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    A PROJECT REPORT ON:

    LEADERSHIP STYLES

    SUBJECT: ORGANISATIONAL BEHAVIOUR

    CLASS: FY-MBA, A1

    SHIFT- 1

    DATE: 2ND

    DECEMBER, 2014

    SUBMITTED TO:

    MS. ROSHNI SINGH

    ASST. PROFESSOR

    SUBMITTED BY:

    SR. NO. NAME ENROLLMENT NO.

    1.

    2.

    3.

    4.

    5.

    6.

    S.R. LUTHRA INSTITUTE OF MANAGEMENT 2014

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    LEADERSHIP QUALITY

    DEFINITION

    Leadership is about influencing others toward a common goal.

    Leadership is all about influence. If you can influence people, you are leading them. When we

    think of leading, we must picture ourselves walking in front of others and showing the way.

    If we are pushing others, we are not leading them. Many managers and bosses use the livelihoods

    of their employees as leverage to get them to do what they need to do.

    And most people do comply. They do it because they have a paycheck to receive at the end of

    the month to support their families. They do it because otherwise, their loved ones may suffer.

    That is the kind of 'leadership' that most people experience in the corporate world. Ask them if

    they feel their bosses are leading them, most would give an emphatic 'No'.

    Let's take a look at some of the leadership styles that you can use. (For ease of reference, these

    are shown in alphabetical order.)

    1. Autocratic Leadership

    Autocratic leadership is an extreme form oftransactional leadership,where leaders have a lot

    ofpower over their people. Staff and team members have little opportunity to make suggestions,

    even if these would be in the team's or the organization's best interest.The benefit of autocratic leadership is that it's incredibly efficient. Decisions are made quickly,

    and work gets done efficiently.

    The downside is that most people resent being treated this way. Therefore, autocratic leadership

    can often lead to high levels of absenteeism and high staff turnover. However, the style can be

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    effective for some routine and unskilled jobs: in these situations, the advantages of control may

    outweight the disadvantages.

    Autocratic leadership is often best used in crises, when decisions must be made quickly and

    without dissent. For instance, the military often uses an autocratic leadership style; topcommanders are responsible for quickly making complex decisions, which allows troops to focus

    their attention and energy on performing their allotted tasks and missions.

    2. Bureaucratic Leadership

    Bureaucratic leaders work "by the book." They follow rules rigorously, and ensure that their

    people follow procedures precisely.

    This is an appropriate leadership style for work involving serious safety risks (such as workingwith machinery, with toxic substances, or at dangerous heights) or where large sums of money

    are involved. Bureaucratic leadership is also useful in organizations where employees do routine

    tasks (as in manufacturing).

    The downside of this leadership style is that it's ineffective in teams and organizations that rely

    on flexibility, creativity, or innovation.

    Much of the time, bureaucratic leaders achieve their position because of their ability to conform

    to and uphold rules, not because of their qualifications or expertise. This can cause resentment

    when team members don't value their expertise or advice.

    3. Charismatic Leadership

    A charismatic leadership style can resemble transformational leadership because these leaders

    inspire enthusiasm in their teams and are energetic in motivating others to move forward. This

    ability to create excitement and commitment is an enormous benefit.

    The difference between charismatic leaders and transformational leaders lies in their intention.

    Transformational leaders want to transform their teams and organizations. Charismatic leaders

    are often focused on themselves, and may not want to change anything.

    The downside to charismatic leaders is that they can believe more in themselves than in their

    teams. This can create the risk that a project or even an entire organization might collapse if the

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    leader leaves. A charismatic leader might believe that she can do no wrong, even when others are

    warning her about the path she's on; and this feeling of invincibility can ruin a team or an

    organization.

    Also, in the followers' eyes, success is directly connected to the presence of the charismaticleader. As such, charismatic leadership carries great responsibility, and it needs a long-term

    commitment from the leader.

    4. Democratic/Participative Leadership

    Democratic leaders make the final decisions, but they include team members in the decision-

    making process. They encourage creativity, and team members are often highly engaged in

    projects and decisions.

    There are many benefits of democratic leadership. Team members tend to have high job

    satisfaction and are productive because they're more involved in decisions. This style also helps

    develop people's skills. Team members feel in control of their destiny, so they're motivated to

    work hard by more than just a financial reward.

