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leadership
CHAPTER 6
Chapter Overview
Examine
The roles of leaders and managers within businesses and how they differ
The functions of management
The qualities of a good leader and the different leadership styles that exist
The nature of emotional intelligence and Goleman’s four competencies
Leaders and 6.1
managers
Managers
What is a manager?
A manger is someone who gets things done
Tend to focus on the present and short term and are responsible for
implementing decisions of others
They manage but also follow
Their role is to maintain things the way they are currently within the business
Leaders
What is a leader?
Leaders are followed
They have a visions and a clear sense of where they are taking the business
Willing to go against business norms (shake things up)
They motivate others to act in particular ways
Often brought in to make significant changes to the business
Key terms
What is management?
Four basic functions of management:
Planning
Organizing
Directing
Controlling
Case Study: Telenor and its Indian operations
1. Explain the difference between the roles of the leader of Telenor (the
Chief Executive) and the company’s managers.
The leader should understand where s/he wants to take the business, provide a
clear direction, and motivate and inspire others.
Managers should master the art of getting things done through other people—
involving planning, organizing, directing, and controlling.
2. Evaluate which of the functions of management will be most important if
Telenor’s managers are to respond effectively to the opportunities
resulting from its successful bids for new licenses.
Plan how to raise finance and provide services
Organize and assemble necessary resources
Direct large number of employees to ensure effective communications
Control is vital once service is provided to ensure demands/conditions are met
Planning
Management must assemble the resources that they need to carry out
actions that they set out in the plan
Role Category
1. Figurehead
2. Leader Interpersonal management
3. Liaison
4. Monitor
5. Disseminator Informational management
6. Spokesperson
7. Entrepreneur Decisional management.
8. Disturbance Handler This category of
9. Resource Allocator management role uses
10. Negotiator information to take decisions
Interpersonal Management
The managerial roles in this category involve providing information and ideas.
Figureheads – As a manager, you have social, ceremonial and legal
responsibilities. You're expected to be a source of inspiration. People look
up to you as a person with authority, and as a figurehead.
Leaders – This is where you provide leadership for your team, develop
junior employees; and it's where you manage the performance and
responsibilities of everyone in the group.
Liaison – Managers must communicate with internal and external
contacts. You need to be able to network effectively on behalf of your
organization.
Informational Management
Explain why planning has been an important function for Garuda Indonesia’s
managers over recent years.
The company is growing quickly (from 92 aircraft in 2013 to 194 in 2015). It will
have had to plan the routes, financing of expansion, and employment
recruitment. The market is changing significantly and the company has to plan
responses (open-sky policy, etc.)
This expansion represents a major challenge for Garuda Indonesia’s managers.
Evaluate which of Mintzberg’s roles would be most important in the management
of the company’s growth.
Interpersonal roles would be vital to provide inspiration, direction, and effective
communication. Informational roles will play a part in collecting and evaluating
the data. Decisional roles to deal with unexpected developments and
negotiations.
Mintzberg’s Conclusion
In sports, the team is decisive; the team with the best players usually wins.
And sports are fun. So what qualifies a manager to be the perfect coach
for his team?
Leadership 6.3
The Purpose of Leadership
Have authority over junior employees and plan and monitor short-medium
term strategies for the business
Case Study: Trina Solar Appoints Non-
Executive Director
Mr. Chow has been a manager and a director at IBM. Explain the main
differences between those two roles.
Managers carry out a range of duties (i.e. planning, organizing, motivating,
controlling), have authority over junior employees, and plan and monitor short
to medium term strategies.
Directors are proposed by the CEO and take up the role if they are
elected by shareholders. This role is largely strategic (i.e. set and oversee the
achievement of long-term goals).
Case Study: Trina Solar Appoints Non-
Executive Director
Discuss the key benefits that you think Trina Solar Ltd will gain as a result of Mr.
Chow’s appointment.
Mr. Chow has a wide range of experience in various senior roles which
helped him develop a range of skills. This experience will help him guide and
advise the board of directors
Chow’s work in different roles will have given him a large number of
contacts in the tech industry. He may be able to pass on these connections
to be used by directors and managers
The company will gain benefits from publicizing this appointment. This may
persuade investors and suppliers to work with Trina Solar.
He offers experience in making strategic decisions which will have a major
influence on future performance of the company.
Supervisors
Has the general view of a good leader changed over recent years?
Discuss the possible reasons why these experienced and successful CEOs
have different views on the qualities needed for a successful leader.
Because of their different backgrounds and experiences.
Leaders have different views on their roles (i.e. believing possessing
interpersonal skills and humor are vital components vs guidance toward
strong financial performances).
Leaders have different views on what is the key component (shaped by
their character and experiences).
Ted Talk: Roselinde Torres: What it
takes to be a great leader
Many writers argue: If you have good leadership traits you will be a good
leader
Considers the extent leaders “listen to” or “tell to” their staff
Classified as:
Autocratic
Democratic
Laissez-faire
Focuses on how a leader behaves; trying to identify the right way of leading rather than
what a leader is like as a person.
Considers the extent leaders “listen to” or “tell to” their staff
Classified as:
Autocratic
Democratic
Laissez-faire
Possible to argue that the best managers are those that adopt multiple
styles depending on the circumstances
Film and edit a video that shows the three management styles discussed
and explains when they would be most appropriately employed.
Douglas McGregor’s Theory X and
Theory Y
Believe:
Workers seek satisfaction from work, not just a paycheck
Workers possess knowledge, creativity, and imagination
Workers willingly commit themselves to organizational objectives
Poor performance by employees is due to repetitive and monotonous work or
poor management
Employees wish to contribute to decision-making
Theory Y
Business culture
(Theory Y) is the attitudes, values and beliefs that normally exist within an
organization are important
Communication
Is the exchange of information or ideas between two or more parties
Theory Y shows an increase in communication within the business
Leadership Styles Review
4. The owner of a small electronic store starts every day by telling the three employees
what has to be done and how to do it.
5. A construction crew has worked together for the last four years with very little
change-over in personnel. They always vote whenever a decision has to be made
on how to proceed with the project.
6. A new squad leader is just assigned overseas. She immediately calls her squad
together for a meeting and asks for their ideas and input on an upcoming field
training exercise.
7. There are seven people on a special project team and each individual is from a
different department. Although a leader was elected, for a decision to pass it must
have the approval of each individual.
Leadership Styles Activity
1. Think of a time when you or another leader used the autocratic style of leadership.
2. Think of a time when you or another leader used the democratic style of leadership.
3. Think of a time when you or another leader used the laissez-faire style of leadership.
Emotional 6.5
intelligence
Emotional Intelligence (EQ)