BMOM 5203

ORGANIZATION & BUSINESS MANAGEMENT

JANUARY 2018

Learning Center : KUALA LUMPUR LEARNING CENTRE

SEMESTER 1 / JANUARY 2018

Name : ELIZABETH KANDAUNG

Matric No : CGS01720602
NRIC No. : 810221-12-5136
Telephone No. :016 840 7921
Email Address : elizabethk@oum.edu.my

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1.0 PART 1 (A) RELEVANT INFORMATION (5 MARKS)

UMS Investment Holdings Sdn. Bhd. (UiNVEST) (formerly known as UMS Link
Holdings Sn. Bhd.) was incorporated on 25 May 1999 as UMS Link (Sabah) Sdn. Bhd. and on 9th
May 2006, the company’s name was changed to UMS Investment Holdings Sdn. Bhd. On 22
December, 2014, the company was renamed as UMS Investment Holdings Sdn. Bhd. (UiNVEST
Bulletin, 2016: 3).

UiNVEST is a wholly-owned company of Universiti Malaysia Sabah (UMS) with current

authorized share capital of RM10,000,000.00. and current paid-up share capital of
RM5,000,000.00. The incorporation of UiNVEST was approved by the Ministry of Finance on
the 1 August 2006 and the Ministry of Higher Education on 15 August 2006, respectively. The
companies officially start its business operation on 2nd October, 2006 (UiNVEST Bulletin, 2016:
3).

The company envisioned to be a university’s corporate entity that is capable of competing

at global standing and to excel in the business world through commercialization of the university’s
invention, research and development, consultancy, business venture and human capital
development (UiNVEST Bulletin, 2016: 3).

Being the commercial and business arm of UMS, the main objective of UiNVEST is to
generate revenue for the university. UiNVEST strives to bring UMS to greater heights by

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promoting knowledge and R&D through commercialization of UMS research and
development inventions, innovation, services, academic programs and professional expertise.

As the main business vehicle for UMS, UiNVEST’s mission is to provide a platform for
the university to venture into business activities with the foremost agenda to generate income for
the university in order to reduce UMS’s reliance on government grant. The income generation
activities of UiNVEST are largely through commercialization, education and training, consultancy
services and creation of business synergy on R&D outputs. UiNVEST also strives to help the
university in the commercialization of university invention. UiNVEST aspires to carry out the
following activities (UiNVEST Bulletin, 2016: 4):

 To utilize and maximize the University’s physical and intellectual resources to offer
consultancy and other services with the view to provide industrial solutions to the
industries, public sectors and external parties.

 To establish working relationship and partnership with the industries and

government agencies.

 To provide various consultancy services including advisory services, testing, renting of

space and laboratory equipment, professional and short course programs through life-long
learning, and research work.

 To form business relationship and contract with selected companies up to the stage of
sharing ownership, dividend and profit distribution.

 To manage the offering of several academic programs at Diploma, Bachelor and Post-
Graduate levels through part-time courses, franchise program, close-supervisory and off-
shore programs with private colleges, both local and overseas institutions.

 To be directly involved in the commercialization of university inventions.

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1.1 Vision

To be a leading and renowned university’s corporate center of global standing (UiNVEST Bulletin,
2016: 3).

1.2 Mission

To endeavor in the commercialization of R & D, quality education, training, consultancy

programs and business venture activities (UiNVEST Bulletin, 2016: 3).

1.3 Motto

“Leading Innovative Knowledge” (UiNVEST Bulletin, 2016: 3)

1.4 Key Objectives

 To develop and train human capital through life-long learning, research and development.

 To promote and engage in consultancy services through university expert advise.

 To generate revenue for UMS through commercialization of university R & D.

 To develop university-industry partnership.

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1.5 Board of Directors

YBhg. Datuk Awang Buhtamam Haji AG. Mahmun (PGDK, ASDK)

Group Chairman/Director

YBhg. Prof. Datuk Dr. Mohd Harun Abdullah

Director / Vice-Chancellor of UMS
Corporate Representative of UMS / Shareholders

Mdm Darshana Kumari Ragupathy

Representative of the Ministry of Education, Malaysia (MOE)

YB’usaha Tuan Haji Rizal Othman

Director / Bursar of UMS
Corporate Representative of UMS / Shareholders

YBhg. Datuk Yusof Bin Haji Sarangit

Director / Pegawai Kewangan Persekutuan Sabah
Representative of the Ministry of Finance Malaysia (MOF)

Prof. Dr. Shahril Yusof

Deputy Vice-Chancellor, UMS
(Alternate Director to YBhg. Prof Datuk Dr. Harun Abdullah)

Puan Zallifah Shadan

Acting Bursar, UMS
(Alternate Director to Tuan Hj. Rizal Othman)

Mr. Ramlan Awang Ali

Chief Executive Officer (CEO)

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1.6 Group Business and Subsidiaries

1.6.1 Business and Centres directly managed by UiNVEST

UiNVEST has established and managed various business centres as follows:

 UMS Centre for External Education (UCEE)

 UMS Investment Centre for Professional Development (UCPD)

 Consultancy and Professional Services

 Commercialization

1.6.2 Subsidiaries and Associate Companies

 UiNVEST Agro-Based Sdn. Bhd. (Wholly-owned Subsidiary)

 UiNVEST Property Sdn. Bhd. (Wholly-owned Subsidiary)

 UiNVEST Ascot Sdn. Bhd. (Associate Company)

(Ascot Academy)
Accredited Institution by JPK

1.7 Scope of Activities

The scope of activities engaged by UiNVEST as the prime business engine of UMS is
focused on the followings (UiNVEST Bulletin, 2016: 3):

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1.7.1 Commercialization

UiNVEST endevour to assist UMS for the commercialization of viable UMS inventions
developed through scholarly activities of research and development. The inventions include
tangible products, technologies and processes, software programs and copyrights. UiNVEST is
responsible for the development of UMS Commercialization Policy and managing
commercialization activities of the University. UiNVEST endeavor to propagate all information
concerning research inventions and discoveries (UiNVEST Bulletin, 2016: 3).

1.7.2 Consultancy and Expert Advice Services

Various consultancy areas have been rendered through UiNVEST by capitalizing UMS
expertise. The numerous consultancy works in the science area include the Environmental Impact
Assessment namely in coastal management, water quality, biodiversity and ecosystem,
aquaculture and marine studies, biotechnology and solar energy. We also provide Social Impact
Assessment (SIA) in tourism and hotel management, human capital development, socio-economic
study, ethnography study and religion and arts, to name a few.

