Deck 5: Dyadic Role Making, Attributions, and Followership
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Deck 5: Dyadic Role Making, Attributions, and Followership
1
Alan Mulally, the CEO of Ford Motor Co., has become one of the world's most admired business executives for his accomplishments in recapturing some of the past glory of Ford, as well as U.S. manufacturing. Mulally has played a key role in two different industries. As the president of the commercial airplane business at Boeing in the late 1990s, he revitalized the company including a major thrust into digital technology. He also helped the company survive the aftermath of the terrorist attack of September 11, 2001, which heavily set back the aerospace industry.
Mulally was hired as CEO of Ford in 2006, to help turn around the company, at a time when Ford was on the verge of collapse. One of Mulally's first giant moves was to borrow $23 billion by putting up Ford's assets as collateral. The purpose of the loan was to give the company enough cash to survive until its cash-flow position improved. The huge loan enabled the company to avoid bankruptcy and a federal government bailout. As a result goodwill improved, and consumers were attracted to the brand in increasing numbers. A few years later, Mulally bought back $10 billion of the debt at a large discount. By 2010 it appeared that Ford was once again a stable, profitable company.
As part of the revitalization of Ford, Mulally had to call for some drastic action. He laid off about one-half the company workforce, and then reduced the compensation-both pay and benefits-for the survivors. Another key part of the turnaround plan was to create global heads of manufacturing, marketing, and product development, thereby contributing to a consolidation labeled "One Ford." Related to creating One Ford was the sale of luxury brands that did not carry the Ford nameplate-Land Rover, Jaguar, and Volvo. The Ford Mercury was discontinued as part of the simplification of the company. On the growth side, Mulally spearheaded the move to restore the Ford Taurus model.
Mulally's problem-solving approach includes analyzing massive amounts of data, then reducing the data to a simplified and clear plan. He presents the entire Ford strategy, including its products and operating plan, on about one-and-one half pages. The plan includes four goals or expected behaviors: (1) Foster functional and technical excellence, (2) own working together, (3) role model Ford values, and (4) deliver results. Each goal is explained in more detail; for example, a sub-goal under (1) is "know and have a passion for our business and our customers."
As part of Mulally's disciplined thinking, he does not allow distractions in meetings such as side conversations or the use of smart phones. In reference to behavior in a meeting, Mulally says, "If somebody starts to talk or they don't respect each other, the meeting stops."
Despite his good-natured demeanor, Mulally can be confrontational, particularly for the purpose of stimulating the thinking of others. During the formulation of turnaround plans, Mulally pored over the Ford profitand- loss statement, and said to his team, "You know, you guys lost $14 billion last year. Is there anything not going well here?"
To what extent does Mulally make use of his cognitive skills as a leader?
Mulally was hired as CEO of Ford in 2006, to help turn around the company, at a time when Ford was on the verge of collapse. One of Mulally's first giant moves was to borrow $23 billion by putting up Ford's assets as collateral. The purpose of the loan was to give the company enough cash to survive until its cash-flow position improved. The huge loan enabled the company to avoid bankruptcy and a federal government bailout. As a result goodwill improved, and consumers were attracted to the brand in increasing numbers. A few years later, Mulally bought back $10 billion of the debt at a large discount. By 2010 it appeared that Ford was once again a stable, profitable company.
As part of the revitalization of Ford, Mulally had to call for some drastic action. He laid off about one-half the company workforce, and then reduced the compensation-both pay and benefits-for the survivors. Another key part of the turnaround plan was to create global heads of manufacturing, marketing, and product development, thereby contributing to a consolidation labeled "One Ford." Related to creating One Ford was the sale of luxury brands that did not carry the Ford nameplate-Land Rover, Jaguar, and Volvo. The Ford Mercury was discontinued as part of the simplification of the company. On the growth side, Mulally spearheaded the move to restore the Ford Taurus model.
Mulally's problem-solving approach includes analyzing massive amounts of data, then reducing the data to a simplified and clear plan. He presents the entire Ford strategy, including its products and operating plan, on about one-and-one half pages. The plan includes four goals or expected behaviors: (1) Foster functional and technical excellence, (2) own working together, (3) role model Ford values, and (4) deliver results. Each goal is explained in more detail; for example, a sub-goal under (1) is "know and have a passion for our business and our customers."
As part of Mulally's disciplined thinking, he does not allow distractions in meetings such as side conversations or the use of smart phones. In reference to behavior in a meeting, Mulally says, "If somebody starts to talk or they don't respect each other, the meeting stops."
Despite his good-natured demeanor, Mulally can be confrontational, particularly for the purpose of stimulating the thinking of others. During the formulation of turnaround plans, Mulally pored over the Ford profitand- loss statement, and said to his team, "You know, you guys lost $14 billion last year. Is there anything not going well here?"
