Dealing with the challenges of leadership

Background

Eva Stepankova wins 2006 Prague Leaders Magazine Woman of the Year award for Business. More than 500 guests attended the Women of the Year gala, an event where prominent Czech women are celebrated. Honors for 2006 were announced in five categories. Eva Stepankova, owner of cosmetics company Ryor, was the recipient of the Business award in recognition of her life long achievements in the field of cosmetics.

Now a well known brand, Ryor has come a long way since Stepankova started it in 1991. She initially manufactured the products in her own flat, but since then she has built up a successful, multinational company. Ryor products are now being used by women in more than fifteen countries.

How a strong leader can steer a company to success?

Eva Stepankova is the founder of the successful international cosmetics company, Ryor. She is famous for her passionate leadership, and it is this approach that has driven her through hard times and made her company one of the most respected cosmetic firms in Europe. Here we look at how Stepankova dealt with four situations the company faced.

1 Political change. Almost from the start Ryor was faced with a potentially make-or-break situation. The early bottles and labels were made in Slovakia, which at the time was part of a unified Czechoslovakia, but in 1992 Czechoslovakia was divided into two countries - Slovakia and the Czech Republic. This meant that the goods were suddenly subject to an import duty of 22%. Stepankova had to be decisive. She realized she needed to be adaptable, so she moved the production of packaging back to Czech companies.

2 Finding the perfect design. One of Stepankova's strengths is said to be her total commitment to achieving perfection. This was demonstrated during the process of creating the right 'look' for Ryor's products and packaging. A number of design companies put forward literally hundreds of potential designs, and all were rejected. Eventually a decision was reached and a contract signed. But even then, Stepankova was not happy. Instead of going ahead, she had the courage to withdraw from the agreement and resume her search for the perfect design.

3 Cash-flow crisis. Almost immediately, Ryor was faced with probably its most serious challenge. Major hypermarket chains were moving into the Czech Republic and were changing the way products were distributed, as well as driving down prices. She made changes to the cash flow and distribution management, and although it took time, Ryor managed not only to survive, but to flourish in the new economic environment.

Oxford University Press, 2010

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