21st-century leadership: Navigating a world in change

25 November 2020

The view of what a good leader is has changed significantly over the past century. Despite it being a well-researched topic, there is no consensus on what good leadership is. In addition to reformed business models and accelerated digitisation, the ongoing pandemic has also roused discussions whether there is a need for a new type of leadership in order to successfully manage other major challenges, e.g. the necessary greening of economies. We asked Lisa Lindström, CEO of Doberman, Viveka Hirdman-Ryrberg, Head of Corporate Communication & Sustainability at SCC patron Investor AB, and Oscar Berglund, CEO of SCC patron Trustly – all speaking at the Swedish-British Summit 2020 on 3 December – about their view on leadership.

At Swedish design firm Doberman, success is not only measured in monetary terms, but the quality of its creative work and the wellbeing of the people are weighed equally. Lisa explains why good leadership for her is putting people above everything else. “When your business is people, and you don’t treat your people in a great way, you won’t get the best out of anyone. Therefore, not taking care of your people is a foolish thing to do. I try to always be fair and authentic in my leadership and approach problems transparently and inclusively.”

Psychological safety promotes creativity
Viveka agrees. “I really believe in the power of the team. As a leader, you must have a vision. You have to make sure that everyone in your team understands this vision and that you’re moving in the right direction, but you will also achieve a lot more by involving more people – preferably with different perspectives and experiences. You need to establish an open atmosphere where everyone feels safe, included and listened to, as psychological safety facilitates cooperation and promotes creativity. So, to me, leadership is not only about being a visionary and good strategist but also about being curious, a people-person and a good listener.

Saying yes to the brave and quirky ideas
Lisa considers the bravery of saying “yes” more than “no” as one of the essential traits of a leader, but also as the most challenging one. “When you dare to put your complete trust in your employees’ hands, great things come. My company works in the eld of the unknown, meaning that we must trust each other enough to take giant leaps of faith all the time. If the answer is ‘no’ when suggesting a simple idea or when trying to express your thoughts in non-linear ways, you will not dare to share your crazier ideas. By saying yes to the strange, brave, and quirky ideas, you create a culture of trust, making it possible to move quickly in complex landscapes and create groundbreaking experiences.

Leading by example
“Leadership often depends on the context,” Oscar says. “Different situations call for different types of leadership. But there are some traits that will always be important, such as being authentic, exercising good judgement and leading by example. You need to live by what you want the team to do”.

Leadership in change
The key thing Oscar has had to change over the years in his role as a leader is the amount of communication that he engages in. “When the team is small, communication takes care of itself and the leader is often a substance expert with good judgement and problem-solving skills. As the organisation grows, you need to dedicate much more time to communication, making sure the whole team knows the ‘what’ and the ‘why’ of what we do. If you’re action-oriented, it sometimes feels frustrating to allocate so much time to communicating but then you need to remind yourself that this is how you get full leverage of the great team members that you’ve spent a lot of time and effort to recruit. And you still need judgement and problem-solving skills,” Oscar says. Viveka agrees that the amount of communication has increased, but that it’s partly due to the world being more complex today. “Everything is changing so fast, and I think it has become more important for the leader to understand everything that’s happening around us, but also to be able to explain to your team how it will impact the organisation. You have to have clear values, be grounded in these and act in accordance with them – to be genuine, but you also have to understand that values change over time.” 

Leaders acting as catalysts
As organisations today are much less hierarchical than when Viveka started her career, she believes that has changed how we communicate. “The leader is no longer seen as all-knowing but rather acts as a catalyst responsible for keeping the organisation moving forward. The reduced hierarchy has also opened up for two-way communication, with team members now able to challenge the leaders’ way of doing things or propose their own solutions to a problem, and I find that very positive,” Viveka adds.

Navigating the constant change of the 21st century
All three agree that the greatest challenge of being a leader in the 21st century is the high pace at which things change. So how does a leader navigate the constant change and make sense of everything that’s happening around you? “Firstly, you just need to look change in the eye and accept it early on, “ Oscar says. “Once you have acknowledged it, you can start to identify the opportunities that come with it. And once you have done that, you can adapt accordingly.” Secondly, he explains that despite all the data we have available to use for making informed decisions, given the pace at which things evolve – we can’t afford to wait until we have 100% “perfect” information.“ It is the bounded rationality idea – taking into consideration timing, the rational thing is often to make the decision before you have perfect information, or else you risk waiting too long and missing opportunities.” He adds: “You have to continuously be open to reassessing your decisions and priorities depending on what happens around you. And at the same time, you won’t succeed without focus and you must give the team room to execute without being constantly distracted. So sound judgement is more important than ever”.

