Transformational and Charismatic Leadership: Case of Cargo Community

Network (CCN) – Healthy Employees are Happy Employees

Teow Boon Ling is the general manager of Cargo Community Network (CCN), a market
leader in the logistics industry that believes that a company’s biggest asset is its
workforce. In 2005, he initiated the Workplace Health Promotion (WHP) Program for his
60 employees. He envisioned that employees who possess a healthy mind and body
would contribute to the overall growth and productivity of the organization. Strong
management support and participation are pervasive throughout the implementation of
the WHP program. A senior manager heads the Company Recreation Committee
(CRC), comprised representatives from different departments. CRC, with support and
guidance from the WHP consultant, designs activities that address employees’ physical
and mental well-being and healthy eating. Annual basic health screenings and health
and activity surveys are conducted to collate information on employees’ current
lifestyles, health practices, and preferred types of activities.

To promote healthy eating habits and lifestyles among the staff, the company organized
the free distribution of fruits on “Friday Fruit Day” as well as regular nutrition talks,
healthy cooking demos, and fitness classes. Despite the initial setback of low staff
participation (only 10 percent) in the organized activities, Teow persisted and remained
convinced of the intended transformation of the company. He acknowledged, “It was not
easy for one to change the habits of the employees and begin an active lifestyle. It’s just
like training for a marathon—it might seem impossibly difficult at the beginning, but you
just need to take that first step. Set small achievable goals from the outset and once you
start achieving them, you’ll find that you eventually become stronger and faster with less
effort.” He leads by example by taking part in all the organized activities. He also
continuously works on improving the policies to better integrate workplace health
promotion within the organization culture. Innovatively, he has included WHP as a
component in the performance appraisal that affects the employees’ bonus payout. A
points system, monetary tokens, and award recognitions were also given to motivate
employees who made the effort to lead healthier lifestyles.
Flexible working hours were also introduced for staff to take time off to participate in
weekly jog and brisk walk sessions. Four years down WHP road, Teow proudly
commented at the Health Promotion Silver Award ceremony, “Productivity is pretty hard
to measure but I see improved team spirit, the atmosphere is more cheery, people are
happier—[they are] more open, engaging in discussions, with increased communication
across departments.”

Question :

1. Describe Teow’s personality and leadership style. How does it foster or hinder his
effort to transform CCN into a healthy and productive organization?

2. Based on the description of Teow’s personality and leadership style, in your opinion,
is he a charismatic leader, a transformational leader, or both? Support your answer.