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Superior University

Leadershi

p

Bill GatesA Supreme Leader of Technology

World

By Xeniums



2



SYED AWAIS ALI 7115

M. ASGHAR 7113

TAHIR SUBHANI 7146

KHURRAM LATIF 8125

3



Table of contents

Acknowledgement 5

Introduction 6

Project 7

The great leaders 8

Bill gates 11

Early life of Gates 13

Private Life of Gates 15

Microsoft 16

Entrepreneur 18

Bill Gates a Successful Entrepreneur 19

Achievements as an Entrepreneur 19

Traits & Characteristics 21

Leadership Traits of Gates 22

Leadership Characteristics of Gates 22

Gates Secrets of Success 24

Leadership Styles 28

Autocratic Style 29

Delegate Style 29

Sources and Powers of Gates 31

Position Power 32

Personal Power 32

Influence Tactics 33

Golden Words 34

References 35

4



Acknowledgment

I’d like to think this is a fair analysis of why Bill Gates has been so

successful over so many years. In the end, though, whether you see

him as

the Antichrist or the Messiah of the IT revolution it is impossible to

escape

the conclusion that he is a remarkable individual. For two decades

he has

dominated the computer industry. He shows no sign of relenting.

But more

than just a computer whiz-kid, Gates also provides a model for

business

leadership in the 21st century. For this, he deserves

acknowledgment.

Others also merit a special mention

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6



Introduction to Project

This is our final project for the course of Leadership by Prof. Amjad

on the topic of Study a Charismatic Leader. We the team

XENIUMS selected Bill Gates as a leader to make a comprehensive

study on him. We are directed to make our study in context of the

lessons we have throughout our course and analyze him in our own

words.

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The Great Leaders in Business World

The management gurus tell us that in the contemporary business world learning is a

source of competitive advantage. Managers must constantly learn new skills and techniques so

that they are armed for corporate battle. Organizations must re-invent themselves as learning

organizations in which learning is central to their being and culture. All this is no doubt true—in

theory. But, in reality, there are few genuine learning organizations. The reality is that executives

are not very good at learning.

“Success in the marketplace increasingly depends on learning, yet most people don’t know how

to learn. What’s more, those members of the organization that many assume to be the best at

learning are, in fact, not very good at it,” says Harvard Business School’s Chris Argyris.

1. One of the aims of this series is to help executives learn; to give them the opportunity to

learn from the best. This may sound an overly ambitious objective. But think how

managers learn. First, they do so through experience. Yet, as Chris Argyris has pointed

out, experience is no guarantee of learning. Howmany executives Business schools

remain wedded to theory; business is about action. have you met who have all the

experience in the world but little insight or real wisdom? They may proclaim that they

have 30 years’ experience, but they often have one year’s experience 30 times.

Experience does not automatically lead to learning. Years clocked up do not necessarily

equate with wisdom.The second source of learning for executives is training programs.

Most senior managers will have been on one business school executive program or

another. With their case studies and emphasis on the analytical, business schools

undoubtedly enable managers to acquire important skills. But the range of skills and their

practical usefulness is regularly questioned—not least by those who teach at businessschools. “The idea that you can take smart but inexperienced 25 year-olds who have

never managed anything or anybody and turn them into effective managers via two years

of classroom training is ludicrous,” says strategy guru, Henry Mintzberg.

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2. The venerable Peter Drucker is another long-term critic of business schools. “The

business schools in the US, set up less than a century ago, have been preparing well-

trained clerks,” he wrote as long ago as 1969.

3. More recently, he has predicted the decline of business schools noting that “Business

schools are suffering from premature success. Now, they are improving yesterday a little

bit. The worst thing is to improve what shouldn’t be done at all.”Business schools remain

wedded to theory; business is about action. It is a sentiment echoed by practitioners. “I

am not impressed by diplomas. They don’t do the work. My marks were not as good as

those of others, and I didn’t take the final examination. The principal called me in and

said I have to leave. I told him that I didn’t want a diploma. They had less value than a

cinema ticket. A ticket at least guaranteed that you would get in. A diploma guaranteed

nothing,” said Soichiro Honda, founder of Honda.

4. With surprising understatement, former Chrysler CEO, Lee Iacocca noted: “Formal

learning can teach you a great deal, but many of the essential skills in life are the ones

you have to develop on your own.” More opinionated was the late Avis chief and author

of Up the Organization, Robert Townsend. “Don’t hire Harvard Business School

graduates,” he warned. “This elite, in my opinion, is missing some pretty fundamental

requirements for success: humility; respect for people in the firing line; deep

understanding of the nature of the business and the kind of people who can enjoy

themselves making it prosper; respect from way down the line; a demonstrated record of

guts, industry, loyalty down, judgment, fairness, and honesty under pressure.”

