Executives Focus on Strengthening the Skills of their Senior Leaders to Drive Growth, says Korn Ferry Institute Survey
Los Angeles. April 5, 2012
Gaps in Leadership Skills and in Development Investments Remain in Wake of Recession
LOS ANGELES, April 5, 2012 – According to the latest executive survey by The Korn/Ferry Institute, 75 percent of corporate executives question whether their senior executive teams possess the appropriate mix of skills to generate growth for their companies in 2012 and seek out new global opportunities.
“As the global economy moves to more stable ground, it's increasingly important for organizations to consider how their leadership and talent strategies support their business strategies," says Ana Dutra, CEO of Korn/Ferry Leadership and Talent Consulting. "Do organizations have the right leaders in the right roles? Are they looking to the future and rigorously identifying and developing their next-generation leadership pipeline? These are strategic C-suite issues. Our survey shows there is significant work to be done in leadership-skills development.”
In the survey, 52 percent of executive respondents say their companies need to acquire at least a modicum of new talent or invest in more talent development efforts for their executives. About 23 percent go further, saying that their companies need an overhaul in senior talent. The survey was conducted from January 27-March 5.
When asked if a lack of internal talent led their companies to postpone or abandon altogether any potential actions in the past two years, 73 percent responded yes, encompassing mergers and acquisitions (6 percent), geographic market expansion (11 percent), and product launches (6 percent), as well as multiple initiatives (32 percent).
When it comes to succession planning, nearly half (45 percent) report their companies are committed to building a robust internal talent pipeline and identifying high-potential talent deep into their organizations. But 37 percent believe there’s neither rhyme nor reason to executive appointments and promotions.
Forty-five percent of the executives say their companies regularly identify areas of development as part of their performance review processes, and have deployed structured developmental programs for all employee levels. Another 40 percent say their companies identify developmental areas for employees, but report the follow-up is “weak and inconsistent.”
The Korn/Ferry Institute regularly conducts surveys to glean insights on the current workplace and leadership environment. Results are based on global surveys of executives registered with the firm’s online Executive Center, www.ekornferry.com. The most recent survey was conducted from Jan. 27 – March 5, 2012 and encompassed respondents from 40 countries, representing a wide spectrum of industries and functional areas.
About The Korn/Ferry Institute
The Korn/Ferry Institute serves as a premier global voice on a range of talent-management and leadership issues. The Institute commissions, originates and publishes groundbreaking research using Korn/Ferry’s unparalleled expertise in executive recruitment and talent development combined with its preeminent behavioral research library. The Institute is dedicated to improving the state of global human capital for businesses of all sizes around the world.
About Korn/Ferry International
Korn/Ferry (NYSE: KFY), with a presence throughout the Americas, Asia Pacific, Europe, the Middle East and Africa, is a premier global provider of talent management solutions. Based in Los Angeles, the firm delivers an array of solutions that help clients to attract, engage, develop, and retain their talent. Visit www.kornferry.com for more information on the Korn/Ferry International family of companies, and www.kornferryinstitute.com for thought leadership, intellectual property and research.
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