Leadership and communication style - Richard Branson - Case Study Example

Leadership and communication style – Richard Branson (Name) (Institution) (Course) Leadership and communication style – Richard Branson Introduction “A Leader is an individual who knows and understands the way, follows the way and ultimately shows the way to others for continual growth” (Maxwell, 2011). A leader poses certain characteristics and skills that they implement so as to improve the performance and of the organization and themselves at the same time (Maxwell, 2011). Substantial leaders lead from the front and help the organization achieve new heights by having different attributes which influences and shapes the behaviours of others in a remarkable direction (DeCenzo et al., 2015). These leaders particularly display distinct traits such as self-confidence, motivation, strong decision making and communication skills, which in turn influences their followers and enhance the performance and growth of the entire organization to a global scale (DeCenzo et al, 2015). One such leader in the modern world that I admire so much is Richard Branson, founder, owner and the Chief Executive Officer of Virgin Group (DeCenzo et al, 2015). Leader - Richard Branson The numerous and unpredictable changes in this generation (21st century) that a manager must face during their career are as a result of globalization, increased competition, new products, government regulations and sophisticated technology (Grant, 2004). How well a manager readjusts to organizational and institutional changes has significant implications for the growth and sustainability of an organization because, managers are the drivers of change in the organizations (Grant, 2004). With the increased competition by corporations across the world, the managers must, therefore, enhance the leadership skills and communication styles (Grant, 2004). One of the leaders who have displayed well their leadership skills and a strong belief in communication is Richard Branson, the CEO of Virgin group (Dearlove, 2007). Virgin Group is a diversified and private holding company (Dearlove, 2007). It operates as many as 300 companies globally in various sectors including retail, transportation, mobile telephony, financial services, soft drinks, travel, publishing, wines, cosmetics, space tourism and entertainment among others (Dearlove, 2007). The Corporation operates primarily in the United Kingdom, United States of America, Australia, Africa, Asia, Canada and other European countries. It has its headquarters in London, the United Kingdom and has employed over 50,000 people in 30 countries. Richard Branson as the Chief Executive Officer has managed to display different communication skills and leadership styles with which he has achieved the enhancement of profitability of the Virgin Group and has helped the company rise to greater limits (Jessica, 2011). Richard Branson at the age of 16 dropped out of school and started a youth culture magazine called ‘The student’ in 1966. He later, in the year 1968 founded the Virgin company (Jessica, 2011). The subsequent years saw the innovation of the company from Virgin mail, Virgin record label, Virgin Atlantic Airways, Virgin cargo, Virgin Megastore. Recent innovations include; Virgin Radio, Virgin travel store, virgin mobile UK and media, virgin health bank and to the modern day Virgin Oceanic, a deep sea submarine exploration (Jessica, 2011). Richard Branson believes the massive expansion over the years was based on the belief of making a difference and being different from the rest (Jessica, 2011). Virgin group stands for quality service delivery, the value of money, fun, innovation and a sense of competitive challenge (Jessica, 2011). As a participative leader, he believes in the empowerment of his employees, facilitation and monitoring customer feedback for continual improvement of customer experience through innovation and fun (Jessica, 2011). He uses social media as his greatest tool for communication to his customer base (Jessica, 2011). The unpredictable nature of the internal and external environment in which companies operate requires that the management of the company take a proactive approach to the businesses and assets of the organization (Grant, 2004). Management Control is unavoidable in the business world, and the expansion of an organization depends upon the flexibility and adaptability (Grant, 2004). It is due to the fact that management of organizations is becoming popular in the modern world (Grant, 2004). The sole responsibilities of a manager are to show the pathways, to make systematic the working, to coordinate the employees and maintain adequate communication pathways within the organization and ensure they are employed in all the departments of the company (Grant, 2004). Richard Branson believes in the art of delegation which involves finding the best employees for Virgin Group, giving them their freedom, empowering them and encouraging them to flourish. As he puts it out in his autobiography, “No one can become successful individually, and none can be a great and influential leader without a great people to lead” (Grant, 2004). Richard Branson is clearly an unconventional leader, and his amazing leadership style was beyond the text of university books (DeCenzo et al., 2015). There were no any distinct features of consensus creating and consultative in