5. More recently, Bill Gates, Virgin’s Richard Branson and Body Shop’s Anita Roddick

have all been much quoted examples of those who missed out on business school but

went on to reach the summits of business success. “A great advantage I had when I

started the Body Shop was that I had never been to business school,” says Anita Roddick.

Similarly, 1–800-Flowers founder, Jim McCann, says that the company would have not

got off the ground if he’d been to business school—“I would have thought too much

about why the deal couldn’t be done,” says McCann.The third source of learning is

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through learning from peers and colleagues. This is very powerful. The current trend for

mentoring and coaching is evidence that senior managers can play an important role in

developing the skills of other, more junior, managers. But, what if your boss is an

ineffective timeserver with no interest in developing tomorrow’s talent? What if your

boss is incompetent? What if your aspirations far outstrip the level of expertise of your

boss? Who do you learn from then? For many, the answer lies in the growing array of

bestselling books by corporate leaders. Executives buy them in their millions. They want

to know what makes a top CEO tick. They want it mapped out. Invariably they are

disappointed. Most CEO authored books are marred by ego and hindsight. They are

ghostwritten and their merit is as illusory as a ghost. Most are rose-tinted celebrations of

careers rather than objective examinations of managerial techniques. The learning they

offer is limited—though that is not to deny the entertainment value. The Big Shots series

aims to fill the gap. It seeks to give an objective view of the business practice and

thinking of some of the corporate greats. For each of the business leaders in the series—

whether it be Bill Gates, Rupert Murdoch, Richard Branson or Jack Welch—we look at

the essence of their approach to business. What makes them different? What are they

good at? And, most importantly, what lessons can be learned from their business success?

As you will see, the lessons aren’t rocket science. Indeed, management is more pocket

science. “Guru? You find a gem here or there. But most of it’s fairly obvious, you know,”

says Rupert Murdoch. “You go to Doubleday’s business section and you see all those

wonderful titles and you spend $300 and then you throw them all away.” Theory is for

those with time on their hands. Making it happen is what management and business is all

about.

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Bill Gates

At 43, Bill Gates is the richest man in the world. He has headed Microsoft since he was

20. Believed to be worth something in the region of $60 billion (although Gates himself insists

that much of his money is tied up in Microsoft shares), his is wealth of a magnitude that is

beyond the comprehension of most people. For this he attracts both our envy and our curiosity.

Gates is a 20th century phenomenon: the greatest of the cyber-tycoons. It has become a popular pastime in bars and restaurants to astound friends and acquaintances with calculations of his

spending power. It is tempting to believe that there has never been another business leader so

loaded. In fact, there have been other mega-rich businessmen, John D. Rockefeller and Andrew

Carnegie to name just two. But Gates’ wealth is only part of his fascination.

His meteoric rise to fame and fortune confirms the creation of a new business world order: one

that is dominated by a different class of entrepreneur and business leader. We may like to

labelTHE LIFE AND TIMES OF BILL GATES 2 them nerds, but they know things that most of us don’t. They understand the potential of the new technology in a way that the traditional

generalist manager and bean counting accountant can’t hope to. They are smart; very, very smart

about stuff we don’t really understand, and it makes the rest of us uncomfortable.

When it comes to the future, they “get it,” and we don’t. Technically literate and intellectually

elitist, Gates is a sign of the leaders to come. Although Microsoft is based outside at Redmond,

Washington, he is probably the greatest of what we can term the Silicon Valley entrepreneurs.

To some in Microsoft, he is a mystical, almost religious figure, while to others in the industry he

is the Antichrist. Both views are outrageous, but underline just how powerful his influence is.

(With all the hullabaloo about alleged abuse of monopoly power, it is easy to forget that back in

the 1970s, IBM, too, was the target of anti-trust investigations. Yet, memory fades. Today, we

have come to regard Big Blue as almost saintly compared to Microsoft. Such is the nature of

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power—we fear most what we understand least.) But you won’t find many clues to the Gates

management technique or leadership style in business schools. In fact, the management

professors and gurus are strangely silent on what makes the Microsoft chairman and CEO so

successful. Perhaps they feel slighted. Gates, after all, dropped out of Harvard where he was

majoring in law. The academics prefer more conventional business leaders—the traditional

company men.

Where, then, should we turn for an insight into what makes this remarkable man tick? Where

better than Microsoft’s own encyclopedia Encarta? “Much of Gates’ success rests on his ability

to translate technical visions into market strategy, and to blend creativity with technical

acumen,” it says under the entry for Gates, William, Henry, III.

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Private Life

Gates married Melinda French from Dallas, TX on January 1, 1994. They have three

children: daughters Jennifer Katharine Gates (born 1996) and Phoebe Adele Gates (born 2002),

and son Rory John Gates (born 1999). The Gates' home is an earth-sheltered house in the side of

a hill overlooking Lake Washington in Medina. According to King County public records, as of

2006 the total assessed value of the property (land and house) is $125 million, and the annual

property tax is $991,000.

