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Leadership

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Nguyễn Thị HảiNgô Thị DiệuPhùng Thị Bích NgọcChu Minh HòaNguyễn Hồng HạnhLê Thị Trà MyNguyễn Huy HoàngPhạm Thị Thanh Hằng

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CHAPTER 5: Contingency Leadership Theories

Rick Parr-Archer Daniels Midland

(ADM) Company

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Contents

1. Summary Case2. Answer Questions3. Q&A

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RICK PARR—ARCHER DANIELS

MIDLAND (ADM) COMPANY

SUMMARY CASE

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CASE SUMMARY

Introduction to Archer Daniels Midland (ADM) Company

An American global food-processing and commodities-trading corporation One of the largest agricultural

processors in the world (27,600 employees globally)

Was named the world's-most-admired food-production company by Fortune magazine for three consecutive years:2009, 2010 and 2011.

Ranked 59th on the 2007 Fortune 500 list.

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CASE SUMMARY

Introduction to Archer Daniels Midland (ADM) Company

An American global food-processing and commodities-trading corporation One of the largest agricultural

processors in the world (27,600 employees globally)

Was named the world's-most-admired food-production company by Fortune magazine for three consecutive years: 2009, 2010 and 2011. Ranked 59th on the 2007 Fortune

500 list.

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CASE SUMMARY

Introduction to Archer Daniels Midland (ADM) Company

Products and services: Food Feeding products Fuel and Chemicals Farmer services:

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CASE SUMMARY

Formerly, she was Executive Vice President of the Chevron Corporation

Has served as the President and CEO of Archer Daniels Midland since 2007

With annual revenues around $70 billions, ADM largest publicly traded US company headed by a woman.

Ranked 4th and 6th in Fortune list of “Most powerful women”.

CEO: Patricia Ann Woertz

CASE ANALYZE

Rick Parr – manager in a department making small parts

Job: supervise the production of one part that is used as a component in other products.

His employees find the job boring – low payParr’s way of managing: watching the

employees closely + keeping them informed of their output, discipline anyone who did not meet standard productivity

=> His employees’ opinion: okay boss productive

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CASE ANALYZE

An event: in a larger department that designsinstruments to customer specifications,the manager retired Parr got promotionSituation: Parr never did/supervised design work before. Employees: engineers doing a good job/well paid. Parr observation: employees’ doing their work differently. Parr started telling them how to do a better job of

designing Employees complained the manager didn’t know the job

but had to do like he said in front of his supervision After he left, they did in their own ways.

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CASE ANALYZE

Problem : Rick Parr being claimed to be a poor manager. His boss knew the incident with some facts: the performance of design department went down. The boss called Parr to his office to discuss.

=> How to solve?

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ANSWER

QUESTION

S ??

?

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THE

Question 1:Which leadership style would Fiedler say Rick Parr uses?

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Task - motivated Ineffective when applied his usual manner of management for the new field =>Dissatisfaction and complaints of employees=> Productivity went down Made mistakes due to: - The different essence of fields: making small parts and design => Different ways to manage

1. F O R P R O D U C T I O N D E PA RT M E N T:

• This is the repetitive task, highly structured task.

• Managers were in situation 1: the task-oriented leadership style

2. F O R T H E C U S T O M D E S I G N D E PA RT M E N T:

• Non-repetitive• Managers were in situation 7:

the relationship-oriented leadership style

Question 2. What situation and leadership style are appropriate for the production department and for the custom designdepartment?

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Question 3:Why isn’t Parr doing an effective job in the design department?

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• The best style of leadership is determined by the situation factor. Leadership style is relatively enduring and difficult to change. Leadership should be matched the situation with their style.

• Parr’s leadership style is task – oriented

• When Parr moved to design department, the situation was changed, which lead to different ways to manage

Question 4:What would Fiedler and Kerr and Jermier recommend that Parr do to improve performance?

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• Should not watch the employees closely and keep

them informed of their output.

• Understand characteristics of design work and find

out another way to manage .

Question 5:Which of the two basic continuum leadership styles would Tannenbaum and Schmidt recommend for the manager of the design department?

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• Parr closely observed their work and looked for good ideas that all his employees could follow.

• Parr applied autocratic style, means leader selected make the decision and announces it to followers individually or in a group without discussion

• Select two basic continuum leadership styles: Leader presents problem, get suggested solutions

and makes the decision Leader defines limits and asks the followers to

make the decision.

Question 6:Which path-goal leadership style would Houserecommend for the manager of the designdepartment?

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• Select the leader ship style (directive, supportive,

participative or achievement-oriented)• To the situation (subordinate and environment) to

maximize both performance and job satisfaction.• Parr observed workers in his usual manner, he

realized that all of the designers did their work

differently.

• The wrong leadership style.

=> Participative leadership

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Thanks for your

attention!

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