How Choosing the Right Leaders Shapes Your Business Future

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How Choosing the Right Leaders Shapes Your Business Future

As a business owner, as your team grows larger, you may decide to appoint certain members as leaders for other team members. Perhaps you have already made such decisions. Choosing the right leaders shapes the future of your business.


This kind of decision deserves your full attention because it has multiple effects.

When you lead your team, there is no question that you’ll do what’s best for your company. Your decisions are always based on the company’s interests. If you make poor decisions, your company will pay the price. If you make good or great decisions, your company will reap the rewards.

The stakes are not as high for your employees who have leadership positions. I don’t want to say that they will not do their jobs well; I just want to highlight the difference between your situations.

Usually, the worst thing that can happen to them is to lose their jobs. But you may lose financial resources, time resources, and reputation if their actions reflect poorly on your customers, or you may lose valuable members of your team if their relationships with these leaders have issues.

These are strong reasons to give your full attention to this kind of decision and choose wisely.

Let’s delve into more detail about how the leaders you choose, or have chosen, impact your business.

Effects Produces By The Leaders From Your Company

Effects On Your Time

One main reason for wanting to hand over some of your leading activities is to free up time for yourself and be able to grow your business, right?

If they are doing a good job, you can trust them and give them the liberty to make decisions without being afraid that they will mess up. This will save you time and will allow you to focus on the things that you choose to do at this point of your entrepreneurial journey.

But in case they make mistakes or act in ways you don’t agree with, you’ll spend time repairing their errors or actions. Sometimes, it’s harder and more time-consuming to fix something that has been done badly than to lead the activities yourself.

Effects On Your Team Results

The team’s results depend not only on the members’ capabilities but also on their direct leader’s skills to guide them towards the desired outcomes.

Do your team leaders know how to organize their team members’ work well and maintain good relationships among the people they lead, including their own interactions with their team members?

These two characteristics, organizing the work well and create great relationships within the team, are among the top qualities of a great leader that generate high performances.

Effects On The Employees Who Are Led By These Leaders

Going deeper, a leader can have a huge impact on the people they lead and their evolution within your company.

 

As a human resources person, I know that people can experience their jobs differently depending on the person who leads them. Yes, there are other factors that influence their experience in a company, but their direct leader is one of the most significant factors. And we know that, more often than not, people don’t leave a company; they leave a boss.

As mentioned earlier, a great leader organizes their team members’ activities and facilitates good work relationships among them, including themselves, to achieve the team’s goals effectively. He/she guides the employees when they need it and helps them grow.

But an insecure leader may not help their team members to “shine” or to grow above a certain level. They may prioritize their own position in the company. In contrast, a business owner doesn’t have this fear. The greater their employees’ capabilities are, the better it is for the business.

Great leaders continuously improve their skills. As Tony Robbins said in one of his events to one of the participants that told him that he wants to become like him -When you’ll be where I am now, I’ll be much further away. These are not his exact words, but this was the main idea. A leader can be surpassed if he/she stops growing.

 

Questions that help you to analyse the impact of a leader upon employees

What is the overall morale of the team?

Is there effective communication and collaboration within the team?

How does the leader handle conflicts and challenges?

How are the leader’s relationships with the employees? 
 
Are the team members growing? Do they have opportunities to develop professionally?  

Are employees given autonomy and trust to perform their duties?

Is the leader receptive to feedback and suggestions from employees?

Are employees engaged under their leadership?

What is the leader’s approach to recognizing and rewarding employees?

What is the employee turnover rate in the team lead by the leader?

There are also other questions that you may consider. These are just some of them, but these can help you to form an overall image and identify the areas  that needs to be improved.

Effects On The Leaders Themselves

If they succeed in obtaining good or great results, their motivation and self-esteem will increase. Recognize their accomplishments and successes so they are reassured they are on the right track. This will also increase even more their motivation.

But, if they struggle in their roles, they may deal with a lot of stress and become dissatisfied. Going back to their previous roles is difficult because it may be perceived as a regression or failure.

From my experience and knowledge, the best thing you can do in this last situation is to coach the person to become a better leader through one-on-one meetings. You can do this yourself or hire a coach to help him/her. In case you have leaders in your company that have very good results and whom you appreciate, you could also involve them in the coaching process. 

This person may be an excellent employee but lacks certain required skills for a  leader. With support from more experienced people, he or she may develop these competencies and become confident in their role. 
 

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Aspects To Pay Attention When You Select A Leader

The Values Of The Person You Consider For The Role

Does the person you consider for the leadership role share the company’s values? 

From my point of view, it doesn’t have to be an exact match between this person’s values and the company’s values but these have to be similar or complementary. 

Our values influence our behaviour, so choosing a person with different values may lead to behaviours that are not appreciated or encouraged in the company. More than this, different behaviours lead to different outcomes and consequences. 

Furthermore, usually, a leader is a behaviour model for their team members. So, his /her behaviours can be copied by them and thus their impact is even bigger. 

The same thing can happen when they do share the company’s values. Their behaviours serves as models for others, but in this case, their impact is in the direction wanted by the company. 

The Integrity Of This Person

You don’t want to have a leader who prioritize his/her personal interests before your company’s interests. Also, you don’t want to have a leader who gives in to the pressure of others or shows favouritism towards certain team members. Right?

Integrity sets the foundation for ethical decision-making and for a culture of transparency and accountability within the organization. A leader’s integrity not only influences their actions but also ripples through the entire team, positively impacting employee morale, loyalty, and productivity.

Moreover, customers, investors, and other stakeholders are more likely to engage with a company that is led by individuals who uphold their values and principles.

The Abilities That He / She Has To Organize Work

A leader’s ability to effectively and efficiently organize work within a team can streamline processes, enhance productivity, and optimize resource allocation. With strong organizational skills, a leader can effectively delegate tasks, set clear goals, and establish well-defined roles.

They create a structured framework that empowers team members to focus on their strengths and contribute effectively to achieving team objectives. Moreover, a skilful leader’s capacity to orchestrate teamwork ensures that deadlines are met, conflicts are minimized.

The Abilities That He / She Has To Create Great Work Relationships

A leader’s ability to build positive connections with team members, as well as facilitating great connections among them, contributes to an engaging and productive work environment. Team members become more open to collaboration, idea-sharing, and knowledge exchange, leading to better problem-solving and increased performance.

The ability to create quality work relationships is as important as the ability to organize work. A leader may have high competencies in task assignment and goal planning, but without skills such as effective communication, conflict management, active listening, and understanding others’ ideas and perspectives, they will encounter significant challenges in achieving established goals.

To Wrap Up, the significance of selecting the right person for a leadership position cannot be overstated. A leader’s impact on the team’s motivation, productivity, and overall success is profound. The choices made in leadership selection today will shape the future of the company, impacting the lives of every team member involved.

When business owners prioritize qualities such as integrity, organizational skills, and the ability to create exceptional working relationships, they pave the way for a harmonious and thriving work environment. 

Key Points:

1. Effects produced by the leaders from your company:

  • on your time
  • on the team results
  • on the members who are led
  • on the leaders themselves

2. Aspects to pay attention when you select a leader

  • The Values Of The Person You Consider For The Role
  • The Integrity Of This Person
  • The abilities he/she has to organize work
  • The abilities he/she has to create great work relationships

Let me know what are your thoughts about this blog post. If you have questions I’ll be happy to answer them at: daniela.tancau@improvework.ro

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