BUS 832 Leadership & Management: Harry Susilo Case Study Analysis

This case study analyzes Harry Susilo's leadership style, highlighting his moral and servant leadership, emphasizing compassion, effort, and continuous learning. It explores his ethical practices, including employee motivation, creativity, sustainability, and strengthening relationships between China and Indonesia. The analysis also covers strategic business planning and the creation of new business prospects, underpinned by a trustworthy image. While acknowledging potential drawbacks like over-reliance on family and dependency on the leader's abilities, the study delves into succession planning and leadership approaches for future generations, highlighting the importance of ethics in business curriculums and navigating globalization challenges. The study concludes by providing recommendations on how his leadership qualities and way of running the business can be further improved.

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CASE STUDY ANALYSIS: HARRY SUSILO
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Word count: 2761

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EXECUTIVE SUMMARY
This report showcases my analysis of the major key factors in determining how Harry
Susilo became an entrepreneurial marvel of this century, what hardships and experiences
made him learn? What his basic principles in life and leadership are? And what makes him
stand out as an entrepreneur and a person.
His distinctive style of leading through morals is what defined his success story and
through which he was able to amass such a stable business altogether. He used the clever
tactics of communication, leadership and overall motivation of the employees to reduce
turnover and increase the employee association with the business.
Harry Susilo’s style of leading also highlighted how he used various ethical practices
that were important to him and made those into the policies of his various group of
companies, making sure they were all socially, politically and environmentally friendly as
well.
A further description providing some recommendations on how his leadership
qualities and way of running the business can be further improved is also included in the
conclusion of this report.

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CONTENTS
INTRODUCTION......................................................................................................................4
HARRY SUSILO’S LEADERSHIP STYLE.........................................................................5
Positive Aspects of Harry Suliso’s Leadership Style.............................................................7
1. Employee Motivation:.................................................................................................7
2. Employee Creativity:...................................................................................................7
3. Mutual Interests:..........................................................................................................7
4. Sustainability:..............................................................................................................8
5. Strengthening Relationship between China & Indonesia:...........................................8
6. Strategic Business Planning:.......................................................................................8
7. New Business Prospects:.............................................................................................9
8. Trustworthy Image:.....................................................................................................9
Negative Aspects of Harry Susilo’s Leadership Style...........................................................9
1. Over-Reliance On Family Members:..........................................................................9
2. Dependency on Leader’s Abilities:.............................................................................9
ETHICS....................................................................................................................................10
Harry Susilo’s Ethics............................................................................................................10
BENEFITS OF HARRY SUSILO’S ETHICAL STYLE....................................................10
1. Increased Employee Commitment & Trust:..............................................................10
2. Turnover Reduction:..................................................................................................11
3. Increased Quality & Customer satisfaction:..............................................................11
4. Better Reputation.......................................................................................................11
Drawbacks of Harry Susilo’s Ethical Style..........................................................................11
1. Higher Costs:.............................................................................................................11
2. The polarisation of Society:.......................................................................................12
SUCCESSION PLANNING....................................................................................................12
1. Replacement Planning:..............................................................................................13
2. Bad Apple Theory of Ethics......................................................................................13
3. Business Ethics in Curriculums:................................................................................13
4. Understanding the Differences between Social Entrepreneurship & Business Ethics:
13
5. Formation of Identity:...................................................................................................14
6. Facing Globalization Challenges in Ethical Leadership:..............................................14
REFERENCES.........................................................................................................................15

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INTRODUCTION
This research is an analysis of the factors influencing and describing the leadership
styles of Harry Susilo and how he used those factors to the benefits for his business creation
and sustainability. The study recreates a list of the most important key factors to his success
which includes his moral leadership style, his way of inculcating business and lifestyle ethics
and his rules for succession planning of the business and how it has impacted the way
businesses all over the world are run and managed.
The case study analysis also deals with the identification of different models, theories
and frameworks used through research to provide an insight into how Harry Susilo deals with
the managing of his business through ethical means and while becoming a leader that does
not neglect or overlook his morals, customs and personal beliefs in the blind running for
profit that most businessmen usually do. The points that differentiate him from regular
businessmen that are only focused on making profits are also disclosed with respect to each
factor of his leadership and communication style.
LEADERSHIP & ITS STYLES
Leadership is a quality that differentiates leaders from the regular managers and
makes the skills set of an efficient entrepreneur (De Vries et al., 2010). Leaders should make
proper use of these attributes to communicate effectively and to make a difference through
their leading. Like differences in personalities and ways of getting things done, there are
multiple styles of leadership as well (Amanchukwu et al., 2015). Some of the main styles can
be given as follows, differentiated by their managerial and leadership qualities;
1. Autocratic Leadership (managerial)
2. Rational (managerial)
3. Analytical (managerial)
4. Deliberate (managerial)

