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MIKOLAJ'S MONTHLY MAUNDER

Insights and inspiration for your leadership journey!

Leaders & Organizations Facing Unprecedented Volatility & Uncertainty

12/2/2024

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Fragility is the quality of things that are vulnerable to volatility.

NASSIM NICHOLAS TALEB

Leaders and organizations are facing challenging volatility and uncertainty—some might even say outright crises—from every direction today. 
  • Geopolitical disruptions
  • Inflation, cost of living, revenue, and economic uncertainties for themselves, their employees, consumers, and the business
  • Balancing and managing remote and in-person work
  • Recruitment and the labor shortage
  • A changing and aging labor market and what some have called the "Great Reshuffle" and the "Great Detachment"
  • Motivating, engaging, and retaining talent
  • Performance management, productivity, and innovation
  • Change management/leadership and process improvement
  • Training and development
  • Mental health and wellbeing

These exigencies threaten multiple aspects of life, business, and leadership effectiveness.  Management and leadership approaches, strategies, and philosophies that may have worked in the past may no longer be warranted today. 

However, these issues can also be opportunities, depending on how  leaders and organizations view, approach, and deal with them.  It's time to question past leadership approaches and rethink the way we lead—and there is ample opportunity.

Consider McKinsey's The State of Organizations 2023 in which they reported that only 25% of survey respondents said that they "consider their leadership culture to be one that inspires employees to the best extent possible."  That report and other research highlights just how critical purpose-driven leadership is to stakeholders and employees; including financial value and revenue.

McKinsey found that respondents viewed three top leadership elements as most important for their organizations:
  • Role modeling— Focusing on building respect and considering the ethical consequences of decisions
  • Inspiring others—Presenting a compelling vision of the future and inspiring optimism about its implementation
  • Developing people—Spending time teaching, mentoring, and listening to individual needs and concerns
One of the problems is that many organizations lack the incentive due to a crisis-like mentality that puts a focus on short-term thinking and strategies and therefore, they don't invest in the training and leadership development that would actually create the culture, results, and financial returns they so desperately seek. 

Less than 40% of the organizations in the survey have made development a core part of leaders' daily work and less than 30% have made leadership training more accessible.  On a positive note, more than half (55%) have invested in some form of leadership development and in changing leadership selection requirements.

KEY STRATEGIC ANSWERS
Three key strategic answers squarely meet these challenges.

1)  Leading Self—Leaders today need the courage to champion self-awareness, purpose-driven leadership, and authenticity.  They give the leader inspiration, focus, consistency, and a solid bedrock for purpose/value-driven decision-making.  And that fosters leader engagement and organizational commitment. 

When leveraged effectively, the leader becomes a model of this key driver of success inspiring others and fostering trust through demonstrated integrity.  They not only 'talk the talk,' they 'walk the walk.'  Leaders with a clear leadership philosophy when compared to those without a clear leadership philosophy are rated 140% higher on leadership effectiveness by those they lead.

Another part of leading self is seeking answers to the question, "How do others see me as a leader?"  A proven way to gain actionable feedback to that question is through an empirically-based 360-degree leadership assessment, such as the LPI360.  It gives the leader clear insights into their leadership strengths and opportunities for growth.

Learning to harness your leadership philosophy effectively builds your own unique leadership style in new and powerful ways.  It magnifies your leadership effectiveness, models authenticity and integrity, drives growth and productivity, and is a key driver of fulfillment and success. 

2)  Leading Teams—Further along the purpose-driven leadership path, leaders also need to be the catalyst that empowers purpose and collaboration at a team level. 

Harnessing the collaborative process of creating, implementing, and leveraging a Shared Team Mission & Values Statement and a Shared Team Vision Statement aligns individual purpose and values with the collective mission, vision, and values.  Research has shown that by fostering a culture of shared purpose, the leader elevates job satisfaction, engagement, productivity, and retention.  And, purpose-driven leadership has been shown to enhance health, wellbeing, and even longevity.

McKinsey research shows that employees at purpose-driven companies are four times more engaged at work—a powerful source of competitive advantage.
The State of Organizations 2023
McKinsey & Company

3)  Leading Change—Once these two strategies are in place, it's time to put them into action through aligned change initiatives and process improvement projects with clear goals and expectations.  When mission and vision are created from both the top-down and the bottom-up approaches, buy-in and inspiration to be and do one's best are galvanized. This is how value is created. 

When leading change effectively, the leader fosters an environment in which teams work on these initiatives with autonomy, discovery, and the freedom to innovate; further building engagement and boosting retention. 

Rather than being the boss/controller, the leader who leverages this strategy well, leans into being more of a coach who keeps people and projects aligned with mission, vision, and goals and only steps in when necessary for crucial feedback and decision-making. 

The leader, with organizational and/or change agent support, can then build networks both laterally and horizontally in order to bring about lasting change that brings both impact and value.

SYNOPSIS
While upheavals and volatility are coming at leaders and organizations from every direction today, there are clear, empirical, best-practice solutions that meet them head-on.  Leaders and organizations that fail to recognize and act on them, risk falling behind their peers and losing their competitive positioning and growth potential. 

Championing purpose-driven leadership not only meets  today's challenges and growth opportunities, it sets a foundation for current leaders to build a collaborative culture of positive change and meaning.  Further, it sets the stage for emerging leaders to inherit that culture along with the tools and strategies passed onto them for a stronger and brighter future.

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Alan Mikolaj is a seasoned coach and leadership development consultant with nearly 20 years of experience.  He is passionate about helping leaders transform their leadership, their teams, and their organizations.  He has an impactful, professional approach driven by a passion for meaning and purpose, a growth mindset, and a commitment to excellence and service in order to drive change and results.

Alan holds his Master of Arts in Clinical Psychology and Associate Certified Coach credential with the International Coaching Federation (ICF) and maintains their ethics and standards of behavior, including the standards regarding confidentiality.  You can learn more about them on the ICF website.

Transformational change starts with a conversation!
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    Alan Mikolaj

    Alan Mikolaj is a a professional, experienced, positive,  and passionate speaker, leadership and organizational development consultant, change agent, author, and coach.  He holds his Master of Arts degree in Clinical Psychology from Sam Houston State University.  He is a certified graduate coach from Coaching Out of the Box and holds his ACC and membership with the International Coaching Federation (ICF). 


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  • Home
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