The Impact of Leadership Characteristics on Corporate Performance

We identify three attributes of a firm that exert significant positive impact on stock return performance of companies. Specifically, quality of management, financial soundness and quality of products/services indicators are critical for successful financial performance. We then discuss the leadership characteristics that are necessary to positively affect these attributes. We believe this information provides insights into the type of leadership characteristics that result in improved financial performance. This revised version was published online in July 2006 with corrections to the Cover Date.     

Top-Management-Coaching in mittleren Unternehmen

Top-Management-Coaching in mid-sized companies The author discusses coaching of business leaders in mid-sized companies. These companies appear to be under considerable pressure to professionalize at times regarding their understanding, functions and instruments of leadership and management, — unlike their technical and product know-how. Due to the strong personalization of leadership in mid-sized companies, this professionalization can only take place if the business leaders build up an adequate understanding of leadership by alternating self- and business reflection. A coach can be of great help, acting as a sparring partner by combining the ?personal perspective“ with the ?functional perspective“. A prerequisite on behalf of the coach, aside from his competence in individual and interaction psychology, is however the ability to transport himself into the specificities of a mid-sized company and its management as well as profound knowledge of the management of complex sociotechnical-economic systems.     

Evaluating the Deming Management Model of Total Quality in Services*

This article uses the Deming management model developed by Anderson et al. (1994b) as an initial template to analyze total quality in services. While the literatures addressing quality management have developed separately for products and services, the founders of total quality portrayed this management philosophy as universally oriented. Our study first replicates two earlier studies that tested the Deming management model in manufacturing industries. Using hospitals as our unit of analysis, we realized findings similar to the earlier manufacturing studies. Next, we used contributions from the MBNQA literature to test an enhanced model. Our subsequent findings support the MBNQA concept that “leadership drives the system that creates results” and provides evidence of the ubiquitous importance of leadership for ensuring the success of a quality improvement program. Finally, an anomaly of this study and those published earlier is the inability to find support for the relationship between continuous improvement and customer satisfaction. Integrating the substantial work in the service quality literature focused on customer satisfaction measurement is recommended to future researchers to help resolve this issue and further enhance the model.     

论发掘和培养具有国际竞争力的高级管理人才

领导班子的管理水平高低对一个组织的生存和发展至关重要。而领导的核心即最高行政长官的表现与一个企业的命运直接相关。这一点已为众多的管理实践所证明。这也是为什么许多大的跨国公司和国际组织不惜重金从世界各地网罗顶尖管理人才。中国目前最缺乏的应该是具备国际竞争力的高级经理人才和高级专业管理人才。文章分析和论述这些人才产生的条件和特征,吸引和留住这些人才的环境和方法,以及培养这些人才的机制。文章最后对国内有关政策和措施进行一般评价,并提出一些政策性建议。     

Sustainability in the Construction Business — A Case Study

Skanska is among the world's five largest construction companies, with construction-related activities and project development operations in some 60 countries. A strategic approach to environment was adopted in 1995. In 1998 a decision was made to introduce certified environmental management systems. The drivers behind these steps were pressures from the market, future legislation and public opinion.By the end of 2000, all business units of Skanska had environmental management systems certified according to ISO 14001. Newly acquired companies are required to have certified systems within two years after acquisition. While environmental management systems provide the necessary framework, more technical tools are also needed. Some examples of such tools are presented in this article.ISO 14001 is an important element in focusing the attention of the organization on environmental issues, but for leadership in environment, a number of guiding principles are also presented and discussed.Finally, corporate social responsibility (CSR) can be seen as a framework for all types of issues where a company is regarded as having certain obligations toward society at large, because of direct or indirect effects from its business operations. It is only logical that Skanska, following its work with ISO 14001 and the move toward leadership in environment, now has decided to develop a CSR platform.     

An information system for Just-In-Time

In recent years, U.S.'s worldwide industrial and economic leadership has been seriously challenged by many foreign countries. In order to counter the problem, many U.S. manufacturing companies have sought effective materials management systems such as MRP and the ‘Just-In-Time’ (JIT) system as used by many Japanese companies. Even through many practitioners and academicians have been studying the JIT concept and have recommended ways of adapting the concept to the U.S. manufacturing environment, not very many organizations are enjoying benefits of JIT system in full scale because of misunderstanding of information needs in JIT system. The objectives of this paper are (1) to identify information requirements of the materials management systems under JIT concept, (2) to compare them against the requirements under MRP system, and (3) to propose an integrated management information system to support materials management system in JIT environment. The goal of this paper is to facilitate more effective implementation of the JIT system, and stimulate further research on the subject matter.     