To what extent does Mulally make use of his cognitive skills as a leader?
not answer
2
Jessica Perez is the manager of a thriving Red Rascal Restaurant, a chain of several hundred moderately priced restaurants throughout the country. Jessica recently returned from a regional conference in which she was informed about a new program of recruiting several developmentally disabled workers to work at each restaurant. The restaurants would work closely with local institutions that provided vocational training for individuals who are intellectually challenged. In many of the communities these institutions coordinate their effort with both psychology and special education departments at local colleges.
The developmentally disabled workers would be hired into basic positions that fit their capabilities, such as salad chefs, bakers, dishwashing-machine attendants, and custodial workers. Restaurant (store) managers would receive training into how to optimize the capabilities of developmentally disabled workers, as well as how to motivate or discipline the workers as needed.
Three months after the program was launched, Jessica's branch had hired three developmentally disabled young adults, all assigned jobs within the kitchen. Jessica spent a little time coaching her kitchen supervisors about supervising developmentally disabled workers. She emphasized the importance of providing clear, uncomplicated directions, and not overwhelming these workers by changing their assignments frequently. As instructed at regional headquarters, Jessica also explained the need to provide positive feedback and encouragement to the intellectually challenged recruits.
The program of hiring a few developmentally disabled kitchen workers appeared to be going generally well at the Red Rascal. No particular problems with the food prepared by the new workers were found, food preparation was not delayed, and their attendance was satisfactory. Yet as Jessica listened to several of the restaurant associates, the wait staff and kitchen staff included, she heard some grumbling. Head chef Tammy expressed her concerns in these terms: "I'm not exactly sure why this is happening, but these days my supervisor is treating me like I'm 10 years old. She's so condescending, and she tells me what she wants done in tiny details. I asked Mindy (the supervisor) to taste a new salad dressing I prepared. She told me, 'Tammy, I'm so proud of you. You did a great job.' I mean, she's acting like I'm stupid or something."
Kurt, the host, made a similar comment about Jessica. He said, "All of a sudden you're treating me as if I'm a little slow. You made such a fuss just because my shoes were shined and my shirt was wrinkle free. Are you forgetting that I'm not developmentally challenged?" Mindy began to think that maybe there were some supervisory style problems at the Red Rascal.
What's the problem with the kitchen staff and wait staff at the Red Rascal? Shouldn't all workers receive careful instructions, feedback, and encouragement?
The developmentally disabled workers would be hired into basic positions that fit their capabilities, such as salad chefs, bakers, dishwashing-machine attendants, and custodial workers. Restaurant (store) managers would receive training into how to optimize the capabilities of developmentally disabled workers, as well as how to motivate or discipline the workers as needed.
Three months after the program was launched, Jessica's branch had hired three developmentally disabled young adults, all assigned jobs within the kitchen. Jessica spent a little time coaching her kitchen supervisors about supervising developmentally disabled workers. She emphasized the importance of providing clear, uncomplicated directions, and not overwhelming these workers by changing their assignments frequently. As instructed at regional headquarters, Jessica also explained the need to provide positive feedback and encouragement to the intellectually challenged recruits.
The program of hiring a few developmentally disabled kitchen workers appeared to be going generally well at the Red Rascal. No particular problems with the food prepared by the new workers were found, food preparation was not delayed, and their attendance was satisfactory. Yet as Jessica listened to several of the restaurant associates, the wait staff and kitchen staff included, she heard some grumbling. Head chef Tammy expressed her concerns in these terms: "I'm not exactly sure why this is happening, but these days my supervisor is treating me like I'm 10 years old. She's so condescending, and she tells me what she wants done in tiny details. I asked Mindy (the supervisor) to taste a new salad dressing I prepared. She told me, 'Tammy, I'm so proud of you. You did a great job.' I mean, she's acting like I'm stupid or something."
Kurt, the host, made a similar comment about Jessica. He said, "All of a sudden you're treating me as if I'm a little slow. You made such a fuss just because my shoes were shined and my shirt was wrinkle free. Are you forgetting that I'm not developmentally challenged?" Mindy began to think that maybe there were some supervisory style problems at the Red Rascal.
What's the problem with the kitchen staff and wait staff at the Red Rascal? Shouldn't all workers receive careful instructions, feedback, and encouragement?
The kitchen staff of the restaurant faces the problem of over supervision and over encouragement. The new style of leadership started off with recruitment of new developmentally disabled employees. However, the same style was applied to old employees who didn't require constant appreciation and supervision. This in turn made them feel childish which is not appreciated by them.
All the workers of an organization should receive similar treatment from the supervisor and mentors. However, in the mentioned case it will be ineffective for managers and supervisors to treat normal employees similar to developmentally disabled. This will make them feel frustrated and would thereby affect their performance.
Thus, it is advised that managers and supervisor should perform detailed analysis and thereby formulate the strategy to provide feedback and instructions to employees according to their intellect. Also the encouragement style should vary accordingly.
All the workers of an organization should receive similar treatment from the supervisor and mentors. However, in the mentioned case it will be ineffective for managers and supervisors to treat normal employees similar to developmentally disabled. This will make them feel frustrated and would thereby affect their performance.
Thus, it is advised that managers and supervisor should perform detailed analysis and thereby formulate the strategy to provide feedback and instructions to employees according to their intellect. Also the encouragement style should vary accordingly.
