Home
>
Thoughts
>
Article

Article

Article-Web-Agt-5.jpg
Prevent the Financial Impact of Bad Business Negotiations with Negotiation Skills Training Certification
20 August 2025

Poor business negotiation skills can impact a company's financial well-being. One result of poor negotiations is that neither party achieves a win-win solution, but rather a one-sided outcome.

Good negotiation isn't just about winning a deal with the other party; it's also about maximizing your company's long-term profits and success.

However, what happens if your team lacks the skills to negotiate effectively?

The negative impact is financial. Companies can experience lost profits due to poor negotiations.

A survey conducted during a business webinar found that participants acknowledged poor negotiation skills caused a loss of more than 5% in profits and highlighted the potential for a 50% profit increase through improved negotiation skills.

Will you continue to compromise if your team has poor negotiation skills? If not, the following will discuss the financial impact of poor business negotiations and address them through employee development programs such as negotiation skills training certification.

The Hidden Costs That Arise When Business Leaders Negotiate Poorly

An essential skill for business leaders, in addition to leadership skills, is the ability to conduct effective and profitable negotiations for the company.

Bad negotiations aren't about failing to reach an agreement, but about failing to maximize the benefits of agreements made with external parties.

Poor business negotiations can even lead to hidden costs that are unforeseen.

Here are some of the financial impacts or hidden costs that arise from poor negotiations.

Lost Sales Opportunities

Ineffective negotiations can result in less favorable agreements, such as higher prices or inflexible terms.

This can reduce the competitiveness of your product or service, resulting in lost sales opportunities. For example, a technology company lost a $50 million contract due to negative online reviews, which made potential partners hesitant to collaborate.

Damaged Relationships with Clients and Partners

An overly aggressive negotiation approach or one that doesn't consider the interests of the other party can damage long-term business relationships. For example, a franchise company struggled to expand due to a strained relationship with the franchisor stemming from negotiations that failed to respect the value of the partnership.

Lost Company Profits

Poor negotiations can lead to agreements that are detrimental to the company, such as higher prices for goods or services or unfavorable terms. This can lead to lost revenue in the form of lower selling prices.

If a company fails to reach a favorable agreement in negotiations with suppliers, they may be forced to purchase goods at higher prices than their competitors. This reduces their profit margins, which directly impacts financial performance.

Litigation and Dispute Resolution Costs

Poor negotiations often lead to disagreements that cannot be resolved amicably. This can lead to high litigation costs if one party decides to take the matter to court. This legal process is not only time-consuming but also very expensive.

Decreased Competitiveness

With poor negotiations, companies may be trapped in less flexible or unfavorable agreements, which can harm their market position. This can lead to a decrease in their competitiveness, ultimately impacting revenue.

How to Avoid Hidden Costs of Poor Business Negotiations?

The hidden costs or financial impact of poor business negotiations can be overcome by building trust and conducting negotiations that prioritize a balance of benefits for both parties.

To avoid these financial impacts, business leaders also need to avoid common mistakes that often occur in negotiations, such as rushing, not building trust first, and others.

Here are some ways to avoid these hidden costs:

  1. Build Trust and Transparency. Openly share business goals and expectations with suppliers and partners to build mutually beneficial relationships.
  2. Value-Based Negotiations. Instead of focusing solely on price, consider the long-term value of the relationship, including quality, support, and innovation.
  3. Avoid Overly Competitive Negotiations. An overly pressured approach can damage relationships and reduce opportunities for future collaboration.
  4. Conduct Due Diligence. Before signing a contract, be sure to thoroughly check the supplier's reputation and capacity to fulfill their commitments.
  5. Use Technology for Contract Management. Implementing an effective contract management system can help track obligations, expiration dates, and ensure compliance with agreements.

How Can a Business Leader Improve Their Negotiation Skills?

Who needs negotiation skills most? Business leaders, of course, but not just business leaders; their teams must also be able to negotiate.

Negotiation is a skill that deals directly with people and requires practice.

Here's how to improve your business negotiation skills:

Thorough Preparation and BATNA Analysis

Before entering the negotiation table, business leaders must prepare by understanding the positions and interests of all parties involved.

Identifying the BATNA (Best Alternative to a Negotiated Agreement) provides greater bargaining power and helps determine the bottom line of agreement.

According to the Program on Negotiation at Harvard Law School, having a strong BATNA enables negotiators to make better decisions and avoid costly agreements.

Applying a Principled Negotiation Approach

The book "Getting to Yes" by Fisher and Ury proposes a principled negotiation method consisting of four main principles:

  1. Separate the person from the problem. Focus on the issue, not the individual.
  2. Focus on interests, not positions. Explore the reasons behind the position taken.
  3. Create options for mutual benefit. Think creatively to find solutions that benefit all parties.
  4. Based on objective criteria. Use fair and mutually acceptable standards.

Improving Emotional Intelligence and Communication

The ability to actively listen, demonstrate empathy, and communicate effectively is crucial in negotiations. According to HBS Online, business leaders must learn to create shared value by understanding the other party's perspective and adapting to dynamic situations.

Practice Through Negotiation Simulations

Conducting simulations or role-playing can improve negotiation skills. Programs like Negotiation War Games, developed by Outcome Simulations, use role-based simulations to prepare negotiators for a variety of complex situations. This method has been proven effective in improving negotiation outcomes.

Advanced Education and Training

Attending a negotiation training program from a reputable institution can deepen your understanding and skills. For example, Harvard Business School offers the Negotiation Mastery course designed to help participants close stalled deals, maximize value creation in agreements, and resolve differences before they escalate into costly conflicts.

How Can Negotiation Skills Training Certification Improve Negotiation Skills?

If you're looking for an institution that provides advanced training to hone a business leader's business negotiation skills, the negotiation skills training certification program from prasmul-eli is the answer.

This program provides an in-depth understanding of profitable negotiation techniques, from careful preparation with a BATNA (Best Alternative to a Negotiated Agreement) to using a collaborative approach that leads to win-win solutions.

Business leaders are taught how to build strong relationships with partners and clients, thereby creating mutually beneficial agreements and minimizing the financial risks of bad deals.

Furthermore, this training introduces participants to the importance of soft skills such as effective communication, empathy, and listening, which are essential in any negotiation process.

With simulation sessions and hands-on practice, participants can hone their skills in conditions close to real-life situations, thus better preparing them for the challenges of complex negotiations.

As a result, this training not only improves negotiation skills but also helps companies reduce hidden costs, avoid costly disputes, and increase overall revenue and profitability.

Article-Web-Agt-4.jpg
How to Design a Business Strategy to Remain Relevant to Market Conditions
20 August 2025

Every business leader wants their business to continue to generate sustainable profits. However, market conditions can change, so businesses need to design a business strategy to stay relevant to current market conditions.

A business strategy helps companies maintain their market leadership, identify new business opportunities, and even plan exit or pivot strategies if the current business model is no longer relevant to the market.

Designing an effective business strategy can increase a company's profits. As stated by McKinsey Senior Partner Kevin Laczkowski, who revealed that only 20% of companies generate 90% of total economic profits over a ten-year period.

Companies that successfully achieve this position typically undertake major strategic moves that increase productivity, differentiation, and effective resource allocation. However, only 8% of companies successfully transition from a middle-tier position to a top-tier position within that period.

Unfortunately, business strategy formulation receives insufficient attention. According to the Harvard Business Review, 85% of executive leadership teams spend less than an hour discussing business strategy. In fact, this research found that employees were unaware of the company's business strategy.

The focus on execution is certainly appropriate. However, execution will not produce optimal results if the strategy is ineffective. This means you're wasting time.

Therefore, this discussion will guide you in designing an effective business strategy so that execution can have the maximum impact on your business.

What are the Elements of a Business Strategy?

A business strategy is a process an organization uses to utilize available knowledge to discuss the desired direction of a business.

This strategy formulation process will be used to prioritize necessary execution, allocate resources effectively, align company goals, and implement goals effectively.

Is a business strategy different from a corporate strategy? The difference lies in the strategy's focus and level of implementation.

Here are some elements that business leaders need to consider when planning a business strategy:

Company Vision and Mission

The business strategy being designed needs to align with the company's vision and mission, which have existed since its inception.

Based on the company's vision and mission, the business strategy will have a clear and well-defined focus, goals, and objectives.

Strategic Goals and Objectives

Businesses need to establish clear and well-defined goals and objectives to serve as the foundation of every business strategy.

Goals serve as a compass for measuring progress. Define the goals and objectives to be achieved using the SMART method to ensure alignment throughout the organization.

SWOT Analysis

To determine the necessary steps in a business strategy, businesses need to analyze external and internal aspects through a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis.

External and internal analysis supports strategic decision-making by identifying areas of strength and potential challenges.

Competitive and Environmental Analysis

Understanding the competitive landscape and broader environmental factors is crucial for effectively positioning a business.

Tools such as Porter's Five Forces and PESTLE (Political, Economic, Social, Technological, Legal, Environmental) analysis help evaluate market dynamics and external influences.

Resource Allocation and Capability Assessment

Evaluating a company's resources, such as financial, human, and technological resources, as well as assessing organizational capabilities, ensures that the business can effectively execute its strategy. This involves aligning resources with strategic priorities.

Strategic Initiatives and Action Plans

Developing specific initiatives and action plans explains how the strategy will be implemented.

These plans detail the steps necessary to achieve strategic objectives.

Performance Metrics and Evaluation of Key Performance Indicators (KPIs)

To measure the designed business strategy, it is necessary to establish performance metrics in the form of Key Performance Indicators (KPIs).

Regular evaluation ensures that the business strategy remains aligned with objectives and adapts to changing conditions.

How to Develop an Effective Business Strategy?

Once you have prepared the elements of a business strategy, it's time to develop an effective business strategy.

Here's a formula for developing an effective business strategy according to Harvard Business School.

