In Brief
The Problem
Corporate leadership development programs aren’t working. Less than a quarter of executives at the organizations that have them think they’re effective.
The Analysis
Evaluations of managers at thousands of corporations suggest that 72% have what it takes to grow into C-suite roles. How can we bridge the gap between this raw talent and executive success?
The Solution
By following four steps:
- Determine the most important competencies for leadership roles in your organization.
- Assess employees’ potential by looking at the five predictors associated with success—motivation, curiosity, insight, engagement, and determination.
- Map people’s potential to the competencies required in various roles.
- Give emerging leaders the opportunities, coaching, and support they need to strengthen the critical competencies.
Organizations around the world are failing on one key metric of success: leadership development. According to research from the Corporate Executive Board (CEB), 66% of companies invest in programs that aim to identify high-potential employees and help them advance, but only 24% of senior executives at those firms consider the programs to be a success. A mere 13% have confidence in the rising leaders at their firms, down from an already-low 17% just three years ago. And at the world’s largest corporations—which each employ thousands of executives—a full 30% of new CEOs are hired from the outside.
