO of Citi, advocates for leading with empathy, which she views as a competitive advantage derived from understanding the needs of employees and customers, even extending to understanding the pressures faced by activist shareholders, while emphasizing that true leadership requires courage, clinical thinking, and a commitment to setting a clear positive vision rather than focusing solely on fixing problems.

Key Points: Fraser credits her early education at an all-girls school in Sydney for teaching her to 'go for it' and fostering an 'insatiable curiosity about the world.' She chose to work part-time for five years after making partner at McKinsey to balance her career with motherhood, noting that mentors gave her the courage to make that choice, believing career measurement happens in decades, not years. During the 2008 financial crisis, Fraser learned from leaders the necessity of 'incredibly clinical thinking,' courage for tough decisions, and sticking to core principles, such as Citi not being in the business of manufacturing but distribution. Fraser deliberately sought out tough jobs, like leading the mortgage business post-crisis from a call center, because she prefers 'being bold' in making changes over 'tweaking things,' noting that fixing things often leaves leaders with more autonomy initially. To earn trust, especially when taking over new teams in difficult situations, Fraser emphasizes communicating straight and putting oneself in others' shoes, exemplified by sharing her son's difficulty adjusting to the move from London to St. Louis. As CEO, Fraser felt the weight of the role and the added responsibility of being the first woman to lead a 'big four' US bank, focusing on 'how you led or how you turned up' over specific decisions. Fraser believes empathy is a competitive edge because it involves understanding needs, not just pushing an agenda; she cites Warren Buffett's advice to 'Criticize by category, praise by name' as an element of thoughtful leadership.