Fintech: What makes an effective leader in the workplace?

Workplace leaders should care about their team thriving – where individuals feel they are active contributors and growing. A study shows that employees who have a better sense of well-being and productivity miss fewer days at the office due to stress, and have a lower incidence of burnout and health problems.

A thriving team is important because it provides better communication, more creativity and improved productivity. When team members work harmoniously together, they can achieve far more than they ever could individually. Additionally, a positive team atmosphere can boost morale and make everyone feel more motivated to do their best work. Finally, a thriving team is more productive.

A big part of creating a more productive and healthy team environment is establishing strong leadership. But if you want to be an effective leader, you can’t rely on leadership books or your MBA; the vast majority of books studied are written by people who have never actually led anything. They also tend to draw lessons from past cases that are no longer relevant, and often contain generic advice that is difficult to apply in specific situations.

Current leaders who are effective share some of the practices below.

Lead with empathy

Employee expectations have changed with the pandemic and Gen Zers entering the workforce. When managers can put themselves in their employees’ shoes, they are able to communicate better with them and come up with solutions that work for everyone. In addition, empathy allows managers to build relationships of trust with their employees, which is essential for creating a positive work atmosphere. This helps to create a culture with high work performance.

Create a sense of purpose

Bonding team members through a shared sense of purpose can help them find meaning in their work. Microsoft has found that meaningful work is one of the key components of thriving employees. No one wants to feel like another cog in the machine. When people understand why their work is important and how it fits into the bigger picture, they feel like they are part of something bigger and are motivated to do their best work.

Enable ownership and encourage accountability

If the massive increase in the number of participants in the freelance, creator and gaming economies has anything to teach us, it’s that a sense of ownership is more important than ever for employees. No one wants to feel like “just an employee”. Good leaders find opportunities to offer autonomy and ownership to team members. Holding team members accountable is an effective way to build a sense of ownership. Set clear expectations for the results you want and give them the freedom to achieve their goals in their own ways. It can feel scary for a manager to let go of that sense of control, but when it leads to thriving employees, the effort pays off tenfold.

Ensure career development and progression

The lack of career development and progression is the #1 reason people leave the company. An important step in creating a thriving team is to offer generous opportunities for growth and development. A recent LinkedIn report found that 59% of respondents see professional development opportunities as one of the best areas to invest in to improve company culture. Helping your team members learn and grow is a great way to ensure they have the skills to respond to challenges and evolve with changing times.

Regain the sense of community

Belonging is a basic human need. People who have a sense of community at work are 58% more likely to be happy at work, 55% more engaged and 66% more likely to stay with their company. There are simple ways you can create opportunities for connection. Dedicate the first few minutes of the team meeting to catching up with each other on non-work related topics. Organize social activities like team quizzes and virtual bonding sessions so everyone can get to know each other.

Well-being is just getting started

Employee well-being has historically been an afterthought for most managers; only recently have people begun to realize the importance of a healthy workplace. In the past, employers focused more on productivity and profits than on employee well-being. But with the rise of telecommuting and working from home, employers can no longer ignore the issue of employee wellbeing.

A thriving team isn’t just about being productive; it’s also about maintaining a healthy work-life balance, having positive relationships with colleagues and feeling like you belong somewhere.

As the world of work changes at a rapid pace, organizations need to be agile and creative. Leaders need to evangelize and align their team around a common purpose, one that sees each employee feeling empowered. It’s a collaboration between everyone, and a workforce doesn’t just have to be productive; they must also have positive relationships with colleagues and feel that they belong somewhere.

About the author: Myra Khanna is the founder and CEO of SAMA