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Leaders or Leading
the Followers
Developing Effective Leadership in the
21st Century
Creating exceptional
results through people
New information to help leaders understand what is expected of them in their roles
and how best to identify and develop future leaders with confidence and success.
Summary of key findings from the Leadership Management Australasias (LMA)
Leadership, Employment and Direction (L.E.A.D.) Survey (November 2016)
OVERVIEW
New findings from LMAs latest Leadership, Employment and Direction (L.E.A.D) Survey reveal
The less than satisfying processes currently being used and less than inspiring success being
enjoyed to develop our future leaders
The competencies effective leaders are expected to possess and the behaviours they are expected
to exhibit in their roles
The extent to which change impacts on leadership and the vital role communication plays in
reassuring people about the future of their organisation as well as their personal future
The power and potential of tapping into the diversity in our workforce to identify talent and
development opportunities, particularly in the leadership arena.
These issues are among the most profound to emerge from this wave of the L.E.A.D. Survey and they
implore leaders and managers to invest the necessary time and energy to understand and leverage the
leadership potential that exists within their organisations.
The smarter leaders are those that have already identified the talent in their midst, have developed
appropriately tailored career pathways, training and development regimens and succession plans to
guarantee the future leadership of the organisation.
The rest are running to catch-up and will find some critical insights to help them do so in the pages that
follow. As Ralph Nader once said:
I start with the premise that the function of leadership is to produce more leaders, not
more followers.
Ralph Nader
1. To lead or
not to lead?
Is that really
the right
question?
Asked for the first time in this wave of the L.E.A.D. Survey, we can now
confirm that leadership development is either the most important or one
of the top few strategic challenges facing our organisations. However the
processes used by organisations to develop their leaders appear to be
lacking and may fail to adequately prepare future leaders.
Strategic importance of leadership development
More than two-thirds of employees at all levels of organisations believe leadership development is either the
most important or one of the top few strategic challenges facing their organisations:
Leaders
(Executives/
Senior
Managers)
%
Managers
(Middle
Managers
and
Supervisors)
%
Employees
(NonManagerial/
Supervisory
Employees)
%
15
11
15
64
56
57
17
20
16
Unable to rate
Q. Which of the following best describes how strategically important leadership development is for your organisations future?
Leaders themselves see the strategic importance of this issue (79%) to a greater extent than Non-Managerial
Employees (72%) and Middle Managers/Supervisors (67%). The prominence of the issue in the minds of
Leaders highlights the importance of succession planning and the need to consistently work to develop the
capabilities of emerging leaders.
Leaders
(Executives/
Senior
Managers)
%
Managers
(Middle
Managers
and
Supervisors)
%
Employees
(NonManagerial/
Supervisory
Employees)
%
Very satisfied
11
11
Quite satisfied
55
49
61
Quite dissatisfied
23
34
17
Very dissatisfied
Unable to rate
Q. How satisfied are you with the leadership development processes currently used in your organisation?
Leaders
(Executives/
Senior
Managers)
%
Managers
(Middle
Managers
and
Supervisors)
%
Employees
(NonManagerial/
Supervisory
Employees)
%
61
52
61
61
54
63
Senior/experienced leaders
59
49
68
Q. In your view, how well does your organisation develop leaders at each of the following levels?
P 1800 333 270 | E info@lma.biz | W www.lma.biz
Managers in particular identify that the development process requires urgent attention in order to
deliver the desired outcome.
The challenge to organisation leaders then is to identify the leadership development needs and deliver
this development in a meaningful and timely fashion to protect the organisations future from a leadership
perspective.
Leadership competencies
The recipe for developing and delivering effective leadership is reasonably simple to follow with the
appropriate level of training and development. People working at all levels of organisations have a succinct
and focused set of expectations that leaders can fulfil if they put their minds to it. The main areas of focus
in terms of leadership competencies expected are communication, developing and coaching others
and problem solving and decision-making:
Employees
2016
(Rank)
Managers
2016
(Rank)
Leaders
2016
(Rank)
Communication skills
Leadership competencies
Teamwork
Strategic thinking
Q. Looking at this list of leadership competencies, please nominate which you believe are the five most critical competencies
that leaders and senior managers need to do their job well today.
The similarity in rankings highlights that generally speaking, everyone knows what competencies make a
leader effective in their role its just developing and delivering those competencies consistently that many
organisations struggle to do.
