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Implementing Leadership Change

LDR/531 Organizational Leadership
March 14, 2013

Implementing Leadership Change
Through this paper Learning Team A is going to determine two possible strategies that could be implemented into the Gene One??™s organization, this keeping the company??™s desire to be innovative. Also a SWOT Analysis and different recommendations will be exposed and discussed in order to grasp different areas that should be addressed for the company to achieve the desired outcomes.
Summary
Gene One is a biotechnology company which has faced several issues. The company itself has expanded vastly and rapidly to the point that it has become one of the leaders in the industry. Since the competition on this particular industry is growing in a rapid rate the CEO along with the Board of Directors of the company believe that they will benefit greatly if they decide to go public within the next three years. They decided to put all their efforts and research on the eradication of pesticides on tomatoes and potatoes upfront in order to meet the desired outcomes and goals proposed which are to promote an IPO. Gene One believes they have chosen the perfect timing since stocks arouse, and there is also an interest form Waal Street stockholders and investors in biotechnology. Also they are trying to take advantage on a change of leadership in the FDA which has enhanced the confidence of the potential investors. But since there are always two sides of the story Gene One has its weaknesses too. Gene One does not have the capability or experience to move into the IPO future, a change of strategy is needed from top to bottom in order to obtain success. This strategy or strategies to be implemented will affect the entire organization and could determine whether the company adapts to change, innovates, or simply destroy what was built with so much effort throughout the years.
SWOT Analysis
Strengths
* One of the leaders in Biotechnology
* Innovative research with pesticides
* Evolution form family company to what it is today
Opportunities
* Revenue growth
* Rapid expansion
* Stronger brand name
* Increase customer base
* New technologies
Weaknesses
* Employees lack of commitment
* Poor networking
* Lack of vision
* Lack of experience in IPO
* Lack of goal settings and strategic planning
Threats
* Lack of leadership to adapt to change
* Outsourcing for transition to IPO
* Commitment and compromise to change
* Ineffective open lines of communication

Strategy #1- To create, communicate, and model a vision for the organization in which the transformational leadership to be implemented along with its decisions does not lead to mistrust and negatively impact morale at any level.
The fact that Gene One does not have the experience or the required leadership in order to introduce an IPO makes it really vulnerable. To be able to introduce an IPO the company needs to move in a totally different direction. Furthermore the structure of the leadership is going to be compromised and exposed through the entire process. There is a vast list of things that Gene One may do that can even range from benchmarking (since they don??™t have experience) which will help them in adapting outstanding practices form other organizations which are considered top of the class this becoming a favorable move but not as important as the vision. The vision would let the entire organization and the stockholders ready to invest in which direction the company is going and if they have the capability of doing so. It is not a matter of we would like to or not it is a matter of who is committed to the change and are we capable of changing and diversify. This lack of vision has created an internal battle since not even the CEO of the company acknowledges his leadership capabilities to adapt to his change this promoting an unstable environment. To be able for the employers to support a radical change like this one they must have a vision that does not lead to mistrust. It is not uncommon to have restraining forces to change in a company but in order to achieve positive outcomes these forces must be minimized. Only leader are able to suppress these forces by modeling the vision that is going to be implemented into the organization to be changed. Also goals should not be impossible to achieve, they must be specific in order for that vision to be implemented into them eventually.
The transition that gene One is going to face requires leaders but not normal ones, they need transformational leaders. According to Robbins & Coulter (2012) the fact that the transformational leadership need to stimulate and inspire followers to achieve the desired outcomes is of utmost importance in a scenario like this one (p. 470). Also Yukl (2006) stated;
???The research on charismatic and transformational leadership indicates that a clear and compelling vision is useful to guide change in an organization. Before people will support radical change, they need to have a vision of a better future??? (p. 295). By implementing a transformational leadership style into this particular organization it would lead followers to change their awareness on certain issues and look at old problems in new ways, this translating into the achievement of goals. A balance needs to be established in order for the employees not be impacted negatively by the desired change as we mentioned earlier. Basically just like orders come from top to bottom the vision of the company needs to be implemented as an umbrella effect over the entire organization to influence potential investors, along with the main resource of the company which are the employees.
Therefore, we may say that in order for the Gene One Co. to get involved in an IPO it needs to go through a series of changes that may range from perspectives, opinions, strategies, leadership, and vision and it would even require outsourcing since they are not capable of fulfilling this task with the leadership that they have. This is the main reason why the vision and strategic plans need to be presented upfront first in order to be adapted and attained by the employees.
Strategy #2- To influence and change the company??™s organizational culture and commitment towards it, throughout open lines of effective lines of communication through the entire hierarchical structure
Organizational culture is ???the basic patterns of shared assumptions, values, and beliefs
governing the way employees within an organization think about and act on problems and
opportunities??? (McShane & Von Glinow, 2005 {8}). Culture is at the heart of leadership
according to Harley-Davidson. Microsoft also places a high importance on culture by focusing
on the specific values of honesty, integrity and respect that they ask employees to adopt.
Conversely, it is evident with Wendy??™s that the culture there has been adversely affected by the
lack of communication in their current state of affairs, and their lack of compassion during the
1995 layoffs. Gene One can hope to accomplish this by knowing the organizational culture.
Showing Wall Street that Gene One has the leadership and organizational capabilities to
succeed as a public entity. ???Organizational culture is the basic pattern of shared assumptions,
values, and beliefs considered to be the correct way of thinking about and acting on problems
and Opportunities facing the organization. It defines what is important and unimportant in the
company.

