'Organizations with modern leaders are faring far better than those under traditional rule'
Empathy may not be the most traditional characteristic one would relate with senior leadership, but in a post-pandemic world it’s becoming absolutely essential. Speaking with HRD, Meghan Stettler, director at the O.C. Tanner Institute, revealed that employees are desperately calling out fort a new type of leader – one which shows decisiveness and compassion in equal measure.
“The momentum behind making a critical shift in leadership was brewing well before 2020,” Stettler explained. “Already, younger generations were outright rejecting 'command and control' environments, the power was shifting from managers to teams, baby boomers were retiring and leaving a vacancy in the workforce, and employees had more information and voice than ever before.”
In the months leading up to the pandemic, the O.C. Tanner Institute released its 2020 Global Culture Report calling for organizations to develop modern leaders who abandoned traditional mindsets, and instead focused their efforts on coaching, mentoring, and putting people in the best possible position to succeed.
“The pandemic shined a spotlight on leadership like nothing else before, and as the months unfolded, it became clear that organizations with modern leaders were faring far better than those under traditional rule,” added Stettler. “That’s because modern leaders primarily view themselves as influencers who connect their people to three important things: purpose, accomplishment, and one another. When leaders succeed in all three areas, there is a 10x greater odds of having a thriving culture, 11x greater odds of having an inclusive culture and 7.5x greater odds of easily adapting to change. Organizations who made modern leadership the new standard were able to weather the storms rooted in cultures of meaningful work, appreciation, and greater social wellbeing.”
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When we imagine the CEOs of the past 20 years, we instantly conjure up images of that ‘killer instinct’ and ‘cut throat’ techniques. And while that may well have its place in certain sectors, CEOs of the future will need to hone a new set of skills in order to help their people thrive.
“Leaders have come through a lot already, but the skill that comes to mind is resiliency,” added Stettler. “Sometimes we hear the word ‘resiliency’ and chalk it up to a tough façade embodied by generations of traditional leaders. However, I’d like to suggest that building resiliency is really about creating fulfilling atmospheres that satisfy what employees need most: autonomy (freedom of choice), mastery (developing and demonstrating expertise), and connection (closeness and belonging). Those are the three psychological needs we all have as humans, and if organizations and leaders can intentionally find ways to deliver on those needs in the daily employee experience.”
However, in order for these future superstars to thrive, companies have to give them their full support. Ove the past few years, managers’ workloads have increased exponentially – and yet, according to a recent report from Gartner just 14% of companies have taken any steps to help ease their managers’ burdens.
“Organizations need to support their leaders as they do employees, because more than anyone else, leaders set the cultural tone,” added Stettler. “So, if leaders are cared for, they are better able to address the needs and wants of employees in ways that foster a fulfilling experience. One of the best ways to support leaders is by training and empowering every employee—whether they directly manage people or not—to view themselves as a leader. This will empower contributors step up, share in the leadership load, and accelerate great work.”
Along the way, Stettler recommends using recognition to call out the unique contributions of both leaders and employees alike. Recognition is such a valuable tool because it can improve all three areas of modern leadership:
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