Monday 7 March 2011

BASIC THEORIES OF LEADERSHIP AND MANAGEMENT PROCESS

SCOUT ASSOCIATION OF NIGERIA
NATIONAL SCOUT COUNCIL.
ADULT RESOURCES MANAGEMENT WORKSHOP

Venue: International Youth Village, Ajoda New Town, Ibadan
Date: 25th – 26th of February 2011.
BASIC THEORIES OF LEADERSHIP AND MANAGEMENT PROCESS
DIFFERENCES BTW. LEADERSHIP VS. MANAGEMENT

STYLES/STEPS/TYPES.
Presenter: Evangelist L. S Ogunyale (LT)
Deputy National Adult Resources Manager, (West)

CONVOCATION:
[A] LEADERSHIP PROCESS: Leadership has been described as the “process of social influence in which one person can enlist the aid and support of others in the accomplishment of a common task”. Definitions more inclusive of followers have also emerged. Alan Keith of Genentech states that, "Leadership is ultimately about creating a way for people to contribute to making something extraordinary happen."
A simple and broad definition of Leadership is perhaps: “The process by which a person influences the activities of an individual or a group in efforts towards the achievement of a goal or a shared purpose”. (Robbin, 1998, Sergiovani, 1989, Rost, 1993). It is a relationship between the person and his/her followers to make things better for the individuals and
organizations.

Great Man Theories:
The Great Man theory states that there are two basic assumptions;
  • that leaders are born and not made,
  • and the second assumption is that great leaders will come up when there is a need.
This theory was developed from an early research which included the study of great leaders. The early leaders came from the privileged class and held hereditary titles. Very few people from the lower class had the opportunity to take a lead. The Great Man theory was based on the idea that whenever there is a need of leadership, a Great Man would arise and solve the problems.

Trait Theories
One of the important leadership theories in education, traits theory of leadership assumes that leaders have inherited traits in them which make these people suitable for leadership.
Many say that leaders are people who can fully express themselves while others cannot, and this is what makes them different from other people. A leader has the right combination of traits which makes him a good leader.
1] Intelligence and judgments based on actions 2] Physical stamina and a vital driving force. 3] Task competency. 4] Better understanding of the followers and their demands. 4] Avidness to accept responsibilities. 5] Ability to deal with people. 6] Capability to motivate
people. 7] Trustworthy. 8] Conclusiveness. 9] Flexibility. These are some of the few qualities and attributes of a leadership. When this theory was researched earlier, researchers believed that a leader has all the listed traits in him/her.

Behavioral Theories
After the trait theory, the researchers started exploring the behavior of the leaders and made assumptions that the traits and the leadership qualities are not inherited; they can be  learned and mastered by any person. Thus, this theory meant that leaders are not born, leaders can be made and so it became a famous management leadership theory and practice. In the behavior theory, you need to assess a successful leader along with the actions of that particular leader.
Situational Leadership Theories
Situational Leadership1 may be defined simply as the mode of operation used by a leader to motivate and coordinate a group, so that a task may be completed effectively by using the appropriate or desirable leadership style – hence the style used by effective leaders will vary according to the demands of each unique situation. There are three basic things in a situational leadership; the foremost thing is that:
  • The relationship between the followers and the leader must be healthy. The followers must like the leader and support him/her in his goals.
  • The second thing is that the task which is to be accomplished must be known, and the leader should set the goals as per the task to be done. Along with the tasks to be accomplished, the methods and standards to accomplish the task must also be specified in details, as this will make an impact on the followers.
  • The third thing that is important is that the organization must confer the responsibilities of the task upon the leader, as this will strengthen the position of the leader.

Transactional Leadership Theories
Transactional leadership theory focuses on the leader whose main purpose is to meet the current needs of his or her followers by:
  • Ensuring they clearly understand the goal.
  • Ensuring that the path to goal attainment is also clearly understood, that they know  how to achieve it.
  • Removing potential barriers within the system Motivating them to achieve the predetermined goals (House, 1971) and
  • Rewarding them for achieving the goals.
Simply put, transactional leaders pay close attention on the business of getting things done.
According to Bass, 1985, transactional leadership is postulated to result in followers achieving an agreed level of performance, an exchange of rewards for compliance. Viewed from this point, both the transactional leader and the follower agree on what the follower will receive upon accomplishing the mutually agreed, predetermined goals. Also, the leader must see to it that the immediate self-interests of the people are met with proper work done.
This means that the needs of the people must be catered to by the leader along with the fact
that his work is getting done.