1.7.3 University Academic Programmes

Offering lifelong learning programmes at Diploma, Degree and Masters levels to the
working group. This activity is managed by the UMS Centre for External Education. The
programmes include (UiNVEST Bulletin, 2016: 3):

 Finance and Banking

 Marketing
 Labour Economics
 International Marketing
 International Finance
 Islamic Finance
 Economic

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  Sports Science
 Psychology Counseling
 Mass Communication
 Computer Engineering
 Environmental Science
 Master of Business Administration
 Master of Human Capital Management
 Master of Education
 Master of Psychology Counseling

1.7.4 Executive Development and Training Programmes

These public programmes are conducted through the UMS Investment Centre for
Professional Development (UCPD). The aim is to provide life-long opportunity for the public to
enhance their skill, knowledge and talent. Among of the programmes offered through UCPD are
the Intensive English Programme; Executive Diploma in Plantation Management, Executive
Diploma in Sales Management, Diploma in Corporate Executive, Diploma in Administration and
many more (UiNVEST Bulletin, 2016: 4).

1.7.5 UMS-Private Partnership (UPP)

UiNVEST, on behalf of UMS, is responsible to enter into public-private partnership that

aims for commercialization activities and academic collaboration with private institutes of higher
learning. UiNVEST acts as the gatekeeper and enter into negotiation process on behalf of UMS in
any business arrangement. UPP’s option includes strategic partnership, joint-venture and licensing
(UiNVEST Bulletin, 2016: 4).

1.7.6 International Promotion

UiNVEST works in tandem with UMS to promote its academic programmes, research and
development, and commercialization of research inventions to other parts of the world. UiNVEST

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takes part in international academic exhibition, science and invention exhibition, and other
activities that are deem to benefit UMS and UiNVEST (UiNVEST Bulletin, 2016: 4).

1.8 Key Success Factors

 Focus Strategic Direction

To identify niche areas and capitalize on UMS present core business and strength namely
R&D, academic programs and scholars.

 Leadership
It is Important that the “Captain” of company/centres/subsidiaries constantly provide
strong vision, guidance and coaching to staff towards the attainment of goals.

 Human Capital
A pool of talented and competent personnel, scholars, researchers and scientists at both
corporate and UMS level to provide competitive advantage.

 Viable inventions
Ensuring the viability of inventions including products/services/technologies that match
industry and community’s requirements.

 Marketing plan
The need for a firm marketing and business plan to promote the inventions/services and for
brand positioning towards income generation for sustainability.

 Funding
To source for funding and grants for research, development and commercialization
activities (UiNVEST Bulletin, 2016: 5).

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2.0 PART 2 (A) DEFINE WHAT IT MEANS TO BE A LEADER IN UMS
INVESTMENT HOLDINGS SDN BHD (5 MARKS)

Leadership is a function which is important at all levels of UMS Investment Holdings

Sdn Bhd (UiNVEST) management. According to Arthur et. al. (2013:125), in the top level, it is
important for getting co-operation in formulation of plans and policies. In the middle and lower
level, it is required for interpretation and execution of plans and programs framed by the top
management (Avolio et. al. 2014:801). Leadership can be exercised through guidance and
counseling of the subordinates at the time of execution of plans (Barnett & Davis, 2017:721).

At UiNVEST, the leader, at the same time, is a manager is said to be the representative of
the enterprise. He represent the concern at seminars, conferences, general meetings, etc (Bloemer,
2013:1769). His role is to communicate the rationale of the enterprise to outside public. He is also
representative of the own department which he leads (Bower, 2017:90).

A leader through leadership traits helps in reconciling or integrating the personal goals of
the employees with the UiNVEST goals. He co-ordinate the efforts of people towards a common
purpose and thereby achieves objectives (Brant et. al. 2016:20). This can be done only if he can
influence and get willing co-operation and urge to accomplish the objectives (Brickley, 2013:145)

A leader is a manager and besides that he is a person who entertains and invites support
and co-operation of subordinates (Burch et. al. 2015:177). This he do by his personality,
intelligence, maturity and experience which can provide him positive result. In this regard, the
leader invite suggestions and if possible implement them into plans and programs of UiNVEST.
This way, he solicit full support of employees which results in willingness to work and thereby
effectiveness in running of a concern (Camarinha, 2015:897).

At UiNVEST, the leader possess the three dimensional traits in him. He is a friend by
sharing the feelings, opinions and desires with the employees (Cascio, 2015:116). He is the
philosopher by utilizing his intelligence and experience and thereby guiding the employees as and
when time requires (Chandler, 2013:156). He guides by supervising and communicating the

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employees the plans and policies of top management and secure their co-operation to achieve the
goals of a concern. At times he also play the role of a counselor by counseling and a problem-
solving approach. He listens to the problems of the employees and try to solve them (Chandler,
2016:209).

3.0 PART 2 (B) VARIOUS STRATEGIES AND TECHNIQUES USED TO SELECT

THE LEADERS IN UMS INVESTMENT HOLDINGS SDN BHD (10 MARKS)

According to Chatman (2014:333), recruiting and selecting effective leaders can often be
a difficult challenge, especially in today’s strained economic environment. In fact, Chen
(2016:247), argued that when an economy is doing well, nearly any type of leader can emerge and
be perceived as successful. In truth, strong, innovative organizational leaders are rare, and
identifying a leader likely to be a fit for UMS Investment Holdings Sdn Bhd (UiNVEST) can be
a time-consuming and expensive process.

Even so, as UiNVEST struggle to stay competitive in their industries and markets,
innovative leadership is a key component to success (Citrin & Ogden, 2013:29). Targeted
organizational innovation during times of economic difficulty, especially when competitors are
struggling to stay relevant, can mean the difference between significant growth and gain in market
share—or cutbacks (Clark & Roberts, 2016:507). With these high stakes, competing for innovative
leadership talent becomes a crucial differentiator for UiNVEST.

Identifying a stream of authentic and innovative leaders in the talent pool during the
recruitment process is one of the most difficult responsibilities of UiNVEST HR professionals.
Many successful leaders are currently employed and are not actively looking for a new position
(Cooper et. al. 2015:551). If individuals at the leadership level are actively seeking a position, they
often only circulate through private social networks or headhunting firms. Furthermore, as difficult
as it is to find an effective leader with a track record of success, it’s an even greater challenge to
find candidates when you couple success with innovation as requirements (Costa & McCrae,
2017:258).

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 Some of the most effective and advanced recruiting options available to UiNVEST HR
professionals for identifying leaders include peer referrals, professional societies or alumni lists,
and social media networking (Davidow & Malone, 2013:109). Specifically, pairing technology
with any of these efforts is likely to result in more fruitful candidates for leadership positions
(Deutschman, 2014:54).

At UiNVEST, “Peer Referrals” are one successful method of initiating searches for an
organizational leader (Doherty, 2013:11). This is especially true when successful mid-to upper-
level leaders in UiNVEST forward the referrals. These leaders likely have a strong knowledge of
the type of skills, leadership style and background that fit a department or business unit (Galbraith,
2017:343). This also includes helping identify candidates likely to be a fit for the organizational
culture.

