Contemporary Leadership Competencies Analysis

The practice of leadership, in particular the idea of what makes a good
leader, is a varied one and has many attributes. There is the more
traditional style which has been exercised for many years. However more
recently there has also been the rise of the concept of servant leadership.
According to Ciulla (2002 p340), leadership put simply, is about one person
getting other person to do something. Where the definition differs, in
terms of traditional versus servant leadership, is in how leaders motivate
their followers and in who has a say in the goals of the group or
organisation. Servant leadership is one of the more modern styles of
leadership and as described by Giampetro-Meyer, A et al (1998) is a less
"glamorous" form of leadership where the leaders are more concerned with
the least privileged in society and strive to help others grow as persons.
Traditional leadership styles such as transformational leaders use their
charisma and personalities to motivate their follower, where as
transactional leaders use a reward and punishment based system to motivate
their followers. Taking both these styles into consideration, I will
evaluate how each role works within contemporary organisational
environments.

Traditionally when thinking of good leaders certain attributes stand out.
We think of people with power, charm, and charisma and of people who put
the profits of the organisation before their ethical and moral
responsibilities they have towards their followers. Power may be one
characteristic of leadership but it is not the main or only trait of a good
leader. Enforcing too much power or authority can have a negative effect on
productive leadership. Kort sums up this point as he states that "power
alone is not necessary for leadership". He goes on to say that "leaders may
have power, and they may have influence but by our analysis, we see that
influence must be of a certain kind that is connected with integrity and
competence. The use of power in anything of the way of brute force actually
makes it less rather than more likely that one acts as leaders do" (Kort,
E.D. 2008)

Leaders who have characteristics of servant leadership take a more holistic
approach to organisations management of its followers. The basic principal
behind servant leadership is to ensure leaders attend to the needs of their
followers and to make them believe that they are an important and essential
part of the organisation. If this is done effectively, it will ensure that
their followers will in turn perform better and strive to meet the
organisations goals and visions. This point is emphasised "If you don't
take care of your employees, they won't take care of your customer" (Keith,
K.M 2009)

Authentic behaviour and follower development are the main focal components
that differ servant leadership from the traditional leadership styles.
Avolio, B.J et al (2005) describes authentic behaviour as "the process
through which authentic leaders align their values with their intentions
and action". Servant leadership take an inverse pyramid outlook to
motivating its followers. That is, leaders look at the bottom of the
pyramid by putting the focus on follower development. Servant leaders view
follower development as a simultaneous action where the leader and the
follower both develop and learn together over time therefore creating a
more transparent relationship between leader and follower. "As followers
internalize values and beliefs espoused by the leaders their conception of
what constitutes their actual and possible selves are expected to change
and develop over time" Avolio BJ et al (2005). The traditional styles see
the organisational structure as hierarchical. That is, the leader is at the
top of the pyramid making the sole decisions and giving their direction and
vision for the organisation, which in turn spread down to the bottom of the
pyramid to all the followers, and use a more "role model" approach for
follower development.

When discussing what makes a good leader, Avolio, B.J. et al (2005) uses
the term "authentic leaders" and defines them as those who are deeply aware
of how they think and behave, they are also perceived by others as being
aware of their own and other's values/moral perspectives, knowledge and
strengths. Furthermore, they aware of the context in which they operate in
and are confident, hopeful, optimistic, resilient and have a high moral
character. These traits are important for leaders when trying to make their
organisation productive and competitive in the market place. They are also
essential on regards to making a profit not only to increase its shares for
its shareholders but also keep internal stakeholders employed.

The servant leadership style, as described by Giampetro-Mayer, A. et al
(1998) is consistent with improving corporate culture but it is not
consistent with short-term profit maximization. If global competitiveness
requires short-term efficiency, servant leaders will hinder corporate
financial success. The more traditional leadership styles, transformational
and transactional have historically proven to increase profits for their
organisation and thereby increasing their market share and making them more
competitive.

