Business Steve - People And Organisations- Leadership And Ma

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Business Steve ­ Notes Emma Rudd BMA
People and Organisations
Leadership and Management styles
What is the Difference between Leadership and Management?
A significant feature in modern businesses is that the distinction between
management and leadership is becoming blurred.
Management ­ is the process of setting objectives and making the most efficient
use of financial, human and physical resources to achieve these objectives. Key tasks
include planning, control and coordination.
Leadership ­ is influencing others to achieve a certain aim or objective. Effective
leadership skills can help a manager to carry out their duties.
Some companies have now brought these two roles together. Major businesses
have adopted the principle of managers as leaders and place great emphasis on
developing leadership skills amongst their employees. Good leadership skills help a
manager to be successful
What do Leaders do?
Leaders or managers have a broad range of duties. Their tasks include
Deciding objectives for the organisation ­ leaders have to establish a sense of
direction for the organisation.
Providing expertise and setting standards for the organisation ­ the leaser will
have to show enthusiasm in difficult times and take a major role in solving
Canvassing Opinion ­ leaders have to draw on all the expertise within the
organisation when taking decisions.
Deciding structure ­ the leader will play a key role in determining the structure of
the organisation and in shaping the culture of the business.
What Makes a Good Leader?
Some people believe that great leaders are born this is called the trait theory.
Supporters of this theory have attempted to identify features of the personality
that one would expect to find in a great leader. Some qualities a leader should have
Being informed and knowledgeable about matters relating to the business
Having the ability to think creatively and innovatively and to solve problems.
Possessing selfmotivation and the desire to achieve great things.
Showing the ability to act quickly and decisively when necessary.
Possessing an air of authority.
Demonstrating excellent communication skills (including listening).
Styles of Leadership
Another view of leadership is that people can be taught to be good leaders through
training. There are three basic categories of leadership style they are:
Autocratic / Authoritarian
Paternalistic leadership
Democratic leadership.

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Business Steve ­ Notes Emma Rudd BMA
Authoritarian Paternalistic Democratic
Description Senior managers Dictatorial, Running a business
take all the decisions are taken on the basis of
decisions with little in the best majority decisions.
involvement of interest of
junior employees. employees
Key Features Sets objectives Explains Encourages
Allocates tasks decisions employees to
Leader retains Ensures take part in
control employees decision making
throughout social and Uses
leisure needs delegation.…read more

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Business Steve ­ Notes Emma Rudd BMA
Paternalistic Leadership
Paternalistic leadership is autocratic in approach but leaders take decisions in what
they consider to be the best interests of the workforce. In these circumstances
leaders will explain decisions and may engage in a limited amount of delegation.
However paternalistic leaders are unlikely to delegate extensively or to empower
their workforces.…read more

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Business Steve ­ Notes Emma Rudd BMA
The average employee dislikes work Working Is as natural as play or rest
and will avoid it if possible. for the average employee
People must be controlled and The typical worker does not have an
directed and punished is necessary to in built dislike of work
put in a real effort at work
The typical worker wants to avoid Other means exist to motivate
responsibility and has little ambition.…read more


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