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Why Companies Are Turning to Storytelling to Prepare Future Leaders

Storytelling is gaining popularity in leadership development, emphasising emotional intelligence, resilience and human connection

While corporate training programmes have long relied on PowerPoint presentations and theoretical frameworks, a growing number of organisations are turning to an age-old method with modern applications: storytelling.

Leadership development faces rapidly evolving challenges. Recent analysis shows that several years of uncertainty and disruption have left employees operating ‘in burnout territory’, with exhausted workforces struggling against macroeconomic challenges and mass layoffs. Traditional leadership training methods, focused on theoretical concepts and case studies of distant companies, aren’t enough to prepare leaders for these complex, human-centred challenges.

Organizations are rediscovering business fables – fictional narratives that teach leadership principles through relatable stories rather than abstract concepts. The approach isn’t new; business fables have been around since 1968 with titles like ‘The Greatest Salesman in the World’. However, contemporary authors like Patrick Lencioni have proven their enduring effectiveness, with his trilogy of leadership fables selling nearly 350,000 copies.

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Why Stories Work Better Than Spreadsheets

The shift toward narrative-based leadership development reflects deeper changes in what modern leaders need to know. Industry research indicates that emotional intelligence has become a core competency, with leaders needing to ‘connect, empathise and inspire’ across five different generations working together for the first time in history.

Traditional business training struggles with this complexity because it treats leadership as a technical skill rather than a deeply human one. Stories, by contrast, allow leaders to experience difficult situations vicariously, processing both the emotional and practical challenges of leadership decisions. This approach addresses what leadership experts identify as a fundamental courage crisis in modern leadership.

‘Storytelling isn’t just a creative tool – it’s a leadership strategy,’ notes recent analysis from the World Economic Forum . ‘It bridges the gap between data and emotion, aligning vision with action.’

Veteran Expertise in Corporate Development

At XL Coaching and Development , Ryan Crittenden applies military training methods to business leadership, backed by his PhD in Industrial and Organizational Psychology. His upcoming book ‘Becoming the Compass: A Leadership Fable for Emerging Leaders’ follows Alex, a rising leader navigating toxic culture, personal setbacks and leadership opportunities.

Storytelling is gaining popularity in leadership development, emphasising emotional intelligence, resilience and human connection

Becoming the Compass: A Leadership Fable for Emerging Leaders

In Becoming the Compass, Ryan Crittenden, Ph.D., delivers a powerful leadership fable set in Horizon Valley, where trust is fading and top-down control is the norm. Through the story of Alex—a rising leader caught between pressure and possibility—readers are taken on a journey of transformation, courage, and authentic growth.

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‘This book was born out of the leadership wounds I’ve seen – and the wisdom I’ve witnessed when leaders decide to lead from who they are,’ says Crittenden. ‘It’s not about being perfect. It’s about being present, purposeful and people-first.’

The military background brings particular credibility to leadership development. Military training has long recognised that high-stakes decision-making can’t be taught through theory alone – it requires scenarios, simulations and stories that prepare individuals for the psychological realities of leadership under pressure.

Four Principles Emerging Leaders Need

Crittenden’s fable focuses on core leadership principles: relational strength through trust and empathy rather than technical skills alone, authentic presence that grounds leadership in genuine identity rather than corporate performance, purposeful resilience that harnesses adversity for growth (particularly relevant given that trust in leadership has declined to just 20% among US employees), and growth through challenges that turns failure into fuel for adaptation.

These principles reflect the current business reality where leaders must connect across five generations whilst navigating rapid technological and market changes.

Beyond Theory to Experience

What makes the fable format particularly relevant now is its ability to address the human side of leadership development. The core challenges leaders face – building trust with burned-out teams, navigating cultural conflicts, making decisions under uncertainty – require emotional intelligence that can only be developed through understanding human experiences.

The approach also recognises that modern leadership development must be accessible to leaders at all levels, not just senior executives. Recent trends show organisations recognising ‘the importance of developing leaders at all levels’ rather than reserving leadership training for top-tier positions. This democratisation of leadership development reflects the reality that organisations need capable leaders throughout their structure.

The return to storytelling also acknowledges that in times of rapid change, leaders need more than just new strategies – they need wisdom that has been tested across time and circumstances. Leadership development that combines narrative wisdom with contemporary business challenges offers a more robust foundation than approaches that focus solely on current trends.

The Human Element in an AI World

As businesses face continued uncertainty in 2025, the return to storytelling represents more than nostalgia for simpler times. It acknowledges that in an age of information overload, the most powerful way to develop leaders remains the oldest human learning method: sharing stories that help us understand how to navigate complex challenges.

For emerging leaders stepping into their first management roles or experienced leaders seeking to refine their approach, the combination of narrative learning and practical frameworks offers a path forward that honours both the art and science of leadership. The stories may be fictional, but the lessons they teach about human behaviour, decision-making and resilience are entirely real.

As organisations continue to grapple with remote work challenges, generational differences and technological disruption, the appeal of business fables suggests that some aspects of human nature remain constant even as everything else changes. The best leadership development programmes of of the future will likely be those that combine cutting-edge insights as well as wisdom about what motivates people to follow, trust and commit to shared goals.

About Ryan Crittenden, Ph.D.

Storytelling is gaining popularity in leadership development, emphasising emotional intelligence, resilience and human connection

Ryan Crittenden is founder of XL Coaching and Development and a certified strengths coach specialising in leadership development. An Army veteran with a Ph.D. in Industrial and Organizational Psychology from Grand Canyon University, Ryan holds certifications in CliftonStrengths, The Six Types of Working Genius, and serves as a John Maxwell Team Member.

His coaching practice focuses on helping leaders harness their unique strengths to build confidence, avoid burnout, and achieve professional fulfilment. Ryan’s latest book, “Becoming the Compass: A Leadership Fable for Emerging Leaders,” draws from his military experience and academic expertise to address contemporary leadership challenges through narrative-based learning.

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