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MBA Review Magazine:
Leadership in Challenging Times
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Effective leadership is a challenge especially in the current unpredictable and chaotic economic, social, and business environment. That does not mean that effective leaders are only those born to the task. Instead, effective leaders can be developed through experience and other practices.

 
 
 

Leadership is rarely ever easy and it is especially not easy when economic circumstances are as turbulent and unpredictable as they are today. But it is during such chaotic and tumultuous conditions that leadership is most needed. Research indicates that people look for leaders and leadership to provide direction, support, and `sense making' when situations become overwhelming. It has been noted that conditions in contemporary organizations are so dynamic that there are a few instances of déjà vu (experiencing having been somewhere or in some situation before). Instead, leaders and their follows are more likely to experience the opposite or vu jade: We have never been here before, we don't know who can help us, and we don't know how to understand or make sense of what is happening to us.

For these reasons, leaders now more than ever before need to be able to handle extreme complexity in various forms. This does not mean handling all things alone either. The most challenging issues faced by leaders today are not easily or even effectively handled alone. They are simply too complex for any one individual leader to resolve. For this reason, it is increasingly necessary for leaders to be able to work with others in devising solutions to unforeseen and previously not experienced problems. In this manner, it is imperative that contemporary leaders in any domain, especially the business domain, are able to be more collaborative, adaptive, and resourceful. These are not attributes that are easily trained or acquired in developing leadership. Indeed, it may take years of practice and experience to reach expert levels of leadership performance.

A sound place to work on the development of these and other leadership capabilities is in a postgraduate professional program such as an MBA program. Although it is impossible to prepare leaders who can handle every possible challenge that will be faced, there are two overarching issues, in particular, that present chronic, if not acute, challenges to contemporary business leaders - climate change and ethics. We will discuss each of these challenges in a general way and then discuss how the University of Western Australia Business School is addressing these challenges as part of its MBA curriculum.

Regardless of what one thinks of the scientific evidence with regard to our climate change, it is, and will continue to be, an important leadership challenge. This is because, regardless of whether the planet is heating or not, or the rate of that change is a cause for worry or not, the underlying issue regarding climate change is in figuring ways to use energy more efficiently. This is not just a cost-savings issue; rather, it is an issue of long-term sustainability. Reducing carbon emissions, not only may improve the environment, it will also result in more efficient extraction, production, and use of the particular energy source. This will increase the likelihood of passing on more energy reserves to future generations. There is one thing about energy - with the exception of wind and solar power (and the socially charged issue of nuclear power) - and that is, there are limited reserves for future consumption.

 
 
 

MBA Review Magazine, Business Environment, MBA Program, Business Schools, Leadership Skills, Business Communities, Ethical Decision Making, Ethical Leadership, Decision Making Process, Economic Implications, Non-Governmental Organizations, Government Regulators, Commonwealth Scientific and Industrial Research Organization, CSIRO, Waste Management.