In the modern world, the structure of successful companies has changed significantly. The traditional hierarchy, when one person is responsible for the result of all operations no longer works for most of the business types. This is due to the fact that the vastness of the processes of many organizations can no longer be kept in mind and controlled by one person. The approach to management, delegation and leadership has radically changed. Currently, human resources are valued as separate elements, each of which plays an important role.
Simultaneously, with the need for new methods of leadership companies have to come up with a solution to how they can develop leadership qualities in the team. Some organizations created in the age of new thinking do not have this complexity, while long-standing organizations must go through a process of transformation and may additionally face resistance to change from the side of management. Peer evaluations and reviews help to move to a new structure, excluding monopoly leadership with outdated views, since it brings companies back in development.
The culture and systems for developing team leaders can be critical to the success of 21st century companies. This type of leadership reduces payroll costs, supports visionary leadership, and facilitates the development planning process. The upbringing of leaders within the organization characterizes its desire to develop quickly and create a flatter structure.
Summing up, transformation of leadership in companies is required in accordance with the modern realities. Nowadays, the old principles of leadership are applicable to only a few types of management, while most organizations require renewal and distribution of leadership roles among the team. Upgrading can bring many benefits to a company, while adhering to old principles can stop or bring back in development.