For decades, organizations were designed and managed for an industrial environment. They were geared toward preserving stability, scale, and predictability with a focus on maximizing earnings for shareholders, and they paid little attention to the broader—often unintended—impact of their actions. Not anymore. . New leadership for a new era of thriving organizations McKinsey.com – May 4, 2023
The word unintended as it relates to impact in this paragraph sends shivers down my back. To my relief, it is followed by “Not anymore”. Now, what will it take for organisations and leaders to pay real attention to their impact? As we know, when something has been happening for decades, it is often hard to change.
We are talking about fundamental shifts in mindset, leadership behaviours and ways of working for leaders to move from the traditional organisation to the organisation of tomorrow. This should ring a bell or two if you have been reading us lately.
Having worked with leaders for years now to be absolutely intentional about their impact, the way they show up and the value they create, this McKinsey article really vindicates our efforts. It presents the need for 5 fundamental shifts across the following:
What we focus on; How we create value; How we organize; How we get work done and
How we show up. With the first shift aiming to go beyond Profit (for shareholders) to extend to holistic Impact (for all stakeholders). (McKinsey)
What a welcome shift! It is so significant to realise that finally your leadership will not be measured just in terms of shareholders’ dividends but in a more wholistic way by the impact you have on the wellbeing, performance and value created by and for all stakeholders and beyond.
But be careful what we wish for right? These shifts will take a very different way of leading. And now is the time to dedicate space to understanding how you need to invest in your leadership growth.
When you read the article - which I highly recommend – and find that one or more of the 5 fundamental shifts resonates, you will be interested in how our IMPACT program can help you with this.
The development of team leadership through the 6 areas of our IMPACT program for deliberate impact and enhanced performance, aligns with the 5 shifts described by McKinsey:
🔵 Intent – creating clarity of purpose. Knowing what Impact you want to have beyond maximising revenue – to create value for all stakeholders.
🔵 Mastering the Potential of the team – leveraging the strengths, skills and preferences of the individual members of the team for greater collaboration extending to cocreation.
🔵 Pulse – reviewing operating rhythms to enable effective ways of working that empower your teams and develops self-management and autonomy.
🔵 Accountability – clear vertical and horizontal accountability – fostering self-regulation and interdependence with expected outcomes met and sustainable growth guaranteed.
🔵 Communication – the most effective way to align a team’s talent. Honest and open dialogue, feedback and healthy debate as the pillars of creativity and innovation, learning and development.
And last but not least 🔵 Trust – the essential element that provides the space for all of the above. For psychological safety, authenticity and wellbeing to thrive so that leaders can be bold and creative humans in partnership with other humans without fear.
This is not a nice to have kind of leadership development, it is a fundamental shift needed to adapt to the new environment. Essential to continue to exist within the era of more sustainable, inclusive growth. Needed across all leadership levels for whole organisations to make the move.
Join the transformation, be deliberate about your impact and talk to us about designing the IMPACT program your leaders need to bring value to all stakeholders in the future.