Are leadership issues and human resource gaps at the top of your organization's priority list? If you said "yes," you're certainly not alone. Leadership is one of the most studied yet least understood phenomenon in the social sciences. It isn't merely a problem of definition; it also translates into organizations chasing elusive human capital targets with the assumption that we all know good leadership when we see it. Or do we?

We are bombarded with images of so-called leaders, from Richard Branson to Bill Clinton to Oprah Winfrey. I think it's fair to say that our society has become obsessed with the notion of the "great leader." In the American presidential race, Senator John McCain drums up support through his war hero status, while Barack Obama tries to inspire us with Kennedy-esque charisma. How much of this is real, tangible leadership, and how much is probably best left for their closest inside staffers to decide?

When it comes to leaders, what we know from more than 60 years of empirical study is that leadership can only be said to occur when the hearts and minds of followers have bought into the vision of an individual. This individual may work in the mailroom or the corporate suite – these are the people that the average worker seeks out when organizational change occurs or when they need to be able to trust someone. So, if leaders are sitting in cubicles in all nooks and crannies of today's organizations, are we best utilizing their latent potential?

Before we answer that daunting question, let's take a look at the context facing organizations in today's knowledge economy. We are faced with the tightest labour market for highly educated and skilled workers that Canada has ever seen. From the construction industry to government to high tech, everyone is feeling the crunch of not having enough qualified individuals to fill key human resource needs. Add to this the looming redefinition of work as the baby boomers continue to retire (the front end is already out the door!) and the need to be strategic about human capital, which is rising quickly to the top of the priority list. Recruiters from within both organizations and headhunting firms know these problems intimately – they live them every day.

Managers inside organizations are also aware that the labour market is tight, but they are trying to deliver on results while managing four very different generations simultaneously: the baby boomers, generation X, generation Y, and the Millenials. While many in the baby boomer category are thinking of retirement, there are still sizable bills to pay and a significant number are looking to change roles (to more flexible arrangements or consultant-like roles). Generation X has desperately wanted the boomers to move on for some time and is only now beginning to take on more senior roles. Generation Y tends to place a high priority on non-work life and expects employers to accommodate their desire to learn new skills. Finally, the Millenials are entering the workforce never having known the world without a computer! Is it any wonder that managing, let alone leading, is incredibly complex when we think about all the types of diversity in our workforce, each with its own set of strengths and needs? Are we comprehensively tapping into this diverse set of skills and knowledge?

The answer to these questions is largely no – most organizations are not strategically tackling the issue of identifying and developing leaders. That's not to say that there are not best practices, even right here in the Ottawa region, that have been extremely creative about various pieces to the larger puzzle. For example, a decade ago, Dy-4 was among the first to create opportunities for potential employees to chat with current employees online (many have since followed suit and expanded upon the range of possibilities available to potential recruits).

So the issue is not that organizations lack innovative ideas and action plans – it's more about the scope of the problem and how to link a company's strategic vision with the human capital required to deliver on business objectives. With a full decade to examine these problems, there are solutions and certainly well-documented best practices. They may cause you to rethink your own vision of a leader and recognize that what resonates with today's top brass may not be in the long-term interests of the organization.

Another useful starting point is to assess the extent to which your business strategy is explicitly linked to your HR strategy. In our knowledge-based economy where our greatest assets leave the building every evening, those who take time to reflect on these issues and learn about best practices have the potential to lead the path to the new workplace.

A radical shift is underway in how we conduct business and how we deal with employees. With any shift, there are both opportunities and hurdles. Developing comprehensive human resource plans and measuring your targets at every step of the way is a good start. Your measures need to be malleable enough to change with the organization, yet remain meaningful to your core identity. More than anything, future leaders look up – and emulate what they see. Is your organization creating a culture that identifies and develops talent? Are the leaders always acting in ways that resonate with followers? If not, there are many choices for bright young minds – and turnover costs can really undermine the bottom line. Ask any demographer and they'll tell you the situation is only going to get worse, but the flip side is that innovative strategies can be a source of competitive advantage.

The days of the heroic leader are over. We have unsung heroes that are making organizations great. These individuals, along with potential recruits, need plans in place to systematically prepare them for more senior leadership posts. With change as our only constant, you can be sure that the work world that these future leaders will navigate will look very different from today's work world.

Dr. Steven Murphy is an associate professor of organizational behaviour and director of the Executive Certificate in Leadership at Carleton University's Sprott School of Business.

Delivered at the Fairmont Chateau Laurier, Sprott's Executive Certificate in Leadership program provides an in-depth understanding of contemporary leadership challenges and real-world solutions, capped off with an integrative project that helps both your career and your organization. Fall session starts Oct. 18, 2008. Winter residential session runs Feb. 24-28, 2009. For program details, visit sprott.carleton.ca/ppd/indepth/leadership.htm or call 613-520-3486.