Pearson BTEC Level 5 Higher National Diploma in Business

LEADERSHIP & MANAGEMENT

Tutor: MA. Nguyen Thu Tram

Email: [email protected]
Mobile: 036 8742498
 LEARNING OUTCOMES
By the end of this unit, a student will be able to:

ü LO1: ü LO2:
Examine leadership Review the influence of
and management different leadership and
theories and principles, management styles on
and their impact on the the culture of
effectiveness of an organisations
organisation

2
 LEARNING OUTCOMES
By the end of this unit, a student will be able to:

ü LO3: ü LO4:
Develop a motivational Apply leadership and
strategy to optimise management approaches
organisational to managing performance
performance to ensure continuous
improvement.

3
 ASSESSEMENT CRITERIA

Assignment 1

4
 ASSESSEMENT CRITERIA

Assignment 2

5
 RECOMMENDED RESOURCES

v ADAIR, J. (2019). Develop Your Leadership Skills: Fast, Effective Ways to

Become a Leader People Want to Follow. Kogan Page.
v KELLY, P. and COLE, G. (2020) Management: Theory and Practice. 9th Ed.
Cengage.
v MULLINS, L. J. (2019) Organisational Behaviour in the Workplace 12th Ed.
Harlow: Pearson.
v NORTHOUSE P. (2018) Leadership: Theory and Practice. 8 th Ed. London:
SAGE.
v ROBBINS S. P., JUDGE T. A. (2013) Organizational Behavior, 15th ed
Prentice Hall, ISBN-13: 978-0-13-283487-2
v ORTI, P and MIDDLEMISS, M. (2019). Thinking Remote. Inspiration for
Leaders of Distributed Teams. Virtual Not Distance
6
TOPIC 1.1. DEFINITION OF MANAGEMENT

7
 Topic 1.1. Definition of management

What management is? Level of management Functions of a manager

Management roles Types of managerial skills

8
 Class discussion:

Imagine that you wanted to open and run an Italian

restaurant in Hanoi, what would you do?

MANAGEMENT 9
What is management?

ü Management is the activity

of getting things done with
the aids of people and
other resources

10
 Levels of management

CEO
Vice presidents, division heads,
Top secretaries, chancellors, directors,
manager controllers
s
Middle Department heads, deans, branch
managers
managers
First line Supervisors, foremen, head nurses,
managers shifts, team leaders

Non managerial Workers, accountants.

personnel
11
 Top managers
Ø Make long term decisions about the overall direction of the organization and
establish the objectives, policies and strategies for it.
Ø Pay a lot of attention to environment outside the organization.

12
 Middle managers
Implement the policies and plans of top managers above them and supervise and
coordinate the activities of the first line managers below them.

15
 First-line managers
Make short term operating decisions, directing the daily tasks of nonmanagerial
personnel.

16
 Functions of a manager
PLANNING COMMANDING -
COORDINATING
Select objectives of organisation - Instruct and motivate
and means (plans, policies, subordinates to carry out tasks
programs, procedures) it will adopt - Harmonise actitivies of
to achieve them individuals and groups, reconcile
differences in approachs, timing &
resources of requirements

Divide work and structure them

Monitor activities of individual&
into tasks and job, within formal
groups. Ensure their performance
structure of authority and
is in accordance with plans,
communication, includes work
standards and objectives set for
scheduling and work allocation
them
ORGANIZING
CONTROLLING

17
 Managerial roles
Henry Mintzberg (1991)
Managers have to wear different ‘hats’, depending what is going on at the
time => managerial roles

Interpersonal role Informational role Decisional roles

management is considered manager likely to have his/her authority and his/ her
as interpersonal process communication and wider job is to make decisions
network of contacts, the
best person to gather and
spread information

18
 Interpersonal roles

v Figurehead: performing ceremonial & social duties

as organisation’s representative
v Leader: selecting & training team members, &
uniting & inspiring team to achieve objectives
v Liaison: communicating with people outside the
work unit or the org.: building up informal system
of info. exchange