According to Galbraith (2014:118), input from successful mid-and upper-level

organizational leaders is especially significant when looking for innovative leaders, because
UiNVEST have different appetites for risk and error when it comes to innovation. Successful
leaders in UiNVEST often understand this well as it applies to their organizations. A good fit
between a candidate and a job can be highly dependent on organizational culture (McLean,
2015:226).

Although peer referrals are likely to be a more productive source for identifying these types
of candidates than other recruiting strategies, it’s easy to put too much weight on the referral
(Gardner & Schermerhorn, 2014:270). Peer referrals should be explored and are likely to result in
great candidates; however, these candidates need to be fully vetted through the selection process
before choosing them as future organizational leaders (Greenberg, 2013:117). It is critical to ensure
they truly are a fit for the role and for UiNVEST.

Depending on the organizational function for which a new leader is needed, “Professional
Societies” can be another productive source for identifying candidates for leadership positions
(Hage, 2016:289) at UiNVEST. The more unique the functional area in which the leader is needed,
the more a professional society is likely to be helpful. When an organization needs specialists

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and/or scientists, such as research and development professionals, to meet the needs of a business
function, this is often the best time to use professional societies for recruiting. These groups usually
are relatively small and close-knit (Greer & Virick, 2017:351).

Leaders who are involved in their fields and have had success as innovators are typically
active in professional societies, from attending and contributing at meetings to providing thought
leadership (Greiner & Metes, 2015:390). They are also typically actively involved in networking.
This makes it much simpler for recruiters and UiNVEST HR professionals to identify key leaders,
track their history and activity within the field, and learn which individuals are likely to be aligned
with areas open for innovation within their organizations (Groves, 2017:239).

Social networking mediums and websites are such new recruiting techniques at UiNVEST,
According to Hall & Tolbert (2013:788), many are saying lack of existing research demonstrating
the return on investment of this approach as a recruitment strategy, though many recruiters and
other HR professionals anecdotally indicate its value (Doherty, 2013:15). Social media shows
great potential to be a fruitful approach for identifying top-quality leaders, but in these early stages
of use it can be a tricky and highly time-consuming effort (Kluemper & Rosen, 2017:567).
However, there are a few suggestions to make social networking websites a productive recruitment
tool which is using existing social networks of current employees as a starting point (Hempel &
Brady, 2016:47), looking for key experiences with innovation in organizations similar to yours
and converting the lead to a peer referral from inside UiNVEST when possible.

Whenever possible, UiNVEST HR professionals and recruiters responsible for identifying

organizational leaders should become members of the social networks frequented by mid-to high-
level organizational employees (Hilty et. al. 2015:550). These networks are a great starting point
for identifying individuals in similar industries or with similar backgrounds to the organization’s
current successful leaders. One can use this information to gain initial information about a
particular candidate’s experience with innovation in this industry or similar industries (Jolink &
Dankbaar, 2013:1436)

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 Also, it is important to frequently communicate with internal employees to ensure the
individuals in their networks are appropriate for consideration (Kirkman et. al. 2014:175)
Typically, it is a best practice to work with these potential candidates more as if they had come to
you through a peer referral from a current employee rather than as a lead through social networking
(Kristof, 2016:30). This best practice is likely to mean the recruitment effort will be perceived
more favorably by the candidate and result in a more effective recruiting experience for UiNVEST
HR professionals.

With the strong scientific basis for behavioral assessments and the influx of technology-
based HR solutions in the last decade (Kristof, 2015:281), UiNVEST HR professionals have a
host of selection tools available to them for use in identifying and selecting leaders who support
an innovative culture. These tools take many forms, but some of the most popular forms among
HR professionals are behavioral assessments. For example, the Innovation Potential Indicator (IPI)
actually assesses one’s capability for implementing innovative ideas in a particular environment
(Kuprenas, 2013:51). Other selection assessments include measures of personality, motivation,
experiences/biographical data, and situational judgment. They also provide an online, unproctored
environment and audiovisual interactions with the candidate (Chivee & Cowan, 2017:40)

As one might assume, individual differences are the reason for administering assessments
in selection (Levary & Mathieu, 2014:22). The purpose of any assessment is to capitalize on these
individual differences and assure those applicants with stronger characteristics are identified as
having the potential to be more successful on the job (Lipnack & Stamps, 2017:114). In selecting
for leaders, cognitive ability tends to be the most powerful predictor of job performance.

In fact, according to Lunenberg & Ornstein (2013:800), the utility of using a cognitive
ability test when selecting candidates at the management level and above far outweighs any other
type of assessment (e.g., skills and personality assessments). When selecting for innovation,
cognitive ability tests assessing space visualization, word fluency and symbolic reasoning are
likely to be most appropriate. Specifically, these particular tests can help distinguish top
performers from average performers as managers (Luthans, 2014:57).

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 Additionally, personality tests have been used for selection with much more enthusiasm
since Costa and McRae (2017:258) published their “Big Five” taxonomy for classifying
personality. With measurements of personality, HR personnel can determine whether meaningful
relationships exist between specific personality constructs (i.e., innovation, in our case) and job
performance at the leadership level. In selecting for leaders, we can use personality constructs,
such as novelty, creativity and initiative, to tap into how likely a candidate is to be innovative on
the job (May et. al. 2013:247).

Furthermore, in a selection context, UiNVEST use biographical information assessing

one’s approach to innovation in past jobs or educational situations (McLean, 2015:226).
Biographical information (biodata for short) will tell recruiters or hiring managers if particular
abilities or attributes needed for success on the job have been emphasized in past contexts. A
biodata inventory used to assess leaders’ innovation might include questions such as the following:
“As compared to others I know, I would rate my creativity in the top (x-percent)” or “The amount
of experience I have had starting a project from scratch is...” Using assessment items like these
with help HR personnel or hiring managers gain a better understanding of leaders’ past innovative
experiences (Melancon & Williams, 2016:283).

Much like the biodata, situational judgment tests (SJTs) can assess one’s innovative
approach to various situations (Miles et. al. 2013:116). An SJT consists of a series of situations a
candidate is likely to encounter on the job. The test can be presented in written, verbal or visual
form, and candidates typically are asked to indicate which response they feel is the best and which
is the worst (Mintzberg, 2016:500). Using critical incidences encountered on the job, researchers
or test writers can create a situation to present to applicants; of the responses to this situation,
options can vary in terms of creativity level or innovation (Mintzberg, 2013:110).

Researchers then should use a pool of subject matter experts to indicate which response
option (all assessing a varying degree of innovation) would be best and worst for the given situation
(Moscoso, 2013:237). Traditionally, SJTs are inexpensive to develop, administer and score;
although, with the increased use of technology in the selection realm, SJTs now can be delivered

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via video or even through simulations, making the costs of such tests likely to increase, along with
their versatility and appeal to applicants (Motowidlo et. al. 2017:640).

