The Social Process Of Leadership Management Essay

Leadership is social process, a foundation of capability, knowledge, mind thinking and values of both leader and follower. (Gallos, 2008, p1) Leadership always involves creating change, not maintaining the status quo. Moreover, changes is toward an outcome that leader and followers both want, a desired future or shared purpose that motivates them toward this more preferable outcome. Leadership is an ongoing procedure of constructing and sustaining a relationship between leader and followers. (Gallos, 2008, p.3)

Leadership is multifunction in skill. Successful leaders have to understand organizations and people, duty and processes, self and others. Leadership need counsel to current realities and future possibilities, confidence and strategies for working competently toward organization goal. (Gallos, 2008, p.3)

The leadership is an influence relationship among leaders and followers who intend real changes and outcomes that reflect their shared purposes. Leadership can emphasize collaboration and teamwork on organization. The importance of leadership is tend to foster feeling of ownership. Leadership involves both knowledge and skill. The leadership measures of extroversion, responsibility, self-confidence, dominance, sociability, emotional control, cooperative, and ambition. Leadership includes self- awareness, vision, openness, value, trust, and ability to handle. (Maddock & Fulton,1998, pp1-2)

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In most the organization, superiors influence subordinates, but subordinates also influence superiors. The people involved in the relationship want substantive changes.Leadership is very important for the organization. Leadership is an important element of management to helps organisation achieve organizational goals and maximize efficiency of the organization. Without the leadership the organization cannot achieve the desirable future.

Leadership is help the organization to stay ahead of the competition. Leadership is obtaining the cooperation, consent and commitment of the teams to achieve the goals. Leadership is persuading people to hear the command and accept the authority for decision making. (Freemantle, 1997, p.150)

Executive Summary

Akio Toyoda (Akio) is a president and CEO Toyota Motor corp. Akio is born in May 1956. Akio become the president of Toyota in 2009. Akio aims to produce the powerful car, will bring Toyota back to profitability by March 2011 and continue to growth within a year. Akio apply life-size management styles to the real world situation. Akio approached the dealers that he was familiar with and aggressive about new challenges. The Toyota culture uses many basic assumptions for defining the best way to perceive, think and feel.

Carlos Slim Helu ( Carlos)was born on the 28 January 1940. Carlos lives in Mexico. Carlos has gathered a range of business, for examples insurances, banking, supermarket and retails outlet, hotel, restaurant , and cement under Grupo Carso in 1990. In addition, telecommunications companies, Telmex. Carlos built up near monopoly in Mexico and Latin America.Carlos leadership style was highly pratical. Grupo Carso is no corporate staff and each company has its own structure so the organization can be more efficient. Carlos said that technologies transform people’s lives and society around the world. It is clear and simple, it is works.

Akio Toyoda, Toyota

Leadership style

Akio Toyoda (Akio) is a president and CEO Toyota Motor corp. Akio is born in May 1956, at Nagoya. Aichi Prefecture. Akio is the son of sixth of Shoichiro Toyoda, grandson of kiichiro.. Akio graduated from Keio University. In 1984, Akio joined Toyota Motor Corporation. Akio is the youngest Toyota president. Akio become vice president in 2005 and the president of Toyota in 2009. (Hasegawa & Kimm, 2010, p.173).

Akio appointment captured the attention of the world when the first time met the press. The Toyoda family was refreshing with the power and once again to achieve the goal. Akio has to lead the company toward an uncertain future and represent that not been lost on spectators. Akio faces enormous pressure. At the first press conference, he spoke seriously and his face is strict. (Hasegawa & Kimm, 2010, p.178). Toyota will come out a lot of news ideas and rich resources. Akio is a task-oriented leader, Akio the value importance of quality and reliability. Excellent cars need the good quality materials. To produce the better car, it will cost more. Cost remains a main problem. However in global recession, Akio think that luxury car is no longer possible, it is too costly only for materials required. Toyota will produce a low cost, small car to increase profit. Akio apply external motivation theories, which include goal setting and continue measure relative target.This is something different to Toyota. Akio aims to produce the powerful car, will bring Toyota back to profitability by March 2011 and continue to growth within a year. (Hasegawa & Kimm, 2010,p.182)

Akio mention that it is a time to us to return to our roots at press conference. It is a management of philosophy. Akio want to recover on the founding spirit, produce car for the country. Akio need to summon again the spirit of the founder and remind the employees of the successes. Continuously solving root problems drives organization learning. (Hasegawa & Kimm, 2010, p.182)

Toyota always concern about the number of cars produces and sells in each segment and market over the world. This will compelling nation driven the automaker in a few categories. Akio was thinking about to back to the roots of the monozukuri way of thinking. Monozukuri implication a craftsperson, for example attitude for figure things, in which attention to detail and quality are the paramount values. Monozukuri mindset is not aim production volume.