His 66,000 sq ft (6,100 m2) estate has a 60-foot (18 m) swimming pool with an

underwater music system, as well as a 2,500 sq ft (230 m2) gym and a 1,000 sq ft (93 m2) dining

room.

Also among Gates's private acquisitions is the Codex Leicester , a collection of writings

byLeonardo da Vinci, which Gates bought for $30.8 million at an auction in 1994. Gates is also

known as an avid reader, and the ceiling of his large home library is engraved with a quotation

from The Great Gatsby. He also enjoys playing bridge, tennis, and golf.

Gates was number one on the "Forbes 400" list from 1993 through to 2007 and number

one on Forbes list of "The World's Richest People" from 1995 to 2007 and 2009. In 1999,

Gates's wealth briefly surpassed $101 billion, causing the media to call him a

"centibillionaire".Since 2000, the nominal value of his Microsoft holdings has declined due to a

fall in Microsoft's stock price after the dot-com bubble burst and the multi-billion dollar

donations he has made to his charitable foundations. In a May 2006 interview, Gates commented

that he wished that he were not the richest man in the world because he disliked the attention it

brought. Gates has several investments outside Microsoft, which in 2006 paid him a salary of

$616,667, and $350,000 bonus totalling $966,667. He founded Corbis, a digital imaging

company, in 1989. In 2004 he became a director of Berkshire Hathaway, the investment

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http://en.wikipedia.org/wiki/Dallas,_TX

http://en.wikipedia.org/wiki/Bill_Gates'_house

http://en.wikipedia.org/wiki/Earth_sheltering

http://en.wikipedia.org/wiki/Lake_Washington

http://en.wikipedia.org/wiki/King_County,_Washington

http://en.wikipedia.org/wiki/Codex_Leicester

http://en.wikipedia.org/wiki/Leonardo_da_Vinci

http://en.wikipedia.org/wiki/The_Great_Gatsby

http://en.wikipedia.org/wiki/Forbes_400

http://en.wikipedia.org/wiki/Lists_of_billionaires

http://en.wikipedia.org/wiki/Dot-com_bubble

http://en.wikipedia.org/wiki/Corbis

http://en.wikipedia.org/wiki/Berkshire_Hathaway

http://en.wikipedia.org/wiki/Dallas,_TX

http://en.wikipedia.org/wiki/Bill_Gates'_house

http://en.wikipedia.org/wiki/Earth_sheltering

http://en.wikipedia.org/wiki/Lake_Washington

http://en.wikipedia.org/wiki/King_County,_Washington

http://en.wikipedia.org/wiki/Codex_Leicester

http://en.wikipedia.org/wiki/Leonardo_da_Vinci

http://en.wikipedia.org/wiki/The_Great_Gatsby

http://en.wikipedia.org/wiki/Forbes_400

http://en.wikipedia.org/wiki/Lists_of_billionaires

http://en.wikipedia.org/wiki/Dot-com_bubble

http://en.wikipedia.org/wiki/Corbis

http://en.wikipedia.org/wiki/Berkshire_Hathaway



company headed by long-time friend Warren Buffett. In March 2010 Bill Gates was bumped

down to the 2nd wealthiest man behind Carlos Slim.

Microsoft

After reading the January 1975 issue of Popular Electronics that demonstrated the Altair

8800, Gates contacted Micro Instrumentation and Telemetry Systems (MITS), the creators of the

new microcomputer, to inform them that he and others were working on a BASIC interpreter for

the platform. In reality, Gates and Allen did not have an Altair and had not written code for it;

they merely wanted to gauge MITS's interest. MITS president Ed Roberts agreed to meet them

for a demo, and over the course of a few weeks they developed an Altair emulator that ran on a

minicomputer, and then the BASIC interpreter. The demonstration, held at MITS's offices in

Albuquerque, was a success and resulted in a deal with MITS to distribute the interpreter

as Altair BASIC. Paul Allen was hired into MITS, and Gates took a leave of absence from

Harvard to work with Allen at MITS in Albuquerque in November 1975. They named their

partnership "Micro-Soft" and had their first office located in Albuquerque. Within a year, thehyphen was dropped, and on November 26, 1976, the trade name "Microsoft" was registered

with the Office of the Secretary of the State of New Mexico. Gates never returned to Harvard to

complete his studies.

