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Alan Mulallay, Ceo, Ford Motor Company

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1. Discuss the role of the leadership and how it can impact organizational performance. The role of a leader deals with the vision, strategy and people. There is more to being a leader besides the prestige and financial reward. A leader can make or break a company. The head must be lead by example; it will set the tone for the company. One must be organized and have a clear and concise plan for business. All of the orders are given at the top and carried out accordingly. For example, the human body can live without many parts; an arm, a leg, a foot etcetera, but the head is command central, it is essential. Organizations are “complex social systems of patterned interactions among people.” The success of the company is directly correlated with the patterns and orders from the leader. The style of the leader determines the way that they motivate employees. According to Douglas McGregor, there were two different theories; Theory X and Theory Y. In the case of theory X, the management was more hands on; “directing, controlling and modifying their subordinates’ behaviors to fit the needs of the organization”. Theory Y was more effective because the leadership rules with open arms; firm, but effective. For example, Douglas Conant is President and chief executive of Campbell’s Soup Company of which he exemplifies good leadership. Conant developed a 10 year plan called the “Campbell’s Journey.” To show his appreciation for a job well done, he sent out over 20,000 thank you letters to the company’s employees. He encourages employees by developing programs to provide promotions. Therefore, employees appreciated his expertise and were willing be good followers.
2. Discuss Mulally’s leadership style at Ford Motor Company and provide examples of how his actions fit this style.

Allan Mulally used a leadership style known as Relationship Behavior. This style uses open

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