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Innovation Leadership

In: Business and Management

Submitted By tsmith0409
Words 1405
Pages 6
Unit 6: Assignment 1
Innovation Leadership Project

MBA 6006 October 3, 2014

Introduction

Procter & Gamble is a large multibillion dollar company that many of us would have never thought was having difficulties until we read the case study. Like many people and companies P&G had been winning for soo long that they got complacent. The time, thought, and energy was no longer being invested into the innovation of the company. There were “ideas” that were thrown into production with hopes of them working. However, when things started to go wrong the leaders at P&G started to do their research and really dig into what changes could and needed to be made. This first step is what separates this company from many others and what has enabled them to remain successful to this day.

What Encourages Innovation

There were two primary leadership styles that were present at Proctor & Gamble as a result of Lefley stepping in as the CEO. Both transformational and contingency leadership were present and needed to enable the company to evolve.

The transformation leadership was exhibited when we look at the different patterns of leadership that were present. Prior to Lafley taking over as CEO, P&G had lost the largest amount of profits in their history in the shortest amount of time. The company had moral issues and an overall downward spiral on their hands. However, all of this quickly changed once Lafley stepped on the scene. Lafley declared, “innovation is the central job of every leader- business unit managers, functional leaders, and the CEO (Dyer et al., 2011 p. 27)”. He was able to transform P&G based on his desire to turn the company into a “learning organization”. Transformational leadership is a set of behaviors that engage followers toward a better future (Dyer et al, 2011). Lafley…...

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