Organic growth is the increase that comes from existing business rather than additional sales that result from acquisitions or mergers. It is a good indicator of the strength of the leadership within an organization and can illustrate how effectively leaders are using their skills to develop the right teams to achieve an increase in business.
Leadership needs to sustain real growth, not just increase margins by cutting costs. These five attributes or skills are essential:
Leaders must demonstrate the ability to:
- develop a vision
- unravel the complexities of how to achieve organic growth
- determine if the team has the skills to support the vision
- understand what metrics to measure throughout the process
They must ensure that:
- expectations are clearly communicated and understood
- the feelings and ideas of others are heard
- feedback is provided regularly
The ability to take initiative
They are regarded as an active member of the team. They work alongside the team providing support and guidance. They stick by the team; walk the talk, and take responsibility for the results.
Their vision, positive energy and values influence people. They are a catalyst for change and are able to make the change real in the eyes of the team. Others want to be around these authentic leaders; their enthusiasm is captivating. They impact and inspire individuals to stretch and go further.
They build strong relationships based on trust and respect. They have integrity, will give credit to others, admit mistakes, provide good quality constructive feedback, keep commitments, and share ideas and information.
It is valuable for companies to separate organic growth from growth that is generated by mergers or acquisitions. Leaders must take responsibility and initiative for organic growth. Great leadership has an impact on the bottom-line results.