Change in Leadership Style due to the Current Global Business World - BHP Billiton - Case Study Example

Change in leadership style due to the current global business world Student’s name Institution Introduction With the increasingly global world, organizations need to have good leadership which can be able to run the organizations well. Globalization requires an organization to serve customers from various corners of the world, having employees and all other stakeholders from various places and not only from a certain region. A good leader should not only have the qualifications required but also the right qualities. Such qualities are like the ability to work in a team, good communication skills, listening to others opinions and ideas among others. Without the good qualities, a leader cannot help in attaining the organizations goal in this global world with many businesses coming up making competition stiffer (White, 2007). Leadership is, therefore, the act of directing others through providing a clear communication concerning what they are required to do and what they should not do within the structure of the organization. Leadership style on the other hand is the leader’s way or style of giving directions, motivating members and implementing plans. The chosen leader There are several types of leadership styles such as; innovative, servant, Laissez-faire, command and control, charismatic, pace setter, situational and transformational. The manager of Billiton Company is my chosen leader. The Billiton Company is among the most successful companies in Australia serving customers from several countries. Billiton manager is servant leader. As any manager, the manager directs other employees concerning what to do through allocating them duties and responsibilities towards attaining of the organization’s goal. As a servant leader, the manager is not a dictator. He is so understanding listens to any idea and opinion from his subordinates and treats all of them fairly without any form of discrimination (Zonis, 2003). He is, therefore very admirable by many companies in the country and this is what makes the Billiton Company to prosper the way it is. How the leadership has changed within the context of globalization Globalization has lead to firms being faced with stiffer competition than before. With the increasing technology, many firms tend to venture into new business exploiting each and every opportunity so as to make profit. As many firms join the market, it results to having many sellers and so the regional buyers are not enough for each of the firms to make a reasonable quantity of sales and so firms tends to cross the boarders in searching for more customers in other regions. However, becoming international where a large volume of customers are served with employees and other stakeholders from different backgrounds is not an easy task (Utting, 2012). As a result, as has created a need for changing the organization’s leadership so as to survive in the global business environment like the BHP Billiton company manager. Being innovative Previously, leaders used to behave in the same way in every time business operations are performed. The same rules and regulations, procedures and other styles could be used within the organization for a long period of time without any change upon them. The work of a manager was therefore to ensure that every employee has done what he or she is required to do by the end of the day. In case of any problem or a challenge face the organization, the need for an immediate action for solving it or looking for ways of dealing with the challenge was not necessary since the business could continue even with the challenge. There were a few organizations offering the same product and so the product and services quality could remain the same for a number of years without any change. An organization could run for long without experiencing any growth and remain healthy (Tietze, 2001). With the current global business environment, organizations had to change their leadership structure and become more innovative. The BHP Billiton manager for example is a very innovative leader. He comes up with ways of developing the product quality each and every day. The quality of services provided has been improving since he was allocated in the company. The manger came up with new methods of recruiting employees where various employability skills are considered. The main aim of the company is to maximize profits and the manager came up with the new ways of recruiting employees who can help in maintain the existing customers while attracting new ones. The high quality products with employees with the appropriate employability skills has made BHP Billiton company more competitive in the industry and so the be among the most successful in Australia (Peng, 2009). Being human Employees like it when they are subjected to a very kind and human manager or leader. Previously, company managers used to behave like final judges. The manager’s word was final and it was a must for the employee to do it irrespective of anything else. One could go for work even when she or he is seek or subjected to any social issue. Any disrespect or failure to adhere to a certain rule would lead to an employee loosing the job without the manager listening to his or her excuses. It was a king of a dictatorship leadership where leaders were very inhuman. However, despite of all these inhuman actions employees were subjected with, one could still work in the same organization since getting a job was not an easy task due to the few organizations that existed. The emergency of the global business world was very helpful in solving this problem employees were subjected with. Due to many organizations that exist, managers or leaders needed to change their way of treating employees. In order to become competitive in the industry where many firms exist, one needs to have very experienced and enough number of employees who can deliver quality results within the specified time. This cannot be achieved by subjecting employees in very poor or inhuman working conditions. Managers or company leaders therefore had to change their inhuman and dictatorship style of leadership and become human to their employees (Maxwell, 2009). For example, the BHP Billiton company manager is very human to all his employees. The employees are very free to the manager in that one can explain to him every problem he or she has. For example, the manager allows his employees to take a salary advance in case of any serious problem such as medication and