Course name and code: Mkt 321 Title of the assignment: Analysis of Organizational Behavior

North South University

Course name and code: Mkt 321 Section: 2

Title of the assignment: Analysis of

Organizational Behavior

Submitted by:

Name ID

Faria Ishrat ( Sec: 01) 1320744030Ariful Karim Khan 1310553030MD. Showkat Uddin Chy 1230156630Syed Sajid Mehrab 1310786630Fahim Jawad Rahman

Date of Submission: 10th August, 2015.

Submitted to: (AbU) Abu Saad Shezanul Haque Lecturer, Department of Management, North South University.

Letter of Transmittal11th August, 2015

Abu Saad Shezanul Haque (AbU)

Lecturer, Department of Management,

School of Business Administration

North South University

Subject: Submission of project report on the analysis of

organizational behavior of “BRB Cables Industries LTD”.

Dear Sir,

This is our pleasure to accomplish the project work and submit

our analysis on “BRB Cables Industries LTD”. It has been prepared

by a group of five students as a part of the MGT321 course

following the instructions that has beengiven to us by you.

Though we are in our learning curve, this report has enabled us

to gain insight into the core fact of Organizational Behavior.

We have put our earnest effort to give this report a presentable

shape and make it as informative and precise as possible. We

thank you for providing us with this unique opportunity.

Yours Sincerely,

Ariful Karim Khan

Faria Ishrat

MD. Showkat Uddin Chy

Syed Sajid Mehrab

Fahim Jawad Rahman

Acknowledgement

First of all, we would like to thank Almighty Allah for allowing

us to remain able to complete this report. We offer Him our

deepest gratitude, because without His allowance we could have

never finished our work.

Then we would like to put across our earnest appreciation to Mr.

Abu SaadShezanulHaque (AbU), faculty member of North South

University, for giving us this wonderful opportunity to prepare

this report, and providing his valuable suggestions and precious

time in accomplishing our project report. This will help us a lot

in receiving the knowledge of real world managerial situations.

We are grateful to him for his help and support for which we were

able to prepare this report successfully.

Our project writing skills and communication skills have improved

greatly during the course of writing this report. If there is any

kind of questions or comments regarding the interpretation of

this report, please feel free to contact with us. We look forward

to working under the guidance of Mr. Abu Saad Shezanul Haque

(AbU) again in the near future.

We thank him for believing in us and giving us this wonderful

opportunity.

Table of Contents1. Company Profile of BRB Cable Industries

LTD………………………...04

2. Introduction……...…………………………………………………………05

3. Analysis of Organizational Culture…………………………………

4. An Analysis of MD. Parvez Rahman’s

Personality……………..

5. MD. Parfez Rahman's Sources of Motivation………………………….

6. The Leadership Style……………………………………………

7. The Decision Making Style..........................

………………………….

8. Team Analysis………………………………………………………..

9Analysis of Organizational structure…………………………………

10. Notable Quotes ………………………………………..

11. Existing HR policies…………………………………

12. Recommendation……………………..………

13. Conclusion………………………………………………………….....

14. References…………………………………………….

Company Profile of BRB Cable

IndustriesCompany Profile

1Name of the

Company:BRB Cable Industries Ltd.

2Board of

Directors:Md. Mozibar Rahman – Chairman

:Mrs. Selima Begum - Vice Chairman

:Md. Parvez Rahman - Managing Director

:Mrs. Tania Afroz - Director

3Location of the

Factory:BSCIC Industrial Estate,

Kushtia-7002, Bangladesh.

Tel: 071-61933,73244, 61600

Fax: 00-88-071-73641

E-mail: [email protected], [email protected]

Website: www.brbcables.com

4Registered

Office:BSCIC Industrial Estate,

Kushtia-7002, Bangladesh.

5Nature of the

Company:Manufacturer of a complete range of XLPE & PVC

Insulated LT & HT Cables,

FRLS Cables, House and Appliances Wiring Cables, Dry

& Jelly filled Telecommunication Cables,

Instrumentation Cables, Aluminium Overhead

Conductors, Dual Coated Super Enamelled Copper Wire

(Winding Wire), lamp ballast.

