• Wednesday, April 24, 2024
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BusinessDay

How to measure effective leadership in your organisation

Effective leadership is very crucial to the success of any organization. Finding a winning strategy will take time and effort from all involved, from the top leadership roles to the human resources department down to the employees. However, many organizations have difficulty in assessing the effectiveness of a leader. This is because organizational politics prejudice most assessment measures. They are not subjected to any verifiable standard, and the criteria on which a leader is assessed are undefined or unrealistic. Also, an organization must not lose sight of its core values and unique characteristics while designing and coming up with the right assessment strategy for the organization.

This article presents strategic methods and approaches for measuring effective leadership.

First, we have the “essential behavioral leadership qualities” (EBLQ) approach for assessing leadership effectiveness. This approach is founded on two things: the principles of leader behavior theories and the competence model. Both elements indicate that for leadership to be effective, a leader needs to excel at certain specific behaviours. Here there are 18 items on which a leader can be evaluated, namely, good listening skills, good presentation skills, participative decision-making style, Motivation, honest and ethical, organizational knowledge, good interpersonal skills, fiscal efficiency, knowledge of policies, the vision of the future, delegating authority, providing support, fairness, courage and firmness, creativity, hardworking, good prioritizing skill, problem-solving skill.

Second, develop “questionnaires based on employee participation.” Creating a questionnaire based on the participation of the employees is a sound idea because frequently, employees have a lot of information and ideas that are beneficial at their disposal. As an outsider, they often see things from a different angle from the leadership. Also, they get to observe the administration and have more ground-level insight into how the leaders are performing on many levels.

Third, engage “leadership simulation tools” that offer organizations a quick, cost-effective, and risk-free way to train leaders. Leaders are taught how to think but also how to act when certain situations arise on the job. There are different types of simulation tools out there available to organizations. Like with every strategy and instrument, it is up to the organization to choose the right fit for them and help their talents be more productive. For example, there are concept simulations that are appropriate for research-based organizations. There are also management game simulators that are perfect for senior management, and there are functional game simulators for line managers. The organization can adopt a few strategies that focus on the outcomes and not just the process by making the simulation exercise a group activity and integrating the simulation exercises with the core leadership training of the organization. To further ensure that you get most of the simulations, organizations need to ensure that the case studies used are grounded in case studies and real-life situations. In addition, there is the need to ensure that the scenarios used during the simulations are continuously upgraded as the organizations evolve.

Fourth, use “leadership personality tests.” There are many leadership tests out there, the top five, according to (Reynolds, 2017) including the Dominance Influence Steadiness Conscientiousness (DISC) Assessment. This tool is a self-assessment based on the four different personality types. It also provides a framework for understanding yourself as an individual (and leader) and understanding others.

The Myers-Briggs Type Indicator. This tool measures psychological preference in terms of how individuals view the world around them, take in information, and make decisions. This test gives the users an understanding of the different ways people behave. While it is like the DISC assessment, it is a lot more complex to administer.

Multi-Source Assessment (360 Degree Feedback). This is a process where feedback from the leader’s colleagues, subordinates, and supervisors is gathered alongside the leader’s self-evaluation. Thus, giving the leader a more nuanced perspective of how they perform in their job or role as a leader. This feedback is confidential and anonymous so that respondents can freely give their opinions.

However, if you plan to use this tool, you need to make sure it is carefully executed and followed upon.

The StrengthFinders. This tool helps users to figure out, identify, understand, and maximize their unique combinations of skills, knowledge, and talents. So, for them to do their work, achieve their goals, and interact successfully with others.

The Thomas- Kilman Conflict Mode Instrument (TKI). This is a tool specifically designed for managing and building teamwork, and it deals with conflict.

Fifth, engage “skill gap analysis” to measure leadership effectiveness; the truth is there is no company or organization with perfect leaders. Without a doubt, there is always going to be a gap between the ideal vision, skills you need to run an organization, and the reality that is on the ground. However, being an effective leader means taking steps to close those gaps to be more effective and efficient in leading the organization so that it can successfully meet various goals and thrive with each member of staff.

The first step is to carry out a skill gap analysis to find out what those gaps are. This analysis can be done on two levels: at the individual and the team/organizational levels. Once you have decided which level to analyze, the next thing is to identify the skills you desire and want your leadership team to possess. So as an organization, you need to ask two questions: what skills do we value as a company, and what skills do our leaders need to do their jobs currently and in the future?

To get the answers to these questions, you can look at the organization’s values, the organization’s objectives, the job descriptions of your leaders, and the growth trend for the future. Another place to get insight on skills your organization might need soon is to ask the leaders themselves and those they lead. The next step is to list all these skills and prioritize them in terms of importance and skill level required by using a scaling system. This scale, however, must be well defined. Once you have determined the ranges and dimensions and listed out the skills you want to test, you can measure and do the testing.

Beyond just using these tools, organizations must act on the data these assessments provide, either by training or hiring new leaders based on the values and skills they want to see in their organization from now on. What you do not measure is difficult to improve. By constantly assessing your leaders, you create room for data-backed adjustments that can lead to the long-term growth of both the leaders and the organization.

Toye Sobande is a strategic leadership expert, lawyer, public speaker, and trainer. He is the President of Stephens Leadership Consultancy LLC, a strategy and management consulting firm offering creative insight and solutions to businesses and leaders.