What did Alan Mulally do for Ford?
Integrity is the most rated value of all values for effective leadership. The integrity of profit-making and other resource allocation has been a day-to-to-day practice of Mulally, which has distinguished him from the rest of the competitors. The CEO always maintains honesty with himself and his staff. He also learns from his mistakes and corrects them instantly. He also knows clearly that he is the company’s symbol; hence he has to set an example and expect his staff to follow the same trend (Reed, 2012). The Mulally appreciates the employees’ presence since they make the company, i.e., those companies that value their workers earn more profit than those that do not. Research indicates that profitable companies have enacted several measures, such as providing labor security, a better pay package, employing self-driven teams, sharing information, and training employees, which helps maintain the company’s image (Ford, n.d).
Mulally has created customer loyalty, which is a key to long-term success. This is because serving existing clients does not require market or advertisement costs compared to looking for new ones. The company has also upheld state regulations such as obeying environmental laws, worker safety measures, and labor laws, among others, to avoid time and resource wastage in law courts. As a result, the company that disobeys any state regulation can be sanctioned or fined, which can cause profit reduction (Reed, 2012).
Mulally has made several critical decisions, and among them is when he mortgaged most of the company’s assets to finance a turnaround. The decision saved Ford from bankruptcy and took government aid in 2009. He also changed global operations and restructured Explorer SUV and Fiesta subcompact. Therefore, he saved employees from losing their jobs and avoided conflicts with creditors, which would otherwise tarnished the company’s image (Durbin, 2012).
A successful company has stronger organizational behavior features such as role clarity, performance feedback, and information sharing.
Durbin, D.A. (2012). Ford CEO Alan Mulally pockets a $34.5 million bonus. Retrieved from http://content.usatoday.com/communities/driveon/post/2012/03/ford-ceo-alan-mulally-345-million-richer-this-week/1#.ULe4X2eCzhE
Ford. (n.d). A Word About Diversity and Inclusion from CEO Alan Mulally. Retrieved from http://corporate.ford.com/careers/diversity/mulally-diversity-message-626p?&ccode=KE
Reed, T. (2012). 6 Leadership Tips From Ford CEO Alan Mulally. Retrieved from http://www.thestreet.com/story/11480044/1/6-leadership-tips-from-ford-ceo-alan-mulally.html