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Leadership as a business capability

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Organizations succeed or fail on the strength of their leadership—and yet many are taking an outdated approach to development. Today’s smart companies build leadership growth into their everyday systems and processes. Look again at opportunities to unleash potential.

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Leadership as a business capability

  1. 1. Leadership as a Business Capability Companies struggle to develop the thing they value most­—leadership talent 89% of executives claim developing leaders is a “high priority.” Yet only 13% say they’re excellent at producing leaders. How does this readiness gap affect the bottom line? << LOOK WITHIN
  2. 2. Companies struggle to develop the thing they value most­—leadership talent Organizations succeed or fail on the strength of their leadership—and yet many are taking an outdated approach to development. Today’s smart companies build leadership growth into their everyday systems and processes. Look again at opportunities to unleash potential. 89% of executives claim developing leaders is a “high priority.” Yet only 13% say they’re excellent at producing leaders. Compared to discrete formal training, a systemic approach to leadership development yields: $$$$$ $$$$$ $$$ $$$$ $$$$ $$$ more revenue per employee +37% Organizations with effective leaders are 2-3x more likely to outperform peers financially. With effective leaders Without effective leaders Research shows the degree to which leadership boosts the bottom line. 2-3x Activation Accelerating new learning Acquisition Learning from an expert Appraisal Applying expert advice to personal experience Action Building versatile behavior 40% 40% 10% 10% Here’s how leaders in systemic development programs typically spend their time: 10x more likely to be effective at identifying and developing leaders 5x more likely to anticipate and respond effectively to change www.deloitte.com/us/leadership-development 11x more likely to have a high number of leaders who build talent Yet 75% of organizations still rely on formal training alone. Leadership as a Business Capability Organizations that engage leaders in systemic, exposure-based development—from direct observation of stakeholders to immersive learning from other industry leaders—are: The Readiness Gap The Value of Systemic Development Critical Skills A Competitive Advantage 3x more likely to innovate
  3. 3. Spending Without an effective development approach, business aren’t seeing an ROI. $40B is deemed a waste. Worldwide, organizations spend $60B on leadership development. Organizations with effective leaders are 2-3x more likely to outperform peers financially. With effective leaders Without effective leaders A Competitive Advantage Research shows the degree to which leadership boosts the bottom line. Leadership as a Business Capability Successful organizations build leadership development into their culture through integrated processes— creating leaders who: A Formula for Growth • Show business acumen and good judgment • Build and inspire talent for competitive advantage • Build strong partnerships 2-3x • Drive change and innovation
  4. 4. Compared to discrete formal training, a systemic approach to leadership development yields: Why is that? << LOOK WITHIN $$$$$ $$$$$ $$$ $$$$ $$$$ $$$ more revenue per employee +37% Leadership as a Business Capability
  5. 5. 10x more likely to be effective at identifying and developing leaders 5x more likely to anticipate and respond effectively to change 3x more likely to innovate 11x more likely to have a high number of leaders who build talent Leadership as a Business Capability Activation Accelerating new learning Acquisition Learning from an expert Appraisal Applying expert advice to personal experience Action Building versatile behavior The Discipline of Development Critical Skills Smart companies build leadership development into their DNA, creating an environment for ongoing growth outside of traditional programs. 40% 40% 10% 10% Organizations that engage leaders in systemic, exposure- based development—from direct observation of stakeholders to immersive learning from other industry leaders—are: Integrated Systems Processes Leadership Growth + = Here’s how leaders in systemic development programs typically spend their time: Yet 75% of organizations still rely on formal training alone.

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