Why it is important to build diverse leadership teams

London Business School professor Lynda Gratton often shares valuable advice in her newsletter ‘Hot Spots Movement’. In her recent newsletter she recounted three companies (BP, Royal Bank of Scotland and Nokia) she had researched on and how their failure to build diverse, highly collaborative leadership teams impacted on them.

Picture: Gaby Stein / pixelio.de
Picture: Gaby Stein / pixelio.de

This is what she wrote and we thought it is worth passing on to you as a piece of very helpful advice:

“At RBS, CEO Fred Goodwin isolated himself from his colleagues, failed to listen to others and behaved in an increasingly idiosyncratic manner. At Nokia, the senior leadership team was for a long time extraordinarily homogenous (mostly men, mostly from Finland, mostly software engineers, mostly educated in Helsinki) and so failed to spot the rapid consumer developments in the Asian markets, or indeed the accelerating technological and design developments in Silicon Valley. At BP, the difficulties the leadership team had to integrate the US assets and build close collaboration with those that ran the US acquisitions was one reason why safety standards never became globally embedded.”

All these companies felt the impact of their failures and Lynda Gratton concludes how important it is to form leadership teams that think outside the box. She writes:

“Simply put, as the world becomes more complex, so it becomes ever more crucial to put together leadership teams who have sufficient diversity to see beyond the hubris and myopia, and sufficient collegiality to work collaboratively with each other even when under stress.”

 

http://www.hotspotsmovement.com/uploads/newsletters/collaboration-leadership.html

Barbara Barkhausen