6CertificateIncor

poration:23rd October'1978

Introduction

BRB Cable Industries Ltd. a private Limited Company was

established with a view to manufacture Wires & Cables in 1978.

The factory started commercial production in the year 1980 and it

has become a leading manufacturer of XLPE & PVC Insulated LT & HT

Cables, FRLS Cables, House and Appliances Wiring Cables, Dry &

Jelly filled Telecommunication Cables, Instrumentation Cables,

Aluminium Overhead Conductors, Dual Coated Super Enamelled Copper

Wire (Winding Wire), Marine Type Cables, practically all cables

required from the substation down to the lighting point. All the

products are approved by BSTI (Bangladesh Standards and Testing

Institution) and certified by the world-renowned internationally

reputed individual Testing laboratory CPRI (Central Power

Research Institute), India.

The factory is situated at BSCIC Industrial Estate, 5 KM from

Kushtia town. The factory is well equipped with modern machinery

and equipments. The company has a group of qualified and

experienced manpower who maintains the quality of the products.

For its product quality, the company has earned fame in the

country and its product has been approved and being used by BPDB,

REB, DESA, DESCO, BMDA, PWD, BTMC, BSFIC, T&T, MES, BADC,

Bangladesh Port Authority, Bangladesh Railway, Autonomous bodies,

Private sector, Industrial and Apartment projects and

individuals. To meet up increasing demand in the market, the

company has set-up Unit-2 for producing Wires & Cables, AAAC, AAC

& ACSR Conductor, XLPE &PVC Insulated LT & HT Cables, FRLS

Cables, House and Appliances Wiring Cables, Dry & Jelly filled

Telecommunication Cables, Instrumentation Cables, Aluminium

Overhead Conductors and set-up Unit-3 for producing special type

of Dual Coated Super Enamelled Copper Wire (Winding Wire). The

Company is marketing its products through 85 (Eighty Five) Sales

centre. Additionally BRB products are also sold through their

sister concern, BRB Distributions Ltd. Dhaka. Besides the Sales

center, the Company is marketing its products through selected

Traders in all districts. The Company has a group of experienced

personnel in its marketing & technical department who are well

equipped to render service to its customers.

The Company was earlier certified as an ISO-9002 certified

Company for its quality management system. Keeping its commitment

to ensure gradual improvement of its quality products through

Research and Development, prompt customer service, the company

later undertook ISO-9001:2008 certificate. Moreover the company

has been awarded Bangladesh Education Scholarship Trust Gold

medal, Sher-E-Bangla Gold medal, 10th Golden America Award, Arch

of Europe Award, National Export Trophy (97-98) Gold and National

Export Trophy (2000-2001) Bronze. The company has been ranked

33rd amongst world leading Wires & Cables manufacturing

Companies. This Study incorporated 3,000 Wires & Cables

manufacturers of 200 countries.

The Success FactorsIndividual Level Factors Heredity refers to factor determined at conception. Physical

nature, Facial attractiveness, gender, temperament, muscle

composition and reflexes, energy level, and biological rhythms

are generally considered to be either completely or substantially

influenced by who your parent are- that is, by their biological,

physiological, and inherent psychological makeup. The heredity

approach argues that the ultimate explanation of an individual's

personality is the molecular structure of genes, located in the

chromosomes. 1

MD. Parvez Rahman's success in his professional life suggests

some of the characteristics that might have been inherited by

birth. His exuberant energy, the fact that he was a man, in a

male dominated society and era where sexism was a strong factor,

certainly helped his cause. A success of that measure had to do

something with having an amazing temperament, something that is

in most cases inherited. His energy level to work through the

summer jobs, to get his PhD early, and his quick rise to

corporate authority wouldn't have been possible without an

amazing grit of never giving up and a strong level of energy. His

abilities were that he was able to comprehend and learn quickly ,

to take note of what he has learned, to be a pioneer in his

profession and not to forget how he changed the managerial

1Source: Organizational behavior (15e) Stephen P.Robbins &TimothyA.Judge

landscape and cutting out bureaucracy while making the office

work efficient .

