On February 9th the Wall Street Journal posted an article titled – “Despite Cutbacks, Firms Invest in Developing Leaders”. The article suggests “Despite layoffs and recession-starved budgets, many employers are investing in leadership-development programs, hoping not to be caught short of strong managers when the economy recovers.” Bret Furio from Philips Electronics North America said, “Identifying and grooming leaders is important in good times. In times of crisis when the economy is struggling, it's imperative."
We have witnessed an increase in the coaching side of our business since this economic downturn has gripped the world, particularly, the relationship coaching work that has become an integral part of our practice. It seems that the issues that were overlooked when we were running hard, making money and being successful, become critical when times get tougher. I spoke with a client just recently on this topic and he agreed with the scenario I painted. He summed it up well by using the metaphor that “a pimple has become a boil!”.
I have enough grey hair to have experienced a couple of recessions. A key learning from any of these previous experiences is that we learn more about ourselves, and those around us, when times become different, particularly, tougher times. The best tests of true leadership show up when our people get scared. And we’re not talking problem solving, doing or project managing skill sets. We’re talking about the ability to have the conversations that are necessary in order to build the relationships that produce the most effective productivity. The Journal article continued on to state “executives believe that without capable managers, their ability to come through the recession in a healthy fashion is diminished.”.
Sage leaders will look at this recession and define it as our new reality, our new economy and our economic reset. A recent survey by a San Francisco marketing firm revealed some characteristics for these leaders and companies during this time of economic reset:
*They know and value their core strengths.
*They recognize new opportunities quickly.
*They demonstrate flexibility and persistence.
*They show speed in executing plans and strategies.
*They provide extreme customer service.
*They create powerful and vibrant teams.
There is not a better or more necessary time in a company lifecycle than now to lead effectively. Are you stepping up to the plate or are you one of the statistics that contribute to the #1 reason people leave organizations – their manager sucks? It is definitely a time to run with our winners and cut our losers. We need to be dynamic enough to manage this economic reset and come out the other side with a herd of running horses!