Start with Purpose

Purpose is the foundation of a strong business strategy. A clear, purpose-driven strategy will help you align your organization's efforts toward a common goal and ensure your company's vision resonates with stakeholders such as employees, customers, shareholders, and others.

A purpose-driven strategy focuses not only on profits but also considers the broader impact the company has on people and the planet.

How do you start with purpose? Begin by defining your company's mission and core values. Align strategic goals with social and environmental considerations.

Integrate purpose into the company culture, ensuring employees feel motivated by the significant impact they contribute.

For example, Unilever's Lipton brand, which built its strategy around the goal of producing sustainable tea, aligns its entire strategy to benefit people and the planet, ultimately generating profits through a strong, purpose-driven brand.

Consider the Global Context

Global economic, social, and geopolitical conditions need to be a primary consideration.

Business strategy cannot be separated from its surrounding environment. You need to continuously evaluate the global context, considering factors such as geopolitical developments, economic shifts, and market trends that could impact your strategy.

Regularly monitor international news, political events, and industry trends. Then, evaluate how global companies impact your supply chain, customer base, and business operations.

Then, build flexibility into your strategy. This allows for quick adjustments to external shocks or new opportunities.

For example, the dairy industry, especially in countries like Mongolia, would need to adjust its strategy if China decided to heavily subsidize its dairy sector, making local production less competitive.

Data Analysis and Case Studies

Your business strategy should be data-driven and supported by internal data and external case studies or economic trends.

Data analysis helps reduce cognitive bias, ensuring that every decision is based on facts rather than assumptions.

Internal data used can include company financial data, historical performance, and customer insights. This also includes analyzing sales trends, market share, profits, customer satisfaction, and product performance.

External data can include case studies of other companies' successes and failures. Study companies in your industry or other industries to understand successful strategies, especially under similar market conditions.

Take Netflix as a case study. Netflix demonstrates how a data-driven strategy can be a game-changer. Netflix used customer viewership data to identify patterns, personalize recommendations, and develop its own original content, ultimately transforming it from a DVD rental service to a global streaming leader.

Communicate Effectively

Effective communication is key to the successful execution of a business strategy. Businesses must not only design a solid strategy; they must also ensure that every stakeholder in the organization understands the plan, their role, and how they contribute.

Research shows that 95% of employees don't understand their company's strategy. For a strategy to be successful, employees must clearly understand not only the "what" and "how" of the strategy, but also the "why."

This creates alignment and empowers employees to make decisions that contribute to the company's overall goals.

Whenever a business strategy is formulated, clearly explain the vision, goals, and objectives of the strategy to all employees.

Hold regular strategy meetings, general meetings, or updates to ensure everyone is aligned.

Create feedback mechanisms such as surveys and team discussions to gauge employee understanding and engagement.

An example of a company that implements effective communication is Starbucks.

Starbucks is known for aligning employees with the company's strategy through regular communication regarding its commitment to ethical sourcing, employee well-being, and community involvement. This strategy is reinforced through internal training programs and clear messages from leadership.

Learn How to Design an Impactful Business Strategy

When to design a business strategy? In today's fast-paced market, if you only plan your business strategy once a year, you're likely to fall behind.

Look at how startups operate, they plan their business strategies in Sprints, which can be every two weeks or even once a week.

To ensure your business executes effectively, you need to learn how to design an impactful business strategy.

You can learn how to design and implement a business strategy aligned with company goals in prasmul-eli's business strategy certification program.

You'll be equipped with skills in conducting internal and external analysis, competitive strategy, the business model canvas, and more related to business strategy components.

Prepare yourself and your business leaders to design impactful business strategies.

Article-Web-Agt-3.jpg
Increase Business Growth Potential with Financial Management Training
19 August 2025

What if the problem in your business isn't due to declining sales, but rather to poor financial management?

Managing company finances is a crucial aspect that businesses must address if they want to avoid future losses.

Financial management skills are not only essential for the finance department; it would be beneficial for every leader, from middle management, managers, and even the executive team, to have a solid foundation of financial management knowledge.

Since the COVID-19 pandemic, many companies have implemented efficiency measures, one of which is mass layoffs.

Is this a sign that the company is experiencing a decline in revenue? These efficiency measures aren't always due to declining revenue; they are necessary for the business to maintain financial health, even if the company needs to pivot.

In its research, McKinsey stated that companies generally grew by only 2.8 percent per year during the ten years before COVID-19, and only one in eight companies recorded a growth rate of more than 10 percent per year.

One way to continue to increase company growth is to establish a sound and orderly financial management system, eliminating the need for smooth cash flow.

Therefore, all employees in the company need to have knowledge of financial management. One way to do this is by enrolling employees in financial management training.

Problems Companies Face with Poor Financial Management

The worst thing a company can face with poor financial management is legal issues.

If a company's financial management is poor, it could result in the company failing to pay taxes properly in accordance with applicable regulations, leading to legal issues.

Other problems that arise with poor financial management include:

  1. Disorganized Inventory Management
  2. Pricing Pressure and Profit Margins
  3. Unhealthy Cash Flow Problems
  4. Lack of Financial Planning and Difficulty Projecting
  5. Difficulty Obtaining Funding
  6. Inadequate Cost Control

Why do companies need good financial management?

Financial management is a crucial foundation for healthy business growth.

Poor financial management can lead to manipulation of financial reports, which can erode investor confidence.

Such as what happened to the startup E-fishery, which was suspected of fraud by manipulating its finances. This disappointed investors and undermined the company's credibility.

To prevent bad things from happening to your company, it is important to implement good financial management.

Here are the benefits companies experience from having good financial management:

Improved Operational Efficiency

Companies with well-managed finance functions have demonstrated significant cost reductions and increased effectiveness.

A McKinsey study of hundreds of corporate finance divisions over a decade to determine how costs and effectiveness have evolved over the past 10 years shows that finance departments have reduced operational costs by almost 30%.

These cost reductions are focused on activities that add value to the business, thus contributing to business growth.

Encourage Strategic Decision-Making and Data

Strategic financial management encourages companies to employ data-driven decision-making processes that align with long-term corporate goals.

By integrating financial planning with strategic objectives, companies can assess investment opportunities, manage risk, and optimize capital structures to maximize shareholder value.

Improved Cash Flow and Capital Allocation

Effective cash management practices, such as optimizing working capital and capital expenditures, directly improve Return on Invested Capital (ROIC).

This disciplined approach not only garners investor confidence but also gives companies the flexibility to invest in growth opportunities, even during times of economic crisis.

Support for Organizational Transformation

During periods of transformation, the CFO plays a critical role in guiding the company through change.

By monitoring performance metrics, managing cash flow, and establishing key performance indicators, financial leaders ensure that strategic initiatives are executed effectively, contributing to the success of overall organizational change.

Aligning Financial and Organizational Performance

Integrating financial management with organizational performance metrics helps companies identify areas for improvement and align resources accordingly.

This holistic approach ensures that financial strategies support broader business objectives, leading to improved overall performance.

How Does Financial Management Help Unlock Business Growth Potential?

Unlocking business growth potential doesn't always involve creating new products. It can also involve improving financial management.

Improving a company's financial management unlocks business growth potential by providing the framework and tools needed for strategic decision-making, resource allocation, and risk management.

How can financial management help companies unlock business growth potential? Here's how financial management can contribute to business growth.

Helps Manage Capital Allocation and Investment Decisions

Effective financial management helps identify the best investment opportunities, ensuring capital is allocated to high-return projects or business units.

Effective financial management can also evaluate ROI (Return on Investment), which is essential for increasing market share, expanding operations, or launching new products.

Furthermore, businesses can optimize resource utilization, ensuring funds are used efficiently to generate long-term value, not just short-term profits.

Controlling Costs and Increasing Profitability

Financial management focuses on minimizing unnecessary costs while maintaining quality and productivity.

By streamlining operations, businesses can achieve higher profitability, which can be reinvested in growth initiatives.

By closely monitoring costs, revenues, and financial performance, businesses can increase their profit margins, allowing more funds to be allocated for innovation and expansion.

Improving Cash Flow Management Effectiveness and Financial Flexibility

Effective financial management ensures that businesses have sufficient liquidity to operate smoothly, even during periods of economic downturn.

This flexibility allows companies to capitalize on growth opportunities as they arise.

Becoming a Tool for Risk Management and Sustainability

Financial management helps identify and manage risks, including market, financial, operational, and strategic risks.

By minimizing risk, companies are more likely to thrive and invest confidently in future growth.

Financial management also ensures businesses focus on sustainable practices, maintaining a balance between growth and financial stability. This is essential for creating long-term shareholder value.

Improving Data-Driven Decision-Making

Financial management enables companies to forecast trends, budget effectively, and set achievable goals. This is essential for both short-term goals and long-term strategies.

By analyzing financial data, companies can track performance, adjust strategies, and stay on track to achieve their growth goals. This ensures that businesses are proactive rather than reactive.

Attracting Investment and Capital Access

Healthy and well-organized financial statements will attract investor confidence, which can increase capital inflow.

Companies that demonstrate strong financial discipline and profitability are more likely to attract investors, which can drive further growth.

This also improves the company's ability to obtain loans, funding, or equity investment, providing the necessary capital to expand operations.

What is financial management training?

After understanding the importance of financial management training, companies need to provide opportunities for their employees to improve their financial management skills, one way of doing this is by participating in financial management training.

Financial management training programs are designed for business professionals and executives to develop the ability to think, act, and make decisions in an integrated and cross-functional manner.

The existence of financial management training is motivated by the understanding that financial management knowledge is no longer solely the domain of those in the finance department. Today, all professionals, especially those at the mid-level and above, need to understand corporate financial management to achieve optimal performance.