3
Brian Casey is the CEO of Builder Electro, a medium size company that manufactures and sells electronic products to the construction industry. Some of Builder Electro's products are sold in home improvement and hardware stores. The most successful product is a quartz heater that builders use when working in an unheated area, such as a garage or house under construction. Another successful product line is battery-operated drills and screwdrivers.
Casey has recently noticed some disturbing mentions of the company and its personnel on social networking sites, particularly Twitter. Some of the postings are favorable in reference to the company, such as "Had another great day doing my best for Builder Electro." Some of the unfavorable tweets are offensive to the company, and are potentially offensive to its reputation. Two examples: "Frostbite can result from using a Builder Electro space heater," and "Meet the Worst Boss of the Year at Builder Electro." Most of the offensive tweets appear to have been posted by company employees.
Brian Casey is convinced that action needs to be taken to stop the negative postings about Builder Electro. Yet he is also concerned about creating an environment in which dissent and free speech are suppressed. Casey's first thought was to consult with the company's legal counsel and then announce a company policy about Internet postings by employees that are derogatory toward the company. Many companies have such policies so an effective policy could be basically taken off the shelf. Casey thought that the entire issue of negative postings about the company could then be settled in a few days.
Casey then sent an e-mail to Naomi Colbert, the director of human resources, explaining his decision about how to curb negative tweets about Builder Electro. Naomi responded that Brian should wait before making such a big decision. She suggested specifically, "Brian, I think you should hold a series of meetings with all the vice presidents and directors before establishing a policy about these negative posts. We are talking about a complicated issue."
Brian was perplexed. He thought he could establish a policy about negative tweets quite quickly. Now he wondered if he should involve the entire executive team in making the decision.
To what extent is Casey attempting to block an employee's right to freedom of speech?
Casey has recently noticed some disturbing mentions of the company and its personnel on social networking sites, particularly Twitter. Some of the postings are favorable in reference to the company, such as "Had another great day doing my best for Builder Electro." Some of the unfavorable tweets are offensive to the company, and are potentially offensive to its reputation. Two examples: "Frostbite can result from using a Builder Electro space heater," and "Meet the Worst Boss of the Year at Builder Electro." Most of the offensive tweets appear to have been posted by company employees.
Brian Casey is convinced that action needs to be taken to stop the negative postings about Builder Electro. Yet he is also concerned about creating an environment in which dissent and free speech are suppressed. Casey's first thought was to consult with the company's legal counsel and then announce a company policy about Internet postings by employees that are derogatory toward the company. Many companies have such policies so an effective policy could be basically taken off the shelf. Casey thought that the entire issue of negative postings about the company could then be settled in a few days.
Casey then sent an e-mail to Naomi Colbert, the director of human resources, explaining his decision about how to curb negative tweets about Builder Electro. Naomi responded that Brian should wait before making such a big decision. She suggested specifically, "Brian, I think you should hold a series of meetings with all the vice presidents and directors before establishing a policy about these negative posts. We are talking about a complicated issue."
Brian was perplexed. He thought he could establish a policy about negative tweets quite quickly. Now he wondered if he should involve the entire executive team in making the decision.
To what extent is Casey attempting to block an employee's right to freedom of speech?
If the company put in place the policy which restricts employees from posting their views on social media would restrict their right to speech and expression. However, it is the moral responsibility of employees not to speak negatively about the company over social platforms. This will affect the market position of company and in turn would affect the employees as well.
Hence, if the company restricts its employees from posting negative comments it is correct on its part. However, such attitude may create negative impression not among employees but also amongst others who would come to know about ban on expression of speech. This will hamper the brand value of the company.
Hence, it is advised that the company should follow contingency leadership and resolve the problem.
Hence, if the company restricts its employees from posting negative comments it is correct on its part. However, such attitude may create negative impression not among employees but also amongst others who would come to know about ban on expression of speech. This will hamper the brand value of the company.
Hence, it is advised that the company should follow contingency leadership and resolve the problem.
4
To view the videos for this activity, you'll need access to the CourseMate that is available for this text. To get access, visit www.CengageBrain.com. After watching "Preserve by Recycline," answer the following questions.
How is the external environment of Recycline changing? Explain.
How is the external environment of Recycline changing? Explain.
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5
How might a leader modify the clothing he or she wore to different work situations to help practice contingency leadership?
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6
Visualize yourself preparing a job résumé with the intent of finding a leadership position in business. Explain whether or not you would include on your résumé the fact that you practice contingency leadership.
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7
How would a manager know which variables in a given situation should influence which approach to leadership he or she should take?
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8
Alan Mulally, the CEO of Ford Motor Co., has become one of the world's most admired business executives for his accomplishments in recapturing some of the past glory of Ford, as well as U.S. manufacturing. Mulally has played a key role in two different industries. As the president of the commercial airplane business at Boeing in the late 1990s, he revitalized the company including a major thrust into digital technology. He also helped the company survive the aftermath of the terrorist attack of September 11, 2001, which heavily set back the aerospace industry.