19
 Informational roles

A manager is likely to have a wider network of

contacts within and outside the organisation
than his subordinates, so he is the best person to
gather and spread information.
- Monitor: receiving info from environment &
from within org.
- Disseminator: passing on info to subordinates
- Spokesman: transmitting info to interested
parties outside the work unit or organisation

20
 Decisional roles

Entrepreneur: being ‘fixer’, mobilising resources to

get things done & to seize opportunities
- Disturbance-handler: coping with unexpected,
rectifying mistakes & getting operations &
relationship back on course if needed
- Resources allocator: distributing limited
resources in the way that will most efficiently
achieve defined objectives
- Negotiator: bargaining

21
WATCH VIDEO AND TELL WHAT MANAGERIAL ROLES ARE?
https://www.youtube.com/watch?v=2PjZAeiU7uM

22
Types of managerial skills
Conceptual skills: Mental ability
needed to acquire, analyze, and
interprete information received from
various sources and to make complex
decisions
Technical skills: Ability to use
knowledge of specific field, such as
accounting, engineering, production or
sales
Human relations skills: Ability required
to understand other people and
interact effectively with them

23
Types of managerial skills

24
TOPIC 1.2. THEORIES OF MANAGEMENT

25
Underpinning
School oftheories of management
management thoughts
(1911 - 1947) (1913 - 1950s) (1960s - present) (1960s - present)

HUMAN
CLASSICAL SYSTEM CONTINGENCY
RELATION

Emphasis on Attention to Integration of No one best

purpose, social factors classical & design of
formal at work, group, human organization.
structure, leadership, relations Form of tructure,
hierarchy of informal approaches. management, &
mgt, technical organisation, & Importance of success of the
requirements behavior of socio- org, depends on
& common people technical a range of
principles of system. situational
org. The org. variables
within its
external
environment
- Scientific Management - F.Taylor
- Classical administration - Fayol
- Bureaucracy – Max Weber
 Scientific management - F.Taylor (1)

v Frederick Winslow Taylor (1856–1915)

v Principles of Scientific Management,
published in 1911
v Applying scientific methods to
management of workers greatly improving
productivity:
- Optimizing way that tasks performed
- Simplifying jobs enough so that workers
trained to perform specialized sequence of
motions in "best" way.
 Scientific management - F.Taylor (2)

Scientific approaches required to:

v Develop science for each operation to replace opinion and rule-of-thumb
v Determine accurately from science correct time and method for each job
v Set up suitable organization to take all responsibility from workers except
that of actual job performance
v Select and train workers
v Accept that management itself be governed by science developed for each
operation and surrender arbitrary power over workers, i.e. cooperate with
them.
Video: The founder: https://www.youtube.com/watch?v=t1O8h0jhLyA
https://www.youtube.com/watch?v=F-7cjdtrQ9Y&t=186s
 Giảm quãng đường di chuyển thành phẩm và phế P
Productivity
Q
Quality
D
Delivery Basic
B

As-Was (Trước khi cải tiến) As- Is (Hiện nay)

q Chưa tối ưu hóa đường di chuyển q Tối ưu hóa đường di chuyển thành phẩm và
-Quãng đường di chuyển phế liệu: 356.2m phế
- Quãng đường di chuyển thành phẩm:129.7m - Giảm quãng đường di chuyển phế liệu: 192.6m
- Giảm quãng đường thành phẩm: 93.2m

Máy
thổi
Máy thổi

Kệ để hàng
Kệ để hàng
Kệ để
hàng

Máy thổi

Máy cắt
Máy Kệ để
Máy thổi

cắt hàng

NVL

NVL
Khu tái chế
Khu tái chế

NVL NVL

Máy thổi

Máy cắt
Máy
Máy thổi

cắt

Mực

Máy
cắt
in
Mực in Máy
cắt
Hình minh họa xưởng 1 Hình minh họa kho Hình minh họa xưởng 1 Hình minh họa kho
Đường di chuyển phế Đường di chuyển thành
Đường di chuyển phế Đường di chuyển thành
liệu phẩm
liệu phẩm

