Strategic Leadership Alibaba Group Case Study

Strategic Leadership Alibaba group case study Sample

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Task 1: Case Study

Background to the Organisation and the Business Leader

The China-based Alibaba Group provides >C2C,” B2C,” and “B2B” sales services through internet sites, electronic payments, retail search engines, and cloud computing services for consumers and businesses. Internationally, the company owns and runs a wide range of firms across a variety of industries (Clark, 2016). Online retailer and e-commerce giant Alibaba is among the globe’s most popular. As of 2020, it was also ranked as one of the world’s leading AI companies. Aside from that, it's a major player in the field of venture capital and other investments. Customers can buy goods and services directly from the company's "B2B" and "B2C" marketplaces (de Souza and Senhoras, 2018).

He is a remarkable case study of a successful leader: Jack Ma, the founder and former executive chairman of Alibaba Group. SMEs (Small and Medium-Sized Enterprises) throughout the world might benefit from the power of the internet and Alibaba’s worldwide reach, says Ma. At the age of 50, Jack Ma became Asia’s richest man, yet he never believed in pursuing a business for the sake of wealth and prosperity (Liu and Avery, 2021). On the contrary, he was on a mission to revolutionise China’s business practices, restore the country’s soul, and take over the e-commerce globe. As a result of his leadership abilities, talents, and style, Jack Ma was required to make this happen. He was able to make his goal come true because of his unique leadership traits, talents, and approaches (He, 2019).

When it comes to developing a comprehensive understanding of how Ma grew as an entrepreneur through experimentation and learning from his mistakes, this case study will use Ma’s storey as an example of how he developed a unique leadership style that allowed him to take his company so high in the industry. One may learn much from Jack Ma’s tale since he’s an example of a successful businessman who has gone from poverty to wealth.

Explanation of the Meaning of Strategic Leadership and Importance to Alibaba

There are many ways that CEOs employ in "Strategic leadership" to build a vision for their company that allows them to compete in an ever-changing economic and technological landscape (Ali and Anwar, 2021). Using this vision, a firm's strategic leaders can inspire their employees and departments, instilling a sense of unity and direction, in order to implement change inside their company. The goal of this style of leadership is to streamline processes, improve strategic efficiency, stimulate creativity, and create an environment where employees feel empowered to be productive, self-reliant, and contribute their own ideas (Shao, 2019). Employees might be encouraged to achieve their goals by offering incentives and rewards.

As an example of a strategic leader, Jack Ma is an excellent choice. His strategic leadership style benefitted him and his business in more ways than one. To keep ahead of the pack, Ma focused and developed his “people capital” and came up with “out of the box” ideas and techniques (Yanzhen, 2020). Strategic leadership qualities allowed him to review and re-visit the practices of his business, and he was able to adjust them as needed. During his time as Alibaba’s executive chairman, Ma’s strategic leadership enabled him to simplify the company’s operations, increase strategic efficiency, and stimulate innovation (Lina, 2020).

In addition, the “reward and incentive” programmes that are a vital feature of Alibaba’s organisational culture erupted as a result of Ma’s management style. There are many ways in which he can motivate his staff to achieve their strategic goals by implementing these methods (Li, Lei and Liu, 2021). Alibaba’s continuous success in China’s booming e-commerce business was also helped by his ability to combine vision, creativity, and invention.

Contrast between the Main Approaches to the Study of Leadership and the Approach Relevant to Alibaba

Alibaba’s founder, Jack Ma, clearly exemplified the “transformational style” when it comes to his leadership style. The core of this style is extremely distinct from the other basic approaches to leadership, which include: “autocratic,”“transactional,”“democratic,” and “Laissez-Faire” styles.

There is a form of leadership called "autocratic leadership" or "authoritarian leadership" that places the leader in charge of every decision, with the other members having limited input (Dyczkowska and Dyczkowski, 2018). As a general rule, autocratic leaders prefer to make decisions based on their assessments rather than those of their subordinates.

When an executive focuses on incentives and penalties to motivate his or her colleagues, he or she is characterised as a “transactional leader” or “managerial leader” (Purwanto et al., 2020)

Participatory leadership (also known as “democratic leadership”, “shared leadership”, or “participative leadership”) is a sort of leadership style in which the members of a group are more involved in making decisions (Kilicoglu, 2018).