The financial management training program conducted by Prasmul-Eli is not just ordinary training, but a certification program that equips participants with financial management skills, including:

  • Financial Analysis Skills

The ability to read, understand, and analyze financial statements (balance sheets, profit and loss statements, and cash flow statements) to assess a company's financial health and performance.

  • Valuation Skills

The ability to assess financial assets such as bonds and stocks, and evaluate a company's value. This is essential for investment and M&A decisions.

  • Investment Decision-Making Skills (Capital Budgeting)

The ability to evaluate and decide which long-term investment projects are worth accepting or rejecting using methods such as Net Present Value (NPV), based on the concepts of Time Value of Money and Cost of Capital.

  • Working Capital Management Skills

The ability to efficiently manage a company's short-term assets and liabilities to maintain liquidity and ensure smooth day-to-day operations.

  • Financing Strategy Design Skills

Able to design an optimal capital structure (debt and equity mix) and determine other financing policies such as dividend and leasing policies.

By participating in this financial management training, participants can benefit from:

Improving the Quality of Decision-Making

Providing a comprehensive understanding of the theory, practice, and current issues in corporate financial management to improve the quality of decision-making and investment strategies, both short-term and long-term.

Improving Risk and Return Analysis Skills

Improving executives' ability to understand risks and returns in the financial industry.

Optimizing Investment and Funding Decisions

With a better understanding of risk and return, participants can optimize decisions related to investment opportunities and choices, funding sources, and dividend policies.

Who should participate in financial management training?

Is financial management training only for finance departments or employees with financial expertise? The answer is no.

The following are the people who should take financial management training:

  • Company Business Development Teams
  • Credit Analysts, Risk Management Officers, and Bank Loan Officers
  • Financial Controllers, Finance Managers, Treasurers, and senior finance staff
  • Fresh graduates who want to become entrepreneurs
  • Managers from non-finance departments who want to improve their knowledge of financial management to support their work.
  • Consultants and other professionals who want to enhance their knowledge of financial management.

How Healthy is Your Company's Financial Management?

How is your financial management? Is it still considered safe or does it need significant improvement?

By managing your finances healthily, your business will grow. If you need the right partner to improve your financial management skills, prasmul-eli is the answer.

To equip professionals with adequate financial management skills, prasmul-eli offers a financial management training certification program.

The goal is to help as many companies as possible unlock their business growth potential.

Let's improve our financial management and keep moving forward.

Article-Web-Agt-1.jpg
How Can Business Development Training Increase Innovation in Companies?
19 August 2025

The development of artificial intelligence has rendered many business models irrelevant.

Innovation has become a non-negotiable requirement for companies. To innovate, companies need to implement business planning that is relevant to market conditions.

A business plan, or business development plan, that is not relevant to market conditions will expose your business to risks that can cripple performance, hinder growth, and ultimately lead to failure.

In a 2006 survey by The McKinsey-Quartely, 28% of companies had strategic plans that technically reflected the company's goals and challenges, but were ineffective in implementation.

Furthermore, the same survey results indicated that another 14% stated that their strategic plans and execution plans were not aligned.

This survey indicates that formal planning alone is not enough; it must be accompanied by proper organizational synchronization and monitoring.

Sometimes, companies internally feel that their plans or innovations are relevant to the market. However, when implemented, the opposite is true.

Therefore, businesses need a third-party perspective to help identify blind spots in their plans. Or at least, to help internal teams become aware of these blind spots.

Considering involving employees at the operational, middle management, and strategic levels in business development planning training is not a bad idea.

In fact, it's a good start so they can create business innovations that remain relevant to market conditions.

Why Are Innovation and Business Development Planning Essential for Businesses?

Innovation in today's business world is no longer about whoever is bigger wins.

Many business cases have seen large companies defeated by seemingly small business models.

For example, the disruption caused by Netflix, which toppled its major player, Blockbuster, the video rental giant with over 9,000 stores globally.

Given this, businesses that have existed for decades can no longer remain in their comfort zones. Even start-up businesses must continually innovate.

Innovation is essential for businesses for several reasons:

Changes in Market Behavior

This is crucial. The market is what contributes to a business's revenue. If the market begins to change its behavior, the business needs to adapt.

Now, with unstoppable technological disruption, consumers are changing their preferences more quickly, accustomed to digital and personalized experiences, and less likely to be loyal to a brand that is no longer relevant to them.

For example, Gojek and Grab are replacing conventional taxis because they offer more practical, transparent solutions that align with a digital lifestyle. Consumers no longer want to wait on the side of the road or argue over fares with motorcycle taxi drivers.

Technological Disruption

The baby boomer and millennial generations have witnessed the journey of technological disruption, which was initially slow, but now it's progressive.

Initially, there were only telephones in internet cafes, then it evolved into monochrome-screen mobile phones, then transformed into touchscreens, and now, artificial intelligence can also be accessed from mobile phones.

Technology has truly changed the way industries think, behave, and prefer to operate.

Take Spotify, for example, which transformed the global music industry. Subscription and streaming models shifted the dominance of CD sales and digital music downloads. Large companies like Warner and Sony Music ultimately had to adapt to streaming platforms.

Shorter Product Cycles

In the past, people would wait until a product was ready to launch.

Then, the term agile emerged, encouraging businesses to launch an MVP (minimum viable product).

Now, with AI, products can be created with increasingly shorter cycles.

Businesses that persist in sticking to old methods with long cycles will become increasingly irrelevant.

Remember BlackBerry?

Blackberry was late in changing its operating system and user interface when the iPhone and Android became popular. As a result, it lost its market share completely within a few years.

What Are the Mistakes Businesses Make in Business Development Planning?

Failing to plan means failing to achieve. That's a common refrain.

The above statement may be true if they fail to plan a business that is relevant to market needs.

Here are some business mistakes in strategic business development planning, according to a McKinsey-Quarterly survey:

Many companies fail to link planning with execution.

Although 28% of companies have a strategic plan that theoretically reflects their business goals and challenges, in reality, these plans are ineffective in execution. This shows that without concrete execution, a strategy remains a document with no real impact on business performance.

The Gap Between Strategy and Business Development Functions

Only 57% of respondents stated that their strategic planning process is truly integrated with the business development function. This means that many organizations still haven't positioned business development as a core part of their corporate strategy, thus missing out on growth opportunities that could emerge outside their core business lines.

Misalignment Between Plans and Operational Actions

As many as 14% of respondents admitted that their organization's strategy and execution plans are not aligned. This indicates a weak bridge between strategy development at the managerial level and actual implementation at the operational level. Without strong synergy, strategy will fail to translate into effective action.

A misaligned organization leads to strategy failure.

Data shows that 67% of respondents who are satisfied with their company's strategic process stated that there is good management alignment with the strategy.

Conversely, only 40% of dissatisfied respondents stated the same. This proves that without alignment between teams and functions, strategy is difficult to implement consistently and comprehensively.

How Does Business Development Training Help Your Company Develop Business Innovation?

To reduce blind spots in the process of designing innovation and business development, training programs are one alternative that companies can implement.

Conduct training such as business development training that focuses on business planning relevant to market needs, execution aligned with action, and innovation with a more agile product cycle.

Why business development training? Business development planning training will help you develop a comprehensive business plan, tailored to market conditions and existing challenges, so it remains relevant.

In addition to focusing on comprehensive business planning, this business development training can help you with the following:

  1. Equipping participants with the toolset and mindset to translate strategic ideas into concrete steps.
  2. This training encourages participants to view business development not merely as an opportunity-seeking function, but as a core part of the strategy-making process.
  3. It fosters cross-functional thinking, so that business planning becomes the shared responsibility of all, not just a specific division.
  4. It strengthens participants' ability to not only plan but also control and evaluate the implementation of business strategies through key performance indicators (KPIs) and milestone monitoring.
  5. It understands how market trends, consumer behavior, and internal company strengths can form the basis for innovation that aligns with the company's long-term goals.

You can maximize the benefits above by involving your company's strategic-level employees in business development planning training from Prasmul-Eli.

prasmul-eli's business development training will encourage strategic and relevant innovation for your company.

cover-artikel-putih.jpg
Why Do Managers Need Finance for Non-Finance Knowledge Before Making Big Decisions?
15 August 2025

Today, every strategic, operational, and tactical decision has a significant financial impact. However, many managers from marketing, operations, technology, and even human capital backgrounds still lack confidence when dealing with financial reports or budget discussions.

In an increasingly complex and dynamic business environment, non-financial managers are faced with challenges that are no longer limited to their functional scope.

According to a 2021 Harvard Business Review article, a lack of financial literacy makes it difficult for many managers to assess risk, understand cost impacts, and evaluate the profitability of the initiatives they manage.

This creates a gap in understanding between the finance function and other functions within the organization. Without a basic understanding of finance, managers tend to make suboptimal decisions, even risking hindering company growth.

As a business leader, you understand that sound decisions must be based on a comprehensive understanding, including an understanding of the financial implications of each strategy. Therefore, equipping yourself and your management team with basic financial literacy is not only important but also urgent.

Definition and Scope of Finance for Non-Finance

Finance for Non-Finance is a financial learning framework specifically designed for non-finance professionals to understand, interpret, and use financial information in business decision-making.

The primary objective is to bridge the gap between the managerial team and the finance function within an organization.

The scope of the Finance for Non-Finance course includes a basic understanding of financial statements such as the balance sheet, income statement, and cash flow statement.

In addition, managers are taught how to read financial ratios, understand the budget cycle, and recognize the basic principles of accounting and financial planning.

McKinsey emphasizes that when non-finance managers can speak the "language of finance," they become more effective in developing strategies, allocating resources, and communicating with the CFO and external stakeholders.

This strengthens cross-functional collaboration and improves overall organizational performance.

The Urgency of Financial Mastery for Managers

It is undeniable that every business activity, from product launches and market expansion to technology investments, will impact the company's financial condition.

