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The entrepreneurial school This school has as its central concept vision. The strategy formulation process is focused on the individual leader and involves intuition, judgment, wisdom, experience and insight. Vision, mission, and core values of the organization are conceptualized by a strategic leader, in order to perform effectively and efficiently. An entrepreneur as a strategic leader is successful in conceptualizing the vision, mission, and core values of the organization for performing his managerial functions effectively. (2007, p.461). For translating the vision, mission, and core values into business decisions, an effective strategic leader must be able to oversee the formulation of required objectives, strategies, policies, and structures. It must be helpful in enhancing inspiration, loyalty, and involvement of employees. Vision must be continuously communicated. Vision must be challenging, so that hidden abilities can be explored. Vision should enable the employees to think beyond their personal limit.
Some of the important leadership values can be listed as competency, ambition, individuality, responsibility, credibility, honesty, innovativeness, teamwork, accountability, quality, courage, security, wisdom, challenge, learning, friendliness, optimism, empathy, flexibility etc. For a leader choosing the values and living up to the values is the most powerful tools. A leader must perform his functions as per his rational thinking and knowledge, but relentlessly aiming at the vision of his organization. As far as the vision is concerned he must be less compromising. [http://humanresources. about.com/ od/leadership /a/ leader_vision.htm]. The premises of this school are: - Strategy exists in the mind of the leader in his form of a vision of the organization?s future. - Strategy formulation is only partly a conscious process. - The leader promotes the vision single-mindedly and keeps close control over implementation, reformulating it as necessary. - Thus the strategy is deliberate in overall vision and emergent in how its detailed implementation unfolds.
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- The organization is similarly malleable. - Entrepreneurial strategy tends to take the form of a niche, protected from forces of outright competition. The cultural school Organizational culture is defined as the shared beliefs that are reflected in traditions and habits as well as more tangible manifestations ? stories, symbols, buildings, the way employees dress and address each other etc. The premises of this school are: - Strategy formulation is a process of social interaction based on the shared beliefs and values of the members of the organization. - Individuals acquire these beliefs and values through a process of socialization that can be either tacit or largely non-verbal or can involve systematic indoctrination. - Individuals cannot normally fully describe these beliefs and values; indeed they may be only partly conscious of them. - Strategy is deliberate even through not fully consciously thought out and takes the form of a collection perspective. - Culture and the ideology that goes with it do not encourage strategic change but rather the perpetuation of the existing strategy. An example of this is the way in which IBM?s traditional mainframe culture stood in the way of early adoption of PCs. Strategies for creating a healthy organizational culture: Gutsy leadership: Guts can be termed as the courage to do the right thing. Innovative strategy and effective leadership make the mission of the corporate a success. A gutsy leader will be effective in a dynamic organization, because he /she will never hesitate to act as a change agent. A gutsy leader will help the organization to advance the art of strategic leadership. Apart from its literary meaning the word guts is sometime expanded as; Goals, Urgency, Tenacity, and Sacrifice. In a world of highly dynamic and volatile nature, the leadership must be able to face the challenges of change.
A gutsy leader can tackle such issues with fewer hassles. A true leader will have the ability to influence others. Positive leadership: Among the several leadership styles the most appropriate one for creating a healthy organizational culture is the positive leadership. But it should be combined with the consultative or participative leadership. In case of a positive leader the process of scientific management is more effective. The subordinates can be motivated well as they will have faith in their leader. The participation of workers in decision making will enable to adapt changes easily. By this type of leadership overall functioning of the organization will become effective and productive. A positive leader will always believe in the participation of his subordinates in the organization functions. In such cases employees are independent and responsible. In the case of a positive leadership the qualities of good leadership such as empathy, rational thinking, good communication skills, interpersonal interactions, and motivation etc, are maintained and developed.
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