▷ Giảm 45% so với quãng đường di chuyển phế trước khi cải tiến:163.6m
Hiệu quả cải tiến
▷ Giảm 28,4% so với quãng đường di chuyển thành phẩm trước khi cải tiến:36.5m
 Classical administration - Henri Fayol (1)

v Henri Fayol (1841–1925)

v French industrialist
v Popularized the concept of universality
of management principles
- All organization structured and managed
according to curtain rational principles
- Seldom apply same principles twice in
identical conditions
- Allowance made for different changing
circumstances
Classical administration - Henri Fayol (2)
 Classical
Principles ofadministration - Henri
Management - Henri FayolFayol
(4) (2)
▷ Division of work: Reduces span of attention or effort for any one person or group.
Develops practice and familiarity
▷ Authority: Right to give orders, not considered without reference to responsibility
▷ Discipline: Outward marks of respect in accordance with formal or informal agreements
between firm and employees
▷ Unity of command: One worker, one superior
▷ Unity of direction: One head and one plan for group of activities with same objective
▷ Subordination of individual interests to general interest: Interest of individual or group
not prevail over general good
▷ Remuneration: Pay should be fair to both employee and firm
 Classical
Principles ofadministration - Henri
Management - Henr FayolFayol
(5) (2)
▷ Centralization: Always present to greater or lesser extent, depending on size of company and
quality of managers
▷ Scalar chain: Line of authority from top to bottom
▷ Order: Place for everything and everything in place; right worker in right place
▷ Equity: Combination of kindliness and justice towards employees
▷ Stability of tenure of personnel: Employees given time to settle into jobs, even though lengthy
period in case of managers.
▷ Initiative: All levels of staff encouraged to show initiative
▷ Esprit de corps: Harmony is great strength; teamwork should be encouraged
 Bureaucracy theory - Max Weber (1)
v Max Weber (1864–1920)
v Sociologist
v Developed notion of bureaucracy in 1947
v Three grounds for existence of legitimate
authority
- Charismatic leadership: Special power or
attribute, expecting devotion form staff and
followers
- Traditional or patriarchal leadership: Authority
bestowed by virtue of hereditary entitlement
(family firm or monarchy…)
- Bureaucracy: Authority bestowed by dividing
organization into jurisdictional areas ( production,
marketing, sales…) with specific duties; human
activity organized and systematic processes and
organized hierarchies required to maintain order,
to maximize efficiency, and to eliminate
favoritism.
 Bureaucracy theory - Max Weber (1)
General characteristics of bureaucracy
- Hierarchy: Management organized into layers. Each layer controlling and
supervising lower layers
- Specialization: Employment based on ability, not personal loyalty
- Impersonal nature: Employees working within impersonal rules and
regulations
- Professional nature of employment: Full-time work, promotion and pay
scales prescribed according to seniority and achievement, position or office
held
 Bureaucracy theory - Max Weber (2)

General characteristics of bureaucracy

- Rationality: Hierarchy of authority and structure clearly defined, duties
established and measures of performance set
- Uniformity: Performance of tasks uniformed
- Technical competence: Rarely questioned within area of expertise
- Stability: Stable partly because of rigid adherence to rules and
regulations and chain of commands
 Critics to classical management

