GMDGBS203 - Organisation Behaviour: Change in Leadership Report

This report examines the concept of leadership and the causes that trigger change in leadership within organizations. It discusses how changes in leadership impact organizational culture and explores motivational factors that support such changes. The report further analyzes organizational responses to change and corporate strategies for implementing leadership transitions, providing examples from companies like Microsoft, Tesla, and Amazon. It emphasizes the importance of effective communication, innovation, and a positive organizational culture in successfully managing change in leadership to achieve organizational objectives. Desklib offers students access to this and other solved assignments to aid in their studies.

GMDGBS203
Organisation
Behaviour-
Change in Leadership

EXECUTIVE SUMMARY
Organisational change refers to the process of development and transformation in the
organisation. There are different types of organisational change that include structural change ,
strategic transformational change etc. The organisations change is necessary for the companies to
ensure success and growth. Change management drives the usage of change within the business.
It makes the employees to understand and and commit to the work effectively. The following
report is being discussed in context with change in leadership and will include the discussions
like concept of leadership, motivation, organisational culture, organisational response to change
management and corporate strategies for implementing change in leadership. The
recommendations will also be provided for implementing the change in leadership.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION ..........................................................................................................................4
TASK ..............................................................................................................................................4
Concept of Leadership................................................................................................................4
Causes that trigger change in Leadership....................................................................................4
How does change in leadership impact Organisational Culture.................................................6
Motivational Factors to support change in leadership................................................................7
Organisational Response to the change.......................................................................................8
Corporate strategies to implement the change............................................................................9
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Organisational behaviour refers to the study of human behaviour in the organisational
settings and the interaction of organisation with human behaviour and the organisation itself.
Organisational change can be referred to as the transformation in structure , technology, human
resources in the organisation (Rastegar and Ruhanen, 2021). In the organisational change, a new
method, style or change is implemented that cannot be referred to as the change in organisational
culture. This report is based on the Change in leadership in an organisation. It is a style of
management that puts emphasis on the importance of improvement and adaptability in an
organisation. The changed leaders reflect the benefits of change that can have on business to the
stakeholders of the business. The report will cover the causes that trigger change in leadership
and their impact on organisational culture. It will also cover the motivational theories that
support the change in leadership. Further , the report will also provide the organizational
response to change and the corporate strategies that the organisation undertakes to implement
that change with the various range of examples.
TASK
Concept of Leadership
Leadership is a process that influences the individuals to attain the desired objectives of
the organisation. In this, the leaders direct the organisation in a way that makes it more cohesive
and coherent. They execute the leadership by applying their personal attributes such as
knowledge, skills, character, ethics, values and beliefs etc. Leadership plays an important role to
motivate the employees to change for the organization to be able to adapt to the business
environment in order to bring improvement and innovation in the organisation (Amelung, Chase
and Kreutzberg, 2021). For example, Microsoft company motivates the employees by developing
a dynamic, sustainable and strategic programs that provide a differentiated portfolio to attract
and retain the top performing employees to bring continuous improvement that is change
management in the organisation. It reinforces the culture and values of this company.
Causes that trigger change in Leadership
Change in leadership is required when an organisation wants to bring large-scale changes
within the business. The Real Change leaders raise their concerns for a big and transformative
vision for the company and empower the employees to contribute to the creation of that vision.

