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Solution
Leadership Style at Saudi Aramco
The Situational Leadership model by Hersey-Blanchard is a very popular leadership style in Saudi Aramco. It is a model of adaptability, where leaders will tailor their approach to the competence and commitment of their team members (Kenton, 2024). Under this model, Aramco’s leaders often assess employees’ development level to determine how to lead. For example, those team members new to the team or less experienced may need more of a directive style in which they are told what to do and how to do it and with close supervision. In contrast, leaders may find that seasoned employees would thrive under a delegating style, where team members are allowed to make independent decisions.
This adaptability aligns with the Energy industry which has a dynamic nature, where adopting the directive and supportive behaviour based on technology, and regulations changes can become necessary due to the speed that the industry progresses. Situational leadership also develops deep relations between leaders and team, as it develops trust and cares for needs of the individual (CFI, 2024). This style can be used at Saudi Aramco to guarantee that its leaders are capable of reacting to all challenges that employees face in an evolving scenario, contributing towards an engaged and empowered workforce.
Management Style
Saudi Aramco’s management style matches McGregor’s Theory Y, which posits that employees are self-motivated, take responsibility and want to do meaningful work (MSG, 2022). Aramco managers, for instance, keep emphasising employee empowerment, collaboration, and trust. They often give their teams the mandate to delegate serious responsibilities that they know their teams will be able to tackle and solve problems with expert guidance.
This type of management style helps maintain the innovation and team work, considering the fast-paced environment of the energy sector. Aramco gives its managers the power to foster an atmosphere in which employees can feel inspired and respected by encouraging autonomy. That is in contrast to McGregor’s Theory X, which assumes employees need strict oversight. Instead, the Theory Y management style operates to develop a culture of self-direction that is well-aligned to higher productivity and job satisfaction (MSG, 2022). Managers serve as facilitators and help spur the ideas and process and then lend their support and guidance for execution of a task by their teams. This encourages a spirit of collaboration, which suits well with Aramco’s purposes of continuous innovation and operational excellence.
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