Objectivity, evidence, quantification, rationality – those are the supposed buttresses for modern business leadership. Leaders are supposed to pore over figures looking for the evidence that allows them to take a decision.

But is it enough? If business success requires leaders to be able to engage the hearts and minds of a younger generation then rationality will hardly help them to meet people's emotional needs and ethical beliefs.

Psychologists have called the rational approach "left brain", the part of our mental equipment that deals well with logical and analytical thinking and is driven by the rational – such as objectivity, evidence and quantifying results. But it increasingly appears that an effective business armoury is going to involve something more – a "right brain" or "whole brain" approach. This approach relies far more on giving value to personal connectivity, intuition, insight and emotional intelligence.

Increasing numbers of young people are embracing an entrepreneurialism that shuns big organisations for their career, and that requires a right brain approach to navigate outside traditional hierarchical structures. 

The old structures are dissolving as people increasingly work in partnerships and alliances using outsourced staff. Leaders need to help people develop an ability to handle this looser model and operate effectively within a web of connections and conflicting demands. 

Last week the UN announced it was looking for other ways to measure GDP, including social and environmental factors relating to wellbeing such as hours slept a night, and birdsong in urban areas. In the UK, the coalition's plans to measure national wellbeing as well as GDP growth is an interesting statement of right brain intent. David Cameron's effort to articulate a spiritual position for the country would have been unimaginable 20 years ago but today is a sign of the zeitgeist.

In psychology, after the dominance of cognition throughout the 20th century, psychologists are willing to research emotion. Celebrity shrink Dr Steve Peters is working with the England football team on its emotional health – surely an acknowledgement that performance is linked to psychological wellbeing.

Leaders who previously would rather have keeled over with a heart attack at the board table than admit vulnerability are now making headlines for seeking sabbaticals, introducing mindfulness and meditation into the workplace or tendering resignations giving stress and burnout as the cause. Vulnerability is becoming a business benefit to those leaders who choose to be bold. We are seeing leaders demonstrating curiosity and investing in the development of their right-brain capacities of emotional connection and intuition.

Organisations are shifting to a focus on business purpose that goes far beyond having a corporate social responsibility agenda. Employees expect their employers to create a culture and climate that contributes positively to their lives as well as the communities and countries in which they operate. Rather than just being paid, they expect to continually learn new skills, have the opportunity to contribute beyond the day job and secure personal recognition – things that provide a sense of purpose, autonomy and mastery – as their prime motivators and sources of satisfaction.

The leaders' role is to help them achieve this and new models of business leadership are emerging to help them engage with this dramatically changing landscape. Robert Greenleaf at Butler University in the US identifies the "servant leader" whose qualities include conceptualisation, foresight, listening, empathy, awareness and healing. He believes that servant leaders are the guardians of their organisations.

Richard Branson articulates this shift in his new venture, the B Team. The B Team's mantra is that to survive and thrive organisations need to look to the longer term, and strive for a positive impact on people, planet and profit. Those that will be most successful will be those that can align the "three "Ps and move their companies onto a longer-term footing.

The command and control leadership model with its focus on process, targets and top-down directives is being replaced by an emphasis on interconnectivity, relationship and sustainability.

Lynn White and Esther Newall of WDI consulting

The values-led business hub is funded by SC Johnson. All content is editorially independent except for pieces labelled advertisement feature. Find out more here

Join the community of sustainability professionals and experts. Become a GSB member to get more stories like this direct to your inbox