    Because participation takes time, this approach can slow decision-making, but the result is often

    good. The approach can be most suitable when working as a team is essential, and when quality

    is more important than efficiency or productivity.

    The downside of democratic leadership is that it can often hinder situations where speed or

    efficiency is essential. For instance, during a crisis, a team can waste valuable time gathering

    people's input. Another downside is that some team members might not have the knowledge or

    expertise to provide high quality input.

    5. Laissez-Faire Leadership

    This French phrase means "leave it be," and it describes leaders who allow their people to work

    on their own. This type of leadership can also occur naturally, when managers don't have

    sufficient control over their work and their people.

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    Laissez-faire leaders may give their teams complete freedom to do their work and set their own

    deadlines. They provideteam supportwith resources and advice, if needed, but otherwise don't

    get involved.

    This leadership style can be effective if the leader monitors performance and gives feedback to

    team members regularly. It is most likely to be effective when individual team members are

    experienced, skilled, self-starters.

    The main benefit of laissez-faire leadership is that giving team members so much autonomy can

    lead to high job satisfaction and increased productivity.

    The downside is that it can be damaging if team members don't manage their time well or if they

    don't have the knowledge, skills, or motivation to do their work effectively.

    6. People-Oriented/Relations-Oriented Leadership

    With people-oriented leadership, leaders are totally focused on organizing, supporting, and

    developing the people on their teams. This is a participatory style and tends to encourage good

    teamwork and creative collaboration. This is the opposite of task-oriented leadership.

    People-oriented leaders treat everyone on the team equally. They're friendly and approachable,

    they pay attention to the welfare of everyone in the group, and they make themselves available

    whenever team members need help or advice.

    The benefit of this leadership style is that people-oriented leaders create teams that everyone

    wants to be part of. Team members are often more productive and willing to take risks, because

    they know that the leader will provide support if they need it.

    The downside is that some leaders can take this approach too far; they may put the development

    of their team above tasks or project directives.

    7. Servant Leadership

    This term, created by Robert Greenleaf in the 1970s, describes a leader often not formally

    recognized as such. When someone at any level within an organization leads simply by meeting

    the needs of the team, he or she can be described as a "servant leader."

    Servant leaders often lead by example. They have highintegrityandlead with generosity.

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    In many ways, servant leadership is a form of democratic leadership because the whole team

    tends to be involved in decision making. However, servant leaders often "lead from behind,"

    preferring to stay out of the limelight and letting their team accept recognition for their hard

    work.

    Supporters of the servant leadership model suggest that it's a good way to move ahead in a world

    where values are increasingly important, and where servant leaders can achieve power because

    of their values, ideals, andethics.This is an approach that can help to create a positive corporate

    culture and can lead to high morale among team members.

    However, other people believe that in competitive leadership situations, people who practice

    servant leadership can find themselves left behind by leaders using other leadership styles. This

    leadership style also takes time to apply correctly: it's ill-suited in situations where you have to

    make quick decisions or meet tight deadlines.

    Although you can use servant leadership in many situations, it's often most practical in politics,

    or in positions where leaders are elected to serve a team, committee, organization, or community.

    8. Task-Oriented Leadership

    Task-oriented leaders focus only on getting the job done and can be autocratic. They actively

    define the work and the roles required, put structures in place, and plan, organize, and monitor

    work. These leaders also perform other key tasks, such as creating and maintaining standards for

    performance.

    The benefit of task-oriented leadership is that it ensures that deadlines are met, and it's especially

    useful for team members who don't manage their time well.

    However, because task-oriented leaders don't tend to think much about their team's well-being,

    this approach can suffer many of the flaws of autocratic leadership, including causing motivation

    and retention problems.

    9. Transactional Leadership

    This leadership style starts with the idea that team members agree to obey their leader when they

    accept a job. The "transaction" usually involves the organization paying team members in return

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    for their effort and compliance. The leader has a right to "punish" team members if their work

    doesn't meet an appropriate standard.