The traditional style of leadership can be examined with case studies of
companies who employ this type of leadership. Examples of such companies
are described by Giampetro-Meyer A. et al (1998). Their article describes
leaders such as Lee Iacocca from Chrysler Corporation and Daniel E Gill,
chairman and chief executive of Bausch and Lomb. Lee Iacocca is described
to be "a man with a powerful and engaging personal style who expresses this
vision and makes it a reality". One of Lee Iacocca's visions was to produce
a low cost small range car that weighed 2000lb and was priced at $2000. The
Ford Pinto was to compete in the small car rage and thus improving
Chrysler's market share and short-run profits. In their haste to achieve
Iacocca's vision, his followers designed and manufactured a car they knew
to be faulty and would cause multiple deaths. Daniel E Gill of Bausch and
Lomb put unrealistic pressure on his follower to maintain high sales and
earnings growth, thus increasing profits for the organisation. In turn this
pressure and leadership style lead to unethical behaviour that spread
through out the organisation. Followers would knowingly engage in unlawful
and unethical behaviour with the attitude of "I will look out for your
interests in you looking out for mine and the company's" Giampetro-Meyer, A
et al (1998).

The immoral and unethical proceedings of these leader's style addressed the
organisations need to increase its market share by placing its main focus
on profit maximization but failed to address its followers authentic
behaviour and developments. Leaders that "attempt to find short-term fixes
that address the symptoms of the crisis only ensure the organization will
wind up back in the same predicament" George, B. (2009).

On the other hand, examples can also be seen of the effect of servant
leadership. By placing the emphasis on its followers' development and
authentic behaviours, Southwest Airline has remained competitive,
profitable and constantly expanding in the highly aggressive American
airline industry. A case study on the Southwest organisation shows leaders
encouraging followers' development. "We want everyone to be a leader in his
job; you're a leader not just in what you say, but in the way you listen
and respond to others, in what you do and most importantly, how you do it"
Bunz U.K et al (1998). The organization did this by providing constant
training and development at the company's "University of the People". The
training curriculum included leadership development programs for every
employee. The organisations yearly mandatory two-day training for every
follower, re-familiarized everyone with the organization's culture, vision
and identity. Bunz U.K (1998) stated the "because employees perceive that
they are respected, values and informed at all times, they tend to be more
involved in the company and are more highly motivated". In affect,
Southwest used the development of its followers as a motivational tool
which increase performance levels and in turn created more profit for the
organisation.

Servant leaders as a style of leadership in contemporary organisational
environment has shown that there are profitable advantages in placing focus
on their followers' needs, development and authentic behaviour. By making
each follower feel that they are important and a valued member of the
organisation where their input and thoughts are acknowledged, the follower
will in turn want to work hard and go that extra mile for the organisation.
This is because they feel that they are a part of the organisation and not
just an employee. As emphasised by Keith who states that "businesses do not
exist to make money, rather they make money so they can advance its purpose
to serve others". Keith M.K (2009).

Reference List

Avolio, B.J. and Gardner, W.L. (2005). Authentic leadership development:
getting to the root of positive form of leadership. The Leadership
Quarterly, 16, 315-338

Cuilla, J.B (2002). Trust and the future of leadership. The Blackwell guide
to business ethics, 334-351

George, B. (2009). Leading in crisis: learn these seven lessons. Leadership
Excellence, May, 18

Keith, K.M (2009). Servant leaders: observe three basic principles.
Leadership Excellence, May, 18

Giampetro-Mayer, A., Brown, S.J.T., Browne, M.N. and Kubasek, N. (1998). Do
we really want more leaders in business? Journal of Business Ethics, 17,
1727-1736.

Kort, E.D. (2008). What, after all, is leadership? "Leadership" and plural
action. The Leadership Quarterly, 19, 409-425

Bunz, U.K. and Maes, J.D. (1998). Learning excellence: Southern Airlines'
approach. Management Service Quality, Volume 8, Issue 3, 163-168