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5. Visionary (leader)
6. Passionate (leader)
7. Creative (leader)
8. Innovative (leader)
9. Experimental (leader)
10. Moral (leader)
11. Transformational (leader)
12. Transactional (leader)
HARRY SUSILO’S LEADERSHIP STYLE
Harry Susilo’s style of leadership is Moral and Servant at best. He believes in leading
through compassion, effort, and learning new things. When discussing his style of leadership,
it is evident to know what it signifies towards. Moral leaders have respect and sense of
responsibility towards the general well-being of humanity. They don't lead to only earning
profits, but to stabilize economies by helping people earn for themselves and by creating
better living standards for the masses. They draw a lifeline capacity to learn from others at all
phases of life to grow more. Moral leaders are humble and always willing to, at times;
sacrifice their own self-interest to help those in needs. Such type of leaders uses social norms,
rules, customs and laws to implement moral discipline in their style of leading (McGregor,
2010). His social learning network can be divided into the following parts;
1. Sports community:
He believed that sporting activities could help in the enhancement of people's
willpower and the spirit of competitiveness.
2. Nature and Arts:

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He liked to travel and listen to music, and this habit he shared with his
daughters and family members as well to help them in appreciating the beauty of
life.
3. Business Community:
Where he would talk to leading entrepreneurs to gain experience and learn
about new practices in business management.
4. Political Community:
He believed that politics could impact business and hence, all businessmen
need to stay in touch with the recent political movements and reforms, creating a
professional relationship.
5. Experts in the field:
He believed that professionals from various fields like law, medicine, finance,
technology and sales etc. could help in the learning process in multiple ways of
business management.
6. Religion & Social Sciences:
As he himself was a believer, he did not want to put any restraints on people
who practiced any sort of religion or came from any cultural background and was
welcoming to all of the variety.
7. Family; which he believed was the most important and influential factor in
determining one’s success and motivation to work.
8. Paternalistic Leadership; where he was using this leadership style to behave
like a fatherly figure for all the members of his family in terms of guidance,
support, sharing experiences and knowledge and encouraging through various
thoughts and connections.

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Harry did not simply lead, but also communicated with his employees on a personal
level regardless of their positions. He believed in the quality of work and employee
motivation and stayed true to his word. Even other entrepreneurs stated that he was a person
to be trusted and relied on in times of need as he was always ready to help people. The
responsibility of his family and the poor living standards that he came from were the biggest
motivators in running a successful business empire.
Amongst the many styles of communication which include dominant, dramatic,
contentious, animate, relaxed and attentive, the most perfectly associated communication
style of Harry Susilo is a mix of Friendly, Attentive and Impression-leaving which are proof
of the fact that his personality traits also link to openness and Agreeableness, showing that he
is a person who understands the feelings of others is generally caring and helping (Solaja et
al., 2016).
Positive Aspects of Harry Susilo’s Leadership Style
Harry’s style of Moral leadership gained him many advantages in terms of financial
success and positive success of the business and in keeping his family together through care
and love which can be described as follows;
1. Employee Motivation:
The employees of his business are motivated because he pays special interests
in giving them free time to spend quality vacations with their families and friends and
in general, the company and its other employees. This motivation ensures that the
employees are always happy to work for the company, knowing that their needs are
taken care of as well.
2. Employee Creativity:
His style of leadership invites the employees to be free and to explore their
own creative ideas in terms of helping with the business and how it can be made

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better and more efficient. They don’t feel restrained and have freedom of speech (Gu
et al., 2015).
3. Mutual Interests:
There is a feeling of mutual interest between the board members and the
regular employees of the company. Both are invested in making and suggesting better
decisions for the sake of the business and help in maintaining the policies and
standards set by the company as well.
4. Sustainability & CSR:
Harry, through his diverse and understanding style of leadership, has managed
to form a sustainable business environment and infrastructure. The businesses under
his name seek betterment for the society, the economies and social and political
environment in general through various CSR practices. The moral aspect of his
leadership style leads him to consider the living conditions of others and what can be
done to enhance them through his own earnings. This has also made him a household
name as people across Indonesia, Singapore, China and many other countries are
witnesses of how he takes care of people.
5. Strengthening Relationship between China & Indonesia:
Harry’s participation in strengthening the ties of Chinese and Indonesian
economies has been marginal. He was the only businessman who at the time of
multiple crises, decided not to ignore the potential market of China and to eliminate
the barriers between the Chinese and Indonesian markets through successful business
trading systems.
6. Strategic Business Planning:
His style of leadership is not only considerate of the employees but also has
space for always making decisions that are for the betterment of the family business.