    Although this might sound controlling and paternalistic, transactional leadership offers some

    benefits. For one, this leadership style clarifies everyone's roles and responsibilities. Anotherbenefit is that, because transactional leadership judges team members on performance, people

    who are ambitious or who are motivated by external rewards including compensation often

    thrive.

    The downside of this leadership style is that team members can do little to improve their job

    satisfaction. It can feel stifling, and it can lead to high staff turnover.

    Transactional leadership is really a type of management, not a true leadership style, because the

    focus is on short-term tasks. It has serious limitations for knowledge-based or creative work.

    However, it can be effective in other situations.

    10. Transformational Leadership

    As we discussed earlier in this article, transformation leadership is often the best leadership style

    to use in business situations.

    Transformational leaders are inspiring because they expect the best from everyone on their team

    as well as themselves. This leads to high productivity and engagement from everyone in their

    team.

    The downside of transformational leadership is that while the leader's enthusiasm is passed onto

    the team, he or she can need to be supported by "detail people."

    That's why, in many organizations, both transactional and transformational leadership styles are

    useful. Transactional leaders (or managers) ensure that routine work is done reliably, while

    transformational leaders look after initiatives that add new value.

    It's also important to use other leadership styles when necessarythis will depend on the people

    you're leading and the situation that you're in.

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    A SHORT HISTORY OF WARREN BUFFET

    Buffet was born in 1930 to a businessman and politician in Omaha, Nebraska.

    From a very young age, Buffet displayed the qualities of an entrepreneur and an investor. As a

    child, he would go door-to-door to sell chewing gum, Coca Cola and magazines.

    In his elementary school, he would purchase a pinball machine and place it in a barber store.

    This was so successful that he would end up owning several pinball machines at different stores.

    In his time in college, he would continue to do many money making activities like delivering

    newspapers, selling golf balls and stamps, among many. By the time he was finished with

    college, he already had $90,000 in savings (adjusted to 2009 dollars).

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    Buffet would work in Graham Partnerships under his role model of Value Investing, Benjamin

    Graham. He had offered to work under him for free earlier on but was rejected.

    Buffet would start his own partnerships later on, called Buffet Partnerships. These several

    partnerships with other companies would eventually make him a millionaire through stock

    ownership. Buffet would invest in a textile manufacturing firm called Berkshire Hathaway and

    eventually take over the firm as well.

    LEADERSHIP LESSONS

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    1. Stick to Fundamental Values

    Buffet always believed in the fundamental values of business. While the financial world

    becomes driven by fear and greed through its ever increasing leveraging and the using of

    derivatives, Buffet stays solidly by his investing values. He believes simply that investing in a

    business stock is like investing directly in the business. If the business can be profitable in the

    long run, so will his stock.

    2. Live simply

    Although Buffet is one of the richest men in the world, he lives simply; cycling to work and only

    having a single telephone at home. Many leaders nowadays are distracted by the things and

    other possessions they can have as leaders, so much so that it sometimes that the motivation of

    leadership can become clouded. Is this leader in it because he believes in the

    3. Give back

    Buffet intends to give back 99% of his wealth to charity through the Gates Foundation. If his

    focus in wealth accumulation was admirable, then giving it all away is even a greater feat.

    Leadership Style

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    1. Transaction leadership:

    In the style of Warren Buffet we have found qualities of transactional leadership. As he has set

    standards for his own company and helped the members to accomplish the task in right way. He

    also directed his members how to do work and how to accomplish the task.

    His final decision was taken into consideration by the employees as he was more focused and

    performance oriented.

    His principles, stick to fundamental values, live simple and give back concretes the quality. So,

    we can say that in his leadership style transactional leadership gets reflected.

    SIR RICHARD BRANSON

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    Born:July 18, 1950 (age 64),Blackheath,

    London, United Kingdom

    Is the founder ofVirgin Group,which consists of more than 400 companies around the world

    includingVirgin Atlantic,Virgin America andVirgin Mobile. He is the author of six books

    including his latest,Like a Virgin: Secrets They Won't Teach You at Business School (Portfolio

    Trade, 2012).

