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Are leaders toxic? Or are they set up to fail?

Thu, 12 Mar 2026 04:33:22 GMT

Are Leaders Toxic? Or Are They Set Up to Fail?

Leadership failure and toxic workplace culture are often attributed to individual leaders. Yet in many organisations, the roots of leadership problems lie deeper. Unclear roles, misaligned expectations and unsupported leadership transitions frequently shape the environment leaders step into.

Research consistently shows that employees rarely leave because of compensation.
They leave because of leadership and workplace culture.

This observation is often interpreted in a very simple way: Bad leaders create toxic workplaces.

And sometimes that is true. Some leaders bring destructive behaviours with them. Ego, insecurity or narcissistic tendencies can damage organisations quickly and create environments where trust, collaboration and accountability deteriorate.

However, in many situations, the picture is more complex.

Leadership behaviour does not emerge in isolation. It is shaped by the context in which leaders operate.

And that context is often far less clear than organisations assume.

When the Role Itself Is Unclear

Many leaders step into roles where the foundations for success are not fully defined.

Their responsibilities may be vague.
Stakeholder expectations may be misaligned.
Political dynamics may be underestimated.
Success metrics may be loosely defined.
Poor transition into the role
unclear guardrails or structured support.

From the outside, these issues are rarely visible.

What becomes visible instead is:

Hesitation, friction or conflict.
Momentum slows.
Decisions become cautious.
Relationships take longer to form.

Over time, what began as uncertainty can easily be interpreted as poor leadership.

When “Toxic Leadership” Is a Symptom

From experience, what is often perceived as toxic leadership can emerge from a combination of unclear expectations, weak guardrails and limited support during the leadership transition. When leaders operate without clarity about their mandate or how success will be judged, they may begin

protecting territory
removing decision-making to avoid blame OR centralising decisions to regain control
creating friction or distraction as they attempt to assert their role
withdrawing from collaboration
And a lot of other problematic behaviours

These behaviours can quickly be interpreted as resistance or toxicity.

Yet the underlying issue is frequently structural rather than purely behavioural.

This does not mean leadership behaviour is irrelevant. Some leaders genuinely create unhealthy environments.

But in many cases, the conditions around the leader play a significant role in shaping the outcome. In some cases, we see the same role being in a constant rotation of leaders, each one unable to break the cycle.

Culture Is Not Only a Leadership Trait

Organisations often talk about culture as something leaders must fix.

But culture is also influenced by how leaders are appointed, positioned and supported when they enter a role.

When expectations are aligned early, when stakeholders share a common understanding of the responsibilities and when leaders receive structured support during their transition, the likelihood of conflict and cultural friction decreases significantly.

The opposite is also true.

When the role itself lacks clarity, tension and misunderstanding often follow.

Looking Earlier in the Leadership Cycle

If organisations want to improve culture, the conversation may need to start earlier.

Not only with leadership behaviour.

But with how leadership roles are defined, how expectations are aligned across stakeholders and how leaders are supported during the critical early months of their appointment.

Because the question may not only be whether we have the right leaders.

It may also be whether we have created the conditions for leadership to succeed.

A Final Thought

In our work supporting executive appointments and leadership transitions, we often see that the success of a leadership hire depends on more than capability alone. It depends on the clarity of the role and what success looks like, alignment across stakeholders and structured support during the early months of the role.

When these conditions are in place, leaders are far more likely to build momentum, strengthen trust and positively influence culture. When they are not, even capable leaders can struggle to gain traction.

Leadership success rarely depends on talent alone.
It works in tandem with the conditions in which that talent is asked to operate.

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If you are currently navigating a leadership appointment or supporting a newly appointed executive, you may be encountering some of the dynamics described above.

These situations are rarely straightforward and often benefit from structured reflection and alignment across stakeholders.

If you would like to exchange perspectives on leadership appointments or leadership transitions, feel free to connect with us on LinkedIn or reach out for a conversation.

You can also explore more insights on our blog or connect with us on LinkedIn to follow future articles.

Featured leadership appointment

kristina@talentcube.com.au (Kristina Thomas) — Mon, 20 May 2024 10:18:58 GMT

Appointment to the Executive General Manager, Clinical at VCGS

We have been delighted to work with the Victorian Clinical Genetics Services (VCGS) to appoint Melody Menezes as the new Executive General Manager, Clinical. Congratulations to Melody and we look forward to the contributions she will make.

