Technology is evolving at lighting speed. The workplace is in flux, too. These converging forces have led to an exciting state of change that calls for a new leadership approach.

How did we get here? Remote and hybrid work exposed the limitations of traditional top-down leadership. There’s data to back that up: 75% of remote workers want more flexibility, yet only 15% of managers are comfortable leading in a hybrid environment. Distributed teams now span across locations and work arrangements, intensifying the demand for flexibility. When flexibility rules the workplace, old approaches just don’t apply. Leaders now have to skillfully manage time zone differences, conflict resolution and equitable growth opportunities for all, no matter where they work.

Upskilling leaders has tangible benefits that underscore its vital role in driving organizational success and sustainability:

• Boost in engagement: Which increases productivity and lowers turnover. Managers influence a whopping 70% of the variance in engagement levels.
• Improved company performance: When leaders sharpen the skills that drive team motivation and efficiency, companies perform better than those without development programs. But there’s more. Valuing diversity and adaptability doubles the likelihood of meeting performance goals, and it spurs innovation and higher revenues.
• Effective succession planning: Creating a ready pool of talent for key roles ensures organizational resilience and sustained performance.
• Strong culture and reputation: When leaders champion company values, it helps them attract and retain talent. And reinforces a strong employer brand.

In short, if you want a thriving business that fosters innovation beyond boundaries, here’s my recommendation: Change the way your managers lead.

Let’s look at the example of Allstate. We have 55,000 employees all over the world. In a distributed workplace like that, leaders are key to transforming the culture. This flexible distributed work model has contributed to:

• A 23% increase in candidates.
• Two times more applications for roles with flex work options.
• Roughly 50% of open positions are filled internally, supporting growth and opportunities.
• Increase in engagement, with 84% of employees endorsing Allstate as a great place to work. That’s well above the global percentage of employees, who are only 23% engaged.

We’re shifting to a culture of growth by investing in leadership upskilling. Offering practical tools and support. Empowering leaders at all levels to effectively lead, connect and engage teams globally. Personalized learning, live coaching, and peer feedback help leaders develop and apply their skills.

So, what critical leadership skills should you focus on? I’m glad you asked.

1. Leading Change

• Communicate transparently: Your team is looking for you to be authentic and honest. Tell them when changes are happening and why. You’ll help them see how they fit into the broader picture. Also be honest when you don’t have the answers. That builds trust and helps you attract and retain a much stronger team.
• Promote innovation as a response to change: Have brainstorming sessions where team members can propose creative solutions to new problems. Value and celebrate when team members adapt to changes effectively.
• Model conflict resolution: This is a whole different skill when employees don’t see each other face to face regularly. Effective conflict resolution hinges on personal connections and trust. Understand your team on a personal level and show your authentic self — share your setbacks as learning moments. Encourage respectful dissent to foster a culture of open dialogue, then commit fully once decisions are made.

2.  Being a Connector Manager

• Facilitate peer learning: Identify opportunities for team members to learn from each other’s strengths and experiences. For example, organizing sessions where employees can share their knowledge and expertise.
• Leverage internal networks: Guide team members to people who can help them grow and solve specific challenges. You’ll need a deep understanding of skills and strengths across the organization so you can make those targeted introductions.
• Encourage cross-functional collaboration: Include team members in projects where they can collaborate with other departments. This helps address specific needs and broadens employees’ understanding of the organization.

3. Leading Inclusive and Distributed Teams

• Ensure equitable access to resources: All team members, regardless of their location, must have the tools, information, and opportunities to succeed and feel connected.
• Make transparent decisions: Involve team members whenever possible, so they can see how and why decisions are made. This builds trust and ensures that diverse perspectives are considered. Openly dissent, but then commit once a decision has been made.
• Use technology for communication, collaboration and connection: Provide training to enable seamless teamwork and interaction. And to promote a culture of inclusivity and innovation.

4. Leading High-Performance Teams Through Continuous Feedback and Coaching

• Have regular one-on-one meetings: Give personalized feedback and coaching. Set goals, discuss progress and address challenges they’re facing. Most of all, make sure you listen.
• Create a feedback-rich environment: Encourage a team culture where feedback is a gift that is continuously given and received. Where feedback is focused on outcomes, not activities. Model this by asking for feedback on your leadership, then acting on it.
• Foster a learn-it-all mindset: In a culture of learn-it-alls (not know-it-alls), challenges are seen as opportunities to grow, with employees — and leaders — learning from mistakes. Motivate excellence by recognizing achievements and improvements.

The world and the workplace are changing fast. Our approach to leadership has to change, too. By focusing on these key leadership skills and investing in leadership development as a business imperative, your organization can successfully navigate the complexities of a distributed workforce. The result? A boost in team performance, adaptability, inclusivity, resilience and engagement. Which will increase organizational success and growth. The journey toward more inclusive and adaptive leadership is not without its challenges, but the rewards are well worth the effort.