In other words, good leaders create more economic value than poor leaders and extraordinary leaders create significantly more economic value than the rest.
In the case of the impact of leadership effectiveness on employee satisfaction and commitment, the bottom 10% of leaders were below the 25th percentile on employee satisfaction/commitment, as compared to employees being at the 75th percentile who had leaders at the 90th to 100th percentile.
Here’s another example from the research of the impact of leadership on operational performance: more than 50% of employees who are “thinking about quitting” their jobs report to leaders in the bottom 10% of the leadership pool versus just slightly more than 15% who “think about quitting” their positions who report to leaders in the top 10%. (It’s worth noting that about half of the people in an organisation who are thinking about quitting actually quit within a year!)
The research also found that there is one pivotal competency that is most powerful in distinguishing the top 10th percentile of leaders from the rest and that is the ability to inspire and motivate others to high performance.
Former All Black captain, Sean Fitzpatrick says that one of the most important things he learned during his time leading the Kiwis was the importance of being an inspirational player himself at all times. As he says about his role as captain;
'It’s not about management, doing things right; nor leadership, doing the right things. It’s about Inspiration;
- Inspiration unleashes potential.
- Inspiration is contagious.
- Inspiration is about action.
- Inspiration leaves no one behind.
- Inspiration delivers real results.'
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