Why is productivity falling in 2013? The role of leadership in creating growth during the recession

Purpose – The purpose of this paper is to examine the role of leadership in business growth and productivity. Design/methodology/approach – It does this through reference to coaching activity, drawing on practical, real life experience. The productivity source is quarterly reports from the Office for National Statistics. Research from the Bank of England suggests that decreased productivity is more of a contributory factor to the recession than previously thought. Findings/research – Productivity in British industry has fallen. Thinking short‐term and cutting costs hinders long‐term growth. Practical implications – Leaders need to evaluate their practice, asking questions of themselves and look at making more long‐term plans. They need to involve and engage key personnel now and in the future. Originality/value – This paper examines the role of leadership in business growth and productivity, finds that productivity in British industry has fallen, and outlines what actions leaders need to take.