report power and leadership

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UNIVERSITI SAINS MALAYSIA SCHOOL OF SOCIAL SCIENCES MASTER OF PUBLIC ADMINISTRATION SPA 503 ORGANIZATIONAL MANAGEMENT DR. RADZAK ABAQ SAM POWER AND LEADERSHIP IN ORGANIZATIONS By: 1

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Page 1: Report Power and Leadership

UNIVERSITI SAINS MALAYSIA

SCHOOL OF SOCIAL SCIENCES

MASTER OF PUBLIC ADMINISTRATION

SPA 503 ORGANIZATIONAL MANAGEMENT

DR. RADZAK ABAQ SAM

POWER AND LEADERSHIP IN ORGANIZATIONS

By:

NOOR RIZAWATI BINTI NASIR (SSM0090/10)

HASNIZA BINTI MOHD HADZIR (SSM0041/10)

FARAH FIRDAUS BINTI MOHD SHARIFF (SSM0032/10)

MUHAMAD IZZWANDY BIN MAMAT (P-SM0081/09)

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NOOR RIZAWATI BINTI NASIR (SSM0090/10)

POWER

What is power?

Power is the engine that drives the ability to influence the people we manage. It is

considered as one of the most important part of leadership or management. In order to influence

the people we manage, one must possess power. Basically, power is the ability of one person (the

agent) influencing the behaviour and/or attitudes of others (the target). Thus, power is not limited

to leaders and managers only. It can be anyone that possesses the ability to influence people

around him or her. This ability of influencing people is referred as “power”.

Different scholars defined “power” differently whereby Kreitner, R (1992) defined power

is “the ability to marshal the human, informational and material resources to get something

done”. Power affects organizational members in the following three areas; decisions, behavior

and situations. Behaviorally, Olmstead (2000) defined power as the existence of an influence

pattern in the relationships between persons. In more practical way of defining Power is that

power is the capacity that A has to influence the behavior of B so that B acts in accordance with

A’s wishes.

According to Olmstead (2000) there are five sources or bases of a leader’s power come

from distinctly different sources. Below are the five sources of power;

1. Reward Power

Reward power can be defined as the belief of subordinates that they will be rewarded,

either immediately or eventually, for complying with attempts to influence them.

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- This type of power or influence is created when a leader able to offer the subordinates

any form of rewards due to commitment of completing the given tasks. Rewards can be

of anything even from the smallest things to the most valuable things.

- But it does not mean that reward can be effective most of the time, thus it is important to

carefully used this type of power so that it will not become a custom whereas without a

reward the employees will become refuse to complete their task.

- Reward can only be effective if the reward appeals to the employees. Particularly, there is

no point offering ice cream as a reward to somebody who likes chocolates. This is

because they will not view ice cream as a reward, so there is no incentive to complete the

task. Subsequently, the employees have to believe that the leader will give them (or

arrange for them to receive) the reward promised once the task is completed by them.

Lastly, the reward should be proportionate to the task the employee has to complete. For

example it would be disproportionate to reward an employee with a promotion for

making a cup of tea. Similarly an employee would feel underrated, if rewarded with a

RM 5 gift voucher after they spent a year of doing their managers job without an

increment.

- Generally, reward should not be imposed regularly, whereas the employees should

always realize that their duties are to complete the task and it is the normal part of their

role. All employees have their own responsibility to obey the contractual obligation to

complete the task given and reward is already given to them in the form of salary for

every month. By giving award regularly also will eventually reduce the impact of a

reward initially had on the employees. The employees may soon become enervate of the

reward.

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2. Coercive Power

Coercive power is the belief that non-compliance with influence attempts will result in

punishment.

- This type of power is the opposite of reward power, in which it based on the leader

having control over what happens if the employees do not act as required and do not

complete their task as expected by the leader. A penalty will be imposed to those who do

not obey the direction given in advance.

- Penalty can be in any form especially forms of threat such as the threat of preventing

promotion or transfer of a subordinate for poor performance, the threat of non-payment,

the threat of physical injury etc.

- This type of power also requires the employees to believe that a leader has the ability and

the authority to impose stated penalty. The penalty should also be something that the

employees do not want it to be imposed to them.

