Rising up to the challenge – Key Insights on Leadership

1. Grow an organization around a vision and values

   1. Nowadays, and even more, people want to work in an organization that they relate to and that shares their set of values.

There is a growing emphasis on prioritizing well-being within the workplace. It is important that companies create an environment where people feel comfortable sharing their ideas, motivations and concerns. Flexibility and promoting a work life balance is also highly valued.

Additionally, it is crucial for companies to develop the areas of sustainability, creating and broadening the role of Chief Sustainability Officers and Sustainability Managers. Organizations should have a field of activity not only in the environmental area, but also in the social and governance sectors, following the ESG principles.

2. Be on top of ongoing technological advancements

   1. In recent years, the business landscape has undergone a rapid transformation, driven by technological advancements, such as artificial intelligence, big data analytics, cloud computing, and the Internet of Things, among others.

As a result, the tools and technologies that companies rely on have not only evolved but continue to do so at an unprecedented pace. This constant state of change requires a fundamental shift in leadership qualities and approaches. Leaders today must be exceptionally agile and adaptable to stay ahead of these ongoing developments.

These technological developments also raise some ethical concerns related to data privacy, security, and AI ethics. It is crucial to think about ethical practices and ensure that organizations use technology in a responsible and transparent way.

4. Adjust the leadership style to suit the organizational context

   1. The idea that companies have a leadership style that fits all is outdated. Different people have different needs and ways of being inspired and motivated. Effective leaders should prioritize people and strive to understand their unique characteristics, adjusting their leadership style accordingly. It's about recognizing that a diverse workforce requires diverse approaches to leadership, fostering inclusivity and adaptability in leadership practices.

5. Manage all stakeholders’ interests

   1. Beyond solely focusing on shareholders and profit generation, leaders must prioritize the interests of all stakeholders, including employees, customers, the environment, and the community. This approach acknowledges that sustainable success involves balancing the needs and well-being of all parties involved, fostering long-term growth and positive social impact.

It is important to say that this may lead to conflicts of interest from time to time. Therefore, leaders must learn how to balance all sides and embrace a holistic perspective that allows companies to create the most added value.

5. Talent Retention

   1. Especially in the latest years, the talent market has been very competitive and individuals feel a need for constantly changing roles and organizations in pursuit of the perfect challenge.

Therefore, for a company to retain its best talent, it is important to develop strategies that address this topic. Not only should they consider monetary incentives, but also ways that enhance and expand their skills and competences, such as trainings or coaching sessions. Moreover, if all the aforementioned challenges are handled in a successful way with a true leader fostering transformational change, individuals will more likely be committed to their organization.

Published in Amrop Portugal’s LinkedIn, February 2024

Available here: https://www.linkedin.com/pulse/rising-up-challenge-key-insights-leadership-amrop-portugal-smlpc/