When IQ isn't enough

A highly regarded former England cricket batsman once recounted a story where he ran into a batsman from the Australian cricket team in the gents, while on a winter tour. Having had a good tour himself, the Brit remarked that becoming a successful batsman requires a significant degree of good fortune. His Australian counterpart retorted, 'Yeah, that and a s*** load
of talent'.

While the Aussie was undoubtedly trying to maintain an aura of invincibility, the comment did not sit comfortably with his rival; a player known for his dedication and hard work. The Australian was probably not one of the most talented players of his generation, but he was undoubtedly one of the most successful.

During the Ashes summer, I have frequently been reminded of how being a successful batsman is about more than just that natural talent. In fact I would go as far as to say that the talent side is overrated. Mental toughness, for example, is far more important, as is dedication. The golfer, Gary Player, once commented: 'It's strange, the more I practice the luckier I get'.

You make your own luck

Success is of course not a product of luck. It is a function of hard work and time. The longer you work hard, the more successful you will get. The same situation exists in professional life.

The number of people I have met professionally who are clearly much cleverer than everyone else can probably be counted on the fingers of one hand, and they are not always the most successful. Studies have proven that people with an IQ of, say 150, are not more successful that those with an IQ
of 125, for example.

Both groups of people are clever enough to succeed. After a certain intelligence level is reached, other skills become more important, such as interpersonal qualities, dedication and connections. People just need to be bright enough, then it is their other skills that will determine how successful they are. Certainly in my professional experience, it is those who work hardest and have taken calculated career risks who are generally the most successful, not the cleverest.

A different kind of intelligence

As a private client specialist I have always found that strong interpersonal skills are just as important as strong technical skills. After all, it is a people-oriented industry and clients want to interact with someone who they can easily relate to. When I look at the trainees coming through, I immediately think, 'Can I leave this person alone with a client?' 'Do they have a basic level of charm and intelligence that will make the client feel comfortable?'

For some this is a skill that needs to be learnt, for others it comes more naturally and for a few, it will never be easy. This is why firms need to focus more on the soft skills of their staff and develop them further.

So why don't firms train people on how to win the confidence of clients, how to promote themselves effectively and speak confidently in public. Ultimately the firm will benefit as a whole by having a varied mix of skills at a senior level. Regular readers of my columns will be aware of my belief that most professional firms do not structure themselves correctly or promote the correct staff, nor incentivise staff in the right way.

Don't waste the ace

Partnerships by their very nature are collegiate ventures and that means that skill sets need to be complimentary. Highly technical people are not always strong client handlers, and great work getters are not always the strongest technically.

The technically best people should not be running the firm. The natural businessmen should be doing that, irrespective of their technical skills.
That is why firm's need to encourage and promote staff with a variety of skills, to create a truly multi-disciplinary firm.

To carry the cricketing analogy further, a successful batsman needs a blend of basic skill, courage, discipline and mental strength. Ideally he also needs to be a good team man as well. Very few players have a complete combination of all these skills. That is why a successful team needs to have a complimentary group of players.

A partnership needs to develop the same complementary skills. This is best done by focussing on encouraging and developing a broad range of skill sets within the firm. 

Geraint Jones is a tax partner at BKL Tax

He writes the regular in-practice article on doing business for Private Client Adviser