- Regardless of implementing penalty to the non-obedient employees, a leader need to

choose carefully forms of penalty to be imposed so that it will not break the existing rules

of law or being the subject of employment tribunal.

- The penalty also should be proportionate to the action not completed by the follower just

as in the reward power. For instance, it would be disproportionate to fire an employee

because she or he reached office a bit late than it supposed to. That particular employee

might have her or his own reason for coming a bit late than usual. By giving penalty to

the employee for the slightest mistake that accidently done, can be the de-motivating

impact to the employees.

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- A leader who do not used this type of power carefully, will result to discontented

employees, thus the employees can be negative and will reduce the motivation level and

might ask for resignation. The employees may also adopt the culture of “work to rule”

where they refuse to do other task which are not stated in their contract.

2. Expert Power

Expert power is a type of power referring to an individual is judged to possess needed

knowledge, information, or skills.

- In this type of power the employees believe that the leader has the expert

knowledge and skills that are relevant to the organization they are in and

to the task the employees need to complete. Often an experienced member of the

team or staff in an organization can have expert power even though they are not a

supervisor or manager.

- A leader must only use power when he has the genuine expertise in a subject and have

access to resources within his control. Meanwhile, leader must not use this type of power

when he is unsure of the competence he has in a subject. Otherwise, a leader will not be

able to influence the employees and the task given might not become successfully

completed and most importantly the leader would not be much respected.

- One example of expert power is an expert accountant influence how junior

accountants go about their tasks.

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3. Referent Power

Referent power is held by a person whom others like or respect or with whom they

identify.

- This type of power is created when the employees believe that the leader possess

qualities that they admire and would like to possess. The employees identify with their

leader and attempt to copy their leader.

- As referent power is dependant on how the employee views the personality of their

leader, a leader will not have referent power over every employee they lead. Some

leaders will have referent power over just a few, such as Tun Dr Mahathir Mohamad has

lead millions through his personality and charisma.

- Personal attraction is an elusive thing to define, let alone consciously cultivate. Charisma

is a term often used in conjunction with referent power.

4. Legitimate Power

Legitimate power is the belief of subordinates that a leader has a legitimate right to

influence them, either because of rank or position in the organization.

- This type of power also known as positional power. In this type of power, the leader has a

right to instruct the employees and that they have obligation to follow instructions.

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- Sometimes legitimacy power is created by the leader’s job title such as captain, inspector,

and doctor. Combined with the employee’s belief that the job title gives the leader the

right to give them orders. Parents, teachers, religious, leaders and managers who demand

obedience by virtue of their superior social position are attempting to exercise legitimate

power.

- One might reasonably conclude that legitimate power has been eroded by its frequent

abuse (or overuse) through the years.

Summary

Powers is created by the employees belief, if the employee does not hold the requisite belief

than then the leader is not able to influence them.

Reward power needs employee to believe leader will reward them.

Coercive power needs employee to believe leader will punish them.

Legitimate power needs employee to believe leader has right to instruct them.

Referent power need employee to believe leader has desirable qualities.

Expert power need employee to believe leader is an expert.

Whether the employee’s beliefs are correct is irrelevant, the beliefs alone will determine

the type of power, a leader has over the employee. Each of the leadership powers can be used by

themselves or combined so that the leader has maximum influence. The leader will therefore

need to think carefully about which power to use. The use of one power could lead to a decrease

in another.

Reference

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 Kreitner, R. (1992) Management 5th Edition. United States. Houghton Mifflin Company.

A. Olmstead, J. Building World Class Organizations: Executive Leadership. Cashman Dudley.

HASNIZA BINTI MOHD HADZIR (SSM0041/10)

KEY ELEMENT IN LEADERSHIP AND STYLE OF LEADERSHIP

According to Lussier and Achua (2004), there are five elements in defining leadership which are

are:

1. Leaders-Followers

Leadership doesn’t happen without the followers. Leadership is an influencing process

between leaders and followers, not just a leader influencing followers. In other word, it is a

process that leader and followers engage in together. Knowing how to lead and developing

leadership skills will make people become a better leaders and followers. Good followers

also perform leadership roles when needed. In today’s organizations, there could be more

that one leader due to hierarchical structures exist in the organization. So in this situation, it

is not possible when followers become leaders and leaders become followers depending on

the situation.

