Leadership_Styles_of_Sir_Richard_Branson

Introduction Richard Branson is a flamboyant British entrepreneur with a seemingly insatiable appetite for starting new businesses. His internationally recognized brand "Virgin" is splashed across everything from credit cards, to airlines and music "megastores". Branson is continuously seeking new business opportunities and loves a good challenge, especially when he enters a market that is dominated by a few major players. Richard Branson was born on July 18, 1950. His entrepreneurial ways began early when he was publishing a student magazine at just 16 years. Branson did not go on to graduate school but in 1970 the now famous Virgin brand had its beginnings in the form of a discount records mail order venture that he and his friend Nik Powell worked on. Branson was awarded a Knighthood in 1999 and became Sir Richard Branson for his contribution to entrepreneurship. Branson is married with two children and currently lives in London. Branson is passionate about life and living every minute to its fullest. 1 Approaches to leadership Approaches to leadership Traditional Leadership Approaches Modern Approaches Charismatic Leadership Transactional Leadership Trait Theory Behavioral Theory Contingency Theory Transformational Leadership Authentic Leadership Lateral Leadership Servant Leadership The Fielder contingency model Hersey and Blanchard’s situational leadership theory Path-Goal Theory Big five personality framework Ohio state studies University of Michigan studies Blake and Mouton’s leadership grid Substitutes for Leadership 2 1. Traditional Approach A. Traits Theory Self-confidence He is confident in his mindset. He never let his mind down. In his career he experienced failures. He had lot of criticisms. But he fought back .He was resilient. eg.risk taking ability Knowledge of the business Richard Branson has a high degree of knowledge about the company, industry, technical matters. And he shares this knowledge through publishing book, conducting seminars etc.. eg.Reach for the skies. Passion “LOVING WHAT YOU DO”. He finds joy and passion in what he does. His passion has encouraged him to span his business all over the world, while his thirst for brand domination and sense of adventure has diversified his businesses for so many areas. Honesty and integrity Branson writes freely about the mistakes he has made, and in his opinion, it is one of the hardest things to do for any human being. However, virtually everyone makes mistakes. Determination From a tender 19 year old guy, to start up his entrepreneurial venture, he made everyone surprised by his courage and determination. 3 B. Behavioral Theory - Blake and Mouton’s leadership grid He exhibits the country club style leadership style as he has a high concern towards his employees and little attention is paid to achieving results. He has created a fun working atmosphere where all people enjoy being a part rather than simply come to office for work to earn a pay check. He even invites junior crew to his home for parties. He encourages staff to write him with any ideas or suggestions. Either way the employees get a chance to be heard. 4 C. Situational Theory - Hersey & Blanchard’s situational leadership theory The Hersey Blanchard situational leadership model indicates Branson being flexible in considering how he should lead based on the tasks nature. In seeking new business opportunities, he usually adopts the directive behavior, knowing the required tasks and how to perform them. He sets the direction, explain decisions and provide opportunity for clarification. Participation is allowed for employees to share ideas and facilitate in decision making. Upon success of a business venture, Branson places trusts in his staff and their capability to do work and empowers them with full autonomy. 5 2. Modern Approach A. Charismatic Leadership Richard Branson is one of a Charismatic leader. Because, he has ability to overcome difficulties, discover new business opportunities across diverse industries and preference to be unconventional and a flair for controversy. These are the key behavioral factors of Richard Branson as a charismatic leader.  Vision and Articulation Branson Motto is „‟ screw it let‟s do it‟‟ that means whatever it is you want to achieve in life, just do it. It doesn‟t matter what it is, OR how hard it might seem, “The beginning is the most important part of any work‟‟ there will be many challenges you might get knocked back but in the end, you will make it good luck according to this motto Branson sets the direction for his business, and deeply explain the decisions to their followers and provide opportunity for clarification. Further Branson prefers informal communication at all levels.  Personal Risk Branson is willing to take high business risk as well as personal risk. In the case of business risk Branson enters into the diversified business that is totally unrelated to other business such as virgin radio, virgin Atlantic, virgin galactic, virgin brides, virgin cola virgin train, health care and virgin mobile and it creates more challenge to him however he sees everything as an opportunity to strengthen his resolve, expertise and grow his global virgin empire. In the case of personal risk He appears to relish danger and challenge as evidenced by regular attempts to fly around the world in a balloon, yacht racing, fishing trips during hurricanes etc. through this he succeed some career success too. Sensitivity to follower needs Branson has shown sensitivity to the needs of others. He is known for his equal treatment of employees. Employees call him by his first name and he encourages employees to call him at home if they have any bright ideas or complaints. He also managed to avoid redundancies during the recession in the airline business brought on by the Gulf War in 1990s. He has been willing to cut back on profit to prevent layoffs. Unconventional behavior Branson has several unconventional behaviors that will differentiate from other leaders. Branson is an expert at presenting his products and ideas in multiple and innovative way for an example, Branson wore a wedding dress to promote his Virgin Brides company. He is a risk lover. He hunts for new opportunities. And takes everything easy and mix fun with work.   6 B. Transformational Leadership Transformational leaders are often equated with those who can adapt quickly to change. Branson clearly showed his flexibility and success in adapting to changing organizational cultures as he bought new businesses and moved into new diversified sectors, bringing his people with him. E.g. He has been able to successfully diversify his business in to a variety of businesses such as music, soft drinks, air lines, healthcare, mobile phones which are unrelated. C. Authentic Leadership Richard Branson‟s leadership is often compared to authentic leadership. He is responsive to people‟s needs and values. He is transparent, morally grounded and eager to receive Comments from others. He involves others in his work and often consults others. He builds relationships. As an authentic leader Richard Branson have some key characteristics.  He learnt from his life story. For an example, at age six, his mother put him out of the car and told him to try to find his own way to his grandmothers. In his book, “Screw it, let‟s do it” Richard states he believes these lessons built character as well as endurance, and leadership qualities. He empowered people to lead. Branson has developed a level of trust with his top managers by setting the direction and then stepping back to let them navigate. “I come up with the original idea, spend the first three months immersed in the business so I know the ins and outs and then give chief executives a stake in the company and ask them to run it as if it‟s their own….” He integrated his life by staying grounded. Branson is a CEO who achieves work life balance which is rare. He is devoted to his family. Eg; He spends two months in the summer with his family on Virgin Islands. By combining travel, sports, family, and business, often simultaneously Branson maintains a conglomeration of businesses and a healthy relationship with his family   Conclusion    Richard branson has proven himself as a great leader by being a world famous entrepreneur who has many successful diversified business all around the globe His characteristics as a leader can be apply to many different leadership models in both traditional and modern approach. No leader is perfect but Richard branson said that he learn something new from each of his mistakes. 7 Reference http://www.scribd.com http://www.slideshare.com Richard Brandson, “Screw it, let‟s do it (lesson in life)” www.virgin.com Richard Brandson, „‟Losing his virginity” 8 9