#5 The Law of E.F. Hutton

21 Irrefutable Laws of Leadership - John C. Maxwell

From the book “The 21 Laws of Leadership” by John C. Maxwell

#5 The Law of E.F. Hutton - When the real leader speaks, the people listen

The real leader holds the power, not just the position.  

“Being in power is like being a lady.  If you have to tell people you are, you aren’t.” - Margaret Thatcher

If you see a disparity between who’s leading the meeting and who’s leading the people, then the person running the meeting is not the real leader.  

Sometimes new leaders need to recognize the person people follow are the people on the existing team they already know and trust.  If you run into this scenario, it’s best to read the room and seek out that persons counsel. 

Once you learn the Law of E.F. Hutton, you’ll never have trouble figuring out who the real leader is in just about any situation.  For example, go to a meeting with a group of people you’ve never met before and watch them for five minutes.  You’ll know who the leader is.  When somebody asks a question, who do people watch?  Who do they wait to hear?  The person they look to is the real leader.  

2 Types of Leaders 

Positional Leaders - Speak first, need the influence of the real leader to get things done, influence only other positional leaders.  

Real Leaders - Speak later, need only their own influence to get things done, influence everyone in the room.  

The real test of leadership isn’t where you start out.  It’s where you end up.  

The proof of leadership is found in the followers.  

People become real leaders over time.  Seven key areas reveal themselves in leader’s lives that cause them to step forward as leaders:

  1. CHARACTER - WHO THEY ARE    True leadership always begins with the inner person.  People can sense the depth of one’s character. 
  2. RELATIONSHIPS - WHO THEY KNOW   You’re a leader only if you have followers, and that always requires the development of relationships - the deeper the relationships, the stronger potential for leadership.  Build enough of the right kinds of relationships with the right people and you can become the real leader in an organization.  
  3. KNOWLEDGE - WHAT THEY KNOW    Information is vital to a leader.  You need a grasp of the facts, an understanding of the factors involved, and a vision for the future.  Knowledge alone won’t make someone a leader, but without it, they can’t become one.  Always spend a lot of time doing homework before trying to take the lead in an organization.  
  4. INTUITION - WHAT THEY FEEL    Leadership requires more than just a command of data.  It demands an ability to deal with numerous intangibles.  
  5. EXPERIENCE - WHERE THEY’VE BEEN    The greater the challenges you’ve faced in the past, the more likely followers are to give you a chance.  Experience doesn’t guarantee credibility, but it encourages people to give you a chance to prove that you are capable.  
  6. PAST SUCCESS - WHAT THEY’VE DONE    Nothing speaks to followers like a good track record.  Every time you extend yourself, take a risk, and succeed…followers have another reason to trust your leadership ability - and to listen to what you have to say.  
  7. ABILITY - WHAT THEY CAN DO    The bottom line for followers is what a leader is capable of.  Ultimately, that’s the reason people will listen to you and acknowledge you as their leader.  As soon as they no longer believe you can deliver, they will stop listening.  

People listen not necessarily because of the truth being communicated in the message, but because of their respect for the speaker.  

Ask yourself this:  How do people react when you communicate?  When you speak, do people listen - really listen?  Or do they wait to hear what someone else has to say before they act?  You can find out a lot about your level of leadership if you have the courage to ask and answer that question.  That’s the power of the Law of E.F. Hutton.  

#5 The Law of E.F. Hutton - When the real leader speaks, the people listen

Here is a url to obtain this wonderful read. [https://www.amazon.com/21-Irrefutable-Laws-Leadership-Anniversary/dp/0785288376/ref=nodl_?dplnkId=5b9a6a51-3890-432a-adf5-7abc8a4c9c76](https://www.amazon.com/21-Irrefutable-Laws-Leadership-Anniversary/dp/0785288376/ref=nodl_?dplnkId=5b9a6a51-3890-432a-adf5-7abc8a4c9c76)

I hope this book provides you with guidance for your journey.