It is common for “laissez-faire” leaders to trust and rely on their personnel. They do not have a hard time letting go and trusting their employees to handle things on their own (Breevaart and Zacher, 2019). Instead, “laissez-faire” leaders let their people use their “creativity”, “resources”, and “expertise” to assist them to achieve their goals.

The term “transformational leadership” refers to a leadership style that has a direct impact on individuals and society. In its ideal state, it transforms followers into leaders by inspiring them to take action and make a difference in the world (Andriani, Kesumawati and Kristiawan, 2018). Transformational leadership is all about inspiring people to be the best they can be. Leaders that adhere to this way of life inspire their colleagues to follow suit.

In the past, Jack Ma was an authoritarian leader. Although this form of management restricts employees’ independence and ideas, he considered it to be a drawback. This revelation led him to adapt his manner and embrace the transformational leadership style, which he continued to use throughout his career as Alibaba’s executive chairman.

Critical Evaluation of the Role of the Chosen Leader in Developing Strategy

As he prepares to exit the firm, there are several doubts about Alibaba’s future phase. However, there are critical lessons to be learnt from the guy born into an impoverished family in Hangzhou and now able to use his £31 billion wealth for charity endeavours and future commercial enterprises (Kim, Zhang and Zhang, 2016). After seeing that there were no Chinese beers in his initial web search for “beer,” Jack Ma recognised a potential for a startup to address that need by creating an online marketplace. Alibaba was founded – a breakthrough that addressed a customer need. This might be interpreted as Ma’s blueprint for future success with the business.

New retail, or the merging of physical and digital buying experiences to create an exceptional shopping experience, has resulted in some great advancements for Alibaba. Its network of online channels enables it to deliver excellent shopping experiences that many failing high street firms in the UK want to replicate (Yazdanifard and Li, 2014). These include in-App browsing and payments that enable physical purchasing, Alipay — the company’s widely used payment platform — and automation and machine learning that enable the business to better understand its customers and expand into other markets such as hospitality.

An instance in point is Alibaba’s Singles Day, which has become associated with the brand. Alibaba co-opted the obscure anti-Valentines day started by Chinese students in 2009 and transformed it into a sparkling event in which individuals across China buy themselves presents – whether single or not. Last year, revenues totalled $30.8 billion (Liu and Avery, 2021). This kind of scale is possible only because Alibaba uses data to guide its strategy for delivering excellent, customer-first experiences.

Critical Review of the Impact of the Leadership Values and Ethics of Jack Main Driving Corporate Social Responsibility and Sustainability Initiatives of Alibaba

As a company founded on philanthropy and social responsibility, Alibaba has worked hard to build a charity ecosystem that makes the most of its technology advantages while also giving back to the community at large. Jack Ma was constantly seeking methods for his organisation to solve critical social issues through philanthropic donations and the resources of its many enterprises (Chen and Yi, 2021). The business took its CSR efforts a step further by founding Alibaba’s Xin Philanthropy Conference, acknowledging the importance of conversation and updated knowledge in achieving even greater outcomes for society. This programme, launched in 2016 and presented biennially by the Alibaba Foundation, gathers together leading philanthropists and influential personalities from across the world to debate how to make social responsibility efforts even more effective (Li, 2016).

Several notable efforts include the “Alibaba Foundation,” the “Alibaba Poverty Relief Fund,” the “Model Mom Entrepreneurship,” the “BlueSky and Blue Map for Environmental Protection,” the “Reunion platform,” and the “Mission Million Books” (Geibel, Feng and Kracht, n.d.)Apart from this, Jack Ma, Executive Chairman of Alibaba Group, launched the “Jack Ma Foundation” in 2014 intending to foster human growth in harmony with society and the environment. Its work contributes to a world with clearer skies, better water, healthier communities, and more receptive minds. The Jack Ma Foundation also started the “Jack Ma Rural Teacher Initiative” in September 2015 to give critical support for education in rural regions (Chen and Yi, 2021). The initiative strives to highlight the critical role of rural teachers by recognising their efforts and providing chances for career development. 

