The structure of leadership is changing. The traditional model was clearly hierarchical — back in the day, the boss was in charge and those under the boss did what the boss said with few questions asked. However, a more democratized approach to leadership that prioritizes compassion and amplifies once-quiet voices is gaining momentum. Those championing this new, more flexible wave of leadership are poised for success in the current economic crisis.

They are driving rapid organizational changes, such as the adoption of artificial intelligence (AI)-driven tools and other new technologies, to stay competitive. Leaders pursuing the conventional leadership path risk failed business transformation and disgruntled employees.

And a lot of employees are disgruntled. In fact, a recent Gallup survey found only 21% of U.S. employees strongly agree that they trust their organization’s leadership. So, what can leaders do to better manage employees now that the leadership model has evolved? How can they provide better support during times of transformation?

Read on for actionable tips to address transformation woes and reimagine the construction of leadership.

Organizational Transformation Done Wrong

Organizational transformation — a comprehensive and fundamental change in the way a company does business — doesn’t always achieve the desired results. It is not news that big transformations can have a high risk of failure. However, they don’t fail overnight, and signs of a potential breakdown often appear sooner, which might include:

• Disengaged employees. Many leaders exclude their employees from organizational transformation processes. This exclusion results in employees performing poorly because they feel like their input is pointless. This poor performance reflects on the organization as a whole and can ultimately damage the bottom line and contribute to a transformation failure across time.
• Change resistance. Many employees are resistant to change due to a fear of the unknown, a sense of loss of control or past negative experiences. It can also stem from disengaged employees. If they’re not looped into plans because of poor communication, employees are less likely to buy into new strategies, tools or ways of doing business. Conflicts are also more likely to occur, and workers may be less motivated to perform well. The transformation process will move forward more smoothly when everyone understands the justification.
• Planning and execution problems. Without appropriate planning, including a holistic understanding of the company’s current culture and goals and a clear starting point, organizational transformations are more likely to fail. Leaders will struggle to plan their path, productivity will plummet, wasting time and resources.
• Lacking leaders. A good leader is critical for successfully executing an organizational transformation. Effective leaders engage employees, execute plans and lead by example. Inadequate leadership leaves employees feeling unheard and uninterested in participating in the transformation process, slowing down the implementation of changes and impeding organizational problem-solving.

Those heading the charge of a successful transformation project secure buy-in from everyone involved before the process starts and are actively involved every step of the way.

Leading Through Change

Leaders should leverage the following key factors and crucial details as they guide employees through organizational change:

• Model behavior change. Through consistent and visible modeling of the new values and practices, leaders establish a compelling standard for employees to emulate. Whether it involves embracing innovation, fostering collaboration, or adapting to change, leaders who embody the transformational principles not only inspire confidence but also create a cultural shift that is essential for the successful evolution of the organization.
• Communication. During times of change, the most effective leaders ensure adequate and informative communication with their employees. Good communication facilitates change implementation. If employees already know what changes are coming, it will be much easier for them to take action on them. Further, communication keeps employees engaged and focused on the transformational goal.
• Development and growth. Over 75% of workers expect ongoing learning and development (L&D) opportunities throughout their careers. These opportunities are going to be especially important during a transformation where employees may need to learn new skills to keep up with the changes. Failing to provide these opportunities creates dissatisfied, disengaged employees. Investing in training, mentorship and advancement opportunities benefits individuals and contributes to a more skilled and engaged workforce.

Enter: Digital Coaching

Digital coaching, a rapidly growing and proven L&D method, offers personalized programs for each coachee and aligns individual and organizational goals. During times of transition, coaches can help coachees develop a strategic vision for their transformation, help clarify the mission, set goals, and hone the soft skills — like active listening, communication and resilience — necessary to cope with change. Additionally, coaching can help managers refine their leadership skills needed to support organizational transformation’s planning and implementation. Coaches can help managers communicate with impact and influence employee perspectives on the transformation. According to recent research, coaching can boost leadership effectiveness by 56%.

Becoming the type of leader who facilitates and enables others may be a challenge, but engaging in professional development opportunities like coaching can provide leaders with the support they need to thrive and help others thrive in the current business climate.