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195
CChhaapptteerr –– 66
SSuuppeerrvviissoorr RReellaattiioonnss
&& CCoommppaannyy
LLeeaaddeerrsshhiipp
196
INTRODUCTION
“Developing Leadership is the key to competitiveness. It is about
expanding Inner Wealth” (Anil Sachdev)
In modern organizations operating, knowledge based economies it is now widely
recognized that traditional ‘command and control’ management systems, characterized
by central planning, management by objectives and carefully controlled implementation
are increasingly ineffective, for two principal reasons.
Firstly they are based on an assumption that the brains of the organization are at the top
– that the detailed knowledge for how to improve and sustain performance will come
from an all knowing senior management, or policy making team – while in fact the
people who know best how to improve products, services and systems are those who
work with them, day in and day out.
The second reasons for its failure are the long time periods that centralized management
processes require for decision-making and change. In markets where success goes to
those who can innovate and adapt most rapidly ‘command and control’ is destined to
fail. As an alternative to ‘command and control’ many organizations are now making a
shift to manage organizations through the development of a set of guiding ideas, or
principles that are designed to ensure that decision-making can be distributed widely
throughout the organization.
“The very essence of leadership is that you have to have a vision. It's got to be a vision
you articulate clearly and forcefully on every occasion" - Theodore Hesburgh,
President of the University of Notre Dame
197
A company must have ‘principle based leadership’ rather than command and control as
principle based leadership demands commitment while command and control leads to
compliance. Some of the companies fail in the leadership because of transitions to
principle-based leadership can also fail because of the perceived impossibility or naivety
of the guiding ideas. As clarity about the ideas develops so does understanding of the
practical difficulties associated with bridging the gap between current reality and the
future.
THEORIES ABOUT LEADERSHIP
There are numerous theories about leadership especially the organizational theories of
leadership (Yukl & VanFleet, 1992).Also the different roles carried out by the leader,
e.g., servant leader, democratic leader, principle-centered leader, group-man theory,
great-man theory, traits theory, visionary leader, total leader, situational leader, etc.
Many of the theories of leadership today have charisma
A leader, is defined as
"Someone who occupies a position in a group, influences others in accordance with the
role expectation of the position and co-ordinates and directs the group in maintaining
itself and reaching its goal"1
Therefore, the term leadership, would be an expansion of this definition, being the
"process of influence between a leader and his followers to attain group,
organizational and societal goals"2
Some forms of leadership exist in all groups, with the central attribute being social
influence. The leader is the person who has the most impact on a group’s behavior and
beliefs.
1 (Raven, 1976, p. 37)
2 (Avery, 1990, p. 453)
198
"He or she is the one who initiates action, gives order, makes decisions, settles disputes
between group members, offers encouragement, serves as a model, and is in the fore-
front of group activity "3
Leadership itself has been accompanied throughout time, by numerous theories, all
claiming to answer the question, Are leaders born or made? Those who accept the
verdict, that leaders are born and not made, maintain,
"... that there are certain inborn qualities such as initiative, courage, intelligence and humor, which altogether pre-destine a man to be a leader ... the essential pattern is given at birth"4
Two leadership theories which concentrate on this point are the Great man/great
woman and the Trait theories. The great man/great woman theory, accordingly to
Wrightsman, involves its followers believing that major events, both nationally and
internationally, are influenced by those persons in power.
"A sudden act by a great man could, according to this theory, change the fate of the nation"5
The trait theory expands further on this conjecture, by concentrating on the personal
characteristics of the leader. The theory, which until the mid-1940s formed the basis of
most leadership research, cited traits believed to be characteristic of leaders, the list of
which grew in length over the years, to include all manner of physical, personality and
cognitive factors, including height, intelligence and communication skills. However, few
traits emerged to conclusively differentiate leaders from non-leaders. The traits an
individual has may, increase the probability that a person will become a leader, though
whether such leadership is guaranteed, is uncertain. Nevertheless, it can be seen to be
true that some people are more likely than others to assume leadership positions.
3 (Sears, 1988, p. 400)
4 (Adler, 1991, p. 4) 5 (Wrightsman, 1977, p. 638)
199
"The research on trait theories of leadership has shown that many other factors are
important in determining leader success, and that not everyone who possesses these
traits will be a leader"6
As interest in the trait approach to leadership declined, researchers focused their
attention on the leader's actions rather than their attributes, which led to the
emergence of the behaviorist theories. The most widely publicized exponent of this
approach was Robert Blake and Jane Mouton's Managerial Grid, which
attempted to explain that there was one best style of leadership, by various
combinations of two factors regarding a concern for production and people. Five
leadership styles were determined from this research, of which one, the team
management style was deemed as preferable.