Modern times (Chapli Chaplin)

https://www.youtube.com/watch?v=6n9ESFJTnHs
- E. Mayo
- Maslow
 HUMAN RELATIONS
Human relations
E. Mayo
▷ Emphasis on the importance of human attitudes, values &
relationships for efficient & effective functioning of
organisations.
▷ People need companionship & belonging, & seek satisfaction
in the social relationship they form at work
 HAWTHORNE EXPERIMENT
v During 1924–1932 at the Hawthorne Works (a Western Electric factory outside Chicago).
v Mayo took six women from the assembly line, segregated them from the rest of the factory
and put them under the eye of a supervisor => test room.
 Conclusions
HAWTHORNE EXPERIMENT

v There is an unwritten understanding between the employee and

employer regarding what is demanded from them => Mayo called it the
psychological contract .
v A staff’s motivation can be increased by showing an interest in them.
v In addition, staff are motivated by the social aspect of work.
v About the experiment: employee’s morale and productivity was
influenced by the communication between workers and management.
 MASLOW’S PYRAMID
Conclusions
 THE SYSTEM APPROACH

INPUTS OUTPUTS

(capital, SYSTEM (information,

labour, products/
information, services,
material, ect) ‘ENVIRONMENT’ waste, ect

Organizations can be viewed as open

systems which take inputs from the
environment and through a series of
activities transform or convert these
inputs into outputs to achieve some
objectives
 The open socio-technical system
Triste and Bamforth (1951)
▷ Organisation, as an open socio-technical system, consists of at least 3
sub-systems:
- A s t r u c t u r e – division of labour, authority relations h i p ,
communication channels
- A technological system – work to be done, techniques and tools
used to do it
- A social system – people within org., ways they think & interact with
each others.
Þ These sub-systems are linked
Þ Mgt must find ‘a best fit’ between the social & technical systems.
 CONTIGENCY THEORY
v “There is no one best way to organize”
v A manager’s approach should vary according to—that is, be
contingent on—the individual and the environmental situation.

MANAGERS HAVE TO FIND

‘THE BEST FIT’

49
 CONTINGENCY THEORIES OF MANAGEMENT HANDY
Contingency Theories of Management
Handy
Tight control Leader Subordinates Task
• Preference for autocratic • Low opinion of own abilities • Requires no initiative
style • Do not like uncertainty in work • Routine and repetitive
• High estimation of own • Like to receive clear instruction • Predictable outcome
capabilities • Regard work as trivial • Short time scale for
• Inclined, through culture or expectation completion
•Low estimation of
•Trivial
subordinate
• Dislike uncertainty

Preference for democratic • High opinion of own ability

style • Like challenge • Complex and non-routine
• Confidence in • Regard work as important • Involving problem-solving or
subordinates • Prepared to accept uncertainty and decision making
longer time scales for results • Long time scales
•Dislike stress
•Inclined, through culture or past • Important
•Accepts reasonable risk experience, to value independence
and uncertainty
Loose control
 CONTINGENCY THEORIES OF MANAGEMENT
Contingency Theories of Management Handy

Kinicki, Wiliam (2018)

TOPIC 1.3. THEORIES OF LEADERSHIP

52
 Topic 1.3. Theories of leadership
Remember the Titans film
https://www.youtube.com/watch?v=HIeLiPjgAbQ

“You can be appointed as a manager, but you aren’t a leader till people
choose to follow you”
“Leadership is not a position or title, it is action and example”
 Topic 1.3. Theories of leadership

What is leadership and Key leadership Debate overlaps and

leadership styles? theories and similarities between
approaches leadership and managers

54
What is leadership?

Leadership is the process of

influencing other to work
willingly towards goals, to the
best, of their capabilities,
perhaps in a manner different to
that which they would
otherwise have chosen

55
 Leadership styles
Leadership style is the way leader exercises his/her authority

Dictatorial style Democratic style

Force subordinates to work Decision making
by threatening punishment decentralized and shared by
and penalties subordinates in
participative group action

Laissez faire style

- Offer consideration and respect Subordinates given little or no
to workforce direction at all and allowed to
- Decision making centralized in established own objectives and
the hands of leaders, who don’t make own decisions
encourage participation of
subordinates
 Leadership styles
Tannenbaum and Schmidt’s continuum of leadership styles

