Effective Leadership Styles For Building Trust And Commitment In Organizations

Part 1: Trust and Commitment Plan

Part A 1.0 Trust and Commitment Plan 

1.1 Analysis of leadership styles and effectiveness/limitations 

The three effective leadership styles that is most suitable for communicating the management strategies to the subordinates are- transactional leadership, participative leadership and situational leadership style.

McCleskey (2014) stated that transactional leadership highlight the nature of a leader, who reward their people on fulfilling their direction properly and also punish them if the subordinates are unable to meet the said instructions. Chemers (2014) highlights that the transactional leadership style help in motivating people by giving them rewards for following the instructions. The role of building trust comes as this leadership style omits all the confusion related with understanding of the given instruction. On the other hands, the downside of transactional leadership is that some employee might not be able to utilize their creative mindset for accomplishing the goals as they will be punished for not fulfilling the instructions.

Participative leadership on the other hand invites subordinates to make the decision for the betterment of the organization Antonakis and House (2013). Employees are allowed to identify important goals and relevant procedures to accomplish the goals Yukl (2012). The prime benefits of this leadership style that is highlighted by Lussier and Achua (2015) is that it motivates the job satisfaction among the employees as they can sense the feeling of being values by the organization. Von Krogh et al. (2012) however argued that it slows down the process of implementing any change if required in a short interval of time. Moreover, this style also allows all the employees to be aware of all the upcoming changes or strategies that can leads to security issue for the company.

Lastly, the situational leadership style refers to the situation, where the leader adjusts their style according to the development level of the subordinates (Wren 2013). Amanchukwu et al. (2015) highlighted that this leadership style help in building trust with the employees as the leaders communicate in the way that is preferable by the employees. The leaders not only direct their employee regarding the organizational goals but also coach them and participate in job duties where the subordinate require intense guidance (Day et al. 2014). This will help the employee to develop a sense of trust and respect with the leader. The situational leadership is easy to implement and the leaders do not need to follow a particular direction to maintain their leadership style but suffers from the drawback for formulation of confusion and lack of consistent leading style (Allio 2012).

An analysis of 2-3 leadership styles and the effectiveness/limitations of each

1.2 Justification for choosing the selected leadership style 

The taken approaches are for building trust are:

Approaching areas	Planned approaches	Justification for the approaches
Decision making	Including employees in all meeting and conferences	This will help the employees to develop the sense of being an impotent asset and they also can see their leaders to listen to their queries and concerns.
Implementing two-way communicating and feedback session	The feedback allows the employee to reflect their positive and negative comment related to the undertaken strategies. The two-ways communication approach also maintains transparency that furthermore built the trust and commitment towards the organization.
Dealing with diversity	Developing policies according to organizational goals	Strict polices for working in unison attract, develop and retain the best employee. These policies will also help people from different background to work with respect.
Celebrating the different to develop synergy	This approach and identify the strength and weakness of all the individuals and allow the managers to segregate the job responsibilities to the fittest one, which furthermore motivate people to remain committed with their job as they can utilize their strength to perform the job roles.
Change management processes	Sponsor Activities and Sponsor Roadmaps	The predefined plan prior to the implementation of the change in business help the employee to sustain the change and develop the sense of trust as company want the employee to adopt the plan and remain in the organization.
Training Development for managers and employees	The training session also reflects the desire of the company to help people to outperform during the transition time.
Flexibility and adaptability	Developing effective performance management system	The company set the target for each employee and on allowing people to fulfill the target according to their plan results in implementing flexibility. The measurement of the performance regularly allows the employees and managers to keep track concerning the progress of the employees.
Rewards the employees with financial and no-financial benefits	Rewarding employee will develop the morale to work hard for accomplishing their goals.  The lucrative rewarding offers also enhance their adaptability towards the changed plans and strategies.
Networking	Develop an online social portal for effective communication	This approach will allow the employee of the organization to share their concern without any hesitation. This approach also allows the employee to connect wt each other even after the office hours.

1.3 Building and supporting a team

 

Aspects considered build and support team	Strategies undertaken for build and support a team
Creating a positive work environment	· The leaders should have to give positive feedback and constructive response in case an employee need guidance to fulfill their job roles and responsibilities. · Offering flexible working environment where employee can attend their destined working hours according to their convenience · Developing a gamified working environment so that employee feel happy to work in the office and understand all their job requirements · Formulating de-centralized organizational structure and two-way active communication approach so that employee can deliver their concern directly to the leaders ad managers.   · The leaders should acknowledge to every idea suggested by the employees so that they can feel motivated to work with more effort for the company. They should also appreciate the achievements and recognize them regularly
Assigning responsibilities	· Segregating the job responsibilities compared to all the job designation present in the organization · Measure the job performance by using analytics tools to identify whether or not all the employees are able to meet their assigned roles. · Identify the strength of the employees to provide them with challenging roles and responsibilities. · Offer the employee with on-job training or instruction so that they can understand new objectives of their job roles.
Resourcing	· Implement technological changes in order to identify the people, who can make themselves compatible with the change and utilize the implemented change. · Utilizing the concept of market stagnation so that the organization can monitor the cost involved for each employees. · Developing effective retention strategy like more organizational benefits and family benefits so that people can remain in the organization and can reduce the voluntary employee turnover.
Encouraging innovation	· Development of projects in which employees are allowed to suggest strategies for accomplishing the desired goals. · Inter organizational competition for suggesting most innovative ways to attain the new project objectives. · Redefining incentives and rewards for all the employees on highlighting unique ideas and suggestions · Take feedback from the employees regarding the necessary tools so that they can optimize the working procedure implemented to perform particular project objectives.   · Encouraging experiments and celebrating failures so that employee can boost their moral for developing new ways so that failures can be minimized.

