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Imagine this: You’re a manager with a "difficult" employee on your hands. Maybe they miss deadlines, don’t communicate well, or their work quality is inconsistent. You scratch your head and think, "Ah, I’ll send them to a leadership development program. That’ll do the trick!"

But here’s the kicker—leadership development and performance management are two different beasts. While both are vital for organizational success, they serve distinct purposes. Sending someone to a leadership workshop to "fix" performance issues? That’s like bringing a spoon to a knife fight—well-intentioned, but ineffective.

Let’s dive into the world of leadership development and performance management to unpack what each is intended to do, why managers often get them confused, and how to use each tool effectively. Spoiler alert: it’s not just about sending someone off to training!

What is Leadership Development Really About?

Leadership development is like cultivating a garden. It’s about planting seeds of growth, nurturing potential, and providing the right environment for leaders to flourish. This isn’t about a quick fix or solving immediate problems; it’s about developing capabilities that will shape the future of an organization.

1. Building Strategic Thinkers: Leadership development is about creating thinkers, not just doers. It equips individuals with the ability to see the bigger picture, understand the complexities of business landscapes, and make strategic decisions. Think of it as teaching someone to fish rather than giving them a fish.

2. Enhancing Emotional Intelligence: A good leader isn’t just smart—they’re emotionally savvy. Leadership programs often focus on building self-awareness, empathy, and interpersonal skills. After all, managing people is more art than science.

3. Fostering Innovation and Change Management: Leaders are agents of change. Leadership development teaches how to innovate, adapt, and guide teams through transitions. It’s about being the calm in the storm, not the one causing the chaos!

4. Developing Future Visionaries: It’s about preparing leaders for future roles—often those that don’t even exist yet. This means cultivating agility, resilience, and a learning mindset.

What Leadership Development is NOT Intended To Do

Fix Immediate Performance Problems: Leadership development is not a cure-all for employees who aren’t meeting performance expectations. It’s not a “send them away and they’ll come back fixed” scenario. If someone isn’t hitting their sales targets, sending them to a leadership retreat isn’t going to magically make those numbers go up.

Address Behavioral Issues: Leadership training is not therapy. If an employee has issues with behavior or attitude, these need to be addressed directly and specifically—not masked under the guise of “leadership potential.”

What is Performance Management All About?

Now, let’s switch gears and talk about performance management. If leadership development is the garden, performance management is the gardener—constantly weeding, pruning, and tending to ensure the garden thrives.

1. Setting Clear Expectations and Goals: Performance management begins with setting clear, measurable goals. It’s about aligning employee efforts with organizational objectives. Everyone should know what’s expected of them, no guessing games!

2. Continuous Feedback and Coaching: It’s not a one-time annual appraisal. Effective performance management involves ongoing feedback, coaching, and adjustments. Think of it like a GPS recalibrating—constantly making sure you’re on the right path.

3. Identifying and Addressing Gaps: If an employee is underperforming, performance management identifies where the gaps are—skills, knowledge, or motivation—and works to bridge those gaps. Sometimes, this might involve training, but often, it requires more direct intervention.

4. Accountability and Consequences: Unlike leadership development, performance management involves accountability. If goals aren’t met or behaviors aren’t aligned with company values, there are consequences. It’s about maintaining standards and fairness across the board.

What Performance Management is NOT Intended To Do

Create Future Leaders (Directly): While good performance management can help identify potential leaders, it’s not about creating them. The focus is on current job performance and immediate improvement, not on grooming someone for a role five years down the line.

Substitute for Direct Communication: Performance management isn’t just about filling out forms or checklists. It’s not a substitute for honest, direct conversations about what’s working and what’s not.

Where Do Managers Get Confused?

It’s easy to see why managers might confuse leadership development and performance management. Both involve training, growth, and improvement, but they operate on different timelines and objectives. Here are some common misconceptions:

1. “Training Will Fix Everything” Mindset: This is the most common misconception. An employee isn’t meeting their goals? Send them to a workshop! But without understanding the root cause of the problem, this can be like putting a band-aid on a broken leg.

2. Blurring Lines Between Leadership Potential and Performance: Just because someone isn’t excelling in their current role doesn’t mean they don’t have leadership potential. And vice versa—a top performer isn’t necessarily a great leader. Managers need to differentiate between the two.

3. Avoiding Difficult Conversations: Sometimes, it’s easier to send someone to training than to have a tough conversation about their performance. But real growth often comes from direct, honest feedback, not from deflection.

How to Use Leadership Development and Performance Management Effectively

So, what’s a manager to do? How can you leverage both leadership development and performance management effectively without getting the two tangled up?

1. Assess the Root Cause of the Problem: Before deciding on a course of action, understand whether the issue is about skills, motivation, behavior, or potential. If it’s a performance issue, focus on performance management. If it’s about developing future capabilities, leadership development might be the answer.

2. Create a Culture of Continuous Feedback: Encourage a culture where feedback is ongoing, not just an annual event. This helps in catching performance issues early and allows for timely intervention.

3. Invest in Tailored Solutions: One size doesn’t fit all. Leadership development should be tailored to the individual’s potential and career trajectory. Performance management should be personalized to address specific gaps and needs.

4. Encourage Self-Reflection: Both performance management and leadership development benefit from self-reflection. Encourage employees to understand their strengths, areas for improvement, and where they see themselves in the future.

5. Combine Both Approaches: They don’t have to be mutually exclusive. Effective organizations use both leadership development and performance management to build a strong, agile workforce that is both capable today and ready for tomorrow.

Wrapping it up

Leadership development and performance management are like two sides of the same coin. They both play critical roles in an organization’s success but are designed to address different needs. By understanding the distinct purposes of each, managers can avoid the trap of thinking that sending someone to training will solve all problems. Instead, they can use the right tools at the right time to create a thriving, high-performing, and future-ready organization.

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Tresha Moreland is a 30-year organizational effectiveness and strategic workforce planning expert. She partners with business leaders to develop workplace strategies that achieve best-in-class results. She has held key organizational leadership roles in multiple industries such as manufacturing, distribution, retail, hospitality, and healthcare. Tresha is the founder and principal consultant of HR C-Suite, LLC (www.hrcsuite.com). HR C-Suite is a results-based HR strategy resource dedicated to connecting HR with business results. She has received a master’s degree in human resource management (MS) and a master’s degree in business administration (MBA). She has also earned a Senior Professional in Human Resources (SPHR), Six Sigma Black Belt Professional (SSBBP) Certification. She is also recognized as a Fellow with the American College Healthcare Executives with a FACHE designation.

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