Leadership Analysis: Richard Branson vs. John Stumpf - A Report

This report offers a comparative analysis of the leadership styles of Richard Branson and John Stumpf, examining their profiles and leadership qualities. The report delves into key concepts such as trait theory, behavior theory, and contingency theory, highlighting how these approaches apply to each leader. It also explores ethical leadership, perception, motivation, and social influence, providing a comprehensive understanding of their leadership practices. The report discusses the leaders' approaches to ethical standards, cultural integration, and employee motivation. By analyzing these aspects, the report aims to provide insights into effective leadership strategies and their impact on organizational success. Finally, it explores the roles of both leaders in their respective organizations, offering a detailed comparison of their leadership styles, strengths, and weaknesses.

Operational
Leadership

Table of Contents
PART 1............................................................................................................................................1
Profile 1.......................................................................................................................................1
Profile 2.......................................................................................................................................1
Profile 3.......................................................................................................................................2
Profile 4.......................................................................................................................................3
PART II: FULL LEADERSHIP PROFILE REPORT....................................................................4
INTRODUCTION...........................................................................................................................4
TASK...............................................................................................................................................4
1. Traits, Behaviour and contingency approach..........................................................................4
2. Perception and Ethics perspectives..........................................................................................5
3. Motivation and social influence...............................................................................................7
4(a) Discussion............................................................................................................................8
4(b) Conclusion...........................................................................................................................9
REFERENCES..............................................................................................................................10

PART 1
Profile 1
Richard Branson is an English magnate, investor and philanthropist. He was the founder
of Virgin group which is operating more than 390 companies approximately in all over the
world.
Synopsis
He was on born on 18 July, 1950 in Surrey, England. He was struggled in school and
dropped out at age 16 and he had taken a decision ultimately which also leads in the creation of
Virgin Records.
Early life
His father was working as a barrister and mother were employed as flight attendant. He
had struggled with Dyslexia and had a hard time with educational institutions.
This person had launched many ventures such as Virgin Atlantic Airways in 1984, Virgin
mobile in 1999 and Virgin blue in Australia. He was an ideal leader for all because his thoughts
were encouraging to others also.
John Stumpf
He was born on September 15, 1953. He is an American business executives and retail
banker. He is the former of Wells Fargo. Mr. Stumpf served as president of Wells Fargo &
company from 1 August 2005 to November 2015. He also worked in role in fake accounts
scandal. In 2016, wells Fargo was fined with $100 million under the Consumer Financial
Protection Bureau, $40 by city and country of Los Angeles. He is considered as terrible leader
for all.
These both leaders are chosen because they had found two famous company and became
successful in their life. Richard Branson is an ideal leader for all because he motivated everyone
to achieve their own goals and objectives and along with this his thoughts are also inspiring
people. On other side, John Stumpf is terrible leader because he had played a vital role in scandal
and his thoughts were also dander for people to apply in their life.
Profile 2
Richard Branson is a firm believer of mentorship. He also believes in innovation that’s
why he had launched many companies. Another quality of leadership in this person is that, he is
1

commitment person and believes in marketing. So he is appearing on sort of social media and
promoting his brand in different ways. On other side John Stumpf, was a self-confident person.
Along with this he also motivating other to do those things which you can do it “Don’t do
anything under any force”.
There are two approaches of leadership i.e. traits and contingency. In traits, leaders are
sharing their thoughts with other person (Brocklehurst and et. al., 2013). This theory considered
personality, physical, or intellectual traits which differentiate them from non-leaders. But in
contingency theory, deals with additional aspects of leadership with effectiveness studies. Trait
theory is applied to Richard Branson because his personality, thoughts, good decision maker
which differentiate him from others. But John Stumpf is considered under contingency theory
because it is difficult to find out his skill which gives him additional benefit. He is not now
terrible because he is working as to launched many organisations so that he can pay all fines
which has been found by consumer protection.
Profile 3
Ethical leadership contains with many theories which is categorised into two board:
theories related to leader behaviours and other is leader character (Sharma, Sun and Kannan,
2012). To become an ethical leader, it means that individual should go beyond from being a
person. Ethical leaders are making their clear goals and objectives in ethics and consistent part in
setting standards, model appropriate behaviour and holding everyone with accountable.
Leadership is buzzword for the current generation of firm’s owner and every department
in organisation is primed who is also looking over to individual capable which demonstrating
their power leadership skills to attain growth in their business (Chhokar, Brodbeck and House,
2013). Leadership perception of individual is different from each other. It empowers the people
and making effective communication shows is an art of good leadership.
Richard Branson, is working as ethical leadership because he is motivating lower level of
leaders who can flourish in their life. Ethical leadership at supervisory level is having huge
impact on follower’s behaviour and attitudes. He is also working as perception leadership
because he is sharing their thoughts with others.
John Stumpf, is also working as ethical leadership and encouraging other employees to
target their own goals and objectives.
2