Microsoft's BASIC was popular with computer hobbyists, but Gates discovered that a

pre-market copy had leaked into the community and was being widely copied and distributed. In

February 1976, Gates wrote an Open Letter to Hobbyists in the MITS newsletter saying that

MITS could not continue to produce, distribute, and maintain high-quality software without

payment. This letter was unpopular with many computer hobbyists, but Gates persisted in his

belief that software developers should be able to demand payment. Microsoft became

independent of MITS in late 1976, and it continued to develop programming language software

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http://en.wikipedia.org/wiki/Warren_Buffett

http://en.wikipedia.org/wiki/Carlos_Slim

http://en.wikipedia.org/wiki/Popular_Electronics

http://en.wikipedia.org/wiki/Altair_8800


http://en.wikipedia.org/wiki/Micro_Instrumentation_and_Telemetry_Systems

http://en.wikipedia.org/wiki/BASIC

http://en.wikipedia.org/wiki/Ed_Roberts_(computers)

http://en.wikipedia.org/wiki/Emulator

http://en.wikipedia.org/wiki/Altair_BASIC

http://en.wikipedia.org/wiki/Open_Letter_to_Hobbyists

http://en.wikipedia.org/wiki/Warren_Buffett

http://en.wikipedia.org/wiki/Carlos_Slim

http://en.wikipedia.org/wiki/Popular_Electronics



http://en.wikipedia.org/wiki/Micro_Instrumentation_and_Telemetry_Systems

http://en.wikipedia.org/wiki/BASIC

http://en.wikipedia.org/wiki/Ed_Roberts_(computers)

http://en.wikipedia.org/wiki/Emulator

http://en.wikipedia.org/wiki/Altair_BASIC

http://en.wikipedia.org/wiki/Open_Letter_to_Hobbyists



for various systems. The company moved from Albuquerque to its new home in Bellevue,

Washington on January 1, 1979.

During Microsoft's early years, all employees had broad responsibility for the company's

business. Gates oversaw the business details, but continued to write code as well. In the first fiveyears, he personally reviewed every line of code the company shipped, and often rewrote parts of

it as he saw fit.

In 1980, IBM approached Microsoft to write the BASIC interpreter for its upcoming

personal computer, the IBM PC. When IBM's representatives mentioned that they needed an

operating system, Gates referred them to Digital Research (DRI), makers of the widely used

CP/M operating system. IBM's discussions with Digital Research went poorly, and they did not

reach a licensing agreement. IBM representative Jack Sams mentioned the licensing difficulties

during a subsequent meeting with Gates and told him to get an acceptable operating system. A

few weeks later Gates proposed using 86-DOS (QDOS), an operating system similar to CP/M

that Tim Paterson of Seattle Computer Products (SCP) had made for hardware similar to the PC.

Microsoft made a deal with SCP to become the exclusive licensing agent, and later the full

owner, of 86-DOS. After adapting the operating system for the PC, Microsoft delivered it to IBM

as PC-DOSin exchange for a one-time fee of $50,000. Gates did not offer to transfer

the copyright on the operating system, because he believed that other hardware vendors would

clone IBM's system. They did, and the sales of MS-DOS made Microsoft a major player in the

industry.

Gates oversaw Microsoft's company restructuring on June 25, 1981, which re-

incorporated the company in Washington state and made Gates President of Microsoft and the

Chairman of the Board.

Microsoft launched its first retail version of Microsoft Windows on November 20, 1985,

and in August, the company struck a deal with IBM to develop a separate operating system

called OS/2. Although the two companies successfully developed the first version of the new

system, mounting creative differences undermined the partnership. Gates distributed an internal

memo on May 16, 1991, announcing that the OS/2 partnership was over and Microsoft would

shift its efforts to the Windows NT kernel development.

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http://en.wikipedia.org/wiki/Bellevue,_Washington


http://en.wikipedia.org/wiki/IBM

http://en.wikipedia.org/wiki/IBM_PC

http://en.wikipedia.org/wiki/Digital_Research

http://en.wikipedia.org/wiki/CP/M

http://en.wikipedia.org/wiki/86-DOS

http://en.wikipedia.org/wiki/Tim_Paterson

http://en.wikipedia.org/wiki/Seattle_Computer_Products

http://en.wikipedia.org/wiki/IBM_PC-DOS

http://en.wikipedia.org/wiki/Copyright

http://en.wikipedia.org/wiki/MS-DOS

http://en.wikipedia.org/wiki/Microsoft_Windows


http://en.wikipedia.org/wiki/OS/2

http://en.wikipedia.org/wiki/Windows_NT

http://en.wikipedia.org/wiki/Kernel_(computer_science)




http://en.wikipedia.org/wiki/IBM_PC

http://en.wikipedia.org/wiki/Digital_Research

http://en.wikipedia.org/wiki/CP/M

http://en.wikipedia.org/wiki/86-DOS

http://en.wikipedia.org/wiki/Tim_Paterson

http://en.wikipedia.org/wiki/Seattle_Computer_Products

http://en.wikipedia.org/wiki/IBM_PC-DOS

http://en.wikipedia.org/wiki/Copyright

http://en.wikipedia.org/wiki/MS-DOS

http://en.wikipedia.org/wiki/Microsoft_Windows


http://en.wikipedia.org/wiki/OS/2

http://en.wikipedia.org/wiki/Windows_NT

http://en.wikipedia.org/wiki/Kernel_(computer_science)



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Bill Gates - A Successful Entrepreneur

Gates is one of the most successful entrepreneurs of the world. He is able to run a

successful and a profitable entrepreneurship for many years and even today, we cannot survive in

this competitive world without it.