2. Influence

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Leadership is about influence not control. Influencing is the process of a leader

communicating ideas, gaining acceptance of them, and motivating followers to support and

implement the ideas through change. Influence is the essence of leadership. In organization

context, effective leader must be able to convince the workers or employees to adopt new

ideas. . It can be shown by example or by advocating a new direction. Power of influence can

bring the commitment and enthusiasm of followers who are willing to be influenced.

Influencing includes power, politics and negotiating.

3. Organizational Objectives

Effective leaders influence followers to think not only their own interest but the interest of

the organization. Leadership occurs when followers are influenced to do what is ethical and

beneficial for the organization and themselves. Members of the organization need to work

together toward an outcome that leader and followers both want. So leader need to provide

direction, set challenging objectives and lead the charge ahead to achieve the target.

4. Change

Influencing and setting objectives is about change. Organizations need to continually change,

in adapting to the rapidly changing global environment. Leadership involves influencing

followers to bring change toward desired future for the organization. Effective leader must be

open to change and willing to take risk and try new things.

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5. People

Leadership is about leading people. The leaders have to understand and know how to manage

and lead them carefully and justly, or the followers will not listen, trust, and respect. So to be

effective in leadership, leaders should be able to get along with people.

Leaders carry out their roles in a wide variety of styles. Leadership style is influenced by the

individual’s beliefs, values, and assumptions as well as the organizational culture and the

situation. Three different styles of leadership were identified by Kurt Lewin, renowned social

scientist, in 1939 are authoritarian, democratic, and laissez-faire.

1. Authoritarian

It is identified with a strong domineering leader where power and control are centralized

(Lawton and Rose, 1994). This style is used when leaders tell their employees what they

want done and how they want it accomplished, without getting the advice of their

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followers This style is appropriate to be used when there is a task to be completed and

deadlines to be met.

2. Democratic

The democratic leader encourage participative in decision, works with employees to

determine what to do and does not closely supervise employees (Lussier and Achua,

2004). However, the leader maintains the final decision making authority. This style is

appropriate when a decision requires a consensus decision. However, this process can be

time-consuming and quite difficult to manage when there are lots of different

perspectives and ideas need to be considered.

3. Laissez-faire

This French phrase means "leave it be” which refers to the absence of direct leadership. The

leader may believe that the important role for them to play is to coordinate (Lawton and

Rose,1994). A laissez-faire leadership style works best when group members are highly

skilled and motivated. This hands-off approach can allow these capable members to be

productive and effective.

Different situation may require different styles of leadership and a good leader may be one

who uses a combination of different styles (Lawton and Rose, 1994).For example, telling

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your employees that a procedure is not working correctly and a new one must be established

(authoritarian). Asking for their ideas and input on creating a new procedure (democratic).

Delegating tasks in order to implement the new procedure (Laissez-faire)

Reference:

1. Kreitner, R. (1992) Management 5th Edition. United States. Houghton Mifflin Company.

2. McCrimmon, M. (2010) Leadership as Influence. www.lead2xl.com.

3. Lawton, A and Rose, A.G. (1994) Organisation and Management in The Public Sector,

2nd Edition. London. Pitman Publishing.

4. Lussier, R.N. and Achua. C.F. (2004) Leadership: Theory, Application, Skill

Development, 2nd Edition. United States of America. Thomson South-Western.

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FARAH FIRDAUS BINTI MOHD SHARIFF (SSM0032/10)

THE EVOLUTION OF LEADERSHIP THEORIES

Theories of Leadership

The traits theory was proposed as early as the 19th century and continued until the 20th

century, first focusing on the idea that leaders were born and later focusing on identifying

acquired traits of leaders.

There are many traits studies being conducted such as by Stogdill (1974), Bass (1990)

and Northouse (1997). They identified various traits related to leaders. Later traits studies also

dispel ideas that leaders are born. Earlier researchers believed that there were certain unique

characteristics in people that made them leaders. According to them, a person must possess

certain unique personality traits that are essential for effective leadership. One of the trait

theories is the “Great Person” theory which emphasized that leaders might not be born with the

desired leadership traits but can be acquired by learning and experience. Researchers also tried to

study the relationship between physical traits and leadership, but were unsuccessful to establish a

valid relationship.1

1 Great Man Theory, http://en.wikipedia.org

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The behavior theory focuses on identifying styles of leadership conducted by groups of

researchers from universities of Iowa, Ohio and Michigan. The Iowa studies identified three

leadership styles that exist on a continuum, from the autocratic to democratic and finally laissez

faire styles. On the other hand, the Ohio and Michigan studies identified two major leadership

styles; task-oriented and people-oriented styles.

