Question 1: Think of an instant in which you had to transmit bad news to another person (e.g. firing, unwanted transfer). Were you reluctant to share the information? How did you respond to the situation? Describe
Answer
What is bad news? Bad news can be defined as any information, which adversely and seriously affects an individual’s view of his or her future or in situations where there is either a feeling of no hope, a threat to a person’s mental or physical well being, risk of upsetting an established lifestyle or where message is given which conveys to an individual fewer choices in his or her life. The common denominator is that bad news is a message, which has the potential to shatter hopes and dreams leading to very different lifestyle and future.
Last year, one of my staff has been involved in unwanted transfer exercise to our branch at Miri due to disciplinary reason, being his immediate supervisor; the privilege to break the news has been entrusted by the management to me. This is where my interpersonal communication skill been tested.
I do believe no one like breaking a bad news, I would say, yes, I’m reluctant to share the information, if given the choice, I won’t do that. Transmitted bad news to another person such unwanted transfer is one of toughest challenges of my managerial career so far.
I always start the conversation by being active listener. Listening actively to what my staff going to say, instead of do the talking, avoid interrupting, this what I learned and practice, don’t just get right down to business, start with a few open-ended question, such as How are you feeling?, How’s it going?, when my staff answer to those question, I put my full attention listening to him. My mentor always said, the trust that I can build just by letting people say what they feel is incredible and I am totally agree with him.
Eventually when it’s my turn to talk, I make eye contact, always look relax and confidence, my first sentences will always be a repetition of his last sentences, such as “ I heard what you said” as we understood effective interpersonal communication only been achieved when a message is both received and understood, simplifying language based on whom ever you talked to must be considered, as it happen my staff is an engineer with good education background, being direct and concise is the key. I asked him about his goods times with the company and also why it’s turned bad, in other words I try to explore perceptions before defined the reality, only then I transmitted the bad news to him.
Bad news comes with strong emotion and we must always acknowledge those emotions, that normal and as a manager we should already expect that kind of situation and be ready with not only a good empathic response acknowledges his feelings but also the reason behind those feeling. It legitimizes emotions in two ways, as response to the situation and as item on the conversational agenda but we must understood that, we cannot lets those emotions interfere with our message, if in this case I got to transferred him, I cannot retreated the management decision simply because he’s crying, but I do have to acknowledge his distress. In my case Alhamdulillah he accepted the news with clear mind and full understanding.
Question 2: Pick two leaders whom you consider a charismatic leader or transformational leader. Describe these leaders’ characteristic? What has each of this individual done that suggests that he or she is so special?
Answer
By definition leader is someone who can influence others and who has managerial authority, leadership is what leaders do, it’s a process of leading a group and influencing that group to achieve goal. Conger and Kanungo (1988), has define three stage through which any leader must guide an organization, firstly evaluating the current situation, including resources availability and constraints, and the need of followers, secondly formulating goals and finally developing the methods to achieve goal.
Shaskin, Marshall (1988) has identify four components that separate charismatic leaders from non-charismatic leaders in regards to his/ her vision concept, expressing the vision, explaining the vision to others, extending and expanding the vision, In short charismatic leader are able to analyse the current situation, develop extraordinary goal and implement the strategies to ensure the achievement of that particular goal. Their personal example provides inspiration to those around them, and their ability to communicate their vision to those around them is outstanding.
Transformational leadership is leadership style that focused on effecting revolutionary change in the organizations through a commitment to organization vision. (Sulivan and Decker, 2001).
Four ‘I’ that defined Characteristic of transformational leaders.
1. Idealized influence – Charismatic vision and behaviour that inspires others to follow.
2. Inspirational motivation – Capacity to motivate others to commit to the vision.
3. Intellect stimulation – Encouraging innovation and creativity
4. Individualized consideration – coaching to the specific needs of followers
Transformational leadership produces levels of employee effort and performance that go beyond what would occur with transactional approach alone. Moreover, transformational leadership is more than charismatic leadership because a transformational leader attempts to instil in followers the ability to question not only established view but view held by the leader.
