Leadership and resilience in times of culture crisis
The shifted nature of work as a result of the Covid-19 pandemic has led many companies to rethink their culture.
For CFOs, their traditional role has changed to incorporate fostering a good company culture as a priority.
Malcolm Finn. D.Phil, FCA, MBA, shared some reflections on what is important for CFOs to consider at the World Finance Forum in London.
The right mindset
Acknowledging that the world is, without dramatization, in a time of multiple crises is a good place to start when rebuilding a strong cultural framework.
There are political issues that have become more important for companies to take a stand on, the imminent threat of climate change forcing organizations to take sustainability seriously, and the ongoing Covid-19 pandemic which is posing a unique range of challenges as well.
Permeating both the political and working world is that we are now a truly digital society. The latest addition to the workforce has never known a time without technology as a necessity.
For the generation of decision makers and C-suite executives, their own skill sets have had to adapt to be able to operate in a digital environment.
| Basic digital literacy | Technology know-how | Mindset and behaviours |
To successfully work in a digital environment the core competencies include:
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Deeper expertise is required for:
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To thrive in a digital environment, that next step involves:
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Malcolm also highlighted that alongside a set of core digital competencies as the basis for understanding the digital world, a growth mindset is also vital.
Connecting the individual and organization
Company culture is much more than the often troped ping-pong table and pizza party.
Giving employees actual value, both financial and as a human being, is the new bare minimum.
Again taking an academic approach, Malcolm broke down the cognitive reasoning behind forming great connections between an individual employee and the organization.
Delving into three key areas, here’s how he unpacked ‘the individuals’ needs from and in the workplace.
| Existence and humanity dependent on intimacy | Happiness in the workplace | Positive outcomes when the individual and organization are aligned |
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From the perspective of a C-suite executive, having a high level of mental complexity meant being more effective in the complex world.
They were there to; challenge processes, inspire a shared vision, manage conflict, solve problems, delegate, empower, and build relationships.
However there is now more of an emphasis on a more reflective approach to leadership.
Kets de Vries wrote in 2020 that the reflective leader has to be able to navigate:
- Complexity
- Care
- Courage
- Critical thinking
- Confidence
- Communication
- Compassion
The final C is arguably the most important. Compassion, that humanizing trait, is going to be the key differentiator between a modern leader and an undesirable one following the outdated model of leadership.
Giving people a sense of meaning is going to be the next step in empowering employees.
A sense of meaning includes a sense of:
- Purpose
- Competence
- Belonging
- Control
- Transcendence
CFOs have been honest about their difficulties in adapting to a work environment where mental health, race, gender, and other issues are spoken about openly.
Letting the outside world into the business, with the lines between the two being blurred by the working from home era, is going to be key to employee happiness and retention.
The modern CFO is going to have to be more resilient, not just in the traditional sense of ensuring business resilience, but in instilling a culture that capitalizes on difference.
