Effective and Ineffective Leadership, Ways of Overcoming Leadership Challenges - Example

Name: Tutor: Course: Date: Leadership Introduction Leadership is the practice of social influence in which a leader can conscript the support and aid of others in the attainment of a common goal. A great leader should possess incredible social intelligence in order to lead others. He or she should be enthusiastic toward change and above all, possess a visualization that allows them to set their visionsAn effective leader should be charismatic, risk taker, team builder, have the ability to assess their work, be responsive to the needs of the group as well as the possession of a sharp perception. Ineffective leaders on the other hand possess the following characteristics; frequent change of direction, unclearobjectives, micro-managing, lack of accountability and take credit for everything among others. This paper will majorly discuss leadership in general by taking a look at effective and ineffective leadership, ways of overcoming leadership challenges and the benefits of good leadership. Section One (500 words) Ineffective leadership episode Every leader faces challenges in their organization life. However, learning how to face and handle those challenges is what defines them as leaders. Change brings challenge and no matter how virtuous an individual is, he or she cannot stop it from occurring. Leadership challenges may come from within the leaders themselves while others from the position of basically being a leader. Others come in form of problems or people that present obstacles to success. Ineffective leadership is caused mainly by what we call financial windfall. Sometimes leaders face unexpected benefits, which can be difficult to handle. Organizations are today facing a great deal of financial uncertainty due to changes in emerging world markets. This gives leaders a run for their money since they are working under pressure to gain a position in the competitive world markets. If managers fail to rethink their strategies for the future of their organization they are likely to fall into a great financial crisis. They must create proficiencies that place them in a situation to react before any other companies and this goes beyond adaptability and flexibility of the organization(Allen, Franklin, and Gale 71). Some leaders lack opportunity orientation. They therefore tend to panic at peak of the crisis. They allow the crisis to place a breakdown on innovation and development in the organization. What they forget is that what they are going through could be a good opportunity to launch new products that can help them overcome the situation. In cases like this, leaders overuse company finances without taking into an account of other financial demands. Other leaders fail in the decision making process on how to use company funds. (Dinkmeyer,Don, and Eckstein 100). Poor communication can also lead to financial breakdown within an organization. It is important for company members to share a common understanding regarding the future of the firm. If leaders fail to coordinate their members then the streamline process will be poor and less effective. Leaders’ failure to gauge all members to think innovatively and share common goals makes an organization lose the opportunities of differentiating themselves from their competition. Other leaders possess vices like pride and arrogance and this makes them want to do things without consulting the people under them. Failure to handle uncertainty and complexity makes a leader less effective. When everything seems indeterminate, leaders forget to visualize on the factors that have the most impact on the organization(Dennis, Donna, and Meola 115).The key thing is to differentiate between uncertain versus certain and important versus unimportant. If they fail to do that, then they are likely to fall into a deep financial crisis. They misuse funds focusing on less important things which do not focus on unfolding the future of the organization. Another factor that may lead to financial downfall within an organization is the failure to collaborate with the right organizations. Firm leaders should focus on bringing collaborators who are likely to bring profit. This includes potential buyers and suppliers, stakeholders, consumers, donors and shareholders. Establishing a strong relationship with them makes an organization flourish. Thecontrolling nature of leaders can also cause Mismanagement of firm funds. The work of a leader is not to control but to inspire and lead. Failure to give employees time to develop their own solutions and projects makes a leader ineffective (Dennis, Donna, and Meola 121). Section Two (900 words) Reasonsfor Failure Managing the financial situation in an organization is not an easy task for leaders. They have to commit themselves in curbing the negative situation that lead to poor financial management. The following is an explanation as to why leaders fail in managing organizational funds. As mentioned earlier, if a leader lacks focus and a follow-through then it is clear that the financial situation of an organization will stumble. Lack of bias towards the use funds leads to mismanagement. If one fails to quickly adapt and recognize their methods to the matter at hand, then the position of the firm will be at risk(Sugerman, Jeffrey, Scullard, and Wilhelm 