1. What Happens When You Put Off Leadership Development?
Business Results Suffer
2. Necessity vs. Luxury?
Leadership development appears to be one of those luxury items,
something that the company can live without.And it is, or is
it?
3. Outcomes Suggest.
What happens when you have leaders that need to develop good skills
and the resources are just not invested?Employees these days are
not willing to work in poor work conditions.Despite the current
economy and unemployment rates, employees are still willing to give
up a good job when they feel they are treated well by managers and
leaders.The cost to the company can be huge.
4. Over the past few articles I have outlined the impact of not
addressing poor leadership, employee turnover, reduced
productivity, and poor team performance.Ive outlined the potential
costs to the company and impact to the bottom line.
5. A Company Story.
Recently, I talked with a company where this is exactly what
happened.They decided to not invest in leadership development.The
work environment continued to deteriorate for employees and
turnover has occurred.The result: an open position on the team,
lowering the ability of the team to complete jobs and meet
deadlines; the need for leaders to invest time in hiring and
retraining; and ultimately more loss for the company and the delay
in having a fully functioning team.
6. Initial Investment Saves Long-Term Funds
Had the investment in leadership skill development been made what
could the outcome have been?Higher performance of the entire team,
improved work environment and culture, and reduced turnover.A
stronger company and stronger bottom line result.
7. Skill Development A Worthy Investment
For many leaders or business owners, leadership skill development
is viewed as a perk, a non-essential investment, but the impact of
failing to make this investment can be devastating to work teams,
especially when an unskilled leader or manager is
involved.
8. Leadership Skills
Some leaders have pretty natural skills, while others have never
been in leadership before and have had poor role models.These folks
need skill development.They need to understand their role and the
impact that they have on the workforce.
9. Invest In Leadership
When organizations do invest in leadership development positive
outcomes are achieved for both the company and the individual.
Leadership skill development can occur in house or via training and
executive coaching.
10. Executive coaching helps to solidify skills once they are
learned.The coach can provide feedback and additional opportunities
for learning during skill acquisition and retention.
11. Budget for Success
A leadership budget should take both parts of the puzzle into
account.Leadership skill development and monthly executive
coaching.Costs can vary froma few thousand per year (4000) per
staff person to 25,000 or more depending upon the level of training
and coaching.
12. Evaluate Every Investment Including Leadership
When evaluating the investment consider the impact of the loss of
just one staff person.Using the 150% of salary just one employee
leaving the organization that is a $35,000 per year employee can
cost the company $52,500 in replacement and retraining costs, as
well as time lost from leaders and other employees due to the
shortage.The savings that could occur by investing upfront in
leadership development using these numbers could be $25,000 to
48,000.
13. Dont Kick Yourself Later
Business owners that fail to see the value of investing in
leadership development for their managers and growing leaders kick
themselves later when costs come back to the company.
14. Create a Strong Leadership Program
Creating a strong leadership development program within your
company is a wise investment and in the long run saves money and
increases income with increased team performance and
productivity.
15. Take Action
For More Information and Our Executive Leadership Briefing:
www.PerformanceImprovementSystem.com
