Do Your Employees Have What It Takes To Be A Leader?
By Carina Biddle
4 MIN read
“What is the cost of poor leadership?” Have you ever asked yourself this question? If you haven’t yet, now would be a good time to start.
Leaders have a powerful impact on the psyche and productivity of employees. Decisions that lead to hiring and selecting poor leaders cause organizational problems that get passed on from person to person and one of the most significant adverse impacts of poor leadership is the loss of valuable and talented employees.
Research by the Center for American Progress showed that ineffective leadership has been one of the primary causes of increasing turnover rates in the US. And according to the report, replacing a single employee cost organizations 100-300 percent higher than the base salary allocated for the role. With turnover replacement costs rising dramatically over the years (16% for entry-level jobs, 20% for mid-manager positions, and 213% for top management), organizations will find themselves in uncomfortable and unwanted positions if they don’t address the problem of poor leadership immediately.
“Finding the right people and helping them develop the skills that will make them effective and empathetic leaders will help organizations safeguard their future and create more value for their shareholders and their teams.”
The cost of poor leadership makes investing in employees' leadership development all the more critical. Finding the right people and helping them develop the skills that will make them effective and empathetic leaders will help organizations safeguard their future and create more value for their shareholders and their teams. With the budgetary constraints and rapid changes that come with the life of a startup, it can be tempting to neglect this area of the business. But for the entrepreneur who wants to avoid long-term complications and grow a thriving operation, it’s essential.
What does it take to be a great leader?
It’s the age-old question. Are leaders born, or are they made? Of course, we know now, the answer is both. While some people are born with certain traits that are useful for positions of leadership according to research, many of the abilities needed to be an effective leader are skills that can be learned. That’s the good news. The bad news is that without the right guidance and support, these skills can be challenging to master. So how do you know if your employees have what it takes to be a leader? Whether you’re looking for a leader from your current team, or you want to hire someone else—these are some of the science-grounded leadership qualities you should be looking for:
1. Emotional intelligence
Emotional intelligence (EQ) is a grouping of skills like emotion regulation, and self-awareness, etc. that when practiced, allow you to manage yourself and gives you the ability to effectively work with others. Good leaders are those who use their Emotional intelligence to get the best out of themselves and to draw out the best in others, and according to Daniel Goleman’s research on the topic, the most effective leaders outperform on this measure. It doesn’t end there. Goleman’s research found that when compared with technical skills and IQ, EQ is two times more critical to performance for all job levels. Now you know why it’s first on the list. You can read about EQ in more detail here, but I promise the next skill set is just as ground-breaking and one of my personal favorites.
2. Emotional agility
Great leaders not only embody strong emotional intelligence, but they are also emotionally agile. Emotionally agility allows you to be present with their thoughts and your emotions, and to use them to guide you toward your values. Effective leaders don’t try to push away their feelings or anyone else’s. They understand that trying to push away or ignore their feelings will only make them more powerful. Instead, they hold their feelings lightly and focus on changing their behavior to align them with their values and goals.
“Effective leaders don’t try to push away their feelings or anyone else’s. They understand that trying to push away or ignore their feelings will only make them more powerful. Instead, they hold their feelings lightly and focus on changing their behavior to align them with their values and goals.”
3. People skills
Next up, is people skills. An effective leader is able to work with people of all personalities and values, while also, equipping his/her subordinates to do the same. It’s about having the ability to find commonalities and common ground with others and to use those to positively influence and motivate others toward collaboration and mutual benefit. Employees who demonstrate active listening skills, who can validate another persons' emotional experience, and who practice suspension of judgment, are well on their way to becoming the kind of leaders that move companies forward.
4. Vision
Number four is vision. While EQ ranks highest on the list, vision, according to Goleman’s research still comes in as another heavyweight when it comes to leadership success. Good leaders see the big picture. The job of a leader isn’t just to work with and inspire those that work with him/her but to help the organization rise to its potential. Having a clear vision of what the organization is trying to achieve and the motivation to execute that vision is a must. A visionary leader doesn’t just imagine the big picture himself/herself, but is able to communicate that vision to others, and inspires his/her colleagues to do the same.
5. Discipline
The final star skill is discipline. Leadership positions present unique and often overwhelming challenges. When motivations fail, and emotions overwhelm, effective leaders, tap into their skills of discipline and persistence. Effective leaders know how to suspend immediate reward to reap long-term gain, and they know how not to give up when the going gets tough.
These skills and skill sets are foundational for effective leadership and are just as useful in one’s personal life. If you have employees with an ounce of these skills, hang on to them and give them the support and empowerment they need to continue learning and practicing. And if you want to learn about the ways you can support your team’s leadership development, read this.
If you’ve found this to be useful, please let us know and share it with someone who might also benefit from it. And if there’s something specific you would like to read about, we’d love to know! Just send an email to [email protected].
You can read more on the specific dimensions that make great leaders, here. Or learn more about what dimensions make up Emotional intelligence and why you need them, here.
Carina Biddle, M.S., is a Founder and Co-CEO of Upward AI. Upward AI develops innovative and forward-thinking solutions for helping companies reach all of their people development goals. Upward AI relies on science-driven information in Organizational Behavior, Neuroscience, and Psychology and technologies like artificial intelligence (AI) and machine learning to help people do better, feel better and be better. More information can be found here.
