Examining the Crucial Interplay Between Leadership

Introduction

Leadership and management are some of the major success factors in, conglomerates for developing efficient planning and to meet the organisational vision and mission as well as maximise the organisational performance to secure future sustainable development (Dagnino and Picone, 2013). The aim of the study is to analyse the role of leaders and the managers in the organisation as well as evaluate the relationship between the leaders and the strategic management. Moreover, through this study, it is possible to understand the transactional, situational and transformational leadership styles and their impacts on the organisational strategic planning.

Task 1. Relationship between strategic management and leadership
1.1 Analysing the concept of managers as effective leaders

Management refers to a process of focusing a pool of resources towards the achievement of a desired goal. Akrina (2011) points out that management is the art of getting things done through and with people in formally organized groups. Wilkinson (2013) further defines management as the process of reaching organizational goals by working with and through other people and other organizational resources. It refers to the process of bringing together resources, including human resources, financial resources as well as physical resources and others available to achieve a desired goal.

While most managers are only concerned about the efficiency of the output of a process, most leaders are more concerned about the team and the ability of the whole team to be able to achieve a goal together (Ryan, 2016), as good managers can only be good leaders when they focus as much energy to the employees as they do towards the achievement of their goals. This is effectively described by John Adair action centred leadership. According to Chapman (2012) John Adair action centred leadership provides a great blueprint for leadership and the management of any team, group or organization. It highlights leaders need to have command on the three main areas of the action centred leadership model including: Achievement of Task management of a team or group as well as managing individuals. Through this type of leadership managers can effectively become good leaders.

The managers in an organisation focuses on tasks provided by the leader and the managers aim at developing planning, budgeting, organising, controlling and coordinating with the staff members at the workplace (Heathfield, 2018). Further according to the Telegraph (2017) managers are crucial for consolidation of the workplace. The managers are the main stakeholders to develop effective planning to manage the people at the workplace for successful utilisation of organisational resources and capabilities and operating time efficiently to meet the organisational vision and mission, through problem solving skills and decision-making practice, the managers contribute well in achieving success (Telegraph, 2017).

1.2 Analysing the concept of leaders as effective managers

Leadership is the process of developing organisational vision, missions and influence and inspiring the people at the workplace to achieving success in near future. Ward (2019) defines leadership as the art of motivating a group of people to act towards achieving a common goal. Kruse (2013) on the other hand agrees that leadership is indeed a process of social influence towards the maximization of the efforts by others in the achievement of a common goal. For an individual to be a leader therefore they have to be able to command a certain level of voluntary influence among their followers and managers can be good leaders through developing an interpersonal relationship with their employees and therefore getting to understand them better including some of their motivating and influencing factors.

The leaders as effective managers focus on time management, continuous innovation and encouraging the employee’s creativity, recognising the achievements of the employees, motivating them with rewards and performance related pay, managing health and safety at work, enhancing communication and sharing goals and vision of the company with the staff, .

Figure 1: Showing the Contrast between Leading and Managing Source: Nayar (2013)

A wide range of differences contrasts leadership and management including the different areas of focus, the ultimate result required the means of association with other employees as well as the reaction to different decision-making factors. However, as highlighted in the diagram key factors highlight the similarities in the two processes of leading which all point

back to the achievement of an organizations goals and objectives. Some of these key factors include: motivation of others, mobilization of resources and execution of planned company goals.

1.3 Evaluating the balance needed between the demands of strategic management and leadership

There is a strong link between strategic management and the leadership style, this include where the leaders try to make a productive environment, build up employee growth and communication and achieve ultimate organisational success, where the strategic management planning can be developed with proper analysis of the external and internal business environment as well as acknowledging the threats and opportunity in operating in the market. King (2018) highlights that strategic management is the key route with which an organization or company is capable of attaining their desired goals and objectives. This includes the strategic management of the human resource which is an essential component of leadership.

Eventually in being able to deliver and implement an effective strategic management plan the managers/leaders will need to unequivocally involve the employees as such the elements of leadership are vital (Ward, 2019). Leadership has effective impacts on the strategic management planning for developing positive engagements with maintaining empowerment, transparency, accountability and inspiration for the employees which in turn helps to develop effective strategic planning.