Mulally was hired as CEO of Ford in 2006, to help turn around the company, at a time when Ford was on the verge of collapse. One of Mulally's first giant moves was to borrow $23 billion by putting up Ford's assets as collateral. The purpose of the loan was to give the company enough cash to survive until its cash-flow position improved. The huge loan enabled the company to avoid bankruptcy and a federal government bailout. As a result goodwill improved, and consumers were attracted to the brand in increasing numbers. A few years later, Mulally bought back $10 billion of the debt at a large discount. By 2010 it appeared that Ford was once again a stable, profitable company.
As part of the revitalization of Ford, Mulally had to call for some drastic action. He laid off about one-half the company workforce, and then reduced the compensation-both pay and benefits-for the survivors. Another key part of the turnaround plan was to create global heads of manufacturing, marketing, and product development, thereby contributing to a consolidation labeled "One Ford." Related to creating One Ford was the sale of luxury brands that did not carry the Ford nameplate-Land Rover, Jaguar, and Volvo. The Ford Mercury was discontinued as part of the simplification of the company. On the growth side, Mulally spearheaded the move to restore the Ford Taurus model.
Mulally's problem-solving approach includes analyzing massive amounts of data, then reducing the data to a simplified and clear plan. He presents the entire Ford strategy, including its products and operating plan, on about one-and-one half pages. The plan includes four goals or expected behaviors: (1) Foster functional and technical excellence, (2) own working together, (3) role model Ford values, and (4) deliver results. Each goal is explained in more detail; for example, a sub-goal under (1) is "know and have a passion for our business and our customers."
As part of Mulally's disciplined thinking, he does not allow distractions in meetings such as side conversations or the use of smart phones. In reference to behavior in a meeting, Mulally says, "If somebody starts to talk or they don't respect each other, the meeting stops."
Despite his good-natured demeanor, Mulally can be confrontational, particularly for the purpose of stimulating the thinking of others. During the formulation of turnaround plans, Mulally pored over the Ford profitand- loss statement, and said to his team, "You know, you guys lost $14 billion last year. Is there anything not going well here?"
What evidence do you observe that Alan Mulally can adapt to the situation?
Mulally was hired as CEO of Ford in 2006, to help turn around the company, at a time when Ford was on the verge of collapse. One of Mulally's first giant moves was to borrow $23 billion by putting up Ford's assets as collateral. The purpose of the loan was to give the company enough cash to survive until its cash-flow position improved. The huge loan enabled the company to avoid bankruptcy and a federal government bailout. As a result goodwill improved, and consumers were attracted to the brand in increasing numbers. A few years later, Mulally bought back $10 billion of the debt at a large discount. By 2010 it appeared that Ford was once again a stable, profitable company.
As part of the revitalization of Ford, Mulally had to call for some drastic action. He laid off about one-half the company workforce, and then reduced the compensation-both pay and benefits-for the survivors. Another key part of the turnaround plan was to create global heads of manufacturing, marketing, and product development, thereby contributing to a consolidation labeled "One Ford." Related to creating One Ford was the sale of luxury brands that did not carry the Ford nameplate-Land Rover, Jaguar, and Volvo. The Ford Mercury was discontinued as part of the simplification of the company. On the growth side, Mulally spearheaded the move to restore the Ford Taurus model.
Mulally's problem-solving approach includes analyzing massive amounts of data, then reducing the data to a simplified and clear plan. He presents the entire Ford strategy, including its products and operating plan, on about one-and-one half pages. The plan includes four goals or expected behaviors: (1) Foster functional and technical excellence, (2) own working together, (3) role model Ford values, and (4) deliver results. Each goal is explained in more detail; for example, a sub-goal under (1) is "know and have a passion for our business and our customers."
As part of Mulally's disciplined thinking, he does not allow distractions in meetings such as side conversations or the use of smart phones. In reference to behavior in a meeting, Mulally says, "If somebody starts to talk or they don't respect each other, the meeting stops."
Despite his good-natured demeanor, Mulally can be confrontational, particularly for the purpose of stimulating the thinking of others. During the formulation of turnaround plans, Mulally pored over the Ford profitand- loss statement, and said to his team, "You know, you guys lost $14 billion last year. Is there anything not going well here?"
What evidence do you observe that Alan Mulally can adapt to the situation?
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9
Which of the four path-goal styles do you think would be the best for managing a professional football or professional soccer team? Justify your answer.
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10
Jessica Perez is the manager of a thriving Red Rascal Restaurant, a chain of several hundred moderately priced restaurants throughout the country. Jessica recently returned from a regional conference in which she was informed about a new program of recruiting several developmentally disabled workers to work at each restaurant. The restaurants would work closely with local institutions that provided vocational training for individuals who are intellectually challenged. In many of the communities these institutions coordinate their effort with both psychology and special education departments at local colleges.
The developmentally disabled workers would be hired into basic positions that fit their capabilities, such as salad chefs, bakers, dishwashing-machine attendants, and custodial workers. Restaurant (store) managers would receive training into how to optimize the capabilities of developmentally disabled workers, as well as how to motivate or discipline the workers as needed.
