Keywords: airline authority theory, airasia leadership
Leadership can be explained as the capability to influence, motivate, and enable other folks to add toward the efficiency and success of the organizations which they are associates (McShane, S. l. , & Von Glinow, 2010). The competency perspectives make an effort to identity the characteristics of effective leaders. The leaders might have specific personality characteristics, such as positive self-concept, integrity, drive, and authority motivation, knowledge of the business, cognitive and sensible intelligence, and emotional intellect. Besides that, the behavioural point of view of leadership identifies two types of head behaviour, people-oriented and task-oriented (McShane, S. L. , Von Glinow, M. A. , 2012). The contingency perspective of leadership takes the view that effective innovator diagnose the problem and modify their style to match the problem.
There are four management styles in path-goal model: directive, supportive, participative, and achievements oriented and several contingencies relating to the characteristics of the employee and of the situation (Bolman &Offer, 1991). Based on the founders, there are two other contingency management theories include the situational control theory and Fiedler's contingency theory. Transformational market leaders create a proper eyesight, communicate that perspective through framing and build commitment toward the vision. In this subject matter, cultural beliefs also effect the leader's personal prices, which is turn impact men or women's leadership practices.
1. 2 Backdrop of the business: AirAsia
In this project, we try to probe the management style of AirAsia. AirAsia can be an flight company in Kuala Lumpur, Malaysia. It really is concentrating on low-cost with the imagine making flying easy for everyone. Tony Fernandes, the CEO of the AirAsia, who's the creator of Tune Air Sdn. Bhd. He's the main one who presented the budget no-frills flight. Now AirAsia is the most significant low cost flight in Asia. AirAsia group performs scheduled home and international flights to over 400 vacation spots spanning 25 countries. Its main hub is the Low Cost Carrier Terminal (LCCT) which is situated at Kuala Lumpur AIRPORT TERMINAL (KLIA). The perspective of AirAsia is usually to be the largest low priced air travel in Asia and offering three billion individuals who are currently underserved with poor connectivity and high fares. A couple of four mission of AirAsia: to be the best company to help whereby employees are treated as part of a large family; to create a globally recognized ASEAN brand; to accomplish the lowest cost so that everyone can soar with AirAsia and preserve the best quality product, enchanting technology to reduce the price (Company Profile of AirAsia Berhad, 2013)
2. 0 CONTENT
2. 1 Competency perspective of leadership
Competencies encompass a broad selection of personal characteristics, including knowledge, skills, talents, and worth. Personal characteristics significantly influence leadership introduction - the perception that someone is a innovator in a command situation. (Steven L. McShane, Mary Ann Von Glinow, 2010). Control competencies can be grouped into seven categories such as:
Emotional intelligence
The important attribute of effective market leaders. The leader's capacity to monitor his or her own and others' emotions, discriminate among them, and use the information to guide his or her thoughts and actions.
Integrity
Integrity refers to the leader's truthfulness and inclination to translate words into deeds. This attribute is sometimes called authentic management because the average person acts with sincerity.
Drive
Drive presents the inner desire that market leaders posses to pursue their goals and encourage others to go forwards with theirs. Drive inspires inquisitiveness, an action orientation, and boldness to consider the business into uncharted waters.
Leadership motivation
The leader's need for socialized capacity to accomplish team or organizational goals. Effective leaders try to gain power to allow them to influence others to perform goals that profit the team or corporation.
Self- confidence
The leader's perception in his / her own command skills and ability to achieve aims. Effective leaders are typically extroverted such as outgoing, sociable, talkative, and assertive, nevertheless they also remain humble.
Intelligence
The leader's above-average cognitive capability to process enormous amounts of information. Market leaders have superior capability to analyze a variety of sophisticated alternatives and opportunities.
Knowledge of the business
The leader's tacit and explicit understanding of the business's environment, enabling her or him to make more intuitive decisions.
2. 2 Transformational leadership
Transformational leadership is about "leading" changing the organization's strategies and culture so that they have a much better fit with the surrounding environment. Transformation leaders are change real estate agents who energize and direct employees to new set of corporate prices and behaviors. They create, connect, and model a shared eyesight for the team or organization, and they inspire followers to shoot for that perspective. Next, Transformational command is particularly essential in organizations that require significant position with the external environment.