    RICHARD BRANSON LEADERSHIP PRINCIPLES

    https://www.google.co.in/search?rlz=1C1CHMO_enIN554IN554&espv=2&biw=1366&bih=667&q=blackheath+london&stick=H4sIAAAAAAAAAGOovnz8BQMDgx4HnxCHfq6-QZ6FsaUSlBVvpCWWnWylX5CaX5CTCqSKivPzrJLyi_IOTTvzaEI555yLwnfcJx9y1ro8U1wRAOVreVBLAAAA&sa=X&ei=-CV7VMefO5LHuAT8zILQAQ&sqi=2&ved=0CJEBEJsTKAIwFAhttps://www.google.co.in/search?rlz=1C1CHMO_enIN554IN554&espv=2&biw=1366&bih=667&q=blackheath+london&stick=H4sIAAAAAAAAAGOovnz8BQMDgx4HnxCHfq6-QZ6FsaUSlBVvpCWWnWylX5CaX5CTCqSKivPzrJLyi_IOTTvzaEI555yLwnfcJx9y1ro8U1wRAOVreVBLAAAA&sa=X&ei=-CV7VMefO5LHuAT8zILQAQ&sqi=2&ved=0CJEBEJsTKAIwFAhttp://www.virgin.com/http://www.virgin-atlantic.com/us/en.htmlhttp://www.virginamerica.com/http://www.virgin.com/gateways/mobile/http://www.amazon.com/Like-Virgin-Secrets-Business-School/dp/1591845688/entrepreneurcomhttp://www.amazon.com/Like-Virgin-Secrets-Business-School/dp/1591845688/entrepreneurcomhttp://www.virgin.com/gateways/mobile/http://www.virginamerica.com/http://www.virgin-atlantic.com/us/en.htmlhttp://www.virgin.com/https://www.google.co.in/search?rlz=1C1CHMO_enIN554IN554&espv=2&biw=1366&bih=667&q=blackheath+london&stick=H4sIAAAAAAAAAGOovnz8BQMDgx4HnxCHfq6-QZ6FsaUSlBVvpCWWnWylX5CaX5CTCqSKivPzrJLyi_IOTTvzaEI555yLwnfcJx9y1ro8U1wRAOVreVBLAAAA&sa=X&ei=-CV7VMefO5LHuAT8zILQAQ&sqi=2&ved=0CJEBEJsTKAIwFAhttps://www.google.co.in/search?rlz=1C1CHMO_enIN554IN554&espv=2&biw=1366&bih=667&q=blackheath+london&stick=H4sIAAAAAAAAAGOovnz8BQMDgx4HnxCHfq6-QZ6FsaUSlBVvpCWWnWylX5CaX5CTCqSKivPzrJLyi_IOTTvzaEI555yLwnfcJx9y1ro8U1wRAOVreVBLAAAA&sa=X&ei=-CV7VMefO5LHuAT8zILQAQ&sqi=2&ved=0CJEBEJsTKAIwFA
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    A good leader should be genuinely interested in people and strive to see the best in them. To

    succeed in business you need to build a great team around you that believe in what you are

    doing. If you praise people, they flourish. Always look for a way to praise your team.

    Leadership requires knowing how to delegate and how to be a good listener.

    A leader should promote people above what they expect. This demonstration of trust often

    causes them to excel. A successful business comes from creating something that makes a

    difference to other peoples lives.You can identify a gap in the market by asking yourself how

    you can do what others are already doing better. Go for quality, make sure you are the best in

    what you do otherwise its pointless. Create something you can be proud of. Always be

    prepared for the worst that can happen. This will help turn adversity into success. Starting a

    business is tough, but you have to fight for its survival.

    Dont treat your bank like your GP, be ready to switch to get the support you need to ensure

    your business succeeds. There is no point launching a product unless you can get the word out

    about it. Free PR is one of the best ways to do this. Get the details right!

    Richard Branson is the only entrepreneur to have built eight separate multi-billion dollar

    corporations in eight different industries, and all that without a business degree. Bidness Etc

    presents six motivational quotes from the man himself and what can be learned

    LEADERSHIP PRINCIPLES BY RICHARD BRANSON

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    1. Listening is one of the most important skills that anyone can have. Thats a very Virgin trait.

    Listening enables us to learn from each other, from the marketplace, and from the mistake that

    must be made in order to get anywhere that is original and disruptive. I learn so much from

    guests and employees that way.

