Derivative leadership – developed out of an organization’s native workforce, is only going to be as enriched as the source it accesses. That is, it would be ordinarily far-fetched to assume a CEO may evolve out of a workforce primarily comprised of “ants” – workers: blue collar, entry level or otherwise just about anyone that does not have an aptitude for overseeing.
A good analogy can be derived from an eastern saying about an ancient town – with an overwhelmingly blind population. The best they would ever elect as mayor – from among themselves – was to be a cyclops. Fortunately, for companies – the choice does not have to be restricted to residents (or existing employees).
Organizations of all kinds and sizes on the other hand, compromised of an eclectic mix of employees- stand a better chance at being spared an outside planting. A healthy gradient of skills and abilities in a company would immensely increase their chances of producing a CEO.
Therefore, composition is the single biggest factor behind determining if a CEO could evolve out of the existing workforce. The years of management training and the exposure that a position – with scores depending upon – requires may very well have to be just “outsourced.”
A leadership factory would be any space that places value in developing leadership qualities and nurtures the spirit of leadership. There would not be a better place to work – even if someone characterizes themselves as a “non-leader.” Leadership is growth – it is fulfillment. Even in the absence of an ambition to lead, being surrounded by a culture of positivity – good leadership is always contributive, is beneficial (Low T. O., n.d.).
A few of the best supporting points would include a mature and smooth administration, a chance to learn and train and of course opportunities that the position brings.
One of the most well renowned and talked about “leadership factories” could be GE while under Jack Welsh. The number of leaders that left GE to become corporate heads in some of the biggest and highest ranked Fortune 500 companies stands at 26 (Malik, 2010). It is estimated that within GE’s ranks at this time, there could be as many as 50 more executives that could lead Fortune 500 companies at this time (Malik, 2010).
The turf for many of these people came with their position.
Deriving upon the points in the second part of the question – the answer would favor the company producing CEOs more often. The biggest reason of course would be the mitigated prospects in the company that cannot evolve CEOs. An inferior culture would be an iffy deal even with a raised pay package.
Another issue for me personally would be a homogenously talented workplace. There are valid doubts over what set of tools are made available to nurture the quality of leading.
Ultimately the lack of prospects or the perception would point me toward the company producing CEOs more often.
The data makes it apparent that there is less emphasis on leadership development in the company with a lower rate of CEO production. Putting aside individual learner characteristics if the companies are fairly large, it boils down to the quality of the leadership nurturing program and the support from the management – both crucial for fostering leadership. In this case there is a clear need for improvement for the inferior company.
It may be very easy to overlook the need for developing or emphasizing on developing leadership qualities. In many settings the need is substituted by a complacency: that qualities would be learnt over time or by according a post more powers – to brute force the “leadership effect” (Baldwin and Ford 1988).
Thus the credence to the value of leader selection and leader development is obvious. While it may require diplomacy as much as execution, a leader leads by example. And there is no better that one that’s homegrown.
- Low T. O., Jonathan. (n.d.). Leadership development and the cliche – how the cliche perception has injured leadership factories . Ezine Articles, Retrieved from http://ezinearticles.com/?Leadership-Development-and-the-Cliche—How-the-Cliche-Perception-Has-Injured-Leadership-Factories&id=3924400
- Malik, Mohit. (n.d.). The leadership factory .Business Week, Retrieved from http://www.businessworld.in/index.php/The-Leadership-Factory.html on January 2, 2010
- Baldwin, T. & Ford, K. (1988). “Transfer Of Training: A Review And Directions For Future Research’, Personnel Psychology, Spring, Vol. 41 Issue 1.