The leadership in an organisation is required to be changed if it is not suitable in providing
motivation to the employees and is not producing effective results (Carey, 2021). The major
causes that trigger change in leadership are mentioned in this topic. In the big and multinational
organisations, the employees often face the issues of lack of communication due to complex
management structure and organisational structure which makes them confuse to whom to report
the particular query. So, to make the effective communication throughout the organisation, the
leaders need to change the leadership style.
Another cause that trigger change in leadership is the lack of innovation on the
organisation. When the employees of the organisation are not given chance to present their ideas
for business strategies, it leads to lack of innovation in the organisation that can b seen the
autocratic leadership style that does not include the individuals in the decision making process
and thereby restricts the introduction of innovation in the organisation by discussing the
organisational matters with the skilful and talented employees (Regan, 2022). Thus, to bring
innovation in the organisation, leadership needs to be changed by making the employees
participate in the decision-making process.
For example, Bill gates , the CEO of Microsoft initially followed autocratic leadership
style to ensure that the company attain growth at the pace he had envisioned by controlling the
work of employees. But later Bill gates started to follow Democratic leadership style after
observing the potential growth in the business. This style includes the employees in decision
making process and introduces innovation in the organisation thereby. This leadership style has
contributed to the objectives of the company in a positive manner in terms of bringing innovation
in the company.
The organisational culture is an another factor that causes leadership to be changed. To
promote a positive and healthy organisational culture in an organisation, the leaders need to
change their leadership style by being cooperative to their subordinates and by guiding them in a
positive manner. Abusive leadership leads to negative outcomes on individual as well as team
level that eventually leads to ineffectiveness in achieving the overall objective of the
organisation (Blount, 2021). So, the leadership needs to be changed to develop a positive and
healthy organisational culture. For example, Elon Musk, CEO of TESLA strives to avoid
bureaucracy and to do things differently and develop a positive organisational culture to

empower the employees to think creatively and find solutions so as to bring continuous
improvement in the company.
Motivation is an another factor that causes the leadership to change in order to motivate
the employees to make them contribute more to the organisational objectives. The dynamic
leadership helps in improving team motivation. As the dynamic leaders are characterized by
effective action, focused energy and benevolent compassion. So, the leaders need to change their
leadership styles to become the dynamic leaders to focus on engaging the employees in such
manner that the success is based on the entire team and not only on an individual (Ravitch and
Kannan, 2021).
For example, Bill gates has adopted the Democratic leadership style to involve
employees in decision-making process that motivates the employees to feel valued by
participating in the decision-making process. It helps in increasing their productivity and thereby
helps in achievement of overall objective of the organisation.
How does change in leadership impact Organisational Culture
Leaders are the ones who create and reinforce the norms and behaviours that are expected
within the organisational culture. They strengthen the organisational values by facilitating the
individuals in growing and developing through goal setting, recognition and opportunities. When
the employees have open and ongoing dialogue about their work, they feel encourages and
develop collaboration towards the team members that fosters a positive and healthy working
environment (Patton, 2021). Through this environment, they are able to develop strong values,
ethics, beliefs etc. Change in leadership brings continuos improvement in the organisation by
way of prioritisation and management of work.
Leadership style is also to be changed when the business is being expanded a new vision
is set for successful expansion of the business. Leaders provide a sense of vision, purpose,
inspiration and mentorship to those individuals who they lead and it facilitates in successful
business expansion. When the business is expanded, the new candidates are required and
recruited, the management structure needs to be changes and the organisational structure also
gets impacted that have also an impact on the organisational culture that requires the change in
leadership pattern to manage all the employees on an international basis throughout the
organisation (Tsukamoto and et. al., 2021).

