Approaches To Leadership In Tata Group Management Essay

apostrophizees To hint In Tata gathering trouble EssayIntroductionLeadership is an integrated part of our flavour. According to incorporate chief and former US pre attitudential nookiedidate Ross Perot, the principles of attractors argon timeless because, in a rapidly changing world, human temper remains a constant. We each experience leading in our vitality from early childhood in our families, finished friendships, social sports activities, school mettlesomeer(prenominal) education, in politics, in government and of course in our work. We all pick out leadinghip in different people and often in ourselves. In government, ball-shaped corporations and small straines alike, the leading role is becoming much than(prenominal) demanding, more open to scrutiny and more difficult Gill, R. 2006.The development of lead possibility also parallels the development of transcriptional theory. The bureaucratic form of crinkle organization is characterized by laissez - sensiblee leading whereby so-called leaders tend to bar taking a stand, ignore problems, non follow up, and refrain from meddle or transactional leadership, in which leaders practise management by exception, steering only on deviations from what is required, and contingent reward, rewarding people (either materially or psychologically) for achieving what is required. The emergence of the post-bureaucratic form of organization in the late nineteenth degree Celsius reflects the development of the concept of transformational leadership Gill, R. 2006.Theory Approaches to LeadershipMany Leadership theories and cuddlees have been evolved around Style, Trait, Behaviour, Situation and Charisma. Many researchers made bowel movements linking these theories crosswise these leadership approaches. However, each leadership beat has its merit, assumptions and limitations. almost recent researches are conducted on Situational Transformational leadership flairs. Various leadership Gurus presented new models as variations to the already animate models. Max Weber, MacGregor, Bass, Bennis Nanus are some of the most important researchers in the area of transformational leadership. The difference mingled with transactional and transformational leadership is vital in score the whole concept of transformational leadership theory. In general, a dealinghip between two people is establish on the level of exchange they have. The more exchange they have the stronger the relationship. Managers expects more productivity from employee in order to introduce good rewards. In this way, if something is done to anyone based on the return then that relation is called Transactional type. In credit line, leaders announce rewards in turn to the productivity. These relations are all about requirements, conditions and rewards (wordpress.com).In our life at non-homogeneous stages some things are happen without any expectation from other side e.g. mothers love for her babies. This is one for of transformational approach. Transformational Leaders work toward a common intent with followers aim followers in front and develop them, fruit followers to next level, reanimate followers to transcend their feature self-interests in achieving superior results (wordpress.com). Here we discuss the various forms of leadership and put back 1, wedded below shows how Basss full range model of leadership works DBS Notes.Table 1By studying the evolution of leadership approach of the TATA Group, an in-depth abbreviation of importance of leadership model is given now onwards.Leadership Approach in TATA GroupTATA Group founded in 1868, is an Indian multinational gather headquartered in Mumbai. The Group has more than half million employees spread across over six continents (more than 100 countries) and is the largest private corporate free al-Qaida in India. The estimated market capitalization of the sort out is worth $80bn. It is the biggest employer in UK as ri se up, employing more than 50,000 people. It has main interests in communications, IT, engineering, materials, services, energy, consumer products and chemicals. Its present chairman, rattan toilettee Tata is the most prestigious business leaders in India. He is also one of the worlds most influential people as per Forbs magazine. The Group is known for ethics and value based business approach.Evolution of Leadership in TATA GroupUnder the leadership of the rattan Tata, the Group has incorporated more leadership changes which were essential in current environment to drive towards to be more competitive. In call of leadership hyphen, the Group has adopted a squad-led culture and collective effort approach. Trust became a study factor and theme of the group. ratan has put a complete organisational restructuring, since he became chairman of the group in 1991, by taking a more matrix-style approach building aggroups. These changes have transform a raft in the group business, s enior double-deckers have to be on their toes and flexibility and adaptability became essential qualities to have. The leadership changed from a centralised, command shopping centre to a much more distri barelyed form with employees and all managers enjoying coarseer accountability and knowledge, which in turn motivated them to work harder and as a group.From headspring established leadership models such as the McGregor Theory X and Y in which the theory X manager believes workers dislike work, are not creative and avoid all responsibility whilst the theory Y manager believes that workers get as much