Leadership in Organizational Settings

Leadership in Organizational SettingsLeadership do-nothing be defined as the qualification to capture, prod, and enable former(a) people to contri yete toward the rough-and-readyness and success of the organizations of which they atomic number 18 members (McShane, S.l., Von Glinow, 2010). The competency persuasions try to identity the characteristics of utile leading. The leading might have specific personality characteristics, much(prenominal) as positive self-concept, integrity, drive, and leading motif, knowledge of the business, cognitive and practical intelligence, and emotional intelligence. too that, the behavioural side of drawship identifies two types of drawing card behaviour, people-oriented and task-oriented (McShane, S.L., Von Glinow, M.A., 2012). The hazard billet of leaders takes the view that effective leader diagnose the situation and adapt their style to fit the situation.There are four leadership styles in path- goal mannikin positionive, rese rveive, participative, and light uponment oriented and several contingencies relating to the characteristics of the employee and of the situation (Bolman Deal, 1991). harmonise to the founders, thither are two other contingency leadership theories include the situational leadership theory and Fiedlers contingency theory. Transformational leaders create a strategic lot, communicate that lot through framing and constitute load toward the vision. In this topic, cultural values in like manner influence the leaders personal values, which is turn influence men or womens leadership practices.1.2 Background of the Comp any(prenominal) AirAsiaIn this assignment, we try to probe the leadership style of AirAsia. AirAsia is an airline come with in Kuala Lumpur, Malaysia. It is focusing on wretched-cost with the dream of making flying possible for every superstar. Tony Fernandes, the CEO of the AirAsia, who is the founder of Tune Air Sdn. Bhd. He is the one who introduced the bud educat e no-frills(prenominal) airline. Now AirAsia is the largest low cost airline in Asia. AirAsia group operates scheduled domestic and international flights to over 400 destinations spanning 25 countries. Its main hub is the Low Cost Carrier Terminal (LCCT) which is located at Kuala Lumpur International Airport (KLIA). The vision of AirAsia is to be the largest low cost airline in Asia and avail three billion people who are currently underserved with poor connectivity and high fares. There are four mission of AirAsia to be the best company to become for whereby employees are treated as part of a big family to build a globally recognised ASEAN brand to accomplish the lowest cost so that everyone screwing fly with AirAsia and sustain the highest quality product, enchanting technology to reduce the cost (Company Profile of AirAsia Berhad, 2013)2.0 CONTENT2.1 Competency spatial relation of leadershipCompetencies encompass a broad range of personal characteristics, including knowledge, skills, abilities, and values. Personal characteristics signifi so-and-sotly influence leadership emergence the perception that someone is a leader in a leadership situation. (Steven L. McShane, Mary Ann Von Glinow, 2010). Leadership competencies can be grouped into seven categories such as emotional intelligenceThe big attribute of effective leaders. The leaders ability to monitor his or her own and others emotions, discriminate among them, and use the information to guide his or her thoughts and actions.IntegrityIntegrity refers to the leaders truthfulness and tendency to translate linguistic process into deeds. This characteristic is sometimes called authentic leadership because the individual acts with sincerity. devolve onDrive represents the inner motivation that leaders posses to pursue their goals and encourage others to move forward with theirs. Drive inspires inquisitiveness, an action orientation, and boldness to take the company into uncharted waters.Leadership motiv ationThe leaders motivating for socialized power to accomplish team or organisational goals. Effective leaders try to gain power so they can influence others to accomplish goals that benefit the team or organization.Self- confidenceThe leaders public opinion in his or her own leadership skills and ability to achieve objectives. Effective leaders are typically extroverted such as outgoing, sociable, talkative, and assertive, but they besides remain humble. knowledgeThe leaders above-average cognitive ability to process enormous amounts of information. Leaders have superior ability to analyze a variety of multifactorial alternatives and opportunities.Knowledge of the businessThe leaders tacit and explicit knowledge close the companys environment, enabling him or her to make more primordial decisions.2.2 Transformational leadershipTransformational leadership is about leading changing the organizations strategies and culture so that they have a burst fit with the surrounding envi ronment. Transformation leaders are change agents who energize and direct employees to new fit out of corporeal values and behaviors. They create, communicate, and exemplification a shared vision for the team or organization, and they inspire followers to accomplish for that vision. Next, Transformational leadership is in particular essential in organizations that require significant alignment with the external environment.There are several elements of transformational