Description
Book SynopsisWhen it comes to evaluating a firm, leadership matters.
We know that financial outcomes can predict about 50 percent of a firmâs market value. Intangibles like strategy, brand, talent, R&D, innovation, risk, and so on account for the rest. But leadership underlies them all. And despite how important we know it is, weâve been forced to rely on subjective and unreliable ways to measure its impact - until now.
In this landmark book, leadership scholar, author, and consultant Dave Ulrich proposes a "leadership capital index" - a Moodyâs or Standard and Poorâs rating for leadership. Drawing on research from investors and business leaders, and synthesizing the work of dozens of consulting firms and leadership experts, Ulrich analyzes two broad domains, each comprising five factors. The individual domain includes personal qualities, strategic prowess, execution proficiency, interpersonal skills, and fit between the leaderâs style and the organizationâs market promises. The organizational domain encompasses a leaderâs ability to create customer-focused cultures, manage talent, demand accountability, use information to gain competitive advantage, and set up work processes to deal with change.
Ulrich details rigorous metrics and methods for evaluating leaders on each of these factors. The result is a groundbreaking book that will be of vital interest not only to equity and debt investors but also to boards of directors, executive teams, human resource and leadership development professionals, government and ratings agencies - and of course to leaders themselves.
