Next gen leaders questioned

Leaders across Asia fear the rising class of business executives lack the experience and related skills essential for effective leadership. Nearly 75% of current leaders say successors aren’t fully equipped to ascend corporate ranks.

In a survey of more than 3,000 executives globally by Corporate Executive Board (CEB), nearly 75% questioned their successors’ readiness to move into a leadership role, revealing a leadership gap between Asia’s current and future stars that will require immediate attention if aggressive business goals are to be realised.

The leadership gap is due in part to the fact that the next generation of leaders is made up of relatively young, inexperienced employees. While they have achieved rapid career advancement, many lack the fundamentals required to succeed in the transition from operational to leadership responsibility.

On average this group has six fewer years of experience than their counterparts in other countries and is likely to have moved up through a series of opportunistic career moves, hopping from company to company and promotion to promotion.

“Current leadership question whether the next generation has the years and diversity of experience required to succeed,” said Tom Monahan, CEO and Chairman, CEB. “Their concerns are well-founded given that the next generation continues to ascend the corporate ladder without seeing the long-term effects of their business decisions or having learned critical skills commonly gained through years on the job.”

According to Monahan, if companies across Asia want to achieve long-term business goals they must accelerate executive development and narrow the leadership gap. Attracting capable leaders is important, but not sufficient to bridge the leadership gap. Organisations should also engage leaders with high-impact career paths, strengthen leadership capabilities that matter and realign corporate support for leaders in transition.