enjoyment from work as they nates derive with leisure, accept responsibility and be creative. Theory Y approach has been adopted by the rattan Tata. He wanted all his managers to be modelled as closely to Theory Y and he himself could be called a Theory Y facilitator. He encourages managers to be more innovative and character all their ideas, consulting actively with them and gi ving them more responsibility and importantly supporting team-working.Five Factor Leadership ModelEmotional Stability rattan palm has genuinely low anxiety within him and has great sense of gage with his future day leadership.Extraversion Even being a bachelor Ratan is really sociable. He has produced very positive affect on future leadership of the Group.Openness He believes in originality and versatility. By making 1200/- auto he has shown his great interest with and innovation seeking personality.Agreeableness indoors his management team and outside world, Ratan is healthy trusted and very friendly.Conscientiousness He is very dutifulness. He spent most of his life working for Group without having any self-interest. He leads a very well organised life.Style (Behaviour) Theory in TATA GroupAs per style theory, there are three kind of leadership models are procurable in literatures. These are as given below.AutocraticDemocratic capitalistRatan Tata is a leader who engag es in more democratic style of leadership approach and now and again shows the other two leadership styles as well. He is more democratic because he al ways encourages his group leadership to be creating good communication and participation. The budding leadership are well informed about group future strategy and they are very well engaged in decision making process. Most of the group long-term and short-term strategies are formulated by the lower downright of the leadership and are treated as stake holders. Ratan has occasionally shown some short of autocratic style of leadership. Sometimes when needed oddly when quick and informed decisions have to be taken, but he is neer too commanding in his nature, being a man of hardly a(prenominal) words and being more of a man of action. This is evident from the mien he aggressively pushes for bold international deals, such as during the world-wide acquisitions of business powerhouses such as Corus, JLR, and Tetley. One of his senior leadership team members, Muthuraman refers him Ratan was the chief architect of the Corus deal. I was worried about the order and the amount of money. But he instilled confidence.In daily routine matters and in developing the leadership, Ratan also uses the Laissez-Faire model such as the delegation of important duties and decision-making, he also do not interfere with any managers functioning, he might make a broad strategical assessment but he does not interfere in usable issues and details, which shows that he has his trust and faith in his managers and believes in their ability. Another retell from Gopalakrishnan, an executive director of the company, expresses how much value Ratan places on his trust, this can be highly motivating for managers and workers alike, I remember what Ratan told us at a meeting. He said that he leave behind get over to trust all his managers, but once they lose that trust, he get out go after them. I think that is a very fair deal.Max Webers L eadership Model in TATA GroupLooking at Max Webers Transactional and Transformational Leadership models, where leadership is classed in three forms, Bureaucratic, Charismatic and Traditional, where a Bureaucratic leader is one who is always bound by the inured rule and never go beyond them a Traditional leader is one who does and follows everything from a history and always loyal to obey these traditions and a Charismatic leader is one who uses his own wit or abilities to inspire and is one who can be described as radically strange to administrative rules and set principles. From these models, Ratan Tata falls into the Charismatic form because he is one who leads by example, coming up with highly innovative ideas such as 1200 (Rs. One Lakh) car the Nano, budget hotels or low-end watches, he brought radical change to the Tata Group as a whole, changing it from its Traditional expectation to new more flexible and adaptive cultural mindset in globose world.Bennis Nanus Transformat ional Leadership Model in TATA GroupWe can see from Bennis and Nanuss Transformational Leadership model that the transformational leaders groom their followers into self-empowered leaders and their main focus is to articulate vision and values clearly so these self-empowered leaders know where to go. Their traits include logical thinking, persistence, empowerment and self-control. Benniss and Nanus has evolved the model which emphasis on the four Is of Transformational leadership, which areIdealised Influence (being a role model)Inspirational Motivation (creating a team spirit, motivating and impart a challenge)Intellectual Stimulation (innovation and creativity)Individual Consideration (mentoring and providing support for followers)Ratan Tata has been proved a true transformational leader. We can see all Is entire in Ratan Tata. He is the leader with great vision consequently he knows right approach to groom future leadership. He has created the team spirit in whole group at eve ry level. He has empowered all his managers and executives and has complete faith in them. He is extremely innovative and is credited for much of the Groups new products he places a great deal of importance to his RD department. He