Unit 2 (Managers, Leadership & Decision making) Flashcards
What is the definition of leadership?
The action of leading a group of people or an organisation. (to show direction)
What is the definition of management/a manager
The process of dealing with or controlling things of people, the responsibility for and control of a company or organisation.
What is an Autocratic leadership?
Where management make decisions with little or no input from employees.
List some features of an autocratic leadership.
- Leaders are dominant and bossy.
- No communication with subordinates.
- Works well with low skilled staff.
- Similar to centralisation (managers making all decisions)
- Managers quickly establish rules + policies to be followed
What are some benefits of an autocratic leadership?
- Clear chain of command in hierarchy
- Works well in environments where clear direction is needed
- Quick decision making
- Useful in stressful/life or death situations
What are some drawbacks of an autocratic leadership?
- Negative impact on employee motivation
- Ignores creative solutions to problems employees may have
- Relies heavily on competence of leader
- Creates a culture of dependency
What is a democratic leadership?
Allows employees to help in the decision-making process.
List some features of a democratic leadership?
- Employees have more participation
- Most effective style of leadership (can lead to higher degree of participation)
- Suitable for companies with lots of creative employees
What’s an example of a company that uses an autocratic style of leadership and why?
McDonald’s uses an autocratic style of leadership as it is a franchise, therefore needs full control to be able to run.
What are some benefits of a democratic leadership?
- Employees motivated as they feel valued
- Encourages employees to grow + develop into their roles
- Suitable in situations where employees are skilled
- Business benefits from employee ideas
What are some drawbacks of a democratic leadership?
- Decision making slower
- Depends on skills & knowledge of employees
- Staff may be unreliable
What is paternalistic leadership?
Makes the right decisions for employees their responsible for.
List some features of a paternalistic leadership.
- Dominant authority figure who expects loyalty and trust from their employees
- Takes staff welfare into account
What are some benefits of a paternalistic leadership?
- Loyalty from employees, feel cared for
- Low rate of employee turnover, reduces recruitment costs
- Effective in environments with lots of low skilled workers who need direction and guidance
What are some drawbacks of a paternalistic leadership?
- if wrong decision made, employees demotivated .. productivity decrease
- Not using skills and knowledge of employees
- Still dictatorial style of leadership
What is Laissez-Faire style of leadership?
Employees can carry out activities and make decisions freely.
List some features of Laissez-Faire leadership?
- Relaxed environment + little direction and guidelines
- Leader is still ultimately in charge for the decisions made