leadershipCreate a strategic visionIt refers transformational leaders establish a vision of the companys future state that engages employees to achieve objectives they didnt think possible. Strategic vision creates a higher purpose or superordinate goal that energizes and unifies employees. A strategic vision might originate with leader, but it is just as likely to emerge from employees, clients, suppliers, or other stakeholders.Communicate the visionIt refers transformational leaders communicate meaning and elev ate the importance of the visionary goal to employees. They frame messages around a grand purpose with emotional appeal that captivates employees and other corporate stakeholders. Framing helps transformational leaders establish a common mental model so that the group or bring their visions to life through symbols, metaphors, stories, and other vehicles that occur plain language. Metaphors borrow images of other experiences, thereby creating richer meaning of the vision that has non yet been experienced.Model the visionModeling the vision is similarly important because it builds employee effrontery in the leader. The greater the consistency between the leaders words and actions, the more employees will believe in and be willing to follow the leader.Build load toward the visionBuild commitment toward the vision which is transforming a vision into reality requires employee commitment. Transformational leaders words, symbols, and stories build a contagious en thenceiasm that ener gizes people to adopt the vision as their own. Leaders demonstrate a can do attitude by enacting their vision and staying on course. Their persistence and consistency reflect an image of honesty, trust, and integrity. Lastly, leaders build commitment by involving employees in the process of shaping the organizations vision.ApplicationCompetency Perspective of Leadership1. Leadership motivationToni Fernandes was a leadership motivation leader. He was very accessible to the media was entirely committed to his business. He tries to gain power and influence others to accomplish goals that benefit the team or organization. For example, he wore AirAsias decreed T-shirt and office red rap cap to almost every official function and sometimes he will serve the customers on the mainsheet together with employees. (Tony Fernandes, 2012) He had done this action because he wanted to motivate his employees move toward together to achieve the goals. withal that, Tony Fernandes was an outgoing, so ciable and talkative person. He gave his call in number to all the media representatives, and was himself advertisement for his company. Although he was a Group Chief Executive Officer of AirAsia, but he also remain humble in front of others. Because of his personal characteristic and attitude, he was able to achieve their companys objectives and goals. He had became a trusty example for his employees, so that employees willing to follow him to accomplish the goals.2. IntelligenceTony Fernandes was an intelligence leader. He had superior ability to analyze a variety of opportunities and alternatives. He had a skinny vision of the future because he was exploited the markets opportunities well. AirAsias vision is to be the largest low cost airline in Asia and avail the 3 billion people who are currently underserved with poor connectivity and high fares. (AirAsia Corparate Profile, 2012) Although the context was not very beneficial to enter the market, but Tony Fernandas chose to t ake the risk. He believed that he and his forethought team were able to analyze and manage the opportunities and alternatives with their intelligence. For example, Tony Fernandes had utilise his intelligence and at long last transformed AirAsia from a heavily-indebted subsidiary into an industry player. Besides that, Tony Fernandes had started a hotel chain, Tune Hotels which is based on the no-frills concept by using his intelligence. He had complex in polar industry in the marketplace.3. Knowledge of the businessTony Fernandes had the knowledge about the business and companys environment which can enable him to make more intuitive decisions. For example, Tony Fernandes was the first person who entered the market segment of low costs and no frills. He did not take risks nevertheless by taking over AirAsia, but also in its drastic changes. Since the creation, he continually brought a lot of innovative concepts, such as, booking services for hostels, travel insurance, online bo oking and check-in, car rental, vacation products, credit card or medical care. He also deeply changed the business model of the airline company which is choosing a low-cost and no-frills dodging and moved deplete the value chain. Throughout the changes that had made by Tony Fernandes, we believe that Tony Fernandes had enough knowledge about the business. With this knowledge, he was able to achieve companys objectives and goals.4. DriveTony Fernandes was a leader who motivates and drives his employees (Allstars) to pursue their goals and encourage them to move forward with him. In AirAsia, Tony Fernandes had tried to introduce something in the management philosophy, where he wants people to pursue their dreams, pursue their passion. For example, Tony Fernandess puerility dreams included running an airline, owning an English football club and an owning Formula One racing team. (Tony Fernandes, 2012) Thus, Tony Fernandes decided to achieve and fulfill his dream by