When I first encountered the term “inclusive leadership,” sometime in the 2000s, it seemed like the perfect way to describe my philosophy. As a rising leader at AT&T, I wanted to connect all my stakeholders to the meaning and impact of our work. I sought to achieve high performance, delivering shareholder value while embracing the workforce as people first, respecting the fact that they played out their roles in the broader context of their lives and identities.

Inclusive leadership is at the heart of what I call “leading bigger;” in fact, I consider the terms to be synonymous. How can any organization perform to its fullest if it leaves some constituents outside of a circle of belonging? And yet, as inclusion became a priority for business, it has somehow been buried deep in the HR department, somewhere where no one would ever think to look: at the very end of the DEI (diversity, equity and inclusion) acronym.

Ironically, inclusion itself has been made too small. In the business world, the use of the word has been focused primarily on workforce representation, with a heavy emphasis on gender, race and physical disability.

While this is important, it’s certainly not complete. We need to redefine — or perhaps more accurately define — the term. Inclusion, as I define it, is not just about people. It can also relate to the work itself, through, for instance, taking in larger datasets and more viewpoints for better decision-making. And it can encompass the workplace, more agilely addressing where, when and how we work to support the needs of the business and its people in any given moment.

Leading bigger is where it all comes together, where the care for this ‘big tent’ of people and the values-and-purpose-based assessment of inputs are translated into action. Leading bigger has to be driven by a compelling purpose and values, which are not platitudes, but rather lived. The goals are better decisions, improved performance and ultimately a greater impact. Impact means you have the power to make real and enduring change for the better.

This is what I mean by leading bigger: Widening your perspective to have greater performance and impact. How you achieve that is by advancing work that matters; developing a vital, innovative workforce; and creating a trusted, agile workplace.

1. WORK THAT MATTERS: Bigger leaders ensure that their purpose, values and performance metrics involve and engage the people directly affected by and interested in the work of their team/organization.

2. A VITAL, INNOVATIVE WORKFORCE: Bigger leaders recognize the humanity of their people, taking responsibility for how the work impacts their teams’ well-being while embracing all dimensions of their identity. The leader’s role has inevitably expanded to understanding what is happening in the employee’s career and life — potentially at any and all times. When it comes to your people, leading bigger doesn’t start and stop with the workday.

3.  YOUR TRUSTED, AGILE WORKPLACE: Considering the future of work requires that we create a safe environment. We must stop thinking of the traditional rigid boundaries of work, such as hierarchy, location and time. Bigger leaders champion flexibility in dynamic hybrid workplaces by embracing trust and empowerment for individuals, teams and leaders alike.

For decades we’ve been urged to think bigger, yet no one has articulated how to lead bigger. Thinking bigger means envisioning new, undreamed-of possibilities that yield progressive breakthroughs; leading bigger is how you get this done. You can’t think your way into market-winning growth; execution is required. High performance, innovation and creative solutions require you to have teams who are energized and to earn the support and even friendship of the important groups that surround your company, including your customers and the communities in which you work.

In order to successfully engage with so many, the bigger leader needs to unearth and articulate a common purpose and needs to develop a new interpersonal tool kit: empathy, caring and listening, to name just a few elements.

The upsides of this approach are indeed bigger. According to Harvard Business Review — where inclusive leadership is discussed in this broader manner as embodying the traits of humility, curiosity and active learning, rather than a more narrow DEI-based version of the term — inclusive organizations are 73 per cent more likely to reap innovation revenue (i.e. sales from new products and services), 70 per cent more likely to capture new markets, up to 50 per cent more likely to make better decisions, and up to 36 per cent more likely to have above-average profitability. And inclusive leaders create a 17 per cent increase in team performance, a 29 per cent increase in team collaboration and a 76 per cent decreased risk of attrition (i.e. employees leaving).

True inclusion doesn’t mean adding more to leaders’ plates; they’re already facing burnout and exhaustion as great as anyone else’s in the workforce. But leading bigger isn’t yet another task or something else that one needs to do. Instead, it’s a refreshing and revitalized way to approach work, the workforce and the workplace that will not only drive success but keep leaders and their teams engaged and inspired. Leading bigger will invigorate more people with greater degrees of cohesion and connectedness. And if we want to transform and accelerate growth, it’s time to lead bigger.

