As published in the Winnipeg Sun. If it wasn’t clear before, it certainly is now - we are part of the global economy.

This means, as we have seen with the stock market crash and diseases such as SARS and H1N1, that events from afar can unfold very quickly and can indeed have a direct impact on local businesses. The word “FAST” is the name of the game. Customers can literally stop calling overnight causing purchases to drop dramatically as sales orders are cancelled or postponed. And, if you have to lay off staff, what guarantee is there these employees will be available when you need them? Welcome to the new world! It’s a challenge.

At the same time, the reality of the global world puts a lot of pressure on organizations in both private sector as well as the many not-for-profit agencies. In order to survive, organizations will need to become faster, more flexible and adaptable. This is not as easy as it seems as it requires a different kind of leader. So, what are the competencies and/or the skills required for this new type of leader.  In my view, the following competencies will become even more important as we continue on our global journey.

Personal effectiveness – a leader who exhibits personal effectiveness is highly self aware. They know, understand and accept their own strengths and areas of challenge. They are continuous learners who seek opportunities for self development. They are able to manage their personal responses to the environment in positive and productive ways.

Developing cultural competency – senior organizational leaders need to develop a global mindset which includes the ability to function in a cross cultural environment where personal values, business approaches, problem solving and decision making might be conducted in a completely different way. Leaders will need to be flexible and adaptable as well as being resilient, resourceful and optimistic as they may well have to learn how to manage foreign production, marketing strategies and employee groups in other countries.

Effective change management – future business strategy will demand that leaders manage change effectively. This includes understanding the different business environments, managing and communicating cross cultural politics and being able to influence across cultures, as well as being effective at solving the problems that come with rapid change.

Building technology savvy – many global leaders will be practicing in a “virtual” leadership role as they oversee differing groups of employees. These leaders will also need to understand and continually invest in new technology so that it continues on the leading edge. Having technology savvy leaders at the helm will create a significant competitive advantage.

Creating effective partnerships – the competitive nature of some corporate leaders and the goal of “defeating the enemy” has quickly become outdated. In a global economy, “no man is an island” and so alliances and partnerships are the way to go. Future leaders need to have the skills to build complex networks of relationships that create “win/win” business strategies.

Building influence – with most workers in the future being “knowledge” workers, leadership must take a more influencing rather than directive approach. Employees and alliance partners alike will not tolerate being told what to do or how to do it. They want coaching, mentoring and shared relationships. This requires significant interpersonal and communication skills combined with organizational and political savvy. It also requires a lot more patience.

There is no way around it – our new global world requires very different leadership skills than those required for a domestic market. Without these skills and competencies, you will lose your competitive advantage. On the other hand, if our young, technology savvy employees don’t see progress in this area, you will be labeled as “old fashioned” and “out of touch” which will surely impact your ability to recruit and retain top talent. Take time right now to examine which competencies are required for your future!

Source: The Global Leader of the Future: New Competencies for a New Era, by Marshall Goldsmith and Cathy Walt