Ch 10 Management and leadership

Question 1

What are the functions of management?

Answer 1

• Setting objectives and planning: strategic -> tactical -> operational
• Organising resources to meet objectives: clear division of tasks
• Directing and motivating staff
• Coordinating activities: goals of each branch, division and region
• Controlling and measuring performance against target: take actions if under performance occur, on target -> positive feedback

Question 2

What are the 3 managerial roles according to Mintzberg?

Answer 2

• Interpersonal roles: dealing with and motivating staff at all levels of the organisation
• Informational roles: acting as a source, receiver, transmitter of info
• Decisional roles: taking decisions and allocating resources to meet objectives

Question 3

Define leadership

Answer 3

The art of motivating a group of people towards achieving a common objective

Question 4

Why is leadership important?

Answer 4

• Clear vision: understanding of the organisational direction and allows staff to clearly understand their roles and responsibilities
• Motivation
• Effective planning

Question 5

Qualities of a good leader

Answer 5

• Desire to succeed and self confidence
• Able to think beyond the obvious - to be creative and encourage others to do the same
• Multi talented so they can understand discussions about a wide range of issues affecting their business
• Incisive mind that enables the heart of the issue to be identified rather than the unnecessary details

Question 6

What do directors do?

Answer 6

• Delegate within the department
• Assisting in the recruitment of senior staff
• Make strategic decisions that are based on what the shareholders want
• Coordinate all departments

Question 7

What do managers do?

Answer 7

Direct, motivate and discipline staff within their department and make tactical decisions based on what the directors want

Question 8

What do supervisors do?

Answer 8

• Appointed by managers/directors to help staff achieve objectives in a cooperative spirit
• Responsible for leading a team of people working towards pre-set goals

Question 9

What do workers’ representatives do?

Answer 9

Elected by workers or as trade union officials in order to discuss areas of common concerns with managers

Question 10

What are the 4 leadership styles?

Answer 10

• Autocratic: keeps all decision making at the centre of the organisation
• Democratic: promotes the active participation of workers in taking decisions
• Paternalistic: based on the approach that managers are in better positions to know what’s best for the organisation
• Laissez faire: leaves much of the decision making to the workforce

Question 11

Main features of autocratic leadership style

Answer 11

• Leader takes all decisions
• Gives little info to staff
• Supervises workers closely
• Only one way communication

Question 12

Drawbacks of autocratic leadership style

Answer 12

• Demotivates staff who want to contribute

- Decisions do not benefit from staff input

Question 13

Possible applications of autocratic leadership style

Answer 13

• Defense force and police where quick decisions are needed

- Emergency situations

Question 14

Main features of democratic leadership style

Answer 14

• Participation encouraged
• 2 way communication, allows feedback from staff
• Workers given info about business to allow full staff involvement

Question 15

Drawbacks of democratic leadership style

Answer 15

• Consultation with staff can be time consuming

- Disagreements between staff/manager

Question 16

Possible applications of democratic leadership style

Answer 16

• An experienced and flexible workforce

- In situations that demand a new way of thinking/ideas

Question 17

Main features of paternalistic leadership style

Answer 17

• Managers do what they think is best for the workers
• Some consultation might take place but final decisions are taken by managers
• Managers want workers to be happy in their jobs

Question 18

Drawbacks of paternalistic leadership style

Answer 18

Some workers are dissatisfied with the attempt to consult while not having any real power or influence

Question 19

Possible applications of paternalistic leadership style

Answer 19

When workers are young and inexperienced => genuine concern for their interests but feel that managers know best

Question 20

Main features of laissez-faire leadership style

Answer 20

Managers establish very broad criteria or limits for the staff to work within

Question 21

Drawbacks of laissez-faire leadership style

Answer 21

• Workers may not appreciate the lack of structure and direction in their work
• Lack of feedback as managers will not be closely monitoring progress
  => demotivating

Question 22

Possible applications of laissez-faire leadership style

Answer 22

Where workers are experts and therefore arrive at solutions when not constrained by narrow rules or management control

Question 23

What are the 2 components of McGregor’s theory of management?

Answer 23

• Theory X: authoritarian management style

- Theory Y: participative management style

Question 24

What does the Theory X say?

Answer 24

• The average person dislikes work and will avoid it when they can
• Most people must be forced with the threat of punishment to work towards to objectives
• Average person prefers to be directed, avoid responsibility and is relatively unambitious, wants security above all
  => tight control, no development, produces limited and depressed culture

Question 25

What does Theory Y say?

Answer 25

• Effort in work is as natural as work and play
• People will apply self control and self dedication in the pursuit of organisational obj, without external control or threat of punishment
• Commitment to objectives is a function of rewards associated with their achievement
• Accept and seek responsibility
• Capacity to use a high degree of imagination, ingenuity and creativity in solving problems
  => liberating and developmental control, achievement and continuous improvement achieved by enabling, empowering and giving responsibility

Question 26

What is emotional intelligence?

Answer 26

The ability to understand their own emotions, and those of the people they work with. Refers to how we handle ourselves and our relationships

Question 27

What’s Goleman’s four competencies of emotional intelligence?

Answer 27

self-awareness, social awareness, self-management and

social skills

Question 28

Self awareness

Answer 28

• Knowing what we feel

- Having realistic view of our own abilities and having self confidence in our abilities

Question 29

Self management

Answer 29

• Being able to recover quickly from stress
• Being trustworthy and conscientious
• Showing initiative and self control

Question 30

Social awareness

Answer 30

• Sensing what others are feeling

- Empathy

Question 31

What are formal and informal leadership?

Answer 31

• Formal leader is a member of organization who has given authority by virtue of his position to influence other members of organization to achieve organizational goals. - An informal leader has no formal organizational authority to influence others but possesses special kills and talent to influence and lead other members of organization