2.3 Leadership and management Flashcards
What is an ‘organization’?
Resource Inputs: People Money Materials Technology Information
Product Outputs:
Finished goods and services
The organization creates value by turning resources into outputs through work activities.
Manager
A manager is a person who is responsible for setting objectives, organizing resources and motivating staff so that the organization’s aims and objectives are met.
Manager
A manager is a person who is responsible for setting objectives, organizing resources and motivating staff so that the organization’s aims and objectives are met.
Manager does coordinating, organizing, commanding, planning and controlling.
Why is important to have good managers?
Give guidance and advice to employees they manage (their subordinates)
They motivate employees
Inspire employees they manage to achieve their capabilities (Empower employees)
Manage resources efficiently and keep costs under control
Increase the profitability of the business
Managerial Skills
Conceptual skills—The ability to think analytically and achieve integrative problem solving
Human skills-The ability to work well in cooperation with other persons; emotional intelligence
Technical skills—The ability to apply expertise and perform a special task with proficiency
Why clear and effective management is important?
It gives a sense of control and direction
Coordination between departments and teams
Organisation of resources, leading to high output and sales
Wastage reduction - resource optimization - resource utilization
Leadership
Leadership is a process of social influence, which maximizes which maximizes the efforts of others toward the achievement of a goal.
Leadership Styles
Leadership styles are different approaches to dealing with people and making decisions when in a position of authority.
Autocratic - makes all decisions and gives fixed orders
Laissez-Faire - gives employees less fixed orders and limited input, employees have more decision making
Democratic - Shared decision making with employees
Paternalistic - A style that involves an authority who is focused on controlling, protecting employees and keeping them happy.
3 advantages and 3
disadvantages of autocratic
Advantages
It ensures the leader has complete control of the operations
It speeds up the business decision-making process
It provides workers with a clear sense of direction and clarity over their roles
Disadvantages:
Creativity and innovation are supressed and discouraged as employees are not involved in the decision-making process
Similarly, it does not develop internal talents of the workforce
It demotivates employees as their opinions are not valued
3 advantages and 3
disadvantages of paternalistic
Advantages
It can motivate staff as they feel guided and that their interests are protected
It can ensure harmonious relationships at work as the leader genuinely values the staff
It promotes loyalty to the leader and the organization It can create a sense of belonging, helping to meet workers’ safety and social needs
Disadvantages
Decision-making is still centralized, so workers can become dissatisfied if their views are ignored
Communication is mainly top-down, from senior management
Paternalistic leaders may not always make the best decisions, which can lead to conflict and disagreement.
3 advantages and 3
disadvantages of democratic
Advantages
Workers feel valued as they are actively encouraged to participate in the decision-making process
Workers feel motivated as they are empowered
The most is made out of the skills, experiences and creativity of the employees
Disadvantages
It may result in disagreement and disharmony; it is not realistic to please everyone, all of the time
It is ineffective when critical decisions need to be made quickly, and sometimes workers just need to do what they are told to get their jobs done
It can be time consuming, especially if managers do not have the time to consult everyone, so decision-making is often delayed
3 advantages and 3
disadvantages of Laissez-faire
Advantages
A laissez-faire leadership style can be motivational as employees have freedom to carry out tasks in any effective way they wish
It also encourages individuals to be creative, and thus helps the firm become more innovative
It helps to develop an intrapreneurial culture in the organization, helping the business to gain competitive advantages
Disadvantages
Monitoring and coordination of business operations are made more difficult and time-consuming, especially as there is an absence of managerial control
Slack (complacency) can arise due to a very minimal level of supervision involved
It does not suit all workers as they may want or prefer clear guidance and direction; having a large amount of freedom to make decisions can worry some workers.
Individualism vs collectivism
Individualism vs. collectivism – if a society tends to value individualism, people
are expected to take care of themselves and their immediate family.
● If collectivist, people value a more extended role for themselves and family
that includes relatives and other people close to them.
● Another way to think about it is that individualist means ‘I’ societies and
collectivist means ‘we’ societies.