Transformational Theories
On the contrary, transformational leadership refers to the process whereby individuals engage with each other's and create a connection that raises the level of motivation and morality in both the leaders and the followers (Northouse, 1997). Burns, 1978, was the first scholar to distinguish between transactional and transformational leader. According to Burns, transformational leaders pay close attention to the needs and motives of their followers and attempt to help them reach their fullest potential.
An often cited classic example of transformational leadership is Mahatma Gandhi who raised the hopes, aspirations and needs of millions of his people where the followers put the wider interests of the country over personal interests. In essence, the Transformational leaders are effective in transforming the beliefs and value systems of the followers and organizations for mutual benefit. Such leaders transform and motivate followers by:
  • Increasing the awareness of the important outcomes of a given task.
  • Inducing them to transcend their own self interest for the sake of the organization of team, and
  • Activating their higher order needs.
Hence, transformational leaders not only lead their followers but also empower and enable them to become leaders through the development of a relationship of mutual trust and stimulation. In the transformational theory of leadership, the assumption is that people are inspired from the leader and the leader must have passion about his leadership. This is a great way of putting in enthusiasm and energy in the followers to get the work done. In short, the people are encouraged, and converted into potential followers.
[B] MANAGEMENT PROCESS: Management in all business and organizational activities is the act of getting people together to accomplish desired goals and objectives efficiently and effectively. Management comprises planning, organizing, staffing, leading or directing, and controlling an organization (a group of one or more people or entities) or effort for the purpose of accomplishing a goal. Resourcing encompasses the deployment and manipulation of human resources, financial resources, technological resources, and natural resources.
Because organizations can be viewed as systems, management can also be defined as human action, including design, to facilitate the production of useful outcomes from a system. This view opens the opportunity to 'manage' oneself, a pre-requisite to attempting to manage others.

Basic functions/Roles of Managers.
Management operates through various functions, often classified as planning, organizing, staffing, leading/directing, and controlling/monitoring. i.e.
  • Planning: Deciding what needs to happen in the future (today, next week, next month, next year, over the next 5 years, etc.) and generating plans for action.
  • Organizing: (Implementation) making optimum use of the resources required to enable thesuccessful carrying out of plans.
  • Staffing: Job analyzing, recruitment, and hiring individuals for appropriate jobs.
  • Leading/Directing: Determining what needs to be done in a situation and getting people to do it.
  • Controlling/Monitoring: Checking progress against plans.
  • Motivation: Motivation is also a kind of basic function of management, because without
motivation, employees cannot work effectively. If motivation doesn't take place in an
organization, then employees may not contribute to the other functions (which are usually
set by top level management).

Maslow’s Hierarchy of Needs Theory
Abraham Maslow’s “hierarchy of needs” provides a basis on which to understand and meet the individual needs of adults in Scouting. Maslow described people as a “wanting animal” who rarely reach a state of complete satisfaction. Maslow contended that as one personal need is satisfied, another comes along to take its place. This order, or hierarchy, starts from lower level needs and works through to higher order needs. Maslow saw these needs in the following order of importance:
1. Physiological needs
2. Safety needs
3. Social needs
4. Self-esteem needs
5. Self-actualization needs
Maslow believed that the lower order needs must be met before progression to the higher
order needs can occur.

