Leadership Styles and Challenges in VUCA Climate

This document discusses the different leadership styles and challenges in the volatile, uncertain, complex, and ambiguous (VUCA) climate of the 21st century. It explores the concept of servant leadership and its impact on organizational success. The document includes a case study on Kevin Johnson's leadership style using the appreciative inquiry technique.

Leading Business Organizations
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Contents
Part A...............................................................................................................................................3
Part B.............................................................................................................................................12
Introduction...............................................................................................................................12
Management Report......................................................................................................................12
Kevin Johnson’s leadership style (using the appreciative inquiry technique)...........................14
Conclusion expressing Johnson is an effective role model for aspiring leaders...........................22
References.....................................................................................................................................23
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Part A

You are for living or living here. It was at the essence of what drives you to lead.
 "Am I looking for the right intention to do it good? “Explain different aspects
ofleadership?
There are different question which is required by leader to ask them that helps in increasing
performance as well as profitability of subordinate?
There are various questions which is going to be mentioned below
Explain that information required for improving appropriate policies as well as statistics for
business organization?
Define different kind of skill and knowledge that is needed to encourage or influence
subordinate of business organization?
Simplicity: The issues they track are minimized as members become open. Superior
leader adopt simplicity that assists in transform people across them. Micro-executives are not
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transparent leaders. We applaud and take responsibility for disappointment as success happens
(BELL, 2016).
Discover from failure: failure of experiences have capacity to form leaders. This is
considered as good tool for the sustainability, regeneration and creativity of the government. The
leaders should be able to take tremendous chances, and refuse to do so; otherwise, rich returns
are unlikely.
There are different aspects related to leadership which is going to be mentioned below:
It is significant for leader to manage appropriate relationship with its staff member in
order to retain them for a longer period of time within business organization. There are different
situation or condition occurs with an organization during leading team.
Leaders were people who control others in completing teams or corporate goals. It is the
basis of organizational philosophy of organization. Great Man Theory, Trait Theory, Conduct as
well as Situation Theory and also Great Man Theory are the main theories of leadership
(Friedman 2016).
Herein, there are different methods by which the leader can focuses on leading team
within business organization. The style of leadership focuses on behavior and attitude of leader
that helps them in achieving growth as well as success of business organization during particular
period of time.
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The VUCA is a symbol, which in the 1990s could be represented in the military. It is
important for management, as these conditions represent the atmosphere in which the business is
managed on a daily basis. Two different styles of leadership transformation and transactional
leadership are ideal for VUCA survival.
Pacesetting: in this kind of style of leadership and leader focuses on providing guidance
to group of individual. In assistance of this, leader makes expectation from its subordinate to
maintain management within an organization. It is considered that such kind of style of
leadership is appropriate to attain favorable outcomes and also motivate them in better way.
Coaching it is considered as an innovative leadership style. Herein, the leader focuses on
leading it subordinate to achieve a favorable outcome in future period of time. It is a source that
on the basis of this style it is considered as a dynamic connection between employee as well as
leader.
Aspiring, motivated executives look ahead to their goals with an optimistic leadership
approach and successful leadership principles. For this reason, aspiring leaders need appropriate
understanding of different style of leadership. It is important for hopeful leaders, including the
best situation, to recognize and understand the different management style. However, by merely
imitating these people it is not possible to become successful leader within organization.
(friedman, 2016)
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Many skills distinguish successful policymakers from poor leader. This is the opportunity
to inspire staff member to strive together to create stronger organization. The association can be
persuaded by a successful strategic leader to high ambitions by employees. The purpose &
objective of the business merge to offer a clear view of the purpose of the group. The statement
of the project provides the reason for the presence of the organization and the goals of
representing the major activities (Junker and van Dick, 2014). Individual person plays a very
important role in accomplishing objective of business organization. Individual assists in
providing support to perform their functions in a better way.
Organizations understand their weaknesses and strengths of the company, also
acknowledge the impact or lack of performance, and realize first-hand the task and goal.
It is significant for leader to emphasize on contribution which is made by stakeholder in
order to gain favorable outcomes. They focus on making appropriate contribution which is made
by staff member for analyzing performance of individual person during particular phase of time
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period. Depend upon this, there are there is rewards and recognition which is given to it
subordinate that help them in performing their work in better way. Then subordinate get
motivated to execute their work in better way for accomplishing productivity and profitability of
organization. Stakeholders are considered as individual groups of person that assists in managing
viability of product.
