GLOBAL LEADERSHIP FORECAST 2023
BY THE NUMBERS
Leader Quality Ratings Reflect Biggest Drop in a Decade
A Crisis of Faith in Company Leaders Hits as Managers Burn Out
Though it is often short-lived, crisis can be a defining moment in leadership. In 2020, while the world grappled with unprecedented challenges, we saw a spike in confidence in leadership quality as employees trusted leaders to guide them.
But as frequently occurs after a crisis, exhaustion and cynicism have set in. Today, only 40% of leaders report that their company has high-quality leaders. This represents a significant drop from two years ago, and measures closer to levels during the wake of the economic crisis in the early 2010s.
Signs of burnout are growing among leaders, with 72% reporting that they often feel used up at the end of the day, an increase from 60% in 2020.
While leaders struggle to maintain the trust and confidence of their teams, they also face internal challenges. Signs of burnout are growing among leaders, with 72% reporting that they often feel used up at the end of the day, an increase from 60% in 2020. Additionally, leaders are deeply concerned about burnout on their teams, with only 15% feeling prepared to prevent employee burnout.
The result is a perfect storm: as leadership exhaustion sets in, employees have rising expectations of their leaders. Companies need to create models for high-quality leadership that will engage and retain employees while not overburdening already struggling leaders.
WHERE TO FOCUS
Define a High-Quality Leadership Culture
Leadership quality ratings are closely intertwined with company culture. As a result, high-quality leadership may look different in every organization.
However, among organizations that have the highest quality rankings for their leaders, there are five key strategies HR puts in place:
- They develop leaders in critical leadership skills.
- They employ people-forward talent practices focused on development and career growth.
- They implement a common leadership model and strategy across the organization.
- They offer high-quality development across their entire pipeline of leaders.
- They focus on promoting leaders internally more than hiring from the outside.
Organizations that are already succeeding with these practices have an average of 42% more high-quality leaders than their peers. They are also 3.4X times more likely to be rated a best place to work by their leaders.
While high-quality leadership may look different depending on company culture, we found some common ground in how leaders described great leadership in their own words. Across all industries and cultures, empathy dominated leaders’ perceptions of great leadership as well as how leaders model good behaviors by examples.
BY THE NUMBERS
How Nearly 14,000 Leaders Define What Makes a Great Leader
Data Dive
Companies implementing best practices to develop their leaders are 3.4X more likely to be rated a best place to work
