5 Telltale Signs You're Working for a Narcissist Excessive narcissism can be very destructive – here's how to know for certain if your boss or CEO is a true narcissist.

You built your company with years of blood, sweat and tears. Ideally, you envisioned a thriving organization with a great team. However, somewhere along the way, things began to unravel. Suddenly, the company's trajectory shifted, team morale plummeted and energy shifted.

Your first thought might be, 'What went wrong?' The answer, unfortunately, might lie in the personality of your CEO. Although confidence and charisma are essential leadership characteristics, excessive narcissism can be highly destructive. Here are five telltale signs of a narcissistic boss or CEO and why it matters.

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1. An excessive need for praise and recognition

Often, narcissistic CEOs go to great lengths to ensure they are in the limelight. They may take credit for team successes, emphasizing their role and underplaying that of others. As a result of this behavior, employees feel demoralized and undervalued.

For example, if a CEO is constantly included in the narrative of every company's success story, even when their involvement is minimal, that's a red flag. In addition, they may seek recognition through awards or media coverage, sometimes sacrificing the company's long-term interests.

Why it matters: In the absence of constant validation, poor decisions can be made. When a CEO is narcissistic, they may prioritize initiatives that enhance their image rather than those that promote sustainable growth.

2. Lack of empathy

Empathy is the foundation of effective leadership. In fact, (86%) of employees believe that empathetic leadership boosts morale, according to an Ernst & Young survey conducted in 2023. In addition, 87% of employees believe empathy is essential to foster a culture of inclusion.

However, narcissistic CEOs lack this trait and view employees and stakeholders as tools for furthering their own goals. They tend to dismiss feedback, ignore employee well-being, and ignore the broader impact of their decisions.

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Besides high turnover rates and low employee morale, employees who feel unseen or unappreciated are less likely to stay engaged, and the organization suffers as a result.

Why it matters: Empathy is essential for a CEO to lead and inspire their team effectively. This disconnect fosters a toxic work environment where innovation and collaboration are stifled.

3. Driven by a need for control

A narcissistic leader often micromanages and maintains control over every aspect of the organization. If they believe that others will not meet their high standards, they may have trouble delegating tasks to others and trusting their team.

Moreover, they manipulate, intimidate and threaten others to control them. Some of them might even use flattery, lies, or belittlement.

In addition to slowing down processes, this behavior can hinder productivity and morale. When the CEO has to approve every minor decision personally, they can create bottlenecks and frustrate employees eager to own their work.

Why it matters: Controlling CEOs stifles creativity and autonomy. The result can be a lack of innovation and a disengaged workforce over time.

4. An ambitious vision with little follow-through

It is common for narcissistic CEOs to present themselves as visionary leaders with bold ideas. Although having a clear vision is vital, these leaders may prioritize grandiosity over practicality. Often, they fail to provide realistic roadmaps or resources needed to accomplish their ambitious goals.

As a result of this behavior, employees may be disillusioned and unable to meet their expectations. Suppose a CEO promises a doubled revenue within a year without considering market conditions. As a result, the team is forced to scramble to meet impossible goals.

Why it matters: Unrealistic goals can damage a company's credibility and morale. The result is decreased productivity and higher turnover, as employees become cynical and disengaged.

5. Shifting blame and avoiding accountability

When a person is narcissistic, they are incapable of taking responsibility for their mistakes. As a result, narcissistic CEOs often blame others, like employees, the market or competitors. It's easy for them to take credit for success, but they're equally quick to distance themselves from mistakes.

"Narcissistic bosses are likely to take credit for things that go well and to dodge blame for things that don't or, more specifically, overtly blame others or external circumstances for things that don't go well," adds Amy Edmondson, a Harvard Business School professor who studies psychological safety at work.

By shifting blame, the organization loses trust. Employees may feel unfairly scapegoated, which can lead to disengagement and resentment. Furthermore, a lack of accountability at the top sets a poor example for the rest of the organization.

Why it matters: To improve and grow, accountability is essential. Without it, the organization will make repeated mistakes and stagnate.

Related: How Accountability Fuels Personal and Professional Growth

The impact of a narcissistic CEO

It is possible for an organization to experience far-reaching consequences when a narcissistic CEO is present. Among the potential impacts;

• Toxic culture. Narcissistic leaders often cultivate fear, competition, and distrust. There may be a tendency for employees to prioritize self-preservation over collaboration.
• High turnover. Without empathy and recognition, talented employees may leave the organization, making it struggle to retain the best talent.
• Short-term focus. Those with narcissistic personalities may put short-term gratification above long-term sustainability, jeopardizing a company's future.
• Damaged reputation. A narcissistic CEO can damage a company's reputation either internally or externally. This can negatively impact relationships with clients, customers, investors and other stakeholders.

How to address the issue

If your CEO exhibits narcissistic tendencies, you need to take proactive measures to mitigate the impact;

• Build a strong leadership team. Interestingly, Lorenz Graf-Vlachy, a professor of strategy and leadership at Technische Universität Dortmund in Germany, found that narcissistic CEOs often damage companies by hiring people who have similar self-esteem for top management roles. As a result, there is turbulence and turnover in the C-suite. As a preventative measure, surround the CEO with competent, empathetic leaders who can balance their shortcomings and advocate for employees.
• Encourage open communication. Provide employees with channels for voicing concerns without fear of retaliation. In particular, anonymous feedback can be highly effective. To create anonymous questionnaires, you can use Google Forms or Microsoft Forms. You can also use specialized tools like CultureMonkey, which gathers anonymous employee feedback.
• Focus on core values. Instead of focusing on personal ambitions, reinforce the company's mission and values to establish a long-term focus.
• Seek external support. Invest in coaching or consulting services to help the CEO recognize and adjust their behavior.
• Monitor and evaluate. Regularly assess the CEO's performance and its impact on the organization. Consider that you may need to involve the board of directors in addressing persistent issues.

Final thoughts

No leader is indeed perfect. However, excessive narcissism in a leader can impede an organization's success. When companies recognize the signs and address the issue, they can protect their culture, employees, and long-term viability.

Remember, a leader's role is more than gaining personal glory. It's about empowering others and driving collective progress.