The key factors of Carmeli’s et al. (2011) study are CEO empowering, TMT behavioural integration and the resulting effect on firm performance. In order to gain a coherent understanding, Carmeli et al. (2011) enhance the identification of leadership and group processes to explain the concept of behavioural integration. This approach includes the aspect of team potency. Afterwards the focus lies on the resulting effect on firm performance, which is influenced by perceived environmental uncertainty. Fig. 5 provides an overview of the key aspects and the process it follows. Leadership of an organization is assumed to be a collective activity. Hence, the TMT holds a key role within the strategic orientation and control of the firm. It influences …show more content…
(2011) starts the TMT process with the important role of a CEO, who empowers his/ her TMT members. The empowering leadership style supports the development of a team’s capacity without a leader as well as team sovereignty, followed by the TMT behavioural integration, which permits a collective understanding and decision-making of strategic choices. The key aspects of behavioural integration are collectivism and collaboration, which are facilitated through a CEO who supports independence and responsibility of TMT members. (Hypothesis 1)
Additionally, through CEO empowering leadership, the TMT will increase confidence in the communication process as well as in the information-processing behaviour. Alongside this, TMTs effectiveness can be described by behavioural integration and is linked to team potency. (Hypothesis 2) Team potency can be described as “a group’s shared perception of its ability to successfully overcome challenges and perform tasks” . Behavioural integration as a result of CEO empowering leadership indirectly accelerates the development of team potency. (Hypothesis
…show more content…
Top executives are facing challenges and barriers during their tenure. The comprehension and creation of this difficult situation and decision is of immense importance with respect to the success of the firm. Carmeli et al. (2011) believe that the CEO leadership style only indirectly weights on firm performance. Hence, team potency is more directly related to firm performance in context of environmental uncertainty. Moreover, they argue that high team potency enhances the information-processing and decision on significances and progress of actions. (Hypothesis 6)
Carmeli et al. (2011) use a structured questionnaire completed by CEOs and TMT members of various types of industries in Israel. Their final sample consists of 82 CEOs and 230 TMT members, which leads to a response rate of 16,4 % of the aimed firms that completed the whole questionnaire.
The collected data provides information about the different aspects of the study. While the TMT members, CEO excluded, contribute records to CEO empowering leadership, the whole TMT, CEO included, provide data on the TMT behavioural integration as well as TMT potency. Finally, only the CEO delivers material about the perceived environmental uncertainty and firm
Jay, J. (2012). Strategic Leadership Review, Volume 2, Issue 1. In Scholasticahq. Retrieved Janurary 26, 2013, from https://scholasticahq.com/supporting_files/397/attachment_versions/394.
Across the globe, there are CEO’s, managers, and several other individual’s in leadership-type roles that have the expectation of making their company successful in the eyes of the investors, the employees, and the customers that they serve. This may be measured by a company’s gross profitability, employee engagement or overall customer satisfaction. Most companies have leadership models and strategies in place that leaders are expected to use in order to drive the expectations of the company while maintaining consistency across the business. In an effort to examine various types of leadership styles, I have conducted interviews with two individuals that are or have been previously tasked with leading their teams and their company towards success.
“The team is faced with creating cohesion and unity, differentiating roles, identifying expectations for members, and enhancing commitment. Providing supportive feedback and fostering commitment to a vision are needed from the team leaders (Developing Management Skills).” ... ... middle of paper ... ...
This article examines the relationship between transformational leadership, cognitive trust, and collective efficacy, in addition to the impact of these variables has on team performance. With the increasing competition in every market, organizations are using teams as the key feature of sustainable competitive advantage. Organizations continue to highlight how forming teams are crucial to their success and that team performance impacts their bottom-line. While team performance is critical to organizational success, the team leader is the dominant one to ascertain the group’s performance. Meaning, leaders must possess the required leadership styles and techniques to discern how to build great teams. One of the most popular theories of leadership
Tost, L., Gino, F., & Larrick, R. P. (2013). When power makes others speechless: the negative impact of leader power on team performance. Academy Of Management Journal, 56(5), 1465-1486. doi:10.5465/amj.2011.0180
Leaders: Strategies for Taking Charge is an organizational management book written by Warren Bennis and Burt Nanus for those who aim to become better leaders. The authors emphasize that having executive positions or being a manager does not automatically make one a leader. A leader is one who inspires his staff, help them find purpose in their work, and effectively implement their plans. They separate the book not quite into chapters on different topics, but rather by four strategies that they have determined are vital for any leader to take on. The strategies are effectively concluded as attention through vision, meaning through communication, trust through positioning, and the deployment of self. A prominent feature of Leaders is the various
According Hughes, Beatty, and Dinwoodie’s ( 2014) work on strategy, all areas of an organization need to collaborate with each other to help bring strategy to fruition. They mentioned four elements of leadership strategy. (1) Leadership Drivers of Business Strategy. This is the identification of and the preparing of leaders to implement strategy. Certain skills, abilities and resources need to be in place prior to a strategies’ roll out. When the correct leaders have the proper skill sets are in place coupled with the backing of the organization this may create a dynamic situation. Hughes et al. (2014) describes these as “levers- that if pulled will catapult the organization toward success” (p. 236). (2)Leadership Culture, as mentioned
Suddenly, some companies become extremely successful, while rest of them unfortunately remains a failure. There can be off-course a lot of reasons for this failure but one of the main reasons is lack of leadership qualities. There are many s...
