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Why strong leadership is crucial

By Jack Campbell | |4 minute read

It should come as no surprise that effective leadership will have positive benefits on business performance. But just how crucial is it?

According to customer service specialist Monique Richardson, effective leadership is extremely important to almost all aspects of business, especially attraction and retention of employees.

“Leaders play a crucial role in retaining and attracting talent. They can prevent unnecessary departures by ensuring team members feel valued, actively listening to feedback and avoiding burnout,” Ms Richardson said.


“Additionally, providing a clear development path and creating an engaging work environment can reduce the chances of employees seeking external opportunities. Strong leadership also enhances an organisation’s ability to attract top talent.”

Productivity is another area that benefits from strong leadership. This begins as early as the onboarding period, said Ms Richardson.

“Leaders impact on productivity, starting from the selection and onboarding of team members to equipping them with the necessary tools and processes,” she explained.

“By empowering the team with knowledge, decision-making authority, and discretionary spending, leaders foster a sense of ownership and motivation. When employees are satisfied in their work, they tend to be more productive, going the extra mile for the organisation and its customers.”

With this in mind, there are some areas that leaders can build upon to ensure they’re providing the best leadership possible. Taking control of the company and implementing healthy leadership techniques can help a business to thrive.

Ms Richardson commented: “Self-awareness is a crucial trait of effective leaders, enabling them to reflect on their strengths and areas for improvement.”

“Enhancing the ability to listen, along with providing service coaching and regular feedback, presents a significant opportunity for leadership growth. Regular recognition and appreciation serve as vital leadership capabilities that greatly impact morale, motivation, and employee retention.”

Ms Richardson’s views mirror that of TQSolutions general manager Nadine O’Regan, who outlined the importance of effective leadership previously for HR Leader.

Ms O’Regan said: “Effective leadership in business can bolster and promote teamwork, cultivate a sense of greater good, motivate, inspire trust, or provide purpose and direction.”

“It’s really unfortunate that more companies are not equipping, or empowering, or even incentivising their leaders to do that and role model that behaviour,” Ms O’Regan said.

“Companies need to define what leadership actually means to their organisation, and that’s going to be different definitions for different companies. We need to focus our efforts on being more human at work, being more vulnerable, focusing on wellbeing, and leading by example with your people.”

Jack Campbell

Jack Campbell

Jack is the editor at HR Leader.