Power Must Be Balanced by Responsibility and Accountability

Unchecked Power is Inherently Dangerous

Authority without accountability is inherently problematic. Raw, unchecked power, when placed in human hands, is prone to abuse or mismanagement. History offers countless examples of absolute authority becoming corrupted, underscoring that responsible governance requires clear accountability measures at every level.

Authority, Responsibility, and Accountability in Business

In business organizations, authority is deliberately entrusted to directors by the owners of the company. These directors express their authority primarily through creating and enforcing policies. These policies guide company operations and directly shape its future outcomes.

When a company's policies lead to failures or undesirable outcomes, responsibility primarily falls upon the directors who established or approved these policies. Directors must be held accountable for the effects of their decisions, as authority is inevitably bound to the outcomes it creates.

When Employees Fail: Clarifying Responsibility

There are, however, situations where failure is directly attributable to employees failing to comply with clear policies. In these instances, the employees bear direct accountability. Yet, even here, the directors are not completely absolved. Directors remain responsible for reviewing why the failure occurred, improving oversight, and adjusting policies to prevent similar future issues.

Ambiguities and Policy Gaps: Avoiding Unfair Blame

Challenges emerge when policies are inadequately defined or when an unexpected event occurs—such as discovering a critical security vulnerability in software code. The immediate impulse of some directors might be to place blame directly on the coder. This approach, however, is fundamentally misguided.

Directors have a clear and continuous responsibility for comprehensive risk management. Proper oversight includes auditing, systematic code reviews, and explicitly accepting and managing residual risks. To place blame solely on an individual coder ignores the larger, systemic responsibility directors have in anticipating, preparing for, and mitigating these risks.

Balance of Power: The Spiderman Principle

The popular adage often attributed to Spiderman's uncle, "with great power comes great responsibility," captures a universal truth. Authority is always coupled with responsibility; power, by nature, is never absolute nor permanent. The lifecycle of one's authority directly corresponds with how responsibly it is used.

When power dynamics shift, relationships must evolve accordingly or risk breaking down completely. A classic illustration is the parent-child relationship: As the child matures, authority naturally shifts. Parents who resist relinquishing control either stall their child's maturity or risk fracturing the relationship entirely.

Executive Duty: Enforcing Accountability

Executives have an implicit—but crucial—responsibility to ensure clear accountability is consistently enforced within their organizations. This includes holding directors to account, especially when they attempt to evade their own complicity in policy or oversight failures. It is improper for directors to shift blame downward without first scrutinizing their own roles in allowing such failures to occur.

In a healthy organizational structure, direction and management bear primary responsibility, setting clear expectations and policies. Employees bear ultimate responsibility, tasked with following clearly communicated guidelines. Only when these guidelines are transparent and explicitly violated should accountability shift significantly onto employees. Even then, directors must continuously strive to refine policies and oversight mechanisms to prevent similar incidents.

Conclusion: Healthy Balance as a Core Leadership Competency

Authority must always be transparently balanced by responsibility and accountability. Effective, sustainable leadership demands consistent accountability—no position is exempt from scrutiny. Indeed, those entrusted with the greatest power must be held to the highest standards of responsibility. This foundational balance not only safeguards organizations but also promotes maturity, fairness, and resilience at every level.