Leadership & Change
INTRODUCTION
In this report, author reflects on his individual leadership skills and recommends ways to improve his skills. The topics covered in this section include leadership, trait theory of leadership, McGregor’s Theory X and Theory Y, transformational & charismatic leadership, the author’s leadership qualities, recommendations to improve leadership qualities, emotional intelligence, change management, change resistance, managing change in British Airways, recommendations to manage change more effectively.
LEADERSHIP
Leadership according to Northouse (2007) is a process through which a person influences an individual or a group for achieving a common objective or goal. Leadership according to Avolio, et al., (2003); Bennis (2007) is amongst the most debated & discussed social science topics. Leadership research according to Galton & Eysenck (1869) started with an exploration for the heritable attributes which differentiated the leaders from others and clarified a person’s effectiveness as a leader. Basically, this early leadership research marked the start of leadership research trait paradigm.
Subsequent researches such as Mumford, et al. (2007); Judge et al. (2004) and Judge, et al. (2002) have recognized that the individual characteristics, like demographics, personality traits, skills & abilities predict effectiveness as a leader. The leadership trait paradigms were criticized by numerous authors including Stogdill (1948); Mann (1959) prompts the scholars in looking beyond the leadership traits and considering how behaviors of leaders’ predicted effectiveness. It resulted in a research on commencement of structure & consideration (Stogdill, 1963) establishing the leadership research’s behavior paradigms. The leadership behavior paradigm’s influence could be seen in numerous leadership theories, such as contingency model by Fiedler (1967), managerial grid by Blake & Mouton (1964), and the transactional & work on transformational leadership (Avolio et al., 2003). Judge et al. (2004); Judge & Piccolo (2004) contend that not only did paradigm of leader behavior provide a basis for the new theories, but also the meta-analytic evidence suggested that leadership behaviors are significant leadership effectiveness predictors.
The Trait Approach to Leadership
The Trait Leadership Approach is said to be originated from “Great Man” theory to identify key successful leader characteristics. It was assumed that using this approach of leadership critical traits of leadership could be extracted and that individuals with these traits could be then recruited and selected into the leadership positions. The issue with trait approach was that every research led to the identification of some trait and apparently there were no consistent traits which were identified. Although few traits were identified in several studies, largely the results seemed inconclusive. A few leaders possessed some traits but absence of other traits did not essentially signify that the individual wasn’t a leader. Few of the traits which appeared more frequently as compared to others, included technical skill, task motivation, friendliness, task application, social skill, supportive of group task, emotional control, general charisma, administrative skill and intelligence. Among the above traits charisma was most extensively explored trait.
The table enlists the main traits & skills of leadership identified by Stogdill (1974).
The Behavioural School
The trait studies’ results were largely inconclusive. Trait, among other things, was hard to quantity. There was no method for measuring traits like honesty, integrity, diligence or loyalty hence, there was a need of another leadership approach and the focus shifted to behavioural theories.
McGregor’s Theory X & Theory Y Managers
Leadership strategies according to McGregor (1960) are affected by the leader’s assumptions regarding human nature. McGregor (1960) summarizes two divergent groups of assumptions compiled from the industry managers.
It could therefore be observed that leaders upholding assumptions of Theory X will prefer autocratic style of leadership, whereas leaders upholding assumptions of Theory Y would mostly prefer a participative leadership style.
Transformational & Charismatic leadership
Transformational & charismatic leadership theories have immensely influenced leadership. Bryman (1992) characterized this approach of leadership as new leadership owing to its shift from existing models of leadership. Transformational & charismatic leadership styles according to Yukl (1999) have been the emphasis of a several research inquiries. These leadership approaches according to Antonakis et al. (2004); Lowe & Gardner (2000); Hunt (1999); Conger (1999) have helped shifting leadership paradigms to its modern form. Transformational leaders are generally energetic, enthusiastic and passionate besides focused on the success of each individual (Cherry, 2010).