Vision and dedication are the key factors of being a successful entrepreneur and theseskills were present in Bill Gates from the beginning. He has got the skills to identify the most

suitable employee for recruitment.

The success of Microsoft is the true example of the entrepreneurial skills of Bill Gates.

The success story of Bill Gates is highly motivating for all the upcoming entrepreneurs.

His hard work, dedication and self-confidence helped him to earn everything he has. He

is a simple man and slightly conservative in regards of money although he is one of the richest

people of the world.

The youth can take inspirations from the life of Bill Gates.

So it can be concluded that Bill Gates is one of the ideal personalities of the world who

has honestly contributed towards the world's success.

Achievements as a successful entrepreneur

The list of achievements of Bill Gates is so long that a book can be written about it. Some

of his achievements are mentioned below:

1. In 2005, Bill Gates knighted by Queen Elizabeth II for his contribution to the Britisheconomy. His title will be 'Knight Commander of the Order of the British Empire.’

2. Time Magazine included his name in '100 most influential people of 20th century'. His name

was continuously there from 2004 till 2006.

3. He has received doctorates from various universities and institutes like Harvard University and

19



The Royal Institute of Technology.

4. Bill Gates and his wife have done many generous works for the welfare of the society. For

this, they have received the award of 'Order of the Aztec Eagle' in Mexico.

5. Sunday Times included his name in its Power List in 1999.

6. Forbes Magazine listed his name in 'The World's Richest People' from the year 1995 to 2007.

7. Berkshire Hathaway, an investment company, approached him to be the Director of the

company.

In 2000 Gates resigns as CEO of Microsoft to spend more on software architecture and less with

running the company.

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Traits

• Great at generating many ideas – innovative, game changing and even

commonplace.

• Always looking to experiment with good ideas. Sometimes, trying out a few times.

• Unwavering belief in their creativity and innovation, coupled with originality in

thinking.

• Smart and bright with a positive self-image. More often, they are not born

geniuses.

• Passionate, expressive and sensitive to their teams, colleagues and surroundings.

• Demonstrate superior judgment, and do not make quick decisions (although have a

gut feel).

• Non-conformists and independent, requiring less social approval than most people.

• Innate ability to understand and solve the problem, and manage the consequences.

• Born dreamers with strong imagination; however, manage to keep things in

perspective.

• Create and launch game changing products meeting a high level of quality and

design.

Characteristics Of Bill Gates

Intelligent

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He believes that if you are intelligent and know how to apply your intelligence, you can

achieve anything. From childhood Bill was ambitious, intelligent and competitive. These

qualities helped him to attain top position in the profession he chose.

Visionary

Microsoft's vision is "A computer on every desk and Microsoft software on every

computer he will continue to stomp out the competition until he dies. Every business and

household must have a computer and must run Microsoft software”, was the basic guiding vision

of Bill Gates.

Passion

When as a student at the Harvard University, every single student would have wanted to

be part of the great institute and graduate to be successful, Bill Gates decided to stop studying

and pursue his dream of writing software’s for every computer in the world

He was just passionate about software, coding and technology that incidentally also made him

the richest man in the world

Innovation

Gates and Allen were assisted by a staff of six, which included four programmers. In late

1977, Gates released a version of FORTRAN language for microcomputers. In 1978, Gates and

Allen introduced a version of COBOL. Around this time, Microsoft emerged as the market

leader in microcomputer languages with sales exceeding $1 million. In 1979, Microsoft

developed a new version of BASIC... He had an early interest in software and began

programming computers at the age of thirteen.

Risk Bearer

In his junior year, Gates dropped out of Harvard to devote his energies full-time to

Microsoft, a company he had started in 1975 with his boyhood friend Paul Allen development of

new products.

Continous Learner

“Microsoft is not about greed. It’s about Innovation and Fairness.” – Bill Gates”

Never stop learning was the Mantra of Bill Gates which he follow till date. This empowers him

to be a Great Leader of our times. He will always be remembers as an Icon and even without his

presence in Microsoft he would still be regarded as a great inventor and a real genius in every

regard of Business, Technology and Entrepreneurship.

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Accepting The Criticisms

Its fine to celebrate success but it is more important to heed the lessons of failure.