In addition the most vital component for the success of a strategic plan is the leadership that ensures its success. According to Jabbar and Hussein (2017), any strategy developed by an organization, regardless of its purpose weather production or management must have adequate leadership that is in line with its achievement. The respective leadership style in addition enhances management of all the resources and their consolidation into the required output of the strategy.

Task 2. Leadership qualities supporting organisational mission and values
2.1 Evaluating the role of the leader in the creation of an organisation’s vision, mission and values

It is the role of the leader to create clear mission and visions as well as develop an effective organization culture to enhance proper values within the organisation so that the people can focus on a specific goal and perform better towards achieving success. According to Gray (2012) the mission and vision of an organization are quite different and the leader is at the centre of both their development. The leader develops an appropriate vision and shares the vision with the staff members to engage them and provide them with a clear path to achieve organisational success. Afterwards the organization strategic management develops a mission statement that defines the procedures of being able to attain a leader’s vision and therefore realize the purpose of an organization (Fuler and Green, 2005).

An organizations vision also contributes in the development of corresponding values that should be adhered to for their eventual realization. Fuler and Green (2005) further highlight that based on the organization vision defined by the leader, a mission statement is developed after which an organization culture that defines different values and beliefs governing the organization towards the achievement of its mission statement is then developed. As such the leader also focuses on setting proper directions for the staff members and increasing expectations of the staff through developing mission, vision and value for all the stakeholders.

2.2 Analysing how personal energy, self- belief and responsibility impact leadership styles and their relative success

Positive energy, self-belief, and sense of responsibility are some of the necessary and key characteristics of a leader. According to Masa'deh, Obeidat and Tarhini (2016) different leadership styles are influenced by different characteristics of the leader; the more dominant characteristics will eventually determine the leadership style adopted by the leader. Personal energy, self-belief and responsibility are all qualities of a determined leader and as such they are more likely to develop strong teams that are well motivated to take on everyday tasks within an organization eventually impacting the overall success of an organization, as these are helpful for achieving organisational success.

The characteristics highlight a charismatic leader as pointed out by Donate and De Pablo (2015). The leaders show positivity and encourage others to perform better with full potential and utilising the organisational resources for achieving success. In addition to these, self-belief is helpful for making the best possible decision for the company with proper cooperation and communication with the staff members, which in turn improves the management standard, inspiration of the employees, and creating a well-managed environment at the workplace. This is equally an effective leadership structure and character especially within the current age of increased competition. Some of the successful leaders such as Jeff Bezos of Amazon and Mark Zuckerburg of Facebook exhibit charismatic leadership which highlight self belief and confidence. These qualities are equally transferred to the employees who take it upon themselves to achieve various tasks and thus impact the development of the respective organizations.

2.3 Addressing how leadership can engender empowerment and trust and how ethical stance affects that and the overall impact on organisational practice

One of the major responsibilities of a leader, is to ensure that all the employees within an organization and all their followers are empowered enough to take up their duty and participate towards the realization of the organization’s objectives. By practicing team leadership which is described by (Spreitzer, De Janasz and Quinn, 1999) as a type of leadership where all the individuals within a group are considered as equals and as such, all their opinions are of significance to the development of the organization which enhances their sense of feeling valued. By allowing employees equal chances to contribute towards key issues and decision-making processes, the leader fosters a mindset of empowerment that enhances the confidence of these individuals making them feel like they matter in the organization.

Gold and Thrope (2016) highlight that it is the responsibility of the leader at the workplace to build trust and loyalty among the staff members as well as empower them in the organisational decision-making practice so that it is possible to gather different opinions and views from different staff to make the best solutions for the company’s success. The leader in this regard develops cooperative working practices and proper organisational culture with communication and collaboration, making it possible to develop trust among the staff members. On the other hand, seeking the feedback of the employees regarding a decision as well as open discussion are helpful for empowering the employees in the organisation which also increases the feeling of responsibility and capabilities of the employees to perform better for achieving success.

The business ethical stance highlighted by Gill et al. (2010), includes the treatment of all individuals, regardless of the rank or position with respect and dignity which also double up as human rights. Ethics refers to the moral principles which govern individual behaviour and enhances positivity in undertaking of different tasks and activities (Singer, 2019) as such leaders taking up ethical leadership exhibit high ethical values which in turn impact the behaviour of their followers. This is in line with individual empowerment and trust building, given that individuals who are respected and their dignity upheld, regardless of the circumstances, eventually become empowered and highly motivated and develop a bond of trust which enhances their performance in the organization and eventually impact the organization significantly in terms of growth and development.

