CEOs in Crisis: The Influence of Leaders’ Everyday Strengths (Part 1)

The new realities shaped by the disruptive and complex moment we are experiencing are completely different for each organization. This situation is forcing some companies to completely reinvent themselves, while others are unable to operate as needed. Others (the least common group, especially in Colombia) are seeing turnover grow at unexpected levels. The personality characteristics of the CEOs of the companies influence the consequences that each of the companies is experiencing as a result of the pandemic.

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Derail Leaders’ Derailment

Despite the thousands of print and internet resources available on the subject of effective leadership, it remains elusive. The number of leaders who fail is consistently estimated to be greater than 50%. The impact that ineffective leaders have on their teams and entire organizations can be devastating from both a human and financial perspective. It’s no wonder that leadership effectiveness continues to be at the top of organizations’ agendas.

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Engaging and Inspiring the Global Workforce through Future Talent/Future Leader 4.0

According to the World Economic Forum 2022 Skills Outlook report, the growing workforce skills that will be imperative to businesses in the coming years include a more holistic approach to leadership incorporating complex, analytical, innovative, and creative thinking in combination with social influences and emotional intelligence. Lessening in demand will be traditional/transactional and isolated skills such as manual dexterity, memory, personnel management, quality control, time management, and technology management.

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Leadership Matters

The quality of people’s lives depends on their careers. The quality of people’s careers depends on the organizations in which their careers are embedded. The success of these organizations depends on their leadership. The effectiveness of the leadership depends on the characteristics of the people in leadership roles. Ultimately then, personality drives leadership, leadership drives organizational performance, and who is in charge matters greatly for the fate of organizations and the people in them.

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Leading into the “New Normal”

As governments around the world are under increased demands to reopen, leaders everywhere are making decisions in the face of staggering uncertainty and conflicting information. In many ways, the decisions that first closed down businesses and quarantined cities, although certainly difficult, were much easier exercises in short-term decision making and execution than those that leaders will have to make for the longer-term journey.

And now everyone is asking, what will this “new normal” look like?

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Look for the Helpers: Humble Leadership in Times of Crisis

Many people are involved in a basketball game: A coach provides strategy, a shooting guard is agile, and a point guard assists in providing direction. In the heat of the game, the coach knows when to put in strong players, when to bench someone, and when to encourage every player to step up and give 110%. But winning does not depend on just the coach. Winning depends on each player contributing, whether by hustling down the court, putting up a three-pointer, or being in the best possible position when the game is on the line.

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Middle Managers: Your Company’s Most Important Line of Defense in Crisis

“Are we going to lose our jobs because of this coronavirus?” asked Kelly, an account executive with a tenure of 11 years.

“I — I don’t quite know,” replied Marla, Kelly’s practice manager. “The senior leadership team has said that there won’t be immediate layoffs, but we don’t know how long these shutdowns will last. Just keep working from home.”

There is no doubt that thousands of similar interactions have occurred in the past three weeks. These times are scary, and much is unknown. One thing you might not know is that the directors or senior leaders in your organization are not necessarily the glue that is keeping everyone together. It’s the middle managers.

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How Times of Crisis and Uncertainty Can Help You Spot High Potential

In any company, few things are more important than having a strong pipeline of high-performing leaders. In this new COVID-19 era, leadership teams everywhere are now faced with making critical decisions in an environment that changes hourly. Leaders from every size of organization are required to exercise judgment in unprecedented scenarios.

At Hogan, we have long researched the personality characteristics of effective leaders in the midst of high-pressure situations. We have also closely studied the identification of high-potential talent, or talent that has the ability to build and lead teams that can consistently outperform. This is a unique moment in time to identify high potentials (HIPOs) and next-generation leaders. Such moments of crisis often provide incredible opportunities for HIPOs to be identified, as the demands for high-risk and high-visibility decisions increase.

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The “Now What” in a COVID-19 World

At Hogan, we view the assessment results as the “what” (what are your strengths and areas for development?), the interpretation of your results by your Hogan coach as the “so what” (so what do these mean to me, and how do they impact my reputation and performance?), and the coaching discussion and action planning with your coach as the “now what” (now what can you do to be more effective?).

Further, we emphasize the importance of considering context in interpreting and acting on your assessment results. Consider factors such as your job requirements, the demands of your situation, the challenges you face, the business goals you need to achieve, the team you manage, and the culture of your organization. Behaviors that are strengths in one context could be derailers in another and vice versa, so context truly matters in interpreting and acting on your Hogan scores.

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