market and environment conditions, leadership situations and processes. The “soft”
factors are relationships, emotions, motivations and expectations, none of which
can be easily calculated or determined.
The attention paid by most companies to the “hard” and “soft” factors of good
leadership by no means reflects their real meaning. Comparing the influences to an
iceberg, the visible hard factors make up the 15% above the surface. The remaining
85% of soft factors are hidden below it. (More about the iceberg model in Chap. 3.)
Money, time and energy are mostly invested in order to adjust the visible and
measurable factors of success. Such diffuse dimensions as emotions, ethics,
motivations and relationships are not easily calculated. However, today’s leaders
have skillfully manage precisely this kind of capital. They have to recognize the
resource potentials of their employees, cultivate and foster them if they want to
thrive in the face of competition and want to do more than just “a good job.”
2.5 Conclusion: The Power of Soft Factors 115