Leadership behaviours
Echoing the leadership competencies, many of the leadership behaviours seen from leaders and which
leaders themselves believe they exhibit are related to core leadership competencies. There is a strong
focus on communication, problem solving and decisiveness and on developing and supporting their team.
However, there are some major disconnects between what Leaders believe they exhibit most and Managers
and Employees see most from their Leaders. For example, whereas Leaders believe they are most likely
to exhibit motivation and bringing out the best in others, this behaviour is ranked well down in the eyes of
Managers and Employees who see a strong results orientation as the most prominent behaviour shown.
Likewise, Managers and Employees see composure and confidence from their Leaders at a far greater level
than the Leaders themselves do:
Leadership behaviours
Leaders
Exhibited
(Rank)
Managers
Seen (Rank)
Employees
Seen
(Rank)
18
16
Developing others
17
Being supportive
=4
=4
14
17
11
=9
11
=9
13
14
11
=12
13
=12
12
14
20
19
15
12
16
16
10
17
10
15
=18
Giving praise
=18
19
18
20
15
20
Q. Leaders Looking at the list of leadership behaviours below, please identify the FIVE behaviours you exhibit most as a
leader/senior manager of your organisation
Managers Looking at the list of leadership behaviours below, please identify the FIVE behaviours you see most from the
leaders/senior managers in your organisation
Employees Looking at the list of leadership behaviours below, please identify the FIVE behaviours you see most from the
leaders/senior managers in of your organisation
What does this mean for existing leaders and leadership development
generally?
The great news is that we know what is expected from our leaders. We also know that developing leaders
is fundamental to creating sustainable organisations. And we know what competencies and behaviours
demonstrate effectiveness in the role.
So existing leaders need to work hard to fulfil the expectations people have about your leadership and ensure
it impacts on them positively. Thinking about and acting in accordance with the competencies expected
of you will help develop quality leadership and quality leaders for the future. Given the critical importance
of leadership development, you owe it to the next generation of leaders to do it well, be the example they
should follow and help them to learn how to do it better in future not just do what it takes to retain the
formal leader role or title.
2000
%
2005/06
%
2009/10
%
2013
%
2014
%
2016
%
Very well
36
35
29
29
27
28
Quite well
58
57
66
65
67
65
Not sure
2000
%
2005/06
%
2009/10
%
2013
%
2014
%
2016
%
Very well
10
Quite well
68
70
70
66
69
69
21
19
18
22
20
20
Not sure
2000
%
2005/06
%
2009/10
%
2013
%
2014
%
2016
%
Very well
20
14
13
12
13
17
Quite well
70
65
76
67
69
62
18
10
18
16
18
Not sure
Q. Change affects people at different levels in organisations in different ways. When it comes to dealing with the magnitude
and pace of change affecting your organisation, how well would you say you personally (your staff) are coping with change?
2000
%
2005/06
%
2009/10
%
2013
%
2014
%
2016
%
Very well
47
25
39
34
41
37
Quite well
49
54
57
59
52
54
16
10
Not sure
2000
%
2005/06
%
2009/10
%
2013
%
2014
%
2016
%
Very well
31
32
30
26
27
24
62
62
65
69
68
65
10
Not sure
2005/06
%
2009/10
%
2013
%
2014
%
2016
%
Very well
23
21
17
15
18
Quite well
56
61
62
63
63
14
13
15
16
14
Not sure
Great extent
24
15
39
Moderate extent
46
43
51
Small extent
21
29
Not at all
13
Great/moderate extent
70
58
90
30
42
10
Employees - To what extent have your business leaders and senior managers reassured you about your future with your
organisation?
Managers - To what extent have your business leaders and senior managers communicated with you about your future
with the organisation?
Leaders - To what extent have you communicated with your staff about their future with the organisation?
Leaders and managers need to recognise that reassurance about the organisations future and the future of
individuals is paramount to securing a stable, productive and harmonious workforce.
Periodically settling the horses by providing information, vision, direction and purpose to the people who
make the organisation perform will help enable them to deliver results as a team. When this focus also
highlights the future for each individual, their meaning and purpose become clearer and their performance
improves as a result.
Latest Leadership Employment and Direction (L.E.A.D.) Survey results highlight that diversity is very much
part of our organisational cultures and, by definition, is a part of our lives that will increasingly need to feature
in the thoughts and plans of modern leaders and managers.
