Coercive style of leadership threatens to erode innovation in Indian workplace
Upcoming SlideShare
Loading in...5
×
 

Coercive style of leadership threatens to erode innovation in Indian workplace

on

  • 726 views

 New research calls for captains of industry to embrace more leadership styles to drive high-performance cultures ...

 New research calls for captains of industry to embrace more leadership styles to drive high-performance cultures
 Research finds that a majority of global leaders are creating demotivating workplace climates and damaging performance
 Asian firms are the worst affected, with two thirds of leaders generating demotivating climates for their employees
 Almost 2 in every 3 leaders in India found to be using the ‘coercive’ style of leadership that may lead to erosion of innovation
 North American leaders are the most successful in creating positive work climates

Statistics

Views

Total Views
726
Views on SlideShare
726
Embed Views
0

Actions

Likes
1
Downloads
4
Comments
0

0 Embeds 0

No embeds

Accessibility

Categories

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Coercive style of leadership threatens to erode innovation in Indian workplace Coercive style of leadership threatens to erode innovation in Indian workplace Document Transcript

  • News releaseCoercive style of leadership threatens to erode innovation inIndian workplace  New research calls for captains of industry to embrace more leadership styles to drive high-performance cultures  Research finds that a majority of global leaders are creating demotivating workplace climates and damaging performance  Asian firms are the worst affected, with two thirds of leaders generating demotivating climates for their employees  Almost 2 in every 3 leaders in India found to be using the ‘coercive’ style of leadership that may lead to erosion of innovation  North American leaders are the most successful in creating positive work climatesNew Delhi / Mumbai, April 4, 2012: Global business leaders are over-reliant on a singleleadership style1, demotivating employees and holding back organizational performance as aresult, according to new research from global management consultancy, Hay Group.The study is based on an analysis of Hay Group’s Styles and Climate data, covering 95,000leaders in over 2,200 organizations across the world.The study finds that while good leadership is synonymous with flexibly tailoring the approachto suit the situation, one third (36 per cent) of leaders have mastered none or only oneleadership style, compared to a quarter (26 per cent) who are able to adopt a range of four ormore styles.As a result, working environments across the world are suffering, with over half (55 per cent)of leaders creating demotivating climates. By contrast, just 19 per cent of leaders are fosteringhigh-performance workplaces.Leaders in EMEA (Europe, the Middle East and Africa) are the least flexible, with only onein five (22 per cent) able to use the recommended four or more leadership styles.Consequently, almost three fifths (57 per cent) are creating demotivating climates.In addition, two thirds (66 per cent) of Asian leaders create demotivating climates – the worstof any global region – where just one quarter (24 per cent) have mastered four or moreleadership styles. A majority of Asian leaders (48 per cent) have been found to be using the‘coercive’ style of leadership.North American leaders create the most positive working environments – fewer than half (49per cent) of employees state that the organizational climate is demotivating. However, there isstill room for improvement.Ruth Malloy, global managing director of leadership and talent at Hay Group, comments:“A leader’s behavior is the single biggest factor influencing what it is like to work in a team.Good leadership has the power to energize, engage and motivate staff to go the extra mile fortheir organization. Poor leadership will have the opposite effect, creating a demotivatingatmosphere leading over time to high staff turnover and frequent absences.”
  • News release“At a time when organizations across the world are looking to boost performance and get thebest from their people, it is worrying to discover that so few leaders are creating the climatestheir people need to flourish.”Mohinish Sinha, leadership and talent practice leader at Hay Group India, adds, “Theleadership style in place directly affects the way people feel about working for anorganization – by creating what we call a ‘climate’. So the more leaders can improve theclimate they create, the higher the performance of their team will be.”Stormy climate across Asia and Latin AmericaIn the world’s emerging markets the ‘coercive’ style remains the approach of choice, witharound half of Asian and South American leaders (48 per cent and 60 per cent respectively)citing it as their dominant style. On the other hand, ‘pacesetting’ leadership style remains themost scarcely used in both regions.Leaders are beginning to utilize ‘democratic’, ‘coaching’, ‘affiliative’, and ‘authoritative’approaches, as globalization has impacted local leadership practices and market conditionshave improved. However, just one quarter (24 per cent) of leaders in Asia and one third (37per cent) in South America are presently able to utilize four or more styles.This is reflected in their working environment, where a significant 66 per cent of leaders inAsia and 59 per cent in Latin America are producing demotivating climates.Indian leaders responsible for creating demotivating climatesCompared to the global average of 55, leaders in India are far from the ideal workplaceenvironment, with 70 per cent of leaders found creating a demotivating climate for theiremployees. Both Brazil and China were found to have performed better in this aspect. Theresearch also showed that 2 in every 3 Indian leaders (62 