These facts demonstrate Jack Ma’s unwavering devotion to the growth and well-being of his nation, his people, and the environment as a token of appreciation for assisting him in attaining his height.

Task 2: Essay

Leadership is the founding pillar of any modern world organization. The concept of leadership although is rooted in history yet the prevalence and relevance of leadership is widely acknowledged in the contemporary commercial world. The dimensions of corporate conduct have evolved and necessitated the role of active leadership within a company (Radhakrishnan, 2021). The corporate spectrum has a complex grid of events and operations which require a rationale direction of a qualified and experienced leader who will strive to provide a proper and practical vision to the teams for better accomplishment of the pre-defined missions. Leadership is one such aspect that is given a profound significance in the modern corporate arena as it has been established that proper leadership not only shapes the organizational performance but also support the individual growth of the people associated with those operations.

Leaders have those specific skills which enable them to guide the actions through viable decisions and proper knowledge sharing. The global business domain has witnessed some most significant leaders of the current time who have marked their dominance through phenomenal skills and conviction. Awareness, critical thinking and rationalized visions are the key attributes that have enabled the personalities of these leaders (Radhakrishnan, 2021). This essay will attempt to provide a comprehensive idea about Jack Ma Yun, he is a globally reputed Chinese entrepreneur, humanitarian, and financier. He is the co-founder and earlier executive chairman of the international e-commerce giant Alibaba Group.

Assess the role of the business leader in driving organizational performance

As everyone is aware, Alibaba is a globally recognized name in global B2B e-commerce. It is one of the major and most dynamic online marketplace and commercial communities, which has till now incorporated B2B and C2C browsers and websites and is assisting clients and partners all over the globe in making it in commerce. It is predictable that there is definitely a one-of-a-kind business plan underlying this vast empire. According to Jack Ma, in order to achieve in everything, one must have the following four characteristics: first, unwavering conviction; secondly, perseverance; third, knowledge; and fourth, doing things in a positive manner. this is the kind of attitude is observed in Jack Ma which clearly indicates his leadership approach and attributes (Roviqo, 2019). Being a leader, Jack Ma has always been eager to inspire the “team” and firmly believed that teamwork is the key to corporate success. He knew that if the professionals within a company do not integrate their knowledge and skills then there will be a gap that will hinder following success possibilities. He believed that if the team members are not efficient enough or do not have the collaborative ability, the company can fail to achieve its objectives.

He developed the ambience of active participation of all the employees in his company so the integration of creative ideas can be consistent with the strategic approaches. He treated his employees as the core of the company and used to mix with them personally which used to inspire them for better communication and cooperation. He believed that the employees should have better and more understanding and knowledge than the leaders themselves (Lee and Song, 2016). He encouraged the employees to share their ideas effectively through proper interactive approaches. He never discouraged young talents as he thought that these young and optimistic people will allow the appropriate amalgamation of conventional and contemporary knowledge to establish a clear path for success.

Critically explore the exercise of leadership power and influence

Power and influence are both inherent characteristics that arise as a result of leadership. The distinction is in how those two leadership approaches motivate a team to accomplish their task. Power is described as "the ability to affect the conduct of individuals and force them to achieve things they would not do usually (Lina,2020). The problem with power is that the majority do not get the choice but to cooperate, which implies that power is frequently obtained by intimidation or pressure. Influence contrarily is described as the capacity to change other people's perspectives of a circumstance and impact their actions. Power is mainly based on coercing team members to perform something by using frequent challenges, whether implicit or actual. Aggression is the core that initiates accomplishments among the employees, it pressurizes the workers as if they do not cooperate, they would suffer penalty - whether that punishment is termination, loss of a promotion, or public humiliation.

Influence results in a completely voluntary manner for the completion of a task. Influence, via the initiation of affirmations and motivation, leads the team to believe that they have a preference in both the job they are expected to perform and the method they employ to accomplish it (Cheng and Su, 2020). In this context, Jack Ma can be exemplified as he initially used to have a dominant and autocratic leadership approach which was dependent on the method of constant pressurization of employees. the authoritarian leadership approach of Jack Ma used to restrict the employees to sharing their ideas independently resulting in conflict and misalignment. This approach can be attributed to power than influence. Although later he shifted his approach to the transformational style of leadership which allowed the employees to be more integrated and participate autonomously in the corporate operations.