High rates of involvement of stakeholders in project and vision systems also contribute to
improved outcomes and greater control. A broad approach of engagement and contribution to
projects and mission is utilized by several organizations. Targeted recommendation boxes allow
details regarding action strategies to be entered at meetings by surveys of workplace
communications.
A leading ambitious leader communicates the mission, plan and dream of his
organization with his colleagues. Think and talk in accurate but hopeful ways. Ensure that both
team leaders recognize their position in the mission. Stakeholders are considered as the aspect in
every organization that has effect in functioning or activity of business organization in current
and future time. It assists in understanding subordinate by vision as well as mission that helps in
implementing strategy in future period of time.
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Leadership strategy is a map that aligns leadership investment with business strategy,
objectives, and expectations. The key strategic users and their effect on governance should be
identifiable by senior leaders (Eacott 2011).
CL is also the opportunity to have an effect on others through the dream, personal
activism, inspiration, and capacity to create strong progress structures. The secret to meaningful
transition is leadership (Fifolt and Lander, 2013).In assistance of this, change leadership is
considered as a ability to influence or motivate other in an appropriate manner.
The organization’s method of organizing is essential: it can have the opportunity for high
efficiency by the coordination of job arrangements, processes and practices, as well as the
encouragement and enthusiasm of workers.
That is the sense in which a certain word is used. It may be a single partnership, the
bigger company and a certain initiative
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Complexity is far ranging among future market executives. In the market setting,
performance relies less on organizational traits, but rather on economic pressures, history and
other changing capabilities. If ambitious organizational executives hold only a small range of
effective management abilities, it is "a decoder belt" to figure out the best strategies (Eacott,
2011).
The philosophy of motivation is to recognize factors that encourage participants to strive
for goals and aims. Some motivating theories differentiate between intrinsic and external
elements: previously, the desire to take part in an exercise is linked to individual desires.
Theory indicates that two reward mechanisms currently exist: internal rewards and good
job of providing, which are fundamental sources of encouragement: the efficiency, obligation
and inspiration for ability through the real success of tasks or through the innate value in
research.
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Current motivational and justice principle theories are focused around the equal treatment
of persons in contrast to their peers. Justice or equity is what fairness means. Fairness within
business organization signifies fairness of staff member for task and its incentives.
Appreciative investigative technique is the method for managing changes to find what
tasks well, to analyze why it tasks as well as perform work in good manner. The AI's basic
philosophy is to extend the relationship into the organization's focus (Reed, 2010).In assistance
of this, it helps organization to bring positive environment within business organization and it
also influence its staff member to perform works with full efforts that help in achieving goals as
well as objective in timely manner.
In particular organization, hopeful leaders will be talented to considerably assess
different motivational theory. Factors of inspiration shape and bring in order the ambitions of
future leaders.It has been analyzed that for business management, it is important to assess
different motivational theory that help in understanding importance or significance of theory for
its staff member.
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Part B
Introduction
Starbucks is considered as coffee company is planning to enhance the existing 26,000
outlets to 26,000 over the next five years, including the high-quality roastery. Kelvin Johnson
became a shareholder of Starbucks of 2009 and a remarkable period of change and success
worked on the management. In April 2017, he was appointed President and CEO and that is why
Howard Schultz established the Starbucks World Company. Kevin Johnson is Starbucks
Chairman&Chief Executive Officer. This is a report on management based on an overview of
Johnson’s current style of leadership and his existing business environment. This report gives
brief knowledge about style of 'servant' management & challenges or issues associated with
servant leadership in a volatile, uncertain, complex and ambiguous 21st-century environment.
Management Report
Overview of "servant" leadership and the problems relevant to its exercise in the 21st-
century VUCA climate
Servant leadership is leadership used in management and by leaders who find it
incredibly helpful in promoting agile teams & operational agility in general. Servant leadership
makes a servant leader establish a sense of community within the work team and involve team
member’s in appropriate decisions. To this end, trust is enhanced, there are higher engagements,
and there is the establishment of stronger ties or relationships with the stakeholders and other
members of the team. Moreover, servant leadership also leads to improved innovation practices
in an organization. Considerably, servant leadership is not just a mere leadership approach or
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technique. Instead, it's a method of behavior that leaders adopt gradually or in the long-term. As
a result, servant leadership becomes a complement for the democratic leadership style and is
almost similar to transformation leadership. It is a leadership philosophy that does not pay close
attention to managers' processes and tactics that is what you're doing, when you think and act as
servant leadership. A great example is taken for the Marriott International Company. This is
considered as a well reputed or famous hotel chain across globe. If founder of this hotel was Bill
Marriott and he adopts servant leadership in order to handle operation of organization of Hotel
chain.
