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Challenges in Attracting Leaders

Even as corporations around the world continue to increase spends towards robust leadership programs, the overall capability gap continues to grow.

Studies show that a significantly large number of companies choose to treat their leadership rather sporadically, focusing only on a few select employees.

Without any long-term investments in leadership and no reliable pipeline at all levels, corporations eventually risk severe talent gaps at the senior management level.

Organizations in India and around the world are now struggling to strengthen their leadership programs but continue to find it challenging to attract, train and retain the most talented individuals for these positions. Here are a few reasons why attracting leaders into businesses is increasingly becoming a challenge –



  • Complications in Recruitment Due to Competition and Technology

Most industries today are experiencing major shifts with respect to new technology and competition. It is becoming increasingly challenging to predict the type of leaders required for the successful future of any business. Executive leadership teams have still not been able to accept that they need to start seeking talent that is different from the existing one to address these industry wide changes. New leaders need to know how the industry is changing and have the capability to handle these changes. This means that leaders need to understand new technology and forecast changes within the industry.


  • New Business Legislations Affecting Company Development and Training

The advent of e-commerce and tech-enabled business practices has significantly transformed the way business is conducted. In addition to this, the growth of newer industries, legislations and codes make it difficult for ill-informed companies to identify the right talent that has a broad understanding of contemporary business environments. For example, the elimination of the traditional bulb gave rise to a whole new industry of alternative energies, boosting other complimentary lines of businesses such as battery development and subsequently bringing about changes in energy codes in every country. It is becoming challenging for companies to find leaders that have the right insight into state and local influences that impact growth of alternative energy as an industry, hereby stunting the development of businesses on the whole.

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  • Lack of Understanding of Key Motivatorsblog5

Many companies fail to understand that potential leadership talent seldom change companies purely on the basis of money. Leaders today are looking for impressive growth opportunities along with a challenging work environment. They change jobs for larger scope, increased responsibility and possibly an equity role in the growth of a company. Most leaders come with the hope of making an impact in an organization. Businesses often overlook these need for a challenge as a factor that is a key motivator for a leader today. This can be overcome by hiring people with the right attitude and ideas to move your business ahead.



Finally, compensation too acts as a road-block in finding the right talent. It is important for businesses to understand industry standards and offer compensation incentives that match. Consider offering stock options, bonuses, equity rights and deferred compensation plans to satisfy the expectations of the leadership talent you want to hire and retain.


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