Vijay Mallya

Leadership style

1. Presented by – Shubham Pradhan Behavioral Aspect of Built Environment -3 Assignment on Leadership style

2. Table of content Introduction Leadership style Early life Awards and political positions UB group Other ventures Assets Current issues SWOT analysis Conclusion References

3. Introduction The flamboyant liquor baron,  Dr Vijay Mallya once hailed as the King of Good Times and Indian version of Richard Branson, is being chased by almost every institution in the country — the banks, regulators and, finally, the judiciary — for the Rs 9,000 crores he owes to the lenders. Mallya did  not  borrow any money, it was Kingfisher Airlines that borrowed the money from public sector banks. Some 9,000 Crores. All shareholders ( Mallya is only one of them) are equally liable to repay the loans, but their liability is restricted to the shares they hold, no more. That is the concept of Limited Liability that Mallya is quoting. No one can legally touch Mallya's wealth to pay off Kingfisher's loans. Mallya is morally responsible (note:  not  legally responsible) for repayment of loans, since he gave a personal guarantee as a collateral / to secure the loans. But the concept of personal guarantee is fuzzy in the eyes of the law. There are other cases (not related to the loans) like a bounced cheque , allegations of funds being diverted etc. for which Mallya is indeed liable and can be prosecuted.

4. Early life Born on 18 December 1955 Mallya born in a Brahmin family originally from the town of Bantwal in Karnataka. Vijay Mallya is the son of Vittal Mallya , and his wife Lalitha Ramaiah. In 1986, he married an air hostess named Sameera Tyabjee . They were divorced in 1987 . In June 1993 , Mallya married Rekha Chairman of UB (United Breweries) group. Educated at La Martiniere & St. Xavier’s College, Calcutta Member of Parliament , Rajya Sabha Doctorate of Philosophy in Business Administration, by the Southern California university

5. Leadership styles Styles of leadership Efficient leaders bother not only about whether they looser win, but even about how they proffered to play the game. It's been seen the famous industrialist emphasize the difference between the "authoritative" and "nurturing" leadership styles as the "hard" and "soft" components of management. They maximize opportunity but will never turn opportunity into adventure. They have a total knowledge of thin line between risk and reward as they push ahead towards prosperity and progress. Good leaders will use all three styles depending on all situations with only a minor difference to their natural style. Poor leaders will generally stick with one style and not adjust for different situations limiting their influence greatly and it can be one out of these. Autocratic Participative Free reign

6. Leadership styles Democratic style favors decision making by group as in leaders generates instructions after a consulting a group or group of professional. They can seek co-operation from a group or professional and motivate them by their involvement in goals. The outcomes of the democratic leader are not serotype as with the autocrat because they arise from consultation with the group members and participation by them. Free rein style a free reign leader will lead by leaving the decesions to its co-workers and subordinates i.e., they are providing a freedom deciding their own way of doing things and policies. Different scenario style can be applied in different situations. In an emergency where there is little time an autocratic style is best suitable however in a motivated and homogenous team democratic would be more suitable. The practice of organizational leadership includes developing plan and direction, pointing changes and managing cultural transformation. Organizational leadership is important to manage the fit between the external, variable marketplace and the internal company's processes to develop organizational resilience.

7. Vijay Mallya’s style of leadership Call him 'The king of good times' or the liquor Baron, this charismatic personality's name is a complete introduction in itself. Story his life narrates countries, time zones, cars and careers. He says and believes in living the life-king size. His strong vision and guts to take on difficult and new challenges in life always gave him an image of great leader over other business leaders and tycoons. He is the person who changed the common view about a 'multi-national company'. A great part of the personality of the Kingfisher brand is based on Mallya's personality. He is considers to been an ethical leader. He is honored for having alone changed the image of his beer from a commodity to a new lifestyle brand. The Kingfisher commands a 29% share of the beer market in India and is sold in over 52 countries Vijay Mallya is considered to be a flamboyant CEO of United Breweries -that owns the Kingfisher brand - is one of the most flamboyant CEOs in Asia. He has built a reputation for spending extravagantly his money in the public trusts. Even he is seen as a very parotic person.

