The need for global leadership is transforming the way organizations must think about leadership development. And one of the most important ways to develop strong leaders is through an effective global leadership development program.
Yet, 78% of HR professionals see their leadership and career planning systems as only moderately effective or worse.
While there may not be a set template that works for every corporation, there are guiding principles that can help you launch an effective global leadership development program in your business to set you up for the future.
We talked with Dr. Wolfgang Schmitz, global leadership expert and CEO of the European Academy for Executive Education (eurac), to discuss the five steps to launching an effective global leadership development program in your business.
The 5 Steps to Launching an Effective Global Leadership Development Program in an Organization
Successful leaders must embody many skills and be capable of actively cultivating these skills in difficult and challenging scenarios. Leadership development, then, focuses on the “internal and personal development of the individual leader” and trains potential leaders to reach their true leadership potential.
In order to create an effective leadership development program, Dr. Wolfgang Schmitz recommends five key steps to follow in order to help your global leaders succeed.
Here is how eurac builds effective programs:
- Step 1: Define Goal & Goal-required Competences. eurac works with the company or the decision-maker at the company to define the goals the leaders shall achieve, and then to define the competencies these leaders must have in order to accomplish set goals.
- Step 2: Pre-Assessment of Leaders & Evaluation of Current Abilities. eurac evaluates the leader’s current abilities and compare those to the competencies which are needed to achieve set goals. We use four categories & 16 dimensions to evaluate and compare these abilities.
- Step 3: Create Individual Goals: eurac dives into global leadership development by filling the gap between the current competencies that the leaders hold and the competencies required to carry out the job effectively. The leadership development training is always goal-oriented, and often takes the form of coaching or in-person training. However, training is easier to do if companies have the means and budget to send people around the world. Yet, even if they do, it can be difficult to train effectively because of time restraints. Therefore, eurac is developing an e‑learning platform to make it easier for companies to overcome these restraints in the future.
- Step 4: Post-Assessment. Once the training is complete, eurac reevaluates the leaders’ abilities and measures their improvements. We assess their competencies and skills again to decipher improvements.
- Step 5: Create a Supportive Action Plan to Achieve Goals. We intentionally put the leaders into highly challenging situations to assess their training in real life. For example, we’ll send them on a business trip from the US to Mexico and evaluate their performance.
According to Dr. Schmitz, these are the steps eurac always tries to follow; additionally, there are important best practice principles to keep in mind during the training.
Best Practice Principles for eurac’s Global Leadership Development Program
Here are the best practice principles the team at eurac follows to achieve optimal results when helping an organization set up a customized global leadership development program:
- Get the CEO’s commitment: If we don’t have 100% commitment and engagement, the training won’t be effective. We need total commitment or else there’s no point in proceeding.
- Strategic orientation: We must follow the strategic path set out by the company itself. Ultimately, it’s up to the company to decide how they want to benefit from our system, and not for us to decide for them. Once they lay out a path, we can work within their structure.
- Managers’/Leaders’ involvement: All selected leaders must join everything and cannot pick and choose what parts of the training to participate in. Companies can choose between one-on-one coaching and consulting, as well as group training, so we must choose goals and objectives at the outset that work best with the leaders we are training.
- Clear and relevant program goals and objectives of the organization: Everything must be measurable. We decide what the company’s goals are and measure our results based on these pre-set objectives.
- Participation selection: We select who should take part in the program based on the overarching company goals. Not everybody is cut out for the job based on the pre-set goals, so we must choose only those who fit.
- Integrated assessment: We conduct a comprehensive assessment based on the individuals chosen for the program.
- Thorough prep process: We make sure we are prepared and have covered everything in full before we dive in.
- Pre-entry feedback & coaching session: We meet with the participants individually and share with them our competence evaluations at the outset.
- Coaching & peer coaching: We set up sessions in which the leaders can learn from each other. When we figure out a common problem or theme that they share, they can learn best from each other based on these shared experiences.
- The “Try” experimental approach: We try to incorporate action with experimental learning. It’s not always possible because of physical distances and time differences, but we always try.
- Reflective learning (journaling): Everybody writes a ‘diary’ type of reflective thought journal with a coach to track progress.
- Build social capital: Social capital describes the personal relationships within a company that help build trust and respect among employees, leading to enhanced company performance. We build this through networking.
- Online and one-on-one follow up: We follow up individually with each participant to discuss their progress.
- Evaluation: We do a thorough evaluation at the end of the program.
For more information on global leadership development best practice, don’t miss this case study by Salicru, Wassenaar, Suerz, and Spittle.
Overcome the Main Challenges in Setting up a Global Leadership Development Program
Choosing an effective program can be more difficult than it seems. Here are nine main challenges that Dr. Schmitz feels corporations face when deciding which program to move forward with:
- Generic program content: Outdated content that doesn’t take into effect how technology has changed the global business landscape that won’t do much to help you reach success in today’s climate. Or, if the content is up to date, it’s too generic and geared toward domestic leaders, rather than realizing the global landscape of the modern world.