Charismatic leadership according to Lowe et al. (1996); Conger and Kanungo (1998) has been criticized concerning its abstruse effectiveness during relative stability, the negative influences on its followers and also its higher effectiveness in the bureaucratic firms. Moreover, according to Northouse (2004) it seems that the charismatic leadership in an organizational context ignores certain key functions which a leader must have; therefore, planning as well as decision making appear discounted when compared with vision, inspiration, the high expectations setting, empowerment and fostering collective identity. Shamir and Howell (1999) contend that extensive debate took place regarding charisma routinization of and also its romanticized aspect.
MY LEADERSHIP QUALITIES
I see myself as a capable leader. I believe I have the charisma as well as the personality to make others listen as to what I require saying, without being too dominating. Some of my traits and skills in accordance with Stodgill (1974) trait theory include ambitious, cooperative, energetic, stress tolerant, creative, organized, knowledgeable and socially skilled. I believe people need to be directed, but the employees should only be directed and not provided with the entire details. Numerous individuals perform best when acting as advisers however they are not able to take the pressure & burden of making decisions (Drucker, 2005). I don’t consider it as pressure or burden for assuming the leadership role. Though, I have seen that I often don’t take the role of leadership voluntarily, in order to avoid any conflict that could possibly later arise. Time according to Drucker (2002) is amongst the scarcest resource, which unless managed, nothing would be managed which I think I have to work on slightly. I also believe I am an ethical leader and have the ability of maintaining confidentiality and firmly believe in integrity. Anyone working with me and for me mostly trusts me. A leader must be courageous and also should be daring enough to be different. I believe I am innovative and often try doing things differently in a manner in which I believe.
Having compassion as well as passion is a must for leaders. As a leader I care about my team as along with the business. I also enjoy seeing my team grow in their respective careers as I am passionate. I believe in a participative leadership style in line with Theory Y of McGregor’s (1960) Theory X and Theory Y. A leader should be an effective coach. A leader must be able to enhance their subordinates’ performance. I believe I have the ability of assisting all employees, irrespective of the performance they show, and assist them in attaining higher levels, as leaders possess the ability of creating a professional as well as stress-free work atmosphere for my teams. Thus I can say I am a transformational leader.
RECOMMENDATIONS TO DEVELOP MY LEADERSHIP SKILLS AND TECHNIQUES
Though a consider myself a capable leader there is still room for a lot of leadership skill development. Lum (2011) has provided some simple methods for personal leadership development:
Reflecting on your-self: To develop leadership qualities, I need to formulate a solid vision of myself, which I currently lack, and start living as a leader for this vision to become a reality. Hence I need to better understand myself and access how I desire influencing others.
Understanding one’s base: It is necessary to know what others think regarding my leadership style. This can prove very informative for making changes in the manner one influences. Hence I would carry out a 360° feedback evaluation of myself from the peers, friends and supervisors to help me improve on my shortcomings.
Trusting and Empowering: An integral portion to become good leader is gaining creative followers, which includes respecting the team’s capabilities through delegation of tasks. As a leader I must know that an individual will not be able to give his best if there is a feeling of weakness, incompetency or alienation among the employees. As I leader I need to ensure that the subordinates have an ownership feeling.
Venturing out: Leaders intend on seeking and accepting challenges. At present I don’t take risks and don’t voluntarily assume a leadership role. I need to be more eager for taking risks, innovation, and experimentation for finding new as well as better ways to do things.
Leading by example: Taking the opportunity of learning about the followers or subordinates and learning their career goals. As I leader I must acquire this ability and need to learn how to devote time for mentoring others and demonstrating effective ethics of business.
Setting definitive goals: A leader should know where his destination is and thereafter should formulate a plan for reaching there. For improving my leadership skills, I would have too first set particular life goals along with realistic timelines and thereby develop action plans which would facilitate direction toward these goals.
Maintaining positive attitude: Individuals would be naturally attracted if the leader possesses positive attitude, hence I need to take a more positive approach in future.
Developing effective skills of communication: Having excellent leadership skills comprises to the ability of clearly as well as specifically communicating your vision, skills, intentions, goals, expectations and objectives to others.
Willing to admit to weaknesses and failures: Great leaders choose subordinates who would fill their own drawbacks. As a successful leader I must learn to acknowledge that no one is perfect and that key to attain success is learning from the mistakes rather than avoiding failures. A true leader continues to improve in each possible way.
