Ebook Management & organisational behaviour (9th edition) – Part 1 include of the following content: Chapter 1 The nature of organisational behaviour; chapter 2 approaches to organisation and management; chapter 3 the nature and context of organisations; chapter 4 individual differences and diversity; chapter 5 the nature of learning; chapter 6 perception and communication; chapter 7 work motivation and job satisfaction; chapter 8 the nature of work groups and teams; chapter 9 working in groups and teams; chapter 10 the nature of leadership.
NINTH EDITION The essential introduction to management and organisational behaviour – over half a million students worldwide have used Management & Organisational Behaviour to help them learn Written in an engaging style and packed with contemporary references to management research and practice, this book continues to be the Organisational Behaviour text of choice This ninth edition brings a wide range of brand new and intriguing examples and case studies on issues and organisations that are engaging, relevant and contemporary It also provides the latest research and new coverage of hot topics such as corporate responsibility and ethics, diversity, and organisational learning This book will enable you to: • Think critically about topical issues and debates • Develop your personal and professional skills for work and study • Reinforce and assess your knowledge and understanding • Succeed in your project work, research and exams INSTANT ACCESS TO INTERACTIVE LEARNING www.pearsoned.co.uk/mymanagementlab MyManagementLab from Pearson Education is an innovative and interactive online learning environment that combines assessment, reporting and personalised study to help you succeed You’ll benefit from a customised learning experience where you can generate a personal study plan, listen to audio summaries of the chapters of this textbook, revise using flashcards and short answer questions and watch online video case studies of management in practice in real organisations Log-in using the access card included with this textbook MANAGEMENT & ORGANISATIONAL BEHAVIOUR LAURIE J MULLINS MANAGEMENT & ORGANISATIONAL BEHAVIOUR LAURIE J MULLINS LAURIE J MULLINS MANAGEMENT & ORGANISATIONAL BEHAVIOUR NINTH EDITION NINTH EDITION ACCESS CODE INSIDE unlock valuable online learning resources Front cover image: © Getty Images CVR_MULL4087_09_SE_CVR.indd www.pearson-books.com 3/3/10 11:36:22 MANAGEMENT & ORGANISATIONAL BEHAVIOUR INSTANT ACCESS TO INTERACTIVE LEARNING With your purchase of a new copy of this textbook, you received a Student Access Kit to MyManagementLab for Management & Organisational Behaviour, Ninth Edition, by Laurie J Mullins MyManagementLab gives you access to an unrivalled suite of online resources It provides a variety of tools to enable you to assess and progress your own learning, including questions, tests and learning aids for each chapter of the book You will benefit from a personalised learning experience, where you can: • Complete a diagnostic ‘pre-test’ to generate your own Study Plan, which adapts to your strengths and weaknesses and enables you to focus on the topics where your knowledge is weaker • Improve your understanding through a variety of practice activities that match the chapters of Management & Organisational Behaviour • Measure your progress with a follow-up ‘post-test’ that ensures you have mastered key learning objectives – and gives you the confidence to move on to the next chapter • • Study on the go and refer to pages from an e-book version of this text • • Revise by listening to audio summaries of the key concepts in each chapter Watch and learn from a wealth of video clips and case studies and analyse how top managers at a wide range of organisations talk about real life situations that relate to management and organisational behaviour Check your understanding using a comprehensive glossary of key terms, with flashcards to check your knowledge See the Guided Tour of MyManagementLab on page xxv for more details To activate your pre-paid subscription go to www.pearsoned.co.uk/mymanagementlab Follow the instructions on-screen to register as a new user and see your grades improve! About the author Laurie Mullins was formerly principal lecturer at the University of Portsmouth Business School Laurie specialised in managerial and organisational behaviour, and managing people at work, and was subject leader for the behavioural and human resource management group Laurie has experience of business, local government and university administration and human resource management For a number of years he was also a member of, and an instructor in, the Territorial Army He has undertaken a range of consultancy work including with the United Nations Association International Service (UNAIS); served as a visiting selector for Voluntary Service Overseas ( VSO); acted as adviser and tutor for a number of professional and educational bodies including UNISON Education; and served as an external examiner for university degree and postgraduate courses, and for professional organisations Laurie has undertaken a year’s academic exchange in the Management Department, University of Wisconsin, USA and a visiting fellowship at the School of Management, Royal Melbourne Institute of Technology University, Australia, and is a visiting lecturer in the Netherlands Laurie is also author of Hospitality Management and Organisational Behaviour and Essentials of Organisational Behaviour, both published by Pearson Education MANAGEMENT & ORGANISATIONAL BEHAVIOUR NINTH EDITION LAURIE J MULLINS With Gill Christy Principal Lecturer in the Department of Human Resource and Marketing Management at the University of Portsmouth Business School Pearson Education Limited Edinburgh Gate Harlow Essex CM20 2JE England and Associated Companies throughout the world Visit us on the World Wide Web at: www.pearsoned.co.uk First published in 1985 in Great Britain under the Pitman imprint Fifth edition published in 1999 by Financial Times Pitman Publishing Seventh edition 2005 Eighth edition 2007 Ninth edition 2010 © Laurie J Mullins 1985, 1989, 1993, 1996, 1999, 2002, 2005, 2007, 2010 Chapters 4, © Linda Carter and Laurie J Mullins 1993, 1996, 1999, 2002, 2005, 2007 Chapter © Linda Carter 1993, 1996, 1999, 2002, 2005, 2007 Chapter 16 © Peter Scott 2010 Chapter 17 © David Preece 1999, 2002, 2005, 2007 The right of Laurie J Mullins to be identified as author of this work has been asserted by him in accordance with the Copyright, Designs and Patents Act 1988 All rights reserved No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without either the prior written permission of the publisher or a licence permitting restricted copying in the United Kingdom issued by the Copyright Licensing Agency Ltd, Saffron House, 6–10 Kirby Street, London, EC1N 8TS All trademarks used herein are the property of their respective owners The use of any trademark in this text does not vest in the author or publisher any trademark ownership rights in such trademarks, nor does the use of such trademarks imply any affiliation with or endorsement of this book by such owners Pearson Education is not responsible for content of third party internet sites ISBN: 978-0-273-72408-7 British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloging-in-Publication Data A catalog record for this book is available from the Library of Congress 10 14 13 12 11 10 Typeset in 9.5/12 pt Giovanni by 35 Printed and bound by Rotolito Lombarda, Italy The publisher’s policy is to use paper manufactured from sustainable forests To my wife Pamela and for Nathan CONTENTS IN BRIEF Contents in detail Management in the news and case studies About this book Guided tour of the book Guided tour of MyManagementLab In acknowledgement and appreciation Publisher’s acknowledgements Part THE ORGANISATIONAL SETTING Chapter Chapter Chapter The Nature of Organisational Behaviour Approaches to Organisation and Management The Nature and Context of Organisations ix xv xix xxii xxv xxvii xxviii 41 77 Part THE INDIVIDUAL 127 Chapter Chapter Chapter Chapter 128 171 208 252 Individual Differences and Diversity The Nature of Learning Perception and Communication Work Motivation and Job Satisfaction Part GROUPS, TEAMS AND LEADERSHIP 305 Chapter The Nature of Work Groups and Teams Chapter Working in Groups and Teams Chapter 10 The Nature of Leadership 306 341 372 Part THE NATURE OF MANAGEMENT 423 Chapter 11 The Role of the Manager Chapter 12 Managerial Behaviour and Effectiveness Chapter 13 Human Resource Management 424 456 493 Part STRUCTURES OF ORGANISATION 541 Chapter 14 Organisation Strategy and Structure Chapter 15 Patterns of Structure and Work Organisation Chapter 16 Technology and Organisations 542 585 621 Part ORGANISATION MANAGEMENT 663 Chapter