LeaderSHIFT – Ten Data-Driven Reasons For It
I hate the term “soft skills”. It feels weak or less important than “hard skills.” The fact is, interpersonal relationships and the way in which people interact with each other matter a lot. Gallup found that basically 50% of people leave their job because of a bad manager. That’s fatal to an organization. Yet, the optimist in me gets excited because the behaviors and attitudes that cause that can be improved.
For over 7 years now, Emzingo has talked about LeaderSHIFT. This is our leadership philosophy. It’s the mindset that one embraces if they don’t want to be one of the bad 50%.
What does it mean exactly? Simply put, it is the mindset needed become a Responsible Leader. Someone who buys into LeaderSHIFT understands the path to success in business in the modern world means embracing the “People, Planet, Profit” mantra. LeaderSHIFT creates a positive, innovative, effective workplace culture where purpose-driven employees can thrive. It recognizes that long-term success is dependent on integrating social impact and environmental sustainability into the way the organization operates. And it makes sure money is being made at the same time. LeaderSHIFT is the mindset that guides the WAY you lead.
Conceptually, this is great. When we talk LeaderSHIFT, we get a lot of nods from the crowd. The pushback is always, ‘What’s the business case?” or “That’s great for rich tech firms who need to attract millennials, but that’s not my business”… and a number of other quite logical and fair questions.
Our response: WE CAN’T AFFORD NOT TO BUY INTO LEADERSHIFT.
This list pulls together a few interesting articles and statistics that support our position. More importantly though, we think it is important that data is part of the conversation. A mindset shift and ‘soft’ skills can lead to ‘hard’ data.
1. Women matter. Treat them accordingly.
Lack of gender diversity on Boards costs businesses $665B every year. That’s a lot of dough and very good reason to think about the makeup of your own Board.
2. Employee Engagement Means dollars.
Gallup found that organizations with engaged workforces have: lower absenteeism by 37%; lower turnover by 37%; lower safety incidents by 49%; productivity higher by 18%; profitability higher by 16%.
3. Consumers are speaking with their wallets
Cone Communications reported that 91% of consumers are likely to switch brands to one associated with a good cause given comparable price and quality.
4. Attract and grow top talent.
Purpose is another very popular concept these days. According to an Imperative report, Purpose-oriented workers are 50% more likely to hold a top position. Hiring purpose-oriented employees and helping current employees find that magical alignment of purpose-orientation and job can pay big dividends.
5. RESOURCES ARE FINITE and harder to come by in some places than others
Thirsty? No?…..well, in all likelihood you will be. There will be a 40 percent shortfall between water supply and demand by 2030. This is true from Los Angeles to Rio. We need to act -decisively and quickly.
6. RIGHT TO OPERATE IS NO LONGER GUARANTEED
Environmental regulations are coming. Despite recent blows to Obama’s coal regulation effort and the ludicrous fact that Florida (the Sunshine State) discourages solar power, governments will move towards pro-environment regulations eventually. We can argue about timing, but you’ll be on the wrong side of history if you don’t think this is the direction consumers and citizens will force governments to go.
7. THERE ARE LOW HANGING FRUIT
Take the obvious benefits that come along with environmental responsibility. You’ll save money, waste, water, and energy. These are things like lighting retrofits, smart heating/cooling cycles, and reducing paper use. But don’t be happy with yourself there. Use this momentum to go beyond the low hanging fruit.
8. MISSION ISN’T ALWAYS FIRST IF YOU WANT TO MAXIMIZE IMPACT
The financial part of this multi-faceted bottom line is critical to social success. This may seem like blasphemy for some social entrepreneurs, but social mission should not always be first. An article in HBR cites Endeavor’s work that looked into decision making of entrepreneurs. They found that “those who prioritized financial goals over social ones were more likely to grow their social enterprises and achieve greater impact” … or as they say, “No market, no mission.” This doesn’t say forget about mission. This doesn’t say be a greedy jerk. It just highlights the fact the for-profit social ventures need to remember the profit part.
9. YOU CAN GET TALENT CHEAPER
88% of graduates polled by Net Impact would take a 15% paycut to work for an organization whose values are “like my own”… and 83% would do the same to to have a job that seeks to make a social or environmental difference in the world. And don’t forget the cost of replacing people: 87% of companies reported it costs between $15,000 and $25,000 to replace each millennial employee they lose
10. YOU CAN SELL THE IDEA TO YOUR BOSS:
A 2015 study led by Verizon and Campbell’s soup demonstrated that well-designed Corporate Responsibility programs have a legit R.O.I. These programs can result in an increase in revenue of up to 20%, increase in market value by up to 6%, and increase employee productivity up to 13% (among other things).
- Driving corporate growth through social impact
- New Research: If You Want To Scale Impact, Put Financial Results First
- Working Better
- The Careers of the Founders
- How Do We Close the Wage Gap in the U.S.?