his character of personality (DeCenzo et al., 2015). He has undoubtedly shown to be a "high maintenance co-worker" who demands excellence from his employees and is also known for his straightforward delivery of criticism (DeCenzo et al., 2015). The undeniable impact of his personality is the outcome of his absolute genius nature in coalition with his exceptional ability to express his vision of reality. He is also in a position to convince his staff members, customers, and investors, to believe in his vision and reap from the reality of his achievements. His visionary nature comes from the setbacks he has faced in his entire career life (DeCenzo et al., 2015). Richard Branson has a strong belief that both innovative technology and efficient management of organizations prevailing in the business world go together like an entity (Branson, 2013). Without the help and commitment of the other partner farms, no organization can be sustainable (Branson, 2013). He therefore, has shown the world that through proper interaction and incorporation of culture in the corporate, human resources, management and leadership and last but not least the advancement and introduction of technological issues into the daily activities of a business make a well-organized company (Branson, 2013). He advises other organizations that, to maintain the proper working conditions of the organization, the management, and the employees has to keep in mind the following – Nature of the communication covers all the part of the information that is, how it is required, evaluated, presented and disseminated, what are the legal issues that surround it along with the limitations at hand (Branson, 2013). The management of the organization's information and data is properly captured, adequately verified and stored effectively. Processing, evaluation and distribution of information must be accurately divided among the users of the system (Branson, 2013). The tools, plans and strategies of information system must keep track and provide feedback that in which manner and capacity the workforce is to be engaged to ensure the specific targets in the business organization are adequately achieved (Branson, 2013). In line with his visionary goals and innovative thinking, Richard Branson has become very successful in establishing and expansion of his business (Branson, 2013). His philosophy and approach towards a successful business is very coherent; he focuses on high-quality service delivery and cost efficiency so as to create and maintain value (Branson, 2013). He believes in customer satisfaction, cost effectiveness, profitability, and low complexities which have been clearly demonstrated as the cornerstones of building his Virgin Group business (Branson, 2013). Furthermore, branding is a powerful tool for achieving successful business and allows adequate connection and communication with service providers with their consumers while improving customer trust (Branson, 2013). He has, therefore, established Virgin group brand that acts as a sign of leadership, innovation, and dependability, giving the company an added/competitive advantage of confidence and assurance to its customers (Branson, 2013). Taking into consideration of his qualities, Richard Branson can be characterized by charismatic traits. ‘Behavioural theory’ is coined around the assumption that “Great Leaders are made not born” (Jessica, 2011). This theory properly differentiates a leader from a non-leader on the basis of the behavioral traits possessed by the individual. Richard Branson as an individual displays distinct traits such as authenticity, self-confidence and trustworthiness, high level of humility, enthusiasm, warmth and optimism that plainly set him within this particular theory (Jessica, 2011). With his belief that people are the key to success, he has become an inspiration and a role model for many upcoming leaders, therefore, displaying the trait of a role leader (Jessica, 2011). Richard Branson has a substantial concern about his entire workforce as well as production and improvement of the company (Jessica, 2011). Situational Leadership takes into account how a leader behaves when faced with different situations and how well is the leader capable of moving past the particular situation (Sonnenfeld, 2007). Richard Branson has tackled different situations in a positive manner and has eventually ended in success, even during the period of recession; his companies were able to create adequate profits (Sonnenfeld, 2007). For example, Virgin Atlantic Airways, the second largest carrier in Britain in 2009 announced having a profitable business despite the sinking economy that hit hard other airlines (Sonnenfeld, 2007). The airline was able to win a large market share from their competitors at the moment of the tough trading environment. The increased profits experienced by the airline against a backdrop during such a severe recession were an excellent achievement (Sonnenfeld, 2007). Managerial decisions taken by the company of lowest fares to consumers remained resilient as most travellers took advantage of the bargain fares leading to a vigorous completion against other airlines such as the British Airways, which was recording losses (Sonnenfeld, 2007). Motivation and dedication are extremely necessary to an individual managing or working in a particular organization (Dearlove, 2007). A motivational approach to