The Overlooked Leadership Strategy That Will Hurt Your 2026 Profitability

The Overlooked Leadership Strategy That Will Hurt Your 2026 Profitability

Most organizations have already locked in their 2026 budgets. Yet many have quietly overlooked a leadership strategy that could mean the difference between hitting their profit targets and leaving millions on the table. That strategy is Leadership Resources Management (LRM)—a disciplined way to identify and resolve toxic leaders, reduce leadership misalignment, and retain your most valuable leadership talent.

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4 Choices That Result in Costly Leadership Misalignment

Every minute of every day someone makes a choice that will result in costly leadership misalignment. This occurs when an organization fails to select the right person with the right leadership skillset for the right opportunity at the right time. According to Gallup, this happens 82% of the time. On the surface, that figure seems high, but it’s supported by another Gallup study that states 90% of people don’t believe the person they report to is leadership ready. This is likely because many promotions and assignments are based on functional expertise – not leadership ability or readiness. A brilliant individual contributor doesn’t automatically make a great team leader. Misaligned assignments lead to team disengagement, poor performance, and high turnover.

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3 Leadership Management Pain Points That Are Costing You Money

U.S. companies pour over $200 billion into leadership development each year—yet only 10% see real results, according to Harvard Business Review. There are numerous reasons why, but a contributing factor is probably how most organizations focus on developing leaders… but not managing them for sustainable growth.

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Why Leadership is Your Organization’s Most Valuable Resource

If I were to ask you to name your organization’s most valuable resource, you would probably respond with innovation, technology/data, mineral resources or even your people or culture. People and culture are pretty close, but people usually thrive and like the working environment because of a good leader. Culture is also nourished and supported by a good leader. In fact, a good leader will help an organization maximize the value of all of their other resources.

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