Is there a leader in the room?

Where is everyone? Why is nothing happening? How can people keep leaving when they are supposedly doing well? In executive teams, it can be tempting to look back to a time when being busy was cool, sending emails at all hours was normal, and working weekends was a badge of honour. That was before remote work, #MeToo, diversity, and the wellbeing challenges that define today.

After years of encouraging leaders to be inclusive, supportive and empathetic, phrases like “employee entitlement”, “spoilt young employees” and “unmotivated staff” are starting to emerge in conversations.

But there is nothing wrong with the next generation, or with the rest of us who now work differently. On the contrary, they, alongside external events such as Covid, have driven an important shift towards more modern organisations and leadership. We put people first: we treat each other with respect, recognise life outside work, and strive to attract and engage people of all backgrounds because diversity is both the right thing to do and is good for business.

Productivity is not the issue either. Although only 2% of employees regularly work very long hours, Denmark remains among the most productive countries in Europe, at 140% of the EU average.

There is also no evidence that strict control, rigid rules or financial incentives create the creativity, continuous learning and cross-functional collaboration we need. Quite the opposite.

Instead of blaming the next generation, we need to look at ourselves. The question is not whether we went too far with diversity, flexibility and autonomy. The question is how we make it work, so we can deliver strong results while people thrive.

Over recent years, leaders have focused on putting people first: understanding their leadership values, showing vulnerability, building psychological safety and embracing diversity. But we have spent less time connecting that mindset to the reality of work and the inherent asymmetry between employer and employee. The result is often conflict avoidance, lack of coordination and unclear direction, which not only hurts performance but also makes it harder to drive diversity and wellbeing.

Avoiding micromanagement does not mean ignoring detail. We need to stay curious and engage in each other’s work.

Avoiding orders and instructions does not mean being unclear. We need to set the direction and take an interest in how work gets done.

Removing rigid rules on where and when we work does not mean we should never work together. We need to define what a committed working community looks like in our organisation.

And we need to do all of this with humanity, inclusion and respect. That is difficult if we lack both the courage to face dilemmas and the leadership and communication skills to resolve them.

Leaders must communicate direction, mobilise teams, and when needed prioritise and decide. They must understand strategy, know what people are working on, and follow up on commitments. They must set clear guidelines and respond quickly when the direction changes. They must focus on both present and future, ensuring the organisation develops the right capabilities over time. And they must be willing to have difficult conversations when reality does not match expectations.

This is not easy. It would be far simpler to fall back on old, paternalistic leadership styles. But real leadership requires strong communication, human insight and the ability to balance immediate challenges with long-term strategy, supported by the right structures and culture.

Good leadership is not about choosing between empathy and accountability, but mastering both. To deliver results, we owe it to our people to achieve that balance.

Read the article in Danish in Finans.