What is human-centric leadership, and why does it matter in today’s workplace?

In this episode of the Atlas Copco Group People Podcast, SVP & CHRO Cecilia Sandberg and Vice President Talent & Learning Dorna Eriksson Shafiei discuss why placing people at the core of leadership drives long-term success and what it means to lead with a human-centric approach.

From empowering teams to fostering growth and collaboration, they explore how this leadership approach can shape high-performing teams in an ever-evolving world.

Tune in now!

At Atlas

Copco Group, we empower people to thrive

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with passion through trust, inclusion

and a growth mindset.

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The future proof our business

and our people.

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Our strong culture of innovation is a result

of having passionate people on board,

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committed and encouraged to grow

and reach their full potential.

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The People Podcast is one channel

where we get to explore

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and deep dive into topics

within people and culture.

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For those of you who listen

to our previous episodes, welcome back!

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We release new episodes

on a quarterly basis,

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and the program

today is actually our 18th release.

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I'm Cecilia Sandberg, Head of HR

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for the Atlas Copco Group,

and together with me,

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I have Dorna Eriksson Shafiei, VP Talent

and Learning for the Group.

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And today we will explore the topic

of human-centric leadership.

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Is it another buzzword, or the game changer

when it comes to developing

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high performing teams?

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We will discuss the what, the how, and the

why of putting human-centricity

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at the core of successful leadership

and organizational success.

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Please join us.

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Hi and welcome Dorna.

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Hello.

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Here we are again, right for the 18th

episode of our People Podcast.

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Time flies for sure.

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And soon we are approaching

the end of the year.

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We are indeed time

to decorate the Christmas tree

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and prepare all the gifts, right?

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But before that, I'm thrilled to be here,

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Of course.

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And I think

this is such an important topic,

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especially in today's

fast-paced, tech-driven world

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where it's easy to lose

sight of the human element and leadership.

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Absolutely.

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Human-centric leadership

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is one of those buzzwords

that we hear a lot lately, right?

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But there's often confusion

about what it really means in practice.

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So I suggest let's start with the basics.

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Right.

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So how do we define

human-centric leadership?

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That's a great place to start.

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In my view, human-centric leadership

is about placing people,

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whether they're employees, team members

or customers

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at the center of your leadership

philosophy.

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So it's recognizing that businesses

are built on human relationships,

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and that leadership

is not just about driving performance

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or hitting your targets in relation

to employees.

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It's of course, all about supporting

and empowering people to thrive.

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And this includes their well-being,

growth,

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and aligning their personal goals

with the organization's mission.

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Right.

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So moving away from a purely profit

driven model

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to a more holistic approach to leadership,

I like that.

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And I love that

you mentioned the wellbeing.

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Because especially now, mental

and emotional health

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have become central

in how we think about leadership.

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Exactly. And this is a crucial point.

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So leaders need to understand

that their role isn't just about getting

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the job done.

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It's about creating a healthy

and sustainable work environment

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where people feel valued, respected

and motivated to contribute.

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So human-centric leadership is about

just that, empathy, communication,

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and genuine and care for others success

both personally and professionally.

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It sounds like emotional intelligence

is a key component

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of this leadership style then. Right.

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So how do we cultivate

emotional intelligence?

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What are your thoughts here, Dorna?

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Great question.

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Well, I think

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while some people may be naturally,

attuned to the emotions of others,

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emotional intelligence is a skill

that can absolutely be developed.

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Leaders can learn how to better understand

their own emotions.

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I think that's where it all starts.

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Recognizing emotions in others

and managing those emotions

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effectively in relationships.

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So emotional intelligence

specifically when it comes to leadership,

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involves

being able to read a room, manage conflict

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and offer support in ways

that are human and authentic.

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Right.

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And that's a skill

that's going to be even more important

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as we continue to navigate the

complexities of hybrid work environments, I think!

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With teams being more dispersed,

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building those authentic relationships

has become even more challenging.

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Would you agree to that?

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Absolutely.

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Leading in a remote or hybrid environment

adds layers of complexity,

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because you're not having those everyday,

face-to-face interactions

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that can help build rapport and trust.

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But on the flip side,

it offers an opportunity

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for leaders to be more intentional

about how they connect with their teams.

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So it's no longer enough

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to just check in on people

during your weekly team meetings.

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You have to create spaces

for more informal human interactions,

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whether that's virtual coffee

chats or regular one-to-ones.

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I think that's a great point,

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being intentional.

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In your experience,

how does a leader actually

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implement a human-centric approach

in their day-to-day operations?

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Are there specific strategies or practices

that they can start adapting to?

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Yes, there are definitely practical ways

to implement this approach,

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and I think first it starts with open

and transparent communication.

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So leaders who are transparent

about goals, challenges

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and expectations

help build trust with their teams.