    2. Learn: Learning and leadership go together. Too much credit goes to me for what we have

    achieved at Virgin but the successes happen from working and learning with some of the worlds

    most inspiring and inspired people.

    3. Laughter: My number one rule in business, and in life, is to enjoy what you do. Running a

    business involves long hours and hard decisions; if you dont have the passion to keep you

    going, your business will more than likely fail. If you dont enjoy what you are doing, then youshouldnt be doing it.

    Leadership Style:

    1. Charismatic leadership:

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    In the leadership style of Richard Branson, Charismatic Leadership reflects. His ability to create

    excitement and commitment is an enormous benefit. He has shown his enthusiasm in the Virgin

    Project. He has motivated the employees to accomplish the goal and reach to the destination.

    His long term commitment and goal oriented programs concretes the quality.

    2. Transformational leadership:

    Richard Branson in Virgin Project has motivated the employees in such a way that this project

    become a success story in itself.

    He has set standards for employees and had led to great productivity. He has enthusiastically

    adopted the right approach to lead the Virgin Project to success.

    So, his leadership quality reflects transformation leadership.

    INDRA KRISHNAMURTHY NOOYI

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    Born 28

    October 1955) is an Indian-born, naturalized American, business executive and the

    currentChairperson andChief Executive Officer ofPepsiCo, the second largest food and

    beverage business in the world by net revenue. She has consistently ranked among theWorld's

    100 Most Powerful Women.In 2014, she was ranked 13 in the list of Forbes World's 100 most

    powerful women.

    EARLY LIFE AND CAREER

    Nooyi was born to a Tamil Family inMadras (presentlyChennai),Tamil Nadu,and India.She

    was educated atHoly Angels Anglo Indian Higher Secondary School in Madras. She received a

    Bachelor's degree in Physics, Chemistry and Mathematics fromMadras Christian College in

    1974 and aPost Graduate Diploma in Management (MBA)fromIndian Institute of Management

    Calcutta in 1976. Beginning her career in India, Nooyi held product manager positions

    atJohnson & Johnson and textile firm Mettur Beardsell. She was admitted toYale School o

    Management in 1978 and earned a Master's degree in Public and Private Management. While at

    Yale, she completed her summer internship withBooz Allen Hamilton.[9]Graduating in 1980,

    Nooyi joined theBoston Consulting Group (BCG), and then held strategy positions

    http://en.wikipedia.org/wiki/Naturalizationhttp://en.wikipedia.org/wiki/Chairpersonhttp://en.wikipedia.org/wiki/Chief_Executive_Officerhttp://en.wikipedia.org/wiki/PepsiCohttp://en.wikipedia.org/wiki/Forbes_Magazine%27s_List_of_The_World%27s_100_Most_Powerful_Womenhttp://en.wikipedia.org/wiki/Forbes_Magazine%27s_List_of_The_World%27s_100_Most_Powerful_Womenhttp://en.wikipedia.org/wiki/Madrashttp://en.wikipedia.org/wiki/Chennaihttp://en.wikipedia.org/wiki/Tamil_Naduhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Holy_Angels_Anglo_Indian_Higher_Secondary_Schoolhttp://en.wikipedia.org/wiki/Madras_Christian_Collegehttp://en.wikipedia.org/wiki/Indian_Institute_of_Management_Calcutta#Post_Graduate_Programme_.28MBA.29:_PGDM_.26_PGDCMhttp://en.wikipedia.org/wiki/MBAhttp://en.wikipedia.org/wiki/Indian_Institute_of_Management_Calcuttahttp://en.wikipedia.org/wiki/Indian_Institute_of_Management_Calcuttahttp://en.wikipedia.org/wiki/Johnson_%26_Johnsonhttp://en.wikipedia.org/wiki/Yale_School_of_Managementhttp://en.wikipedia.org/wiki/Yale_School_of_Managementhttp://en.wikipedia.org/wiki/Booz_Allen_Hamiltonhttp://en.wikipedia.org/wiki/Indra_Nooyi#cite_note-9http://en.wikipedia.org/wiki/Indra_Nooyi#cite_note-9http://en.wikipedia.org/wiki/Boston_Consulting_Grouphttp://en.wikipedia.org/wiki/Boston_Consulting_Grouphttp://en.wikipedia.org/wiki/Indra_Nooyi#cite_note-9http://en.wikipedia.org/wiki/Booz_Allen_Hamiltonhttp://en.wikipedia.org/wiki/Yale_School_of_Managementhttp://en.wikipedia.org/wiki/Yale_School_of_Managementhttp://en.wikipedia.org/wiki/Johnson_%26_Johnsonhttp://en.wikipedia.org/wiki/Indian_Institute_of_Management_Calcuttahttp://en.wikipedia.org/wiki/Indian_Institute_of_Management_Calcuttahttp://en.wikipedia.org/wiki/MBAhttp://en.wikipedia.org/wiki/Indian_Institute_of_Management_Calcutta#Post_Graduate_Programme_.28MBA.29:_PGDM_.26_PGDCMhttp://en.wikipedia.org/wiki/Madras_Christian_Collegehttp://en.wikipedia.org/wiki/Holy_Angels_Anglo_Indian_Higher_Secondary_Schoolhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Tamil_Naduhttp://en.wikipedia.org/wiki/Chennaihttp://en.wikipedia.org/wiki/Madrashttp://en.wikipedia.org/wiki/Forbes_Magazine%27s_List_of_The_World%27s_100_Most_Powerful_Womenhttp://en.wikipedia.org/wiki/Forbes_Magazine%27s_List_of_The_World%27s_100_Most_Powerful_Womenhttp://en.wikipedia.org/wiki/PepsiCohttp://en.wikipedia.org/wiki/Chief_Executive_Officerhttp://en.wikipedia.org/wiki/Chairpersonhttp://en.wikipedia.org/wiki/Naturalization
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    atMotorola andAsea Brown Boveri.