Critically explore the main feature and requirements of leadership development for competitive advantage

Leadership means several attributes and depends on the perspective of different individuals and in different circumstances throughout the globe. On a business level, the leadership position facilitates strategy implementation by developing coherence, boosting the ability of others, and successful collaboration, and it relates to individuals' ability to perform in professional roles inside the firm (Cheng and Su, 2020). Leadership positions can be official or informal. Leadership development is critical to an organization's growth. In the framework of leadership development, long term planning is crucial in the development of a highly performative team to take over leadership responsibilities. A company needs an effective leadership development plan in order to increase its potential in corporate performance. There are some basic factors that must be identified and maintained throughout the development plan for successful integration of the leadership approach.

• Aligning leadership strategy with business strategy: the business requirements and how the company wants to operate in the relevant market must be ascertained prior, therefore it is necessary to have a proper leadership approach (Ciulla, 2020).
• Driving growth: identification of the key attributes of an employee and his expertise, and how those traits apply to the corporate strategies need to be evaluated which is why a leadership approach must be integrated into a company.
• Assess gaps: Initially, the company should outline the gaps in performance, leadership approaches help to define the issues within the company and address those while guiding the employees in the right direction (Ciulla, 2020).
• Measure, monitor and close gaps: Developing a leadership plan is fundamentally intended to ensure strategic success. The key objective is to assure the efficacy of the plan which will broaden the opportunities for the company (Cheng and Su, 2020). Leaders usually direct the processes within the firm and assure proper monitoring of the practices which further helps in mitigating the underlying issues.

Provide the criteria for measuring for assessing an organization's strategic effectiveness from a leadership perspective

In order to get the optimum market position or competitive edge, a company needs to measure its performance and a leader plays a significant role in assessing the performance of the teams and how the departments are aligned (van Tuin etal., 2020). Identification of certain gaps helps the leader to create an effective plan for timely mitigation of challenges and enable them to avoid difficult circumstances. Leaders usually focus on the performance criteria and evaluate performance based on the individuals’ ability to stay consistent.

They measure the overall strategic effectiveness through rationalizing different factors, such as,

• Motivation: leaders are known to emphasize a positive attitude of the employees. If the employees are regular and show a participative attitude, strategic effectiveness is assured (van Tuin etal., 2020).
• Collaboration: For a leader, the foundation of a strong business and efficient performance is the power of collaboration. Leaders often stress the establishment of a strong cooperative approach that assures optimum performance.
• Communication: Communication is the core for any organization that intends to strive (Cheng and Su, 2020). Corporate leaders always encourage effective communication among their teams and different operational units, according to their perception, the basic flexibility and fluidity of interaction build team inspiration and positive work culture which indicate strategic success and widen the path for prospective opportunities.

All these factors are the ideal standards for the leaders to premise the success of a strategic plan or direction.

Conclusion

The current essay has defined the important aspects of leadership and indicated the criteria of strategic effectiveness which a leader emphasizes. The essay has demonstrated a brief yet concise and coherent understanding of the leadership approaches and how the traits influence the conduct within a corporate ambience. In this scenario, the case study of Jack Ma has been chosen to take relative concepts of leadership and how those ideas can be applied in several manners in the favor of a company. It has focused on the importance of strategic alignment with the leadership approach to demonstrate the extent of significance.

Task 3: Business Presentation

This business presentation discusses the nuances of teams and team leadership and their impact on an organization's performance. Additionally, it discusses the distinctions between workgroups and teams, as well as the role of the leader in both instances. The distinctions between "formal" and "informal" groups inside organisations and in society at large will be carefully examined. Finally, a critical analysis of the stages of a group and team development and the function of leadership in optimizing group and team performance will be given and discussed in critical depth.