In 1945 researchers from various fields conducted studies on leadership at Ohio State

university. The research was based on a questionnaire called ‘Leader Behavior Description

Questionnaire’. They narrowed down to two independent dimensions along which an

individual’s leadership behavior could be studied.

1) Initiating Structure – Individual’s ability to define his own task as well as the subordinates

tasks and also accomplish them in time. People who score high in this dimension put pressure on

subordinates to meet deadlines and maintain certain level of performance.

2) Consideration This refers to the extent to which a leader cares for his subordinate, respects

their ideas and feelings and establishes work relations which are characterized by mutual trust

and respect.

The studies revealed that the people who scored high on both the dimensions were able to

achieve higher performance as well as job satisfaction.2

A research was conducted at the Survey Research Centre at the University of Michigan.

The research was conducted on twelve pairs of sections; each section consisted on one high

2 Doyle,Michelle.E. (2001).Classical Leadership. www.infed.org

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producing section and one low producing section. During the study, researchers also interviewed

24 supervisors and 400 workers. And following was observed:

i) Employee-oriented dimension

ii) Production-oriented dimension

Researchers concluded that leaders with an inclination towards employee-oriented dimension

resulted in higher job satisfaction and greater productivity.3

Other researchers such as Blake and Mouton (1961) expanded the findings of the Ohio

and Michigan studies and develop the Leadership Grid which described five styles of leadership

- impoverished leadership, authority-compliant leadership, middle of the road leadership, country

club leadership and team leadership. The five managerial grid styles are based on how two

fundamental concerns (concern for people and concern for results) are manifested at varying

levels whenever people interact. The concept distinguishes five different leadership styles, based

on the concern for people and the concern for production:

1. Impoverished style (Low Production / Low People) (1:1)

Description: A delegate-and-disappear management style. A basically lazy approach.

Characteristics: The manager shows a low concern for both people and production. He (or she)

avoids getting into trouble. His main concern is not to be held responsible for any mistakes.

Results in: Disorganization, dissatisfaction and disharmony due to lack of effective leadership.

2. Country Club style (Low Production / High People) (1:9)

3 ibid

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Description: One-sided, thoughtful attention to the needs of employees.

Characteristics: The relationship-oriented manager has a high concern for people, but a low

concern for production. He pays much attention to the security and comfort of the employees. He

hopes that this will increase performance. He is almost incapable of employing the more

punitive, coercive and legitimate powers. This inability results from fear that using such powers

could jeopardize relationships with the other team members.

Results in: A usually friendly atmosphere, but not necessarily very productive.

3. Produce or Perish style or Authoritarian style (High Production / Low People)(9:1)

Description: Authoritarian or compliance leader.

Characteristics: The task-oriented manager is autocratic, has a high concern for production, and a

low concern for people. He finds employee needs unimportant and simply a means to an end. He

provides his employees with money and expects performance back. There is little or no

allowance for cooperation or collaboration. He pressures his  employees through rules and

punishments to achieve the company goals. Heavily task-oriented people are very strong on

schedules. They are intolerant of what they see as dissent (it may just be someone's creativity).

Results in: Whilst high output is achievable in the short term, much will be lost through an

inevitable high labour turnover.

4. Middle-of-the-road style (Medium Production / Medium People). (5:5)

Description: The manager tries to balance between the competing goals of the company and the

needs of the workers.

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Characteristics: The manager gives some concern to both people and production, hoping to

achieve acceptable performance. He believes this is the most anyone can do.

Results in: Compromises in which neither the production nor the people needs are fully met.

5. Team Management style (High Production / High People). (9:9)

Description: The ultimate. The manager pays high concern to both people and production.

Motivation is high.

Characteristics: The manager encourages teamwork and commitment among employees. This

style emphasizes making employees feel part of the company-family, and involving them in

understanding organizational purpose and determining production needs.