In addition to using behavior based assessments, recruiters and hiring managers can
implement an assessment center in their selection process (Nelson & Quick, 2013:111).
Assessment centers vary widely in terms of duration and size, with mid-to upper-management
centers typically running from two to three days with 12 potential managers (O’Reilly, 2017:487).

Within assessment centers, UiNVEST use simulations, such as in-basket exercises, group
discussions, team exercises, and mock presentations (just to name a few), to measure a set of key
dimensions related to leadership capability and performance (Oliveira & Takahashi, 2013:317).
UiNVEST use simulations and exercises that specifically assess leader characteristics, such as
authenticity, subordinate development and innovation, to identify leaders likely to thrive in and
promote an innovative culture (Pang, 2013:42).

Many have argued assessing past performance through behavior based, structured
interviews successfully predicts future performance (Pulakos & Schmitt, 2015:289). UiNVEST
HR personnel will customize interviews to specific department and jobs, and candidates consider
this one of the most fair and appropriate selection procedures (Roshto, 2017:47). UiNVEST HR
use behavior based interviews to discover how the applicant performed in particular employment
situations in the past and, as a result of their behavior, what the outcome was. HR can use behavior
based interviews to assess candidates’ leadership skills in prior situations, as well as their
innovative capability in past situations. This is a strong selection tool for candidates in a variety of
positions, because we can tailor questions to a competency specific for the job (Rothwell,
2013:87).

UiNVEST have developed both leadership and functional competency models to use in
selection, training and development contexts. These competency models often contain levels to
target individuals with different levels of skill, from novices through experts, in a particular job
family (Salgado & Moscoso, 2013:299). For UiNVEST in which innovation is a key driver,
competency models should reflect this directly. Map these competencies to behavior based

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interview questions appropriate for the level of job for which the organization is hiring.
Specifically, interviews targeting mid-level leaders should focus on questions assessing previous
experience innovating on a particular project or in a particular area. Interviews targeting upper
level or executive leadership should focus on strategy, organizational vision, large scale innovation
or managing other leaders for innovation (Sarros et. al. 2017:145).

Luckily, UiNVEST are realizing they can find leadership potential under their own roofs.
The art of succession planning has become much more popular in the last few decades, as
UiNVEST strive to fill spots of leaders who have retired or who have left the organization for
other reasons. Recent economic downturn and hiring freezes also have caused UiNVEST to look
within to develop existing talent. Though UiNVEST are not able to develop or execute an internal
succession plan throughout their entire organization due to reduced resources, low headcount or
rapid growth, this approach still is highly valuable, even in small measures (Shipton et. al.
2015:118).

Next, UiNVEST HR professionals begin to build a profile of a successful innovative leader

within this area, using available leadership and functional competency models, as well as key
experiences the ideal leader will likely encounter throughout his or her career (Taylor, 2013:601).
Conducting informational interviews and focus groups with mid- and top-level leaders within the
targeted job function will help populate this profile (Tom, 2017:573). The resulting profile include
background information, including the general education and job history expected of the leader,
key competencies most important for a leader in that function (including the level of performance
needed at each competency), and a set of critical developmental experiences likely to aid the
individual in growing leadership and innovation skills. The profile can also include these elements:
a personality profile and a culture-fit profile obtained through psychological or behavioral
assessments (Torrisi-Mokwa, 2016:171).

Experts in recruitment and selection agree that identifying authentic leaders for selection
into an innovative organizational culture is a highly specialized and difficult practice, but by
applying the most recent advances in recruitment and selection research, recruiters can greatly
increase their potential for success (Vakola & Wilson, 2014:112).

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4.0 PART 2 (C) LEVEL OF POWER IN UMS INVESTMENT HOLDINGS SDN BHD
(10 MARKS)

The desire for a feeling of oneness and acceptance in a valued relationship (Van Harrison,
2017:111). Referent power is based upon identification with, attraction to, or respect for the
leader. Group members gain a sense of intrinsic personal satisfaction from identification with a
referent leader. This kind of power relationship is dependent upon the inclination to work harder
for someone who is liked or admired. To gain and maintain a leader’s approval and acceptance, a
follower is likely to do what the leader asks, develop a similar attitude, and even imitate the
leader’s behavior (Van Harrison, 2015:23).

Leaders who are charming and trustworthy tend to possess and use referent power more
often than those less personable (Veerquer et. al. 2013:473). By showing genuine concern and
demonstrating a general level of respect for others, referent power tends to increase early in the
relationship between leader and follower. However, if the charisma of a leader is never connected
to genuine integrity and strength of character, referent power is easily lost (Veerquer et. al.
2013:473).

At UiNVEST, referent power is most easily seen in the charismatic leader who excels in
making others feel comfortable in his or her presence (Weber, 2017:781). Staff typically express
their excitement about work in terms of their attraction to their leader’s personal characteristics
and charisma. The reason they commit to their work is because of the leader’s likeability, and they
base their self-esteem and sense of accomplishment on their leader’s approval (Weber, 2017:781).

Charismatic leaders who lack the integrity and depth of character to match their charm and
charisma often leave UiNVEST within a few years, and frequently leave a path of destruction in
their wake (Weekley, 2017:679). Their insecurities eventually manifest themselves in the form of
erratic decision-making and defensiveness that can alienate the leader from their staff and their
colleagues. If left unchecked or used as an exclusive source of influence, referent power’s benefits
quickly decrease and destructively give way to its liabilities (Weekley, 2017:679).

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 The extent of specialized skills or knowledge followers attribute to a leader (Arthur et. al.
2013:125). Expert power at UiNVEST derives from group members’ assumptions that the leader
possesses superior skills, knowledge, and abilities. This expertise enables leaders to perform tasks
and provides them with a better understanding of the world around them (Arthur et. al. 2013:125).
However, expertise is only a source of power if others are dependent upon the leader for the skill,
knowledge or ability the leader possesses. The more important a problem is to the follower, and
the more the leader is perceived to be an expert in that area, the greater power the expert leader
will have (Arthur et. al. 2013:125).

Like referent power, expert power at UiNVEST may come more easily in the short term
yet prove troublesome in the long term. Initial perceived expertise is typically strong, but a leader
must balance expertise with wisdom and not to exaggerate the extent of his or her expertise. As
time progresses, followers learn more, and a leader’s expertise is questioned and challenged - the
power of expertise can diminish (Avolio et. al. 2014:801).

While expertise can be maintained through continual formal study and training, research
suggests that a convincing way to demonstrate expertise is by solving problems important to
followers and providing sound advice on a consistent basis. When a leader at UiNVEST has a lot
of expert power and is trusted by followers as a reliable resource for wisdom and information, the
leader can have tremendous influence over the long-term (Avolio et. al. 2014:801).

At UiNVEST, leaders are generally granted expert power in the fields in which they have
reputable experience and education. While the ability to understand and effectively communicate
educational content might be an obvious example, the ability to communicate experience and
wisdom about interpersonal problem solving and life skills also serve as areas in which a leader
may influence due to expertise (Avolio et. al. 2014:801).