EMOTIONAL INTELLIGENCE
Salovey and Mayer (1990) first used the term emotional intelligence. It refers to the ability of managing relationships and feelings. Emotional intelligence comprises of interpersonal and intrapersonal intelligences (Gardner, 1993). Emotional intelligence according to (Mayer & Cobb, 2000) necessitates abstract reasoning, which includes the ability of perceiving and understanding emotion, as well as the ability of understanding how emotions influence and assist thought.
Five skills are said to be involved with emotional intelligence which include: being cognizant of your emotions, managing these emotions, ability to motivate oneself, empathizing, as well as relating well along with others group members (Goleman, 1995). These skills according to him could be learned similar to any subject. Through modeling, coaching and direct instruction, teachers could help students in learning to monitor one’s positive & negative feelings, handling frustrations & difficulties calmly and not giving up easily, channeling their motivation for learning positive ways, besides relate with others in a supporting way.
CHANGE MANAGEMENT
Change management refers to a structured method to transition organizations, teams and individuals from an existing state to the desired future condition, for implementing or fulfilling a strategy or vision. Change management denotes an organizational procedure which aims to empower employees for accepting and embracing changes within their prevailing environment. There exist numerous kinds of streams of thinking which have shaped management practices.
Change Management:
- a. As a Systematic Process
Change management as per this thinking denotes the formal organizational change process, which includes a systematic method as well as knowledge application. Change management refers to adopting & defining the corporate strategies, procedures, technologies and structures for dealing with change originating from external & internal conditions (SHRM, 2007).
- b. As a Means of Transitioning People
Lambeth (2007) posits that change management has been considered a key part of all projects which leads, enables and manages people for accepting new processes, systems, structures, technologies and the values. It can also be considered a set of activities which helps individuals transition from current working method to desired working methods.
- c. As a Competitive Tactic
According to Kudray and Kleiner (1997) change management refers to the continuous aligning process of a firm to its marketplace in a more responsive as well as effective manner than competitors.
A change initiative or effort must begin with a defined vision. Change whether stimulated by external factors (such as political, economic, technological, social, legal and environmental) or the internal factors (such as policy, systems, strategies, structure, opportunities or threats), creating a defined vision would clarify the change direction. The vision would furthermore facilitate in motivation of those who are influenced for taking the required action.
Common Obstacles to Change
A study by HBR (Harvard Business Review) in 2006 found that 66 percent of the change initiatives are unsuccessful in achieving their desired outcomes (c.f. Human resources, 2011). The 5 most common change obstacles are illustrated in the figure below. The three encircled obstacles in the figure include those which a leader, could impact and improve.
Source: Human resources (2011)
OVERVIEW OF THE LEADER’S ROLE FOR MANAGING CHANGE
Given the above obstacles, leaders play a pivotal role to manage change. The following chart provided below provides a brief overview as to how a leader’s role can influence the obstacle of change.
Source: Human resources (2011)
Why Do Change Efforts Fail?
There could be a considerably negative impact for an organization or a department when the change initiative undertaken fails, or the implementation methods are not planned. According to Kotter (1996) organizations repeatedly commit certain common errors which hinder their efforts of change. Eight such errors common to an organizational change effort along with their consequences have been recognized by Kotter (1996) and are given below:
Source: Kotter (1996)
Change Management Model
Numerous change models are present and have been created over time for providing structure to the change approach. Kotter (1996) has outlined eight vital steps during an organizational transformation or change. Its principles form the core for a successful change initiative.
Source: Kotter et al. (2002) “Change Management Model”
Communication Strategy
The significance of formulating a well-planned communications strategy has often been overlooked when initiating a change process. Effective communication at the time of a change initiative would serve in providing employees with accurate and timely information, which could have a positive influence on whether a firm could maintain employee morale & productivity and overcome change resistance (Kotter et al., 2002). The 5 areas which outline the questions as well as key information a leader must consider when creating and conveying the communications strategy formulated for informing and guiding employees through the change process include formulating a strategy, involving the chief Stakeholders in the communications process, determining the communication content, identifying the most effective channels of communication and to ensure follow up.
