MGT-605: Leadership and Organization
Mackey (2011), and Sisodia (2019), define capital conscience as “a way of thinking about capitalism and business in a way that better reflects where we are in the human journey, the state of our world today, and the innate potential of business in making a positive impact on the
world.” In understanding more about what and how the capital conscience operates, Mackey and Sisodia identify four key parts as guidance: higher purpose, stakeholder integration, conscious leadership, and conscious culture and management. These four parts provide insight into the theory of how business can and will create value benefiting multiple groups involved and stakeholders. Business is now an everyday part of life, worldwide. Businesses and organizations across the globe are now structured in a way to believe that their main goal and purpose is earnings. Looking into the four important parts of understanding conscious capitalism, each one contributes to the success of leaders within the organization and their development as well.
First, higher purpose focuses on when a business has a motive for a greater good other than just profit and earnings for the company. Although every company has the purpose of generating profits, not every company has a higher purpose beyond profitability (TTCC, 2021). Second, stakeholder organization is where management of the business works in parallel solely for the benefit of the stakeholders that are not limited to the investors, partners, employees, and customers of society. Just like how humans depend on the trees and plants for oxygen to survive and live, all companies depend on the stakeholders to be able to flourish and grow.
Third, conscious leadership maintains the awareness of emotions of thoughts, feelings, and experiences to make sure that the goals set are achieved. Characteristics of a conscious leader include being able to view problems from different perspectives, remain calm and handle all situations professionally since they are the role model for their employees and followers, and
be responsible for leading and communicating effectively to maintain positive behaviors and performances (Ward & Haase, 2016). Lastly, conscious culture and management are where organizations and businesses are confident in their development of a culture in which everyone is aware of and understood. One highly respected culture is employees understanding and
respecting the hierarchy of leadership since that respect makes management jobs easier and helps with succeeding with a climb up the corporate ladder, (Anderson, 2015).
From the late 1700s to the early 1900s, the Industrial Revolution brought tremendous change to workplaces and made great impacts and transformations on how companies run. The Industrial Revolution and mass production brought changes and new requirements that contributed to new ways of managing people, workplaces, and processes. With the growth of every organization, business owners felt the need to hire more management to control and run daily operations so that everything functions well. The administrative and management theory was a theory created by Henri Fayol (1841-1925), who retired and left behind a legacy of changes in growth and development in the business he worked at.
The administrative theory considers all activities that an organization must conduct, whereas the management theory is considered the primary business activities which are mainly for managers. Full constructed these two theories to be used as a basis for formal management education and training (Brooks, 2011). Conscious capitalism and leadership can also be easily compared to the Trait Theory and Exchange Theory. Trait theory leans towards the theory of people being born as leaders with some qualities being made up allowing them to be successful as leaders in any leadership roles. Exchange theory on the other hand develops with an exchange that happens between employer and employee in developing a mutual and respectful
relationship.
In leadership effectiveness, Emotional Intelligence (EI) plays a vital role in its development since it is the ability to understand not just your own but also others’ emotions and behavior all while using that knowledge and understanding to motivate others (Sisodia,
2019). Mr. Sisodia provided various examples and explanations, particularly to how EI contributes to leadership. Emotional intelligence is an interpersonal capability that includes the ability to perceive and express emotions, and not just to understand but also to use them to manage the emotions of everyone else around them (Griffin et al., 2020. p.91). Leaders lead by example, and once employees see their management having the ability to control their emotions, they are encouraged or motivated to do the same. That is demonstrating confidence in others. Self-awareness is being aware and recognizing moods, and emotions, including how they connect and affect each other. That goes along well with self-concept. Having the ability
to comprehend and direct their feelings into a positive state of mind is what leaders are meant to be doing (Koyuncu, 2020).
The assessments were the most fun of this assignment. I learned a lot about myself that I did not know about. Completing the VARK assessment taught me that I am a Multimodal learner. I always say that I am a hands-on learner, but who would’ve thought that this type of learning is called multimodal? The assessment states that Multimodal learners are good listeners, and like to discuss, ask questions, do hands-on examples, and complete practical exercises. None of this is true because I do all of it in class and anywhere, I go. I like to make sure that things are well-understood and that I have no other questions to ask so that I know and understand what I have to complete. Sometimes, if there is no discussion, I will try my best to work things out myself and find a way to make it work. This assessment reminded me of a lot of other ways that I utilize in working to get things done.
Completing the Rokeach survey was easy, but that does not mean I did not learn anything. I did learn a couple of new things that I did not know about myself. I always thought my terminal values were set, until I took this survey. Going through the survey, I surprised myself with the discovery of valuing salvation above everything with things such as my family security. My instrumental values did surprise me a little as it was loving with affection, obedience, and honesty. As someone that is away from families and only surrounded by friends out here in Arizona, I try my best to be the best version of myself in giving back to people. No matter what we do, if we’re not giving willingly with a full heart, there’s no use in doing it. Jesus even tells us in the bible to love our neighbors as ourselves, and that’s something I live
by every day. The cultural competency self-assessment was measured based on the five big personality traits. I was not surprised when I discovered myself as an extrovert. My social battery is charged when I am surrounded by people. When I am not, I turn into an introvert
with no interest in what is going on outside the world. I value diversity so much because of my upbringing and I wasn’t aware of that until completing this assessment.
These assessments helped a lot in reminding me of what I have and what I lack. These traits give me insight into how I can be a better person so that I am capable of leading others and being a good leader. Conscious leaders should always be aware of their characteristics and the organization they are a part of. I believe that instilling my values and way of life shouldn’t be a problem since those contribute to the attitude and behavior that I take with me to work. Analyzing organizational behavior is making room for development and understanding of how employees can be motivated to be the best and do better through performance and help establish a strong relationship founded on trust between employees and customers. An
understanding of OB also helps managers help their companies perform well (Griffin et al., 2020).
References
Anderson, M. R. (2015). The 4 principles of ‘conscious capitalism. Entrepreneur.
Brooks, C. (2011). Management theory of Henri Fayol. Business.com.
Griffin, R. W., Phillips, J. M., & Gully, S. M. (2020). Organizational behavior: Managing
People and Organizations (13th ed). Cengage Learning.
Mackey, J. (2011). What conscious capitalism realldy is. California Management Review,
52(3), 83-90.
Koyuncy, B. (2020). EQ: The great white whale of leadership development. Leadership
Excellence, 37(1), 26-28.
Sisodia, R. (2019). Reimagining capitalism with higher consciousness [Video]. TED Conference.
The Tenets of Conscious Capitalism. (2021). Grand Canyon University. Business Management.
Ward, S. F., & Haase, B. (2016). Conscious Leadership. AORN Journal, 104(5), 433.e1-433.e9.