8. Mission Statement from the Tycoon We constitute a large, global group based in India. We associate with world leaders in order to adopt technologies and processes that will enable a leadership position in a large spectrum of activities. We are focused on assuming leadership in all our target markets. We seek to be the most preferred employer wherever we operate. We recognize that our organization is built around people who are our most valuable asset. We will always be the partner of choice for customers, suppliers and other creators of innovative concepts. We will continually increase the long-term value of our Group for the benefit of our shareholders. We will operate as a decentralized organization and allow each business to develop within our stated values. We will be a major contributor to our National Economy and take full advantage of our strong resource base. We commit ourselves to the ongoing mission of achieving Scientific Excellence

9. United Breweries Group The UB Group was founded by a Scotsman, Thomas Leishman, in 1857. At the age of 22, Vittal Mallya was elected as the company's first Indian director in 1947. Mallya became the Chairman of United Breweries Group in 1983 at the age of 28, following his father's death. the annual turnover was increased by 64% over 15 years to US$11 billion in 1998 United Breweries Group or UB Group is an Indian conglomerate of over 60 companies,headquartered in UB City, Bangalore in the state of Karnataka. Its core business includes beverages, aviation, electrical and chemicals, life science and leisure. The company markets beer under the Kingfisher brand. United Breweries is India's largest producer of beer with a market share of around 48% by volume.

10. King fisher airlines Established in 2005, was a major business venture launched by Mallya . It is one of the only seven airlines Awarded 5-star rating by Skytrax . It eventually became insolvent and had to be closed down. As of October 2013, it had not paid salaries to its employees for 15 months, had lost its license to operate as an airline. Once the second-largest airline in India, Kingfisher Airlines was never once able to earn a profit and it still went on for 8 years. In 2009, the net loss went from Rs 213 crore in 2008 to Rs 1,317 crore. And that didn’t stop Mallya from continuing. His delusional optimism of reviving the company went to such extent that the accumulated losses as of March 2013 stood at a whopping Rs 16,023 crore. He did cut flights from 300 to 110-125, but it never reached the skies Vijay was so hopeful about. 

11. Kingfisher airlines Given that and how indebted Mallya was by 2012, it was his inability to pay salaries to 1500 employees that stopped the beleaguered airline to continue operating. When asked why he couldn’t he simply answered, “I don’t have money to pay your salaries”. But then Diageo acquired 27% stake in United Spirits Ltd. for Rs 6,500 crore in 2013, but no lender or employee was given a single penny, without any reasons stated. Mallya had his own wish list to fill. He spent Rs 9.5 crore to get Australian all-rounder Shane Watson to play for his Royal Challengers Bangalore Indian Premier League cricket team this season. In December 2015, his birthday became a gala with 200 people and featuring a firework display and performances by Spanish pop star Enrique Iglesias worth 3.5 crore. The whole party cost him more than $2 billion.

12. Other ventures 1951 - McDowells became its first subsidiary. acquired Berger Paints, Best and Crompton in 1988. Malabar Chemicals and Fertilizers in 1990 The Asian Age newspaper and the publisher of film magazine, Cine Blitz, a Bollywood magazine in 2001. Vijay Mallya is also the chairman of South African company, United National Breweries, a company that specializes in making traditional sorghum beer. acquired premium scotch distillers Whyte & Mackay and Liquidity Inc in 2007 Signature golf tournament (golf tournament) Mohunbagan A.C (I league team) Kingfisher derby team (horse racing) East bengal club (I league team) Royal challengers Bangalore ( ipl team) Force india (formula one car racing team) McDowell indian (horse racing)

13. Awards and CSR Awards Honorary degree of Doctorate of Philosophy in Business Administration, by the Southern California University for Professional Studies (1997). " Officier de la Legion dHonneur ", a highest award of recognition in France. "Global leader for tomorrow", World Economic Forum. "Entrepreneur of the Year" award at The Asian Awards (2010) Corporate Social Responsibility The Mallya Hospital The Mallya -Aditi School The Vittal Mallya Scientific Research Foundation in Bangalore, India Water projects Drinking water schemes Rain water harvestin

