Leadership Style and Organizational Performance

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Kenyatta University *

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Nov 24, 2024

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1 Leadership Style and Organizational Performance Student Name Institution affiliate Instructor Name Course Name Date

2 Leadership Style and Organizational Performance The primary goal of any company is to maintain a competitive advantage and be regarded as successful between the demands of different stakeholders and the requirements of the workers. Depending on the past research in similar areas, it has been shown that an effective leadership style may affect the effectiveness and the economic development of both the companies and workers (Megheirkouni & Mejheirkouni, 2020). Consequently, this study aims to examine the impact of Sundar Pichai's leadership style on Google's organizational performance. The primary emphasis is on the transformative leadership of Pichai and his involvement in allowing the rise in Google's performance. The article first provides a literature review on leadership and organizational success. Next, Pichai's style of management at Google is examined and finish by offering some suggestions to leaders and organizations. Literature Review Leadership Leadership is a topic that has always piqued people's attention. The phrase conjures up ideas of strong, energetic people commanding successful armies, directing business enterprises from the tops of shining skyscrapers, or charting the destiny of countries (Maamari & Saheb, 2018). According to Fang et al., "leadership is among the most researched and poorly recognized phenomena on the planet" (Fang et al., 2019). History has been preoccupied with investigating its leaders since the dawn of civilization, and governance is still a topic of ongoing research. Moreover, leadership is frequently considered the single most important element in a company's failure or success. Machiavelli might be the first to describe leadership as a process in the sixteenth century (Fang et al., 2019). According to Fang et al. (2019), a more comprehensive study of leadership

3 may have been reached only by Max Weber in the early twentieth century. According to Weber, leadership was based on three kinds of control: charismatic jurisdiction, which expressed personal qualities; traditional legitimacy, which related to conformity with rules and standards of behavior; and legal power, which came from the "obligation of office" (Ren et al., 2018). Following Weber, leadership studies have become more methodical, giving rise to many theoretical views and conceptual descriptions (Ren et al., 2018). Leadership Styles For a manager or a leader to be successful among his followers, he must actively investigate their mastery of numerous methods and adapt to varied ways depending on the circumstances. Work and relationships conduct is essential to the concept of individual leaders' leadership styles, and their success is determined by how they apply their styles to the circumstance (Yao & Huang, 2018). Leadership style is a major predictor of a firm's performance or collapse, and it is the leader's behavioral technique to providing inspiration and guidance to his employees (Pawirosumarto et al., 2017). Following the development of the behavioral concept, psychologists Fiaz et al. (2017) recognized three main leadership styles: democratic, authoritarian, and laissez-faire. Style of leadership is regarded as the most significant predictor of worker motivation. Leadership styles in companies may influence workers both favorably (reward) and adversely (punitive measures) and have their own repercussions on staff behavior in terms of motivation and attitudes, which in turn affects firm productivity. Authoritarian leaders make decisions without consulting the followers, laissez-faire leadership enables team members to make decisions without engaging them in the procedure, and democratic leaders consult their

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4 followers prior to making a choice (Megheirkouni & Mejheirkouni, 2020). It is likewise one of the elements that increase people's loyalty to the company (Fiaz et al., 2017). Transformational Leadership Atan & Mahmood (2019) aims to "increase followers' awareness by engaging to principles and ethical values instead of materialistic needs or unpleasant emotions." Transformation leadership differs from past and current concepts on the premise of commitment to engage followers in the process (actions) towards the company to achieve shared objectives and returns. This approach assists followers in fulfilling and renewing their commitments (Atan & Mahmood, 2019). The leaders motivate, inspire, and empower subordinates to transcend while surpassing self-interest for the institution's sake. Chandrasekara (2019) motivate their followers to go above and beyond their own interests in order to help the team or institution. He also defined this style as a process in which individuals interact with others in such a manner that they increase their drive and morals. They foster intellectual growth and team confidence, as well as team cohesion and passion, by inspiring and pushing followers to achieve corporate objectives (Chandrasekara, 2019). Types of Leadership Action Logic Opportunists Yao & Huang (2018) research of various leaders revealed that 5 percent of them had opportunistic tendencies. Opportunists prioritize individual concerns above the interests of those whom they are supposed to serve. Such executives, for example, are not readily trusted by others, such as their workers and followers, in addition to becoming self-centered and cunning. Conversely, they see their downline and all other things as resources to be exploited for personal