For example, the organizational culture of Amazon comprises of the four main elements
i.e. operational excellence, customer obsession, long-term thinking and innovation in the
organisation. The company facilitates the openness towards new and innovative ideas on the
basis of an organisational diversity policy. This characteristic of the organisational culture of
Amazon facilitates the company to identify the best possible ideas for solving the problems and
improving the e-commerce business. This has been achieved because of the effective leadership
Jeff Bezos as he is a transformational leader who motivates and inspires the team members to
achieve more than the possible. So, due to change in the leadership style, the company has able
to develop a positive and innovative organisational culture. And has become one of the big five
American information technology companies.
Motivational Factors to support change in leadership
The role of leader is to motivate its subordinates for their potential contribution to the
objectives of organisation. Leadership and motivation are the main factors that ensure the
success of organisation while ensuring employee satisfaction as well. To support the change in
leadership, the leaders are required to employ motivational factors so as to motivate the
individuals to contribute more for the achievement of organisational goals. Leadership allows the
managers of an organisation to impact the employee behaviour. Such as by adopting
transformational leadership, the leaders are able to bring transformation in the organisation and
make employees contribute more to the organisation to the best of their potential. In this way, the
employing of motivational factors also support the change in leadership for the leaders
(Rachmawati and et. al., 2021).
It is recommended to the leaders to adopt the Intrinsic and Extrinsic theory of motivation
so as to consider the self motivation of employees and consider other social, economic,
environment and cultural factors as well. Through intrinsic motivation, employees get motivated
from within and develop interest an curiosity towards the work and by extrinsic motivation they
get motivated by the efforts of leaders. When the leaders employ rewards and recognition to
motivate the employees, their productivity gets increased . The factors of extrinsic motivation
include financial perks, incentives, bonuses, etc. that assures increment in the social status of
employees by which they feel valued and respected in the organisation as a result of which the
overall performance of the organisation gets improved (Suyantiningsih and Haryono, 2021). This

is possible with effective change in leadership that can be brought by adopting a suitable style of
leadership.
For example, Bill gates has changed the leadership style from autocratic to democratic.
Earlier, through the autocratic leadership, employees were not motivated and they felt less
valued because of their ignorance in the decision making process. But now the employees feel
much motivated because of the change in leadership style i.e. Democratic leadership style that
motivate them by giving them value and considering their ideas in business matters that
ultimately leads to innovation in the organization and ensures its success as well. Bill gates try to
develop intrinsic as well as extrinsic factors of motivation in the company to motivate the
employees and thus these factors also support the change in leadership style. In a nutshell, both
the leadership and motivation are interrelated with each other and impact each other in a positive
way if implemented suitably and effectively.
Organisational Response to the change
The organisation as well as employees must respond to any organisational change with
enthusiasm and positivity. The best practices for overcoming the resistance to change consist of
effective communication and transparency , development of an effective strategy and recruiting
the positive influencers (Zheng and et. al., 2021). The organisational culture must not be ruined
or spoiled due to any change , rather each and every individual must support the change with
positivity and collaborate with the team members by accepting the change and contributing in the
teamwork for successful achievement of the overall objective of organisation (Tungpantong,
Nilsook and Wannapiroon, 2021).
Organisation needs to respond to the change in the leadership process in a positive
manner. It is not only the response of organisation that needs to be considered for the
organisational change, but the response of individuals needs also to be considered for any change
management in the organisation. The organisation must respond to the change leadership with
effective performance and by brining innovation in the organisation. By making the
communication system in the organisation effective so as to motivate the employees through
effective leadership (Newman and Newman, 2021). With reference to the individuals, they must
respond to the changed leadership in a positive manner by contributing more to the organisation
by developing a positive attitude towards the work.

In context with Microsoft, as bill gates has adopted the participative style of leadership,
by believing in the value of input for the employees in overall company's success. The Microsoft
company has respond to this changed leadership style by ensuring success of the company at a
fast pace and by making it one of the five big American information technology companies
alongside Google, Amazon, Apple and Meta. After the change in leadership style i.e. adopting
democratic leadership style, Microsoft uses yammer for CEO and other leaders to engage with
the employees to listen to them and to obtain their ideas. The employees are also responding to
the changed leadership programme in an effective way by connecting on Yammer with the
leaders and other employees as well and discussing the strategies regarding company's product
and about the employees benefits as well.
Microsoft has launched a new Microsoft Teams app that facilitates the company in
communicating with the employees at scale i.e. on an international basis. The company has also
adopted a new approach to performance and development to promote the new levels of
teamwork by developing a process called Connects. This process has optimised the timely
feedback and meaningful discussions to facilitate the employees learning in moment, ensuring
growth and driving effective results. So, the company is responding in an effective way to the
changed leadership style of its CEO.
The leadership of Bill Gates has positively affected the employee empowerment,
motivation and productivity by encouraging the employees to think outside the box and by
providing them with effective training and resources to become smarter and more intelligent. The
employees have also become more productive by getting motivated with new leadership style
and effective training and resources.
Corporate strategies to implement the change
It is imperative for the organisations to develop effective strategies for ensuring efficient
change in the organisation. For facilitating the effective implementation of change in the
business, the organisations must use appropriate business theories , styles and frameworks so as
to improve the organisational performance and increase productivity of organisation as well. In
this case, the change is being incorporated ion the leadership and the effective strategies are
required to be developed for effective leadership. So, the corporate strategies and approaches to
leadership are being discussed here.