There will be people who would want to make fun of your efforts, pull you down and so on. The

stronger you stand the bolder you get the faster these negatives wither.

When IBM pulled out of the contract for the operating system to be bundled with the IBM Clone

PCs, Bill Gates stayed on and started focusing on the creating Windows amidst lots of hiccups

that will hamper the company.

Other Key Lessons-Bill Gates

“If you show people the problems and you show them the solutions they will be moved to

act.” – Bill Gates

This is one never mentioned secret of success. Action is the key word. When logic never

drives us its emotions. We must have take action. Bill Gates as a small young boy never had

anything to lose which he kept telling his good friend Paul Allen. When he had several odds

again him such as the American Law and several cases against him, he still consistently took

action by developing more software which the people wanted. This made him a super star

overnight.

“Whether it’s Google or Apple or free software, we’ve got some fantastic competitors

and it keeps us on our toes” – Bill Gates

Bill Gates took up the responsibility of being the Chief Software Architect, Bill Gates

was nurturing Microsoft by building a broad range of products. This was not just capitalizing onthe knowledge but provide the best by understanding the need of the people.

Bill Gates' Secrets of Success

Hard work: Bill Gates is a hard worker since the beginning of his life. In his college days,

he used to work all night long on his computer. When Microsoft was started, Bill Gates used to

sleep only for 6 hours in a day without skipping a single day of office. For Bill Gates, hard work

is one of the main keys of success.

Entrepreneurship:

Entrepreneurship is an integral part and is present in Bill Gates from the beginning. He

knows how to manage his work, he always takes a keen interest in learning, he learns from his

own mistakes, he is a creative person and, most of all, and he is focused towards his goals.

Confidence:

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Bill Gates has always been a highly confident person. He was always confident about his

dream of becoming successful.

Managerial Skills: The great managerial skills of Bill Gates helped Microsoft to be a successful

company. He efficiently managed all the areas of the company which required his focus.

A Great Convincer: Bill Gates is gifted with great convincing skills. He has made lots of

successful deals in his career. The deal with IBM was one of them.

Technical Mind:

Bill Gates is born with a highly technical bent of mind. It is a gift of god to him.

Microsoft has earned lots of success through this technical mind.

He Had A Vision:

From day one, Gates dreamed of having a personal computer in every home, in every

business and in every school. Throughout his career, he never once wavered from this dream.

Focusing on software as the means to popularize the PC, Gates built his empire around this

central vision and steered clear of all other distractions. And, the vision continues today. “We are

not even close to finishing the basic dream of what the PC can be,” he says.

He Had a Solid Team:

“If we weren’t still hiring great people and pushing ahead at full speed, it would be easy

to fall behind and become a mediocre company,” says Gates. From Microsoft’s inception, Gates

prioritized his team, bringing in only trusted friends to help him get the company started. As the

company grew, he insisted that they hire only the most capable young minds and strove to create

a small and creative environment for them to thrive in. Microsoft succeeded not only because of Gates, but also because of the strong team that stood behind him.

He Took a Long-Term Approach:

“In the decade ahead I can predict that we will provide over twice the productivity

improvement that we provided in the ‘90s,” said Gates. This bold statement captures Gates’

philosophy behind his entire business. Never one to chase after instant success or an immediate

pay-off, Gates began coding software with a view to the next fifty years. He has constantly tried

to keep his company at the forefront of new technological developments by funding new

research initiatives. Gates’ long-term approach helped ensure Microsoft’s remarkable staying

power.

He Learned From Failure:

In hindsight, Gates’ early failures seem so miniscule that they are almost laughable. But,

as a struggling entrepreneur, he went through the same frustration, confusion and despair that

others in his situation also face. What distinguishes Gates from the rest was his ability to rebound

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from his mistakes and take whatever lessons he could from them. He then became even more

resolute and determined to see his vision realize.

He Never Stopped Asking Questions:

“I believe that through our natural inventiveness, creativity and willingness to solvetough problems, we’re going to make some amazing achievements,” said Gates speaking to the

future possibilities for medicine, education and technology. When Gates faced a dilemma, he

didn’t stop and give up. He asked questions about what could be done to solve the problem.

From his business activities to his philanthropic efforts, Gates’ curiosity and desire to constantly

be learning has been one of the key factors behind his success.

“If I'd had some set idea of a finish line, don't you think I would have crossed it years

ago?” asks Gates. Showing no signs of slowing down, Gates continues to fuel his business,

inspire his workers and make his contribution to the global village.

“At Microsoft, there are lots of brilliant ideas but the image is that they all come from the

top,” says Gates. “I’m afraid that’s not quite right.”

While Gates has been the famous face of Microsoft for over thirty years, it took the help

of numerous other trusted individuals to help realize the company’s success.