Results in: Team environment based on trust and respect, which leads to high satisfaction and

motivation and, as a result, high production.4

The situational theories such as proposed by Fielder (1967), House (1971) and Hersey

and Blanchard (1969, 1977, 1988) emphasized matching leadership styles and situations.

In this model, Fielder identified two styles of leadership, the task-motivated and

relationship-motivated styles that should be matched to situational control. The Fiedler

contingency model is a leadership theory of industrial and organizational psychology developed

by Fred Fiedler. Fiedler (1967), differentiated situation from contingency.  He emphasised the

fact that differing roles, traits and behaviours of leaders did not just require a specific

understanding of interactions with subordinate, it also required favourable conditions. Fiedler's

4 Ibid.

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model assumes that group performance depends on: Leadership style, described in terms of task

motivation and relationship motivation. Situational favourableness, determined by three factors:

1. Leader-member relations - Degree to which a leader is accepted and supported by the group

members.

2. Task structure - Extent to which the task is structured and defined, with clear goals and

procedures.

3. Position power or the leader’s position - The ability of a leader to control subordinates through

reward and punishment.

High levels of these three factors give the most favourable situation, low levels, the least

favourable. Relationship-motivated leaders are most effective in moderately favourable

situations. Task-motivated leaders are most effective at either end of the scale.

Fiedler suggests that it may be easier for leaders to change their situation to achieve

effectiveness, rather than change their leadership style.5

On the other hand, Hersey and Blanchard proposed the Leadership Situational Model that

identified four leadership styles that should be suited to the subordinates’ developmental levels.

The situational leadership model focuses on the fit of leadership style and followers

maturity. In contrast to Fiedler’s contingency leadership model and its underlying assumption

that leadership style is hard to change, the Hersey-Blanchard situational leadership model

suggests that successful leaders do adjust their styles. The situational leadership model views

5 Nantel, Richard. (2009). Four Theories of Leadership. http://Brandon-Hall.com

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leaders as varying their emphasis on task and relationship behaviors to best deal with different

levels of follower maturity.

i) Telling Style — giving specific task directions and closely supervising work; this is a high-

task, low-relationship style.

ii) Selling Style —explaining task directions in a supportive and persuasive way; this is a high-

task, high-relationship style.

iii) Participating Style —emphasizing shared ideas and participative decisions on task directions;

this is a low-task, high-relationship style.

iv) Delegating Style —allowing the group to take responsibility for task decisions; this is a low-

task, low-relationship style.6

Finally the integrative theory includes Burns’ (1978) transactional and transformational

leadership and Greenleaf’s servant leadership that emphasized empowering followers.

According to Burns most leaders are transactional in nature. Gives rewards in exchange

for performance, manages by looking for deviations from rules, intervenes only if standards

aren’t met and abdicates responsibilities, monitor people to see that they do the expected and

according to plan in order to maintain the status quo.7

However, transformational leadership involves motivating and inspiring in ways beyond

exchanges and rewards. In order for transformational leaders to have the greatest impact on

6 Ibid.7 Transactional Leadership, www.changingminds.org

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followers, they must motivate the followers to action by appealing to shared values and by

satisfying their aspirations and expectations.

Transformational leaders are capable of charting new courses for their organization, are

visionaries who challenge people to do exceptional things, above and beyond the plan and serves

to change the status quo. 8

Reference:

Behavioral Leadership, www.Money-Zine.com

Contingency Leadership Theory, www.envisionsoftware.com

Doyle,Michelle.E. (2001).Classical Leadership. www.infed.org

Great Man Theory, http://en.wikipedia.org

Nantel, Richard. (2009). Four Theories of Leadership. http://Brandon-Hall.com

Overview of Common Leadership Theories, www.leopard-learning.com

Transformational Leadership, http://changingminds.org

Transactional Leadership, www.changingminds.org

8 Transformational Leadership, http://changingminds.org

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MUHAMAD IZZWANDY BIN MAMAT (PSM0081/09)

THE CHARACTERISTIC OF GOOD LEADERS

A leader is described as a person who takes charge and leads the team. However, some on

can considered as a leader if can empower the subordinates and rely on their own ability to make

decisions for the team. Every leader must have some essential qualities which become a good

role model for the followers. This movement will be keenly watched by others. Therefore, a

leader must be careful in doing things. Leaders are not born but leaders are made through hard

work.

