Leadership is a process by which an individual is able to make an impact on other people, so as to achieve a certain goal and be able to direct people in a way that will make them unified and coherent. For a person to be a good leader there are some skills and knowledge that should be applied.
Sometimes leadership can be acquired by learning in a person, but there are some traits in which they influence the kind of leadership a person will have. These traits are; person beliefs, what a person values, his ethics, and lastly the character of a person.
Thesis statement: Everyone in an organization who wants to become a leader must learn that being an effective leader requires certain behaviors, skills, traits, motivation, characteristics, and influence tactics in order to be a successful leader.
Leadership Behaviors and Skills
There is no specific blueprint that can define a leader, but there are some qualities which can be used to define a great leader, and these are behaviors and skills which will be used to define quality leader in an organization. What you apply in terms of leadership in one situation it will be different in another situation.
While skills may be seen over a longer period of time in a leader; these traits have little effect across various situations (Bass, 1990). Some behaviors and skills are essential to leadership such as, direction setting, trust, asking tough questions, maintaining high standards, stability under pressure, accessibility to group members, having positive attitude (including supportiveness), and willingness to accept blame.
Direction Setting
In every organization, a leader is supposed to bring change in organization in which he/she is working. In order for a leader to set direction in an organization, he/she must have a vision for that organization.
For example, a leader can have a vision for the company to diversify in future so that they can start producing bicycles for children, apart from producing toys for children. The leader is able to share his/her vision with the rest of the team in organization; the leader can share his skills through one on one mentoring or hold organizational leadership seminars.
Being Trustworthy
To be an effective leader, it is a duty for every leader to display honesty, integrity and credibility. Many followers in an organization will measure honesty of a leader by his/her deeds and how the leader will keep his/her promises. To be an effective leader in organization, the leader must be trusted and at the same time, the leader must trust his/her followers.
Asking Tough Question
There is a common perception that a leader should be knowledgeable, but many times a leader will be effective if he/she asks tough questions rather than provides answers. When a leader asks tough questions, it will make his/her followers start thinking about their roles in organization.
Give a real life example here. For example, a store manager asks a department manager: In this month you purchased more perishable goods, supposing that they will be sold due to summer season. What if they dont? Why do you rely so heavily on season peculiarities? What would you do if the goods are not sold?
Maintaining High Standards
To become an effective leader in any organization, you must maintain high standards of performance, which in return it will raise performance in organization. Most of the followers will tend to live up on the expectations set by the leader in organization (the Pygmalion effect). When a leader has high standard in organization, this will have positive effects to the general population in organization.
Give a real life example here. For example, maintaining high standards, a manager should not discuss an opportunity that the workers would not be able to meet the deadline and cause the customers dissatisfaction. It is preferable to mention the part of bonus depending on successful fulfillment of the assignment.
Stability under Pressure
Any effective leader in an organization must be steady in performance even when he/she is under heavy workloads in organization. Such behavior will reflect what kind of a leader the person is, and this will also help followers in organization to be effective because the followers in organization will learn from example in their leader to cope with pressure situations.
Again offer a real life example. For example, when a firm is in deep financial trouble and on the verge of bankruptcy, a leader is not discouraged, does not change the accustomed regimen, does not demonstrate ones feelings and emotions even if the rest of employees start looking for another job.
Accessibility to Group Members
Another trait which makes an effective leader is: Accessibility to Group Members (not approachability and openness traits). A successful leader should also be able to accept new ways of doing things in the organization in which he/she is heading. Openness in a leader will encourage creativity and development of new ideas that will enable the company to be successful.
Give a real life example here. For example, a manager joining the employees at corporate parties is expected to be much more effective that those who find excuses and ignore the invitations. The atmosphere of these informal meetings is suitable for establishing the personal rapport with employees.
Positive Attitude
When a leader has a positive attitude, it will help him/her to cope more easily with the affairs of the organization in which the leader works. The leader is able to encourage the members of the group or followers in organization and this will increase the morale and productivity of the worker or group in the organization.
Protecting employees from being over worked is not really a good example of having a positive attitude.
Can you give me another example maybe one that is more about positive attitudes like turning a negative situation into a positive by speaking with an employee or something to that effect? For example, in case if unpredictable circumstances resulted in employees failure and caused the customers dissatisfaction, a manager might emphasize usefulness of the received experience.
Establishing the cause-and-effect relations between the imposed measures and the achieved results, a leader focuses on preventing similar situations in future, demonstrating ones positive attitude to the worker and ones belief in his/her future success.
Willingness to Accept Blame
To be an effective leader, the leader should be able to take blame when he/she has failed in achieving his/her goals or the organization goals which has been set. By accepting blame for mistake the leader becomes more admirable to his/her followers. As opposed to falsely blaming others, a strong leader should accept blame when it is appropriate.
Power Motive
An effective leader rates the power of motivation at its true value and can find the words for encouraging employees, not to mention the appropriate self-motivation. For example, before the beginning of a new time-taking project which profits are doubtful, the workers might be discouraged and disappointed. Still, pointing at future benefits and dividing the main goal into smaller and more attainable ones, a manager can influence the future working process significantly.
Passion and Enthusiasm
Though persons attitude to work depends on peculiarities of temperament, a manager should not demonstrate ones bad mood or reluctance to work. For example, a researcher demonstrating sincere interest in the subject of investigation, is sure to stimulate the whole teams commitment to further research.
Cognitive Ability
Intellectual skills are required for becoming a leader and gaining authority among the employees. However, it would be insufficient for further effective management, while leadership requires further intellectual development and acquiring new knowledge. For example, if a new project requires implementation of new technologies or programs, a leader is certain that everything is possible and is the first to acquire new knowledge and to develop new skills, demonstrating ones cognitive ability.
Self-confidence
A person having problems with self-esteem will not be able to become a good manager. Self-confidence is helpful for preventing various problems during the communication exchange with employees. For example, a manager lacking self-confidence is concentrated on ones presentation instead of focusing on the company mission.
Courage
Courage is one of the most important qualities of an effective leader required for gaining authority among employees. For example, if a leader is not afraid to stand for the rights of the workers before the senior management of the company, it could be helpful for further effective collaboration.
Sense of Humour
Sense of humour is one of the most effective tools aimed at establishing the personal rapport between the workers and making the working atmosphere more comfortable. For example, during brainstorming, when everyone is short of ideas, a manager might take the control over the situation using ones sense of humour. A good joke can relieve the workers stress and inspire them for continuation of the working process.
Previous sentence is does not make sense, delete and revise. Also be sure to have a real life example for each trait listed above. Please re-read and revise.
Leadership Influence Tactics
When a leader has power over his followers, this is the starting point for that leader because with that power he can be able to influence others, to achieve his/her goals in an organization (DuBrin, 2004).
The leader is able to influence the organization by making decisions that will help the organization, controlling the organization resources, providing rewards, and lastly modeling expected behaviors in the company. When the leader is able to control the processes of influence, the leader will be in a position to effect the changes in the organization. When a leader has control of the decision which are made in an organization, the leader will be able to mold and shape the vision of the organization (DuBrin, 2004).
For a good leader, he/she must be in a position to convince his followers at all times, because the followers will determine if a leader is successful or not(Bolman and Deal, 1991). There are some other traits which will make a leader effective, and these traits are: assertiveness, ingratiation, rationality, exchange, upward appeal, consultation, and Joking and kidding.
Assertiveness
When a leader is assertive, it means the leader is forthright to his/her demands, the leader is able to express his specific demands. There are times when the degree of assertiveness can provoke predictable reactions by the followers, but an effective leader will use the reactions from his/her followers to gauge his leadership abilities(DuBrin, 2004).
Ingratiation
Ingratiation trait is when a leader will try his/her best to be liked by his/her follower, for example, a leader will act in a friendly way towards his/her followers in organization when he/she is asking for something from his/her followers in organization (DuBrin, 2004).
There are four common Ingratiation tactics which a leader can use: followers enhancement, rendering favors, opinion conformity and self-presentation in organization in which the leader leads other followers. Strong leaders in an organization will rely on various tactics that is available to him/her to achieve his/her goals in the organization.
Rationality
Rationality as a virtue is when a leader uses reasoning to make decision in an organization (DuBrin, 2004). The leader is able to recognize and accept reasoning as the only source of knowledge when he makes decision in organization. When a leader point out facts in a situation in organization, and tell his/her followers to act, this is an example of rationality.
Exchange
When a leader tries to exchange favors to influence his/her followers in organization. This trait is mostly used by leaders who has a limited personal and position powers in organization in which the leader is working. An example of exchange is when a leader would promise a pay bonus at end of financial year, when his/her followers increase company sales (DuBrin, 2004).
Upward Appeal
This tactic is used by many leaders when he/she want to exerts influence to his/her followers in organization. For example, the leader will send a follower who is indiscipline to his/her superior to fix the follower (DuBrin, 2004). This type of tactics usually weakens the leader in that organization.
Consultation
When a leader consults with his/her followers or superiors before making any decision in organization, The previous sentence is a fragment revise. This is the most effective way a leader can influence his/her followers to meet the goals in an organization.
I also need an example here. For example, before making a decision to make a deal with a certain company, a leader should consult with the rest of the specialists. Being involved in decision-making, the employees are expected to demonstrate better commitment to the project.
Joking and Kidding
In the organization the leader should be humorous; this will remove the tension that might be there between the followers and the leader. For example, in tense situations a leader can make a joke to easy the tension.
Leadership Styles
Different types of organization in a country will represent different types of leadership styles in organization. There are various types of leadership styles that have been seen in many organizations and the most ideal, in my opinion, is the transformational style of leadership. Is this 1st or 3rd person, we need to be consistent revise accordingly.
Transformational Leadership
Transformational leader is a leader who helps organization and people in the organization to make positive change in the way they do their business (DuBrin, 2004). This is a leader who has the ability to make positive change to organization, and people in that organization.