Leadership across hierarchical levels: Multiple levels of management and multiple levels of analysis

We examined differences in leadership influence processes, perceptions, and multiple levels-of-analysis effects between close and distant charismatic and contingent reward leadership across three hierarchical levels in 13 Korean companies. Multi-source data revealed that followers' commitment to the leader mediated relationships between leadership and followers' attitudinal, behavioral, and performance outcomes in close situations, but not in distant relationships. Leadership at higher levels of management was positively related to leadership at the next lower level, which in turn related to follower outcomes at the lowest echelon. Multivariate within and between analysis indicated multiple-level effects differing by leader–follower distance and for the variables of interest.     

Leadership behaviors and group creativity in Chinese organizations: The role of group processes

In seeking to understand the factors contributing to work group creativity in Chinese organizations, we explored the roles of two different leadership styles (transformational and authoritarian) that Chinese leaders play in group creativity through influencing internal group processes, i.e., collective efficacy and knowledge sharing among group members. We tested our hypotheses with a sample of 163 work groups involving 973 employees in twelve Chinese companies. We found transformational leadership to relate positively but authoritarian leadership to relate negatively to group creativity, mediated by both collective efficacy and knowledge sharing among members within the group. We discuss the implications of these findings for research on group leadership, group creativity and cross-cultural management.     

Indian business leadership: Broad mission and creative value

While general models of business leadership have drawn extensively on American companies, we find that two distinctive leadership principles have emerged among Indian companies. We conducted interviews in 2007–09 with top executives, primarily the chief executive, of 102 of the 150 largest companies listed on the Mumbai stock exchange. Though aware of Western leadership principles and applying some of them, Indian business leaders have developed their own guiding principles that emphasize 1) broad mission and purpose, servicing the needs of stockholders but also focusing on family prosperity, regional advancement, and national growth; and 2) creative value propositions, devising new products and services to meet the needs of large numbers of low-income consumers with extreme efficiency. Business leaders in the U.S. have long stressed total shareholder return, and while business leaders in India also focus on owner interests, Indian business leaders have embraced goals extending beyond their company's financial calculus.     

Environmental improvement initiatives in the coal mining industry: maximisation of the triple bottom line

Abstract

Mining is an economically important industry, which faces several environmental and social challenges. Other than operational improvement activities, mining companies are increasingly paying attention to reduce greenhouse gas emissions (GHGs) and maximise social welfare to satisfy multiple stakeholders and the rise of corporate social responsible initiatives. Based on a case study analysis of coal mining companies we develop a triple bottom line (TBL) initiatives framework that provides a starting point for mining companies to develop a strategic approach to environmental improvement initiatives that can positively impact all elements of the TBL. We highlight four types of process and offset-based initiatives that are available to mining companies to reduce their GHGs, each having differential effects on elements of the TBL. Our findings suggest the importance of company-wide strategies of looking at initiatives through all rather than individual elements of the TBL. Such a strategy would provide an appropriate estimate of the costs and benefits of the initiatives and results in a balanced approach that takes care of operational improvement, reduces GHGs and improves the social welfare of people engaged in mining operations and wider society.     

Turnaround leadership core tensions during the company turnaround process

How leaders turn around declining performance is a significant issue for companies, their employees, their customers, their shareholders and, more generally, society. Leadership influence during times of change is well recognised in the literature; however, leadership during a turnaround is more complex and less understood. In-depth examinations of the role and activities of turnaround leaders have received insufficient attention in the literature to date. Specifically, studies have not investigated, in-depth, the tensions that leaders face during a turnaround process. To begin addressing this gap in the literature, we utilise case studies of four companies to examine the core tensions leaders experience, when they occur during the turnaround process and how they are managed. We frame our focus on leadership tensions in three prominent domains in the literature, leadership change, leadership assertiveness and strategic orientation. Our findings identify and detail the management of six core tensions that leaders experience across a five-stage turnaround process model. We conclude that effective turnaround leadership is less about particular skill sets or ‘types’ of leaders for different stages of the recovery process, and more about their ability to purposefully navigate and balance apparently conflicting activities within these tensions. We discuss the implications of these findings for theory and practice.     

