Are You a Strategic Leader?

You may be hearing lots of talk about the importance of being a good strategic leader. However, if you scratch below the surface, it turns out that the traits that make a good strategic leader are the same time-tested abilities leaders have always needed. Let's explore what these are.

Leaders look for trends and opportunities. No one can know or monitor everything, especially in this rapidly changing world. Market research can help. Leaders execute research by creating a network of stakeholders — employees, customers, competitors and centers of influence — who keep them in the loop about what they are doing right, where they can improve and what is happening in the industry.

Here are two additional ways to approach this type of market research:

1. Form an advisory board that includes members from outside the company. This board can bring a different perspective, helping leaders assess and reassess the company's long-held beliefs. The board can also help leaders set realistic strategies that are sustainable into the future.
2. If big customers are in jeopardy, meet with them to discuss why they are leaving. Even if the company cannot remedy the situation and the customers are lost, leaders can use the opportunity to gain insight into what other customers may be thinking and make adjustments accordingly.

Leaders have the skill and strength to communicate effectively. Good leaders understand that it is essential that all stakeholders know what the business's goals are and how they will be accomplished. Leaders know that mindreading is impossible and that assuming people know your thoughts frequently leads to failure. Instead, leaders communicate with and gain buy-in from different stakeholders. This requires communications geared toward gaining and maintaining trust. It additionally requires using all methods available: proactive and responsive, in person and remote, spoken and written, and so on.

An effective way to communicate transparently is giving stakeholders the ability to voice their opinions. Consider this example: The leader wants to expand the company but other stakeholders feel the timing is wrong. The communication chain should start before any steps have been taken so that an open discussion about the pros and cons can take place. The leader's mind may not change, but all parties will feel their opinion mattered in the decision-making process.

Leaders have a good attitude toward "failure." No business has a record of 100% success. While no one seeks failure, what really matters is how company leaders handle setbacks when they do happen. Instead of blaming others, leaders work to figure out what went wrong. Under this kind of leadership, a business will foster a culture that values learning and innovation, which helps create a company culture in which mistakes are not repeated.

These three categories are intentionally broad. As leaders dive more deeply into strategic thinking and acting, they will uncover different aspects of their leadership style, how that style impacts company culture and how they can be better leaders.