There are several components of transformational leadership:
Create a strategic vision
It refers transformational leaders establish a vision of the company's future state that engages employees to attain objectives they didn't think possible. Strategic perspective creates a "higher purpose" or superordinate goal that energizes and unifies employees. A tactical eyesight might originate with innovator, but it is merely as likely to emerge from employees, clients, suppliers, or other stakeholders.
Communicate the vision
It refers transformational leaders communicate so this means and elevate the importance of the visionary goal to employees. They structure messages around a grand purpose with emotional charm that captivates employees and other corporate and business stakeholders. Framing helps transformational leaders set up a common mental model so the group or bring their visions alive through icons, metaphors, experiences, and other vehicles that transcend plain language. Metaphors borrow images of other experience, in that way creating richer meaning of the eyesight that hasn't yet been experienced.
Model the vision
Modeling the perspective is also important because it builds employee rely upon the leader. The higher the consistency between the leader's words and activities, the more employees will believe in and be eager to follow the leader.
Build dedication toward the vision
Build determination toward the eyesight which is changing a perspective into reality requires employee commitment. Transformational leaders' words, symbols, and stories build a contagious enthusiasm that energizes people to adopt the eye-sight as their own. Market leaders display a "can do" frame of mind by enacting their eyesight and remaining on course. Their persistence and regularity reflect a graphic of credibility, trust, and integrity. Last but not least, leaders build commitment by regarding employees in the process of shaping the organization's eyesight.
Application
Competency Perspective of Leadership
1. Command motivation
Toni Fernandes was a command motivation head. He was very accessible to the media was entirely committed to his business. He will try to gain power and impact others to perform goals that profit the team or corporation. For instance, he wore AirAsia's established T-shirt and office red rap cover to almost every recognized function and sometimes he will serve the clients on the aircraft together with employees. (Tony Fernandes, 2012) He had done this step because he wished to stimulate his employees move toward jointly to attain the goals. Besides that, Tony Fernandes was an outgoing, sociable and talkative person. He gave his phone number to all the media associates, and was himself advertisements for his company. Although he was a Group CEO of AirAsia, but he also continue to be humble in front of others. Because of his personal feature and attitude, he was able to achieve their company's objectives and goals. He had became an example for his employees, so that employees willing to check out him to accomplish the goals.
2. Intelligence
Tony Fernandes was an brains leader. He previously superior ability to investigate a number of opportunities and alternatives. He had a good vision into the future because he was exploited the market's opportunities well. AirAsia's eye-sight is usually to be the largest low cost airline in Asia and serving the 3 billion folks who are presently underserved with poor connection and high fares. (AirAsia Corparate Account, 2012) Although context had not been very good for enter the market, but Tony Fernandas chose to take the chance. He presumed that he and his management team were able to analyze and deal with the opportunities and alternatives with the intelligence. For example, Tony Fernandes got used his intellect and finally altered AirAsia from a heavily-indebted subsidiary into a business player. Besides that, Tony Fernandes got started a hotel string, Tune Hotels which is based on the no-frills notion by using his brains. He had engaged in different industry in the marketplace.
3. Knowledge of the business
Tony Fernandes had the data about the business enterprise and company's environment which can permit him to make more intuitive decisions. For example, Tony Fernandes was the first one who entered the marketplace section of low costs and no frills. He didn't take risks only by taking over AirAsia, but also in its severe changes. Since the creation, he constantly brought a lot of innovative principles, such as, booking services for hostels, travel insurance, online reservation and check-in, car lease, holiday products, credit card or health care. He also deeply improved the business model of the airline company which is choosing a low-cost and no-frills strategy and shifted down the value chain. Throughout the changes that got created by Tony Fernandes, we think that Tony Fernandes possessed enough knowledge about the business. With this knowledge, he was able to achieve company's objectives and goals.
