Concept: Proactive energy companies are, 1) holding leaders accountable for effective leadership behaviors and, 2) they are growing their own leaders using a very deliberate profile and programs. They are branding themselves and becoming increasingly attractive to top talent.

Problem: Recently I attended the Talent Management Association’s Energy conference in Houston. And it was confirmed: The energy sector is bleeding leadership and unseasoned 30 to 40 somethings are having to take their place.

David Lee of Rigzone noted:

• There is a rapidly growing gap in the 30–49 year olds with solid leadership experience
• Upwards of 60% of all energy employees are contacted by at least one recruiter per year
• About 45–60% of project delays within the energy sector were due to leadership and staffing deficits

The baby-boomers are retiring in increasing numbers and there are very few seasoned leaders to take their place. It’s getting so concerning that some energy companies are paying baby-boomers NOT to retire!

To top it off, companies are consistently stealing from each other, throwing money at voracious candidates. Sheer desperation is setting in!

Solution: So what’s a company to do when even money won’t speak? A well-developed “leadership brand” could very well be the ticket. Employees are demanding solid leaders, especially the Gen X’s and Y’s. Their expectations are higher. The command-and-control approach of the baby-boomer era won’t work any more. Society, too, is expecting much more from leadership than ever before, especially in the realm of ethics.

So what is a “leadership brand?” It is an organization’s well-defined and consistently practiced leadership principles. Call them competencies if you want. These are the undisputed standards and qualities that leaders in the organization must possess and develop.

Organizations such as SM Energy and NiSource get it. Simply stated, here’s what they’ve done:

1) Defined and implemented their distinct leadership brands with current leadership. They hire, develop, and if need be, fire leaders against these standards.

2) Built an internal leadership development program. They use the same brand to create new leaders for the organization and create growth opportunities for high potentials. These are well-thought-out internal programs that are a top strategic priority for senior leaders and HR.

Keep your eye on companies like SM Energy and NiSource. They’re holding leaders accountable and growing their own. The victory very well could be theirs!