complicatedly cares about the welfare of all his employees and managers. During the Mumbais terrorist attack in Taj Hotel (belongs to TATA Group), he took front line in leading at the time of crises. In his leadership statement he supply One hundred years from now, I expect TATA Group to be much bigger, of course, than it is now. Best in the manner in which we operate, best in the products we deliver and best in our value system and ethics. tata.comAs a leader of a global business group, Ratan, knows the fierce competition experient by group business empire. He put a lot of effort in making his business competitive at global level. Through transformational leadership process, the group has made their processes and technology up to date. Ratan Tata sai d to his managers in his leadership speech A company or business which remains static is a business that will glide by a company that constantly changes and accepts that there are better ways to do things than the way they are done today, is a company that will survive in the global market that we face. From this statement we can approximate that he knows the importance of developing a good leadership within group to take Group to new heights. Ratan, involves strategy in leadership. He is a deep thinker and a brilliant strategist as is described by one of his Executive Directors, Alan Rosling, He is a deep thinker and extremely strategic. He is always 2-3 steps ahead. Ratan Tata is a man of strong integrity, ethics and valued principles. He cultivated the same across the Group companies. One of his companies CEO said Tata has shown that there is no other way he will do business other than do it ethically. He believes in strong value based leadership approach in doing business. Ra tan Tata has led the TATA Group to transforming from local business group to bring to slide down a global leader.Leadership Development in TATA GroupTATA Group has long standing leadership program in-place. Their leadership program is based in British administrative Service model. Groups leadership development programme aims at grooming the managers of today into the leaders of tomorrow. The leadership development programme conceived by JRD Tata, the late chairman of Group in 1950s. The idea behind the leadership programme known as Tata Administrative Services (TAS) was to select and groom young managers, provide them opportunity for passkey growth, and make them leaders of tomorrow. This is TATAs in-house programme and has goal is to provide training to high performers, act as a cradle of change and develop the leadership qualities. Most of the Group companies are traditionally led by these in-house groom leaders.Cons in Leadership Development in TATA GroupAlthough Ratan Tata h as been very successful in leading the group to a new height, but as in case of every leadership he lacks in few of the areas, these areas includes his successor and integration of his own companies in smaller numbers. imputable to large number of companies within group, there is chance of internal involvement between its own companies leadership. There have been cases when the Ratan Tatas leadership has been useless in dealing with some critical situation. Ratan Tata will be retiring next year and the group is still struggling to get his replacement. He made himself bigger than the group as a whole. Most of the group leadership hover around him and whole leadership has become Ratan centric. Due to recent scam in 2G spectrum allocation in India, the group reputation has been affected severely. Its few of the top leadership were mingled in different scams which could prove detrimental to group business in future. Furthermore TATA Group leadership lacks international flavour. This could be a major hindrance for the group in becoming a major global player.ConclusionsRatan Tata has transformed TATA as global brand under his leadership. He has created a rank of leadership to whom he can easily pass the leadership baton. Grooming 98 CEO/MD (TATA Group has 98 companies in its group) is a challenging job in which Group has been very successful so far. He has provided inspiration to leaders within his own company. Ratan Tata has successfully led and motivated its CEO/MD of the group companies to be ambitious. Ratan Tata has adopted a management by consensus style. leadership a large group of companies in current business scenario of changing regulations, increasing competition and global economy could be a street fighter challenge for many business leaders. Leading the business through these bonnet times and growing multi-folding revenues could be a dream for many business leaders. Achieving this requires clear vision, innate conviction, ability to inspire and gu ide along the way. Ratan Tata established himself to be the right leader who has helped the company sail through the turbulent waters and reach the desired lands.Appendix Reference listDBS Managing People Lecture NotesRoger Gill, Theory and Practice of Leadership, Sage Publication, 2006Robins, S.P Judge T.A (2010) tenth Edition, Essentials of Organizational Behaviour, Pearson, ISBN 0-13-815763-4http//leadershipchamps.wordpress.com/2008/08/04/transactional-leadership-vs-transformational-leadership/http//business.outlookindia.com/inner.aspx?articleid=682editionid=22catgid=70subcatgid=464http//www.tata.com/company/Articles/inside.aspx?artid=YJbf7uiUY0M=Visionary Leadership Creating a Compelling brain of Direction for Your Organization (Jossey Bass Business and Management Series) Burt NanusTata Group Annual Reports (1991 -2011)