PDI Ninth House Pulse on Leaders Research Reveals Key Competency Gaps Among Business Unit Leaders

MINNEAPOLIS, May 2, 2013 /PRNewswire/ -- New Pulse on Leaders research from PDI Ninth House, a Korn/Ferry company, shows those at the business unit leader level — which typically includes general managers, vice presidents and directors — routinely fall short when it comes to managing talent, providing structure to enable work execution and influencing others.

The research indicates that while a strong drive for results is among the most critical competencies required for the business unit leader role, many leaders lack the skills required to manage and empower others to follow suit in driving toward common business goals. The business unit leader role introduces increased complexity and responsibility for a broader and more dispersed workforce that requires higher levels of people leadership — including influence over others and the ability to manage talent. In contrast, the role requires less hands-on involvement with actual execution.

"Business unit leaders tend to be all about driving for results, with more than 80 percent routinely getting the job done and setting high personal standards of performance. After all, it's what got them where they are and what's made them successful in their careers up until this point," said Stu Crandell, senior vice president, PDI Ninth House, a Korn/Ferry company. "While drive for results is an essential competency, it can only take a leader so far, and must be accompanied by an ability to structure the work and move others toward the same execution goals. Otherwise, you're like a team captain without players, and you can't possibly score all the points yourself — it's not a sustainable way to operate." 

The research found that only 28 percent of the executives effectively delegated responsibilities to the lowest appropriate level, and most — 61 percent — fell short when it came to anticipating problems and developing contingency plans. The Pulse research also showed weaker performance in areas such as influencing others, as well as adapting their leadership style to the situation, anticipating and dealing with resistance to change, and anticipating others' positions.

The Pulse research also suggests that a strong focus on results may come at the expense of planning for the future, including building talent and encouraging innovation. As a result, business unit leaders' skills in building talent, including giving feedback and providing developmental assignments, are among the lowest-rated skills, and only 30 percent are strong at creating an environment that encourages innovation and risk-taking and aids with development.

The Pulse research suggests that as business unit leaders' scope of influence and responsibility increases, they have more people to engage with, but less time to establish deep connections. As a result, their ability to engage and influence others quickly becomes more critical, along with the need to make decisions that lead to business outcomes for which they will be held accountable.

The research also indicates that leading with courage is a skill critical for success in the business unit leader role, and one for which those leaders surveyed displayed mixed capabilities. Leaders must be able to lead with courage and make decisions that have broad and direct implications for the organization as a whole, and influence others to follow and believe in those decisions.

"Business unit leaders must operate successfully under the microscope, which is a lonely position, where their results are visible to everyone and directly tied to business success," said Crandell. "The biggest keys to their performance are not only their ability to get results, but also their ability to direct others to drive toward a common goal, coupled with the courage to take risks and influence others to follow suit."

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About the Research:
The PDI Ninth House Pulse on Leaders research examined 7,000 leaders from around the world to uncover critical factors that affect the transition into the business unit leader role. This data was gleaned from multi-rater feedback, the leaders' direct supervisors were asked to indicate the relative importance of various competencies, and then the leaders' actual skill levels were rated by their supervisor, direct reports, and peers. The data were collected as part of a leadership development program sponsored by the organization where the leader was employed.

About PDI Ninth House, a Korn/Ferry Company:
PDI Ninth House, a Korn/Ferry company, is the world's premier global leadership solutions company. For more than four decades, we have provided integrated assessment, development and coaching solutions around critical leadership and business challenges that most directly impact each leader's success and the success of their organization. For more information, contact PDI Ninth House at 1.612.339.0927 (in the U.S. 1.800.633.4410) or visit its website at www.pdinh.com.

SOURCE PDI Ninth House, a Korn/Ferry company