Europe has stumbled behind other western economies in terms of growth and recovery due to several geographical, political, and labor regulations throughout the continent. In France, labor regulations are extremely strict and limit the innovation and growth for companies across industry lines. In Germany, the traditional leadership structures inhibit the creativity and possibility for change in business. Across Europe, the cultural and ethnic narrow-mindedness does not allow for diversity in thought, action, or talent.

Considering these factors, the forecast for European business success does not look good for our friends across the pond. But, there is good news! In a recent study by the Society for Human Resource Management on leadership in 2016, European leaders were found to match their U.S. counterparts in many ways. Unfortunately, the structured constraints within Europe are what hinders growth in most cases.

European leaders in the study came up as more competitive, individualistic, and ambitious than their U.S. peers. European leaders could benefit from having an open mind in terms of global expansion, and moving their businesses across continents. Instead of individual success as the focus, a larger scale of success and accomplishment would serve European leaders well as they move forward in today’s undeniable global economy.

Another area of strength for European leaders is their understanding of strategic planning. However, the execution of these plans is often thwarted by the constraints we mentioned above: traditional hierarchy structures, lack of innovation and creativity in the workplace, and strict labor regulations. To combat this, European leaders must become more adept at implementing the strategy that they so easily conceptualize. As the adage goes, “actions speak louder than words!”

Finally, one other way in which European leaders can shape their growth and success in the coming years, is to focus on innovation. In SHRM’s study, European leaders showed themselves personally to be accepting and inviting towards innovation and change. However, the constraints that they are working within impede some of this creativity. European leaders need to work together to make change happen despite the boundaries that they are working within and around in most cases. Change does not happen overnight, but it is possible for Europe to make a shift and stay present and powerful in the new global economy.