Analysis of leadership crisis and suggestions

Contents

1.0 Introduction 2

2.0 Definitions of leadership and effective leadership 2

3.0 Definition of leadership crisis and reasons 3

3.1 Definition of leadership crisis 3

3.2 Reasons for leadership crisis 4

3.2.1 Leaders’ traits 4

3.2.2 Leaders’ characteristics 5

3.2.3 External environment 6

3.2.4 Internal environment 7

3.2.5 Weakness in leaders’ capability 8

4.0 Evidences and literature support of leadership crisis 12

4.2 Leadership crisis: rigid leaders 14

4.3 Leadership crisis: callous leaders 15

4.4 Leadership crisis: corrupt leaders 17

4.5 Leadership crisis: insular leaders 19

5.0 Recommendations 20

5.1 Recommendations on leaders’ aspect 20

6.0 Conclusion 24

Reference 26

1.0 Introduction

This essay will discuss the leadership crisis in today’s organization from three main aspects including the reasons resulting in the leadership crisis, the evidences of leadership crisis in today’s organizations and recommendations for leaders to improve their organizations’ effectiveness.

And on the basis of the discussion of the leadership crisis in today’s organization, this essay is aimed to assist leaders and managers to implement more effective ways to move the risk of leadership crisis and enhance the organizational effectiveness.

2.0 Definitions of leadership and effective leadership

According to Daft (2008, p.4), leadership is an influence relationship among leaders and followers who intend real changes and outcomes that reflect their shared purposes, which involve influence accruing among people, those people intentionally, desire significant changes, and the changes reflect purposes shared by leaders and followers.

Manning and Curtis (2009) also mentioned the importance of leadership not only in government but in the other areas of life. For instance, the social conscience and conduct have been influenced by leaders who acted as reformers such as Martin Luther King and Susan B. Anthony. Civilization has been shaped by leaders playing the role as philosophers such as John Stuart Mill and Adam Smith. The fates of nations have been determined by leaders acting as military figures such as Alexander the Great and Joan of Arc. And in today’s business world, the economy are boosted by a great many leaders playing as commercial genius such as Bill Gates, Warren Buffett, Lakshmi Mittal and so on.

Due to these evidences of the excellent leadership practices world widely, we can see the effective leadership plays so important role in several aspects of people’s life and the ineffective leadership may cause lots of problems (Kellerman 2004).

3.0 Definition of leadership crisis and reasons

Kellerman (2004) disclosed the dark side of leadership in two aspects, one of which is ineffective and the other of which is unethical. And it is time for us to be more objective and honest with a holistic view to acknowledge there is a leadership crisis which is reflected from seven types of leadership such as incompetent, rigid, intemperate, callous, corrupt, insular and evil. This essay will discuss the leadership crisis in organizations based on some evidences in actual situation in several organizations world widely.

3.1 Definition of leadership crisis

The leadership crisis can be defined as the crisis brought out by the impropriate leadership practices in organization which may have bad effects on the leaders themselves or even worse till the benefits of the employees or the entire organization. (Kellerman2004’ Clements &Washbush 2004)

3.2 Reasons for leadership crisis

There are several factors resulting in the leadership crisis including the traits of leaders, leaders’ characters and the influence of external as well as internal environment.

3.2.1 Leaders’ traits

As Clements and Washbush (2004) claimed the power of ordinary trait such as greed can result in some bad behaviors of leaders in organizations which become one of the factors leading to the leadership crisis. Greedy leaders would crave more such as more success, more money, more power or more whatever. Although the moderate greed may assist leaders to have more achievements, some leaders’ appetites for more are seemed excessive some time. Such kind of excessive appetite often brings about bad leadership of organization and leadership crisis (Clements & Washbush 2004).

On the one hand, the trait of greed of leaders resulting in leadership crisis can be observed from the business scandals brought out by some rich leaders who desire nothing but to get even richer. Richard Strong was one of the poster boys who had several misbehaviors in the mutual fund industry such as late trading and improper market timing, which resulted in the big loss of his company the Strong Capital Management. Raymond Cunningham as the chief executive of Invesco, which is one of the biggest money managers, was engaged in a massive mutual fund scheme. The greed of the leadership trait made Cunningham not only charged by the Securities and Exchange Commission as well as New York State General Eliot Spitzer but also lead several investors of his company suffered a great loss even at millions of dollars. (Kellerman2004)

On the other hand, the greed trait of leaders which results in the leadership crisis can also be caught in their hunger for power. As George (2004) mentioned that greed sometimes generates the unwillingness of leaders to share power with others such as delegating tasks and consulting with others. And in a more extreme form in power greed, leaders may become very selfish, act arbitrarily in decision making and other extreme behavior, which is a kind of leadership crisis for the organization at some extent.