The authority granted to someone stemming from a position in a group or organization

(Barnett & Davis, 2017:721). Legitimate power stems from an authority’s legitimate right to
require and demand compliance. Legitimate power stems from a leader’s formal authority over
activities. This type of power is dependent upon the official position held by the person exercising

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it. Legitimate power may be derived from prevailing cultural values that assign legitimate power
to some individuals (i.e., respect for one’s elders), accepted social structure that grant legitimate
power to some people (i.e., British royalty), or through one’s position in a hierarchy (Barnett &
Davis, 2017:721).

While referent and expert power are tied to the individual, legitimate power is tied to
position (Barnett & Davis, 2017:721). In this context, the amount of legitimate power a leader
might have is likely related to one’s scope of authority. For example, UiNVEST managers
typically have more authority than staff, and a staff member typically has more authority in relation
to relation to community members. Yet it is not uncommon for a leader to make requests of
someone who may technically fall outside their scope of authority, and for that person to willingly
comply (Barnett & Davis, 2017:721).

A leader’s scope of authority is usually defined in the work environment by documents

such as UiNVEST organizational charts, contracts, and job descriptions (Bloemer, 2013:1769).
Ambiguity about the scope of a leader’s authority is, however, common. If managers, staff
members, and the community define the boundaries of legitimate power differently, then conflict
is likely to develop. This conflict can interfere with the accomplishment of an organizational or
educational purpose (Bloemer, 2013:1769).

Legitimate power can easily lead to tension because of its close association with position
and not the person (Bloemer, 2013:1769). In addition, the power of the position itself may grant
power to uncooperative and difficult people. However, over time legitimate power becomes less
useful if it is not practiced in a manner consistent with agreed upon norms of behavior and in an
environment where communication is clear (Bloemer, 2013:1769).

While the position of leader holds respect and authority, the personal nature of the position
frequently does not allow a leader to wield a great deal of legitimate power (Bloemer, 2013:1769).
Leaders generally have the authority to ask much their staffs, but must do so in a way perceived to
be fair and respectful, which often involves the use of referent and expert power. So, while the

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position itself grants the leader some legitimate power, exercising legitimate power exclusively is
not likely to be useful over time (Bloemer, 2013:1769).

The ability to reward. Reward power is based on the belief that a leader controls important
resources and rewards that the follower wants (Bower, 2017:90). Reward power not only depends
on a leader’s actual control over rewards, but also on the follower’s perceived value of those
rewards. Reward power has been shown to be most effective when followers see a direct
connection between UiNVEST performance and reward.

Leaders most commonly use reward power with a promise to give staff something in
exchange for carrying out an assigned task, e.g. a grade, a special privilege, a form of recognition,
etc (Bower, 2017:90). Precisely how this is carried out can significantly affect the outcome. When
leaders offer the right rewards, that is - rewards that are valued, fair, and in line with what they can
deliver - reward power is effective. In addition, being true to one’s word and using rewards in a
non-manipulative fashion is also essential (Bower, 2017:90).

The over use of reward power by a leader may drive followers to view the relationship in
purely transactional terms (e.g. “I will do X because you will give me Y.”) Rather than using
rewards in an impersonal way, the most effective way leaders can use rewards is to recognize
accomplishments within the context of referent power (Brant et. al. 2016:24).

The ability to punish if expectations are not met (Brant et. al. 2016:24). Coercive power is
the capacity to dispense punishments to those who do not comply with requests or demands. People
exercise coercive power through reliance upon physical strength, verbal faculty, or the ability to
grant or withhold emotional support or tangible resources from others (Brant et. al. 2016:24).
Coercive power provides a leader with the means to physically harm, bully, humiliate, or deny
love, affection or resources to others. Examples of coercive power in the workplace include the
ability (implied or real) to fire, demote or transfer to undesirable positions (Brant et. al. 2016:24).

Coercive power can be useful for deterring behavior detrimental and at times when
compliance is absolutely necessary, such as in a crisis situation. However, in most situations

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coercive power should be used predominantly as a last resort as it has significant negative side
effects. Coercive methods have been linked to a number of dysfunctional group processes,
including dislike, anger, resentment, rejection, conflict, and decreases in motivation, and self-
esteem (Brickley et. al. 2013:119).

5.0 PART 2 (D) WHAT STAFF AND ORGANIZATION WANT FROM THE
LEADERS AT UMS INVESTMENT HOLDINGS SDN BHD (5 MARKS)

It’s not easy being a manager these days (Burch et. al. 2015:177). You’re responsible for
recruiting, hiring, training, coaching, modeling, engaging, monitoring, motivating, anticipating,
prioritizing, planning, evaluating, clarifying, adapting, envisioning, directing, disciplining,
reinforcing, reporting, recognizing, budgeting, and building alliances (Burch et. al. 2015:177). And
that’s all before lunch. And if you struggle with just one, your reports will say you’re over your
head (Burch et. al. 2015:177).

For some, a management role is the route to power, a means to intimidate critics and
indulge supporters (Camarinha et. al. 2015:604). Others view it as a ticket to the easy life, with
days spent combining spreadsheets and distributing communiqués. But talented workers rebel
against the former and ignore the latter (Camarinha et. al. 2015:604). They want to make big things
happen and advance their careers. They press and produce, disregard and defy, question and create.
These people want to work for leaders, not managers. And they ask the question that managers
fear most: Why? (Camarinha et. al. 2015:604).

As a leader, that’s the same question you should ask: “Why would anyone follow me?” It
takes courage to step up to lead (Cascio & Aguinis, 2015:128). But no one will follow if you’re
not leading for the right reasons. Talent seeks out other talent. And talented employees want
leaders who can open their worlds and make them better. So what kinds of leaders draw and
develop the best talent? Generally, they possess many of these qualities (Cascio & Aguinis,
2015:128):

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 Service Mentality: You hire people to make your job easier (Chandler, 2013:115). You
probably imagine how they’ll free you up to pursue those big picture projects. Sure, your
employees are here to serve you. But it runs both ways. To lead talented people, you must focus
on serving them (Chandler, 2013:115). Your job is to level obstacles, to clear a path free of
distractions (and excuses). You streamline processes, find resources, and keep the political
nonsense at bay. Bottom line: You figure out what holds them back and fix it. By putting their
interests’ front-and-center, you eventually make work easier on yourself too (Chandler, 2013:115).

Juice: Want to know the worst word ever associated with a leader? Gutless. Talent expects
their leaders to have clout (Chandler, 2016:115). No, I’m not talking about those sycophants who
go along to get along. They may be savvy and practice good politics, but ultimately no one respects
them. And courageous leadership certainly isn’t executing a plan. That takes vision, focus, and
stamina, but real courage – guts – means you confront issues, no matter how unpopular it makes
you (Chatman, 2014:333).