1.4 Approach to risk management and response to incidents

The approach to risk management is to list down all the weakness related with the project. The second step for risk management approach is to set some alternative so that the possible weakness can be overcome. Boin et al. (2016) suggested that including all the employees in the decision making approaches also allow the mangers and leaders to identify unique ideas and an agreed upon ideas that all the employees can accept without any problem.

The response of the risk management is to address all the weakness with alternative ideas suggested by employees. This can be implementing by conducting internal employee survey to group meetings (Glendon et al. 2016). Alison and Crego (2012) highlight another benefit that in this ways the managers not only able to improve the interpersonal relationship with the employees but also develop sense of trust and commitment among the employees.

1.5 Strategies for ensuring the organization is well represented in media and community 

Utilizing formal e-mails to convey messages- Shen et al. (2013) stated that employee may get offended if they are not making aware of any instruction related to their job and policies of the working environment. Thus it is important for the manager to provide such information through a medium, where all the messages can be distributed to all the employees equally and without biasness. Williams et al. (2012) stated that the advantage of utilizing the e-mail approaches is that all the employees can see that every other working personnel are receiving the same messages and information. This strategy will help in developing the feeling of trust and equality among all of them.

Focusing on traditional media- Traditional media for transmitting the message are news bulletins, notice boards and company’s handbook (Lovejoy and Saxton 2012). Feng et al. (2015) highlight that these traditional media do not target individual people and help in conveying messages all together to everyone. Company can focus on these mediums for handing over the information related to the employee’s code of conduct, organizational policies, the do’s and don’ts of organizational regulations and ethics. This process also removes the biasness and helps in developing trust among the employees.

Personalizing the contemporary application- Another method to ensure that the organization is well represented in media and community is communicating through social media (Keyton et al. 2013). However, Stieglitz and Dang-Xuan (2012) stated that personalization of these social media will be beneficial for the organization as it includes all the employees to communicate with each other in an informal way. This informal interaction also helps the organization to develop the sense of equality and trust as all the management people are also a part of that social media application.

The approach (and why you chose this) you will take to build trust and commitment with reference to all of the following areas:

2.0 Targeted communications 

2.1 Targeted and varied communications

The organization industry that is considered for this assessment is a retail organization.

2.1.1 A group presentation

Organizational Mission

• To serve all customers with premium quality of products at affordable cost
• To obtain loyalty of customers and ensure their commitment through best customers services
• To treat all the employees with equality and provide them maximum benefits

Organizational Vision

• To extract all the business opportunity for the organizational growth
• Appraising the skills of all the employee and offer them with suitable job roles
• Promote the brand in community through corporate social responsibility

Organizational goals or objectives

• Increase the customer base by 15% in coming 2 years
• Diminishing the budget cost by 7% in 5 years
• Enhancing the employee retention rate by 25% in coming 5 years
• Increase market share by 9% in 3 years

Specific responsibilities of work groups and individuals in achieving these goals

Human resource department

• Maintaining the employee retention rate and resolving conflicts
• Diminish employee turnover rate
• Making all the employee are of the code of conduct and take proper induction
• Making all the employees understand the organizational ethics
• Provide effective training through analysis of strength and weakness of all the employees
• Identifying areas of improvement in the organizational policies and strategies

Marketing Department

• Research on recent customers demands and needs
• Tracking the recent trends and future the upcoming inclination
• Monitoring the market competition
• Transmitting brand values

Customer Care Department

• Maintaining customer accounts
• Understanding all the users complaints
• Provide them the correct solution to their problem
• Maintaining financial accounts along with processing customer adjustments
• Prepare product or service reports

2.1.2 A short report 

This report represents the organizational mission, vision along with the Key organizational goals or objectives and defines the specific responsibilities of work groups and individuals so that they can attain desired organizational goals. Moreover, this report also highlights the strategies and policies in achieving those goals.

1.0 Organizational mission

The organization’s mission is to serve all customers with premium quality of products at affordable cost, to obtain loyalty of customers and ensure their commitment through best customer services and to treat all the employees with equality and provide them maximum benefits.

2.0 Organizational vision

The vision of the organization is to extract all the business opportunity for the organizational growth, appraising the skills of all the employees and offer them with suitable job roles and to promote the brand in community through corporate social responsibility.

