Leading a team is hard, especially in today’s work environments. Employees, managers, and executives feel stressed, and growing distrust within organizations creates tension in departments. The leadership crisis is apparent in the newly released DDI Global Leadership Forecast 2025 report, which highlights the challenges facing organizations with executive burnout and retaining their most valuable leaders.
Forward-thinking companies are finding ways to adapt, turning these challenges into opportunities. By focusing on key insights, strategies, and executive coaching, companies can get ahead of the curve, improving employee trust and company growth to strengthen organizational resilience.
Leadership Trends and Strategies
As the workplace consistently changes, an organization’s health depends on how well its leadership performs. Management feels the weight of this responsibility, with 71 percent of leaders reporting increased stress levels and 40 percent contemplating leaving their roles altogether. This potential exodus threatens stability and success.
Instead of focusing on the negative, there are many ways companies can use key insights from the latest report to improve upon their practices to develop leaders, keep high-quality management, and improve overall company morale.
1: Distrust From Employees
When employees are happy, management is happy, and the company is more productive. DDI’s report shows that this isn’t happening in the workplace. Trust is key for effective leadership, but there has been a staggering decline in trust between workers and their direct supervisors. In 2022, 46 percent of employees trusted their immediate managers; that trust dropped to 29 percent in 2024.
Steps for Building Trust
Upper management teams need to rethink how they build trust back to make work life easier. Here are the following strategies to help rebuild trust:
- Actively listen and show empathy.
- Create a psychologically safe environmentfree to share ideas, concerns, and feedback without ridicule.
- Be transparent and share your rationale behind decisions.
- Encourage creativity and challenge employees to important tasks.
The Outcome: Organizations that invest in executive coaching and development programs for their leaders see positive results. With proper coaching and training strategies, employees are 11 times more likely to trust their managers.
2: Leadership Burnout
Everyone experiences some level of stress at work, but upper management and executives are feeling the heat. 54 percent of leaders are concerned about burnout, which is causing professionals to resign from leadership roles and leave departments without sufficient management.
Steps for Addressing Leadership Burnout
Leading a team is hard work, but companies can better support their fearless leaders. Here are the following strategies to mitigate burnout:
- Implementing mental fitness programs for managers.
- Offering individual and group coaching sessions.
- Promoting work-life balance.
- Providing resources for stress management.
The Outcome: Executives and managers with supportive work environments are 10 times more likely to excel in their roles and 3 times less likely to experience chronic stress.
3. C-Level and Frontline Management Gap
Lack of clarity happens in organizations, but when your frontline managers lack a sense of purpose — that is a recipe for disaster. The widening disconnect between leadership levels is on the rise. While C-suite executives feel more aligned with their company’s mission (67 percent in 2024), frontline management has experienced a 20 percent decline (compared to 2020).
Steps for Unlocking Frontline Management Purpose
Frontline leadership is essential for the success of a company and overall employee well-being. Here are the following strategies to empower frontline managers:
- Upper supervisory tiers should recognize frontline leaders’ expertise and extensive knowledge.
- Align team goals with organizational purpose.
- Create open communication channels between levels of management.
The Outcome: By implementing these strategies, these managers are 17 times more likely to have a positive outlook and are 3 times more likely to stay with their company.
4. Future-Proof with Leadership Development
The skills gap between current leadership capabilities and future needs is growing. Companies must proactively develop executives and managers, focusing on skills like adaptability, digital literacy, and emotional intelligence.
Steps for Developing Leaders
Every company has high-potential employees who can be developed into leaders. Here are the following strategies for leadership development:
- Providing individual coaching for high-potential employees.
- Implementing mentorship programs.
- Offering clear career progression paths.
- Invest in skill development programs.
Retaining and developing quality employees has become more important in the competitive labor market. 54 percent of CEOs’ primary concern is attracting and retaining top talent.
By prioritizing trust and leadership development, companies can overcome these hurdles and position themselves for success. Addressing the challenges highlighted in the Global Leadership Forecast 2025 will be crucial for organizational retention and growth.
Management training and development should always be a part of a company’s strategy. Without effective executives and managers, organizations would fail. Having the right partner to help with executive coaching & leadership development can improve your team, culture, and productivity. TalentRise offers tailored coaching and development programs designed to foster resilient and adaptable leaders. Contact TalentRise today to build your leadership pipeline for 2025 and beyond.