Leadership
Introduction
Leaders in the society face numerous issues which if not dealt effectively ultimately result in the downfall of the organization they represent or tarnishing of their reputation. In this paper the two issues that would be selected to analyze how leaders deal with them are: challenges of downsizing, and dealing with off-shoring of jobs. In dealing with the latter issue, challenges of leading teams overseas while keeping morale in USA would be highlighted. Therefore, the two articles selected in analyzing these issues are from USA Today and were authored by Lynch (2008), and Davidson (2010).
Servant Leadership
Servant leadership if effectively applied in an organization can be an important leadership style when dealing with the listed issues. According to Lussier and Achua, (2010), servant leadership is a philosophy where leaders achieve results by placing emphasis on the needs of employees and to those whom they serve. In the article by Lynch, (2008), it was shown that the decision by the management of DHL to reduce operations in Wilmington, Ohio to international ones resulted in loss of jobs. DHL had partnered with ABX Air and had found the going tough due to competition from UPS and FedEx.
Therefore, the decision by DHL to pull out because of fierce competition from rivals was selfish and resulted in many workers losing jobs unnecessarily. In avoiding such instances, servant leadership would require that certain actions be implemented. First, the leadership has to listen to the plight of the employees. This would help the leader identify the will of the group and also reflect on a better decision. Second, a decision that encompasses empathy and benefit of the majority should be made. If the decision is still to downsize, then there should be persuasion of workers to accept the fate. Persuasion can be done through counseling programs, meetings, and motivation talks. Furthermore, there should also be proper compensation and strong recommendations to similar positions in other companies. Generally, the leadership have to make sure that the downsizing affects as little employees as possible and that the few that would lose jobs be compensated at an acceptable rate.
In the issue of off-shoring, Davidson, (2010), highlighted the difficulty that many companies faced in the trend. A company like General Electric for instance has even opted for on-shoring—returning operations back to USA. The challenges many companies face in off-shoring are: increasing labor costs, fluctuating currency, intellectual theft, higher shipping costs, quality issues, and higher inventory costs. Servant leadership can be useful in combating off-shoring issues and this is through applying the trait of conceptualization. In this trait the leader will have to think beyond daily activities. In this case, a servant leader would come up with strategies that would combat occurrence of any challenges as a result of offshoring. For instance, a servant leader can strategize for coding in the main company before shipping of raw materials to alleviate the threat of intellectual theft. Furthermore, stewardship, awareness, and listening in servant leadership can promote openness in a company that would be important in incorporating foreign culture in a company. This would enable successful operation of a company in a foreign land.
Visionary Leadership
This technique of leadership entails a leader positioning or perceiving challenges before they occur. This method also involves leaders coercing or positioning followers to prepare for challenges, and produce extraordinary results that make life better. This technique also entails empowering followers with decision skills, which a visionary leader can trust. Therefore, in analyzing visionary leadership, there are four principles which Lussier and Achua, (2010), insist when tackling issues such as off-shoring and downsizing that are explained in this paper. The eight principles would be highlighted and shown how it can be applied in tackling the issues identified.
First, the leader must carry out on-site observation to obtain a perception of an issue from an outsider point of view. In the issue of downsizing, visionary leaders in a firm have to perceive the situation in the position of employees in a firm, or the societal values from the issue. Similarly, in the issue of off-shoring, visionary leaders have to pre-determine or foresee the challenges that might result before they carry out the strategy. Second, visionary leaders never give up. This is very applicable in the downsizing issue, where DHL should have insisted on staying in Ohio, and provides alternative solution for the problem. In the case of offshoring, persistence would enable a firm learn how to make do with the challenges and in-turn adjust.
Third, visionary leadership entails a revolution through a symbolic interruption of and old system. For instance, in downsizing, symbolic interruption can be through transferring employees to other departments or locations. Despite, the uncomfortable decision, employees would be able to keep their job. Similarly, in the case of off-shoring, visionary leadership would entail such decision as re-shoring as done by GE. This would help in preventing occurrences and risks of off-shoring listed in this paper. Lastly, visionary leadership would involve setting up of an innovative system that would provide feedback in the results. For instance in downsizing, effective feedback systems should be in place to provide proof whether downsizing is the right decision. In the case of off-shoring, it would be important in preventing, identifying, and dealing challenges listed.
Leadership Values
Leadership values are many in combating issues of downsizing and offshoring. The three values selected amongst the many that can deal with this issues are: courage, integrity, and imaginative. Courage is very important when dealing with daunting tasks (Lussier & Achua, 2010). An issue such as downsizing is a headache to many companies as it requires massive compensations and persuasion. Therefore, a courageous leader would not waste time and promptly inform followers of the situation at hand. This would help a company in saving face and planning for the next strategy in helping the laid off employees start a new way of living. Courage is also important in off-shoring where the many challenges faced require a lot of courage from a leader to complete the strategy.
Integrity is also a value that is important in leadership in a firm. Integrity entails honesty and inspiring trust in operations of a company. In downsizing, the correct procedure has to be followed to make the laid off workers understand the decision. Integrity would also enable laid off employees get the right compensation. In off-shoring, integrity would be essential when paying employees the required wages, making sure that goods are at the best quality, and the best suppliers are sourced.
Imagination is also an important value when dealing with downsizing and off-shoring issues. In downsizing, there is a need for creativity in coming up with methods and ideas that would be instrumental in downsizing with minimum damage. The same is true for off-shoring where a creative off-shoring strategy would be required in preventing challenges that are associated with it.
Conclusion
Downsizing and off-shoring are issues that many companies face in this era of globalization. However, the leadership style is also an important factor when dealing with this issue. A case is in DHL when dealing with downsizing in Ohio, and General Electric that had problems with off-shoring. Servant leadership and visionary leadership have been shown to provide ways of dealing with the issues. Furthermore, values such as imagination, courage, and integrity have been proven to aid in implementing these leadership styles effectively.
References
Davidson, P. (2010). Some manufacturing heads back to USA. USAToday. Available at:
http://www.usatoday.com/money/economy/2010-08-06-manufacturing04_CV_N.htm
Lussier, R.N., & Achua, C. F. (2010). Leadership: Theory, Application, & Skill Development. Ohio: Cengage Learning. Pp. 2-89
Lynch, D.J. (2008). Thousands of layoffs by DHL, ABX Air hit Wilmington, Ohio. USAToday. Available at:
http://www.usatoday.com/money/economy/2008-12-15-wilmington-dhl-abx-air-layoffs_N.htm
