As Sutton suggests, the CEO of BHP Limited – Paul Anderson, had a change in his leadership style which lead to the success of his company. This was more closely analyzed in Sutton’s talk with the CEO himself where they discussed about the progression of the company. When Paul first took over in 1998, the company was under a messy management and there had not been a CEO for nine months previously. As a result, they were facing challenges in keeping the talented staff and maintaining the stock price as well as gaining profit. At this time, Paul used autocratic/telling leadership style. With this type of leadership style, he made all his decisions then he informed others of the organization about it. The leaders are usually very involved and supervise …show more content…
He began to shift his style from Telling to Participating. In Participating, the situational leader gives more responsibility to the employees. The leader provides direction but the decisions ultimately lie with the followers. The role of leader is to provide feedback and increase the confidence of the employees for the task completed. This type of leaderships style would allow the followers to be more involved and hence act as an incentive for them to work hard for the company because their decisions matter. When they feel important to the company, they would naturally put extra effort and commitment. Paul listened to the collective feedbacks of his top people and established a turnaround strategy that he believed would help the company to thrive. Thus, he made clear of its company’s goals and made several tough decisions such as closing a titanium plant that was losing out, to help the company overcome hard …show more content…
In the beginning, they are at R3 of the Readiness model. They are able to perform the task but are unwilling to use the ability. Instead of lacking confidence, they are reluctant to do so due to the differences they had but this changed when they overcome their differences. They became able and willing. They were committed and confident to perform the job. Following that, another assessment of subordinates is used in follower development. The leader evaluates the follower on the readiness or development scale and matches the behavior style to the follower’s development level. In this case, the employees were at Development Level 3 which is reluctant contributor. Whilst they have moderate to high competence and variable commitment, they chose not to follow. This was later shifted to Development Level 4 which is peak performer. The followers have high competence and high commitment. Thus, the effectiveness of the followers would be peak high. However, this follower development would change accordingly based on the employees’ competence and abilities. Their attitudes, levels of enthusiasm and commitment are also an ongoing change. The leader must be open to the prospect of moving from one level of readiness and follower development to another, it may be positive or
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
Also Qantas was running with an autocratic leadership style meaning autocratic managers like to make all the important decisions and closely supervise and control workers. Managers do not trust workers and simply give orders (one-way communication) that they expect to be obeyed. This approach derives from the views of Taylor as to how to motivate workers and relates to McGregor’s theory X view of workers. This approach has limitations but it can be effective in certain situations.
Under his leadership, companies like Scott Paper and Sunbeam-Oster benefited from massive layoffs designed to give the illusion of profitability. This is in stark contrast to what great leaders do during the inevitable downturn. According to Collins, great leaders are looking for way to find and keep great talent, especially during dips in earnings or productivity. The idea of employee-churn to great organizations is paramount to a failure in leadership. When hiring, great leaders “take the time to make rigorous A+ selections right up front” (GTG, p.75) Good to Great leaders take their time with important hiring decisions. It is more important to have the right people on the bus and in the right seats then to have a bus filled with people who do not belong. Letting people who do not belong on the bus comes down to two simple questions: 1. “If it were a hiring decision (rather than a “should this person be off the bus?” decision) would you hire the person again? 2. If the person came to you to tell you he or she is leaving to pursue an exciting new opportunity, would you feel terribly disappointed or secretly relieved?” (GTG,
...ties and differences of the leadership of Steve Jobs and Fr. Jose Arizmendiarrieta that the leadership required for organisations to succeed is unique to the goals and definition of success portrayed by the leader. Their leadership styles were reflected in the organisations development and it can be seen why leadership in organisations is of such importance. What is also clear is that there is no right or wrong way to lead – Fr Jose achieved a sustainable profitable cooperative, Jobs archived a highly profitable company. The leadership practice used needs to fit the organisations vision, the needs of the stakeholders, and be ingrained into followers. The followers need to buy in to the leader’s vision and goals and play their part in implementing the steps required for success. The leader is ultimately responsible for guiding the followers along the path to success.
The uncertainty and vulnerability in making tough decisions can lead to high levels of stress and emotions. And, like Bill Ford realized, sometimes you need to step aside for someone better suited to navigate the challenges at hand” (ReGENERATION Partners). In conclusion, Alan Mulally, and Ford Motor Company’s case study show that impact that leadership can have on an organizational performance. Mulally demonstrates level 5 leadership and applied a transformational leadership approach at Ford to help the company turn-around and come back stronger than ever. Although leadership can be hard to define, there are key concepts and principles and qualities of leadership that yield superb performance and results when applied appropriately. Leadership is never about the leader, but their ability to translate a vision (personal, cooperate etc.) into reality and developing others to believe in themselves and in the “cause” along the way. Great leaders value all the things that create sustainable growth and long-term success such as innovation, problem-solving, teamwork, passion, excellence, and more. Mulally exemplifies all those qualities and is a great example of how leaders in business and other
Bass (1990) states that transformational leadership is identified by different patterns of behavior. Firstly , transformational leadership delivers the charisma to be a leader in order to gain respect and trust. Secondly, the characteristics of a leader show efforts to change a purpose of the transformation process and to effectively communicate. Finally, transformational leadership proposes that leaders treat employees individually to show them attention and provide them coaching and advice to show that you care about your employees. However, Wang and Howell (2010) claim that transformational leadership is in every individual.This means an individual can develop their potential to enhance their abilities and skills to improve and overcome any weaknesses. In relation to group work transformational leadership helps to grow common values and beliefs, and to inspire group members to reach their group goals. In this type of situation, leaders treat equally towards members and to make them feel comfortable. However, on occasions problems occur during team work which puts a leader into a situation to overcome the condition. For example, if one of my team members has no belief in me to lead the group, my attitude towards the group and the member will change as they have shown a lack of confidence and interest in teamwork. According to Novicevic, Harvey, Buckley, Brown & Evans (2006) explains that authentic leadership is when a leader shows their individual responsibility in what they were responsible for in their organization. Novicevic, Harvey, Buckley, Brown & Evans (2006) discusses a particular style of leadership which is the matrix of executive leadership. This style of leadership occurs when a leader has lost confidence in them self. The
Path-goal approach to leadership by House (1971) mentions that the roles of a leader involve primarily increasing individual rewards of followers to gain goal fulfillment and make the path to rewards seamless by clarifying, removing roadblocks and increasing followers opportunities for satisfaction (Dessler & Valenzi, 1977). The theory, which primarily feeds off motivation, has conquered as an acceptably rational explanation for an individual decision-making process. The days when organizations were able to function and prosper based on their product, service, or structural innovations are no longer sufficient to keep them afloat. Nowadays, companies are required to pay extra attention to the leadership process that makes things happen.
