Problem 3: Leadership Issue:

The lack of support and guidance from the General Manager towards Lina Patel, the new
branch manager, demonstrates ineffective leadership within the organization. Despite
adopting a dynamic approach and aiming to implement positive changes, Lina faces a
lack of direct support and supervision from the general management, impeding her ability
to implement initiatives and effectively resolve issues

 Simran
 no cooperation within other teams or areas
 he ignores requests from Emily (catalogue supervisor)
 he takes responsibility of tasks that are not atribuible to him, because
“he thinks the way he performs is the best”
 other managers does not like him
 His team likes him (he is supportive to them)
 Brock
 he can make life miserable (bad manners and ill treatment)
 Made a report to Lina about customer’s complains
 Managers
 lenient pattern of management
 aspire to replace Lina as store manager
 Friction between supervisors
 ”tie relations” within managers and board directors
 great influence of Brock and Simran within the organization
 Lack of on taking decisions since Lina is “on her own”
 No support from General Manager and head office

Chapters that we need to read to analyze the Leadership issue:

Ch. 12: Defining Leadership; Three Leadership Perspectives; Leadership Theories;
Cross-Cultural and
Gender Issues
Ch. 10. Power and Influences; Sources of Power in Organizations; Contingencies of
Power; Influencing Others; Organizational Politics
2.2. Analysis of the situation. According Path-Goal Theory

In this step, application theory is utilized to Predominant one or two styles in the company,
determine the causes and implications of the and don´t put attention to the contingencies.
identified problems. The following questions may Directive and participate.
prove helpful in your analysis:
• What are the facts? (Distinguish between case
fact and someone's opinion).
• What inferences can I make from the facts? Do
the facts support the inferences I have made?
• What theories or models could I apply to this
data in order to better understand what is going on
and why?
• Have I made good use of theory?
• Have I examined the apparent consistencies and Perspective Mangerial leadership: a leadership
inconsistencies in the case? perspective stating that effective leaders help
• Are there multiple causes to the identified employees improve their performance and
problems? well-being toward current objectives and
• Have I drawn clear implications and conclusions practices. It differs from transformational
from my analysis? 4 leadership by assuming that the environment
is stable (vs. dynamic), and micro-focused
When developing your analysis, ensure that you (vs. macro-focused).
are NOT rehashing the case or evaluating ─ what
should have been done or Analyisis personal attributes of leaders

Startegic visión???

Directive leadership: Task-oriented behaviors;

provide a psychological structure for
subordinates
 Female leadirship

2.3. Establish Decision Criteria.

What criteria will you use to make your decision?
The criteria may be qualitative or quantitative; Don´t use leadirship according to the
however, it must be specific and clearly stated. contengencies and don´t put attention to external
These criteria will help you assess alternative changes.
solutions so that you will choose the best
alternative. Your final recommendation must
support your criteria established. An example of
decision criteria would be: minimum 15% return
on investment with no loss in job satisfaction of
organizational members.

2.4. Generation of alternative solutions

Generate a few alternatives and evaluate these

alternatives against stated criteria. When
generating alternatives, pros and cons, and
consequences, don't settle for only one or two or
confine yourself to the obvious; in all cases, a
reasonable number and range should be examined.
Alternatives should represent the major possible
options the decision maker needs to consider and
not be a laundry list of possible actions. If there is
no real choice amongst alternatives, you probably
do not have a good list of alternatives! These
more detailed elements of the alternative that is
selected can be set out in the recommended action
plan.
2.2. Analysis of the situation. Problem 3: Leadership Issue

Facts:

 EMPLOYEE CONTINGENCIES
o SKILLS/ EXPERIENCE
 Lina had a degree in Commerce from the University of York with a
specialization in Retail Management and was hired three years ago
as a "management trainee."
 Lina had moved from one store to another and had been exposed
to various functions in the central office.

o LOCUS OF CONTROL
 INTERNAL: Lina Patel is described as dynamic and promising, and
her promotion has arisen as a result of her effort and work
 EXTERNAL: The supervisors are accustomed to a more permissive
and relaxed management approach and focus their relationships
with management to exert some influence and [Link]
Edwards, as well as Simran Gill, had direct access to the central
office and exerted significant influence within the organization.

 LEADER EFECTIVENESS
o EMPLOYEE MOTIVATION
 Friction among different supervisors, competitive environment for
Lina Patel's position that generates a negative environment not
conducive to motivation.
o EMPLOYEE SATISFACTION
 Dissatisfaction on the part of Brock Edwards and Simran Gill for not
being chosen for Lina Patel's position.
 Several employees aspired to replace her as store manager

o LEADER ACCEPTANCE
 As a leader, she had to make many decisions and take actions that
might not please everyone.
 She realized that several of her employees aspired to replace her as
store manager.
  Brock ignored the appropriate channels and addressed the
concerned salesperson directly, giving them a good scolding

 ENVIRONMENTAL CONTINGENCIES
o TEAM DYNAMICS
 The store manager reports to the General Manager located in the
central office.
 For all practical purposes, Lina was alone, as the central
headquarters was far away, and the General Manager did not
interfere in daily decision-making.
o TASK STRUCTURE
 Employees were quite accustomed to a relaxed approach to work
and a "permissive" management pattern.
 Most things (including reports and instructions) were done
informally and in a fairly casual manner.

