...Allan Mulally, CEO, Ford Motor Company Laverne Oliver Professor Thomas Swinney BUS 520 November 13, 2011 Alan Mulally, CEO, Ford Motor Company Leadership and learning are essential to each other. Some believe that leaders and born and others believe that leader are made. An individual natural gift such as talents and traits, aids in understanding one’s potential role of leadership. However, personal traits are not the only tools needed to become an effective leader. Experience, mentoring, and training are also important factors in the role of leadership, and are learned and developed through the lifetime of an individual. Discuss the role of leadership and how it can impact organizational performance Leaders who receive the acceptance of its employees will greatly influence the organization’s performance. To have great organizational performance, leaders should develop specific and clear goals; have professional reviews and offer feedback, and link actions to rewards. “Leadership is the process of developing ideas and a vision, living by values that support those ideas and that vision, influencing others to embrace them in their own behaviors, and making hard decisions about human and other resources” ( Hellriegel & Slocum, 2011, p. 290). Effective leaders realize that mistakes will happen, and often use the mistakes as learning experiences. Starting a new project or turning a trouble organization around is often instrumental...
Words: 1367 - Pages: 6
...I. OVERVIEW Allan Mullaly – Ceo FORD 2006-2014 The solution leader’s role is to lead and manage in a complex dynamic world. He is tasked with aligning and or transforming organizational behaviour and performance to accede to the needs of its citizens, customers, shareholders and employees. He must simultaneously grow and maintain, align and adjust their organizations. That is he must achieve sustainable performance and growth through enterprise alignment adaptation and transformation. II. CONTEXT – Mulally has worked for two companies in his professional career. – First was Boeing, which hired him as an engineer in 1969. After nearly 30 years Mulally was made president of the company's Commercial Airplanes division and 3yrs later CEO of that division. – At Boeing, Mulally ran the team that created the company's first all-glass cockpit, with no traditional dials, and implemented a host of other technological advancements. – He was no stranger to pushing the tech envelope – Became president and CEO of Ford, in Sept 2006. 68 years old – 2006 Ford was on the brink of bankruptcy. Posting its the biggest annual loss in its 103-year history—$12.7 billion – When he entered company Ford exhibited the following based on the diagnostic Performance and Behaviour Model o Unattended Environment ( disconnected with industry trends, projections, lacked customer insight o Unclear Direction...
Words: 2935 - Pages: 12
...The content of this paper is to outline the roles of leadership and how it affects organizational performance. It then discusses the role of Allan Mulally’s, CEO of Ford Motor Company, leadership style. The paper also presents how Mulally’s decision to set a goal increased the company’s performance and mentioning how Allan Mulally’s openness has gained him trust and helped him to reach his goal. Finally, my point of view on the impact of Mulally’s leadership style and how it effects the organization. Leadership is guiding people toward productive results to achieve the goals of the organization. An effective leader has the ability to motivate and influence others. Leadership influences organizational performance depending on the level to which the leader enables managers and team leaders to plan, organize, control, and act effectively. By accepting authority, responsibility, and accountability, managers can confidently face though situations that require decisions made. Faced with an overwhelmingly complex situation, Alan Mulally has been brought in as Ford Motor Company's new president and CEO. As diverse global dynamics confront the company and competitive pressures continue to build, he has the challenging task of improving Ford's brand image and returning the company to profitability. Mulally has invited your consulting firm to advise his management team on restoring the company's reputation and viability. Leaders significantly influence organization’s success...
Words: 963 - Pages: 4
...Ford Motor Company Alan Mulally, CEO, Ford Motor Company Kwatila Ghanyen Prof. Mike Petty BUS 520: Leadership and Organizational Behavior Strayer University Wednesday November 16, 2011 Alan Mulally, CEO, Ford Motor Company Allan Roger Mulally is the present Chief Executive Officer of Ford Motor Company. Ford has been struggling to survive since the 2000s but has regained tremendous profitability under the leadership of Mulally. In this paper, we shall discuss the role of leadership and how it can impact organizational performance, Mulally’s leadership style at Ford and how goal setting has helped Ford improve performance. Ws shall also assess Mullaly on each element in communication openness and the effectiveness of his leadership style and conclude by making recommendations on whether Mullaly should continue with his leadership style or use a different style. The Role of Leadership and How it Can Impact Organizational Performance Leadership is very vital to any organization or business; it guides people towards productive results and aims at achieving the goals of an organization. An effective leader is able to motivate and influence followers when there is a proper alignment between the leader and subordinate. Leadership has been recognized as a major factor in project success and charismatic transformational leadership has a substantially positive effect on organizational performance. (Huang, Hsu & Chiau, 2011) Leaders induce change in organizations through...