That means you don’t look the other way when your superiors adopt shady practices or
engage in conflicts-of-interest (Chatman, 2014:333). You stand up for what’s best for customers,
employees, and society, unafraid to put your job on the line. You manage up by championing the
important ideas and picking the right battles (Chatman, 2014:333). You’re deft when the stakes
are small and direct when they’re larger. And you’re oh so visible by staying out front. In business,
that gives you juice: The credibility that commands attention and compels others, top-to-bottom,
to take you seriously (Chatman, 2014:333).

Talented people are naturally rebellious (Chen, 2016:247). To them, popularity is nice;
influence is a means; acting honorably is the ideal; and getting things done is the point. And the
best people want to work for someone who shares that spirit – and has the juice to turn ideals into
business-as-usual (Chen, 2016:247).

Experience: Everyone has to start somewhere. But gifted people really care about where
they want to go (Chen, 2016:247). And they’ll choose you if they believe you can get them there.
They’ve done their homework. They know you were once a young striver like them. But you made

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it – and they want to see how it’s done. So take some time to help your people understand the
business (Chen, 2016:247). Expose them to every part of the operation to round off their skills.
Your best people want to climb. Like it or not, this job is temporary to them. Develop and groom
them. Give back and make it worth their while. They’ll only perform better if there’s something
bigger in it for them (Chen, 2016:247).

What’s more, plug them into your network. Help them find new connections and mentors
– and you’ll get better solutions faster. Fact is, you’re growing your “tree,” preparing your protégés
for greater responsibilities in other divisions (or the larger world). Alas, jobs and good fortune are
temporary. You may someday need your prized pupils for a reference (or a job). Pay it forward
now (Citrin & Ogden, 2013:31).

Personal Attention: You know the drill: Give the new hire a laptop and tell him to go
“make it happen.” And it often fails. To become a great leader, you must make your reports’
success into your personal mission (Citrin & Ogden, 2013:31). The best leaders are always out
talking to their people. They take the time to coach and train, knowing neglect only reinforces bad
habits, stagnation, and disengagement. They provide regular feedback on performance, knowing
the best people crave candidness and loathe sugarcoating. Most important, these leaders pay
attention (Citrin & Ogden, 2013:31). They care about their people and stay in touch on a personal
level, knowing their inner lives influence their success as much as any guidance. That’s how they
know when to push and when to pull back. Bottom line: The best leaders make their reports feel
valued – or inspire them do those things that’ll ultimately make them feel better (and make your
organization run better) (Citrin & Ogden, 2013:31).

Openness: Want to know what separates the great leaders from good ones? The great ones
are always learning – and so are their people (Citrin & Ogden, 2013:31). You can’t level off once
you get some authority. And that’s one area where true leaders excel. They’re constantly asking
questions, insatiably curious and never satisfied. They aren’t wary of people with different
backgrounds and greater expertise – They utilize their abilities. And they recognize that change
isn’t a threat, so they adapt to it (Even lead it). Most of all, they understand one of the oldest

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maxims of leadership: The fastest way to lose credibility is to lose touch with what’s happening –
and show no interest in catching up (Citrin & Ogden, 2013:31).

Talent is always looking for a way to say yes instead of no (Clark & Roberts, 2016:520).
So leaders listen. They aren’t afraid of bad news and criticism, even when it reflects poorly on
them. They’re open to constructive disagreement and debate, knowing it ultimately leads to
possible alternatives (Clark & Roberts, 2016:520). They don’t hold grudges or rub someone’s nose
in it when he’s wrong, focusing instead on what was learned and moving forward. In short, real
leaders absorb input and take action. Why does that matter? Even when they lose, talent knows
their voices were heard and the process was fair. And that keeps them thinking, inventing, and
coming forward (Clark & Roberts, 2016:520).

Space: You know this all too well: Talent doesn’t color inside the lines. And they quickly
tire of taking orders. That’s why top leaders give their people ownership (Cooper et. al. 2015:401).
They don’t stand over them. They get out of the way, turning them loose to explore, test, discover,
and interpret (Cooper et. al. 2015:401). Their role is to ask questions and guide their people
towards finding choices. In other words, they give their people space to figure out how to solve
issues themselves. That’s how people learn. And that’s how you can prepare your team for more
complex and ambiguous issues (Cooper et. al. 2015:401).

The best leaders operate from trust. They don’t constantly second guess. They understand
you can’t control every variable (Costa & McCrae, 2017:258). When mistakes happen, they back
their people up instead of sacrificing them. Through their belief and support, they give their most
effective people permission to do what they do best: Make things happen. In return, they get their
loyalty (Costa & McCrae, 2017:258).

Excellence: Great leaders don’t “demand” excellence (Costa & McCrae, 2017:258). That’s
already established by the example they set. Put yourself in an employee’s shoes. When you work
for a true leader, you know the bar is set high and big things are expected – every day. Your leader
is always asking, “Is this the best we can do?” She makes you set goals to keep you focused and

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out of ruts. She pushes continuous learning to keep you sharp. And she demands results, regardless
of precedents, politics, and predicaments (Costa & McCrae, 2017:258).

Sure, you resent the occasional excesses, but you also know that your leader holds everyone
accountable for sharing the load (Davidow & Malone, 2013:128). If she plays favorites, it’s strictly
on the basis of performance. Most of all, she recognizes limits. She understands that you probably
can’t do what she could in her prime (Davidow & Malone, 2013:128). But she also knows that it’s
her job to nudge you to that level. That’s why her team – your team – outperforms everyone else.
And that’s what it takes for you to do the same year-after-year (Davidow & Malone, 2013:128).

Bring Out the Best: Every morning, the best leaders commute to work asking this
question: “How am I making my people better?” How can you do that? You start by not
pigeonholing your people. When you look at an employee, don’t focus on what he can’t do or what
others say about him. Look at he can do – and what he could do. Most times, they’re capabilities
that he didn’t realize he had (Deutschman, 2014:54). You see, the best leaders don’t just hire
people for today. They also weigh their potential. They keep their eyes open for personal interests,
since that’s where their people will ultimately find their underlying abilities. Knowing that, leaders
seek opportunities to help their talent build confidence (Deutschman, 2014:54). Even when their
people fall short, they know it takes time, trial, and error before they finally flourish. In short,
superior leaders see what others can’t because they look for it. And they push their people to a
level they couldn’t envision on their own. And they reap the rewards as a result (Deutschman,
2014:54).

Passion: Talented people want to be part of something bigger (Doherty, 2013:15). They
dream of saying, “That’s me. I helped create that.” But they know such big moments are rare.
Well, great leaders recognize those moments and capitalize on them. You see, you can’t rev up
talent with a rah-rah speech, no matter how much conviction you have (Doherty, 2013:15). Your
people are adults working in the big leagues. They want to know that they’re part of a greater
purpose, with leaders who have a vision and a plan for making it a reality. They want to feel
essential, to see their ideas and sweat produce something significant. Most important, they want to
share in the benefits (and receive some credit). People come-and-go in business, including you.