school fees. This makes employees to remain working in the company and so Billiton Company has very highly experienced employees and more ones desire to work in the same company. Due to the good relationship with the leader, the employees serve their customers fully heartedly which makes them to get satisfied as a result the company has many customers. This is what makes the company to continue prospering in this global business world (Martin, 2006). Being a good communicator Communication is the main key for an organization to succeed. Good communication is what strengthens any form of relationship. Without good communication, no healthy relationship can exist. Previously before the business world became more global where only a few organizations existed, company manager used to feel like the final bosses of the organization forgetting that the customer is the main boss who makes the business to exist. A manager could abuse an employee, curse or even slap in some times. Leaders could give directions to employees or the subordinates in a commanding way that is you must do. An employee or a subordinate could not ask anything concerning the directions even when he or she never understood the instructions. With the poor way of communicating, subordinates were forced to perform the task very well since failure to do so would lead to loss of the job which was hard to find. Again, the leader could not fear losing an employee since there were so many people seeking for jobs and they never considered the level of experience or education one holds since short term training could be provided (Long, 2014). The increasing global business environment forced the company leadership to improve their communication styles to their subordinates and all business stakeholders. Managers realized that employees have a major impact on the business performance and so is important to develop a healthy relationship with them. With the global business world, the manager is very busy in other issues affecting the business and so one gets less time to perform some tasks. Managers, therefore, mostly have to delegate some duties and responsibilities to their subordinates or employees. An employee cannot perform the delegated duties if poor communication is used while giving the directions. Leaders need to use a very humble and good communication styles in giving directions so as to enable employees perform the duties well (Lipczynski, 2007). The BHP Billiton company manager is a good example. The manager’s communication skills to his subordinates, employees and any other stakeholders are of very good quality. The manager never abuses an employee even when he or she performs a task poorly. What the manager does is to call such an employee to his office and have a discussion with him or her concerning the poorly dome work. The manager, therefore, informs the employee concerning where he or she went wrong and how he or she should have done. This makes employees feel recognized and respected and so ones gains the motive of working in his or her level best to achieve the required results. This is another secret used by the BHP Billiton company manager which makes to company to have a continuous growth and become more global (Kirkpatrick, 2012). Putting the subordinates or employees needs first As previously stated, employees or subordinates have a great impact on the organizations performance. A leader, therefore, should ensure that all the subordinates’ needs are satisfied before any other stakeholder. If an employee is not satisfied in any way, he or she cannot be able to work effectively in the organization. Instead, such an employee will work towards achieving the minimum results required and not towards excelling in the business operations. Working towards the minimum results required could only work during the time when there was no stiff competition that is before much business became more globalized. Achieving the minimum required results can mean that a business just make normal profits and still survive in the industry. With the current global business world, a business needs to make supernormal profits so as to enhance growth of the business through expanding the business structures. As the level of expenditure increases, there is need for the business to make more revenue so as to sustain the business and hence business expansion. Managers, therefore have changed and made their employees the very first priority. They ensure that all employees’ needs are satisfied before performing or undertaking any action. This is to make them satisfied and motivate them to work in the best they can (Griffin, 2001). The BHP Billiton company manager’s first priority is the employees. The manager ensures that all the employees’ needs are satisfied first before anybody else. Before settling any other bills such as paying suppliers and other creditors, the manager first ensures all employees have been paid their agreed salaries and wages. By doing so, the employees gets motivated to work on their level best towards the next payment period. Employees also work towards achieving the best results resulting to high quality products and services which contribute to the company’s success. This makes BHP Billiton Company to be among the most successful companies in the world (Gersbach, 2005). Encouraging teamwork Unity is strength. Team working is among the employability skills that contribute to the business success. Members in an organization need to work as a team for easy attainment of the organizational goal. No human being is perfect; everyone has his or her own weaknesses. Such weaknesses can be avoided when people work as a team where one discovers his or her areas of weakness and improve on them. It is the role of the manager or a leader to encourage teamwork within the organization. However, managers used to behave in a way that discouraged team working amongst employees. Since an employee would be held responsible for every mistake he or she does in performing a particular task, individuals feared sharing ideas so as to avoid the blame incase one fails in undertaking a task and so there was no team working (Davis, 2010). However, the above worked only in the previous organization where the business world had not been so much globalised and only a few firms existed in an industry. With the increasingly global business environment, managers need to encourage team working amongst their employees. Employees need to be in a situation that can make them share ideas freely in undertaking the business operations. Managers have, therefore