Darren Huston of BlackPines Capital Partners On Five Things You Need To Be A Highly Effective Leader During Uncertain & Turbulent Times
Communicate, communicate, communicate. Do this frequently and consistently with your team. You almost can’t overdo it. Even communicate daily updates when in crisis mode.
As part of our series about the “Five Things You Need To Be A Highly Effective Leader During Turbulent Times”, we had the pleasure of interviewing Darren Huston.
Darren Huston, an accomplished business leader with over three decades of experience, is the CEO and Founder of BlackPines Capital Partners. His strategic vision has driven growth for numerous companies across the globe. Before BlackPines, Huston held key positions at Microsoft, Starbucks, McKinsey & Company, and served as CEO of Booking.com and Group CEO of the Priceline Group. He currently chairs the boards of The Knot Worldwide, Allegro Group, Skyscanner, GameAddik, and Operto, successfully guiding Allegro to its IPO in 2020.
With a passion for disruptive technologies, Huston identifies and nurtures innovative solutions that transform markets. His educational background includes an MA in Economics from the University of British Columbia and an MBA from Harvard Business School. Based in Vancouver, Huston leverages his expertise to unlock the full potential of companies, helping them achieve sustainable success in a dynamic business landscape. As a recognized authority on strategic leadership, he continues to shape industries through his influential roles within the global business community.
Thank you so much for your time! I know that you are a very busy person. Our readers would love to “get to know you” a bit better. Can you tell us a bit about your ‘backstory’ and how you got started?
I was born in Hope, BC and grew up in various small towns throughout British Columbia. Looking back, a pivotal opportunity that helped shape my career path and who I am today was when I accepted an invitation to attend school in Italy. This opened doors for me to later earn degrees in Economics and Business at Harvard. My career has included roles at McKinsey, Starbucks, Microsoft, Booking.com, and now with decades of experience, I’m a chairman for multiple companies.
It has been said that our mistakes can be our greatest teachers. Can you share a story about the funniest mistake you made when you were first starting? Can you tell us what lesson you learned from that?
First, I’d like to emphasize that making mistakes and learning from them is an important part of life’s journey!
A funny one: Early on in my life, I took a job performing kitchen prep at a resort near Revelstoke, BC. I accidentally added a very small amount of water to a large kettle of dry beans. My angry boss told me to separate the wet beans from the dry ones. I started sorting them, bean by bean, but quickly realized it was impossible to tell which were wet and which were dry! My solution was to dry half of the beans under a heat lamp and add water to the other half. I shared my solution with my boss and he was so happy!
Lesson: Be creative. There are always smart ways, within the rules, to get more done in less time!!
None of us are able to achieve success without some help along the way. Is there a particular person who you are grateful towards who helped get you to where you are? Can you share a story?
To me, that person is my father. He taught me valuable lessons about hard work, dedication, and resilience. I also learned from him that sometimes, saying less is more. He was a man of few words but managed to have many friends and followers. His amazing sense of humor only helped. While he didn’t attend my undergrad or first graduate degree ceremonies, he made the trip to Boston for my Harvard ceremony. I could tell he was proud, even without him saying much, and that meant the world to me.
Extensive research suggests that “purpose-driven businesses” are more successful in many areas. When your organization started, what was its vision, what was its purpose?
BlackPines Capital, inspired by the name of the last town I resided in, Black Pines, BC, before relocating abroad, was established as a holding company. Its primary focus is to assist businesses and executives in unlocking value through collaboration. My enthusiasm for working alongside others and discovering collective paths to success is the fundamental motivation behind this venture.
Thank you for all that. Let’s now turn to the main focus of our discussion. Can you share with our readers a story from your own experience about how you lead your team during uncertain or difficult times?
The most memorable story that comes to mind was during the Dot-com crash of 1999 while I was working at Starbucks. We were heavily invested in several internet initiatives that had to be written off. I learned the importance of acting decisively to move on from what wasn’t working, and focus on what was. This led us to launch the in-store WiFi network and the Starbucks Card. Needless to say, both were hugely successful.
