Bron Stephens

Why Authentic Leadership Matters

by Bron Stephens

Leaders who connect with their teams and inspire action are crucial to the success of businesses. Employees’ perception of authentic leadership is the strongest predictor of job satisfaction and has a positive impact on work-related attitudes and happiness.

Research published by the Harvard Business review also shows that most employees believe authenticity in the workplace leads to benefits such as better relationships with colleagues, higher levels of trust, greater productivity, and a more positive working environment.

What you might have missed there is the phrase “employees perception”. According to Goffee and Jones, “A person cannot be authentic on his or her own. Authenticity is largely defined by what other people see in you and, as such, can to a great extent be controlled by you. If authenticity were purely an innate quality, there would be little you could do to manage it and, therefore, little you could do to make yourself more effective as a leader.”

For professionals looking to advance their careers and make a lasting impact in their roles, investing time and effort into becoming an authentic leader can be immensely valuable. But what characterises authentic leadership, and why is it worth pursuing?

Authentic leadership is a leadership style exhibited by individuals who have high standards of integrity, take responsibility for their actions, and make decisions based on principle rather than short-term success. They use their inner compasses to guide their daily actions, which enables them to earn the trust of their employees, peers, and shareholders – creating approachable work environments and boosting team performance.

The key differentiator of authentic leadership is the motivation behind it. An authentic leader strives to create a meaningful relationship with their team as they work towards goals related to their organisation’s mission and purpose – not just its bottom line. It’s the ability to not have all the answers, not be in the drivers seat all of the time and the ability to demonstrate vulnerability and real human emotion.

A great example of this is when an organisation is undergoing significant change and the announcement timeframe has been hurried without all of the details in place (this happens far more often than it should and hopefully isn’t something you’ve ever experienced). Picture these differing approaches:

Leader 1:

I’m excited to inform you that we’re undergoing a restructure starting from next month. I know we always hear restructure and think the worst and this time we’ve really covered all the bases and there’s nothing to worry about.

I don’t have all the details yet and I know we’ll be fine.

We’ve got this team! We can do anything!!!

Leader 2:

As you all know, as an organisation we’re committed to continually improving. We’ve identified that the best next step is to do a restructure in the team.

I don’t have all of the details right now and I can’t tell you exactly what the impacts to each of your individual jobs are. What I can tell you is that I’m committed to working alongside you, hearing your feedback and getting you as much information as I can, as quickly as I can.

Leader 3:

Corporate have announced a restructure starting next month and I have no details or anything.

I don’t know what this means for you or for me. I’ve got a mortgage to pay. This is terrible news and hopefully we’ll get some more information soon.

Which leader would you rather have at the front of the room? More importantly, which leader are you going to work alongside through any changes?

People often get confused about authenticity and authentic leadership in the workplace and can misconstrue it to mean that any behaviour is ok in pursuit of their ‘authentic self’ and being themselves. This is not the case. Workplaces are a melting pot of humanity with a broad and diverse range of people working there, even when there is a dominant demographic, within that there is still a huge range of belief systems and human experiences. This means that as human beings we have a responsibility to be respectful of this broad and diverse range of people and behave in a manner that is inclusive and supportive.

Putting aside the obvious things like bigotry, racism, sexism and all of the other behaviours that are obviously exclusionary. The more subtle distinction is that authentic leadership is not:

 

    • Sharing our deep and personal secrets or personal lives – saying to a colleague that we have a lot going on at home and our resilience is low right now while asking to postpone a meeting is authentic leadership. Sharing that we’re breaking up with our partner tonight and can’t think straight so we need to cancel the meeting is oversharing (unless perhaps they are also a close friend).

    • Declaring we’re overwhelmed, fed up and can’t do it anymore – saying that we’re overwhelmed and need to take a break in a quiet space to think for 10 minutes is authentic leadership. Storming out of the room yelling you’re overwhelmed and can’t do it anymore is low self-awareness.

    • Sharing everything with complete transparency and disregard for the need for confidentiality or corporate governance – saying that there’s some information that is confidential so you can’t share it but that you’ll share everything that you can and that is relevant, is authentic leadership. Sharing your opinion of someone’s performance and what you’re doing to manage their performance to their peers is a breach of confidentiality and trust.

    • Declaring we don’t have the answers and that we have no idea how to make something succeed – saying that you don’t have all of the answers right now and that you’ll be working through this with the appropriate people (hopefully including the listeners) to come up with the answers is authentic leadership. Throwing your hands up in the air and declaring you don’t know and all is lost is poor leadership.

These are all based on real life examples of leaders being ‘authentic’ – usually when they’re just starting to develop their authentic leadership. Please don’t do this!

– Bron Stephens

Authentic leaders begin with the will and commitment to work on themselves and constantly improve. They’re not trying to be perfect, rather, they commit to continuous improvement and a growth mindset. A keen sense of self-awareness is one of the most important traits a leader can possess. Research by consulting firm Korn Ferry shows companies that employ professionals with high levels of self-awareness perform better financially.

Investing in yourself and your learning and development can be a way to acquire the knowledge and skills needed to feel more confident in your leadership role and help your team thrive. Taking part in coaching, online courses or leadership training can also enable you to build a network you can lean on throughout your career.

Cultivating self-awareness can be achieved both by looking inward and engaging in self-assessment, but you can also (and more effectively) achieve it by actively seeking feedback on how others perceive you to help you understand your effect on others.

Leaders who are perceived as authentic aren’t afraid to share that they don’t have all of the answers or that they’re not perfect. By being human, displaying human emotion and sharing this humanity, others are more trusting and more likely to follow their lead. Trying to be perfect or never display any weakness is not sustainable nor admirable in a leader. Vulnerability opens the space for a team to come together and work on a common problem or opportunity as one.

A deep commitment to a purpose is foundational to both authentic leadership and business success. According to a survey by EY and Harvard Business Review Analytic Services, 89% of executives say a sense of collective purpose drives employee engagement, while 84% say it leads to greater success in transformational efforts.

As you progress through the different stages of your leadership trajectory, consider what issues and challenges motivate you to act and empower others to do the same. Understanding your purpose and why you turn up to work every day is a key driver in leadership. Then build on this to connect to how you and your team contribute to the organisational purpose and why this contribution matters.

Without the power to connect people to purpose and inspire leaps of faith, other skills alone won’t bring you the success you deserve as an authentic leader. Investing in your ability to connect yourself and your teams to the organisational vision and purpose will enable you to gain the trust of colleagues and persuade them to believe in and rally is a key aspect of effective leadership.

By being transparent with your teams and tapping into their motivational drivers through storytelling and helping them connect the moving parts, teams will want to follow where the leader is taking them. Don’t get caught up in telling a positive story – tell a compelling one incorporating the three elements listed above! For more on story telling check out our article here.

 

As more organisations commit to purpose and make authenticity a priority in their business strategy and values, enhancing your leadership abilities can be beneficial to your career. With the emergency of AI and an increasingly VUCA world post Covid, employers and teams are looking for leaders who can help them take a leap of faith and be integral to creating a better world.

Regardless of where you are professionally, taking the time to improve yourself, increase your self-awareness, embrace your vulnerability and purpose as part of the story can lead to significant returns – for yourself, your team, and your organisation.

Do you want to enhance your authentic leadership capability? Book a discovery call today to explore our 1on1 coaching and leadership development to learn how we can support you to develop the skills to get things done and bring out the best in yourself and your team.

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