LEADERSHIP IN BUSINESS

“International Business Leader”

“Steve Jobs”

Prepared By:

Eka Darmadi Lim

3094802

Class: Y

University of Surabaya

Faculty of Business and Economics

International Business Networking

2012

Leader Profile

Name : Steven Paul “Steve” Jobs

Born : San Francisco, February 24, 1955

Nationality : American

Occupation : CEO Apple.Inc, CEO Pizar

Religion : Zen Buddhism

Signature :

Childhood Story

While summer in 1954, Joanne and Abdulfattah as the biology parents of

Steve, in that time Joanne found that she already pregnant before married,

and Joanne decide to give her child to be adopted by wealth parent that

want a boy child, for the first plan that Steve will be adopted by a lawyer,

but the plan is change! Steve adopted by Clara Jobs and Paul Jobs only

poor family.

In year 1950, they move to small city called “Silicon Valley” a place, near

of Paul’s new office. That time, Steve love to modify in machine and car,

Paul is one of the inspiratory for Steve especially in design. Through car

modify Steve learn electronic for the first time. Joseph Eichler as biggest

property agent in U.S gives inspiration for Steve to create a product with

good design, detail and for international market. That the story begins with

iPod (the first product of Apple that can be sold International best product)

Education Background

Steve jobs attended Cupertino Junior High School and Homestead High

School in Cupertino, California. Then Steve continues to Reed College in

Portland Oregon. But that too expensive for Paul and Clara, then Steve

drop out and spend those 18 months in calligraphy class.

Carrier Experience

1976 – 1978: as Apple Owner

1979 – 1985: as Apple Manager

1985 – 1996: fired from Apple and establish NeXT & CEO Pixar

1996 – 2011: back to Apple as CEO

Company Profile

Apple.Inc (Apple) established in 1977, main business of Apple.Inc is

Personal Computer (MAC), online store (iTunes), mobile phone and music

(iPhone, iPod) and also Tablet PC (iPad). Apple focus in designing

technology that customer not only buys the regular product, but they buy

art! Now apple occupied more than 80% mobile mp3 player through iPod

and 60% tablet PC market in U.S the revenue in 2012 up to U$ 39.2

Billion. (2012 – Q2) (Apple Press Info)

Introduction

Beginnings

Steve never graduates His collage, but he has passion for computers, first

Steve and Wozniak establish Apple Computer in 1976, in his garage with

Wozniak. While Steve is expert in marketing strategy and Wozniak expert

in hardware PC, and Steve vision to build Apple I, that offer revolutionary

keyboard, screen, and mouse. In 1977 Apple released the first computer on

the market in U.S. and Apple Computer trading stock valued over US$200

Million business (Young & Simon, 2005)

Middle Story

In 1985, Steve was fired from Apple, because Steve invests high value of

money to “Apple” and as head division of Macintosh Steve created

unhealthy rivalry between Apple II and Macintosh. Steve give more

resources for Macintosh but for Apple II division only few. This cause

employee in Apple II unhappy with Steve, after struggle with Apple CEO,

finally Steve dismissed from Macintosh division in 1985.

“What I’m best at doing is finding a group of talented people and making

things with them. And if there’s no place for me to make things there, then

I’ll do what I did twice before. I’ll make my own place.”

— Steve Jobs (cited in Young & Simon, 2005: 123)

Its new lesson for Steve while He departure from Apple, for Steve it was a

humbling experience, the media and friend hardened Steve, rendering him

more circumspect and misunderstanding of other people. And that time

Steve reputation just fall, and Steve start to build new company, because

he has passion in computer, so he established company named “NeXT

Computer” that exclusively for the education purpose like university and

research lab. In year 1996 Steve want NeXT to compete with Apple, but

still can’t emulate his successes at Apple.

Return Home (Apple)

In late 1996, Steve agrees to sell his company NeXT to Apple, valued at

US$ 400 million. While in 1990 (without Steve) Apple sales increasingly

down, Research and development in Apple also pay high cost. So the

board of director agrees to buy NeXT, so Apple can gain access to

NeXTSTEP (as new operating system that called “Mac”). Steve realize

that the company insolvency, so Steve first order of business was to prove

his commitment Apple’s turnaround, he only ask only US$ 1 for his

salary. And over a month, Steve “scratches” and conducted a “one man

focus group”, deciding which divisions to save and which to close.

“…it comes from saying ‘no’ to 1,000 things to make sure we don't get on

the wrong track or try to do too much. We're always thinking about new

markets we could enter, but it's only by saying ‘no’ that you can

concentrate on the things that are really important.”

