Bill Michael, The KPMG chairman, has to step down due to several protests by the staff after he told them to “stop moaning.” Bill Michael uttered the words in an online meeting where he addressed the workers about the impact of the Covid-19 pandemic. He also disregarded the unconscious bias, which many organizations are attempting to confront due to changes in their training and recruitment process. Bill Michael termed the current situation as “complete and utter crap” (Liakos & Godley, 2021). Although Bill Michael apologized for his actions, KPMG employed the law firm to conduct an open investigation.
The main issues that are presenting a strategic challenge to KPMG are poor communication and mistreatment of workers. There have been several protests by workers due to harsh comments either during a board meeting or any other form of a conference. For instance, in the above case, it is clear that the pandemic presents a difficult time for all people across the globe, but Bill Michael decided to comment harshly on the situation. Such issues intensify the discussion around the causes of mental health and diversity (Hughes, 2021). Women are also disregarded in the case, but after Bill Michael resigned, the acting chair's position was replaced by a woman to save the reputational damage.
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The fundamental tip to overcome strategic leadership issues is to encourage open communication among employees. A leader must offer workers the space they require, win trust among them and come up with grievances without fear of intimidation. Also, employees need to be appreciated for the excellent work done and not being rude to those that have not worked well at any particular time. The critical strategic communication messages include the power of humanizing all stakeholders to demonstrate that the organization has a sense of empathy. Also, encouraging open discussion where all members can discuss a solution for the issues will make the company gain a competitive advantage.
References
Hughes C. (2021, February 12). Bloomberg . Bloomberg - Are you a robot? https://www.bloomberg.com/opinion/articles/2021-02-12/unconscious-bias-kpmg-shows-how-not-to-lead-by-example
Liakos, C., & Godley, W. (2021, February 12). KPMG's UK boss resigns after telling staff not to 'sit there and moan' about the pandemic . CNN. https://edition.cnn.com/2021/02/12/business/kpmg-chair-bill-michael-resigns/index.html