However, there is plenty of scope to harness, leverage and benefit from diversity to an even greater extent
than is currently evident it just takes courage and commitment from all of us.
Capitalising on workforce diversity
Looking at the extent to which organisations are currently capitalising on the diversity in their workforce, we
note that all segments (employees, managers, leaders) believe their organisations are capitalising on the
diversity of skills and experience of their workforce to a far greater degree than other diversity categories
(age, gender, ethnic/cultural):
100%
13%
90%
22%
17%
15%
22%
17%
21%
15%
20%
80%
70%
60%
43%
44%
47%
46%
41%
41%
39%
37%
40%
50%
20%
6%
4%
6%
7%
Employees
Age
Unable to rate
16%
12%
9%
12%
Managers
10%
Employees
12%
Leaders
8%
14%
Managers
10%
21%
20%
Gender
Not at all
Small extent
21%
10%
17%
12%
8%
6%
9%
Managers
18%
18%
Leaders
30%
24%
18%
Leaders
20%
25%
Employees
40%
Ethnic/cultural
Moderate extent
Great extent
Q. To what extent do you believe your organisation is capitalising on the following aspects of diversity in your
workforce?
P 1800 333 270 | E info@lma.biz | W www.lma.biz
Overall, 80% of employees, 76% of managers and 83% of leaders believe their organisations capitalise on
diversity in skills and experience to a great or moderate extent. Contrast this with just 61% of employees,
53% of managers and 57% of leaders who believe their organisations capitalise on cultural or ethnic diversity
in their workforces. Only marginally better ratings are reported for organisations capitalising on age and
gender diversity in the workforce:
Age
Skills/
experience
EMP MGR LDR EMP MGR LDR EMP MGR LDR EMP MGR LDR
%
%
%
%
%
%
%
%
%
%
%
%
Great extent/moderate
extent
Small extent/ Not at all
Gender
Ethic/cultural
68
57
64
63
58
58
61
53
57
80
76
83
26
39
30
30
36
30
31
41
33
18
23
13
SUMMARY
The latest findings from LMAs L.E.A.D. Survey remind modern leaders and managers that:
One of the core commitments a leader makes to their organisation
is to develop the leaders of the future to in effect stabilise and strengthen the
organisation to enable it to deal with the challenges it faces.
Leadership development processes MUST work to identify, develop,
enhance and capitalise on the leadership talent and potential of an
organisations human resource processes that either dont exist or dont work will
ultimately bring the organisation to its knees when the leadership needed for the future cannot be found
and harnessed.
The leadership equation is not an overly complicated one there is a clear
set of expectations around competencies and desired behaviours that allow the leader to be effective.
Its just a matter of focusing effort and investment to deliver on these expectations.
Change that is well-planned, well-implemented and well-led will
deliver on its potential and will be embraced and supported across
the organisation far from being a barrier to leadership development, we see change
increasingly being the catalyst or opportunity that affords emerging leaders the chance to demonstrate
their potential.
Reassurance about the organisations future and the future for the
individual is fundamental to stabilising and sustaining the workforce
overall understanding and tapping into the diversity that lies within is central to this
reassurance. When the talent and development potential of the workforce is understood, the sky is the
limit for tapping into leadership potential and developing tomorrows leaders.
130
294
2,288
Business
Leaders / Senior
Managers
Middle
Managers /
Supervisors
Non-managerial
Employees
Sample sizes of this scale provide robust data and present a very accurate picture of the current state of play
in organisations overall and within key sub-groupings. The margin of sampling error at a total sample level is
less than 4%.
4%
2%
16%
68%
22%
10%
Metropolitan
Australia
Regional
Australia
New
Zealand
Gender
20%
Leaders
54%
Government/quasi
Public Company
Private Company
Franchise
Other
Age
69%
31%
71%
29%
Managers
Leaders
Under 35
years old
35 - 44
years old
45 - 54
years old
55+ years
old
Managers
35 - 44
years old
45 - 54
years old
55+ years
old
Non-managerial Employees
35 - 44
years old
45 - 54
years old
55+ years
old
Non-managerial Employees
65%
35%
T SOLV
N
A
C
E
E
W
PROBLEMS
THINKING
W
D
H
E
E
S
N WE
U
E
W
CREATED THEM
Albert Einstein
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