Sponsored Contents | Sep 26,2021
Mar 4 , 2023
By Asseged G. Medhin ( Asseged G.Medhin, deputy CEO of Global Insurance Company. )
Leadership in complex situations requires a commitment to changing the business landscape. The gear shifters and crisis managers are best suited to lead companies through the storm and stick of adversity. Leaders can build trust and effectively navigate complex situations by demonstrating fairness, openness, congruence, integrity, honesty, and respect for others, writes Asseged Gebremedhin, an insurance broker and consultant (firstname.lastname@example.org)
In the world of business, the roles of management and leadership are often discussed and debated. While some scholars argue that management is about coping with complexity, others believe that leadership is about dealing with change. However, balancing the two is the optimal approach to handling these challenges. Managers must possess the skill of managing complexity, while leaders must be able to navigate change.
Leaders must usher in change quickly and decisively, even if it is met with resistance. A leader must be the owner of the change roadmap for the company and must have a fresh outlook to navigate complex situations. However, managers often fall short in matching resources, particularly human resources, due to their short-sightedness in leadership during complexity. Leadership myopia can lead to a lack of action on necessary changes.
Some writers believe that profit optimisation should be the priority for managers. In contrast, others argue that a value-driven manager can set the tone for a value system within the organisation. Regardless, even value-driven managers who prioritise shareholder dividends must also consider the effects of a green-business landscape and the adverse effects of complexity. This requires extraordinary leadership skills in sustainability.
In complex situations, the most crucial aspect is treating and humanising the employees who must navigate the troubled waters.
Leaders like Jim Tregbig of Tandom and JRD Tata believed in treating every person as a human being. Cooper Procter of Procter and Gamble ran the company with the slogan, "Do what is right," while Theodore Vail of AT&T stressed superior customer service. Robert Townsend even suggested that companies publish the Ten Commandments as their policy manual. These approaches create an organisational culture that can result in functions being carried out differently, each unique to the situation.
The leadership style at the top of an organisation determines how it is run. The leader's direction sets the organisation on a path and travels at its chosen pace. In this way, the leader becomes a change agent - changing vision, methods, and bottom-line results.
The leader in a complex situation must have a clear way out. It is the big picture, larger than life in complexity, that the leader is drawn to and tries to realise. This vision will guide the leader to find a critical path within the initially unsought complexity. This path becomes a magnificent obsession that fuels and serves as an engine for the vision. By iteratively engaging with the course, the adverse impact of complexity is reduced until the organisation reaches the green-business landscape.
However, to actualise the vision, the leader must make decisions. Decision-making becomes an important activity, and one trait of a true leader is decisiveness. The impact of indecisiveness in complex situations can be detrimental to the business and even result in a company's loss.
In complex situations, leaders must face paradoxes requiring enlightened decision-making. Jack Welch once said, "Effective leadership involves accepting and managing paradox." Welch suggests that leaders must first accept the paradoxical situation and then plan for its management. Leaders must view every problem, even paradoxes, as opportunities to bring them closer to the critical path in complex situations. Leaders should write in all business kits, "We have no problems here; all are opportunities." By doing so, they can convince and lead their followers differently than usual until the situation is reversed.
In the realm of leadership, trust is the glue that holds it all together. Without it, a leader's attempts at problem-solving or opportunity-feeding will fall flat. To build trust, a leader must demonstrate certain qualities, such as respect for others, fairness, openness, unity, integrity, and honesty.
Respect for others is the cornerstone of building relationships, and it comes from having a win-win attitude. A leader who sees plenty out there for everybody is more likely to gain the respect of his team and those who transact with him. Fairness is also essential, as a leader who seeks to win by making others lose will not be trusted or admired. In complex situations, a leader's words and actions must show a unique oneness and consistency, as double standards have no place in effective leadership.
Openness is another important quality for a leader, demonstrating a courageous and transparent transaction approach. When a leader has respect for others, a sense of fair play, and openness in transactions, congruence results. Consistency in actions and words is highly valued by followers, who also urge more effort from their leader in complex situations.
Honesty and integrity are the key ingredients to truth, and a leader who possesses these qualities is held in high esteem. Moral soundness and worthiness of trust are highly sought-after qualities in a leader. A lack of integrity is conspicuous; without it, a leader cannot effectively navigate changing adverse situations.
A leader's character and leadership style solves the puzzle in complex situations. Being brief, versatile, action-oriented, and assertive in oral communication is essential for a leader. Such traits lend dynamism to a leader, and followers highly value them. Flexibility is another essential quality, as situational leadership requires adapting to changing circumstances.
Kenneth Blanchard, Patricia Zigarmi, and Drea Zigarmi, in their book "Leadership and the One Minute Manager," pointed out that the situational manager uses different strokes for different folks. They direct when necessary, provide specific instructions, and closely supervise tasks. They switch to coaching when appropriate and are always focused on achieving their goals.
PUBLISHED ON Mar 04,2023 [ VOL 23 , NO 1192]
Sponsored Contents | Sep 26,2021
Fortune News | Aug 16,2020
Fortune News | Mar 30,2019
Sunday with Eden | Mar 13,2021
Viewpoints | Mar 11,2023
Fortune News | Feb 01,2020
Commentaries | Mar 14,2020
Fortune News | Jan 07,2022
Fortune News | Dec 05,2018
Fortune News | Mar 04,2023
Photo Gallery | 69019 Views | May 06,2019
Photo Gallery | 60862 Views | Apr 26,2019
Fortune News | 52832 Views | Jul 18,2020
Fortune News | 52595 Views | Sep 01,2021
Commentaries | May 27,2023
Life Matters | May 27,2023
My Opinion | May 27,2023
Sunday with Eden | May 27,2023
Agenda | May 27,2023
Editorial | May 27,2023
Dec 24 , 2022
Biniam Mikru heads the department of cabinet affairs under Mayor Adanech Abiebie. But...
Jul 2 , 2022 . By RUTH TAYE
On a rainy afternoon last week, a coffee processing facility in the capital's Akaki-Qality District was abuzz with activ...
Nov 27 , 2021
Against my will, I have witnessed the most terrible defeat of reason and the most sa...
Nov 13 , 2021
Plans and reality do not always gel. They rarely do in a fast-moving world. Every act...
Recent headlines seem to augur a global debt crisis. The United States is teetering on the precipice of a self-inflicted default. Egypt,...
Leaders of the National Election Board are in a charm offensive mood, of a sort. Last week, they organised a rare tour for members of the me...
When the country's most senior diplomats and envoys return back to their posts after two-week debriefings, they leave behind a point or two...
May 27 , 2023
Tauted as a somnolent giant, Ethiopia's financial scene now stirs, roused by favourab...
May 20 , 2023
The pungent irony wafting from Pretoria last week was hard to miss. Cyril Ramaphosa,...
May 13 , 2023
In March this year, Kamala Harris, the United States Vice President, visited Ghana, T...
May 6 , 2023
The history of the Ethiopian labour movement dates back to the 1940s, marked by perio...
May 27 , 2023
In a triumph over the trials of the pandemic, a rising tide of construction costs and inflation, Zemen Bank has opened a stunning 32-storey...
May 27 , 2023 . By BERSABEH GEBRE
Meqelle is in an animated bid to reclaim control of the management of companies under the Endowment Fund...
May 29 , 2023
Officials at the Addis Abeba City Administration have recently changed the title transfer fees following...
May 27 , 2023 . By MUNIR SHEMSU
The absence of technological equipment to control the contraband trade near national borders and low-qual...
Or see contact page