When managers don't understand how a decision affects cash flow, margins, or return on investment (ROI), the decisions they make can be unsustainable or even detrimental.

According to Deloitte, strong financial literacy enables managers to identify potential inefficiencies, recognize financial warning signals, and take preventative action before problems escalate.

In this context, the ability to understand financial data is a form of organizational resilience.

Furthermore, amidst increasing demands for transparency and accountability, managers with financial literacy are able to provide stronger justification for every proposed plan or project.

This is crucial, especially when competing for budget allocations or presenting proposals to the board of directors.

Basic Financial Concepts and Principles You Must Know

Today, basic financial concepts and principles are an essential foundation for every manager, regardless of their functional background. In many organizations, operational and strategic decisions are inseparable from their financial implications.

Therefore, understanding key financial statements, ratio analysis, and evaluation tools such as break-even analysis and ROI is no longer the exclusive domain of the finance team, but a shared responsibility.

Managers must be involved in budget preparation, project evaluation, and resource allocation. Some fundamental concepts that non-finance managers must master include the following:

1. Key Financial Statements

Financial statements such as the balance sheet, income statement, and cash flow statement not only present numbers but also reflect the true story of the business.

The balance sheet provides an overview of the strength of a company's capital structure, whether it relies too heavily on debt or has unproductive assets.

The income statement shows whether the implemented business strategy is truly generating sustainable profits. Cash flow, often overlooked by non-financial managers, is actually the most vital indicator in maintaining operational continuity.

According to the Harvard Business Review, managers who don't understand cash flow tend to underestimate the risk of liquidity shortages, which is a leading cause of failure for small and medium-sized businesses.

2. Financial Ratio Analysis

Analysis of ratios such as liquidity, solvency, and profitability helps you read "early signals" of potential crises or expansion opportunities.

For example, a low current ratio can be a warning that a company is struggling to meet short-term obligations. A high debt-to-equity ratio (DER) may indicate an over-reliance on external financing.

This is where Deloitte's campaign on financial literacy comes in: enabling managers to interpret numbers into relevant insights for their divisions.

3. Break-even Analysis and ROI

Tools such as break-even analysis and return on investment (ROI) are crucial in project decision-making. By understanding the break-even point, you not only know when a project starts to generate revenue, but you can also compare the effectiveness of various initiatives based on estimated ROI.

McKinsey emphasizes that managers who can realistically assess a project's ROI will excel at selecting initiatives that truly support the company's long-term strategy.

Without this tool, decisions are often based on intuition or internal political pressure, rather than objective data.

Mastering these concepts will provide you with a financial framework that helps you assess risk more accurately and support each recommendation with a solid analytical foundation.

This not only improves the quality of your decisions but also enhances your credibility as a leader in cross-functional forums.

Benefits of Finance for Non-Finance on Performance and Decision-Making

When managers understand the fundamentals of finance, they can see the big picture and avoid silo thinking.

They focus not only on functional KPIs but also consider the strategic impact of each activity on the company's profitability and growth.

The Harvard Business Review highlights that companies with executives with high financial literacy are able to make faster, more accurate, and more impactful decisions.

This is because they can integrate a business perspective with an understanding of relevant numbers, making the resource allocation process more efficient and strategic.

Finally, financial literacy also enhances your credibility as a leader. By being able to read financial reports and critically discuss them with the finance department, you demonstrate managerial maturity and readiness to take on greater responsibilities within the organizational structure.

Are Your Company's Managers Financially Literate?

The ability to understand financial reports, analyze ratios, and assess project feasibility through ROI will broaden your strategic perspective, improve decision-making effectiveness, and strengthen your role in driving sustainable organizational growth.

In the modern business era that demands accuracy, accountability, and cross-functional collaboration, mastering financial fundamentals is no longer just an added advantage, but a pressing necessity for every manager.

This is not only for the benefit of your work unit, but also for the success of the business as a whole.

Now is the time to take concrete steps to enhance your financial competence and that of your managerial team.

By participating in prasmul-eli's Finance for Non-Finance Professionals Program, you will be equipped with practical and structured understanding to contribute more effectively in every strategic decision-making forum.

cover-artikel-putih.jpg
Without Business Analysis Your Business Runs Without a Compass
15 August 2025

The role of business analysis (BA) has become crucial in helping leaders understand the overall business landscape, map risks, and make decisions with high precision.

Especially amidst economic turmoil and market uncertainty, non-data-driven business decisions are now a high-stakes gamble. According to a 2023 Harvard Business Review article, 82% of small and medium-sized business failures are caused by poor cash flow management, not a lack of ideas, products, or opportunities.

Meanwhile, 2020 Deloitte research showed that only 12% of CFOs have a real-time dashboard-based crisis detection system. This data highlights a crucial fact: many organizations remain blindsided when making strategic decisions.

In contrast, companies that have integrated business analysis functions with operations demonstrate significantly higher resilience.

A 2021 McKinsey study found that companies that successfully integrate finance, technology, and operations have 30% greater resilience in the face of market disruption. This isn't just about efficiency, but also about business continuity amidst unrelenting pressure.

This article will provide you with a deeper understanding of how business analysis is no longer a support function but has transformed into a key pillar in strategic decision-making.

Through its definition, process, and benefits for management and board levels, you'll gain a complete picture of why BA is a core competency in future companies and how you can start implementing it today.

Modern Business Challenges and the Need for Business Analysis

Amidst technological disruption, digital transformation, and increasingly fierce global competition, the ability to comprehensively understand business needs is a key factor.

Many organizations fail not because of a lack of resources, but because of an inability to make strategic decisions based on relevant and accurate data.

Not to mention issues such as the difficulty of making valid business decisions without valid data, limited cross-functional communication within the organization, difficulty adapting to market and technological changes, and other issues. These are the real challenges facing modern businesses today.

According to the PMI Pulse of the Profession 2023 report, organizations that consistently implement business analysis practices demonstrate higher project success rates and are better able to adapt to market dynamics.

This proves that business analysis is not only important, but essential for business continuity.

As a leader, you are certainly aware that mistakes in establishing strategic direction or designing business solutions can significantly impact a company's growth.

This is where business analysis comes into play, providing a bridge between the challenges faced and relevant, measurable, and sustainable solutions.

Definition and Concept of Business Analysis

Business analysis is a discipline used to identify business needs and find solutions to existing problems, whether in the form of system development, new business processes, or improving organizational capabilities.

A business analyst is tasked with gathering information, analyzing data, and delivering evidence-based recommendations to support decision-making.

The key concepts of BA include a deep understanding of the business context, mapping stakeholder needs, analyzing existing processes, and formulating solutions that align with the organization's strategic objectives.

In this context, BA serves as the foundation for results-oriented digital transformation.

According to McKinsey Digital, companies that effectively implement BA principles are twice as likely to create a technology- and data-driven competitive advantage.

This demonstrates that BA is not just a technical tool, but rather a strategic approach to aligning business objectives and technology solutions.

How the Business Analysis Process Works in a Company

The business analysis process is generally divided into several main stages, each of which contributes significantly to the quality and success of strategy implementation.

Identifying Problems and Opportunities

The first stage involves a thorough understanding of the business context, including the problems being faced and the opportunities that can be exploited.

At this stage, a business analyst will interact with various stakeholders to gather diverse perspectives.

The initial data obtained serves as the basis for determining the scope of further analysis.

Needs and Stakeholder Analysis

After understanding the context, the business analyst will map existing needs, both functional and non-functional. Approaches such as stakeholder mapping and business requirements analysis are essential tools to ensure the designed solution truly addresses the organization's primary needs.

Solution Formulation and Recommendations

Based on the identified needs, an analysis is conducted to determine the best solution. The solution can be a change in business processes, technology implementation, organizational restructuring, or a combination of the three. The results of the analysis are presented in a business document that presents insights, impact projections, and an implementation plan.

Validation and Evaluation

Before implementing a solution, validation of the assumptions and methods used is necessary. This stage is crucial to avoid bias and ensure that the recommendations are feasible. After implementation, an evaluation is conducted to measure its effectiveness and impact on established business objectives.

Strategic Benefits of Business Analysis (BA) for Managers and Directors

Business analysis provides significant benefits, especially for managers and directors responsible for setting the company's strategic direction.

First, BA provides clarity to business complexities that are often hidden behind scattered data. With a systematic approach, you can understand the true root of problems, not just the symptoms.

Second, BA helps with data-driven decision-making. As highlighted in the Harvard Business Review, companies that implement data-driven decision-making outperform their competitors.

With valid information and objective analysis, managers and directors can take more measured steps and avoid speculative decisions.

Third, BA strengthens cross-functional collaboration within an organization. A business analyst doesn't work alone; instead, he serves as a liaison between technology, marketing, operations, and management teams.

This synergy creates a shared understanding of organizational goals and accelerates strategy execution.

As a leader, you need not only data but also the ability to transform that data into strategy. Business analysis is the bridge that connects operational complexity with long-term strategic direction.

In this digital era, this capability is the difference between a stagnant organization and one that continues to grow sustainably.

Have You Conducted the Right Business Analysis to Navigate Your Company's Challenges?

In an increasingly complex and competitive business world, the ability to read situations sharply, proactively manage risks, and make data-driven decisions is no longer just a virtue, but a necessity.

Business analysis offers a comprehensive framework to address these challenges with a structured, collaborative, and results-oriented approach.

For you, business leaders, investing in analytical competencies will not only increase organizational effectiveness but also build long-term resilience in the face of unexpected disruptions.

If you're ready to strengthen your strategic capabilities through a deeper understanding of business analysis, it's time to take concrete action.

Enroll in prasmul-eli's Strategic Business Analysis program, a program specifically designed for executives and managers who want to effectively integrate business analysis into their strategic decision-making processes.

cover-artikel-putih.jpg
How Supply Chain Programs Can Optimize Supply Chains and Increase Profitability
14 August 2025

The supply chain has evolved into a strategic component that determines competitiveness, profitability, and business continuity.

