The risk the Cleveland Browns took on quarterback Deshaun Watson can be a useful example for corporate leaders considering hiring their own controversial star performers, our contributor Michael Peregrine writes.
So the Browns took a serious strategic and financial gamble. But it was an informed gamble: on the person, his talent, his ultimate availability and the possibility that the reputational harm will fade as wins increase.
They’re usually expensive to engage, too. They’re often high strung, demanding and distant. They can act more like a mercenary than a team player. But they offer the prospect of tremendous upside to the company. They’re frequently perceived as the missing piece, the strategic solution, the answer to the pressing needs of an often-desperate company. And they not infrequently deliver on that promise — at least in the short term — and thus are often considered to be worth the risk.
None of this is to suggest that corporate leadership is wrong to consider controversial talent acquisitions. Corporate law supports informed risk taking. But leadership is right to apply a high, and inclusive, standard of diligence to such acquisitions. Corporate law frowns on conscious disregard of warning signs.
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