Task 3. Different leadership strategies and understand their impact on organisational direction

3.1 Evaluating transformational leadership and the impact on organisational strategy

The transformational leadership includes continuous influence, inspirational motivation, and intellectual simulation, where the leaders develop an effective team with communication and cooperation for building a strong corporate relationship for greater achievement.

Figure 2:Impact of Transformational Leadership

The figure 2 diagram highlights the various ways with which transformational leadership can be able to impact organizational strategies and as such, enhance significant development including providing an inspiration to the followers and employees of an organization, setting high standards that enable continuous improvement, leading by example and a wide range of other ways that are influenced by the different characteristics of transformational leadership (Deichmann and Stam, 2015)

Through transformational leadership, it is possible to achieve the organisational strategic planning. White (2018) points out that this is due to the fact that it helps to improve employee’s engagement where one-on-one communication with all the staff as well as organizational group discussions helps the leaders to build strong relationships and encourages the staff towards achieving success. Appreciating each other, creating a suitable environment to work in and maintaining transparency and accountability with proper cooperation and communication are beneficial under the transformational leadership style, which in turn helps to achieve the strategic planning of the companies (Burkus, 2010).

3.2 Evaluating transactional leadership and the impact on organisational strategy

Transactional leadership focuses on the carrot and stick approach towards the employees for improving their performance so that the organisational efficiency can be developed well. This leadership is totally linked with rewards and transitions, where the leaders motivate the staff with monetary and non-monetary rewards and achievements.

Figure 3: Shows the Functions of Transactional Leadership Source Deichmann and Stam, 2015

The figure 3 illustrates some of the functions of transactional leadership towards the enhancement of organization strategy. Through transactional leadership style, it is possible to enhance organisational performance as a whole and the companies can achieve their long-term goal by leading the employees in the long run with proper reward strategies achievements and maximising their individual interest.

3.3 Evaluating situational leadership and the impact on organisational strategy

Situational leadership refers to the situation, when the leaders try to direct the people and provide a supportive environment for meeting the organisational pre-specified goals and objectives, coaching, supporting, delegating, and directing are efficient to lead the people towards achieving success (Holten and Brenner, 2015).

The figure 4 diagram illustrates the different processes that are included in situational leadership. Given that the objectives are different in each and every situation, leaders direct employees towards required working points, coach them on the different requirements needed after which they provide support in further enhancing the employees understanding of various concepts. Afterwards different sections can be delegated to different people to enhance efficiency (Shoemaker, Krupp and Howland, 2013).

The situational leadership style in this regard is beneficial for developing organisational strategy through encouraging the employees with supportive behaviours, improving their skill and abilities and motivating them continuously. Productivity of the organisation can be enhanced through implementing situational leadership, where the leaders can motivate and direct the people with effective suggestion to enhance the organisational overall performance.

Conclusion

It can be evaluated that; there are different variants of leadership styles and management practices that are effective for developing effective strategic planning as well as for managing the people and processes involved to achieve strategic goals. Appropriate leadership and management will provide a positive opportunity to the organisation, to achieve success by fulfilling the vision and mission of the company, through developing effective planning by successful utilisation of the organisational resources and capabilities.

Task 1 explores the two entities characteristics and outcomes of management and leadership but also shows that to best achieve the strategic end goals, it is advantageous and best practice for both entities to adopt and follow several of each entity’s characteristics.

In task 2, it becomes clear that a good leader will produce a realistic but inspiring vision that the strategic management will follow when designing and producing the mission statement for all company employees to follow. A good leader will also be successful by showing an abundance of positive personal energy, self-belief, showing they are responsible, engendering empowerment, showing trust and practicing a high moral stance.

In task 3, it explores the tree different types of leadership styles and the appropriate times to use each style within a forever evolving company environment in order to achieve the required company employee output. All three styles have their own advantages and disadvantages depending on the current company environment for each to be used in and I also believe that the transformational and situational leadership styles are similar in their characteristics.

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