Chapter Chapter Chapter 664 704 736 775 17 18 19 20 Conclusion Glossary Index Organisational Control and Power Corporate Responsibility and Ethics Organisation Culture and Change Organisational Performance and Effectiveness 819 822 835 vii Management & Organisational Behaviour, Ninth Edition SUPPORTING RESOURCES MyManagementLab for students and instructors INSTANT ACCESS TO INTERACTIVE LEARNING www.pearsoned.co.uk/mymanagementlab Every new copy of this textbook comes with an access kit for MyManagementLab, giving access to an unrivalled suite of online resources that relate directly to the content of Management & Organisational Behaviour, Ninth Edition Within a flexible course management platform, instructors can: • Assess student progress through homework quizzes and tests that are easily set using the extensive pre-prepared question bank • Assign short answer, discussion and essay questions from each chapter for student homework or tutorial preparation • • Track student activity and performance using detailed reporting capabilities Communicate with students and teaching staff using e-mail and announcement tools Students will benefit from a personalised learning experience, where they can: • Complete a diagnostic ‘pre-test’ to generate a personal self-study plan that enables them to focus on the topics where their knowledge is weaker • Improve their understanding through a variety of practice activities including: revision flashcards, e-book reading assignments, short answer questions, audio downloads and video cases • Measure their progress with a follow-up ‘post-test’ that ensures they have mastered key learning objectives – and gives them the confidence to move on to the next chapter A dedicated team is available to give you all the assistance you need to get online and make the most of MyManagementLab Contact your sales representative for further details Additional instructor resources • Complete, downloadable Instructor’s Manual, which includes teaching tips, examples and solutions to discussion questions and other exercises within the text • • Customisable testbank of question material Downloadable PowerPoint slides of section summaries and figures in the book These lecturer resources can be downloaded from the lecturer website at www.pearsoned.co.uk/mullins Click on the cover of Management & Organisational Behaviour, Ninth Edition, and select lecturer resources Any content that includes answers will be password protected CONTENTS IN DETAIL Management in the news and case studies About this book Guided tour of the book Guided tour of MyManagementLab In acknowledgement and appreciation Publisher’s acknowledgements xv xix xxii xxv xxvii xxviii Part THE ORGANISATIONAL SETTING The Nature of Organisational Behaviour The meaning of organisational behaviour The study of organisational behaviour A framework of study Influences on behaviour A multidisciplinary approach Organisational metaphors Orientations to work and the work ethic Management as an integrating activity The psychological contract Organisational practices The Peter Principle Parkinson’s Law The changing world of work organisations Globalisation and the international context A cross-cultural approach to management Is organisational behaviour culture-bound? Five dimensions of culture: the contribution of Hofstede Cultural diversity: the contribution of Trompenaars Emerging frameworks for understanding culture Convergence or culture-specific organisational behaviour The importance of organisational behaviour Synopsis Review and discussion questions Management in the news: A melting pot for forging success Assignments and Personal awareness and skills exercise Case study: Virgin Atlantic and Ryanair Notes and references Approaches to Organisation and Management Theory of management Developments in management and organisational behaviour 3 10 12 14 18 18 19 20 22 24 26 27 28 31 31 32 32 33 34 35 35 36 39 41 42 42 The classical approach Scientific management Relevance of scientific management Bureaucracy Criticisms of bureaucracy Evaluation of bureaucracy Structuralism The human relations approach Evaluation of the human relations approach Neo-human relations The systems approach The contingency approach Other approaches to the study of organisations The decision-making approach Social action A number of approaches Postmodernism Relevance to management and organisational behaviour Towards a scientific value approach? Benefits to the manager Synopsis Review and discussion questions Management in the news: The story of the middleman Assignment Personal awareness and skills exercise Case study: Dell Computers: the world at your fingertips Notes and references 43 45 47 49 50 51 53 53 55 56 57 59 59 59 61 62 64 65 67 67 68 69 70 71 72 72 74 The Nature and Context of Organisations 77 Perspectives of the organisation The formal organisation Basic components of an organisation Private and public sector organisations Social enterprise organisations Production and service organisations Types of authority and organisations The classification of organisations The organisation as an open system Interactions with the environment The comparative study of organisations The analysis of work organisations Contingency models of organisation The informal organisation Organisational conflict 78 79 80 82 83 84 86 86 88 90 92 92 94 94 96 ix PART GROUPS, TEAMS AND LEADERSHIP Management in the news – continued Leaders have to be resilient At the moment the bad news is coming not in single spies, but in battalions Tough trading conditions test character as much as business acumen Your physical and emotional response to these challenges is just as important as the decisions you actually take, because employees are more sensitive to mood than leaders often realise And moods are contagious Research carried out at New York University and the University of Michigan found that in 70 different teams, people working together in meetings ended up sharing moods – whether good or bad – within two hours And bad moods spread faster than good ones In their 2001 Harvard Business Review article ‘Primal Leadership’, Daniel Goleman, Richard Boyatzis and Annie McKie argued that one of the key duties of leadership is to manage your emotions with care ‘Moods that start at the top tend to move the fastest because everyone watches the boss,’ they wrote ‘They take their emotional cues from him Even when the boss isn’t highly visible his attitude affects the mood of his direct reports, and a domino effect ripples throughout the company.’ Leaders risk reverting to earlier, less skilful versions of themselves under pressure They can slip into a default mode of frantic busyness, which to colleagues may look a lot like panic They can find themselves instinctively adopting a crude command and control management style, even though they know this might not be the best way to deal with an intelligent, questioning (but anxious) workforce Instead leaders should be trying to create a greater sense of safety There are four things they can to achieve this ■ First, they must take prompt and considered action in the face of any crisis ■ Second, leaders need to communicate honestly and consistently ■ Third, leaders have to make an emotional connection with the workforce This is not a time to be remote or aloof That will only add to the sense of uncertainty ■ Lastly, leaders need to inspire A ‘call to arms’ can work if it follows on from the sort of confidenceboosting measures described above But it will fall flat if the leader has failed to make a strong connection with his colleagues, and they are too fearful to be able to buy into it So yes, the way leaders behave matters Temperament and character can help stop a bad situation from getting worse But markets are tough, and recovery seems a long way off Mr Stadler is going to need all his optimism Source: Stern, S ‘Managing the Mood Is Crucial’, Financial Times, 23 March 2009 Copyright © 2009 The Financial Times Limited, reproduced with permission Discussion questions What does this article tell us about the qualities or traits needed to be a good leader? Analyse the article using Hersey and Blanchard’s situational leadership model Which of the four ‘situations’ is described? What skills would you add to those suggested in the article to enable managers to lead effectively in these circumstances? ASSIGNMENT a Think of: (i) one of the ‘best’ leaders, and (ii) one of the ‘worst’ leaders that you have experienced, preferably in a work situation b Identify and list those specific qualities, or lack of them, which were characteristic of each leader Where possible, draw up your list under three broad headings of: (i) personal attributes – for example, appearance, mannerisms, intelligence; (ii) social relationships – for