Profile 4
Leadership and motivation is a goal oriented characteristics which helps to individual in
achieving their own objectives. It pushes an individual to do work hard and execute right plans
for attaining their predetermined goals and objectives. Team leaders are motivating their
employees in increasing their skills and knowledge. “To become an efficient leader, individual
must be self-motivated”. Leaders must have a strong urge to do anything in targeting their goals
and objectives (Daft, 2014). If they are self-motivated, then they are also motivating others to
harmonize their personal goals and objectives.
Social influence occurs when individual behaviour, emotions, opinions, are affected by
others. It is considered as significant component of leader’s ability to maintain their respect in
organisation (Scouller, 2011). Influence take place in different forms such as peer pressure,
obedience, persuasion.
Richard Branson motivate other people and inspiring them to accomplish with their
predetermined goals and objectives. Along with this, his life is also influence by other people
sometimes. John Stumpf, is also a self-motivated person and his life is also influence by other
because there are many competitors which is influence their life.
3

PART II: FULL LEADERSHIP PROFILE REPORT
INTRODUCTION
Nowadays, leaders are playing essential role in organisation in achieving their own goals
and objectives. The leaders are having their own skills and traits which motivates them to do
work hard. Every leader is having own style and strategy to attain their goals. Further, leadership
styles and methods are also varying because these are influenced by multifactor such as modern
challenge of all business (financial markets, digitalisation and many more) are coupled with
predicaments which can be specific to their company or industry size (Gatling, 2014). Leaders
are helping themselves and other to do right things in proper way. They are setting their own
directions and building an inspire vision for achieving something new in their life. In this present
report two famous Richard Branson who is the founder of Virgin group and John Stumpf of
Former Wells Fargo and from them leadership qualities have been explained. The qualities of
leadership are explained. Further approaches of leadership have been explained.
TASK
1. Traits, Behaviour and contingency approach
There are different types of approaches which are differentiate leaders from each other.
These approaches are described as below in regard to Richard Branson and john Stumpf.
Trait Theory - This model considered intellectual traits, personality, social and many
more. In this theory the leaders are desire to lead someone, self-confident, intelligence, honesty
and integrity. This concept is based on great man theory. Leader personal traits are their key
success for leadership. It helps to individual in finding out their traits and qualities. For example,
integrity, likability, assertiveness which will helpful for them in leading others (Hauserman and
Stick, 2013). These traits are considered as external behaviours which is emerging from things
going on their minds. But there is some limitation of this theory i.e. no universal traits can be
predicting in leadership in all cases. Richard Branson is having good personality and motivating
employees who are working in organisation for hitting their own goals and objectives also. He is
also considering those techniques in which he can handle all issues which are facing by
enterprise also.
Behaviour theory – The concept had focus on how leaders are behaving with others.
According to this approach it is the result of effective role behaviour which has been performed
4

