10 Reasons Why You Should Invest in Your Leaders

Presidents, CEO’s and VP’s of Human Resources of successfully managed large organizations place a great deal of importance on leadership development to help assure the long term, sustainable success of their organizations. 

World class organizations like GE, P & G, Hindustan, Unilever and others, base their stellar performance, decade after decade, on their systems for finding and nurturing leadership talent. Some even invest $1B/per year toward that end!

The leaders of mid – size, fast growth and family owned companies, have many of the same goals, and face the same leadership challenges as their counterparts in larger organization. However, there appears to be a huge void in their commitment to, and investments being made, to identify, develop and coach current and future leaders. Why? The following are some of the questions and answers as to why you should invest in leadership development for your organization.

1. What Is the Practical Purpose or Value of Leadership Development/Coaching?

Many CEOs and leaders think that, "coaching is somehow "remedial" as opposed to something that enhances high performance, similar to how an elite athlete uses a coach. Even Peyton Manning and Tiger Woods have a coach to help them strive for “excellence”. Best in class leadership development programs are designed to coach a leader from good to great and to help him/her strive for excellence. The results will have a dramatic impact on achieving organizational goals and are as quantifiable as data on a financial statement.

2. Does a Leader Who Gets Good Results Mean He/She Is a Good Leader?

In some cultures, if a leader achieves their sales, profit or productivity goals, they are a good leader. WRONG! There is a “Get me the numbers, we don’t care how” attitude. That does not occur in “best in class” leadership cultures.

3. Do Executives Need/Want Coaching - Survey:

A recent study by the Stanford Business School found that nearly two-thirds of CEOs and/or executives don't receive executive coaching or leadership development. Paradoxically, nearly 100 percent said they would like coaching to enhance their development. There is a need but not a commitment to establishing the strategy. A question to ask yourself and/or your leaders, is “Do you personally feel you would benefit from an executive coach to enhance your leadership competence or the competence of your leadership team?”

4. Why Should An Organization Establish A Budget for Leadership Development?

Leadership development is not an event where a person can go to a one day or one week program and be expected to be a better leader. Leadership development must be aligned to the achievement of ever changing business conditions and striving for leadership excellence is a journey, not an event. Best in class organizations look at the effectiveness and return on investment of leadership development programs, year after year, even across decades.

5. Leadership Development Success – Who is Accountable for Results – ROI?

Most in-house programs currently in place in organizations, or programs being delivered at seminars, trainers, from books or consultants, seldom include measurements or accountability. Best in Class programs include “leadership skill improvement measurements” that are as quantifiable. You should expect that the results of these programs will positively impact the performance of your business. For organizations that form a strategic alliance with The Center for Leadership Excellence, our role is that of a trusted advisor who works with an in - house executive to co- manage the program. We believe we must have “skin in the game” and work to assure the results of these programs positively impact the performance of the business.

6. How Do You Establish Quantifiable Goals For Leadership Development?

Most organizations establish goals for sales, profits and productivity each year, and manage to the achievement of those goals. However, few know how to quantify whether or not their leaders are improving their leadership skills year after year. Many leadership training programs focus solely on training, with little emphasis on follow up experiential coaching, or measuring the effectiveness of what was learned. Many leadership training programs focus solely on training with little emphasis on follow up coaching or measuring the effectiveness of what was learned. If you do not have goals, and can’t quantify “success”, do not start any program without them.

7. Do Leadership Development Programs Create A Pool of Future Leaders?

Leaders, whose organizations have stellar performance, decade after decade, expect their leadership team to achieve results for their area of responsibility, regardless of business conditions. They also recognize that a critical component of a leader’s role is to systematically recruit, coach and mentor a steady stream of future leaders for the organization. Most of the best managed companies expect their leaders to spend 20-30% of their time in this capacity. You might wanttoaskyourself “Howmuchtimedoyoupersonally,ordoeseachmemberofyourleadershipteam,spend on these activities? Do you, and every person in a leadership capacity, have at least one person identified, who is being groomed for a future role in leadership?”

8. How Do Leadership Assessment and Development Programs Impact Promotion and Development of 1st and 2nd Level Leaders?

Companies tell us the weakest link in their chain appear to be the 1st and 2nd level managers who run the company on a day to day basis, but invest very little in their development. The big problem is taking people who are experts and high performers and showing them that it is not just a promotion, but it is actually a whole new career. Most are “battlefield promotions” where people are put into roles that they have had little preparation for, and/or for which they are uncomfortable and have little early development. Becoming a new manager is among the most challenging transitions people face. Most of the training dollars go for off shelf programs that produce little measurable results. Money invested here improves organizational performance and sets in place a foundation for these individuals to grow into HIPO and emerging leaders.

9. How To Create and Implement a Leadership Development Program With Limited In-House Capability?

Most mid - sized and growth organizations do not have the time or personnel to design, implement manage or build leadership development programs in house. As your partner, The Center for Leadership Excellence offers our clients the option to either [a] outsource the entire leadership development process, or [b] enhance and/or supplement your current in – house programs with our “best in class” leadership assessments, team building and individual programs for all levels of leadership from executives to first level leaders. Our programs, developed and refined over years of consulting, focus on assisting clients in transforming their leaders and managers into high performance teams.

10. Did you know that “Employees join companies...they leave leaders!”?

Surveys report that the skills o leaders at all levels possess [good or bad], impact turnover, productivity and employee engagement, and your ability to create a “best place to work culture” to which many organizations aspire. Investing in customized leadership development programs can have a positive impact on all three of these issues.