example, approachability, understanding, interests; (iii) task performance – for example, knowledge, empowerment, discipline c Give a brief description of an actual situation that illustrates the behaviour/actions of each leader and the results of such behaviour/action Keep your answer balanced Try to be as objective as possible and avoid personal bias d Draw up your own list, with brief supporting descriptions, of the main characteristics you would expect to be exhibited by a successful leader Be prepared to justify your lists and descriptions in class discussion 408 CHAPTER 10 THE NATURE OF LEADERSHIP ASSIGNMENT Your leadership style For each of the following ten pairs of statements, divide five points between the two according to your beliefs, perceptions of yourself, or according to which of the two statements characterises you better The five points may be divided between the A and B statements in any way you wish with the constraint that only whole positive integers may be used (i.e you may not split the points equally between the two) Weigh your choices between the two according to the one that better characterises you or your beliefs A As leader I have a primary mission of maintaining stability B As leader I have a primary mission of change –––––––––– –––––––––– A As leader I must cause events B As leader I must facilitate events –––––––––– –––––––––– A I am concerned that my followers are rewarded equitably for their work B I am concerned about what my followers want in life –––––––––– –––––––––– A My preference is to think long-range: What might be B My preference is to think short-range: What is realistic –––––––––– –––––––––– A As leader I spend considerable energy in managing separate but related goals B As leader I spend considerable energy in arousing hopes, expectations, and aspiration among my followers –––––––––– –––––––––– A While not in a formal classroom sense, I believe that a significant part of my leadership is that of a teacher B I believe that a significant part of my leadership is that of a facilitator –––––––––– –––––––––– A As leader I must engage with followers at an equal level of morality B As leader I must represent a higher morality –––––––––– –––––––––– A I enjoy stimulating followers to want to more B I enjoy rewarding followers for a job well done –––––––––– –––––––––– A Leadership should be practical B Leadership should be inspirational –––––––––– –––––––––– 10 A What power I have to influence others comes primarily from my ability to get people to identify with me and my ideas B What power I have to influence others comes primarily from my status and position –––––––––– –––––––––– Details of scoring and interpretation will be provided by your tutor Source: From Schermerhorn, J R., Jr, et al Managing Organizational Behaviour, fourth edition, John Wiley & Sons (1991), p 484 Reproduced with permission from John Wiley & Sons Inc PERSONAL AWARENESS AND SKILLS EXERCISE Objectives Completing this exercise should help you to enhance the following skills: ■ Evaluate your leadership skills; Review attributes associated with leadership; ■ Advance your self-knowledge of teamwork and leadership ■ Exercise Evaluate your skills – Self-knowledge is crucial for evaluating achievements and potential Below is a list of attributes associated with leadership Read through these statements and evaluate the leadership skills demonstrated by your team and those that you display Score yourself from one to ten for each attribute or put ticks or crosses in the boxes Use this information to consider areas where you or your team could develop ➔ 409 PART GROUPS, TEAMS AND LEADERSHIP Personal awareness and skills exercise – continued Demonstrating initiative, delivering operational excellence, implementing decisions and delivering results I reinforce people’s determination to the right thing I I I I I I I have a strong work ethic things right the first time stay focused on priorities and recognise when to delegate tasks stretch myself to meet the values of others and myself simultaneously demonstrate values by tangible and visible actions choose service over self-interest act with integrity Drawing groups together, enjoying team management and placing importance on the development of others I reward and recognise team members daily I I I I I I I use analogy to simplify conceptual ideas connect and integrate values into the working operation of the organisation clarify future direction in terms that make sense reduce strategic plans to simple ideas which can be easily communicated communicate effectively with internal and external stakeholders target communication to the needs of the audience in pace, level and method of delivery break complex targets down into digestible pieces Offering support, demonstrating active listening and encouraging others to achieve objectives I demonstrate trust in others to perform effectively I recognise that leadership is a process of upward as well as downward influence I inspire excitement with my communication style I encourage hard-hitting debate and dialogue I display stature and presence to gain commitment and loyalty I put aside personal ambition for the sake of the whole I take time to connect with each team member I set clear goals and success criteria, allowing people to use their initiative Demonstrating decisiveness, offering inspiration and eliciting respect by touching hearts, not just minds I take pride in winning as a team, not just individually I foster the development of a common vision I appear consistently enthusiastic and inspirational about the vision I build the capacity of the next generation of leaders by investing in the team I hold myself accountable, without blaming others I hold myself accountable with the clear understanding that ethical standards must never be compromised I manage the ambiguity of leadership and power I find a sense of continuity through others Source: The Path to Leadership: Developing a Sustainable Model within Organisations, CBI (in association with Harvey Nash), September 2005 Reproduced with permission from CBI and Caspian Publishing Ltd Discussion ■ How difficult was it for you to complete this exercise? Are there specific attributes in which you believe you are particularly strong or weak? ■ What benefits have you gained from this exercise and what new have you learned about yourself? ■ 410 ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ ٗ CHAPTER 10 THE NATURE OF LEADERSHIP CASE STUDY Steve Jobs is currently CEO of Apple and one of the world’s best-known business leaders The many biographies of Jobs on the internet82 agree on the basic details He was born in 1955 in California In 1976, he and Steve Wozniak founded the Apple Computer Company The next year saw the launch of the company’s second computer – the Apple II – whose success established Apple as one of the main brands in the fledgling personal computer (PC) industry Apple went public in 1980 and by 1983 Jobs was looking for an experienced corporate manager to oversee the company’s continuing expansion; he hired John Sculley from Pepsi Cola In 1984, Apple launched the Macintosh,83 whose innovative design was surely one of the key steps forward in the development of today’s user-friendly PCs In 1985, Jobs fell out with the Apple board and with Sculley and resigned from the company He went on to found the computer company NeXT, whose workstation products were seen as innovative and influential, but which were too expensive for mass market success By the early 1990s, NeXT was concentrating on software rather than hardware, and Apple was experiencing significant financial problems as the PC market started to mature In 1996, Apple bought NeXT and installed Jobs as interim CEO in 1997 Jobs was back and set about some radical surgery to improve Apple’s profitability The technology that arrived with the NeXT purchase allowed a new operating system to be developed and Jobs was closely associated with the development and launch of the brightly-coloured and inspirational iMac in 1998 The ‘i’ prefix was adopted by Apple for a series of further innovations as its renaissance under Jobs continued, including the launch in 2001 of the spectacularly successful iPod music player and the iTunes service to support it This success has provided the company with a whole new set of strategic options in music and entertainment Then came the the iPhone in 2007 and the Macbook Air, produced from an A4 envelope at its launch in 2008.84 Steve Jobs, however, is not someone to concentrate his efforts on just a single industry In 1986, he bought a computer graphics operation from Lucasfilm and renamed it Pixar, which became one of the leading players in computer animation In partnership with Disney it produced a stream of immensely successful animation movies from Toy Story (1995) to