Organizational Theory

Improved Essays
Organisational Theory (Classical and Human Relations Schools)
Richard Branson’s business philosophy is based on the human relations framework that is described by the organisational theory (Chang 2014). The school focuses on issues that pertain to communication, leadership, motivation, and group behaviour. It posits that managers should possess appropriate skills to enable them diagnose the causes of human behaviour, interpersonal communication, motivation, and leadership at the workplace (Chang 2014). Branson recognises the power of ensuring employee freedom and respect. He regards sovereignty as the stepping-stone of his success. He also adopts a democratic form of management where there are no established hierarchies. This phenomenal organisation
…show more content…
According to behavioural theorists, one either acts like a leader or does not. In contrast with traits theory, it implies that if we can observe how leaders act, we can codify and measure this behaviour, find out ways to teach it, and help to develop future leaders (Branson 2008). Two underlying behavioural structures characterise leadership in the organisation. There is an orientation towards interacting and relating to other persons and task. A characteristic of Richard Branson is his relationship with employees at the Virgin group. Key practices include employee centeredness, relationship with people, concern for people and task orientation such as concern for production and task cantered approaches to business. The major weakness of the behaviourist theory is that it is concerned only with observable behaviour and ignores frequently unobserved intentions. People’s thoughts and intentions cannot be observed through social cues, and these can be covered behind observable behaviour (Goffee & Jones …show more content…
He is a non-conformist leader who focuses on originality of ideologies and the future. Considered a rebel in the business world, Tuner regularly extends his business into areas that he has no expertise. His ventures range from cable companies, sports franchises, ranching, and restaurant business. This situation is evidently his visionary leadership quality as he transforms old mental paradigms by creating strategies that mismatch with conformist reflection. On the hand, Richard Branson is a transformational leader. His style of leadership creates a vision to guide change through inspiration. He executes the change with the commitment of the members of the group (Scully 2008). This form of leadership is concerned with improving the performance of followers individually to their fullest potential. Branson augments the motivation, morale, and performance of followers through a variety of mechanisms including connecting the follower's sense of identity and self to the project and the collective identity of the organisation (Dauphinais & Price

Related Documents

  • Improved Essays

    Trait theory set out to distinguish successful leaders from unsuccessful ones based on the leaders' behavioural and personality characteristics, and to also identify what distinguishes leaders from followers. Today, it is widely regarded as an outdated assumption and although the traits identified by trait theory are characteristics which some people may naturally possess, it is now thought they can be learned and implemented by leaders who do not necessarily naturally possess the said characteristics and that leaders derive their authority from experience. Basic traits that an effective leader must possess are; self-awareness, self-control, motivation and…

    • 1096 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    “Initiating structure and consideration are independent leader behaviors.” (McCarthy 332). “Behavioral theory also incorporates B.E. Skinner’s theory of behavior modification, which takes into account the effect of reward and punishment.” (Boundless). Also, when leadership uses the behavior model using “a behavior focused approach that provides real marketing potential as behaviors can be conditioned in a manner that one can have a specific response to specific stimuli.”…

    • 795 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Manoj Bhargava, founder of Five Hour Energy, leads his company in ways that corresponds with the two perspectives of transformational leadership Bennis and Nanus and the Kouzes and Posner. Bennis and Nanus theory of transformational leadership has four points: clear vision, social architects, created trust, and creative deployment of self. Bhargava had a clear vision for his company-- “We will produce any product that helps the population.” He created social archtects through the department called Stage 2: Invention Shop.…

    • 751 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    If you fail to motivate your people your company is doomed not to perform well.” Richard Branson now has more than 100 Virgin companies worldwide, employing approximately 60,000 people in over 50 countries. Making him have a networth of 5.1 billion. Richard Branson has left his mark on British business, and since the 1980’s, with his spiraling number of mergers and joint ventures, has had a large hand in world economy as…

    • 1570 Words
    • 7 Pages
    Improved Essays
  • Great Essays

    Elon Musk Analysis

    • 2287 Words
    • 10 Pages

    I consider Elon Musk to be one of the greatest CEOs of our time. He was the founder of Zip2, an online directory service, and PayPal. Musk is presently CEO and CTO of Tesla Motors, a manufacturer of electric vehicles, and SpaceX, a designer of space transport services. Through my analysis of Musk’s exploits, I conclude that his strength as a leader is threefold: his ability to inspire others with his vision, his unwavering motivation to seek profitability through sustainability and purpose, and his unrelenting leadership style borne out of a superhuman work ethic the struggles of entrepreneurship.…