Is executive contracting a good career move?

kristina@talentcube.com.au (Kristina Thomas) — Thu, 16 May 2024 02:30:09 GMT

Executive Contracting, is it a good career move?

In today's dynamic business landscape, the traditional career trajectory is evolving rapidly. Gone are the days of spending decades climbing the corporate ladder within a single organisation. Instead, professionals are increasingly turning to executive contracting as a flexible and rewarding career option. But is it the right choice for you?

The Rise of Executive Contracting

Across Australia, the demand for executive contractors is on the rise. Organisations are recognising the need for specialised skills at specific points in their growth journey. Whether it's navigating digital transformation, leading a restructuring effort, or spearheading expansion into new markets, executives with niche expertise are in high demand.

Pros of Executive Contracting

1. Flexibility: One of the biggest advantages of executive contracting is the flexibility it offers. Contractors have the freedom to choose their projects, work on their own terms, and maintain a healthy work-life balance.

2. Expansion of Network: Contracting exposes executives to a diverse range of industries, companies, and professionals. This expands their network significantly, opening doors to new opportunities and collaborations.

3. Varied Projects: Executive contractors thrive on variety. Each project brings new challenges and opportunities for growth, allowing contractors to continuously expand their skill set and knowledge base.

4. Recognition as a Specialist: By focusing on specific pain points or areas of expertise, executive contractors become recognised as specialists in their field. This enhances their marketability and positions them as go-to experts for tackling critical business issues.

Cons of Executive Contracting

1. Uncertainty: Contracting can bring a level of uncertainty compared to traditional employment. Contractors may face periods of downtime between projects and must be proactive in securing new opportunities. However, with continuous stream of redundancies made on an ongoing basis, one would argue that even permanent employment is no longer secure. According to McCrindle, the average tenure in a job in Australia is now 3.3 years.

2. Lack of Benefits: Unlike full-time employees, contractors typically do not receive benefits such as holiday, parental leave, sick leave, or superannuation contributions. So, contractors must account for these factors in their compensation negotiations.

In summary:

Despite the potential drawbacks, executive contracting offers numerous benefits for the right individual. In today's rapidly evolving business environment, organisations require specialised expertise to address specific challenges and opportunities. Executive contractors fill this need by bringing their unique skills and experience to the table, helping companies navigate complex issues and drive growth.

As the market for executive contracting continues to grow, now is an opportune time for professionals to explore this rewarding career path. Whether you're seeking greater flexibility, expanded opportunities for networking and skill development, or the chance to make a meaningful impact across multiple organisations, executive contracting could be a highly fulfilling and lucrative career option in today's dynamic business landscape.

What is leadership fit recruitment?

kristina@talentcube.com.au (Kristina Thomas) — Wed, 15 May 2024 14:37:00 GMT

Have you ever watched a sports team where the coach just seems... out of sync with the team? It's not that they're not skilled or knowledgeable. It's just that something isn't clicking. That is what we call "Leadership fit". Hiring and retaining top leadership talent remains a challenge for many organisations.

So, what is this Leadership Fit, and why is it the secret sauce for retaining top leadership talent?

Understanding Leadership Fit

It refers to the compatibility between the leaders and the organisations they work for. It's the harmonious symphony that happens when a leader's values, career goals, and behaviours are in tune with the organisation's culture, objectives, and ethos as well as with the team they engage with. When this alignment is off, even the brightest leaders can flicker and fade. But when it's on point, it's like magic. The leader thrives, their teams are engaged, and the organisation soars.

A classic example is Sarah, a CFO who moved from a manufacturing firm to a fast-paced start-up. Despite her impeccable credentials, Sarah felt out of place due to a mismatch in organisational culture and personal values. While Sarah had the right skillset and transferrable competencies, the environment and its culture didn't align with her expectations of with her team, colleagues and leadership as well as her way of operating.

This lack of alignment is not based on skillset but rather on organisational values, structure and culture. Sarah had accomplished wonders in a large environement where there was strong process and structure as well as people decidated to support with all the different aspect of a business. She had great vision and leadership in that context.

Moving forward to her new appointment as the CFO in a start-up, while she struggled to adapt to an environment that didn't have the resources and processes to operate at the level she used to.

Such cases highlight the importance of Leadership Fit beyond just professional qualifications.