Staying true to who you are
Lisa believes that leaders must thoroughly listen to their inner compasses and be well- grounded in their own beliefs and morals. “When you are true to who you are and never compromise with your beliefs, it is easier to navigate a stormy sea,” she says and adds that she sees many organisations struggling with lack of delegation. “I don’t believe in a lone genius, and therefore I believe that no CEO should make all the difficult decisions by themselves. That is just too much of a risk. Involving your employees in the difficult questions minimises the risk and makes leading much more rewarding. For this to work, you have to make people understand the full complexity of the issue they are facing. If you only give halfway, it’s a more significant risk because they act without the complete information. I don’t think control is a good steering mechanism; I believe trust is a much better steering mechanism. What you will get in return is people’s engagement, passion, lots of ideas, and a great sense of responsibility.”

High pace makes leading complex
Viveka agrees: “The high pace indeed makes leading very complex. There is no time to settle down. You never feel really done with things, and you can never stop and think ‘okay, we got this’. You have to be on your toes at all times, leaning forward and think about what steps to take next. To be able to keep up with the high pace and make sense of everything that’s happening around you, I think it’s necessary for the leader to be very open and curious, to not firmly believe that you’re the one who knows best, or that things need to be done in a certain manner because it has worked before. It’s crucial to get a lot of different perspectives, so a leader should strive to discuss matters with people within their own organisation, from other organisations – big and small – and also from other countries.”

A leadership for the future
While all agree that the covid pandemic indeed has made leading more complicated, they also seem confident that there is a silver lining to it. “In a world where people work remotely, solving communication becomes even more important than before. How do you reproduce the communication and transmission of knowledge that you have in physical meetings? How do you keep the sense of belonging in the team? How do you make sure people feel well? These things I believe will drive a lot of thought and consideration,” Oscar says.

“I think that this new reality has been challenging for almost all leaders,” Lisa says. “The pressure has been high, and the constant connectivity makes it difficult to relax. I am a leader that relies strongly on relationships and energies that appear when you meet in a room. This has not been easy to maintain and recreate over digital means, but I think that I’ve finally found my way. For me, this crisis has made me become even more of who I am. I am more personal, more transparent, and more vulnerable than ever before. Just because for me, there was no other way to tackle a situation as strange as the one we experienced this spring and summer. Of course, not all leaders have managed the merger while trying to find new ways of working for a new multinational team on a distance, but I think many people can recognise themselves in what I’ve experienced. I believe that this crisis has shown that we need a new type of leadership. People need leaders that can translate the ‘why do we do this’ and ‘why should we be the ones doing it’ of our existence into a language that everyone can understand. We need leaders that guide us through uncertainty by making people feel seen and heard while doing it. One needs leaders who acknowledge that people need continuous learning and are not afraid to learn new things themselves.”

Firm believer in Learning Society
“I am a firm believer in what I like to call the Learning Society. Every organisation should add a layer of learning and knowledge-sharing to its existing operational models and that this is the way into the future. As a leader in the future, I believe that you have to feel and act with empathy. I think that pedagogical communication and storytelling are crucial, that leaders have to be skilled critical thinkers, creative, and like to experiment. If you manage those five, you have a solid foundation for tackling the future and finding your leadership style,” Lisa adds.

Emotional part of leadership more important since pandemic outbreak
“I think the emotional part of the leadership has become even more important since the outbreak of the pandemic. Sometimes it’s about being present in a different way, like getting in touch with team members, and sometimes it can be to dare show your own vulnerability. I also think that the pandemic shows and underlines the great challenges we are facing, for instance, climate change. Perhaps even more so in terms of sustainability with the importance of social inclusion. The social gaps we’ve seen increasing for years have during the pandemic become even more evident. There have been rapid changes in the labour market in many countries which has made the importance of investing in upskilling and digital transformation clearer. Everyone should feel that they have a future and I think that these challenges are also leadership issues – someone has to take the lead, to visualise, communicate and act,” Viveka says.

 

Join our mailing list

and keep up-to-date with the Chamber's news and events.

Read our Privacy Policy here