the surprising, multi-award-winning box-office hit Wall-e (2008) whose character Eve owes Source: Kimberly White/Reuters Being Apple: Steve Jobs Where would they be without him? Apple’s way of doing business has been strongly influenced by its charismatic founder Steve Jobs more than a little to Apple design principles In 2006, Disney and Pixar merged, leaving Jobs as a significant shareholder in Disney and a member of the Disney board Cool entrepreneurship At one level, Steve Jobs can be seen as one of the group of successful young men who made the information revolution happen over the last three decades These new entrepreneurs didn’t fit the traditional model of the buttoned-down businessman – they weren’t always academically successful (like Michael Dell, Jobs dropped out of college), they dressed casually and thought unconventionally While they may differ greatly in leadership style and manner, they share a dedicated, driven, even obsessive approach to work coupled to a strong vision of the change they want to create There has always, however, been something distinctive about the Apple way of doing things, resulting in the fierce loyalty that often inspires Apple users As one commentator put it: Lodged in the DNA of Silicon Valley, there is a rebel gene known as Apple Computer Most of the other ingredients are the generally uniform, inoffensive elements you would expect to find in the soul of an engineer The Apple gene comes from an altogether different place Its essence is one part design flair, two parts marketing hype It carries elements of risk-taking and inventiveness It is closely intertwined with the technical drive that pervades Silicon Valley and is the source of occasional startling originality, yet the technology is always subservient to 411 PART GROUPS, TEAMS AND LEADERSHIP something else If Apple’s genetic make-up stands apart, it owes much to Steve Jobs.85 Evidence that Apple is centred on the personality of its leader is plentiful Jobs supplies the inspiration and vision and is the company’s face When there is a key new product to launch, it is usually the CEO who reveals it to the world, having been personally involved in whatever it took to bring the product into being As a recent report observed, his keynote speeches at Apple conferences are ‘more like rock concerts than corporate events’,86 with Jobs centre stage What is it about Steve Jobs’ leadership that commands such attention? He values pure creativity very highly, but in the thousands of words written about him on the internet, adjectives such as ‘tolerant’ or ‘easygoing’ not feature very often The words ‘passionate, charming, inspirational, abrasive’87 are much more representative, with many expressing much stronger views Jobs seems to be someone who sets himself very high standards and then demands the same of everyone around him This can lead to disappointment, frustration, anger and – on occasion – harsh treatment of those who are seen as having let him and the company down Jobs provided an insight into this mentality in an interview in 1995 with the Smithsonian Institution:88 I always considered part of my job was to keep the quality level of people in the organizations I work with very high That’s what I consider one of the few things I actually can contribute individually to instil in the organization the goal of only having ‘A’ players the difference between the worst taxi cab driver and the best taxi cab driver to get you crosstown Manhattan might be two to one The best one will get you there in fifteen minutes, the worst one will get you there in a half an hour In the field that I’m in the difference between the best person and the worst person is about a hundred to one or more The difference between a good software person and a great software person is fifty to one Therefore, I have found, not just in software, but in everything I’ve done it really pays to go after the best people in the world It’s painful when you have some people who are not the best people in the world and you have to get rid of them; but I found that my job has sometimes exactly been that: to get rid of some people who didn’t measure up and I’ve always tried to it in a humane way But nonetheless it has to be done and it is never fun Although Jobs became and remained wealthy over most of his career, his motivation seems not to centre on money His annual salary as Apple’s CEO is famously set at $1 What drives him is innovation: he is the man who wants ‘to put a ding in the universe’.89 This means not purely technical innovation, but the ability to imagine products that are revolutionary in their impact on everyday life Design and marketing have been 412 integral to the Apple appeal, resulting in some truly transformative (and very successful) products like the Macintosh and the iPod, but also many that did not really connect commercially This demanding agenda has had its costs, both for the company and for Jobs personally Business strategy commentators sometimes observe that the real money is to be made by changing the way a business works, not by pure innovation Technical innovation will earn you lots of adoring fans (think Apple) Business-model innovation will earn you lots of money (think Dell) If your cool new thing doesn’t generate enough money to cover costs and make a profit, it isn’t innovation It’s art.90 If wealth is the scorecard, then Steve Jobs, who is at 178 on the 2009 Forbes list of the world’s richest people, doesn’t come close to Bill Gates at number one or Michael Dell at 25.91 The overall impression though is that this is not the point for Jobs; changing the world is more important than building the biggest pile of money The succession problem The comparison with Bill Gates leads to another issue that often crops up for organisations that are dominated by a strong and charismatic leader: that of succession A recent business news article92 pointed out that Microsoft had recently gone to some lengths to plan for Bill Gates’ gradual retirement from the company Gates’ role had been split into two, with a successor lined up within the company for each part The pre-announced two-year transition was intended to reassure the markets about the future for a post-Gates Microsoft At Apple, things weren’t so clear In August 2004, Jobs underwent surgery for a rare form of pancreatic cancer He survived and was back at work after just one month; and amidst much speculation he took a further six months of medical leave in 2009 His brush with mortality caused many to wonder about Apple’s prospects without him, although Jobs himself seems sanguine; Remembering that I’ll be dead soon is the most important tool I’ve ever encountered to help me make the big choices in life.93 Nevertheless, this remains an important question for the company A quote from venture capitalist Michael Moritz sums up Jobs’ importance to Apple: Steve is an utterly remarkable man – one of the most interesting, original and creative businessmen of the last 50 years His achievements at both Apple and Pixar over the last ten years put paid to the doubters who say that no individual can change the course of a company or industry – let alone two companies or industries.94 Apple has never done things in a conventional way and it may be that asking about succession planning is CHAPTER 10 missing the point about the way the organisation is run As a leader, Steve Jobs’ charismatic and demanding presence has pervaded Apple and made it what it is THE NATURE OF LEADERSHIP today The question must now be faced: is it impossible to replace the magic of Steve Jobs, or is he ‘awesome, but not the entire company’?95 Your tasks How and to what extent does Steve Jobs’ career illuminate the difference between management and leadership? How can Steve Jobs’ leadership style be analysed? To what extent does the evidence so far conform to the Burns model of transformational leadership? Jobs’ career has been in two industries that are characterised by rapid market change, fast technological development and considerable turbulence Critically examine the extent to which these situational factors bear upon the leadership style that Jobs has shown over the years Notes and references Bass, B M Handbook of Leadership: Theory, Research and Managerial Applications, third edition, The Free Press (1990), p 11 Crainer, S ‘Have the Corporate Superheroes Had Their Day?’, Professional Manager, March 1995, pp 8–12 See, for example, Adair, J Leadership and Motivation, Kogan Page (2006) ‘Leadership for Innovation’, Advanced Institute of Management Research, 2005 Levine, S R ‘The Value-Based Edu-Leader’, in Chowdhury, S (ed.) Management 21C, Financial Times Prentice Hall (2000), p 90 CBI ‘The Path to Leadership: Developing a Sustainable Model within Organisations’, Caspian Publishing (2005), p