Analysis Of Concept Of Leadership Business Essay

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Leadership is about showing direction to others in the success of a goal. A leader must have the meekness to be able to be surrounded with people who are inspired by him or her and who can give respect and support for the leader ,Arbinger, L. (2002)..

Leadership traits

The trait model of leadership is based on the characteristics of leaders, both successful and unsuccessful . It is used to predict leadership effectiveness. Successful leaders have interests, abilities, and personality traits that are different from those of the less effective leaders, Chemer, M. (1997).

Leadership skills

Important leadership skills include, having knowledge, understanding needs of followers. If a leader is able to do these then the employees will develop respect for him and his instructions and do the work he gives them.

Leadership behaviour

The leadership behavior is associated with the exercise of authority, Arbinger, L. (2002). For example if an employee is absent from work and fails to inform, the leader should contact and find out the cause of absence. This will show that leaders care for employees.

Leadership attitudes

There are five important attitudes leaders need to show. These are ,positivity ,purpose, empathy and compassion, humility and love Chemer, M. (1997). Positivity shown by business leaders will help new employees to learn to adjust to the organization fast and comfortably and they will develop posit

Leadership quality

A business leader must be able to effectively communicate ideas to the right people and understand their unique needs and wants. Leadership is also about providing value to people. A successful leader must always maintains a neat and tidy appearance, acting intelligently while making quick decisions and be socially active and commanding, Arbinger, L. (2002).

Contemporary leadership- The leaders need to be aware of change due to globalization and must be capable of change and crisis management, empowerment of stakeholders, collaboration, value diversity, remain humble and become highly ethical, (Daft, S., 2002)

Leadership concepts in small private business versus learge sized public business.

Strong, effective leadership is important in all business

Two small private business leaders in new zealand

Tasty Foods NZ is a small private business which operates in Otahuhu, Auckland is run by Uma Chand.

Ruan Thai is a restaurant and is operated by Muk Ruan, based in K.Rd , Auckland city.

Small private business leadership

Leadership- In this kind of situation the leader acts in autocratic style because he works alone to achieve his business goal. However the leader sets the target for his private business and he has to change himself into the kind of leader his small business needs. For him core of business leadership is being proactive rather than reactive.

Followers - small business leadership do not have many followers or people who work under their supervision. The people he has to consider and satisfy are his customers and the law of the country so his decisions are influenced them.

Power- the leader has a personal vision for his business and provides directions to achieve dreams because he takes charge of his business alone and puts together planning and vision and takes action Chemer, M. (1997).

Communications- the leader does not have to pass on information to many people so his oral skills may be less used.

Two small size business are Food for Less and the leader id Nilesh Chand

Two Dollar Plus in Papatoetoe - The owner is Manjit Singh

Leadership concepts in large sized public business

Large public organizations are built around under the vision and able guidance of one or more leaders. In such organizations, success or failure depends on how effective the leadership is.

Leadership - in this type of business leaders practice democratic style and leaders role is situational based on employee requirements.

Followers - the leader has a clear vision and the followers are their employees and customers and other stakeholders and knows well he has to gain their trust and loyalty, then the business does well.

Power - In such situations, unless one person is able to emerge the clear leader and assume control, the company suffers terribly , (All about leadership,1997) .

Communications- the leader needs to a excellent communicator. He needs to develop skills of downward, upward and lateral communications. He has to pass on information to many people so his oral skills may be used a lot so he has to satisfy all his stakeholders.

Analysis- Leadership in large public enterprise are more formal and fully structured. Activities are pre-planned and employees work according to the plan to achieve objective of the organization.

Two large sized business leaders and organization in new zealand

Jonathan Ling the CEO and Managing Director of Fletcher Building Limited

Russell Stanners, CEO of Vodafone New Zealand

Comparison and contrast

In large size business the leaders need to focus on planning and budgeting maintaining care all the time so that profit is increasing. Leader also has to show personal qualities such as expert mind,conformity, insight into company,communicate important information to all while keeping emotional distance, (Daft,2002). In small business leaders work with friends and relatives in a stable surroundings where it is easy to control, corordinate and keep things on track while it is difficult to do so in large business. In both the leaders need to be ethical and show social r

Leadership concepts in for profit business

Leadership aims to motivate employees to reach a set target through incentives such as pay rise or bonuses. For example, in a for- profit organization, the ultimate goal is only generating extra profits. Given this objective , the Leader's style and methods would ultimately focus on how to make the team members contribute towards this goal and the yard sticks for measurement would center around profits .

Power - Both followers and Leaders have equal power . For example leaders first build trust in their employees. . These attempts very clearly indicate a very different Leadership approach because the leaders want to modify their styles to suit the business needs.

Followers - to be really effective and efficient, the vision should appeal to the followers because if this does not happen they will leave the company as there is a lot of competition. Leaders and followers have equal powers as industrial action and law protects both.

Communication- to-day leaders are setting up Charity Trusts or Foundations and transfer certain percentage of profits every year to help the society. This is done to gain the respect and a good status for the company in the community. All rules and regulations are formally communicated to the followers.

Leadership concepts in profit versus not for profit business

All leaders in the organization need leadership qualities, skills and ability to lead a team so that they can increase the performance of their employees to achieve pre-set goal of business.

Leadership concepts in for profit business

Leadersship- The main focus is on making maximum profit and keeping stability of the company by being diplomatic, ethical and excellent collaborator.

