Focus on ROI, Return on Inspiration!
As some of you might know, I used to spend most of my days with my head buried in financial reports and spreadsheets. I created financial models and valuations for new initiatives so often that I started to see them in my dreams or possibly nightmares at times.
One of the common financial metrics I used to calculate was the return on investment (ROI). For those not in the know, this is a performance measure used to evaluate the efficiency of an investment or compare the efficiency of a number of different investments. If you have a positive ROI and it was higher than an alternative investment, you would consider moving forward. Many assumptions go into this calculation, and at times it feels like more of a game than a useful tool. However, I am not here to give you a finance class. Instead, I want to introduce you to a new ROI, Return on Inspiration.
Return on Inspiration is a term that captures a measurement of what you get when you choose to use inspiration to motivate and engage yourself and your employees. Conventional management has focused on the old command and control leadership style that exerts pressure to drive people to perform. Inspirational leaders, on the other hand, lead with a clear vision that they can articulate to others. These leaders can help people experience the same passion and motivation for their vision, so they are inspired to leap into action to fulfill these goals. When you lead with inspiration:
▪ You can unite people in a common cause.
▪ People are more likely to tap into their creativity and to be more innovative.
▪ You improve engagement and reduce turnover costs.
▪ You promote an environment that embraces change and adopts a learning mindset. ▪ You promote morale through better communication.
If this is not enough of a return for you, inspired leadership has been proven to deliver excellent financial returns as well.
Now that is something to get excited about!