Based on above definition, I have chosen Tan Sri Muhammad Ali Hashim, former president and chief executive of Johor Corporation for more than 28 years (January 1, 1982 – July 29, 2010) and also Dato’ Anthony Francis Fenandes (CBE) always known as Tony Fernandes the Group Chief Executive Director of Air Asia Berhad and founder of Tune Group. In my opinion both successful business leader has in them characteristic of transformational leadership.
Tan Sri Muhamad Ali Hashim
Tan Sri Muhamad Ali Hashim is synonymous with Johor Corporation, given the fact that he was formerly president and chief executive of Johor Corporation for 28 years. He is currently chairman of Waqaf An-nur corporation Berhad and always known with his ‘Business Jihad” entrepreneur concept.
Snapshot on Johor Corporation (1968 – 1981)
►Johor corporation (formerly known as Johor state economic development corporation) has been set up and established in 1968 with 10 million loan from Johor state government without single sen of ‘paid up’ capital and commenced their operation in August 1970, it started with the purchased of Ladang Tebrau, its first plantation asset of 1580.72 hectares. Its first office located at Level 2, Sultan Ibrahim Building.
►1973, the headquarters shifted to Bangunan Azizah, Johor Bahru. The RM10million loan granted by Johor state government has successfully repaid.
►1975, the headquarters move back to Sultan Ibrahim Building
►1978 the headquarters once again shifted to Kompleks Tun Ab. Razak, Johor Corporation own building.
Snapshot on Johor Corporation (1982 – 2010)
►Jan 1, 1982 – Tan Sri Dato’ Muhammad Ali Hashim has been appointed as Executive Director of Johor Corporation. It’s an important milestone for the Corporation, under his leadership; the corporation has been transformed into major conglomerate in Malaysia and Se-Asia.
►Johor Corp today – Malaysia’s leading business conglomerate comprising 280 member of companies, employing more than 65,000 in Malaysia and Se-Asia. Seven of these member entities are listed on Malaysian Stock Exchange with one PLC listed at Port Moresby (Papua New Guinea) as well as London Stock Exchange. Total market Capitalization of these eight PLC entities stood at RM11.8 billion and for financial year 2009 Johor corporation turnover amount RM8.2 billion. Johor corporation strategic businesses among others include Palm Oils (120,000 hectares planted in Malaysia, Papua New Guinea and Solomon Island), Healthcare (21 specialist hospitals in Malaysia, Indonesia, Saudi Arabia), Food and restaurant (with more than 900 KFC, Pizza Hut and RasaMas outlet in Malaysia, Singapore, Brunei, Cambodia, and India), Commercial property, Intrapreneur (amanah) venture, shipping and logistic.
Award & recognition
►1994 : Entrepreneur of the year by Rotary Malaysia
►1995 : Director of the year by Malaysian Institute of Director
►2000 : Honorary Doctorate of Management by Universiti Teknologi Malaysia
►2005 : Property CEO of the year by Institute of Real Estate Federation
►2007 : conferred the prestigious Maal Hijrah 1428 appreciation award by Malaysian Government, Honorary Doctorate of Entrepreneurship by Universiti Teknologi Malaysia and Honorary Doctorate of Technology Management by Universiti Tun Hussien Onn
Tan Sri Muhammad Ali Hashim as transformational leader
First characteristic of transformational leadership is Idealized influence – Charismatic vision and behaviour that inspires others to follow, in this regards, Tan Sri vision was to transform Johor corporation from capitalist business model to Islamic value based entrepreneurship, his charismatic vision and behaviour has successfully influence Johor corporation as a whole, during his tenure as a president and chief executive officer of Johor Corporation, he has successfully implemented Islamic value based entrepreneurship which he belief is the best business practice that based on Quran and Sunnah, this Islamic value based entrepreneurship as practice at Johor Corporation can be divided into two core area, firstly known as Business jihad and secondly Corporate waqf.
Business jihad can be defined as a call for action to free the ummah from economic deprivation and the sense of powerlessness. It is a call for action to prosper the ummah through business method – hence a jihad of peace and prosperity.
Two objective of business Jihad that been practice at Johor Corporation are, firstly to prosper community and harness energy to drive economic growth through business and enterprise and secondly to create a just, equitable and compassionate society thru adapting best practice to Islamic ways and institution. Instead of share-holder centric as usually adapted by other capitalist business entity it always community centric at Johor Corporation.
