Effective Leadership: What It Is and Why It Matters for Your Organization's Success
To support effective leadership in organizations, leaders must understand its characteristics, the best practices of effective leaders and the necessary tools that support it. Embracing these concepts can help improve employee retention and engagement while delivering better business outcomes.
Leadership trends change often — by decade if not by year. And with every new focus, the overarching goal is to get closer to effective leadership.
The trouble is that people don't always agree on what that means or how to achieve it. Individual leaders may have a definition that suits their style or represents their goals, but to be truly effective, there must be broad understanding and alignment across an organization's leadership.
This often means tying measurements of effective leadership back to the organization's mission, values and business objectives. For many businesses, that's likely a combination of talent acquisition and employee retention goals alongside targets for productivity and profitability.
Rob Lewis, vice president global talent and development at ADP, frequently counsels new leaders on best practices for effective leadership. His guidance centers around building trust and focuses on improving employee engagement. Lewis's own experience has led him to identify best practices that can not only help leaders be more effective but also impact the organization's success overall.
4 key elements of effective leadership
Pinning down a single definition of effective leadership is tricky, for several reasons. First, as Lewis explains, "Leaders have different strengths, styles, and approaches that they leverage to get work done, and many can be equally effective."
In other words, the "how" differs based on the leader, and it's important for all leaders to understand their own strengths to maximize their effectiveness. Second, some aspects of what makes an effective leader are dependent on business context and organizational culture – a leadership approach that is effective in one company or industry may not work as well in another organization.
Keeping in mind these differences in individual strengths and organizational context, leaders can adopt some common leadership habits to become more effective:
1. Recognize what is and isn't in your sphere of influence
Operating as a leader in an organizational environment is an immense responsibility and can feel overwhelming if a leader feels the need to solve every problem facing their teams.
Effective leaders care a lot about what happens on their teams, but they also realize that they can't control everything. They focus their energy on what they can actively change or influence while working to accept the things they cannot.
2. Focus your energy and conversation on growth
Remembering that we're all human beings — and treating people as such — helps effective leaders build trust and have better interactions.
"People will all have successes and challenges," says Lewis, "and it's important for leaders to acknowledge that we all have opportunities to learn and grow, regardless of our position or career stage."
If leaders only talk to their people about mistakes and criticisms, they are unlikely to see the improvement they want to inspire. However, when leaders concentrate their attention and efforts on making sure people have the skills and resources to succeed, success is not only possible but more likely.
3. Commit to weekly check-ins with your team members
There is power in giving regular attention. "Leaders who have frequent, 'light-touch' check ins with their team members are able to ensure alignment on key priorities, surface any challenges, and course correct as needed," says Lewis.
Adopting a concrete goal of weekly check-ins helps leaders measure and manage their relationships with people on their team. Weekly light-touch check-ins can be the sweet spot for improving engagement.
4. Express compassion to build trust
Lewis advocates for leaders to express empathy and compassion. Alongside check-ins about work projects, priorities and resources, effective leaders show people they care about their lives outside work, too. They stay connected to their team members by showing genuine interest and concern, asking, "how are you doing, and how can I help?"
He suggests that leaders can reassure team members by just saying something simple such as, " I value the work you are doing for our team, and if there is something you are struggling with, let's work through it together."
Effective leadership supports success across the organization
While many people are leaving their jobs for reasons that have nothing to do with their manager or other leaders, some may stay if they feel seen, heard and respected. Cultivating effective leadership in your organization can protect you from the high costs and productivity losses associated with high turnover. At the same time, effective leaders in high-trust organizations can typically expect higher levels of employee engagement, which has long been linked to increased efficiency, productivity and profitability.
The right tools can help boost effective leadership
Training in leadership skills — communication, conflict resolution and inclusion — can go a long way toward fostering effective leaders in your organization. Accountability matters, too. Holding leaders accountable for the results of their actions (or inaction) can reinforce expectations and encourage behavior that aligns with your organizational values. One example is accountability around diversity, equity and inclusion goals, though this approach can apply to any area that your organization prioritizes.
Leaders also need tools to support the day-to-day process of managing their teams. The StandOut platform offers tools for measuring engagement, including intelligent dashboards that give leaders access to real-time results, historical trend data and national benchmarks to inform their decision-making. StandOut also offers personalized coaching tips based on the Engagement Pulse results for their teams, helping leaders improve their skills and become more effective.
Adopt effective leadership as a cultural value
When leaders commit to paying frequent, light-touch attention to their people, trust can blossom. And with trust comes increased levels of employee engagement, which has historically translated to better business outcomes.
Following the best practices Lewis has outlined, as well as taking steps to grow in your leadership confidence, can go a long way toward building trust and improving employee engagement. For truly effective leadership, organizations need to adopt tools that support leaders and give them the information and resources they need to make a consistent and lasting impact on the organization's culture and business outcomes.
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