Leadership Risk Isn't Just a C-Suite Concern

Companies that invest in leadership development see real returns. According to Brandon Hall Group, organizations with strong leadership development programs are 1.5 times more likely to be financially high-performing, reinforcing the clear connection between leadership strength and business success (Brandon Hall Group, 2015).


For small to mid-sized businesses, this risk can be especially high. As teams expand and complexity increases, the informal leadership structures that worked early on can start to crack. That’s where proactive leadership development and risk mitigation go hand-in-hand.


The Leadership Gap Is a Hidden Business Risk

According to a recent CPHR Alberta report, talent development and leadership gaps remain one of the top five organizational risks (CPHR Alberta, 2023). The consequences are rarely immediate, but they compound over time:

• Missed growth opportunities

• High-potential employees leaving due to lack of career clarity

• Poor team morale when unprepared managers struggle to lead

• Strategic drift from lack of alignment at the top

A growing company without a leadership pipeline is like a car without a spare tire, it might keep rolling, but one unexpected bump can send the whole operation into a tailspin.


Risk Mitigation Starts with Leadership Insight

The first step in mitigating leadership risk is to move from guesswork to clarity. That means using structured tools like leadership assessments, succession planning frameworks, and targeted coaching to surface the actual capabilities of current and emerging leaders.

In professional services firms, for example, it’s common to see technically strong employees promoted into management roles. While they excel in their areas of expertise, they often lack key leadership capabilities like delegation, feedback, and emotional

intelligence (Gallo, 2016). Without proper development, this can lead to stalled projects, disengaged teams, and higher turnover. Leadership assessments and focused coaching are essential to identify these gaps early and build the skills needed to lead effectively.


Common Leadership Risks in SMBs

Every organization faces different risks, but these are some of the most common leadership vulnerabilities seen in growth-stage companies (SHRM, 2022):

• Lack of succession planning: Only one person knows how to run a key function, creating bottlenecks and burnout.

• Unclear decision-making authority: Teams waste time waiting for approvals or duplicating efforts due to ambiguous roles.

• Promotion without preparation: High performers are promoted into leadership roles without training, leading to micromanagement or misalignment.

• Poor feedback culture: A lack of honest dialogue means small issues snowball into bigger people problems.

• Leadership misfit: A leader’s natural style may clash with the culture or needs of a specific team or situation.

Mitigating these risks requires more than a one-time workshop. It takes intentional development, structured tools, and reinforcement over time (SHRM, 2022).


What Effective Mitigation Looks Like

The most successful companies don’t wait for a leadership crisis to take action. They build leadership strength proactively. Here’s what that looks like:

• Leadership assessments are used during hiring and promotions to identify fit, style, and potential blind spots.

• Customized coaching programs help leaders build the exact skills they need in real time, tied to their actual challenges (International Coaching Federation, 2022).

• Leadership training cohorts (such as PowerUp Leadership’s “Coaching Skills for Managers” or “Authentic Leadership” programs) create a shared foundation across the organization.

• Succession maps identify who is ready or could be ready for key roles in 12–24 months, creating a proactive development plan (SHRM, 2022).


As companies grow, the complexity of people management increases exponentially. Systems, tools, and strategy all matter but none of them work without effective leadership behind them (McKinsey & Company, 2018). Investing in leadership development isn’t a “nice to have” for big companies, it’s a risk management strategy for every business serious about sustainable growth.

Interested in assessing your leadership risk? Visit powerupleadership.ca to explore leadership assessments, coaching programs, and facilitated team workshops tailored to your growth stage.


Layan Jasser

PowerUp Leadership


References:

  1. Brandon Hall Group. (2015). Leadership Development Benchmarking Report.
  2. CPHR Alberta. (2023). HR Trends Report. Retrieved from https://www.cphrab.ca
  3. Gallo, A. (2016). “Why People Really Get Promoted.” Harvard Business Review. https://hbr.org/2016/06/why-people-really-get-promoted
  4. SHRM. (2022). Succession Planning Toolkit. Society for Human Resource Management.
  5. International Coaching Federation. (2022). ICF Global Coaching Study.
  6. McKinsey & Company. (2018). The organization of the future: How to win in a fast-changing environment.



The views and opinions expressed in this blog post belong solely to the original author(s) and do not necessarily represent the views and opinions of CPHR Alberta.