Transformational leaders may want to change an organization even though the organization does not need any change and the people in organization are satisfied and happy as they are. If the transformational leader is not careful he/she may be frustrated, these leaders the good about them is that given the right situation they can save the entire organization (Burns, 1978).
In this type of leadership, all the workers have a say in the organization. The management is chosen through a democratic process. There are two concepts in this type of leadership, firstly all the workers in the organization have equal access to power in the organization, and all the members in the organization will enjoy universally the freedoms and powers in the organization.
Leadership and Gender
It is know that men and women have different leadership styles, many studies have been conducted, and it has been found that women are having certain acquired leadership traits and behavior which are different from men (DuBrin, 2004).
It has been found that the difference between men and women leadership style is; women will find participative management more natural when they are in leadership than men, because they always feel more comfortable interacting with their followers in an organization than men. Women being sensitive to other people will give them an edge over men if they are in the same organization (DuBrin, 2004).
Conclusion
Leaders in organizations should always be ready to transfer knowledge and skills to their followers. This process should be constantly encouraged in organization, because it will act as a ground to educate and develop future potential leaders. There are different people in an organization; this difference in people should be taken into consideration for effective performance of the organization.
There are forces which affect a leader; these factors can either be the relation between a leader and his followers or between a leader and the authority. Everyone in an organization who wants to become a leader must learn that being an effective leader requires certain behaviors, skills, traits, motivation, characteristics, and influence tactics in order to be a successful leader.
References
Bass, B. (1990), From transactional to transformational leadership: learning to share the vision. New York: Winter Publisher.
Blake, Robert R. and Mouton, Janse S. (1985). The Managerial Grid III: The Key to Leadership Excellence. Houston: Gulf Publishing Co.
Bolman, L. and Deal, T. (1991). Reframing Organizations. San Francisco: Jossey-Bass.
Burns, J. M. (1978). Leadership. New York: Harper & Row Publisher.
DuBrin, A. (2004). Applying psychology: Individual and organizational effectiveness (6th Ed.). Upper Saddle River: Pearson / Prentice Hall.
Ivancevich, J. and Matteson, M. (2007). Organizational behavior and management. New York: McGraw-Hill Irwin.
The application of leadership theories and insights in real-life situations is very helpful and could draw the thin line between effective leadership and poor leadership. Leadership theories are very rich with guidelines for effective leadership and insights which could be very motivational to people aspiring to be leaders. Additionally, these theories can be helpful to people who are already in leadership positions since the success of organizations depends largely on the kind of leaders that they have.
The more effective their leaders are, the more successful they tend to be. Leaders should, therefore, ensure that they effectively and appropriately apply theories and guidelines of leadership to ensure that they make positive impacts in the organizations they represent. This paper is an exploration of the possible applications of leadership theories in pragmatic leadership.
Role of ethics in leadership
Ethics is very central to leadership. Leaders can be viewed to be the representatives of organizations and thus the ethical values they uphold while undertaking their functions are taken to be a snapshot of the ethical values that the organization they represent keeps. This means that, if a certain leader lacks courtesy, this could be seen as an indication that the organization he/she represents is, kind of, disorganized (Ciulla 2004, p. 31).
Additionally, if a given leader is corrupt, this could is a strong indication that the organization that he/she represents is also corrupt. Leaders should therefore try to preserve the image of their organizations by upholding ethical values since these values are a prerequisite in leadership.
This, therefore, shows that to be a leader one has to be ethical in language, character etc. Any decision to be made by the leader has to be ethical in the way it is imposed to the subordinates of the organization (Cornett, 1995, p. 1). Decisions made should be in such a way that they do not oppress the subordinates. When solving organizational problems ethics comes in by coordinating the ways to solve the problem and the means to achieve the solution.
One has to decide on the choice to make from several alternatives, the standards and values required as well as the guiding principles. In this case, therefore, the most productive option that also has firm ethical backgrounds should be chosen (Ciulla, 2004, p. 51). The way one communicates to his/her followers is also an important ethical value. Use of abusive language should be avoided and courtesy should be observed at all times.
Being a leader entails making people to volitionally follow what you expect them to do but not being rude to them. Therefore, a leader must know how to convince his/her followers to follow his/her ideas using convincing language and without getting unreasonable resistance.
Effect of power and influence on leadership
Power and influence has a lot of effects on leadership. This can be viewed in two dimensions. It could be the power and influence that the leader gains when he/she assumes leadership or the power and influence from influential stakeholders who affect the work of leaders either positively or negatively.
Starting with the latter, the effectiveness of a leader depends on how well he/she is able to deal with the stated power and influence of other stakeholders (Whetten, 2006, p. 1). The corporate world is characterized with extreme pressure on the leaders of organizations.
The pressure could either be coming from the owners of businesses in case the organization is owned by individuals, it could also come from directors in the case of companies or even from the government. Examples of influences that such parties could have on the leaders could be pressure to which is most likely to come from owners, intentions of such parties to strike corruption deals affecting the organization and the like.
A good leader is the one who operates on ethical principles and does not let other parties make decisions for him/her. The leader thus allows other people to advice him/her but he/she does not let them to decide for him/her (Whetten, 2006, p. 1). This will obviously put off the aforementioned parties interested in striking corruption deals with such leaders because they will not tolerate such deals if they make their decisions based on ethical standards.
On the other hand, leaders can become overwhelmed by the power and influence that they gain when they assume leadership roles. People who are not used to being in such positions may misuse such power and influence and this could prove to be detrimental to their organizations (House, 2004, p. 24).
This is because such leaders could use their power to mistreat or even assault their juniors which could substantially reduce the motivation of such employees. An example of such misuse of power is leaders who use their power in organizations to get sexual favors from employees of the opposite sex.
This is a serious misuse of power and it could lead to a very hostile working environment if either of the parties is not interested in fulfilling his/her part of the deal. It could also lead to a hostile working environment if the employee who the leader pursues is not interested in the offers that the leader offers or if they are principled and cannot give in to such immorality.
This could substantially affect employee output and eventually affect the productivity and profitability of the organization. It can also give the company or organization bad publicity which could substantially reduce its client/customer base and eventually affect the profitability of the organization. Another example of how leaders can misuse the powers bestowed upon them is the leaders who make unwise decisions just because they have the power to make such decisions.
If such a person is given leadership responsibilities and sufficient powers, he/she may dismiss an employee of his/her organization based on personal grievances or mere dislike. He/she may also make material financial decisions without proper consultation and planning which could make him/her run down the organization (House, 2004, p. 39).
From the discussion in this paragraph, it is of essence that organizations choose leaders wisely and make sure that the leaders are competent enough to handle the pressure and influence that comes with leadership roles.
Role of leadership in initiating and managing change in organizations
Another important role of leadership is its role in initiating and managing change within organizations. This is because, for an organization to be continually successful, it has to keep on adapting to the dynamism characteristic of contemporary industries.
The stated dynamism is brought about by the unending need to keep on innovating and the changes in customer preferences characteristic of contemporary industries. Change may also be brought about by an increase in the scale of operations. When change is imminent in an organization, leaders are supposed to prepare and plan carefully to ensure that it achieves its intended purpose. In organizations with good leadership, employees will have a positive attitude towards change.
They will have faith in the planning abilities of their leaders and they will therefore trust that their leaders will make decisions that cater for their welfare (Bacal, 1996, p. 1). This trust is very beneficial to the organization since drastic changes can be implemented easily. On the other hand, organizations that have poor leadership are characterized by employees who do not trust in the leadership methods of their leaders.
They therefore hold the idea that their leaders act in ways that are not in their interests. In this case, the employees become increasingly resistant to change and they may give their leaders a hard time as they try to implement change. This will in turn have negative effects on the leaders since failure to initiate and manage change in a number of organizations will make them doubt their abilities and bring them frustrations that will ultimately affect their leadership capabilities (Kinnear, 2010, p. 1).
Organizations with such leadership will also suffer since the inability of their leaders to effectively manage change will affect them lose a lot of revenue that could be otherwise realized from invention, innovation and increment of scale of operations.
Helpfulness of theories and insights of leadership
The most inspirational theories of leadership that are definitely bound to have a positive impact in my life are behavioral theories which are based on the stipulation that leadership skills are acquired in the course of the life of a person. The theories state that leadership is not an inborn characteristic and thus anyone can become a leader if he/she is observant enough and willing to copy good leadership skills and if he/she learns to be ethical, decisive, influential and a good communicator (Smith, 2007, p. 1).
Insights gained from the relationship theories of leadership will, particularly, be helpful. This is because this group of theories helped me to realize that being a leader is not just about being the leader. It involves valuing every member of the group that the leader represents and ensuring that each one of them achieves their maximum potential while gaining optimum benefits for their efforts.
I believe that this will be very helpful in my career because many leaders fail, not because they do not have leadership but because the people they represent are not motivated enough. Another insight gained in this course that will be commendably helpful is the realization of the importance of preparing workers psychologically before any given task to make them realize the productivity and importance of the tasks that they are assigned to perform (Michelson, 2001, p. 3).
Without the use of this strategy, employees are likely to get bored by repetitive work and undergo stress and burnout which may work in unison to lower employee productivity. This will affect the overall productivity of the organization which will mostly be blamed on the leaders. This will have negative effects on the organization and the professional and individual lives of the leaders.
Conclusion
As evidenced in the discussion above, leadership is a profession that requires well rounded individuals. Therefore a leader must possess both the relevant skills related to leadership and a will to make a difference. Some of the qualities of leadership that are required in order to make a good leader are an ability to interact and influence people and a strong character coupled with intelligence. On the other hand, a leader should be willing to do good and influence peoples lives and the welfare of organizations positively.
