Why is leadership such a critical issue for Organisations?

One of the major reasons is because of the link between leadership, employee engagement and organisation performance. The evidence connecting employee engagement with organisation performance is overwhelming.

For instance, in 2006 the Gallup organisation compared scores on engagement surveys with business performance for 23,910 business units. They found that business units with engagement scores in the top half had 27% higher profitability than those in the bottom half.
Source: Harter, JK et al (2006) Q12 Meta-analysis Gallup

 In 2008 the British government commissioned a major survey, the MacLeod Report, to investigate the contribution of employee engagement in driving economic recovery. Their findings show that leadership is the key to engagement and a high-performing organisation. The choices leaders make and the way that they behave drive success.
Source: Engaging for success: enhancing performance through employee engagement. A report to Government by David MacLeod and Nita Clarke. 2009

If your people are fully committed to your organisation and give their very best efforts, you’re going to out-perform organisations where the people are absent-minded and switched off.

Are you interested in the 27% higher profitability reported in that Gallup survey? Or do you have other measures of success that need a similar performance boost? The gains are there to be grasped, but it’s often difficult for the busy leader to make sense of the research and work out how to apply it in practice.

The Leadership Team does that for you. We build practical tools from the world’s best leadership thinking and share these with our clients to increase leadership success.

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