Strong leadership enforces governance principles and practices. Solid governance disciplines are an enabler to develop and improve leadership maturity.
The digital environment is constantly changing, forcing the business to keep adjusting accordingly. In fact, today’s organization has become much more dynamic, informative, hyper-connected, and interdependent.
Improve leadership effectiveness by shaping governance as a state of mind that must be achieved: Governance is a concept that applies to making decisions where multiple stakeholders need to be taken into account at the solution level. Products and processes are possibly counterproductive when they do not flow from a pervasive GRC mindset. If there’s a problem with trust, then governance will suffer, because motivations are not aligned across organizational boundaries.
Great leaders are disciplined change agents and inspirational influencers as governance is a state of mind. There is no such thing as governance by dictation, governance might be the conception, development, and deployment of business solutions and exploration. Innovative governance influencers are in demand to see the governance as an opportunity rather than constraints; more holistic rather than linear, single-dimensional.
Leadership is about change & direction; governance is like steering wheels, keeping their business heading in the right direction: The most commonly useful view of business evolution includes influencers, drivers, business models, and initiatives for change, etc. Some organizations waste a lot of time and budgets reacting to problems/challenges, GRC (governance, risk management and compliance) become more critical than ever. Business leaders should listen to a wide range of feedback from business users, it’s about setting up governance initiatives in an organization for identifying common risks which various stakeholders in the organization have to deal with and aim to minimize.
Strong leadership focuses on respect, relevance, and intelligence. Understanding business for the “dynamic complex, but adaptive system” that they are, is the starting point for effective governance. Governance principles is a facilitation system to harness collaboration; governance mechanism can be embedded into the business process seamlessly to improve management transparency for building tremendous trust and staff engagement,
Leadership is to influence and innovate; GRC is about collaboration and harmony: Digital organizations encourage autonomy and innovation. Influential leadership inspires creativity; strong governance won’t stifle innovation, but enhances a systematic innovation management discipline. There are ways of combining the freedom and flexibility advantages of self-management with the control and coordination advantages of traditional hierarchies. Agile governance is to optimize complexity, improve resilience, to enable contemporary organization to reach a state of hyper-connectivity and interdependence that has desirable characteristics such as self-organizing and self-regulating.
Some governance causes mediocre management. The desire for proactive change and innovation will make governance issues more “loose control,” and cross-disciplinary. Effective governance should oversee the business components such as planning, processes, resources, cultures, systems, to ensure the organization as a whole is more effective and efficient than the sum of pieces. Forward-thinking organizations adopt interdisciplinary governance models to enforce holistic management by embracing the inherent social-technical-ecological view of governance disciplines to develop the best and next practices for delivering collaborative business results.
The digital era upon us is about people-centricity. Leadership and governance mutually reinforce each other. Strong leadership enforces governance principles and practices. Solid governance disciplines are an enabler to develop strong leaders and improve leadership maturity. Organizations should identify patterns for business growth and improve organizational maturity. Influential leadership, effective governance promote engagement, motivation, and innovation as these are vital aspects of top-performing enterprises in our modern economy.