per cent) opt for the ‘coercive’leadership style, compared to just 37 per cent globally.Mohinish Sinha comments, “While the ‘coercive’ leadership style works well in a crisis orduring a period of significant change, its overuse may lead to an erosion of innovation. It isthe ‘coaching’ style of leadership that is most preferred in the Asian context – 81 per cent ofthe most high-performing organizations had leaders using it as a dominant style. We find a‘coaching’ leader focuses on building long-term capability, even at the expense of short-termperformance.”Crisis-torn Europe relies on ‘just do it’ leadershipAs the Eurozone crisis continues, European leaders are falling back on a coercive style ofleadership. Characterized by a ‘just do it’ attitude, the coercive leader takes control,instructing and managing employees with a critical eye.Once a rarely used style in the region, this is now a dominant approach for over one third (31per cent) of leaders – compared to 23 per cent in North America and 24 per cent in the Pacificregion. Unsurprisingly, just 17 per cent of leaders in Europe are able to create a high-performance environment for their employees.
  • News releaseRuth Malloy comments, “With an average of 56 per cent of European leaders creatingdemotivating working climates, there is an urgent need for organizations to help shake leadersout of this crisis mentality. Rather than falling back on the coercive style time and again,leaders should focus on developing a combination of authoritative, democratic, affiliative andcoaching styles in order to help deliver long term business results.”Sunniest climate in North AmericaNorth American organizations are outshining their neighbors, with one third (37 per cent) ofleaders successfully creating an energizing or high performance climate – dominated by theauthoritative leadership style (47 per cent). The research shows North American leaders to betypically good at providing a clear long-term vision for their team. However, there is still aneed for change as almost half (49 per cent) are still creating demotivating climates.It is a similar picture in the Pacific region. With just a quarter (23 per cent) of leaders in theregion mastering four or more leadership styles, it is unsurprising that over half (52 per cent)of leaders are creating demotivating climates.Ruth Malloy comments, “Every style has its place, and each can be effective in differentcircumstances. In the same way a golfer uses a range of clubs, leaders need to utilize multipleapproaches, and be able to adjust them to each team member or business situation. The betterleaders are at adapting their style, and the broader the range of styles they use, the more likelythey are to create a high performance climate.” EndsFor further information please contact:Nidhi Mehra KapoorEmail: nidhi.mehra@haygroup.comPhone: +91 (124) 417 7400Notes to EditorsPlease note: this research should be credited to ‘global management consultancy, Hay Group’, and not ‘Hay’or ‘Hays’, which are separate and unrelated organizations.About the researchThe study is based on analysis of Hay Group’s Styles and Climate data, covering 95,000 leaders in over2,200 organizations across the world.About Hay GroupHay Group is a global consulting firm that works with leaders to turn strategies into reality. We developtalent, organize people to be more effective, and motivate them to perform at their best. With 85 offices in 49countries, we work with over 7,000 clients across the world. Our clients are from the public and privatesector, across every major industry, and represent diverse business challenges. Our focus is on makingchange happen and helping organizations realize their potential. For more information, please visit:www.haygroup.com/inConnect with us
  • News release1 Research started at Harvard University backed up by years of Hay Group practice has shown that amanager can employ six leadership styles: coercive, authoritative, affiliative, democratic, pacesetting andcoaching. Please find brief definitions below.Coercive:Coercive leaders tell staff what to do, and expect them to do it. They then check over employees shoulders,and are more likely to criticize what they are getting wrong rather than praise what they are doing right.Authoritative:The authoritative leader is focused on achieving the long-term direction and vision, and ensuring thateveryone is motivated and working towards the ‘big picture’. Authoritative leaders win people over,convincing them that they want to do the job. They create a positive climate that elicits the best from theteam.Affiliative:The affiliative leader wants everybody to get along. Keen to be seen as ‘just like one of us’, he or she strivesto create harmony within the team by focusing on people rather than tasks. Affiliative leaders trust that ifthey treat their employees well, they will be rewarded with loyalty and high performance.Democratic:The democratic leader wants to get the best from their team by sharing decisions and responsibility. Keen toachieve commitment and consensus, democratic leaders involve team members in the decision-makingprocess. They reward good team performance rather than the work of any one individual.Pacesetting:With a motto of ‘my way is always best’, the pacesetting leader assumes that the most effective way toaccomplish a complex job is to do it his or herself. The pacesetter is highly task orientated, giving detailedinstructions to help team members carry out tasks. He or she expects a job to be done to the very higheststandard.Coaching:The coaching leader pushes team members to be the best they can be. He or she invests the time tounderstand individuals’ strengths and weaknesses, and works with them to achieve their personaldevelopment goals. The style focuses on building long-term capability, even at the expense of short-termperformance.