- Continuum leadership theory developed in 1959 and updated in 1973

- Chosen leadership style depends on a variety of factors, including leader’s personality, perceived qualities of subordinates

- Continuum represents range of action related to degree of authority used by leader or manager and area of freedom available
to non-managers

- Area of freedom shared between managers and non-managers is redefined constantly by interactions between them and
environmental forces
 Leadership styles
Tannenbaum and Schmidt’s continuum of leadership styles
 Leadership styles
Ashridge Management College
Style “Tells” (Autocratic)
Characteristics A leader/manager centralizes authority, makes all decisions, and limits
employee participation
Tell
Strengths • Quick decisions
• Efficient type for routine work
Weaknesses • One-way comunication, lack of feedback
Consult
Leadership Sell
• discourage contribution or initiative from subordinates
styles

“Sells” (Persuasive)
Characteristics The manager makes all decisions, but explains them to subordinates,
Join and attempts to motivate subordinates to carry them out willingly

Strengths • Make subordinates more willing

• Staff have a better idea of what to do
Weaknesses • Staff will not necessarily be committed to decisions in which they have
not been involved
 Leadership styles
Ashridge Management College
Style “Consults” (Participative)
Characteristics The manager confers with subordinates and takes their views and
feelings into account, but retains the right to make the final decision
Tell
Strengths • encourage motivation through greater interest and involvement
• mobilize knowledge and experience in problem solving
Weaknesses • take longer to reach decision
Leadership • limited viewpoint on organizational issues
Consult Sell
styles • meaningless of process if the manager does not take employees’
advice
“Joins” (Democratic)
Characteristics Leaders and followers make the decision together, on the basis of
Join concensus
Strengths • provide high commitment to the decision reached
• take advantage of the knowledge and expertise of individuals
Weaknesses • the authority of the manager might be undermind
• long process of decision making
• Clear-cut decisions might be difficult to reach
 Leadership vs. Power

Power: is the ability to get things done

Types of power:
- Physical, coercive power: power of physical force and punishment
- Resource power: access to or control over valued resources. Depends on scarcity
of resource, how much is valued, how far under the manager’s control
- Legitimate or position power: Power associated with a particular job or position.
Authority.
- Expert power: Experience, qualifications or expertise are recognised
- Personal power: Be powerful simply by force of personality, which influence,
inspire others
- Negative power: Power to disrupt operations or refusal to communicate
information
Key leadership theories and approaches

Assume leaders are born, not made. Leadership

Trait theories consists of certain inherited personality traits
Draws attention to range of possible managerial
Behavioural theories behavior and importance of leadership styles
Supposes that a leader's effectiveness is contingent on
Contigency theories whether or not their leadership style suits a particular
situation.
Situational theories No one best way of leading, but effective leaders adapt
behaviour to specific and changing variables in leading
context
Transformational vs.
Transactional

62
 Trait theories of leadership
Leaders are born with the gift from the God
- Identify traits that always differentiate leaders from followers and effective leaders from
ineffective leaders
- Identify traits consistently associated with leadership have been more successful

▷ Individual task:
Think of a favourite leader and tell three adjectives to describe them?
Trait theories of leadership
Trait theories of leadership
 Trait theories of leadership

The tendency to be depressed, anxious, insecure,

Neuroticism
vulnerable, and hostile
The tendency to be sociable and assertive and to have
Extraversion
positive energy
The tendency to be informed, creative, insightful, and
Openness
curious

The tendency to be accepting, conforming, trusting, and

Agreeableness
nurturing

The tendency to be thorough, organized, controlled,

Conscientiousness
dependable, and decisive

Big Five Personality Factors (test)

