Leadership and Philanthropy: A Report on Carlos Slim's Impact

This report provides an in-depth analysis of Carlos Slim's leadership style and philanthropic contributions. It examines his transformational leadership approach, highlighting his focus on employee motivation and his impact on business and communities. The report explores various leadership models, including the Blake and Mouton Managerial Grid and Fiedler's Contingency Model, to understand Slim's effectiveness. It also delves into the motivation techniques employed by Slim, referencing theories like Herzberg's and Maslow's, and discusses the different types of power he utilizes. The report concludes by emphasizing the significance of motivation in organizational success, particularly within the context of Slim's business and philanthropic endeavors. It explores how his leadership style has contributed to the growth of his business and his ability to inspire others.

Running head: Personal Philanthropy of Carlos Slim 1
Introduction to Management
personal philanthropy of Carlos Slim

Personal Philanthropy of Carlos Slim 2
Executive summary
Carlos slim is one of the famous and only philanthropists in all over the world. He made
so many contributions in the welfare of education and health care. Leadership style is integral to
guide followers in an appropriate manner. The description of the leadership style of Carlos slim
has been described in this report. Along with that the motivation technique followed by Carlos
has been describe which will be helpful to getting knowledge about the motivation technique of
Carlos to enhance the productivity of the employee.

Personal Philanthropy of Carlos Slim 3
Introduction
Effective management and leadership are essential for the growth of the business. Carlos
Slim is well known philanthropist and there are most people who have not heard about the
activities of humanitarian. He possess so many companies that employee more than 200,000
people in America and other country as well. It is the report which will focus on the contribution
of Carlos Slim in the development of the country. Four different questions will be answered in
this report which covers support of Carlos Slim in the business, leadership style of him,
motivation technique of Carlos to motivate its employee and kind and sources of power of
Carlos.
Figure 1: Carlos Slim
Source: (Daner, 2015).

Personal Philanthropy of Carlos Slim 4
Personal philanthropy of Carlos Slim
Carlos Slim is one of the greatest philanthropists in the world. He spent his life to climb
the ranks as an investor, philanthropist and business magnate. The Carlos Slim foundation was
formed in 1968 as a platform has been made to dedicate to Slim’s philanthropic giving. The
mission of foundation is to begin a range of non-lucrative projects in health, education, justice
and community development through dedicating the resources of financial and community. Slim
is liberal with his fortune and believes in philanthropy that it should be based on more than
simply contributing resources to praiseworthy causes.
Support to his business interests
Personal philanthropy of Carlos provided huge support to business because it own 200
companies in stock that employ so many people of America. He utilized his resources to
facilitates develop the communities where his business is situated. He lives in Mexico and as per
personally support, he support more than 165,000 people to give education. He contributes in
number of surgeries and equipment for rural schools. He recently builds the Carlo Institute of
Health and the main aim behind constructing the healthcare centre to provide the unique and new
approach to health care in Mexico. He has announced that 6 billion are ready for several
programs and four billion already contribute by hi to develop the health and education and for
facing various challenges regarding to them. Yes, it is ethical because the contribution which has
been made by Carlos does not break any rules and the report of funding and investing is open for
government. He follows entire policy and procedure while contributing money in several
programs. Social responsibility is essential for Carlos in the business strategy and culture

Personal Philanthropy of Carlos Slim 5
because the main focus of its strategy to enhance the business in positive manner where they run
and contributing to the fight against poverty with nutrition’s and education.
Leadership styles most associated with Carlos Slim
The leadership style of Carlos Slim is transformational leadership style which is very
supportive to his employee for accomplishing the task. There are certain models which will be
helpful to understand about the leadership style of Carlos.
Figure 2: Managerial styles- Blake and Mouton
Source: (Burke, 2017).
It is the model to describe the process of leadership style of Carlos. Carlos is proactive
and in the role of team manager, he focuses on creating the commitments to share the purpose.
He is determining to fulfil the needs of people to build the better relationship. He trusts in new
motivation technique and focuses on minimum effort to get work done. Authority-obedience
management describes the high concern for the work and low concern for the work (Einarsen,
Aasland and Skogstad, 2016). Leaders with this style make number of decisions for the work
group. Middle of the road management is not partial and they do not have concern about the task