Evidence of leading bigger

This type of leadership, which aligns people to purpose and seeks to create success beyond just the bottom line, has been evolving all around us. In retrospect, we are witnessing a seminal shift towards bigger leadership.

Trillions in investment dollars have moved into conscious investments, which focus on improving the world. This includes corporate social responsibility (CSR), concern about the impact of climate change and an eye towards how companies are run. The movement familiar to many labelled ESG (environmental, social and governance programs,) is going through growing pains, as the label has too often been misapplied for the purpose of marketing investment vehicles that fail to deliver on the promise. Nonetheless, investor interest in backing companies that contribute positively beyond their financial results is growing.

Consider the rise of the B Corp, a for-profit company certification program that seeks to create a better kind of capitalism. One shining example of a B Corp is Patagonia, which goes from strength to strength in its effort to do nothing less than “save our home planet.” Patagonia has put in place repair and reuse programs and seeks to produce non-trendy products meant to last, in a rejection of fast fashion. It transparently publishes data on worker pay, microplastics and other aspects of its supply chain. It has a goal that by 2025, it will make at least half of its synthetic materials using secondary waste streams, including ocean plastic waste, bottle collection programs and textile waste. In what I see as an effort to lead bigger, it has a stated goal to strengthen these secondary waste supply chains to enable their use by the clothing industry at large.

For more evidence that there is a will to lead bigger, reflect on how the Business Roundtable, an association of chief executive officers of leading major American companies, decided in 2019 to adopt a new statement of purpose for corporations, declaring that “companies should serve not only their shareholders [i.e. investors], but also deliver value to their customers, invest in employees, deal fairly with suppliers, and support the communities in which they operate.”

Bigger leaders have been consistently elevating the business performance of their organizations while also delivering greater strategic impact for their stakeholders over the long term. I contend that, increasingly, companies do well financially when they align with stakeholders and deliver beneficial outcomes for more than just investors. This is because our world is ever more interconnected via social media and public access to data, so company behaviours are more visible than ever. Operate in ways harmful to an important community or to employee well-being, and you will set yourself up for friction and backlash that will harm your bottom line.

Yet another sign of the move towards bigger leadership is the value we’re now placing on leadership behaviours like advocacy, self-awareness, servant leadership, stakeholder excellence, a philanthropic focus, vulnerability, fairness, long-term thinking, humility and humour (often self-deprecating or at least not typically made at the expense of others).

These types of leaders think big and deliver bigger. They are committed to delivering outstanding performance and sustainable growth while making an impact that will not only endure but remake society for the better. This is why their efforts are often seen as groundbreaking.

Consider the lead-bigger characteristics demonstrated by the following notable leaders.

Warren Buffett, chairperson of Berkshire Hathaway, is arguably the most successful investor of the 20th century. His success is based on modelling an investment style that seeks to deliver value for the long term. As a bigger leader, he has also advanced philanthropy in groundbreaking ways, such as launching an initiative in which he, Bill Gates and Mark Zuckerberg promised to give away at least half of their wealth, while encouraging others to do the same. He has generously stated time and time again that one of the reasons for his success is that he was competing against only half of the talent pool — a direct poke at the reality of gender inequity in the workplace. And he’s spoken against the unfairness of how, even though he’s one of the world’s richest humans, he pays lower taxes than his secretary does.

Few would argue with the assertion that Alan Mulally, former president and CEO of Ford, is a bigger leader. His turnaround of Ford during the Great Recession was anchored on his “work together” principles and practices that centred on people, communication and a clear vision. A self-proclaimed ‘servant leader,’ he believes that it is an honour to serve an organization, and his deep sense of empathy and awareness are legendary for bringing out the best in those around him.

Indra Nooyi, former chair and CEO of PepsiCo, revitalized the strategic direction of the company, shifting towards healthy alternatives with an intense focus on changing consumer needs. As a bigger leader, she was consistently inclusive, considering diverse perspectives and fostering a culture of respect and understanding across her organization. She is also famous for writing thank-you notes to the parents of her executives, expressing appreciation for the contribution they make and to their parents’ role in raising them.

