Intro
Managers: responsible for setting objectives and planning, allocating resources, motivating employees so that organizational aims are met.
Functions of the management:
- Setting objectives and planning
- Allocating resources: includes recruiting right employees and make sure they’re working towards a common goal
- Coordination - important for multinationals where size per business unit increases
- Directing and motivating staff
- controlling/measuring performance against target: feedback positive/negative should be provided
Mintzberg’s management roles
Interpersonal: figurehead, liaison, leader
Informational: receiver, disseminer, spokesperson
Decisional: resource allocator, negotiator, disturbance handler, entrepreneur
Differences: Leadership and management
Leadership: art of motivating a group of people towards achieving a common objectives
Leadership | Management |
Motivates and inspires others | Directing and monitoring |
Creates, developed a culture of change | Fits into the norms of the organization |
Respected by followers due to admiration | Respected due to authority, position |
Stems from personal traits | Official position in a company |
Believes in doing the right thing | Believes in doing the thing right |
Natural abilities and instincts | Qualified to perform in the role |
Trait theory on leadership:
- Multitalented: understand discussion about a wide range of issues affecting the organization
- Able to recognize the heart of the issue, ignoring the unnecessities
- Innovative, creative and think beyond the “obvious”
- Desire to succeed and Self-confidence that they will
Leadership styles
Definition | Features | Drawbacks | applications |
Autocratic: leadership style that keeps all decision-making at the center of the organization | - Leader takes all decisions
- Gives little information to staff about business
- One way communication
- Supervises workers closely
| - Demotivates staff
- Decisions do not benefit from employee input
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Paternalistic: fatherly style used by dominant males where their power is used to control and protect subordinate employees who are expected to be loyal and obedient | - ‘father-like’ figure takes decisions but in interests of Employees
- feedback and consultation encouraged, but not participative decision-making
| - Low staff motivation if loyal connection to leader not established
- Increasing dependency of employees on the leader, more supervision required
- Employee dissatisfaction if bad decisions are made
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- In a business where creative thinking is not required of employees
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Democratic: promotes the active participation of workers in taking decisions | - Feedback given/allowed
- 2 way communication
- Information about business is conveyed to employees
- Participation encouraged
| - Discussions are time consuming
- Quick decision making required occasionally
- Level of involvement: job losses, new products developments are a secret
| - businesses that expect workers to contribute fully to the production and decision-making processes, satisfying their higher order needs
- An experienced & flexible workforce will benefit from this style
- In situations that demand a new way of thinking/solution
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Laissez-faire leadership: leaves much of the business decision-making to the workforce (reverse of the autocratic style) | - Managers delegate virtually all authority/decision-making powers
- broad criteria/limits established for the staff to work within
| - Workers may feel loss of security due to the lack of structure and direction in their work
- Lack of feedback – as managers will not be closely monitoring progress – may be demotivating
| - managers are too busy/lazy to intervene
- Research institutions
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Situational leadership: effective leadership varies with the task in hand and situational leaders adapt their leadership style to each situation
| - Style depends on the nature of the task and the work group’s skills and willingness to accept responsibility
| - Varying the style of leadership may be difficult for some workers to accept and they may become uncertain of how they will be led in different situations
| - By allowing flexibility of leadership style, different leadership approaches can be used in different situations and with different groups of people
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Factors that affect leadership style:
- Skills of the workforce e.g. if they’re able to take on more responsibilities
- Amount of time available for discussion, consultation etc
- Manager background - if they’ve always worked in an autocratic management
- Manager personality - if they’ve the strength to lead
- Depends on the particular situation
Ethical leadership: leading by knowing and doing what is “right”; paternalistic, democratic rather than autocratic
Qualities of ethical leader:
- Ignore personal internets for sake of company, employee needs and greater good for community
- Appreciate feedback, different opinions and challenges posed to his/her ideas,
- Encourage leadership in others
- Including discussion of ethics as part of the organizational culture
- Understand importance of leadership and exercising it to the benefit of employees, business and community.
Cultural considerations and leadership
- Individualistic Vs collectivist
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