by leaders in organisation. The leadership skills are shown by their act’s more than by his/her
traits. Kurt Lewin had developed a framework which is based on behaviour of leaders and he
argued that there are three type of leaders: Autocratic, democratic and Laissez-faire. In autocratic
leaders are making decision without consulting with others. This type of leadership is considered
as an appropriate when leaders are taking quick decision. In democratic, leaders are allowing
their team members to give input before taking any decision (Ishak and Bakar, 2012). Although
it became very difficult for them to manage their goals and objectives in different perspective. In
Laissez-faire, the team members are allowed to take decision for targeting their goals and
objectives. There are benefit of this approach is that; employees can take participate in activities
which are conducted by higher authority. Through this they can make sturdy relationship with
them. it will help them in retaining in competitive market for a long period of time.
Contingency theory – This concept helps in dealing with additional aspects of leadership
which is showing the effectiveness result of hard work. In this leadership style of individual is
depend upon the situation from which they are dealing with. So, it helps in predicting style in
which circumstances quality of leadership is fitted. This theory is also known as situational
leadership style. This can be analysed in different ways i.e. relationship between emotional and
subordinates, structure of task and least is authority and power (Jeon and et. al., 2015). If both
leaders i.e. Richard Branson and John Stumpf are facing any issues in achieving their goals and
objectives, then they can adopt any styles of leadership in which they can resolve their issues.
Richard Branson is an intelligent person who believes in innovation. As no person is born
with an innate understanding of life. He believes in the process of mentorship so he does not shy
in asking any question from any one. He also involves their employers while taking any decision
because through this they can retain them happy for a long period of time.
For John Stumpf, contingency approach is applied. In this according to situation or task it
depends upon them that what kind of leadership styles using by them. He is also considered as
terrible leader.
2. Perception and Ethics perspectives
When it comes to an ethics, leaders are leading on ethics and taking responsibility for
getting both good or bad results. Leaders who are behaving ethically are playing essential role
and communicating importance of ethics standards so that they can retain their employees
(Stincelli, 2012). Ethical leadership is showing a cause of host positive outcomes which will
5

reduce negative outcomes. The following are some ideas which are following by leaders in
ethical way.
Make ethics on priority – To become an ethical leader it means that they the person is
having all skills and qualities what they are deserving to become successful leader. Ethical
leaders are making clear goals and objectives and using appropriate models so that they can hold
everyone accountable. Richard Branson is making their own rules and regulations ethically so
that he can provide legal services to customers.
Making ethical cultural on a part of every personnel-related function in own
organisation – Successful leaders are hardworking and hiring high talented employees for their
organisation (Leadership, 2017). Along with this they are also conducting proper training and
development programme so that new candidate can easily internalise in organisation can
understand core values. Both leaders i.e. John Stumpf and Richard Branson are also appointing
those employees who is belonging from different culture and maintaining their dignity also with
other workers.
Encouraging, measuring and rewarding ethical relationship at multi-level – In
organisation ethical leadership from top to lower level are making positive environment in moral
way and flourishing them. In middle level of organisation manager are should be encouraged to
other lower level of worker to improve their performance. In Virgin and Wells Fargo leaders are
rewarding employees at different level of organisation. For this they are also conducting
activities so that they can participate in them and make more contribution in achieving
organisation objectives.
Emotional intelligence is ability to understand and manage own emotion from those
people is surrounding by them. People or individual who are having high degree of emotional
intelligence which is affecting to other person also. Those leaders who are having emotional
intelligence may also essential for their success. It includes five elements; self-awareness, self-
regulation, motivation, empathy and social skills (Mendenhall, 2012). The successful leaders are
controlling their own emotions in which they can face all situations to attain their own goals and
objectives. There is some organisation such in Virgin group or Wells Fargo, in this employees
are so emotional so they have to also take care of them. For keeping them happy, it is their
responsibility to positive healthy and positive environment which will also enhance their
6