14. Assets Estimated net worth $1.2 billion. 26 homes A stud farm named Kunigal Stud Farm comprising over 250 race horses 200 classic vintage cars A castle in UK Several yacht & private jets

15. Assets out of India

16. Current issues Vijay Mallya has been in Britain since he left India in March 2016, unable to travel after his passport was revoked, so the annual British Grand Prix is the only race he has been able to attend since then. The Enforcement Directorate, which fights financial crimes, is seeking to declare him a "fugitive economic offender" and to confiscate  Rs . 125 billion worth of his assets. Vijay Mallya has denied the charges, decried a "political witchhunt " and has said he is seeking to sell assets worth about  Rs . 139 billion ($2.04 billion) to repay creditors. "I think the overriding consideration that everybody seems to be missing is that I have put $2 billion worth of assets in front of the Karnataka high court which is more than sufficient to repay the banks and indeed everybody else," he said. "So the question of attaching assets either in the UK or whatever should not arise." Vijay Mallya repeated recent complaints on Twitter that enforcement agencies had frozen assets in India so he could not sell them, while banks continued to tot up interest. He said the enforcement directorate had also attached assets inherited from his father, including properties acquired in the 1920s, under the provisions of the Prevention of Money Laundering Act.

17. SWOT Analysis Strength Risk taker , Leadership qualities , Consolidated all in one group called UB group Creativity skills Good communicator Weakness When he bought Air Deccan Huge borrowed funds Trying to run an Airline like liquor business Opportunity The Heineken Deal Huge investments in Real estate BREXIT International Businesses Threat Fear of Assets in Britain being seized Indian Government actions . Media

18. Conclusion The following is my list of the characteristics of a good leader Vision leaders must have a good and clear vision. They must believe in them self and can motivate people in believing and following them. There vision for things is what it could be not what they are. Wise leaders have to go for critical calls are difficult points. A leader has to be wise and knowledgeable in order to make a correct call for a successful organization. They are strategic, wise and perceptive. Passionate good leaders are very passionate a\about their work and people. There obsession makes them entirely focused on what they do it may be sports hobby or business. They operate in a high level of passion that they get totally consumed in it. Charismatic and Daring Persistent they have strong will power towards their goal. They anticipate the problem towards their goals. They see that the advantage of attaining their goals is larger than that of the problems that occurred. This makes them intensely persistent individuals. Great communicators they are comfortable in public speaking and inspiring. They are great orator and persuaders. Disciplined Most good leaders are very controlled in their goals. Where most would be simply distracted, good leaders discipline their minds to keep focused and steady regardless of the situation.

19. References https://en.wikipedia.org/wiki/Vijay_Mallyahttps://www.ukessays.com/essays/business/leadership-exemplified-by-vijay-mallaya-and-bill-gates-business-essay.php https://www.livemint.com/Opinion/JdQmn4xX0sg8elz3lBTh2K/Whats-next-Mr-Vijay-Mallya.html https://www.thehindu.com/news/national/ed-lists-vijay-mallya-assets-for-seizure/article24373066.ece http://www.zeebiz.com/companies/news-united-spirits-writes-off-rs-566-crore-related-to-dues-from-ub-group-firms-1662 https://www.indiatoday.in/india/story/vijay-mallya-house-in-english-countryside-condo-in-trump-plaza-red-ferrari-982958-2017-06-15 https://www.google.co.in/search?q=Vijay+Mallya&stick=H4sIAAAAAAAAAOPgE-LUz9U3ME8xLUlWAjPNTCuMUrTUM8qt9JPzc3JSk0sy8_P084vSE_MyqxJBnGKr7NRKhYLU_IKcVABNEwxNQQAAAA&source=lnms&tbm=isch&sa=X&ved=0ahUKEwjm68DFy4PdAhWHN48KHVefAi4Q_AUICygC&biw=1680&bih=888