Three months after the program was launched, Jessica's branch had hired three developmentally disabled young adults, all assigned jobs within the kitchen. Jessica spent a little time coaching her kitchen supervisors about supervising developmentally disabled workers. She emphasized the importance of providing clear, uncomplicated directions, and not overwhelming these workers by changing their assignments frequently. As instructed at regional headquarters, Jessica also explained the need to provide positive feedback and encouragement to the intellectually challenged recruits.
The program of hiring a few developmentally disabled kitchen workers appeared to be going generally well at the Red Rascal. No particular problems with the food prepared by the new workers were found, food preparation was not delayed, and their attendance was satisfactory. Yet as Jessica listened to several of the restaurant associates, the wait staff and kitchen staff included, she heard some grumbling. Head chef Tammy expressed her concerns in these terms: "I'm not exactly sure why this is happening, but these days my supervisor is treating me like I'm 10 years old. She's so condescending, and she tells me what she wants done in tiny details. I asked Mindy (the supervisor) to taste a new salad dressing I prepared. She told me, 'Tammy, I'm so proud of you. You did a great job.' I mean, she's acting like I'm stupid or something."
Kurt, the host, made a similar comment about Jessica. He said, "All of a sudden you're treating me as if I'm a little slow. You made such a fuss just because my shoes were shined and my shirt was wrinkle free. Are you forgetting that I'm not developmentally challenged?" Mindy began to think that maybe there were some supervisory style problems at the Red Rascal.
What does the restaurant scenario presented above have to do with contingency leadership?
The developmentally disabled workers would be hired into basic positions that fit their capabilities, such as salad chefs, bakers, dishwashing-machine attendants, and custodial workers. Restaurant (store) managers would receive training into how to optimize the capabilities of developmentally disabled workers, as well as how to motivate or discipline the workers as needed.
Three months after the program was launched, Jessica's branch had hired three developmentally disabled young adults, all assigned jobs within the kitchen. Jessica spent a little time coaching her kitchen supervisors about supervising developmentally disabled workers. She emphasized the importance of providing clear, uncomplicated directions, and not overwhelming these workers by changing their assignments frequently. As instructed at regional headquarters, Jessica also explained the need to provide positive feedback and encouragement to the intellectually challenged recruits.
The program of hiring a few developmentally disabled kitchen workers appeared to be going generally well at the Red Rascal. No particular problems with the food prepared by the new workers were found, food preparation was not delayed, and their attendance was satisfactory. Yet as Jessica listened to several of the restaurant associates, the wait staff and kitchen staff included, she heard some grumbling. Head chef Tammy expressed her concerns in these terms: "I'm not exactly sure why this is happening, but these days my supervisor is treating me like I'm 10 years old. She's so condescending, and she tells me what she wants done in tiny details. I asked Mindy (the supervisor) to taste a new salad dressing I prepared. She told me, 'Tammy, I'm so proud of you. You did a great job.' I mean, she's acting like I'm stupid or something."
Kurt, the host, made a similar comment about Jessica. He said, "All of a sudden you're treating me as if I'm a little slow. You made such a fuss just because my shoes were shined and my shirt was wrinkle free. Are you forgetting that I'm not developmentally challenged?" Mindy began to think that maybe there were some supervisory style problems at the Red Rascal.
What does the restaurant scenario presented above have to do with contingency leadership?
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11
To what extent do you think that battlefield experience would help a person become an effective crisis leader in a business situation?
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12
Brian Casey is the CEO of Builder Electro, a medium size company that manufactures and sells electronic products to the construction industry. Some of Builder Electro's products are sold in home improvement and hardware stores. The most successful product is a quartz heater that builders use when working in an unheated area, such as a garage or house under construction. Another successful product line is battery-operated drills and screwdrivers.
Casey has recently noticed some disturbing mentions of the company and its personnel on social networking sites, particularly Twitter. Some of the postings are favorable in reference to the company, such as "Had another great day doing my best for Builder Electro." Some of the unfavorable tweets are offensive to the company, and are potentially offensive to its reputation. Two examples: "Frostbite can result from using a Builder Electro space heater," and "Meet the Worst Boss of the Year at Builder Electro." Most of the offensive tweets appear to have been posted by company employees.
Brian Casey is convinced that action needs to be taken to stop the negative postings about Builder Electro. Yet he is also concerned about creating an environment in which dissent and free speech are suppressed. Casey's first thought was to consult with the company's legal counsel and then announce a company policy about Internet postings by employees that are derogatory toward the company. Many companies have such policies so an effective policy could be basically taken off the shelf. Casey thought that the entire issue of negative postings about the company could then be settled in a few days.
Casey then sent an e-mail to Naomi Colbert, the director of human resources, explaining his decision about how to curb negative tweets about Builder Electro. Naomi responded that Brian should wait before making such a big decision. She suggested specifically, "Brian, I think you should hold a series of meetings with all the vice presidents and directors before establishing a policy about these negative posts. We are talking about a complicated issue."