5 gain. However, they are mindful that everyone has a certain level of self-centeredness that drives them to seek changes that would help them fulfill their inner needs. As a result, opportunists see the universe as being full of conflicting forces. Consequently, the courses of action taken by such leadership when faced with problems are determined by their ability to influence the outcome of such events (Eliyana & Ma’arif, 2019). Even though others may point out nasty standards of behavior shown by this type of leadership, their attempts to suggest any changes are futile since opportunists see their behavior as acceptable, regardless of their degrees of exploitation (Megheirkouni & Mejheirkouni, 2020). Leaders with opportunistic characteristics, in particular, seldom appreciate input from their followers since they see it as a form of criticism. This characteristic portrays individuals as reactive and individuals who might not be held accountable for whatever mistakes they make. Consequently, these executives do not stay in one business for long since their personalities contradict numerous ethical standards, such as collaborating with workers. Diplomats In contrast to how opportunists do businesses by ignoring the outside world, this behavior logic comprises negotiators who guarantee that their actions do not damage people near them. They are careful not to instigate workplace disputes (Eliyana & Ma’arif, 2019). However, despite their loyalty at the highest levels of leadership, they may be detrimental, particularly if they occupy top positions in their companies. They try to satisfy upper-level colleagues while ignoring the contributions of those under them. Diplomats, as contrasted to opportunists, guarantee that their internal environment meets the needs of all employees. They think that outstanding leadership must be comprised of those who can accept the flaws of others while without sacrificing the standard of their services. Diplomats stress the need

6 of collaboration in achieving corporate objectives and goals (Nawaz & Khan, 2016). As a result, they are beneficial in a collaboration atmosphere where all members feel valued and acknowledged. However, their high regard for others renders them incapable of dealing with problems, even if they are obvious (Nawaz & Khan, 2016). They believe that addressing individuals or providing bad responses would create an unfavorable atmosphere to them as leaders. As a result, they cannot suggest or facilitate change since they are mindful of the accompanying opposition. Therefore, this leadership action logic is associated with low performance of the organization and, as a result, efficiency. Experts Experts try to balance their professional and personal concerns, in contrast to opportunists who ignore the outside world and negotiators who focus on simplifying the inner environment to meet their coworkers' wishes and ideals. They exhibit high degrees of creative reasoning in their areas of work (Turner & Baker, 2018). This leadership action logic is shown by individuals such as consultants and financial analysts. These people are well-known for their work competence, which involves demonstrating to relevant parties that they are fit to their jobs, which is why many companies employ them. However, they may be unable to tolerate any conflict, particularly when it comes to their contribution, which they view as flawless, makes them terrible supervisors (Turner & Baker, 2018). This action logic represents people who do not respect collaboration. Rather, they want to operate on their own. This scenario jeopardizes their ability to manage a diversified staff in which colleagues view various problems differently. Any kind of criticism is not tolerated since they consider the work completed to be flawless and final. Analysis of Pichai’s Leadership at Google

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7 Google is among the few global companies that rank highly. When Pichai took over business management in 2015, it had already grown into a worldwide leader in its industry ("Who is Google CEO Sundar Pichai?", 2021) The exceptional efficiency of this leader has implications for the different action logics described above. His transformational leadership, particularly, shows him as a visionary who is also a doer of things. Pichai's extraordinary achievement in technology-based companies, such as Google, may be attributed to his knowledge of and passion for the field of innovation (Yao & Huang, 2018). He graduated with honors from the Indian Institute of Technology Kharagpur with a degree in Metallurgical Engineering. As a result, this global boss is well-recognized for his role in leading a staff that is well-versed in creative thinking. These skills are utilized to create new ideas, such as developing Internet-enabled applications and services that help people become more sociable. The institution's Google Photos program, which enables users to organize and send pictures, has garnered almost one billion clients. Furthermore, achievers are widely recognized for their involvement in fostering a work atmosphere that encourages innovation and, as a result, workers' willingness to give their all to the company (Yao & Huang, 2018). In this instance, Google is now ranked first among businesses in which employees like working. A performer understands the need for cooperation and criticism in the process of enhancing overall corporate efficiency. Pichai has been in leadership of the Google Moderator's technological advancement. Workers can create ideas to discuss as a team using this revolutionary Internet-based technology (Jawoosh et al., 2021). Pichai is always willing to contribute to this forum in whatever manner he can. In this section, in addition to encouraging employees to pursue suggestions that seem to be helpful to the business, he enables them to retain their entrepreneurial spirit.