Hence, hard work and intelligence are the important leadership characteristics. A leader

must make decisions after analyzing each and every aspect of the situation and must be able to

use common sense in accomplishing complex tasks.

A good leader must be able to motivate team members to achieve success. The leader

must create task excitement and confidence in accomplishing a task. The leader must be easily

approachable, friendly but not too easy-going.

A great leader is the one who is a master in the art of communication and must be ready

to listen to his or her team members. A two-way communication is therefore essential in

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leadership. Besides, another trait of wonderful leadership is the capacity to use the full potentials

of the members. The leader must give opportunities to the team members to prove their skills.

A good leader must be confident enough to allow their members to show and use their

potentials to the fullest. The trademark of a good leader is one who is able to rise up more good

leaders. A great leader is one who guides a team and not rules the team. Providing a trusting and

open environment to the team members is one of the crucial leadership characteristics.

An excellent leader will have a strong sense of vision. Be forward-looking. Set goals and

have a vision of the future. The vision must be owned throughout the organization. The first is to

motivate each member of the staff towards the same vision and later, an appraisal. Effective

leaders envision what they want and how to get it. They must be goal-oriented and must be able

to strive hard to achieve the goals.

Besides, the quality of an excellent leader is courage. An outstanding leader is one who

has courage to face challenges. Risk taking is a crucial characteristic of a leader and must be able

to make changes and to accept changes. One cannot hide in the closet and expect others to listen

to him. A leader cannot afford to be weak or allow others to be weak.

A good leader should show confidence in all that he does. By showing endurance in

mental, physical, and spiritual stamina will inspire others to reach for new heights. As well as

take charge when necessary. Inspiration is not about the 'feel-good' words that you throw here

and there at the team members.

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A leader needs to inspire others to move forward and take on difficulties as if they are

just stepping stones, not stumbling blocks. An effective leader must be an optimist. A great

leader always views an obstacle as a way to a new direction.

A good leader must be proactive too. This is a very familiar term. A leader must take

charge and be in control of his environment, rather than letting it control him. Be proactive not

reactive.

In conclusion, many people claim that effective leaders are born naturally. However, the

characteristics of good leadership can be developed through constant practice. Constant practice

leads to continuous improvement. The quest for continuous improvement is one secret of a good

leader.

The characteristic of good leaders

Good leaders understand what is happening. They size up the situation, put themselves in

the right position to respond, prepare and then act at the proper time.

Good leaders encourage. They give credit when things go well and take responsibility

when they don't go well.

Good leaders keep learning. A cross-discipline study of leadership indicated that effective

leaders in all fields are always learning. They constantly improve their skills. The best

leaders are perpetual learners.

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Good leaders, however, will often go where there is no path and leave a trail. They are

sure of their direction and they act boldly.

Good leaders know that authority is more earned than granted.

Good leaders identify the gifts, strengths and limitations of those they lead. They assign,

train, encourage and then get out of the way.

Good leaders, on the other hand, help their subordinates find success. They give a hand

up. They realize that when one is lifted to another's shoulders, both stand taller.

Good leaders always lead by example.

Good leaders know that motivation by force destroys morale. They understand that

people respond best to positive incentive. They know that people who believe in

themselves will do more work and better work.

Good leaders listen and learn. Good motivators know this. Good leaders know this.

The characteristic of bad leaders

Weak leaders are blind to the current situation. They solve the wrong problems in the

wrong way.

Weak leaders discourage others. They find fault and blame. They criticize when things

don't go right.

Weak leaders they know that a spurt here and a spurt there does not make one an expert.

Weak leaders know it all. They already have the own answers.

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Weak leaders never rock the boat. They won't make courageous decisions for fear of

failing. They prefer to keep things as they are, even if the system is not working all that

well. Weak leaders will almost always follow the well-worn path.

Weak Leaders keep others in their place. They remind them who is boss.

Weak Leaders do all of the work themselves. They delegate poorly. They micro-manage

and control.

Weak Leaders sabotage the successes of others. When those below them succeed, they

feel threatened.

Weak Leaders ask others do what they are not willing to do themselves, and try to get

others to go places they have not been.

Weak Leaders motivate by force. They cajole, intimidate, threaten and issue ultimatums.