Brian was perplexed. He thought he could establish a policy about negative tweets quite quickly. Now he wondered if he should involve the entire executive team in making the decision.
Advise Brian Casey as to whether he should decide on a policy by himself with respect to employee social media postings that are derogatory toward Builder Electro.
Casey has recently noticed some disturbing mentions of the company and its personnel on social networking sites, particularly Twitter. Some of the postings are favorable in reference to the company, such as "Had another great day doing my best for Builder Electro." Some of the unfavorable tweets are offensive to the company, and are potentially offensive to its reputation. Two examples: "Frostbite can result from using a Builder Electro space heater," and "Meet the Worst Boss of the Year at Builder Electro." Most of the offensive tweets appear to have been posted by company employees.
Brian Casey is convinced that action needs to be taken to stop the negative postings about Builder Electro. Yet he is also concerned about creating an environment in which dissent and free speech are suppressed. Casey's first thought was to consult with the company's legal counsel and then announce a company policy about Internet postings by employees that are derogatory toward the company. Many companies have such policies so an effective policy could be basically taken off the shelf. Casey thought that the entire issue of negative postings about the company could then be settled in a few days.
Casey then sent an e-mail to Naomi Colbert, the director of human resources, explaining his decision about how to curb negative tweets about Builder Electro. Naomi responded that Brian should wait before making such a big decision. She suggested specifically, "Brian, I think you should hold a series of meetings with all the vice presidents and directors before establishing a policy about these negative posts. We are talking about a complicated issue."
Brian was perplexed. He thought he could establish a policy about negative tweets quite quickly. Now he wondered if he should involve the entire executive team in making the decision.
Advise Brian Casey as to whether he should decide on a policy by himself with respect to employee social media postings that are derogatory toward Builder Electro.
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13
Why might a transformational leader be helpful in a crisis?
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14
To view the videos for this activity, you'll need access to the CourseMate that is available for this text. To get access, visit www.CengageBrain.com. After watching "Preserve by Recycline," answer the following questions.
Do you believe Eric Hudson, founder and president of Recycline, uses the contingency approach to leadership? Explain.
Do you believe Eric Hudson, founder and president of Recycline, uses the contingency approach to leadership? Explain.
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15
To what extent do you think most business leaders will ever use experience-based leadership or management?
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16
Describe how it might be possible for a manager to be charismatic yet also practice contingency leadership.
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17
In what way do effective teachers practice contingency leadership?
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18
Alan Mulally, the CEO of Ford Motor Co., has become one of the world's most admired business executives for his accomplishments in recapturing some of the past glory of Ford, as well as U.S. manufacturing. Mulally has played a key role in two different industries. As the president of the commercial airplane business at Boeing in the late 1990s, he revitalized the company including a major thrust into digital technology. He also helped the company survive the aftermath of the terrorist attack of September 11, 2001, which heavily set back the aerospace industry.
Mulally was hired as CEO of Ford in 2006, to help turn around the company, at a time when Ford was on the verge of collapse. One of Mulally's first giant moves was to borrow $23 billion by putting up Ford's assets as collateral. The purpose of the loan was to give the company enough cash to survive until its cash-flow position improved. The huge loan enabled the company to avoid bankruptcy and a federal government bailout. As a result goodwill improved, and consumers were attracted to the brand in increasing numbers. A few years later, Mulally bought back $10 billion of the debt at a large discount. By 2010 it appeared that Ford was once again a stable, profitable company.
As part of the revitalization of Ford, Mulally had to call for some drastic action. He laid off about one-half the company workforce, and then reduced the compensation-both pay and benefits-for the survivors. Another key part of the turnaround plan was to create global heads of manufacturing, marketing, and product development, thereby contributing to a consolidation labeled "One Ford." Related to creating One Ford was the sale of luxury brands that did not carry the Ford nameplate-Land Rover, Jaguar, and Volvo. The Ford Mercury was discontinued as part of the simplification of the company. On the growth side, Mulally spearheaded the move to restore the Ford Taurus model.
Mulally's problem-solving approach includes analyzing massive amounts of data, then reducing the data to a simplified and clear plan. He presents the entire Ford strategy, including its products and operating plan, on about one-and-one half pages. The plan includes four goals or expected behaviors: (1) Foster functional and technical excellence, (2) own working together, (3) role model Ford values, and (4) deliver results. Each goal is explained in more detail; for example, a sub-goal under (1) is "know and have a passion for our business and our customers."
As part of Mulally's disciplined thinking, he does not allow distractions in meetings such as side conversations or the use of smart phones. In reference to behavior in a meeting, Mulally says, "If somebody starts to talk or they don't respect each other, the meeting stops."
Despite his good-natured demeanor, Mulally can be confrontational, particularly for the purpose of stimulating the thinking of others. During the formulation of turnaround plans, Mulally pored over the Ford profitand- loss statement, and said to his team, "You know, you guys lost $14 billion last year. Is there anything not going well here?"
