Wisdom of a Leader

Abstract

Complex systems, issues, and problems call for a careful analysis of choices and decisions, and how these decisions affect multiple stakeholders in the present and the long term. Generic leadership characteristics and competencies such as cognitive ability, emotional intelligence, and cultural intelligence are not sufficient in providing effective leadership in a complex, globalized world. The focus of this chapter is to highlight and describe the concept of wisdom as an essential foundation of leadership in resolving today’s challenges. In the recent past, scholars have identified wisdom as the missing dimension in providing effective leadership. Wisdom involves making informed decisions, bearing in mind short-term and long-term consequences of decisions to multiple stakeholders. McKenna and Rooney1 have articulated the concept visioning and a perspective-taking capacity that incorporates long-range goals. This perspective may at times be at odds with notions of leadership effectiveness that are based on objective measurements and tangible benefits. Wisdom involves transcending above a narrow focus of decisions to higher ideals of improving and sustaining the human condition, resources, and the environment. Wisdom also involves understanding complex systems by tapping into different gestalts of knowledge to distill relevant issues into actions, and the ability to unite different interest parties into a winning coalition. Our focus is on the concept of wisdom and how it can be applied in dealing with these challenges. We proceed by describing the contextual globalized world, our understanding of wisdom, selected relevant literature, the need for a wise leader, and profiles of wise leaders.