3.2.2 Leaders’ characteristics

With one after another high profile scandal in today’s business world, Ciulla (2003) and Velasquez (2002) advocated that the leaders’ characteristics play an importance role in resulting in those incidents. Problems in leaders’ characteristics may arouse several unethical behaviors of leadership practices such as misleading their subordinates to pursuit upper achievements, problems in finding out what the organization should do or shouldn’t do even under the great attraction. Such kind of unethical characteristic of leadership often fail to tell from what is right and what is wrong, which may have bad influences in two aspects.

One is the followers who walk along with their leaders unethical behaviors in business due to the big and important benefits from those ethical behaviors or the risks entailed with their family, position and even their life if not follower these misbehaviors, which may finally lead to the corruption of the entire organization (Ciulla 2003). The other bad effects are the furious resistance of the leaders from their subordinates or even their followers (Velasquez 2002) which mostly due to these misbehaviors of leaders may offend their common interests. And such kind of resistances may arouse a big turmoil inside the organizations, which can only be end with a big loss both in money and in talents.

In short the problems of leaderships’ characteristics also become one of the factors which lead to the leadership crisis in organizations.

3.2.3 External environment

Pfeiffer (2004) emphasized the external factors which may affect organizational performance outside the control of its leader, which may lead to leadership crisis indirectly. And leaders’ position some times may vary in terms of the strength and position the organization, especially under the hit of big disasters from the outside environment.

The global financial crisis may make lots of people lose confidence with their leaders. George (2008) gave several examples about the leadership crisis caused by the global financial crisis recently such as the great disservice to their clients, employees, shareholders, and the nation conducted by Lehman, AIG, Bear Stearns, Countrywide Financial, Fannie Mae, Freddie Mac, Wachovia, and Washington Mutual which was all blamed on their leaders’ mistakes. In fact, under such kind of financial crisis, most of the leaders in those financial institutions may choose to object the mark to market accounting rules, showing greater transparency in hedge funds and other inappropriate practices to respond to the financial crisis’s unpredictable outcome.

In another world, due to the panic and fear rooting from the global financial crisis, leaders under super great pressure may present several wrong practices and behavior abnormally, which made people not only loss confidence on their leaders but also a terrible leadership crisis (Kellerman2004).

3.2.4 Internal environment

Besides the external environment which contributes to the leadership crisis, the internal environment also plays an important role in arousing leadership crisis, especially the bad followership. As Kellerman (2004) argued followers who knowingly, deliberately commit themselves to bad leaders are themselves bad.

Bad followership is often due to reasons in the self interests. On the one side, followers usually have no special incentive to give strong support to the leader who is merely ineffective. On the other hand, unethical leaders may often stand to benefit financially or politically from the relationship between their followers. And because of the support and instigation from those bad followers, leaders may result in more deviated behaviors and practices, which may finally lead to the leadership crisis in the organization. (Kellerman2004)

Let’s take the corruption taking place in companies such as WorldCom and HealthSouth for example. Both the two CEO of the two companies were reported to be surrounded by small groups of followers who participated actively in the wrongdoing and stood to profit greatly from the company’s fraudulent practices. Because of the instigation from those bad followers, many leaders may pick up some questionable practices to gain more benefit which finally resulted in the loss both in the life of these leaders but also in the organizational benefits. Such kind of reason may also become one of the crucial factors contribute to the leadership crisis in organizations. (Kellerman2004)

3.2.5 Weakness in leaders’ capability

According to Pierce and Newstrom (2006), when a leader’s behaviors become exaggerated, lose touch with reality, or become vehicles for purely personal gain, there would be a leadership crisis in the organization, which may harm the leader and the organization. and there are three particular skill areas of the leaders can contribute to such problems including the strategic vision of leaders, their communications and impression management skills, and leaders’ general management practices.

3.2.5.1 Personal vision

As Pierce and Newstrom (2006) claimed that the blind drive to create that very personal vision may result in an inability to notice problems and opportunities in the environment. Thomas Edison, for instance, was so confident in the future of direct electrical current (DC) for urban power grids which he failed to notice the fast speed in acceptance of alternating power systems by America’ utility companies. Due to the so enamoured of his ideas, Edison started a company to produce DC power stations was soon doomed to fail, which can be defined a leadership crisis in Edison’s company.