An Analysis of The Leader’s PersonalityMyers Briggs Type Indicator (MBTI)The Myers-Briggs Type Indicator (MBTI) is often used to improve

overall performance in organizations. This tool can help workers

gain self-awareness, improve emotional intelligence, and better

understand how they—as well as those around them—operate in the

workplace.The Myers-Briggs Type Indicator (MBTI) seeks to

quantify a person’s personality type through a psychometric

questionnaire. They classify an individual into one of 16

possible personality types, based on the following parameters:

Extroverted (E) vs. Introverted (I)

Sensing (S) vs. Intuition (N)

Thinking (T) vs. Feeling (F)

Judging (J) vs. Perceiving (P)

MD. PArvez Rahman can be characterized by the MBTI descriptor

asENTJ. ENTJs are natural born leaders. They live in a world of

possibilities where they see all sorts challenges to be

surmounted, and they want to be the ones responsible for

surmounting them. They have a drive for leadership, which is

well-served by their quickness to grasp complexities, their

ability to absorb a large amount of impersonal information, and

their quick and decisive judgments. They are "take charge"

people. They are more likely to analyze and apply logic with

interpersonal issues, which can annoy and puzzle the feeling

types. The ENTJ doesn’t generally understand emotions, preferring

to deal with issues as problems or concepts.ENTJs must develop

their perceptive ability and suspend the judgment function just

long enough to give perception a chance. If an unexpected

explosion of temper shows up, there’s a good possibility that the

ENTJ needs to allow space for feeling now and again. This will

provide a constructive outlet before reaching the boiling point.

The Big Five Model

Many contemporary personality psychologists believe that there

are five basic dimensions of personality, often referred to as

the "Big 5" personality traits. The Five categories in the Big

Five Model are – Extraversion, Agreeableness, Conscientiousness,

Emotional Stability, Openness to Experience.From all the steps

Md. Parvez Rahman took in his 20 years of leadership, he proved

himself as a quick decision maker and change managers. Md. Parvez

Rahman scored high in all five dimensions of personality traits

of the Big Five Model.

From the analysis of Md.Parvez Rahman’s personality, He is

emotionally stable and agreeable person, who is also open to new

and creative ideas and he likes to get those idea implemented

very soon. He is outspoken and he meets everyone in his company,

which makes him extrovert as well. All these personality traits

show that he was very energetic and caring about his

organization. He plans both for short term and long term. He

also put effort in training the successors and making future

leaders who can replace the old leaders and put new energy into

the businesses. He always believes in giving his people the best

as reward and recognition. He knows that people’s voice is very

important so he arranged such a system that every single employee

can be heard, his suggestions are taken seriously and his issues

are resolved. This created a sense of ownership in all the

employees and they felt as being important and part of the

company. All these actions prove that Md. Parvez Rahman is a true

leader and a great manager. Due to his strong leadership, he

transformed the company in to a giant.

Other Personality Features of Md. Parvez RahmanThere are a number of personality traits that a leader can

possess. According to research, Md. Parvez Rahman is a leader who

also has a narcissistic personality. Narcissism is not

necessarily a negative character trait for modern leaders to

display. Md. Parvez Rahman can be a prime example of a modern

leader who shares enormous success as well as narcissistic

tendencies. He embodies "strategic intelligence," which is a

powerful blend of foresight, systems thinking, visioning,

motivating and partnering. Other strengths of the productive

narcissist include charisma, voracious learning, perseverance,

alertness to threats, and a sense of humor.

Good Side and Bad Side of the Leader’s Personality

Md. Parvez Rahman can be characterized as “productive narcissist”

or PNs. Narcissists are visionaries who attract hordes of

followers, which can make them excel as innovators, but they're

poor listeners and they can be awfully touchy about criticism.

