The dual role of leaders, driving change and being impacted by change

Abstract

The financial services is currently faced with severe pressure to transform. Digital banking, crypto currency, block chain and the introduction of FintechÕs are revolutionising the financial industry at an exponential pace (Dapp, 2014; Kshetri, 2016). Traditional financial institutions are at risk of declining profits by 2025 if they do not continue to innovate and change (McKinsey, 2017). To survive, this industry requires vast amounts of transformational change (Anderson & Ackerman, 2001). The need for change will place additional burden on the current complexities of non-owner leaders and it is with this complexity that this study was borne. The study aims to understand the dual role of non-owner leaders driving change and being impacted by change. Exploratory, qualitative data was collected by means of semi-structured interviews from 21 non-owner leaders identified through non-probability sampling from seven global financial organisations. The data from these interviews was analysed by means of thematic analysis in which six themes emerged in support of the findings. Three major findings emerged: Firstly, leaders acknowledge that a dilemma exists in fulfilling these dual roles and are able to cope by virtue of the fact that change is inherent in the role of leadership and they possess specific characteristics and traits. Secondly, change may be inherent in the role of leadership but it is not explicitly understood by subordinates that are part of the bi-directional relationship. Finally, support tools that are required by change leaders to enhance their change effectiveness; include a support network, transparent environment, reward and opportunity and resources.