This will ensure that the leader does things that are for the benefit of his/her followers and the organization and thus he/she is bound to have a successful leadership career due to trust and support that he/she will definitely get from administrators and employees. On the contrary, leaders should not be the kind of people who are easily influenced by others.
This is because if a leader can easily be influenced, it is likely that other people will take advantage of that characteristic to make them misuse their power. This could be very destructive to organizations. Ethics are very important to leaders and a leader who does not uphold ethical values is likely to bring shame to his/her organization or make the organization lose a considerable number of its customers.
As discussed above, innovative changes and other changes are very instrumental in ensuring organizational performance. Leaders, therefore, have an active role in initiating and steering positive changes in their organizations in a bid to increase the productivity and profitability of their organizations. In initiating and managing these changes, a leader must be very wise to ensure that the changes are bound to bring positive changes to the organization.
Event organization always features different leadership roles being exhibited. There is clearly a need for organization, and therefore events are always instances where leadership is needed. The event I participated in is the Nokia Cup. This is an annual curling event and is very big within the sporting circles. I was assigned the role of lead hand in one of the event locations, namely Guelp Memorial Gardens stadium.
The main leadership role there was organization. A lot of resources and personnel were allocated so that the organization could be efficient. There was the overall committee, which had been working in partnership with other organizations. Additionally, there were departments headed up by individuals who took care of specifics such as security, entertainment and other facets within the event. My role was to help with organizing and controlling others within the stadium I had been assigned to.
The organization had both its advantages and challenges. The first advantage relates to the delegation of duties. The head committee delegated responsibility to various individuals based on the spread of the venue. This delegating allowed the people involved to specialize and take responsibility for different facets of the event. However, this was not followed up with effective communication, thus a breakdown in the quality of organization.
The result was that inter-related aspects of organization were not taken into consideration. For example, security was a nightmare simply because the head committee did not give feedback on the expected attendance. Additionally, the leadership on the ground did not prepare those who were actually going to carry out security properly.
There was need for a master plan as regards to planning, but this did not happen. It would have required an inter-committee task force to properly plan out the security in order for it to work effectively.
The mediocre planning caused a series of unfortunate events. There was need for the leadership role of crisis handling. Good crisis handling allows the event to save face and maintain its reputation. The compressor for keeping the ice temperature was not working properly because the overhead sensor was malfunctioning. Additionally, since concessions were not up to par, we had less money to work with.
However, there was real leadership shown in the heat of the moment. The leadership allowed for creativity, which saw a suggestion to increase the drinking so as to divert attention from the failed areas. This worked as the participants loved to drink. Additionally, the staff on the ground were inspired to work extra hard in order to cover for the unfortunate circumstances. At my venue, our venue head inspired us with a pep talk and a lot of warmth.
The result was that we were able to pull off the event, despite the overwhelming amount of work. However, I do not know specifically how the leadership handled the crises that they were facing in the other venues. What I do know is that the crises had to be handled, thus presenting a leadership moment for those in charge on the ground.
Supervision is another aspect that we can explore. It is the work of any leadership to allocate roles and see them out. This is what supervision entails: handing out roles and checking whether they have been done effectively and efficiently.
The main committee handed out responsibility according to the venue, and thus the delegated supervision to the various leaders appointed. At our venue, our leader was very hands on. He wanted to know what was happening and how it was being done. This allowed him to oversee effectively and respond to the challenges on a real time basis.
However, this also made him very exhausted at the end of the day. In my department, as one of the leaders I was able to organize my minions to move into the irregular roles assigned to us. This made it hard to supervise what they were doing since I had lent them out to different departments to help out as was necessary. I left them to be supervised by the various heads of the departments I lent them to.
In terms of creativity, I think the job done was very good. In this regard, I would change very little. The creativity was amazing, as shown by the building of a bar, food and beverages stand within the stadium, at the west end of the rink. They used professionals in creativity, and it paid off.
However, if I extend creativity to include problem solving, I would recommend bringing on more talent and wider experience. The leadership should have trusted us, in the lower levels, to be able to come up with suggestions and insights into how the event could be organized.
Had we been consulted, I am sure a wide range of suggestions that would have proved invaluable would have come up. Additionally, I would have loved if the leadership put in place a feedback mechanism for assessing the event. This way, the people on the ground would have given their view on how to improve the event. Additionally, they would include information on things to watch out for in the next event.
I recommend that proper planning be done in future. The structure of planning needs to change in order for the event to succeed. In my opinion, the leadership was way too concerned with what was happening in the upper ranks that it forgot the small planning details that mattered. Ensuring proper delegation would solve this.
Event venues should have their own effective planning committees, as opposed to relying on leadership directives from afar. Additionally, I would have the main and sub-committees meet regularly to discuss the challenges of planning. This way, we would avoid the problems altogether. Planning should be a participative process, and therefore I would include the lower levels of staff in the process. This would allow for an even greater pool of suggestions to be made.
As for supervision, I think it would be solved by effective delegation. In order to avoid senior leadership from getting tired handling all the work, I recommend more leadership posts be created. This way, the system runs without exhausting some individuals. I have already stated that with creativity, I would prefer if the leadership allows recommendations from lower levels. This would boost morale and give the leadership a true picture of what is happening on the ground.
Finally, since even the best laid plans have flaws, emergency precautions need to be put in place. Putting flexible and adaptable individuals in charge to handle the unknown would greatly help. Additionally, these individuals must be true leaders: they must be able to rally up those underneath them to effectively handle the challenges. This way, any challenge would be effectively handled.
The title of the article under discussion in this paper is Google building android game console. The article is authored by Amir Efrati and Ian Sherr and published in the wall street journal. The article is about Googles competitive strategy in the information and communication technology industry. The company plans to introduce two new products (wristwatch and video game console) to the market.
These products will be powered by Googles android software launched in 2008 and will aim at combating Apples future devices and give the company (Google) a competitive edge. The two devices will also aim at expanding the usage of the android software beyond tablets and smart phones. Apart from the two devices, Google also plans to launch a second version of android called Nexus Q, which is used for live streaming of information.
Statement of the intentions of the paper
The paper intends to identify and elaborate some aspects of competitiveness which the authors did not address in the article. The only aspect of competitiveness addressed by the authors in the article is rivalry among existing competitors. However, they have not addressed bargaining power of buyers, bargaining power of suppliers, threat of new entrants, threat of substitute products and services, product positioning and differentiation.
Threat of new entrants
In order to gain a portion of a market and build trust with the customers, new entrants usually come with unique approaches in any given industry. In most cases, they use pricing as a strategy of entering the markets. They do this by setting the prices of their products at low levels than those of the incumbents.
Others may focus on improving the quality of their products so as to attract customers (Hill and Gareth 3). The reduction of price and quality improvement makes the industry very competitive for the incumbents and sometimes they may be forced to quit the industry especially if the new entrants posses huge capital.
In a reaction to price reduction and quality improvement, the incumbents may come up with strategies of putting barriers aimed at preventing new entrants from entering the industry. For example, they may adopt very sophisticated technologies which are not easily available. They may also consider putting barriers to the access of the distribution channels so that new entrants may be scared away by the restricted access to supply channels (Hill and Gareth 3).
Another reaction by the incumbents is what is referred to as supply-side economies of scale which enables the incumbents to produce large quantities of goods at relatively low costs per unit. Supply side economies of scale also cushion the incumbents from the threat of lowered prices by the new entrants. It also discourages new entrants especially those who are not able to use price reduction as a strategy to penetrate the market and dislodge the incumbents (Hill and Gareth 3).
Bargaining power of suppliers
In some industries, there are monopolies in terms of supply of goods or services. In such industries, the powerful suppliers are able to manipulate the prices of goods or services the way they want. A supplier is regarded as powerful if for instance, he or she does not depend on a particular industry for revenues and therefore, he or she can do without that particular industry.
A powerful supplier is also one who supplies goods and services which are unique or one who has established a long term business relationship with certain companies. Powerful suppliers are also those who supply goods and services which cannot be substituted. A good example is pilots and the aviation industry. This is because it is not easy to get well trained and qualified pilots within a short notice and therefore, the pilots unions may have a big bargaining power (Hill and Gareth 4).
Another example is the Microsoft computer giant. It can decide to increase the price of operating systems. When this happens, the other computer dealers have no option other than cutting of their profits. In some cases, some powerful suppliers can also threaten to enter the markets themselves if the customers are not willing to purchase the goods at their desired prices. Companies may overcome this by having large capital base so that they can become suppliers themselves (Hill and Gareth 4).
Bargaining power of buyers
In some industries, there may be few but large buyers who purchase certain goods or services in bulk. Such buyers usually have a bargaining power to lower the price of goods or services in question because if the suppliers do not comply, they end up with minimal sales and profits. Buyers usually have power when the cost of switching suppliers is low and when the products in question are undifferentiated or are standardized.
The bargaining power of buyers can affect the profitability of an industry because they may lower buying prices and then lower their selling prices. When this happens, the people who suffer are the other small dealers in the industry and the suppliers. Buyers can increase their competitive strategy by teaming up and setting the buying price of the products at a certain level. This can cushion them from unscrupulous suppliers and new entrants (Hill and Gareth 5).
Threat of substitute products or services
A substitute is a product which plays similar function as the original product. Examples of substitutes include the electronic mail as a substitute for sending letters by mail, video conferencing as a substitute of actual conferences and the use of plastics instead of aluminum products.
Substitutes usually act as a threat to some industries, especially when they are priced in a friendly manner than the original products and when the cost of switching vendors is relatively low. Companies can guard themselves from the threat of substitutes by differentiation of their products and by teaming up to influence government policy on the introduction of substitute goods in the market (Hill and Gareth 6).
Differentiation and Positioning
In marketing, differentiation can be defined as the process of distinguishing a product or service from the rest through describing the major differences between the product or service and other products or services. As mentioned earlier, differentiation is one of the aspects of competitiveness done with a view of creating a market niche for a particular product or service.
