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4 Steps To Build Effective Leadership Development In Business

Forbes Coaches Council

Michael is a human resource consultant with Insperity. He specializes in team building, employee engagement and performance improvement.

Some believe leaders are born, not made. However, effective leadership development programs suggest otherwise. For business organizations, cultivating leadership should rank high on the priority list in 2023. Programs should support overall business strategy, encourage self-knowledge, monitor success and offer ongoing opportunities after the program’s conclusion. Here's what those four components look like.

1. Align the program with business strategy.

Leadership development programs should have a clear purpose that's deserving of a business’s budget and resources. Before any employees are invited to participate, management should assess the organization’s existing leadership needs. Much like skills gaps, leadership gaps may exist in the present or emerge in the future without a robust leadership pipeline. The assessment should look one to three years ahead to determine, for example, whether the program should focus on cultivating leaders early in their careers versus supporting seasoned executives.

After assessing leadership, management can consider which program design will align with the company's mission and values. If an organization emphasizes its role in the community, then the program should center on its holistic impact, civic duty and service. Other businesses may notice a need to raise revenues or cut costs in the future. Their focus on training employees could include how to make difficult choices and conflict management. In either case, the content of a leadership program reflects the needs of the business and its employees.

2. Teach leadership through self-knowledge.

Each person's approach to leadership will differ based on their individual strengths and personality. While great leaders may share some characteristics, there is no single model of leadership that will work for everyone. For instance, the strength of some leaders lies in their ability to distill complex information, requiring a significant amount of solitary time to analyze and reach conclusions. Other leaders thrive in highly social environments and struggle when isolated.

To help leaders reach their full potential, leadership development programs should guide participants in an exploration of their own unique identities as employees, professionals and individuals. What's more, Gallup research has found employees perform best when they understand their strengths and then apply them. These individuals are also three times likelier to describe their subjective quality of life as excellent and six times more likely to be engaged at work. Employees with strong self-knowledge will learn and achieve more and build stronger relationships, priming them for leadership roles later.

Ways to teach this self-knowledge include introducing guided reflections, sharing many unique examples of leaders, assigning open-ended projects to encourage creativity and asking participants to write a personal mission statement defining their core missions and values. Above all, leadership development programs should send the message that people of all backgrounds and personalities can become leaders.

3. Evaluate the program.

Any leadership programs need periodic evaluation and consistent feedback from participants. Even existing, successful programs may need to evolve over time to meet the needs of new employees and younger generations. Additionally, many of the benefits of leadership programs are intangible or only reveal themselves in years to come, making it crucial to collect data where available.

To measure the success of a leadership program, businesses should track employee retention, satisfaction and self-reported growth. Facilitators should ask for immediate feedback after each session so they can pivot on teaching styles or content when possible. Businesses can also survey the managers and co-workers of program participants for third-party evaluations of growth. When surveys or data reveal a cause for concern, management can consider focus groups with participants or an outside consultant to adjust the program accordingly.

4. Offer continuing opportunities.

When participants finish a leadership program, they can bring newfound skills and knowledge to the organization. Senior-level participants may already have the chance to apply those skills in their daily jobs, but more junior employees may lack that opportunity. To continue their growth, junior employees require continuing support and opportunities to learn.

To build such a culture, businesses need to recognize and reward creativity, innovation and ambition. Managers should receive training on engaging junior employees who finish the leadership program by assigning increasingly complex projects that grow in responsibility over time. Additionally, HR should take advantage of leadership program graduates by encouraging them to apply for internal promotions. Organizations benefit most from investing in leadership development when they bring graduates into more senior roles and encourage ongoing dialogue around leadership.

Leadership development programs require careful, intentional design to be successful. By aligning with business priorities, focusing on self-knowledge, tracking the program’s success and promising opportunities afterward, businesses can create effective programs.


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