Moment 158. How Do You Get Good at the Numbers? - No Bullsh!t Leadership Recap

Podcast: No Bullsh!t Leadership

Published: 2026-02-01

Duration: 5 minutes

Summary

Understanding numbers is crucial for leadership. Non-finance leaders should seek help from finance experts to improve their numeracy skills.

What Happened

Martin Moore emphasizes the importance of numerical literacy for leaders. He cites a high-profile UK court case where a lack of numeracy led to critical errors in judgment, highlighting the widespread issue of data illiteracy among leaders. Moore argues that many senior leaders overestimate their abilities due to promotions and positive feedback, yet lack essential numeracy skills for effective decision-making.

Moore suggests that non-finance leaders should start by gaining self-awareness about their numeracy skills. He notes that most frontline roles don't require advanced numerical skills, but higher leadership roles do. Leaders must understand financial basics to avoid being stuck at their current level.

Understanding financial statements and project investment basics is vital. Leaders need to assess if investments are worthwhile and explore alternative options for capital deployment. Moore advises that while leaders don't need to be experts in financial ratios, they should grasp liquidity basics.

To improve numeracy skills, Moore recommends finding a finance expert willing to explain financial statements. This practical approach is more effective than reading finance books or attending expensive courses. He highlights the value of having someone on your team who excels in numbers if you struggle with them.

For a deeper understanding of data literacy, Moore encourages listeners to check out episode 320 of the podcast. This episode provides further insights into overcoming data illiteracy challenges.

Moore concludes by reiterating that leaders must develop numerical literacy to make sound decisions. He emphasizes that without these skills, leaders risk poor decision-making and career stagnation.

Key Insights

• Numerical literacy is crucial for leaders to make effective decisions, as demonstrated by a UK court case where data illiteracy led to significant judgment errors.
• Senior leaders often overestimate their numeracy skills due to promotions and positive feedback, yet lack the necessary skills for high-level decision-making.
• Leaders should understand financial statements and project investment basics to evaluate the worth of investments and explore alternative capital deployment options.
• Improving numeracy skills is best achieved by collaborating with a finance expert who can explain financial statements, rather than relying on finance books or expensive courses.