HUMAN RESOURCES Topic 2.3 (SL)

Leadership and Management Pages 163 - 171

Assessment Objectives: AO1 Demonstrate knowledge and understanding AO2 Demonstrate application and analysis AO3 Demonstrate synthesis and evaluation AO4 Demonstrate a variety of appropriate skills

Content Objectives: AO2: To apply and analyse The key functions of management Management vs leadership AO3: To synthesize and evaluate Different leadership style Autocratic Paternalistic Democratic Laissez faire Situational How ethical considerations and cultural differences may influence leadership and management styles in an organization

Language Objectives: LO1 Reading informative texts: determine two or more central ideas of a given case study LO2 Writing: write arguments to support claims using evidence from a case study LO3 Listening: build on others’ ideas and participate in discussions. LO4 Speaking: make strategic use of digital media textual and other interactive elements in presentations.

Key functions of management (AO2) (i) By Henri Fayol (1841-1925)  Management operates through various functions:

Planning Setting the course of action to achieve organization objectives. Involved in setting both tactical and strategic plans Commanding give instructions and orders to their teams and subordinates Enforce discipline to prevent slack and non- compliance

Controlling/Monitoring Take corrective measures if targets are not met. Coordinating Ensure all departments strive to achieve goals of the organization Organising (Implementation) Organize resources to achieve corporate objectives Delegating and allocating tasks to workers, ensure that deadlines are met

(ii) By Charles Handy (2001) Managers as General Practitioners Comparing personal health problems with the well-being of a firm, such as the level of staff turnover, productivity and customer satisfaction. If there are health problems in the business, then managers must deal with these.

Managers as Confronters of Dilemmas As managers are well paid they have to deal with a constant flow of dilemmas (problems) e.g. managers are required to let go of some authority when delegating work to their teams, but they must also retain control of the assigned task. The dilemma is that mangers may need to let go in order to gain the trust of their staff.

Managers as Balancers of cultural Mixes The manager’s role is to balance the cultural mix in an organization in order to get the best out of each individual.

(iii) By Peter F Drucker (1909 - 2005) Setting organizational objectives Managers are involved in setting and communicating organizational objectives. Organizing tasks and people Managers establish systems to ensure the different functional areas of the business are integrated to achieve the organizational objectives.

Communicating with and motivating employees – for the workforce to be efficient and productive, managers must build teams that are motivated in achieving organizational objectives. Developing people – managers are responsible for bringing out the best in their people. This may be done through giving employees opportunities to take on responsibilities

Measuring performance – managers should measure each and every employee’s job performance through a system known as ‘Management by Objectives’ i.e. job performance measured by the extent to which he/she meets the objectives that have been set.

Leadership vs Management (AO2) https://www.youtube.com/watch?v=wVTTBXlAGvI Leaders and Managers differ on several issues namely: Time and devotion – management is an 8am to 5pm obligation whereas leadership is about being responsible 24-hours each day.

Roles and responsibilities Leaders are accountable for a much broader range of responsibilities including taking care of strategic decisions whereas managers deal with more routine responsibilities including how best to administer the day-to-day operations of a business.

Influence on others Instructions and orders from managers are listened to because they are in an official position of authority. Leaders, however, inspire and motivate their followers through action. They also focus on people and their emotional feelings, rather than concentrating on task or rationality. Hence, leaders are much more socially involved than managers.

Risk-taking Managers follow predetermined rules and policies set by the organization. They tackle a particular task by keeping order and control. Their focus tends to be on accomplishing tasks. They set an example to their subordinates and this shape part of the organization’s culture. Leaders are more radical in their thinking. They will change the status quo (the norms within the organization) in order to move the organization forward.

Vision It is the vision that leaders have that separate them from mangers. Leaders create a culture of hope, getting their people to where they have not been before, whereas managers abide by the procedures and culture of an organization.