Differentiation seeks to create a positive image of a particular product among the targeted consumers so as to ensure that they perceive it as unique and different from other similar products (Armstrong and Kotler 26).
Product differentiation prevents the targeted consumers from comparing a particular product with others thus giving that particular product a competitive advantage over the others. When doing differentiation, the marketing departments of companies mainly use advertisement, promotions, improved product quality, lowering or increasing the prices of products and ignorance of the consumers regarding the price and quality of the product being differentiated (Armstrong and Kotler 26).
Some companies may differentiate several products at the same time with the aim of acquiring a certain number of customers for the differentiated products or services; a concept called positioning. Positioning entails the use of various strategies like promotion, distribution of products or services and production of unique products with unique pricing to build an identity of a particular company or organization in the minds of particular consumers.
Through positioning, companies are able to stabilize and retain the positions of differentiated products thus retaining the competitive advantage of the company in regard to those products. In order for a company to create and maintain a particular position in a market, it needs to do a thorough research and be consistent in monitoring of market trends so as to modify or readjust the differentiation and positioning strategies for its respective products.
Conclusion
From the above discussion, it has emerged that competitiveness is a multidimensional concept. Many companies usually focus on their rivalry with existing competitors in designing their competitive strategies. This is the case with Google Inc. as featured in the article Google Building Android Game Console by Amir Efrati and Ian Sherr and published in the wall street journal. However, there are other aspects of competitiveness which can enhance a companys position in a certain industry.
These include bargaining power of buyers, bargaining power of suppliers, threat of new entrants, threat of substitute products and services, product positioning and differentiation. When all these aspects of competitiveness are taken into consideration, companies are able to enhance their competitiveness in their respective industries.
Works Cited
Armstrong, Gary, and K. Philiph. Marketing. An Introduction, Prentice Hall: Pearson Education Company, 2009.Print.
Hill, Charles, and J. Gareth. Strategic management: an integrated approach. Boston: Enfield Publishers, 2007.Print.
The Students Media Board (SMB) is an organization that directs various units important to achieving success of the Washington State University Vancouver media outlets. The organization oversees three student-operated media groups: the KOUG radio, the VanCougar bi-monthly newsletter, and the Salmon Creek Journal (an annual literary arts journal. As an organization, SMB demonstrates various traits in terms of organizational factors.
Every organization is characterized by a leadership model. Leadership involves influencing the staff to take part in achieving the organizational objectives. There are different theories explaining leadership styles, which include; first is the trait theory. This theory holds that there are personality characteristics that distinguish leaders from the followers.
There is a mental demonstration of the characteristics and mode of conduct shown by the leaders. Looking at SMB, it is led by an Executive Board that is made up of a team of four volunteer students and the Students Involvement Manager. The main function of the leadership board is to coordinate efforts and expand media resources.
The second leadership theory is behavioral style. This theory requires that a leader should create mutual respect and trust among followers and also initiate an organizational structure that organizes and defines what team members are expected to do. A leaders behavior should be systematically molded and improved, since there is no single ultimate leadership style, thus it is important to determine when to exhibit certain traits.
Thirdly is the situational theory, which argues that a leaders style should be consistent with the situation at the moment. It refers to how well the leader is in charge and can manage the work environment at hand.
Situational theory can take three dimensions: leader-member relations where the leader has the support and trust of the team; work structure; and position power of the leader, which includes the extent to which the leader can sanction, compel and reward the work team. Hershey and Blanchard propose that efficient leadership behavior is influenced by the alertness of the followers, the ability to complete a given duty.
Another model is the path-goal theory which defines how leaders effectiveness is impacted by the interaction between directive, supportive, participative and results-oriented styles. There are contingency factors that affect the aptness of a leaders behavior. The SMB board is in charge of implementing problem solutions from the top authority.
There is transactional leadership which aims to clarify the employees tasks and provide reward according to achievement. This model of leadership can be distinguished from transformational leadership, which focuses on changing employees attitudes to pursue the organizations objectives over self interest.
Transformational leadership involves increasing intrinsic motivation and objective pursuit, idealizing influence, individualizing consideration, and by intellectual stimulation. Good leaders are expected to be both transformational and transactional so as to impact on the team dynamics and team-level results, while employees are more transactional than transformational.
There is the leader-member exchange model, which assumes that the quality of relations between the leaders and the employees is more vital than the traits of either the leaders or followers. Leaders are encouraged to create high performance expectations of their direct reports but not to enable homogeneous work conditions.
Just like any other organization, SMB has an objective which is to provide educational opportunities to the campus media teams and their development. Due to its organizational structure created by the leadership, SMB is able to achieve new and lucrative inventions that one cannot be achieved individually. Another role of the leadership team of SMB is to introduce and train new recruits in the organization to achieve success of their goals and pursue a persons need for affiliation.
Today it is apparent that there is need to understanding true leadership styles due diversification in employment patterns. The discipline of management seems to be surrendering its role to that of leadership. The style of leadership is a main concern over employees and eventually organizations performance. A highly performing leader steers activities to expected heights but this requires strong leadership style.
Leadership is guidance or assistance procedures mainly concern with the way people create rapport, communicate and live by the significances for life (Hargreaves, 2003). According to Hargreaves (2003), for a leadership style to be effective, it is imperative to share control values. The process of leadership or management is considerably complex due to differences on anticipated results or expectations among the staff.
People have different believes, synergy or energy levels, expectations, experiences, and technological advancements among other aspects. The differences bring about superimposing experiences, thus placing very high expectations and challenges to a leadership style. Management lacks measurable elements or factors to meet expectations.
Thesis Statement
Analysis of necessary skills required for successful management within an organization This paper is an analysis of strategies required to implement management policies and the procedures for effective governance, as well as its implication to future performance. It is an analysis of the employee behavioural patterns in relation to the style of management and lastly it analyzes the available perspectives into controlling performance.
Objective/significance of the study
The main objective of the paper focuses on analysis of policies and procedures required to enforcing performance and it is equally an analysis of the developmental problems associated with styles of management in an organization. Another significance of the study focuses on the global approach towards management. The paper also forms an analysis over other probable choices in the subject matter beside the academically documented material. It is the analysis of what determines good guidance through utilization of the new professionally suggested measures to enhance employee performance.
Hypothesis
Are managers enhancing the proper mechanisms required to monitor, guide, encourage and evaluate employee performance? There are various ways of addressing or eliminating the social problems regarding management.
Methodology/Procedure of the study
The literature reviews will enable better understanding of the topic. Analysis of literature in the research over the chosen topic enhances and quantifies the research as a study topic and prepares for respondents. Information collected therefore tabulates and ranks the findings to broad areas and helps to narrow the scope to the objectives of the study analysis. The analysis then draws the conclusion from generally analyzed data in the literature review.
Literature review
The adherents to a chosen style of leadership have a quality control perspective. Good leadership avails chances of interactive participation of all members in the organization regardless of their status: age, gender, cultural difference, and experience by categorizing issues with respect to matters of concern.
According to Miller (2008), this is a healthy leadership approach because it enables the employees and other members of the organization to critic or compels the leaders with competitive views and opinions, of which is important for the organizational goals since they assist in validation and keeping the leader in a lane of reality. In line with MacMillan, (2000) dynamic dialogue cools any conflicting contemplations and maintains the cooperation between the involved parties.
Position of leadership styles in the organization
One key factor that is evident today is the need to search for and understand leader. The main reason behind the abolition of the eminent traditional styles of administration concerns presentation. These performance levels are unattainable only when the involved groups lack trust of their leaders.
Trust is a pre-requisite aspect of leadership that call for those in charge to portray honesty and show concern or care for their followers needs and thoughts, but at the same time remain accountable over their deeds (Booyeen, 2008). Secondly, the leader ought to honour commitments and pronouncements.
Respect is an inevitable aspect of leadership in which case the leader ought to respect the opinion of others and respond to their requests amicably and respectably owing to the thought that differences of opinion is an eminent sign of progress. Lastly, it is important for the leaders to have a set of values, which their followers can identify with or connect to such as courageousness, reliability, integrity, competence, honesty, altruism, and fairness (MacMillan, 2000).
According to Hargreaves (2003), trust is like a pillar that runs through every aspect of leadership thus ensuring its success. People will take a considerable amount of time to trust and thus the leader should have great consistent efforts over honest style of leadership.
Distinction between leadership and management
Historically, the managers dominate most of the governance styles. The main differences lie between various supreme approaches to services. Managers have a value of results while leaders value relationships among members. There is high regards over positions in management while this is not evident in leadership.
The leaders take reputed high risks compared to the managers and are personal, caring and avoid copying the rules of others (Heifetz, 2004). On the other hand, traditionally the manages will often conform to existing rules and want to ensure protection of the status quo over change, thus making the leaders more innovative and ready to change for the better (Heifetz, 2004).
The leaders style of guidance is non-functional thus inspiring and motivational compared to the management style of functionally analyzing, evaluating and solving problems from a personal perspective. Unless the managers are ready to embrace this kind or governance, then the system will always fail.
The leadership hierarchy restrains the flow of unnecessary information, poor policies of the firm, agendas that conflict governance as well as pressures for the need to conform thus making the style incredibly difficulty over the provision of overall directions (Mathias et al, 2007).
According to Heifetz (2004), the issues of leadership in organizations have revolutionized due to introduction of diversification, and therefore the reference of leadership made over the decades concerning the ability to hold top management positions has become obsolete.
Today the top management positions and their functions are still in common usage, but current trends indicate that people have discoveries concerning the distinction between managers and leaders. The process of exercising leadership skills, styles and qualities has a different meaning of providing a vision and influence of those led into realization of coexistence and sharing of thoughts.
From an analytical or professional point of view, it is possible to define the leadership style of governance as the ability to have considerations of various aspects in the organization such as age, gender, performance, experience and energy differences, characterized by an emphasis over good relations.
