Effective leadership needed more than ever for success

FEW would argue that much of the year so far has been challenging, but arguably what lies ahead will present even greater turmoil, change and uncertainty. The UK – Guernsey’s most important trading partner – is in its worst recession since records began in 1955. Covid-19 cases fluctuate daily and we’ve only scratched the surface in terms of understanding the social and economic impact of this pandemic. The world truly is interconnected, yet so much is outside of our control.

The pandemic has served as a distraction from other sources of challenge; rapid change in technology and AI will create opportunities and the speed of change will be exceptionally fast. A skills gap, of fixed rather than flexible skills, will frustrate the ability of organisations to respond quickly. Supply chains that were once considered highly efficient are being reviewed in light of global risks and uncertainty. Climate change is a critical issue. And let’s not forget about Brexit, which will happen at the end of this year whether we want it to or not.

Challenging, crisis conditions often serve to amplify strengths and weaknesses that already exist. Companies that were already financially vulnerable are the first to go under, those with stronger balance sheets survive. The same principle applies to leadership: leaders who have cultivated healthy attitudes, competencies and habits in easier times will excel in periods of rapid change and challenge. Those with an unhealthy, self-serving attitude and who have shunned personal development will fail.

The need for excellence in leadership is more critical than ever if we, in Guernsey, are to ride the waves of challenge that will arise in the months ahead and find our place in the new world order.

There are four characteristics that will be the hallmarks of excellent leaders in the months ahead. Happily, we have observed all of these when working with a wide variety of organisations across the island.

1. Presence

Great leaders are present, not absent, during a crisis. The importance of authentic communication cannot be understated right now. For communication to be authentic, it needs to be honest, carry authority (be credible), and be clear and open. Listening is fundamental to effective communication; it’s difficult, if not impossible, to communicate authentically from absence, from behind a screen or by abdicating to a junior colleague.

One of the side benefits of travel restrictions to date has been the potential for leaders to be more present than ever, even if via digital media. For example, the head of a third-sector organisation with more than 150 members responded rapidly and remained highly visible. As lockdown hit, she quickly put virtual meetings in place to keep people informed, set up multiple social media channels and tripled her email communication. The charity found that it reached more people than usual as a result – not something that anyone had initially expected.

Presence is not a token or nominal action; present leaders are highly empathetic, understand and feel people’s struggles and bring a sense of calm that enables clear decision making. Confidence will quickly evaporate if leaders are absent, unavailable and detached from the prevailing reality.

2. Tenacity

This is not a time for coasting-to-retirement leadership. Leaders who can perform only during steady, comfortable times have no place in the new world. They would be better off passing the baton to others who do possess determination, durability and a fierce resolve to see things through.

Tenacious leaders are propelled by a sense of purpose, believing that their organisations and the effort they’re putting in will make a genuine difference in people’s lives. Tenacious leaders adopt a positive attitude, not denying reality but seeking opportunity and focusing effort and resources towards those activities that will achieve meaningful goals. They don’t give up at the first, second or third hurdle, instead pressing forward even as new challenges are presented.

This fierce resolve is rooted in decisiveness: making decisions that will solve a problem, continually trying ways to move forward, refusing to slump into hopelessness or bitter resentment.

I find it interesting that some of the most tenacious leaders I know deliberately take care of their health and wellbeing, building strength to be able to apply huge amounts of effort when challenges arise. Whether through regular exercise, thinking time or prizing sleep, some of the CEOs and MDs we work with have well-established healthy habits. There is a saying that tiredness kills; we sometimes see that too, where over-tired leaders come close to giving up.

Tenacity is about being all-in: complete focus on work when that’s needed and complete focus on rest (and play) when that’s needed. If it’s all work, burnout is a genuine risk. Leaders who attempt a half-and-half approach are good at many things, but excel at nothing.

We no longer have the luxury of settling for a merely good, ‘that’ll do’ attitude. We need to appoint and develop tenacious leaders.

3. Forward thinking

Good managers will handle an immediate problem with agility, fighting the proverbial (or in some cases, actual) fire, quickly solving problems and getting resources – people, money, time – to where they’re most needed. Good leaders know when to step back from management and take a longer view. This is exceptionally difficult in a crisis, especially for many local companies that are mid-sized or with head offices elsewhere. Yet we have seen some brilliant forward-thinking leadership in action.

One example includes the executive team of a business with a global reach, which accelerated the reorganisation and repositioning of their business. As virtual meetings became the norm, this helped to improve the quality of their strategic discussions and decision making. Rather than cram the conversation into an intense two or three-day offsite, they met for a few hours, two or three times per week, with time to think between meetings. The net result? Tough decisions have been made, leadership restructured and they’re winning more work than ever and recruiting as a result. They’re on track to exceed their annual revenue objective in the coming weeks, four months ahead of target.

As the size and volume of challenge and change increases, the ability to think forward – discerning future opportunities and risks and directing the organisation accordingly – will set the survivors and thrivers apart from those that will fail. What’s worked in the past simply won’t work – at least in the same way – in the future.

4. Humility

Healthy, effective leaders have a strong serve-to-lead attitude. They put the needs of others – especially their customers and colleagues –above their own. Their primary interest is in building other people up; building the company rather than their own status. They therefore possess a passion to meet the genuine needs of others, seeking feedback and critique to constantly improve themselves, their products and services.

By comparison, high-ego leaders place their own needs and reputation above everyone else. They blame conditions or other people when there are problems, rather than take responsibility. They take personal credit for all successes, even when others have contributed or success has arisen more by luck than by judgement. These leaders believe their own press, failing to see reality and becoming blind to risk, threat and the negative impact they’re making. They dismiss the concerns of colleagues, with the result that talented people defect, valuable customers leave and the organisation’s reputation is damaged.

As Jim Collins describes in Good to Great, humility is not lack of ambition, far from it. It’s just that excellent leaders are ambitious first and foremost for the whole company, not for themselves.

The age of self-serving leaders has already passed. Globally, people are demanding a more responsible ethic from business, and locally we need to foster and champion leaders with a serve-to-lead* attitude.

* Serve to Lead is the motto for the Royal Military Academy Sandhurst