Akio coined life-size management styles of management. Most Japanese organization will maintain the skills, human intellectual and investment in technology in product. The phrase of life-size management viewed as excessive winning worldwide leadership, an effort that led to huge over capacity. AKio address this is a way of encapsulating Toyota toward a new direction. Akio principal ideas were customer and communities also come first. Second, look to the foundations and try to rediscover the monozukuri spirit when feel doubt. Lastly, apply life-size management styles to the real world situation. (Hasegawa & Kimm, 2010, p.185)

Cost leadership and a balance of differentiation are needed for best cost strategy. Akio think that the company is gone far in the direction of differentiation and expense of low cost. Akio predecessor change the way of designed car and technological advances, but huge costs added. A focus strategy defines customers’ attempts to serve. Three types of focus strategies focus through differentiation, low-cost leadership and best cost. Now Toyota needs more focus on costs reducing. The result should be more balanced in approach between low-cost and differentiation leadership. Toyota approach focuses on specific group of customers. (Harrison & John, 2009. pp 94-95)

Akio was not an engineer like his father and grandfather. Akio worked at sales department of the company. Akio was work at production department for a short period and this help him a lot after transferred to sales department. In 1994, Akio become vice chief at sales department. That time Japan was seriously affected by the collapsed bubble economy, a lot car dealer’s fight with the decrease sales of new product. Akio realised that the car dealers’ operation were not efficient from the perspective of the Toyota Production System (TPS). People though the TPS was no use for sales operation, it’s for factory usage and impossible to apply

this method for official project. Akio approached the dealers that he was familiar with and aggressive about new challenges. Akio is a cognitive leadership. The expansion of the range

of the TPS was successful. TPS requires all employees to be an expert and encourages specialization. (Hara, 2008, P.163)

Akio drives the automaker’s collapse of quality perception on a disastrous turn. Akio begin an aspiration of impress and delight customers, but he lost his genius for apprehending them. ( Thompson, Tracy & Hesselbein, 2010, p.94) Akio responsibility to put company growth ahead of secure but now failed to hear closely related customer complaint. Toyota has recalled about 6 million vehicles in the United Stated. Akio was apologised for the incident. Toyota brand identity will need few years to recover. Toyota invests a lot in quality for so many years will build goodwill. The reputation for quality is necessary to determines everything. Akio is a situation leader. Akio have learned a lot from this expensive lesson. (Thompson, Tracy & Hesselbein, 2010, p96)

Culture

The Toyota culture uses many basic assumptions for defining the best way to perceive, think and feel (Morgan &Liker, 2006, p219)

The leaders think that the crucial to success was investment in people from Toyota first starting operating. Since Toyota founding and the core efficacy, Toyota culture evolved.

The Toyota way is primary and peerless about culture. In the company philosophy and principles, the way people thinking and behave is greatly rooted. As the company founding, the core still remain same, it is about respect for people and improvement endlessly. At the time of Toyota establish store in new country, committees will learn the local community well and decide best way to develop the Toyota culture in that environment. (Liker & Hoseus, 2007, P.4)

The Toyota culture about how all members perceive, think and even feel grow deeply into the organisation. The Toyota way 2004 used an iceberg to describe that what seen on the outside is only one side of culture. There are three level of culture which was underlying assumptions, norm and value, artifacts and behaviour. First, understand the significance of artifacts means what people would notice example mission statements, how people behave and physical outlook. The andon system (a system light that goes on when employees pulls the cords to stop the line) we need to explore deeper into the culture and learn the shared norms and value of people at work.

The norms and values is one of Toyota culture, which means company philosophy, norms and justifications. Toyota explores the surfacing problems to continue improvement.

The other culture is underlying assumption, meaning of what they deeply believe and act on. Underlying assumption is unconscious about the organization, about people, reward and punishments. The example is the andon system, employees need to solve daily production problem. The production employee can identify and attention to problems even will stopping production. This requires an environment of trust, whether pull the andon is not right decision, employees will not be punish.( Liker & Hoseus, 2007, p.6).