efficiency of result. Through they can contribute their contribution in achieving goals and
objectives.
Both ideal leader i.e. Richard Branson and terrible John Stumpf have to control their
emotions when they are taking decision for the benefit of their enterprises. In this it is their
responsibility to take view point of employees also in which they can take better decision for
their own benefit. Along with this those decisions which are taken by them should be in ethical
way which does not give any harm to others (Thorn, 2012). The whatever services which are
provided by both persons should be in ethical way in which they can also protect their health
from unhealthy facilities.
3. Motivation and social influence
An organisation is made up with those candidates who are making contribution in getting
better result and it automatically involve emotions at same workplace. In organisation motivation
is considered as important part in achieving own goals and objectives. Leader in entity, should
keep an open perceptive of nature with others so that they can know the requirements of their
subordinates which will also make decision-making process easier. Both employer and manager
must possess as leadership and motivational tactics. There is different type of motivational
methods which can be used by leaders (Mitgang, 2012). Along with this, different theories can
also use by them such as Maslow, Herzberg theory so that they can inspire other employees at
workplace. The following are some guidelines which shows the outline of motivation.
 It harmonizes and matches the needs of subordinates in organisation. as a leader
executive must be ensure about that business should have same morals and ethics so that
they can seek their employees. The leaders of virgin company and Wells Fargo must
ensure about the needs of employees as well as customers in order to retain them for a
long period of time.
 Appreciation and rewards are also considered as key motivator which influence an
individual to achieving their desires goals and objectives. These leaders are motivating
employees in terms of rewards and giving bonus to them so that they can work
efficiently.
 To encourage individuals while involving them in planning and important issues can be
resolve not to only motivate them but also take a better decision.
7

 Develop a moral and team spirit for the wellbeing of organisation. Those employees who
are working in Virgin group and Well Fargo are maintaining their emotional state.
Social influence status power, follow ship, group norms and many more. Sometimes the
status of other are influencing other people in terms of finance. The successful leaders also have
to maintain their status in society so that they can communicate important message to others also.
Along with this, they are motivating other people so that they can achieve their aims. The leaders
have to motivate their team members which will help them in improving their skills and
knowledge (Oliver and et. al., 2011). The income of people, occupation is affecting to their life,
but leaders have to maintain their status in society. Through this they can encourage people to do
those things what they want to achieve in their life.
Richard Branson is also motivating their employees in organisation. for this they are
providing incentives and rewards to them so that they can perform their task in effective manner.
In modern ear, it is essential to work according to needs of employees because they are making
large contribution in achieving business objectives. Along with this, it become the major
responsibility of manager to adopt those strategies which can help them in targeting long and
short terms goals. Along with this, he is making strong communication with employees in
satisfying their needs and requirements.
John Stempf, who is CEO in own organisation, are always trying to keep their employees
happy. There is a participation of employees when they are taking any decision for their
organisation. It will be beneficial for them to adopt new strategies in which employees can work
easily. Along with this, those employees who are working in banking sector under John Stumpf
are providing so may benefits in terms of bonus, rewards.
4(a) Discussion
Richard Branson dropping out of school at 16 age, now he is owner of many companies
and earning billionaire. Along with this he also met and worked with brilliant leaders and
entrepreneurs. One of his blog of Virgin Group is “No two successful entrepreneurs are the
same”. It depends upon on their thinking and in which way they are working. He is considered as
ideal leader for people because he is providing good services and motivating others to achieve
own goals and objectives (Sabo and et. al., 2013). The following are some skills which has been
notice by Richard Branson.
8

They are taking calculating risk – There are many luckiest people in business who are
prepared to taking a greatest risk. While taking these kind of risk, Richard Branson can become
successful person in his life.
They are building strong team and delegate effectively – This person is making a
strong team in organisation in achieving their objectives (Vlachos, Panagopoulos and Rapp,
2013). Along with this, they are playing essential role in handling those issues which are facing
by employees.
They are having excellent communication skills – Communication skills make the
world go around. It facilitates human connection with others and allow them to learn something
new, grows and progress. Effective communication is more useful and it brings customers
towards organisation to use their products and services.
John Stempf, is also having a good quality which encourage the people. He is making
strong relationship with employees so that possible outcomes can be achieved by them. he is
considered as terrible leader because he motivates some people also to do something wrong in
their life.
4(b) Conclusion
From part first, it has been concluded that there are two famous leaders who are operating
large companies in all over the world. They are becoming ideal for all people to become
successful entrepreneur in their life. Both people Richard Branson and John Stempf are having
different qualities and skills in targeting their goals. In modern era, this person (Richard
Branson) is ideal for all because he is using always new techniques in introducing different
products and services to customers. Further, they are leadership styles are also useful for them
which makes him differentiate from others. In view points of leadership perceptive, he is taking
more risk and encouraging others and mind set person that what he has to achieve in his life. On
other side, John Stempf, is also a successful person in his life. But he is considered as terrible
leader for all. His leadership qualities are; always taking a risk in terms of finances but he has to
already paid the amount under consumer protection. Without having good leadership, employees
cannot do their best in organisation. Without motivation, employees can fail in performing their
task in effective way ultimately it will directly impact to organisation gaols and objectives. So,
these both persons have to use effectively leadership and motivational theories which also enable
to lead their employees and make company towards the success.
9

