Leadership Skills Analysis Essay
SEMCO came into being in 1912 by Antonio Semler, at that time SEMCO was a centrifuges producing company, in 1980 his father retired from the company and handed over to his son Ricardo Semler . Ricardo Semler is the CEO of SEMCO, when he took over the company, he got very stressed because of the disastrous situation of the company plus he wanted to end the autocratic leadership style that his father had adopted as being the CEO of the company.
On his first day in SEMCO he fired the majority of the managers, removed all the job titles, and gave employees the authority of setting their wages.Semler worked day and night to safe company from going down ,he would use to work extra time in office so that there is some progression in the company .It was not until he fainted on his business trip to US and that’s when he decided to end the way his company was operating .The following figure shows a comparison between leadership styles of Ricardo and his father.
With the passage of time there were bigger changes such as, at SEMCO every employee was given the right to express, they were welcomed to bring in any positive changes for the organisation. Ricardo Semler states himself that the style he adopted in the beginning was so called “corporate oppression”, and because of this he emphasized on developing flexibility and innovation within the organisation and later on that’s what he did. Giving interview to Charles Handy, BBC World Service, Ricardo Semler says that, “Give people the freedom to do what they want and over the long haul successes will far outnumber their failures”.
As we read more on Semler and his organisation we get to know that he adopted democratic leadership style but with that his leadership style was blend of so many systems, such as he took ideas from capitalism (when it comes to personal freedom), individualism and socialism .we can also find a touch of participative leadership. According to Semler “the best way to invest corporate profits is to give them to the employees” and this is why he thought of indulging into participative management, some analyst think that Ricardo Semler introduced more of a Radical form of industrial democracy or we can say Radical form of management and also that he has adopted more of an unorthodox business approach but still with that today he comes in most successful businessmen of world ,t6he following figure shows affect of Ricardo semlers leadership style on SEMCO.
At SEMCO employees are treated equally, there is no especial formality given to a specific person ,all employees are too allowed to take part in corporate decision ,these changes in leadership and management style influenced his workers to get more productive and involved in organisation ,employees became more productive which derived to have an increase in their profits constantly .Because of his unique style today SEMCO is at its peak.
As mentioned above Ricardo Semler has adopted two types of leadership style and those are Democratic leadership Lassiez Faire
The success of SEMCO has highly been dependent on the hands – free style of leadership of Ricardo Semler. A hand off leadership is likely to face more of challenges than any other if things go off hand hence causing stagnation of production. This is by the fact that a hands – free modes of leadership lets the employees work their own and hence bring in a better improvement in their task by doing them their way .Semelr gave his employees the opportunity of involving in decision making process which is purely by fact a part of democratic leadership theory Two Models of theory applicable within SEMCO is shown in figure below: Two of the most important Model recognised in this case study are transformational and contingent leadership theory .The following figures gives us detail on both models applicable to the SEMCO case study:
Leadership models applicable on SEMCO: As we read about SEMCO we get to know that Transformational theory can be applied on SEMCO as Ricardo semler always encouraged his employees to take part in each business decision and also that he gave his employees the chance to build up their career and future both .He helped his followers to believe on themselves which in result made them work more efficiently and productively. Other models which are applicable to SEMCO is contingency theory, in his book Maverick Ricardo semler states that before he could thinking of re organising his organisation he had to re organise himself, which clearly states that he changed his leadership style according to the situation .We can also imply these theories on the working unit in SEMCO such as for example any working unit in SEMCO would help each other and encourage each other to accomplish their task.
SEMCO has a mix of different leadership style such as lassiez fare, giving the employees the freedom of making decisions. Setting up their own salary and profits etc.
Any organisation operating around the globe should have their aims and goals cleared before starting a leadership development program for their organisation. Like in old times it was believed that leaders are born and if one is not a born leader then there is a little chance that you can be one .and that’s not how leadership is viewed these days, instead it is believed that through, hard work, honesty, dedication and patience one can be a long if they making the effort needed to be a leader. There is no specific training method given to the employees at SEMCO.
In his book seven day weekend it is given that there is no HRM present in the company which means no training methods is present for the employees, now the question is that what type of training are employees getting in the absence of HRM. The answer for this question is that at SEMCO employees evaluate on their performances and then according to that evaluation based on their performances they decide whether there is a need for any type of training or not. At SEMCO no one is guided or trained specifically.
Situational based theory can also be applied to SEMCO as every employee is given a set of different task or situations to handle,these situations or task help them enhance their leadership qualities .360 degree training is also applicable to SEMCO as every worker is updated about how well are they working and according to that they get their bonuses because of this feedback it helps employees to develop their personality more professionally. Working environment at SEMCO is very competitive, there is also a lot of competition going on between employees.
In order to make it out through this competition employees should be smart enough to tackle down different situations. Every employee working at SEMCO should have leadership qualities which will help them develop their personality professionally as in SEMCO every employees has an aim of working better in order to achieve their goals. Following figure shows set of qualities needed for an employee to work at SEMCO.