Cowboy management

1. Cowboy management By Ryan Stuart and Mary Bargsley Group 1

2. What Is cowboy management? In the corporate world, Cowboy Management, would be using an act first, think later attitude A risk taker is needed to use this style effectively In most cases it creates a competition between two groups of people in the same department or pits two different departments against each other It creates a job environment conducive to a survival of the fittest competition

3. In business taking the approach of the cowboy would be considered using few regulations and creating risk taking heroes • Due to competition some members of an employer may withhold information with fellow coworkers • Rather than promoting leaders, management is decided strictly based on numbers generated or falsely accrued • This style creates a high stress environment with huge profit margins if used correctly • Self fulfilling objectives are focused on rather than the best interest of the business as a whole • Allowing unethical business practices to go on because doing so will boost the bottom line and make management look successful • By associating themselves with only the top sellers and separating those that aren't willing to bend the rules, management makes itself look as though it has created the best sales team and is not responsible for any loss. • This type of managing style is a very ineffective form of leadership and will cause severe permanent damage of company morale. They will however, always find investors and people to believe in them because of the bottom line being successful marginally Current similar business practices

4. As shown in the case study, Misfires can happen when acting without due process • Willingness to take on consequences as a result of risk taking • Must be ready to improvise when acting without a plan • Lack of balance causing rash decision making • Understanding that the masses will rebel when forced or threatened without proper representation • It will create competition with possible negative results since it is not thought out Comparing chief joseph case study leadership styles with that of cowboy management

5. Sense of fearlessness and willingness to capitalize on risks others would not be willing to assume • Innovative minds are created and society will benefit from outside the box thinking with new products • Huge rewards are made possible if risk is overcome • Team feeling of togetherness when up against fair competition • Opportunity is given to everyone to prove themselves and grow • Devotion of maximum resource to group generating maximum profits Advantages of cowboy management style

6. Competition is not always judged fairly • Ethical business practice may not be implemented if it means higher profit margins • Low team morale due to competition among team members having incentive to make others look bad • Lack of resources devoted to a department if they lose market share to another department • Hostile work environment could be created • Short term gains causing long term failures • Lack of a plan could cause the company to go out of business Disadvantagesof cowboy management style

7. Apple Corporation • Steve Jobs was an innovator and a risk taker • Massive rewards were achieved with a go for it all attitude • West Coast Customs • Ryan, the owner, was willing to be the first to take on unthinkable car modification projects • The company has separate departments that compete to show the best in a friendly team togetherness manner • They have grown to become the largest and most world renowned car restoration brand Success achieved using cowboy management

8. Flying J Corporation • Signed short term gains that would cause long term shutdown • Small operation that tried to become too large, too fast • Failure to secure capital to sustain growth by lack of planning • Loss of revenue created by signing deals that gained market share at a price too low to benefit • Avis Budget Group • Ranked sales groups by city profit gains and by employee individual revenue generated • Low business ethics and morals due to management looking the other way on dishonest employees because they made them look better with sales • Misrepresentation to the customer used to grow profit margins • Toxic environment causing terrible employee morale and high turnover Failures of cowboy managed companies

9. Purchase or merger of a competitor causing in house competition • Pressure to succeed with motivation against others • Slower growth in a department causing available resources to diminish • Removal of job titles • Local pride versus outside competition Likely causes of competition

10. The end – become a great leader!