Nature of Leadership A leader is a person who influences and inspires others to get things done. An effective leader will promote loyalty, motivation, respect and trust from the workforce. https://www.youtube.com/watch?v=pYKH2uSax8U

https://www.youtube.com/watch?v=fh1uff62SO8

Leadership Styles (Ao3) Autocratic https://www.youtube.com/watch?v=OGnoL7-v1Sw Leadership style in which the leader dictates policies and procedures, decides what goals are to be achieved, and directs and controls all activities without any meaningful participation by the subordinates.

The autocratic leader (Lewin, Lippitt, & White, 1939) is given the power to make decisions alone, having total authority. This leadership style is good for employees that need close supervision to perform certain tasks.

Creative employees and team players resent this type of leadership, since they are unable to enhance processes or decision making, resulting in job dissatisfaction.

Democratic https://www.youtube.com/watch?v=pMG rXTu3PDQ Style of leadership in which the leader involves subordinates in goal setting, problem solving, team building etc., but retains the final decision making authority. The democratic leader (Lewin, Lippitt, & White, 1939) listens to the team's ideas and studies them, but will make the final decision

Team players contribute to the final decision thus increasing employee satisfaction and ownership, feeling their input was considered when the final decision was taken. When changes arises, this type of leadership helps the team assimilate the changes better and more rapidly than other styles, knowing they were consulted and contributed to the decision making process, minimizing resistance and intolerance.

A shortcoming of this leadership style is that it has difficulty when decisions are needed in a short period of time or at the moment.

Paternalistic https://www.youtube.com/watch?v=hRV32NBlTSM Treat employees as if they were family members by guiding them through a consultation process Acts as fatherly figure to protect and control, expect workers to be loyal and obedient. Negative: perceive workers as incapable, lead by guidance and control Positive: perceive workers as highly capable, nurture and develop workers

Laissez -Faire Non-authoritarian leadership style. https://www.youtube.com/watch?v=ZO4ljUZY3ls Non-authoritarian leadership style. Laissez faire (French for, allow to pass or let go) leaders try to give least possible guidance to subordinates, and try to achieve control through less obvious means. They believe that people excel when they are left alone to respond to their responsibilities and obligations in their own ways.

The laissez-faire ("let do") leader (Lewin, Lippitt, & White, 1939) gives no continuous feedback or supervision because the employees are highly experienced and need little supervision to obtain the expected outcome. Shortcoming: This type of style is also associated with leaders that don’t lead at all, failing in supervising team members, resulting in lack of control and higher costs, bad service or failure to meet deadlines

Leadership Styles (Ao3)

Situational leadership This leadership style presumes that different leadership styles are better in different situations, and that leaders must be flexible enough to adapt their style to the situation they are in.

A good situational leader is one who can quickly change leadership styles as the situation changes. Most of us attempt to do this in our dealings with people: we try not to get angry with a new employee, and we remind forgetful people.

In essence, situational leadership is about using the right person (leader) and the right style for the right situation e.g. a crisis will call for a more authoritarian leadership whereas a laissez-faire approach can be adopted for managers with highly skilled and empowered staff.

Situational leadership suggests that managers and leaders must be able to change and adapt their style to different situations. Some factors that may affect situational leadership styles are: Culture: what type of culture exists within the organization and what are the group norms?

Organization: are there tall or flat hierarchical structures? Leader: how much trust do leaders have in their subordinates and what is their preferred (or natural) leadership style? Organization: are there tall or flat hierarchical structures? Task: to what extend are the tasks difficult, urgent or important? Subordinates: what are their level of skills, motivation and unity of the employees? How many employees are there? https://www.youtube.com/watch?v=NUGdw3S_FGE

Watch this video https://www.youtube.com/watch?v=XKUPDUDOBVo (5 minute summary)

Leadership, Management & CUEGIS The preferred leadership style depends on: Cultural styles of leadership Leader’s personal values and moral judgement Trends: Move away from autocratic toward a more democratic style Employees have a role in decision-making Knowledge and understanding of differences globally affect how managers and leaders behave in a cross-cultural situation.

Leadership, Management & CUEGIS