I guess the classic answer would be it depends….Sounds like a cop out, but
really different leadership style would be required for different situations and
thus the term “situational leadership” may be an appropriate term. To be an
effective leader, you must not only know your own strengths but the strengths
of the people you lead. You must be ready to adapt your style to suit the
varying conditions or face extinction.
There are a few types of leaders, one
who tells or directs his people without caring much about feelings, relationships,
etc. This may be effective in a crisis where quick actions are needed. Then there
is the persuasive leader who is able to shift mindsets and set directions. But
regardless of the type, a truly effective leader must be honest which gives
him credibility which is a critical quality. They must “Say what they Mean
and Mean what they Say”. They must also lead by example and not practice double
standards. Also a leader must not be afraid to make mistakes and more importantly
be open to admit that he/she has made them. They must also trust and value their
people and be prepared to get their hands dirty.
Some examples of effective leaders …….
Most will agree that Lee Kuan Yew was
an effective leader. His leadership transformed Singapore to achieve its global
city status. Others would include Winston Churchill, Mother Teresa and the list
goes on……These leaders had the will and determination and made things happen through
their sheer perseverance.
Well in the initial years when was at
the helm of the National kidney Foundation (NKF), many will agree that he was
the prolific CEO who transformed
the NKF from a small foundation into Singapore’s largest charity. During his
term, NKF’s revenue grew from $17 million to a staggering $116 million.
The problem started to brew when TT
Durai in the name of protecting the reputation of the NKF started to sue
individuals who made allegations against him, his staff or the organization. He
was successful in some of these suits and public apologies were made to clear
the name of the charity. Amongst these allegations were that TT Durai flew
first class when he travelled on business trips.
The turning point was the “Golden Tap”
issue. On 19 Apr 2004, an article was published in the Straits Times which
essentially revealed that Durai had installed a “Golden Tap” in his office
private bathroom.
Yes you
are right, Durai sued the Straits Times for defamation. During the trial, surprising
information was revealed about Durai’s pay package which included super high bonuses.
The whole issue of transparency was played out in court as NKF had failed to provide
the public with open information on how public funds were spent. Now comes the
interesting issue which makes this case special. NKF is a charitable organization
and not a profit making company. Its revenue was raised through charity drives
and public donations. Like wild fire, the public outcry on misuse of public
funds was brought into the lime light. The public were outraged that the CEO of
a charity had to be paid such a high salary and given such luxurious perks, e.g.
1st class travel, fleet of luxury cars and not to mention the gold
tap didn’t help at all. To top it off, this man had the audacity to sue others
when allegations were made against him. This was really something the ordinary
citizens found hard to accept and left them feeling totally resentful.
Further lapses on financial procedures
were also revealed during the court proceeding and TT Durai was also alleged to
have committed corruption offences. In the end, TT Durai and his entire board
members were all required to step down. Durai was also sentenced to 3 months
imprisonment for the corruption charges.
The case received widespread media
coverage and the charity saw its donations plummet. The wife of a prominent
politician who was also on board of NKF was drawn into media spot light when
she passed a remark that the $60000 paid
to TT Durai was peanuts. This insinuated much unhappiness amongst the
people for the insensitive remark made on his salary. This episode highlights
the point that words once uttered cannot be undone without repercussion. Obama
too draws reference to this important point that words matter.
So where is TT Durai now….. The last it was heard that he had secured
$25,000-a-month CEO job in Abu Dhabi.
The verdict : TT Durai was an effective leader but he failed to
realize the type organization he was leading, a charity as opposed to a
profit making private company. If he had been the CEO of a private company, all
his extravagances would not have been blown out of proportion.
Like him, many others too have failed and have bounced back. See
below.
My putting shot : If you have never failed you have never lived.