When Allen and Gates first met as students at Lakeside, they instantly formed a strong

bond over their passion for computers. And, it was a bond that would last for the rest of their

lives. Knowing each other’s strengths and weaknesses, interests and passions and having a strong

sense of trust enabled these two entrepreneurs to form one of the most successful working

relationships of the 20th century.

Gates, recognizing the importance of a solid and trustworthy team, also brought on two

former high school friends, Ric Weiland and Marc McDonald, to be part of the core Microsoft

group. Gates knew that if Microsoft was going to get its feet off the ground, it was going to take

the hard work and sweat that he trusted few others to put in. From day one, he understood the

importance of having a small team that could join together each person’s enthusiasm around a

common goal.

When Gates moved the operation to Seattle in 1979, he had a staff of 16 people. As

Microsoft grew, so too did the number of employees that the company required. Gates continued

to bring in trusted friends of his whose characters he understood and who he knew he could trust,

including his friend from college, Steve Ballmer, who was thereafter in charge of human

resources. “Steve and I were kind of driving the business and Paul and I were driving the

technology,” recalls Gates. “Our success has really been based on partnerships from the very

beginning.”

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The move to Seattle proved to be a boon for Microsoft in that it enabled the company to

have a much wider range of skilled candidates to choose from. “In the world of software a lot of

the brilliant ideas of Microsoft come from a broad set of great people we've been able to hire,”

says Gates. In one particularly key move, Ballmer hired Charles Simonyi, one of the original

founders of the Xerox Palo Alto research lab, whose knowledge about graphical interfaces made

a significant contribution to Microsoft’s later graphical applications.

As their number of staff began increasing into the thousands, the company typically

focused on hiring people right out of school. “Most of our developers, we decided that we

wanted them to come with clear minds, not polluted by some other approach, to learn the way

that we liked to develop software, and to put the kind of energy into it that we thought was key,”

recalls Gates.

Microsoft continues to seek out only the best in order to help it stay ahead of its

increasingly fierce competition. “They key for us, number one, has always been hiring very

smart people,” says Gates. “There is no way of getting around, that in terms of IQ, you’ve got to be very elitist in picking people who deserve to write software. Ninety-five percent of the people

shouldn’t write complex software.”

By hiring the best and the brightest and carrying out work in small teams that stimulate

free and creative thinking, Microsoft has managed to retain its competitive edge for over three

decades.

“Though he never set out to be a millionaire, Gates not only became the world’s first cent

billionaire in 1999, but also one of the world’s most respected entrepreneurs for having

revolutionized the world of computers and setting new industry standards. “I really had a lot of dreams when I was a kid,” recalls Gates.”

“Power is the engine that drives the ability to influence. To understand leadership

effectiveness therefore, an analysis of the complex web of power relationships and influence

processes in organizations is essential. We also need to examine the sources of power and the

relationship of different power sources to leadership effectiveness.”

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Level 4 Leaders

Bill Gates has his own visions of what the business needs to do to succeed. He decides on

direction and then gets people to implement his vision. This is what level 4 leader refer to as

"first what, then who." Level 4 leaders are very much in the conventional mode. They may be

effective when it is not too difficult to decide what to do. And Bill Gates is too confident what hewants to do in near future and pursue his vision through his expertise.

Level 5 Leaders

We not put Bill Gates as level five leader because level five leader require both

professional will + humility in which definitely he has professional will but there is some doubt

about humility, although he is philanthropist who endowed $28 billion dollar in his own Bill &

Melinda Gates Foundation and even promise to donate his 95% wealth as he will have aged but

even after a lot of critics is there that he is doing all of it just because of status symbol, he is too

centralize and blamed for curbing innovation.

1. Autocratic style

Control is basic to Gate's nature and his management practice. He has an obsession with

detail and with checking up. Exp. Used to sign expenses for his right hand man – STEVE

BALLMER.

He is trying to monopolize the World Wide Web software market and has had legal

problems with the department of justice. Microsoft restricted the ability of its internet partners to

deal with its rivals. Also he dislikes complaints.

2. Delegate style

Brightest talent: Gates paid special attention to recruit and retain the best talent in the software

industry. He believed that the recruitment of talented software engineers was one of the most

critical elements in the software industry. Gates looked for a bundle of attributes in recruits.

These included the capacity to grasp new knowledge quickly, the ability to ask probing

questions, and deep familiarity with programming structures. Though a great number of potential

recruits applied for jobs at Microsoft, Gates assumed that the best talent would never apply

directly. Consequently, Microsoft's HR managers had to hunt for the best talent and offer them a

job Gives autonomy to his manager, his delegate’s authority to managers to run their

independent departments.

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Highly Capable Individual



30

Contributing Team Member

Highly Capable Individual



Position Power

Legitimate Power

It is based on his position power given by the organization. It is also called the

legitimization influencing tactic.