Herzberg’s Two Factors Theory
The theory essentially comprises two elements as follows:
  • Hygiene or maintenance factor (the „Dissatisfiers‟)-Job Context 
This factor comprises elements of the job context such as salary, working conditions,
policies, co-workers, superiors, etc. According to Herzberg (1966), the job context factors will not motivate a person to perform beyond expectations. These aspects of a job must be satisfactorily fulfilled first before any persons can be motivated to do more. He terms it as “hygiene” factor simply because adequate hygiene is essential to prevent diseases.
However, having adequate hygiene does not necessarily guarantee that you will not be infected, although it is a prerequisite. The job context is the extrinsic factors of motivation, driven externally.
  • The Job Content factor (the „Satisfiers‟)
To motivate a person, the job itself must be meaningful to the person doing the job where there is a sense of achievement upon completing the task as well as offering many opportunities for personal growth and advancement. The job content serves as intrinsic factors of motivation, which is internally driven.
In Scouting, the nature of the job and its content is of primary importance in motivating volunteers especially so when they are “not paid” to do the job or task. Abundant research has shown that people are willing to volunteer their time and expertise to a given cause because the job or the task allows them to make meaningful and significance contributions to society.

Contemporary Theories in Management
Contemporary theories of management tend to account for and help interpret the rapidly changing nature of today’s organizational environments. As before in management history,
these theories are prevalent in other sciences as well.
Contingency Theory
Basically, contingency theory asserts that when managers make a decision, they must take into account all aspects of the current situation and act on those aspects that are key to the
situation at hand.

Systems Theory
Systems theory has had a significant effect on management science and understanding organizations. First, let’s look at “what is a system?” A system is a collection of part unified to accomplish an overall goal. If one part of the system is removed, the nature of the system is changed as well.

Objectives of Management
  • Ensuring organization goals and targets are met - with least cost and minimum waste
  • Looking after health and welfare, safety of staff - the implications thereof
  • Protecting the machinery and resources, including the human resources
Leadership versus Management Process
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.

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.
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 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 quiet styles that give credit to others (and take 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.

In summary
This table summarizes the above (and more) 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 Styles
There are some major styles of Leadership namely:
  • Laissez-Faire Leadership
  • Democratic Leadership
  • Autocratic Leadership
Laissez-faire leadership, also known as delegative leadership, is a type of leadership style in which leaders are hands-off and allow group members to make the decisions.
Researchers have found that this is generally the leadership style that leads to the lowest productivity among group members. Laissez-faire leadership is characterized by:
  • Very little guidance from leaders
  • Complete freedom for followers to make decisions
  • Leaders provide the tools and resources needed
  • Group members are expected to solve problems on their own
Benefits of Laissez-Faire Leadership
Laissez-faire leadership can be effective in situations where group members are highly skilled, motivated and capable of working on their own. While the conventional term for this style is 'laissez-faire' and implies a completely hands-off approach, many leaders still remain open and available to group members for consultation and feedback.

Downsides of Laissez-Faire Leadership
Laissez-faire leadership is not ideal in situations where group members lack the knowledge or experience they need to complete tasks and make decisions. Some people are not good at setting their own deadlines, managing their own projects and solving problems on their own. In such situations, projects can go off-track and deadlines can be missed when team members do not get enough guidance or feedback from leaders.

Democratic leadership, also known as participative leadership, is a type of leadership style in which members of the group take a more participative role in the decision-making process. Researchers have found that this learning style is usually one of the most effective and leaders to higher productivity, better contributions from group members and increased group morale. Characteristics of Democratic Leadership include:
  • Group members are encouraged to share ideas and opinions, even though the leader retains the final say over decisions.
  • Members of the group feel more engaged in the process.
  • Creativity is encouraged and rewarded.
Benefits of Democratic Leadership
Because group members are encouraged to share their thoughts, democratic leadership can leader to better ideas and more creative solutions to problems. Group members also feel more involved and committed to projects, making them more likely to care about the end results. Research on leadership styles has also show that democratic leadership leads to higher productivity among group members.

Downsides of Democratic Leadership
While democratic leadership has been described as the most effective leadership style, it does have some potential downsides. In situations where roles are unclear or time is of the essence, democratic leadership can lead to communication failures and uncompleted projects. In some cases, group members may not have the necessary knowledge or expertise to make quality contributions to the decision-making process.
Democratic leadership works best in situations where group members are skilled and eager to share their knowledge. It is also important to have plenty of time to allow people to contribute, develop a plan and then vote on the best course of action.