In the meantime, some fundamental errors in the perceptions of leaders may also lead to a failed vision. There are three common problems such as the inability to detect significant changes in the markets including the competitive, technological and consumer needs changes, the failure to correctly assess and obtain the necessary resources for the accomplishment of the vision as well as the misleading or exaggerated sense of the markets or constituents needs (Pierce and Newstrom 2006). And this kind of failed vision may also create the leadership crisis in organization. Chrysler, for instance, inaccurately believed automobile style instead of engineering was the first concern of automotive buyers, which resulted in a plunge the sales of his company at 22.8 percent in 1987, which made the future of his company look equally cloudy (Kellerman2004).

3.2.5.2 Communications and impression management skills

There are so many leaders who are gifted in communication, which may be quite easy for these leaders to misuse this kind of ability. They may try to express information which makes their visions seemed more realistic or attractive than the actual situation. They may also depend on their language skills to screen out problems in the larger environment and to develop an illusion of control while things may be out of control in the actual world. (Kellerman2004)

As Pierce and Newstrom (2006) showed this problems in misusing the communication and impression management skills from leaders may results in several negative influences including exaggerated self-descriptions, exaggerated claims for the vision, a technique of fulfilling stereotypes and images of uniqueness to manipulate audiences, a habit of gaining commitment by restricting negative information and maximizing positive information, use of anecdotes to distract attention away from negative statistical information and creation of an illusion of control through affirming information and attributing negative outcomes to external causes.

All of the above problems resulted from the misuse of Communications and impression management skills may lead their followers and even the whole organizations to process in a wrong direction, which may result in a big loss or even the corruption of their organizations. That is really a leadership crisis.

3.2.5.3 Leaders’ general management practices

Some of the leadership practices may make leaders unique and may also lead to their downfall. Pierce and Newstrom (2006) disclosed inappropriate leadership practices can be classified into two aspects such as the way they manage relations with important others and their thoroughness and attention to certain administrative detail.

As far as the relationship with subordinated concerned, some leaders’ unconventional actions may arouse the ire of forces in the organization which may immobilize the leader. And leaders’ aggressive style may also alienate some of potential supporters and even make them leave. Such kind of problematic relationship created by leaders in organization may only result in leadership crisis. (Pierce and Newstrom2006)

There are several leaders who are absorbed so much by the big picture of the organization development but fail to understand the essential details. Iacocca of Chrysler Corporation, for example, turned over most of the day to day operations to others when he became more and more famous, which just resulted in his losing touch with new model planning. But such activity can hinder the smooth development of their companies, because attention to detail is everything for the organization’s future.

(Pierce and Newstrom2006) such kind of leadership practice may also lead to the leadership crisis in organizations.

4.0 Evidences and literature support of leadership crisis

Because of the above factors which contribute several forms of leadership crisis in business organizations as Kellerman (2004) claimed.

4.1 Leadership crisis: incompetent leaders

Incompetent leadership is because of the leader and at least some followers lack the will or skill to sustain effective action. And with reference to at least one important effective leadership challenge, they aren’t able to create positive changes in their organization. Such kind of leadership is one of the roots of leadership crisis. (Kellerman 2004)

Incompetent leaders are often ubiquitous. Some of them are so obviously incompetent that we often doubt why they can assume the first position in organizations as leaders. Some of they are incompetent to lead organizations to meet changes as well as challenges and maintain the stability of their organizations. And the incompetence of these leaders often has various reasons such as the shortage of experience, education, or expertise and the lack in drive, energy or the ability to focus. Such kind of leadership brings a crisis in organization’s leadership. (Pfeffer, 2004; Kellerman 2004)

At first, there are often terrible outcomes of the incompetent leadership from miscalculation to mismanagement, from carelessness to callousness, from silliness to stupidity in the decision making or other leading practices in organization. Moreover, incompetent leaders are often weak to meet challenges including mastering important messages, dealing with complexity, minding the store as well carrying out decisions under the situations of uncertainty, managing proper organizational changes, conflicts, crises and even themselves. In addition incompetent leaders are also unable to foster leadership such as envisioning, prioritizing communicating, educating, inspiring, organizing, delegating, negotiating, implementing and so on in their organizations. (Clements & Washbush 2004; Kellerman 2004)

The above situation does mean a leadership crisis in organizations. And the following example of incompetent leadership properly reflects such phenomenon.

