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Is Leadership Development Worth the Investment?

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Is Leadership Development Worth the Investment?

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Is leadership development worth the investment? Studies show that leadership development yields results in financial performance, talent attraction and retention, organizational agility, and employee productivity.

Get started today: http://bit.ly/WileyLeadershipChallenge

Is leadership development worth the investment? Studies show that leadership development yields results in financial performance, talent attraction and retention, organizational agility, and employee productivity.

Get started today: http://bit.ly/WileyLeadershipChallenge

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Is Leadership Development Worth the Investment?

  1. 1. YES LEADERSHIPDEVELOPMENT: WORTHTHEINVESTMENT? STUDIESSHOW THATLEADERSHIP DEVELOPMENTYIELDSRESULTSIN: EMPLOYEE PRODUCTIVITY ORGANIZATIONAL AGILITY TALENT ATTRACTION ANDRETENTION FINANCIAL PERFORMANCE Companieswithhighscoresfortheir investmentsinhumancapitaldelivered stockmarketreturnsthatwere5times higherthanothercompanieswithless emphasisonhumancapital. (Stockpricesof11publiclytradedfinancialservicesfirms.) 3 $1spentonleadershipdevelopmenthas shownareturn-on-investmentof$2.20.2 Companiesthatexcelinleadershipdevelopmentexperience substantiallyhigherrevenuegrowthandprofitmargins.1 FINANCIALPERFORMANCE Internalcandidatesalreadyknowtheorganizationandhowtonavigateit. It’sdifficultandcostlytorecruitoutsideleaders tofillkeypositions.3 Providingleadershipdevelopmentforinternalstaff ismoreeffectivethanhiringexternally. TALENTATTRACTIONANDRETENTION comparedto ofcompanieswithstrategic leadershipdevelopment respondrapidly tochange 86% 52% withlessmature leadershipprograms3 Whenfacingchangesinthebusinessenvironment(e.g.,organizational transitionsfrom growth,acquisitions,reorganization),companieswith ORGANIZATIONALAGILITY Organizationswithleadershipdevelopmentenjoythesehigheryieldsduetotheireffective leaders,andalleffecttiveleadersdemonstratetheTheFivePracticesofExemplary Leadership® . Thebestleaderselicit3timestheamountoftalent,energy, commitmentandmotivationfrom employeescomparedtotheir counterparts.4 GREATERPRODUCTIVITY LEADERSHIPDEVELOPMENTISWORTH THEINVESTMENT. TheLeadershipChallengeisaglobalcampaigntoliberatetheleader ineveryone.Learnmoreaboutittoday. LeadershipChallenge.com 1 BostonConsultingGroup.“From CapabilitytoProfitability:RealizingtheValueofPeopleManagement.”AccessedOctober1,2014. http://www.ihrim.org/Pubonline/Wire/Sept12/BCG_From_Capability_to_Profitability_Jul_2012.pdf 2 ASTD.“UsingLeadershipDevelopmenttoBoostReturn-on-Investment.”AccessedOctober1,2014. http://www.astd.org/Publications/Magazines/The-Public-Manager/Archives/2012/Summer/Using-Leadership-Development-to-Boost-Ret urn-On-Investment 3 CenterforCreativeLeadership.“LeadershipDevelopment:IsitWorththeMoney?”AccessedOctober1,2014. hhttp://www.ccl.org/leadership/pdf/news/EFMD09LeadershipDevelopment.pdf. 4 Kouzes,JamesM.andPosner,BarryZ.GreatLeadersMakeGreatWorkplaces.SanFrancisco:Jossey-Bass,2013.

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