Due to the disillusionment with the fore-mentioned trait theory, the situational
approach arose, which suggested that the traits required of a leader differed, according
to varying situations. The situational approach, which predominated in the 1950s, held
that whether a given person became a leader of a group, had nothing to do with his/her
personality, but had everything to do with such factors as the flow of events and
circumstances surrounding a group. To put it simply, the leader was a person who was
in the right place at the right time.
"Rather than a great man causing a great event to happen, the situational approach
claims that great events are the product of historical forces that are going to happen
whether specific leaders are present or not "7
Unfortunately, this theory still didn’t answer why one member of a group emerged as
the leader, rather than another, or why one particular leader proved to be a better leader
in some situations than another. The emergence of a related theory, the interactionist
approach, attempted to explain the existing anomalies.
6 (Adler, 1991, p. 267)
7 (Adair, 1984, p. 8)
200
The interactionist theory, proposed that both the characteristics of the individual, and
the situation in which the group found itself, accounted for who would become the
leader. Resulting from this theory, was the view that leaders are both born and made,
due to the leader requiring certain abilities and skill, but as the situation and the needs
of the group changed, so too the person acceptable as leader changed.
Fiedler's contingency theory of leadership effectiveness was one theory which evolved
from this interactions approach. It related the effectiveness of the leader, to aspects of
the situation in which the group operated, suggesting that factors such as the task
structure, the leaders personal relations with the group and his/her power basis,
interact to determine what style of leadership would be effective for the situation, i.e. a
task-oriented or group-oriented approach.
"At one extreme, is the leader who values successful interpersonal relations to the
exclusion of task accomplishment. The leader at the other extreme, places the highest
value on task accomplishment, at the expense of interpersonal relations"8
To determine whether a leader was task-oriented or group-oriented, Fiedler devised a
model, which used as its basis, the measurement of a leader's perceptions and relations
to the least preferred co-worker (LPC), with whom he/she has ever worked with. Those
with a high score, were deemed group-oriented, while those with a low score, were task-
oriented. Fiedler's research concluded, that a task-oriented approach was more effective
when conditions were either highly favorable (good leader/group relations, strong
leadership position and a clear task structure) or, highly unfavorable (poor leader/group
relations, weak leadership position and an ambiguous task).
A group-oriented approach was deemed as preferable, when conditions were
comparatively stable, so more attention is paid to the preservation of group
relationships, to starve off conflict and inefficiency which could eventuate from any
disharmony in the group setting. Research has demonstrated that men are expected to
have high levels of agented attributes (independent, Masterful, assertive, competent)
and the women are expected to have high levels of communal attributes (friendly,
8 (Saks, 1988, p. 490)
201
unselfish, concerned with others , emotionally expressive).When these expectations are
held up to expected leadership behaviors required of supervisors and managers ,
disconnections emerge. Leadership is significantly correlated with masculinity (Bem,
1974; Carmichael, 1995)
From this research, we can discern , that there are no necessarily good or bad leadership
styles, but their effectiveness depends on how appropriate they are to the group
situation. However, Fiedler's theory had its critics, who questioned its use of a model to
measure leadership style and situational favorability, and emphasized, and emphasized
its inconclusiveness. Still, Fiedler's theory was not the only interactionist theory
circulating during the time period concerned, although, each differed slightly in their
prime objectives.
Robert House's path-goal theory proposed a leader 's effectiveness was based on a
leader's ability to raise satisfaction and motivation in-group members, by use of an
incentive scheme to reward or punish those responsible for success or failure in
reaching group objectives. In order to accomplish these goals, a leader would be
required to adopt differing styles of leadership behavior as the situation dictated.
Varying, but related to this view, is Vroom and Yetton's normative theory, which focused
on the degree of participation, a leader should allow, in making any given decision, and
the selection of an approach which would maximize benefits, and a t the same time,
minimize potential obstacles to the groups goals.
An examination of the relationship between leaders and group members, and how
different kinds of relationships develop with different individuals, was the main concern
of yet another interactions theory, the vertical dyad linkage theory. Such factors as age,
experience and knowledge of the task, can affect a members standing with the leader;
i.e. an older experienced worker with extensive knowledge of a task would be able to
work largely unsupervised, whilst, a relatively inexperienced worker, would require a
higher degree of supervision.
Emotions are an integral part of organizational life, and they have applications to
leadership (Ashforth and Humphrey, 1995).
202
From a review of leadership theories, it is obvious, that there are no best leadership
styles. Leaders are rarely totally group or task-oriented; group members and the
situation itself, all influence leaders effectiveness. The leader needs to be aware of his
own behavior and influence on others, individual differences of group members, group
characteristics, task structure, environmental and situational variables, and adjust his
leadership style accordingly. Leadership needs to be adaptive. Many of the theories of
leadership today have charisma as their core concept Kuchinke (1999). Weber (1968),
initially defined charisma as a “quality of an individual personality, by virtue of which he
is set apart from ordinary men treated as endowed with supernatural, superhuman, or
at least specifically exceptional qualities”.
