When I first entered the world of work, a leader’s (or manager’s) role was focused on tasks: setting and managing work to achieve the team’s objectives for the day, month or year.
Today’s working world could not be more different. According to research from PR firm Edelman, 75% of us trust our employer more than we trust politicians. And, beyond being safe and paid fairly, employees now expect continuous learning, a talent strategy that focuses on developing workers rather than replacing (or outsourcing) them and an inclusive, diverse workplace that provides a sense of belonging. People are demanding more from their work and expect a lot more from their leaders.
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And as organisations compete for talent, businesses that provide a great place to work with brilliant leaders will build a workforce that helps them win. Demand for soft skills such as empathy and coaching is now outpacing technical skills like data analysis and project management with a doubling in demand for leadership empathy skills in just one year . It’s no coincidence that Aviva is delivering strong results at the same time our engagement scores are at record highs.
Great leadership is a strong predictor of an organisation’s health
Let’s remember that the expectations are higher than ever for businesses too. Customers want new products, better experiences and brilliant service, so organisations need to deliver for today and transform for tomorrow.
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Only 12% of businesses undertaking a transformation sustain their performance levels over three years according to McKinsey. The difference between those that do and those that don’t is how well leaders engage and develop their people, foster continual improvement, and prioritise decisively. Organisations with leaders who take decisive action are over four times more likely to be healthy than their peers, according to the Financial Services Skills Commission membership survey.
We can’t expect leaders to develop these skills on their own. Investing in leadership skills and development is critical for organisations that want to pull off the tricky task of maintaining performance while completing a transformation. Last year in Aviva we delivered programmes to over a thousand of our senior leaders, designed to help leaders take accountability, make bold decisions and boost performance and we support this with further bite size learning opportunities.
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Alongside this we give leaders the tools to support their teams properly, from our family friendly policies to volunteering opportunities within our communities and access to learning through Aviva University.
And the impact on leadership at Aviva is clear. In our 2024 colleague engagement survey, our Leader Effectiveness Index ranked at 88% (2023: 84%), with caring about health and wellbeing one of the highest scoring leadership traits – 91% (2023: 88%). Overall employee engagement sits at 91% (2023: 88%, 2022: 86%).
The world of work and the expectations of leaders continue to evolve. Organisations can meet this challenge by developing the brilliant and supportive leaders that today’s workforce demands and that will help businesses succeed through their people.
Danny Harmer is CPO at Aviva
