Enron Assignment

In: Psychology

Submitted By mjalborn
Words 516
Pages 3
Mike Alborn 1. The leaders of Enron displayed many of the key characteristics of a charismatic leader. The display of unconventional behavior was prominent in Jeffery Skilling who transformed himself from a “nerd” to an “everyman”. He would go out mountain biking and doing other risky behavior that no other businessman would do. Other business men weren’t interested in doing activities like that but Jeffery Skilling broke the mold and showed the world he enjoyed doing these unconventional activities. All the leaders at Enron provided a strong vision especially Jeffery Skilling who brought with him many ideas when he first entered the company. He wanted to recreate the industry and wanted to trade energy more like a stock market. He brought these ideas in and everyone listened to him because all these ideas were revolutionary at the time. These leaders showed that they had personal risk because Ken Lay had always mentioned how they have a stake in everything that occurs since they all invest in the company they run. People saw how these men took risk in their own stock so they followed. Ken Lay also wanted to let everyone know that what they did was always for the stock holders and he showed sensitivity to his followers with that claim. 2. Communication was one of the big problems with Enron’s problems. There was rarely any downward communication that was real. The major leaders of Enron kept all the problems with profits to themselves and left the shareholders with no information. This barrier of communication they put up was filtering since they only put out the good information which wasn’t necessarily true information. The upward communication that was occurring was usually filtered as well since many of the traders wanted to be in the higher rank so that they could keep their jobs. 3. The power that was displayed was a lot of expert…...

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