Studies done by Burns (1978) differentiates between transactional leaders and transformational leaders. Bass (1985) reasons that transformational leadership comprises of four factors: idealized influence, inspirational motivation, intellectual stimulation, and individual consideration. Sir Richard Branson chairman and founder of the Virgin Group (Branson, 2007) is frequently described as a transformational leader. Branson is known for his charisma and leading by example both characteristics of idealised influence. To promote Virgin Cola he drove a tank into Times Square to represent the start of a war with Pepsi and Coca Cola (Kotler et al, 2012), What makes Branson exceptional is that he still finds time to give back, idealised influence reflects the extent to which the leader chooses to do the right thing rather than what is
The inauguration of Virgin Australia Airlines, by Sir Richard Branson, as a domestic carrier in 2000 basically aimed at the convenience of the budget travelers. The Airlines was inaugurated as relaxed informal airline. Sir Richard was open-minded, amiable, and generous with his management team, imaginative, audacious and exclusive in his thoughtfulness. Initially started as a low-cost carrier, the company improved its services to turn itself into a “new-world carrier” as described by themselves (Virgin Blue media release, 2011, para. 2).However all these faltered when Qantas’ past marketing manager took over during 2011.
The transformational leader strategizes a plan that emphasizes collective identities. To accomplish the vision the leader will build confidence and optimism, while citing core values and ideals. The leader focuses on how best to communicate that the change desired is good for all and that the followers support is crucial to success. Roueche, Baker III and Rose, (2014) propose that a leader with passion can accomplish an immense amount of achievements, if they can inject energy into their followers. The leader would need to focus on the development of a plan that allows followers to view the future and create excitement.
This leads to the employees having more confidence in them and in the management. Interaction among all the levels of the hierarchy is spontaneous, so it increases effective communication. John Borghetti the CEO of Virgin Australia, himself personally interacts with employees on a regular basis discussing ideas and receiving feedback. Virgin Australia promotes self-sufficiency and effective communication within the organisation and believes that the employees are the backbone of the company. Hence they have been given enough involvement and authority in decision making.
According to the case, the leadership style of Brinker is fit for the charismatic leadership style of influence based types of leadership. The charismatic leader is one who creates an atmosphere of motivation based on an emotional commitment to and identity with his or her vision, philosophy, and style on the part of followers. Norman had high expectation that allowed him to bring customer service and satisfaction to a higher standard. The shared perspective and idealized vision make him a likable and honorable hero worthy of identification and imitation. For example, his thoughtful attention to the people for satisfying relationships leads to a comfortable, friendly, organization atmosphere and work tempo and his philosophy of Winners attract
In this edition of ‘Quick Reads’ the author, Richard Branson, details monumental moments that affected and moulded him into becoming the successful businessman, husband and father that he is today. Richard Branson focuses on two things: Lessons and Goals. He uses the lessons that he has learned - and he has learned many - that were both positive and even downright terrible to assist with his growth as a businessman and he continuously sets goals that he wants to achieve. Not only does he set goals but he ensures that he finds ways to get it done no matter the circumstance. He loves taking risks, but calculated ones and lives by the rule that, ‘As soon as something isn’t fun it’s time to move on.’ Richard Branson emphasizes on the importance of not working 24/7 and being sure to make time for adventures.
As used above Steve Jobs and Richard Branson two well-known and great entrepreneurs who established their organization using these styles shows that employees can share their ideas into the organization in this way the organization will benefit together with the employee who will feel Two Factory theory, (Frederick Herzberg ,1959) achievement, recognition and advancement .Organizations should then research into what style of leadership should be suited for their company which can give them competence of other organizations who have succeeded and who have gain for the different
These functions has provided a guideline to classify the activities of managers to establish organizational objectives. Therefore, the main reason Virgin Group success as one of the world’s well-known brands is it fully performs the four management functions. There are many skills and knowledge can be learned from the management team of Virgin Group. Reference lists Carpenter, M., Bauer, T, & Erdogan, B. (2015) Principles of management [online].
Global challenges and diversity economics have recognised the absolute need for transformational leadership and focus has shifted from a single saviour leader to that of leadership group processes (Bass 1990). Tourish et al. (2010) note that organisations modelled on the leadership style of former CEO Jack Welch are unitarist and that no credit is attributed to the immense number of his GE followers that guaranteed both his and the organisation’s phenomenal success and longevity. In a, less romanticized hierarchical leadership model Enron leadership muted upward communication from followers to leaders by a "rank and yank" process, ultimately controlling by fear. The organisation is the collective sum of each follower’s individual energy and their commitment.
His management and leadership skill was inspiring and exceptional; he had successfully managed a company with over thousands of people, although his style often criticized to be too extreme by some people. #1