 LEADER BEHAVIOURS

o The General Manager decided to hire Lina Patel who could transition the
autocratic leadership (DIRECTIVE) style to a more dynamic approach
o Simran, al preparar el catálogo, tendía a ignorar las solicitudes hechas por
la supervisora del catálogo
o la actitud de Brock Edwards hacia los gerentes de ventas del departamento
malos modales de Brock y el maltrato a los vendedores e incluso a los
gerentes de ventas

Inferences

EMPLOYEE CONTINGENCIES:

The permissive and relaxed organizational culture suggests that employees may have an
external locus of control, attributing their success or failure in the workplace to their
superiors' management style rather than their own skills or efforts.
Brock Edwards and Simran Gill show dissatisfaction and resentment towards the
decision to hire Lina Patel as manager, suggesting they had aspirations for promotion
within the company and may have felt overlooked

LEADER EFFECTIVENESS:

Lina Patel's initiative to implement changes and establish stricter rules indicates her
perception of the need for greater internal control within the branch, contrasting with
the previously established culture of external control

Employee dissatisfaction and friction among supervisors may indicate a lack of

effectiveness on the part of leaders in creating a positive and productive work
environment.

ENVIRONMENTAL CONTINGENCIES:

The negative work environment and poor communication between leaders and
employees are examples of environmental contingencies that can negatively affect
employee motivation and satisfaction.

LEADER BEHAVIOURS:

Brock Edwards's and Simran Gill's dissatisfaction and resentment towards Lina Patel's
hiring decision reflect negative behaviors that can affect team morale and performance.

Lina Patel's initiative to implement changes suggests a behavior oriented towards

control and performance improvement, although it may encounter resistance from some
employees..

Model
The model that best fits the analysis of this case is the Path-Goal Leadership Theory.
According to the book, "path-goal theory predicts effective leadership better than does
transformational leadership" (Page 328). The theory emphasizes adapting leadership
style to the employee's situation to influence their expectations and achieve desired
outcomes. This understanding is relevant in this case as the leader needs to adjust their
behavior according to the employees' needs and the environmental contingencies
present.

Multiple causes to the problems

Firstly, middle managers and supervisors exhibit a directive leadership style and fail to
consider the contingencies and changes in their environment. While the general
manager recognizes the need for less directive and more participative leadership, it
seems that Lina, tasked with promoting new leadership at the headquarters, realizes the
necessity of combining various leadership styles to address the permissive and relaxed
approach of the employees, which hinders the company's objectives.

Secondly, the company needs a better understanding of contingencies related to

employee, environmental, and leader effectiveness. Inconsistencies in leadership styles
contribute to difficulties in work teams and Lina's ability to lead. Influences from
individuals like Brock Edwards and Simran Gill at the headquarters may disrupt
employee dynamics and efficiency. Additionally, high competitiveness and low
cooperation among employees hinder collaboration and create a sense of competition
rather than teamwork.

Conclusion of the Analysis

In conclusion, the case of North Bay highlights several challenges related to employee
contingencies, leader effectiveness, environmental contingencies, and leader behaviors.
The permissive and relaxed organizational culture, combined with the dissatisfaction and
resentment of certain individuals like Brock Edwards and Simran Gill, indicates a need for
a shift in leadership approach to foster a more positive work environment and enhance
employee motivation and satisfaction.

Lina Patel's initiative to implement changes and establish stricter rules reflects a
recognition of the need for greater internal control within the branch. However, this may
encounter resistance from employees accustomed to a more informal and casual
management style.
The Path-Goal Leadership Theory emerges as a suitable model for addressing the issues
present in this case. This theory emphasizes the importance of adapting leadership style
to the employee's situation and environmental contingencies to achieve desired
outcomes. By understanding and addressing these multiple causes to the problems,
North Bay can work towards creating a more conducive work environment, enhancing
employee satisfaction, and ultimately improving overall organizational effectiveness.

2.3. Establish Decision Criteria.

Impact on Employee Motivation and Satisfaction:

Criterion: Solutions must improve employee motivation and satisfaction, reducing the
friction and negative environment identified in the analysis.
Metric: Employee satisfaction surveys, personnel turnover rates, direct feedback from
employees.

Alignment with Organizational Culture:

Criterion: Solutions must align with the current organizational culture and be accepted
by employees and leaders.
Metric: Organizational culture surveys, perception of employees and leaders on the
viability and acceptance of the solution.

Improvement of Leadership Effectiveness:

Criterion: Solutions must enhance leadership effectiveness by addressing identified

deficiencies in the analysis.
Metric: Leadership performance evaluations, employee feedback on leadership through
focus groups, team performance indicators through charts evaluating performance by
areas and functions.

Impact on Communication and Collaboration:

Criterion: Solutions must enhance communication and foster collaboration among

leaders and employees, as well as among employees themselves.
Metric: Identify the employee turnover rate and decrease in complaints among
supervisors, such as comparing data before and after the solution implementation.