Personal Philanthropy of Carlos Slim 6
and people. In the context of leadership style of Carlos, He has great leadership style which make
him famous philanthropist.
Figure 3: Contingency approaches to leadership: Fiedler’s model
Source: (Miner, 2015).
Contingency approach is helpful to understand the situation leadership for the growth of
the business. It is model which is based on the premise that good leadership is able to handle the
situation between leadership style and situational demands (McCleskey, 2014). The behaviour of
Carlos is task motivated which refers as per model that he is relationship motivated leader. The
thinking of Carlos is wider and contingence because the goal of him is successfully matching
style with situational demands. There are three contingency variables are shown which can be
described in the context of transformational leadership style of Carlos.

Personal Philanthropy of Carlos Slim 7
Figure 4: Hersey–Blanchard situational leadership model
Source: (Vandayani Kartini and Hilmiana, 2015).
This model will be helpful to define the transformational leadership style of Carlos.
Carlos follows the leadership style as per the maturity level of their followers. Readiness is
preferred by Carlos who describes the ability of followers to perform the task. The
transformational leaders are ready to motivate an empower employees to attain the objectives of
the company (Démeh and Rosengren, 2015). Philanthropist Carlos contribute most of his
revenues in several programs related to education and health that is why it is required by the
employees of his business to be motivated.
Motivates workers to follow the leadership of Carlos Slim
There are several theories which are helpful to motivate the employee of Carlos
appropriately. Content theories of motivation cover various theories in it which describes the
need of the employees in personal as well as professional level. It includes Maslow, Herzberg’s
and ERG describes the importance of an employee by providing them an enthusiasm for

Personal Philanthropy of Carlos Slim 8
completing the project within the timeframe. Herzberg’s motivation theory can be helpful for
Carlos to motivate employee in various section. It is the theory that contains two factors such as
hygiene factors and motivational factors. Hygiene factors include pay, company policies and
administrative policies, fringe benefits, physical working conditions and job security (Thornley,
Chang, Martin, Thau and Hall, 2017). On the other hand motivational factors can be included
sense of achievement, recognition, growth and promotional opportunities, meaningfulness of
works and rewards. The pay and salary structure of the employee of Carlos should be
appropriated along with that the nature of policies and regulations of the company should not be
rigid. It should be fair and equal for each employee. As Carlos is desperate to help the needy
employees and contribute large amount of fund in the education and healthcare. By offering the
medical plans and benefits of education to its employee, he can be motivated to them. In the
context of motivational factor, the employee should be recognized and rewarded by
accomplishing the task; there should be some sort of advantages for their job (Wang and Hou,
2015). Growth and promotion opportunity will be helpful to Carlos to stay with employee for a
long time. Carlos can give them the responsibility to accomplish the work on their own behalf.
In spite of this there is theory of Maslow which can be adapted by Carlos to motivate his
employee it defines the priority of psychology need of the employees. Maslow’s shows that
motivation is the outcome of the attempt f the person fulfilling five basic needs such as
psychological needs, safety needs social needs self acquisition needs and esteem needs (Pinder,
2014). The process theories of motivation can also be applied by Carlos to motivate his
employees appropriately. It offers additional insights into how employee give refer to rewards
and then reply with several work related behaviours. Goal setting is important for the Carlos to

Personal Philanthropy of Carlos Slim 9
accomplish the task in the interest if his business and it can be done by adapting the
transformational theory.
The power of Carlos Slim
Power has the ability to get someone else to accomplish the task or make the things in
that way which someone desires. There are two kinds of powers such as position power and
positional power. Carlos has both powers which is beneficial for him to accomplish the task.
Position power is based on the things which can offer to others. He is considered as Mexican
business magnate. Personal powers are based on the ways in which managers are viewed by
others. These two kinds of powers contain five kinds of powers. Reward, coercion and
legitimacy are covered by the position power and expert and referent power is covered by the
personal power. Coercive power defines the force of doing work and the employees are getting
over pressurized towards accomplishing the task. They will get punish if they deny to do work.
Carlos is a philanthropist and kind hearted, he does not use this kind of power to accomplish the
task without the willingness of his employee. Reward power is being used in the organisation to
enhance the morale of the employees and this power is being used by the Carlos. The act of
legitimate power is formalized of ensure that there is someone to decide good or bad in the
context of an organisation (Deng, Liu, Ouyang, Lin and Xie, 2017). However, decision of the
organisation has been made as per decision of the Carlos but he trusts his employee and involves
them while making decision in the favour of an organisation.
Personal power of Carlos is high because it covers referent power. Referent power is the power
of respect (Mingst and Arreguín-Toft, 2013). It can be occurred if the leader of the organisation
is successful and motivation of his followers. It is created when values of an individual is