— Steve Jobs (BusinessWeek Online, 2004)

Steve plan a very simple business plan, Apple was going to focus on

making four computer products, that really well. One customer desktop,

one consumer mobile, one professional desktop, and one professional

portable. With Steve sharp decision making, it saves Apple from certain

bankruptcy and become a successful company.

Raise up Apple

While Steve “returns” to Apple, Steve was hailed as one of the greatest

“second acts” in business history. Steve exhibited outstanding leadership

method in apple with four products, arresting financial hemorrhaging and

stabilizing the company’s bottom line, in 1997 Steve confidently stated

that Apple should emphasized to make the perfect product.

“The cure for Apple is not cost-cutting. The cure for Apple is to innovate

its way out of its current predicament.”

— Steve Jobs (Linzmayer, 2004: 264)

Revolution of Apple start with new product called “iMac” iMac is the first

all in one integrated both CPU and monitor in one piece. And iMac is

breakthrough in Apple, why iMac can be popular? Because the design

(beauty) and the functional is good compared to the PC (windows). Not

only iMac, but Steve also builds Mac OS X, iTunes Store (2003),

MacBook, iPhone (2007), iPod (1995), iPad (2010).

Steve leadership to build the Apple Company from bankruptcy to

become the world’s best company. Steve made Apple Conference and

organized that event by himself, and of course being rejected by his own

company has change Steve, thank you for every behalf of his colleagues.

“I get to come to work everyday and work with the most talented people

on the planet, at Apple and Pixar. The best job in the world. But these jobs

are team sports.”

— Steve Jobs (Young & Simon, 2005: 2-3)

Steve Jobs Performance in Apple Conference

1. Macworld 1997 “The Microsoft Deal”

2. Apple Special Event 2001 “The iPod Introduction”

3. WWDC 2002 “The Mac OS 9 ‘Eulogy’

4. Macworld 2007 “The iPhone Introduction”

5. Macworld 2008 “Macbook Air, Apple TV”

6. WWDC 2008 “iPhone 3G, Mobile Me”

7. Apple Music Event 2008 “Reveal in Music”

8. Apple Special Event 2008 “What’s new in Mac”

9. Apple Special Event 2009 “Innovation in Music”

10. Apple Announces iPad “Magical & Revolutionary”

11. Apple iOS 4 “iOS 4 Announcement”

12. WWDC 2010 “Introducing the iPhone 4”

13. Apple Special Event 2010 “iTunes 10, Ping!”

14. Apple Special Event 2010 “New Macbook Air, iLife 11”

15. Apple Announces iPad 2 “iPad 2 and iOS 4.3”

16. Apple WWDC 2011 “Mac OS X Lion, iOS 5, iCloud”

The key success of Steve Job keynote, because he can deliver their passion

to the audience, because Steve Job is charismatic leader and he can

influence people by his charisma, that’s why in the beginning of Apple,

Steve is good in marketing.

Apple.Inc Business Level

1) Unique Features and Characteristic

2) Commands Premium Price

3) High Customer Service

4) Superior Quality

5) Prestige

6) Rapid Innovation

Steve start the apple with vertically integration, Apple build both hardware

and software, and they always do conference every time they lunch new

product, because Steve want Apple known by the world, not only for U.S

market only, Apple only have several category of product they are

personal computer (iMac), cell phone (iPhone), tablet computer (iPad),

and online store (iTunes, App Store, Book Store). This vertical integration

allow apple to control their product and also the product quality. And as

the result, Steve was success to persuade the customer loyalty and a

global brand with good price strength.

Apple doesn’t create a cheap product, but apple create the design and

powerful product for high level of customer.

Theoretical Framework

Leadership Characteristic

The world ‘charisma’ is of Greek etymology, as the meaning ‘Gift’ or

‘divine favour’ means an innate and indescribable. That wielded, is a

source of great power and influence over others (Northouse, 2007;

Yukl,2006). While Weber regarded charisma as a ‘divinely inspired’

personality characteristic that emerged during crisis condition.

The important point for house (1977) the charismatic leaders harness their

dominant personality to influence the attitude and behaviors of followers.

