Leadership Styles and Climate

Jan Machtelinckx

    Leadership Styles and Climate is the closest you can get to a profit and loss statement for how well a leader is managing their people     
Jan Machtelinckx
Talent Category Lead
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Our research shows that leadership styles impact climate by up to 70 per cent and climate can account for 30% of the variance of bottom line performance. So, improving your leader’s effectiveness is likely to have a tangible impact on business performance.

  • A study of 33 MDs in a global technology firm found that those who created high performing climates outperformed their peers by $711 million in profit 
  • Leaders in a financial services call centre who created positive climates delivered:
    • 26% more sales than target compared to 4% delivered by their peers
    • One quarter lower absence rates
    • One third lower staff turnover

  • In a large UK retailer leaders creating the best climates delivered:
    • 17% lower staff turnover
    • 40% lower absenteeism
    • 12% higher sales growth
    • 10% more operating savings
    • 35% lower stock loss
  • In a study of ward managers in the NHS wards led by high performing leaders with good climates had:
    • 40% less drug errors
    • 36% lower staff turnover
    • 57% reduction in absenteeism