Structure

Toyota is original Matrix organization, combining two structures. Toyota settles anything with reach terms and searches an option between a functional or product organization that is across functions. The secret success is combining a strong functional organization, the matrix. Using matrix organization structure, Toyota manages it both ways, excellent balance of functional expertise and cross-functional integration. Technical profundity and efficiency of functional organisation with customer focus of product. Matrix operates in harmony with strong customer focus and most engineer report to functional managers. Production engineering is different department to chief engineer and has staff of assistants. (Morgan &Liker, 2006, pp141-143).

Carlos Slim Helu – Telmex,Telcel and America Movil.

Leadership style

Carlos Slim Helu (Carlos) was born on the 28 January 1940. Carlos lives in Mexico. Carlos was the 5th of 6 children. He studied engineering at the Universidad National Autonomous de Mexico. Carlos is the richest men in the world. Carlos invests in communications with his inherited money. Carlos made his fortune in the Internet, but he is more preferring paper writing than laptop. (Aronson, Newquist & Newquist,2007, P127 ). Carlos has a thrifty lifestyle and he has no homes outside of Mexico. Carlos was the richest guy in the world but Carlos was a likable and intelligent guy. (Taylor, Harrison & Kraus, 2009, P.159)

Carlos told that create a company’s value was more important in 2007.Carlos has gathered a range of business, for examples insurances, banking, supermarket and retails outlet, hotel, restaurant , and cement under Grupo Carso in 1990. In addition, telecommunications companies, Telmex. Carlos built up near monopoly in Mexico and Latin America. Carlos has long involvement in telecom industry. Carlos have self-made telecommunication tycoon, his parents emigrated from Lebanon to Mexico. Carlos would rather not make a fuss about being the world’s richest person. He knows that a fickle stock market could change that situation in a heartbeat. (Thompson, Tracy & Hesselbein, 2010, P. 43)

Carlos and his group of company have a wide influence over the telecommunications industry in Mexico. Carlos control Telmex, Telcel and America Movil. Carlos is one of most generous philanthrolopist in the world. Social responsibility is a fundamental part of Carlos’s business strategy and culture, focused on maximizing the positive impact of his companies to benefit the communities Carlos investing his money in urban redevelopment, infrastructure development, and education throughout Mexico and Latin America.

Carlos leadership style was highly pratical. Grupo Carso is no corporate staff and each company has its own structure so the organization can be more efficient.(Richard M. Steers, Carlos J. Sanchez-Runde, Luciara Nardon p192)For market analysis and balance sheet,

Carlos has a razor-sharp mind.Carlos run businesses with costs cutting to the bone.Foreign investors fled Mexico following debt default, Carlos brought when the market was lowest in

the 1980s. When the Mexican government put the state owned telephone company, telmex up for sale in 1990, Carlos have strong financial to make an offer for Telmex. Carlos is very caution to build his business empire. Carlos company near monopolistic control for telecom, blocking innovation and competition in Mexico. (Casanova, 2009, p.28) Carlos is a good, visionary business leader. The relationship between Mexico and the United States and future of media generate his business. The role of telecommunications growth in the world and the trends in the real estate market make Carlos on business in general. Carlos philosophy also makes his business operate well. (Trump, 2009,P.208)

Carlos is credible as a nationalist because Telmex is the only major privately owned telecommunication company that home-grown, in all of Latin America. And he laboured to gain the gain the goodwill of people on both ends of Mexico’s ideological spectrum. (Velcamp, 2007, p.9)Telmex was in public ownership, it is among the most profitable telecom company in the world.Carlos is relationship-oriented leader. Carlos runs company according traditional, family-run structure. Carlos remains at head telmex and still reserves final word on most thing. Carlos aims two areas, telecommunications and internet. Carlos strategy is to target of reduce competition or join a domestic and well establish company. (Robles, Simon & Haar, 2003, pp 89-90)

Carlos think old-style businesses is good and actually will be important part of this new civilization.Carlos think that entrepreneurial reconversion have lived in the industrial era of many firms. This becoming a part of new civilization.

The Internet are going to reach poor rural areas. Carlos company will provides public internet phones and set the telephones in building. Carlos was negotiating with the Education Secretariat to confirm that every school in Mexico has a computer and Internet access. It is very important that everyone participate in this digital technology culture and the Internet. Spreading that culture is fundamental for our long-term development.