What crisis did Mulally lead Ford through?
Mulally was hired as CEO of Ford in 2006, to help turn around the company, at a time when Ford was on the verge of collapse. One of Mulally's first giant moves was to borrow $23 billion by putting up Ford's assets as collateral. The purpose of the loan was to give the company enough cash to survive until its cash-flow position improved. The huge loan enabled the company to avoid bankruptcy and a federal government bailout. As a result goodwill improved, and consumers were attracted to the brand in increasing numbers. A few years later, Mulally bought back $10 billion of the debt at a large discount. By 2010 it appeared that Ford was once again a stable, profitable company.
As part of the revitalization of Ford, Mulally had to call for some drastic action. He laid off about one-half the company workforce, and then reduced the compensation-both pay and benefits-for the survivors. Another key part of the turnaround plan was to create global heads of manufacturing, marketing, and product development, thereby contributing to a consolidation labeled "One Ford." Related to creating One Ford was the sale of luxury brands that did not carry the Ford nameplate-Land Rover, Jaguar, and Volvo. The Ford Mercury was discontinued as part of the simplification of the company. On the growth side, Mulally spearheaded the move to restore the Ford Taurus model.
Mulally's problem-solving approach includes analyzing massive amounts of data, then reducing the data to a simplified and clear plan. He presents the entire Ford strategy, including its products and operating plan, on about one-and-one half pages. The plan includes four goals or expected behaviors: (1) Foster functional and technical excellence, (2) own working together, (3) role model Ford values, and (4) deliver results. Each goal is explained in more detail; for example, a sub-goal under (1) is "know and have a passion for our business and our customers."
As part of Mulally's disciplined thinking, he does not allow distractions in meetings such as side conversations or the use of smart phones. In reference to behavior in a meeting, Mulally says, "If somebody starts to talk or they don't respect each other, the meeting stops."
Despite his good-natured demeanor, Mulally can be confrontational, particularly for the purpose of stimulating the thinking of others. During the formulation of turnaround plans, Mulally pored over the Ford profitand- loss statement, and said to his team, "You know, you guys lost $14 billion last year. Is there anything not going well here?"
What crisis did Mulally lead Ford through?
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19
Jessica Perez is the manager of a thriving Red Rascal Restaurant, a chain of several hundred moderately priced restaurants throughout the country. Jessica recently returned from a regional conference in which she was informed about a new program of recruiting several developmentally disabled workers to work at each restaurant. The restaurants would work closely with local institutions that provided vocational training for individuals who are intellectually challenged. In many of the communities these institutions coordinate their effort with both psychology and special education departments at local colleges.
The developmentally disabled workers would be hired into basic positions that fit their capabilities, such as salad chefs, bakers, dishwashing-machine attendants, and custodial workers. Restaurant (store) managers would receive training into how to optimize the capabilities of developmentally disabled workers, as well as how to motivate or discipline the workers as needed.
Three months after the program was launched, Jessica's branch had hired three developmentally disabled young adults, all assigned jobs within the kitchen. Jessica spent a little time coaching her kitchen supervisors about supervising developmentally disabled workers. She emphasized the importance of providing clear, uncomplicated directions, and not overwhelming these workers by changing their assignments frequently. As instructed at regional headquarters, Jessica also explained the need to provide positive feedback and encouragement to the intellectually challenged recruits.
The program of hiring a few developmentally disabled kitchen workers appeared to be going generally well at the Red Rascal. No particular problems with the food prepared by the new workers were found, food preparation was not delayed, and their attendance was satisfactory. Yet as Jessica listened to several of the restaurant associates, the wait staff and kitchen staff included, she heard some grumbling. Head chef Tammy expressed her concerns in these terms: "I'm not exactly sure why this is happening, but these days my supervisor is treating me like I'm 10 years old. She's so condescending, and she tells me what she wants done in tiny details. I asked Mindy (the supervisor) to taste a new salad dressing I prepared. She told me, 'Tammy, I'm so proud of you. You did a great job.' I mean, she's acting like I'm stupid or something."
Kurt, the host, made a similar comment about Jessica. He said, "All of a sudden you're treating me as if I'm a little slow. You made such a fuss just because my shoes were shined and my shirt was wrinkle free. Are you forgetting that I'm not developmentally challenged?" Mindy began to think that maybe there were some supervisory style problems at the Red Rascal.
In what ways might Jessica and the supervisors modify their leadership styles to adapt to the differences in intellectual levels of the Red Rascal staff?
The developmentally disabled workers would be hired into basic positions that fit their capabilities, such as salad chefs, bakers, dishwashing-machine attendants, and custodial workers. Restaurant (store) managers would receive training into how to optimize the capabilities of developmentally disabled workers, as well as how to motivate or discipline the workers as needed.
Three months after the program was launched, Jessica's branch had hired three developmentally disabled young adults, all assigned jobs within the kitchen. Jessica spent a little time coaching her kitchen supervisors about supervising developmentally disabled workers. She emphasized the importance of providing clear, uncomplicated directions, and not overwhelming these workers by changing their assignments frequently. As instructed at regional headquarters, Jessica also explained the need to provide positive feedback and encouragement to the intellectually challenged recruits.