Spoken their vision is the zenith of the influences process, furthermore is

reinforced through symbolic acts such as self-sacrifice and personal risk

taking by the leader to achieve the vision (Yukl, 2006). To observe that the

charismatic leader as an exemplar for the vision is an ostensibly powerful

image for the followers that is more effective when the leader express

confidence in them and the vision; involves a collective identity, and

ultimately empowers followers to ‘achieve’ (Yukl, 2006)

The cogency of House’s (1997) theory lies in its discussion of follower

effect, the charismatic leader’s performance cultivates a trust, affection

and loyalty among followers. Who also experience a high sense of

involvement and self-worth because they identify with the leader’s value

system, ideology and ambitions (House, 1977; Northouse, 2007). The

charismatic leader enunciates a relationship between the accomplishment

of task objective and follower’s expression of value and self-concept,

which equates the follower’s work role with their sense of self-worth.

Steve Jobs is a Charismatic leader, Steve like to perform, calling

attention to the materiality of the front stage. Steve likes to perform “art”

as proceeds of charismatic leadership he had. Steve followed by his

follower by his charisma.

Alternative Approaches to Charismatic Leadership

The psychodynamic approach explains why the charismatic leader

comes to be regarded as a ‘spiritual figure’ of ‘superhero’. The seemingly

irrational influence of the charismatic leader over followers is explained

through, the psychodynamic process of regression, transference, and

projection (Yukl, 2006). The follower of Steve Job, attracted to Steve,

through narcissistic appeal, viewing in the leader. As the most primitive

human bond, as offer the follower safety form feeling guilt and fear.

Meindl’s (1990) social contagion theory focuses upon the influence

processes among followers that lead to their attribution of ‘charisma’,

contending that spontaneous emotional and behavioural reactions are

capable of being spread by people. That is, followers shift support to

successive leaders, so long as the new candidate is attractive and qualified

for the leadership position. Thus, social contagion explains the attribution

of charisma by followers who may not interact with, or even observe the

leader from a distance.

The ‘Dark Side’ of Leadership and Charisma

While extant theory indicates that charismatic leadership has the

potential to inspire and rally followers toward the accomplishment of a

goal or vision there is also a ‘dark side’ of charisma that can have a

devastating impact on followers and the organization (Maccoby, 2004).

The self confidence that Steve has, this leader often conceals flaws and

risk in the leader vision. But in fact that his follower closely identify the

leader strength and weaknesses. Maccoby (2004) alleges that narcissism

is an underlying feature of charismatic leadership, describing them as poor

listeners and highly sensitive to criticism. For example, while followers

may feel they are offering meaningful and constructive feedback about a

vision, the leader experiences criticism as an attack against his or her self-

concept, because the vision is an expression of ‘self’. Steve never listen to

his follower.

The Long Term Impacts of Charismatic Leadership

Weber (1947) was intrigued by the extent to which charisma may

be integrated into the daily routines and practices of organizations,

meaning that the energy, values and positive consequences of charismatic

leadership would be survived by the organisation well after the leader’s

departure.

Steve is revolutionary leader, he go to the Apple company and rise up

from bankruptcy become the world class company. And Apple follower

raise again believe that Steve gives Apple better future.

Strength and Weakness

Strength of Steve Job

1. High Communicative person

2. Strong Vision that bring the idea to truly talented person.

3. Focus leader

4. Express confidence

5. Love his Job

6. Leader that love his family

7. Create product that never dreamed before

Weakness of Steve Job

1. Emotional Leader

2. Was not a good team player

3. Don’t accept the other idea

While Apple in Steve leadership, Steve was a great leader that Apple has,

Steve can create a product that never exist before, event we haven’t dream

yet, and create that product beyond our imagination, Steve was a focus

leader that he can create such as beautiful product because he focus only

four things, they are Personal Computer, Mobile, Tablet, and online store.

With his Charisma Steve lead 16 Apple conferences, and influence the sub

ordinate also the Apple developer to believe every world he says, and

achieve success together. Steve has a great idea and great people inside

Apple to help him, achieve his dream. The key that Steve become

successful in Apple, because he loves his job, Steve loyal to the company,

spend lot of time to prepare the conference, the dialogue, the keynote, to

be perfect and meaningful for his audience.

In Steve weakness, because he never hear his subordinate idea, Steve think

that his idea is the best one, the great one, and the other idea just like junk,

so in Steve leadership, He never hear his subordinate idea. In other words

Steve was not a good team player, but He is a good team leader. But some

moment Steve very emotional leader that he can easily to fired anyone

who he think that don’t give the best contribution for Apple. Although

Steve was a charismatic leader, for Steve 2 most important thing in his life

is Work and Family.

Power and Influence

In Apple.Inc Steve, have position power, as CEO; he has legitimate power,

Reward power, Coercive power, Information power, and ecological power.

Steve also has personal power that can influence people around him.