 Trait theory of leadership

PROS (+)
- It has a century of research - The failure of the trait
to back it up approach to delimit a
- It has givensome definitive list of leadership
benchmarks for what we traits
need to look for if we want to - It has failed to take
be leaders situations into account
- This approach has resulted in
highly subjective
determinations of the most
important leadership traits
 BEHAVIORAL THEORIES OF LEADERSHIP

Draws attention to a range of possible managerial behaviors and

importance of leadership styles
- Behavioral approach focuses exclusively on what leaders do and how
they act
- Leadership behavior can be determined by what leaders do in relation to
accomplishing tasks and maintaining efforts of people performing the tasks
 BEHAVIORAL THEORIES OF LEADERSHIP

v Two distinct styles of leadership:

- Task behaviors: facilitate goal accomplishment, helping followers to
achieve objectives
- Relationship behaviors: help followers feel comfortable with themselves,
with each other, and with the situation in which they find themselves
v Underpinning:
- Adair’s action centered leadership
- Blake and Mountain’s Grid
- Tannenbaum and Schmidt’s continuum of leadership styles
- Asridge management studies
BEHAVIORAL THEORIES OF LEADERSHIP

- Leadership in contect made up of 3 variables: Task needs, Individual

needs of team members, Needs of team.
=> The effectiveness of the leader is dependent upon meeting these three
areas.
Þ Total situation dictates relatively priority must be given to each needs
Þ Effective leadership is identifying and acting on that priority
 BEHAVIORAL THEORIES OF LEADERSHIP

▷ Task needs: achieving objectives of work group, defining group tasks, planning
work, allocation of resources, organisation of duties and responsibilities,
controlling quality and checking performance, reviewing progress
▷ Team maintenance needs: maintaining morale and building team spirit,
cohesiveness of group as working unit, setting standards and maintaining
disciplines, systems of communication within group, training group, appointment
of sub-leaders
▷ Individual needs: meeting needs of individual members, attending to personal
problems, giving praise and status, reconciling conflicts between group needs
and needs of individual, training individual
BEHAVIORAL THEORIES OF LEADERSHIP
 BEHAVIORAL THEORIES OF LEADERSHIP

1.1 - Impoverished: Lazy, showing little efforts or concern for either staff or work targets
1.9 - Country club: Attentive to staff needs, satisfying relationships but paying little
attention to achieving results
9.1 - Task management: Concentration on achieving results but ignoring people’s need
and conditions of work
5.5 - Middle of road: Achieving adequate performance through balancing necessity to
meet work targets and maintaining unity of morale of group
9.9 - Team: Achieving high performance by leading people, who are committed to ,
satisfied by and fulfilling task objectives
 CONTIGENCY THEORIES OF LEADERSHIP
Fiedler’s contigency model: Matching leadership style to a situation

- Leadership style is fixed,

measured by Least Prefered Co
worker scale (LPC)
- Think about a person you have
least enjoyed working with. Rate
how you feel about him/her, add
up your scores.
- If total score is high =>
relationship oriented (High LPC)
- If total score is low => task
oriented (Low LPC)
 CONTIGENCY THEORIES OF LEADERSHIP
Situational favourableness

- Ta s k s t r u c t u r e : C l e a r a n d
structured, or vague and
unstructured. Unstructured tasks, or
tasks where the team and leader
have little knowledge of how to
achieve them, are viewed
unfavourable
- Position power: The amout of
power you have to direct the group,
and provide reward or punishmet.
The more you have, the more
favourable situation you have.
- Leader-member relations: The
level of trust and confidence that
your team has in you.
CONTIGENCY THEORIES OF LEADERSHIP

3 STEPS
1. Step 1: Identify your leadership style
2. Step 2: Understand the situation
3. Step 3: Find the right leadership style
 CONTIGENCY THEORIES OF LEADERSHIP

