Leadership development remains one of the most overlooked competitive advantages in business, even as companies continue investing heavily in AI and emerging technologies.
In the latest episode of Business Trends Today, Matt Gjertsen, the Founder of Built and former Head of Training and Development at SpaceX, discusses why organizations continue to grapple with a fundamental human challenge.
The challenge centers around developing managers who can build trust, lead teams through uncertain times, and help organizations scale effectively.
Leadership and AI adoption
Gjertsen contends that technology alone does not dictate business outcomes. But the success of any tool, including AI, relies on how individuals within an organization adopt and utilize it.
Leaders play a vital role in guiding employees through change, alleviating fears related to new technology, and aligning teams toward shared goals. Gjertsen believes that organizations that do not adequately prepare their employees for change often struggle to fully leverage the benefits of new tools and systems.
Gjertsen also emphasizes the importance of helping employees become “comfortable being uncomfortable.” He suggests that organizations that successfully adapt to change intentionally foster environments in which employees can embrace discomfort rather than avoid it.
“[AI] was never the tool that made the difference into the outcomes in the organization. It was how the organization, how the people used that tool.”
Both personal and organizational growth often involve navigating uncertainty and facing challenging situations. Therefore, Gjertsen says leaders should establish psychological conditions that help employees recognize that experiencing discomfort can lead to long-term development and improved performance.
Common mistakes
Gjertsen highlights that one of the most significant mistakes new managers make is failing to shift their focus from solving problems to leading people.
While many employees are promoted to management roles for their technical expertise or strong individual performance, management still requires a different skill set that emphasizes communication, team development, and relationship-building. Without clear guidance, many new managers end up continuing to operate primarily as individual contributors rather than as effective people leaders.
Therefore, Gjertsen wrote his upcoming book, Minimum Viable Manager, after observing repeated leadership gaps inside high-performing engineering and technology organizations.
He says many companies possess strong technical talent but struggle to scale because they cannot develop enough effective managers quickly enough.
The book approaches leadership from a practical, systems-oriented perspective designed to resonate with technical professionals. In which Gjertsen identifies three core leadership responsibilities:
- Getting people to work together
- Getting people to work on the right things
- Improving work over time
Foundational leadership skills
Additionally, Gjertsen believes that the foundation for effective management begins with three core actions:
- Building trust
- Setting expectations
- Giving feedback
He explains that many leadership concepts become actionable when broken down into practical behaviors that managers can apply immediately. The book is designed for aspiring managers, newly promoted leaders, and organizations seeking scalable leadership frameworks.
Why companies struggle to develop leaders
Gjertsen points out that many organizations struggle to clearly define what leadership means for their business. Instead of focusing solely on operational tools, restructuring, or technology adoption, companies often overlook the importance of establishing clear leadership expectations. Without defined leadership behaviors and standards, managers may lack direction and consistency.
To address this issue, Gjertsen recommends that companies begin their leadership development by identifying the specific business problems managers need to solve.
Organizations should analyze which leaders are already performing effectively and determine the behaviors that contribute to their success. From this analysis, companies can establish leadership expectations, develop training programs, implement coaching initiatives, and create development systems that align with their operational goals.
Gjertsen concludes that as AI and advanced technologies continue to reshape industries, organizations must not overlook the human aspect of business.
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