Personal Philanthropy of Carlos Slim 10
respected and inspired in the view of his followers. In the context of Carlos, his followers respect
him with heart and his contribution towards education and healthcare make him famous and
respected in the eye of outsiders as well. Expert power is when an individual has depth
knowledge about the subject matter and they are liable for result of them. It is considered as the
most effective power and Carlos has efficient knowledge about the subject matter and his
business.

Personal Philanthropy of Carlos Slim 11
Conclusion
It has been concluded that motivation is important tool for improving the condition of the
organisation in progressively. The report has been made on Carlos slim and its influence on the
business. He is the philanthropist and support many person to get educated and employed. His
personal philanthropist has contributed in his business interest. The transformational leadership
style with different leadership models in the context of Carlos has been discussed. Motivation is
integral for the growth if the business, different motivation theories and power has been
described in the support of Carlos.

Personal Philanthropy of Carlos Slim 12
References
Burke, W.W., 2017, Robert R. Blake and Jane S. Mouton: Concern for People and
Production, The Palgrave Handbook of Organizational Change Thinkers, pp.157-166.
Daner, C., 2015, Meet Carlos Slim Helu, the wealthiest man in Mexico, Retrieved on 29th
September 2017, from: http://www.businessinsider.in/Meet-Carlos-Slim-Helu-the-wealthiest-
man-in-Mexico/articleshow/48321728.cms.
Démeh, W. and Rosengren, K., 2015, The visualisation of clinical leadership in the content of
nursing education—a qualitative study of nursing students' experiences, Nurse education
today, 35(7), pp.888-893.
Deng, Z., Liu, M., Ouyang, Y., Lin, S. and Xie, M., 2017, Multi-Objective Mixed-Integer
Dynamic Optimization Method Applied to Optimal Allocation of Dynamic Var Sources of
Power Systems. IEEE Transactions on Power Systems.
Einarsen, S., Aasland, M.S. and Skogstad, A., 2016, the nature and outcomes of destructive
leadership behavior in Organizations. Risky Business: Psychological, Physical and Financial
Costs of High Risk Behavior in Organizations, p.323.
McCleskey, J.A., 2014, Situational, transformational, and transactional leadership and leadership
development. Journal of Business Studies Quarterly, 5(4), p.117.
Miner, J.B., 2015, Organizational behavior 1: Essential theories of motivation and leadership.
Routledge.

Personal Philanthropy of Carlos Slim 13
Mingst, K.A. and Arreguín-Toft, I.M., 2013, Essentials of International Relations: Sixth
International Student Edition. WW Norton & Company.
Pierro, A., Raven, B.H., Amato, C. and Bélanger, J.J., 2013, Bases of social power, leadership
styles, and organizational commitment. International Journal of Psychology, 48(6), pp.1122-
1134.
Pinder, C.C., 2014. Work motivation in organizational behavior. Psychology Press.
Thornley, N., Chang, T., Martin, D., Thau, S. and Hall, B., 2017, Implicit theories of motivation:
Self-serving biases decrease accuracy of motivation expectations. In Academy of Management
Proceedings (Vol. 2017, No. 1, p. 13263). Academy of Management.
Vandayani, P., Kartini, D. and Hilmiana, Y.A., 2015, The Impact Of National Culture On
Effectiveness Of Situational Leadership Hersey-Blanchard. DEVELOPMENT, 1, p.S4.
Wang, W.T. and Hou, Y.P., 2015, Motivations of employees’ knowledge sharing behaviors: A
self-determination perspective. Information and Organization, 25(1), pp.1-26.

Personal Philanthropy of Carlos Slim 14

Personal Philanthropy of Carlos Slim 15