104). Poor communication skills among internal and external members of organization can be a quite challenging situation. Great leaders communicate efficiently across all environments, constituencies and medium. Poor listening skills and lack of fluid thinking can lead to a monetary crisis (Daft, Richard, and Lane 46). Another cause of financial windfall in an organization is disconnection from the market. If a leader focuses more about survival than growth then the success of the organization is likely to be short-lived. A good leader should be focused on innovation and change to keep the organization growing, fresh and dynamic. Lack of accountability in the organization also causes financial crisis in an organizations. Real leaders take the blame and do not claim the acknowledgment for the achievement of their group. Another problem that leaders face in managing funds is the lack of clear vision. A vision that is indecisive will cause leaders to fail. Good leaders should work in aligning the organization around an achievable and clear visualization. If they follow this, then they will elude miscellaneous use of funds (Caprio, Gerard, Hanson, and Litan 7). Poor investment can cause economic crisis which leads to loss of competition in the market. Leaders should be committed to investing in the people they lead. This involves giving support to the team, mentoring, coaching and supporting them both financially and psychologically (Caprio, Gerard, Hanson, and Litan 7). Lack of a self-serving nature also constitutes the reasons for poor leadership. If a leader lacks self-service then they do not stimulate the confidence, loyalty and trust of their subordinates. In managing funds, a leader should learn to overcome pride, abundance ego and arrogance and work with hand-in- hand his subordinates (Daft, Richard L, and Lane 56).The moral message of this discussion is that for a successful business expenditure, leaders need to be excellent communicators, have defined focus, demonstrate a growing record of success, and be open to change, have a bias toward action and put an emphasis on serving those under them (Paschen, Michael, and Dihsmaier 44). Recommendations There are some strategies that leaders can use to detect and remove the stumbling blocks towards financial crisis. First, a leader should be able to reach out for help if faced with the same problem (financial predicaments). It is difficult for a manager to change on their own that is why assistance from friends, employees and shareholders is crucial (The Arbinger Institute 17). They should be open new ideas, avoid being defensive and insecure. Secondly, a leader should learn to listen and communicate effectively. Listening to individuals’ responses to their plans, opinions and ideas is important in managing organizational funds. They should listen more than they talk, which means that they should assume that every person has a point to put across. Suppose one hears the same opinion from a diverse number of people, they should consider it accurate and follow it (Sadler121). Thirdly, organization heads should learn to share the burden. Sharing a responsibility with other people removes pressure and makes a leader more effective. If the employees are competent enough, then the maintenance of the organization becomes easier and creates more time to bestow to the concrete pursuit of the financial future of the organization. Fourthly, a leader should make sure that they create their personal time. Managing organizational funds requires dedication. However, one needs time away from being the frontrunner and find a getaway, which does not have to be an all-time thing (Burns 155). A leader should focus on retaining their objectivity. If they are mediating a financial conflict within the organization, he or she should not take side even when one side seems correct. Leaders should always stay on the lookout for new collaborative opportunities. Collaborators can be found both outside and within the organization (Burns 180). For instance, a manager can gauge many people within the organization in decision making thus building an enthusiastic spirit among them. On the other hand, a leader should try to falsify ties with other groups and organization. This is helpful in that, when the organization is faced with debts, they are able to give the required support and discuss with them the constraints of leadership. In curbing mismanagement of funds in an organization, leaders should maintain effectiveness over time. An organization should aim at accomplishing a specific goal and work to maintain all the profits. This can only be achieved by both monitoring what an organization can do to maintain high profits and keeping up work enthusiasm within the employees.According to Burns, misunderstanding motivation can lead to the downfall of an organization (45). He argues that many leaders make the fault of assuming that their employees are only working for monetary remuneration. Leaders should therefore look for other ways to keep their employees motivated. This involves activities such as rewarding, praising and giving extra responsibilities to them. Lastly, in managing firm funds, managers must keep an eye and communicate the vision and mission of the organization. This entails reminding the employees what the true vision is and protecting it from people who try to alter it (Bonnici 180). Section Three (750 words) Action plan Here are effective ways of overcoming future leadership challenges: 1. Learning from effective and prosperous leaders: One of the prominent ways of becoming a successful leader is through finding information of past successful leaders and ways of interviewing them. Looking for relevant information on what made them achieve their goals will help in determining the future of the organization (Sadler 125). 