Situations such as uniting teams and operations to align and work together, the author suggests dominant leadership being most effective. When people are having issues agreeing on viewpoints, fear of punishment is effective as it forces people to find a solution. Dominance puts constant pressure on people to perform whether it’s by an incentive or fear consequence. Though the dominant qualities of leaders prove effective in deadline and controversial crisis, they are also the disadvantages of dominance. The author describes the main issue with dominant leaders is that they are commonly disliked. They tend to be close minded individuals with a single perspective and often do not react well to threats to their authority and can supress the potential of those they feel could surpass them. There are ways to moderate dominance to minimize the negative qualities and the article supports this argument by suggesting that dominant leaders “harness their egos” to limit irrational decision which can arise when they feel their power is being threatened. Jon also suggests that dominant leaders keep an open mind and be and assertive leader, but one that makes their employees “feel
A leader is one whose behavior guides people towards their goal achievement and the one who can give rewards to his employees, motivate their employees towards task achievement, giving incentives; give moral support so that employees put more effort to their work (Webb, 2007). Leadership is a process of relations between leaders and followers where the leader attempts to influence followers to achieve a common goal (Northouse, 2010; Yukl, 2005). According to Chen & Chen (2008), previous studies on leader ship have identified different types of leader ship styles which leaders implement in managing organizations. Among the more outstanding leadership styles are Burns (1978) transactional and transformational leadership styles. Transformational leadership emphasizes followers’ intrinsic motivation and personal development. They request to make parallel followers’ aspirations and needs with desired organizational outcomes. In so doing transformational leaders are able to encourage followers ‘commitment to the organizations and motivate them to exceed their expected performance. In many respects ,the LMX(leader member exchange) theory is in line with Vroom’s (1964) expectancy theory and Blau’s (1964) exchange
A transformational leadership is therefore essential when the transforming company has the visions of a big picture ahead that must be attained. Transformational leadership today is among the most popular leaderships commented upon. In contrast, transactional leadership is based on the notion of effectively managing the day to day tasks. Transformational vs. transactional leadership should be meeting the relevant organizational goals in two differing circumstances rather than the opposite styles of leadership. Once the transformation takes place, the organization needs status quo, when the transactional leadership takes place. On the issue of internal competencies of leadership, it is notable that transformational leadership may disregard it even as it is considered significant to leadership success. Leadership might not always lead to transformation, but what is more important, it can communicate and solve problems and ultimately lead people through already grounded processes and
First, one must understand the difference between leadership and strategic leadership. In general, leadership focuses on relation between a leader and those that follow; strategic leadership is considered to be more macro-dimensional, because it focuses not only on the relation between the leaders and followers but on the strategic operations simultaneously (Budak & Kar, 2014). Effectiveness of strategic leadership ultimately will further increase business power of competing strategically. Strategic leaders are required to create visions and missions as well as ease progress of
Many individuals are ‘guilty as charged’, regarding the use of traditional leadership methods. As a Theory X leader, many professions are conditioned to maintain order and control through direct leadership. However, as they begin to mature in their leadership roles, the paradigm may begin to shift. As leaders provide employees the opportunity to project input into major concerns/changes that affect them as a whole, they will see a major organizational shift. Hopefully this change will lead to the learning organization Senge envisioned as the leading concept for U.S. industries in the future.
A top management team (TMT) is consists of all HoDs and C-suite executive including CEO, CFO and DMD. Top Management Team is collectively and individually responsible for the vision, leadership, and strategy of MTCC, for the delivery of business goals as per the Business Plan and Budget, and for the overall day to day running of the company.
The monumental consequences of strategic decisions call for individuals with unique performance abilities who can navigate the volatility, uncertainty, complexity, and ambiguity. inherent in the nature of those decisions. Aspiring leaders can rise to the challenge by undergoing self-assessment and personal.