In this situation, the leader is a good listener who is approachable and friendly. This style entails openness thus enlisting the mental trust among those involved. Secondly is the ability to engage a leadership behaviour that directs an organization and assists in defining goals, structure and style of execution (Hargreaves, 2003).
Current leadership styles
Today the technological change has made the organizations to become more dynamic and therefore the leadership styles of focusing attention has equally become vibrant, on-going and very important procedures. It is important for a leader to have good solid knowledge and approaches to combat the organizational differences as well as engage continuous and alternative choices that steers organization forward in terms of development (Hargreaves, 2003).
One of the most fundamental issues concerning leadership involves the ability to communicate effectively. A good leader must be in a position of convincing people on how to focus on the ideas perceived to be important and developmental and cater for each group. The methods and styles of communication lack good definition in most organizations.
Every leader has a personal way of pronouncement, which varies from formal to casual in both written and spoken forms. The main aim eventually is the consistency and ability to attract attention and peoples actions.
Today the successful leaders realize that there exists no single method of behaving. The leaders must read a groups situation and come up with the most appropriate leadership behavioral pattern to combat the situation at hand. This is the only right and most appropriate procedures for the leaders because it enables the groups involved to fit the competency level.
Conclusion
Leadership styles have a close connection to behavior. In the assessment of a groups leadership needs, there is need to translate skills to communicative behavior.
For instance, if a leader finds that a certain group needs strong guidance, it is then wise to suggest direction, make different assignments, and possibly vet unrealistic suggestions. Leadership skills calls for one to find and balance the members thought, support viable decisions, and give authority to act. All the leadership styles have a strong basis on communication, and not skills, experience, lack or personality.
The connection between group members brings about cooperation, and unique leadership styles that solve group problem effectively thus making the group to become more effective (Miller, 2008). A good or efficient group only requires a small, early but strong guidance to become and remain productive.
References
Booyens, S.W. (2008). Introduction to Health Service Management. South Africa. SA: Juta and Company Ltd. Print.
Heifetz R A. (2004). Leadership without Easy Answers. London, Harvard University Press. Print.
Hargreaves, A. (2003). Teaching in the Knowledge Society. New York, NY: Teachers College Publishes. Print.
MacMillan, R. B. (2000). Leadership succession: Cultures of teaching and educational change. New York, NY: Routledge/Falmer Publishers. Print.
Mathis, R, L., Jackson, J. H. and Elliott, T. L. (2007). Human Resource Management. Thomson Southwestern Publishers. Print.
Miller, C. (2008). Cultural Diversity is an Opportunity. Web.
The behavior of top management should demonstrate that the companies they represent have a potential of offering quality services. They have to keep their promises to customers and meet their obligations towards workers along with investors.
A company that acknowledges accountability cannot have top managers who always point at others when things fail to work. Similarly, a company that boasts of offering timely services cannot have managers who are always late for conferences.
The best way to enhance the alignment between a companys model of competency and the real behavior of its top management is to include executives in the competency enhancement practice from the start. The process should give top management an opportunity to express their perceptions about successful leadership. These expressions should form a basic part in the leadership competency model.
Leadership, Influence & Relationships
Leadership and influence go hand in hand. All successful business leaders have influence. Influence comes from establishing relationships. The best way of making significant relationships is through maintaining trust.
In the business world, maintaining quality relationships with others is very significant. In fact, success in business largely depends on how managers to create and develop relationships.
Examining the most successful leaders confirms that leadership is not about power, money or technical aptitude. Rather, leadership is about maintaining the trust of followers and being loyal to them. In addition, leadership is about stewardship, concern, modesty and creating an environment that develops these elements.
One cannot change peoples minds by just doing the right things. Rather, one can easily change peoples mindsets by showing care and concern to them. Showing care and concern to people makes them to create a philosophical position that surpasses logic.
An excellent leader knows how to unify opposing parties for a common good. Most differences that exist among people are solvable through listening to them, as opposed to applying logic. When a leader listens to his people, they feel appreciated and esteemed. Thus, he builds lasting relationships with them.
Today, most leaders are not successful because they lack influence. Such leaders should try to invest their time and energy into building meaningful relationships with others.
Ten Leadership Lessons I Wish I Learnt In My 20s
A leader must have a vision. Obviously, you cannot lead people unless you know where you want to take them. Therefore, leadership is about sharing a vision with others.
A leader should maintain contacts. These include contacts of people you know and those that your friends know. Contacts are essential in establishing a relationship network.
A leader should share his knowledge with others. A leader should not only seek personal gains, but to help others too. He should therefore engage in dialogues and share his knowledge with others.
A leader should maintain a valuable network. A strong network leads to sustainability of a business.
A leader should always be positive. A leader should keep away from small thinkers and people who are out to discourage him. He should always surround himself with people who think big and those that understand his vision.
A leader should understand his value and use his position to help others. Helping others is essential in leadership as it builds more relationships.
A leader should be honest, competent and empathetic. A leader who demonstrates these characteristics is likely to have more influence and authority.
A leader should make others successful. When you make others succeed, you build more relationships and expand your sphere of influence.
A leader should be trustful. The more trustful a leader is the more influence he is likely to have.
A leader should not only concentrate on the quantity of networks, but also on quality. A leader who has few contacts of people that he can influence is superior to a leader who has many contacts of persons that he can hardly influence.
Some consumers in the market are drawn to some products because they are the most famous luxury brands, such as LOreal, Givenchy and Gucci. These brands have been made famous by several leaders who greatly increased their value in the market. Jean-Paul Agon, has been LOreals C.E.O, for the last seven years.
Hubert de Givenchy, a French aristocrat and an acclaimed fashion designer, founded Givenchy in 1952. Frida Giannini, is Guccis creative director, and has helped the firm make a positive impact in the market. These three leaders have unique qualities which make them stand out due to the roles they play in their organizations.
Jean-Paul Agon is the CEO of LOreal, a cosmetics and beauty products manufacturer with headquarters in Paris, France. LOreal manufactures and sells beauty care products in different countries of the world.
Agon joined the firm in 1979, aged 24 and came up through the ranks to become its C.E.O. He has transformed LOreals organizational practices to make them more sustainable. Business ethics, integrity and sustainable development are strong ideals which the firm is known for.
He was awarded in 2009 for helping the firm improve the quality of its operations. Under his tenure, the firm has reduced the amount of emissions it releases into the atmosphere. LOreal is one of the 100 firms in the world which practice sustainable development.
Hubert De Givenchy is credited for making Givenchy a strong brand in the market. The Paris-based firm produces high quality luxury products such as fashion, fragrances, beauty care and accessories. He began the firm in 1952 soon after his designs captured the imagination of many fashion consumers in Europe and North America.
His fashion designs have graced many fashion events in Paris, New York and London. In his prime, he designed clothes for famous celebrities such as Audrey Hepburn and Jacqueline Kennedy. He headed Givenchy until his retirement in 1995, at the age of 68. Givenchy is known as one of the most progressive forces in fashion industry, because this brand is worn by film stars, business people and other famous personalities.
Gucci is a fashion and leather products manufacturer, which headquarters is in Florence, Italy. The firm was founded in 1921 and produces high quality clothing, footwear, handbags, jewelry and other luxury accessories. Frida Giannini has been the firms creative director since 2005.
She has helped the firm innovate many processes which improved its competitiveness in the market. She joined the firm in 2001 and has contributed positively to its growth. Giannini has developed innovative retail concepts which have helped the firm grow its revenues. She has also used her creativity to develop high quality advertising campaigns, which have strengthened Guccis brand value in the market.
These three leaders have influenced their firms positively. Jean-Paul Agon has made LOreal become one of the most sustainable multinationals because the firms operations are friendly to the environment. Hubert de Givenchy steered Givenchy to success because the products he made stood out in the market. His creative instincts enabled him to design sophisticated apparel which received positive reviews in the market.
Frida Gianni has used her talent and vision to make Gucci become one of the most acclaimed fashion houses in the world. Her marketing instincts have benefited the firm because its products have grown to become strong brands. This has increased the value attached to them by customers. She helped develop Guccis retail capabilities by opening stores in different countries, which has made the firms products more accessible to consumers.
Duncan L. Niederaueris the chief executive officer (CEO) of the New York Stock Exchange (NYSE). His career pertains to corporate management. Such a career is demanding since the person at the helm of such an organization has to deliver certain results.
The stock exchanges core duty is to facilitate the trading of securities. Trading in this market adheres to certain regulations that protect the interests of shareholders and the government. Duncan has served in numerous managerial capacities in many organizations. This has equipped Duncan with experience which is vital in his current post.
Description of the industry
Duncan has served as the CEO of the NYSE since 2007. The main obligation of the stock exchange is to regulate trading of securities. Citizens may be unknowingly reaped off by unscrupulous entities. The reap-off may entail price manipulation to increase the shares values at the exchange.
Such an act would result in people buying shares at higher prices yet there is no economic justification for the increase in the value of securities. Regulation of this market is critical since the current security market is dependent on speculation. It is therefore vital for the board to monitor forces that drive speculation. Additionally, Duncan is in charge of a body that approves the entities to be listed in the exchange.
The approval of the entities that want to go public ought to be a cautious process. As such, the CEO and his managerial team should evaluate if applicants fulfill all the set conditions. Some of the conditions include audited records, legality of an entitys undertakings and the stability of an entitys revenues or profits. The sole purpose of this organization is to protect the investments made by the public (Gillen 200).
Attributes
Such work demands multiple skills that are both professional in nature and others that relate to once character. First, the CEO must have analytical skills. This will enable him/her foresee scenarios that will arise at the stock exchange. For example, the economic meltdown resulted in a reduction in the values of shares.