In relevance of servant leadership style, it states that VUCA climate is being always an
interlinked with servant leadership as because leaders changes their style with components of
climates. Thus, it is essential to use it with proper considerations so that decisions are made
accordingly.
This leadership is mainly concerned with individual showing the traits of empathy
listening commitment to personal growth towards other. In 21st century, this type of leadership
is needed at priority level because it moves management and employing interaction away from
control activities and shift them to synergistic leadership between the parties. A leader who uses
this leadership style focuses on actual needs and requirements which are being taken as priority
level.
In VUCA climate characteristic of the 21st century, there are few obstacles. Organizational
decision-makers ought to be willing to explain their decision-making.
The decision to perform servant leadership in a smooth manner upsets the company's
culture. To many other decision-makers, this poses a huge challenge, particularly for large
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businesses like Starbucks in the VUCA setting that are highly competitive. I assume that the
climate of the workforce is another significant element inhibiting leadership. The members of
servants will open the door for coercion.
For e.g., workers can claim they do not understand how to do work efficiently and comfortably
and ask supervisors to display duties continuously when they are watching. Alternatively,
leaders of servants can manipulate characters, but this goes against the core reasoning of
leadership. Servant leaders will use the reasons that staff will react by only helping him as it
benefits employees.
High level of expectation from diverse range of stakeholder it has been analyzed that
expectation of different stakeholder like employees, shareholders is considered as high. It is
significant for leader to improve appropriate strategy that assists in dealing with different
challenges and improve good relationship among its stakeholders.
Kevin Johnson’s leadership style (using the appreciative inquiry technique)
During"Discovery" stage, Kevin discovered the best examples for the innovation of his
enterprise and then recognized key denominators. Next during the changing period, He spends a
lot of time talking on what a creative organization feels like. How he evolves as a leading
company, finances, competency, physical room, organizational processes and so on. Once Kevin
has an obvious plan for the future, he needs to design the future in the next stage (Reed, 2010).
To meet the vision, what actions must be taken today? Kevin must conduct as many logistical
and tactical steps as practicable during the design process to develop modeling and prototyping
the various elements throughout the future, draw up plans, locate required tools, and request
support from others. Lastly, in "Destiny" process, Kevin's collaboration is working to realize his
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concept. When the current CEO Kevin Johnson succeeds over Howard Schultz, he can make
reasonable use of congratulatory issues. Simplification of products, safe choosing and contact
with consumers should be strengthened, so that they can make the best decisions (Youtube.com,
2019). She also made a pledge that sugar in her indulgent drinks should be lowered by 25 % by
2020 and that sugar in every fresh sip used in producing innovative drinks should be decreased.
It illustrates how you can "shine" your appetizer menu.
Positive element of Johnson leadership style
Great track of financial performance it has been analyzed that leadership style which
is used by Johnson assist in maintaining superior financial performance and its increasing
marketing performance in an appropriate manner.
Clear Vision and Mission it has been analyzed that by adopting appropriate leadership
style assist in making clarification to its organization that achieving goal as well as objective in
an appropriate manner and also enhance profitability and future period of time.
Starbucks says that customers are the key players. This could turn your allegiance elsewhere
with new changes to CEO. They and their coffee bean price can also be concerned about the
collective compensation paid to coffee growers. The new CEO shall buy higher price or price
suggested under the contract if there is to be a harvest of beans. As a consequence of Howard
Schultz’s loss values of investors and shareholders have declined, but with Mr. Schultz working
directly with incoming President and CEO, this could impact shareholders and the company
stock prices are fine. The price of the stock is nice. He will change & fix poor ads, which only
addresses tax, despite the worldwide issues with reports of tax evasion and weak British tax rates
in Europe. Closures at boundaries led to negative net growth by 2011. Back in 2011 However,
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revenues continued to increase safely. It rose by 9.8 per cent to 11 billion compared with 2010.