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That’s why you must focus on building loyalty to a mission that ultimately outlasts you (Doherty,
2013:15).

Of course, buy-in – and the passion it produces – requires more than talent knowing where
the organization is going and why (Galbraith, 2017:343). It also stems fom the day-to-day. People
can only pump themselves up so much. That’s why leadership requires you to bring a contagious
enthusiasm. Talent is always looking for positives and progress. And they want to laugh and have
fun in the process (Galbraith, 2017:343). But a purpose only brings people together for so long.
As a leader, your job is to be the person who reminds everyone why they still work here; why their
work is still relevant; and what they (and the larger world) will gain from their continued
affiliation. That entails more than delivering a few carefully-calibrated phrases. It means
reinforcing your message, with every interaction, in both word and deed. That’s commitment.
That’s passion. That’s leadership (Galbraith, 2017:343).

Fairness: Ever notice how most ‘boss’ humor involves double standards? From Dilbert to
Meeting Boy, we hold leaders to standards that we ourselves cannot meet. Leaders and followers
are hypocrites alike (Galbraith, 2014:343). That’s the human condition, and it’s comical and tragic.
But true leaders – the ones who inspire loyalty, trust, and excellence – work to hold themselves
responsible to the same rules as those they lead (Galbraith, 2014:343). They don’t lead from on
high or from behind: They lead by example. And they view their people as equals – and don’t mind
getting their hands dirty with them (Galbraith, 2014:343).

Yes, leaders have rules. But they can accept deviations and mistakes, provided they stem
from the right intentions (Gardner & Schermerhorn, 2014:270). They focus on their own behavior
before judging others. And they weigh what’s important and what’s not. That’s how they know
what’s truly fair. And that’s how their people know they’re being treated fairly too (Gardner &
Schermerhorn, 2014:270).

Consistency: You never have to wonder with good leaders. You know what to expect.
They’re reliable and responsive (Gardner & Schermerhorn, 2014:270). They deliver on what they
promise. In adversity, they remain composed and focused, so others control their emotions. They

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don’t point fingers; they gather facts and take action. Bottom Line: They understand that everyone
takes their cues from them. And they act in the same way they want their people to react (Gardner
& Schermerhorn, 2014:270).

You’ll hear experts claim talent, culture, and strategy makes-or-breaks companies. That’s
true in the macro sense. In the micro world, success is all about relationships (Greenberg,
2013:111). That starts with trust. And trust is grounded in consistency and character. The best
leaders are genuine. You always know where you stand with them. They don’t carry hidden
agendas or say one thing to you and something else to another (Greenberg, 2013:111). They boil
decisions down to what’s in the best interests of employees and customers, not what’s easiest or
most profitable. And they make themselves approachable and available. They recognize that
keeping doors open and confidences private supplies them with a resource most leaders sorely
lack: Reliable information (Greenberg, 2013:111).

Recruiting: Talent is drawn to other talent (Hage, 2016:289). And the ability to attract the
best people is one way leaders measure themselves. Great leaders are constantly looking for new
talent who fit with what they need now…and where they want to go. These days, anyone can
attract good people from failing competitors and disrupted industries (Hage, 2016:289). Question
is, can these leaders keep that talent productive and happy? Have they fostered a culture where
talent is developed and valued – or does their pitch belie a sweatshop mentality where people are
used up like commodities? Either way, you’ll have turnover. But would you rather be a manager
who squeezes people into roles or a leader who grooms talent to become bigger than their roles?
Believe it: Word gets out. And when you get results and help people get where they want to go, a
funny thing happens. Talent goes on the lookout for you! (Hage, 2016:289).

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6.0 PART 2 (E) REPLICATE FIGURE BY FILLING IN THE INFORMATION
OBTAINED FROM THE FIVE LEADERS ABOVE (10 MARKS)

Leader 1 (Corporate Service, Legal & Governance Department):

PERCENTAGE AGREE
My organization empowers people at all levels. 60%
In my organization, power is concentrated in the hands of a few
select individuals. 57%
My organization rewards leaders for empowering their people. 55%
My organization teaches leaders how to leverage their full power. 51%
Power is misused by top leaders in my organization. 25%

Leader 2 (Corporate Finance Department):

PERCENTAGE AGREE
My organization empowers people at all levels. 48%
In my organization, power is concentrated in the hands of a few
select individuals. 69%
My organization rewards leaders for empowering their people. 35%
My organization teaches leaders how to leverage their full power. 29%
Power is misused by top leaders in my organization. 30%

Leader 3 (Business Development & Commercialization Department):

PERCENTAGE AGREE
My organization empowers people at all levels. 66%
In my organization, power is concentrated in the hands of a few
select individuals. 43%
My organization rewards leaders for empowering their people. 31%
My organization teaches leaders how to leverage their full power. 27%
Power is misused by top leaders in my organization. 33%

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Leader 4 (Special Project Development Department):
PERCENTAGE AGREE
My organization empowers people at all levels. 56%
In my organization, power is concentrated in the hands of a few
select individuals. 71%
My organization rewards leaders for empowering their people. 83%
My organization teaches leaders how to leverage their full power. 25%
Power is misused by top leaders in my organization. 47%

Leader 5 (Centre for Professional Development Department):

PERCENTAGE AGREE
My organization empowers people at all levels. 88%
In my organization, power is concentrated in the hands of a few
select individuals. 75%
My organization rewards leaders for empowering their people. 55%
My organization teaches leaders how to leverage their full power. 45%
Power is misused by top leaders in my organization. 28%

7.0 PART 3 (A) RECOMMENDATIONS TO UMS INVESTMENT HOLDINGS SDN

BHD (10 MARKS)

The true task of leadership involves the ability to make change happen (Greer & Virick,
2017:351). Although multitudes of research has been done on what makes an effective leader,
there appears to be no guaranteed consensus. Essentially outstanding leaders become a fine balance
between traits, abilities, behaviors, sources of power, and aspects of the situation. These become
the determining factors of the ability to influence followers and accomplish group objectives
(Greer & Virick, 2017:351).

Therefore, any member of any group, at any one time, may assume a leadership role, given
any degree of innate traits and the circumstances surrounding the event (Greiner & Metes,

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2015:350). Different people who can effectively influence what the group does, how it is done and
the method by which the group relates to one another could carry out various leadership functions.
The most effective measure of a leader and his/her competency is the extent to which the group
attains its goals (Greiner & Metes, 2015:350).

It is easy to see why Stephan Covey, author of The 7 Habits of Highly Effective People,
said “Begin with the end in mind." Formulate an idea and then work through the details so as to
commit every thought, feeling, and emotion knowing that you can portray it with confidence and
honesty (Greiner & Metes, 2015:350). It incorporates attitudes, values and a mindset that can
facilitate commitment and transformation (Greiner & Metes, 2015:350).

