CORE LEADERSHIP ISSUES

Situational analysis

Positive

 Significant charitable organization.

 Unique because it is connected to a major international organization and includes a major
operating facility in the form of an athletic complex.
 The facility is focused on people who are physically challenged.
 Training ground for Paralympians.
 Prominent home in the charitable space.
 Board of people support fundraising.
 All of them working voluntarily.
 Staff are highly dedicated and emotionally committed.
 Help parents to give their child a constant care and love to their development and help them
cope up in the world.
 CEO is a good accountant so can manage financial accounts in a better way.
 Despite the challenges, they are able to provide services in the given budget.

Negative

 Lost its way in the recent times

 Board of people contains 14 members, all of different background, so becomes difficult to bring
all on the same page
 Lack of charisma in CEO and socially awkward, which leads to dissatisfaction of customers and
sponsors.
 Morale has gone down, because of minimal increase in pay
 Lost a long term serving CFO, which is a huge loss due to good cost management.
 No training or support to the staff organizational structure is weak and financial management is
tight
 Bad impression in public even when they are doing good job
 People if board working for different purpose, some just doing to improve their resume, no
motivation.

Goal

 To change the CEO.

Q.2 PROBLEMS

 Less involvement of board members in the operation

 CEO has only accounting skills, not good socially
 The staff is not motivated due to no increment in their salary.
 The commands given are not followed by employees.
 Lost a loyal CFO
 Revenue is equal to the expense.
Inferred

 Public might lose faith in the organization

 The organization would lose financial sources
 Staff might leave the organization because they are not getting paid enough
 Clients might switch to other organization and look for other options

Core operational Problem (House on Fire)

 Losing financial sources, which could lead to failure in running the facility.

Leadership issues to solve

 Lack of motivation to the team as they are not satisfied with the increment in the pay
 Mainly focused on containment of cost and not public relation & fundraising by CEO
 The board of member working for their individual purpose
 The current CEO can prove to be a good CFO, but not capable of being a CEO
 No authentic leadership - No Proper chain of command. Chain of command exists on paper but
not in practice. It is easy to go over someone's head.

Core Leadership Issues

 The core leadership issue is the CEO, he is not good at maintaining public relations & getting
more sponsors.
 The staff need more motivation.
 The board of member should work as a team.

Part 2: Create ideas and the vision

Ideas

 Change management: hire a new CEO.

 Leadership motivation: Increase the pay of employees and motivate them as they are loyal and
love the work they do.
 Shaping culture & values: The board of members should be brought on the same page and ask
them to work for the benefit of organization, rather than working for personal interests.

Solution Analysis

 Appoint a new CEO, as the current CEO is not capable to maintain public relations and get new
sponsors. CEO and the Board of Members should work together to find new sponsors.

b. Kotter’s 8-Step change management model

Step 1: Create Urgency

Losing revenue and sponsors, will lead to loss of clients and employees, so we wouldn’t be able to help
people.

Step 2: Form a Powerful Coalition

New Chairman of the Board is true leader and he is trying to solve the problems
Step 3: Create a Vision for Change
The value is to hire a new CEO that can fit the organization mandate.

The future of the organization after hiring the new CEO will help fix financial issues, create more PR with
the community, maintain the organization’s employees, rebuild the clients’ trust

Step 4: Communicate the Vision

Creating idea is not enough. Communicating it with the team is equally important. The more you discuss
your ideas and vision, the more they can relate to it.

What you can do:

 Talk often about your change vision:

Communicate about the idea of raising more funds with the Board of Members to increase the
pay of the staff and to run the organization efficiently.

 Address people’s concern and anxieties, openly and honestly.

Currently the expense of the organization is equal to the revenue, which is very critical as the
expenses might increase in the future. So the sole concern should be raising capital

Step 5: Remove Obstacles

What you can do:

Identify, or hire, change leaders whose main roles are to deliver the change.
*The Board and Chairman himself have to start the process of hiring the new CEO
Look at your organizational structure, job descriptions, and performance and compensation
systems to ensure they're in line with your vision.
*Organizational structure is fine, but the performance is low, due to poor compensation system,
because of low funding
*Fire the current CEO and hire a new qualified CEO.

Step 6: Create Short-Term Wins

Start from introducing the vision to the new CEO

The short-term success is to retain the current sponsors and clients.

Step 7: Build on the Change

To invest the change we need to:
• Late the victory of success because the real change runs deep.
• Need to keep looking for the improvement.
 • Build goals for the new CEO and Put time line for each goal to be achieved.
 Motivate the staff
 Rebuild the trust between clients and the association
 Rebuild the trust between sponsors and the association
 Looking for new sponsors.
• Put performance indicators for achieving the goals
 Revenue
 Staff performance and satisfaction
 Client satisfaction by taking feedbacks
• Keep the success to continue.

Step 8: Anchor the Changes in Corporate Culture

The only good option is if we hire a New CEO. As the current CEO is not capable of maintaining public
relations, due to which the current sponsors are backing out and he is not able to get new sponsors.
If the revenue increases, the organization can increase the pay of the staff. And hence the motivated
employees would work more efficiently in providing services which will lead to customer satisfaction.

C. Yes this solves the original problem of getting more funds and hence would be able to give
more pay to the employees who are the backbone of the organization.

d. Changing the CEO will bring more sponsors, motivate the staff and help to improve public
relations.

E. Hiring a new CEO is our solution.

2. Strength of the solution

1. Strengths
a. It solves both the operational and leadership issues
b. It will improve the functionality of the organization, within minimal resources.
c. A fresh outlook by new CEO.
2. Concerns
a. Time sensitive change. We can lose more sponsors and employees, while appointing a
new CEO. (Accelerate the process by hiring the HR company)
b. The new CEO probably won’t change the Boards mind and bring them back to work.
(The Chairman need to convince the Board to work together)

Action Plan

Implementation Plan
Action: what is to be done By Whom By When
Short Term:
Unfreeze the organization By Board and Immediately
Chairman
Board meeting Chairman ASAP
Find a new CEO HR company ASAP

Mid Term:
Fire the existing the CEO The Board Once the new CEO is
found

Long Term: New CEO Once the new CEO is

Improve organizational structure appointed
Train & motivate the staff,
Maintain & bring back the sponsors,
Target new sponsors,
Improve public perception.

Criteria Based Change Leadership Shapin Comments

Assessment management motivation g
Criteria/Ideas culture
&
values
How effectively does it get The main goal is
to change the
you to your goal? 5 2 3 management

How well does it solve the The new CEO can

use his former
operational issue? connections and
4 4 2 sources to raise
the Funds for the
company
How well does it solve the Change in
management will
leadership issue? 5 4 3 solve the
leadership Issues

Other: 2 2 5 To hire new CEO

(recruiting costs,
How much is the financial salary,
cost? compensation to
previous CEO)
motivate
 employees
(bigger salary,
incurrence, etc.)
Other: There is a risk in
changing
How risky is it? management,
3 2 1 but if we won’t
do this, we can
lose more.
Totals
19 14 14