When team members feel free to express themselves or state an opinion that is not the
opinion held by most, then open communication is present. Don Ruiz has decided to effectively
eliminate open communication by asking everyone to be on board or resign. Needless to say,
some resignations were received. General Motors communicated openly with the Union to
reach an agreement that everyone could live with. Harley-Davidson utilizes open
communication to sustain their culture of employee involvement. Similarly, both Microsoft and
Zimasco utilize surveys and evaluations to keep the lines of communication open. Wendy??™s on
the other hand, which is in a bit of disarray, has not placed much importance on open
communication at all.

Looking at the possible alternatives I believe that Gene One would be best served by first
implementing a plan that addresses the attitudes and emotions of its disgruntled employees. A
business is only as good as the people who work there. Once a solid plan has been put in place
to show management??™s concern, attention can then be focused on the processes of going
public. No matter how much revenue the new IPO will generate for Gene One, it does them no
good if their employees are not motivated to work and are constantly feeling that the company
is no longer the right place. Gene One would be taking one step forward (break-though
technologies and increased revenue), but two steps backwards (trust and morale issues
resulting in a lack of production). This is why I believe that the development of a good volunteer
program to reduce involuntary layoffs and minimize emotions of forced reductions is the best
alternative solution, and thus is graded out as adding more value to the company.

.??? Gene One must be committed to improving the organization??™s position in the biotechnology
industry, but cannot forget that committed employees are. In conclusion, this paper
recommends that Gene One deals with the immediate pressures to calm employee concerns by
giving them sympathy and a solution in the form of contract buy-outs. Only after this is
successfully done, can the organization move for to develop an organizational communication
plan and make communication within the organization a priority. Gene One should develop the
message and determine the channels to communicate future strategic organizational changes.
The first step to effective communication is to accurately deliver the message in the least time
possible. Not every employee will take change in a positive way, so Gene One must develop a
strategy to effectively handle emotions and increase emotional intelligence within their
organization. Gene One should be prepared to deal with these not so positive emotions. If left
unattended, these emotions could lead to mistrust, and negatively impact employee morale.
Finally, I believe that the leadership of Gene One must take the necessary steps to enhance
organizational commitment to its employees. This situation has destroyed the sense of
belonging and the security that the employees felt when the organization believed that, ???Edge
is Peoplethe company??™s biggest asset.

References
Robbins, S., & Coulter, M. (2012). Management (11th ed.). Upper Saddle, NJ: Prentice Hall. Retrieved from eBook library
Yukl, G. (2006). Leadership in Organizations (6th ed.) Upper Saddle River, NJ: Pearson/Prentice Hall
Kreitner.R. and Kinicky, A. (2003). Organization behavior: Improving Job Performance with feedback, Extrinsinc Rewards, and Positive Reinforcement (6th Edition). New York: The McGraw Hill Companies.
Kreitner, R and Kinicky, A. (2003). Organizational Behavior: Motivation through Equity. Expectancy, and Goal Setting (6th Edition). New York: The McGraw ??“ Hill Company.

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