4. Drive
Tony Fernandes was a innovator who motivates and drives his employees (Allstars) to follow their goals and cause them to become progress with him. In AirAsia, Tony Fernandes acquired tried to introduce something in the management beliefs, where he wants people to follow their dreams, go after their passion. For instance, Tony Fernandes's child years dreams included working an airline, getting an English soccer team and an getting Formula One auto racing team. (Tony Fernandes, 2012) Thus, Tony Fernandes made a decision to achieve and match his dream by purchasing an existing air travel and began to change it into an industry player. At the same time, Tony Fernandes also encourage his employees (Allstars) to pursue their interest and drive them to go toward the goals. He previously created a host where people can learn, expand and do what converts them on. Because of this, employees were being motivated by Tony Fernandes and they started to follow their goals as well as Tony Fernandes.
Transformational leadership
1. Generate a strategic vision
Tony Fermandes is a ceo or director AirAsia Berhad and he is transformational innovator because the business enterprise style of the airasia are transformed by him which is " Now everyone can journey" a low-cost and no-frills strategy and changed down the worthiness chain. In addition, it has successful quickly cracked travel norms around the globe and has risen to become the best of the entire world. Tony Fermandes mortgaged his home and sank his cost savings to invest Airasia Company (Alesia Sion, 2012).
Tony Fermandes have develop proper vision of the company to which is Airasia be the greatest low cost air travel in Asia and serving the 3 billion people who are presently underserved with poor connection and high fares. As we realize that, nowadays many aircraft companies come out different ways of make their company much better than opponents so he has create a good vision for doing their business once he takeover the company. Form the year 2004, Airasia possessed achieved the low-cost air travel awards is the reduced cost airline on the globe. It turned out that he successful to accomplish his company vision.
2. Communicate the vision
Next, Tony Fermandes work hard to make a host where employees can learn, grow and do what they must do in company. He also induces employees to go after their passions love their jobs at AirAsia based on their environment. Besides that, the nice quoted part every month he spends per day as a baggage-handler; every two months, per day as a cabin crew; every 90 days, every day as a check-in clerk (Shashank Nigam, 2009) to spell it out he always change careers to get experience with different team. He also established a "culture department" to "pass the subject matter and hold parties". The place of work are different the original hierarchal Asian society which open up plan place of work so that all employees can meet him by anytime.
3. Model the vision
He also modeled the vision of the company which is to verify that he not only discussions also enacts it to let everyone journey by giving low-cost airfares. Furthermore, the CEO Airasia Tony fernandes personal credo is "dream the impossible, imagine the unbelievable, rather than take no for a remedy". There is a real example which is started out AirAsia Thailand, Tony was asked by way of a women about she wanna be a pilot, then tony replied that if she define he will employ the service of her as a pilot. Finally, she did and became a first officer and subsequently now she actually is a full-time captain and soaring in the planes (Chris Forrest Harvey, 2012). This show that he let everyone can take a flight and also let everyone possess the opportunity to become his employees help them to attain their own dreams.
4. Build dedication toward the vision
Lastly, Tony fernandes build dedication toward vision which changes the vision in reality. He desire to get started on low-cost flight company then he has create the nice vision of the company to let everyone can take a flight in reality. Therefore, AirAsia keep promote promotion package deal with low charges for customers to take pleasure from low prices fly to different places. AirAsia fares are significantly lower than those other airline service providers, websites fares also cheaper than frontline counter-top price and having free seats promotion to provide the customers opportunity to enjoy and also for those who cannot afford the prices. It is to perform the perspective "everyone can journey" in reality. Besides that, He break down hierarchy to encourage employees to speak out and breaking down surfaces for example he sit down with his employees within an wide open floor plan and also let his contact quantity to his employees to allow them to just call, e-mail and Text him straight and solve it quickly which don't need go through any section. Even the cheapest ranking officers also can have his phone number to get hold of him directly which means he snacks everyone as equal and prepared to commit to their needs (Shashank Nigam, 2009).
Disadvantages
One main issue in related to Air Asia in command in organizational configurations where the competency perspective of Tony Fernandes may have several restrictions. The control that Tony Fernandes applied might expect that the same personal characteristics are similarly important in every situations. This can be bogus assumption as this point of view is too sophisticated to have general list of features to apply to every conditions. Other than Air Asia, Tony Fernandes is the chairman for the Queens Park Rangers Football Club. Tony Fernandes helps to keep defend the football club with his own competency perspective that QPR football club that the golf club can get over their discord. This shows that Tony Fernandes possessed used the same personal characteristics equally in every situations whether in Air Asia or the QPR football club.
