Unit 2- Managers, Leadership and decision making
What is leadership:
A relationship through which one person influences the behaviour or actions of other people.
Two different leadership perspectives:
Traditional view:
- Command and control
- Decision making
Modern view:
- Inspiring employees
- Creating a vision
- Shaping core values and culture
- Building effective teams
Why leadership is increasingly important in business:
- Changing organisational structure-
- Flatter & greater delegation
- Teamwork & focus on quality assurance
- Coaching, support & empowerment
- Rapid change-
- Change is becoming a constant feature of business life
- Soft skills of leadership & management increasingly important
Role of strategic leadership:
- Strategic leaders are the people who influence or control the corporate strategy of a
business
- Often personally identified with the strategy
- Occurs both in small firms and large corporations
Leaders- inspire people, build relationships, take risks, have followers
Managers- enact the plan, use their authority, manage risk, have subordinates
Factors affecting leadership style:
- Personal value systems
- Manager's experience
- Confidence in subordinates
- Feelings of security
- Nature of the business problems
- Type of organisation
- Effectiveness of teams and groups
- Skills and experience of subordinates
- Pressure
Autocratic leaders- make decisions without consulting others
, Paternalistic leaders- consults and then makes the best decision to suit everyone
Democratic leaders- make final decision but includes others in the process
Laissez-faire leaders- allow team members freedom if they do their work and meet deadlines
Tannenbaum Schmidt continuum:
Blake & Mouton’s leadership grid:
What is leadership:
A relationship through which one person influences the behaviour or actions of other people.
Two different leadership perspectives:
Traditional view:
- Command and control
- Decision making
Modern view:
- Inspiring employees
- Creating a vision
- Shaping core values and culture
- Building effective teams
Why leadership is increasingly important in business:
- Changing organisational structure-
- Flatter & greater delegation
- Teamwork & focus on quality assurance
- Coaching, support & empowerment
- Rapid change-
- Change is becoming a constant feature of business life
- Soft skills of leadership & management increasingly important
Role of strategic leadership:
- Strategic leaders are the people who influence or control the corporate strategy of a
business
- Often personally identified with the strategy
- Occurs both in small firms and large corporations
Leaders- inspire people, build relationships, take risks, have followers
Managers- enact the plan, use their authority, manage risk, have subordinates
Factors affecting leadership style:
- Personal value systems
- Manager's experience
- Confidence in subordinates
- Feelings of security
- Nature of the business problems
- Type of organisation
- Effectiveness of teams and groups
- Skills and experience of subordinates
- Pressure
Autocratic leaders- make decisions without consulting others
, Paternalistic leaders- consults and then makes the best decision to suit everyone
Democratic leaders- make final decision but includes others in the process
Laissez-faire leaders- allow team members freedom if they do their work and meet deadlines
Tannenbaum Schmidt continuum:
Blake & Mouton’s leadership grid:
