Modern leadership is based on soft skills such as appreciation, agility and trust. Generation Y and Z employees in particular expect lean hierarchies and personal responsibility. In addition, they have grown up in an era in which sustainability and environmental protection have taken a central place in society. As a result, most applicants no longer just look at salary and the number of vacation days when choosing their employer, but also at the company's commitment to sustainability. Customers are also increasingly looking closely at the company behind the yoghurt in the chiller cabinet. Sustainable leadership doesn't just mean planting trees at top management level to offset CO² emissions; the issue must permeate the entire company, right down to the doorman. New skills are needed for sustainable leadership - we have looked into the question: What is sustainable leadership and how can it be effectively implemented in the company?
In 2021, Odgers Berndtson published its first study on the attitudes of managers towards sustainable leadership qualities. Interviews were conducted with top managers on the following 3 questions:
The result: for 3/4 of those surveyed, sustainability is a duty within the company. However, the commitment usually ebbs away significantly at the second management level and therefore hardly reaches the employees. It can therefore happen that a company presents itself to the outside world as particularly sustainable and environmentally friendly, but there is no real basis for this in its DNA. The result: greenwashing and the risk of considerable damage to the company's image.
The concept of sustainability is a broad field. For companies, however, three aspects of the topic are important and should guide their thoughts and actions. The so-called ESG criteria were introduced by the financial market to help investors find companies that operate sustainably. However, they can be extended to any company:
In business practice, sustainability is often simply imposed top-down. It is somewhere on the agenda and has been given a place in the corporate philosophy. However, in order to position itself on the market as a sustainable company, this attitude must permeate all areas of the company. Managers and employees must change their attitude and develop an intrinsic motivation to come to work by bike instead of in a sports car. Economic success and sustainability are not mutually exclusive. If you want to lead your team sustainably, you should be able to strike a balance between economic success and economic sense.
New leadership skills are needed to establish sustainable leadership in the company. Value-oriented leadership behavior is just as important as the ability to drive innovation and change. The role model function of a manager is not limited to the professional sector. Sustainable leadership ultimately means living the corporate values in everyday private life as well.
Do you need further tips or practical support? Then please contact us.