3.0 Organizational goals and objectives  

Some of the selected goals of the organization is to increase the customer base by 15% in coming 2 years, diminishing the budget cost by 7% in 5 years, enhancing the employee retention rate by 25% in coming 5 years and increase market share by 9% in 3 years.

4.0 Responsibility of team

The three most important departments for this organization are- human resource department, marketing department and customer care department. There role need to specified in order to obtain the desired goals and objectives of the organization.

4.1 Role of human resource department

The main role is to maintain employee retention rate and resolving conflicts, diminish employee turnover rate, making all the employee are of the code of conduct and take proper induction, making all the employees understand the organizational ethics, providing effective training through analysis of strength and weakness of all the employees, identifying areas of improvement in the organizational policies and strategies

4.2 Role of marketing department

The role of the marketing department are to research on recent customers demands and needs, track the recent trends and future the upcoming inclination, monitor the market competition and transmitting brand values.

4.3 Role of customer care department

Part 2: Targeted communications

Customer care need to fulfill the responsibilities of maintaining customer accounts, understanding all the users complaints, providing users with correct solution to their problem, maintaining financial accounts along with processing customer adjustments and preparing product or service reports.

5.0 Undertaken policies and strategies

The company needs to develop policies for confidentiality, community resource index, processes for networking with stakeholders, guidelines for case conferencing, policy for data retention and storage, ethics in practice, duty of care guidelines, occupational health and safety guidelines, conflict resolution processes, complaints and disputes procedures.  

2.1.3 Company’s web page 

Welcome to ABC Retail Plc.

Unwavering dedication

We aim for giving quality service to all customers with premium quality of products at affordable cost and to obtain loyalty of customers along with ensuring their commitment through best customer services and to treat all the employees with equality and provide them maximum benefits.

500 stores at present time

We have total of 5,000 team members and we are serving 100,000 customers on a daily basis.

What our vision are:

• To extract all the business opportunity for the organizational growth
• Appraising the skills of all the employee and offer them with suitable job roles
• Promote the brand in community through corporate social responsibility

What we strive to obtain:

• Increase the customer base by 15% in coming 2 years
• Diminishing the budget cost by 7% in 5 years
• Enhancing the employee retention rate by 25% in coming 5 years
• Increase market share by 9% in 3 years

Our main contributors:

Human Resource Department

Marketing Department

Customer Care Department

Responsibility of Human resource department

• Maintaining the employee retention rate and resolving conflicts
• Diminish employee turnover rate
• Making all the employee are of the code of conduct and take proper induction
• Making all the employees understand the organizational ethics
• Provide effective training through analysis of strength and weakness of all the employees

Marketing Department

• Research on recent customers demands and needs
• Tracking the recent trends and future the upcoming inclination
• Monitoring the market competition
• Transmitting brand values

Customer Care Department

• Maintaining customer accounts
• Understanding all the users complaints
• Provide them the correct solution to their problem
• Maintaining financial accounts along with processing customer adjustments
• Prepare product or service reports

 We want you to prosper and satisfy our customer…!

2.2 Justification of the approach taken

2.2.1 A group presentation

This approach is taken as this is the most formal way to represent the main objectives of the project, organization and group work. Presentation contains only bullets points and contains pictorial representation and sometimes people use animation to make the group presentation attractive. The group presentation refers to all the employees as hence diminished the sense of being biased and enhance the feeling of equality. Group presentation also allow other people to participate in the discussion and share their positive as well as negative concern regarding the topic.

This is a formal report and can be published in the organizational handbooks and annual reports. The contents of the report are formal and reader need to read all the instructions for gaining the main key points discussed. People can read this report according to their convenience. Presentations suffer from a drawback that only the key points and lack the detailed discussion. However, report contains the statistical data and the genuine description of the addressed key points.

People prefer to spend time in internet and hence like portable documents that can be read through their mobile devices. Moreover, the company’s website is the official site to publish any data related to their organizational aims, objectives and goals. This will enhance the feeling of bring trust as not marketer publish wrong data on their website as it will have their brand reputation. Moreover, web page is selected as it literally communicates company’s brand position and promise in a very friendly language that triggers the motive of remaining associated with the organization.

The three effective leadership styles that are most suitable for communicating the management strategies to the subordinates

Conclusion:

This report focuses on trust and commitment plan which comprised of analysis of leadership styles and effectiveness/limitations. This report highlight there important leadership style that is transactional leadership, participative leadership and situational leadership style. Moreover, the justification for choosing the selected leadership style is also discussed followed by approaching areas that highlight decision making, dealing with diversity, change management processes, flexibility and adaptability and networking. In addition to that, aspects considered for building and supporting team are creating a positive work environment, assigning responsibilities, resourcing and encouraging innovation. Moreover, approach to risk management and response to incidents, strategies for ensuring the organization is well represented in media and community is also discussed. The representation of the media and community can be obtained through utilizing formal e-mails to convey messages, focusing on traditional media and personalizing the contemporary application. Lastly, the three targeted communications selected for this report are a group presentation, a short report and company’s web page.

Reference: 

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