Learning From Jobs, Gates, Bezos and Teerlink
There are various issues and considerations existing in the leadership literature as the core of the criticism in the literature is that organizations of all sorts (corporations, government agencies, and non-profit organizations) tend to be over-managed (and, in some cases, over-administrated) and under-led.
Reading all the books on leadership today will cover the gamut of Shakespeare to Geronimo. Not to say that these authors, leaders, and thinkers do not have anything good to say about leadership. It is just that the plethora of leadership literature has sent mixed signals to corporate leaders. What we know is the managers may be doing things right but exemplary leaders are doing the right things. If you agree, even slightly, with this concept, then this article is designed, developed, and created for you.
One example of the globe’s best leaders comes from CEO Rich Teerlink, who dramatically changed Harley-Davidson in the 1980s, and fundamentally built a different organization that still prospers today. The success of leadership at the Harley-Davidson Corporation has stood the test of time. For example, Harley-Davidson’s leadership created a more effective organization built upon three primary principles, focusing on people, challenging norms, and continuing to fundamentally change. At Harley, every employee can participate in leadership decision-making.
Another example of corporate leaders in a highly competitive environment is the late Steve Jobs, co-founder of Apple Inc., who built a highly effective organization through taking a change-oriented leadership approach, which highly manifested itself in talent, product, organization, and marketing. As a result, leadership, being the core of management, is crucial to company’s success – both from a performance and management level.
The evidence from these examples suggests that leadership is highly demanding at the corporate level. For organizations to achieve a sustained change and eventually a higher degree of efficiency and effectiveness, selecting a great corporate leader is the key to success. In the absence of leadership, organizations lose their required direction to achieve a high degree of hyper-competitiveness, and cannot implement successful change in order to adapt with today’s global business environment.
As corporate leaders attempt to manage people they find that intellectual capital is the in the forefront of success: Bill Gates, as an exemplary leader, once mentioned that if he lost his top 50 people that he would not have an organization anymore. Corporate leaders develop organizational communications aimed at providing valuable resources for all organizational members. They enhance knowledge sharing among intellectual capital and stipulate knowledge to be shared around the organization.
Sharing the best practices and experiences could positively impact some aspects of non-financial performance such as innovation, providing learning and growth opportunities for employees. Empowered employees can enable organizations to actively respond to environmental changes, which can in turn enhance performance in terms of return on assets and return on sales.
The outcome is success which narrows the gap between success and failure and this can be achieved by the commitment of organizational members and facilitated by corporate leader. When corporate leaders show concern for the employee’s individual needs, individuals begin to contribute more commitment and they become more inspired them to put extra effort into their work. This extra effort improves customer satisfaction and impacts shareholder value and improves operational risk management.
Corporate strategy can be also employed by incredibly successful leaders, such as Jeff Bezos, to enhance goal achievement. Prominent scholars that are well known in the Academy of Management, one of the largest leadership and management organizations in the world say that successful organizations enhance their competitiveness by focusing on corporate strategy. Leaders find that corporate strategy is the in the forefront of success. Corporate strategy could be the most important component of success in this ever changing business environment of today. This, by far, is why some organizations are successful and some are not. The key take-away for executives is that corporate strategy is a resource that enables organizations to solve problems and create value through improved performance and it is this point that will narrow the gaps of success and failure leading to more successful decision-making.
Evidently, executives that implement corporate strategy as an important driving force for business success find their organization to be more competitive and on the cutting edge. Thus, the effectiveness of corporate strategy implementation is determined by a set of critical success factors, one of which is the strategic dimension of corporate leadership. And the burden of success when the implementation of corporate strategy is concerned is heavily dependent on the capabilities of the organization’s leaders. Therefore, the outcome is success which narrows the gap between success and failure and this can be achieved by corporate strategy implementation and facilitated by an executive following Jeff Bezos and acting as a leader.
Many executives are familiar with leadership surveys developed by scholars and this article is not about measuring aptitude or defining leadership styles. It is about getting the information needed to be successful in the right hands of executives worldwide and how executives can lead by examples.
Executives can now see that corporate leaders can, in fact, make a fundamental change in the processes by which governmental and business organizations serve their clients. And success can be more effective when leadership is applied to change attitudes and assumptions. Without a grasp on this one tenet executives are bound to fail.
Mostafa Sayyadi is with the Institute of Management Consultants, Victoria, Australia