The functions of leadership are many and varied, depending upon the basic problem
with a group must deal with, and the type of leadership style in action, which is
dependent on the leader’s basis of power which is discussed in the next chapter by the
researcher.
203
INTRODUCTION TO POWER & POLITICS
Power and Politics are fundamental concepts for understanding behavior in
organizations. Generally effects of power, range from budget allocation among sub-units
to executive succession to design and redesign of formal organizational structure
(Pfeffer, 1978). Recent research and observation have identified a number of factors that
appeared to encourage the use of power termed as political behavior.
THE CONCEPT OF POWER
Organizational politics and power is it inevitable? A recent study suggests that it’s more
myth and interpretation than reality. In this study the respondents have felt that politics
and the use of power is a normal part of any decision-making process.
Power is defined in a variety of ways. An element of relationship among social actors can
be found in most of the definitions. Individuals, subunits or organizations can be the
actors. A social actor X has power over social actor Y if X can get Y to do something that
Y would not have done otherwise. Therefore, power is a force or ability sufficient to
change probability of Y’s behavior. This example is given based on the dependency
relationship that exists in power.
FORMATION OF POWER
Individuals in the organizations want to exert influence, and earn awards. Every
individual for that matter wants advance in their careers. From the literature study it is
found that most of the studies have focused on superior-subordinate relationship.
Parrow (1970) believes that power is a structural phenomenon resulting from division of
labor and departmentation.
204
MEANING OF POWER
Power is the ability to influence people and events. The term power may be applied to
individuals, groups, teams, departments, organizations and countries. It is a social term:
that is, an individual has power with relation to others, teams and so on. The concept of
power characterizes interactions among people.
Pfeffer(1978) defines power as a process that involves those activities taken within the
organizations to acquire ,develop ,and use power and other resources to obtain one’s
preferred outcomes in a situation in which there is uncertainty and dissension about
choice. Various factors contributing to the formation of political behavior may be
individual characteristics that may be derived from the unique qualities of the
individuals and the organization’s factors like the culture of the company and its
internal environment.
Most of the companies use power in one form or the other. There is a common
hypothesis relating power and politics to performance. It states that ‘the greater the use
of power and politics in organizational decision making, the lower the level of
performance’. Generally there is no data to suggest that power and politics lead to
problems in performance.
Unlike the determinants of power that is the capacity to use any of the bases of power
like reward power, coercive power, referent power, legitimate power or expert power,
there are the consequences of power. They are the budget allocations, win-loss record in
debated issues, ability to authorize exceptions to policy, authority to hire and fire others.
POWER IN ORGANIZATIONS
The view of power in the reengineering literature is reflected in the approach it takes to
empowerment. Power is a commodity to be exchanged and utilized. Its source can be
discerned and its distribution can be controlled. It is treated as though it has an
objective reality. Many reject this notion. Power is socially constructed within the
organization and is not just commodity that can be taken from one and given to another.
205
Power accrues through organizational discourse where a member is discussed to be
powerful and where those that control the text have the power. Power is a relationship
that is held between those with and those without power, it is symbolic.
Power, in the case of leadership, is divided into six categories, however, each can be
linked with another, as they are inter-related. Expert and Informational power are
concerned with skills, knowledge and information, of which the holders of such abilities,
are able to utilize, to influence others i.e. technicians and computer personnel. Reward
and Coercive power, differ from the previously mentioned, as they involve the ability to
either reward or punish persons being influenced, in order to gain compliance.
Legitimate power, is power which has been confirmed by the very role structure of the
group or organization itself, and is accepted by all as correct and without dispute, such
as in the case of the armed forces or the police force. Referent power, on the other hand,
involves those being influenced, identifying with the leader, i.e. rock or film
personalities using their image to enter the political arena.
Most leaders make use of a combination of these six types of power, depending on the
leadership style used. Authoritarian leaders, for example, use a mixture of legitimate,
coercive and reward powers, to dictate the policies, plans and activities of a group. In
comparison, a democratic or participative leader would use mainly referent power,
involving all members of the group in the decision-making process.
ORGANIZATIONAL POLITICS
Lasswell (1936) argues that politics is ‘who gets what, when and how’. He feels that
politics includes those behaviors through which power is developed and used. When the
individuals want to exert their influence and advance in their career they convert their
power into action, and this is termed as being engaged in politics.
206
Christopher and Dipboye et al (1995) defines organizational politics as the process that
refers to intentional behaviors that are designed to enhance or protect a person’s
influence and self-interest.
Political behavior in organizations can be understood by Robbins (1997), as those
activities that are not required as part of one’s formal role in the organization, but that
influence, or attempt to influence, the distribution of advantages and disadvantages
within the organization.
