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Leadership in Times of Uncertainty Research Paper

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Introduction

The COVID-19 pandemic has substantially impacted most industries globally, disrupting supply chains and creating a high degree of uncertainty in the future. In the context of public administration, this impairment has been particularly notable for managers and leaders who need to ensure organizational safety, preserve the working rights of employees, and design effective plans for the company’s consequent development. Pandemics and other external factors always create conflicting demands for organizations, and it is the primary responsibility of managers and leaders to find an appropriate solution to emerging problems. Ultimately, the current paper thoroughly examines the necessary strategic capabilities, administration behaviors, decision-making interventions, and other potential instruments that might help managers and leaders ensure effective organizational development in the context of public administration and prevent them from overreacting to distressing outcomes during times of uncertainty.

Leadership and Empowerment

The first chapter of the report focuses on the impact of leadership styles and managerial strategies on the empowerment of employees and departments to address strategic priorities. There are multiple methods to structure organizations and implement effective changes, and these interventions are unique for every company (Kehs, 2022). In other words, there is no one universal leadership technique that might apply to every organization, department, and employee to maximize productivity (Kehs, 2022). Hence, the leaders must develop interventions according to the industry, degree of uncertainty, working environment, objectives, organizational culture, organizational capabilities, company’s vision, resources, and other variables of administration.

Transformational Leadership

Leadership strategies should impact all levels of organizational development, ranging from individual employees to corporate structures. Transformational leadership is a highly effective tool of empowerment on the individual level, increasing the motivation and productivity of employees (Yu et al., 2018). In general, this framework implies “a process where leaders and followers help each other to a higher level in terms of morality and motivation” (Norlin, 2020, p. 71). These characteristics are essential components of many leadership styles, but transformative leadership further emphasizes individual care and thorough response to employees’ needs (Norlin, 2020). The primary idea of the framework suggests that positive change should arise from the lowest level of organizational structure (individuals) and affect all hierarchy levels above, including departmental and corporal groups (Norlin, 2020). This approach has proven to be effective both in private businesses and the public sector since the human factor is a common variable in all organizations, and leaders should address employees’ needs (Harb and Sidani, 2019). Ultimately, transformational leadership is one of many methods to empower people and increase their motivation and productivity.

Empowerment and Strategic Priorities

Consequently, it is crucial to discuss the connection between empowerment and strategic priorities, explaining why motivation and a sense of organizational vision are essential to discovering effective methods of development. Ciobanu, Androniceanu, and Lazaroiu (2019) have examined the link between motivation and employee performance in the public sector, confirming that a positive work environment stimulates the spurt of creative ideas and enhances overall productivity. According to the authors, effective leadership practices associated with increased employee motivation include building trust among team members, showing empathy/understanding, transparent goals, and shared vision (Ciobanu, Androniceanu and Lazaroiu, 2019). Moreover, some of the unique empowerment sources in the public sector are Public Service Motivation (PSM) concepts, such as compassion, altruism, and a sense of contribution (Ciobanu, Androniceanu and Lazaroiu, 2019). Hence, the research shows that empowerment directly leads to enhanced productivity and positive autonomy of employees, meaning that they are ready to put in additional effort to achieve the proposed objectives.

Leadership Interventions and Transparent Organizational Architecture

Having confirmed the effectiveness of empowerment on the individual level, the second chapter focuses on specific leadership interventions that ensure a transparent organizational architecture and hierarchy of decision-making. In other words, organizations should implement frameworks and systems that guarantee that decisions are made by appropriate people at all organizational levels to optimize firm performance. This approach allows establishment of more durable structures within the organization that could potentially prevent the damage from external factors, including pandemics and other unexpected developments.

Leadership and Hierarchy

In this context, hierarchy does not imply strict regulation of employees’ rights and decision-making. The research shows that it is possible for leaders to apply the principles of transformational leadership while maintaining a sense of discipline and structure within the organization (Cho et al., 2019). Although the effectiveness of interventions depends on the organizational culture, it is crucial to understand that compassion, empathy, and understanding of employees’ needs do not contradict a regulated environment with an established organizational hierarchy (Cho et al., 2019). Hence, leadership interventions should not neglect the primary principles of management described above.