The second constraints would be that the management Tony Fernandes has might effect only people's understanding that someone is innovator, not whether Tony Fernandes is important to the organization's success. This perspective only shows Tony Fernandes's authority potential instead of leadership performance. Therefore, it generally does not shows that the effectiveness of Tony Fernandes's control comes even close to other perspective of command. One concern we can easily see that in the Air Asia wordpress revealed that Tony Fernandes had cheated on the price of the shares of Air Asia. But it was found out by the Australian's effective enforcement that Melboure Government Court imposed a huge fine of Aussie us dollars 300, 00 on Air Asia and Air Asia X for this misleading website information cheating its customers concealing charges of fees. Why does this matter happen? It is due to the fact the dropping by the upset customers who're also the shareholders that could not trust any longer on Tony Fernandez and Air Asia over their scamming businesses discounts and unfair deals to the customers.
As for transformational control applies by Tony Fernandes, it could be only mention in general that leaders that are transformational when they successfully bring out the change, somewhat than when they engage in certain actions we call transformational. Therefore with no success done by Tony Fernandes for the perspective of Air Asia, Tony Fernandes wouldn't normally be entitled of the perspective authority.
3. 0 RECOMMENDATION
Competency point of view of leadership
A company can achieve success if the first choice can execute that the competencies that is problematic for others to replicate. In this competency perspective of authority, Tony should plan a team to recognize new directions or actions for your management. Besides that, he should often coordinate a gathering of the employee to go over and clarify what they'll should do differently therefore of changes in the business. Problem solving or decision making process with the management team will be another alternative for Tony to obtain a much better competency perspective of leadership.
Emotional intelligence is an important skill a leader required to influence his/her worker to perform well in their job. Therefore, Tony must have a good management for his mental to avoid a conflict with his employee or having an incorrect perspective decision anticipated when his emotional level is low. Good leaders know their advantages and limitations, so they in a position to control their thoughts and conducts. Thus, Tony must shoot for his personal development by participating in continuous learning. Predicated on the learning, Tony should be able to adapt to demanding situations and be able to maintain a balance between his work and non-work lives.
Lastly, Tony must have a leadership to maximize the potential of others and encourage them to attain shared goals. He must have the ability to manage specific and group performance with an understanding of group dynamics and team development. Tony needs to supply the drive for his employees to make them have better work shows. He should be understanding and become empathic toward individual's emotions and be able to resolve conflicts in a respectful manner. One of the ways to motivate the employee is to create a slogan of company to boost mutual marriage between company and employees. Besides that, Tony should play as a job model with competency capabilities for his employees, which will generate a drive to make sure they are place Tony Fernandes as a focus on to exceed.
Transformational leadership
Transformational leaders have the capability to successfully achieve the objective because of four qualities which including charisma, the ability to provide inspirational desire, the capability to promote intellectually, and the ability to offer individualized awareness. Relating to Barnerji and Krishnan (as citied in Kasturi, 2012) a good transformational innovator must possess the ability of articulating a convincing and genuine vision and concentration others towards a new critical path. Using circumstances, a corporation might need to be redesigned to support the complete transformational leadership.
As we realize, create a tactical vision is a simple element of your transformational leader to become successful. Tony Fernandes need to create and talk his vision thus stimulate discussions along with his subordinates. For instance, he may run brainstorming conferences with the subordinates to provide new organizational models. With this, the employees will be more understand on the company objectives and also to have better job performances. Charisma is another important element of which a head to behaves in commendable ways that cause employees to identify with the leader. Tony must also be a role model because of their fans with having a clear set of values and demonstrating them atlanta divorce attorneys decision. The leader and enthusiasts must create a common trust between the other person on a solid moral and moral base (Covey, 2007).
Besides that, the first choice must create an inspirational motivation for the employees as the determination is pleasing and inspiring to employees. For instance, Tony Fernandes can converse optimism about future goals along with his employees to provide a motivation for them to perform better in the task field. It is important that this visionary facet of leadership be recognized by communication skills that allow the head to articulate his eye-sight with perfection and electricity in a convincing and persuasive way. Therefore, a good communication skill is required to complete this factor to be a transformational head.