These people don't have much empathy. Productive narcissists are

not always concerned about people's feelings. They see other

people as a means toward their ends. But they do have a sense of

changing the world — in their eyes, improving the world. They

build their own view of what the world should be and get others

recruited to their vision.

Emotional Intelligence of the Leader

Md. Parvez Rahman possesses strong emotional intelligence which

means he has a strong personal sense of goals, values, and vision

which is also attuned to the goals, values, and visions of

others. Md. Parvez Rahman spent 50 per cent of his time on people

development and knew the names and roles of over 1,000 people at

the company. He quotes, while speaking to the Wall Street Journal

- "A leader's intelligence has to have a strong emotional

component. He has to have high levels of self-awareness, maturity

and self-control. He must be able to withstand the heat, handle

setbacks and, when those lucky moments arise, enjoy success with

equal parts of joy and humility. No doubt emotional intelligence

is rarer than book smarts, but my experience says it is actually

more important in the making of a leader. You just can't ignore

it."

How People Perceive Md. Parvez Rahman

Md. Parvez Rahman inspires workers and makes them feel part of

something big and important. According to Md. Parvez Rahman,

vision must be communicated in every opportunity managers have to

do so.Four times a year at GE, Welch gave each of his direct

reports an honest appraisal. He told each of them what he liked

about their work and what they could do to improve.

Some industry analysts claim that Welch is given too much credit

for GE's success. They contend that individual managers are

largely responsible for the company's success.

A criticism of Welch’s communication style is that he is too open

and too confrontational. Welch strives to build self-confidence

in his managers, but his communication style will often cause

people to lose self-confidence in themselves.2 Open communication

channels work well when they are used to motivate performance and

increase employee morale, but when they are used to intimidate

they will have the opposite end in low self-esteem.

Md. Parvez Rahman's Sources of Motivation

 In 1960 After he finished his studies at the University of

Illinois , Md. Parvez Rahman started his career with General

Electric as chemical engineer. Since he joined GE he made

2Source: Corporate Strategy Analysis: General Electric Co

remarkable change in the company.His effort turned this company

into one of the world’s most successful company.

Though he is successful ,he experienced lots of difficulties in

his career. his salary was $ 10,500. he planned to quit his job

because he was not satisfied with the raise he was offered and

the bureaucracy at GE. He wanted to quit his job because of low

salary and his bosses. But Reuben Gutoff the executive of the

company marked some potential in him and motivated him and

convinced to not leave GE. He promised him that he would help to

create the small-company atmosphere Welch desired.3

Motivation is the way to influence someone to achieve certain

goals on his/her own ability.To motivate employees, leaders or

managers need to be careful about employees' needs and also

create candid environment in the workplace .They should also know

what to pay and how to pay. According to McClelland’s theory of

motivation, Md. Parvez Rahman had need for achievement,need for

power and need for affiliation.He had potential to work to get

mere success in his life so he needed opportunity to get

achievements, and also he wanted friendly and close relationships

in his workplace which will help him to share his ideas and

concentrate in his work more.

Md. Parvez Rahman was inspired to work hard to get achievements

and to change his work place as he desired it to be. Soon he

became the CEO of the company because of his dedication and hard 3 Source : Wikipedia: Md. Parvez Rahman

work, and the company value of GE increased 4000% .Md. Parvez

Rahman is the only CEO till now who got the highest payment of

$417 million, largest such salary till date and his company

became one of the most successful one in the world.

Being a CEO, Md. Parvez Rahman motivated his employees in every

possible way. He worked with them as a peer not as a boss. He

always supported candid communication in the workplace, which

will help the employees to share their ideas and views openly.

Goal settings ,empowering employees, grading their performance,

rewarding not only with trophies but also with salary, all these

are few effective motivating ways of Md. Parvez Rahman. Rather

than setting fixed goals, he always asked for every possible

improvement ideas from his employees and all these things helped

the employees work their best and benefiting millions at his

company.