▷ Effective group performance depends on the proper match between

leadership style and the degree to which the situation gives the leader
control.
- Assumes that leadership style (based on orientation revealed in LPC
questionnaire) is fixed
▷ Considers Three Situational Factors:
- Leader-member relations: degree of confidence and trust in the leader
- Task structure: degree of structure in the jobs
- Position power: leader’s ability to hire, fire, and reward
▷ For effective leadership: must change to a leader who fits the situation or
change the situational variables to fit the current leader
 CONTIGENCY THEORIES OF LEADERSHIP

▷ A refinement of Fiedler’s original model:

- Focuses on stress as the enemy of rationality and creator of unfavorable
conditions
- A leader’s intelligence and experience influence his or her reaction to that
stress
Intellectual Leader’s
Stress Level
Abilities Experience
• Low • Effective • Ineffective
• High • Ineffective • Effective

▷ Research is supporting the theory.

 SITUATIONAL THEORIES OF LEADERSHIP

Hersey and Blanchard (1988) considered that an effective leader must be a good
analyst and adapt their style to meet the needs of the situation

RELATIONSHIP
MATURITY TASK BEHAVIOUR
BEHAVIOUR
• Capacity of individuals • Extent to which leaders • Leader’s personal
or groups to set high but are likely to organize relationship with
attainable goals and and define roles of their individuals or members
their willingness and followers, to explain of his/her group. It
ability to take what activities each is to involves amount of
responsibility do, and when, where support provided by
and how tasks are to be leader and extent to
accomplished which leader engages in
interpersonal
communication and
facilitating behaviour
SITUATIONAL THEORIES OF LEADERSHIP
Transactional and transformational leadership

TRANSACTIONAL TRANFORMATIONAL

The devil wears Prada

 Transactional and transformational leadership

TRANSACTIONAL TRANSFORMATIONAL

• Clarify goals and objectives and the focus • Establish long-term vision
is on short term • Create a climate of trust
• Focus on control mechanism • Make people solve their own problems by
• Solving problems empowerment
• Maintain status quo or improve current • Change the current situation.
situation • Train, coach, counsel and mentor people
• Plan, organise and control • Change culture
• Guard and defend existing culture • Power comes from relationships and influencing
• Positional power excercised people. The pressure exerted is subtle and has
greater finesse.
 Leadership and Management

“Leadership is doing the right things;

Management is doing things right”
Warren Bennis and Peter Drucker
v Leadership: Doing the right things - Deciding the best course of actions
to take (What are the things we should do? What direction should we
take? Where do we want to be in the end?)
v Management: Doing things right - Following the act of leadership,
looking at the objectives established by leadership and working out the
best way to get there
Functions of Management and Leadership
 Differences between Leadership and Management
Leadership Management
Creating a sense of direction: borne out of Planning and budgeting: setting targets,
dissatisfaction with the status quo. Out of establishing procedures for target and
this challenge, a vision for sth different is allocating resources to meet plans
created

Communicating the vision: meet realized Organizing and staffing: Designing

or unconscious needs of other people and organizational structure, hiring right people
leader must work to give it credibility and establishing incentives

Energising, inspiring and motivating: Controlling and problem solving:

stimulate others to translate vision to monitoring results against plan, identifying
achievement problems, producing and implementing
solutions.
* All of these activities involve dealing with
people rather than things

(John Kotter, 1988)

Functional Differences between Leaders and Managers
 IMPACT OF LEADERSHIP AND MANAGEMENT

HOW DO LEADERSHIP AND - Positive impacts for improving

MANAGEMENT CHANGE A business performance, effective
COMPANY? management of resources,
innovation.
- Negative impacts, e.g. loss of
competitive advantage, stagnation
and decline.
IMPACT OF LEADERSHIP AND MANAGEMENT

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IMPACT OF LEADERSHIP AND MANAGEMENT

89
 IMPACTOF
IMPACT OFLEADERSHIP
LEADERSHIPAND
ANDMANAGEMENT
MANAGEMENT

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IMPACT
IMPACTOF
OFLEADERSHIP
LEADERSHIPAND
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IMPACT
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