Pragstamin Private Limited is a manufacturing company of automotive parts. It has remarkable footprints in the market. Customers say that they want to do more business with Pragstamin. Shareholders believe that Pragstamin is one of the best investments.
Mr. Amar was appointed as the new general manager. Before being promoted to general manager, he was an executive in the company. He had five years of experience in total. He had completed his MBA in production, and he considered himself a high flier. He was very enthusiastic about being promoted. However, because of his young age, he lacked adequate experience and, therefore, was still considered an executive by his subordinates.
These production units were primarily based in two regions: North America and Europe, the Middle East and Africa (EMEA). Each of these locations was headed by a manager. Managers of these two regions reported to Mr. Amar and they had over 16 years of experience with an average age of 47 years. These managers had been with the company for a very long time. Since Mr. Amar had very less experience, they were against the decision of making him the general manager.
Mr. Amar started holding biweekly meetings with these managers. At the meeting, he noticed that the managers were hesitant to speak to him. Therefore, he made some changes in the operating procedures so that the efficiency was increased and announced this change in one of the biweekly meetings. He kept a close eye on the behavior of the managers at the next meeting.

He noticed that the managers were still not opening up to him, and the problem still continued.
After three months, Mr. Amar started receiving emails from the top management about the fall in the business. These complaints mentioned that the company has started losing business from its core customers as it was unable to fulfill its promise of high quality, and this has resulted in a huge loss for the company. He continued to receive emails from the top management and was becoming frustrated. One day, he walked down to the production unit and wanted to talk to the floor-operating manager for the production. The manager, who reported to him for that division, was out of the office. Later, the floor-operating manager was informed about the visit. The manager immediately called upon a virtual meeting with the managers of other locations who directly reported to Mr. Amar. In the meeting, upon knowing about the visit, one of the managers commented, ‘Mr. Amar is incompetent and too young and a dictator in the biweekly meetings. He shows no confidence in them and so they are fed up of this situation’. Hearing this, the other replied, ‘we don’t have a choice because Mr. Amar has been regarded highly by the top management and, therefore, we should start looking for other job opportunities’. The other managers reluctantly agreed and ended the meeting.

Questions
1. What actions would have been taken to avoid the problem?
2. What style of leadership does Mr. Amar have? What are the pros and cons of this style in this situation?
3. What solution can you propose to solve the problem as a leader?