What Happens When You Don’t Receive Leadership Training

There are unnerving statistics being reported by the Corporate Executive Board‘s research initiatives when it comes to what is or isn’t woking in corporate environments. Many have to do with a lack of or complete absence of leadership training and development opportunities for employees. For instance, statistics show that 60% of first-time managers fail within their first year. 50 – 80% of executives are failing within their first 18 months of a promotion into a senior management position. In addition, more companies are accelerating younger employees into management and executive positions than ever before.

This tells us a few things. First, businesses are not investing in career development for their employees. Secondly, companies are setting their teams up for failure.

Data is a powerful tool to use when it comes to evaluating issues and these statistics are difficult to ignore. Here are 7 reasons why leadership training is more important than ever.

Managers and Executives Are Failing

Not only are first-time managers and executives failing, but statistics also show that ~40% of managers fail in general. Sound leadership is crucial to the success of any organization, so if leadership is failing at a high rate, the failure seen at the team level is arguably higher. When evaluating risk, no business can absorb this high rate of failure.

Leadership Training Is Absent From College and University Curriculum

When it comes to getting hired and having an opportunity to be promoted into a management position for the first time, chances are higher when an employee has earned a degree from a college or university. This is often a pre-requisite and seen as an advantage, however, it’s easy to forget that most colleges and universities do not require their graduates to attend any sort of leadership training course. Although an employee may hold a degree, it doesn’t mean that they have obtained the necessary leadership training to be successful in their new role.


Companies are being more scrutinized than ever before for not having a diverse workforce. This can be overcome by providing ALL employees with leadership training. By investing in in each employee, businesses will find a larger pool of candidates to choose from which will also help make leadership teams more diverse.

Save Money

When businesses don’t provide leadership training to their team, their managers and executives fail. When managers and executives fail, it means that businesses have to start from scratch by giving the next person a shot. This vicious cycle is very risky based on statistics and data that we are already aware of. Paying for leadership development programs to give teams the information they need to be successful saves money in the long run for businesses of all sizes.


Markets and business environments are in a constant state of change. For many, managing change is high on the list of challenges. Leadership training provides professionals with the tools that will help overcome change personally and to also motivate their teams to work through change along with them.

Flat Organizations

One of the trends seen in startups and younger companies, particularly in the technology industry, is to do away with the management hierarchy altogether. Zappos is well-known for ditching this traditional way of working and moving to holacracy. In working environments where bosses are absent, it’s crucial that ALL team members have appropriate leadership training to be successful in a place where everyone is making decisions for the betterment (or detriment) of the company.


In 2015, the workforce experienced a silent but significant shift. Millennials now make up a majority of the workforce (sorry babyboomers). Why is this important? Because this generation is demanding a different way of working, however, they lack the experience and as mentioned earlier, probably didn’t receive any leadership training while they were in high school or earned their degree. In this case, leadership training isn’t only important for the millennial generation, but it’s also important for more seasoned leaders who are trying to figure out how to connect with a generation they’re having a difficult time understanding.

Related: Leading Millennials With A New Perspective

In general, business coaches will tell you that the more leadership training managers, executives, and team members have access to, the better. In the long run, it’s going to save time, stress, and it’ll help improve your bottom line. If you haven’t invested in the betterment of your team, we suggest you do this now!