Leadership is vital for giving a business direction. Managers need to present clear messages to their staff about what the business wants to achieve. They are also responsible for making decisions and motivating staff which in turn helps an organisation reach its overall goals. Enterprise Rent-A-Car is an international car rental company which aims to provide the same high levels of service for its customers across its global outlets. It achieves this through using a variety of management styles to both empower its employees whilst underpinning the business objectives.
However, large organisations do not always manage their aims and messages well. The recent announcement from the FIA (the body that administers Formula One) to cap the budgets of the F1 teams has caused outrage amongst some of the teams. The aim of a capped budget was to encourage more teams to take part in the sport but the current teams argue that it would create a two-tier championship – those who agree to the budget cap and those who choose to exceed the limit. The FIA and leaders of the F1 teams are to meet in an attempt to resolve the issues. The F1 teams have suggested a set of rules as a way of managing the situation to achieve both the FIA's idea and satisfy the teams. (The Sunday Times, 14th June 2009)
If messages are to be accepted and adopted by those involved in a business or sports team, they need to be presented clearly and in the right way. John Howett, who runs the Toyota team, said: 'All our problems stem from one problem: there isn't a balanced and correct governance system in place.'