Employees agree to comply with management authority in return for the benefit of members. The use of legitimate power is appropriate when asking a person to do something that

is within the scope of their job.

Legitimate Use of Rational Persuasion

It is used by Bill Gates while dealing with higher-level managers. Rational Persuasion

includes logical arguments with factual evidence to persuade others to implement your

recommended action

Reward Power

It is based on the leader’s ability to influence others with something of value to them.

Microsoft is famous for giving huge remuneration packages to its employees. An important part

of reward power is having control over resources, such as allocating expense & budget funds.

Bill Gates has full control over evaluating employee’s performance determining their

raises, promotions & other rewards.

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Coercive Power

The use of coercive power involves punishment & withholding of rewards to influence

compliance. It is also called the pressure influencing tactics. Bill was a autocratic leader but he

never made rash threats & used coercion to manipulate others or to gain personal benefits.

Personal Powers

Personal power is derived from the follower based on the leader’s behavior. It includes

expertise, friendship or loyalty and charisma.

Expert Power

It is based on the user’s skill & knowledge. Being an expert makes other people

dependent on the leader. People often respect an expert & fewer the people who possess an

expertise, the more power the individual has. Bill Gates is a master of his subject & his

knowledge, skills, expertise is never questioned, tagging him having the expert power.

Referent Power

It is based on leader’s personal relationships with others. It is also called the personal appeals

influencing tactics based on loyalty & friendship. But with Bill Gates it is more of loyalty due to

his autocratic behavior towards his employees. People stay at Microsoft for longer time period

than most of the companies.

Influence Tactics

Rational Persuasion

Bill Gates extremely used this tactic by applying its functions in a very logical manner.

Bill always explained why the objectives need to be met.

He was very clear on the benefits which the followers would get & conveyed the same to

others.

He was very motivational regarding the set objectives & provided subtle evidences that

the objectives can be met.

He was very quick on explaining how problems & concerns will be handled.

He always innovate newer technologies & was very clear on their strength over others.

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Pressure

Bill Gates very frequently used the pressure influencing tactics from fear of reprimands,

probation, to suspension or dismissal.

Golden Words By The Great Leader Of It World

• As we look ahead into the next century, leaders will be those who empower others.

• At Microsoft there are lots of brilliant ideas but the image is that they all come from the

top - I'm afraid that's not quite right.

• Be nice to nerds. Chances are you'll end up working for one.

• I actually thought that it would be a little confusing during the same period of your life to

be in one meeting when you're trying to make money, and then go to another meeting

where you're giving it away.

• I believe that if you show people the problems and you show them the solutions they will

be moved to act.

• I really had a lot of dreams when I was a kid, and I think a great deal of that grew out of

the fact that I had a chance to read a lot.

• I'm a great believer that any tool that enhances communication has profound effects in

terms of how people can learn from each other, and how they can achieve the kind of

freedoms that they're interested in.

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• If I'd had some set idea of a finish line, don't you think I would have crossed it years ago?

• If you can't make it good, at least make it look good.

• In this business, by the time you realize you're in trouble, it's too late to save yourself.

Unless you're running scared all the time, you're gone.

• Information technology and business are becoming inextricably interwoven. I don't think

anybody can talk meaningfully about one without the talking about the other.

• It's fine to celebrate success but it is more important to heed the lessons of failure.

• Life is not fair; get used to it.

• Microsoft is not about greed. It's about innovation and fairness.

• People always fear change. People feared electricity when it was invented, didn't they?

People feared coal, they feared gas-powered engines... There will always be ignorance,

and ignorance leads to fear. But with time, people will come to accept their silicon

masters.

References

• Argyris, Chris, “Teaching smart people how to learn,” Harvard Business Review,

May-June 1991.

• Mintzberg, Henry, “The new management mind-set,” Leader to Leader, Spring

1997.

• Drucker, Peter, The Age of Discontinuity, Heinemann, London, 1969.

• Crainer, Stuart (editor), The Ultimate Book of Business Quotations, Capstone,

Oxford, 1997; AMACOM, New York, 1998.

• Bruce, Katherine, “How to succeed in business without an MBA,” Forbes, January

26, 1998.

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• http://creativityandinnovation.blogspot.com/2007/01/top-ten-creative-leadership-

traits.html

• REPORT ON LEADERSHIP STYLE OF BILL GATES by Dhananjay Kumar

(Jaipuria institute of management, Noida)

• http://www.brainyquote.com/quotes/authors/b/bill_gates_2.html

• Business by Bill Gates Way by DES DEARLOVE

http://creativityandinnovation.blogspot.com/2007/01/top-ten-creative-leadership-traits.html


http://www.brainyquote.com/quotes/authors/b/bill_gates_2.html





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