The CEO should undertake measures in the exchange that will mitigate the ramifications of the economic deterioration. Analytical skills are also vital in the approval of the entities to be listed. Such an evaluation requires effective analytical skills that will unearth the financial strength or weaknesses of an entity.
Duncans position also requires a visionary leader. The CEO of any company makes strategic decisions. In this scenario, Duncans strategic measures or plans should enhance the efficiency of the stock exchange. Additionally, the strategic measures should also ensure that the stock exchanges systems are secure.
Thus, investments made are not susceptible to cyber criminals. Political skills are also required in this profession. Any manager or CEO will have to sell the plans he/she wants to undertake to stakeholders. Duncan has to sell his ideas to the government and the listed entities for approval. This process requires political skills, which will ensure his ideas, are approved.
Integrity is a virtue that can never be overlooked in management. Integrity will ensure that the CEO does not tamper with prices of shares to advance personal interests. Investment decisions depend primarily on stock values. Such decisions include takeovers, mergers and acquisitions. Manipulation of shares prices would impact such deals negatively. As such, some of the investors would receive less economic value compared to the funds invested (Griffin 9).
Works Cited
Gillen,Jack. The key to speculation on the New York Stock Exchange. Tempe, AZ:American Institute of Astrologers, 2009. Print.
Griffin,Ricky.Fundamentals of management.Mason, OH: Cengage Learning, 2012. Print.
For several decades, employee motivation and satisfaction have been among the most debated issues within governmental and non-governmental organizations with the urge to improve employee job satisfaction being the core motive. Managers have always been under pressure to meet organizational demands and control employees, with the contemporary world awakening to the realities of employment standards.
Despite substantial prior literature, extensive empirical evidence and strong theoretical frameworks existing throughout several researches across the world with the principle aim of stressing on the importance of employee motivation, leadership principles, and theories, little seems impressive on the current employment standards. Frederick Herzbergs motivational theories, viz. theory X and Y, are among renowned theories that have assisted in understanding motivation and leadership.
However, workers in several organizations still work under frustrations, are underpaid, or denied their rights. In submission to the leadership and motivation theories, principles, and issues, this research paper introduces Ricardo Semler, CEO of Brazils Semco S.A, who is popularly known as part of the highly celebrated pioneers of organizational change.
Background of Semco and Selmer S.A
Perhaps one of the most outstanding cases relating to corporate leadership, employee motivation, and proper principles and issues concerning management is the transformational case of Ricardo Semler & Semco S.A Company.
This case is one of the case studies constantly reviewed by learners and researchers and has long stood as the most substantial case in the history of evaluating principles of management. The case simply entails background, development, and triumph of Semco and Selmer S.A under the stewardship of Ricardo Semler after he took control of the business, which was hitherto being run by his dad.
This business operated in Brazil and during this moment, most of the Brazilian companies organizational structure, just as numerous historical Latin American enterprises, rested upon the paternalistic and authoritative leadership with majority demonstrating pyramidal hierarchy. During this same moment, the Brazilian economy was undergoing stress with extensive cases of hyperinflation, currency devaluations, unemployment, and virtual cessation eminent in industrial productions.
The emergence of Semler & Company
Ricardos father and Austrian-born engineer, Antonio Curt Semler relocated to Sao Paulo in 1953, after numerous years of managing a certain plant for DuPont in Argentina (Killian & Perez, 1998, p.7).
Antonio Curt Semler immediately invested in centrifuges manufacturing company, which he named Semler & Company and within one decade, this company became a market leader principally following its ability to acquire worthwhile contracts dealing with providing military with marine pumps.
Within a short moment, Antonio Curt Semler started supplying marine pumps to the Brazilian government military and Semler & Company ultimately grew into being among the major providers of National Shipbuilding Plan material.
The period between 1950s and 1980s saw Brazil enjoying the greatest economic position with the economy rapidly growing, and thus majority of the companies failed to acknowledge management principles as influential factors to organizational productivity. At the close of 1970s, the Brazilian economy dramatically changed with the rigid management structure designed by Antonio Curt Semler failing to strategize the organization to meet the prevailing conditions.
Arrival of Ricardo Semler
Immediately after his graduation with an MBA from Harvard University at the age of only 20 years, Ricardo Semler revisited Sao Paulo to assist his father in managing and developing Semler & Company (Killian & Perez, 1998, p.3). On his arrival with diverse democratic organizational philosophy that probably acquired from the school, Ricardo transformed the entire leadership in Semler & Company from his fathers autocratic and paternalistic control to democratic and participatory leadership.
This move was evident that Ricardos management and leadership ism was entirely different from that of his father as the two adopted disparate management theories. The father strictly believed in inextricable association involving personal and business matters, while Ricardo estranged work and personal life and promoted participatory management style.
During the successive years, Ricardo and his father, Antonio Curt Semler, continuously disagreed on the management principles, ideologies, and philosophies that the son had started implementing, but finally understood that power transfer does not means a constant continuation of the status quo. Ricardo arrival met the harsh economic times when the Brazilian national economy was undergoing a terrible recession in 1980.
During this tormenting period, Semler & Company depended exclusively on sales from shipbuilding products, with an average of 90% of its revenue haggard from such products.
Ricardo was certain that the future of the companys success was solely in the hands of product variegation; unfortunately, no one in the company shared or accepted these sentiments. On noticing, the aptitude of his son and the unwillingness of the company to accept change with Ricardo threatening to resign and leave the company on his third year, Antonio Curt Semler decide to retire and leave the leadership to the son.
Antonios decision was flawlessly the beginning of revolution and transformation of Semler & Company that immediately received a new name Semco, under the influence and management philosophies employed by Ricardo. The new Semco believed that the key to better management is to exonerate managers, to get better production one must acknowledge investing corporate profits with employees and the only way to proper is to receive the profit notion and freely engage workers in management.
Ricardos fruitless efforts to secure Semler Company
On his entry as the new CEO,Ricardo dismissed approximately two-thirds of Semler & Companys top management, majority of which were close colleagues to the father and instantly plotted the new product diversification strategy that he intended to implement given the chance to manage Semco (Killian & Perez, 1998, p.8).
Ricardos first approach in eradicating the old Semler & Company organizational legacy and developing Semco bore little achievement as he employed much energy than strategic foundation. Ricardo vowed to work tirelessly with most of his moments spent in long hours trying to restore the collapsing business, but unfortunately made meaningless progress in the first year.
Evidently, Ricardo was making retrogressive mistake by thinking that he could change the company overnight and due to stress and depressive disorder, he collapsed on his sojourn to the US. Fortunately, he learnt a strong lesson from his mistakes and noticed that lack of strategic vision could completely burry his efforts to restore the image of the old Semler and more.
The advent of some significant Changes
In subsequent years, the new Semler that is Ricardo for that matter, decided to dismantle the rigid management arrangement completely that was constantly dragging his efforts to restore Semlers corporate image.
Ricardo quickly removed the rigid management structure developed by his father and replaced it with a more flexible organization based on three interdependent core values: employee participation, profit sharing, and the free flow of information (Killian & Perez, 1998, p.2). Ricardo supposed that all people yearn to achieve excellence and felt that it was no longer time to tolerate autocracy, which was a constant thwarter to individuals motivation and creativity.
Ricardo then reached a conclusion that the only way to allow change is to begin by improving the decision making process in Semco and that decision-making will remain evenly distributed. His first efforts to change the organization structure began with the implementation of matrix structure that his admiration hinged upon Delaware W.L. Gore. This structure made managers take few risks, remain cautious, but learnt little.
The implementations of matrix organizational structure failed to work perfectly for Ricardo as managers became more cautious, inactive and uncreative, with few or no ideas shared freely. These constantly protracting challenges with the organizational set up of the company compelled Ricardo to create different segments of the company each under independent management.
According to Killian & Perez (1998), Ricardos believe rested upon understanding that this approach will aid in removing obstacles that marred effective participatory management. The competition among autonomous groups grew exponentially with employees having a greater feeling of motivation. Subsequently, in the mid 1980s, Semco manager name Joao Vendramin managed to persuade Ricardo to introduce a lattice organization where under this setup, a group of six to ten self-managed manufacturing employees emerged.
Killian and Perez (1998) posit, in a bid to promote a sense of true ownership of the process, the groups were responsible for setting their own budgets and production goals (p.3). Prior to this implementation, unit production cost reduced drastically as employee productivity surged.
Ricardos new lattice organization prompted numerous changes in the newly developed Semco as employees became more participative in the management through self-managed teams and there was sudden perception that managers were losing autonomous power.
The adoption of lattice organization appeared easier to employees with the company witnessing the quitting of almost a third of middle managers between October 1985 and January 1987 (Killian & Perez, 1998). These managers simply failed to adapt to this management style with much of them claiming to have lost their power.
Following the implementation of lattice organizational structure, a diverse number of practices and commonalities changed with time as Ricardo bestowed employees the ability to share some cultural values concerning corporate governance. Among the major changes that took place during this moment was the traditional means of employee motivation that involved profit sharing, that included workers taking the profit and loss responsibilities, free flow of information among other strategies.
Overcoming the auspicious era of 1990s
The 1990s was one among the worst moments that saw the Brazilian government impose some stringent laws and regulations that aimed at responding to the treacherous hyperinflation that marred economic growth during this epoch.
The incumbent Brazilian president during this moment, Collor and his administration decided to impose restrictions to liquidity and a result, numerous companies filed bankruptcy forcefully. The only way that could secure Semco from this situation was to cut down expenditure and general cost and Ricardo decided to implement new orders and decided to organize workers into autonomous groups who were capable of selling output directly to clients.
Throughout 1990, upper management at Semco met with groups of employees to devise cost cutting strategies (Killian & Perez, 1998, p.4). Until this time, only two options were viable as the main solutions: layoffs and salary deductions. The Brazilian labor laws at that moment required a two-year severance pay for each employee laid off from any given company.