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Throughout his reign as the owner of multiple businesses, he has managed to establish
a style of sensible thinking and investing where needed through calculated risk
management.
7. New Business Prospects:
Through the funding program of his business, Harry provides opportunities for
spreading the business into new ventures that may or may not be associated with his
company. This provides more jobs, creation of new venture business foundation and
helps in providing opportunities to the next generation that have many creative ideas
for business in using them for fruitful results.
8. Trustworthy Image:
Many businessmen associated with Harry Susilo and his companies vouch for
his honesty and trustworthy image. He only speaks of and undertakes work that is
possible and stays true to his word and commitment which is why he has maintained a
trusted image in the business, political and educational world, gaining many
followers.
9. Paternalistic Leadership: This leadership style that he adopted helped him motivate
his employees, stakeholders and family members stay close to him on a personal level
and be motivated throughout their jobs.
Negative Aspects of Harry Susilo’s Leadership Style
Although his style of leadership has managed to get him competitive, political and
social advantages, Harry Susilo still countered some setbacks and disadvantages that wasted
his time and investment at times;
1. Over-Reliance On Family Members:
In the beginning, he gave the family and board members full decision-making
powers to do as they deemed best for the business. In the 1990s, Harry Fong Jaya

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made an incorrect investment that cost the business heavily in negative aspects after
which the decision making became unanimous and through considerations and
suggestions of the other members of the board and family.
2. Dependency on Leader’s Abilities:
Moral leadership style is dependent on the abilities of the leader to influence
others. There is a lingering concern with Harry Susilo regarding the question if the
next leader of the business will be able to communicate the same influence and ethics
as him to maintain the position of the business.
3. Paternalistic Leadership:
The main disadvantage associated with this leadership style is the relaxed
behavior of the employees with respect to decision making because a Paternalistic
leader relies on self decision making abilities. Some employees can find this decision
making process morally wrong and it damage their morale.
LEADERSHIP APPROACH FOR THIRD GENERATIONS
Harry Susilo’s leadership approach for managing the third generation and in preparing them
for the ownership of the business in the future involved sharing his own learning and
experiences, teaching through various other examples, motivating through speech and action,
all the while being considerate of the fact that they don’t have as much expertise as them. He
carefully planned the ownership for his next generation by making a rule that the previous
owners will lawfully resign as soon as they turn 65 to provide them an opportunity. His
biggest concern with regards to the third generation was if they would be able to lead and
inspire through the business like he did and the fact that their beliefs might not be influenced
by moral thoughts and actions which might change the course for the company’s progress.

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ETHICS
Ethics are an important part of effective and sustainable leadership. Since there is
saying that power tends to corrupt people's minds, it is necessary that the ethics factor and its
relation to effective leadership is not being overlooked while racing for becoming the better
brand or business. Ethics are associated with morale and the virtuous thinking of a leader and
how he/she implements it in the business policies and structural organisation to not only get
better profits but to also care for the society and environment and in short the major well-
being of the world (Ciulla, 2013). Many leadership styles are associated with being ethical
such as the Moral leadership styles; the Servant leadership style etc. but any type of a leader
should have at least some minor consideration in this aspect.
Harry Susilo’s Ethics
Harry Susilo had always represented an ethical mode of leadership and tried to
inculcate the same methods and considerations in the members of his family, along with the
employees of his business and the general people. His style of ethics was strongly related to
his cultural, societal and moral values that he had been taught by his friends, family and the
society which he lived in. His basic ethic included helping people make a better future for
themselves, being socially and environmentally responsible by refraining from business
activities that might hurt these areas and his general caring attitude towards people be it his
family or strangers.
BENEFITS OF HARRY SUSILO’S ETHICAL STYLE
a. There were the following benefits and advantages that came with the ethical
style of leadership that Harry Susilo adapted;
1. Increased Employee Commitment & Trust:
The employees trusted the business to take care of them in different aspects
other than the basic salary requirements and this increased their levels of motivation

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and an overall commitment and association with the business due to which they were
most invested in its betterment and stayed loyal to the business for long periods of
time.
2. Turnover Reduction:
The turnover rate was reduced as many employees choose to stay with
business due to its policies and general care for their well-being and happiness.
3. Increased Quality & Customer satisfaction:
The basic ethical principles teach the system of providing better quality
products and services to the customers that associate with the value of money that
they pay for it. Harry Susilo’s business provided organically sourced raw materials
that were used in the manufacturing of the final products. This provided his business
with a loyal customer fan base and a large number of customers that were satisfied
with the company policies and products.
4. Better Reputation
The businesses under the trusted name of Harry Susilo gained a positive image
and following in terms of political, social, environmental, retail and other associated
factors (Floyd et al., 2013).
Drawbacks of Harry Susilo’s Ethical Style
Though there may not be many, some main drawbacks of the ethical style adopted
include the following;
1. Higher Costs:
Applying CSR and other sustainability factors will also put a strain on the
finances of the business as these are Non-Profit activities that provide no return in
finances but require huge amounts of investments on infrastructures, donations and
sponsorships.