Running head: BILL GATES MANAGEMENT LEADER ANALYSIS

Bill Gates Management Leader Analysis

Rockeven Desir

Davenport University

School of Business

BUSN 520 – Marketing and Management

Professor Wiggerman

May 20, 2018

Running head: BILL GATES MANAGEMENT LEADER ANALYSIS

Abstract

Bill Gates co-founded Microsoft in 1976, and has contributed significantly in today’s

technological world. Gates had a vision for Microsoft, which states, “we believe in what people

make possible, our mission is to empower every person and every organization on the planet to

achieve” Microsoft (2008). Gates is known to be a innovative leader which posses four qualities,

which are focused, thinking beyond the horizons, life long learner, and giving back to the

community, Krishnamurthy (2008). Gates source of power stemmed from his parents, which

they instilled self-confidence and emotional intelligence. Gates leadership mirrored the Fiedler’s

Contingency Model of Leadership Effectiveness, where Gates was placed in the lower section of

the decision tree. Gates founded the Bill and Melinda Gates Foundation, where they donated and

contributed their time to various global issues.

Keywords: transformational leadership, power, and entrepreneurship.

Running head: BILL GATES MANAGEMENT LEADER ANALYSIS

Introduction

Bill Gates is a captivating and innovational leader in today’s modern technological

society. Gates attended Harvard University with the intention to pursue a degree in computer

science. However, Gates dropped out of Harvard University, and followed higher dreams and

constructed a business organization named Microsoft Office. Bates established Microsoft Office

at Albuquerque, New Mexico in 1975 with his best friend Paul Allen. Entrepreneur (2018) states

Bill Gates was known as a groundbreaking leader, who sparked the revolution of the technology

era. On the contrary, individuals view Bill Gates as a competitive business leader that wanted to

take over the software industry. Even though these views are on the opposite spectrum from each

other, Bill Gates is still the most prominent business leader, entrepreneur that contributed to

today’s modern ways of technology.

Vision

According to Bateman, Snell, and Konopaske (2016) the textbook definition of vision

states that it is a mental note of a potential and suitable opportunistic state for a specific

organization. An effective and efficient leader designs a vision statement that emulates high

performance objectives, effective business plans, and a positive work environment. Visions can

be either scaled as minor or a major, whereas Gates and Paul vision was on a major scale.

Bateman, Snell, and Konopaske (2016) described three components that constitute of a vision:

1. To have a strong and effective leadership, a vision must be set in stone for the

business to strive for success.

2. Any individual have the capability to organize and create a vision for whichever

occupation, work component, or corporation that presents.

Running head: BILL GATES MANAGEMENT LEADER ANALYSIS

3. Individuals that had no vision set in stone, were not successful, and relied heavily on

day-to-day activities. Setting a well-defined vision is necessary for a successful

organizational model.

Bill Gates and Paul Allen developed a successful vision that lead Microsoft Office in an

upward successful trend. Microsoft Office was build approximately in the year 1976. Bill Gates

and Paul Allen had ambition to establish a multi-million dollar company. Beaumont (2008) states

that Bill Gates and Paul envisioned that every home in the United States with a computer desk

should have a computer in the near future. Gates and Paul were astonished on how many lives

were touched throughout the blooming years of the Microsoft Office. The vision of Microsoft

Office states the following “we believe in what people make possible, our mission is to empower

every person and every organization on the planet to achieve” Microsoft (2008). The business

philosophy is divided into 6 categories, which are: innovation, diversity and inclusion,

philanthropies, environment, corporate social responsibility, and trustworthy computing,

Microsoft (2008). Gates and Paul business philosophy categories were incorporated into the

Microsoft Office organization, which has fostered the upward development for success.

Bill Gates: Leader

Bill Gates is considered to be a leader, entrepreneur, and manager according to BV

Krishnamurthy (2008). Currently Bill Gates is no longer the leader of Microsoft Office, and has

step down to take over the Bill and Melinda Gates Foundation. However, during Gates time of

leadership for Microsoft Office, there were four ideas that contributed to his success as a leader,

which were: focus, thinking beyond the horizons, life long learning, and giving back to

humanity, Krishnamurthy (2008).

Running head: BILL GATES MANAGEMENT LEADER ANALYSIS

In regards to focus, Gates had a thought and plan in mind that was executed. Gates never

lost his focus as a leader. Gates knew his trade, which was software, and did not deviate from

that trade. A strong leader should be a leader that is strong in their expertise of study, to

effectively run an organization. If a leader were deficient in their product knowledge, why would

employees or customer respect their decision-making? This would in fact devalue the product

that the organization is displaying to the market in the sales industry. Furthermore, thinking

beyond the horizons was the motto for Gates success. Comparatively, Gates was not put in the

same category of other leaders or entrepreneurs. Leaders should cultivate self-confidence within

themselves and their organization to become a successful organization. Bill Gates carried that

self-confidence on his shoulders, which allowed him to execute a successful business plan.

