My Role Model Leader - Steve Jobs

Steve Jobs, as Jack Welch called “the most successful CEO today” exhibits characteristics of both transactional and transformational leadership styles. Good leadership is key, particularly in today’s competitive global economy, and can make the difference between the success and the failure of the organization. He can be perhaps best labelled as a composite of both. He possesses micromanagement tendencies, is quick to judge, frequently yells and berates his employees, and reduces them to tears. Yet he also inspires a transcending vision who can connect emotionally with both his customer base and employees. Numbers say it all, Apple’s market capitalization is over $300 Billion making it the second most valuable publicly traded company in the world, surpassing even giant (and rival) Microsoft.

Transactional leadership involves working within the existing culture, ensuring that employees are doing things correctly. Rewards are performance based and incorporate Management-By-Exception which involves monitoring performance and either taking action if performance deviates from expectations or being proactive in preventing deviations. It’s a directive Theory X leadership style. Transformational leadership involves inspiring greater performance, creating a vision and aligning staff around that vision, fostering creative ideas, and being sensitive to the needs of others. A transformational leader is charismatic and intuitive. It’s been proven that transformational leadership results in increases in productivity as well as employee satisfaction and employees prefer to work for leaders with this style. It’s in line with MacGregor’s Theory Y and Ouchi’s Theory Z leadership style. However transactional leadership does have positive attributes in that it can build an environment of trust and loyalty if the promised rewards are given, which in turn leads to job satisfaction. In reality both styles are typically not only present but are needed.

Steve Jobs as Transactional Leader

It’s no secret that Jobs can be someone to be feared, having been described as, the great intimidator. He is quick to judge, categorizing employees as either, geniuses’ or bozos’ and quickly firing those who fall in the latter camp. Said Larry Tesler, an Apple engineer, regarding Jobs, “the little things he did would create incredible pressure unlike I’d ever experienced before just tearing you to the bone ripping you apart and making you feel worthless.” Fear and reprisal tactics are not qualities of the aforementioned transformational leader, particularly as transformational leaders are known to show respect for their employees (a sub-component known as individualized consideration). Jobs defends these tactics by stating about his employees, “when you get really good people they know they’re really good and you don’t have to baby people’s egos so much.” and “My job is not to be easy on people. My job is to make them better.”

  

Steve Jobs as Transformational Leader

Despite Jobs‟ extremes into the transactional space, he is equally extreme in the transformational space. He is known for his rhetorical skills and power of persuasion, qualities that define a charismatic leader. He is famous for luring John Sculley, a move that Jobs would later regret, away from Pepsi with the words, “Do you want to spend the rest of your life selling sugared water, or do you want a chance to change the world?” Words like these were representative of the inspirational motivation aspect of transformational leadership that Jobs possessed. A colleague described him as “one of the most charismatic people in the computer industry.” Strategic Direction wrote about him (“Who has the top”, 2009) that “few CEOs enjoy the iconic status and fanatical following as Jobs”. Andrea Cunningham who had lamented about his micromanagement style also said of him, “You have this feeling that you are going to change the world with him, and it can justify the 90-hour weeks.” This turns out to be a very revealing comment as transformational leaders are known to be able to inspire their followers to push further and harder than they otherwise would by transcending their own self-interest for the sake of the team and directing their efforts to the pursuit of Maslow’s highest level; spiritual actualization. Transformational leaders must also believe in their own vision. Genuine enthusiasm is tangible and transfers easily to others who can’t help but become enthusiastic themselves and as Jobs says in his own words, “The only way to be truly satisfied is to do what you believe is great work.”

He’s a composite leader in an extreme way, someone to be both greatly feared and greatly admired. Jobs dual personality that his “rare blend of the charismatic and tyrannical” has been the “key to Apple’s success”. The reason why Steve Jobs is hero to me and millions of others is that though many of his creations were original, expensive and stylish, they improved productivity and enhanced pleasure. Without the mouse this column would have taken longer to write and robbed me a little of the joy.