Leaders aren't ready for change: How can HR fix that

New analysis reveals leaders aren't capable of leading through change

Leaders aren't ready for change: How can HR fix that

HR should help their executives lead through change by offering opportunities for behaviour-level development, as a new report revealed a systemic gap in change leadership capability.

A new analysis from global leadership firm DDI revealed that executives are particularly weak at leading their organisations through change.

By looking at simulation data from more than 100,000 leaders at varying levels, the report found that just eight per cent of executives demonstrate strong change leadership despite their positional authority.

Only 30% of mid-level leaders and 15% of emerging and frontline leaders also demonstrate similar capabilities, according to the report.

"There's a stark disconnect between the accelerated change organisations are facing and leaders' ability to mobilise teams in an uncertain world," said Rosey Rhyne, senior research manager of DDI's Centre for Analytics and Behavioural Research.

"Yet, HR teams can help: When leaders have access to high-quality assessment and development programmes to provide them with self-insight and growth, they are 5.6x more likely to effectively anticipate and react to change."

The hard parts of change

According to the report, leaders are most fragile in behaviours that require emotional engagement, empathy, and influence.

Very few executives are found to be highly capable at visibly rewarding desired behaviours (1%), stretching boundaries by experimenting and challenging norms (4%), and addressing change resistance at their organisation (11%).

"For executives, the biggest breakdowns occur not in setting direction, but in reinforcing and sustaining change through visible action," Rhyne said.

Additionally, just 10% of mid-level leaders are strong when it comes to asking questions, and only 13% of emerging and frontline leaders are capable of actively engaging others in change initiatives.

"A clear pattern emerges: Across levels, leaders struggle to engage people emotionally by communicating why change is necessary and listening deeply to how others are experiencing it," Rhyne said.

"When leaders fail to explain the purpose behind change, resistance grows, engagement drops, and old behaviours persist regardless of how sound the strategy may be."

How to make better leaders

This systemic gap in leadership capability is emerging just as workplaces undergo profound transformation driven by AI adoption and geopolitical upheaval.

"At the same time, the overall leadership role has expanded dramatically," Rhyne said. "Over the past decade, leaders have been asked to do more – and to do it faster – while navigating near-constant disruption rather than episodic change."

HR leaders are expected to move beyond generic training and focus on behaviour-level development to address the leadership capability gaps, according to Rhyne, who offered the following measures:

  • Start with assessment to diagnose specific change leadership behaviors
  • Tie development to real change scenarios
  • Provide feedback on observable behaviors
  • Leverage managers as multipliers by reinforcing development, encouraging challenge, inquiring about well-being, and creating visibility for growth opportunities

"Leaders who operate in faster, more fluid environments report higher readiness than those navigating more constrained systems," Rhyne said.

"This suggests that exposure to ongoing change and the ability to adapt in real time may help build change leadership capability."

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