Business owners urged to understand importance of leadership

Business owners have been urged to understand the importance of leadership after a recent survey showed that over 40% of small and medium-sized enterprises (SMEs) do not offer their staff management training.

The Close Brothers Business Barometer surveyed UK SME owners and senior managers from a variety of sectors, and found that this statistic is despite a majority of businesses believing that strong leadership skills contribute to success.

Surprise

The survey also showed that just 12% of SMEs said leadership is a quality that only senior people should possess.

Close Brothers Asset Finance CEO Mike Randall commented on the results, stating that it comes as a “surprise” that “a significant amount” of businesses do not provide their staff with management training, despite a “firm belief” that leadership contributes to success.

He added that leadership is a quality that helps to “direct, motivate and inspire” others, and that it “must be taught across all sectors of business.”

The survey also showed that only 42% of UK SMEs received on-the-job or formal leadership training, whilst 39% said that they did not receive leadership training but still went on to become business owners.

Vital

Randall highlighted the importance of leadership in business, stating that an “effective leadership training programme” will help to create a “winning atmosphere” in any business.

He added that those who are responsible for managing others need to have proper training for their business to run smoothly and increase its chances of being successful.

He urged all business owners and managers to understand the importance of leadership and to realise how vital it is in business, adding that despite smaller companies having “shorter chains of command”, the ability to manage and inspire their members of staff is “equally as important.”