Bill Gates' autocratic leadership style and employee motivation strategies

Leader in the Business World

Leadership style

Bill Gates' leadership style is purely autocratic or sometimes called authoritarian (Thielen, 2000). This kind of a leader makes most or all of the organizational decisions without the input or involvement of the employees. As an autocratic leader, control is the cornerstone of Gates' nature and his management practice. He is obsessed with detail, and this is illustrated in how he used to sign expenses for his personal assistant, Steve Ballmer. Following his leadership approach, Gates has tried to monopolize the global software industry, which eventually landed him into a legal web with the Justice Department. Bill Gates restricted the ability of his internal partners to deal with competitors. This is because he dislikes complaints. He has a tendency of informing his subordinates what they must do, how they should do it and when they must complete. He naturally ignored suggestions and opinions forwarded by staff members.

As any other leadership approach, Gates' autocratic style has both some pros and cons. This style can be advantageous in some cases, like when decisions need to be made fast without consulting a large group of individuals. Some tasks demand a strong leader to get things done efficiently and quickly. Here, the autocratic approach leads to effective and fast decisions (Thielen, 2000).

Besides the benefits associated with autocratic leadership, this approach can be problematic in some instances. Because Bill Gates makes decisions without consulting his staff members, his subordinates could dislike him or the organization because they are not allowed to contribute their ideas. In some cases, this could impair the morale of the group. People tend to perform better and feel happier when they feel like they are contributing to the future of the company (Koontz & Weihrich, 2010). Because autocratic leaders typically do not welcome input from subordinates, followers will feel stifled and dissatisfied.

Three (3) ways how they effectively motivated their employees

Bill Gates uses extrinsic motivators like recognition, gifts, and rewards. He was able to attract and retain his employees through these rewards. He gave his managers free laptops and computers and other product discounts. According to Gates, it is cheaper to give employees products than a salary raise. Gates gives a 3% bonus on employees' salary despite not achieving their targets (Thielen, 2000). This reflects his philosophy of learning from mistakes. Gates also motivates his staff by increasing their length of vacation and giving life insurance.

Management theorist Abraham Maslow argues that money is the greatest motivator in any company. In essence, people are encouraged to work at Microsoft because they expect to receive economic rewards (Thielen, 2000). Clearly, money assumes a vital part in motivating job performance. Maslow suggests that a fair salary is a "hygiene" factor, meaning that it is something, which people need to do the work they are employed to do. For Gates, these hygiene factors include the necessary tools like telephone, computers, adequate workspace and light. Gates understands that without these things, his employees will be unable and demotivated to complete their jobs. Frederick Herzberg, through his Motivator-Hygiene theory, counters that though having all of these items enables Gates' employees to do their jobs, they will do nothing to help the workers do their jobs to the best level possible. Having employees to do their work is primarily a function of what Herzberg's theory call "motivators." They include challenging work, praise, recognition and growth opportunities.

By being called "professional" workers, Gates' employees have attained their hygiene needs. Gates attracts highly skilled workers who get fulfillment from their work. These employees exhibit a strong sense of powerful dedication to not only their specific jobs but also to their employer, Bill Gates. Therefore, Gates' employees desire to identify with the success of their careers and their company. Because professionals tend to enjoy the challenge of problem solving, their work is likely to generate some of the rewards they desire. This means that Bill Gates assigns his professionals challenging projects and new assignments.

Why I chose the individual

I chose to explore the leadership style of Bill Gates because he is a real successful example. In fact, Microsoft's success implies Gates' leadership success. Obviously, Gates is my hero and role model. I aspire to learn his leadership qualities. Gates entered the software market when he was only a student. As of today, he is a renowned charity ambassador across the globe.