Jill Barad was the CEO of Mattel, Inc., one of the largest and most successful toy firm in America once. Her incompetence as the leader of Mattel made this company loss a lot. For instance, the disastrous merger with the Learning Company carried out by Barad made the loss of a nearly $ 183 million and even more in the future. Such kind of leadership crisis brought put by Barad made Mattel even closed to bankruptcy once, which lead to the resign of Barad. (Morris 1997; Bannon 1997)

According to Morris (1997) and Brannon (1997) such kind of leadership crisis brought out by Barad was mainly due to Barad’s failure to build a constituency of good friends and dependable allies and the shortage of interpersonal skill, especially her capacity for collaboration.

4.2 Leadership crisis: rigid leaders

Kellerman (2004) gave the rigid leadership such definition that rigid leader and at least some followers are stiff and unyielding and at the same time, although they are competent, they are unable or unwilling to adapt to new ideas, new information, or changing times.

As Kellerman (2004) claimed in the late of twentieth and early twenty first century leadership calls for nothing more than the capacity to adapt to change. One of the reason is that changes occurs faster more often and sometimes more suddenly and dramatically than before. The other reason is that the amount of messages and information available is nearly overwhelming. While the lacking in the flexibility to meet change of leaders in organization, may often lead to the immobility and stagnation of organization in the developing process, which undoubtedly belongs to leadership crisis for the organization.

Let take a look at the following examples to justify the rigid leadership resulting in leadership crisis in organizations.

Robert Hass, the CEO of Levi Strauss & Co. was compelled to violate some of the company’s most important values such as justice, fairness, compassion and appreciation which was because that he failed to predict the influences of the global economy especially the changes brought by the economy on Levi Strauss. Such kind of rigid leadership of Hass led to the inflexibly policies and practices which could no longer be sustained to the development of Levi Strauss. Hass’s failure to adapt to the new and changing markets was a leadership crisis for Levi Strauss & Co. described by Fortune magazine. (Kellerman 2004)

Summer Redstone as the CEO of the Viacom, one of the world famous mega-media companies, had been in denial concerning his own eventual demise even holding rigid refusal to address the issues of his successor after he left Viacom vulnerably. Such kind of rigid in leadership practice made the future of Viacom covered with a dark cloud, although Redstone is the founding hero of Viacom, his rigid leadership style became a crisis for the future of that company. (Kellerman 2004)

4.3 Leadership crisis: callous leaders

Callous leadership is the leader and at least some followers are uncaring or unkind, which ignore or discount the needs, wants, and wishes of most members of the group or organization, especially subordinates (Kellerman 2004). And Daft (2008, p.4) described leadership is an influence relationship among leaders and followers who intend real changes and outcomes that reflect their shared purposes, which involves influence accruing among people, those people intentionally desire significant changes, and the changes reflect purposes shared by leaders and followers.

The definition of leadership emphasizes the importance of the followers in assistance leaders to achieve organizational aims, that is to say, leaders even the autocratic ones should, at a minimum, consider the preferences of their followers. And these leaders namely the callous leaders who fail to be sensitive to and considerate of their followers sometimes run into trouble, which may arouse furious resistance from their subordinates and then hinder the proper and normal developing process of their organization. By and large the callous leadership style for some organizations can also be defined as leadership crisis. (Pfeffer 2004)

There are two examples of callous leadership become the leadership crisis for organizations as below.

One is about Leona Helmsley, wife of the owner of Helmsley Palace, which was one of the best hotels in the world. As the more and more successful of the business, Helmsley’s dark side became more and more obvious. Her leadership style became increasingly tyrannical and her behaviors towards her employees were offensive to the point of being abusive. Those behaviors even brought out the investigation from the state such as the tax evasion, falsified records, kickbacks and extortion, which resulted in the twenty one months punish in prison for Helmsley. Such kind of leadership definitely for the Helmsley Palace is a disaster which can be called leadership crisis undoubtedly. (O’Connor 1990)

The other is about Howell Raines, who was the former executive editor of the New York Times. Raines not only had mismanaged some important issues for the company but also wasn’t loved or even liked by most of those who work under him. He was even judged as an autocrat by those people. For instance, Raines was intent on shaking things up and on revving up the competitive metabolism of the whole company under harsh and rigorous management. And when Raines ran into troubles, no body would like to support him as the consequence of his callousness. Because Raines’ leading style for the New York Times was a leadership crisis, he was fired after only twenty one months on the job. (Pfeffer 2004; Kellerman 2004)

