Author: Alina Făniță, CEO, PKF Finconta
The new technologies impact the organization's performance. Technological advances force companies to change, processes to change, and leaders to get better. Unfortunately, a research by Fortune magazine shows that only 7% of CEOs believe in their companies' leadership capability and only 10% that the leadership development initiatives have a clear impact on business.
To generate an impact on leadership skills training in a company, it is advisable to design a program of four types of interventions:
1. Contextualizing the program based on company positioning and strategy
2. Disseminating the knowledge and skills of the program within the organization
3. Designing of a Learning Support Program
4. Creating a system to strengthen learning and to sustain change
Contextualizing the program
Most companies fail to convert the strategy into reality because the leadership program does not take into account the stage they are in (re-launch, expansive growth or organic growth). Those companies that take this stage into account have an 8 times higher success rate. For organizations that want to successfully manage the heightened dynamic of the environment accelerated by technological change, leadership skills development is needed. This development is well suited to the new strategic requirements and linked to the conversion thereof into individual growth priorities for managers. Increasing managers' abilities to adapt to different situations and to learn continually increases their ability to manage change 4 times, according to McKinsey.
Ensuring dissemination within the organization
The Leadership Program should take into consideration the whole organization and not just managers and / or executives. Involvement of the whole company is difficult in the today's business environment. Leadership programs run for a short period of time, between a few weeks and a few months. They are sporadic and served with the tea spoon which makes it difficult for the program to keep up with the pace of change in organization priorities and leaders to be available to follow it. Companies that have designed 1-year leadership programs on all hierarchical levels with a consistent presence and technology-based learning methods have produced 6 times better results than those who have not done so.
Design the program to support learning
Each successful leader tells how he has developed and learned from addressing real issues in specific contexts. Leadership programs are designed based on very practical ideas. Such programs require participants to relate to what they have learned over an extended period of time and to practice what they have learned in their work within the company. Learning through a positive, person-centered and professionally developed method turns out very good results. Thus, capitalizing on the strengths of participants instead of using corrective approaches stimulates introspection and self-discovery, especially when encouraged with the help of coaching.
Adapting company systems, processes, and culture to the leadership development is very important. Otherwise, all those learned by those who want to practice will encounter resistance and even reprisal from the company. Technology can help accelerate the change process. Blogs, video messages and social media platforms help leaders engage more people to facilitate understanding, create supportive beliefs, and constructive behaviors and skills within the organization. Performance management systems and feedback are also very important to sustain the required changes in leadership skills.
As the changes in business strategies and business models are speeding up, the cost of leadership development goes up. If senior management is concerned about the long-term performance of the company, then they really need to get involved in the success of leadership development efforts now.
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About PKF Finconta
For more than 24 years, PKF Finconta is one of the 10 leading professional services companies in Romania. Since 2006, we are a member of PKF International Limited. PKF International is a leading international business advisory organization. The company grew consistently over the years, forming a Group of four companies: PKF Finconta, PKF FincontaConsultanta, PKF Finconta HR and Finconta Consulting SPRL, members of national professional organizations CECCAR, CAFR, CCFR, and UNPIR. We provide a wide range of business advisory and related specialist services. We have seven core areas of expertise and within these areas, we tailor our services to your business and your needs: audit, corporate finance, tax, bookkeeping and accounting advisory services, transfer pricing, payroll and personnel administration, and insolvency.