Politics in general, is characterized by-
• Disagreement
• Diversity
• Scarcity
• Interest (Helga Drummond, 2000)
The individual factors that contribute for the formation of political behavior are:
• Self –Monitoring
• Internal locus of control
• Need of power
Individuals high on these dimensions tend to engage in political behavior. They are
more sensitive to social cues, exhibit higher levels of social conformity and are more
likely to be highly skilled in political behavior. They believe that they can control their
environment and are more prone to take a proactive stance and attempt to manipulate
situations in their favor. These individuals exhibit Machiavellian personality that which
has the will to manipulate and have the desire for power.
Newstrom and Keith Davis(2000) feels that organizational politics is used to design
certain behaviors required for the employees, and these behaviors in turn help to attain
a promotion, and gain personal visibility.
207
Organizational factors that contribute to the politicking are:
• When the organization’s resources are declining
• When the existing resources are changing
• When there is opportunity for promotions.
If low trust, role ambiguity, unclear performance evaluation systems minimum reward
allocation practices and high pressures for performance characterize an organization’s
culture, there exists the political behavior. Promotion decisions have consistently been
found to be one of the most political in organizations.
Individuals when in a group are forced to attach themselves into certain group norms.
Group norms are a set of beliefs, feelings and attitudes commonly shared by group
members. They can also be referred to as rules or standards of behavior that apply to
group members. Helga Drummond (2000) feels that most norms develop in one of the
following four ways:
• Many norms develop because members bring their past experiences from other groups in
other organizations.
• Primacy is another way of forming group norms. Primacy refers to the first behavior
pattern that emerges in a group.
• A critical incident in the life of an organization often asserts a precedent.
• Explicit statements made by supervisors of co-workers themselves may become norms.
These group norms play a very important role in the formation of power and the politics
developed in the group. Most public sectors use the subjective criteria in the appraisal
emphasizing on the single outcome measure and this creates ambiguity and for the
emergence of politicking. The more an organization’s culture emphasizes the zero-sum
or win-lose approach to reward allocations, the more employees will be motivated to
engage in politicking.
208
ADVANTAGES OF POWER AND POLITICS
Of course there exist advantages to the organizations because of power and politics. One
of the greatest advantages is that politicking facilitates organizational change and
adaptation to new environment. George (1972) has pointed out a strategy called multiple
advocacy system. This is a mixed situation in which a company adopts centralization of
the process in order to maintain and make use of internal diversity, conflict and
competition.
There is another issue confronting political perspective is about the role of a manager.
But from the studies of Pfeffer (1978), it is found that though the manager has an
advanced degree, it did not have any significant effect on a manager’s success. Managers
who are typically inexperienced , with lower incomes and more limited responsibilities
have a view of considering organizations as political jungles. When employees see the
people on top engaging in political behavior, especially when they do so successfully and
are rewarded for it, a climate is created that supports politicking.
It is also true that absolute power corrupts the organizational climate. Power as such has
two faces: one negative and other positive. A negative power is associated with abuse,
exploiting others and indulges in activities to merely accumulate status symbols.
Positive power is characterized by a concern for group goals, helping the group to
formulate its goals and providing group members the support needed to achieve those
goals.
Some of the tactics suggested by Allen R.Cohen and David L.Bradford, (1990), to gain
political power may be as follows:
• Treat the other party as a potential ally
• Specify your objectives.
• Learn about other party’s needs, inters and goals.
• Inventory your own resources to identify something of value you can offer.
• Assess your current relationship with the other person
• Decide what to ask for and what to offer
• Make actual exchange that produces a gain for both parties.
209
This process requires continual give-and-take as a means to gain influence and draws
heavily on the norm of reciprocity.
The survey made by Jeffrey and Kharbanda reveals that
• Politics is common in most organizations
• Managers must be good at politics to succeed
• Politics become more important at higher levels
• Politics can detract from organizational efficiency.
From this one can infer that managers should realize that political power comes from
the support of key individuals as well as the group around them. Therefore it is the
leader’s ability to work with people and social systems to gain their allegiance and
support.
The leader or the manager or the individual must be alert to save their face, engaging in
horse trading, making trade-offs, mending fences, developing indigenous compromises
and engaging in a variety of other activities. This is because most employees are, vitally
interested in their own career success. These employees feel that modern public sector
organizations and its structure provide a fertile place for politics to thrive.
To conclude power is needed to run an organization. All the five bases of power is
utilized in one way or the other as each of the power has an effect on the employees,
ranging from compliance to commitment. Organizational politics is the use of various
behaviors that enhance and protect a person’s influence and self-interest. In general, a
broad range of interpersonal skills is essential for leaders, both for their personal
success and for smoothing the path to employee performance.
