UK Training Industry Press Releases

• ILM Creating Future Leaders report reveals major skills gap in senior management teams
• Employers ambivalent towards the value of MBAs for business
• Employers want the ‘whole package' from future leaders

There is no substitute for failure when it comes to identifying and developing great leaders, according to research published today (05 October) by the Institute of Leadership & Management. The report, Creating Future Leaders, reveals that a quarter of employers (24%) look for candidates who have experienced failure and bounced back from difficult challenges when identifying their next generation of leaders.

The Institute of Leadership & Management (ILM) asked HR professionals from commercial organisations, the majority of which employ over 1,000 staff, their views on their current senior management teams, how they identify and develop potential future leaders, and what aspiring leaders can do to improve their career prospects.

It found that a worrying 94% of respondents believe their senior management lack essential leadership qualities and require development in these areas. The ability to motivate (36%) and emotional intelligence (34%) were seen as the most important characteristics for effective leaders.

Penny de Valk, Chief Executive of ILM, said: "Our research shows the value employers place on experiencing failure. A path of unbroken success on your CV suggests a manager hasn't really been tested. But failure is not something we're particularly comfortable with in the UK, it is not seen as a rite of passage". 

De Valk continued: "It is also a real concern that such a high proportion of HR professionals believe their senior teams are falling short. This leadership skills gap is holding UK businesses back. We need to get better at developing these essential people leadership capabilities, such as the ability to motivate, alongside the ‘harder' technical, professional and commercial skills."   

Creating Future Leaders looked at how much value employers placed on an MBA when recruiting future leaders. 68% percent considered the qualification to be of low importance in the recruitment process and the majority (84%) were ambivalent about their effectiveness in developing the required characteristics of future business leaders. Nearly a third of respondents deemed the MBA ineffective at developing personal characteristics.

Talking about the value of MBAs to employers, Penny de Valk, said: "It is clear that employers do see the value of the MBA to an individual's professional development, and it is considered effective in developing a theoretical understanding of business and expanding personal networks. However, the value of MBAs to organisations is less clear. The people we talked to highlighted that they want flexible and bespoke training that is tailored to their business and reflective of the organisation's specific needs.

"Employers want value for money and a real return on their investment in management development that translates into results in the workplace."

Other findings

• Over half of employers (54%) saw a deep understanding of broad business issues and commercial acumen as essential qualities for future leaders.
• 36% of employers highlighted the ability to understand, inspire and motivate people as key.
• High levels of emotional intelligence and people skills were considered vital (34%).
• Natural leadership ability, trustworthiness, communication skills, vision and drive were identified as important leadership qualities.
• Overall, the most important characteristic identified was the ‘whole package' - leaders who are multifaceted and possess a combination of industry knowledge, commercial acumen, resilience, drive and self-awareness.

"Career success is dependent on a manager demonstrating and developing a rich palette of knowledge, capabilities and personal attributes," said de Valk. "This requires a commitment from both the individual and the organisation to ongoing development at every stage of their career."

Ends/..

For further information or copies of the full report please contact:

Ellie Backhouse or Scarlett Yianni at Colman Getty:

020 7631 2666 / ellie@colmangetty.co.uk / scarlett@colmangetty.co.uk

Spokespeople available for interviews (contact Colman Getty):

• Penny de Valk, Chief Executive, ILM
• David Pardey, Head of Policy and Research, ILM

Notes to editors

The Institute of Leadership & Management (ILM) is Europe's leading management organisation. We believe that good leadership and management holds the key to organisational effectiveness and social and economic prosperity.

Our fast-growing community of over 30,000 practising leaders and managers, gives us a real insight into the issues affecting the management community day-to-day, both in the UK and globally.

Each year we help over 85,000 practising and aspiring managers to fulfil their potential and achieve success through a range of flexible leadership and management development solutions.

Backed by an in depth programme of research, ILM operates internationally, improving leadership and management skills, across all sectors, from financial services to the armed forces.

Institute of Leadership & Management (ILM) www.i-l-m.com

About the research

Methodology

The Creating Future Leaders report is based on the findings of a qualitative survey of senior HR directors working in the private sector and not for profit organisations, conducted by research consultancy FreshMinds in March and April 2010, and commissioned by the Institute of Leadership & Management.

ILM commissioned FreshMinds Research to conduct qualitative research to understand what organisations look for in their future business leaders and senior managers, and what development opportunities exist to prepare them for their roles.

During March and April 2010, FreshMinds successfully completed 50 telephone interviews with HR directors, senior HR managers, heads of talent, and heads of learning and development. The research sample included 48 respondents from private sector businesses and two from not-for-profit organisations which operated in a similar manner to private sector companies. Respondents came from a wide spread of industry sectors, organisation sizes and areas of operation.

Scarlett Yianni
Senior Account Executive - Campaigning
Colman Getty Consultancy

scarlett@colmangetty.co.uk
www.colmangetty.co.uk

Tel: 00 44 20 7631 2666
Fax: 00 44 20 7631 2699