Description
Solution
Knowledge Required for Leaders and Managers
Leaders: Leaders at Saudi Aramco need to have a thorough comprehension of global energy markets (CIPD, 2014). In the oil and gas industry, with its complex geopolitical, economic and environmental issues at play, leaders must also understand the changes in the operating climate. This knowledge enables them to make sensible strategic decisions that aid their company to follow the global trends and maintain sustainability and growth long term.
Managers: Aramco’s managers require knowledge about the operational efficiency and resource management. This means understanding of the technical processes, the optimisation of work flows, and the efficient use of personnel and equipment to reach the production targets and maintain the cost effectiveness.
Comparison: Leaders need to know more, in terms of external markets and long-term strategy, while managers need to know more of day to day operations. Leaders have to look globally and strategically, while managers simply manage internal processes. The levels of thinking required for both roles are very different, but both are critical-thinking roles.
Skills Required
Leaders: Strong strategic decision-making skills are required of leaders. This involves analysing complex information into actionable decisions that will define the company’s future direction, particularly in areas like energy transition and sustainability initiatives.
Managers: Due to daily operational issues, managers require strong problem-solving skills (Kotter, 2008). In other words, they must be capable of addressing the production, workforce management and resource allocation problem to achieve smooth and efficient operations.
Comparison: Although both leaders and managers require decision making and problem solving, leaders are concerned with long term, high level strategy, while managers tackle immediate, operational challenges.
Behaviours Required
Leader: A leader is expected to think visionary and addresses the team with a clear picture of the future. The reason for this behaviour is that it motivates employees to do what is good for the company in the long run.
Manager: Accountability from managers is crucial so that they can track their team’s performance against targets and other similar performance parameters like operational standards (Pearce, 2004). It means that they take full responsibility for achieving objectives, for working to very high standards.
Comparison: Leadership focuses on visionary behaviour which is more inspirational and future oriented whereas managers’ behaviour is based on the accountability. Both are critical to organisational success, as leaders set the direction and managers make it happen.
Areas of Improvement
Leaders: Leaders need to improve on their emotional intelligence, so as to understand the emotional dynamics of their teams. This would create a deeper and more effective relationship and communication even in challenging times.
Managers: To delegate more effectively, managers can improve their delegation skills so that they do not undermine team members power. Managers can delegate more responsibilities to their teams, so that they get more time working on employee development and engagement.
Please click the following icon to access this assessment in full
Related Papers
(Solution) CIPS ADNOC Advanced Category Management in Procurement and Supply Chain Management
(Solution) CIPS ROSHN Commercial Negotiation Plan-PIN
- This was established after the post-negotiation review which brought out fundamental lessons about the supplier and our company’s negotiation pattern.
- As for certain important aspects, we indeed secured favourable financing conditions; yet, problems arose in attempting to synchronize delivery schedules since such conditions are affected by external supply chain factors.
- The supplier had the better BATNA and acted in a cooperative but very assertive way, and elaborated why the correct approach to negotiations is more equal.
- Further, the experience showed how flexible one has to be, how innovative, and how it pays to be more interested in long-term partnership rather than quick profit. Therefore, it will be useful in the future to improve the techniques of negotiation, improve the knowledge about the actions of suppliers, and improve intercompany and supplier cooperation.
- This will ensure that in future procurement negotiations; better outcomes are achieved.
- ROSHN should ensure that all negotiations within the next 6 months include specific metrics for delivery timelines, quality standards, and service levels, aiming for a 90% satisfaction rate in supplier compliance with these criteria. This approach will help secure more balanced and sustainable agreements.
- Over the next 12 months, ROSHN should develop a supplier relationship management program with bi-annual assessments to track and improve partnership quality. Target at least a 15% increase in supplier engagement scores by the end of the year to gain favorable bargaining positions during market downturns.
- Within 1 month of each major negotiation, conduct debriefing sessions to analyze performance, identify strengths, and address weaknesses. The goal is to improve negotiation effectiveness by at least 10% in the subsequent quarter through targeted adjustments based on these evaluations.
- Within the next 4 months, involve at least 80% of key stakeholders in sourcing strategy meetings to ensure alignment and gather input on critical decisions. This engagement aims to reduce misalignment issues by 20% within the year, resulting in smoother implementation of sourcing strategies.