CHANGE RESISTANCE
Resistance to the change process is the biggest obstacle which leaders face during a change process. It could be very detrimental to the change process and could potentially hinder the efforts of moving forward. There are numerous reasons for an employee to resist change, hence and the change leaders would require becoming sensitive as to how the individuals respond whereas bearing in mind that commitment & acceptance process takes time.
A leader would likely require dealing with the negative change effects. The table below provides reasons as to why employees might resist change along with the strategies which change leaders can use for reducing that resistance (Corporate Executive Board, 2008).
Source: Corporate Executive Board (2008)
Resistance might be because of fear of unacceptability. Every time change implementation takes place in a firm, employees have to toil hard for adapting to the change. The changes would also facilitate growth & development of employees. The fear of insecurity & unknown is high as employees may believe that they could lose their control over the organizational environment. Generally different employees would react differently towards change management. The reactions would differ with an individual’s personality. For instance, an extrovert, aggressive person who seeks growth & development would react positively to organizational change implementation instead of a person who is an introvert desires staying in his/her comfort zone. The firm’s management must understand the above factors at the time of change implementation as it would facilitate in effective change communication.
CHANGE MANAGEMENT IN BRITISH AIRWAYS
British Airways (BA) adopted bureaucratic functioning style owing to its enormous size and had been criticized for not providing timely services. Dessler (1997) states privatization imbued democratic changes along with uncompromising service driven as well as market driven answerability.
BA has successfully implemented the change management process. In 1981 when BA was not performing well a new appointment of chairperson was made. There various problem included reducing profits, rising costs and poor management. The service that was provided by BA was poor; consumers were facing issues of delays and late arrivals besides being listed as amongst the worst carriers. Hence the newly appointed chairperson decided on implementing the system of change management in BA. Change was commenced by a work force reduction of the firm, a major step that attracted resistance. Systematically, for making a profitable organization BA started reducing its workforce. But, before doing this, through a change management leadership, BA’s chairman stated the reasons for privatization & restructuring for preparing employees for the impending change. Gill (2002) states that the chairperson had chosen to communicate the changes and the reasons to the employees. Thus, Scheid (2013) posits that through communication & leadership, the company was directed through a challenging time which could have been otherwise disastrous without efficient change management resistance communication.
People-First Policy: A key strategy adopted by BA for implementing successful organizational change included using a model which places the peoples’ needs as a priority, and helps to understand the significance of employees as well as their customers and keeping their needs before everything else. For becoming the No.1 Airline of the world, British Airways (BA) was propelled with a marketing enthusiasm instead of a process-driven firm. It resulted in creation of human architecture which was well-versed as well as awakened regarding the customer expectations as well as market competitions. Dessler (1997) reports that every individual was provided a target as well as a goal for achieving in the finest possible manner for making the carrier the world best.
Managing People: To bring the vision to the employees as well as top management of the British Airways, movement was vital as stressed by Kotter et al. (2002) in the change management model. Training programs were introduced to manage people at managerial level. They then were trained with strict feedback. It gave way to a new leadership mode which envisaged customer being the king and to retain a customer focused revenue model.
The promotion of employees was considering the values & competency which were allocated high priority.
Organisational Culture: The organizational culture of British Airways was essential for differentiating among competition. It started to position a changed culture of faith, worship and belief. British Airways according to Mabey & Salaman (1998) combined traditional values, beliefs and attitudes for attracting people with revered attraction modes, for enabling this new culture for prevailing and pervading in everything.
Lewin’s Change Model
Lewin (1951) posits there are 3 stages of organizational change which can impact positively as well as negatively affecting the organisational structure and employees which include:
- Unfreezing: it involves reduction of forces which maintaining the behavior of the firm at its current level.
- Movement: it involves implementing the actual changes which would move the firm to another response level.
- Refreezing: this stage encompasses institutionalizing or stabilizing or these changes through establishment of a system (like norms, structures and policies) which make such behavioral patterns comparatively safe against change i.e. integration of changes.