Words: 1708 - Pages: 7
...Allan Mulally, CEO, Ford Motor Company Raghad K. Shakir Professor Michael Petty Leadership and Organizational Behavior – Bus520 August 2011 Strayer University Role of leadership and its Impact on Organizational Performance Leadership is commonly defined as establishing a clear vision, communicating the vision with others and resolving the conflicts between various individuals who are responsible for completing the company’s vision. The most effective leaders are those who can competently organize the cooperation and assistance of all members of the company to accomplish goals and objectives. The constantly changing wants and needs of the consumer have made it necessary for leaders to create strong organizational cultures so that companies can continue to expand into the future. The effective leader is one that is task-relevant and most successful when they adapt their leadership style to the individual or group they are attempting to lead or influence. By understanding the ins and outs of how things should be run within the company, a leader can quickly and efficiently adapt their leadership styles to the individual or group situation that requires attention. It is widely believed that leadership creates the vital link between organizational effectiveness and people’s performance at an organizational level. Effective leadership behaviors can facilitate the improvement of performance when organizations face today’s new challenges such as innovation-based...
Words: 1353 - Pages: 6
...Discuss the role of leadership and how it can impact organizational performance Leadership is commonly defined as “establishing a clear vision, communicating the vision with others and resolving the conflicts between various individuals who are responsible for completing the company’s vision” (Kelly, 2009). The most effective leaders are those who can competently organize the cooperation and assistance of all members of the company to accomplish goals and objectives. The constantly changing wants and needs of the consumer have made it necessary for leaders to create strong organizational cultures so that companies can continue to expand into the future. According to Hellriegel & Slocum (2011), Alan Mulally’s leadership has resulted in Ford making some strategic moves. His skills and style has helped Ford to move ahead in the industry during the economic recession. Ferrell, Hirt & Ferrell (2009) argue that an effective leader is one that is task-relevant and most successful when they adapt their leadership style to the individual or group they are attempting to lead or influence. By understanding the ins and outs of how things should be run within the company, a leader can quickly and efficiently adapt their leadership styles to the individual or group situation that requires attention. According to Ferrell, Hirt & Ferrell (2009), it is widely believed that leadership creates the vital link between organizational effectiveness and people’s performance at an organizational...
Words: 1391 - Pages: 6
...the organization, therefore good leadership is necessary. There are different leadership styles; a particular leader that will be discussed is Alan Mulally a CEO of Ford Motor. Alan faced many challenges and he impacted his business style on a corporate level as well as socially. Alan Mulally is one of greatest leaders, who managed business challenges effectively and because of his effectiveness he brought high profits to the organization. Mulally was an engineer in 1969. He handled various projects that were in relation to airplanes. One of Mulally’s greatest achievements was introducing the concept of “all digital” flight deck in the commercialized aircraft field. By 1993 Alan Mulally had had drastically climbed the ladder and became Vice President of Boeing. Alan Mulally was known to the commercial airline group as ‘Vice President of Engineering” (Biography: Alan Mulally 2011) Currently, Alan Mulally is the CEO and President of Ford Motors. Mulally joined Ford Motors in 2006, during this time period Ford Motors was struggling to stay afloat due to the recession that began in the late 2000s. Alan Mulally joined Ford Motors without prior sales experience. Because of Mulally’s lack of sales experience, it was a very a challenging experience for him. Alan Mulally’s objective was to increase Ford Motors profitability. Alan Mulally decided to take out...
Words: 1559 - Pages: 7
...Alan Mulally, CEO, Ford Motor Company Emmanuel C. Njoku Dr Stacey McCroskey Bus 520 11/11/10 Introduction This paper is a case study on “ Allan Mullally CEO, Ford Motor Company” which discusses, firstly the role of leadership and how it can impact organizational performance. Secondly Mulally’s leadership style at Ford Motor Company and provide examples of how his actions fit this style. Thirdly how goal setting helped Ford improve its performance. Fourthly, asses Mulally on each element in communication openness including message transmission, trust, agendas and goals. Fiftly, evaluate the effectiveness of Mulally’s leadership style and recommend whether he should continue with this style, or use a different style. Discuss the role of leadership and how it can impact organizational performance. Hellriegel, D and Slocum, J. W ( 2011 ) Organizational Behavior. Legitimate power is an individual’s ability to influence others behaviors because of the person’s formal position in the organization. Mulally decided to borrow $23 billion against Ford’s assets in 2006 . Mulally is moving to integrate the company globally, in 2010 Ford will be selling small cars in the United States that were developed in Europe. Hellriegel, D and Slocum, J. W ( 2011 ) Organizational Behavior. Expert power is an individual’s ability to influence other’s behaviors because of recognized competencies, talents, or specialized knowledge. For example Mulally...