An Update from your Board of Directors – November 2025

By Jessica Jaithoo • December 4, 2025
As the governing voice of CPHR Alberta, the Board of Directors meets quarterly to provide oversight and guidance in several key areas. The Board, alongside CPHR Alberta operations, continues to deliver on the association's strategic priorities developed in the 2020 strategic plan. To ensure transparency between our Board of Directors, members and key stakeholders, we are sharing post-meeting messages to inform the steps taken towards advancing our profession and ensuring a financially stable association. The Board of Directors met on November 27, 2025, and is proud to share the strong momentum we are experiencing across our community. The Board’s key messages are as follows: Membership Growth As of September 30, 2025, we reached 7,213 active members, a 7% year-over-year increase, with the majority coming from student and emerging HR professionals. This growth affirms the momentum of our HR profession and the impact of our student engagement initiatives. Professional Development Member participation remains strong with 53 events held year-to-date, with 5,013 attendees across workshops, roundtables, webinars, and community sessions. Our complimentary events have played a key role in sustaining engagement and access to learning. Annual Conference The Annual Conference was a heavy focus for the association in Q3. The sold-out event continues to bring together our community for valuable professional development and networking opportunities, creating a strong foundation for 2026. Attendees reported high satisfaction, with over 370 in attendance, and a sold-out exhibitor hall. “The CPHR conference was incredibly educational and inspiring. The speakers motivated me, and it was an experience I’ll never forget. I really enjoyed it, grew closer to my team, and I definitely want to attend again.” – 2025 Conference Attendee The 2026 event will be held at the BMO Centre, in Calgary on June 2 and 3 – with increased capacity, expanded exhibitor space, and enhanced programming will elevate the experience for all HR professionals across Alberta, NWT and Nunavut. Self-Regulation The Board continues to assess the implications of Alberta’s Professional Governance Act (PGA), including: Advocacy, legal, and governance impact assessments are being commissioned. Preliminary recommendations from management will be brought to the Board in March and June 2026, leading to a formal decision. Further information will be shared, when ready.  Future Vision Approved: 2026-2028 Strategic Plan Our new 2026–2028 Strategic Plan will be rolled out in December to all members. The 3-year Strategic Plan, crafted from member feedback, market research, and collaboration with CPHR Canada – aims to strengthen our profession’s influence, amplifies leadership, and creates pathways for all members to thrive. Fiscal Responsibility Our Q3 financial review remains on track for a balanced year-end forecast. The 2026 draft budget has been approved – aligning resources with our strategic priorities while maintaining a disciplined and responsible financial approach. Board Governance Our board continues to focus on good governance practice, ensure stability, clarity, and accountability across our organization. FCPHR Nominations A reminder that the prestigious Fellowship Award is open for nominations! This national program recognizes Chartered Professionals in Human Resources (CPHRs) who have made exemplary contributions to the HR profession. Recipients are granted recognition as a Fellow of the Chartered Professionals in Human Resources (FCPHR). Click here to learn more about the Fellowship Award, including the guidelines and completing your nomination. You can also download a copy of the nomination form here. The next Board meeting takes place in March 2026, after which we will again share our key messages. If you have any questions regarding these key messages or the Board of Directors, please contact chair@cphrab.ca . We welcome your feedback!

Charting the Future of HR: CPHR Alberta’s 2026-2028 Strategic Plan

By Jessica Jaithoo • December 2, 2025
At CPHR Alberta, we believe that the future of work is being shaped by the decisions we make today. That’s why we’re proud to share our 2026-2028 Strategic Plan—a bold, member-informed roadmap that will guide our organization over the next three years. This plan is the result of a deeply collaborative process, led by our Board of Directors and developed in partnership with our operations team. It reflects the voices of our members, gathered through surveys and conversations, and is grounded in market research and aligned with the national priorities of CPHR Canada. Together, we’ve crafted a strategy that is responsive, forward-looking, and rooted in data. At its core, the plan is about strengthening the Human Resources profession and supporting the people who drive it. It reaffirms our commitment to building a resilient, inclusive HR community—one that is equipped to lead in a rapidly evolving workplace landscape. Our redefined vision and mission statements speak to this ambition, and our newly articulated values provide a foundation for how we work, connect, and grow. The strategic priorities outlined in the plan reflect the areas where we believe CPHR Alberta can make the greatest impact. They focus on elevating the visibility and influence of the HR profession, fostering innovation and leadership across our community, and deepening engagement with our members and partners. These priorities are designed to meet the diverse needs of our jurisdiction, from urban centers to rural communities, and to ensure that every CPHR has the tools and support to thrive. As we look ahead, we’re energized by the possibilities this plan unlocks. It’s a call to action—for our team, our Board, and our members—to work together in shaping the future of HR. Whether it’s through new learning opportunities, stronger regional connections, or amplifying the voice of HR in public discourse, we’re committed to leading with purpose and impact. We invite you to explore the full 2026-2028 Strategic Plan and see how our shared vision will come to life. Together, we’re building a future-ready HR community—one that’s connected, influential, and prepared to meet the challenges of tomorrow.

Become an HR champion!

By Bailey Beauchamp • December 1, 2025
Seeking CPHRs, Retired CPHRs and Public Board Members
MORE NEWS