Belbin, R M Changing the Way We Work, ButterworthHeinemann (1997), p 98 Zaleznik, A ‘Managers and Leaders: Are They Different?’, Harvard Business Review, May–June 1977, pp 67–78 Watson, C M ‘Leadership, Management and the Seven Keys’, Business Horizons, March–April 1983, pp 8–13 10 Kent, T W ‘Leading and Managing: It Takes Two to Tango’, Management Decision, vol 43, no 7/8, 2005, pp 1010–1017 11 Fullan, M Leading in a Culture of Change, Jossey-Bass (2001), p 12 Dearlove, D ‘Reinventing Leadership’, in Crainer, S and Dearlove, D (eds) Financial Times Handbook of Management, second edition, Financial Times Prentice Hall (2001), p 538 13 Moorcroft, R ‘To Lead or to Manage? That Is the Question’, Manager, The British Journal of Administrative Management, November 2005, p 14 Drucker, P F The Practice of Management, Heinemann Professional (1989), p 156 15 Bass, B M Handbook of Leadership: Theory, Research and Managerial Applications, third edition, The Free Press (1990) 16 See, for example, Bryman, A ‘Leadership in Organisations’, in Clegg, S Hardy, C and Nord, W (eds) Managing Organsations: Current Issues, Sage (1999), pp 26–62 17 Kotter, J P ‘What Leaders Really Do’, Harvard Business Review, May–June 1990, p 103 18 Whitehead, M ‘Everyone’s a Leader Now’, Supply Management, 25 April 2002, pp 22–4 19 Adair, J Action-Centred Leadership, Gower Press (1979) See also Adair, J The Skills of Leadership, Gower Press (1984) 20 Adair, J Leadership and Motivation, Kogan Page (2006) 21 Fleishman, E A ‘Leadership Climate, Human Relations Training and Supervisory Behavior’, in Fleishman, E A and Bass, A R Studies in Personnel and Industrial Psychology, third edition, Dorsey (1974) 22 Bryman, A ‘Leadership in Organisations’, in Clegg, S Hardy, C and Nord, W (eds) Managing Organisations: Current Issues, Sage (1999), pp 26–62 23 Likert, R New Patterns of Management, McGraw-Hill (1961) 24 Tannenbaum, R and Schmidt, W H ‘How to Choose a Leadership Pattern’, Harvard Business Review, May–June 1973, pp 162–75, 178–80 25 Fiedler, F E A Theory of Leadership Effectiveness, McGraw-Hill (1967) 26 See, for example, Yukl, G Leadership in Organizations, fifth edition, Prentice Hall (2002) 27 Vroom, V H and Yetton, P W Leadership and Decision-Making, University of Pittsburgh Press (1973) 28 Vroom, V H and Jago, A G The New Leadership: Managing Participation in Organizations, Prentice-Hall (1988) 29 House, R J ‘A Path–Goal Theory of Leadership Effectiveness’, Administrative Science Quarterly, vol 16, September 1971, pp 321–38 30 House, R J and Dessler, G ‘The Path–Goal Theory of Leadership’, in Hunt, J G and Larson, L L (eds) Contingency Approaches to Leadership, Southern Illinois University Press (1974) 31 Hersey, P and Blanchard, K H Management of Organizational Behavior: Utilizing Human Resources, sixth edition, Prentice-Hall (1993) 32 Burns, J M Leadership, Harper & Row (1978) 33 Bass, B M Leadership and Performance Beyond Expectations, Free Press (1985) 413 PART GROUPS, TEAMS AND LEADERSHIP 34 Bass, B M and Avolio, B J Improving Organizational Performance Through Transformational Leadership, Sage Publications (1994) 35 Yukl, G Leadership in Organizations, sixth edition, Pearson Prentice Hall (2006) 36 Kreitner, R., Kinicki, A and Buelens, M Organizational Behaviour, First European edition, McGraw-Hill (1999), p 487 37 Whitehead, M ‘Everyone’s a Leader Now’, Supply Management, 25, April 2002, pp 22–4 38 Kahan, S ‘Visionary Leadership’, The Great Washington Society of Association Executives, www.leader-values.com (accessed 28 January 2006) 39 Kanter, R M Confidence: Leadership and the Psychology of Turnarounds, Random House (2004), pp 325–6 40 Weber, M The Theory of Social and Economic Organization, Oxford University Press (1947) 41 Conger, J ‘Charisma and How to Grow It’, Management Today, December 1999, pp 78–81 42 Conger, J ‘The Danger of Delusion’, Financial Times, 29 November 2002 43 Dearlove, D ‘Reinventing Leadership’, in Crainer, S and Dearlove, D (eds) Financial Times Handbook of Management, second edition, Financial Times Prentice Hall (2001), p 538 44 Bloomfield, S ‘Charismatic Leaders are Passé’, Professional Manager, vol 12, no 1, January 2003, p 37 45 Adair, J The Inspirational Leader: How to Motivate, Encourage and Achieve Success, Kogan Page (2003) 46 Gratton, L The Democratic Enterprise, Financial Times Prentice Hall (2004) 47 Witzel, M ‘Book Review: A Rewarding Read if You Want to Lead’, www.ft.com (accessed 31 January 2006) 48 Goffee, R and Jones, G Why Should Anyone Be Led By You?, Harvard Business School Press (2006) 49 Nicholson, (Sir) B ‘In My Opinion’, Management Today, January 2006, p 10 50 Horne, M and Jones, D S Leadership: The Challenge for All?, Chartered Management Institute (2001) 51 ‘Inspired Leadership: Insights into People Who Inspire Exceptional Performance’, Department of Trade and Industry, August 2004 52 Munshi, N et al ‘Leading for Innovation: The Impact of Leadership on Innovation’, Advanced Institute of Management Research, September 2005 53 Bass, B M Handbook of Leadership: Theory, Research and Managerial Applications, third edition, The Free Press (1990), p 11 54 McGregor, D The Human Side of Enterprise, Penguin (1987), p 182 55 Kouzes, J M and Posner, B Z ‘The Janusian Leader’, in Chowdhury, S (ed.) Management 21C, Financial Times Prentice Hall (2000), p 18 56 Fullan, M Leading in a Culture of Change, Jossey-Bass (2001), p 57 French, J R P and Raven, B ‘The Bases of Social Power’, in Cartwright, D and Zander, A F (eds) Group Dynamics: Research and Theory, third edition, Harper and Row (1968) 58 Finlay, P Strategic Management: An Introduction to Business and Corporate Strategy, Financial Times Prentice Hall (2000), p 103 59 Yukl, G Leadership in Organizations, sixth edition, Pearson Prentice Hall (2006) 60 Roddick, A Body and Soul, Ebury Press (1991), p 214 414 61 Lloyd, B ‘Balancing Power with Responsibility and Wisdom’, Professional Manager, vol 17, no 3, May 2008, p 37 62 Goleman, D ‘Leadership That Gets Results’, Harvard Business Review, vol 78, no 2, March–April 2000, pp 78–90 63 Goleman, D reported in ‘Leaders in London: Fifth Annual International Leadership Summit’, Manager: The British Journal of Administrative Management, Winter 2009, pp 17–21 64 McCabe, B ‘The Disabling Shadow of Leadership’, Manager, British Journal of Administrative Management, April/May 2005, pp 16–17 65 Masson, L ‘Leading through Turbulent Times’, Chartered Secretary, June 2008, p 16 66 Reeves, R., and Knell, J ‘Your Mini MBA’, Management Today, March 2009, pp 60–4 67 McGregor, D, The Human Side of Enterprise, Penguin (1987) 68 Tannenbaum, R and Schmidt, W H ‘How to Choose a Leadership Pattern’, Harvard Business Review, May–June 1973, pp 162–75, 178–80 69 Tayeb, M ‘Cross-Cultural Leadership’, in CBI, The Path to Leadership: Developing a Sustainable Model within Organisations, Caspian Publishing (2005), pp 14–20 70 House, R J., Hanges, P J., Javidan, M., Dorfman, P J and Gupta, V (eds) Culture, Leadership and Organisations: The GLOBE Study of 62 Societies, Sage (2004) 71 Investors in People UK The Leadership and Management Model (2003), p 72 Melville-Ross, T ‘A Leadership Culture Has to Run Right Through an Organisation’, Professional Manager, vol 16, no 1, January 2007, pp 18–21 73 Cutler, A ‘A Good Fit Is Essential’, Professional Manager, vol 14, no 3, May 2005, p 38 74 Adair, J How to Grow Leaders, Kogan Page (2005) 75 ‘A Conversation with John Adair’, Manager: The British Journal of Administrative Management, April/May 2007, p 20 76 Rajan, A ‘Meaning of Leadership in 2002’, Professional Manager, March 2002, p 33 77 Stern, S ‘If You Think You’re Hard Enough’, Management Today, March 2003, pp 46–51 78 ‘Leadership for Innovation’, Advanced Institute of Management Research, March 2005 79 Gratton, L Living Strategy: Putting People at the Heart of Corporate Purpose, Financial Times Prentice Hall (2000) 80 Bennis, W ‘The New Leadership’, in Crainer, S and Dearlove, D (eds) Financial Times Handbook of Management, second edition, Financial Times Prentice Hall (2001), pp 546–50 81 Hamel, G with Breen, B The Future of Management, Harvard Business School Press (2007), p 169 82 See, for example, the selection at http://www.answers.com/topic/steve-jobs 83 Those around in that year may recall the iconic Orwellian ‘1984’ television advert which cost $1.5m, was directed by Ridley Scott, aired only once in the USA during the 1984 Superbowl, and made advertising history with its implied critique of IBM If you missed it, then you can view it on YouTube, or at www.apple-history.com 84 Recordings of the unveilings can be viewed on YouTube, www.youtube.com 85 Waters, R ‘Apple Bites Back’, Financial Times, 10 June 2005 CHAPTER 10 86 Naughton, J and Mathiason, N ‘Will Jobs’ Departure Cut Apple to the Core?’, Observer