So here from the motivation theories, we can relate the Goal

setting and Self- efficacy theory with the motivation always of

Md. Parvez Rahman because, when a leader set higher goals it

pushes his employees to perform better and set higher goals for

their own performance which enriches their self- confidence as

well as their performance. Again, according to the Expectancy

theory, when the leader rewards good performance with trophy,

salary, promotion, bonus etc. it motivates the employees to put

more effort to improve their performance in order to get rewards.

So by motivating employees in these different ways, Md. Parvez

Rahman proved to be a great leader which benefitted his company

highly to be one of the best companies in the world.

The Decision Making StyleIn 1981, General Electric was suffering from low productivity

growth and lack of strong leadership. After becoming CEO of

General Electric, Md. Parvez Rahman made some effective decisions

against GE in several major areas throughSix Sigma quality

program in late 1995, that he identified from his previous 21

years of experience with GE. Six Sigma is a process, which

consists of the rigorous training of statistical tools to improve

profits, reduce costs and improve speed. The steps are given

follow:

Recognize the problem to work on.

Define the system

Measure key aspects of the current process and collect

relevant data

Analyze the data to investigate and verify cause-and-effect

relationships.

Improve the current process based upon data analysis using

techniques.

Control the future state process to ensure that the target

are corrected before they result in defects.

GE had been operating at 3.4 sigma means 3.4 defective features /

million opportunities but that was not enough for Welch, he

wanted six sigma (nearly twice the national standard).Welch

consistently set far-reaching goals in an attempt to move the

company in the direction he wanted. To do so he rewarded people

by giving bonuses if they made great progress towards goal but

did not reach them or often recognized them for superior

performance. Welch popularized "rank and yank” policies. He found

that the organizational structure was consisted of nine layers of

management between the shop floor and the CEO. This made GE an

inward focused company that the employees found difficulty in

communicating with one another. Welch believed that GE was overly

diversified so he eliminated it. GE faced negative attitudes

toward the workplace so t Welch articulated the corporate

strategy in a way that each division would be number one or

number two in their industry. In 1984, he had reduced the

workforce by almost 100,000 in order to streamline the company

and to increase efficiency. Every year he would terminate bottom

10% of his managers regardless of absolute performance. However,

Welch would reward in the top 20% performer with bonuses and

stock options. 

Visions of the LeaderAs per Md. Parvez Rahman, “Good business leaders create a vision,

articulate the vision, passionately own the vision, and

relentlessly drive it to completion.” The visions of Md. Parvez

Rahman are given below:

Dismantling bureaucracy: Bureaucracy is the cancerous

element of an organization, can create waste and slow the

decision making process, leading to unnecessary approvals

and procedures that make a company less competitive. Welch

stressed that each employee should work on getting rid of

bureaucracy every day. Bureaucracy can be the most stubborn

disease, but we can simplify and remove complexity and

formality to make a company more responsive and agile.

Boundarylesscompany : A company without administrative walls

between separate business units and where knowledge applied

to one area could be applied companywide.

Be Number 1 or Number 2: Each division would be ranked

first or second in their field. When the company ranked as

four or five in a market,that time number one sneezes and

give feeling of pneumonia. When the company ranked number

one they can control their destiny.4

Analysis of the Leader's OrganizationMission and Vision of General ElectricMd. Parvez Rahman is one of the most respected CEOs in this

world. He has a tremendous passion for winning and he has his

unique management practices which are collectively called "The

Welch Way". Welch was the CEO of General Electric from 1981 to

2001. He always believed in an organization behavior which is

called "boundarylessness". General Electric is the picture of

Welch’s way of thinking.

4Source: From Wikipedia, the free encyclopedia

GE doesn’t have any mission statement, but it uses a equation

which actually describes its mission. That equation is:

GE explains it as:“We have a relentless drive to invent things

that matter: innovations that build, power, move and help cure

the world. We make things that very few in the world can, but

that everyone needs. This is a source of pride. To our employees

and customers, it defines GE.”

GE’s vision statement:“Be the world’s largest provider of

electronic commerce solution that create intelligence for

business supply chains.”