- Programs that aren’t scalable: If you create or choose a top-rate in-house program, you may have success inside your domestic organization, but will have trouble when attempting to scale globally. Some of your leaders will benefit, while others will be left behind.
- Too much reflection with no application: Talking about effective leadership and the principles behind it is a great starting place, but applying it via a thorough curriculum is the only way to truly learn. The focus should be on actionable, rather than philosophical, development.
- Ignoring the impact of company culture: Don’t forget that your leaders will need to be able to proactively apply their newfound skills to your pre-set company culture and values. Be wary of picking a course that strays from what’s important on a fundamental level to your organization.
- Not tracking the real-life results: The only way to truly understand if a program was successful is to track the results. There’s little value in sending employees through a program if you don’t plan on measuring the outcomes and how your potential leaders are doing in the real world.
- Context is overlooked: Some programs say they help global leaders when in fact they’re tailored more for domestic leader training.
- Decoupling / Reflection from real work: The program can’t stray too far from your actual work or else it will be too theoretical and not practically useful.
- Underestimating differing mindsets — Never believe that others will intuitively understand what you are teaching. In reality, across cultures, our mindsets innately differ and thus the way in which we process information varies. Be aware of this and choose a program that takes cultural differences into account.
- Failing to measure the results: Measuring results is more than simply evaluating if a leader seems to be doing better. There must be a concrete system of measurement in which to evaluate leaders on post-program completion.
Dr. Schmitz also mentions that it’s important to look at the Six C’s of Harvard Business, who have worked with more than 100 large global companies to design and deliver global leadership development programs spanning more than 65 countries.
Based on these experiences, they believe you need to consider the six C’s, which will help you define a leadership development program that will help your organization achieve its global business goals
- Context - What is the right context for your program?
- Content - What is the right content for your global leadership development program?
- Culture - How much should local/regional culture influence the design and implementation of your program?
- Cohort - What is the best cohort of learners to participate in your global leadership development program?
- Communication - Should you standardize the language of communication among leaders to facilitate their development?
- Connectivity - How can you promote maximum connectivity among learners to facilitate learning and collaboration?
Keep these in mind as a template for how to avoid the above challenges when searching for a program that best fits your business.
An Insightful Example of a Challenge and how it was Overcome
IBM launched a company-wide initiative in 2008 to give its future leaders the kind of experience they needed to develop skills and perspectives to effectively address the challenges of the global marketplace.
In this program, the leaders learned how to be more cooperative, power through cultural differences and become more globally connected. IBM achieved fantastic global performance because of this and transformed itself into a real global enterprise.
You could say this was completely successful. But the challenge was that at the very beginning, they had no clear process. Many leaders within the program were not pre-assessed. They knew what they wanted to achieve, but the leaders did not have the individual strengths necessary to easily achieve the goals.
IBM spent millions of dollars trying to get the right set of peers together to get the right training. “Designing is everything,” says Schmitz. The better your plan from the get-go, the fewer issues and costs you’ll have throughout the process and at the end.
In the end, IBM overcame this challenge by creating specific trainings and following clear steps/principles to make sure they evaluated the trainees at an individual level to set them up for optimal success.
Not all Leaders Are Cut Out to Be Global Leaders
It’s important to evaluate whether all types of leaders can become successful global leaders. The answer, most likely, is no. Some people may not be able to achieve leadership on a global scale. For a global leadership development program, you must exclude these people from taking on global leadership roles, and carefully select people through pre-evaluation steps in order to end up with successful leaders.
There are no clear studies yet in place to measure predisposition for success. Most importantly, unless a person is open to expanding their mindset and learning open-ended rules that span across cultures, their chances of success are very slim.
In theory, all people can succeed in a global leadership role. In practice, we have yet to see this.
How Long it Takes to Set Up a Global Leadership Development Program
Dr. Schmitz says, on average, eurac needs 5 – 6 weeks to prepare a program. After that, things depend on the size and goals of the company, but also on a myriad of other details that are difficult to predict and thus make it difficult to give a specific time frame. Each organization is so different, that the time it takes to implement a successful global leadership development program also differs every time. For medium-sized companies, it can take anywhere from 6 months to a year, on average.
The eurac team is incredibly experienced in running an effective and successful program, for example with Adidas, Daimler, Nestle, Siemens, and SAP. eurac managed to individualize these programs to be tailored to each company’s specific needs and desires. But in order to have a successful program, the participants must be willing, open-minded, and excited to learn. Otherwise, no matter how well the program is structured and thought-out, global leadership development won’t be successful.
Learn more about eurac’s Global Leadership Development Program here or sign up for our weekly newsletter to receive our weekly news, trends, updates, and articles about global leadership straight in your inbox.