Telmex employees can get computers at lower price. This is to motivate them to participate with the digital technology world. Carlos hope all employees have own computer so the employees family can use the computers. The employees’ familiar with how the systems work and can explain to internet customer.Carlos thinks the important to operating companies well with a close eye to the bottom line. Use the entrepreneurial experience to let corporate philanthropy effective. A businessman able to manage a foundation efficiently if he manages the business efficiently.

The Principles of Grupo Carso is always in growth, modernization and improve in training, quality and production.Increase productivity and competitiveness reduce costs and expenses using global benchmarks. Companies should never be limited by the size of the owner or manager. All challenges could be overcome if work together, with clear vision and knowing the tools. Corporate creativity is for business usage.

Carlos is hardly a whiz when it comes with computers. In Mexico, Carlos is the internet service provider and become a major computer seller. Carlos main task is to understand the situation and try to fit it. Carlos said that technologies transform people’s lives and society around the world. It is clear and simple, it is works. (Cohen, 2005, p.131)

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Structure

Telmex is modernization programme cantered on digital technology in 1980. Telmex is modernization and diversification in three quality. Decision making of Telmex is centralize for developing overall strategy but for implementation decisions are decentralize structure.Telmex has no corporate employees. Total organizations are efficient. Telmex is simple structure and with small hierarchies.

For executive have personal development and internal training. This rapid top down decision making and flexibility allow the company remain most flexible entrepreneurial. (Steers, Sanchez-Runde & Nardon, 2010, p.192)

Decentralizes administrative adapt in organization similar to that of equivalent international company.Modernization of the basic network, administrative organisation, centralized structureand also decentralised to gain operational elasticity. The structure include three corporate which are planning and corporate division, finance and administration division, human resources and labour relations department. (Hoeven, 1998, p.76)

Succession planning

Carlos invested all over the world but recently he has turned parts of his business empire and responsibility over eldest and two more his sons. (Cohen, 2005, p.131)

Carlos an unvarnished style of business has passed on to his sons to keeps costs as low as possible. Carlos was creating new business model. Carlos was managing the transfer to his son successfully.( Casanova, 2009, p.28)

Culture

Carlos is one of most generous philanthrolopist in the world. Social responsibility is a fundamental part of Carlos’s business strategy and culture, focused on maximizing the positive impact of his companies to benefit the communities Carlos investing his money in urban redevelopment, infrastructure development, and education throughout Mexico and Latin America.( Casanova, 2009, p.28) Telmex and Telcel announce phone numbers to make donations Donations will be charged to the phone receipt. Fundación Telmex and Américas Móvil have sent a lot of humanitarian aid to Haiti. The Carlos Slim Foundation will contribute the equivalent to the public-contributed whole amount.

Leadership Model

After having some finding and research done, the author explore that the important of the leadership to operating an organization. The author learns about the leadership styles and leadership theory. Leadership is a process to direct and influence the behavior and work together to achieve organization goals. Leadership is the ability to manage people and influence behavior of others in the organization. Leadership help to develop organization mission and vision, motivate others to achieve the vision.

Leader characteristic is ability to withhold judgement that evaluating idea and openess to new idea. Leadership includes the flexibillity about the cirTcumstances changing and adopts resources that helpful in solving problem. Logical thinking to analysing the situation and diagnosing the problem for solution. Creative thinking is important to create innovative ideas and implementation for solution. Leader is willingness to take risk. This is ability to think carefully and give up the status quo through a commitment to productive change. To be a good leader must include the characteristic of innovative idea and able to communication the vision and make it realization. For example, Akio Toyoda. (Parker & Begnaud, 2004, p.4)

A leadership is important to motivate people. Leaders have to create a motivating environment and give people encouragement and opportunity to prove their ability. Motivation is the forces of internal or external towards a person to pursue them for certain action. Motivating people will help leader to gain high performance in organisation.( Robert, 2000, p77) Leaders is need communicate with subordinates and plan how to work and providing guidance and instructing the subordinates to perform job effectively. A leader will know how to lead him then only will lead the followers and become a role model. A good leadership must commit on professional and responsible. As a leader, it is important to boost the morale of employees and encourage taking initiatives. The employees only can be more effective and efficient to achieve the organisation goal. A true leader should work as a team with employees and realise the importance of respect employees. Good leaders have to

sharing opinion and experiences with employees and become a philosopher leading the employees. For example, Carlos Slim Helu.

Leaders need the high ethical standards to accept the responsibility. Leader responsibility and accountability is very important to make influence to employees and responsibility towards organisation vision.

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