TABLE No: VI – 1
Table showing the distribution of response in number and percentage for the
question “My supervisor delegates me enough authority to perform my job
efficiently”
Respondents Strongly Agree
Initial Response (2004)
134
Percentage 13.4%
Revisited
Response (2008) 42
Percentage 4.2%
176
Average 8.8%
Source: Data collected through field survey
Graph No: V1I – 1
Graph showing the distribution of response in percentage for the question “My
supervisor delegates me enough authority to perform my job efficiently”
13.4%
4.2%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
Strongly
Agree
Re
spo
nd
en
ts
Table showing the distribution of response in number and percentage for the
question “My supervisor delegates me enough authority to perform my job
Strongly Agree Agree Undecided Disagree
Strongly Disagree
376 187 237
13.4% 37.6% 18.7% 23.7% 6.6%
168 238 321
4.2% 16.8% 23.8% 32.1% 23.1%
544 425 558
8.8% 27.2% 21.3% 27.9% 14.9%
Source: Data collected through field survey
Graph showing the distribution of response in percentage for the question “My
e enough authority to perform my job efficiently”
Respondent’s Responses
37.6%
18.7%
23.7%
16.8%
23.8%
32.1%
Agree Undecided Disagree
210
Table showing the distribution of response in number and percentage for the
question “My supervisor delegates me enough authority to perform my job
Strongly Disagree Total
66 1000
6.6%
231 1000
23.1%
297
14.9% 100
Graph showing the distribution of response in percentage for the question “My
e enough authority to perform my job efficiently”
6.6%
23.1%
Strongly
Disagree
Initial
Response
Revisited
Response
211
Interpretation of Table & Graph No: VI – 1
13.4% of the respondents have rated as strongly agree for the question “My
supervisor delegates me enough authority to perform my job efficiently” in the
initial response.
37.6% of the respondents have rated as agree, and 18.7% of the respondents were
undecided.
While 23.7% of the respondents have rated as disagree, 6.6% of the respondents
have rated as strongly disagree for the question “My supervisor delegates me
enough authority to perform my job efficiently” in the initial response.
In the revisited response, 4.2% of the respondents have rated as strongly agree
and 16.8% of the respondents have rated as agree.
23.8% of the respondents remained undecided in the revisited response.
A majority of 32.1% of the respondents have rated as disagree and around 23.1%
have rated as strongly disagree for “My supervisor delegates me enough authority
to perform my job efficiently”.
Inference:
Empowerment is key for high performance. IT industries employ young people,
they aspire fast growth. It’s necessary for the organizations to have a right balance
in providing empowerment. Empowerment without responsibility does not serves
any purpose. Similarly when responsibilities are given to employee managers
should to able to provide enough authority.
TABLE No: VI – 2
Table showing the distribution of response in number and percentage for the
question “My supervisor creates a cordial environment,
my best”
Respondents Strongly Agree
Initial Response (2004)
164
Percentage 16.4%
Revisited
Response (2008) 48
Percentage 4.8%
212
Average 10.6%
Source: Data collected through field survey
Graph No: V1I – 2
Graph showing the distribution of response in percentage for the question “
supervisor creates a cordial environment, which helps me to deliver my best”
16.4%
4.8%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
Strongly
Agree
Re
spo
nd
en
tsTable showing the distribution of response in number and percentage for the
question “My supervisor creates a cordial environment, which helps me to deliver
Strongly Agree Agree Undecided Disagree
Strongly Disagree
387 154 187
16.4% 38.7% 15.4% 18.7% 10.8%
175 224 387
4.8% 17.5% 22.4% 38.7% 16.6%
562 378 574
10.6% 28.1% 18.9% 28.7% 13.7%
Source: Data collected through field survey
Graph showing the distribution of response in percentage for the question “
supervisor creates a cordial environment, which helps me to deliver my best”
Respondent’s Responses
38.7%
15.4%
18.7%17.5%
22.4%
38.7%
Agree Undecided Disagree
212
Table showing the distribution of response in number and percentage for the
which helps me to deliver
Strongly Disagree Total
108 1000
10.8%
166 1000
16.6%
274
13.7% 100
Graph showing the distribution of response in percentage for the question “My
supervisor creates a cordial environment, which helps me to deliver my best”
10.8%
16.6%
Strongly
Disagree
Initial
Response
Revisited
Response
213
Interpretation of Table & Graph No: VI – 2
16.4% of the respondents have rated as strongly agree in the initial response for
“My supervisor creates a cordial environment, which helps me to deliver my best”.
A majority of 38.7% have rated as agree, and 15.4% were undecided.
18.7% of the respondents have rated as disagree and 10.8% have rated as
strongly disagree in the initial response for “My supervisor creates a cordial
environment, which helps me to deliver my best”.