Business and Media, 30 July 2006 87 Waters, R ‘Apple Bites Back’, Financial Times, 10 June 2005 88 ‘Oral and Video Histories: Steve Jobs’, http://americanhistory.si.edu/collections/comphist/sj1.html, interview dated 20 April 1995 89 http://www.quotationsbook.com/quotes/215/view and many others 90 Hawn, C ‘If He’s So Smart Steve Jobs, Apple and the Limits to Innovation’, Fast Company Magazine, January 2004, at http://www.fastcompany.com/magazine/ 78/jobs.html INSTANT ACCESS TO INTERACTIVE LEARNING THE NATURE OF LEADERSHIP 91 See http://www.forbes.com/2009/03/11/worlds-richestpeople-billionaires-2009-billionaires_land.html 92 Naughton, J and Mathiason, N ‘Will Jobs’ Departure Cut Apple to the Core?’, Observer Business and Media, 30 July 2006 93 Shiels, M ‘Steve Jobs a National Treasure’, BBC news website, 15 January 2009 (accessed 23 July 2009) 94 Quoted in Waters, R ‘Apple Bites Back’, Financial Times, 10 June 2005 95 Shiels, M ‘Steve Jobs a National Treasure’, BBC news website, 15 January 2009 (accessed 23 July 2009) Now that you have finished reading this chapter, visit MyManagementLab at www.pearsoned.co.uk/mymanagementlab to find more learning resources to help you make the most of your studies and get a better grade 415 PART GROUPS, TEAMS AND LEADERSHIP ACADEMIC VIEWPOINT Below you will find the title and abstract of a recent article in an academic journal which explores a topic relevant to the chapters in Part Baruch, Y and Jenkins, S ‘Swearing at Work and Permissive Leadership Culture’, Leadership and Organizational Development Journal, vol 28, no 6, 2006, pp 492–507 Abstract Purpose: The purpose of this paper is to examine the use of expletives and swearing in the workplace It proposes to challenge leadership style and to suggest ideas for management best practice Design/methodology/approach: Case studies and qualitative analysis were applied, methods that fit well for this sensitive topic Findings: This paper identifies the relevance, and even the importance, of using non-conventional and sometimes uncivil language in the workplace Research limitations/implications: Sample size and representativeness present limitations Practical implications: There is a need for leaders to apply, under certain circumstances, a permissive leadership culture This paper advises leaders on how it may lead to positive consequences Originality/value: The paper is an original contribution to an area where research is scarce A certain originality element stems from the fact that, focusing on swearing language, the paper found it necessary to use swear words (avoiding usage of the explicit form); bearing in mind the purpose of the paper, the paper hopes that this will not cause offence to the readership of the journal Commentary Academic discussion of topics such as communication in relation to group dynamics, workplace culture and leadership style tend to focus on formal behaviours However, the reality of many work environments (and indeed the fictionalised depiction of the workplace in film and on television) is often characterised by informality and ‘colourful’ language including swearing There is often an assumption that swearing and bad language are negative behaviours This interesting paper challenges that assumption, and suggests that there are different types of swearing, some of which may be positive in effect It also reveals some interesting characteristics of language use in terms of gender and culture; and it concludes with some important observations about the role of managers with regard to ‘industrial language’ 416 N.B The article itself contains a small number (12) of annotated expletives to illustrate points The article might prompt you to consider the following questions ■ What does the information in the article tell us about the importance of the ‘informal’ aspects of group and team behaviour? ■ How can the study of workplace language, including swearing, enhance our understanding of the nature of managerial leadership? ■ What light studies of this sort shed on problems experienced by team members and team leaders who are not part of a dominant organisational culture? ■ How far you think the idea of a workplace ‘language policy’, initiated by managers, is feasible? PART CASE STUDY The Eden Project Before Eden Cornwall is one of several parts of the UK which suffered economic decline during the later 20th century Its industrial heritage has all but disappeared in the wake of globalisation and the shifting nature of the industrial world landscape The last tin mine closed in 1998, and the ruined mine towers are witness to what was once the largest tin-mining industry in the world The production of china clay remains one of Cornwall’s oldest current industries, but that too is in decline and job losses in this sector continue to be announced The fishing business is contracting, and traditional agricultural and horticultural production, mainly vegetables and flower bulbs, is being challenged by similar, year-round levels of production in developing countries Cornwall as a county has, for some years, been in receipt of European Union Objective One funding destined to assist with economic regeneration in Europe’s poorest regions This level of relative poverty is probably something which many of the tourists who visit Cornwall’s beautiful landscapes, historic properties and wild coastland not generally see; and indeed tourism has become one of the largest single income-generating business sectors in the area Whilst there are some strong indications that the Cornish economy might be revitalised by the arrival of new, knowledge-based industries which are supported by technological developments, tourism remains at the heart of the county’s economy.1 In 1990, in a project which would contribute substantially to Cornwall’s reputation as a tourist destination, John Willis, Tim Smit and John Nelson began to restore the long-derelict gardens surrounding the stately home and seat of the Tremayne family at Heligan, near Mevagissey The story of this garden, its dereliction after the start of the Great War of 1914, its rediscovery following a storm in 1990 and its Source: Tamsyn Williams/The Eden Project If a single word can be used to sum up the achievements of Tim Smit, that word might be ‘regeneration’ To turn one derelict, neglected corner of south-west England into a successful tourist business attracting millions of visitors is a remarkable achievement; but to it twice is simply astonishing Yet this is precisely what Smit has done; and in the Eden Project we can see the nature of this achievement through a blend of visionary and innovative leadership combined with a strong sense of the value of teamwork The Eden Project is the realisation of one man’s extraordinary vision through powerful teamwork and global co-operation restoration, in part as a memorial to the gardeners who would have died in the war, is one of enormous poignancy and beauty.2 For Smit, an archaeology and anthropology graduate who had also developed a love of gardens, it was a project which enabled him to use many of his professional skills, and the garden itself has become one of England’s most loved,3 and a major attraction for Cornwall However, while Heligan is horticultural archaeology and the gardens today are, in essence, a living museum of 19th-century estate gardening, the Eden Project was a very different type of restoration, and one which drew upon Smit’s additional skills as a rock music producer and showman What Smit was restoring in his second major project was land; and the vision and purpose behind the Eden Project looks to the future rather than the past Ten things to with a disused clay pit Photographs of what was to become the Eden Project prior to the arrival of Tim and his team reveal the extent of the transformation In the mid 1990s the worked-out Bodelva china clay pit near St Austell looked very much like what many believed it to be: a derelict, polluted and worthless piece of land stripped of fertile soil – essentially a 34-acre puddle The statistics behind its transformation into one of the most spectacular tourist attractions in the country are mind-boggling The first task, in 1998 when the project began, was to landscape the site, and shift 1.8 million tons of earth to reduce the pit side gradients, a task which took twelve dumper trucks and eight bulldozers six months During the first 417 PART GROUPS, TEAMS AND LEADERSHIP two months of work, it rained almost continuously which resulted in 43 million gallons of water draining into the clay-lined pit.4 This was both a problem and an opportunity; the problem was to design a drainage system which would prevent the whole site turning into a soggy bog during the average English summer; but the opportunity was to demonstrate one of the founding