Autocratic leadership, also known as authoritarian leadership, is a leadership style characterized by individual control over all decisions and little input from group members. Autocratic leaders typically make choices based on their own ideas and judgments and rarely accept advice from followers. Autocratic leadership involves absolute, authoritarian control over a group.
Characteristics of Autocratic Leadership
Some of the primary characteristics of autocratic leadership include:
  • Little or no input from group members
  • Leaders make the decisions
  • Group leaders dictate all the work methods and processes
  • Group members are rarely trusted with decisions or important tasks
Benefits of Autocratic Leadership
Autocratic leadership can be beneficial in some instances, such as when decisions need to be made quickly without consulting with a large group of people. Some projects require strong leadership in order to get things accomplished quickly and efficiently.
Have you ever worked with a group of students or co-workers on a project that got derailed by poor organization, a lack of leadership and an inability to set deadlines? If so, chances are that your grade or job performance suffered as a result. In such situations, a strong leader who utilizes an autocratic style can take charge of the group, assign tasks to different members and establish solid deadlines for projects to be finished.
In situations that are particularly stressful, such as during military conflicts, group members may actually prefer an autocratic style. It allows members of the group to focus on performing specific tasks without worrying about making complex decisions. This also allows group members to become highly skilled at performing certain duties, which can be beneficial to the group.

Downsides of Autocratic Leadership
While autocratic leadership can be beneficial at times, there are also many instances where this leadership style can be problematic. People who abuse an autocratic leadership style are often viewed as bossy, controlling and dictatorial, which can lead to resentment among group members.
Because autocratic leaders make decisions without consulting the group, people in the group may dislike that they are unable to contribute ideas. Researchers have also found that autocratic leadership leads to a lack of creative solutions to problems, which can ultimately hurt the performance of the group. While autocratic leadership does have some potential pitfalls, leaders can learn to use elements of this style wisely. For example, an autocratic style can be used effectively in situations where the leader is the most knowledgeable member of the group or has access to information that other members of the group do not.

Toxic leadership
A toxic leader is someone who has responsibility over a group of people or an organization, and who abuses the leader-follower relationship by leaving the group or organization in a worse-off condition than when he/she found them.

Group leadership
In contrast to individual leadership, some organizations have adopted group leadership. In this situation, more than one person provides direction to the group as a whole. Some organizations have taken this approach in hopes of increasing creativity, reducing costs, or
downsizing. Others may see the traditional leadership of a boss as costing too much in team
performance.
In some situations, the main the team member(s) best able to handle any given phase of the project become(s) the temporary leader(s). Additionally, as each team member has the opportunity to experience the elevated level of empowerment, it energizes staff and feeds the cycle of success. Leaders who demonstrate persistence, tenacity, determination and synergistic communication skills will bring out the same qualities in their groups. Good leaders use their own inner mentors to energize their team and organizations and lead a team to achieve success.

Leadership Skills:
The skills that a leader must demonstrate to be effective have been variously defined and can be summarized into several areas of competence as follows: An effective leader should:
1. Set an example (Role-model)
2. Understand the needs and characteristics of his/her group (manage diversity)
3. Know and use the resources of the group (be able to obtain skills or information)
4. Communicate effectively (receive and give information)
5. Represent the group
6. Plan
7. Control and co-ordinate the group
8. Delegate and empower (share leadership)
9. Monitor and evaluate performance/outcomes
10. Help others to learn (manage learning)
11. Counsel and coaching his/her group members.