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Second, I think active listening

is a huge part of this.

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Leaders should take the time

to listen to their team members,

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not just to give direction,

but to really understand

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their concerns, ideas, and needs.

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I fully agree.

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In agile cross-functional teams

who will lead people that probably know

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more than you do.

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Leaders need to reshape their leadership

style to create an environment

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where the team feel empowered

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to collaborate

and build on each other's competencies.

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Human-centric leaders should, in my view,

be committed

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to creating growth opportunities

for their team members.

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So this means investing

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in professional development,

offering mentorship as an example,

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and providing the tools and resources

they need to succeed.

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Absolutely.

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And I would also add that

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recognizing and celebrating people's

contributions can't be overlooked.

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It's so important for leaders

to celebrate wins,

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whether they be big or small,

and acknowledge the efforts of their team.

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This boosts morale and reinforces

that the leader

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really values their people beyond

just what they produce.

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Yeah, I love that.

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So much of leadership

often focuses on output and results, but

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human-centric leadership makes the process

just as important as the outcome.

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So let's dive into that

a bit more, shall we?

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In your view,

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how does human-centric leadership impact

an organization's overall performance?

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Can it actually lead to better results?

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Great question.

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Well, while human-centric leadership

may not always produce immediate results

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because it's more about long

term investment in people,

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it absolutely leads

to better outcomes in the long run.

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So when employees feel valued, respected

and supported, they are more engaged,

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more motivated, and more committed

naturally to the organization's success.

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I mean, think about it.

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A team that feels like their leader

genuinely cares about their well-being

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will be more likely to go that extra mile

and collaborate more effectively.

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Plus, when employees are encouraged

to bring their full selves

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to work,

they're more creative and more productive.

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I fully agree.

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This also reminds me of the conclusions

from a recent research study from MIT,

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highlighting the importance of cultivating

psychological safety, where employees

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feel comfortable sharing their ideas

and without fear of negative consequences.

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This fosters innovation, which is

of course, crucial for adapting to change.

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What it comes down to

is creating a culture

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where people feel safe

and empowered to take risks,

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share ideas, and contribute in ways

that are meaningful to them.

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That, in turn drives

the kind of results that organizations

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need to stay competitive in today's fast

evolving world.

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Would you agree to that Dorna?

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I would indeed.

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And I think trust is foundational here.

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So research also indicates

that when leaders demonstrate

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vulnerability and authenticity,

it encourages employees to do the same.

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And many research papers have shown

that organizations characterized

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by high levels of trust

actually outperform their competitors.

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And this highlights how trust fosters

both better collaboration

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and better performance.

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That's such an important point.

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So much of what we're talking about

is building trust

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and a sense of psychological safety.

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Now, for leaders who might be new to this

and who are trying to make the shift

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to human-centric leadership,

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what would be your advice

for starting small and building momentum?

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Yeah,

I would say start with self-awareness.

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The first step here is really to reflect

on your own leadership style

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and consider how

well you're supporting your team's needs.

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So simply ask yourself,

am I truly listening?

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Am I being transparent?

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Do I make space for my team to grow?

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So from there, it's

about creating meaningful connections,

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make the effort to really understand

what motivates

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each individual in your team,

whether that's through formal performance

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conversations, informal check-ins,

or even casual conversations.

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Then, focus on creating an environment

where they can really thrive.

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So start small by setting aside

time for regular one to ones.

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And offer more personalized feedback.

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I think that's a great advice.

Start small,

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be consistent

and don't try to do everything overnight.

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Small, consistent efforts

to invest in your team's well-being

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and development

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can go a long way in building trust and

creating a more human centered culture.

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So to wrap up, what do you think

is the biggest benefit of adopting

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a human-centric leadership approach,

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both for leaders

and for organizations as a whole?

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The biggest benefit in my view is,

is sustainability.

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So sustainable growth, sustainable

relationships, and sustainable performance.

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When you center leadership around people,

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you're not just building

short term results.

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You're really creating an environment

where people feel valued

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and motivated to contribute

over the long run.

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So for leaders, it's incredibly rewarding,

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of course, to see your team succeed

because you've supported them in ways

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that go beyond just a job.

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And for organizations,

a human-centric approach leads

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to a more engaged, resilient

and loyal workforce,

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one that's better equipped to adapt and thrive

in an ever changing business climate.

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I think that's such an inspiring way

to close out our discussion today Dorna.

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Thank you so much for joining me today.

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It's clear that when leaders

focus on their people, everyone benefits.

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Indeed. Thanks so much for having me.

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And to our listeners.

Thanks for tuning in.

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Remember,

leadership is not just about being

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in charge

is about empowering those around you.

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Until next time,

keep leading with empathy and take care.