The relationship between leadership and success is strong.According to a DDI study , companies with high-quality leadership are six times more likely to be among the top 20 financial performers of all organizations.So what happens when leadership is not effective? 70% of Americans cite leadership as a factor in the national economic decline starting from 2008. Americans also consider leadership as a factor in the nation’s future, according to a study of The Center for Public Leadership at Harvard University.
What should leaders be prepared for?
#Digitization is changing the gamePeter Dern, Senior Vice President of Corporate University at Software AG, considers digitization as the key influencer in leadership. Mr. Dern also sees digitization as being linked to and even determining other key influencers such as globalization, the aging of society, big data, etc.
#Leadership as a relationshipThe millennial generation is playing an active role in the discussion about leadership development. A report from The New Leader's Council and Virtuali states that 50% of millennials are already in leadership positions and that they are changing the business environment. Millennials do not see leadership in hierarchical terms, but more as a relationship and networking. Therefore, because of millennials, people-centric leadership and ethical values have become more important than in the past.
#Collective Leadership is getting bigThe Center for Creative Leadership foresees the decline of the “heroic leader” and the rise of collective leadership, where the social network of an individual becomes more important than the individual. This perspective is fully embraced by millennials, who value the importance of communication and relationship skills.
Where do we go from here?
Millennials identify coaching and mentoring as the most important tools for learning high-quality leadership skills. Petra Meyer, the founder of Petra.Meyer Consulting, defines coaching as the means to train yourself to develop empathy for somebody else, without personal interests or obligation to help.For Petra Meyer, successful coaching in the business environment needs two conditions in order to flourish.
#Coaching: Agreement from both parties is a mustCoaching can be an efficient way to grow professional and personal skills, but can be built only on mutual trust. Therefore, all parties need to agree on the rules and to involve equal amounts of effort into this relationship.
#Coaching: The rules should be clearTrust is built more easily when there is a set of clear, straightforward rules. In the business environment, the coaching relationship can be defined by a company's common rules that every party knows and agrees upon.