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    4. June 22, 2019

      Attributes & Tips for Leadership

      Dr.Lamba

      Dr.Lamba
      Chairman/Retired

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      The three key characteristics every leader should have

      Attribute #1: The ability to create clarity when none exists

      This is the most important attribute that any leader needs to have—and it is often underestimated. You don’t need a leader when everything is well defined and it’s easy, and all you have got to do is follow a well-written plan. But in an ambiguous situation, where there cannot be complete information, that is when leadership will matter.

      The people who are capable of getting into a situation where there is in some sense panic, and who can bring first clarity on what to do next—that is invaluable.

      Attribute #2: A knack for sparking energy

      Along with clarity, a leader needs to bring sincere enthusiasm. One of the classic things you face as a leader is, you will have someone walk into your office and say, ‘Hey you know what, I’m very good, my team is very good, but everything around me is terrible,’” he said. That’s not creating energy.

      Leaders generate energy, not only on their own teams but across the company. It’s insufficient to focus exclusively on your own unit. Leaders need to inspire optimism, creativity, shared commitment and growth through times good and bad.

      To be a leader,  you have got to be at your evangelical best. You have got to have fellowship all around you.

      Attribute #3: An ability to succeed in “an over-constrained space”

      For cultivating a third trait that is applicable to anyone, not only those who are ambitious in business. When leaders come in and say, ‘I’m not able to do this or I’m not able to drive success or achieve success because of all these exogenous factors.’ Guess what? Everything is exogenous.  Life is an over-constraint problem. So you can’t say, ‘You know what, I’m just waiting for you to remove all the constraints, and I’ll be perfect.

      Three tips for leadership in uncertain times

      Two years ago, Brexit shocked the world. The date for the UK’s exit from the EU is approaching fast, yet very little about what follows is certain for business leaders, citizens or governments. Meanwhile, refugee crises have forced millions to flee their homes and have fuelled political tensions in the nations where people have sought safety. The ongoing trade dispute between the US and China has contributed to the IMF’s decision to downgrade its global growth outlook for the first time since 2016. Many are wondering what the full impact of the trade tensions will be.

      While separate issues may feel disconnected, if you’re a global business or even a small successful business seeking to expand internationally, these world events become serious business challenges. Navigating geopolitical uncertainty is no longer limited to crisis response. In our current environment, it should be embedded in the dynamic strategy of any business. As political events and issues hit the boardroom, businesses need to take steps to move forward, protect critical assets and plan for the long term. Here are three ways they can do so.

      1. Be agile and build resilience

      The first step is building an agile organization that can respond to any change. In a world more connected than ever, what happens in one region can have wide-ranging ripple effects. A debt crisis in Europe can cause instability in Latin America. A broken supply chain in the UK can disrupt delivery in the US.

      This is why the most successful companies are taking steps to embed flexibility into their strategy, their culture, and their operations. They’re working to become more nimble and better equipped to embrace a pivot when necessary or beneficial.

      For instance, we’re seeing many companies take a hard look at their portfolios to make sure they have the right strategy in place to navigate a fast-changing, uncertain world. In fact, 87% of companies globally plan to divest an asset in the next two years, according to a recent EY survey. They’re focusing on their core strengths while unlocking capital to reinvest in their transformation agenda. Organizations doing this will be able to pivot more easily. They will be better positioned for the transformative age to innovate, fund new technological investments and take steps to future-proof their organizations when needed.

      2. Prioritize your people

      As we take steps to bolster our organizations, it’s important to prioritize our most valuable asset - our people. They too are often facing unprecedented pressures and uncertainties, both economic and personal. Elections, changes in leadership, nationalistic retrenchment and other geopolitical disruptions can threaten industries, economies and basic personal liberties such as the freedom to live or work in certain countries. Whatever affects their families, friends and broader communities affects them.

      In response to such developments, we must ensure that our people feel safe, supported and valued at work, no matter what is happening outside an organization’s walls. For instance, when executive orders banned travel for certain individuals in the US in 2017, we supported potentially impacted EY people by creating digital resources, hosting calls to share information and updates, and connecting them one-on-one with professionals in the EY Visa & Immigration sector.

      Even when external factors are not so extreme, leaders still need to invest in creating inclusive, supportive cultures in our organizations and in developing our people. When we build cultures like this, people feel a sense of belonging. They know they can bring their whole selves to work, and that empowers them to do their best.

      This isn’t just a feel-good initiative. It pays off, literally. Studies have shown that people perform better in environments where they feel a sense of belonging. Performance goes up by as many as 10 points in revenue, according to EY Business Linkage Research; employees are 3.5 times more likely to be innovative; and collaboration improves by 57%, according to the Corporate Leadership Council.

      3. Act decisively

      We are also living in a time when short-term pressures have grown exponentially. Something as unexpected as a tweet can move markets, or a misstep by a leader can have catastrophic effects on an entire company. Daily headlines bring a range of new developments that seem to require a response.

      We need to act decisively as these shifts occur, but we need to do so in a way that looks beyond the short-term moment and bolsters our long-term goals. It no longer makes sense to focus on our long-term strategy just in annual board meetings. Instead, it should be built into how we evaluate every development that arises. We need to ask ourselves: what could this mean for future business, talent, revenue models and transformation opportunities? What does this mean for what our employees might expect, or what our competitors might do? Then we should take swift and decisive action to protect and survive future outcomes.

      To facilitate this, we need to make sure we have access to the right insights from a range of credible sources. Many of these sources will be within our organizations, but we can’t stop there. It’s equally important to get insights from third-party experts, because they can help us identify blind spots, challenge assumptions and get a clearer picture of what we might not know. These insights can help us understand and evaluate relevant developments, then make the best decision based on what we know.

      This is what it means to forge a decisive long-term strategy: zoning out the noise, focusing on long-term growth and acting to prepare for the future. This is how we can continue to move forward with confidence and plan for success in an uncertain world. This is how we will turn uncertainty into opportunity.

       

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