Traits and Skills

Adaptable to situations

In the story, Steve already pass many stages in his life, first when

he was a child in a poor family, when he was in collage he drop off, when

he started establish Apple and get fired, then he establish NeXT, then

finally he return back to Apple. This kind of situation that make Steve as

and adaptive leader, start from leading himself to leading huge company.

Ambitious, Achievement oriented

Steve is the person who really want to achieve his dream, his

passion with technology can’t be stooped the story tell us that in middle

1985 Steve was fired from Apple, doesn’t make Steve desperate, but he

rise up and start new company. And after he back to Apple, the start again

to achieve his dream to create revolutionary phone (iPhone) and

revolutionary tablet (iPad). Both of iPhone and iPad is the new technology

that people never think before 2007. Before Steve achieve his dream.

Self-Confident

Steve, always prepare his words before standing on the stage, Steve

believe that he presented the great product, and it should be prepared with

no mistake. This make Steve looks confident on the stage.

Skills

Clever (Intelligent)

Steve is the smart person that combine between technology and art,

in that time people like Bill Gates never think about the design in his

operating system in that time windows only produce “DOS” and apple that

time through Mac, build a system that user friendly and beautiful interface.

And this beautiful interface is the first in the world.

Creative

Steve always make something new for the market, make something

that people never think before, make a revolutionary product, and make

trend in the market, Steve doesn’t follow the competitor product, but he

create the trend that his follower will try to copy that innovation, like

Tablet PC iPad, lot of competitor like Samsung, Sony, Acer, etc. want to

compete iPad.

Fluent in Speaking

Steve is the best presenter ever I seen, he has talent to persuade

people by the way he speak. Steve already speaks in 16 Apple conferences

within past 20 years. And most of Steve Job presentation will end with

applause from the audience. Because the presentation always great. Steve

always prepares every detail before stand on the stage. Fluent in speaking

is one of the apple key successes, because through speaking we can

transfer the information to the audience.

Knowledge about the work

Steve already have his own master plan for Apple, for the next 10

years this make Steve very excited with his job, that Steve believe that

apple can achieve the highest level of innovation, event in that time (10

Years ago) it’s impossible to make it.

Charismatic and Transformational Leadership

Key indicator (Steve is Charismatic Leader)

1. Steve has impact his follower

2. Steve’s follower involve in Company Vision

3. Steve has high performance of Goals

4. Steve can contribute for the successful of Apple

5. Steve always reject suggestion form his follower

6. Steve was taking risk leader

Discussion

After learning about Steve Job leadership, we can discuss that Steve is

Charismatic leadership, we can see Steve very confidence while he on the

stage to promote their new innovation. He prepares everything perfectly

that why we can see that Steve presentation is difference than the other

leader. About Steve Jobs’ charismatic leadership since his return to Apple

in 1997 is an absorbing story of atonement, learning and wisdom. It seems

that the callow Jobs of the 1980s have been condemned to the history

books, or at the very least. Let’s think although Steve Job never listens to

his subordinate, how the company can run well and being the world best

company?

The great things about Steve that he had clear vision and future plan for

the company; he was a leader that led the change in the world. He

inspirited lot of people! By his charismatic leadership he could move the

apple company to be the world class company. Let’s think for a while, if

Steve stay at NeXT company, and that time apple old CEO, doesn’t adopt

Steve as the Apple CEO, may be lot of innovation that we can see today is

not Apple product but NeXT product. May be there will be NeXT Pad,

NeXT PC, NeXT Music, NeXT OS, or something else. Because the key

success of Apple is developed by Steve and team, the Apple key success is

written by Steve and team. Remember that when Steve kick out from

Apple? Do you think that Apple Company becomes better? Improving?

No! The sales of Apple that time decreasing! Apple suffers huge lost. And

the board of director of Apple gets angrier with the CEO, and looking for

the replacement, and that time they decide to pick Steve again.

How if Steve gave up while he kicked off form Apple, may be now we

can’t see the Apple company anymore! And he will never change people,

and he will die as a regular person not history maker person.

Steve style that looks doesn’t care with other, seems like a cool guy, may

be that Steve knows that his life is limited, because he had a cancer inside

his body that can kill him anytime, Steve already get liver donation in

2009 that ‘save’ his life little bit longer, and as we know that in October 5,

2011 (CNN) seems that the donation gives Steve 2 years extended of his

life. In those 2 years of extended life, let see what Steve can do between 2

years. Start Music, DRAM-Free, iPhone OS 4, iPad 1, iPhone 4, iTunes

10, Macbook Air, Mac OS Lion, and iPad 2 generation. This innovation

done by Steve just in 2 years!! Wow that awesome.