Ken Frazier, executive chairman and former CEO of Merck, is known for playing the long game, as demonstrated in his decisions to support research and development, even when it meant a short-term hit to earnings guidance. A civil rights attorney by training, he was the first CEO to step down from President Trump’s American Manufacturing Council in 2017 in light of the events and commentary around the racial violence in Charlottesville. Later, he recalled in an interview that when he subsequently arrived to speak at a manufacturing plant in North Carolina, most of the manufacturing workers had their arms crossed. He said, “I respect your views. I hope you will respect mine.” After he said that, he recalls that they uncrossed their arms.

Satya Nadella, chair and CEO of Microsoft, one of the most valuable companies in the world, embodies leading bigger. He speaks of empathy not as a ‘soft skill’ but as a skill critical to innovation, since it enables the comprehension of customers’ unmet needs. He has a passion for ensuring the accessibility of workplaces and products for people with disabilities, inspired by his love for his son, who had cerebral palsy and was a quadriplegic and sadly passed away in 2022.

Julie Sweet, chair and CEO of Accenture, was the first woman to lead the global professional technology services company. At a time when responding to the Israel-Hamas war has ended careers, Sweet and her management team issued a masterfully balanced and empathetic statement, as well as committed funding for humanitarian efforts. Reflective of her lead-bigger mindset, she says, “The real driver of culture (outside of good leadership) is about how it feels to come into work every day.”

Simone Biles, one of the most decorated American gymnasts of all time, demonstrated her bigger leadership when, at the top of her game, she courageously prioritized her own mental health, pulling out of several events during the Tokyo Olympics in 2021. Her actions helped normalize the conversation about the importance of mental health. She has become a global role model and advocate, inspiring people across the world.

The risks of leading small

Once you recognize the difference, you will note the disparity between small and bigger leadership everywhere you look: the business news, global politics, educational systems and even in our local communities and neighbourhoods. Do you recognize any of these ‘leading small’ behaviours? And more important, can you remember how these behaviours have made you feel? Did they affect your ability to do your job?

Penny-wise, pound-foolish: Enforcing maddening budget cuts made without consideration to how they will choke long-term innovations and prospects of greater growth.

Narrow lens: Myopically optimizing the performance of your own team, even when it is to the detriment of the organization.

Micromanaging: Intervening to the point where your team stops learning or devising their own strategies, thus displaying a lack of trust and suppressing human ingenuity.

Missing the big picture: Focusing on a single performance data point (often one that is incentivized), and thus missing the larger context of the problem you are trying to solve.

Being self-focused: Power-hungry, selfish, credit-stealing and intimidating leaders who are imposing, then tell their people to meditate to manage their wellness and bring their best selves to the job.

And how about the following characteristics of bigger leaders? Can you recall someone who exemplified these characteristics? How did you feel working with, or for, them? Did they help bring out the best in you?

Being a bigger person: Demonstrating vulnerability, admitting mistakes, looking to solve conflict through respect and understanding.

Seeking a broader impact: Connecting with the wider circle of people who will feel the effects of the business. Bridge-building in an attempt to find mutual benefit.

Scouring the horizon: Seeking more data points and viewpoints to fill in blind spots. Identifying opportunities and potential pitfalls to guide the team confidently forward, mitigating and managing risk, for sustainable outcomes. Steering the team masterfully around the rocks.

Embracing the whole of your team: Seeing each individual as having value and potential, not just in the context of their work, but in the context of their life. Working with individuals according to their unique strengths, weaknesses and aspirations.

Being inspirational: Fuelling a team with a shared purpose supported by a culture of belonging and the psychologically safe environments in which people can develop new ideas and display excellence.    

Being reflective: Demonstrating self-awareness and humility, recognizing the impacts of their dispositions and behaviours on the well-being of the team. Continually learning, improving and growing. Also, thinking deeply and systemically about a problem, identifying root causes and devising long-term solutions.

No one is either a bigger leader or a small leader — we all have attributes of both. Most important, we all have the potential to lead bigger. You don’t check a box and immediately become a bigger leader; it’s a continuous lifelong journey you consciously choose to partake in.

Look at both lists provided herein and consider your own behaviours to date in your career. When have you led small? When were you a bigger leader? It’s never too late to switch sides.

This article originally appeared in the Fall 2024 issue of the Rotman Management magazine an excerp from the book Lead Bigger: The Transformative Power of Inclusion (Simon & Schuster, 2024). Subscribe now for the latest thinking on leadership and innovation.