changed from seeing no importance in team working and started encouraging team working amongst employees (Daveri, 2003). The BHP Billiton manager is a good example for leaders who encourage team working amongst their subordinates or employees. The manager normally assigns duties to the employees in groups. a task may be assigned to two individuals where they are required to cooperate and share their ideas so as to achieve the desired results. This has made work much easier within the company’s business operations. By working as a team, employees get motivated to work on their level best. This is because, the close relationship that develops between the employees makes them enjoy being at work and so enjoy doing the work making them to work effectively (Chen, 2001). Leading by example Actions speak louder than words. A good leader should be a role model to the subordinates. The subordinates should follow the leader’s footsteps. The way a leader behaves is highly probable that even the employees will behave the same way. for example, if the company manager reports at work late or even sometimes fail to go for work with no clear reason, the same trend is what the employees will follow that is reporting late at work and dodge in sometimes. This used to work previously when the business world was not that globalised. The manager was like the final boss and no one had a right to ask him or her anything in case of misbehaving in the organization and he or she could act in the way he or she wants (Caro, 2012). Currently, things have changed. Managers do not have the same freedom as the previous ones had. There is a very close supervision where a manager cannot miss going for work or report late with no clear reason. Due to the fear that employees may reveal such misbehaving characteristics makes managers to try and perform their duties as required. With the stiff competition organizations face, managers needs to lead by example so as to show their employees what they are supposed to do in order for them to work effectively. The BHP Billiton company manager is a very good role model to his employees. The manager is always the first person to report at work and leaves the work place the last one. He even sometimes commits himself and work out of working hours. The manager also sometimes engages himself in performing some tasks that could be done by an employee. All these make employees to desire for the same spirit. Some will have the desire to report earlier to work than the manager. Employees also cannot resist going for work in weekends since the leader himself does. As a result, the company employees are very corporative and ready to take any directions provided by the manager which contributes to their competitiveness within the industry and so become more global (Braithwaite, 2000). Self discipline An individual or a subordinate can take directions from a leader or anyone else with seriousness only if he or she respects him or her. One earns the respect from how he or she behaves. If a person always behaves as a joker or a less serious guy, other people cannot respect him or her instructions. If a leader just abuses his or her subordinates anyhow, the subordinates cannot respect him or her even when instructions are provided. Managers used to lack enough self discipline. They never took the issue serious since employees were just there, to respect the leader despite of how he or she is. With the increased globalization which increased competition, managers or the company leadership realized the need for changing their characteristics (Anderson, 2000). It was observed that the largest percentage of employees copied each and everything a leader does. Managers therefore had to change and start practicing self discipline while performing the business operations or with the employees. Self discipline make the employees respect their leaders and so work done effectively as per required. A good example of such managers with self discipline is the BHP Billiton Company’s manager. The manager is well disciplined in everything he does. He ensures that all employees are treated in a fairly manner (Braithwaite, 2000). The manager dresses well, communicates sensible things to his subordinates, he never talks of unnecessary things during work hours among others. This makes the manager to be well respected and loved by every stakeholder in the company which has made him serve for long. It is, therefore, very rare for an employee to refuse to take the manager’s instructions due to the respect they give him. Even when one is unable to perform the task, he or she can take it and ask other colleges concerning the way to go about it. As a result, BHP Billiton Company is very successful with a continuous growth and so becoming more global (Anderson, 2000). Conclusion According to all the above explanations, it can be concluded that the global business environment has lead to a very big change to leadership. A leader, especially in the business sector that is company management has really changed their leadership styles. The current leaders are; innovative, human, good communicators, puts their subordinates their first priority, lead by example, have self discipline and encourages team working amongst their employees. Through the used example of the BHP Billiton companies’ manager, such leadership styles do work in enhancing business success in the current global business world. The company is among the most successful international companies in the world and the main key for success is the manager’s leadership styles. These leadership qualities are, therefore very important for any business to succeed in the current global business world. Companies should, therefore try and change their leadership styles and try to adopt these ones. References Anderson, S. (2000). Views from the South: the effects of globalization and the WTO on Third World countries. Oakland, Calif.: Food First Books. Braithwaite, J. (2000). Global business regulation. Cambridge [England: Cambridge University Press. Caro, R. A. (2012). The years of Lyndon Johnson. New York: Alfred A. Knopf. Chen, J. (2001). Economic effects of globalization. Aldershot, Hants, England: Ashgate. Daveri, F. (2003). The twin effects of globalization. Washington, D.C.: World Bank, Development Research Group, Trade. Davis, R. A. (2010). The intangibles of leadership the 10 qualities of superior executive performance. Toronto: J. Wiley & Sons Canada. Gersbach, H. (2005). The effects of globalization on worker training. 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