Visionary strategy of leadership considers the strategic plan that outlines the vision of
company. It mobilizes the people toward a vision. This strategy of leadership is best when a clear
direction or change is needed it ensures the most positive climate. The leader following this
leadership need structure and organisation to guide their employees (De Masi and et. al., 2021).
Coaching strategy of leadership ensures development of the people for the future. It is
characterised by collaboration, support and guidance. It is the opposite of autocratic leadership
strategy as it does not focus top-down decision-making. The leaders take an individual approach
for recognising and cultivating talents for each team member.
Democratic leadership strategy focuses on enhancing the employees participation in the
decision-making process and thereby brings innovation in the organisation. It motivates the
employees by being felt more valued in the organisation and contribute more to its objectives
and success.
Affiliative strategy of leadership put more emphasis on people and relationships. It
considers the act of forming social and emotional bonds with the team members. It considers the
positive working environment for the employees by adopting a people-first approach. It mainly
focuses on harmony and motivate the employees in workloads and stressful time (Unsworth and
et. al., 2021).
The best suitable strategy from the above corporate strategies of leadership is Democratic
strategy. This strategy promotes innovation in the organisation by providing autonomy to the
employees to have a participative role in the company's matters and discussions. It is
recommended to the business organisations to adopt this strategy of leadership by bringing an
organizational change with the change on leadership. For implementing this strategy, the
company can follow an appropriate process.
First, the company needs to define and communicate the vision. Then, it will have to
encourage recognition among the employees to motivate them to be more productive. Then the
leaders must delegate the power and empower the employees to perform tasks effectively. The
last step of the strategy is to review and evaluate the work of employees through different KPIs.
The performance measurement KPIs (Key performance indicators) include 360 degree feedback
etc.
For example, to implement the leadership change in the organisation, Bill gates has
adopted the democratic leadership strategy with Transformational leadership style.

Transformational leadership is a leadership approach that causes change in the individuals and
social systems. It create a valuable and positive change in the subordinates beyond their
immediate self-interests for identifying the needed change and creating the vision to guide the
change (Bement and Krause, 2021). So, to implement any change in the organisation through
leadership, transformational leadership is the most appropriate strategy for the businesses. The
leadership strategies of bill gates involve Democratic and Transformational that have inspired the
employees to create more and more projects.
CONCLUSION
The above report has discussed the implementation of organisational change by way of
change in leadership. The organisational behaviour and impact of leadership change on its
culture has been explained. The factors that causes to trigger the change in leadership has ben
provided in the report that include organisational culture, motivational factors, lack of
innovation, lack of communication etc. The impact of change in leadership on organisational
culture has been discussed with relevant examples. The report has also discussed various
motivational factors and the Intrinsic and Extrinsic motivational theory to support change in
leadership in context with Microsoft CEO Bill gates. The repose of individuals as well as the
organisation to the change in leadership in an organisation has also been discussed in context
with Microsoft. It has ben observed that Bill Gates has changed the leadership style from
autocratic to democratic and this has brought a positive response from the company as well as
the employees in terms of increased productivity and successful projects. Further, the report has
also discussed the corporate strategies for leadership that include, visionary, coaching, affiliative
and democratic. It has been recommended to follow the democratic and transformational
strategies of leadership to implement change in leadership.

REFERENCES
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