JinEn has even noted the 1,063 new stores Starbucks launched in 2012. A ton of fear will come
out of the latest acquisition. Mr. Schultz understands the workers rank in first position in the
organization, so that they can excel in the unique way. Now is the need for improved pay and
health at work. Cups of coffee can tend to be charged the same amount and their value is the
same. The CEO relocalization will happen to suppliers and stakeholders, but especially when
Starbucks is not good at the guidance of the new CEO. Yet that did not influence the youngest
group, which is the foundation of much of our employees. The organization wanted to market
the full pay packages to its investors. My squad would like to hire and to purchase food. This is
an outstanding asset, but I will promise that if you question partner if they should select a better
pay or college reward package which is about 90 percent of the overall Starbucks partner, they
fully agree that they can both operate together as partners, as this concept fosters a deep sense of
equity and a shared values. The organization provides university institutions at the fundamental
level for free.
Different kinds of leadership style
Authoritarian leadership style: It provides allowance to leader to influence expectation
as well as clarify results. This style is useful when member of team get clear guidelines. The
appropriate leadership style use by organization in when the leader provide guidelines to perform
different work in an appropriate manner.
Participative leadership styles: Herein the management team focuses on taking
participation of employees to perform different functions in an appropriate manner.
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Delegating leadership: Herein, the leader focuses on delegating work to its team
member for executing different task in an appropriate manner.
Impact of leadership style on Stakeholders-
 Employees- This style used by Kevin Johnson affected employees as a stakeholder
because subordinates mean and important stakeholders who deliver output to the
business. So, with use of this style they were able to engage with each other which
increase their productivity level.
 Customers-These are also considered as important stakeholders and affected by
leadership style of Johnson because main purpose of company's CEO is to search people
with quality of products and services. Customers has high interest in enterprise product
because of their core value and ethics.
Personal leadership brand– It is beneficial for an individual because it provide leadership
to become known to colleagues and which enables in generating maximum value. A personal
leadership is a type of strategy which is used by individual to guide principle for the type of
leader one wants to be.In relation with Kevin Johnson, he has a personal leadership brand which
makes you unique from competitors and gives a competitive edge to his leadership.A personal
leadership brand is an exclusive & specific approach of a leader to address challenges as well as
manage their transactions with their subordinates or followers. The best part of having a
leadership brand is that it allows flexibility to leaders to define their own leadership objectives
and then position themselves appropriately according to need/ situation.
A Leadership brand shows how guidance for direction or for what one want to deliver and
how to deliver& it is being addressed in authentic way. It is often seen that a powerful leadership
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brand improve ability to achieve career goals, also so different sheets individual from other
leaders depending upon USP. Furthermore, it also help in developing growth and managing self-
own brand in a powerful manner.
Positive element of Johnson leadership style
Great track of financial performance it has been analyzed that leadership style which
is used by Johnson assist in maintaining superior financial performance and its increasing
marketing performance in an appropriate manner.
Clear Vision and Mission it has been analyzed that by adopting appropriate leadership
style assist in making clarification to its organization that achieving goal as well as objective in
an appropriate manner and also enhance profitability and future period of time.
Starbucks says that customers are the key players. This could turn your allegiance elsewhere
with new changes to CEO. They and their coffee bean price can also be concerned about the
collective compensation paid to coffee growers. The new CEO shall buy higher price or price
suggested under the contract if there is to be a harvest of beans. As a consequence of Howard
Schultz’s loss values of investors and shareholders have declined, but with Mr. Schultz working
directly with incoming President and CEO, this could impact shareholders and the company
stock prices are fine. The price of the stock is nice. He will change & fix poor ads, which only
addresses tax, despite the worldwide issues with reports of tax evasion and weak British tax rates
in Europe.Closures at boundaries led to negative net growth by 2011. Back in 2011 However,
revenues continued to increase safely. It rose by 9.8 per cent to 11 billion compared with 2010.
JinEn has even noted the 1,063 new stores Starbucks launched in 2012. A ton of fear will come
out of the latest acquisition. Mr. Schultz understands the workers rank in first position in the
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organization, so that they can excel in the unique way. Now is the need for improved pay and
health at work. Cups of coffee can tend to be charged the same amount and their value is the
same. The CEO relocalization will happen to suppliers and stakeholders, but especially when
Starbucks is not good at the guidance of the new CEO. Yet that did not influence the youngest
group, which is the foundation of much of our employees. The organization wanted to market
the full pay packages to its investors. My squad would like to hire and to purchase food. This is
an outstanding asset, but I will promise that if you question partner if they should select a better
pay or college reward package which is about 90 percent of the overall Starbucks partner, they
fully agree that they can both operate together as partners, as this concept fosters a deep sense of
equity and a shared values. The organization provides university institutions at the fundamental
level for free.