Slogan:When Md. Parvez Rahman was the CEO of GE there was a

slogan of this organization which was actually a trademark of

GE . It is:“We bring good things to life”.5

Structure and CultureStructure: When Md. Parvez Rahman was appointed the CEO of GE he

restructured the organization. Md. Parvez Rahman’s corporate

strategy was based on performance and efficiency. To ensure that

5 Sources: strategic Management Insight

Welch restructured the organization, the structure of GE during

Md. Parvez Rahman’s time in given below:

Through organization restructure Welch eliminated extra layers of

management and cut off a large number of jobs. Because of this

Welch got the name ‘Neutron Jack’ which is referred to the deadly

neutron bomb. Welch believed that employees should be given

enough space to show their creativity and they should be given

total freedom of work style and ideas. But at the same time he

believed that if any company wants to achieve its objectives it

should also shed people who are not productive for the

organization. Welch’s organization structure was informal and

everyone was free to do their work in their own unique style.

Culture: Being a CEO is a huge responsibility. And to fulfill

this responsibility Md. Parvez Rahman ensured a corporate culture

which can achieve the goals of GE. Welch was against the

bureaucratic processes. So he created a culture of openness,

confidence, leadership and creative thinking at every level of

GE. All the employees were forced to think out of the box and to

think as if they were not working for a big company but for a

demanding entrepreneur where nearly everyone knows the boss. Jack

believed if employees don’t think for short term then they can’t

attain the long term achievements. Welch ensured an informal work

condition where from secretaries to chauffeurs to factory workers

called him Jack. Welch used to think that informality is a big

deal to perform and be efficient. Welch also used to surprise his

employees with bonuses and recognition because he thought it

motivates the employees to work efficiently.

Welch likes to think GE as the ‘grocery store’. Welch says,

“What’s important at the grocery store is just as important in

engines or medical systems”. He thinks if customers are not

satisfied, employees are not happy, and right things are not at

the right place, then right or desired outcome cannot be

achieved. So it is very important to manage your organization as

a small one and ensure quality work every time. 6

CommunicationEducation and the “Crotonville training center” are a critical

part of Md. Parvez Rahman’s communication philosophy at GE.

Crotonville is not an ordinary training centre. Besides lectures,

attendees participate in team building exercises and tackle real

GE problems. Welch uses Crotonville as a hub for communication

6 Sources: Corporate Strategy Analysis: General Electric Co

throughout the GE organization. At Crotonville, all employees

get accustomed with the goals and objectives of GE and get to

experience the face-to-face debate and problem solving that is a

cherished part of GE’s culture.

Another effective motivating communication channel that Welch

opened up was the 3600 review between a boss and his

subordinates. Employees spend time directly with their bosses

and are given very clear information about successes or failures

in their work. Employees are also allowed to evaluate their

bosses. A better understanding of job responsibilities and

performance combined with the ability to be a participant in the

evaluation process have been instrumental in motivating employees

and gaining their support during periods of massive restructuring

and ever farther stretching goals.

Welch also instituted a 30-odd member Corporate Executive Council

(CEC). This council has no formal authority, but has come to

function effectively as GE’s political center. They are Welch’s

team of managers who meet regularly to discuss debate and argue

about the future of individual business units. One of the CEC’s

functions is to serve as the main nerve center, ensuring that

“best practices” are communicated throughout the company.

Communication is extremely important for the success of GE. Like

many great leaders, Welch has realized the value of good

communication in an organization. He described communication as a

major part of the force motivating people in their dealings with

one another and in their attitude towards work and commitment to

the organization.

