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About the Author

Gene Hammett is an executive coach and the host of the Growth Think Tank podcast, where he has interviewed more than 1,200 leaders of fast-growth companies since 2014. He is the co-founder of Core Elevation and the co-author of How to Have Tough Conversations.

A leadership development strategy is a company’s decision to build more leaders on purpose, tied to where the business needs to be in three years. You commit to developing leaders first, start with the CEO, give the whole team one language of leadership, and combine training, facilitation, and coaching so the change sticks.

Most founders I talk with skip all of that and go straight to buying a program. I’ve talked with over 1,200 leaders of fast-growing companies on my podcast, and here’s what I’d decide before you spend a dollar.

TL;DR

  • ●A leadership development strategy is a commitment to building more leaders, and it exists to serve the company’s 3-year growth plan.
  • ●Make the decisions in order: commit, choose who goes first, pick the leadership skills, choose the formats, then connect the work to the growth plan.
  • ●Start with the CEO, then bring managers, directors, and VPs into the same language of leadership.
  • ●Adults change how they lead when training, small-group facilitation, and one-on-one coaching work together over time.
  • ●Talk to two or three providers, and look for multiple formats and a commitment over time instead of a single event.

What is a Leadership Development Strategy?

I’ve heard the same answer in hundreds of conversations with CEOs. Ask about their leadership development, and they point to a course they bought, a book everyone read, or a workshop from last spring.

That’s a purchase. Your leadership development strategy answers a bigger question. How will your company build the leaders its next three years require?

A training program is one possible answer to the “how” part. The strategy comes first, and it decides whether any program you buy is the right one.

What if the program was never the problem? What if you never decided what it was for?

I tell CEOs this all the time. “Leaders create leaders. Managers get work done.” Read that again.

Your company can be full of good managers, hit this quarter’s numbers, and still stall, because nobody below the founder is growing the next layer of people. You see it, right?

What you’re deciding
Starting question
Buying a program
Which course should we buy?
Having a strategy
What leaders does our growth plan need?
What you’re deciding
Who’s involved
Buying a program
Managers who get enrolled
Having a strategy
The CEO first, then every level of leadership
What you’re deciding
Format
Buying a program
One format, often one event
Having a strategy
Training, facilitation, and coaching over time
What you’re deciding
What success looks like
Buying a program
Completion rates and good reviews
Having a strategy
Leaders making decisions and developing their people
What you’re deciding
How long it lasts
Buying a program
Ends when the course ends
Having a strategy
Runs as long as the company keeps growing

I’ve said it to founders more times than I can count. “I really think that buying a leadership program is a commitment.” Buying one “shouldn’t be a check-the-box kind of thing.” The strategy is how you make sure it isn’t.

Why Do Check-the-Box Leadership Programs Fail?

Check-the-box offerings feel good. A book of the month club or a low-cost online course library gives everyone something to point to, and the budget line looks responsible.

I call it the “perk nobody uses.” Everyone gets access, a few people log in, and a couple of months later nothing about how your managers lead has changed.

Those offerings rarely touch how leadership shows up on a Tuesday afternoon, when a manager has to hand off a decision or have a tough conversation. Books and courses can support a strategy, but they aren’t the strategy.

Here’s why they stall:

  • ●Nobody committed to them, so they become a perk nobody uses.
  • ●They teach people about leadership without practice in real work.
  • ●They run on one format, and adults rarely change from one format alone.
  • ●They got picked because a peer company bought the same thing.

That last one is more common than you’d think. Founders copy what their peers are doing, and plenty of those peers are doing it poorly. I’ve watched it happen over and over.

When a CEO asks me where to look instead, my answer is the same every time. “They might need to look outside their industries and their peer groups to find what’s really working and find a program that offers multimodalities of learning for adults.”

Not sure where your leadership gaps are?

Grab time with me on a free Founder Freedom Strategy Call. Together we’ll pinpoint the places your business still runs through you and the leaders you’d develop first. Book your Founder Freedom Strategy Call, and you’ll leave with an honest read either way.

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Make Five Decisions Before You Buy a Program

Here’s the order I walk CEOs through. Each decision sets up the next one, so skipping a step usually means coming back to it later (and usually at a worse time).