In an increasingly complex and rapidly changing business landscape, supply chain effectiveness is no longer simply an operational matter.

A 2020 McKinsey study showed that companies with integrated supply chains were able to increase profit margins by up to 7%.

Meanwhile, a 2021 Harvard Business Review article revealed that 79% of companies that had digitized their supply chains experienced significant improvements in customer satisfaction.

This proves that effective supply chain management is not just an efficiency tool, but a strategic instrument that directly impacts business performance.

CEOs and company managers must now view the supply chain as a growth lever, not simply a logistics or distribution system.

This article discusses why a supply chain program is a strategic investment, not an operational expense.

This discussion will examine the supply chain's direct impact on profits, the key challenges in supply chain optimization, and how implementing the right supply chain program can drive growth and efficiency.

What is the Impact of Supply Chain Effectiveness on Company Profitability?

Supply chain efficiency and effectiveness have a significant impact on profitability.

A McKinsey study states that companies with highly effective supply chains can reduce operational costs by up to 20% and improve customer service levels by 15% to 25%.

Moreover, agile and resilient supply chains give companies a competitive advantage.

The Harvard Business Review highlights that the shift to a responsive and digital supply chain enables companies to anticipate demand, adjust inventory, and respond to market disruptions faster than competitors.

Directly, a supply chain optimization program helps:

  • Reduce inventory and storage costs.
  • Accelerate inventory turnover and cash flow.
  • Minimize the risk of shortages or excess supply.
  • Improve customer satisfaction and retention.

When all these elements are well integrated, the result is increased profit margins and a stronger market position.

Challenges Companies Face in Optimizing Supply Chains for Profitability

While the supply chain's potential as a driver of profitability is increasingly recognized, its implementation in practice is not as simple as theory.

Many companies, including established ones, still face various obstacles in optimally managing their supply chains.

The gap between strategic planning and operational execution often leads to inefficiencies, wasted costs, and missed market opportunities.

In today's disruptive business landscape, small weaknesses in the supply chain can develop into major bottlenecks that erode margins and reduce competitiveness.

Supply chain transformation isn't just about replacing old technology with new. It requires a comprehensive shift in how companies access information, collaborate across functions, respond to global risks, and leverage data for decision-making.

According to reports from McKinsey, Harvard Business Review, and Deloitte, companies that successfully navigate these challenges are not only more efficient but also more resilient and adaptive in the face of uncertainty.

Here are some key challenges that need to be addressed to ensure the supply chain truly becomes a strategic asset that increases profitability.

1. Lack of End-to-End Visibility

Many organizations still rely on legacy systems that operate fragmented across multiple lines, creating information silos and complicating integration between units.

As a result, business leaders lack comprehensive access to real-time inventory movements, supplier capacity, or inventory conditions.

When visibility is limited, decision-making becomes reactive and often based on assumptions rather than data.

This lack of visibility not only slows down the response to changes in market demand but also increases the risk of overstocking, stockouts, and inefficient logistics costs.

To build end-to-end visibility, companies need to adopt a connected digital supply chain system and utilize a centralized management platform.

This way, the supply chain can be monitored dynamically, allowing for quick and precise decisions.

2. Reliance on Manual Processes

In the digital age, many companies still rely on spreadsheets, emails, or manual input to run their supply chain processes.

This causes delays in data processing, minimal information accuracy, and an increased risk of human error.

When the market demands speed and accuracy, manual processes become a major barrier to operational flexibility and efficiency.

A Deloitte report confirms that companies that do not invest in supply chain automation are more vulnerable to disruption and instability.

Automation through technologies such as robotic process automation (RPA), artificial intelligence (AI), and predictive analytics enables faster, more accurate, and more scalable processes.

The implementation of these technologies should be viewed not as an additional cost, but as a strategic investment for long-term business sustainability.

3. External Disruptions and Global Risks

The COVID-19 pandemic has become a significant turning point in how companies view supply chain risk.

Disruptions in raw material supplies, port closures, and transportation constraints have a significant domino effect on product costs and availability.

Coupled with geopolitical crises and natural disasters, companies are faced with unavoidable global risks.

These risks highlight the importance of risk management in the supply chain. Companies must begin building supply chain resilience by diversifying suppliers, maintaining strategic buffer stocks, and implementing a scenario-based approach.

McKinsey even recommends implementing digital twins and AI-based simulations to proactively predict and manage risks.

Modern supply chains can no longer rely on a single distribution channel or geographic region.

4. Lack of Cross-Functional Integration

Supply chain optimization cannot be done in isolation. Unfortunately, in many companies, functions such as procurement, production, sales, and logistics still operate independently without proper coordination.

This leads to miscommunication, misaligned production and delivery schedules, and inefficient resource utilization.

To create an agile and efficient supply chain, cross-functional integration must become a part of the work culture.

Companies need to encourage data-driven collaboration, where all units work with a single source of truth and aligned performance metrics.

An integrated digital platform can help unify the flow of information and encourage more dynamic coordination between functions. When the supply chain is managed as a single, integrated system, efficiency and profitability significantly increase.

5. Technology and Data Capability Barriers

Many organizations recognize the potential of technology in supply chain optimization. However, they lack the infrastructure and human resources to implement it.

These challenges include limited IT systems, a lack of digital talent, and an organizational culture that is not yet ready for data-driven change.

However, technologies such as machine learning, the Internet of Things (IoT), and advanced analytics can provide deep insights for smarter decision-making.

For example, an AI-based demand forecasting system can help companies reduce excess inventory, accelerate product turnover, and lower storage costs.

To address these challenges, companies need to invest not only in systems but also in enhancing their teams' capabilities in understanding, managing, and strategically leveraging data.

How Supply Chain Programs Can Optimize Supply Chains and Increase Profitability

Addressing today's supply chain complexities and challenges requires more than just operational improvements.

A comprehensive strategic approach is needed through a structured and sustainable supply chain program.

This program enables companies to digitize processes, intelligently utilize data, build resilience to global risks, and create efficiencies that support sustainability.

When technologies like AI, IoT, and digital twins are used to improve visibility and decision-making, the supply chain is no longer a cost center, but a driver of profitability and competitive advantage.

If you want to develop the ability to design and implement supply chain programs that are adaptive, efficient, and aligned with long-term business goals, the Supply Chain Management program at prasmul-eli is the right choice.

This program is designed for professionals who want to build a world-class supply chain that is not only resilient to disruption but also capable of driving significant business growth.

It's time to make your supply chain not just a part of your operations, but the strategic foundation of your future business.

cover-artikel-putih.jpg
Financial crises always start with poor financial management.
14 August 2025

In an increasingly competitive and dynamic business world, success is not solely determined by product strength, marketing strategy, or technological innovation. One key determining factor that is often overlooked is strategic and integrated financial management.

According to a 2023 Harvard Business Review article, as many as 82% of small to medium-sized business failures are caused by poor cash flow management.

This is not just data, but a reflection of a systemic crisis in how companies understand and execute the finance function.

Furthermore, a 2021 McKinsey study showed that companies that successfully integrate finance with operations have a 30% higher level of resilience in the face of market disruption.

Unfortunately, many companies still separate the finance function from core business strategy, relegating it to mere record-keeping and reporting rather than strategic decision-making. As a result, companies often respond to financial issues only after it's too late.

No less important, Deloitte noted in its 2020 report that only 12% of CFOs have a real-time dashboard-based financial crisis early detection system.

This means that the majority of companies are still reactive in managing financial risk. This opens up the possibility of strategic failures that could have been avoided if financial systems were built proactively and based on data.

Don't Let Your Business Go Bankrupt Due to Financial Mismanagement, Even Though Sales Are Stable

One common mistake many business owners make is assuming that profitability automatically means financial success.

In reality, many companies appear healthy on their income statements, but collapse due to their inability to manage their cash flow and short-term liabilities.

Financial crises often begin slowly, from delayed vendor payments, late employee salaries, to the sudden need for unavailable working capital.

Without a system that allows the CFO or finance team to anticipate these needs, businesses will face liquidity pressures that lead to emergency decisions, such as unstrategic cost cuts, emergency borrowing, or even unwanted layoffs.

Furthermore, weak financial management creates an over-reliance on intuition, rather than data.

Many business leaders make expansion, procurement, or acquisition decisions without examining accurate cash flow and ROI projections. As a result, businesses weaken from within, instead of growing.

Common Causes of Poorly Managed Corporate Financial Systems

One of the main causes of chaos in corporate financial systems is the lack of integration between the finance team and other divisions.

In many organizations, the finance team only gets involved after plans have been created, rather than from the beginning of the strategic planning process. Without early financial involvement, business decisions lack a strong data foundation.

Another weakness lies in the absence of a key performance indicator (KPI)-based financial system aligned with long-term business goals.

For example, if the finance team focuses solely on cost savings without considering investments that generate high ROI, the company may miss out on growth opportunities that could have been pursued.

Furthermore, outdated financial technology and manual processes remain major bottlenecks in many companies' financial management systems.

Without automation, financial processes are slow, error-prone, and unable to provide real-time data for rapid decision-making.

Modern CFOs need real-time and predictive financial dashboards, not monthly reports that lag behind market dynamics.

Often Overlooked Danger Signs

Many signs of a financial crisis could have been detected earlier if management had been attentive to the following signals:

Decreasing net cash flow despite increasing revenue.

This usually indicates problems with accounts receivable collection, cost overruns, or an unbalanced fixed cost structure.

Increasing debt burden without increasing productivity.

If the Debt-to-Equity Ratio (DER) soars but the contribution of loans to profitability is insignificant, management has taken risks without careful financial calculation. This is a classic form of cash flow mismatch that can jeopardize operational continuity.

The CFO's minimal strategic role in executive meetings.