Corporate waqaf – Creating wealth and sustaining value added to alleviate poverty, caring for the poor, the marginalised and the unfortunate in the society. In this regards on 3rd. August 2006, Johor Corporation has transferred to Waqaf PLC shared value at RM200 million (NAV). From that resources, Waqaf PLC has do the following, service for those has been given either free of charge or with very minimum fees.
1. One waqaf An-Nur hospital and 8 waqaf An-Nur clinic at mosque premises
2. Seven dialysis centre throughout Malaysia
3. Providing institutional support for future enterprise growth.
4. Future plan – waqaf micro financing (interest-free start-up fund
In short with his transformational leadership and charismatic personality, Tan Sri Muhamad Ali Hashim has successfully transformed low key state government corporation into major conglomerate in Malaysia and SE-Asia with diversified businesses and at the same time has been recognized as benchmark how successful Islamic business model should be.
Dato Seri Anthony Francis Fernandes (CBE)
Always known as Tony Fernandes, he rose to prominence by turning Air Asia, a failing government linked commercial airline, into highly successful public-listed budget Airline Company.
Snapshot on Air-Asia
1993-1996 : Established in 1993 under government own conglomerate DRB-Hicom and commenced operations on 18th. November 1996.
Snapshot on Air-Asia (2001-present)
2nd. December 2001 –the heavily indebted airline was purchased by Tune Air Sdn. Bhd. Own by Tony Fernandes for the sum of RM1, by doing that the company inherited previous management debt amounting USD11 million as well as two ageing Boeing 737-300.Amazingly the company able to cleared its debt within one year. Its main hub is the low-cost carrier Terminal (LCCT), sepang
Air Asia Today: has operate more than 142 routes to 78 destination with over 400 daily domestic flights covering Indonesia, Malaysia, Thailand, Vietnam and Philippines via their affiliate airline – Indonesia Air-Asia, Thai Air-Asia, VietJet Air-Asia and Air-Asia Philippines. Air Asia X that has been founded in 2007 has flying to 15 destination worldwide primarily from Kuala Lumpur such as to Australia, China, United Kingdom, France and New Zealand. On financial front, for 1st. Quarter 2011, its reported RM171.9million net profit, the airline had recorded a 57% increase in average annual net income since 2004. According to financial times, the low-cost carrier has outperformed the industry by 129%.
Awards & recognition
►2003 : Malaysian CEO of the year
►2009 : Excellence in leadership – Asia Pacific Leadership awards
►2010 : Forbes Asia businessman of the year
►2011 : listed no.52 in the world as most creative people in business
Dato’ Sri Anthony Fernandes as transformational leader
The foundation of transformational leadership rest on the four ‘I’s characteristic above. His ability to turned a tragedy into an opportunity are very amazing, while everybody run from airline industry due to 9/11 tragedy, he see it as opportunity, due to that tragedy, aircraft leasing costs were down 40%, airline lay-offs mean experience staff were readily available, he also believed Malaysian traveller would embraced a cut-rate air services that will save them time and money, especially during tight time. Those who thought that Tony Fernandes has gone crazy by bought into the Air Asia deal back in 2001, now see him in envy.
One of his biggest achievement so far was his success in lobbying our ex-prime minister Dato Seri Dr. Mahathir to rise the idea of open-skies agreement amongst ASEAN country, as a result, those nations have granted landing right to Air-Asia and other low-cost carrier, this initiative has indeed indirectly contribute to the success of Air Asia today and turn the Air Asia airline into an international carrier.
Tony Fernandes business approached while go global were on joint venture with local company, by doing that he has localised those company and get all advantage offered by those respective nation such as getting domestic landing right in Indonesia via Indonesia Air Asia, in Thailand via Thai Air-Asia, indeed the airline ability to work through as well as manage different jurisdictions, culture and geographies is a major part of its success.
His easy going manner is translated into management style that emphasises outcomes and not the form. In a firm that employs 4,500 staff across nations, the hierarchy is flat, decision making is democratised, its workforce is lean and workers empowered.
Transformational leaders have the ability to articulate a vision of the future, they are the myth-maker, the story-tellers, and they capture our imagination with vivid descriptions of the wonderful future we will build together. (Trofino, 1992), this perfectly describe Tony Fernandes characteristic are.
