The changing contours of leadership development

Leadership meeting

Leadership has always fascinated each of us- we have seen great leaders and

worked with them, and we have also seen the not-so-great leaders going off rails.

But having been a student of leadership development over many decades, I see

some big shifts in the way we look at leaders and the way we develop leaders. Of

course, some of these have been underway for some years- not that they have

suddenly reared their head- but as we step into the second quarter of the 21st century (isn’t that a nice way to talk about this momentous new year ��), it might be a good idea to step back and reflect on the changes.

So then, what are the changes?

‘In the good old days, everything was clear!’

In the good old days (the 90s- noughties), and even prevalent now in some

industries, the model of leadership development was this- young, hopeful

MBAs/Engineers/CAs look to join a reputed company, one that is well known with a

good track record. You go through a structured early career training over 12- 15

months, have great mentors who help and coach you, and you grow in the company through the right career experiences.

These roles and experiences were designed based on very clearly laid out career paths, which gave you the mix of experiences needed to reach the top and enough time to build your capabilities and demonstrate performance- and the organization provided a good safety net, with enough slack and good mentors who would meet up regularly and help you in need. All these factors- the set of jobs, the mentors, the leaders in the organization, and the broader organizational safety net- shaped and chiselled you over time. The organization took greater care of your development, and if you were identified with a high potential, then everything was well planned for you. The big bosses knew which roles were right for you, and you normally listened to their counsel- staying on their right side also helped you in your career! Fairy tale-like!

And what qualities did these leaders demonstrate- great analytical ability, ambition, and drive, strong communication and ability to inspire and mobilize teams, and strong expertise in a couple of areas? But over time many changes disrupted this cozy model. Little things that chipped away at this structure. Cut to now, the world is much different!

Life in the fast lane

We are moving in a frenzy compared to a couple of decades ago. Some changes I sense:

Organisations have become generally younger- the average age of organisations has come down drastically. And many of these younger organisations are more entrepreneurial.

People are growing to bigger roles much faster- at times, you may not have all the experiences you need to be successful in the big, new role, but the pace of growth of the organisation and opportunities have hastened and accelerated your journey there.

Overall, cross functional experiences have come down. People are taking less risks of moving to a very new function- they prioritise growth and familiarity, over the novelty of working in a different function.

The rate of change in the business has been growing exponentially- thanks to technology and the changes in the eco system/network effects. The skills you need to do a job now, especially in some functions, are very different to what it was 5 years ago. Take marketing, for instance- the skill set of marketeers of the 2000s, compared to now would be hugely different. We all have to jump on the learning treadmill.

Startups and emerging companies now constitute a large chunk of employment for professionals. They have less of a safety net, a shorter runway to demonstrate performance, and they need to keep learning on their feet. The big challenge- who do they learn from if they need to scale up?

There are now shorter tenures in organisations- this adds to the strain of developing leaders. There is less lure for the large, training academy type organisation.

The level of uncertainty in businesses is much higher, and with the accelerated rate of change, the work pressures are higher too. Sometimes, these high-pressure crucibles help accelerate your development – but it needs the right inputs and support so that you don’t burn out.

The time to learn skills, and the people to learn from – both are getting lesser. Who do you learn from now? How do you sharpen and consciously build your leadership?

The newer approaches

What could be some answers to the above challenges? I know that some of these challenges may not apply to all organisations- but many of these could be on your plate.

I have been trying to talk to people to understand what approaches organisations, and individuals, could adopt to overcome these. Here are a few that pop up:

First, more individuals are taking up their development in their own hands- I don’t think they are waiting for their organisations. They are building their own personalised learning journeys, expanding their network. I personally know people who have invested in a Wharton CHRO programme or a XLRI CHRO programme- putting their own money and time for their development.

I see organisations juggling with a paradox- they are investing in various leadership development journeys and programmes but are finding it difficult to ensure relevant on the job experiences and career moves help develop their best people. Can we do more than being at the fringes? Organisations are either struggling to manage the jobs/experiences piece or they have empowered their leaders to take a call on that part! Career paths are now increasingly individual led- based on their own purpose and personal needs.

Some organisations also fancy ‘coaching’ (in the purist sense), but one hears an ambivalent response on effectiveness. It is effective only when the ‘coachee’ truly wants it, and more so at very select senior levels. Have organisations brought into the ‘manager as a coach’ concept as that was seen as the most effective way to scale it? Well, I feel the overall skills of managers have increased in this respect but only a small percentage of managers consciously adopt coaching approaches.

In line with this self-directed learning movement, many ambitious professionals are looking for external mentors to make up for what they lack internally in their organisations.  By mentors, I mean experienced people who can bring expertise and wisdom and share their experiences. Connecting with accomplished and experienced people from their industry or function helps them learn.

Start-ups are great crucibles in building leaders- we have seen many great leaders emerge from this ecosystem- but the key is that if they don’t get right feedback, advice and wisdom, when in the ‘dance’, they could easily trip. The intense challenges of the startup shape them, but needs to be complemented by appropriate mentoring, at the right time.

The looming disruptor

And to top all, there is this looming longer-term disruption due to AI.

Over time, once agentic AI pervades organisations in 3-5 years, AI will redesign organisations- the classical organisation pyramid will give way to a much smaller base, and a flatter structure.

What we will look for in leaders in the next 5 years will also change as a consequence of this structure. Our future leaders probably need to embrace a very strong learning mindset, humility, be comfortable with ambiguity and uncertainty, have the ability to connect dots and see patterns, be more holistic in their thinking (as functional silos will make way) and maybe adopt the inclusive ‘servant leadership’ paradigm.

Floating on white water

Well, lots happening- and lots still being figured out. If we can figure out a way to get right mentoring, wisdom, and support in the ‘flow of work’, and keep the core crucible of the challenging job, we will have taken a big step. And fuel and support the self-directed movement.

The key is ‘in the flow of work’ – how do we shape this more naturally. In our traditional model of 70-20-10, increasingly the ‘20’ (learning from others/mentoring) will become more significant, and finding an effective way to do that will make a difference. That’s where I believe getting accomplished executives to mentor future CXOs or first time CXOs, with that mentoring rooted in the challenges of the business context will make a big contribution to their perspective and development. It would crunch years of experience into relevant counsel, and also provide a neutral external perspective, adding a supportive sounding board.

As change accelerates, we need to also accelerate the development of our leaders- the only way to stay ahead!

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