OPINION:
The last two and a half years have contained more disruptions to our "normal"
way of life than the last two and half decades.
Be it lockdowns and associated restrictions instantly changing our day-to-day routine, geopolitical tensions disrupting already constrained supply chains or the changing employer landscape thanks to a labour market under extreme pressure, the challenges are varied and wholly unexpected. These disruptions are not just prevalent here in New Zealand, but globally – and the challenges of today are resulting in fundamental shifts in the manner in which we approach leadership.
Our day-to-day priorities and modus operandi have changed and that requires a significant change in the way business leaders operate and make decisions. Some risk being left behind if they are not willing to lean into what is required, challenge the status quo, learn new ways of working and ultimately adjust their leadership style.
When the world is changing at such a rapid and unpredictable pace – or at least, perceived to be – business leaders need to rethink their priorities, and be quite intentional and deliberate with their choices and actions. It is no longer acceptable to operate based on assumptions or do the same thing that has been done for decades. Rapid change requires rapid decision-making, using data to help inform those decisions, and engaging in meaningful ways across stakeholders, including employees.
Business leaders must plan for disruption
If the times we were forced into lockdown have taught us anything, it is that the businesses and the leaders who were already thinking about what the future challenges and disruptions might be, before they occurred, were best able to withstand the shock. They were proactively one step ahead, or at least better equipped to navigate their way through.
Be it by changing business models to deliver products and services in different ways, or by having hybrid working models already in place for business continuity – all those actions required a new type of leadership.
Change and disruption often provide the burning platform for innovation, but those who will successfully lead through change and disruption have already been thinking about the future mega-trends, the trends and the wild cards to prepare for disruption before it hits.
They will be reflecting on and reviewing their existing processes and procedures, and whether there are better ways of operating. They will be determining what can be digitised, what data is required to inform better decision-making, and what capabilities and attributes their organisations will need in the future. They will also be asking what drives and motivates their people. They will be focusing on the outcomes, not when, where and how they are achieved. All of this requires for many of us, at both a leadership and governance level, to shift the way we think and operate to ensure that as we head into turbulence we are well equipped.
Employee expectations and priorities
One of the big changes that business leaders need to be cognisant of is changing employee priorities and expectations. The last two years have encouraged the right conditions for many to take a step back and think – what is actually important for me?
Businesses have reframed the way in which they operate, and employees have done the same. It might be that spending time outside of the work environment is now ranked higher up the priority list, or it might be that after extended months stuck at home, for some it may be the opposite.
Understanding the needs and wants drivers and motivators, and the lived realities of employees must be a priority for business leaders if they want to retain good people, and ensure they are motivated and happy in their work.
Changing priorities and labour market shortages have resulted in a situation where employers are no longer the interviewees, and it is important that leaders understand this. When going to market to hire new staff, it is no longer solely about finding the best candidate for the job, it is equally about the candidate finding the best work environment for the job they choose.
Does the job offer flexibility for the employees' lifestyle
The interviewee is now on an equal playing field to the interviewer. They are considering if the job is the right fit for them, if it aligns with their values and if it offers a level of flexibility they need to enjoy their lifestyle? Those questions are equally as important as those coming from you. Leaders need to intimately understand and articulate their employer brand and make sure it is compelling and aligned with labour market expectations.
Flexibility and hybrid working arrangements are no longer optional for many businesses either, it is a necessity and for leaders, it requires innovative thinking, different ways of communicating and understanding how this plays out on workplace dynamics, including business continuity and accountability.
A new currency has emerged – it is not money and it is not car parks, it is time. Lockdowns changed the playing field, but with all new ways of doing things, it does pose challenges.
This new paradigm requires a level of trust and responsibility, and an appetite and an environment for trying new things and taking calculated risks. I thought Jimi Hunt's recent LinkedIn post summed it up nicely, "If you are making mistakes, you are generally trying something out of your comfort zone. That's awesome. Keep going … Mistakes are; expected, respected, inspected, corrected."
Accountability and connectivity within a face-to-face office are challenged and the traditional ways of leading a team are no longer relevant in a flexible or hybrid work model. If a member of staff wants to work from home to look after their children, go to a local café to focus on a specific task without distractions, or work from their bach at the beach – it is no longer an option to dismiss this if you want to retain or attract great people. We have to ask, why would we - but of course it does not come without associated challenges.
Flexibility is not just about location or the way in which we think; it is also about time. A movement is growing to explore the concept of four-day working weeks – an idea that makes many business leaders shudder, but we must be prepared to have these discussions and make these decisions if the case is compelling.
These are the sorts of bold decisions required of today's leaders. When a challenge arises or a disruptive event occurs, it is no longer about getting on with the job and returning to normal ways of operating, there is an expectation that business leaders will be innovative and experimental in their thinking, and decisions will be based on preparing for the future, and thinking about and being prepared for the requirements that both your business and your people might have.
Using Peter Druckers' quote "The greatest danger in times of turbulence is not the turbulence; it is to act with yesterday's logic."
• Leeann Watson is the CEO of the Canterbury Employers' Chamber of Commerce.
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