A CFO who only attends to deliver financial reports is a sign that the finance function has not fully become a strategic partner with the CEO and HR in HR planning, expansion, and operational efficiency.

In this situation, the company is vulnerable to decisions that are not based on financial data. You need a more proactive and effective strategic solution based on financial systems to address this problem.

Solutions for Building a Proactive and Effective Financial Management System

The first step in building a strategic financial management system is to make the finance function a business partner, not just a support system.

The CFO must be involved in every critical decision, from recruitment to market expansion. Cross-functional collaboration enables an integrated strategy and minimizes financial risk.

Second, companies need to implement a real-time, technology-based financial system. With a financial dashboard that regularly monitors cash flow, margins, ROI, and critical ratios, companies can respond quickly to potential crises.

This also allows for early detection of inefficiencies, budget leaks, or deviations from projections.

Third, companies must begin to establish a financial culture at all managerial levels. This means that every manager, whether in operations, marketing, or HR, must have a basic understanding of the financial implications of their decisions.

This can be achieved through a Finance for Non-Finance Managers program, internal training, or partnerships with strategic consultants.

Is your company's financial management healthy?

Amidst uncertain market dynamics, digital disruption, and competitive pressures, financial management is no longer merely an administrative function, but the foundation for long-term business continuity and growth.

CEOs and HR Managers need to ensure that their company's financial system is proactive, integrated, and oriented toward strategic decisions.

By understanding the strategic role of the CFO, the risks of negative cash flow, and a financial system that supports real-time crisis detection, companies can strengthen their resilience and improve decision-making effectiveness.

Don't wait for a crisis to occur to realize the importance of a solid financial system.

Now is the time to re-evaluate your company's financial system. Is it robust enough to support your long-term business strategy?

If not, prasmul-eli's Financial Management Certification Training Program is ready to help you prepare financially literate managers so that their strategic moves do not harm the company.

cover-artikel-putih.jpg
Team Leadership as a Strategic Skill for Building Teams That Grow with Their Leaders
13 August 2025

Team leadership skills are no longer just additional skills, but rather a key foundation for building highly competitive organizations in increasingly complex and stressful businesses.

The Harvard Business Review confirms that leaders who create psychological safety can improve team performance by up to 27%.

McKinsey research confirms that supportively led teams have 39% higher engagement rates, while a 2022 Gallup report states that 70% of employee engagement is determined by the direct manager.

In this context, team leadership is not only crucial for maintaining productivity but also a long-term strategy for creating a healthy, adaptive, and human-centered work environment.

Given the importance of team leadership skills, it's crucial to learn how to develop team leadership skills in managers.

What Are Team Leadership Skills?

Team leadership is a leadership approach that emphasizes a leader's ability to shape, guide, and empower a team collectively to achieve organizational goals.

It's not just about directing, but also about creating a collaborative space that's healthy, fair, and trusting. In the context of modern leadership training, this approach is a profound transformational tool that addresses the needs of today's agile, adaptive, and human-centered workplace.

Team leadership is also closely linked to continuous learning and development, where leaders continually develop alongside their teams through reflection, coaching, and constructive feedback.

In many progressive companies, coaching for team leaders is now part of the core strategy to ensure alignment between individual growth and business goals.

Every organization should prioritize team leadership in its learning and development investments. When leadership transforms from control to empowerment, the long-term impact is increased team performance, better employee retention, and a healthier and more adaptive work culture.

Why is Team Leadership Important for Companies?

Many companies recognize that human resources are their greatest asset. However, few truly maximize their team's potential through effective leadership.

Leadership training for managers is often transactional and theory-based without real behavioral transformation. However, investing in coaching in team leadership has been proven to create exponential impact.

A McKinsey study shows that companies that prioritize team leadership development experience better long-term business performance.

This is due to higher employee engagement, greater innovation, and stronger adaptability in the face of disruption.

Gallup emphasizes that engagement isn't just about well-being, but also about the extent to which employees feel emotionally and professionally connected to their work.

And who most influences that connectedness?

The answer is the direct manager. Therefore, strengthening the role of leaders in team building is a strategic, not just operational, step.

Leadership training focused on strengthening team leadership provides organizations with the opportunity to build a collaborative work culture that values diversity and supports individual growth.

In such an ecosystem, team performance not only improves but also becomes more sustainable.

Characteristics of Leaders with Team Leadership Skills

As a company leader, you understand that growth cannot be driven solely through business strategy or product innovation.

The human factor is the determining factor, and the quality of your leadership towards your team is key. Team leadership isn't just about directing or giving instructions, but about creating a healthy, fair, and productive work environment.

Through an approach that combines clarity of direction, trust, coaching, and the ability to translate strategic vision, a leader can build a resilient and highly competitive team.

This is what we will discuss in more depth through four key characteristics that define a leader with strong team leadership skills.

1. Unifying Team Direction (Clarity & Alignment)

An effective team leader knows how to unify direction. They not only communicate targets but also explain the context and meaning behind each objective.

This helps team members understand their role in the big picture and creates strong alignment between daily work and the organization's vision.

In leadership training, many managers learn how to establish a shared vision, clearly communicate expectations, and create a communication structure that encourages openness. Without this clarity, teams can easily lose direction and experience conflicting priorities.

Good team leadership emphasizes the importance of a sense of purpose. This is the foundation of emotional engagement that motivates team members to work not simply out of obligation, but out of conviction in the value of what they do.

Clarity also means consistency. Leaders must be able to maintain a consistent strategic narrative even in changing conditions. This provides the team with a strong anchor to stay focused amidst market dynamics.

2. Building Trust & Psychological Safety

According to the Harvard Business Review, psychological safety is a key factor in improving team performance. When team members feel safe to speak up, take risks, and express opinions without fear of judgment, they are more innovative and collaborative.

Great team leadership begins with the intention of creating trust. This includes small actions such as active listening, valuing each individual's contribution, and being transparent in decision-making.

Effective leadership training now includes learning to build empathy, emotional intelligence, and inclusive communication skills. The goal is to create a workspace where every member feels valued and heard.

Trust doesn't come automatically. It must be built consistently by leaders with integrity and the ability to demonstrate healthy vulnerability.

When leaders are willing to admit mistakes and are open to feedback, they foster a culture that supports continuous learning.

3. Empowering Employee Potential through Coaching

One major shift in modern leadership is the transformation of the leader's role into a coach.

The Harvard Business Review article "The Leader as Coach" highlights the importance of this role in helping team members find their own solutions, rather than simply giving instructions.

Coaching in team leadership isn't about being an expert, but about facilitating growth. An effective leader knows when to ask questions rather than give answers, and knows how to encourage the team to think critically and reflectively.

In the context of learning and development, leadership training that integrates coaching methods has proven to be more successful in creating long-term behavioral change.

This strengthens individuals' capacity to take ownership of their work and improves mental resilience.

Gallup emphasizes that a coaching-based leadership style creates more meaningful relationships between managers and teams, significantly increasing loyalty and productivity. This is an investment with a very high return on investment, especially in a competitive work environment.

4. Becoming a Bridge Between the Company Vision and the Team's Daily Work

Team leadership is not just about managing the team, but also about being a strategic link between the executive and operational levels.

Leaders who understand the company's vision and are able to translate it into the team's daily actions will foster deep and sustainable alignment.

In leadership training, this is referred to as strategic translation, the ability to connect the company's overall direction with daily tasks without losing meaning. This is not just about strategy, but also about communication and empathy.

Managers who can effectively fulfill this role become catalysts of transformation. They make strategy feel relevant, motivate the team through a strong narrative, and create high ownership of the results.

When leaders act as strong bridges, a healthy two-way flow of information occurs: a clear vision from the top down, and aspirations from the bottom up meaningfully. This is the key to an agile, future-oriented organization.

How to Sharpen Team Leadership Skills?

Becoming an effective team leader in the modern workplace requires more than just technical skills; it requires a deep understanding of team leadership that prioritizes clarity of direction, trust, empowerment, and strategic connectedness.

If you want to develop these skills in a practical and transformative way, join prasmul-eli's Team Leadership: Becoming Flexible Leaders Training Program.

This program is designed to help you become an adaptive, collaborative leader with a real impact on your team and organization.

This program is the answer to honing your company's team leadership skills.

cover-artikel-putih.jpg
6 Certified Online Training Recommendations That Are Suitable for Improving Employee Performance
13 August 2025

Employee performance at work will impact company performance. To master certain skills that support company performance, sometimes skills certification is required, which can now be obtained through certified online training.

Companies that focus on improving employee skills will reap the rewards of their performance. This was confirmed by a 2024 McKinsey survey.

The McKinsey survey results stated that companies that focus on organizational health and employee performance are 4.2 times more likely to outperform their competitors, with an average of 30% higher revenue growth and a 5% lower turnover rate.

By investing in employee skills development, companies are investing in new innovation.

In running a company, some skills require recognition from a trusted institution or recognition through certification. An employee's certification will enhance their credibility and demonstrate their capabilities.

If your company supports employees in improving their skills through certification through online training, here are some recommendations.

Criteria for Certified Online Training That's Ideal for Corporations

Choosing a certified online training provider is crucial, as companies naturally want the best results.

Here are some criteria you can consider when searching for the ideal vendor for your company.

Quality Certification and Official Accreditation

The vendor must hold quality certifications such as ISO 9001 or accreditation from nationally and internationally recognized institutions, ensuring consistent and reliable training standards.

Have a Reliable Reputation and Credibility

The training provider must have a strong track record and good reputation, and be trusted by major companies or industry leaders relevant to our business. They must also have demonstrated measurable impact from their online training.

The Training Curriculum is Relevant to the Company's Context

Is the training material up-to-date with current trends and practices in the company and related industries? Does the training cover only theoretical aspects and applicable practical aspects?

Duration and Time Flexibility

Due to time constraints, can the training and certification be flexible? How long does the certification and certification process take?