Implementation Cost:
Criterion: Solutions must be feasible to implement and maintain, considering financial
resources, time, and effort required.
Metric: Cost and resource estimation, implementation timelines, availability of internal
and external resources

2.4. Generation of alternative solutions

Alternative 1: Implement a Combination of Leadership Styles

Pros:

Maximizes effectiveness by adapting leadership style to specific situations and employee

characteristics.
Addresses the identified problems in the case of North Bay by providing a flexible
leadership approach.
Encourages employee engagement and motivation through participative leadership.
Provides clear direction and expectations through directive leadership.
Fosters a supportive and collaborative work environment.

Cons:

Requires careful monitoring and assessment to ensure the appropriate application of

each leadership style.
May require additional training and development for leaders to effectively implement a
combination of styles.
Potential resistance from employees accustomed to a specific leadership approach.

Consequences:

Improved employee motivation, satisfaction, and performance.

Enhanced team dynamics and collaboration.
Increased effectiveness of leadership in addressing organizational challenges.
Greater adaptability to changing circumstances and contingencies in the work
environment.

Alternative 2: Focus on Developing Specific Leadership Skills

Pros:
Provides targeted development opportunities for leaders based on identified areas of
improvement.
Allows leaders to enhance their effectiveness in specific areas such as communication,
change management, teamwork, and conflict resolution.
Offers a more streamlined approach to leadership development compared to adopting
multiple styles.

Cons:

May not fully address the complexity of leadership challenges present in the case of
North Bay.
Could result in leaders lacking versatility in adapting to different situations and
employee characteristics.
Might overlook the benefits of a holistic approach to leadership development.

Consequences:

Improved proficiency in key leadership competencies.

Enhanced leadership effectiveness in specific areas.
Potential gaps in leadership skills may remain unaddressed, limiting overall
effectiveness.

Alternative 3: Implement Structured Communication Channels

Pros:

Facilitates clear and effective communication between different levels of the

organization.
Reduces misunderstandings and ambiguity by providing formal channels for information
sharing.
Improves coordination and alignment of goals and objectives across departments and
levels.
Enhances transparency and accountability in decision-making processes.

Cons:
May encounter resistance from employees accustomed to informal communication
channels.
Requires time and resources to establish and maintain structured communication
channels.
Potential challenges in ensuring compliance and adherence to established
communication protocols.

Consequences:

Improved coordination and collaboration among employees and leaders.

Enhanced clarity and transparency in organizational communication.
Increased efficiency and effectiveness in decision-making processes.
Greater alignment of actions and goals across the organization.

What criteria will you use to make your decision? The criteria may be
qualitative or quantitative; however, it must be specific and clearly stated. These criteria will
help
you assess alternative solutions so that you will choose the best alternative. Your final
recommendation must support your criteria established. An example of decision criteria would be:
minimum 15% return on investment with no loss in job satisfaction of organizational members.

InferencesProblem 3: Leadership Issue

2.2. Analysis of the situation. Problem 3: Leadership Issue

The model that best fits the analysis of this case is the Path-Goal Leadership Theory. According to the

book, "path-goal theory predicts effective leadership better than transformational leadership" (Page 328).

The theory emphasizes adapting leadership style to employees' situations to influence their expectations

and achieve desired outcomes. This understanding is relevant in this case as the leader needs to adjust

their behavior according to the employees' needs and the environmental contingencies present.

Facts:

A) Employee Contingencies: Regarding skills/ experience, we can find that Lina has a degree in

Commerce from the University of York specializing in Retail Management, has been a "management

trainee," and has experience inside the company. Regarding the internal locus of control, Lina is
described as dynamic and promising, and her promotion has arisen due to her effort and work. External

locus is related to permissive and relaxed management.

B) Leader Effectiveness: Friction among different supervisors and a competitive environment for Lina

Patel's position generate an adverse effect that is not conducive to motivation. Dissatisfaction on the part

of Brock Edwards and Simran Gill for not being chosen for Lina Patel's position, the aspiration of several

employees to replace her, and Brock's inappropriate use of communication channels show a lack of

acceptance of Lina's leadership.

C) Environmental Contingencies: The centralization of communication in the main office generates

team dynamics, in which power is concentrated in the main office, and the permissive management

pattern makes the structure of the task informally and reasonably casual.

D) Leader Behaviors: two types of leader behavior in the company are autocratic (Simran and Brock are

examples) and dynamic approach (Lina Patel).

Employee contingencies: The permissive and relaxed organizational culture suggests that employees

may have an external locus of control, attributing their success or failure in the workplace to their

superiors' management style rather than their skills or efforts.

Leader effectiveness: Lina Patel's initiative to implement changes and establish stricter rules indicates

her perception of the need for greater internal control within the branch, contrasting with the previously

established culture of external power.

Environmental contingencies: The hostile work environment and poor communication between leaders

and employees are ecological contingencies that can negatively affect employee motivation and

satisfaction.

Leader behaviors: Brock Edwards's and Simran Gill's dissatisfaction and resentment towards Lina

Patel's hiring decision reflect negative behaviors that can affect team morale and performance.