buying an be air line and started to transform it into an industry player. At the same time, Tony Fernandes also encourage his employees (Allstars) to pursue their passion and drive them to move toward the goals. He had created an environment where people can learn, grow and do what turns them on. Because of this, employees were being motivated by Tony Fernandes and they started to pursue their goals together with Tony Fernandes.Transformational leadership1. Create a strategic visionTony Fermandes is a chief decision maker officer or director AirAsia Berhad and he is transformational leader because the business model of the airasia are changed by him which is Now everyone can fly a low-cost and no-frills strategy and moved down the value chain. It also has successful swiftly broken travel norms around the globe and has risen to become the best of the world. Tony Fermandes mortgaged his home and sank his savings to invest Airasia Company (Alesia Sion, 2012).Tony Fermandes have develop strategic vi sion of the company to which is Airasia be the largest low cost airline in Asia and serving the 3 billion people who are currently underserved with poor connectivity and high fares. As we know that, nowadays many airplane companies come out different strategies to make their company damp than competitors so he has create a good vision for doing their business once he takeover the company. Form the socio-economic class 2004, Airasia had achieved the low-cost airline awards is the low cost airline in the world. It proved that he successful to accomplish his company vision.2. Communicate the visionNext, Tony Fermandes work gravid to create an environment where employees can learn, grow and do what they should do in company. He also encourages employees to pursue their passions love their jobs at AirAsia based on their environment. Besides that, the nice quoted part every month he spends a day as a baggage-handler every two months, a day as a cabin crew every three months, a day as a check-in clerk (Shashank Nigam, 2009) to describe he always change jobs to get experience with different department. He also established a culture department to pass the message and hold parties. The workplace are different the handed-down hierarchal Asian population which open plan workplace so that all employees can meet him by anytime.3. Model the visionHe also modeled the vision of the company which is to prove that he not only talks also enacts it to let everyone fly by providing low-cost airfares. Furthermore, the CEO Airasia Tony fernandes personal credo is dream the impossible, believe the unbelievable, and never take no for an answer. There was a real example which is started AirAsia Thailand, Tony was asked by a women about she wanna be a pilot, then tony replied that if she qualify he will hire her as a pilot. Lastly, she did and became a first officer and subsequently now she is a full-time victor and flying in the plane (Chris Forrest Harvey, 2012). This show that he let everyone can fly and also let everyone have the opportunity to become his workers help them to achieve their own dreams.4. Build commitment toward the visionLastly, Tony fernandes build commitment toward vision which transforms the vision in reality. He desire to start low-cost airline company then he has create the good vision of the company to let everyone can fly in reality. Therefore, AirAsia keep promote promotion package with low prices for customers to enjoy low prices fly to different places. AirAsia fares are significantly lower than those other airline service providers, websites fares also cheaper than frontline counter price and having free lay promotion to give the customers opportunity to enjoy and also for those who cannot afford the prices. It is to accomplish the vision everyone can fly in reality. Besides that, He break down hierarchy to encourage employees to speak out and breaking down walls for example he sit with his employees in an open floor plan and al so let his contact number to his employees so they can just call, e-mail and SMS him directly and solve it quickly which do not need go through any department. Even the lowest ranking officers also can have his phone number to contact him directly which means he treats everyone as equal and willing to commit to their needs (Shashank Nigam, 2009).DisadvantagesOne main issue in related with Air Asia in leadership in organizational settings in which the competency vista of Tony Fernandes whitethorn have several limitations. The leadership that Tony Fernandes applied might assume that the same personal characteristics are equally important in all situations. This may be false assumption as this perspective is too complex to have universal list of traits to apply to every conditions. Other than Air Asia, Tony Fernandes is the chairwoman for the Queens Park Rangers Football Club. Tony Fernandes keeps defend the football club with his own competency perspective that QPR football club tha t the club can overcome their conflict. This shows that Tony Fernandes had used the same personal characteristics equally in all situations whether in Air Asia or the QPR football club.The second limitations would be that the leadership Tony Fernandes has might influence only peoples perception that someone is leader, not whether Tony Fernandes makes a difference to the organizations success. This perspective only shows Tony Fernandess leadership potential instead of