In the revisited response, 4.8% has rated as strongly agree and 17.5% have rated
as agree for “My supervisor creates a cordial environment, which helps me to
deliver my best”.
22.4% were undecided in the revisited response.
A majority of 38.7% of the respondents have rated as disagree and 16.6% of the
respondents have rated as strongly disagree for “My supervisor creates a cordial
environment, which helps me to deliver my best”.
Inference:
Employees leave managers, not organizations this has been proved through many
researches. The interpretation shows that though there was a favorable response in
the initial response, the revisited response shows a dip in supervisor’s favorability.
It is very essential for organizations to train their managers in handling different
business situations. The manager’s real test is how they handle tough situations
especially when the environment is not conducive.
TABLE No: VI – 3
Table showing the distribution of response in number and percentage for the
question “My Company is a leader in the industry”
Respondents Strongly Agree
Initial Response (2004)
243
Percentage 24.3%
Revisited Response (2008)
187
Percentage 18.7%
430
Average 21.5%
Source: Data collected through field survey
Graph No: V1I – 3
Graph showing the distribution of response in percentage for the question “My
Company is a leader in the industry”
24.3%
18.7%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
Strongly
Agree
Re
spo
nd
en
ts
he distribution of response in number and percentage for the
question “My Company is a leader in the industry”
Strongly Agree Agree Undecided Disagree
Strongly Disagree
423 103 177
24.3% 42.3% 10.3% 17.7% 5.4%
328 189 189
18.7% 32.8% 18.9% 18.9% 10.7%
751 292 366
21.5% 37.6% 14.6% 18.3% 8.1%
Source: Data collected through field survey
raph showing the distribution of response in percentage for the question “My
Company is a leader in the industry”
Respondent’s Responses
42.3%
10.3%
17.7%
32.8%
18.9% 18.9%
Agree Undecided Disagree
214
he distribution of response in number and percentage for the
Strongly Disagree Total
54 1000
5.4%
107 1000
10.7%
161
8.1% 100
raph showing the distribution of response in percentage for the question “My
5.4%
10.7%
Strongly
Disagree
Initial
Response
Revisited
Response
215
Interpretation of Table & Graph No: VI – 3
24.3% have rated as strongly agree, and a majority of 42.3% have rated as agree
for “My Company is a leader in the industry”.
10.3% were undecided in the initial response.
17.7% of the respondents have rated as disagree and 5.4% have rated as strongly
disagree.
In the revisited response, 18.7% have rated as strongly agree and a majority of
32.8% have rated as agree.
18.9% were undecided in the revisited response.
Similarly 18.9% of the respondents have rated as disagree and 10.7% have rated
as strongly disagree for “My Company is a leader in the industry” in the revisited
response.
Inference:
Every company cannot be a leader. However each organization can have its own
USP and be different in the competition. Employees would always expect their
company to be unique in its own way.
TABLE No: VI – 4
Table showing the distribution of response in number and percentage for the
question “My Company is a strong competitor in key growth areas”
Respondents Strongly Agree
Initial Response (2004)
228
Percentage 22.8%
Revisited
Response (2008) 178
Percentage 17.8%
406
Average 20.3%
Source: Data collected through field survey
Graph No: V1I – 4
Graph showing the distribution of response in percentage for the question “My
company is a strong competitor in key growth areas”
22.8%
43.2%
17.8%20.3%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
50.0%
Strongly
Agree
Re
spo
nd
en
ts
he distribution of response in number and percentage for the
question “My Company is a strong competitor in key growth areas”
Strongly Agree Agree Undecided Disagree
Strongly Disagree
432 118 165
22.8% 43.2% 11.8% 16.5% 5.7%
342 176 196
17.8% 34.2% 17.6% 19.6% 10.8%
774 294 361
20.3% 38.7% 14.7% 18.1% 8.3%
Source: Data collected through field survey
Graph showing the distribution of response in percentage for the question “My
company is a strong competitor in key growth areas”
Respondent’s Responses
43.2%
11.8%
16.5%
34.2%
17.6%19.6%
38.7%
14.7%
18.1%
Agree Undecided Disagree
216
he distribution of response in number and percentage for the
Strongly Disagree Total
57 1000
5.7%
108 1000
10.8%
165
8.3% 100
Graph showing the distribution of response in percentage for the question “My
5.7%
10.8%8.3%
Strongly
Disagree
Initial
Response
Revisited
Response
Averaging
217
Interpretation of Table & Graph No: VI – 4
22.8% of the respondents have rated as strongly agree in the initial response for
“My Company is a strong competitor in key growth areas”.
While a majority of 43.2% has rated as agree in the initial response, and 11.8%
were undecided.
16.5% have rated as disagree and 5.7% have rated as strongly disagree for “My
Company is a strong competitor in key growth areas” in the initial response.
In the revisited response 17.6% of the respondents were undecided.
