Great leaders are all about progress, innovation, and fostering a mission-driven culture. They steer their organisations towards lasting success and staying competitive. On the flip side, ineffective leaders get bogged down in rigid processes. The big takeaway? Embrace top-notch management practices to secure lasting success and understand how transformative leadership your secret weapon for growth can be.
Traditional management structures are getting a makeover. Many millennials crave fewer hierarchical layers, leading to innovative setups like those at some tech companies where traditional management roles are history. But, instead of a total management makeover, focusing on high-quality management could yield better results.
What is Organisational Leadership?
Organisational leadership takes it up a notch. It’s about running a whole company or a major division, dealing with a larger scale and scope than most other leadership types.
Harvard Business School Professor Anthony Mayo describes this well in the online course, “Organisational Leadership.” He explains that “scale” refers to the size of your leadership domain – the number of people you lead, your budget size, and your reach across teams, locations, and operations. “Scope” covers the range of your responsibilities, including different teams, business lines, and locations you manage.
The Big “L” Leadership
Senior leaders engage in capital “L” leadership. They might not interact directly with everyone in their organisation but are responsible for:
- Inspiring and motivating their workforce
- Leading their organisations toward future success
- Identifying and reacting to both internal and external threats
- Seizing opportunities, from surefire wins to high-stakes ventures
- Managing crises with speed and confidence
As leadership responsibilities grow, especially when overseeing individuals indirectly, mastering effective communication and task execution becomes crucial. It’s the quality of management that matters most.
Organisational Leadership vs. Traditional Management
While intertwined, leadership and management at the organisational level exhibit key differences:
| Managers | Leaders | |
| Proximity to the Team | Work closely with their direct reports. | Might not directly interact with everyone under their purview. |
| Scale | Management varies in scale and may involve smaller teams. | Deals with larger groups and have broader responsibilities. |
| Role | Have specific, operational roles. | Manage the managers and ensure the company’s vision is effectively implemented across teams. |
Understanding these differences highlights the unique challenges and responsibilities of organisational leadership, emphasising the importance of strategic vision and effective delegation.
Why Effective Leadership Matters
Research shows leadership quality plays in the success and efficiency of organisations. Studies reveal significant insights into the universal challenges and impacts of leadership, emphasising why cultivating effective leaders is crucial at every level of an organisation.
| Prevalence of Ineffective Leadership | Ineffective leadership is a global issue, marked by poor communication, lack of inspiration, and misalignment of team and organisational goals. This leads to disengaged employees, high turnover, and unclear strategies, severely hurting productivity and profitability. |
| Correlation between Organisational Leadership and Performance | Skilled leaders boost team motivation, improve operational efficiency, and lead strategic initiatives that drive organisational success. They maximise resources, optimise processes, and ensure employee satisfaction, leading to both immediate output increases and long-term growth and sustainability. |
| Influence of Leadership Quality on National Economies | Good leadership practices enhance business productivity and competitiveness, boosting the broader economy. Countries with more skilled leaders tend to enjoy robust economic performance, marked by innovation, investment in human capital, and improved productivity. |
Strong vs. Weak Leaders
The difference between strong and weak leaders shows in their approaches:
- Focus on Progress vs. Process: Strong leaders prioritise progress and adapt or eliminate processes that hinder innovation.
- Doing the Right Things vs. Doing Things Right: Effective leaders focus on strategic priorities and inspire their teams to achieve collective success.
- Mission-Driven Leadership vs. Seeking Applause: Impactful leaders align their teams around a meaningful cause, rather than pursuing superficial accolades.
- Encouraging ‘Yes, and’ vs. ‘No, but’: Innovative leadership embrace and build on ideas, contrasting with risk-averse corporate norms.
- Learning from Mistakes vs. Penalising Errors: Strong leaders see mistakes as learning opportunities, promoting an open, forward-thinking workplace culture.
Finding Your Leadership Style
The Harvard Business Review suggests moving beyond a fixed model of leadership behaviours. Instead, consider “seven leadership tensions” between traditional and emerging approaches for a more nuanced view of effective leadership today.
Their research, involving over 1,000 managers worldwide, shows no single approach can tackle all challenges today’s leaders face. Focus on expanding your “leadership sweet range” rather than finding a “sweet spot.” By broadening your skills and approaches, you’ll enhance your versatility and effectiveness in navigating the ever-changing business landscape.
We believe that the range of leadership capabilities requires progressing through three distinct stages.
Stage 1: Self-Discovery through Cognitive Self-Awareness
The journey to effective leadership begins with self-awareness, understanding your inherent strengths and weaknesses. This involves embracing both formal and informal feedback and recognising areas that challenge you or that your colleagues may hesitate to rely on you for.
Stage 2: Sharpening Situation Awareness
Leaders navigating through disruption must accurately interpret their environment. This means being present and non-judgmental, distinguishing relevant information from mere noise. Moreover, developing cognitive empathy is crucial – understanding the emotions of those around you. This skill enhances both interpersonal connections and decision-making accuracy.
Stage 3: Expanding Your Leadership Repertoire
Ideally, your natural leadership style will align with what a situation demands. However, when there’s a mismatch, adapting becomes essential. Here are three strategies to consider:
- Practise Micro-Behaviours: Small, targeted changes can gradually steer your behaviour towards your desired outcome.
- Seek Out Role Models: Learning from peers who exhibit the behaviours you aspire to can provide valuable insights and motivation.
- Leverage Team Strengths: When personal adaptation isn’t feasible or efficient, utilising the strengths of your team members can bridge the gap.
What Does It Mean for You?
Effective leadership isn’t just about hiring the right candidates. It’s about continuously developing their abilities and fostering a growth and innovation environment. At Accendo, we use data and smart technology to ensure your organisation benefits from leadership that meets and exceeds modern business dynamics. Reach out to see how we can help you cultivate strong leaders. To learn more, visit us at Accendo.
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