Decision
1. Commit
The question you answer
Are we committed to developing leaders?
What a good answer looks like
Money and time set aside, even when the quarter gets busy
Decision
2. Who
The question you answer
Who goes first?
What a good answer looks like
The CEO, then managers, directors, and VPs
Decision
3. What
The question you answer
Which skills do we build?
What a good answer looks like
Leadership skills such as empowerment, accountability, coaching, communication, and use of time
Decision
4. How
The question you answer
Which formats do we use?
What a good answer looks like
Training, facilitation, and individual coaching working together
Decision
5. Connect
The question you answer
How does the work serve our 3-year plan?
What a good answer looks like
Leaders built for the hiring, decisions, and innovation the plan calls for

Commit to Developing Leaders First

Everything else rests on this decision. “They need to commit to the idea of developing leaders first.”

I know how that commitment feels from the buyer’s side. When I wrote my first big check to a coach of my own, I had knots in my stomach, and the breakthrough started the day I signed, well before our first session.

The commitment costs money that could go to marketing, product, or a new hire. You’ll also pull time from people who already feel stretched, and I won’t pretend otherwise. “That investment is probably going to be a little bit of a sacrifice.”

Without the commitment, you get the “perk nobody uses.” With it, people show up, the CEO protects the calendar, and leaders practice between sessions.

Are you willing to protect this when the quarter gets busy?

Start With the CEO, Then Add the Next Class

Who should go first, the CEO, the managers, or everyone at once? My answer is the CEO, every time. Your managers watch how you lead, and they’ll copy that long before they copy anything from a workshop.

I learned that one the hard way. In my ticket business, I was the firefighter pulled into every problem of the day, and every fire I put out taught my team to hand me the next one.

Once you have the trust and the tools, extend the work to the next class of leaders: your managers, directors, and VPs. They learn the language you’re already using, so a conversation about accountability means the same thing in every department.

What about everyone at once? I’d rarely do it. A whole-company rollout on day one spreads attention thin, and your people end up waiting to see whether the CEO changes first.

Phase
First
Who’s in it
The CEO
What they build
Trust, tools and the language of leadership
Phase
Next
Who’s in it
Managers, directors and VPs
What they build
The same language, applied with their own teams
Phase
Later
Who’s in it
Emerging leaders below them
What they build
Leadership grown by the leaders above them

“Our flow is really kind of start slow and build into it, and I think that’s a good way to select a program.” If your managers are next in line, here’s what goes into a manager development program that sticks.

Choose Leadership Skills Over Work Skills

Your managers already proved they can do the work. A leadership development strategy builds the skills that grow other people, so the company has decision-makers below the founder.

People lump work skills and leadership skills together all the time. Work skills are how well someone does the job, and leadership skills are how well they grow the people who do it.

Leadership skill
Empowerment
What it changes
People make decisions instead of waiting for the leader
Sign it’s missing
Decisions pile up on the manager’s desk
Leadership skill
Accountability
What it changes
Clear expectations with real follow-through
Sign it’s missing
Missed commitments get quietly fixed by the leader
Leadership skill
Coaching
What it changes
Leaders grow how their people think
Sign it’s missing
Every question gets an answer handed back
Leadership skill
Communication and tough conversations
What it changes
Problems get raised early and directly
Sign it’s missing
Issues surface only once they’re a crisis
Leadership skill
Use of time
What it changes
Leaders spend their week leading people
Sign it’s missing
Calendars packed with individual contributor work

Want a closer look at each one? Start with our guide to the leadership skills managers need.

For most teams, tough conversations are the weakest of the five. Is that true on yours?

Use Training, Facilitation and Coaching Together

Adults learn through more than one format, so a strategy built on one format leaves most of the change on the table. I think of it as three parts of learning, and you need all three.

Part of learning
Training
What it looks like
Video lessons people take on their own time
What it does
Gives everyone the concepts and a shared language
Part of learning
Facilitation
What it looks like
Small peer groups that discuss, align, and learn from each other
What it does
Turns concepts into real situations, with peers who call out excuses
Part of learning
Individual coaching
What it looks like
One-on-one sessions with a coach
What it does
The transformation element, where mindsets and habits shift

You’ve heard “leaders at every level” a hundred times. But does your budget pay for all three parts, or only the cheapest one?

Research backs the mix. A 2017 meta-analysis of leadership training covering 335 independent samples found the strongest programs used several delivery methods (practice above all), spaced sessions over time, and face-to-face delivery instead of self-administered courses.

