Organizational Confidence refers to shared belief in an organization that it is positioned for success based on the effective synergy of organizational effectiveness, employee engagement, and effective leadership. Organizational confidence enables organizations to effectively manage change, whether the drivers are internal or external forces. High levels of organizational confidence position organizations for success by fostering a learning culture that allows organizations to be adaptive by focusing processes, resources, talent, and other infrastructure toward the goals of the organization.
Employee engagement refers to the emotional commitment employees have toward the goals of the organization. This commitment supports organizations because it focuses its most important asset—its people, toward the goals of the organization. The goal of highly engaged employees is to have them transcend the notion of being employees to identifying themselves as key members of the organization. Engaged employees help establish organizational confidence by leveraging the collective talent of the organization toward performance, creativity, innovation.
Developing leadership based on tenets of transformational leadership and values-based leadership helps build organizational confidence by articulating a shared vision for the organization, building organizational trust, and promoting engagement through demonstrating genuine concern for others. A key component of leadership development involves an in-depth reflection on individual leaders’ principles and values, particularly as they impact the organization.
Optimizing organizational effectiveness is the process of reviewing and ensuring that there is effective vertical and horizontal alignment of the resources and infrastructure of the organization. Vertical alignment refers to the extent to which organizational resources and infrastructure support the strategic goals of the organization. Horizontal alignment refers to the extent to which the organization’s resources and infrastructure are synergistic and mutually supporting. The organization’s resources include budget priorities, policies, cultural artifacts, human resource systems (organizations structure, reward and recognition programs, performance management, and compensation), and quality of the strategic plan. Developing organizational effectiveness and efficiency fosters organizational confidence.
Adaptive High Performing Organizations
The outcomes of developing a high level of organizational confidence are two-fold. First, The sub-components (leadership development, employee engagement, and optimizing organizational effectiveness) are highly correlated with high performing organizations. High performing organizations align their talent with the strategic goals of the organization, have positive organizational cultures, and focus on organizational learning and knowledge management. Second, developing a high level of organizational confidence is positions the organization to be adaptive and agile so that internal and external pressures for change can be managed effectively.