the employees in the management and environment of the organization is specific to every organization (Dearlove, 2007). The manager, in particular, is individually responsible for the whole organization that includes the availability of content, personal space of the user and the ability to complete projects. In every large organization, it is, therefore, very essential to construct a creative and healthy working culture (Dearlove, 2007). Richard Branson uses incentive approach as a motivation to his employees (Dearlove, 2007). There are certain incentives that are aligned to be provided to the worker depending on their performances. Using this approach, all the employees in Virgin Group are entitled to incentives depending on the quality of their services and commitment to the company (Dearlove, 2007). He established a point scheme method to enlist in a chronological manner the performance of the employee in all the companies (Dearlove, 2007). The management in this essence ensures that all the employees can satisfy their targets, utilize their potential fully and at the same time contribute to the achievement of the goals and objectives of the organization. There are rewards in the form of gift cards, promotions, free meals, pins, recognitions, certificates and much more to inspire the employees to achieve their specific company objectives. The employees are rewarded for meeting Virgin Group performance targets or exceeding standards (Dearlove, 2007). Leadership Theories on Richard Branson: Trait theory Richard Branson displays the character of charismatic leaders, who clearly maintains a communication pathway with his employees and sustain their excitement and enthusiastic levels high (Dearlove, 2007). One of his most remarkable concepts is that, as a manager one must be inclusive and work while having fun, so one does not remain alone and lonely at the top. He displays a high level of self-esteem and self-confidence (Dearlove, 2007). Effective communication is the primary approach for leadership and management of the Virgin Group (Dearlove, 2007). One of the greatest communication strategies of the Virgin Group’ is to provide all the workers with as much information and awareness as the executives have (Dearlove, 2007). He bases his concepts on the fact that employees who have prior knowledge what’s going on in the company understand how their contribution boosts the collective and participative well-being of all the employees and eventually translates into motivation (Dearlove, 2007). Some of the characteristics that can be taken into account under this theory that are appropriately applicable to Richard Branson are cooperative, self-confident, ambitious and energetic and achievement oriented. These are the main traits that have enabled the success of Richard Branson with the management of the Virgin Group (Dearlove, 2007). Behavioural Theory The Managerial Grid is applied perfectly in the management of Virgin Group. Richard Branson has acquired a behavior that takes into consideration the specific concerns of his employees and production (Dearlove, 2007). Richard Branson as a role and team leaders displays a Team Management characteristic that states his commitment towards his employees’ interests and tasks which, therefore, results in a working relationship based on trust and respect (Dearlove, 2007). Situational Leadership: Path-goal Theory; is also adequately displayed and motivated by Richard Branson; he is committed to achieve the Virgin groups’ as well as the organizational goals; he ensures and assures the employees and all the stakeholders that he has ultimate control over the outcomes of the activities of the company (Sonnenfeld, 2007). Through this theory, Richard Branson focuses on the performance of individual employees is enhanced through proper training and motivation that is adequately provided to the employees. Strong emphasis is designated on the objectives and specific targets of the organization rather than on the personal interests and requirements of an individual (Sonnenfeld, 2007). Under this theory, Richard Branson displays a leadership style that changes as per the conditions and situations that the company encounters. He changes behaviors depending on the situation at hand, for example, subordinate contingencies and environmental contingencies (Sonnenfeld, 2007). Hersey and Blanchard’s Situation theory: A successful leaders should be able to create flexible managerial concepts that adapt to their leadership style and follow development style or maturity, based on how adequate and willing they are to perform required tasks (that is, their motivation and competence) (Sonnenfeld, 2007). Richard Branson displays a positive selling characteristic depicting a high relationship and high task with his subordinates. Richard Branson spends a greater part of his time with his employees to advise them and motivate them so as to improve their individual performance (Sonnenfeld, 2007). Richard Branson is also seen to be a great follower of servant leadership to display his commitment towards his tasks and employees (Sonnenfeld, 2007). Contingency Theories: Virgin Group follows a 'Visionary Model' of Leadership strongly (Jessica, 2011). Richard Branson is one of the visionary leaders in the modern world who believes in innovation and has a powerful vision for future (Jessica, 2011). This vision focuses on the communication