    PRINCIPLES OF INDIRA NOOYI

    Participation

    The posts she holds besides being the Chairperson and the CEO of Pepsico, a very American

    institution read like something out a story book. She holds a membership in the Foundation

    board of the World Economic forum. International Rescue Committee also her name in its roll.

    The Board of Trustees of Eisenhower fellowships is an organization where she is a member.

    What is noteworthy is that she is on the board of Lincoln Center for the Performing arts. That in

    deed shows her caliber in being not just a person steeped in corporate culture but as someonewho is equally good at life's good things like arts.

    Handling Power

    Wall street journal and the Forbes magazine have both named her as one of the most powerful

    women in business in the world. Time magazine went one step ahead and put her in the top place

    as number one influential woman in the world. Hard figures reveal that her leadership has

    caused Pepsico to achieve double the sales after she took over in 2000.

    Strength of Conviction

    Indra believes in competence. Unless you are an expert in your chosen field, you will get

    nowhere. You will be known only if you become an expert. In anything, take a decision

    weighing everything for and against it. Once you have decided, never waver from it. You should

    send out the message that you are courageous and confident enough to say what is believed to be

    right by you.

    Outstanding Communication Skills

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    The way you communicate carries a lot of weight. In fact, your communication skills will be in

    the forefront of your leadership qualities. Indra is all for surrounding herself with mentors. She

    believes in listening to the mentors' advice and suggestions and incorporate the goods points in

    what she does. She is not the one to veer away even a little from her moral compass. You must

    have strength to hold to what you know to be morally right, no matter what.

    Take Care of your Employees

    It is not enough to plan development assignments and make arrangements to implement them.

    Strategic building of skills and talent is necessary. An enterprising mindset is called for in this.

    Succession has to be taken into account at every stage. The experience as necessitated by the

    particular post needs to be in place. The plan for succession has to include the process as to howit should be done. Once the experience and skill are identified, the people most suitable for the

    assignment are to be entrusted with the task.

    Leadership Style:

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    People Oriented:

    As we can see that she has adopted the principle of taking care of employees.

    She treated everyone on the team equally. She has friendly and approachable, she pay attention

    to the welfare of everyone in the group, and she makes herself available whenever team members

    need help or advice.

    She created teams that everyone wants to be part of. Team members are often more productive

    and willing to take risks, because they know that she will provide support if they need it.

    So, she reflects people oriented leadership style.