The corporate world is characterized by different leadership styles. The leadership style chosen may result in either profits or losses. The chosen leadership style often depends on a leader’s personality and perspective on different issues. There are those who believe that leadership involves making all the decisions; therefore, adopt an industrial approach. However, most successful leaders believe in dialogue before making any decision. These leaders consider the views of all relevant stakeholders; thus, embrace a servant leadership perspective. John Mackey, CEO, and co-founder of Whole Foods has been termed as a controversial and liberal leader. Mackey’s leadership style employs both value and servant leadership styles with the aim of meeting the needs of every stakeholder including customers, employees, suppliers, the community, and shareholders.
Literature Review
Mackey’s approach to leadership can be termed as a conscious capitalism approach; that employs both a value and servant leadership style. According to Pillay and Sisodia (2011), Conscious leadership involves the incorporation of the principle of stakeholder interdependence as opposed to the traditional industrial approached based on shareholder supremacy. A conscious leadership style aims at ensuring that all stakeholders namely; customers, the community, employees, and shareholders, get value from the business. Pillay and Sisodia (2011) explained that companies, which employed a conscious capitalism leadership approach outperformed other organizations over a period of ten years . Leaders who use a conscious leadership style involve different stakeholders when making crucial decisions. Leaders who include employees, customers or even the community in different, not decisions, tend to have higher sales and productivity levels (Pillay & Sisodia, 2011). A conscious leadership style also involves continuous personal and professional development for employees, which in turn may result in a higher employee retention rate.
The whole foods organizational culture involves the creation of teams to perform different tasks. West (2012, p. 9) explained that team creation resulted in better management and decision making within an organization. The creation of smaller teams allows for better consensus among members. According to West (2012, p. 21), the creation of teams allows a decentralized decision-making process. Every individual working in the organization is involved in decision making, which makes implementation relatively easy. The creation of teams within an organization also allows for better communication between the different departments (West, 2012, p. 50). Fairholm (2011) explained that organizations that employ teamwork as part of the culture increase both the value of their products and employee skills. The creation of teams allows employees to share ideas; therefore, improve productivity. Teamwork also promotes job satisfaction, which results in a higher employee retention rate (Fairholm, 2011).
Wholefoods leadership style reflects a more conscientious and less neurotic personality. According to Griffin and Moorhead (2011, p. 67), leaders who are more conscientious ate more organized and focused on few goals which are achievable. A more conscientious leader has high levels of self-discipline, which results in them being more productive. A less neurotic personality trait involves being able to control strong emotions. Leaders who are less neurotic tend to handle emotions, such as stress and anger, in a better way; therefore more reliable as compared to more neurotic leaders.
Leader’s Effectiveness Assessment
John Mackey leadership style has resulted in Whole Foods being a globally recognized company with operations in different countries. Mackey’s leadership approach involves the empowerment of all stakeholders in different business activities. One of the main areas of the leadership approach used by Mackey is the use of teams. The creation of teams in the company allows for both professional and personal development. The teams allow for a learning opportunity between the employees; therefore, increased productivity. The various teams created involve both old and new employees, allowing the new employees to easily learn the skills and business culture. The creation of teams also allows employees to participate in the decision-making process. Participating in the decision-making process enhances faster implementation as there are no barriers or arguments. These various benefits of teamwork have resulted in job satisfaction among the majority of the employees; therefore, higher employee retention rate.
A conscious leadership style also aims at ensuring customer satisfaction. Whole foods deal with organic products; therefore, promote a healthy lifestyle among its customers. The staffs employed in the stalls are trained to provide outstanding service to the customers. The company also ensures customer satisfaction by informing customers of any changes that may affect them. These changes may involve changes in pricing as well as changes in a stocking. Informing customers allow them to feel like part of the organization; therefore, ensure customer loyalty.
Conclusion
The leadership approach chosen by leaders affects a company’s competitiveness and productivity. John Mackey’s leadership approach has resulted in whole foods company being the world’s largest dealer in organic produce. The teamwork culture employed in the organization has resulted in both professional and personal development, which in turn has resulted in increased productivity. By advocating for the involvement of all relevant stakeholders in the business operations, Whole Foods has become one of the fortunes 500 companies.
Reference
Fairholm, G. W. (2011). Real Leadership, How Spiritual Values Give Leadership Meaning. Santa Barbara: ABC-CLIO
Griffin, R. W., & Moorhead, G. (2011). Organizational Behavior. Boston, MA: Cengage Learning.
Pillay, S. S., & Sisodia, R. S. (2011). A Case for Conscious Capitalism:. Ivey Business Journal, 1-4.
West, M. A. (2012). Effective Teamwork: Practical Lessons from Organizational Research. Hoboken, NJ: John Wiley & Sons.