Exam Process and Evaluation Standards

Consider the format of the exam or competency evaluation to obtain the certificate. Will it be online, written, project-based, interview-based, or another method?

Certificate Validity Period

This is also important to consider. Some certification programs are valid for only five years and require renewal. Others are valid for life. Consider the pros and cons.

Recommended Certified Online Training to Improve Business Performance

Findings from LinkedIn Learning in the Workplace Learning Report 2025 state that employee growth through learning and career development will drive company growth.

In addition to driving company growth, it will also support increased productivity and business innovation.

In a company, there are various departments with different learning needs. Therefore, the learning and development department needs to find training providers, both online and offline, that offer a variety of business-related materials.

If you're still looking for recommendations on certified training to invest in for your company's employees, here's a list.

General Business Management Certification Program

In this program, participants will learn fundamental business management concepts, including SWOT analysis, human and financial resource management, strategic decision-making, and business model development. This program teaches how to effectively manage company operations and strategies.

Who needs this certification program? New managers, aspiring managers, or individuals looking to broaden their managerial knowledge.

The goal of this program is to equip participants with the skills to design effective business strategies, manage company resources, and address business challenges with appropriate solutions.

Marketing Certification Program

For marketing professionals, product managers, and individuals looking to deepen their knowledge of digital marketing and the latest marketing techniques, the marketing certification program is a fast-paced program.

Participants will learn and focus on modern marketing strategies, digital marketing, market research, branding, marketing communications, and data-driven and analytics-driven marketing campaign management.

This certification program is expected to enhance their skills in developing effective marketing strategies to increase brand awareness, customer engagement, and sales conversions.

Financial Certification Program

Financial skills are not limited to the finance department. Managers and department leaders also need financial skills.

In this certification program, participants will learn to analyze financial reports, manage budgets, plan financial risk, and make investment and financing decisions.

As a result, once they understand financial management, participants will be able to manage company finances effectively, make strategic financial decisions, and support sustainable business growth.

Human Resources Certification Program

To further enhance the process of building a more humane corporate culture, HR professionals, line managers, and practitioners responsible for managing human resources need to pursue human resources certification.

By participating in this certification program, participants can strengthen their ability to manage employees effectively and strategically, increasing employee engagement and productivity.

Topics covered include recruitment and selection, HR training and development, performance management, compensation and benefits, and employment law.

Operations Certification Program

If a product's supply chain is disrupted, it will impact the company's revenue. Therefore, operations managers, production supervisors, and other operational staff need to take an operations certification program.

By participating in this certification program, participants can improve their ability to efficiently manage company operations to achieve a competitive advantage.

The topics covered include supply chain management, production planning, quality control, process management, and operational efficiency improvement.

Strategy Certification Program

For senior executives, strategic managers possess visionary and strategic thinking, which is essential. Therefore, they need to continuously learn and improve their skills.

By participating in the strategy certification program, participants, such as senior executives and strategic managers, can enhance their analytical and strategic abilities to steer the company towards growth and sustainability.

In this certification, participants learn about strategy formulation and implementation, market and competitor analysis, strategic decision-making, and change management.

What Certified Online Training Does Your Company Need?

Your company may need all six of these certification programs. However, it's essential to first allocate your needs through a training needs analysis.

The six certified online training recommendations mentioned above are included in the prasmul-eli certification program.

These trainings can be conducted online or in-house, with the flexibility to suit your company's schedule and needs.

Of these six recommendations, which training does your company currently need?

cover-artikel-putih.jpg
Why is prasmul-eli's Online Training the Choice of Leading Companies in Indonesia?
12 August 2025

According to McKinsey research in 2021, 69% of organizations reported an increase in training activities during the pandemic compared to the crisis. The training conducted was online, given the current situation.

Will companies still need online training after the pandemic? In fact, it is.

Online training offers companies time benefits; employees can still participate in training while still attending work. It's also more cost-effective than face-to-face training.

Online training allows employees who want to upskill or reskill to feel their needs are being met. This is because they have the flexibility to participate in online training without requiring much mobility.

Companies that continue to facilitate training for their employees demonstrate a commitment to human resource development.

The LinkedIn Report 2025 also states that organizations that prioritize employee career development demonstrate better business outcomes, including increased employee retention and internal mobility.

This is especially true with the influx of multigenerational workforces, such as Generation Z, who are becoming increasingly selective in which companies they apply to. The main priority is the company's environment and whether it can facilitate their growth.

Therefore, facilitating employees to participate in training, both online and offline, can be a unique attraction for employees.

One online training option your company can choose is Prasmul-Eli's online training.

prasmul-eli's online training offers advantages that other training vendors don't offer.

Common Problems Faced When Choosing Online Training

After conducting a training needs analysis, the human resources or learning and development department will determine which training vendor can meet the company's needs.

However, this doesn't mean they won't encounter obstacles. Here are some of the difficulties encountered when choosing an online training vendor.

Credibility and Quality of Training Materials

It's difficult to ensure that a vendor truly provides training content that is up-to-date, relevant, and relevant to the company's needs.

Suitability to Specific Company Needs

Vendors often offer standard packages that lack flexibility, making it difficult for companies to tailor the materials to the organization's specific challenges and business goals.

Instructor Experience and Capabilities

Instructors are key to the success of online training. Another challenge is ensuring that the instructors involved are competent and able to deliver the material interactively and effectively online.

Quality of Technology and Platform Used

Can the training vendor ensure that its training platform is easily accessible, stable, interactive, and provides comprehensive monitoring features for participant progress?

Budget and Cost Transparency

Cost is sometimes a major consideration for companies. Will the costs align with the value the vendor provides, and are there no hidden costs?

Post-Training Support

After training, participants usually need to re-absorb what was taught. However, if the vendor does not provide post-training support, such as consultations, mentoring, or similar services, it can leave any remaining unclear material unanswered.

Strategic Advantages of Prasmul-Eli Online Training

The challenges companies face in selecting an online training vendor will be addressed if they choose online training from Prasmul-Eli.

What makes companies consider online training from Prasmul-Eli?

Guaranteed Credibility with Over 40 Years of Experience in Human Resource Development

With over 40 years of experience, Prasmul-Eli has become a trusted partner for many national and multinational companies, as well as government agencies, in developing human resources.

prasmul-eli offers a variety of programs, including public training programs, customized training, and consulting services for organizations.

Supported by the Prasetiya Mulya Foundation and Renowned Business Leaders

Prasmul-Eli is under the auspices of the Prasetiya Mulya Foundation, which was founded by a group of prominent Indonesian business leaders. This demonstrates a strong foundation and high credibility in the world of education and human resource development.

Integrated and Practice-Based Learning Approach

Online training doesn't mean it's completely hands-on. Prasmul-Eli's training programs are designed to cover all aspects of business management, using a combination of teaching methods such as lectures, case studies, seminars, group discussions, and group assignments.

Synchronous Online Learning (SOL) Method

Although conducted online, Prasmul-Eli implements the SOL method, which allows participants to engage in active discussions, receive feedback, and interact in real time with instructors and other participants. This ensures the learning process remains dynamic and interactive.

Flexibility in Program Customization for Companies

Prasmul-Eli's online training programs can be implemented as in-house programs, providing companies with the flexibility to develop a limited number of employees in specific topics or classes.

Companies can customize their schedules, locations, and specific needs to achieve maximum learning outcomes for their employees.

Comprehensive Human and Organizational Development Services

Prasmul-Eli provides services that cover all aspects of human resource and organizational development from end-to-end, meaning not only individual training but also comprehensive organizational development. This supports the achievement of strategic business goals.

Collaborative Network with Trusted National and International Institutions

Prasmul-Eli Institute has established partnerships with various renowned and trusted institutions, both domestically and internationally, strengthening the quality, network, and access to globally standardized learning.

Quality Guaranteed with ISO 9001:2015 Certification

Since July 2024, Prasmul-Eli's public programs have been ISO 9001:2015 certified, an international quality assurance certification. This certification ensures that Prasmul-Eli consistently provides the highest quality training.

Improve the Quality of Your Company's Human Resources with Online Training at prasmul-eli

Why do so many leading companies and market leaders entrust training to Prasmul-Eli? The answer, of course, is its unquestionable credibility.

With over 40 years of experience, Prasmul-Eli's training programs are specifically designed to meet the needs of employee competency development effectively and sustainably.

If you're looking for online training that holistically facilitates your business needs, prasmul-eli is the answer.

Grow into a company that continues to prioritize the value of learning in this disruptive world.

cover-artikel-putih.jpg
How Can Assessment Centers Become a Bias-Free and More Objective Talent Development Solution?
12 August 2025

"Why was he promoted and not me, even though I'm more diligent than him?" This classic question can disrupt productivity if the talent development process is still rife with subjectivity and bias. To minimize such accusations, companies need to invest in objective and structured assessment center programs.

By focusing on developing talent based on valid evaluations, employees feel treated fairly, reducing the risk of damaging team morale if talent development isn't based on objective data.

Not all companies are still able to develop their talent. According to McKinsey's report, "The State of Organization 2023," 43% of respondents stated that their organizations have focused on increasing transparency in promotion and compensation processes.

This McKinsey finding implies two things: first, approximately 43% of companies have begun to be transparent, while the remaining companies still face obstacles to increasing transparency in promotion and compensation.

This article will discuss how investing in an assessment center program can provide a solution for bias-free and more objective talent development, promotion, and compensation.

What is an Assessment Center?

To determine whether an employee is worthy of a promotion or compensation, a company needs to use measurable evaluation tools to avoid bias.

A possible solution is to collaborate with an institution that provides a customized assessment center.

An assessment center is a simulation-based assessment method that assesses an individual's behavior and competencies in various situations modeled after real-life work conditions.

