Apr 11, 2022
Consequences of poor leadership
Why you need to put people at the centre of every business model
Bad leadership has consequences.
As much as the broad agreement is gained for this statement, it is promptly ignored. The excuses for this are always the same. Stressful moments in a project, no time for talks, and, if necessary, Covid-19 is used as an omnipresent reason for the lack of anything concerning leadership. The main aspect for countless managers is to devote their time to the professional task and put the actual leadership work aside. Moreover, in a leadership scenario at a distance, some even claim that it is supposedly less essential to be in constant contact with the employees anyway. This quotation was made verbatim in a recent conversation.
What are the consequences of bad leadership in reality?
Brand
The first and most serious damage is done to the brand of the employing organisation. Unfortunately, employer branding is still seen by many managers as a nice-to-have instead of a must-have. A lack of this aspect in an organisation immediately shows when poor leadership happens. Although the disadvantages of the anonymity of the internet are well known, readers can distinguish between wild ranting, frustrated grumbling and justified, factual, well-founded criticism. This aspect is just as true on online platforms like Kununu and Glassdoor. Bad management work will thus quickly be presented online, factually and comprehensibly, for other applicants to read. The responses on these platforms from the criticised organisations are sometimes hard to beat in terms of unreflective stupidity.
Recruiting
The problem quickly runs through the entire organisation. The sources mentioned above are scattered, and a correspondingly negative mood spreads, especially when demonstrably correct criticism of the leadership continues to be accepted without any consequences. Higher employee turnover has a rise in costs as a consequence. More job advertisements, more recruiting campaigns, more interviews, more attempts to attract employees with a simultaneous decrease in the number of applicants and a higher rate of rejections. The problem is often blamed on HR, although the cause is found at the management and executive levels.
Contradictory
If you are still practising a leadership approach in which you claim that “everyone is replaceable”, you are not wrong, but you should consider the next half-sentence “…but at what cost?”. An approach of profit over people, putting profit before people, almost automatically leads to the opposite result. By ignoring leadership and its importance, you create severe collateral damage with financial consequences that you harmed the organisation equally in the short, medium and long term.
Good leadership is a learned skill. Scientific foundation, practical and methodically-didactically excellent knowledge transfer are components of a leadership culture that is constantly kept up to date. This approach positions your organisation well for the future.
More about the consequences of bad leadership in
this week’s podcast: click here to listen and learn.
Do you care about outstanding leadership?
Let’s talk: NB@NB-Networks.com.
