Portrait of beautiful smiling businesswoman with her colleagues during a meeting in office board room. Successful team leader and her team working in background.
As artificial intelligence, hybrid work, and continuous disruption redefine the modern workplace, the way organisations develop their leaders is no longer fit for purpose. Across Europe, HR leaders are sounding the alarm: traditional leadership training is not preparing managers for the challenges ahead.
In its latest survey, research firm Gartner identified leadership and manager development as the top priority for HR departments in 2025. Yet only a small percentage of HR professionals believe their current programmes are effective. A growing consensus is emerging—what worked before will not work now.
Leadership in a New Context
The role of managers has changed dramatically. Today’s leaders are expected not just to oversee performance, but to act as emotional anchors, tech navigators, and cultural stewards. The pressure is even greater as organisations grapple with AI transformation, flexible working models, and social responsibility expectations.
The Global Leadership Forecast 2025 from DDI paints a clear picture: organisations that have failed to evolve their leadership development efforts are seeing noticeable declines in employee engagement, retention, and readiness for change. Traits such as adaptability, empathy, and resilience now rank higher than technical mastery or operational efficiency.
This presents a direct challenge to HR. Many existing leadership pipelines focus on outdated frameworks, rigid competency models, or overly theoretical training. Meanwhile, managers on the ground report feeling overwhelmed, unsupported, and unclear on their evolving responsibilities.
What Needs to Change?
To close the gap, HR leaders must pivot from compliance‑driven training to experiential, practical, and emotionally intelligent development. This means designing programmes that are more personalised, collaborative, and responsive to each organisation’s culture and challenges.
One emerging model gaining traction in Europe is peer‑led development—programmes that blend mentoring, live coaching, and shared learning across leadership levels. Others are integrating AI-driven tools to provide real‑time feedback, tailored resources, and leadership simulations.
Equally important is the mindset shift. Rather than viewing leadership as a static destination, many organisations are embracing the idea of “leadership moments”—encouraging all employees, not just senior staff, to lead in their roles. This democratisation of leadership creates a culture of initiative, ownership, and distributed decision‑making.
A European Perspective
In European markets, cultural norms and labour regulations bring unique nuances to leadership development. For example, the emphasis on consensus‑building in Nordic companies requires leaders to cultivate listening and facilitation skills. In Germany and France, where hierarchy remains more pronounced, programmes are evolving to balance authority with emotional intelligence and inclusivity.
The European Central Bank recently launched a new internal mobility and leadership growth initiative aimed at giving staff more cross-functional experience. Though still in early stages, the scheme reflects a broader regional trend: leadership is being built from within, not just hired from the outside.
The Role of HR
HR leaders are not just designing leadership programmes—they are now responsible for creating ecosystems of leadership. This includes aligning performance management, succession planning, wellbeing, and learning & development to reinforce leadership values and behaviours at every level.
Crucially, success depends on trust. Leaders must not only be skilled, but also authentic and accountable. Research shows that employees are more likely to follow leaders they view as fair, transparent, and self‑aware.