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Leadership at harley davidson draft 122010

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  • 1. Leadership at Harley Davidson Brandon Furlow Ray Lee Gene Lewis Kyle Mohn MGT 247 – Ethical Leadership December 20, 2010
  • 2. Table of Contents
    • Harley Davidson Motorcycle Company
      • History of Harley Davidson
      • Model the Way (Gene Lewis)
      • Inspire a Shared Vision (Ray Lee)
      • Challenge the Process (Brandon Furlow)
      • Enable Others to Act (Brandon Furlow)
      • Encourage the Heart (Kyle Mohn)
      • Conclusion
  • 3. History of Harley Davidson
    • Started in 1901 with a drawing for an engine for a bicycle by William S Harley
    • In 1907, Harley-Davidson is incorporated
    • By 1920, Harley-Davidson had become the world’s largest motorcycle manufacturer
    • In 1969, Harley-Davidson was purchased by American Machinery and Foundry (AMF)
  • 4. History of Harley Davidson
    • In 1984, after years of declining customer base because of poor quality, 13 investors bought Harley-Davidson back from AMF and implemented a command and control leadership style.
    • In 1987, Harley-Davidson implemented an employee engaged leadership style under the guidance of Rich Teerlink.
    • By 2009, Harley-Davidson’s revenues are $4.781 billion
  • 5. Model the Way
    • Former CEO, Rich Teerlink, had new ideals for everyone to be involved at Harley Davidson
    • A complete re-organization of the company
    • Leadership involvement
    • Salaried and Union employee contribute knowledge for a better company
    • All parties must agree to a new commitment on new set of values and stay firm on ideals
  • 6. Inspire a Shared Vision
    • Company Vision
    • Diversity
    • Community
    • Customer
  • 7. Challenge the Process
    • Changed from top down leadership to self directed work teams
    • Not common in American companies, especially manufacturing/union environment
    • Shared decision making with employees, spread power across the organization
  • 8. Enable Others to Act
    • Shared decision making with employees, spread power across the organization
    • Put power in employees hands and removed road blocks to change
    • Increased employee satisfaction and buy in
    • Improved productivity and customer satisfaction
  • 9. Encourage the Heart
    • Harley Davidson employed a “ command and control” leadership style
    • Authoritarian style worked well in crisis times, leadership drove decisions
    • Rich Teelink, promoted to COO in 1987, wanted to initiate change, failed with gain sharing
    • Drove employee involved leadership style which encouraged outside the box thinking
    • Rewarded with annual H.O.G. celebrations
  • 10. Conclusion
    • Harley Davison was able to overcome adversity from AMF days
    • Change in leadership style and moving to self-directed teams created employee involvement
    • Worked through learning curve of leadership change (i.e. failure of gain sharing program)
    • Harley Davidson continues to remain profitable
    • Number one motorcycle manufacturing company in the United States
  • 11. References
    • All Business (2000, December 1). Duvall, High-performance partnering by self managed teams in manufacturing. Retrieved November 2, 2010 from
      • http://www.allbusiness.com/management/1135404-1.html
    • HarleyDavidson- http://www.harley d avidson.com/en_US/Content/Pages/home.html
    • The Leadership Journey at Harley Davidson, By Teelink, Richard, Corporate University Review, 10874755, Mar/Apr2001, Vol. 9, Issue 2
    • http://web.ebscohost.com.libweb.ben.edu/ehost/detail?vid=11&hid=17&sid=967822f3-3ecf-4416-bc83-4b7caae3ac24%40sessionmgr11&bdata=JnNpdGU9ZWhvc3QtbGl2ZQ%3d%3d#db=bsh&AN=4407849
    • Harley’s Leadership U-Turn. By: Teerlink, Rich, Harvard Business Review, 00178012, Jul/Aug2000, Vol.78, Issue 4
    • http://web.ebscohost.com.libweb.ben.edu/ehost/detail?vid=3&hid=17&sid=18dae7e6-09d6-446c-a0a5-61883365fb47%40sessionmgr11&bdata=JnNpdGU9ZWhvc3QtbGl2ZQ%3d%3d#db=bsh&AN=3261336
    • Ethics and Leadership Under the Magnifying Glass. By: Clason, Patricia, March 1, 2001
    • http://www.minnesotajobnetwork.com/articles/title/Ethics-and-Leadership-Under-the-Magnifying-Glass/682/6
    • Harley Davidson main webpage. Retrieved Dec.11, 2010
    • http://www.harleydavidson.com/en_US/Content/Pages/Company/company
    • Harley Davidson main webpage on Diversity. Retrieved Dec.11, 2010
    • http://www.harleydavidson.com/wcm/Content/Pages/Diversity/diversity
    • Harley Davidson main webpage on Community. Retrieved Dec.11, 2010
    • http://www.harleydavidson.com/en_US/Content/Pages/Foundation/foundation
    • Harley Davidson main webpage on Customer Commitment. Retrieved Dec.11, 2010
    • http://www.harleydavidson.com/wcm/Content/Pages/HOG/mission

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