Critical Discussion of the Importance of Teams and Team Leadership in Organizational Performance

Organizations are more likely to succeed if their employees can work together efficiently. Synergy is a result of successful teamwork, in which each member's contribution is multiplied to produce a greater result. When a group of people works together to tackle a complex problem, it can draw on the unique views, expertise, and abilities of each member to generate fresh answers and ideas that might otherwise be impossible (Smilkova, n.d.).

Setting the tone and implementing the goal for a company is critical to a successful team. Leaders guarantee that all members of the team are fulfilling their responsibilities by providing advice and support (Kukyt? and Jasinskas, 2021). The morale of a team is maintained by effective team leaders, who motivate their employees to perform at their best.

Leaders guarantee that all members of the team are fulfilling their responsibilities by providing advice and support. When appropriate, guidance might include corrective or even punitive activities, such as training and instructing team members (Bain, 2020). In addition to answering inquiries and resolving issues that may affect job performance, guidance is also necessary.

Differences between Workgroups and Teams and the Leadership

Workgroups and work teams are common in the workplace. A team is a group of people who work together to accomplish a common goal for the benefit of their employer. Even if two or more persons don't work in the same department, they can establish a workgroup (Fidia and Annisa, 2020). The differences between a team and a group are minor, but the overriding theme is that a team collaborates and participates in the results, whereas a group is more decentralized (Le Blanc, González-Romá and Wang, 2021). The following are some of the most significant differences between a work team and a workgroup:

Thus, a work team looks to be considerably more formalized, with a clearly defined goal and objective, while simultaneously requiring its members to play an active role as to how the work team operates. On the other hand, workgroups operate independently of one another and are often led by a single leader.

Critically compare and contrast formal and informal groups within organization’s and within wider society

Formal groups refer to the association of professionals in a specific group with a collective and strategic objective that operate in favour of a company prospect. This type of group is formed by the officials and typically has a structure (Raithel, van Knippenberg and Stam, 2021). In these groups the importance is given to the position, these groups are formed either temporarily or permanently. The communication flow within such groups is formal and regulated by rules and certain mannerisms. The structure is created by the hierarchy and these groups are usually large.

On the other hand, informal groups are associations that are created by individuals voluntarily and are less restrictive. Individuals build these groups on the basis of common interests and hobbies (van Knippenberg, Nishii and Dwertmann, 2020). The communication pattern is clear and non-restrictive. These groups are usually permanent and tend to be social. There is no authority in this kind of group. In such types of groups, people are not bound to maintain any set rules which makes it an informal one where everyone has the right to share their opinion independently.

Critically discuss the stages of the group and team development and the role of leadership in maximizing group and team performance

Usually, there are 5 stages of team development:

• Forming: in this stage the people of a group meet for the first time and crate the orientation while being acquainted with each other (van Knippenberg, Nishii and Dwertmann, 2020). 
• Storming: It is the most critical part where the people get associated and face conflicts because of the unfamiliarity with each other’s work approach or communication method.
• Norming: It is the third phase where every individual has lived the experience of working with each other and resolved things positively.
• Performing: The next is the performing stage, which is the most harmonious work atmosphere, where individuals are pleased and enthusiastic, and where group performance is at high (Collins and Castro, 2020). The organization has a clear and solid framework in place, and everyone is totally dedicated to attaining the goals that have been established.
• Adjourning: It is the final stage where most of the team's objectives have been realized at this point, which is also known as the termination, grieving, or finishing period (Collins and Castro, 2020). The initiative as a whole is nearing completion, with the last activities and paperwork done. As the workload decreases, team members are frequently removed from the project and allocated to a new project.

Leaders are the active participants within a group where he has the authority to regulate the team members positively (Lazarova, 2020). They usually play certain roles within a company that allows positive interactions, such as communicating with the team members, ascertaining the roles, defining the goals and objectives clearly, discussing purpose informally, resolving conflicts, establishing behavioral norms etc. are the crucial aspects which need to be maintained by the leaders for a positive group formation and performance.

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Conclusion

The entire document has been established to understand the importance of different types of groups and how those groups are regulated or managed by the leaders through an effective approach. It has also defined the difference between the formal and informal groups and also how leaders play an active role in these groups for assuring better performance and collaboration.

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