Warren Buffett's Inflation Advice for Leaders

Each day, we're reminded of rising costs in just about every facet of our lives. Stop for gas, you gawk at the prices. Walk down the grocery store aisle and costs are also sky high. Inflation has created an enormous problem for many of those we lead and those we interact with each day, as well as ourselves.

In his recent Berkshire Hathaway state of the union address, Warren Buffett gave some practical advice on how we can best deal with these challenges.

“The best protection against inflation, though, still is your own personal earning bar," Buffett said. "If you play the violin very well, you will do reasonably well during inflation. I mean, play it better than other people, people will pay you for doing that. All kinds of things. So your skills will not be taken away, and your money may be.”

Buffett’s advice is a great reminder. Despite the present turbulence, we all need to work on improving our skills each day. The greatest currency we possess is our ability to make those around us better. Our team members will have an easier time enduring life's struggles if they feel they're improving at their craft and their leader is willing to help them grow from within.

When we share our knowledge, we give away more than money. We give away our experiences, and we cannot put a price on these. Great leaders never stop teaching because they are self-motivated to learn. They keep their colleagues well-informed and knowledgeable through statistics, trends, and other newsworthy items that pique curiosity.

American philosopher William James once said, “Leaders who share information are successful. Leaders who don’t share information are not leaders.”

Leaders who develop talent around them never have to protect their turf. They share their wisdom, harvest relationships, and demonstrate a passion for learning from one another, setting the example for the organization to follow.

The importance of sharing information cannot be understated. When we share, it’s not just to get work done — it’s to create followers and to build relationships that will last for years to come. Sharing is a means of establishing trust with one another, which in turn creates a better environment for individuals and team members. During times of challenge, this is all the more important.

We cannot control inflation or the cost of items at the moment. But we still have power over our individual skillsets, and we can surely pour more into those we lead.

That investment alone will help in these troubling times.