Given the disruptive age in which we live, companies need “strategic leaders”. However, there is a shortage. A study by PwC found that only eight percent of senior executives can be considered strategic leaders, defined as “effective at leading transformations.” To attract, develop, and retain more strategic leaders, organizations need to find employees who already have that potential and help them develop the capability.
Jessica Leitch, David Lancefield, and Mark Dawson, all of PwC UK, have identified “10 Principles of Strategic Leadership” that, when implemented, create the conditions for the development of these leaders. Note that none of these principles is the delivery of formal training programs. Rather, the authors suggest that the development of strategic leaders is about creating the kind of culture in which strategic leaders thrive and grow.
According to the authors, to create this learning culture, share responsibility so that employees can experience risk-taking. Open the flow of information across the organization. Create a variety of channels in which employees can express and test their ideas. Accept failure, as long as it results in learning and performance improvement. Encourage strategic leaders to learn from each other. Design simulated or real strategic leadership experiences followed by feedback and reflection. Hire people who have demonstrated the potential to develop into strategic leaders. Give them permission to be open about their strengths and weaknesses, interests, experiences, and values, to reflect on the values and assumptions behind decisions, and to be open to continuous learning and self-development.
The 10 principles of strategic leadership convey the notion that employees can develop into strategic leaders, and that this happens by an organization creating the right conditions for learning and maintaining these conditions over time.