Transparent Decision-Making: Causal Perspective

Concerning the exact interventions, one of the best methods to improve transparency and accountability of all organizational decisions is direct communication between departments and thorough documentation of processes. According to the causal perspective, practiced in Google, “transparency creates accountability” (Heimstädt and Dobusch, 2020). This approach revolves around the direct association of departments connected through the collaborative efforts of team leaders and is relevant in private organizations, the public sector, governmental policies, and other organizational entities (Heimstädt and Dobusch, 2020). Moreover, it is applicable in strategy-making since more transparency leads to a more thorough understanding of how to achieve specific goals and long-term objectives (Heimstädt and Dobusch, 2020). Lastly, the authors note that this model is beneficial for departmental sustainability because transparent financial planning allows for the effective allocation of resources according to the company’s needs and vision (Heimstädt and Dobusch, 2020). Hence, the causal perspective focuses on the efforts to improve transparency to achieve higher accountability and more effective decision-making.

Transparency and Leadership Qualities

Extensive research demonstrates a positive association between leadership practices/qualities and transparency. For instance, Bonsu et al. (2022) prove that such characteristics as high ethical values, morality, compassion, communicability, team-oriented behavior, and flexibility are primary determinants of the effectiveness of leadership practices. Moreover, the authors report that improving transparency/accountability among aspiring leaders should be the primary objective of education in the public sector (Bonsu et al., 2022). According to this perspective, accountability fosters the mentioned leadership characteristics, and there is a mutually beneficial relationship between transparency and leadership practices (Bonsu et al., 2022). In the context of the current work, it is particularly significant because such qualities as flexibility, resilience, and communicability can help leaders mitigate organizational problems and improve their own mental fortitude to overcome various challenges.

The Auditor General of South Africa and Mitigation of Uncertainties

The third chapter focuses on the Auditor General of South Africa (AGSA) and examines the appropriate strategies for mitigating uncertainties, including the consequences of COVID-19 and other external factors. This context is relevant to the topic because the AGSA has implemented many policies as a COVID-19 relief package, and this approach might provide crucial insights into leadership strategies and effective public administration. Additionally, the AGSA presents transparent reports about its efforts in the public sector, and it is possible to analyze the importance of accountability. Lastly, the current chapter examines the life and career of Kimi Makwetu – the previous auditor-general of the AGSA, whose leadership drastically changed the way the organization operates.

AGSA Interventions

The first sub-chapter examines the implemented interventions aimed at relieving the damage to the public sector from COVID-19. Some of the policies included Temporary Employee/Employer Relief Scheme (TERS) benefits, support of small businesses, tourism relief, the procurement of Personal Protective Equipment (PPE), and water/food supplies (Auditor General South Africa, 2020). All of the mentioned initiatives required accountable leaders who could supervise emergency relief during a crisis. From these considerations, it was one of the primary AGSA’s objectives to ensure that local leaders understood the significance of their positions and the potential impact they had to make the lives of thousands easier (Auditor General South Africa, 2021a). In the 2021 COVID-19 relief report, Tsakani Maluleke proclaimed, “the audit office is convinced that if municipal leaders <…> are fully committed to turning around local government and moving it towards the capable, efficient, ethical and development-oriented institutions envisaged by the constitution, improvements are bound to follow” (Auditor General South Africa, 2021a, p. 7). Hence, the AGSA shows that interventions need to be supported by the collaborative and ethical efforts of leaders.

AGSA Leadership Practices

It is crucial to understand that the mentioned AGSA interventions could only be enabled by effective leadership practices and intelligent planning. At the end of the report, the AGSA (2020) encourages leaders in the public sector and private organizations to “improve governance systems” to prevent emerging problems and difficulties. This approach demonstrates the utmost significance of accountable and self-sufficient leaders in the industry who need to supervise the situation and be prepared for unexpected developments, such as COVID-19 or natural disasters. The auditor-general, Kimi Makwetu ended the report by highlighting the primary thesis of the current paper, “Even in the midst of a crisis, transparency and accountability for government spending to the benefit of citizens cannot take a backseat” (Auditor General South Africa, 2020, p. 15). To achieve this objective, it is crucial to ensure the effectiveness of leadership practices.

Kimi Makwetu as a Real-Life Example of Resolute Leadership

The latest AGSA annual report devotes a large part of its content specifically to how practical leadership can improve the lives of people. The authors monumentalized the passing of Kimi Makwetu by referring to his dedicated work and the utmost significance of effective leadership (Auditor General South Africa, 2021b). They emphasized how challenging it was to supervise the AGSA’s efforts in such a “turbulent operating environment” and praised Makwetu’s work for being an accountable and resolute leader (Auditor General South Africa, 2021b). He was one of the pioneers of the 4V strategy – value-adding, visibility for impact, viability, and vision-driven approach – that had a substantial impact on how the AGSA operates and perceives its duties (Auditor General South Africa, 2021b). Ultimately, under the leadership of Makwetu (see Figure 1), the AGSA changed its mission to a more transformation-oriented vision and gained a significant international presence.