The program of hiring a few developmentally disabled kitchen workers appeared to be going generally well at the Red Rascal. No particular problems with the food prepared by the new workers were found, food preparation was not delayed, and their attendance was satisfactory. Yet as Jessica listened to several of the restaurant associates, the wait staff and kitchen staff included, she heard some grumbling. Head chef Tammy expressed her concerns in these terms: "I'm not exactly sure why this is happening, but these days my supervisor is treating me like I'm 10 years old. She's so condescending, and she tells me what she wants done in tiny details. I asked Mindy (the supervisor) to taste a new salad dressing I prepared. She told me, 'Tammy, I'm so proud of you. You did a great job.' I mean, she's acting like I'm stupid or something."
Kurt, the host, made a similar comment about Jessica. He said, "All of a sudden you're treating me as if I'm a little slow. You made such a fuss just because my shoes were shined and my shirt was wrinkle free. Are you forgetting that I'm not developmentally challenged?" Mindy began to think that maybe there were some supervisory style problems at the Red Rascal.
In what ways might Jessica and the supervisors modify their leadership styles to adapt to the differences in intellectual levels of the Red Rascal staff?
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20
Brian Casey is the CEO of Builder Electro, a medium size company that manufactures and sells electronic products to the construction industry. Some of Builder Electro's products are sold in home improvement and hardware stores. The most successful product is a quartz heater that builders use when working in an unheated area, such as a garage or house under construction. Another successful product line is battery-operated drills and screwdrivers.
Casey has recently noticed some disturbing mentions of the company and its personnel on social networking sites, particularly Twitter. Some of the postings are favorable in reference to the company, such as "Had another great day doing my best for Builder Electro." Some of the unfavorable tweets are offensive to the company, and are potentially offensive to its reputation. Two examples: "Frostbite can result from using a Builder Electro space heater," and "Meet the Worst Boss of the Year at Builder Electro." Most of the offensive tweets appear to have been posted by company employees.
Brian Casey is convinced that action needs to be taken to stop the negative postings about Builder Electro. Yet he is also concerned about creating an environment in which dissent and free speech are suppressed. Casey's first thought was to consult with the company's legal counsel and then announce a company policy about Internet postings by employees that are derogatory toward the company. Many companies have such policies so an effective policy could be basically taken off the shelf. Casey thought that the entire issue of negative postings about the company could then be settled in a few days.
Casey then sent an e-mail to Naomi Colbert, the director of human resources, explaining his decision about how to curb negative tweets about Builder Electro. Naomi responded that Brian should wait before making such a big decision. She suggested specifically, "Brian, I think you should hold a series of meetings with all the vice presidents and directors before establishing a policy about these negative posts. We are talking about a complicated issue."
Brian was perplexed. He thought he could establish a policy about negative tweets quite quickly. Now he wondered if he should involve the entire executive team in making the decision.
Suggest a leadership theory that might help Casey decide whether he should make an individual or a group decision with respect to employee Internet postings.
Casey has recently noticed some disturbing mentions of the company and its personnel on social networking sites, particularly Twitter. Some of the postings are favorable in reference to the company, such as "Had another great day doing my best for Builder Electro." Some of the unfavorable tweets are offensive to the company, and are potentially offensive to its reputation. Two examples: "Frostbite can result from using a Builder Electro space heater," and "Meet the Worst Boss of the Year at Builder Electro." Most of the offensive tweets appear to have been posted by company employees.
Brian Casey is convinced that action needs to be taken to stop the negative postings about Builder Electro. Yet he is also concerned about creating an environment in which dissent and free speech are suppressed. Casey's first thought was to consult with the company's legal counsel and then announce a company policy about Internet postings by employees that are derogatory toward the company. Many companies have such policies so an effective policy could be basically taken off the shelf. Casey thought that the entire issue of negative postings about the company could then be settled in a few days.
Casey then sent an e-mail to Naomi Colbert, the director of human resources, explaining his decision about how to curb negative tweets about Builder Electro. Naomi responded that Brian should wait before making such a big decision. She suggested specifically, "Brian, I think you should hold a series of meetings with all the vice presidents and directors before establishing a policy about these negative posts. We are talking about a complicated issue."
Brian was perplexed. He thought he could establish a policy about negative tweets quite quickly. Now he wondered if he should involve the entire executive team in making the decision.
Suggest a leadership theory that might help Casey decide whether he should make an individual or a group decision with respect to employee Internet postings.
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21
To view the videos for this activity, you'll need access to the CourseMate that is available for this text. To get access, visit www.CengageBrain.com. After watching "Preserve by Recycline," answer the following questions.
How does C.A. Webb, marketing director, use the contingency approach to leadership?
How does C.A. Webb, marketing director, use the contingency approach to leadership?
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22
Identify a personality trait you think would help a manager function as a contingency leader. Also identify a trait you think might detract from a manager's ability to function as a contingency leader.
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