SHRM describes the widely used 70-20-10 model the same way. In that model, about 70 percent of leadership learning comes from on-the-job experience, 20 percent from people such as mentors and coaches, and 10 percent from formal courses. In other words, the classroom is the smallest slice.

Here’s where the common methods fit:

Method
Video training
Where it fits in the strategy
Part one of the three: concepts and language
Method
Peer groups with a facilitator
Where it fits in the strategy
Part two: practice and alignment with peers
Method
One-on-one coaching
Where it fits in the strategy
Part three: the transformation element
Method
Real decisions handed to leaders
Where it fits in the strategy
Practice between sessions, where the job becomes the classroom
Method
Tough conversations on the calendar
Where it fits in the strategy
Practice on the skill most leaders avoid
Method
Mentoring
Where it fits in the strategy
Supports coaching with experience from a senior leader
Method
360-degree feedback
Where it fits in the strategy
Supports self-awareness by showing the gap others see
Method
Stretch assignments
Where it fits in the strategy
Supports growth by testing new skills under pressure
Method
Job rotation and cross-functional projects
Where it fits in the strategy
Supports perspective across departments
Method
Shadowing senior leaders
Where it fits in the strategy
Supports learning by showing what good looks like up close
Method
Leadership offsites
Where it fits in the strategy
Supports alignment between cycles
Method
Book clubs
Where it fits in the strategy
Supports discussion, never the strategy itself
Method
Online course libraries
Where it fits in the strategy
Supports reference at best, and rarely changes behavior alone
Method
One-time workshops
Where it fits in the strategy
Supports momentum at best, and fades without follow-up

At Core Elevation, our Leadership On-Ramp exists for exactly this work, creating more leaders and closing the skill gap between your executives and your managers. Saint Hung, CEO of Universal Processing, has said his sales management team’s time in the Leadership On-Ramp lined up with a 34.3 percent growth year. You can see more about our approach to leadership development for growing companies.

Connect It to Your 3-Year Growth Plan

Years ago, I answered a simple question about where I wanted my business to be in three years. I hit about 90 percent of it in two, and that’s when I realized I hadn’t thought big enough.

Your growth plan deserves the same honesty. Here’s the line I come back to most: “A 3-year growth plan requires people to be leaders, people to make decisions, define new strategies and innovations.”

Pull out your plan and read it as a list of leadership demands. Every goal in it assumes someone below you can carry it for you.

If your plan includes
Hiring and growing headcount
You’ll need leaders who can
Bring on, develop, and keep new people without routing them through you
If your plan includes
Working at a higher level
You’ll need leaders who can
Make the decisions their old boss used to make
If your plan includes
New strategies
You’ll need leaders who can
Think past their own department and align with their peers
If your plan includes
Innovation
You’ll need leaders who can
Spot problems early and try new ideas without waiting for permission

Build those leaders on purpose, starting now. A plan that depends on leaders you haven’t developed yet is a hope, and hope isn’t a strategy.

Want to see how other founders build leaders below them?

Join my free live workshop. I’ll show founders of companies with 30-plus people how to move from founder-dependent to founder-led and close the gap between their managers and their executives.

Register for the free workshop →

Learn From a Junior Executive Team That Grew Into Its Role

One of our clients had a very junior executive team. They were young, none had been an executive before, and most had little experience even as managers.

They were still asked to lead departments, solve problems, be proactive, and find new strategies. Their basic leadership skills weren’t there yet.

Here’s what we did together:

  • ●Saw the gaps. Each leader, along with the CEO, looked at which specific skills were missing.
  • ●Built the right skills. The work focused on empowering their people to make decisions, accountability, coaching, and communication, especially tough conversations.
  • ●Worked as one team. We worked with the entire executive team and the CEO together, so everyone learned the same language.

Over one to two years, they became a strong team. They had ups and downs as every team does, and we guided them through those cycles.

The company committed to developing the whole team in one language, starting with the CEO. That leadership foundation is what carried their growth plan.

The CEO and that young team did the hard work, and they get the credit. We were there to guide them.

How Should You Evaluate Leadership Development Providers?

Talk to at least two or three programs before you choose. Would you hire a VP after one interview? Then don’t pick a leadership partner after one sales call.

