Hearts & Minds: A Capable Man? Gary Abel’s challenge

Overnight, Gary Abel has gone from relative unknown to corporate superstar. He is the chosen one, anointed by Warren Buffett, to succeed him at Berkshire Hathaway. Abel has been handed one of the toughest business assignments ever, to convince the investment firm’s loyal followers that he is worthy. On the news, the stock, up 20% this year, fell 5%. The market was passing early judgment.

It’s to be expected. The initial view will be that Buffett is irreplaceable. The new CEO is a familiar comms problem. Here, it is made more difficult by the personality of Buffett. He did not simply invest but combined it with a philosophy that was entirely his and was adored. Abel has an in-built advantage that many new brooms do not possess, he has been selected by the legend himself. Comms-wise, this does not require repeated saying – it would backfire horribly if it was. It is simply there, something that does not have to be said, that everyone knows. The media will mention it but let them. Likewise, they will publish like-for-like comparisons.

He must focus on being his own person. That means not maintaining the Buffett style. That was his brand; it is not Abel’s. He will have his own method and that must be his, he cannot be inauthentic. It may be tempting to carry on in the same vein, but he should not. Any halfway mimicking of Buffett will invite ridicule; it’s the Gary Abel show from now on.

Buffett was only revered for his approach because he was a success. Imagine, if the company had produced year after year of poor performance, what then? Would he be so admired for his sayings and simplicity, his love of table-tennis?

How Abel accompanies the figures does not matter. Get them right and he will be revered. There is a current analogy in soccer. The UK Premier League has just been won by Liverpool under coach Arne Slot in his first season in charge. His predecessor was a rock star, Jurgen Klopp. Slot is not Klopp. There were times when the team was not winning that the fans voiced a return to the passion and verve of Klopp. But when they became champions, all that was forgotten: the outpouring of acclaim was enormous, same as if Klopp had been in charge. Nobody questioned Slot’s quieter manner. They won, which is all that matters.

Chris Blackhurst is one of the UK’s foremost business journalists. He was previously Editor of The Independent and City Editor of the Evening Standard.