How Johnson is become a strong person name as a world leader?
Johnson has a powerful personal identity as an influential leader around the country, as
Johnson claims that the CEO representative of organization serves its staff, partnering along with
CEOs to build their personal identities. He is a small business and he does not dread the major
changes: the US banking sector fell through the biggest crisis after Johnson quit Juniper to
manage Juniper. In first week of 2008, Lehman Brothers left business. Of course, major changes
are necessary in order to survive. Johnson addresses his unexpected shifts and reveals how he
tackled the problem to render him a successful world leader, a powerful personal brand. For
example- one of its managers said to Johnson: "What I need if I spend my time or key workers, I
would be followed by leading departments, boss, key customers, clients, boards and p. He is a
strong market, so it's too late if you don't make perquisite improvements properly in first 12 or
18 months. The transparency of Johnson facilitates creativity and teamwork between
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professionals. He said that Juniper Networks were part of his plan to hire CEO'S as recently, to
hear from as many workers as possible and to reach them. The CEO of Starbucks demonstrated
how a great leader is dealing with such a crisis. Kevin often regarded himself as a continuous
pupil. Part of that assumes that you will reach the edge of your comfort zone. Kevin referenced
the years he served for Microsoft and Juniper Networks in recent analyses in his role at
Starbucks (Ward, 2017).
Stakeholder of Starbucks
Employees these are considered those who have focuses on higher wages need for
superior environment within business organization. It increases efficiency as well as productivity
level of organization. In context of Starbucks, they pay less wages to youth are criticized.
Customers these are considered as the most important stakeholder of organization
because they provide profit margin or sales to its company.
Supplier these are determined as appropriate stakeholder because they provide goods
and services to its end user for different purpose.
There are two ideas on what you think Johnson should do to improve on his current
successes and preserve the viability and strategic edge of Starbuck.
In April 2017, Howard Schultz revealed he would retire last month as managing
executive of Starbucks and become Chairman of the Starbucks. Kevin Johnson was named CEO
and chairperson .There are different brands that is going to be mentioned below:
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Personal brand is considered as the well-known perception of an individual person that
is depend upon competency, expertise, achievements within business organization community or
at Marketplace in large manner
. Global brand these are considered as that brand that is known across the world. It is
important or significant for organization to attract temple of individual person in respect of
product as well as services so that International brand is improved in good manner.
Recommendation 1: First of all, foreign growth is a key factor on which Starbucks will
focus. By April 2018, the development of the Asian markets was still sluggish, given the more
than 28,200 Starbucks shops across 76 countries. The comparison between Asian countries,
especially in certain countries, as China, Japan, South Korea, are extremely widespread with
regard to culture, meaning, religion, caste, etc. Starbucks needs to take direct action to make beer
or tea-like beverages accessible at local level.
Recommendation 2: Kevin Johnson will also take note of declining rates. Since coffee
is costly and many customers do not use Starbucks, a slight reduction in prices is a good option
for Starbucks. Starbucks will therefore draw more end users who are not satisfied with existing
costs. If the managers are not satisfied, they can also choose to offer new deals, for instance, to
buy one free on weekdays during dark hours between 3 pm and 6 pm.
Another recommendation is that leadership style to be more improved so that employee
engagement with enterprise is done in most efficient manner. Furthermore by focusing on
personal leadership brand will give a boost to productivity to both employee as well as
employees which will also lead to better results.
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Also it is recommended to in hands more online delivery services option so that wider
levels of customers are accessible to the brand product.
Conclusion expressing Johnson is an effective role model for aspiring leaders
Johnson is a paradigm for all future executives as he is giving Starbucks an outstanding
job because it makes the business achieve strategic advantage because profitability. Worldwide
commendation is owed to Kevin Johnson. I am proud of him, I say. He gives the business and
the operation a certain degree of creativity. He made his way. He made it himself. I was not
interested in industry or I was active in activities. Everything needs to be like this. I have quit the
board not just because I're going to run for president, but it's not appropriate to place a cloud in
the house, I guess. He will be a guy on his own. I feel glad of his achievement.
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