4.4 Leadership crisis: corrupt leaders

The corrupt leadership is the leader and at least some followers lie, cheat ore steal, which exceeds the norm to a certain degree due to they put the self-interest ahead of the public interest. Such kind of leaders are almost everywhere from churches to charities, from banking to biotech, from small town to large cities, from North America to South America and so on. According to a recent survey that more than one third of companies in America had been victimized by fraud and other kind of economic crime. Those practices and behaviors conducted by leaders in organization are often followed by several people due to the great attraction from money which finally makes them do several unlawful activities, which is not only the disaster for the organization but also for the people themselves. This kind of leadership is definitely a leadership crisis. (Kellerman 2004)

Let’s have a look at the following example, which disclose this kind of leadership crisis in organizations.

Andrew Fastow was the CEO of Enron, which was once the largest natural gas transmission network and the most extensive physical assets in the United states. Under the great attraction of money, Fastow had crafted a series of crooked deals to gain great benefit from Enron, which made Enron, suffered more than $1 billion losses. And under the influence of Fastow, there were a small group inside Enron following Enron, each of whom helped the corruption of Enron due to the great return of money from such wrongdoing. The corrupt leadership of Enron had made great influences. One the one side, Enron went from ranking on the Fortune 500 to a bankrupt shell and 4,500 employees had been laid off in the year 2002 and at the same time Enron and his followers were all put into prison. (Dresang 2002)

In short, the corruption leaders for any organizations are crises.

4.5 Leadership crisis: insular leaders

Insular leadership is the leader and at least some of the followers minimize or neglect the health and welfare of others, which refer to these people outside of the group or organization. The insular leaders may put the rights, the needs and wants of their particular constituencies in a higher position rather than human rights. In another word, the group, family, tribe, country of the insular leaders always come first than others’ group, family, tribe, country. Such kind of leaders often don’t know or don’t want to know bad things are in their groups, which may even lead to big disaster to the whole organization. Due to this, such kind of leadership to the organization can also be called leadership crisis. (Dresang 2002)

There are some examples, which can reflect such kind of leadership crisis thoroughly. Lee Raymond, the CEO of Exxon Corporation, the largest energy company in the United States, was not endowed with a strong social conscience, in another word, he refused to concern for anyone outside his company. For instance, he was the most outspoken executive in oil industry who was against the effort to contain global warming because it may cost his company a lot. His refusal to confront two of the most important issues of today that were the global warming and human rights can be considered a moral flaw. The only concerned for his own well-being while neglected others’ well being may hinder the future development of this corporate especially the neglect the important and urgent issues concerned with the general good may only result in the dysfunction of Exxon Corporation. This kind of leadership is also a crisis for organization. (Smith 2002)

The second example is concerned with James W. Johnston, who was the former CEO of R.J. Reynolds an America tobacco company. At that time, the evidence of the link between cigarette smoking and lung cancer was the first time published. To protect the well being of his company, Johnston had been adamant to stave off any intrusive legislation on cigarette smoking. Because of his behaviors sometimes even went too far to even offend the common well being of the society, he and his company was investigated by the state government, which cost his company a lot. From these evidences, we can get the leadership behaviors conducted by Johnston was also a leadership crisis to the R.J. Reynolds company. (Kellerman 2004)

5.0 Recommendations

On the basis of the above evidences and literature reviews on the leadership crisis, we have to admit the reality that there is a leadership crisis in organizations today, which can have a bad influence on the organizational effectiveness. To help alleviate the crisis in leadership and enhance the organizational effectiveness, there are some proper recommendations for leaders to adopt.

5.1 Recommendations on leaders’ aspect

To enhance the organizational effectiveness, leaders are recommended to adopt the following suggestions on how they can strengthen their personal capacity to be more effective and ethical than before.

At first, leaders are encouraged to develop a courage and moral leadership in today’s organizations to help their organizations work more effectively. To be a real leader, it is important for leaders to know who they are and what they stand for as well as owning the courage to act. As Daft (2008) advocated that one of the keys to successful leadership is to place others ahead of oneself whether in politics, war, education, sports, social services or business, which requires leaders to contemplate the human conditions, to consider what is right and what is wrong, to find out what is going on in the real world, and to have the courage to stand up for the things which are worth doing.

