When Is the Right Time to Hire Someone Smarter Than You?

  • Executive
  • Leadership
When is the right time to hire somebody smarter than you?

If your ego’s still in charge, you’re not ready to grow...


Thirty years. Three decades. Whichever way you cut it, that's a long time in business.  

As MPI Recruitment moves into its 31st year, I’ve reflected on the countless lessons learned, the challenges overcome, and the pivotal decisions that continue to shape our journey. 

Especially in business and executive leadership. 

One of the most crucial, and often counterintuitive lessons, is knowing when to hire senior leaders, or more specifically, hiring people smarter than you. 

Over the years, I've seen countless leaders, me included, grapple with the inherent vulnerability of bringing in people with skills and knowledge that exceed our own. But as the saying goes, "….as a business leader, if you're the smartest person in the room, you're probably in the wrong room 

This rings especially true when navigating the realities of business growth leadership challenges in the crazy world of recruitment 

 

The Ego Trap in Executive Leadership

Early on, it felt like a direct challenge to my personal capabilities and founder mindset. 

It's human to want to be the expert, the chosen one with all the answers. However, I soon realised this ego-driven approach was a significant barrier to leadership development 

Hiring smarter people is not a threat; it's a strategic advantage. 

Think about it: every industry is evolving rapidly, be that talent, recruitment, mining, hospitality, or medicine. Staying ahead requires constant innovation and adaptation. You need individuals who will challenge your assumptions, bring fresh perspectives, drive progress and…  

 

WAKE YOU UP DAILY! 

 

Mark Wager from the Australasian Leadership Institute highlights that it's not just "okay" to hire smarter people; it's essential for building a high-performing team and strengthening leadership development. 

Mark’s Article can be found here  

 

Recognising the Need for Specialised Expertise 

At MPI Recruitment, in my business (owned with my amazing partners) we witness the power of specialised expertise daily. As we expanded our services and navigated increasingly complex client needs, it became clear we needed individuals with niche skills and deep industry knowledge.  

This meant bringing in talent that surpassed my own in specific areas. 

I feel we have done this reasonably well and I quote many examples: 

  • Hiring IT specialists 
  • Hiring finance specialists 
  • Hiring external culture experts 
  • Hiring technical experts outside of my core training 
  • Hiring T&D experts 

 

So, knowing “what” we should be doing is one thing. The other part of course is knowing “when” it’s the right time.   

You can work out the specifics but some clues I have felt during periods of business growth leadership challenges:  

  • When your growth is stagnating 
  • When you're facing complex challenges 
  • When you want to scale (really scale) 
  • When you need to innovate 
  • When you are experiencing max out/ burn out.  
 

This is not the end game, though

The really high-risk game is more about YOU and not just when a founder is becoming a bottleneck, but when the lack of renewal can turn into a clear and present danger. 

 

When Founders Should Step Aside and Plan Leadership Succession 

75% of people who start a business have either closed it or turned it into a job inside five years.  

A very small % can pay themselves the same salary they would otherwise have achieved if they were in the job they were in before they started the business.  

Almost none, get to sell it for multiples of what they might have earned if they continued earning the same salary they were on before they formed their business.  

This is where leadership succession planning and transitioning from founder to a CEO become critical conversations, not abstract ideas.   

The short answer here is VERY (VERY) clear, if it is only about money, take your salary, put it all on black at the roulette wheel at the casino and only ever do it once. Your chances of success are higher than getting to this final step in a business’s life cycle.   

 

Leadership Growth Requires a Bigger Mission Than You 

So, when facing those times when the future needs to be reclarified, I have inevitably seen two options; 

One, where you: 

  • Don’t have a bigger mission in mind and  
  • Youre tired, and 
  • Youre in a high profit window right now 

, my advice to you would be clear.  

Sell now. 

Conversely, where you: 

  • Remain passionate 
  • Have a solid base 
  • Can see a bigger vision building on a solid base.. 

… my advice would be different.. 

  • Start thinking like a start up again.  
  • Refresh your strategy with some external help 
  • Start the process of replacing yourself immediately. 

In conclusion, the right time to hire someone smarter than you is always. It's a strategic move that will accelerate growth, innovation, and long-term success.  

Embrace the opportunity to learn from others, and you'll be amazed at what you can achieve together by strengthening your business leadership over the long term. 

Wherever you are at in your journey, I wish you well, and finally as a perennial salesperson, please allow me 10 seconds of your time to read this short sales message… 

If you are interested in seeking out a new opportunity personally, or if you are looking for people to help you take that next step, then please reach out to the Intelligent Recruiters at MPI. 

 

Steve Heather  

Executive Chair & Company Secretary

MPI Recruitment 

www.mpirecruitment.au 

Steve Heather
by Steve Heather
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