3. Summary: Leadership
Leadership definition: It’s not just about leaders but a process where all can contribute
Leadership concerns formal and informal processes that build understanding, intrinsic motivation, and trust in an organization.
No universal theories can be applied effectively in all situations (leadership is both science and art)
However, much can be learned about the subject from scholars and other students of leadership
- Leadership is more than common sense
- Leadership is developed through education and experience
Leadership versus Leaders
If one adheres to the Great Person, trait, or behavioral theories of leadership, then leadership is about leaders, and the words are interchangeable
However, if one believes that leaders are not universally effective, but dependent on both the competence and willingness of the group, and the needs of the specific situation, then leaders are a necessary, but insufficient definition of leadership
- Leadership is three circles, not one.
- Everyone can contribute to effective leadership in and organization
Management functions are defined as the various management processes in a formal organization which the executive can use to accomplish key goals.
These systems include:
- Planning, budgeting, and MBO
- Performance evaluation
- Compensation
- Organizational design
- Formal communications
- Training and development
- Financial analysis and reporting
Leadership versus Management
Leadership and management are different processes, not different people.
Until recently, they were one and the same because:
- Organizational behavior theory was evolving
- Executives could be effective by relying on management processes