LEWIN’s CHANGE MODEL IN BRITISH AIRWAYS
Unfreezing Stage: This stage involved an organisational change which affected on an individual level. BA implemented workforce downsizing policy for organizational restructuring by reducing the workforce to 35,000 from 52,300. This policy led to reduction in hierarchical levels, providing greater autonomy to individuals facilitating in completing assigned task more easily thus improving organisation performance (Raktabutr, 2006). Downsizing policy was carried out with empathy. Early retirement was also introduced for reducing number of employees which received a great response. Moreover, top management of BA was also overhauled which lead to old corporate BA culture being replaced with a new culture that lay greater emphasis on customer service and marketing. This stage was supported by the introduction of new training approaches like “Managing People First” & “Putting People First” to assist managers and line workers in understanding the airline industry services’ nature (Raktabutr, 2006).
Movement Stage: In this phase, BA developed programs for bringing the vision from top management to bottom-line employees across the firm. Accordingly, several internal British Airways systems & structures were changed like new bonus system introduction and opening Terminal 4 at the Heathrow airport. Moreover, BA invested in increasing and integrating staff training.
Refreezing Stage: For stabilizing changes a fresh performance appraisal mechanism was created on the basis of behavior & results for emphasizing subordinate development and customer service (Raktabutr, 2006). Furthermore, in support of certain changes ware also implemented including new uniforms, refurbished aircrafts and a new slogan “We fly to serve”, etc.
RECOMMENDATIONS BASED ON THE LESSONS LEARN FORM BA’s CHANGE MANAGEMENT FOR EFFECTIVE FUTURE CHANGE MANGEMENT PROCESS
- The key lesson which can be learnt from the BA’s case is the requirement of interactive strategy which as a leader I must focus
- The case stresses that a as a leader must be more interactive more instead of proactive.
- The case has also helped me in understanding the employee resistance reasons. Also employees with different personality would resist differently with respect to change management which I must keep in mind.
- The case also stresses the role of effective communication which is extremely vital for a successful change implementation.
CONCLUSION
Leadership is a process through which a person influences an individual or a group for achieving a common objective or goal. It was assumed that using Trait approach of leadership critical traits of leadership could be extracted and that individuals with these traits could be then recruited and selected into the leadership positions. A few leaders possessed some traits but absence of other traits did not essentially signify that the individual wasn’t a leader. There was no method for measuring traits like honesty, integrity, diligence or loyalty hence, there was a need of another leadership approach and the focus shifted to behavioural theories. It could be observed that leaders upholding assumptions of McGregor’s Theory X will prefer autocratic style of leadership, whereas leaders upholding assumptions of McGregor’s Theory Y would mostly prefer a participative leadership style. I see myself as a capable leader. I believe I am innovative and often try doing things differently in a manner in which I believe. Having compassion as well as passion is a must for leaders. As a leader I care about my team as along with the business. The steps I need to follow to develop my leadership skills include reflecting on your-self, understanding the base, Trusting and Empowering, Venturing out, Leading by example, Setting definitive goals, Maintaining positive attitude and Willing to admit to weaknesses and failures. Emotional intelligence necessitates abstract reasoning, which includes the ability of perceiving and understanding emotion, as well as the ability of understanding how emotions influence and assist thought. Change management refers to a structured method to transition organizations, teams and individuals from an existing state to the desired future condition, for implementing or fulfilling a strategy or vision. Given the above obstacles during a change, leaders play a pivotal role to manage change. Organizations repeatedly commit certain common errors which hinder their efforts of change. Effective communication at the time of a change initiative would serve in providing employees with accurate and timely information, which could have a positive influence on whether a firm could maintain employee morale & productivity and overcome change resistance. Resistance to the change process is the biggest obstacle which leaders face during a change process. There are numerous reasons for an employee to resist change, hence and the change leaders would require becoming sensitive as to how the individuals respond whereas bearing in mind that commitment & acceptance process takes time. BA changed from a bureaucratic style of management to a customer centric approach. Training programs were introduced to manage people at managerial level. It gave way to a new leadership mode which envisaged customer being the king and to retain a customer focused revenue model. British Airways combined traditional values, beliefs and attitudes for attracting people with revered attraction modes, for enabling this new culture for prevailing and pervading in everything.
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