Strong or Weak Corporate Culture

Reply 1

I agree that It is clear that the willingness of Carlos Ghosn to turn Nissan from a loss-making company to a profitable one shows his ability to transform. Yukl (2013) states three forms of leaders in transformation: “idealized power, intellectual stimulation, and individualization” (pg 276). Ghosn displayed both influential and intellectual simulation that was idealized.

I feel. the case reports that before embarking on his turnaround plan, which demonstrates his idealized control, he had meetings with staff, suppliers and other stakeholders. Furthermore, his ability to make his followers realize that Nissan’s problems arose from high costs, the solution of which was to slash workforce, demonstrating a high degree of analytical simulation.

The analysis is correct that when he joined Nissan for the first time, he vowed to leave if in 24 months he was unable to turn the business around. In his mission, he remained focused. He was the one who was determined. In addition, the case states that “Ghosn understood that if they were dictated by him and the experts he brought with him from Renault, major changes would not be successful.”

Its true that he had also proven to be a good leader. He shows that listening to local people and knowing their culture is significant, but it is not a must-see that you accept that culture. Ghosn knew he was likely to face rejection as an outsider and that’s why he built cross-functional teams to shape Nissan’s society.



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