Did you ever consider giving up? Where did you get the motivation to continue through your challenges? What sustains your drive?
Of course, there were moments I considered throwing in the towel, but I always managed to pick myself up off the ground, first step back to reflect, and then plan for the future and push forward. I’ve been lucky during my toughest times to have had an incredible support system of family, friends, and people I trusted in my corner. I learned so much from each of the challenges I encountered, and also came to realize how many great people there are in this world. The tough experiences ultimately made me stronger and instilled my passion to return the favor to help others.
I’m an author and I believe that books have the power to change lives. Do you have a book in your life that impacted you and inspired you to be an effective leader? Can you share a story?
I read a lot of books (mostly history, some business). A really obscure book called “Love is the Killer App” by Tim Sanders had so many great learnings. Especially about networking, sharing knowledge, and the benefits of being a genuinely good person or “lovecat” as Tim called it. I met him at Starbucks and his messages resonate with me.
What would you say is the most critical role of a leader during challenging times?
Communicating openly and honestly with a tone of realistic optimism. Leaders need to strike a balance between acknowledging challenges and inspiring confidence in the team’s ability to overcome them.
When the future seems so uncertain, what is the best way to boost morale? What can a leader do to inspire, motivate and engage their team?
Articulating a clear, inspiring vision of where the company is headed. Be confident. Break the journey down into realistic short-term goals to keep the team focused and engaged.
What is the best way to communicate difficult news to one’s team and customers?
Be direct, honest and avoid sugarcoating the situation. Always follow bad news with a proactive plan to address the challenges head-on.
How can a leader make plans when the future is so unpredictable?
Have a clear ultimate goal (a “North Star”) but recognize there will be numerous paths to get there along with unpredictable and unforeseen challenges along the way. Focus on achievable objectives in the short term (today, tomorrow, this week) while keeping the long-term destination in sight.
I believe it was Colin Powell who said (in summary) that when facing uncertain situations, the key is to be data-driven — but not to wait for 100% of the data. Get 80% of the data, then stumble, always forward, towards your goal. Be ready to navigate around obstacles, find alternate paths, or break through barriers to reach your goal.
Is there a “number one principle” that can help guide a company through the ups and downs of turbulent times?
The number one and two principles: preserve cash and focus on market share.
Can you share 3 or 4 of the most common mistakes you have seen other businesses make during difficult times? What should one keep in mind to avoid that?
The most common mistakes companies make during difficult times are:
- Failing to be honest with themselves and their team about the reality of the situation.
- Pushing forward as if nothing has changed instead of adapting to new circumstances.
- Exhausting cash reserves to a dangerous level, leaving the company vulnerable.
- Assuming investors (the “cash calvary”) will bail them out, when in fact, a struggling business becomes less attractive to any smart investors.
Here is the primary question of our discussion. Based on your experience and success, what are the five most important things a business leader should do to lead effectively during uncertain and turbulent times? Please share a story or an example for each.
- Surround yourself with a dependable team. Discuss and debate critical decisions privately as a group before taking public action.
- If significant cuts or restructuring are necessary, do as much as possible in one go to avoid prolonged uncertainty. Avoid death by a thousand cuts… Sometimes you misjudge on the first pass, but it’s imperative to be sure the second action sticks. Remember: You can always build back.
- Be honest about the challenges you’re facing, but realistic and optimistic with the path forward.
- Communicate, communicate, communicate. Do this frequently and consistently with your team. You almost can’t overdo it. Even communicate daily updates when in crisis mode.
- After your actions are taken, find and celebrate wins that reinforce positivity and success with the new way forward.
Can you please give us your favorite “Life Lesson Quote”? Can you share how that was relevant to you in your life?
“Work hard, be resilient, the rest will follow”
How can our readers further follow your work?
www.blackpinescapital.com and darren-huston.com
Thank you so much for sharing these important insights. We wish you continued success and good health!
Darren Huston of BlackPines Capital Partners On Five Things You Need To Be A Highly Effective… was originally published in Authority Magazine on Medium, where people are continuing the conversation by highlighting and responding to this story.