How Leadership Has Changed in 2021

‘Leadership in the new normal’ is a hot topic under debate. It’s no secret that the year 2020 has brought a lot of challenges. However, it has also given business leaders new opportunities to reprioritize or rethink their business strategies and come back stronger.

“The true test of leadership is how well you function in a crisis.” – Brian Tracy

A crisis is something that is very normal in an economy. There are only two things that can happen when there is a crisis — either you’re on the losing end or at the winning end. The ball is in your court, which end do you want to be in?

There are many things you can influence, and everything you can influence, you must influence. To proceed, you need to make sure that you have made adequate provisions, you’re well-funded and well-researched, you have a plan, you have clear objectives, and most importantly, you have a long-term orientation.

What do you think? Do you think about how leadership has changed in the 21st century?

Well, the past year has brought a lot of changes in leadership styles. Successful leadership in 2021 is all about how effectively and efficiently you can lead this change. As a leader, you need to evaluate the paradigm shift in leadership over time to ensure your success.

Before we jump into how leadership has changed in 2021, let’s first understand the leadership skills necessary for great leadership. What are good leadership qualities and characteristics?

What makes a good leader? 

Good leaders are made, not born. They always inspire and motivate others to do better, learn more, achieve more, and dream big. They even accept failures with grace. 

The best leaders always hold themselves accountable for any result – success or failure. They really care about their people. The best thing about them is they are future-oriented and always keep a positive attitude.

Having an understanding of current leadership trends will help you stay on top of these trends and become successful. Today’s leaders:  

Need to lead more through influence, less by positional authority

How do you lead with influence or positional authority? 

Leadership styles are perhaps one of the most crucial aspects of successful leadership in the present time. People should trust your vision and knowledge as a leader, not simply follow you because of your positional power. Influential leadership helps in forming a network of strong relationships based on trust and respect. There is nothing wrong with command-and-control leadership. But it is important to understand positional authority is critical for decision-making, not for effective leading. 

Good leadership is all about leading more through influence, less from a position of authority.

Need to provide an engaging workplace where people feel a sense of meaning & belongingness

A sense of meaning and belongingness in the workplace directly impacts the performance of employees. Research has shown that employees see a 56% increase in job performance when they feel like they belong, resulting in a gain of $52 million per year for every 10,000 employees.

Leaders need to provide an engaging workplace to employees where they –

• Feel comfortable while working
• Feel connected to their colleagues and their teams
• Feel a sense of contribution towards meaningful work outcomes.

Need to recruit based on cultural fit, not just qualifications or experience

Cultural fit is rapidly becoming an important part of the recruitment strategy within businesses. According to a Deloitte survey report, 94% of executives and 88% of employees believe a distinct workplace culture is important to business success. Hiring employees who align better with your work culture, can lead to increased work productivity and job satisfaction. 

Moreover, prioritizing cultural fit is essential to ensure employees’ long-term commitment towards the company, and a positive work environment.

For a successful business, leaders should recruit employees based on cultural fit, not just the employees’ qualifications and experience.

Need to take the time to create a career roadmap with their employees to reduce the chances of employees leaving

Why do employees leave? How can you stop employees from leaving the company?  

The answers to all these questions is a career roadmap. A career path defines the career progression of an individual within a company. This structured career development program helps employees develop the necessary skills, knowledge, and personal aptitude to reach their milestones.

A career development plan is significant to reduce employee turnover for your business. As a leader, it is essential to build a powerful career roadmap to engage your employees and stop them from leaving the company.  

Need to coach on performance, not just give employees tasks and job descriptions

‘Task culture’ is not enough in the modern world. Good leaders don’t just give employees tasks and job descriptions. They give proper guidance and also encourage them to work at their highest potential. 

Performance coaching is necessary for creating a productive team of employees that will help your organization grow and succeed. Giving regular and frequent feedback to employees based on performance, discussing areas for improvement, and providing potential solutions for the problems at hand, will help them become effective contributors.

Need to understand the motivational and psychological drivers of the people they lead

It is important for leaders to understand the motivational and psychological drivers of the team they lead. Every individual in your team is unique. Each one has a different potential, different strengths, and different sources of motivation. Understanding this will help you make a constant effort to eliminate the cause of dissatisfaction among team members and personalize your approach to create job satisfaction.

Motivation in the workplace plays a vital role in successfully achieving your goals. As a leader, it is necessary to figure out the right type of motivation for different employees, to value their individuality and increase their satisfaction, because happy employees are productive employees. 

Need to provide flexible working options with an emphasis on productivity, not just face- time in the office

The world is changing. Workplace flexibility is the new normal. Traditional 9-5 working hours is no longer attractive for employees. Leaders need to understand the growing importance of workplace flexibility. Offering a flexible working schedule to your employees, means giving them the freedom to choose their working hours, location, working environment, etc.   

A flexible work culture can boost employee satisfaction and productivity. According to a latest survey, 73% of employees strongly agreed that flexible work arrangements increased their productivity and work satisfaction. Workplace flexibility is one of the best ways to empower and value your people.

Need to ensure that the right people are on the right seats—meaning people need to be in jobs suited to their psychological profiles, skills, interests, and zones of genius

“Get the right people on the bus and in the right seat.”

                                                                    — James C. Collins

To build a successful team and drive success, leaders need to get the right people in the right seats. Delegating the right post to the right candidate according to his/her key characteristics, skills, interests, and expertise after hiring them, is of utmost importance to achieve the best results.

So, if you are failing, maybe you don’t have the right people in your team, or you have the right people but they are not in the right seat.

Need to facilitate personal development training, not just professional development training, so employees are working on their mindset and skillset

Leaders need to facilitate personal development training in the workplace to maximize the growth potential of their employees. Encouraging personal development at work will make it easier for your employees to achieve personal and business goals. 

Employees with a growth mindset are always willing to learn something new and work hard to achieve more, instead of focusing on their weaknesses. Training programs and seminars can help develop the growth mindset of your employees. Effective leaders use personal development training strategies to support and help their team members work on themselves, and improve their skills for better performance.

Need to provide incentives to employees for growth and financial rewards by clearly laying out possible ways to earn and grow as per their appetites

Offering incentives to employees increases their motivation and commitment towards their work. 83% of employees said a reward would make them feel either appreciated, motivated to work harder, or more loyal to the company. 

Incentive programs are meant to recognize and reward the significant efforts of an individual for their great results. As a leader, it is vital to pre-define valuable rewards for achieving different goals and outlining the ways to earn them. Ensure your employees understand what is expected from them and how much they need to push themselves to achieve performance standards. This will ensure a positive work environment and keep them motivated.

So, how has leadership changed over time?  No doubt you now have more of an understanding. These leadership trends can help you build a roadmap for effective and successful leadership in 2021. It’s now time to turn crisis into opportunities and ultimately success!