The portrait of Kimi Makwetu
Figure 1: The portrait of Kimi Makwetu

In the context of the current work, this commemoration of Makwetu demonstrates how much a single individual can influence the organization and the country, changing the lives and the perceptions of people. As mentioned in the report, Kimi Makwetu played a pivotal role in the COVID-19 relief program and advanced the importance of transparent/accountable leadership within the AGSA (Auditor General South Africa, 2021b). He led by example and showed how resilience, resolution, and passion can become the guiding light for thousands of people during a crisis. His leadership style was a superior example of transformational leadership that primarily focused on people’s motivation, beliefs, and values. This approach can be clearly seen from his statements, such as, “Trying to better the lives of citizens through what we do, is challenging, and only a passion for creating a better future will see us through in this ambition” (Auditor General South Africa, 2021b, p. 12). In summary, Makwetu demonstrated with his actions how pivotal leadership is during times of crisis.

Leadership Qualities

One of the core discussions in this paper concerns the ability of leaders to mitigate the internal panic in organizations, ensure undisturbed performance, and stop themselves from overreacting to external factors, such as COVID-19. Some of the crucial qualities include resilience, a team-oriented mindset, flexibility, and compassion. Hence, the fourth chapter focuses on leadership qualities that might be beneficial for managers and leaders, particularly in stressful settings.

Leader Resilience

The example of Kimi Makwetu has demonstrated the importance of resilience and persistence in a crisis. This quality is particularly significant for a leader during emergencies since it ensures that they can endure pressure and preserve their mental health. According to Tau et al. (2018), a lack of resilience is one of the core reasons why leaders fail in stressful operating environments. The authors examined the nursing leadership of managers in South African mining healthcare, finding that most leaders have either low or moderate levels of resilience (Tau et al., 2018). Moreover, the authors confirmed the direct relationship between resilience and the degree to which leaders can empower their colleagues and subordinates, meaning that people with low resilience were less effective leaders (Tau et al., 2018). As noted by authors, South African mining healthcare is a highly stressful operating environment associated with multiple physical injuries and mental health complications among workers (Tau et al., 2018). From these considerations, resilience is the core quality that leaders should possess in order to mitigate these challenges.

Leader Accountability

Leader accountability is another notable quality that enables people’s trust and confidence in the leader’s motivation and decision-making. The research by Rajan et al. (2020) supports this thesis, confirming that transparency of leaders’ actions significantly improves how the public perceives the government’s policies. Moreover, when transparency is lacking, people quickly lose trust, leading to civil unrest and the rejection of official policies (Rajan et al., 2020). In the case of COVID-19, the authors found that many national governments and municipal leaders were not inclusive and not considerate of the public’s opinion on the matter (Rajan et al., 2020). Rajan et al. (2020) established that this lack of consultation with regular people significantly reduced the perceived accountability of the government and leaders, resulting in the deterioration of trust. It is a relatively simple example of how leader accountability can create a mutually beneficial relationship between the public and leader, while the lack of it can destroy the connection. Hence, leaders in the public sector should carefully estimate their decisions and ensure that regular people are involved in the decisions to some extent.

Improvement of Leadership Skills and Personal Development

Lastly, the current paper examines personal development as the crucial quality that enables continuous education and improvement of skills for leaders. In general, personal development refers to the ability to recognize one’s flaws and strive to acquire more knowledge and experience to mitigate them (Earley, 2020). Some authors additionally emphasize the importance of “professional development” and “leadership development” (Earley, 2020). However, for the sake of the current work, all these concepts are unified as the quality of personal development that comprises one’s persistence to acquire new skills, values, and competencies in various areas of life. Leadership is a highly multifaceted craft that requires proficiency in emotion, intelligence, and operation management; hence, it is appropriate to consider that development in all areas of life has a positive impact on one’s leadership competencies.