Effective followership always acts as one of the most crucial factors contributing to the successful of every company. For leaders, it is recommended to develop a strong and effective followership to assist leaders to build a sense of community within their organizations. The effective followership often refers to that these followers know what they stand for and are willing to express their own views and ideas to their leaders even though these activities may mean the risk to their jobs, being demeaned as well as feeling inadequate. And with the facilitation of effective followership, organizational leaders can act more effective and help their organizations to enhance the effectiveness as well. (Cannon & Witherspoon)

According to Maslow’s hierarchy of needs theory, individuals have both lower and higher needs which require different motivation methods to meet their needs (Daft 2008). Pierce and Newstrom (2006) suggested leaders to well use the motivation means on the basis of the actual situation of their employees to make them work at a high morale and cohesion to improve the organizational effectiveness.

Hughes et al. (2006) claimed that leadership can’t be effective enough without effective communication. Because leadership refers to influencing individual workers to bring out change based on the vision and desirable future for the organization, it is important for leaders to communicate in order to share the vision with their employees, inspire and motivate them to work hard at the organizational vision and build the trust as well as values which can enable effective working relationships as well as the target accomplishment. Generally speaking, under the effective communication carried out by leaders, the organizational effectiveness can also be enhanced a lot.

Glassop (2005) and Daft (2008) emphasized the importance of leading teams a lot and pointed out the ability to inspire and support teamwork is significant to effective leadership. In the modern business world, it is reported that many organizations have achieved great success with teams such as enhancing the labor productivity, decreasing the employee turnover, improving working quality as well as creativity, and improving employees’ satisfaction. Due to the importance of teams, leaders in today’s organizations are recommended to build strong working teams to support their organizations to enhance the effectiveness.

Forsythe (2004) recommended leaders to develop their ability to manage the diversity in today’s world, which requires them to have the responsibility to acknowledge and value these differences in culture and understand how the diversities have the influences on the organization’s operation and outcomes. And under the help of well management in diversity such as the diversity working force, leaders can also help their organizations enhance the effectiveness a lot.

Kilpatrick and Silverman (2005) advocated the one of the most important function for today’s leaders is to clarify and communicate such a compelling vision that people will be motivated and energized to work together towards the future. Based on this, leaders are suggested to look forward, set a course for the future of their organizations and get every one to move in the same direction in their works. In another word, to enhance the organizational effectiveness, leaders had better develop their ability to create vision and strategic direction.

Culture building also plays a crucial role in the enhancement of the organizational effectiveness as Whitmire (2005) claimed. And in the meantime, organizations with strong cultures can gain better performance compared to those with relatively weak cultures. The southwest airlines for instance, strong organizational culture contributes a lot to its success. Due to the importance of organizational culture on enhance the effectiveness, leaders are required to align people and with the vision and shape the working environment which determines the morale and performance by building strong organizational culture in today’s’ organizations.

The last importance issue needs the great attention from leaders is the ability to lead change when taking about the enhancement in organizational effectiveness because changes is the necessity for organizations to survive and thrive. Leaders are advised to foster their ability to reconceptualize every aspects of how to ensure their business to meet the changing needs from customer and the environment, to keep their employees motivated and satisfied, to maintain the effectiveness and competitiveness under the complicated and furious competition global market. (Jepperson 2005)

6.0 Conclusion

This essay presents a discussion on the leadership crisis in today’s organizations. It gives us the definition and concept of the leadership and then further digs out what is the effectiveness in leadership practices. And on the basis of this definition, it presents the idea that there is a leadership crisis in today’s organization as well. That the leadership crisis refers to the crisis brought out by the impropriate leadership practices in organization which may have bad effects on the leaders themselves or even worse till the benefits of the employees or the entire organization.

And then, this essay carries out a deliberate investigation on these reasons which contribute to the leadership crisis including leaders’ traits, leaders’ characteristics, external environment, internal environment as well as weakness in leaders’ capability.

On the basis of these reasons, it shows several aspects of leadership crisis according to evidences in a variety of organizations’ leadership practices from incompetent leaders, rigid leaders, callous leaders, corrupt leaders and insular leaders.

On the basis of it’s conclusion that there is a leadership crisis in today’s organization, this essay provides several useful recommendations to help leaders to enhance the organizational effectiveness and come over the threat of leadership crisis.

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