Creating S.M.A.R.T. Goals
Specific Measurable Attainable Realistic Timely
Specific - A specific goal has a much greater chance of being accomplished than a general
goal. To set a specific goal you must answer the six "W" questions:
*Who: Who is involved?
*What: What do I want to accomplish?
*Where: Identify a location.
*When: Establish a time frame.
*Which: Identify requirements and constraints.
*Why: Specific reasons, purpose or benefits of accomplishing the goal.
EXAMPLE: A general goal would be, "Get in shape." But a specific goal would say, "Join a health club and workout 3 days a week."
Measurable - Establish concrete criteria for measuring progress toward the attainment of each goal you set. When you measure your progress, you stay on track, reach your target dates, and experience the exhilaration of achievement that spurs you on to continued effort required to reach your goal. To determine if your goal is measurable, ask questions such as......How much? How many? How will I know when it is accomplished?
Attainable - When you identify goals that are most important to you, you begin to figure out ways you can make them come true. You develop the attitudes, abilities, skills, and financial capacity to reach them. You begin seeing previously overlooked opportunities to bring yourself closer to the achievement of your goals. You can attain most any goal you set when you plan your steps wisely and establish a time frame that allows you to carry out those steps.
Realistic - To be realistic, a goal must represent an objective toward which you are both willing and able to work. A goal can be both high and realistic; you are the only one who can decide just how high your goal should be. But be sure that every goal represents substantial progress. A high goal is frequently easier to reach than a low one because a low goal exerts low motivational force.
Timely - A goal should be grounded within a time frame. With no time frame tied to it there's no sense of urgency. If you want to lose 10 lbs, when do you want to lose it by? "Someday" won't work. But if you anchor it within a timeframe, "by May 1st", then you've set your unconscious mind into motion to begin working on the goal.
T can also stand for Tangible - A goal is tangible when you can experience it with one of the senses, that is, taste, touch, smell, sight or hearing. When your goal is tangible you have a better chance of making it specific and measurable and thus attainable.

SWOT analysis
SWOT analysis is a strategic planning method used to evaluate the Strengths, Weaknesses,
Opportunities, and Threats involved in a project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective.
A SWOT analysis must first start with defining a desired end state or objective. A SWOT analysis may be incorporated into the strategic planning model. Strategic Planning has been the subject of much research.
  • Strengths: characteristics of the business or team that give it an advantage over others in the industry.
  • Weaknesses: are characteristics that place the firm at a disadvantage relative to others.
  • Opportunities: external chances to make greater sales or profits in the environment.
  • Threats: external elements in the environment that could cause trouble for the business.
Identification of SWOTs is essential because subsequent steps in the process of planning
for achievement of the selected objective may be derived from the SWOTs.

Internal and external factors
The aim of any SWOT analysis is to identify the key internal and external factors that are important to achieving the objective. These come from within the company's unique value chain. SWOT analysis groups key pieces of information into two main categories:
  • Internal factors – The strengths and weaknesses internal to the organization.
  • External factors – The opportunities and threats presented by the external environment to the organization. -
PEST analysis
PEST analysis stands for "Political, Economic, Social, and Technological analysis" and describes a framework of macro-environmental factors used in the environmental scanning component of strategic management. Some analysts added Legal and rearranged the mnemonic to SLEPT; inserting Environmental factors expanded it to PESTEL or PESTLE, which is popular in the United Kingdom.
The model has recently been further extended to STEEPLE and STEEPLED, adding education and demographic factors. It is a part of the external analysis when conducting a strategic analysis or doing market research, and gives an overview of the different macro environmental factors that the company has to take into consideration. It is a useful strategic tool for understanding market growth or decline, business position, potential and direction for operations.
PESTLE analysis is in effect an audit of an organization’s environmental influences with the purpose of using this information to guide strategic decision-making. The assumption is that if the organization is able to audit its current environment and assess potential changes, it will be better placed than its competitors to respond to changes. To help make decisions and to plan for future events, organizations need to understand the wider ‘microeconomic’ and ‘macro-economic’ environments in which they operate.
A PESTLE analysis is a useful tool for understanding the ‘big picture’ of the environment in which an organization is operating. Specifically a PESTLE analysis is a useful tool for understanding risks associated with market (the need for a product or service) growth or decline, and as such the position, potential and direction for an individual business or organisation.
A PESTLE analysis is often used as a generic 'orientation' tool, finding out where an organisation or product is in the context of what is happening outside that will at some point affect what is happening inside an organisation. The six elements form a framework for reviewing a situation, and can also be used to review a strategy or position, direction of a company, a marketing proposition, or idea.

Case Study:
Design a minimum of three (3) Goals for Nigeria National Scout Council, Scan these goals through SMART, SWOT PEST and PESTLE processes and advise the Council on how best to achieve the goals and their set objectives for the improvement of Scouting in Nigeria.
Good Hunting!

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