Just as a pilot requires a specific set of skills to fly a plane, a business leader must possess certain qualities in order to ensure the success of an organization. Below, we'll explore four key competencies that define an effective leader: team management, networking, decision making, and marketing strategy.
As a business leader, it's essential to develop strategies to motivate employees, maximize performance, and align your team's efforts with the organization's goals, missions, and ethical standards. This competency is demonstrated through:
- Conflict management - Effective leaders are able to identify potential conflicts and diffuse them so as to minimize any negative impact on team performance, and the performance of the organization as a whole.
- Cultural awareness - Leaders who understand the importance of cultural awareness in the workplace are best positioned to drive positive change within the organization.
- Honesty and integrity - Good leaders understand the importance of fostering a work environment built on integrity and mutual trust. It's not good enough to trust your employees; they must trust your leadership as well if the business is to thrive.
Gone are the days when organizations existed as independent entities. Today's successful organizations leverage their relationships with other organizations and individuals in order to identify and solve issues that impact the organization's bottom line. A good leader is skilled at communicating with both individuals and groups in order to help the organization meet its goals. This is demonstrated through the ability to negotiate effectively, formulate strategic partnerships, and influence others through both the written and spoken word. Of the four key competencies, networking is the one that will help drive an organization toward a successful future.
The leaders who will be most successful in this increasingly global business landscape are those who exercise sound business judgment – particularly in the areas of finance, technology, and human resources management. Good leaders not only ensure that they hire and train the right people for the job, but they also know how to use technology to its best advantage and calculate financial risks that may impact the profitability of the organization.
At the foundation of every successful organization is a clear, well-thought-out marketing strategy. Good leaders know how to convey the organization's message to their target audience through effective online and offline advertising. This requires a sound knowledge of the organization's product, and a thorough understanding of how the product differs from those offered by competitors. Of the four key competencies, marketing strategy may be the most important factor in determining the profitability of the business.