the CEO at Home Depot, Robert Nardelli’s tenure was marked with heavy-handedness and inflexibility. Robert Nardelli’s leadership styles was autocratic. He utilized a command, control and conquer approach. He dictated policies and procedures, decided what goals were to be achieved, and directed and controlled all activities without any meaningful participation by the subordinates. He was in full control of the team, leaving low autonomy within the group. Before Nardelli came onboard, the managers of Home Depot had enjoyed independence under the laid-back entrepreneurship leadership style of Bernie Marcus. Almost immediately after Home Depot got Nardelli, he embarked on an aggressive plan to centralize control. He neglected the build relationships, inspired and aligned purpose, and create open communication with his team. He also disregarded the care of his shareholders. He was obsesses with goals, objectivity, and accomplishments within the boundaries of the values of the company. He …show more content…
Nardelli was brought in when the company needed to focus on the cost side of the equations when sales were growing. However his reputation suffered when Home Depot's smaller archrival, “Lowe's Companies, soared more than 200% since 2000, while Home Depot's shares declined 6%”.In addition, The organization never really embraced his leadership style. The company needed a more innovative and constructive leadership. Nardelli came in with new ideas for change, the employees did not have the desire for transformation since they did not feel the need for change and their morale was good. He believed that managing by metrics was the best way to guarantee fairness in judging a person’s performance. When Nardelli acquired control, the store managers felt that they lost their autonomy and independence. This led to the failure of unification of commitment and enthusiasm of his
After thirty years as Chief Executive Officer (CEO) at Fortuga Artisans, Peter Fortuga is retiring from the company he started to manufacture home decor. As a result, the company conducted an extensive search and found an ideal candidate Doug Jeffers. However, two years into his tenure as CEO Jeffers and Fortuga experienced a high turnover rate with numerous key resignations. During a resignation of his executive assistant, the employees and managers at Fortuga determined Jeffers is the cause of the organizational concerns. Consequently, Jeffers became introspective, and he questioned his ability to lead. In fact, Jeffers would be astute to conduct a personal assessment of his leadership style, capabilities,
Prior to Fuller’s transfer, management at the Carson’s location was poorly run using the classical approach. While this approach can be successful, management has to find a good middle ground between caring for the company and caring about their employees. A traditional classical approach recognizes that there are five important factors to running a successful business (Miller, 19). According to text, these factors are planning, organizing, command, coordination and control (Miller, 19-20). These factors can be seen when you look at Third Bank as a whole. In the study, the CEO saw the issues in his company and put a plan together to improve. He had meetings with management, like fuller, to organize a solution. He then commanded all locations
In the early 2000’s Lowe’s was rapidly intensifying its presence nationwide. The company carried a varied assortment of home improvement products and catered to the needs of retail as well as commercial business customers. Lowe’s expanded their reach by acquiring a 41-store chain, Eagle Hardware and Garden, and engaging in a strategic alliance with HGTV to obtain a more profound existence in their market (Rouse, 2005). By 2004, Lowe’s operated almost 1,000 stores with plans to continue expansion across the nation (Rouse, 2005). The company has a core competency in helping customers meet their home improvement needs at a low price. In order to use this core competency to gain a competitive advantage, the company has focused on key functional strategies. To continue their success, Lowe’s must specifically focus on marketing, logistics, and human resource management strategies.
Dillard’s is an excellent example of what can go wrong when a management model from yesteryear is applied to modern day advancement and technologies. They are not growing with consumer desires or employee needs, and they are becoming an outdated brand. Instead of stressing satisfaction rates, they stress the bottom line profits. While this formula has made the company successful and allowed national growth at the turn of the century, it is also dropping employee morale, which is known to drive down customer attraction and satisfaction rates.
Denisco & Barker, (2016) discusses the foundation of leadership and the four conceptual pillars that comprise it. Understanding the leadership is a responsibility of an APN, the following final question was posed to Ms. Gordner. “Of the four pillars of leadership; professionalism, inspirational motivation, interpersonal relationships, and business skills, do you feel that one is more important than another, and why?” She responded,
Conversely, we see Jim Taylor, a CEO, with obvious wealth, power and control (Smith, director, 2015). Jim’s position as CEO is understandably extremely stressful, but he is empowered to make decisions and has control and access to a substantial amount of resources. Like Corey, Jim also has high demands, however Jim has high control, which makes all the difference (Smith, director,
The CEO’s Day Overview This case examines the multiple duties that the President and CEO of Midvale Community Hospital, Terry Blaze, participated in throughout the day to ensure that the hospital is running effectively. Throughout the day, Blaze attends numerous meetings, which are directed towards improvements, changes, or concerns that will overall affect the hospital. During several of them, he is required to make final decisions; however, he often directs other personnel to make that final judgment call. It was evident that Blaze wore many hats as the President and CEO of the hospital, which made it evident that his time was stretched thin. This could result in tasks going unfinished or completed incorrectly.