principles of sustainability, and use the run-off water to service the site The system designed to meet this purpose collects, on average, 22 litres a second, and almost half the water needed to run the project (including plant watering, a 22-metre waterfall in the tropical biome and the numerous toilets!) is ‘grey’ water, in other words that which can be harvested from the site itself Over 85,000 tonnes of soil, made from waste products and other organic material, were needed to turn the clay-lined puddle into the fertile ground in which over a million plants of 5,000 and more species could grow, to create a series of global gardens The two original ‘biomes’, spectacular greenhouses which re-create a humid tropical environment and warm temperate climate respectively, are perhaps what most visitors remember about the project, although more than half the site is actually open-air The Humid Tropics biome was confirmed, in 2004, by the Guinness Book of Records as the largest conservatory in the world at 240 metres by 100 metres by 55 metres high, enclosing 15,590 square metres It houses ‘the biggest jungle in captivity’ and contains plants native to the tropical areas of the world including Malaysia, West Africa and South America as well as islands like the Seychelles The Warm Temperate biome covers 6,540 square metres, and replicates a mediterranean climate housing plants which represent those which grow between 30° and 40° north and south of the equator A recent addition to the buildings on site is ‘The Core’, the Project’s education centre, the roof of which is constructed on the same mathematical principle (the Fibonacci sequence of interwoven spirals) which appears in nature in many plant formations, and which appears to be the way in which some plants pack the maximum number of seeds, spines or leaves into the smallest possible area.5 If you build it, they will come The Annual Report of 2005 stated that, to that date, the Eden Project (which is a wholly owned subsidiary of the Eden Trust, a registered charity) had cost £120m to build The money has been raised from a variety of sources including grant funding such as that from the UK government’s millennium project fund; and further funding is being sought from the National Lottery to finance additional building Together with commercial loans, the grant money is used for capital investment on the site and educational or conservation projects in 418 other parts of the world Running costs in 2007/8 were £20m, and revenue comes from both the commercial activities of the Project and gifts or donations.6 The money is used to run the operation, maintain the asset base and service the commercial loans; so although as a charity it does not make a profit, it does have to run at commercially successful levels Visitors are the major source of revenue In its first year of operation it attracted twice the number of visitors estimated in the business plan, and over million in its first five years of operation Visitor numbers appear to be stabilising at about 1.2 million a year But what exactly people come to see? Tim Smit’s vision for Eden is far from being that of just another garden He is, as we have noted, not a horticulturalist, but an archaeologist, anthropologist and former rock show organiser The purpose of Eden is essentially to educate people about the environment and the relationship of humanity with the plant world, but to so in such a way as to set a conservation and sustainability example which is, above all things, spectacular fun The 2007–8 Annual Review explains this purpose thus: The Eden Project exists to explore our dependence on the natural world; rebuilding connections of understanding that have faded from many people’s lives We use the living collection of plants as a canvas on which to tell stories that illustrate our dependence on plants and resources, that we are part of nature not apart from it, and that by working with the grain of nature we can develop more resilient individuals, communities and societies to face the challenges of the 21st Century.7 The Project identifies three essential elements in its approach to this task; ■ ■ ■ educational programmes; this includes the design of the site, and all the events which happen there, many of which are connected with schools and colleges or seek to convey important social messages.8 Current programmes include ‘Gardens for Life’ which co-ordinates school gardening and educational activities involving 25,000 children at 400 participating schools in the UK, Kenya and India; and the ‘Mud Between Your Toes’ experience which aims to reconnect children with nature and the environment operational practice; Eden believes the way it runs the site should be an inspiration and example to both commercial corporations and public bodies; this is part of its aim to develop the notion of Social Enterprise, ‘Where the twin needs of good citizenship and the rigour of sound commerce meet’.9 A good illustration of this is its ‘waste neutral’ initiative Eden as convenor and agent for change; this aspect involves using the Eden venue to host major events PART CASE STUDY that facilitate dialogue and debate about significant environmental matters For example, in May 2007 it hosted a conference of business and community leaders as part of the Prince of Wales Business Summit on Climate Change; and it has developed the Post-Mining Alliance which focuses on the problems of managing the environmental legacy of former mining areas like Bodelva itself The educational purpose which underlies the Project shows that this is, indeed, far more than just another garden Eden’s education programmes present the need for environmental care to the widest possible public audience through celebrating what nature gives us – the focus is unashamedly on love and awe rather than guilt and fear, weaving expertise in horticulture, arts, media, science, technology, education and commerce in order to raise awareness and inspire people to action.10 The achievement of this objective requires both focused and decisive leadership, but also powerful teamwork Taking a lead The television series Gardeners of Eden11 which presented a year in the life of the Eden Project gives some insight into both the nature of Tim Smit’s leadership style and the range of activities undertaken by the different teams required to run the Project It also shows some of the very human problems associated with such an enterprise, including conflicts of interest between the Project’s main purpose and some of the professional teams whose tasks are to contribute to that objective Smit generally dresses casually and has the slightly scruffy air of someone who is not accustomed to spend much of his working day in an office or behind a desk In a Guardian article prior to a major lecture at the RSA, the interviewer noted some of Smit’s key qualities Smit’s secret, if there is one, seems to be that he can bring people of very different disciplines and skills together, get them to brainstorm and collaborate, and come up with the extraordinary The Eden Project, he says, has attracted locals by the score, but also high-flying artists, businessmen, architects, scientists, engineers, educationalists, horticulturalists and ecologists from all over Britain ‘It feels like a renaissance organisation,’ says one woman who left a senior management job to work there as a director and has been amazed both at what gets done and the way it works ‘It’s attracted a critical mass of people, and there’s this passionate belief, right through the project, that it belongs to everyone who works there, that it’s a team thing I guess it demonstrates that you can have an organisation that is highly effective financially, environmentally and socially It’s a kind of experiment to show that you can work in different ways.’ THE EDEN PROJECT A local woman who has been with Eden since the start is more succinct ‘It’s the most equal place I’ve known,’ she says ‘This is a stage for change,’ says Smit, who admits that Eden can seem like a sect to outsiders ‘Many people have made life choices to come here Most could earn five times as much elsewhere But I’m aware that if you want to effect real change, and we do, that you must not own it You have got to make sure that it’s owned by more than one person.’ 