Knowledge is the accumulation of information whereas intelligence is one's ability to process information to render good decisions.

We often say that someone has exceptional political or social savvy, but what specific cognitive skills allow these people to handle interpersonal situations so effectively? Typically, socially skilled people are exceptional at recognizing underlying agendas, anticipating the probable effects and likely unintended consequences of a chosen course of action. These specific capabilities determine one's "people smarts."

Only recently have we begun to understand the specific cognitive skills that contribute to business success and how to measure them. Hopefully, this insight will allow us to more keenly focus our attention on indentifying and cultivating decision-making abilities in the executive population.

Individuals with high executive intelligence cannot reach their potential unless surrounded by others with a similar level of skill. Without a concerted effort on the part of businesses to seek out those with exceptional decision-making abilities, the gap between who businesses actually need, and who they hire and promote, will remain wide.

The development and/or revelation of a CEO's potential for great leadership requires slow escalations of experiences that involve pressure, each time given the tools to succeed. Successful experience breeds confidence, as well as an eventual restlessness to try more.

Research has shown that one's level of intelligence is the single most predictive component of professional success - better than any other ability, trait, or even job experience. Yet, too often, employees are selected because of their likeability, presence, or charisma.

The principles that make someone a master in the chief executive role deal with whether or not they can thrive in an environment of ongoing duress, and teach others how to do so.