How is it different from a psychological test? Psychological tests are more individual and theoretical, unlike assessment centers, which use a multi-method and multi-assessor approach to explore an individual's actual performance in the workplace.

Assessment centers can be customized and designed to assess various employee competencies, such as:

  • Leadership
  • Interpersonal communication
  • Conflict management
  • Analytical skills
  • Decision-making
  • Teamwork and collaboration
  • Resilience to pressure

The competencies to be assessed are first determined through job competency profiling.

What are the Methods Used in an Assessment Center?

Assessment center methods will vary depending on the objectives to be achieved. Because assessment centers are less of a psychological test and more of a simulation, here are some commonly used methods.

Real-Life Work Situation Simulations (Role Play & In-Basket Exercise)

Assessment participants will be exposed to work scenarios that mimic real-life challenges, such as handling team conflict, making strategic decisions, or managing complex workloads. The purpose of these simulations is to assess how participants respond to pressure, make decisions, and interact in a professional context.

Leaderless Group Discussion

In this method, participants are divided into groups and given a shared task without designating a leader.

Assessors observe group dynamics, individual contributions, argumentation skills, and teamwork skills. These group discussions can help identify participants' leadership potential and interpersonal skills.

Competency-Based Interviews

This interview process is designed to explore participants' past experiences relevant to the competencies being assessed. Interview questions can focus on specific situations, actions taken, and results achieved to provide insight into participants' behaviors and mindsets in a work context.

Psychometric Tests and Personality Inventories

These tests are used to assess cognitive and personality aspects of participants, such as analytical skills, work style, and fit with organizational culture. The results of this test provide additional data that supports the overall assessment of the participant.

Observation by Multiple Assessors

Each participant is assessed by multiple independent assessors to ensure objectivity and reduce bias. Assessors record the participant's behavior during various activities and then discuss their findings to reach a consensus on the final assessment.

Data Integration and Comprehensive Report Preparation

Data from various methods is compiled to provide a comprehensive overview of the participant's strengths, areas for development, and potential. This report serves as the basis for decisions regarding recruitment, promotion, or employee development.

Providing Feedback

Participants receive constructive feedback on their assessment results. This helps participants understand their perceptions of their performance and provides guidance for personal and professional development.

Benefits of Assessment Centers for Companies

Diverse assessment methods offer many key benefits for companies, such as:

  1. Increased objectivity by using multiple assessors and methods, resulting in more accurate and fair results.
  2. The results are predictable and provide a realistic picture of an employee's potential and future performance.
  3. Helps identify talent, which is useful for talent pools, succession planning, and job promotions.
  4. Supports the individual development process, such as generating in-depth insights into an individual's strengths and areas for development.

Based on the benefits mentioned above, an assessment center is the right solution for bias-free and more objective talent development.

When Should Your Company Use an Assessment Center?

Your company can schedule an assessment center for the following:

  • During the recruitment process for strategic positions.
  • Promotions or internal transfers.
  • Talent reviews to identify high-potential employees.
  • Can be used during developmental assessments to plan personalized training programs.

Improve Your Company's Talent Development System with the Prasmul-Eli Public Assessment Center

The ever-evolving business challenges in this era of disruption are pushing companies to seek objective, reliable, and strategic ways to assess their employees' potential and competencies.

If your company is looking for a reliable assessment center provider, the prasmul-eli Public Assessment Center program is the right and effective solution.

This public assessment center program combines aspects of psychology and generic development relevant to current organizational needs.

Strikingly, the assessment method is available for all job levels, including operational, managerial, and strategic.

Assessments can be conducted virtually or in a hybrid format, using various realistic simulations that reflect everyday workplace challenges.

The public assessment center program assesses not only technical skills but also digital literacy, analysis, adaptability, and strategic leadership, depending on the participant's position level.

Participants will receive personalized feedback sessions to discuss their strengths and areas for development in depth.

Let's continue to improve talent development in your company, ensuring it is bias-free and objective, so it can support company performance.

cover-artikel-putih.jpg
7 Self-Leadership Skills That Can't Be Delegated
07 August 2025

In today's competitive and dynamic business world, a company's success is no longer solely determined by corporate strategy or technological sophistication. One crucial factor that is often overlooked is personal leadership, also known as self-leadership.

Amidst high work pressure and rapid change, an individual's ability to manage themselves is the foundation for team performance and overall organizational success.

As a C-Level or Manager, you are undoubtedly aware that strong companies are built by individuals who are able to lead themselves first before leading others.

Self-leadership enables employees to act proactively, maintain consistent performance, and remain focused on long-term goals despite challenges.

In fact, various studies have shown that self-leadership and mindfulness training can increase stress resilience, work performance, and job satisfaction, while reducing the risk of burnout, which is increasingly prevalent in the post-pandemic era.

However, the reality on the ground shows that many employees struggle to implement self-leadership effectively. One of the main causes is low levels of self-awareness.

Research data presented in a Harvard Business Review article shows that only around 15% of individuals have accurate self-awareness. In fact, the correlation between self-perception and actual competence is often less than 30%.

This mismatch has a significant impact on the quality of decision-making, the effectiveness of team collaboration, and the ability to manage conflict in the workplace.

Therefore, developing self-leadership skills is no longer an optional extra, but a strategic necessity in human resource management.

Why Do Employees Have Difficulty Implementing Self-Leadership?

The main obstacle to developing self-leadership lies in a lack of self-awareness and an inability to manage internal responses to external pressures.

According to a 2023 article from Harvard Business Publishing, many individuals act based on assumptions without realizing their thought patterns and decision-making processes.

This is known as the Ladder of Inference, where someone jumps to conclusions without objectively examining the underlying data or facts.

On the other hand, a 2024 Springer study showed that factors such as burnout, social pressure, and a work culture that disempowers employees can lead to individuals losing their sense of ownership over their work.

Without support for personal skill development, self-leadership becomes a difficult concept to realize.

As an organizational leader, you need to realize that developing self-leadership skills for employees is not just an individual responsibility, but also the work ecosystem you build. Therefore, training and capacity building in this area need to be prioritized.

7 Skills Needed to Develop Self-Leadership

Self-leadership is more than just the ability to manage time or complete work independently.

It is a collection of interconnected skills that support individuals in working proactively, resiliently, and meaningfully.

Here are seven key skills that need to be developed:

1. Self-Awareness

Self-awareness is the foundation of self-leadership. It encompasses the ability to recognize personal thoughts, emotions, values, and behavioral tendencies.

Without self-awareness, individuals will act reactively and fail to identify their strengths or areas for development.

The Harvard Business Review emphasizes the importance of self-awareness in breaking the cycle of detrimental assumptions.

With self-awareness, employees can make clearer decisions, avoid unnecessary interpersonal conflict, and become more empathetic and effective leaders.

2. Emotional Intelligence

Self-leadership is closely related to emotional intelligence. It encompasses the ability to recognize, understand, and manage one's own and others' emotions.

Within a team, emotionally competent individuals are able to maintain healthy work dynamics, respond calmly to pressure, and positively motivate themselves and others.

According to research from Springer in 2024, emotional intelligence is highly correlated with increased productivity and work resilience.

3. Self-Discipline

Self-discipline is the ability to delay short-term gratification for long-term goals.

In a work context, this means being able to focus on priorities, avoid distractions, and complete tasks on time.

Employees with self-discipline are not only able to work without close supervision but also exemplify professionalism in their work environment. They are reliable, consistent, and dependable in any situation.

4. Purpose Orientation

Self-leadership is strengthened when someone works based on personal values and goals that align with the organization's vision. Purpose orientation makes individuals feel their work is meaningful, thus increasing their intrinsic motivation.

Studies show that individuals who have a strong "why" for their work are more resilient to external pressures and more persistent in the face of challenges.

As a leader, you need to ensure that each team member understands their strategic role in achieving the company's mission.

5. Constructive Cognitive

Mindset or cognitive framing influences how a person interprets situations and acts. Constructive mindsets include optimism, a growth mindset, and the ability to view challenges as learning opportunities.

Self-leadership develops when individuals are able to manage their internal narrative positively. They don't get caught up in self-doubt, but instead actively seek solutions and take full responsibility for their actions.

6. Behavior-Focused Strategies

Self-leadership isn't just about good intentions, but also concrete strategies for forming effective habits. Behavior-focused strategies include action planning, self-monitoring, evaluating results, and rewarding themselves for small achievements.

In complex work environments, these strategies help individuals stay on track, even when facing failure or obstacles. Behavioral self-management-based training has been shown to improve employee performance and persistence.

7. Well-being Strategies

Employees who do not maintain their physical and mental health will not be able to practice self-leadership sustainably. Therefore, it is important for every individual to have self-care strategies, including stress management, adequate sleep, exercise, and healthy work boundaries.

Organizations that foster a culture of well-being not only increase job satisfaction but also create more resilient and productive individuals.

As explained in a 2024 Springer article, well-being is a crucial prerequisite for work autonomy and healthy decision-making.

Equip Your Employees with Self-Leadership Skills

As a leader, you have a central role in creating a work environment that allows self-leadership to grow and develop. Employees who demonstrate self-leadership are valuable assets.

They work with initiative, are able to manage themselves under pressure, and make significant contributions to the company's strategic goals.

However, self-leadership doesn't just emerge. It needs to be trained, nurtured, and supported through appropriate development programs.

Investing in self-leadership training not only improves individual performance but also strengthens an adaptive and innovative work culture.

If you want to build a more autonomous, resilient, and responsible team, self-leadership development should be a priority in your company's human resource development strategy.

Investing in a self-leadership training program will not only improve individual work performance but also strengthen an adaptive, resilient, and innovative organizational culture.

If you're committed to building an independent, collaborative, and responsible team, now is the time to start.

Learn more and enroll your team in prasmul-eli's Self-Leadership: Personality Perspective Training Program, a concrete step toward leadership transformation at all levels of the organization.