Question to ask
What formats do you use?
What a good answer sounds like
Training, small-group facilitation, and one-on-one coaching, used together
Question to ask
How long do you work with a company?
What a good answer sounds like
A commitment over time, measured in cycles instead of a single event
Question to ask
Where do you start?
What a good answer sounds like
With the CEO, then the next class of leaders
Question to ask
Which skills do you build?
What a good answer sounds like
Leadership skills such as empowerment, accountability, coaching, and tough conversations
Question to ask
How does this connect to our growth plan?
What a good answer sounds like
They ask about your 3-year plan before they pitch anything
Question to ask
Who have you worked with?
What a good answer sounds like
Companies at your stage, including some outside your industry

Watch for these red flags:

  • ●One workshop or offsite sold as the whole answer
  • ●A content library pitched as leadership development
  • ●No real role for the CEO
  • ●No clear way to show what changes in how people lead

Ask your peers what they use, then look past your industry and peer group too. Some of the best answers come from companies that look nothing like yours.

What Does Waiting Another Year Cost You?

You might be thinking now isn’t the time, that you’ll get to leadership development after this quarter’s push. I’ve heard that line from plenty of CEOs, and the pull is real. But the cost of waiting builds quietly, long before it shows up in a report.

If you put leadership development off for 12 months, things will look normal at first. Work still gets done.

Then things get a little harder. You’ll notice it in small ways:

  • ●More alignment issues between departments
  • ●Less proactive communication from your managers
  • ●Tough conversations that keep getting pushed to next week
  • ●Managers who control and micromanage their way to the goal

That last one hides the problem, since the numbers still come in. Over time, the company stagnates because, without leaders creating leaders, it can’t scale past 30, 40, 50, or 100 employees without real strain.

The pressure lands on your managers first. Gallup’s State of the Global Workplace 2026 found manager engagement fell from 27 percent to 22 percent between 2024 and 2025, and lower manager engagement drove most of the global decline.

That matters for your whole company, since Gallup estimates managers explain at least 70 percent of why engagement rises or falls across teams. A 3-year plan built on managers who only manage work is a plan you can’t execute.

How Will You Know the Strategy is Working?

Skip the course completion rates. Watch how leadership shows up in the business instead:

  • ●Decisions get made below you, and fewer problems land on your desk.
  • ●Managers hold their own people accountable instead of escalating.
  • ●Tough conversations happen earlier, before a problem becomes a crisis.
  • ●Leaders use the same language across departments.
  • ●Your managers start developing the people below them.
  • ●Leaders bring you new strategies instead of waiting for yours.

How many of those can you check off today?

Gallup also gives you a benchmark for what good can look like. In best-practice organizations, 79 percent of managers were engaged in 2025, nearly four times the global average.

Expect ups and downs along the way. The five stages of developing leaders show what changes at each level as the work takes hold.


Frequently Asked Questions

Founders and people leaders bring these up with me constantly, so here are short answers.

What is the Difference Between a Leadership Development Strategy and a Leadership Development Plan?

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A strategy is the company-wide decision about who you develop, which skills, which formats and how the work serves your growth plan. A plan applies that strategy to one person, with their own gaps and goals.

How Much Should a Company Spend on Leadership Development?

+

There’s no single right number. Set the budget from what your 3-year plan needs from your leaders, and expect it to feel like a real investment.

Can a Company With 30 Employees Have a Leadership Development Strategy?

+

Yes. Around 30 people is when the founder can no longer sit in on every decision, so the timing is right. Start with the CEO and the first few managers.

Should HR or the CEO Own Leadership Development?

+

The CEO owns the commitment, and HR is a key partner in running the work. When HR owns it alone, leadership development tends to shrink into a program.

How Long Does a Leadership Development Strategy Take to Work?

+

The junior executive team I described took one to two years to become strong. Plan for several cycles, and keep going through the ups and downs.

Commit First, Then Start Slow

I opened by saying most founders skip straight to buying a program. The ones who build real leadership teams commit first, start with themselves, and bring their leaders into one language.

So here’s your next step. Give it fifteen minutes and a pen today. Take your 3-year plan, circle every goal that depends on someone below you making decisions, and write the name of the person who’d carry each one.

Then look at those names.

Who are you building to carry that plan?

Are they ready today? If they aren’t, what’s the first decision you’ll make this week?

Ready to build your leadership development strategy?

To be clear, you don’t need us to build this. But if you’d like a second set of eyes, a free Founder Freedom Strategy Call will help you sort out who goes first and what your leaders need for the next three years.

Schedule your free strategy call →

Lead with courage.

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