Understand the FABs
Great leaders have a broad understanding of all the core functional areas of business (FAB) as they interact within their organization. Such leaders are well-rounded, empathetic with their direct reports, can support teams effectively, and make informed decisions that provide the appropriate empowerment and parameters to the ultimate FAB expert within their organization.
The alternative is having superficial knowledge of the core FABs, which could lead to feelings of being unappreciated by the FAB experts and strategic or tactical mistakes.
For the purposes of this insight, FABs typically include R&D, design & engineering, procurement, supply chain logistics, manufacturing, sales, marketing, human resources, accounting, and finance. Within the manufacturing FAB, there are a wide range of sub-FABs, depending upon the core manufacturing or production techniques utilized by your business.
Leaders who grasp the intricacies of each FAB can better support their teams and make informed decisions. This holistic knowledge enables them to:
- Identify and address issues promptly: Understanding the root causes of problems, like the dimensional tolerance issue in a critical sub-assembly used early in the production sequence, allows leaders to allocate resources to overcome this issue, navigate complex situations, and prevent potential disasters.
- Foster collaboration: By appreciating the challenges faced by different FABs, leaders can encourage teamwork and ensure that everyone works towards common goals.
- Enhance problem-solving: A well-rounded leader can provide valuable insights and solutions, considering the broader impact on the entire organization.
- Build trust and respect: Employees are more likely to trust and respect leaders who understand their work and challenges, even if that knowledge is technically superficial.
A modern-day leader who consistently displays empathy and understanding across all functional areas is Mary Barra, the CEO of General Motors (GM). Since becoming CEO in 2014, Barra has been recognized for her empathetic leadership style and her deep understanding of the various aspects of the automotive industry.
Barra's approach to leadership involves actively listening to employees, understanding their challenges, and fostering a culture of collaboration and innovation. She has a background in engineering and has worked in various roles within GM, giving her a comprehensive understanding of the company's operations. This broad knowledge allows her to make informed decisions and support her teams effectively.
Here are some key aspects of her leadership style:
- Adaptive Leadership: Barra is known for her adaptive leadership style, which involves being flexible and responsive to changing environments. She has successfully navigated GM through significant industry changes, including the shift towards electric and autonomous vehicles.
- Crisis Management: Early in her tenure as CEO, Barra faced a major crisis with the ignition switch recall. She handled the situation with transparency and accountability, apologizing publicly and committing to changing GM's culture to prioritize safety.
- Innovation and Sustainability: Barra has prioritized innovation and sustainability, steering GM towards a future defined by electric vehicles and autonomous driving technology. Her strategic decisions have positioned GM as a leader in the automotive industry's transformation.
- Inclusive Culture: Barra fosters a culture of inclusivity and collaboration within GM. She emphasizes the importance of listening to employees and understanding their challenges, which helps build trust and respect across the organization.
- Background and Experience: With a background in engineering and extensive experience in various roles within GM, Barra has a comprehensive understanding of the company's operations. This broad knowledge allows her to make informed decisions and support her teams effectively.
Mary Barra has held a variety of roles within General Motors (GM) that have given her a comprehensive understanding of the company's operations. Here are some of the key positions she has held:
- Factory Floor Inspector: Mary Barra began her career with GM in 1980 as a co-op student at the Pontiac Motor Division. Her job involved checking fender panels and inspecting hoods. This role helped her pay for her college tuition and gave her valuable hands-on experience in manufacturing.
- Engineering and Administrative Positions: After completing her Bachelor of Science degree in Electrical Engineering from the General Motors Institute (now Kettering University) in 1985, Barra held various engineering and administrative roles within GM. These positions allowed her to gain a broad understanding of the company's operations
- Plant Manager, Detroit-Hamtramck Assembly: Barra managed one of GM's key manufacturing plants, gaining significant experience in vehicle production and plant management
- Vice President, Global Manufacturing Engineering: In this role, Barra was responsible for overseeing the engineering processes involved in manufacturing GM vehicles.
- Vice President, Global Human Resources: Barra managed the human resources functions globally, focusing on employee engagement and organizational development.
- Executive Vice President, Global Product Development, Purchasing, and Supply Chain: She led teams responsible for the design, engineering, and quality of GM vehicles worldwide. This role also included overseeing the purchasing and supply chain functions.
- Senior Vice President, Global Product Development: Barra was responsible for the development of new GM vehicles, ensuring they met high standards of quality and innovation.
These diverse roles have equipped Barra with a deep understanding of GM's operations, enabling her to make informed decisions and effectively support her teams.
Mary Barra's leadership style demonstrates how empathy and a deep understanding of all functional areas of business can drive a company towards success.