As small businesses grow larger and more complex, company owners are universally faced with how to level up the growth of their people into positions of increasing complexity, including leadership. Many times, we see client companies where the CEO or owner is acting as a “hub” with many direct reports, or “spokes”. This hub and spoke model works in early days, however, it is not a sustainable feature in companies focused on aggressive growth. At some point, the CEO will need to have leadership TEAMS who help manage the rest of the organization.
The big question that many CEOs face, is “how do I get to this next level of leadership?” Hiring at the leadership level can be prohibitively expensive, and it is always a roll of the dice to bring in outside talent to lead a group of veteran employees. Relief can be found when a CEO identifies that employee with high potential and takes steps to develop that individual.
Many larger companies are able to invest in solid management training programs that lead promising individuals through all areas of the company, giving them a chance to spend time in each of the business areas and focus on line and non-line responsibilities over the course of several years. However, most small to mid-sized companies do not have the resources or ability to create such an experience for their potentials. All companies, however, can identify promising individuals and craft experiences for them throughout their career.
Here are a few great ways to develop an emerging leader:
- Give them supervisory responsibility.
- Involve them in industry specific groups to keep them growing in their field.
- Pair them with a mentor, either within the company or out.
- Explore individual or group coaching to focus on leadership development.
- Enroll them in a cross-industry facilitated peer group.
- Provide challenging work assignments that are just beyond their current skill level, and coach them through.
A next step is to pass as much of the planning and decision making as is practical down to the individual you have identified. Start small but involve them in higher-level strategic planning as you are able. As you do, identify areas that need improvement to round out that person’s skill set. Where are they strong? Which competencies still need development?
Investing in a leadership assessment tool can result in additional insight and target specific areas to develop. A 360 Leadership Assessment involves subordinates, peers and supervisors and can provide a detailed and well-rounded assessment of the individual’s competencies.
The key is to identify the individual or individuals, then focus on providing a combination of experiences and coaching to develop their leadership capabilities.
