The "Smart Enough" Threshold

For decades, firms like Goldman Sachs were famous for hiring the "best and brightest"—usually defined by a 4.0 GPA from an Ivy League school. However, Solomon now emphasizes hiring people who are "smart enough" rather than the absolute smartest.
The reasoning is simple: there is a point of diminishing returns for IQ. Once you meet the baseline intellectual requirements to handle complex financial data, your "extra" points of IQ don't necessarily make you a better leader or a more effective teammate.
Why "Smartest" Can Be a Trap:
The "Genius" Complexity: Pure brilliance without grounding can lead to "brittle" thinking.
The Credential Myth: Degrees open doors, but they don't carry you through the room once you’re inside.
Theoretical vs. Practical: High IQ is great for solving puzzles; it is less effective at solving people-driven problems.
The Rise of "51/49" Decisions
Solomon points out that at the highest levels of business, there are no easy answers. He refers to these as "51/49 decisions." These are scenarios where there isn't a clear "right" or "wrong" path—only two options with nearly equal pros and cons.
In these moments, raw intelligence often leads to "analysis paralysis." What actually wins the day is Judgment, which Solomon says is forged in the "scar tissue" of experience.
"Experience matters in these big organizations... it matters when the bumps come. You’ve got to make difficult judgments." — David Solomon
What Makes Up the "Whole Package"?
If being the smartest isn't the goal, what is? Solomon identifies several key traits that define success in a modern, high-pressure environment:
1. Resilience and Grit
The ability to "run toward the fire" when things go wrong is more valuable than never making a mistake. Solomon values candidates who have faced failure and navigated their way out of it.
2. Human Connection
In an era of AI and automation, the ability to build trust with clients and collaborate with a team is a premium skill. You can’t "prompt" a human relationship; it requires empathy and social nuance.
3. Self-Reflection
Solomon credits much of his success to mentors who taught him to be his own harshest critic. He suggests that the most successful professionals are those who relentlessly work on their weaknesses rather than just doubling down on their strengths.
The Shift: Experience as the Ultimate Differentiator
Perhaps the most counter-cultural part of Solomon’s philosophy is his defense of experience over "slope" (a Silicon Valley term for raw potential). While tech culture often celebrates the "young genius" founder, Solomon argues that experience provides a "compass" that points North when the world gets noisy.
Experience isn't just about how many years you've worked; it’s about:
Exposure to ambiguity: Can you function when there is no roadmap?
Accountability: Will you own the consequences of a decision when it doesn't go 100% right?
Maturity: Can you listen and change your mind when the evidence changes?
Final Thought
The "smartest person in the room" often ends up being the most isolated. By focusing on being "smart enough" and prioritizing judgment, resilience, and connection, you move from being a solo performer to an effective leader.
Would you like me to create a checklist of these "whole package" skills to help you evaluate your own career development?
This video features David Solomon discussing why "smart enough" matters more than being the smartest person in the room and how experience serves as a critical differentiator in leadership.

No comments