1. The ImpacT of effecTIve LeadershIp
NoKIa & samsUNG
By
moUmITa roy
deparTmeNT
posT GradUaTe dIpLoma
IN
hUmaN resoUrse maNaGemeNT
UNder
prof. ajay Bhar
coUrse coordINaTor ashIs mITra
compaNy
NoKIa
&
samsUNG

2. LEADERSHIP
IS
THE
ART
OF
GETTING
SOMEONE
ELSE
TO
DO
SOMETHING
YOU
WANT
DONE
BECAUSE
HE
WANTS
DO
IT.

3. WhaT Is LeadershIp?
It is a process by which one person influences
the thoughts, attitudes, and behaviors of others.
Taking a leadership position means
•Creating a vision, a mission, and a strategy.
•Communicating the vision/mission/strategy and
getting buy-in.
•Motivating others.
•Helping an organization to grow, evolve, and
adapt to changing circumstances.
•Making a commitment to the mission and to the
people you lead.
•Assuming risk of loss and failure.
•Accepting recognition for both success & failure.

4. The ImpacT of LeadershIp
effecTIveNess oN BUsINess
& ITs resULTs

6. Nokia and Samsung are two such
successful manufacturers who enjoy
immense popularity in the market
today.
oBjecTIve of ThIs projecT
.
The effectiveness of leadership
behind this two successful company
and their strategy to run the
business successfully.

7. Type
(Public)
Industry
Telecommunications equipment
Internet
Computer software
Founded
Tampere, Grand Duchy of Finland (1865)
incorporated in Nokia (1871)
Founder(s)
Fredrik Idestam
Leo Mechelin
Headquarters Helsinki, Finland
Area served Worldwide
Key people
Risto Siilasmaa (Chairman)
Stephen Elop (President & CEO)
Products
Mobile phones
Smartphones
Mobile computers
Networks
Revenue €30.176 billion (2012)
Employees 97,798 (2012)

8. Type Business unit
Industry Telecommunications
Founded Seoul, South Korea (1977)
Headquarters Suwon, South Korea
Key people Geesung Choi, President
Products
Mobile phones
Smart phones
Telecommunication
Systems
MP3 Players
Laptop computers
Revenue 21 Billion USD (2007)
Net income $ 2.3 Billion USD (2007)
Parent Samsung Electronics
Website Samsung consumer

9. the Nokia Leadership team
•Chairman Stephen Elop
•Marko Ahtisaari
•Michael
Halbherr•Jo Harlow
•Timo Ihamuotila
•Louise Pentland
•Juha Putkiranta
•Henry Tirri
•Timo Toikkanen
•Chris Weber
•Juha Äkräs
•Dr. Kai Öistämö

10. Samsung Tries On Triple-Crown Leadership
for Size
samsUNG Leadership
team
B D PARK
Dr. OH HYUN KWON
YANGKYU KIM
DALE SOHN
CHARLIE BAE
Dr. WOOSUNG HAN
too maNy heads
What the company needs is a strong leader who
can bring all aspect of the business together into
a single vision.

11. steps takeN By eLop
•Nokia had to undergo a substantial
programme of change.
•Elop announced a strategic partnership
with Microsoft in March 2011
•Elop has refocused the business on
leadership and markets
•Decision-making has been delegated to
local/national teams
•Goals and incentives for the senior
leadership team are now more
transparent.
•Job cuts amount to a fifth of the total
employees remaining at Nokia.
•By June 2012, Nokia had lost more than
$88bn in market value since Apple
introduced the iPhone in 2007.

12. tarGet oF eLop
•Build a new winning mobile
ecosystem in partnership with
Microsoft.
•Bring the next billion online in
developing growth markets.
•Invest in next-generation
disruptive technologies.
•Increase their focus on speed,
results and accountability.

13. BUsiNess priNCipLes
FoLLoWed By samsUNG
Leaders

14. Nokia’s driViNG ForCes
Stephen Elop, Nokia President and CEO can see
fresh opportunity for them to innovate, to
differentiate, to build great mobile products, like
never before, and at a speed that will surpass
what they have accomplished in the past.
samsUNG’s driViNG ForCes
Samsung Chairman Lee’s relentless
dissatisfaction and discipline are Samsung’s
driving forces.

15. THE NEED FOR CHANGE
• New management or
leadership
•Market changes (growth,
competitors)
•Political & legal
environment
•New business ownership
•Economic conditions

16. WHY DID NOKIA FAIL?
•Nokia had missed the major change in its
market - the Smartphone revolution.
•Nokia had continued to focus on mobile
phone devices (hardware) rather than
mobile phone applications (software).
•The life cycle of Nokia’s products had
shortened dramatically as others (Apple,
Google Android) developed Smartphone
platforms and an associated “ecosystem” of
apps.
•Nokia has faced intense competition from
mobile phone producers in emerging
markets.
• Many in Nokia regret that the business
had become too product-led rather than
customer-led; a missed opportunity.

17. •Poor leadership and complacency
(bred from success in non smart-
phones).
•The wrong culture over-consensual.
•Nokia had become “clogged with
bureaucracy”.
• Decisions being made within the
firm were often cancelling each
other out!
• A series of committees, boards and
cross-functional meetings held-up
decisions.

18. SAmSuNG GRAb NOKIA’S mARKET
Without any doubt,
Samsung grabbed in a
very short period
significant market share
in the mobile industry.

21. Barriers
Traditional and set
ways of doing things
Fear
Loyalty to existing
relationships
Failure to accept the
need for change
Insecurity
Preference for the
existing arrangements
Different person
ambitions
Loss of power
Loss of skills
Loss of income
The unknown
Inability to perform as
well in the new
situation
Break up of work
groups
bARRIERS FOR NEW LEADERS

22. Challenges for leadership

23. steps taken by nokia
The new model of
leadership incorporates
four different values:
•Developing the vision
•Sharing goals
•Gaining support
•Delivering success

24. results
•The implementation of these new strategic
models has led to some positive outcomes
for Nokia and its individual employees.
•It has encouraged managers to achieve
employee ‘engagement’, which contributes
to the making of the ‘True Nokia Leader’
model.
•Coaching also contributed to the personal
development of the individual, resulting in
visible improved self awareness,
satisfaction and personal motivation.
•Most of all, the acknowledgment of the
new ‘Nokia way’ has helped establish a
common framework of communication and
promotion of the freedom to lead

25. hoW to Make leadership
effeCtive ?
•Managing the effective planning for the
potential redeployment, relocation and
release of staff.
•Scheduling change.
•Ensuring effective transition of individual
business units to a new structure.
•Engaging with impacted staff to involve
them in the process of transition.
•Managing effective two-way communication
with all stakeholders during the change.
•Embedding the cultural change and ways of
working associated with a shift.

26. ConClusion
Top 10 Qualities -----------------
1.HONESTY
2.ABILITY TO DELEGATE
3.COMMUNICATION
4.SENSE OF HUMOR
5.CONFIDENCE
6.COMMITMENT
7.POSITIVE ATTITUDE
8.CREATIVITY
9.INTUITION
10.ABILITY TO INSPIRE