leadership performance. Therefore, it doesnt shows that the effectiveness of Tony Fernandess leadership compares to other perspective of leadership. One issue we can see that in the Air Asia wordpress showed that Tony Fernandes had cheated on the price of the shares of Air Asia. But then it was found out by the Australians effective enforcement that Melboure Federal Court imposed a huge fine of Aussie dollars 300,00 on Air Asia and Air Asia X for this misleading website information cheating its customers concealing char ges of taxes. wherefore does this issue happen? It is simply because the dropping by the angry customers whore also the shareholders that would not trust anymore on Tony Fernandez and Air Asia over their scamming businesses deals and partial deals to the customers.As for transformational leadership applies by Tony Fernandes, it can be only mention in general that leaders that are transformational when they successfully bring out the change, quite a than when they engage in certain behaviors we call transformational. Therefore without the success done by Tony Fernandes towards the vision of Air Asia, Tony Fernandes would not be entitled of this perspective leadership.3.0 testimonialCompetency perspective of leadershipA company can achieve success if the leader can execute that the competencies that is difficult for others to replicate. In this competency perspective of leadership, Tony should organize a team to identify new directions or actions for the whole management. Besides that, he should often organize a meeting of the employee to discuss and wrap up what they will need to do differently as a result of changes in the company. Problem solving or decision making process with the management team will be another alternative for Tony to have a better competency perspective of leadership.Emotional intelligence is an important skill that a leader required to influence his/her employee to perform well in their job. Therefore, Tony should have a good management for his emotional to prevent a conflict with his employee or having a wrong perspective decision due when his emotional level is low. Good leaders know their strengths and limitations, so they able to control their emotions and behaviors. Thus, Tony needs to strive for his personal development by engaging in continuous learning. Based on the learning, Tony should be able to adapt to stressful situations and be able to notice a balance between his work and non-work lives.Lastly, Tony should have a lea dership to maximize the potential of others and motivate them to attain shared goals. He must be able to manage individual and group performance with an understanding of group dynamics and team building. Tony needs to provide the drive for his employees to make them have better work performances. He should be understanding and be empathic toward individuals emotions and be able to resolve conflicts in a respectful manner. One of the ways to motivate the employee is to create a slogan of company to improve mutual relationship between company and employees. Besides that, Tony should play as a role model with competency attributes for his employees, and that will create a drive to make them set Tony Fernandes as a target to surpass.Transformational leadershipTransformational leaders have the capability to successfully achieve the objective because of four attributes which including charisma, the ability to provide inspirational motivation, the ability to stimulate intellectually, and t he ability to offer individualized consideration. harmonise to Barnerji and Krishnan (as citied in Kasturi, 2012) a good transformational leader must possess the ability of articulating a convincing and realistic vision and focus others towards a new critical path. In certain circumstances, a company may need to be redesigned to support the whole transformational leadership.As we know, create a strategic vision is a fundamental element of a transformational leader to become successful. Tony Fernandes need to create and communicate his vision thus stimulate discussions with his subordinates. For example, he may run brainstorming meetings with the subordinates to present new organizational models. With this, the employees will be more understand on the company objectives and to have better job performances. Charisma is another important component to which a leader to behaves in commendable ways that cause employees to identify with the leader. Tony also needs to be a role model for t heir followers with having a clear set of values and demonstrating them in every decision. The leader and followers must build a mutual trust between each other on a solid moral and ethical foundation (Covey, 2007).Besides that, the leader must create an inspirational motivation for the employees as the motivation is appealing and inspiring to employees. For example, Tony Fernandes can communicate optimism about future goals with his employees to provide a motivation for them to perform better in the work field. It is important that this visionary aspect of leadership be supported by communication skills that allow the leader to articulate his vision with precision and power in a convincing and persuasive way. Therefore, a good communication skill is required to complete this element of being a transformational leader.Furthermore, Tony should acts as a mentor or instructor to the employee and listens to their apprehensions and needs. Tony can