Leadership development is important in organisations because the success of the business is dependent on the type of leaders that are at its helm. The process through which an organisation develops its leaders needs to be clearly defined and vigorously pursued. It is important for every organisation to put in place a system that enables it develop leaders who would help in driving the required change and vision in today's highly complex and competitive business environment. Many organisations seem to focus attention on creating business strategies and investing resources on other things without having a leadership development plan for their employees. They do not understand that without this, it would not take time before everything falls apart.
Leadership development is vital to the growth of organisations and it needs to be given priority attention. A plan for the continuous training and development of its existing leaders and other potential ones should be put in place. My focus in this article is to discuss how important the issue of leadership development is to the growth and success of any organisation. There are several benefits which are listed below.
The Importance of Leadership DevelopmentLeadership development is important in organisations as there are a lot of benefits that can be derived from it if it is effective. Some of these include:
- It helps to build leadership skills
helps individuals to grow their skills in leadership because the process enables them practice what they have learnt and this helps them develop confidence and experience. They are able to understand the workings of the organisation and are given the opportunity to use the knowledge they have in real life situations.
- It helps to improve the growth of the organisation
The organisation also reaps the fruit of an effective leadership development programme. The quality of leaders that come out through this process is high and this contributes to the growth of the organisation. When an organisation has developed the right calibre of leaders, it is sure of the future as their talents, skills and expertise will enable it weather any storm and increase profitability.
- It helps to improve employee retention
Leadership development also helps to reduce the rate at which employees leave an organisation. When employees understand that they have a future in a place, they rarely leave but contribute their best to its growth and expansion. Organisations that experience low employee retention do not understand the importance of putting in place an effective leadership development programme. This also leads to increased costs and wastage of time that could have been used in more productive activities.
- It helps to increase the profitability and bottom-line of organisations
Leadership development helps employees to develop an ownership mentality and makes them work hard towards achieving the set goals of the organisation. They become partners with a common vision and this would lead to improvement in profitability. Investing in developing leaders should be a priority as this would eventually impact the organisation positively. It enables employees do all that is possible to push the organisation forward.
- It also helps to attract the right calibre of employee
An organisation that has a good leadership development programme will always attract a large pool of skilled workers and potential employees to choose from. Individuals are drawn to places where they are appreciated for their work and would be able to enjoy the fruit of their labour. They would prefer such places as this enables them develop themselves and enhance their capabilities and skills in leadership.
- Organisations that invest in developing their leaders and employees alike find that problems are easily identified and handled very early before it affects the business adversely.
This is because their leaders are well trained and can detect potential problem areas even before they manifest.
- Leadership development provides leaders in the organisation opportunities to develop their knowledge, skill and competence levels and this will lead to improved performance and productivity. It offers them avenues for growth and learning to help them add value to the organisation which also increases their own value. It also helps to prepare them to face the challenges and demands of the highly competitive business environment.
- Improve team work
Leadership development also helps leaders learn the requisite skills to build a cohesive team. When the team is together, there is greater output and fewer crises. Without this, their efforts would not produce results and this would affect the productivity and profitability of the organisation.
- Improves communication flow
Every successful organisation thrives on an effective communication system. When the communication is hindered, it becomes almost impossible for any productive activity to be carried out. Leadership development helps to teach leaders how to effectively communicate the goals and vision of the organisation to their team and this makes it easier for progress to be achieved.
- Leadership development training provides leaders in an organisation with knowledge on how to handle a broad range of issues that may affect the smooth running of their department, unit or team. This helps to bring lasting solutions.
- It also exposes leaders to best practices in their industry and opens them up to several styles of leadership that create the most impact on employees and increases productivity. This development process also provides them with opportunity to meet leaders in other organisations and this interaction helps to sharpen their skills and increase performance. Leadership development is a way through which they can learn about more about how to meet the needs of their customers.
- It helps to boost the morale of leaders in an organisation and can provide motivation that would make them do more to move the business forward.
Leadership development is important and organisations who invest a little of their revenues in this area would reap lots of benefits from it. We all know that everything starts and ends with leadership so it is vital for organisations not to look away from this important factor that affects their well being and sustainability.