Leaders must learn or quit

Professor Bryan Lukas, Director of Management Studies at Alliance Manchester Business School (AMBS)

IBM CEO and CEO Ginni Rometty shared some words to live by in a recent interview, which really caught my attention.

His promise to his colleagues as an employer: “I can’t promise you the job, but I can promise you the job.”

In that, he believes that it is necessary for business leaders to equip their employees with the skills that their company needs, but that each person needs to be successful in their business. It really affects me, because it affects my own opinion.

Managers don’t necessarily have all the skills they need in their organization. Many people think that leading a business is like driving a car; it’s a skill you learn and never forget. Upskilling must be a continuous process of evolution if you want to remain at a competitive level.

Change and change

Skill requirements will change over time and employers must invest in the skills of their employees or leave.

The business landscape is in a constant state of change; Few would have expected the ubiquity of the internet 35 years ago, for example, and the transformative impact Artificial Intelligence (AI) is having today would have been unexpected even five years ago. last year.

The lack of new managerial skills is part of the productivity crisis the UK has been struggling to address since the 2008 financial crisis.

In fact, we are not globally competitive, with a gross domestic product per worker that is 20% to 30% lower than most industrial firms.

The World Management Survey, which examines management practices around the world, estimates that between a quarter and a third of that productivity can be attributed to sub-par management practices. And lack of access to training has been identified as holding businesses back.

On the other hand, there is a positive relationship between better management and higher productivity. But the results of the research are more important, identifying the fundamental relationships between good management and income, output and growth as well.

Transferable skills

We know that managers are increasingly appreciating the value of lifelong learning to keep up with new customer trends, trends, new technologies and more.

Our own research has found that the majority of managers are currently enrolled in a personal development course to enhance their existing skills, and it has been compared to the popularity of AMBS’s executive education programs. .

But managers have told us that the pressure on their work/life balance means they can struggle to achieve continuous learning.

More than one in five (21%) of the executives we surveyed said that a lack of time to learn outside of work hours is holding back their career advancement.

To that end, executive education should be flexible in its delivery, with programs that have important features that can be accessed remotely or in person. Businesses can consult with first class providers to tailor programs so they address specific business issues or organizational business development requirements.

And there are a number of known – but not well understood – problems that require a different set of skills to master.

Understanding the implications and opportunities of ESG transitions to a net-zero and biodiverse economy, for example; and critical analysis of potential applications for blockchain, including the financial impact on an organization.

Data and AI is an area with special potential, but it is also complex, requiring a specific skill set that identifies barriers to entry. Traditional leadership courses lack leaders with the skills they need to use data and AI to its full potential.

It is possible to try to find technical advisors or consultants to solve new problems in organizations, but it is a short way that can weaken a company. The ability to access skills in-house should be a better option than outsourcing knowledge to ensure long-term growth.