Quality control practices in Saudi Arabia: Survey result

Quality improvement is essential in gaining a competitive edge in today's market. This paper is an assessment of quality awareness in the manufacturing sector in the Kingdom of Saudi Arabia. A survey is conducted in the Eastern Province, a centre of the petrochemical industry and other types of industries in the Kingdom. The survey includes 87 companies. The use of statistical process control tools and the adoption of modern quality control concepts, such as quality circles and total quality management, are investigated. Results show an encouraging trend of adopting modern quality control technology specially among large companies. This technology is transferred mainly through joint ventures with foreign companies.     

公仆型领导、员工集体和个人的工作态度对服务质量的影响

作者在13家宾馆和餐馆进行了一次实证研究,探讨饭店管理人员的公仆型领导风格、员工集体和个人的工作态度对员工的服务质量的影响。多层次线性模型分析结果表明,部门的公仆型领导氛围会直接影响员工集体的工作满意感,并通过集体情感性归属感,间接影响员工的服务质量。部门的公仆型领导氛围会调节员工感知的部门负责人的公仆型领导风格对他们的服务质量的影响;员工集体的情感性归属感会调节员工个人的工作满意感和情感性归属感对服务质量的影响。     

A managerial and personal control model: predictions of work alienation and organizational commitment in Hungary

This article examines the influence of managerial and personal control upon work-related alienation and organizational commitment in the Eastern-European nation of Hungary. The research identifies the extent to which Western management theory and practices are relevant to transitional economic nations such as Hungary. We chose leadership and job characteristics as managerial control mechanisms and locus of control as a personal mechanism of control. These categories of control variables have well-established associations to attitudes and behaviors in the Western management literature, but limited evidence has been generated in Hungary. A survey among 395 Hungarian workers in five companies found that leadership, job characteristics, and individual locus of control explained work-related alienation but did not explain organizational commitment. Implications for theory and practice are discussed.     

AN OPEN LETTER: TQM ON THE CAMPUS*

This letter is from the chairmen of American Express, Ford, IBM, Motorola, Proctor & Gamble, and Xerox. These companies sponsor Total Quality Forum, an annual gathering to discuss total quality management.     

Some implementation experiences with just-in-time manufacturing

A case study on the implementation of a just-in-time (JIT) production system by a Canadian manufacturer in the heavy machinery industry is presented. Many hurdles and difficulties were encountered during implementation and the way in which these problems were resolved is reported. While the successful implementation of a JIT system depends on a host of technical and human factors, this study suggests that the people involvement factor is the most crucial. It is seen that the key elements to securing people involvement are institution leadership, company-wide education and training and mutual understanding, trust and respect among employees. The moral of this study is that without employee involvement nothing will happen and no result will be achieved.     

An empirical study of transformational leadership,team performance and service quality in retail banks

The discipline of operations management (OM) has long been offering differing quantitative techniques for improving the efficiency of banking operations. However, there has been a trend in recent years that operations and services of the banking industry are becoming more diverse and unstructured, rendering many traditional OM quantitative techniques less effective in performance improvement. By integrating the literature on banking operations, service quality, leadership style and work teams, we argue that leadership style and team performance are crucial concerns determining the service quality performance of today's banking operations in a team setting. Using data collected from 192 employees from 32 operational teams (a leader and five members in each team) in 15 retail banks in Macau, China, we investigated whether the five dimensions of transformational leadership have an impact on team performance with respect to team cohesion, team leader job satisfaction and team competence; and whether the dimensions of team performance have an impact on such service quality dimensions as reliability and responsiveness. We found that one of the dimensions of transformational leadership and two of the dimensions of team performance have a significant impact on service quality. We discuss the implications of the findings for research and practise.     

供应链管理实践对企业绩效的影响

文章构建了供应链管理实践-企业竞争战略-企业绩效的权变模型,通过问卷调查搜集一手数据,运用因子分析和回归分析等统计方法,找出在不同的竞争战略下,哪些供应链管理实践与其更匹配。文章得出的结果对于企业也具有借鉴意义,实行不同竞争战略的企业根据结果调整供应链实践的关注程度,使供应链实践更好地与竞争战略相匹配。     

IMPLEMENTING INITIATIVES ON QUALITY: AN INTRODUCTION TO THE SPECIAL ISSUE ON TOTAL QUALITY MANAGEMENT

In the early 1980s, companies around the world, learning from the Japanese experience, saw that they could address their severe competitive problems related to productivity and quality only by looking at the entire set of processes and organizational relationships in the context of the customer's needs. This approach was termed total quality management (TQM). As companies pursue quality-related initiatives, they must deal with a number of issues; some of these issues are addressed here: measurement of benefits, feedback and recognition, work-teams, teaching continuous improvement, and enhancing the effectiveness of statistical process control charts.