The Leadership Style

Md. Parvez Rahman is a businessman and he is well known for his

unique leadership style as CEO of the General Electric (GE).His

leadership style was very different but he became so

successful. He always knew what he expects and wants from his

employees. If he is not satisfied with his workers and he feels

that they can’t reach their goals than simply he used to get rid

of them and give others that opportunity to prove them. This is

the main reason his business kept growing. He also used to reward

his employees for their hard work and performance. He always

believed in inspiring his employees to do better job and set

goals for them but he never give them step by step instruction to

achieve the sets of goal .his leadership style includes learning

methods ,innovations, involving everyone in the group and most

importantly quality is better than quantity. Welch’s leadership

style was different from other leaders but it helped him to grow

more as a better leader.7

As we know leadership means influencing a group towards achieving

a set of goals. There are two types of theories of leadership:

1) Trait theories of leadership

7 Source: The Welch Way

2) Behavioral theories of leadership

Trait Theories of Leadership

Trait theories of leadership considers personal qualities and

characteristics that differentiate leaders from non-leaders. It

is only useful when it matches big five theories of leadership.

Extroversion:

Assertive, social and gregarious.This types of personality is

comfortable with relationships. Md. Parvez Rahman was very much

social and he believed in workplace candor relationship with

everyone which may help sharing each -others ideas more openly.

Conscientiousness:

This type of people are very much responsible, dependable an

persistence. Md. Parvez Rahman was a responsible person he always

fulfilled his responsibilities quiet well and he was a dependable

leader as well.

Openness:

This include Creative and artistic types of people. According to

his character it doesn’t seem that he was an artistic person .he

was a realistic person as his biography refers.

Emotional intelligence:

People with positive emotional intelligence are clam confident

and secure. Welch was a positive person who believed in his worth

and worked hard for it.

Behavioral theories of leadershipThis theory proposing the specific behaviors differentiate

leaders from non-leaders. This type of leadership can be taught

to anyone.

Ohio State ModelOHIO State model is mainly based on two dimensions consideration

and initiating structure. Having consideration in the horizontal

and initiating structure in the vertical axis OHIO State Model

talks about four behavior such as : high initiating structure and

low consideration, low initiating structure and low

consideration, low initiating structure and high consideration &

finally high initiating structure and high consideration.

We all know Md. Parvez Rahman as a magnificent leader. Welch did

everything as a CEO of GE which helped GE be one of the most

renowned organization. If we consider this OHIO State Model then

we can say that Welch’s leadership style falls on the high

initiating structure and high consideration. It actually means

that Welch was highly production oriented. He wanted to work and

achieve his organization’s goals but at the same time he gave his

employees enough scope of creativity, reward, confidence and

healthy work environment to do their work properly. Welch was

never in a favor of creating pressure on his employees and bound

them in any structure. He believed that people can actually work

better when they are not told how to work. So we can say that

according to the OHIO State Model Welch’s style of leadership

falls on high initiating structure and high consideration point.

Managerial GridManagerial Grid is also based on two behavioral dimensions such

as: concern for people and concern for production. Having concern

for people in the vertical and concern for production in the

horizontal axis Managerial Grid shows five styles of management

such as: impoverished management, country club management, middle

of the road management, authority compliance and team management.

If we analyze Welch’s leadership way we can see that Welch was

more into team management segment. He had high concern productive

work and high concern of people at the same time. He wanted his

company be the best and beat the competitors but also was never

in the favor of pressurizing employees. He wanted his employees

to think and come up with creative idea and work on those ideas

in their unique way and achieve the company’s objectives. To

ensure this Welch always motivated his employees with sufficient

amount of reward, support and healthy work environment. He was a

leader of excellence and this was shown by his leadership style.

So we can say that according to the Managerial Grid Welch falls

on the team management segment.

Contingency TheoryFiedler Model: Effective group performance depends on the proper

match between leadership style and the situation. For effective

leadership must change a leader who fits the situation or change

the situational variables to fit the current leader.

Three Situational Factors are considered here:

Leader-member relations: degree of confidence and trust in

the leader

Task structure: degree of structure in the jobs

Position power: leader’s ability to hire, fire, and reward

Above three factors are matched with Md. Parvez Rahman’s

leadership style. Md. Parvez Rahman was very much trusted by his

employees. T o improve leader –member relationship Md. Parvez

Rahman considered occasional informal get together with his

colleagues and bosses or with his employees. Md. Parvez Rahman

set the goals and encourages employees to attain that goal.