2. Practicing optimistic thinking and enthusiasm. This helps in preparing a leader to meet future challenges. It also aids them to endure, embrace frustrations, challenges and failures. 3. Planning ahead. Due to changes in market conditions it is advisable for all leaders to revisit and update their organizational plans regularly. As an organization grows, its strategies need to be updated to suit the changing circumstances. Leaders should also look for newer relationships while maintaining older ones since they have greater potential for reliable cash flow and profits. However, managers should avoid being too opportunistic and work towards new ideas that only suit their strengths and the overall vision of the organization (Bonnici 234). 4. Problem solving. Organizations are faced with new challenges, which require urgent management and resolving. Short-term crisis should be prioritized as they can cause massive losses. Managers and their subordinates should understand what to prioritize by developing structures and systems that make it easier to solve problems (Bonnici 234). 5. Embracing change. Change can be a major threat to growing business. Leaders should have an up-to-date plan that helps them identify with the actions needed to change an organization. For instance, they should make sure that they keep with the pace of the changing technology, developing and training employees and shifting to suppliers who can grow with the organization and meet its new priorities (Sugerman, Jeffrey, Scullard, and Wilhelm 114). 6. Financial and cash flow management. This concept is crucial to any organization since financial constraints can be the biggest challenge to business growth. Leaders should make the best use of finances by assessing and planning new opportunities (The Arbinger Institute 17). Every unit of working capital should be controlled carefully to increase the flow of cash. Tight control and management of debts is also very important. Strengths According to Pringle (12), a strong leader findsbetter approaches to problems. This strength enables individual to face every challenge in a positive manner. Approaching situations with confidence assures members that obstacles are normal and that the central thing is to focus on the main goal. The key objective of approaching problems wisely is to keep everyone moving and working ahead. Bell argues that a leader should be charismatic in his work (34). This is the ability to communicate inspirational, visionary and clear messages that motivates and captivates organizational members. In leadership situations, a charismatic leader should be able to set high goals and show confidence to his subordinates in order to succeed. They should also inspire them to move and act toward goals and build stronger relationships with their shareholders (Paschen, Michael, and Dihsmaier 44). A leader should also possess great personality traits to deal with the problems of other people. He or she should be kind, warm, helpful, trusting, unselfish, cooperative, and good-natured among other traits. Poor personality traits lead to poor goals. A leader should avoid being selfish, unkind, unintelligent, shallow,moody and disorderly (Bell 54). Commitment is also a part of strength in a leadership situation. A leader should lead by example if he or she expects the organization at large to work effortlessly and produce quality products and services. Nothing motivates employees than seeing their boss work alongside them. This earn them not only respect but also instills team-work and morale to all workers. A leader should have a positive attitude towards all situations (Pringle56). For a continued success of a company, managers should strive towards balancingplayfulness and productivity. Other strengthsare the ability to inspire, creativity, sense of humor, good communication among others. Weaknesses The following is a list of leadership weaknesses and how to overcome them; Schalock, Robert, and Miguel argue thatan organization cannot achieveits goals without a vision(60). These two factors work simultaneously. A vision without goals can never be attained. Also, goals without vision will lead an organization to a swayed direction. It is therefore important to combine both of them in order to meet the full potential of an organization. This is achieved through the establishment of set goals and strategies to help realize the vision(Burns 44). Another weakness is the failure to trust employees. Leaders can either micromanage their staffs or load themselves with more tasks than they cannot handle. This occurs because leaders do no trust their workforce. The solution to this is that they should build a team of trusted employees especially during the hiring process (Schalock, Robert, and Miguel 61).Leaders also face the danger of getting trapped in their behaviors. This weakness is referred to stagnancy. The company mission loses