12 Smit is described as optimistic and positive, with a mission to make people think differently He is concerned to challenge dogma from all sides, and is happy to question the views of committed environmentalists like José Bové as well as those of traditionalists Although educational, he is convinced that the Eden Project need not be stuffy or seek to preach; above all fun, excitement and spectacle are integral to the educational process This lays him open to the accusation that it is no more than a ‘green theme park’; and indeed his desire to make the project a centre for spectacle and display brings him into conflict with the horticulturalists on the site In the year of filming, it was clear that the two managers of the biomes deeply resented the disturbance and damage done to their plants by teams of electricians hired to lay lighting cables in and around the buildings to support some of the spectacles and events which are planned A third curator-in-waiting is frustrated that the project to build the dry tropics biome which is planned to house his extensive cactus and succulent collection has been put back by several years, leapfrogged by the project to build the ‘Core’ education centre Smit is also very ‘hands-on’ in the sense that he is both integral to many of the special events (for instance the Rainforest Conference organised in September 2005) but is equally prepared to help selling tickets and guiding visitors on the peak season ‘tricky days’, peak visitor days on which staff who not normally work with visitors are encouraged to follow his example and pitch in to help keep the operation moving.13 Working in Paradise By 2008, the Project had grown to be a major local employer with 450 staff on the payroll, and 150 or more additional regular volunteer workers who are drafted in to help with (mostly) peak seasonal activities such as horticulture and visitor operations The workforce is focused into a number of ‘Eden Teams’, the main one being the Destination Team This team includes the Green Team of horticultural curators and other experts who manage the biomes and the planting, but in addition the people who run events and exhibitions as well as the retail and catering operations This team is very much the ‘front of house’, as the 419 PART GROUPS, TEAMS AND LEADERSHIP gardeners work in the public eye during the day However, as the programme shows, they also work outside opening hours, often at night, to carry out certain potentially hazardous activities, such as lopping unstable branches from trees in the rainforest It is also clear from the series that there can be significant differences of opinion and interest between the Green Team and Smit This came to the fore when Smit planned the first major winter event, the ‘Time of Gifts’ festival This was partly an attempt to increase winter visitor numbers to the site, but required special construction (of an ice rink) and lighting in order to accommodate a variety of story-telling activities in the biomes, as well as ‘light-and-magic’ processions and shows The whole event clearly opened something of a rift between members of the ‘green’ team and Smit since many felt that their values were being compromised and the whole Project was becoming a sort of Disneyland One curator told the BBC crew that the events not only did physical damage, but also damaged the morale of staff Not only were curators upset, but the catering and housekeeping staff were also very concerned by the heavy demands (not least of which was having to learn to skate!) which would be made, and Smit is seen running a fairly fraught staff meeting with Destination personnel in an attempt to encourage them and gain extra commitment When the event was successful, the staff were thrown a celebratory party, but nevertheless some of the Green Team were absent in protest Smit explains his view about this conflict of interests: I’m not into horticulture; my role isn’t horticulture My job is to fizz people into getting excited about horticulture, which is a very, very different activity And actually, the certainties that horticulturalists want are exactly the sort of thing I want to shake up.14 While the Destination Team is clearly the face of the Eden Project, other teams include: the Foundation Team who work with supporters of the Project and also look outwards to develop education and other scientific and technological projects; the Marketing Team and the Communications Team who run an in-house publishing company as well as more traditional communications activities including the website;15 the Development Team which is involved with major projects such as building and includes people from partner organisations such as architects and construction companies; the Finance Team, who ensure the project is economically viable and fully accountable to its various stakeholders; the Creative Team which develops and produces events, including the regular concerts, many of which feature major pop and rock artists; and the Organisational Development Team who ‘look after our people’ and are essentially concerned to link the processes and operations and build the Eden culture Eden also includes the public as their Visiting Team, in other words the paying customers whose interaction with the project is vital to its continuation Between them Tim Smit and the Eden Project teams have been tremendously successful in both business and educational terms Not only has a vision been realised in terms of the physical development of the site, but the benefits include an estimated increased incremental value to the Cornish economy of £1.2m in 2007–8.16 It has created over 400 jobs, and the majority of staff were recruited locally But above all, it has provided millions of people with a memorable and exciting experience which almost all would recommend to others Your tasks In the television programme, Smit explains part of his management philosophy thus: It is essential for me to like everybody I work with, which is not a very professional thing if you were doing an MBA; you employ people on their merits and their CVs Bugger that for a game of darts! If I’m going to get out of bed in the morning to something like this, I want to walk through that door really looking forward to seeing everybody that’s there And you know what? I have the tremendous privilege of that being so ■ Using frameworks and concepts from the chapters on work groups and teams, critically review this approach to the creation of work teams and organisations What are the strengths and the risks of taking such a view about the people who work for you? ■ Analyse Tim Smit’s leadership style in the light of appropriate theories Does it help or hinder his leadership that, as chief executive of a project about plants, he is ‘not a horticulturalist’? ■ To what extent you think that the non-profit-making nature of this organisation enhances the sense of collaboration and teamwork between various groups of the workforce? ■ Tim Smit now lectures all sorts of both commercial and non-commercial organisational leaders about management Analyse the extent to which his approach might be transferable to both profit-making organisations and public sector ones, whose stakeholder groups are very different from those at Eden 420 PART CASE STUDY THE EDEN PROJECT Notes and references 10 11 12 13 14 15 16 Smale, W ‘How Cornwall’s Economy Is Fighting Back’, BBC News website, 2006 http://news.bbc.co.uk (accessed August 2009) Smit, T The Lost Gardens of Heligan, Orion Books (2000) (first published 1997) Visit the Lost Gardens of Heligan website at www.heligan.com to get a feel for this glorious garden The Eden Project Guide 2004/5 For instance pine cones, sunflower heads, pineapples and many cacti show this pattern Eden Project Annual Review 2007–8 available for download from the Eden Project website, www.edenproject.com (accessed August 2009) Eden Project Annual Review 2007–8, p Eden, for instance, ran an ‘Africa Calling’ concert during the 2005 ‘Live8’ day which featured a host of bands and internationally known artists from many parts of Africa Eden Project Annual Report to 27 March 2005, p Eden Project Annual Review 2007–8, p BBC DVD 2005 The Eden Project: The Gardeners of Eden, published by the BBC, covers part of the years 2004/5 Vidal, J ‘Shaping the Future’, The Guardian, October 2004, available from the Guardian website at http://society.guardian.co.uk/print/0,,5031884-111982,00.html (accessed August 2009) BBC DVD 2005 The Eden Project: The Gardeners of Eden Ibid Including a webcam: see http://www.bbc.co.uk/cornwall/content/webcams/eden_webcam.shtml Eden Project Annual Review 2007–8, p 421 ... and references 97 98 99 10 1 10 3 10 4 10 5 10 6 10 9 11 1 11 3 11 3 Academic viewpoint 12 1 Part Case study Cadbury: organisation, culture and history 12 2 11 4 11 5 11 6 11 7 11 9 Part THE INDIVIDUAL Individual... questions Management in the news: The Apprentice, week nine Assignment Personal awareness and skills exercise 12 9 12 9 13 0 13 0 13 3 13 5 13 6 13 8 13 9 14 0 14 1 14 4 14 5 14 8 14 9 15 1 15 3 15 7 15 8 16 0 16 1 16 2 16 3... permission from Pearson Education Ltd; Figures 1. 8, 2.3, 3 .10 , 4.8, 5.7, 6 .14 , 7 .14 , 8.2, 9.8, 10 .8, 11 .8, 12 .7, 13 .4, 14 .13 , 15 .8, 17 .7, 18 .2, 19 .3 and 20.4: Copyright © 2008 The Virtual Learning