From the introduction, we know that the performance has begun to suffer under Jack's style of leadership. It is mainly due to the personality of Jack. He is a quite conservative person who has a tendency to maintain a state of affairs without great or sudden change. Also, his style of leadership is task and production-oriented. Task-oriented leadership tends to emphasize task effectiveness. So, from the case, we can see that he would turn down the subordinates* suggestion whenever new ideas come. Jack seems to define role and tell people what, how, when and where to do various tasks only. On the other hand, Jack isn't a relationship-oriented leader as he doesn't emphasize the building of relationships with employees. Accordingly, Jack can't maintain a good relationship with his subordinates. In his mind, he thinks that there is no equality status between the superior and the subordinates. He would highly respect the superior order without questioning. Thus, we can see that Jack is very loyal to Carfax Corporation and works hard to follow the company policies and procedures and the orders of the managers above him.
Under such leader, the performance of the financial section has begun to suffer. Due to his conservative personality, the tendency to face changes is very low. When sudden changes occur and as the same time the upper doesn't give guidelines immediately, Jack can't handle well under this situation. Then the flexibility and imagination in facing different situations tend to absolutely low. Because his task-oriented leadership, he always neglects the new ideas and unresponsive to change.
Mostly important, Jack doesn't realize the importance of staff motivation. Subordinates think that the budget in their section is comparatively lower than other department. As a result, they feel they are underpaid and overworked. Overwork implies that the shortage of workforce. And underpaid mean that the workload is greater than the payment for it. As Jack has such "easygoing" manner, considerable dissatisfaction in the department is resulted and everyone thinks that Jack is just a puppet for management.
2. Team Work
Not only the conservative personalities cause the financial section to suffer, but also he has neglected the importance of team work. Team work means that two or more people who interact with an influence each other towards a common interest. Financial section is actually a team work. However, from the case, we can see that Jack doesn't manage his subordinates to be a team work. Instead, he looks them as labors. He only orders his subordinates what to do and how to do without any subordinates* ideas. Then it just like a factory labor who is in the assembly line does a task within the instruction and guidelines. On the contrast, an effective team can facilitate cooperation and improve employee morale. So, team work can increase job satisfaction. Also, implementing work teams allows managers to redirect their energy toward bigger issues such as long-term plans. Furthermore, if the manager can move decision-making vertically down to teams, it allows the organization greater flexibility for faster decisions. Because team members are closer to those problems, they are more familiar with the situation and can easily solve them. For this reason, team work performance is higher than the same job achieved by the same individuals working alone. Due to Jack's style of leadership, direct participation of subordinates in the financial section is nearly absent. If the subordinates can have more direct participation, they would be more understanding and supportive of organizational decisions. As the direct participation is so low that the subordinates feel that Jack never really pushes hard enough for a more substantial slice of the budget.
As a result, the dissatisfactions among the subordinates occurred. Then the turnover rate and absenteeism may be high under Jack's style of leadership. Inefficient and inefficiency may be resulted. In this way, the performance for financial section has begun to suffer under Jack's style of leadership.