Transformational leadership starts with the leader vision, her or his picture of the future that will be the key impetus to motivate others within the team. Steve Jobs, a typically example for a transformational leader, was Ex-CEO and also a Co-founder of Apple. By the time he died, he had built Apple into the world’s most valuable company (Isaacson, 2012). During his period as a leader he sh...
Everyone was expected to know how to do their jobs and if they didn’t know how to do something they had to “figure it out”. Needless to say, mistakes were made. Of course, natural leaders emerged and became pseudo role models to a few of us but the firm never made the step to establish role model relationships for training purposes. Furthermore, our constantly heavy workloads made it difficult for us to watch or learn from any one person because the few people who would have been consistent role models were regularly traveling for business and were not available to offer their guidance to the younger or less seasoned
The path-goal theory is derived from the expectancy theory and contains four types of leadership behaviors: directive, supportive, participative, and achievement-oriented (Whitener, 2007). Directive leaders provide clear task instructions, timeline for task completion, and standards of expectancy and how to accomplish the task (Northouse, 2010). Supportive leaders are friendly and approachable, treat followers as equals, and attempt to make the work pleasurable for the follower (Whitener, 2007). A participative leader shares decision making with followers and integrates their suggestions and feedback into the task goals (Northouse, 2010). Finally, achievement-oriented leaders challenge followers to achieve excellence by encouraging them to work at the highest level of achievement possible (Northouse, 2010).
Maxwell, (2013) explains how the first level of leadership is positional. Followers, who view leaders at this level are motivated by compliance measures, rather than inspiration or desire. The mindset of the follower is that, their job to do what is directed of them, so they obey. Fear and coercion are often motivators for followers at level one. Maxwell, (2013) further explains that, at this level, leaders receive the least amount of the follower’s energy, effort, and mind.
In our BA-509 Leadership Development course, we learned about the Transformational Leadership Theory. This theory states that, leaders with a tendency toward transformational leadership, are creative, brave, risk-takers and sophisticated thinkers. They work eagerly and optimistically and become the role models that employees seek to emulate. Additionally, they encourage their employees to be innovative and creative and reward them for doing so. Transformational leaders develop unique relationships with their employees tailored to their various needs and backgrounds in order to help the employee realize their potential. As a result, a spirit of teamwork and commitment in the organization is nurtured. Welch was a transformational leader
House et al. (2007) discovers that leadership and Organisational culture are closely linked together as leaders influence the culture of their organisations. Researches talk about a range of leadership definitions but it is not easy to define. (E.g. Western, 2008; Yukl, 2010). However, Cohen (2009) critically analyses definitions from Dracker (1996), Eisenhower (1969), Northouse (2004) and finally summarised the definition of leadership constitutes five elements. First of all, ask question to set direction, which means effective leaders need to listen to followers’ voice respectfully and then share the common goals and ideas with them. In addition, leaders need to seek insights and allocate resources optimally; act ethically; allow their employees to work in a conformable and most effective way. This essay will explain different leadership styles and how they influence the organisations with examples of organisations and leaders with main focus on well-known entrepreneur: Sir Alan Sugar. He grows from nothing to incredible success (£ 730 million), is a legend in the UK business history; his reality TV show “The Apprentice”, a great entertainment for recruitment appeals to the public without reasons. However, he as a person is controversial amongst people, probably due to his leadership style as bullying or harassment (destructive). There are four schools of leadership styles: Trait, behavioural, contingency and transformational. Nevertheless, in the case of Alan Sugar, trait and transactional styles match him which will be illustrated following in detail.
The old system of management has undergone many changes within the last century. An employee once performed the assigned job duties during the allotted hours and then went home. Now employees are encouraged to grow, give input, and to contribute for the good of the organization. There is a plethora of information for leaders to learn why and how to grow personally thus allowing the organization to grow as well. This new emerging leader is a transformational leader.
For example, the employees that are rated as a 1 or 3 will get more attention in development than say the 70% of employees who are ranked a 2, or middle performance. This is due to the fact the top performers make up a smaller number of employees and the managers will likely keep developing the top performers to achieve a higher standard of excellence. Also, the bottom 10% of employees will have more time spent on them trying to develop skills to achieve goals. Theoretically, the bottom 10% of employees should be placed on a development plan to help guide the employee and supervisor on how to achieve specified goals. However, if an employee development plan has been worked through by both the employee and supervisor and there has been no improvement in productivity, an organization may choose to cut the losses and terminate or let the employee go.