Why your Business should Invest in Leadership Development
What is leadership? I have grown increasingly interested in this complex question. Kevin Kruse, a bestselling author on leadership habits, defines it as follows: “Leadership is a process of social influence, which maximizes the efforts of others, towards the achievement of a goal.”
Here are the key parts of this definition:
• Leadership stems from social influence, not authority or power
• Leadership requires others, and they don’t need to be direct reports
• It includes a goal, not influence with no intended outcome
• Maximizing effort of others rather than just organizing
Many times, great leadership is more the exception than the rule in companies. Donald Philip in Lincoln on Leadership: Executive Strategies for Tough Times captures this point: “Having been in the business world for many years, mostly in large corporate settings, I am still amazed that, of the hundreds of managers and supervisors I’ve encountered, I can count very few real leaders among them. Most tend to pressure or dictate when simple suggestions or recommendations would suffice. And almost always there is a lack of understanding of the simple points of human nature, such as a person’s reaction at being ordered to do something rather than being asked his or her opinion.”
We know when we see an inspiring leader in action. However, we don’t typically pause to ask what qualities does this leader possess? Do I have these qualities? How can I improve my leadership skills?
Before discussing the characteristics of admired leaders, let’s identify what leadership is not:
• Leadership is not a position
• Leadership is not about power
• Leadership is not about control
• Leaderships is not about being the loudest in the room
• Leadership is not all about you
• Leadership is not about blaming others
• Leadership is not one size fits all
Some transformative leaders in business include Warren Buffett, Richard Branson, Bill Gates, Phil Knight and Jamie Dimon. What do these great CEOs have in common?
Here is my list of 12 characteristics – which I call “L12” - that makes these leaders stand out:
· Integrity
· Clear vision / communicates big ideas
· Accountability
· Humility
· Empowers others
· Determination / desire to succeed
· Persuasive communication
· Emotional intelligence / understand what motivates people
· Resiliency
· Ability to compromise / listen to others
· Optimistic
· Curiosity / continuous learning
A popular myth is that leaders are born and not made - either you have it, or you don’t mentality. Leadership, like all skills, can be learned and honed over time. Try to carve out time in your schedule to take leadership courses, read books by proven business leaders, seek 360-degree feedback on your leadership effectiveness, and refine your “soft” skills through executive coaches.
While the carrot and stick approach to (transactional) leadership does still have a place, today’s leaders are moving towards a transformational approach which is softer, quieter and based on trust. Transformational leaders employ charisma and enthusiasm to inspire followers and focus on helping every member of the team succeed. They challenge the status quo and encourage people around them to explore new ways of doing things.
Researchers found that employees who identified a higher level of transformational leadership in their employers also had higher reported levels of well-being. Also, companies with strong leadership and talent management practices increase their revenue 2.2 times faster and their profits 1.5 times faster than companies with weak practices, according to a survey by The Boston Consulting Group. Everyone wins, from employees to shareholders, when companies invest in their most important asset, their people.