    • 2287 Words
    • 10 Pages
    Great Essays
  • Improved Essays

    It is essential to first take a look at the definition of leadership that Northouse (2013) has identified as practices is which one impacts and influences groups of people in order to accomplish a “common goal” (Sharp, 2015). In module one, Leadership Primer, Sharp explains that in order to be an effective leader, one has to be able to “reach out and engage other people as followers” (2015). This becomes a common goal amongst leaders; however, various approaches and theories base an individual’s leadership ability on different processes. The trait approach explains leadership as assigned and inborn characteristics and argues that all leaders share the same traits such as intelligence and extraversion (Northouse, 2013). On the other hand, the skills approach explains leadership in terms of emergent skills that anyone can develop in order to become an effective leader (Northouse, 2013).…

    • 1304 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    Though there are many great and successful entrepreneurs, I have decided to do my research paper on Richard Branson. Richard Branson is the founder and creator of Virgin Group. Virgin Group generate millions of dollars yearly and are very profitable. Not is only Branson a successful entrepreneur, but he is also a very unique person. He likes to think outside the box and believes that if someone has done it already then you should not do it twice.…

    • 838 Words
    • 4 Pages
    Improved Essays
  • Decent Essays

    After I graduate, my intention is to become an Industrial/Organizational Psychologist in a company setting, providing psychological and research methods to improve the overall work environment. Question 1.(Situational) How would you handle, a new restaurant business with low sales, frequent employees who call out and do not meet their work requirements, and daily complains on food and quality of service?…

    • 721 Words
    • 3 Pages
    Decent Essays
  • Improved Essays

    In this case study, the leadership of Leigh Anne will be evaluated from the perspective of the transformational approach, and applied to a football player named Michael. Although there are other elements from additional approaches present in Leigh Anne’s style, transformational most completely embodies the leadership seen in this case study. In addition, the effectiveness of the approach will also be reviewed, as well as a comparison between Leigh Anne’s and Coach Cotton’s leadership styles. Approach to Leadership After a failed attempt to motivate Michael during football practice by Coach Cotton, Leigh Anne takes the field and tries a more transformational approach (Johnson, Kosove, & Netter, 2010).…

    • 1155 Words
    • 5 Pages
    Improved Essays
  • Great Essays

    3 Organisational Development Theory Much of the academic research on OD points the work of Kurt Lewin who is regarded as a founding father of OD (Mclean, 2005) Lewin was a phycologist, hence much of his theory and models originate from the field of social psychology. The key theoretical roots of action research, group theory and change models came from Lewin’s early work (Cheung-Judge & Holbeche, 2011). They form the underpinnings of many change models including Kotter’s eight stage change model.…

    • 1486 Words
    • 6 Pages
    Great Essays
  • Improved Essays

    In the seventh edition of “Leadership: Theory and Practice”, Peter Northouse presents and explains a variety of leadership approaches such as the Trait Approach, Skills Approach, Behavioral Approach, and Situational Leadership Approach. All of these appraoches attempt to answer the age old question: “What makes a leader a leader?” The first leadership theory that is mentioned in Northouse’s book is the Trait Approach, which was one of the first organized attempts to answer the questions about leadership (p. 19). The Trait Approach focuses exclusively on the qualities and characters of a person and measures their ability to be a leader.…

    • 724 Words
    • 3 Pages
    Improved Essays
  • Decent Essays

    A., & Sanders, W. G. (2009). Strategic management: A dynamic perspective concepts and cases. (2nd ed.). Upper Saddle River, NJ: Pearson/Prentice Hall. Wheelen, T. L., & Hunger, J. D. (2010).…

    • 2717 Words
    • 11 Pages
    Decent Essays
  • Improved Essays

    In practise there are eight management theories separated into two categories: Classical and Contemporary. For the purpose of this assignment I will only be discussing the classical management theories as the contemporary theories are so new that they would be up to date on today’s business climate and are therefore still relevant. SCIENTIFC MANGEMENT This theory is concerned with improving the efficiency of workers. Fredrick Taylor was the individual who brought this theory forward and this was the main theory used in the twentieth century, but still links in to business today because of its two main advantages:  Increases productivity  Increases efficiency…

    • 792 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    There are two major influential people that will be discussed thoroughly in this paper. One is Stephen Jobs and the other is Richard Branson. Both have accomplished incredible achievements in their lifetime. They both share an interesting path to success. To fully understand these peoples’ lives I will compare the two in depth.…

    • 1081 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

     He adopts a “Walk-around” management style. He believes in mix-up with employees and working with them. He believes that while working with his employees he swots innovative or new things about his Airline.  He would never be a good leader if he did not had any experience on how the job goes with and without workers in a business.…

    • 993 Words
    • 4 Pages
    Improved Essays