Leadership is often compared to a waterfall that cascades from the top of an organization, shaping its culture and success. For leaders to drive success and cultivate the right traits within the company, they must possess the inherent behaviors that set the tone for the entire organization. Authenticity is key.
Research by Amy Edmondson highlights the critical importance of psychological safety in high-performing teams. Edmondson’s work shows that teams with a psychologically safe environment are more likely to take risks, innovate, and learn from failures. In contrast, teams lacking psychological safety are likely to be stagnant, risk-averse, and unproductive.
While psychological safety is essential for all teams, it is especially important for leadership teams. Effective leadership is the backbone of the organization and lays the foundation for the rest of the workforce. Without a psychologically safe environment, leadership teams are unlikely to take the risks and decisions necessary for driving success.
So, how can businesses build a successful leadership team? Here are three practical steps that any business can take to orchestrate a thriving leadership team:
1. Identify the leadership qualities required for success
When searching for successful leaders, many businesses focus on specific personality traits, often identified through psychometric testing. However, our work helping companies analyze their teams has shown that high-performing behaviors are more critical to leadership success than personality traits.
Assessing and understanding an individual’s behaviors provides a more reliable and valid predictor of leadership success. Leaders need to take action to achieve strategic objectives and build a high-performance culture, not just talk about it. Relevant skills, qualifications, experience, and achievements can be gleaned from a resume, but it is harder to assess the intangible behavioral qualities of leadership.
To identify these behavioral qualities, companies should use behavioral interview questions that focus on essential leadership traits such as leading by example, self-awareness, ability to adapt to challenges, empathy, and a growth mindset.
Leaders who lead by example inspire and influence their workforce. They understand that the best way to lead is by doing, and they actively participate in the tasks and challenges that their team faces. By demonstrating their commitment and dedication, these leaders inspire their team members to do the same. To identify this behavioral quality when interviewing a prospective leader, try asking these questions:
- Can you tell me about a time when you had to lead by example to inspire your team to achieve a challenging goal?
- How do you ensure that your actions and decisions align with the values and mission of the organization?
- In what ways do you hold yourself accountable for setting the tone for the rest of the organization?
Self-awareness is another key trait of successful leaders. They recognize their strengths and weaknesses and understand when others are better suited to a task. They actively seek out honest feedback and reflect on their actions, behaviors, and decisions to improve their leadership skills continually. To identify this behavioral quality, try asking these questions:
- How do you seek out feedback and constructive criticism to improve your performance as a leader?
- Can you give me an example of a time when you recognized that you were not the best person for a particular task and how you approached the situation?
- What steps do you take to ensure that your personal biases and blind spots do not interfere with your decision-making as a leader?
Leaders who can adapt to challenges and change are also highly effective. They make good decisions and problem-solve effectively, even in the face of uncertainty and ambiguity. They understand that challenges are an opportunity for growth and are not afraid to take calculated risks. To identify this behavioral quality, try asking these questions:
- Can you describe a time when you faced a significant challenge and had to adapt your leadership style to overcome it?
- How do you ensure that you and your team are able to pivot quickly when faced with unexpected changes or disruptions in the industry?
- In what ways do you encourage experimentation and risk-taking while also ensuring that the organization remains stable and sustainable?
Empathy is another critical trait that leaders must possess. Effective leaders understand the importance of building relationships and connecting with their team members on a personal level. They actively listen to their team members, value their opinions and perspectives, and show a genuine interest in their well-being. To identify this behavioral quality, try asking these questions:
- How do you build strong relationships with your team members and other stakeholders within the organization?
- Can you give me an example of a time when you had to balance the needs and perspectives of multiple stakeholders with competing interests?
- How do you ensure that you are considering the impact of your decisions on all members of the organization, including those who may be less visible or less influential?
Lastly, leaders with a growth mindset recognize that they are not the finished article and are dedicated to personal and professional development. They continuously seek out opportunities to learn, grow, and improve their leadership skills. They also encourage their team members to adopt a growth mindset and create a culture of continuous improvement within the organization. To identify this behavioral quality, try asking these questions:
- How do you foster a culture of continuous learning and development within your team and the wider organization?
- Can you give me an example of a time when you had to pivot your strategy or approach based on new information or changing circumstances?
- What steps do you take to ensure that you are staying up-to-date with industry trends and best practices, and how do you share this knowledge with your team?
Transparent and authentic leaders who demonstrate these behaviors can make all the difference. By valuing behaviors over personality traits, companies can identify the kind of people who will help them achieve success and build a high-performance culture.
2. Build a high-performing leadership team through diversity
A successful leadership team is not just about having high-performing individuals, but also having a team that is diverse in skills, experience, and behaviors. We have found that leadership teams that exhibit a variety of behaviors are the ones that are most successful. While essential leadership qualities serve as a benchmark for high-performing leaders, a truly successful team is one that covers all bases, with few skill or behavioral gaps.
Diversity is crucial for creating a microclimate where each individual can realize their potential, and it’s critical to the team’s operations. Teams with similar behaviors are more prone to groupthink, which can lead to complacency and hinder innovation. To hire for diversity, organizations must move away from relying solely on resumes and interviews, which are subjective and prone to inherent biases.
Using objective data and insights from people analytics can help organizations achieve diversity in their leadership teams. Behavioral assessment tools like PACE can provide insights into an individual’s behaviors, which can help build a picture of how individual profiles will work together in a leadership team. PACE includes four overarching behavioral categories: Pragmatism, Agility, Curiosity, and Execution, each made up of several sub-behaviors. A balance of individual leaders scoring differently on various behaviors and categories produces a more diverse and successful team. On the contrary having all members of the team behave in the same way is not desirable, as balance and diversity are key.
3. Invest in leadership development for future success
Developing a strong and capable leadership team is crucial for the success of any business with growth ambitions. It is essential to have a plan in place to ensure that the leadership team is equipped to handle every stage of growth, including unforeseen changes and planned expansions. This is where succession planning comes into play. Identifying internal candidates who have the potential to succeed key positions in leadership can save the business time and money, while also providing several other benefits.
Developing internal candidates allows the business to retain institutional knowledge and brand behaviours, while also facilitating continuous learning and improvement on the job. A tailored leadership development programme can target the specific skills and strengths required for a particular role, resulting in competent leaders who can reduce costs, drive new lines of revenue, and improve customer satisfaction. It also helps in retaining talent, boosting employee engagement, motivation and job satisfaction.
Unfortunately, many companies fail to plan and implement effective leadership development programmes, leading to little ROI. It is vital to identify the gaps in skills, experience, and behaviors required in the leadership team before creating a personalised leadership development plan. This can be done through behavioral assessment tools, which can help identify talented employees with the potential to become effective leaders.
With a better understanding of what is required and available, effective, personalized leadership development plans can be created for both existing and future leaders within the company. This will lead to a strong and capable leadership team that can handle the growth and expansion of the business.
