LEADERSHIP & MANAGEMENT Business & Management – A Course Companion P

The difference between Leadership & Management A manager is responsible for planning and overseeing the work of a group, monitoring the group’s progress and ensuring the plan is put into effect. A manager therefore deals with complexity. In contrast, a leader’s role is more emotional since a great leader will have the ability to inspire people to follow voluntarily. A leader therefore spends a great deal of time and energy building relationships.

What are the characteristics or personal qualities of a great leader? Working in groups of two, identify five characteristics or personal qualities of a great leader.

Source: Date Accessed: 19 th November 2009

Source: Date Accessed: 17 th November 2009

LEADERSHIP STYLES There are several leadership styles: Autocratic Leadership Bureaucratic Leadership Democratic Leadership Laissez-Faire Leadership Charismatic Leadership Benevolent Leadership Situational Leadership

Autocratic Leadership Style Autocratic Leaders hold on to much power and decision making as they possibly can. There is likely to be minimal consultation and employee input into decision making. Orders should be obeyed and employees should welcome the structured environment and the rewards they receive. This type of leadership is most likely to be used when subordinates are unskilled, not trusted and their ideas are not valued. It is also more likely in an organization that focuses on results and has to make urgent decisions that depend highly on the manager.

Autocratic Leadership Style This style is likely to be accompanied by very detailed instructions and close supervision. In some situations subordinates may expect and like to be told what to do since there can be no second guessing or uncertainty. Autocratic leadership will probably be unsuccessful when employees have the opposite characteristics to those described. Highly skilled individuals who have experienced democratic systems and who like to do things their own way are unlikely to tolerate an autocratic manager and may well leave the organization.

Source: Date Accessed: 19 th November 2009 The autocratic leader may be seen as a traditional leader at the top of a hierarchy.

Bureaucratic Leadership Style In bureaucratic leadership a manager refers to the rules book when making decisions since procedure or policy dictate what should be done. This style of leadership can be effective when the operating environment is very stable or very definite procedures need to be followed because the consequences of a mistake may be very high. This leadership style is likely to be counterproductive in a situation when creativity and rapid decision making is needed.

Democratic Leadership Style The democratic manager involves employees in decision making and informs then about issues that affect them. Consultation is central to the democratic process. However, since the leader is ultimately responsible for the decisions of the team, the leader will have the final say. Democratic leadership is probably the most popular style, possibly because the word democracy is seen by most people as having positive emotional connotations.

Democratic Leadership Style The democratic leadership style may not always work out as intended. It is likely to be most effective with skilled, free thinking and experienced subordinates who enjoy the relationship and chaos that can result from belonging to a highly effective team. This style also requires a positive chemistry in the team and if this is absent, no amount of democracy can make this style work.

Laissez-faire Leadership Style Laissez-faire means `to leave alone`. In this leadership style, the manager give employees considerable freedom in how to do their work. Employees can set their own goals, make their own decisions and resolve problems as they see fit. This may be an appropriate management style to use when employees can be trusted to do their job because they are motivated, skilled and educated. It may be appropriate when working with a culture based around the individual and where people can work successfully on their own.

Charismatic Leadership Style Leaders use the power of their personality to manage a group. This type of leadership can be very motivational for employees, but some workers may feel the leaders personality over the top (overbearing) at times. How many charismatic leaders can you identify in business, politics or sport? Why do you say they are charismatic??

Benevolent Leadership This is when the leader acts as a parental figure doing what they think is best for the team. They hand out punishments and rewards as they see fit.

Situational Leadership This is a term that can be applied generically to a style of leadership, but it also refers to a recognized and useful leadership model. In simple terms, a situational leader is one who can adopt to different leadership styles depending on the situation. Most of us do this anyway in our dealings with other people: we try not to get angry with a nervous colleague on their first day, we chase up tasks with some people more than others because we know they'll forget otherwise.

What influences the style of leadership? Subordinates The subordinates skills, age, education, expectations and motivation. The Decision Whether urgent, important or the consequences of an error. The Leader The leaders character, value, experience and expectations. The Environment Whether creative, standardized, repressive, democratic or compliant.

Source: Date Accessed: 23 rd November 2009