Evidently, personal development enables the improvement of leadership skills since more knowledge and experience allow leaders to choose an appropriate strategy to achieve a specific objective. However, it also enhances one’s mental fortitude, which is significant for leaders in stressful environments (Earley, 2020). Leaders generally encounter more mentally taxing tasks, and the burden of accountability/responsibility over multiple employees might pose dangerous threats to one’s health (Earley, 2020). From these considerations, Earley (2020) specifically emphasizes how essential it is to maintain one’s physical and mental well-being for leaders. Some of the proposed methods to achieve this objective include the involvement of personal mentors/coaches for leaders and “opportunities for reflection” (Earley, 2020). Even the most resilient leaders might feel powerless at times, and it is critical that they receive psychological help from close people and assigned trainers.

Lastly, several experts have noted that personalized training is essential to maximize the potential of leaders. For instance, Earley (2020) demonstrates that personalization in education can accentuate learners’ strengths and help them develop the most appropriate skill sets. According to the author, it is a strategically effective approach to focus on people’s personalized strengths to train accountable leaders and prepare them for stressful environments (Earley, 2020). However, it does not mean that only people with specific personality traits can become leaders.

On the contrary, it helps people to choose the most appropriate leadership style and focus on those competencies that will be the most practical for them in real-life situations. For instance, Yang et al. (2019) confirmed the positive relationship between proactive personality traits and transformational leadership. As mentioned before, transformational leadership focuses on motivation, team-building, leading by example, and communication competencies. Hence, people with a proactive lifestyle who are proficient in social interaction might find it more appropriate to adopt transformational leadership than, for example, transactional or task-oriented leadership. Ultimately, there is a link between personalization and leadership, and it might be an effective training method to include more customized challenges and tasks for leaders in education.

Operating Environment for Leaders

The fifth chapter focuses on various operating environments and discusses how they might affect leadership interventions and strategic capabilities. Some experts provide the classification of volatile, uncertain, complex, and ambiguous environments to demonstrate the variety of challenges that leaders constantly face (Rimita, Hoon and Levasseur, 2020). Although the responsibilities of leaders slightly vary, this categorization applies both to the business and public sectors. Hence, it is crucial to examine operating environments to establish the areas of concern for leaders.

COVID-19 Operating Environment

Perhaps, the most relevant example of a stressful operating environment concerns the recent pandemic. The disruption of supply chains, human losses, and public panic were significant factors that shocked governments, organizations, and individuals (Rajan et al., 2020). Ahern and Loh (2020) classified the pandemic as an uncertain operating environment. According to the authors, one of the most notable challenges in similar cases is the drastic decrease in trust in leaders (Ahern and Loh, 2020). They link this finding with human psychology, implying that it is much easier for people to blame tangible stakeholders, such as leaders, instead of the pandemic itself (Ahern and Loh, 2020). As a result, leaders need to not only maintain their own mental composure but also address the fears and concerns of their colleagues/subordinates to preserve trust and mitigate panic.

Moreover, the burden of responsibility should not be underestimated, and organizations should provide support for their leaders through a structured system. Naturally, self-management, self-efficacy, and self-regulation are notable virtues for leaders. However, the evidence shows that most leaders will experience burnout, stress, and extreme fatigue during times of uncertainty, particularly due to the burden of responsibility (Shingler-Nace, 2020). If the situation escalates, people will blame leaders in most cases, and if the threat fades, people might downplay the efforts of the leaders (Shingler-Nace, 2020). It is another consequence of the turbulent operating environments, and leaders require remarkable resilience to overcome this challenge. Ultimately, operating environments directly influence how leaders should react to unexpected circumstances and organize their strategic capabilities.

Technology and Leadership

Technology plays a critical role in the contemporary business and public environment due to the utmost significance of information, the internet, and digital communication. Leaders can use it to their benefit and adjust their strategies accordingly to support their colleagues and employees. Ultimately, the last chapter of the report examines the role of technology on leadership, focusing on how digital communication can improve leaders’ performance and enhance service delivery.

Digital Communication and COVID-19

One of the methods to utilize technology as a strategic instrument is digital communication. During the pandemic, many leaders adopted this approach and started to communicate their thoughts and plans to the public via social media (Drylie-Carey, Sánchez-Castillo and Galán-Cubillo, 2020). The authors analyzed how prominent European leaders used digital communication in the public sector to mitigate panic. The results were mostly positive, finding that leaders led by example (e.g., social distancing and wearing masks), addressed the relevant concerns, and tried to establish a connection with the public (Drylie-Carey, Sánchez-Castillo and Galán-Cubillo, 2020). Moreover, some political figures improved their public image using this approach. For instance, Boris Johnson (see Figure 2), who had a relatively unstable reputation in the UK, had positive feedback for his earlier interventions using digital communication (Drylie-Carey, Sánchez-Castillo and Galán-Cubillo, 2020). These findings show that leaders can utilize technology to mitigate public panic and form a trusting relationship with people.

