Insights > Leadership And Diversity
Read  4 mins

Cognitive Diversity

Over time, teams form through their cohesion, members bonding through similar ways of communicating, working, perhaps similar interests outside of work, this has been seen especially with leadership teams or management groups.  Potentially screening members of this group prior to entry using personality profiling, would ensure that the similarities were perpetuated. This means that often everyone is on the same page, has similar views or ideas, alternatively, members of the team may follow the lead of the opinion leader.  This means there are low levels of conflict and ideas and matters can be dealt with quickly. 

There is a flipside to this harmony.  If there are new external challenges, as there increasingly are, or issues that the group have not dealt with successfully before, the team may not be able to address this with within their repertoire.  Thus, there is a lack of cognitive diversity in the group and the harmony experienced means that new ideas, new skills can be limited to interventions organised with and by external consultants.  Thus, the team need to look outside for assistance, the agility, resilience and resourcefulness of the group is limited.

Increasingly management teams are put under competitive pressure, or the pressure of expectation by the board, the owners and other stakeholders. At the worst case, the lack of cognitive diversity can mean that the whole leadership group turns over, typically starting with the chief executive. At least in the short to medium term, a new business head will need time to learn the business and select their own team, who will often require the necessary time to fully appreciate their remit.  There is wholesale change in the business as the executive team is removed in a costly and disruptive process that can compromise internal and external satisfaction with an organisation. This has been typically precipitated by a major failure in terms of not meeting performance expectations or the inability to have dealt with external shocks often with drops in key measures like EBIT.  

The time taken to rebuild the leadership group, the opportunity cost is potentially enormous from a client-side perspective. With key relationships compromised, would clients and prospects at the very least wait and see how the changes will shake out before committing? Or would they go back to market to revaluate their options?

Internally risk could be seen with key talent questioning their commitment to the business and potentially following member of the leadership group to new opportunities outside the organisation, leading to greater disruption through turnover.  Our work with such teams has shown tools such as Strengths Finder, can applied successfully to develop this cognitive diversity and assist building teams across four key domains including strategic thinking, relationship building, influencing and executing. 

For more information about Go-to-Market strategy and execution, please do not hesitate in contacting me on 0412 222 021, (02) 9119 1109 or adamc@4igroup.com.au