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Ford’s Ceo Alan Mulally A New Approach

1096 words - 5 pages

FORD’S CEO ALAN MULALLY A NEW APPROACH
TO DECISION MAKING

1.0 According to Rowe and Mason (1987), each decision style elicits specific traits and/or preferences. For example, the following decision making styles of analytical, behavioral, conceptual, and directive, respectively prefer specific facts, accurate and complete data, broad coverage of many options, and limited data that are easily understood (Rowe & Mason, 1987). Further, Rowe and Mason (1987) believe that style descriptors should be able to describe an individual’s mental predisposition, cognitive process, and problem solving ability. They also deem that the style descriptors can be contextually explicit—describing the ...view middle of the document...

Looking at Mulally’s approach to decision making, we can conclude that his approach is very consistent with analytical style of decision making. He likes to consider more information and alternatives than do directives.
According to an article , “The Emergence of Business Analysts as Leaders” mentioned that although Alan Mulally came to the automotive business from Boeing in the aerospace industry without deep automotive experience, he has been successful.The reason is because he is an analytical type of leader.
Being an analytical leader, he is easily adapted and possesses systematic and methodological ways to achieve results.He applies the scientific method that involves formulating hypothesis and testing to prove or disprove them. He relies on searching for root causes and understanding cause-and-effect logic chains. His is a well-formulated strategist,very talented , and has the ability to execute the executive team’s strategy through robust communications being the key to performance improvement.
Directive Style
This style is characterized by an autocratic and internal orientation. These individuals have a low tolerance for ambiguity and a low cognitive personality complexity. This decision style focuses on technical questions with a need for speed, efficiency, and limited alternatives. People with this style may be characterized as rigid, structured, practical, and impersonal. This style is criticized for its aggression, need for security, and tight control. (Boulgarides & Cohn, 2001; Rowe & Davis, 1996; Rowe & Mason, 1987).

This is not even close to Mulally’s style of decision making. This is because when a leader behaves in such a way, it restricts the potential of individuals in the organization by not valuing their creativity and initiative and this does not happen in FORD which fosters innovations.

Behavioral Style
This style is characterized by supportive and friendly orientation. These individuals have a low tolerance for ambiguity and low cognitive complexity. People with this style focus on social concerns and elicit open communication, personal interactions, and empathic attitudes. Such individuals like to be around people and tend to avoid conflict. This style is criticized for its focus on short-term problem solving and difficulty in making tough decisions. (Rowe & Mason, 1987)

In an article, “Mullaly Culture At Ford”,he introduced the culture where everybody seems to listen and understand each other. The respect is an important factor in...

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