Full Answer Section

Listo Systems: A Case of Leadership Challenge and Organizational Drift

Organizational Level 1: Key Players (Stakeholders) and Business Ideas (Purpose)

Key Players (Stakeholders):

• Employees: The line staff who directly produce graphic design products and services.

• Supervisors and Managers: The newly added layer of hierarchy responsible for overseeing employees and reporting to executive management.

• Executive Management: Responsible for setting overall vision, mission, and strategic direction.

• Customers: The recipients of Listo’s graphic design products and services.

Business Ideas (Purpose):

• Providing quality graphic design products and services: This is the core of Listo’s business, ensuring customer satisfaction and brand reputation.

• Developing innovative solutions: This involves using state-of-the-art technology and continuous improvement to stay ahead in the market.

• Building a strong team culture: Fostering teamwork and leadership to enhance employee engagement and productivity.

Leadership Challenge Response: Establishing

The most appropriate leadership challenge response for Listo Systems is Establishing.

Rationale:

• Lack of Clarity: Listo’s rapid growth has resulted in a lack of clarity regarding organizational goals and objectives. The addition of new layers in the hierarchy has created a disconnect between executive management’s vision and the everyday experiences of employees.

• Misaligned Actions: The increased focus on production and profit, coupled with a directive management style, has led to a disconnect between the stated mission and actual practices.

• Erosion of Culture: The original emphasis on teamwork, innovation, and leadership has been overshadowed by a bureaucratic structure and lack of employee engagement.

Applying Relevant Theories:

• Mintzberg’s Managerial Roles: The case highlights a breakdown in Interpersonal Roles, particularly leadership. Executive management has failed to effectively communicate the vision and mission, resulting in a lack of understanding and commitment among employees.

• Fayol’s Principles of Management: The lack of proper training and the move towards a more directive management style violate Fayol’s principle of esprit de corps, which emphasizes teamwork and unity.

• Herzberg’s Motivation-Hygiene Theory: The current situation is likely creating hygiene factors (dissatisfiers) like poor communication, bureaucracy, and lack of recognition, leading to employee dissatisfaction and decreased productivity.

Establishing the Right Course:

Listo Systems needs to re-establish a clear understanding of its vision and mission. This requires:

• Effective Communication: Open and transparent communication channels are essential to ensure everyone understands the organization’s goals and how their work contributes to them.

• Training and Development: Investing in training for new employees, as well as ongoing professional development for all staff, is critical to building skills and aligning actions with the mission.

• Employee Engagement: Enlisting employees’ ideas and feedback is crucial to fostering a culture of innovation and commitment. A more participative leadership style is needed.

Conclusion:

By establishing a clear vision, mission, and set of values, Listo Systems can re-energize its employees, improve productivity, and solidify its position as a leader in the graphic design industry.