A recent survey conducted by the Organisational Behavior Institute found that businesses with a high Person-Organisation Fit among their leaders experienced a 45% increase in retention compared to those that didn't prioritise it.

Practical Steps for Organisations to address Leadership-Fit

Organisation and leadership assessment : Identify the organisation unique attributes and challenges as well as the type of leadership that thrives in that environment.
Role assessment: Crafting a position description that highlight the skills required as well as the challenges it will face.
Recruitment campaign: Designing a campaign that target the right leaders and balance your communication between the benefits of the role as well as its challenges
Holistic onboarding: Designing an onboarding experience that immerses new leaders in the company culture and connects them with cultural ambassadors.
Executive Coaching: Supporting your new leaders in navigating their new environment through executive coaching. Programs such as LeaderShift executive coaching have been designed specifically to support new leaders during their transition period, a period that is a highly stressful and uncertain period for new leaders.
Feedback loop : Encouraging open dialogue about values and objectives ensures alignment. Regular workshops and training sessions can also help reinforce the organisation's values.
Exit Interviews: Conduct exit interviews to understand the factors contributing to leaders' satisfaction and dissatisfaction.
Flexibility and Well-Being: Offer flexible work arrangements and well-being initiatives that reflect the organisation's commitment to work-life integration.

The Bottom Line

Hiring and retaining leadership talent is not just about competitive salaries and fancy titles. It's about the less tangible, but incredibly powerful, sense of fit between the leaders and the organisation. When leaders feel like they're in the right place, they're not just employees—they're advocates, innovators, and the kind of leaders who create legacies.

If you need further support, feel free to contact KTalent to learn how we use organisational psychology best practices to address leadership fit. Visit https://www.ktalent.com.au/ to learn more.

Featured leadership appointment

kristina@talentcube.com.au (Kristina Thomas) — Mon, 13 May 2024 00:19:28 GMT

Appointment to the Head of Intellectual Property

We have been delighted to work with Murdoch Children's Research Institute (MCRI) to appoint Sinth Jegaskanda, PhD, MIP as the new Head of Intellectual Property. Congratulations to Sinth and we look forward to the contributions he will make to innovation, with a broader impact on enhancing the health and well-being of children.

Leadership Trends: Shaping the Future of Organisations for 2024

kristina@talentcube.com.au (Kristina Thomas) — Mon, 22 Apr 2024 14:37:00 GMT

In today's fast-paced business environment, the process of finding strong leaders has become more complex and vital than ever. In this article we cover the evolving trends in leadership recruitment, offering insights for organisations striving to stay ahead in the competitive landscape.

The Rise of Soft Skills

Gone are the days when technical prowess alone defined a great leader. Now, emotional intelligence, adaptability, and effective communication are at the forefront. A leader with high emotional intelligence can better understand team dynamics, resolve conflicts, and motivate employees. Adaptability in leaders is crucial in an ever-changing business world, allowing them to pivot strategies smoothly. Effective communication is no longer just about conveying messages; it's about inspiring, engaging teams and bringing clarity and direction to a diverse group of people.

A study by CareerBuilder found that 71% of employers value emotional intelligence in an employee over IQ, as it often translates to better teamwork and more effective problem-solving.

Technology's Influence on Leadership Development

Future leadership will be significantly shaped by technology. AI and digital tools will enhance decision-making and streamline talent development, but they won't replace the need for human qualities like empathy and ethical judgment. The key for future leaders lies in blending tech insights with these essential human traits, preparing them to navigate a more digital world effectively.

Diversity and Inclusion

Diversity in leadership is no longer just a moral imperative but a business one. Diverse leadership teams bring varied perspectives, leading to more innovative solutions. Inclusion in recruitment means looking beyond traditional talent pools and embracing candidates from various cultural, educational, and professional backgrounds. This approach enriches organisational culture and drives better business outcomes.

A McKinsey report found that companies with ethnic and cultural diversity on executive teams had 36% more profitability than those without.

Remote Leadership

Traditionally leaders and key management roles visited the office to foster collaboration and make key decisions to lead a team effectively. But, with the rise of remote work, today’s work scenario demands leaders who can effectively manage distributed teams across time zones and continents. This required leaders to be proficient in digital communication tools to foster team cohesion and maintain productivity despite being physically distanced. Leaders now need to be adept at building trust and engagement in a virtual environment.

