Chartered Institute of Building
Printable version E-mail this to a friend

WHERE HAVE ALL THE LEADERS GONE? CONSTRUCTION INDUSTRY PLAYS HIDE AND SEEK WITH TOP BRASS

Results from a unique piece of research by the Chartered Institute of Building (CIOB) have exposed a lack of leadership within the construction industry.

Over 650 directors and managers in the construction industry, many of whom work for companies employing more than 500 people, were unable to name any influential leaders in the industry. Of those individual leaders mentioned only one in the top five highest returns was a practicing construction industry professional.

Chris Blythe CIOB chief executive said, “For successful organisations leadership is just as important as having good management, and there is a difference between being a leader and being a manager.

“What we have seen in this research is that while the industry lacks recognisable leaders, 90% of respondents considered themselves as above average or excellent when asked how good a leader they were. But from their own view they are not having their leadership skills improved in the right way. So we know there is a great deal of untapped leadership potential out there.

“Many companies are offering financial incentives to develop leadership and yet our leaders of tomorrow want to be inspired, they want access to new experiences including secondments and they want more training. Only 8% said money had any impact on developing leadership potential. You can buy good management but you need to inspire and develop leaders, and that’s a totally different kind of investment.”

The research suggests that construction companies are failing to provide adequate development of leadership potential. In particular, within larger companies where 18% are not progressing their leaders in any way; and 45% do not have a formal succession plan or leadership strategy.

Communication skills, strategic vision, understanding of the business, integrity and decisiveness were all regarded as the most important qualities for a leader to be successful in the construction industry.

When respondents were asked to names their own best leadership qualities, communication skills, decision makers, and integrity were the top three returns. This would reaffirm that those taking part in the research believed they were above average as leaders.

The survey asked respondents to name the person they felt was the most influential within the construction industry. The highest proportion of respondents answered either none or dont know. In addition, the government was seen as being the fifth most influential leader within the construction industry, which also signifies a lack of clear construction leaders.

Ray ORourke, chairman and chief executive of Laing ORourke, received the second highest ranking for his ability to get results, vision, passion and ambition. Sir Michael Latham was noted for his ability to influence, his vision and his ability to get results. Sir John Egan scored highly for his ability to get results, his revolutionary approach to the industry, and his ability to influence. 

Nelson Mandela was considered to be the greatest leader outside of the construction industry (past or present); followed by Sir Richard Branson, Bill Gates, Sir Winston Churchill and Baroness Margaret Thatcher.

A full copy of the report can be found at www.ciob.org.uk/resources/research

Key facts and figures

Demographics

§       655 respondents took part in the survey.

§       44% work for an organisation employing more than 500 people: 13% work in an organisation employing more than 201 people. 17% work in a business employing less than 20.

§       57% work in the construction sector: 7% surveying: 5% architecture: 9% consultancy.

§       63% described themselves as senior, middle or junior management. A further 16% described themselves as a company director.

§       43% were aged between 21 – 40 years: 56% above 41 years old: 1% under 21.

§       93% were male, 7% female.

§       71% were located in the UK.

Key findings

§       The most influential leader within the construction industry (top five highest returns).

1.      None / don’t know
2.      Ray O’Rourke
3.      Sir Michael Latham
4.      Sir John Egan
5.      Government bodies and representatives

§       78.5% believed the named influential leader in construction would be able to lead another industry.

§       46% felt that financial benefits and rewards was the most common way for their organisation to retain/reward leadership.

§       23.4% believed exposure to new experiences (e.g. secondments) would help them improve as a leader. 18% said training, 9.2% inspiration, 3.4% financial benefits.

§       18% of respondents working for companies employing more than 500 people did not believe their organisation developed leaders in any way at all.

§       Nelson Mandela was regarded as the greatest leader outside of the construction industry followed by Sir Richard Branson, Bill Gates, Sir Winston Churchill and Baroness Margaret Thatcher. Other responses included Sir Alex Ferguson, Sir Alan Sugar, Tony Blair, Gordon Brown and Warren Buffet.

§       The most important qualities of a leader were (top five highest returns).

1.      Communication skills
2.      Strategic vision
3.      Understanding of the business
4.      Integrity
5.      Decisiveness

§       56% of respondents work within an organisation that has no formal succession or leadership strategy.

§       79.7% believed that leaders from one industry can perform well in another industry.

§       64.7% said that their organisation would recruit its next leader internally.

§       43% felt that the individuals themselves have the biggest impact on developing leadership, followed by 28% who believed other leaders made the greatest impact.

§       25% believed that lack of opportunity was the greatest barrier to potential leaders becoming leaders; a further 24% felt organisational culture was the biggest barrier.

§       90% of respondents considered themselves to be above average or excellent as a leader.

§       When asked to name their weakest leadership qualities the below are the top 5 highest returns:

1.      Not having enough time
2.      Don’t delegate enough
3.      Impatience
4.      Poor communicator
5.      Lack of decisiveness

§       43% of respondents were significantly influenced by a superior manager, 8% by another leader, 6% by their parents, 6% work colleagues, 5% teachers or lecturers.

§       54% of all respondents (male and female) considered that leaders are more likely to be male, while 45% believed that leadership opportunities to be equal.

§       Analysis of the female responses (43 females) shows that a larger proportion (58%) considered leadership opportunities to be equal. 42% of female respondents considered males as more likely to be leaders. However, female respondents did not feel that women were more likely to be leaders (0%).

NOTES TO EDITORS

The Chartered Institute of Building (CIOB) represents for the public benefit the most diverse set of professionals in the construction industry.

The CIOB’s role is to:

·       Promote the importance of the built environment.
·       Lead the industry to create a sustainable future worldwide.
·       Encourage leadership potential.
·       Set the highest standards in quality, safety and qualification.
·       Create an industry where excellence prospers.

Further information is available by contacting Saul Townsend CIOB press and communications manager on 01344 630 766 - stownsend@ciob.org.uk

Spotlight on women at Serco – Anita’s story