Conclusion

Conclusion for this paper, we learn about one of the greatest leader in the

world named Steve Job as CEO of Apple.Inc. in this paper we start with

the biography of this leader, the story of early life of Steve Jobs is not

always good, in fact the biological parent just hand over him to be adopted

with other parent, not a rich parent, only ordinary parent that adopted

Steve Job, and Steve can’t finish his collage study because his parent

could not afford that cost. But Steve never gave up, he maximizing the

capacity he had. Steve have the option to be a pessimistic person, but

because he is charismatic person, he decided to kept strong and kept

planning great and crazy idea that impossible to be achieved in those time.

Steve also realize that inside his body had a cancer that can kill him

anytime, so the say that “Your time is limited, so don't waste it living

someone else's life – Steve Job 2005. This one of the reason why Steve is

hard working person, he know that he limited but he want to maximizing

every second he have in this life to be meaningful to the other, Steve

passion not in money of wealth he just want do something he loves! Steve

passion in Computer makes he wants to work hard event the company only

pay US$ 1 / month for his salary. Of course not that small the income of

Steve, the main income comes from the shared stock that Steve has around

30% of Apple Stock.

Steve “real” productivity life only less than 10 years, but he already

changes the world within 10 years! There is nothing too late to start, or too

far to achieve as long as we still life, we have the opportunity to change

the world. God already give us 24 hour a day, and this is enough for us to

create something, to do something, to develop something, lot of people

outside they never achieve those achievement not because the “luck” but

because they never dream it, if they never dream it, how they can do it? If

they never do something different how they can achieve it? Our greatest

resources that we have, never give up as long as we life. You can choose

whether your life will change a lot of people, or just become an ordinary

people. You decide by yourself.

Reflection myself

In my reflection after I read this story, I’m one of the fans of Steve Job,

I’m so amazed about his product, how he become history maker in mobile

computer industry, I remember while in 1995 that apple suffer to

bankruptcy that time seems that the only hope for Apple was Steve only.

And Steve could change the company, into the world greatest company!

Steve is a person that has a passion with his job and he never give up,

although not everything he did always success, but he is the person that

always learn and learn. He always thinks about the momentum! In several

years ago in 1993 Apple also has the Personal Data Assistant called

‘Newton’ and that time fail. Most of the board director think that never

product PDA anymore, because it’s useless and cost a lot! But Steve

believes in momentum that will be the time that everyone will use PDA,

and in 2007 Apple lunch iPhone, and now in 2012 most of people in the

world use the smartphone (the future of PDA).

Several lessons that I get from Steve Job

1. Do something that you love

2. Do it totally (Perfect)

3. Have a vision

4. Don’t waste your time

5. If you can help people, you can be history maker

6. Share your profit with other

I learn to be a strong person, to be a history maker, we should help the

other, have a good vision not for our profit but also for people and planet,

don’t waste time, if there some task, just do it right now. Believe in

momentum that something that impossible now can be possible next year.

Own Personal Development Plan

First I will finish my study first, with good grade; I will learn something

that I never done before, and then I start to work with people to learn how

to build the business. I do what I love, in technological industries. And to

achieve that dream I should have clear vision, and believe in momentum I

will met the right time and right person. And to be a successful person I

must be a leader fist before I can change the world, I should change my

community, people around me to be a better person.

An Effective leader

1. A Leader that can lead a Team to achieve their Goals

2. A Leader that have strong vision

3. A Leader that has good spiritual experience

4. A Leader that has future plan

5. A Leader that love to learn

6. A Leader that Creative

7. A Leader that could control their emotion

References

1. Walter Isaacson (2011), “Steve Jobs” Biography book, Simon & Schuster,

New York, 2011

2. Apple (2002), ‘Steve Jobs to kick off Apple's Worldwide Developers

Conference 2002’, press release, Apple.com, 15 April, accessed 1 August

2008, Cupertino, CA

3. Awamleh, R. & Gardner, W.L. (1999), ‘Perceptions of Leader Charisma

and Effectiveness: The Effects of Vision Content, Delivery, and

Organizational Performance’, Leadership Quarterly, 10(3), pp. 345-373.

4. Bryman, A. (1992), Charisma and Leadership in Organizations, London,

UK: SAGE Publications.

5. Dolan, B. (2006), ‘Timeline of Apple "iPhone" Rumors (1999-Present)’,

online article, Fierce Wireless, 18 December, accessed 10 March 2008,

<http://www.fiercewireless.com/story/timeline-apple-iphone-rumors-

1999-present>