Moreover, Bill Gates followed the statement “life long learning”, and kept revising the

management and marketing plan that was established. Gates would always learn a new technique

about management and marketing and implemented into the bylaws of the organization. Gates

stated that “knowledge should lead to humility and wisdom –not arrogance and one-upmanship”

according to Harvard Business Review, Krishnamurthy (2008). Finally, Gates enjoy giving back

to humanity, so Gates established the Bill and Melinda Gates Foundation. This foundation

address different matters that were at stake, such as infectious diseases, agriculture, poverty, and

communicable diseases. Gates did not only have business aspirations, Gates also had

philanthropic goals that had to be accomplished.

Source of Power

According to Entrepreneur (2016), Bill Gates was a strong-minded individual, who was

not a follower, but a leader. The source of Gates power originated from his parents. Gates’
Running head: BILL GATES MANAGEMENT LEADER ANALYSIS

parents supported him throughout the journey. They taught Gates how to critically think and

become an independent leader. Gates parents’ encouragement allowed Gates to obtain useful

knowledge about software, emotional intelligences, and creative philosophies in an effective and

efficient matter to emerge into Microsoft. Gates was able to transpire that power into his

employees and customer.

Fiedler’s Contingency Model of Leadership Effectiveness

According to Bateman, Snell, and Konopaske (2016), there are two features that play a

role in the Fiedler’s Contingency Model of Leadership Effectiveness, which are:

1. Individual style of a leader

2. The level of attention to which the leader assesses the situation. Also, it gives the

leader power, and jurisdiction over the situation.

The Fiedler Model was categorized into two sections based on a decision tree, which was high or

low. The lower the section, the more advantageous for the leader to make the decision over the

situation. On the other hand, the higher the section, the less advantageous for the leader to make

the decision over the situation. This allow the leader to either have control over the situation or

not, to have poor or strong relationships with employees, or weak or strong power. If Gates were

to be classified under this model, Gates would fall under the lower section of the decision tree.

Gates was very personable and engaged with the Microsoft Office employees, and had power

over situational events or issues that would arise. This made Gates a very an effective leader

according to this model, which brought him great success, which allowed Gates to deal with

different situations in an effective, efficient and professional way.

Running head: BILL GATES MANAGEMENT LEADER ANALYSIS

Transformational Leadership – Why or why not?

According to Bateman, Snell, and Konopaske (2016), transformational leadership is

define as a leader that encourages and transpires their ideologies for the greater good of the

organization. Transformational leadership has four components that are associated with: having a

set vision, communication the vision, building trust among an organization, and positivity. Bill

Gates demonstrated those four components of transformational leadership through Microsoft

Office. Entrepreneur (2016) states that Gates delivered a classical model of transformational

leadership, which assisted him to become a successful leader.

Conclusion

Management knows how to relate to an organization in regards to motivating individuals

to move forward in a positive direction. Bill Gates had a vision in mind when he dropped out of

Harvard University. Gates wanted every family at their house to be an owner of a computer. In

addition, Gates has progressively fulfilling that vision, where day-by-day technology is getting

more advanced due to his hard work. Gates has went from focusing, thinking beyond the

horizons, life long learning, and giving back to the community as a successful leader,

Krishnamurthy (2008). In the near future, we hope to have upcoming striving leaders that will

emulate Gates leadership savvy characteristics.

Running head: BILL GATES MANAGEMENT LEADER ANALYSIS

Works Cited

About - Microsoft. (n.d.). Retrieved from https://www.microsoft.com/en-us/about/default.aspx

Bateman, Snell, & Konopaske. (2016). Management (4th ed., Vol. 1, Ser. 1). New York, FL:
McGraw Hill.

Beaumont, C. (2008, June 27). Bill Gates's dream: A computer in every home. Retrieved from
https://www.telegraph.co.uk/technology/3357701/Bill-Gatess-dream-A-computer-in-
every-home.html

Bill Gates. (2008, October 08). Retrieved from https://www.entrepreneur.com/article/197526

Krishnamurthy. (2018). Bill Gates: Entrepreneur, Manager, and Leader. Harvard Business
Review. [online]. Retrieved from: https://hbr.org/2008/06/bill-gates-entrepreneur-
manage.html

Rampton, J. (2016, September 09). How Bill Gates Became a Leadership Legend. Retrieved
from https://www.entrepreneur.com/article/250607