Words: 1842 - Pages: 8
...6 Leadership Tips From Ford CEO Alan Mulally By Ted Reed April 3, 2012 6:58 AM DETROIT (TheStreet) -- Let's just call it "Alan being Alan." Ford's F ebullient CEO, Alan Mulally, is a master of the warm-hearted gesture, of taking a little extra time to make people feel important, enthusiastic and ready to follow him anywhere. At Ford, which he joined in 2006, that course has involved a journey from an economically distressed company, habitually losing money, with debt rated seven levels below investment grade and every asset mortgaged, to emergence in 2011 as a profitable, glowing symbol of the revival of American manufacturing. | Ford CEO, Alan Mulally | In the case of Oakland A's baseball player and potential Hall of Famer Manny Ramirez, the widely used phrase "Manny being Manny" refers to a legion of incidents manifesting relentless obliviousness to his surroundings. In the case of Oakland, Calif., native and celebrity CEO Mulally, the phrase "Alan being Alan" connotes a string of anecdotes in which he engages with people, not only those who are members of the world's wealthy leadership class, but also with everybody else he encounters as he glides through life, answering questions with a smile and a "you betcha." Many of those he encounters come away with stories. Rebecca Lindland, director of research at HIS Global Insight, said that several years ago in a conversation with Mulally, she mentioned that her mother was pleased that Ford was bringing cars...
Words: 2789 - Pages: 12
...Abstract This paper will discuss Alan Mulally, CEO, for Ford Motor Company. First, I will mention his role of leadership and how it can impact organizational performance. Secondly, I will examine Mulally’s leadership style and provide examples of how his actions and performance fits this style. Thirdly, it will be important to notice how goal setting has helped Ford improve its performance. Next, I will assess Mulally’s on each element in communication openness including message transmission, trust, agendas, and goals. Lastly, I will analyze if Mulally’s leadership style is effective or should a different style be implemented. Discuss the role of leadership and how it can impact organizational performance. Leadership is an important component in any business or organization. According to Hellriegel and Slocum (2011), “Leadership is the process of developing ideas and a vision, living by values that support those ideas and that vision, influencing others to embrace them in their own behaviors or organization” (p.4). Establishing ideas and a vision is a key element in leadership, for example, coming out with next product or feature for the organization or company plans and strategies reveal the skills of an effective leader. It is important as a leader to live by values that support your ideas and vision. In other words, you should practice what you preach or lead by example. An effective leader should use a variation of sources to influence its followers...
Words: 296 - Pages: 2
...BOB7024 Organizational Behavior & Design, Stephen P. Robbins & Timothy A. Judge, Organizational Behavior, 14th edition, 2011, Pearson Education Chapter 1 Case Incident 1: “Data Will Set You Free” Ford CEO Alan Mulally is known for starting meetings by saying “Data will set you free” and for trying to change Ford’s culture to one that is based on increased accountability, more information sharing, and hard metrics. “You can’t manage a secret,” he is also fond of saying. Although it’s not clear whether Mulally’s approach will work at Ford, which is known for its self-contained fiefdoms where little information is shared, some companies have found that managing people according to hard metrics has paid off. Consider Freescale Semiconductor, a computer chip manufacturer based in Austin, Texas. Freescale has discovered that in order to have the right people at the right time to do the right job, it needs an extensive and elaborate set of metrics to manage its 24,000 employees in 30 countries. Of particular concern to Freescale is retention. “There’s no greater cost than human capital, especially in the technology industry,” says Jignasha Patel, Freescale’s director of global talent sourcing and inclusion. “When you’ve got a tenured employee that decides to walk out the door, it’s not just one person leaving, it’s that person’s knowledge and network and skills.” To manage talent and prevent turnover, Freescale holds line managers accountable for recruiting, hiring, and...
