THADDEUS ARROYO

CHIEF EXECUTIVE OFFICER AT&T CONSUMER, BOARD DIRECTOR GLOBAL PAYMENTS

A conversation about his experiences, visions and the need of developing future leaders.

Latino Leaders: What are the main differences between serving as CEO and serving as a Board Director of a Corporation?

Thaddeus Arroyo: I’ve been fortunate to have the opportunity to serve as the chief executive officer over several of AT&T’s communication business segments as well as on the Board of Directors for a variety of companies. Across each of these experiences, I’ve tried to bring perspective from my own career experiences to help shape and guide the direction of these organizations. In both the management and governance roles, I focus on the potential of strategy to improve topline and bottom-line performance of the company. The primary difference between serving in a management position versus in a governance oversight capacity as an independent board director is realized through the lens to which your respective skills and experiences are applied. In management, responsibilities focus more heavily on operational focus and execution, formulating the company’s strategy and priorities, and inspiring teams to excel by developing a common culture and vision. The board’s primary responsibilities are more centered around oversight and abiding by the principles of good corporate governance including fiduciary objective of long-term value creation. Board accountability and oversight is premised on the ability to be objective and distinct from management.

Through the skills and contributions of individual directors, board directors must develop their own point of views to provide management meaningful strategic guidance.

L.L: Across a large company, like AT&T, how do you ensure everyone is aligned to a consistent culture and priorities from the teams serving customers directly, to management teams to the C-Suite and Board?

T.A: It’s important to establish a strong and focused foundation of priorities aligned to the company strategy while investing in an intentional culture capable of driving corporate success. Leaders must recognize and create a sustainable path forward for their teams to promote disruptive thinking, and importantly, have a clear line of sight to understanding the organization’s business and strategic priorities. This way of thinking ignites meaningful contributions that are critical to driving a high-level of performance across all parts of the business. It’s crucial that teams are empowered with the tools, processes and policies needed to effectively achieve their goals in an environment that nurtures an inclusive and consistent culture.

I encourage my leadership teams to strive each day to foster a sense of belonging and empowerment across our organization as well as through our actions that impact the communities and customers that we support and serve. This mindset helps us internally by driving accountability and awareness that enables us to continue pushing the boundaries of innovation, and externally by growing deeper relationships with customers.

L.L: What are the main characteristics of a successful leader and which leadership values are important in shaping a company’s future growth? 

T.A: I’ve found that the best rewards come through the biggest challenges. To me, lifelong learning and being a successful leader go hand-in-hand. To help your company keep up with the speed at which technology is disrupting and re-shaping virtually every aspect of business and society, leaders must commit to learning and growing every day.

Additionally, growth as a leader often coincides with new career moves.

Each change presents an opportunity to grow both professionally and personally. Part of leading means taking on new challenges, embracing the uncomfortable and stretching to expand your knowledgebase and abilities.

WE MUST ALL CHALLENGE OURSELVES TO ENSURE WE’RE DEVELOPING FUTURE LEADERS THAT ARE ABLE TO OFFER DIVERSE PERSPECTIVES

I’VE FOUND THAT THE BEST REWARDS COME THROUGH THE BIGGEST CHALLENGES.

Successful leaders must truly commit to trusting and learning from their teams as they execute and sometimes adjust strategies to create new value and velocity for their companies, customers, and stakeholders. And an instrumental element of this is building teams that reflect the markets they serve. Diverse teams bring different perspectives, which can help unlock new possibilities and higher degrees of innovation. Therefore, creating teams that represent diverse thoughts, approaches and understanding establishes an important pillar for a company’s future growth. A key part of being a leader is managing the moments that matter to your teams, customers and communities that you identify with and serve. It’s important to remember that success is often less about the individual and more about magnifying the strengths with the team.

L.L: What actions do you think are needed to have more Latino Directors serving on C-Suite level of management or Board Director seats? 

T.A: The Hispanic community is the youngest and fastest-growing demographic in the nation and when we look toward the future, it’s clear that we are, and will continue to achieve a great deal for society. Hispanic leaders continue to emerge as prominent figures throughout corporate America and all parts of our society. This community has a massive role and opportunity to enhance how people live, work and engage with one another. When thinking about the importance of diversity throughout an organization, at any level including leadership and board of director ranks, I’m often reminded of one of my favorite quotes. It comes from the National Center for Women in Information Technology, and it is “the idea you don’t have, is the voice you haven’t heard.”

A diverse Board of Directors brings diversity of thought, approach and understanding critical to understand the diverse customer bases the companies they counsel serve. Different perspectives help define new possibilities. Embracing and fostering a diverse Board of Directors, leadership teams and workforce is not only the right thing to do, it´s simply good business. In fact, a 2018 study by the Boston Consulting Group found that companies with more diverse management teams have 19% higher revenue due to innovation. 

We must all challenge ourselves to ensure we’re developing future leaders that are able to offer diverse perspectives. It’s truly up to the current generation of leaders to not only shape the next wave of innovation, but to also influence the next generation of future leaders in this emerging, digitally-driven world. The Hispanic community is at the very core of our society’s transformative journey and I’m optimistic and confident in the Hispanic community is well equipped to lead now and into the future.