Encarta Dictionary within Microsoft Word defines leadership as,” the ability to guide, direct, or influence people.” Expanding upon that definition, my personal definition is influencing people to follow to achieve a goal, regardless of how unpleasant. Leadership is not something that happens overnight, it needs to be cultivated over time. During that process, it is necessary to identify delinquencies and make adjustments. Reviewing the feedback provided by my LPI/360 assessment, the three areas identified I need to improve on are, praising people for a job well done, actively listening to diverse points of view, and becoming more visible within the workplace.
14. Chapter 9: Corporate Stock 15. Chapter 10: Competitor strategy 16. Chapter 11: Corporate Strategy 17. Chapter 12: The corporate culture of Home Depot 18.
The founders hired a CEO to continue guiding the company on the path towards success but realized too late that they overlooked an important component. The CEO lacked the character and traits needed to positively develop and lead the company and its people. After facing a major decline in customer service and an uptick in employee turnover, The Home Depot realized that it needed to resort back to the basic guiding principles. They must choose a leader that buys into the same vision and philosophy that the company was built upon. The leader must behold the same values that were cherished by the founders and must be willing to invest in nurturing the culture, the associates and customers.
According to the text, “Control is defined as any process that directs the activities of individuals toward achievement of organizational goals. It is how effective managers make sure things are going as planned (Bateman, pp 520, 2007).” The combination of these two concepts, leadership and control help formulate an ideology that becomes an integral part of the success or failure of any business entity. This paper will give Team D an opportunity to delve into Sears Holdings’ leadership and control mechanisms. The focal point of this paper will be to identify the current CEO of Sears Holdings, and gain insight on his background, i.e., training, education, and previous employment. To identify his style of leadership, evaluate the effectiveness of this leadership style based on Sears Holdings’ performance, and to explain the various control mechanisms used in the organization to determine the effectiveness.
In today’s business environment, corporations must be able to adapt and develop strategies that allow them to remain as competitive as possible within the markets they serve. Leaders within those corporations must be able to fully understand the most effective leadership style required depending on the situation at hand. One style may be effective in one situation while another style may need to be used in another. In this day of environmental dynamism, organizations have had to refocus on organizational capabilities in order to attain a competitive advantage in such an environment. This refocus has led to a break in routines and involves a shift in organizational norms and required knowledge. James Clawson discusses the three levels of leadership in his book entitled “Level Three Leadership: Getting Below the Surface.” This article will discuss some issues that may arise within corporations and what leadership styles may be most effective for differing situations based on Clawson’s text.
The article centers on the leadership of Home Depot's Chief Executive Officer Robert L. Nardelli. He was born May 17, 1948, in Old Forge, Pennsylvania. He received his Bachelor of Science in business from Western Illinois University, and also earned an MBA from the University of Louisville.
Managing ‘up’ “…means consciously and deliberately developing a meaningful task-related, mutually respecting relationship with one’s direct superiors” (Daft, 2015, p. 196). De La Vega should have strived to gain a clearer understanding of what his role would be as the ‘day-to-day’ operational leader. He could have employed the five principles of followership to establish a successful relationship with Bussard as CEO. The CEO failed to ‘manage up and down’ the hierarchal scale of his own organization as a leader and would not relinquish power. The CEO was dependent upon De La Vega to be his key “point man” in day-to-day operations. The follower-leader relationship is important to both the leader and the follower because “…Leaders of higher organizational levels depend upon their subordinates for information, support, and assistance in accomplishing the organization’s goals” (Daft, 2015, p. 197). Had the principles and strategies of effective followership, combined with the desirable followership traits of “cooperation, honesty, dependability and competency” (Daft, 2015, p. 211) been utilized by the CEO and COO, the outcome of the case study would have been
There are a few different types of well known leadership styles, authoritarian, delegative, and democratic. To assess my leadership style I used two online tests to help me determine my style. I felt the results were accurate and I fall into a democratic style/participative style. If I am leading I prefer to include the group and get their feedback on solving issues. However, I still make the final decision after listening to the thoughts of the group on a particular topic. This is considered to be a positive style of leadership that is inspiring to the group involved. The leaders decision making tends to be more accurate due to the input of other experts. (Cite)