and training the Virgin Group subordinates and in turn successfully empowers his workers by helping them become self-sufficient and self-confident in undertaking their work (Jessica, 2011). He motivates and encourages his employees to be innovative and move help the company move ahead of its competitors (Jessica, 2011). Richard Branson displays several decisional and interpersonal roles. He displays an autocratic role, by adopting cost-effective and cost-efficient measures (Jessica, 2011). He focuses primarily on the productivity of the organization (Jessica, 2011). He focuses on sustainability, maintenance, and performance to ensure the profitability and enhance the productivity of the Virgin Group. Richard Branson has also focused on developing the people (Jessica, 2011). He has dedicated his work on identifying the primary potential and strengths of his employees and tried as much as possible to enhance their capabilities. In this case, therefore, he dedicates his time on motivating the employees to accomplish their goals that translate positively to the achievement of the organization's targets (Jessica, 2011). Richard Branson’s strong charismatic and dedicated style enabled him to excel in very early ages of his life (Jessica, 2011). This has enabled him to successfully handled difficult and different situations and has emerged eventually as one of the most successful business persons in the globe. He has developed several leadership skills and responsibilities by being an ideal youngster and has continued to show support for upcoming investors (Jessica, 2011). He is characterized by conviction in one’s belief, being visionary, having the ability to articulate the vision (effective expression ability), strong convictions about the vision and being extraordinary for example self-sacrifice. He is perceived as agents of change and considerate about environmental sensitivity (threats and opportunities) (Jessica, 2011). Richard Branson has a strong belief in creativity (Sonnenfeld, 2007). Creativity is primary to the performance of the new brand, product and development teams. In the more competitive and rapidly changing new economy, the workforce needs to engage in divergent thinking in which typical assumptions does not apply (Sonnenfeld, 2007). He defines creativity as a form of competency which comprises a set of skills, knowledge, behaviours and attitudes, which is within everyone’s ability to improve rather than as a gift given to the special few. He, therefore, follows the five P model of creativity i.e. Passion, Persuasion, Persistence, Playfulness, and Positivity, which adds value to the brand of the Virgin Group (Sonnenfeld, 2007). He makes the first move to work creatively and encourages all his employees to follow the same approach. For enhancing and promoting creativity and innovation he adopts open climate in the organization, recruit empowered staff, create platforms for knowledge sharing systems, strong partnerships outside the organization, and employ different strong interpersonal ties and communication patterns among team member (Sonnenfeld, 2007). He collected data, analyzed and studied the internal and external environments of the organization and made suitable changes in the internal environment so as to achieve success (Branson, 2013). Over the years as the Chief Executive Officer he has improved Virgin Group to be one of the best business institutions in the world to work. His main idea is to focus on several strategies for a particular business independently and ensure the implementation of the strategies (Branson, 2013). Implementation is directly related to organizational and institutional changes to the extent that the operations in some strategies may relate to a significant change in the design, processes, structures and cultures of organizations (Branson, 2013). He, therefore, ensures that all the stakeholders are involved in the procedures of ensuring successful and efficient implementation of approaches (Branson, 2013). Communication Style Richard Branson as a one of the most successful leaders in the world ascertains that communication is the most powerful towards ensuring success in business (Branson, 2013). He believes that communication is an art, and every corporate person should take the time to master and refine (Branson, 2013). One of the strongest pillars of the success of Virgin Group is effective and efficient communication at all levels of management, that is, from the top management to all the stakeholders (Branson, 2013). Apart from being recognized as an innovative entrepreneur in the globe Richard Branson is also a terrific communicator. His communication style –whether conducting indoors meeting, giving an interview, using social media or using cameras to promote any of his Virgin brand companies includes his strategies for public relations (Branson, 2013). Richard Branson employs these different communication platforms to reach out to a larger audience and ensure his brand of companies expand their customer base (Regis, 2008). Different communication approaches are very crucial in fostering new ideas and modern business alliances and the ability to get feedback directly from the customers (Regis, 2008). He believes that the most varied the environment (different cultures and communication patterns), the greater ideas a team is capable of producing, therefore, leading to more options