Nurturing leaders of future – Management adviser urges ‘organizational agility’

Recent surveys report that nearly 50 percent of management employees actively are seeking new jobs, and most plan to increase efforts once the economy rebounds more. In addition, high performers are more likely to be looking in the coming months.

Al O’Connor
Special for The Republic

http://www.azcentral.com/arizonarepublic/business/articles/0118oconnor18.html

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About the author

Al O’Connor is executive vice president of Right Management Consultants (Nasdaq: RMCI). Founded in 1980, the transition and organizational consulting firm specializes in helping clients manage the human dimension of change and executing business strategies through their people. Visit the Web site at http://www.right.com.

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Compounding this problem is that many baby boomers are thinking about early retirement and, if the stock market begins rebuilding retirement portfolios, they will accelerate their plans.

Why is this? Is company loyalty a thing of the past? It is quite clear that the long-tenured employee has become a rarity, and companies need to examine this phenomenon to understand and plan for its consequences better.

Employees have learned that good career management means you need to diversify your background to get ahead.

This usually means changing jobs. In addition, other factors have driven employees to seek greener pastures.

Continuing rounds of layoffs have eliminated any feelings of company loyalty. Management has found it easier to reduce staffs when margins slip than to figure out better ways of doing business.

Further, the rising costs of benefits are more likely to be passed on to employees, inflation-adjusted wages are flat or decreasing, and jobs continue to move offshore. No wonder employees are finding it increasingly important to look out for their own interests, with less concern for the welfare of the employer.

The United States has lost 2.7 million jobs in the past three years, and many will not be replaced. These jobs in a great percentage were eliminated with the intention of cutting costs and improving productivity. Despite good intentions, studies have shown that corporate restructurings have not achieved the goals of improved profitability.

The work has just been condensed to fewer people resulting in an overworked, stressed-out workforce.

A wise man once said, "You can’t keep doing things the same way and expect different results."

The most successful companies will be those that start now to change the way they approach their employees. They need to prepare themselves for the rebound, and they need to do it through all levels of their leadership.

During difficult economic times, leadership development efforts usually are reduced or eliminated. Companies need to be doing just the opposite. This is the time to develop "organizational agility" by building the processes, attitudes and culture to execute new strategies quickly, effectively. By developing "agile leadership," companies will create strong teams that have the ability to stay focused and productive during times of change, and to be flexible enough to adapt plans and strategies to new conditions.

How do companies begin the process toward agile leadership?

Like most successful business initiatives, it must start at the top.

The executive team must adopt a well-thought-out strategy to ensure that their best people will remain engaged and ready to help lead the economic rebound. A top-down vision must be articulated and shared by every member of the leadership team.

These leaders must then engage employees by developing a credible atmosphere for communicating that shared vision, building trust and actively involving every employee in company strategy.

Winning companies will enact their new strategies with total employee commitment and well-established goals that employees can embrace, not only because they are good for the company but because they are good for employees.

To ensure employee buy-in, the company must share successes with employees through proper recognition and rewards.

Perhaps most important, the successful company must build on this newfound agility by constantly adjusting the plan to reflect new information, reassessing strategies and involving employees in the need for continual change.

To be successful in turbulent times, companies need leaders at all levels. This does not just happen without developing the vision for your immediate future, identifying talent levels needed, developing the leaders and making them an integral part in driving that vision.

A meaningful investment in leadership among employees at all levels will instill a sense of ownership and commitment that inevitably will benefit the company, allowing for a successful rebound and retention of top people more than any other action a company can take.