Define Tailored Leadership Competencies – And the Seamstress Needs to Know the Business Goals That Are In Style In Your Organization This 21st Century

Friday, May 20, 2011

So last time we talked about the critical importance of your executives staying engaged in order to effect leadership development that drives business impact at your organizations. Even the big dogs can't effectively engage without a business-driven set of leadership competencies around which they are driving leadership development program content and holding leaders accountable for performance. 

 

Recall that mature leadership development is based on an assessment of our six best practices of leadership development (and implementation of these 6 promote mature leadership development that drives business impact as defined in the Bersin & Associates Leadership Development Maturity Model®):

1. Maintain strong executive engagement;

2. Define tailored leadership competencies;

3. Align with business strategy;

4. Target all levels of leadership;

5. Integrate with talent management; and,

6. Apply a targeted solution.

 

Successful leadership development programs are based on leadership competencies that drive an organization’s business goals. By isolating and agreeing upon leadership competencies most important to your business, you will have the foundation for leadership development, as well as succession planning, career development and other talent processes.

 

All high-impact programs we’ve studied are built on well-established, business-driven leadership competency models. Understanding this, it is not surprising to find that during our 2010-2011 leadership development research study (the full study will be published in our library in June 2011), 100% of mature (level 4 in our maturity model) organizations surveyed have defined tailored leadership competencies (while 30% of the least mature organizations surveyed have not yet defined a business-driven leadership competency model).

 

But Aren’t Competencies Just For HR?

 

No!  Business-driven leadership competencies need to be defined and owned by executive and business unit leaders; HR leaders should only be the stewards helping to facilitate conversations and lead discussions about which competencies are most critical for driving an organization's business goals.

A strong advantage for organizations that utilize business-driven competencies owned by the BUs is that leaders learn what behaviors are effective for driving performance and business goals in their respective units and at the enterprise-level.  So, while organizations may have very similar leadership competency models, no two organizations’ models will look identical unless their annual business goals mimic each other. 

 

High-Impact 21st Century Competencies

With that said, there is a short-list of leader competencies that many of our clients prioritize for their leadership development. Furthermore, our 2010 – 2011 high-impact leadership development research revealed a handful more of leader capabilities that are essential for organizations to thrive in the 21st century. Here’s the hit list:

Core Leadership Competencies

21st Century Leadership Competencies

       Integrity/Ethics  – this is the foundation; you must tell the truth and do the right thing

        Visioning/Strategy – leaders need to point the way and develop compelling plans

        Results Focus – leaders must have a bias for action and be relentless about getting things done

        Judgment - a great differentiator – it seems you either have it or you don’t  

        Passion/Optimism – who doesn’t want to work for someone who exudes positive energy?

        Building the Team – great leaders hire and surround themselves with great talent

        People Development– people flock to leaders who have a reputation for growing talent

        Accountability - leaders have to accept and create a culture of accountability

       Innovation -- to think creatively while taking initiative and calculated risks; having vision beyond the immediate situation; exploring and integrating diverse perspectives and recognizing unexpected opportunities

       Agility -- visionary, collaborative, creative , and proactive learning from prior experiences that enable leaders to direct sustained success

       Global acumen --global business acumen, worldviews and perspectives, global people leadership and global business knowledge

       Emotional intelligence -- recognizes and understand emotions, manages personal, individual and team performance using such awareness

       Management of diverse (women and multi-generational) workforces -- how leaders perceive others and how those perceptions affect their interactions, communication, adaptability and change management

 

Competencies provide directional guidance to executives who are looking for signposts that explain what they are expected to do. When competencies are static and individually oriented, they are less useful in dynamic environments where collective actions are required to adapt to change. In today’s changing business climate, organizations will serve themselves well to tailor their 21st century leadership competency model to the business needs of the organization.   

A Best in Class Example

Our research uncovered many examples of organizations that are evolving their leadership competency models to reflect 21st century leader capabilities. One such example is Cisco. At our IMPACT Conference last month in Florida, Cisco’s AnnMarie Neal and Robert Kovach discussed a high-impact approach to leadership development at Cisco. Within that approach, they reviewed their commitment to building the approach from the input and ownership of business leaders, not HR, and how their leadership development program content is aligned with leadership competencies that drive their business goals, including 21st century leader capabilities of innovation and globalization.

 

I bet you, too, have a high-impact approach to business-driven leadership competencies for your organization. What is your example of a business-driven leadership competency model? Please write to me at barb.arth@bersin.com.  I’m eager to see your model and how it enables individual competence and organizational capability for your company.

 

Next time, best practice #3: align with business strategy – cool new stuff on leadership development strategy that we are releasing soon! Tune in for this next one, too.

About This Analyst

Laci (Barb) Loew has extensive expertise both as a consultant and practitioner in all the facets of leadership development, career management and succession management. Her research provides proven insights and guidance to leverage talent for business results. It also reinforces the power of people when developed and engaged in alignment with their organization’s culture and goals.


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