8 As a visionary, Pichai is well-recognized for executing innovative ideas that significantly affect people's lives. He has committed substantial investments in people, particularly by hiring people who appreciate diversity in the workplace. A diverse team of managers, each using a unique action logic, illustrates that Pichai is competent in promoting collaboration among employees, regardless of their divergent thought processes. For instance, Sundar Pichai is associated with some of the most well-known businesses on the planet. Since it serves people all around the world, Google has a global reputation. Thus, Pichai has benefited tremendously from the broad range of contributions by workers who travel all over the globe to make significant and unique efforts. Conclusion and Recommendation There has been a significant emphasis on leadership in contemporary literature because of its critical role in a company's public image. For instance, Google Company has achieved its present worldwide prominence due to the transformative contribution provided by its executives. Although this research has established the idea of action logic, which describes how famous business leaders gain their revolutionary personalities, it has also introduced action logic. Three kinds of leadership action logic have been analyzed: opportunists, experts, and diplomats. Sundar Pichai, the current CEO of Google, has been hailed as a worldwide corporate executive who has shown achiever and strategist action logics in his previous roles. It is, nevertheless, suggested that companies and individuals explore adopting a transformative leadership approach. This is because transformational leader offers many benefits for individual and organizational efficiency. Transformational leadership, for example, is so important that companies often struggle without it. The favorable relationship between transformative management and job qualities is so robust that companies without using it should

9 virtually anticipate the opposite outcome. Furthermore, transformational leadership adds purpose to one's job. According to the literature review, there is a favorable connection between transformative leaders and work-related outcomes. These results show that transformative leaders make work more meaningful by giving employees autonomy. Transformational leaders' followers have a strong sense that their effort is respected and self-congruent.

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10 References Atan, J. B., & Mahmood, N. (2019). The role of transformational leadership style in enhancing employees’ competency for organization performance. Management Science Letters , 9 (13), 2191-2200. Chandrasekara, W. S. (2019). The effect of transformational leadership style on employees Job satisfaction and job performance: A case of apparel manufacturing Industry in Sri Lanka. International Journal of Economics, Commerce and Management , 8 (7), 385-393. Eliyana, A., & Ma’arif, S. (2019). Job satisfaction and organizational commitment effect in the transformational leadership towards employee performance. European Research on Management and Business Economics , 25 (3), 144-150. Fang, Y. C., Chen, J. Y., Wang, M. J., & Chen, C. Y. (2019). The impact of inclusive leadership on employees’ innovative behaviors: the mediation of psychological capital. Frontiers in psychology , 10 , 1803. Fiaz, M., Su, Q., & Saqib, A. (2017). Leadership styles and employees' motivation: Perspective from an emerging economy. The Journal of Developing Areas , 51 (4), 143-156. Jawoosh, H. N., Hatim, A. D., & RAZAK, M. A. (2021). Leadership theories in management and psychologist educational filed. Modren Sport Journal , 20 (2). Maamari, B. E., & Saheb, A. (2018). How organizational culture and leadership style affect employees’ performance of genders. International Journal of Organizational Analysis .

11 Megheirkouni, M., & Mejheirkouni, A. (2020). Leadership development trends and challenges in the twenty-first century: rethinking the priorities. Journal of Management Development . Nawaz, Z. A. K. D. A., & Khan_ PhD, I. (2016). Leadership theories and styles: A literature review. Leadership , 16 (1), 1-7. Pawirosumarto, S., Sarjana, P. K., & Gunawan, R. (2017). The effect of work environment, leadership style, and organizational culture towards job satisfaction and its implication towards employee performance in Parador Hotels and Resorts, Indonesia. International Journal of Law and Management . Ren, S., Xie, Y., Zhu, Y., & Warner, M. (2018). New generation employees’ preferences towards leadership style in China. Asia Pacific Business Review , 24 (4), 437-458. Turner, J. R., & Baker, R. (2018). A review of leadership theories: Identifying a lack of growth in the HRD leadership domain. European Journal of Training and Development . Who is Google CEO Sundar Pichai? . Investopedia. (2021). Retrieved 18 September 2021, from https://www.investopedia.com/articles/investing/090815/look-sundar-pichai-googles-new- ceo.asp. Yao, C., & Huang, P. (2018). Effects of leadership style on job satisfaction and intention to stay in shipping industry. Journal of Coastal Research , (83 (10083)), 796-801.

Leadership Style and Organizational Performance

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