to the customers (Regis, 2008). He encourages team members from all off his companies to use various means of communication to improve collaboration and innovation (Regis, 2008). The Virgin Group employs mostly internet services to communicate effectively (Regis, 2008). For example, the organisation has developed a non-profit online foundation called the Virgin Unite that allows entrepreneurs from all over the globe including entrepreneurs from the Branson Centre of Entrepreneurship to share and discuss innovative and technological changes in the business sector on Google hangouts (Regis, 2008). Another means of communication encouraged by Richard Branson is the use of Skype, as it is quicker and effectively informal than email (Regis, 2008). Furthermore, in the internet services communication strategy of the Virgin Group, uses a tool called Evernote, and application of project management that allows every person in working on the project accomplish their specific tasks regardless of their locations (Regis, 2008). The most powerful strategy Richard Branson employs constant engagement with his audience, and whenever he does, he bases his ideas on originality and authenticity (DeCenzo et al., 2015). He outlines that a leader should communicate in a style that his audience embraces (DeCenzo et al., 2015). His specific strategies include telling stories as most people respond to stories and not press or data releases. Most importantly he believes using the right communication channels and being truthful accompanies a good understanding (DeCenzo et al., 2015). The content of the information should, therefore, match different audiences and platforms. Interestingly, Richard Branson believes making work fun reaps success because one feel attached to their work. Most importantly, he promotes the idea that communication must be done in person. No person speaks for Richard Branson because he creates time in his very busy schedule to engage his audience personally on social media and handle his communication (DeCenzo et al., 2015). He believes the image of his business empire is always at stake, and effective communication is a tool towards achieving a successful business (DeCenzo et al., 2015). Globalised Environment With his servant leadership skills and effective communication strategies, therefore Richard Branson’s approach to business is well suited to a globalised environment (Snell, et al., 2013). He has over the years committed himself on enhancing his business performance and enabling Virgin group to become one of the best organizations to work (Snell, et al., 2013). His model of leadership enables the development of businesses independently with its management and shareholders. In this manner, the management concentrates on the specific objectives rather than some huge and faceless conglomerates while at the same time the independent business units form part of the same corporate patent. In this case, the Virgin group operates as a community that shares ideas, interests, goals, values and brands. It is therefore defined as a structure of linked units controlled by self-managed teams but with a common brand (Snell, et al., 2013). The ability of Richard Branson, as the CEO of Virgin group to manage all the units in his brand and at the same time sustain its productivity and profitability determines that approach suited his approach in business is competitive (Rosethorn, 2009). In what started as an individual effort has grown over the years to include around 300 companies and employ over 50,000 people in over 30 countries based on good leadership and effective communication strategies (Rosethorn, 2009). The relative competitive advantage of Virgin Group in various sectors in the global market demonstrates that Richard Branson’s brand and approaches if efficiently implemented leads to a sustainable business (Rosethorn, 2009). The enormous expansion to create employment opportunities, ensuring sufficient use of resources, investing in innovative technologies to combat climate change and ensuring sustainability of businesses means the Virgin Group under the leadership of Richard Branson is committed to providing solutions to the modern world problems (Rosethorn, 2009). References Branson, R. (2013). Like a virgin: Secrets they won't teach you at business school. London, UK: Virgin Books. Dearlove, D. (2007). Business the Richard Branson way: 10 secrets of the world's greatest brand builder. Chichester, UK: Capstone. DeCenzo, D. A., Robbins, S. P., & Verhulst, S. L. (2015). Fundamentals of human resource management. Grant, R, M. (2004). “Case 15: Richard Branson and the Virgin Group of Companies in 2004.”: Blackwell Publishing.com. Jessica, H. and Dustin, K. (2011). Sir Richard Branson: Great brands, virgin brands, Branson brands, from Smart business Orange country, September 2011 Maxwell, J. C. (2011). The 360 [degree symbol] leader: Developing your influence from anywhere in the organization. Nashville: Thomas Nelson. Regis, R. (2008). Strategic human resource management and development. New Delhi: Excel Books. Rosethorn, H. (2009). The employer brand: Keeping faith with the deal. Farnham, UK: Gower. Snell, S., & Bohlander, G. W. (2013). Managing human resources. Mason, Ohio: South-Western. Sonnenfeld, J. A., & Ward, A. (2007). Firing back: How great leaders rebound after career disasters. Boston, Mass: Harvard Business School Press. Read More