According to Buffer's 2020 State of Remote Work report, 98% of remote workers want to continue to work remotely (at least some of the time) for the rest of their careers, highlighting the importance of skilled remote leadership.

Focus on Sustainability and Ethical Leadership

Today’s candidates are increasingly evaluating companies based on their environmental and ethical practices. Leaders who champion sustainability and ethical practices not only drive positive change but also enhance the company's reputation and employee morale. This trend is prompting organisations to prioritise these values in their leadership criteria.

Internal Talent Development

Developing leaders from within offers numerous advantages. Internal candidates are already aligned with the company culture and understand its operations. Investing in leadership development programs for existing employees can yield more committed and knowledgeable leaders, reducing the risks and costs associated with external recruitment.

According to the Wharton School, internal hires require less onboarding time and are 25% more likely to stay with the organisation.

The Gig Economy and Leadership Roles

Organisations are recognising that you need different kinds of leadership at different times of the organisation lifecycle (growth, consolidation, renewal,...) The gig economy has introduced flexibility in leadership roles. Temporary or contract-based leadership positions can bring fresh perspectives and specialised skills to a project or an organisation. This has a dual advantage; the organisation benefits from a specific approach and skillset needed for a period of time. The contractors / Leader benefits from a broader understanding of different organisations, ways of working and collaborations and is not limited by one unique environment.

Leadership Influence Through Personal Branding and Online Presence

In today's digital age, a leader's brand and online presence are pivotal in shaping their influence and effectiveness within their sector. A well-crafted online persona not only enhances a leader's credibility but also serves as a powerful platform for thought leadership. By actively managing their digital footprint, leaders can expand their professional network, share insights, and influence discussions in their field. This online presence becomes a reflection of their expertise and values, allowing them to effectively engage with peers, stakeholders, and the broader community. In essence, a strong online presence is not just about visibility; it's a strategic tool for leaders to establish and reinforce their influence and contribute meaningfully to their sector.

Globalisation and Cross-Cultural Leadership

As businesses expand globally, the ability to navigate different cultural contexts becomes a critical leadership skill. Leaders who can effectively manage cross-cultural teams contribute to better collaboration and understanding within the organisation. Training programs focusing on cultural sensitivity and global business practices are valuable in developing such leaders.

In summary

The landscape of leadership is evolving rapidly, influenced by technological advancements, cultural shifts, and global trends. Organisations that embrace these changes, adapt their recruitment strategies, and invest in developing diverse, adaptable, and ethical leaders and have a strong understanding of their organisation and leadership style needed will be well-positioned for success in the modern business world.

If you found this useful, do follow KTalent and share this within your network. Every month, we share one thought-provoking article on the psychology of workplace and leadership.

Superannuation in Paid Parental Leave Policy

kristina@talentcube.com.au (Kristina Thomas) — Mon, 15 Apr 2024 02:32:33 GMT

Superannuation in Paid Parental Leave Policy

On March 7, 2024, the government announced that starting July 1, 2025, superannuation contributions will be paid on the government-funded Paid Parental Leave (PPL), administered by the ATO. This "Paying Super on Government Paid Parental Leave" initiative offers various advantages and some considerations.

Here are some key benefits and considerations :

Benefits:

For Employees:

1. Economic Security: Ensures superannuation contributions during parental leave, safeguarding long-term financial health.

2. Gender Equality: Addresses gender disparities in retirement savings, promoting equal financial opportunities.

3. Financial Resilience: Helps parents, especially women, maintain their retirement savings goals, fostering long-term security.

4. Inclusive Policies: Demonstrates a commitment to supportive and inclusive workplace practices.

For Organizations:

1. Employee Loyalty: Enhances employee satisfaction and loyalty through increased financial security.

2. Talent Attraction: Positions organisations as progressive and fair, attracting top talent.

3. Retention: Reduces recruitment and training costs by retaining valuable employees.

4. Productivity: Employees less worried about finances are more engaged and productive.

Considerations:

Organisations and leadership will need to think about :

1. Policy Updates Required: Organisations need to update HR policies to align with the new regulations.

2. Communication Effort: Requires clear communication to ensure employees and potential candidates to understand the benefits.

3. Initial Financial Adjustment Period: May face an adjustment period as the new system is integrated into existing processes.

By understanding both the benefits and the challenges, organisations can better prepare for the implementation of this initiative, ultimately successfully fostering a more supportive and equitable workplace.