Offer reward for best idea and also established a performance-

review program to identify the top 20 percent of employees. Later

according their performance rewarded them with bonus and stock

options. For betterment of the company each year Welch would fire

the bottom 10% of his managers, regardless of absolute

performance.

Path Goal TheoryPath Goal theory is a theory that leaders provide followers with

information, support, and resources to help them achieve their

goals. Md. Parvez Rahman was a supportive leader. He believed

that genuine leadership comes from the ability to spark others to

extraordinary performance not provide step by step directions for

manual worker. He also believed that direction destroyed creative

ideas. That’s why Md. Parvez Rahman inspired the employees of GE

with clear vision of how things can be done better to exert

creative and best idea from employees.

Leader Management Exchange Theory (LMX)Because of time pressures, leaders form a special relationship

with the followers here the followers of “in-group” are trusted

and get more time and attention from the leader (more

“exchanges”) and followers of “out-group” get less of the

leader’s attention and tend to have formal relationships with the

leader (fewer “exchanges”).

This leadership style does not match with Md. Parvez Rahman’s

style. As a CEO of General Electric (GE) Md. Parvez Rahman never

divided his employees as in group and out group rather he was

always trying to eliminate bureaucracy. Addition he also worked

to make GE a boundaryless company so that the employees of other

department get the opportunity to share their valuable ideas with

other department employees.

Notable Quotes by Md. Parvez Rahman

“An organization's ability to learn, and translate that learning

into action rapidly, is the ultimate competitive advantage.’’

“Good business leaders create a vision, articulate the vision,

passionately own the vision, and relentlessly drive it to

completion.’’

“Globalization has changed us into a company that searches the

world, not just to sell or to source, but to find intellectual

capital - the world's best talents and greatest ideas.’’

“You've got to eat while you dream. You've got to deliver on

short-range commitments, while you develop a long-range strategy

and vision and implement it. The success of doing both. Walking

and chewing gum if you will. Getting it done in the short-range,

and delivering a long-range plan, and executing on that.”

“A strategy is something like, an innovative new product;

globalization, taking your products around the world; be the low-

cost producer. A strategy is something you can touch; you can

motivate people with; be number one and number two in every

business. You can energize people around the message.”

“In order to lead a country or a company, you've got to get

everybody on the same page and you've got to be able to have a

vision of where you're going. America can't have a vision of

health care for everybody, green economy, regulations - can't

have a bunch of piece-meal activities. It's got to have a

vision.”

“You can't grow long-term if you can't eat short-term. Anybody

can manage short. Anybody can manage long. Balancing those two

things is what management is.”

“The essence of competitiveness is liberated when we make people

believe that what they think and do is important - and then get

out of their way while they do it.”

ConclusionMd. Parvez Rahman’s attitude towards management boils down to a

few very simple ideas: breaking down hierarchies, ensuring free

information flows throughout the organization, and encouraging

people to talk, listen and be open to new ideas. .

Welch succeeded in transforming a complacent behemoth into an

energized company ready to face world competition. Because of his

strong attitude and leadership whatever tactics Welch used,

whether good or bad the fact remains that he has been one of the

most successful company leaders of all time. Because of this Md.

Parvez Rahman was named “Manager of the Century” by Fortune

Magazine in 1999.8

8Source : "Md. Parvez Rahman And the Motivation of..." by MichaelDulberg , Judson Paschen , Steven Sprindis and Larrick Sacha Stawski

References1. https://www.scribd.com/doc/45231261/Analysis-Jack-Welch

2. http://www.entrepreneur.com/article/224604

3. http://www.businessweek.com/1998/23/b3581001.htm

4. http://www.uni-erfurt.de/fileadmin/public-docs/

Mikrooekonomie/Vorlesungsmaterialien/Management/Strategy

%20GE.

5. http://www.strategicmanagementinsight.com/mission-

statements/general-electric-mission-statement.html

6. http://en.wikipedia.org/wiki/We_Bring_Good_Things_to_Life

7. http://www.brainyquote.com/quotes/quotes/j/

jackwelch451356.html