Why Leadership Matters

Everything we do as humans matters. Every action, choice, word we choose has ripple effects. People often forget this power but it’s intrinsic to being human and it’s the reason every single person has power. While every person has power, the hierarchical nature of many of our systems makes it so that there are people that hold more power in organizational systems. In the business world, these are the leaders of a company. While an individual contributor most likely focuses their interactions with their immediate team, let’s say it’s ten people, a Vice-President (VP) can have hundreds, or even thousands of people who are affected by the daily decisions they make around how they run their organization. 

While most of us know this truth, a lot of organizations don’t think about how the person they put into power is going to affect the company. They might focus on the bottom line or the results someone will get but how many leaders think about how who they hire is going to affect their organizational culture and the employees that work for them. Not taking into account the character of the leader can have dire consequences to a business, not only financially but also culturally.  As a coach, I have seen again and again that the leaders you hire matter, not only in terms of results they afford your business but also for the future of the company. Here’s why:

Integrity is Demonstrated through Action

Not everyone cares about doing the right thing and that’s not immediately obvious. This is why a lot of leaders bring in trusted ex-collegues because they already know their character as well as their ability to get results. It takes time to tell if someone is actually who they say they are and if they are not, it may be too late because they have already caused negative consequences to your business. 

Also, most people believe they are good people doing the right thing but actions don’t always match people’s words. Even when not malintentioned, I have seen leaders be incongruent with their values with the choices they make. If no one is making a leader aware of how their choices are actually affecting people, they likely don’t know how their well intentioned decisions are not having the effect they desired. Leaders with integrity and a growth mindset will be willing to own when they make mistakes or their actions aren’t aligned with their values. For someone who believes they are never wrong or isn’t self-aware, it’s difficult to act with integrity because they aren’t allowing themselves to see or to believe the true consequences of their actions. Helping leaders become aware of the effects of their choices is something I do often as a coach. The fact that leaders not only hire me, but also listen to me speaks volumes not only about their humility but also about their willingness to learn and to grow as a leader. Every leader needs at least one person or better yet, a group of people to hold them to their values, especially when times get tough. Integrity is based on what you do, not what you say you will do or who you believe yourself to be. 

Everyday Actions Create a Culture

While everyone is allowed to be human, how a leader shows up everyday makes a difference in the culture they build. How a leader interacts with and treats every employee is a large part of what creates a company culture. If a leader demonstrates that it’s ok to pummel coworkers publicly when they make mistakes, others down the leadership chain will think it is ok too. In this way, the way a leader acts is very important when it comes to creating a great company culture. If the person in power isn’t emotionally regulated and can’t manage their stress, working for them is likely going to be a challenge for even the most even keeled person. No one wants to work for an unhinged leader long term, no matter how competent their technical skills are, so it can cause attrition. Attrition is expensive for companies because the process of hiring and onboarding new employees is not only a big time investment, it’s a large financial commitment as well.

Short Term Thinking can Cause Long Term Stress

Leaders without integrity can show great short term success by taking shortcuts, making themselves look good, burning out employees or even lying about results but if they do this, this will negatively impact the company long term, long after they have gotten accolades for their interim success. I have seen various leaders lie and cheat their way to the top only to fall hard when the truth eventually comes out. It sometimes takes years but the truth more often than not reveals itself. The problem then becomes an issue for the leaders who remain that have to clean up the mess: sometimes the mess is financial, sometimes the mess is cultural, sometimes it's company reputation, sometimes it’s all of that and more. Whatever it is, if you are the hiring manager of a leader, this is not a situation you want to be in. Trust but verify when it comes to your team. Make sure you are not blindly believing what your team tells you without your own research because the last thing you want to happen is to find out the truth after the mess is so big it has the power to take down your company. 

Desiring Power does not Mean you will be a Great Leader

Often the best leaders are the ones who came into it after years of hard work. The humility gained from a lifetime of work often brings wisdom to the boardroom. The other type of leaders that I have seen excel are the ones that are naturally smart, capable and good at their jobs and weren’t necessarily looking for the next step. They were the natural pick of who should be running things because of their talent and their care about not only doing a good job but also doing the right thing. Oftentimes I have seen less capable individuals who really want to be in power to say they have a title and to create the image of power. Those people can be difficult to work for because they didn’t land their position because they deserved it, they landed the role because they wanted it and made it a priority to climb the corporate career ladder. While that isn’t always bad, if you are in a position where you hire leaders, thinking about the motivating factors of the people you hire can help you discern what kind of leader someone will be. Someone who wants a position because they crave power might not be the best candidate. Looking for a leader driven by purpose and integrity can be a good sign that the person’s motivations will drive them to make the best decisions for your company, your employees and your customers.

During these unprecedented times when our society has a lot of problems to solve, hiring the right leaders is more imperative than ever. The values, capabilities and talent of those in charge are what creates cultures, healthy work environments and in turn, results for companies. Having leaders that genuinely care about the company not only to drive immediate results but to deliver long term growth is what builds brands that last.