.
Explanation:
Introduction
Leadership effectiveness depends on how well a leader adapts to changing situations, team
capabilities, and organizational needs. Situational Leadership, developed by Paul Hersey and Ken
Blanchard, is a flexible leadership model that suggests no single leadership style is best in all
situations. Instead, leaders must adapt their approach based on the maturity, competence, and
motivation of their team members.
In the context of supply chain management, where conditions are constantly evolving due to market
dynamics, supplier relationships, technological changes, and risk factors, situational leadership is a
highly relevant approach.
1. What is Situational Leadership? (5 Points)
Definition
Situational Leadership is a contingency-based leadership model that suggests leaders should adjust
their leadership style based on the specific situation and the readiness level of their team members.
Key Concept: Leadership Styles Based on Team Readiness
The Situational Leadership Model identifies four leadership styles, which are determined by a
combination of directive (task-oriented) and supportive (relationship-oriented) behaviors:
https://kxbjsyuhceggsyvxdkof.supabase.co/storage/v1/object/public/file-images/CIPS_L6M1_Strategic_Ethical_Leadership/page_36_img_1.jpg
Why Situational Leadership is Important?
Encourages flexibility in leadership.
Helps develop employees’ skills and confidence.
Ensures effective leadership in changing environments like supply chain management.
2. How Situational Leadership Applies to Supply Chain Management (20 Points)
Supply Chain Management Overview
Supply chain management (SCM) involves planning, procurement, logistics, inventory management,
risk assessment, and supplier relationships. Given the fast-changing nature of supply chains,
managers must adapt their leadership style based on team capabilities, supplier maturity, and
operational challenges.
Situational Leadership Applied to Supply Chain Functions
1. Telling (S1) – Directive Leadership for New or Inexperienced Teams
🔹Application in Supply Chain:
Best for new supply chain employees who need strict guidance on procurement, contract
management, and compliance.
Works well in structured environments, such as warehouse management and logistics operations,
where standard operating procedures (SOPs) must be followed.
🔹Example:
A newly hired procurement officer struggling with contract negotiation may need step-by-step
instructions from a senior manager to ensure compliance with procurement regulations.
2. Selling (S2) – Coaching Approach for Semi-Skilled Supply Chain Teams
🔹Application in Supply Chain:
Used when employees have some knowledge but need motivation and guidance.
Effective in supplier relationship management, where procurement staff need training on
negotiation techniques and ethical sourcing.
Helps employees understand the bigger picture and improve decision-making skills.
🔹Example:
A procurement team transitioning to a digital procurement system may need training,
encouragement, and strategic direction to adopt new technologies.
3. Participating (S3) – Collaboration in Strategic Supply Chain Decisions
🔹Application in Supply Chain:
Works best for experienced supply chain professionals who need empowerment and involvement in
decision-making.
Encourages team input on strategic decisions, such as risk management, cost optimization, and
sustainability initiatives.
Best for cross-functional collaboration, where procurement, logistics, and finance teams work
together.
🔹Example:
A supply chain manager engaging with senior procurement professionals to co-develop a supplier
diversification strategy to reduce dependency on a single supplier.
4. Delegating (S4) – Empowering High-Performing Supply Chain Teams
🔹Application in Supply Chain:
Best for highly experienced and autonomous supply chain professionals who require minimal
supervision.
Used in global supply chain operations, where regional managers handle logistics, procurement, and
supplier engagement independently.
Encourages innovation, allowing supply chain teams to optimize processes using AI, automation, and
data analytics.
🔹Example:
A senior procurement manager overseeing global supplier contracts operates with full autonomy and
implements a digital supplier performance dashboard without needing daily oversight.
3. Advantages and Challenges of Situational Leadership in SCM
https://kxbjsyuhceggsyvxdkof.supabase.co/storage/v1/object/public/file-images/CIPS_L6M1_Strategic_Ethical_Leadership/page_38_img_1.jpg
Conclusion
Situational leadership is a highly effective approach for supply chain management, where dynamic
conditions require flexible leadership styles. By adjusting leadership approaches based on team
competency, motivation, and operational needs, supply chain leaders can optimize procurement,
logistics, and supplier relationship management.
The most effective supply chain leaders use all four styles, applying:
Telling (S1) for new procurement staff,
Selling (S2) for skill-building in supplier management,
Participating (S3) for strategic decision-making, and
Delegating (S4) for experienced global supply chain teams.
By mastering situational leadership, procurement and supply chain managers can increase efficiency,
reduce risks, and improve supplier partnerships, ultimately enhancing organizational success.