17.8% have rated strongly agree, and a majority of 34.2% have rated as agree for
“My Company is a strong competitor in key growth areas”.
In the revisited response 18.1% of the respondents have rated as disagree and
8.3% have rated as strongly disagree.
Inference:
Every organization should have its key growth area. This helps them to be different
from the competition and also would help them to be innovative in their own way.
Engaging employees through different forums to contribute ideas and share leads
are essential for complete development.
TABLE No: VI – 5
Table showing the distribution of response in number and percentage for the
question “My Company’s leadership has a clear vision of the future”
Respondents Strongly Agree
Initial Response (2004)
198
Percentage 19.8%
Revisited
Response (2008) 127
Percentage 12.7%
325
Average 16.3%
Source: Data collected through field survey
Graph No: V1I – 5
Graph showing the distribution of response in percentage for the question “My
Company's leadership has a clear vision of the future”
19.8%
58.7%
9.8%
8.6% 3.1%
Initial
Response
Strongly
Agree
Agree
Undecided
Disagree
Strongly
Disagree
ibution of response in number and percentage for the
question “My Company’s leadership has a clear vision of the future”
Strongly Agree Agree Undecided Disagree
Strongly Disagree
587 98 86
19.8% 58.7% 9.8% 8.6% 3.1%
298 287 173
12.7% 29.8% 28.7% 17.3% 11.5%
885 385 259
16.3% 44.3% 19.3% 13.0% 7.3%
Source: Data collected through field survey
Graph showing the distribution of response in percentage for the question “My
Company's leadership has a clear vision of the future”
Respondent’s Responses
19.8%12.7%
29.8%
28.7%
17.3%
11.5%
Revisited
Response
218
ibution of response in number and percentage for the
Strongly Disagree Total
31 1000
3.1%
115 1000
11.5%
146
7.3% 100
Graph showing the distribution of response in percentage for the question “My
Revisited
Response
Strongly
Agree
Agree
Undecided
Disagree
Strongly
Disagree
219
Interpretation of Table & Graph No: VI – 5
19.8% of the respondents have rated as strongly agree, and 58.7% have rated as
agree for “My Company’s leadership has a clear vision of the future” in the initial
response.
9.8% of the respondents were undecided in the initial response.
8.6% of the respondents have rated as disagree, and 3.1% have rated as strongly
disagree in the initial response.
In the revisited response a good number, 28.7% of them were undecided in their
response.
12.7% of the respondents have rated as strongly agree, and 29.8% have rated as
agree.
While 17.3% rated as disagree, 11.5% have rated as strongly agree for the
question “My Company’s leadership has a clear vision of the future” in the revisited
response.
Inference:
The leadership team in organizations should be clear on their vision for the future.
They should be able to visualize the changing marketing situations and should be
able to make quick decisions in navigating organizations directions.
Leadership team should be felt by all in the organizations. Different channels for
their interaction with the employees should be enabled. Open house meets,
quarterly meets etc should be a common thing.
220
TABLE No: VI – 6
Table showing the distribution of response in number and percentage for the
question “My Company’s leadership has made changes which are positive for the
company”
Respondents Strongly Agree Agree Undecided Disagree
Strongly Disagree Total
Initial Response (2004)
154 368 189 176 113 1000
Percentage 15.4% 36.8% 18.9% 17.6% 11.3%
Revisited
Response (2008) 109 387 328 148 28 1000
Percentage 10.9% 38.7% 32.8% 14.8% 2.8%
263 755 517 324 141
Average 13.2% 37.8% 25.9% 16.2% 7.1% 100
Source: Data collected through field survey
Graph No: V1I – 6
Graph showing the distribution of response in percentage for the question “My
Company’s leadership has made changes which are positive for the company”
Respondent’s Responses
15.4%
36.8%
18.9%17.6%
11.3%10.9%
38.7%
32.8%
14.8%
2.8%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
Strongly
Agree
Agree Undecided Disagree Strongly
Disagree
Re
spo
nd
en
ts
Initial
Response
Revisited
Response
221
Interpretation of Table & Graph No: VI – 6
15.4% of the respondents have rated as strongly agree in the initial response for
“My Company’s leadership has made changes which are positive for the company”.
A majority of 36.8% have rated as agree, and 18.9% were undecided in the initial
response.
17.6% of the respondents have rated as disagree and 11.3% as strongly disagree
for “My Company’s leadership has made changes which are positive for the
company” in the initial response.
In the revisited response, 32.8% were undecided.
A majority of 38.7% have rated as agree and 10.9% have rated as strongly agree
for “My Company’s leadership has made changes which are positive for the
company”.
14.8% of the respondents have rated as disagree and 2.8% have rated as strongly
disagree in the revisited response.
Inference:
The leadership team should have a long term focus and should be able to anticipate
business changes and take decision faster.
