“You are a leader if what you do encourages others to dream bigger, learn more, do more, and become more.” Adams, John Quincy.
Have you ever wondered who is responsible for a significant change that a firm makes? When the business climate shifts, who starts working right once to help a company adjust to the new conditions? Executive leadership is responsible for this.
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In order to ensure that the trip and the goal are both successful, Executive Leadership include directing the organization’s decision-making processes. Similar to captains at a ship’s wheel, leaders play a crucial role in controlling an organization’s course.
Let’s examine the fundamentals of executive leadership in this blog, including their roles, teams, and what makes them exceptional.
Executive Leadership: What Is It?
A company’s top-level management is referred to as executive leadership, and it frequently consists of members of the C-Suite, including the Chief Executive Officer (CEO), Chief Financial Officer (CFO), and Chief Operating Officer (COO). These executives are in charge of making crucial choices, determining the general course of the business, and making sure that everyone in the team is pursuing the same goals.
To put it simply, executive leadership is an organizational leadership style that functions at a higher level inside the company. A company’s executive leadership is its foundation. A company’s demise might result from incompetent leadership at the top. About 70% of workers are considering or searching for a new position, and one in two employees left their positions as a result of poor leadership, according to Gallup. Effective leadership, on the other hand, increases profitability by 21%.
Executive leadership now consists of a group of seasoned experts rather than an individual. Let’s examine the members of this team.
The Executive Leadership Team: What Is It?
An executive leadership team (ELT) is a group of top executives in an organization who are in charge of setting the company’s general course and making strategic choices. The CEO, CFO, COO, and other key executives are usually included in an executive leadership team, however the exact makeup may differ based on the organization’s size, sector, and organizational structure. One may argue that members of the C-Suite and other senior executive positions are included in the ELT.
Together, the ELT tackles obstacles, seizes opportunities, and makes sure the business runs effectively and in accordance with its strategic aims. They have a variety of duties, including as managing the budget, making financial decisions, and setting and carrying out both immediate and long-term objectives.
Let’s examine these duties of a successful executive leadership team in more detail.
The Executive Leadership Team’s Duties and Functions
The Executive Leadership Team is principally in charge of guiding an organization in the proper direction by combining the well-known “people, process, tools” or PPT paradigm. Often referred to as the Golden Triangle structure, its power is in seeing how these three elements are interrelated. The key idea is striking a balance between each component to provide a solid basis for organizational change.
The PPT model states that executive executives’ responsibilities include uniting all team members (people), establishing effective procedures for them to follow, and giving them the tools and technology they require.
The Executive Leadership team uses this approach to carry out the following tasks:
1. Establishing a strategy and vision
Executive executives are in charge of establishing an organization’s long-term vision and strategic objectives. To create a vision that complements the overarching goal, they should have a thorough awareness of the market, the industry, and the advantages and disadvantages of a firm.
One such example is Steve Jobs, who co-founded Apple Inc. Jobs envisioned a time when technology would be a natural part of our daily lives. Apple launched ground-breaking devices under his direction, including the iPod, iPhone, and iPad. In addition to being technological innovations, these goods were so productive and easy to use that they were incorporated into people’s daily lives all around the world. The most famous example of Steve Jobs’ vision being realized is the debut of the iPhone.
2. Recognizing and Developing Talent
It is the responsibility of executive leaders to create and nurture a high-achieving team. This entails locating people who possess the necessary abilities and potential, offering chances for career advancement, and encouraging lifelong learning and development.
Let’s use Sheryl Sandberg, the COO of Facebook, as an example to better grasp the role senior leaders have in spotting and developing potential. Sheryl’s talent management abilities have earned her recognition. The team was not fully formed when she joined Facebook as COO, and the firm was still expanding. Both inside and outside of Facebook, Sheryl promoted the creation of “Lean In Circles.” These circles are small gathering places for those seeking professional growth, support, and mentoring. Establishing a community that encourages development and self-determination is the aim. In order to provide guidance and assistance, she even started her own non-profit organization, LeanIn.Org.
3. Establishing the Culture of the Company
The values, customs, and moral conduct of an organization are shaped by its executive executives. Strong corporate cultures encourage collaboration, employee engagement, and a feeling of purpose, all of which support the success of the organization as a whole.
The late CEO of Zappos, Tony Hsieh, was renowned for his dedication to creating a distinctive and upbeat corporate culture. Under his direction, Zappos became known for having a dynamic and customer-focused culture because of his emphasis on fostering an environment where workers felt appreciated and empowered while also placing a high priority on customer service and corporate principles.