encompass the need to respect and celebr ate with the employees for their individual contribution for the company. Tony can reward to those contributed employees for their good performance in job, this can motivate the employee to have a better commitment on their job. This way not only educates the next generation of leaders, but also fulfills the individuals need for self-actualization, self-fulfillment, and self-worth. It also naturally propels followers to further achievement and growth.According to Burns (as citied in Arachchi, 2012), it show that transformational leader as reflecting the traits and behaviors are required for initiating change. These leaders need to identify themselves as change agents and take responsibility for transformation. Generally, they are risk takers and courageous, believe in and trust people, have a clear values in motivation. In other words, Tony needs to deal with complexity, ambiguity and uncertainness and share his vision with the employees. To fulfill this element, Tony should show h is confidence of taking risk in doing business and prove to his employees that he has the ability to do so. With that, the employees will be influenced by his leadership and help the company to achieve the goal.Recommendations Other Relevant TheoryOther than competency and transformational perspective leadership, there is another theory that can be applied by Tony Fernandes to solve the problem which is implicit leadership perspective. The competency and transformational leadership perspectives make the basic assumption that leaders make a difference. However, leadership also involves followers perception about the characteristics and behaviors of a leader. This perceptual perspective of leadership is collectively called implicit leadership theory (Steven L. McShane, Mary Ann Von Glinow, 2010).According to the implicit leadership theory, everyone has leadership prototypes which they use to evaluate the leaders effectiveness. Employees are more willing to allow someone to influence them as a leader if that person looks and acts like their prototype of a leader. Tony Fernandes should possess a good leadership prototype as he is the CEO of Airasia. These prototypes can be developed through socialization within the family and society, shape employees expectations and acceptance of others as leader, and this in turn affects employees willingness to serve as followers. Such leadership prototypes not only support Tony Fernandess role as a leader, they also form employees perception of the leaders effectiveness. If Tony Fernandes acts consistently with employees prototypes, they are more likely to believe that he is an effective leader.Besides that, as mentioned earlier, the leadership that Tony Fernandes applied might assume that the same personal characteristics are equally important in all situations, but this may be false assumption as this perspective is too complex to have universal list of traits to apply to every conditions. Therefore, the contingency perspe ctive of leadership plays an important role to help Tony Fernandes to solve the problem. The contingency perspective of leadership is based on the idea that most appropriate leadership style depends on the situation. It assumes that effective leaders must be both insightful and flexible (Steven L. McShane, Mary Ann Von Glinow, 2010). Tony Fernandes should put efforts to choose and enact different styles to match the uncertainty situation. Moreover he must have high emotional intelligence so that he can diagnose the circumstances and match his behaviors accordingly.4.0 CONCLUSIONThe studied prove that there are two leadership theories have been implementing in the company, AirAsia competency perspective of leadership and transformational leadership. There are seven dimensions has been found in competency perspective of leadership such as emotional intelligence, integrity, drive, leadership motivation, self-confidence, intelligence and knowledge of the business. However, Tony Fernande s only apply leadership motivation, intelligence, drive and knowledge of business in his business. Emotional intelligence and drive are recommended implement to the business to prevent the conflict with the employees and to increase the team performance. For the transformational leadership, it emphasizes to create a strategic vision, communicate the vision, modeling and build commitment toward the vision. In this case, Tony Fernandes has successfully applied all the four dimensions of the transformational leadership in the business.In the recommendation part, the need to create and communicate vision thus stimulate discussion with subordinates is a must to Tony Fernandes. He also need to create an inspirational motivation for the employees and communicate with employees will help them perform better in their work field. Hence, a good communication skill is required to being a transformational leader. Besides that, Tony needs to deal with complexity, ambiguity and uncertainty and als o share his vision with the employees to influence them perform well to achieve the goal. There are some points can be identified and apply to other applicable theory, for example, implicit leadership theory. Implicit leadership theory emphasize the importance of involves followers perception about the characteristics and behaviors of the leader. And this point not mentioned in the competency and transformational leadership theories.