During recession, while few companies went for lay-offs, few companies went on
cost cutting and few on salary cuts. Each of the methods had their own advantages
and disadvantages. Leadership teams should be able to make the right balance of
the organization.
TABLE No: VI – 7
Table showing the distribution of response in number and percentage for the
question “My Company’s leadership is proactive in addressing internal/external
issues”
Respondents Strongly Agree
Initial Response (2004)
244
Percentage 24.4%
Revisited
Response (2008) 87
Percentage 8.7%
331
Average 16.6%
Source: Data collected through field survey
Graph No: V1I – 7
Graph showing the distribution of response in percentage for the question “My
Company’s leadership is proactive in addressing internal/external issues”
Strongly
Agree
Initial
Response24.4%
Revisited
Response8.7%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
50.0%
Re
spo
nd
en
ts
Table showing the distribution of response in number and percentage for the
question “My Company’s leadership is proactive in addressing internal/external
Strongly Agree Agree Undecided Disagree
Strongly Disagree
432 76 156
24.4% 43.2% 7.6% 15.6% 9.2%
378 134 108
8.7% 37.8% 13.4% 10.8% 29.3%
810 210 264
16.6% 40.5% 10.5% 13.2% 19.3%
Source: Data collected through field survey
Graph showing the distribution of response in percentage for the question “My
Company’s leadership is proactive in addressing internal/external issues”
Respondent’s Responses
Agree Undecided Disagree
43.2% 7.6% 15.6%
37.8% 13.4% 10.8%
222
Table showing the distribution of response in number and percentage for the
question “My Company’s leadership is proactive in addressing internal/external
Strongly Disagree Total
92 1000
9.2%
293 1000
29.3%
385
19.3% 100
Graph showing the distribution of response in percentage for the question “My
Company’s leadership is proactive in addressing internal/external issues”
Strongly
Disagree
9.2%
29.3%
223
Interpretation of Table & Graph No: VI – 7
22.4% have responded as strongly agree for “My Company’s leadership is proactive
in addressing internal/external issues” in the initial response.
A majority of 43.2% of the respondents have rated as agree, and 7.6% were
undecided.
15.6% of the respondents have rated as disagree, and 9.2% have rated as strongly
disagree in the initial response.
In the revisited response 8.7% have rated as strongly agree, and 37.8% have rated
as agree for “My Company’s leadership is proactive in addressing internal/external
issues”.
13.4% were undecided in the revisited response.
10.4% rated as disagree and 29.3% rated as strongly disagree for “My Company’s
leadership is proactive in addressing internal/external issues” in the revisited
response.
Inference:
The leadership team should not only address internally issue but should also be
able to involve in addressing issue in the external world. This not only gives
visibility to organizations but also creates brand value for the organizations.
However caution should be taken to ensure no negativity is created due of such
actions.
224
TABLE No: VI – 8
Table showing the distribution of response in number and percentage for the
question “My company’s leadership team serves as ethical role models”
Respondents Strongly Agree Agree Undecided Disagree
Strongly Disagree Total
Initial Response (2004)
276 456 187 67 14 1000
Percentage 27.6% 45.6% 18.7% 6.7% 1.4%
Revisited
Response (2008) 45 278 265 212 200 1000
Percentage 4.5% 27.8% 26.5% 21.2% 20.0%
321 734 452 279 214
Average 16.1% 36.7% 22.6% 14.0% 10.7% 100
Source: Data collected through field survey
Interpretation of Table No: VI – 8
27.6% has rated as strongly agree for “My company’s leadership team serves as
ethical role models”.
A majority of 45.6% has rated as agree in the initial response.
18.7% were undecided in their response. 6.7% have rated as disagree, 1.4% have
rated as strongly disagree for “My company’s leadership team serves as ethical role
models” in the initial response.
4.5% of respondents have rated as strongly agree and 27.8% has rated as agree in
the revisited response.
26.5% respondents were undecided in the revisited response.
225
21.2% of the respondents have rated as disagree and 20% has rated as strongly
disagree in the revisited response for “My company’s leadership team serves as
ethical role models”.
---------------------------------------------------------------------------------------------
From a sample of 1000, 323 employees agree that company’s leadership team
serves as ethical role models.
P = 323/1000
=.323
The 95% confidence limits for proportions (p ± 1.96 √pq⁄n)
=.323 ± 1.96 √. 323× .677/1000
= (.323 ± .029)
= (29.4%, 35.2%)
Therefore with 95% confidence we can conclude that only 29.4% to 35.2% of
employees agree that company’s leadership team serves as ethical role models.
Inference:
Leadership team should be role models. Employees look towards them for guidance
and try to move on their footsteps. Ethical leadership does not reflect only in
company operations, but also how different situations are handled in the right
possible way by ensuring legal and statutory compliance.