Words: 6926 - Pages: 28
...Running head: FORD MOTOR COMPANY Leadership and Organizational Behavior Professor Michael Padgett Strayer University Ronetta Perry May 15, 2011 “Ford Motor Company” The Ford Motor Company, founded in 1903 by Henry Ford, is one of the largest auto makers in the world. In recent years, the auto industry, including Ford Motor Company, has experienced increase financial hardship. Ford lost $12.6 billion in 2006, $2.7 billion in 2007, and as a result of the biggest sales slump in decades, they lost $14.6 billion in 2008, making it the worst year in its history. But when the car industry went into what seemed like a death spiral during the global recession, Ford resisted taking the federal bailout and vowed to show the industry that the brand was built for toughness. Discuss the role of leadership and how it can impact organizational performance. “Leadership is commonly defined as establishing a clear vision, communicating the vision with others and resolving the conflicts between various individuals who are responsible for completing the company’s vision”(Media & Vitez, 2009). Traditionally there are four different leadership styles that suit the follower and their willingness; the telling style in which the leader gives specific directions and supervises closely, the selling style which helps builds confidence in the follower by the leader providing direction and encouraging two-way communication, the participating style in which the leader encourages followers...
Words: 1432 - Pages: 6
...This paper is about Alan Roger Mulally (born August 4, 1945), who is an American engineer and businessman. Mulally is currently the President and Chief Executive Officer of the Ford Motor Company. Ford, which had been struggling during the late-2000s recession, returned to profitability under Mulally and was the only major car manufacturer to avoid government-sponsored bankruptcy. Mulally moved to Ford in 2006. He had worked at Boeing since 1969. He had been chief engineer for development of the 777, and was later Vice President of Engineering for commercial aircraft. Mulally had no sales experience, and he was not a “Detroit car man,” much less a car man at all. He sold his Lexus after moving to Dearborn. What is most impressive is Mulally’s “results oriented” leadership style. His management is crisp and authoritative, although he defers to the firm’s design experts on the minutiae of the product lines. But on the big questions of the company’s past mistakes and where it’s headed, Mulally made key decisions that placed Ford in good stead. When Mulally testified before Congress in December 2008, along with GM’s Rick Wagoner and Chrysler’s Robert Nardelli, he announced that Ford would be able to survive the recession without a bailout. The Role of Leadership and How It Can Impact Organizational Performance Leadership is an art, and like other arts, requires discipline, good techniques and self-expression. There are some basic rules or formulas connected with an art...
Words: 1988 - Pages: 8
...FORD’S CEO ALAN MULALLY A NEW APPROACH TO DECISION MAKING 1.0 According to Rowe and Mason (1987), each decision style elicits specific traits and/or preferences. For example, the following decision making styles of analytical, behavioral, conceptual, and directive, respectively prefer specific facts, accurate and complete data, broad coverage of many options, and limited data that are easily understood (Rowe & Mason, 1987). Further, Rowe and Mason (1987) believe that style descriptors should be able to describe an individual’s mental predisposition, cognitive process, and problem solving ability. They also deem that the style descriptors can be contextually explicit—describing the environment in which the decision is being made (Rowe and Mason, 1987). These theorists describe four elements of an individual’s decision style. The four elements are: • Perception and reception to stimuli, • Capacity to handle information and to reach a meaningful conclusion, • Intuition or creativity to develop alternatives, • Dexterity to make a decision (Rowe and Mason, 1987). Rowe and Mason’s model provides general descriptions of each style through specific categories such as organizational fit, problem orientation, level of tolerance for ambiguity, technical concern, leadership, and major criticism. The general descriptions of each decision style are as follows: Analytical Style This style is characterized by a problem solving and intellectual orientation. These...
Words: 1072 - Pages: 5
...experience some down-turns. After ending his stay as President and CEO of Boeing Commercial Airplanes, Alan Mulally joined Ford Motor Company and helped change its path towards bankruptcy. This study will describe the team-building techniques and strategies used by Alan Mulally to transform the Ford Motor Company. Research was conducted on the condition the company was in when he took over and where it is today. The strategy used to establish the team and how the strategy was executed will be discussed. Also, rationale will be provided for other strategies that could have been used in a similar situation. Who Is Alan Mulally? Alan Roger Mulally was born in 1945 and is an accomplished business executive worth over twenty-three million dollars. Companies look to him for innovative ideas that will get them going again. After college he decided to join the Boeing organization as an engineer. Here, he was able to contribute to the different Boeing models; including the 777 project. He eventually moved up within his department due to his amazing contributions. The "Forbes" (2014) website notes that from March 2001 to September 2006, Mr. Mulally served as Executive Vice President of the Boeing Company and President and Chief Executive Officer of Boeing Commercial Airplanes, Inc. Ford was no longer a leader within the automobile industry and made the decision to hire Mulally in order to turn them around. According to Kaipa and Kriger...
Words: 1856 - Pages: 8