Leadership principles: Orientation that really works

Many companies have values. Few have leadership principles that are actually practised in everyday life. The result: leadership is practised inconsistently, employees do not know what they can expect from their superiors - and the potential of leadership remains unutilised. We work with you to develop leadership principles that do not end up on glossy paper, but provide orientation in everyday working life, create trust and noticeably strengthen your organisation.

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Dr. Lena von Negenborn
Dr. Lena von Negenborn
Project Manager
Marie Boos
Marie Boos
Project Manager

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What are leadership principles?

Leadership principles are concrete guidelines that describe how leadership should be understood and practised in an organisation. They are derived from the fundamental values and strategy of an organisation and provide orientation for managers and employees in their day-to-day work. Leadership principles are not a rigid set of rules, but a dynamic model: they evolve with the organisation and should be regularly put to the test.

Why are leadership principles useful?

As long as a company's understanding of leadership remains implicit, leadership is left to chance. Leadership principles create clarity - for everyone involved.

For managers, this means more consistent decisions that are in line with the company's objectives. Especially in complex organisations - such as matrix structures or cross-functional collaboration - clear guidelines are a real advantage.

For employees, this means that the behaviour of superiors becomes more predictable and comprehensible. This promotes trust, satisfaction and motivation.

For the company as a whole, this means that everyone pulls together - and leadership becomes a strategic resource instead of a black box.

When is it worth developing leadership principles?

There is usually a specific trigger. Typical scenarios in which companies (re)develop leadership principles:

  • Ambitious growth plans that require a distribution of leadership responsibilities
  • Mergers or acquisitions, following which a common understanding of leadership must be established
  • Changes in the business, e.g. entry into new markets
  • New top team that wants to signal unity internally and externally
  • Inadequate management performance that needs to be systematically counteracted
  • Filling strategic positions and talent identification that require clear criteria
  • Cultural transformation that needs to be driven by new leadership principles

 

When do you not need leadership principles?
If leadership principles are already clearly formulated, up-to-date and anchored in the organisation - then no new process is necessary. Nor if the company is so small that leadership principles are communicated directly and personally on a daily basis.

How are leadership principles developed?

The process itself has its own value: the intensive dialogue with leadership - across levels and areas - is already a benefit. Therefore, this process should not be outsourced, but actively co-designed.

The tried and tested procedure in four steps:

Diagnosis & Target State:

What are the leadership principles intended to achieve? Analysis of the existing leadership culture through interviews with the senior leadership team and employee surveys. Next: Comparison of the current state and the target state.  

Development & Refinement:

Iterative development of the leadership mission statement through interactive workshops—with a focus on content, format, and visualization. 

Implementation & Communication

How will the principles be embedded within the organization? An action plan, communication strategy, and change initiatives will be developed. 

Implementation & Sustainability

The initiatives are being implemented. A framework is being established to ensure their effective and sustainable implementation. 

How are leadership principles effectively implemented?

The formulation is just the beginning. Leadership principles that end up in a drawer don't change anything. They need to be effective:

  • Visible behavioural anchors: the top team defines observable behaviour - concretely, not abstractly.
  • Active dialogue: Managers must not only be aware of the principles, but visibly live them.
  • Consequences: Good leadership is recognised. Bad leadership has tangible consequences. This is the only way to create credibility and effectiveness.
  • Continuous points of contact: The principles must be integrated into everyday working life - not as a one-off event, but as a permanent part of the management culture.

What leadership principles are not

Leadership principles are not corporate values - even if they are derived from them. Values describe what a company stands for. Leadership principles describe how managers should act.

Leadership principles are also not competency models - even if there are overlaps. Competency models describe skills. Leadership principles describe attitude and behaviour.

And they are not a mission statement for all employees - unless this is expressly intended and formulated accordingly.

The three undconsorten tips on leadership principles

  1. Goals first: Leadership principles must be consistent in terms of content and advance the company. Clarify in advance what you want to achieve in concrete terms.
  2. Don't skip the process: Discussing leadership is a core part of the job - and a win in itself. Do not outsource, do not shortcut.
  3. Think about implementation right from the start: Leadership principles are not an end in themselves. Implementation measures should be part of the planning right from the start.

FAQ - Frequently asked questions about leadership principles

What is the difference between leadership principles and corporate values?
How many leadership principles make sense?
How long does it take to develop leadership principles?
Do management principles have to apply to all employees?
What happens when leadership principles are not put into practice?
When should leadership principles be revised?
Marie Boos
Marie Boos
Project Manager

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Dr. Jens Müller-Oerlinghausen
Dr. Jens Müller-Oerlinghausen
Partner

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Thekla Kovacev-Schmidt
Thekla Kovacev-Schmidt
Head of Business Development

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Dr. Florian Dressler
Dr. Florian Dressler
Partner

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