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Do Your Leaders Contribute to Enterprise Leadership?

Do Your Leaders Contribute to Enterprise Leadership?

Leadership is often associated with how a leader interacts with their team and how they lead their function.

However, effective leadership at the organisational level presents a need for a different skills set. We call this Enterprise Leadership.

Leaders today are having to navigate across increasingly complex organisations as well as dealing with market volatility and uncertainty, digital disruption and different expectations of how a leader should behave.

However, many leaders still focus on the twentieth century model of leadership, where individual performance is the priority. Leaders with the most impact today take a broader view to deliver stronger business performance as a collective.

The diagram above summarises the skills needed for Network Leadership. It goes beyond traditional models of transactional and transformational leadership.

At the heart of Network Leadership are the concepts of interaction, relationships, systems building, and partnerships. The Enterprise Leadership model from SHL builds on the concepts of network leadership to embrace a wider set of leadership competencies which assesses individual and network leadership contribution.

The Enterprise Leadership model goes much further than traditional leadership models in defining what makes a business leader effective. It focuses on the importance of individual leadership contribution and network leadership to high performance at the enterprise level. Most 360-degree feedback models are inadequate for executive level cohorts because of this.

Do your leaders contribute to Enterprise Leadership?

Not All 360 Feedback Solutions Are Born Equal

Traditional 360-degree feedback projects concentrate on the behaviours of leadership from the perspective of individual leadership contribution and the effectiveness of the leader at a functional level. Some assessments may identify ‘silo’ mentalities, but most do not provide further data around these themes.

Well-designed 360-degree feedback models are often effective to a limited extent, in that individual competencies around transformational and transactional leadership can be effective in helping the participant to understand their relationships with peers, their leaders, team members and even customers. However, such measures tend to be one dimensional and will only go as far as to measure the individual leadership competencies as opposed to the Enterprise Level skills needed around cross functional working, influence across the organisation and the leader’s contribution to organisational outcomes.

Why is Enterprise Leadership Important?

Research by CEB has shown that other benefits of Enterprise Leadership include:

  • An impact of 12% revenue growth for the leader’s business unit
  • An impact of 5% revenue growth for other business units
  • Teams led by an enterprise leader are 68% more innovative and 21% more adaptable than teams of individual leaders
  • Teams experience higher levels of engagement and customer satisfaction when their leader is an Enterprise Leader compared to an individual leader

Enterprise Leadership Enables You To:

  • Assess your individual leaders to determine their Enterprise Leadership capabilities
  • Gain insight into the strength of leadership across your organisation
  • Equip leaders with the framework and tools to shift leader and team behaviour toward networked performance
  • Apply best practices to your own organisation
  • Compare results to industry, geographic, and leadership segment benchmarks
  • Help leaders make better use of time, execute decisions strategically, and leverage others more effectively

Traditional Training is Ineffective

Self-awareness and evidence-based understanding of learning and development needs is far more effective than traditional, ‘sheep dip’ training courses at helping individuals to develop their skills and behaviours.

Where appropriate, follow up executive coaching can really help embed change through guided experimental learning and reflection. This bespoke approach to development has the ability to really help individuals to understand their development needs and their contribution to how the enterprise is led.

To find out how we can help your organisation implement Enterprise Leadership simply click here to get in touch.

Matthew Davis
Director

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