LEADERSHIP
helps retain top local talent
Effective leadership development improves retention when it is aligned to organisational needs and culture.
By Mark Watt, Partner at Heidrick & Struggles South Africa
As global companies continue to increase investment in leadership development to strengthen retention, South Africa risks falling behind. Internationally, organisations are upping leadership development spend by an average of 10 % a year, but constrained budgets here have limited similar investment, despite mounting pressure to retain high-performing talent.
In South Africa, leadership development investment should realistically be closer to a 15 – 20 % over the medium-term because, while local organisations may not be able to match the spending power of larger global markets, leadership capability remains one of the country’ s strongest differentiators. Encouragingly, many boards and executive teams recognise this and are beginning to prioritise development more deliberately.
Fast-tracking individuals who don’ t demonstrate the organisation’ s values creates perceptions of unfairness …
Research from Heidrick & Struggles, a global leadership advisory firm, shows that three in four executives fear losing employees to better external opportunities while over 90 % believe learning and development are essential for retaining top talent. But many companies struggle to translate this awareness into effective action, often investing in poorly targeted or ineffective and costly interventions that deliver limited organisational value.
44 sabusinessintegrator. co. za