Workers from the shop floor committee proposed that they were ready for salary reduction, but stood firmly to three conditions. One of the conditions required Ricardo to agree an increase in profit sharing that was among the new strategies to 39% of the net income until the restoration of current salaries.
Another condition was that managers must accept a 40% salary cut and that Ricardo should stop Semco management from approving expenditure that was crucial in assuring workers accountability. Desperately and with no other option remaining after weighing the expenses and misfortunes that will rise from layoffs as highlighted in Brazilian labor laws, Ricardo accepted the shop floor committees offer.
Killian and Perez (1998) assert, Labors partnership with Semco management during these negotiations marked the beginning of a major cultural shift toward democratic worker management, i.e., worker participation in planning, decision-making and implementation (p.4). Workers aptitude and willingness to perform manifold tasks increased exponentially from forklifting to line production.
The preliminary success of autonomous groups developed by Ricardo Semler in the lattice organization in the mid 1980s with production lines became the most fundamental strategy that assisted workers to adopt a new approach perfectly.
Workers organized in the autonomous groups continuously became more powerful and almost everything ran under the governance of these teams as they ultimately decided to assume the role of recruiting and dismissing co-workers and managers through an open and transparent popular balloting. Automatically, the remaining elements of inflexible processes under the watch of despotic managers in Semco started to pave way to visionary teams, and subsequently democratic worker management commenced.
Flexible governing mechanisms controlled by ideologies, principles and the common sense of selfless democratic workers and officials became the simple rules governing Semco. Managers intuitively started to understand and appreciate their emerging functions as simple enablers towards corporate growth and constantly enriching employees with the requisite support to assist them in making the right decisions at work.
The contended realities of such democratic processes led to the enormous expansion of Semco that marked the history of unending development. In successive days that followed the appearance of Ricardo and his democratic process that led to substantial motivation, the satellite business emerged democratically in 1980s after a small group of employees presented a business proposal.
The proposal interest was in inventing and reinventing new products, exposing production inefficiencies, refining marketing strategies and developing new ways of undertaking business and six months of its operation, the group that named itself Nucleus of Technological Innovation (NTI) had invested in almost eighteen projects (Killian & Perez, 1998, p.9).
In the advent of 1990s, Ricardo and some senior managers decided to promote satellite business comprehensively. As an added incentive to foster growth of the satellites, management guaranteed initial contract work for the new satellites and deferred lease payments on all equipment and office space for two years (Killian and Perez, 1998, p.5). This satellite business became the most lively and innovative part of Semco.
A Completely New Semco
Semco gained completely a new image in the late 1998 after substantial transformational changes taking place from 1985 to the later. The new Semco transformed and the management team did away with some office positions like secretaries. There existed no personal or private offices, workers managed themselves with higher accountability and responsibility.
On one of the interviews conducted by researchers, Ricardo stated, I dont sign a single check, I dont approve investments. I do not run the company in that sense at all. What I do is spend a lot of time being called into meetings about strategy, about pricing& (Killian & Perez, 1998, p.5).
The title that one holds in a given job is of little or no significance given the fact that employees are at liberty to work interactively with others as well as questioning and correcting co-workers and even bosses on any discord. From 1985, Semco managed to reduce corporate staff by 75% with much of it initially composed of bureaucratic management.
Now it was eminent that middle managers, receptionists, accountants, secretaries or even personal assistants no longer exist in the new and reformed Semco. According to Killian & Perez (1998), based on the participatory approach, the companys manual stated, Our philosophy is built on participation and involvement.
Do not settle down. Give opinions, seek opportunities and advancement, always say what you think&Do not be just one more person in the company (p.6). However, during the mentioned thirteen years of Ricardos management, employees gradually understood that they must presume greater responsibilities over everything including managing the cafeteria menus to designing of new product designs to even plant repositioning.
Semco only managed to accommodate only a limited inner circle management team of three circles. The first circle entailed 6 members and their primary duty was to make the companys overall policies. Each of the counselors, inclusive of Ricardo, operated in rotational turns of six months as CEO. The second circle was made up of individuals from each segment within the company and the last was made of all managers and workers.
Organizational profit sharing and loss responsibility
One of the most fascinating principles that characterized the form of management introduced by Ricardo and his group was the aspect of profit sharing and loss responsibility factor. Killian and Perez (1998) postulate, Semcos adherence to the principles of democratic worker management brought both a sense of individual freedom and a necessary commitment to financial accountability (p.7).
Individuals freedom and organizational financial accountability were two inseparable variables in the entire organizational performance. Sensibly, in the quest to realize answerability, the
Management team had to devise ways of monitoring and evaluating the progress or retrogression of every subdivision. The advent of profit sharing factor was typically a motivational factor that proudly enabled workers willingness to perform multiple job duties despite the prevailing harsh economic times that marred economic growth in Brazil.
This democratic nature of the leadership practiced by Ricardo and his group drastically managed to reduce the averaging and disturbing complaints concerning the allocation of funds and exemplified Ricardos trust in his employees abilities in decision-making.
Employee hiring, firing and evaluation
Through democratically selected committees, serving under stabilized democratic management structure and well-informed employees who understood the right virtues that guide success in organization, employee hiring, firing and evaluation was never a challenge again. The companys associates felt much empowered and were entirely responsible for hiring new recruit, be it co-workers or bosses Killian & Perez, 1998, p.6).
Nonetheless, since none of the persons had much power to fire others, employees worked tirelessly while respecting others and remained worriless of any favoritisms. After the drafting and tabling of budgets every six months, employees proffered for positions with the rejection or acceptation depending on talents, skills and appraisals, the amounted of salary one requests and fellow employees readiness to reconsider them.
Killian and Perez (1998) note that Semler expected all bosses to be relaxed, secure, fair, friendly, participative, innovative, trustworthy and highly competent (p.8). Workers would rank managers and the views made known to everyone with managers scoring below seventy-five percent completely exempted from the management.
Free flow of information
Ricardo Semler was one of the fascinating managers who managed to make all his companys financial data always readily available to all employees.
This aspect played an imperative role as employees felt much appreciated, motivated and their rights observed with great changes emerging from Ricardos effort of training employees how to interpret balance sheets and other financial statements. Terminologies like profit and losses for each division became common idea for almost everyone in such partitions with employees capable of understanding the principles of payments including knowing salaries of top managers.
Since the management adopted democratic leadership that involved participatory management, all employees had equal commanding power through democratic voting process. Free flow of information provided associates with the necessary knowledge to make knowledgeable decisions and insist on democratic culture following the more transformed means of decision-making that was all-inclusive.
Salaries and strategies
It was the responsibility of the associates in Semco to manage and set their own salaries and as postulated before, re-hiring of any employee depended on the amount one states and the appraisal so employees remained keen in estimating their desired pay. In the first place, committees overseeing and analyzing salaries ensured that salaries remained publicly posted.
Typically, if an employee overpaid her/himself for the past six months before then he/she should remain prepared to lose his/her job during the drafting of budget and setting of employee bids. Since the labor laws in the Brazilian government prohibited salary deductions, and stiff penalties existed to employers who dismissed workers, it was imperative for Ricardo to depend on profit sharing and accountability as one way of settling financial matters with employees.
New strategies were put in place and by 1998, the company would only meet when extremely necessary, for instance during deliberations on management, engineering, applications, and research & development. They also spared other high intensive functions that were of core competencies.
Theoretical framework
Principles of leadership and motivation have been the subject matter to several researches with the main aim being improving factors related to employee satisfaction, enhance leadership welfare and enhancing working environment to both top and low level workers.
For several decades, theories concerning motivation, leadership and their relationship with individual satisfaction and corporate growth have existed with studies practically evaluating and proving such theoretic concepts through empirical evidences.
Taking and example of the most fascinating case of Semler and Semco S.A, one would have to understand where the imperativeness of theories including theory X and Y, Frederick Herzbergs motivational theory comes, and to which extent they influence management practice and employees behavior in real cases.
For several decades as eminent in the case of Semler and Semco S.A and the revolutions emerging through Ricardos management interventions approximated to only 16 years, there is always an existing correlation between leadership techniques in governing human resource, motivation and productivity in organizations. This study focuses on the two theories.
Motivation theory
Motivational theories have always focused on the ways through which management and employees need to have conduciveness in a given environment to enable them undertake their duties and practices tactfully. Motivation in numerous employee impetus studies may refer to a situation whereby individuals feel comfortable and either internally or externally moved by certain aspects of life towards greater performance.
As postulated in several theories, motivation in terms of employee realm is the sense of having greater comfort and aptitude that results from intrinsic or extrinsic forces that manage to move individuals morale in an organization towards higher accountability and responsibility that further triggers high productivity.
Motivated employees therefore may simply mean a self-directed and powerful workforce that feels intrinsically moved into achieving not only their personal ambitions in an organization, but also assisting the organization itself in achieving its desired objectives. In almost all motivation theories, there has always been a certain correlation appearing between the aspect of motivation and the leadership or management styles that favor enthusiasm.
McGregor Theory X and Y
The constantly rising urge of employee satisfaction, employee motivation and the aspect of employee empowerment have prompted the imperativeness of numerous theories.
Perhaps one of the most outstanding theories that have always been useful in propelling the campaigns of employee and general motivation through researches and empirical confirmation is McGregors Theory X and Y. Through McGregors theory X and Y on which individuals come to understand two main preconceived perceptions of how people understand human behavior in organizations or at the workplace, a better understanding of motivation and leadership emerges.
McGregors theory X is an exact replica of the principles and philosophies that Antonio Curt Semler and some of the investors from Brazilian companies believed to have an impact in triggering employee performance. Since its introduction in 1970s by Douglas McGregor, theory X has featured in several studies with the majority of them associating it with foregone leadership traits that involved misunderstanding human resource as leaders emphasized on the use of tyrannical ways of human resource management.