Weak Leaders do not listen to those they lead. Their minds are already made up and they

charge recklessly ahead.

CHALLENGES OF LEADERSHIP

Dealing with Unfamiliar Responsibilities

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The primary challenges leadership   development face includes new leaders equipping

themselves with the necessary leadership skills and handling unfamiliar responsibilities.

Leadership also entails additional responsibilities such as coordinating the team effort, carrying

along non-performers, speaking for the team, motivating team members, and other unfamiliar

tasks.

Handling Accountability

Leadership is an expansion of the traditional functional role in terms of scope, scale, time

pressure, and accountability. Leadership provides power, and with great power comes great

responsibility. The challenges of leadership come from how the leader handles this

responsibility. The leader is responsible for making decisions based on overall organizational

interests. The leader is also responsible for the performance of the team, has to issue instructions,

and need to own up for the mistakes or incompetence of the subordinates. Developing maturity

to show competence in dealing with such expanded roles is the true sign of successful growth as

a leader.

Managing Change

Leadership and managing change remain inseparable. A primary function of the leader is

to herald and manage change. The change process includes thinking out of the box for innovative

solutions, operating in ambiguous solutions, making tough on the spot decisions, demonstrating

perseverance in the face of adversity, working on an ad-hoc basis until the new systems are

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established, and the like. Leaders need to be ready to innovate and try new things to pass the

challenge of managing change.

Dealing with Diversity

Managing Diversity is an important leadership development challenges. A diverse

workforce is inevitable in an increasingly globalized economy, and this raise the challenge of

interacting with people of other cultures, gender, background and the like for the leader. The

successful leader inculcates diversity awareness and sensitivity to different cultures and people.

People from different cultures have different outlooks, orientations, and expectations, and the

onus is on the leader to reconcile these disparities and persuade people of different backgrounds

to work together to facilitate organizational interests

LEADERSHIP VS MANAGEMENT

What is the difference between management and leadership? It is a question that has been

asked more than once and also answered in different ways. The biggest difference between

managers and leaders is the way they motivate the people who work or follow them, and this sets

the tone for most other aspects of what they do. Many people, by the way, are both. They have

management jobs, but they realize that you cannot buy hearts, especially to follow them down a

difficult path and so act as leaders too.

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MANAGERS

Have subordinates

By definition, managers have subordinates - unless their title is honorary and given as a

mark of seniority, in which case the title is a misnomer and their power over others is other than

formal authority.

Authoritarian, transactional style

Managers have a position of authority vested in them by the company, and their

subordinates work for them and largely do as they are told. Management style is transactional, in

that the manager tells the subordinate what to do, and the subordinate does this not because they

are a blind robot, but because they have been promised a reward (at minimum their salary) for

doing so.

Work focus

Managers are paid to get things done (they are subordinates too), often within tight

constraints of time and money. They thus naturally pass on this work focus to their subordinates.

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Seek comfort

An interesting research finding about managers is that they tend to come from stable

home backgrounds and led relatively normal and comfortable lives. This leads them to be

relatively risk-averse and they will seek to avoid conflict where possible. In terms of people, they

generally like to run a 'happy ship'

.

LEADERS

Have followers

Leaders do not have subordinates - at least not when they are leading. Many

organizational leaders do have subordinates, but only because they are also managers. But when

they want to lead, they have to give up formal authoritarian control, because to lead is to have

followers, and following is always a voluntary activity.

Charismatic, transformational style

Telling people what to do does not inspire them to follow you. You have to appeal to

them, showing how following them will lead to their hearts' desire. They must want to follow

you enough to stop what they are doing and perhaps walk into danger and situations that they

would not normally consider risking. Leaders with a stronger charisma find it easier to attract

people to their cause. As a part of their persuasion they typically promise transformational

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benefits, such that their followers will not just receive extrinsic rewards but will somehow

become better people.

People focus

Although many leaders have a charismatic style to some extent, this does not require a

loud personality. They are always good with people, and a quiet style that give credit to others

and takes blame on themselves) are very effective at creating the loyalty that great leaders

engender. Although leaders are good with people, this does not mean they are friendly with

them. In order to keep the mystique of leadership, they often retain a degree of separation and

aloofness. This does not mean that leaders do not pay attention to tasks - in fact they are often

very achievement-focused. What they do realize, however, is the importance of enthusing others

to work towards their vision.

