What are the advantages of investing into leadership development?

Uncategorized Dec 27, 2018

 A career begin is always exciting. We know our place in the business. We are the ‘newbie’, the ‘eager learner’ who has a license to ask questions and learn under supervision. This is the moment in our adult lives where we are impressed and shaped by great examples of people, their ideas and their styles. These observed behaviours will shape us for our careers to come.

This is the first moment where great leadership will make a difference to not only the newbie’s career but also to the business performance. Throughout your entire business, nurturing, investing in your talent at various levels, equals investing into the business growth and carving out a competitive advantage.

Many businesses say they are driven by sales and ‘customer focus’, whilst in reality this focus is missed through lack of training, lack of on-boarding, lack of leadership skills and lack of team-work, which then results in lack of customer service. Doesn’t this sound paradox?

So if you are thinking of investing into leadership development to boost business growth we can share some great advantages businesses receive from their investment.

Motivated employees promote a winning corporate culture.

This is as obvious as it reads. Investing in employee development boost engagement to those that are receiving the program and the people they work with. Engaged employees live your company values and help shape the workplace within the vision and mission. They are enabled to inspire and motivate co-workers, create a culture of trust and collective desire to accomplish goals. A great corporate culture inspires growth, a sense of community, a curiosity to driving innovation into the business. Everyone knows what they are collectively working towards, and they do it with a smile. Going to work no longer feels like a place they have to go to. It feels like a privilege to be a part of fulfilling a vision.

 Great corporate culture retains and attracts talent

When people love what they do, and understand that they play an important part in shaping your business’ future, they reward you with loyalty. They also act as brand ambassadors who help attract the best talent. A company can focus less financial and time resources on attracting talent and even clients. They can spend their resources on continuously developing their people who in return will invest their energy and time to achieve and excel your business targets. Needless to say, cutting down on staff turnover costs has a direct impact on you end of year profit.

There is financial return on investing in leadership development

Don’t just take our word for it. Plenty of studies have proven a solid financial return on investment ranging from break even to heroic returns. Let’s quantify this a bit more. The international coaching federation (IFC) has conducted a global survey and found that a some 20% of companies saw a return of 50 times (50000%). In general “The median company return was 700%, indicating that typically a company can see a return of seven times the initial investment,” ICF reported.

Leadership enables business agility

The best companies function organically, have guidelines and allow for decision-making freedom. No one would feel the need to micromanage, and conflicts are resolved to achieve better solutions. Great leadership promotes accountability, transparency and trust. This allows your people to innovate and bring unexpected value to your business operations. Employees can respond rapidly to unforeseeable market & business environments. They are able to manage drastic change and implement new ideas faster, and effectively.

Businesses who develop leaders are generally also industry leaders. They are proactive in their operations because they don’t need to focus on ‘catching up’. Profit is a secondary focus. Their primary focus is to bring irrefutable value to their clients, enabling these clients to excel through their input. And these clients will reward them with loyalty.

If you would like to explore how to best select what your leadership up-skill needs are and what development programs will bring the best value to your company, please contact us, and we are happy to accompany you on your development journey.


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