Leadership Capital & Leadership Dynamics
A 2020 Bain report cited Leadership Quality as the single most important reason for success and the second reason for why companies were not successful.
What is ‘Leadership Capital’?
Leadership Capital is a ground-breaking concept, in which the cohesion, effectiveness, and therefore the future success of a Senior Leadership Team (SLT) can be quantified, analysed and improved.
Not only have we identified and quantified the concept of Leadership Capital, but our partner company, Drax, has developed a proprietary software system named ‘Leadership Dynamics’, which supports our understanding of what good leaders and leadership teams look like.
It allows us to run a full senior leadership review, considering the structure, experience and behavioural fit of the Senior Leadership Team.
Benchmarking them against a peer group and a norm for successful companies, when conducting an organisational review, Leadership Dynamics is then able to provide in-depth analysis into the effectiveness of the team against its value creation plan (VCP – please see below), and a route to optimising the team that will maximise the chances that it successfully executes the value creation plan.
The areas of focus are:
- The Structure of the Team
- The Experience of the Team
- The Behavioural Complementarity of the team
- The team’s Potential for successful value creation
From initial, arm’s-length evaluations through to thorough technical analysis and optimisation planning, the Dynamics platform ensures successful change, where necessary.
This change could involve…
- Appointing a leader
- Leadership and organisational change
- Rationalising a Function
- Leadership Development
…with maximum impact and minimum disruption.
Value Creation Plan (VCP)
The VCP is delivered by our Leadership Advisory Team: headed up by Johnathan Massey.
Johnathan comes from a Corporate Finance background, where he was tasked with effecting leadership development and business growth for SMEs.
Using our proprietary Leadership Dynamics software, the team will conduct a strategic leadership review of your current team vs comparable competitor teams.
This will focus on:
- Functional vs situational experience
- Behavioural insights
When this strategic leadership review has been analysed, a ‘leadership bridge’ will be generated. This provides a route to optimising the Senior Leadership Team against a value creation plan.
The Leadership Advisory Team will sit down with you and discuss how your business works, what leadership development or leadership and organisational change (if any) is needed. They will also discuss how to make those leadership and organisational changes, what is working well and where efficiencies could be made, as well as providing you with a clear strategic roadmap for the future, leading up to a business event – often an Exit for the owner/founder.