reliability due to the lack of continued innovation. To stay innovative and adaptive, leaders should pay attention to reactions from anyone who has a share in the company (The Arbinger Institute 22). Conclusion Leaders should consider challenges as a gateway to rise to another level and a way of testing how well they can use their opportunities. These challenges make leaders improve and accomplish things that seem impossible to others. Nearly all leaders are made by learning from, identifying and intensifying to all obstacles of leadership. Regardless of the situation, it is essential for leaders to exercise control. The following are essential steps that they should take to overcome ineffective leadership; be creative, be proactive, face conflict positively, retain their objectivity, look for opportunities to collaborate and reach out for help when faced with challenges.If a leader can employ the discussed strategies to help cope with leadership challenges, then the chances of being a successful and an effective leader would be very high. Works Cited: Allen ,Franklin and Douglas Gale. UnderstandingFinancial Crises. Oxford: Oxford University Press, 2007. Print. Bell, Antony. Great Leadership: What It Is and What It Takes in a Complex World. Mountain View, Calif: Davies-Black Pub, 2006. Print. Bonnici, Charles A.Creatinga Successful Leadership Style: Principles of Personal Strategic Planning. Lanham: Rowman & Littlefield Education, 2011. Print. Burns, James M. G. Leadership. New York: Harper & Row, 2012. Print. Caprio, Gerard, James A. Hanson, and Robert E. Litan. Financial Crises: Lessons from the Past, Preparation for the Future. Washington, D.C: Brookings Institution Press, 2005. Print. Daft, Richard L, and Patricia G. Lane. The Leadership Experience. Mason, Ohio: Thomson/South-Western, 2005. Print Dennis, Donna J, and Deborah D. Meola. Preparing for Leadership: What It Takes to Take the Lead. New York: American Management Association, 2009.Print Dinkmeyer, Don C, and Daniel G. Eckstein. Leadership by Encouragement. Delray Beach, Fla: St. Lucie Press,2012. Print. Sadler, Philip. Leadership. London: Kogan Page Ltd, 2003. Print. Schalock, Robert L, and Miguel A. Verdugo. A Leadership Guide for Today's Disabilities Organizations: Overcoming Challenges and Making Change Happen. Baltimore: Paul H. Brookes, 2012. Print. Sugerman, Jeffrey, Mark Scullard, and Emma Wilhelm. The 8 Dimensions of Leadership: Disc Strategies for Becoming a Better Leader. San Francisco: Berrett-Koehler Publishers, 2011. Print The Arbinger Institute Leadership and Self-Deception: Getting Out of the Box. Kennett Square, Pa.: Soundview Executive Book Summaries, 2012. Print. Paschen, Michael, and Erich Dihsmaier. The Psychology of Human Leadership: How to Develop Charisma and Authority. Heidelberg: Springer, 2014. Print. Pringle, Phil. Top 10 Qualities of a Great Leader. Tulsa, Okla: Harrison House, 2007. Print. Appendix Leadership Development Worksheet Leadership Skills to Improve Growth Objective(s) for each Skill Activities People Who can Help Indicators of Success Timeline Example: Meeting Facilitation To conduct team meetings where more people participate 1. Ask selected team members for honest feedback. 2. Have the H.R. Director critique a meeting H.R. Director & peers 15% increase of team members speaking at meetings by the end of the quarter. 1. Obtain feedback after the first three meetings. 2. Try at least one new strategy every two meetings. A. Finding a vision   To ensure that the organizational goals are met 1.Ask team members to memorize the vision   Shareholders and subordinates   Increased profits 1. Set a new plan and strategy if going through a change  B. Building trust  To earn respect and unity from subordinates  1.Have a meeting with employees to inspire trust   H.R and Director   Motivated workers   1.Show transparency in every presentation 2Right wrongs in every meeting C. Setting goals   To achieve success 1.Ask members to represent their ideas 2. Brainstorm a list of prospective goals as a group   Senior Manager and H.R   1.Greater motivation and commitment among officers and members 2.Clearer understanding of the goals   1. Remind the employees on what need to be done in every meeting 2.Share the objectives for each goal in every meeting Leadership Skills to Improve Growth Objective(s) for each Skill Activities People Who can Help Indicators of Success Timeline D. Planning effectively To meet the constantly changing environment 1.Call for a general meeting to teach people on the importance of reducing uncertainty Chief Financial officer and Corporate secretary 1.Cordinated decision making process 2. Improved controlling standards 1.Ask the leaders to involve employees in all decision making processes Communicating successfully   To establish clear outlooks for employees and customers as well 1. Ask the communication officer to explain the communication channels that can help them convey their new ideas and innovation   Chief Executive Office and H.R 1. Improved communication within the organization 2. Solid team work and the capability for employees to work together to accomplish company goals. 1. Open all communication channels in all hierarchies every time you need to pass important information 2. Meet with all members at least once a week to interact with them and know the problem they are facing Read More