Furthermore, Tony should functions as a coach or teacher to the staff and listens to their apprehensions and needs. Tony can encompass the necessity to respect and rejoice with the employees because of their individual contribution for the company. Tony can encourage to those added employees because of their good performance in job, this can motivate the worker to have a much better commitment on their job. This way not only educates the next generation of leaders, but also fulfills the individuals dependence on self-actualization, self-fulfillment, and self-worth. In addition, it naturally propels supporters to further accomplishment and growth.
According to Melts away (as citied in Arachchi, 2012), it show that transformational head as reflecting the attributes and behaviours are required for initiating change. These leaders need to recognize themselves as change brokers and take responsibility for transformation. Generally, they are simply risk takers and courageous, have confidence in and trust people, have a definite values in determination. In other words, Tony must deal with complexness, ambiguity and uncertainty and talk about his eye-sight with the employees. To satisfy this factor, Tony should show his confidence of taking risk in doing business and prove to his employees that he has the ability to do so. With this, the employees will be influenced by his authority and help the business to attain the goal.
Recommendations - Other Relevant Theory
Other than competency and transformational perspective control, there is another theory that may be applied by Tony Fernandes to solve the situation which is implicit leadership perspective. The competency and transformational authority perspectives make the essential assumption that market leaders change lives. However, leadership also involves fans' conception about the characteristics and habits of a innovator. This perceptual perspective of management is collectively called implicit leadership theory (Steven L. McShane, Mary Ann Von Glinow, 2010).
According to the implicit management theory, everyone has authority prototypes that they use to evaluate the leader's success. Employees are usually more willing to allow someone to affect them as a innovator if see your face looks and operates like their prototype of a leader. Tony Fernandes should own a good authority prototype as he's the CEO of Airasia. These prototypes can be developed through socialization within the family and contemporary society, shape employees' prospects and popularity of others as leader, and this subsequently affects employees' willingness to serve as followers. Such control prototypes not only support Tony Fernandes's role as a leader, in addition they form employees' conception of the leader's performance. If Tony Fernandes works consistently with employees prototypes, they will believe that he is an effective leader.
Besides that, as stated earlier, the management that Tony Fernandes applied might expect that the same personal characteristics are evenly important in every situations, but this can be incorrect assumption as this perspective is too complicated to have general list of traits to apply to every conditions. Therefore, the contingency point of view of leadership takes on an important role to help Tony Fernandes to solve the challenge. The contingency point of view of leadership is based on the idea that most appropriate authority style depends upon the problem. It assumes that effective leaders must be both insightful and versatile (Steven L. McShane, Mary Ann Von Glinow, 2010). Tony Fernandes should put work to choose and enact different styles to complement the doubt situation. Additionally he will need to have high emotional brains so that he can detect the circumstances and match his manners accordingly.
4. 0 CONCLUSION
The studied confirm that we now have two leadership theories have been putting into action in the company, AirAsia: competency perspective of command and transformational management. You will find seven sizes has been found in competency point of view of authority such as emotional intellect, integrity, drive, control motivation, self-confidence, intellect and understanding of the business. However, Tony Fernandes only apply management motivation, brains, drive and knowledge of business in his business. Mental brains and drive are recommended implement to the business to avoid the discord with the employees and also to boost the team performance. For the transformational command, it emphasizes to make a strategic vision, communicate the vision, modeling and build dedication toward the vision. In this case, Tony Fernandes has effectively applied all the four measurements of the transformational control available.
In the recommendation part, the need to create and connect eye-sight thus stimulate talk with subordinates is a must to Tony Fernandes. He also have to create an inspirational determination for the employees and talk to employees will help them perform better in their work field. Hence, a good communication skill is required to being a transformational innovator. Besides that, Tony must deal with intricacy, ambiguity and doubt and also show his perspective with the employees to effect them succeed to achieve the goal. There are some things can be discovered and connect with other relevant theory, for example, implicit authority theory. Implicit leadership theory emphasize the importance of involves follower's understanding about the characteristics and behaviors of the leader. Which point not brought up in the competency and transformational command theories.