Leadership begins by developing a vision, a desire or picture of how an organization will

look in the future (Groves, 2017:239). Often it represents an idea or dream of what might be or
could be. It's the classic "If only…" statement. A leader is capable of taking this "if only…" and
bringing it to life. In reality, a vision denotes the "what" and the leader represents the "how" or the
elements of what needs to be done to achieve the vision (Groves, 2017:239).

Effective leadership begins with the fundamental ability to believe in yourself (Hall &
Tolbert, 2013:123). It incorporates a maturity, conviction, and expertise that translates into a
purpose and direction. It is this clarity of vision that gives great leaders the confidence to adopt the
role of instilling motivation, self-esteem, and teamwork. As visionaries, they are disciplined
thinkers and confidently trust their intuition (Hall & Tolbert, 2013:123).

Leaders understand fully their environment and can transform situations to attain an
established vision (Hempel & Brady, 2016:47). Leaders can combine change with growth, take
prudent risks, and demonstrate considerable problem solving abilities. They believe in people, are
sensitive to other's needs and appreciate a person's core values. They will actively remake a
challenge to yield productive outcomes by creating an organization that develops and fosters
success (Hempel & Brady, 2016:47).

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 Although often debated, leadership traits can be learned skills that with encouragement and
reinforcement can produce outstanding individuals (Jolink & Daankbar, 2013:1436). To
understand the behavior and traits of a leader, one needs to look at their innate characteristics.
Most significant are energy level, physical stamina and stress tolerance (Jolink & Daankbar,
2013:1436). High energy and stress tolerance help to deal with the fast pace and often chaotic
events of today's business (Jolink & Daankbar, 2013:1436).

Leadership brings unrelenting demands that require physical vitality and a high degree of
emotional resilience (Kirkman et. al. 2014:175). Second, it requires the ability to problem solve
and draw out those to creatively resolve issues along the way. One needs to be flexible with ideas
and open to a variety of solutions and viewpoints (Kirkman et. al. 2014:175). The key is to "see
the forest through the trees" and have the ability to effectively meander through a variety of
circumstances and obstacles, but to keep focused on the vision (Kirkman et. al. 2014:175).

As Warren Benis has stated “lack of a clear vision is a major reason for the declining
effectiveness of a leader.” No matter what the situation, leaders need to be able to communicate
their ideas clearly and commit themselves to the outcome (Kluemper & Rosen, 2017:567). A
leader must be able to transform his vision to a more inclusive position by gaining the trust and
commitment of those needed to fulfill his objective (Kluemper & Rosen, 2017:567). Once
formulated, the vision represents a direction and must be reinforced by consistent and reliable
actions of the leader. Gaining commitment of those individuals, who will participate in the process
of changing and growing an organization, requires that they must be emboldened by the task. If
the leader is unable to get the commitment of others and can only achieve compliance, the ability
to achieve success greatly diminishes (Kluemper & Rosen, 2017:567).

Leaders also need the confidence to build self-esteem in others and still maintain a strong
degree of integrity in themselves (Kristof, 2016:49). With this comes the ability to influence an
organization up, laterally and below as well as internally and externally. One must be able to gain
the approval of everyone involved to make an idea reality (Kristof, 2016:49). The ability to develop
cooperative relations, to be a team player and to create an atmosphere that supports a high degree
of collegiality, marks the true leader (Kristof, 2016:49).

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 Leadership is further challenged by the ability to motivate others, often over a long period
of time, and guide others effectively (Kristof et. al. 2015:281). Peter Drucker stated, “Management
is doing things right; leadership is doing the right things.” The “right” in management terms comes
from the interaction with others (Kristof et. al. 2015:281). Leadership is never an individual’s
directing, it’s a cooperative effort fostered by listening, gathering a variety of opinions, considering
effective strategies and effectively generating a clear vision (Kristof et. al. 2015:281).

The literal definition of leadership is “the behavior of an individual when he is directing

the activities of a group with a focus on a shared goal.” It is the “process of influencing" the
activities of an organized group toward goal achievement, as well as, the process of giving
meaningful direction to collective efforts and achieving your objective (Kuprenas, 2013:62).
Although there are thousands of documented definitions of what leadership is, it essentially always
incorporates the ability to influence individuals with the objective of achieving an intended goal
(Kuprenas, 2013:62).

A leader needs to achieve tough, demanding goals that he set himself in addition to those
set by an organization, and focus on surpassing both objectives (Chivée & Cowan, 2017:46). As
important as flexibility contributes to this equation of leadership, it is important to sustain an
entrepreneurial spirit. When commitment is reached by leadership, it means that individuals agree
with the idea and will make the greatest effort to execute effectively (Chivée & Cowan, 2017:46).

The process of mobilizing commitment must be generated early and with a clear
understanding that involvement is critical to success (Levary & Mathieu, 2014:27). This dedication
is coupled closely with trust, a vital link to achievement within the organization. Trust is indirectly
proportional to risk. To increase trust, leaders must decrease risk. Leadership depends on
minimizing risk to ensure that the trust factor is solid (Levary & Mathieu, 2014:27).

As a leader, the ability to maintain high levels of trust comes through consistent actions,
honesty, expertise, confidence and clarity (Lipnack & Stamps, 2017:511). Probably most
significant is the dedication to values that are exhibited by the leader's own behavior and the
method by which one reinforces behaviors in others (Lipnack & Stamps, 2017:511). Undoubtedly,

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successful leaders are intelligent enough to understand the needs of others, know the necessity of
commitment, be energetic, possess the courage of conviction, and have an innate integrity
(Lipnack & Stamps, 2017:511).

What can be expected of others is nothing less than what can be expected of yourself
(Lunenberg & Ornstein, 2013:816). Although leadership has many definitions and varied criteria
for success, it is defined by the assumption that it is an influence process that in many cases is
situational (Lunenberg & Ornstein, 2013:816). The success of a leader depends on his/her ability
to achieve a goal through the actions of those involved. It takes the commitment of others in the
organization to implement a leader's vision and goals (Lunenberg & Ornstein, 2013:816).

Society and organizations must have effective leadership in order to successfully achieve
their objectives (Luthans, 2014:57). But primarily because it is vital for growth and the overall
well-being of our society. We must also remember that leadership needs to be constantly
developed, reinforced and be able to effectively foster commitment within an organization
(Luthans, 2014:57).

REFERENCES

Arthur, W., Day, E. A., McNelly, T. L., & Edens, P. S. (2013). A meta-analysis of the criterion
related validity of leadership assessment center dimensions. Personnel Psychology, 56,
125-153.

Avolio, B. J., Gardner, W. L., Walumbwa, F. O., Luthans, F., & May, D. R. (2014). Unlocking the
mask: A look at the process by which authentic leaders’ impact follower attitudes and
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