Seek risk

In the same study that showed managers as risk-averse, leaders appeared as risk seeking,

although they are not blind thrill-seekers. When pursuing their vision, they consider it natural to

encounter problems and hurdles that must be overcome along the way. They are thus

comfortable with risk and will see routes that others avoid as potential opportunities for

advantage and will happily break rules in order to get things done. A surprising number of these

leaders had some form of handicap in their lives which they had to overcome. Some had

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traumatic childhoods, some had problems such as dyslexia, others were shorter than average.

This perhaps taught them the independence of mind that is needed to go out on a limb and not

worry about what others are thinking about you.

The Summary of differences between management and leadership

This table summarizes the above and gives a sense of the differences between being a

leader and being a manager. This is, of course, an illustrative characterization, and there is a

whole spectrum between either ends of these scales along which each role can range. And many

people lead and manage at the same time, and so may display a combination of behaviors.

Leadership and management are terms that are often used interchangeably in the business

world to depict someone who manages a team of people. In reality leadership vs. management

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have very different meanings. To be a great manager you must understand what it takes to also

be a great leader. Leadership vs. Management: Characteristics of a Manager Let's begin by

breaking down some key characteristics of a manager. This role in a typical company or

organization will reflect a person whose primary focus is on managing a team of people and their

activities. The role can differ by scope, types of roles, and can sometimes even be focused on

efforts outside of true people management, for example project and process managers. 

One of the key characteristics of a manager is very basic in the sense that they are

someone who was given their authority by the nature of their role. They ensure work gets done;

focus on day to day tasks, and manage the activities of others. Manager’s focus on tactical

activities and often times has a more directive and controlling approach. Being tactical is not

altogether a negative approach as this is a skill set that is greatly needed in business especially in

the fast paced environments most of us work and live in. Being able to organize people to

accomplish tasks can be a great asset.  In many organizations, managers are often times the

previous high performers at the employee level. Does this mean they are ready for the challenge

of people management? In many cases, the answer is no. To demonstrate solid characteristics of

a manager, these previous high performers must be trained. While all types of people can

manage, we will now examine what makes a manager a solid leader.

Leader

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Now if we look at the characteristics of a leader. When you hear the term, leader, a

number of images may pop into your head. One phrase that may come to mind is "he or she is a

born leader". This phrase does depict a great deal about the difference in managers and leaders as

there are a great many distinctions. To demonstrate characteristics of a leader you must be more

strategically focused and rather than directing employees through tasks, they inspire and

motivate employees to drive themselves. Leaders are adapting in the art of Emotional

Intelligence and apply it in a way that attains the best work out of their people. 

While a manager receives their authority based on their role, a leader's authority is innate

in their approach. Good leadership skills are difficult to learn because they are far more

behavioral in nature than those skills needed for management. Think of how different it is to

teach someone to manage a particular task with a handbook on how to perform it versus trying to

teach someone to effectively negotiate a sale.

Leaders are also very focused on change. Recognizing that continual improvement can be

achieved in their people and their activities can be a great step towards continued success. Being

able to lead their teams through change, rather than manage them through it has infinite rewards. 

A commonly coined phrase tells us that leadership is doing the right thing and

management is doing things right. This illustrates how the two skill sets need to work together.

In order to be fully rounded, you must have the ability to manage the day to day tasks and deliver

results, while seeing the opportunity for change and the big picture. Demonstrating good

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leadership skills without the management skills to support it will leave you with an inability to

operationalize your visions. Likewise, being a good manager without good leadership skills will

cause continual challenges in motivating your team and producing the results you are trying to

manage to. Being able to blend these two styles is truly a unique skill set. Keep in mind there are

an abundance of managers in the world but very few truly embody the characteristics of a leader

REFERENCES

Harold Koontz and Heinz Weihrich. (1990). Essentials of Management, McGraw-Hill Inc.,

San Fransisco.

John R. Schermerhorn (2005). Management. John Wiley & Sons, Inc., New York.

Robert Kreitner. (2004). Management, Houghton Mifflin Company, New York.

Richard L. Daft and Dorothy Marcic. (2001). Understanding Management, Harcourt College

Publishers, Orlando.

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