Views of Theory X and its suppositions
McGregors theory X has been among the most studied and critically analyzed motivational theories for several decades with the current generation that opts for theory Y, constantly criticizing it.
Theory X emphasizes on pushed motivation where managers envisage that a common human being has an inbuilt dislike towards work and is capable of doing anything to avoid certain responsibilities, therefore much predisposed to errands. The perceived nature of human detest and objectivity to responsibilities therefore requires some individuals, most likely managers, administrators, supervisors, executives, all in the common name bosses, to oversee human practice in the workplace.
Theory X supposes that human beings tasked with certain duties are generally lazy, lack dedication and avoid responsibilities whenever capable and therefore, these bosses must always remain well positioned to coerce, direct, control and to a certain extent threaten workforce to trigger productivity. Theory X deems that average human beings have less focus, do not even have wishes or ambitions to become productive and therefore must remain monitored at the workplace.
Views and suppositions of theory Y
McGregors theory Y is a typical contract of theory X with its assumptions giving astringent views on the facets of employee satisfaction, empowerment and motivation. Theory Y that has become the most preferred motivational theory especially in the contemporary world where democracy is everyones anticipation with Y generation becoming more apparent in the recent decades, may practically fit in Ricardos profile.
According to Stella (2008) drawing view from theory Y, employees are capable of accepting responsibilities heartedly through self-control and determination. For theory Y, given a favorable working environment, human beings have the aptitude and ability towards productivity and driven by personal commitment towards achieving individual and organizational objectives, employees feel intrinsically motivated, develop imaginations and make an informed decision imperative to organizational success.
Contrastingly, subjected to certain conditions and limitations employees feel unsafe, develop unnecessary fear, become resistant towards success, and more predisposed to erroneousness, subsequently affecting organizational productivity. Given honor, respect, freedom and desired recognition as part of company, employees can perform.
Important facts on theory X and Y
In the growing contemporary world where several challenges are constantly marring economic growth to greater lengths, the application of both theories by managers has been eminent with the organizational interests being more of concern than employee welfare.
It is definitely true that a force coming from internal push of psychological tuning has always proven imperative in human success as intrinsic motivation allows individuals to exercise their ability skillfully and confidently. In support to this, according to Stella (2008), employees talents not until in the latest decades have always remained partially utilized, as research has noticed still the existence of substantial evidence of demoralizing hierarchical structures that undermining employees capacity.
Nonetheless, the aspect of over-democratization of organizational management is constantly posing great danger on human resource management as research has noticed absconding of important employee duties in the name of enjoying democracy. To remain productive and avoid corporate failure due to governance in some organizations, application of both leadership approaches may remain paramount.
Frederick Herzbergs motivational theory
Frederick Herzbergs motivational theory is also among the most theories that constantly feature in the motivation, empowerment and job satisfaction issues that are currently among the hottest and most contested labor affairs. A substantial number of studies have been using Frederick Herzberg motivational theory convincingly to support important arguments raised across the global employment paradigm.
In a bid to reinforce the imperativeness of motivation, Frederick Herzberg managed to raise some important considerations that seem to control human enthusiasm with Herzberg raising an understanding that events leading to satisfaction are completely different from those encumbering satisfaction.
In this theory, Frederick considers company policies and administration, supervision, working conditions; interpersonal relations, money security, and job status are some of the paramount factors that can depict healthiness of the working environment (Stella, 2008, p.57). Taking of Frederick Herzbergs hygiene and motivational factors theory, the above principles, factors and issues must be the companys priority as one way of ensuring suitable working environment for workers that must remain considered.
Considering the transformations undertaken by Ricardo Semler to change Semco completely, something that could remain, challenging to the father, Frederick Herzbergs hygiene and motivational factors theory represents a complete facsimile of the case of Ricardo Semler and Semco S.A.
According to Herzberg, for employees to feel satisfied in any organization, employers must provide a safe working environment with favorable working conditions, must provide some motivational elements including financial and fringe benefits to enhance employee commitment to work and encourage teamwork dynamics to increase performance.
Organizations administrative approaches including policies must consider employees welfare and always remain supportive to employee personal growth and professional development.
It is important for employers to understand that people need to grow professionally, need to recognize employees as important facets to corporate growth; employees need a sense of responsibility and their security at work is paramount. All these hygiene factors as postulated by Herzberg are equally essential for the employees professional growth and organizational recital.
Methodology
Using information from the website might not have qualified this approach as a methodological research; nonetheless, skillful website searching techniques might have prompted the success of this research. This study simply used the case of Ricardo Semler and Semco S.A, one of the renowned cases that are in constant use in research with substantial evidence liking the existence of motivation, leadership principles and issues in the case.
Though one might not be in exactly the best position to determine the most appropriate methodology employed in this study, triangulation methodology may have played an important role in investigate, inspecting and analyzing data used to explore the facts addressed herein. Triangulation is a method used by qualitative researchers to check and establish the validity in their studies by analyzing a research question from multiple perspectives (Guion et al. 2011, p.1).
This study concentrated with only two of the triangulation techniques namely data triangulation that may represent almost the entire methodology and methodological triangulation. Data triangulation refers to the use of different data sources or information material in order to enhance the validity of the study as well as reinforcing the pieces of argument inherent in the study.
In such cases, stakeholders of data may be program staff, participants or even other researchers. For this study, triangulation involved an analysis of the case of Ricardo Semler and Semco S.A, a case that has always been imperative in reinforcing arguments on employee satisfaction, motivation and empowerment. Methodological triangulation was also essential in providing significant facts and assisting in reinforcing arguments.
According to Guion et al. (2011), methodological triangulation typically engrosses the application of multiple quantitative and/or qualitative methods to explore a given topic. Prior surveys, empirical researches and cases that analyzed motivational aspects were important in providing facts and reinforcing arguments.
Results and Findings
Following a comprehensive analysis of the case of Ricardo Semler and Semco S.A, with the transformational events that emerged from the efforts of Ricardo in changing his fathers tyrannical leadership, results and findings are evident.
The advent of numerous changes in Semler & Company initiated by Ricardo did not bring about the demise of Semler, but the participatory or rather democratic leadership proved imperative in enhancing corporate growth. Triangulating data provided by Killian & Perez in an attempt to recognize the iconic nature of Ricardo Semler who remains an important inspiration to many leaders, a substantial change is eminent.
Ricardos efforts to impose democratic leadership and abolish tyrannical, totalitarian or even authoritarian leadership began in 1980s where Brazil was under extensive economic recession. Within a period of approximately 16 years or simply estimated to one and a half decade, Semco managed to triumph economically with the majority of employees having the sense of self-governance, motivation and successfulness.
Instead of crumpling or disintegration, the skillful Ricardo Semler managed to create remarkably a flexible organization that grew exponentially. The organization attracted millions of workers from allover Brazil with a continuum of products produced through manufacturing.
Approximately, over 100 Fortune firms across the continents toured the company in the quest to learn how the company managed to realize exponential growth and seemingly unparalleled success. Semlers sensations were all the most extraordinary when measured alongside the milieu of the unpredictable financial system that all the Brazilians operated.
Considering the situation where a country suffering from four currency devaluations, hyperinflations, high unemployment and a practical termination of every industrial production, Ricardos democratic change in Semco brought substantial changes that may even remain anticipations forever. Reducing corporate staff by about 75 per cent, creating a different environment altogether, and making workers to adapt to changes has never been easy, but democracy may ensure that this goal is achieved.
Summary
This study reviewed the case of Ricardo Semler and Semco S.A.,Ricardos father and Austrian-born engineer, Antonio Curt Semler relocated to Sao Paulo in 1953, after numerous years of managing a certain plant for DuPont in Argentina (Killian & Perez, 1998, p. 7). Antonio Curt Semler invested in centrifuge manufacturing, a business that boomed, but the economic hardships of between 1980s and 1990s, slightly a few decades after Antonios invention in centrifuge manufacturing.
Fortunately, a young entrepreneur with democratic skills namely Ricardo Semler, a son to Antonio curt Semler appears in time and implements the participatory democratic leadership that helps the company to succeed economically despite serving in erratic economic moments.
Combined with theoretical concepts and arguments reinforced through theory Y and Frederick Herzbergs hygiene and motivational factors theory, Ricardo Semler forms a complete facsimile of the two theories. Theory Y and Frederick Herzbergs motivational theory suppose that employees can willingly take responsibilities in a motivating workplace. The father can be a complete replica of leaders who fit in theory X, which discerns democracy.
Conclusion and Recommendation
Conclusively, democratic management system seems to have been gradually been consuming the interest of a multitude of workforce, with some managers inclusive in the recent decades.
The case of Ricardo and his revolutionary efforts to restore Semler and its reputation through autonomous leadership skills is among the cases that may reflect the realities behind the most desired governance styles.
Nonetheless, leaders may not normally seem impressed by participatory leadership since it cleaves away their leadership power and workers may eventually feel over empowered. To bring substantial change to the most challenging management paradigm that involves controlling grownups with focused minds in workplace, democracy may play a significant role in human resource management.
This leadership does not only relieve managers from unnecessary stress resulting from psychological frustration created by pressurized workplace, due to attempting to control sovereign beings, but also results in substantial organizational efficiency. With a considerable empirical evidence drawn from the case of Semco and prior management principles highlighted in a number of theories, this study recommends organizations to lead democratically.
Reference List
Guion, L., Diehl, D., & McDonald, D. (2011). Triangulation: Establishing the Validity of Qualitative Studies. Web.
Killian, K., & Perez, F. (1998). Ricardo Semler and Semco S.A. Web.
Stella, O. (2008). Motivation and Work Performance: Complexities in Achieving Good Performance Outcomes; A Study Focusing on Motivation Measures and Improving Workers Performance in Kitgum District Local Government. Rotterdam, Netherlands: Erasmus University.