Boris Johnson in his post on Twitter
Figure 2: Boris Johnson in his post on Twitter

Some of the identified themes in leaders’ responses included the unification of people against a common threat (COVID-19), protecting the lives of nearby people, and focusing on the emotional connection among families and friends. Political figures used their influence/reputation to distribute valuable and credible information about COVID-19, such as the number of cases, protective measures, and government policies (Drylie-Carey, Sánchez-Castillo and Galán-Cubillo, 2020). However, the authors mentioned that there were several controversies regarding the potentially false tweets by the director of the World Health Organization (WHO) and Donald Trump (Drylie-Carey, Sánchez-Castillo and Galán-Cubillo, 2020). Hence, while digital communication can significantly improve the quality of provided services, it is crucial to use it responsibly with a thorough understanding of the potential consequences.

Digital Transformation

The advancement of communication is not the only benefit of technology in leadership. The concept of digital transformation implies benefits in all spheres of life due to technological optimization and new operational methods (Hai, Van, and Thi Tuyet, 2021). It is significant for leaders because they can implement innovations in their work to maximize opportunities, mitigate challenges, and create more trusting relationships with colleagues (see Figure 3):

Overview chart of digital transformation impact 
Figure 3: Overview chart of digital transformation impact

Namely, digital transformation increases the scope of strategic capabilities, supports the leaders’ vision via innovative approaches, helps in securing data, and assists in establishing trusting relationships with colleagues. For instance, leaders can use social media, IoT, cloud computing, equipment renovation, user data analysis, and other digital transformation methods to achieve this objective (Hai, Van, and Thi Tuyet, 2021). The two potential downsides of this approach are the public/employee resistance to adopting new technologies and the possibility of cyber threats. An efficient and resolute leader can mitigate the former drawback by motivating employees and providing accurate information about how innovations can benefit the organization (Hai, Van, and Thi Tuyet, 2021). Consequently, a competent IT team can minimize cyber threats and secure confidential data. Ultimately, technology cannot substitute effective leadership but it can significantly improve operational methods and associated competencies of leaders.

Conclusion

Leadership during turbulent times of crisis is a highly challenging task, and many leaders cannot adapt to the drastically changed operating environment. The current report has analyzed multiple factors, such as strategic capabilities, personality traits, mindsets, and obstacles, that might either enhance or hinder leadership frameworks. The first chapter confirmed the significance of leadership styles on employee motivation and performance. Namely, the transformational leadership framework is a highly effective instrument in enhancing people’s morale, and this approach is continually becoming more relevant in the public sector. In the second chapter, the report demonstrated the utmost importance of transparency in leadership. This quality directly affects decision-making, public trust, accountability, and helps build connections between leaders and employees. Hence, transparency is one of the most crucial behaviors/mindsets in leadership.

The third chapter focused on a real-life example of the Auditor General of South Africa and examined the notable leadership of Kimi Makwetu. It demonstrated how transformational leadership and outstanding leadership competencies brought positive change to the organization and the whole country. Consequently, the fourth chapter thoroughly analyzed leadership qualities and mindsets, finding that resilience, accountability, and personal development are among the most significant factors associated with effective leadership. The fifth chapter examined various operating environments and confirmed that turbulent times can have a substantial impact on leaders’ mental health and efficiency. Lastly, the paper addressed the issue of technology in leadership, finding that digital communication is a highly effective instrument that can help leaders establish trusting relationships with the public and provide credible information. In summary, leaders need to adopt a flexible and resilient mindset to overcome the multiple challenges of working in a turbulent operating environment.

Reference List

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Cho, Y. et al. (2019) ‘Transformational leadership, transactional leadership, and affective organizational commitment: A closer look at their relationships in two distinct national contexts’, Asian Business & Management, 18(3), 187-210.

Ciobanu, A., Androniceanu, A., and Lazaroiu, G. (2019) ‘An integrated psycho-sociological perspective on public employees’ motivation and performance’, Frontiers in Psychology, 10(22).

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Hai, T. N., Van, Q. N. and Thi Tuyet, M. N. (2021) ‘Digital transformation: Opportunities and challenges for leaders in the emerging countries in response to COVID-19 pandemic’, Emerging Science Journal, 5, 21-36.

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Kehs, S. (2022) Public administration for planners: Leadership and responsibility in theory and practice. New York: Routledge.

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