REFERENCES
Books and journals
Brocklehurst, P., and et. al., 2013. What is clinical leadership and why might it be important in
dentistry?. British dental journal. 214(5). pp.243-246.
Chhokar, J. S., Brodbeck, F. C. and House, R. J. eds., 2013. Culture and leadership across the
world: The GLOBE book of in-depth studies of 25 societies. Routledge.
Daft, R. L., 2014. The leadership experience. Cengage Learning.
Gatling, A., 2014. The authentic leadership qualities of business coaches and its impact on
coaching performance. International Journal of Evidence Based Coaching and
Mentoring. 12(1). p.27.
Hauserman, C. P. and Stick, S. L., 2013. The leadership teachers want from principals:
Transformational. Canadian Journal of Education/Revue canadienne de
l’éducation. 36(3). pp.184-203.
Ishak, N. and Bakar, A., 2012. Qualitative data management and analysis using NVivo: an
approach used to examine leadership qualities among student leaders. Education
Research Journal. 2(3). pp.94-103.
Jeon, Y. H., and et. al., 2015. Validation of a clinical leadership qualities framework for
managers in aged care: Delphi study. Journal of Clinical nursing. 24(7-8). pp.999-1010.
Mendenhall, M. E. ed., 2012. Global leadership: Research, practice, and development.
Routledge.
Mitgang, L., 2012. The Making of the Principal: Five Lessons in Leadership Training.
Perspective. Wallace Foundation.
Oliver, P. H., and et. al., 2011. Adolescent family environmental antecedents to transformational
leadership potential: A longitudinal mediational analysis. The Leadership
Quarterly. 22(3). pp.535-544.
Sabo, S., and et. al., 2013. Predictors and a framework for fostering community advocacy as a
community health worker core function to eliminate health disparities. American
Journal of Public Health. 103(7). pp.e67-e73.
Scouller, J., 2011. The three levels of leadership: How to develop your leadership presence,
knowhow, and skill. Management Books 2000.
Sharma, S., Sun, H. and Kannan, S., 2012. A Comparative Analysis on Leadership Qualities of
School Principals in China, Malaysia & India. International Online Journal of
Educational Sciences. 4(3).
Stincelli, E., 2012. A grounded theory exploration of informal leadership qualities as perceived
by employees and managers in small organizations (Doctoral dissertation, University of
Phoenix).
Thorn, I. M., 2012. Leadership in international organizations: Global leadership
competencies. The Psychologist-Manager Journal. 15(3). p.158.
Vlachos, P. A., Panagopoulos, N. G. and Rapp, A. A., 2013. Feeling good by doing good:
Employee CSR-induced attributions, job satisfaction, and the role of charismatic
leadership. Journal of business ethics. 118(3). pp.577-588.
Wilson, R., 2012. Why Are Associate Professors so Unhappy?. Chronicle of Higher Education.
Online
10

10 Ultimate Skills and Qualities of Richard Branson. 2017. [Online]. Available through:
<http://www.businessalligators.com/richard-branson-ultimate-skills-qualities/>.
[Accessed on 5th May 2017].
Leadership. 2017. [Online]. Available through:
<http://www.ethicalsystems.org/content/leadership>. [Accessed on 5th May 2017].
11