Credit leaders: Leading beyond the title

The ability to lead exists in all of us. You don’t need a title to make an impact—it’s about how you show up. But what sets great leaders apart from average ones? Over the past year, we’ve navigated economic uncertainty, from supply chain disruptions to looming trade war threats. During times like these, teams are looking to their leaders for direction.  

An effective leader excels not only during calm periods but also in times of uncertainty or adversity. Leaders who demonstrate confidence in both their own and their team’s abilities, even during stressful times, inspire their team to do the same. 

Why it matters: Everyone has the potential to be a leader, regardless of their title or position. By recognizing the qualities of successful leadership, you can enhance your own leadership skills and identify emerging leaders in your organization. 

Communication 

Communication is consistently said to be one of the most important qualities of a great leader. With skillful communication, leaders can strengthen understanding within their teams, building trust and achieving goals. “A leader needs to be a good communicator because they’re working with all kinds of different people,” said Dallas Kleiboeker, CBA, retail credit and membership manager at MFA Incorporated (Columbia, MO). “Whether you are communicating discipline, praise, a new assignment or settling a feud between teammates, you have to know how to get your point across in a way that others will hear and respect.” 

To communicate better, leaders must understand verbal and nonverbal cues, engage in active listening, make clear and concise expressions and be able to adapt their communication style to different situations and audiences. “Great leaders listen with intention,” said Steven Prensner, CBA, senior credit analyst at MasterBrand Cabinets, Inc. (Jasper, IN). “They’re paying attention to what others are saying and asking open-ended questions to encourage responses, clarify understanding and provide feedback without judgment.” 

Problem-solver 

Successful leaders are problem-solvers who can identify challenges and develop practical solutions. Their ability to solve problems not only drives the success of the company and its employees but also serves as a testament to their leadership strength. Overcoming obstacles efficiently boosts their productivity, enhances job satisfaction for the team and fosters creativity within the department. 

“To demonstrate your value as a leader, you must take initiative, proactively identifying problems and proposing solutions to positively impact others,” said Prensner. “Developing solutions with empathy will show your willingness to embrace change and support your colleagues while fostering an inclusive workplace.” 

Trustworthy 

Trustworthiness, the quality of being deserving of trust and confidence, is essential for effective leadership. Your team must know they can rely on you to guide them through both smooth and challenging times. A trusted leader fosters greater team engagement and commitment, ultimately driving productivity. “Leaders acknowledge challenges and have confidence in their team that, together, they can accomplish any task,” said Scott Dunlap, director of credit and collections at Coleman Oil Company, LLC (Lewiston, ID). “They’re consistent and honest in their communication to all concerned, both in one-on-one meetings and in group settings.” 

Leaders build trust by being open and honest with their team, and transparency will encourage trust in the future. “It’s tempting to sugarcoat situations or make things seem better than they are, especially since no one wants to be seen as negative,” said Wendy Mode, CCE, CICP, corporate credit manager at Delta Steel, Inc. (Cedar Hill, TX).  “However, in the long run, honesty earns you greater trust and respect.” 

Empathetic 

Empathy—the ability to understand and connect with others’ emotions—is a key trait of a strong and impactful leader. By actively listening to your team’s needs and concerns, you can discover better ways to guide them. “During a time of uncertainty, a leader of mine trusted me to assist and allowed me to share my thoughts and opinions with the rest of the team, which was a big deal for me,” said Chris Delaney, credit manager at Richards Paint (Rockledge, FL). 

When employees feel heard and valued, they are more motivated and productive. “One boss of mine made sure I could attend CAP classes, earn my certifications and continue my education,” said Mode. “They understood that supporting my growth wasn’t just beneficial for the company—it would also have a lasting impact on my personal career. That education is something I carry with me.” 

The bottom line: Great leaders are role models for their team. They make an effort to communicate, understand and establish trust to guide their teams to success. “Leading by example and modeling behaviors and attitudes you wish to see in others can inspire and motivate your team,” said Prensner.