Power- the success of the business depends on all stake holders and these include, the law of the country, customers, employees, shareholders and competitors.

Followers are the customers or clients who deal with the business and company has to ensure that it provides the best quality of service to its clients to retain them

Communication- All rules and regulations are formally communicated to the followers in the form of a contract which becomes a legal document. .

Two for profit business leaders and organization in new zealand

1.Kevin Kenrick new CEO of Television New Zealand .

2. Ian Walker the chairman of Farmers Stores in New Zealand,.


The Leadership style and methods reflects the objectives of the organization. For example, in an organization whose objectives are to serve people of the country below the poverty line undertaking humanitarian projects , the leader needs to have a style which will encourage team members to be more human and kind while serving on the projects. The leadership methods for measuring the employee contribution and results would also differ in nature. Leaders style, would have an extra dosage of a human value touch. The leader will take servant leadership style. The leader would be more concerned with whether the ultimate customer has really been benefitted by the project. Leadership in successful not - for - profit organization is more supporting and place emphasis on team collaboration

Non - profit leaders, especially if they also founded the organization, fill a very important role in the life of the organization. They have been the public face of the organization and have built trusting relationships with donors and the community in general.

Followers -are inspired by leaders passion which is a source of inspiration for other staff members, volunteers, and constituents. Team members are not paid but they are motivated to gain respect, improve interpersonal skills and self-actualization.

Power - Lies in the hands of the followers and leaders. Leader has to develop policies which is ethical. For example when leaders retire or must leave for health or personal reasons, the organization that lacks a plan for succession may face a crisis. For these reasons, non-profits should have succession policies in place to facilitate a smooth transition.

Two examples of not for profit business

Red Cross Society of New Zealand

Greenpeace campaign

1. Mr D. G. Whyte is national chairman of the New Zealand Red Cross Society, . He visited christchurch when the city centre was recently shaken by an earthquake.

2. Kelsey Fletcher- leader of Greenpeace campaign.

There exists a major difference in the leadership styles of individual leader but the leadership style depend on the Leader's own personal traits and qualities , they are also to a greater extent influenced by the leader's own work areas. Leaders who work for charity want to serve the underprivileged human beings but profit making company works to collect money for progress of the company,( All about leadership,1997).

Leadership in relation to social responsibility

Leadership plays essential role in initiating and developing corporate social responsibility and initiatives within and across organization. Responsible leaders are defined as people of the highest integrity and deep understanding of difficult concepts such as sustainable development, committed to building enduring organizations in association with others, leaders who have a deep sense of purpose and are true to their core values,(Corporate social responsibility,June 2004), .

Leadership in relation to business social responsibility

Businesses can use ethical decision making to secure their businesses by making decisions that allow for government agencies to minimize their involvement with the corporation. emissions on dangerous pollutants and even goes an extra step to get involved in the community and address those concerns that the public might have for environmental concerns,(Corporate social responsibility,June 2004) .

C ompany socially responsible

The warehouse does not pack items in plastic to protect the environment because plastic is non biodegradable and often floats in the water and poses hazard to people who go swimming.

Ethics in leadership

Ethics refer to the desirable and appropriate values and morals according to an individual or the society at large. It is an ethical job of the leader to treat his followers with respect as each of them has unique personality. The ethical environment in an organization is built and developed by a leader as they have an influential role in the organization and due to the fact that leaders have an influence in developing the organizational values.Wilson, J. (2010)

Two examples of ethics in leaders

1. Peter Clare is the CEO of Westpac NZ.

2. Mike Robertson the leader of TV One

Leaders who are ethical demonstrate a level of integrity that is important for stimulating a sense of leader trustworthiness, which is important for followers to accept the vision of the leader

Two examples of unethical leaders

1. Chris Carter was an MO in the labour government. This leader has had a negative impact on society as he had used government funds for a personal gain.

2. Verpal Singh who is the secretary of Sikh Council of New Zealand has had negative impact was linked to alleged voter fraud in South Auckland.

Business stakeholders.

Stakeholders in a business are any entity that is effected by the operations of that business in some way. The most obvious stakeholders are employees, owners, and customers. Others are competitors, the neighborhood the business is in, the government, and the environment.

The employees need to be treated with respect, good work conditions, fair pay and equality.

The customers need to be treated with respect, good quality items or services, fair treatment and equality

Competitors- There should be healthy competition, respect for businesses, good quality items or services, fair treatment

The government- company must comply to labour act, employment act , health and safety act and operate within the regulations of the country.

The environment- the company must not cause environmental pollution but adapt policies to maintain the healthy surroundings.

Responsibility to stakeholders.

An ethical leader should not use his employees to achieve their personal goals. He should respect their feelings, decision and values. Respecting them implies listening effectively to them, being compassionate to them, as well as being liberal in hearing opposing viewpoints. He treats the employees in a manner that show his values and beliefs. There should be no personal bias. Wherever some employees are treated differently, the ground for differential treatment should be fair, clear, and built on morality,(Corporate social responsibility,June 2004) .

Leaderships impacts on the society

Leaders excel by bringing out the best in people and aligning their talents with the goals of the organization. Leaders have a major influence on their followers and they have to gain their followers respect. Two leaders with positive impacts on the society

Sir Edmund Hillary for gaining respect for his country by being the first person to climb Mount Everest in dangerous conditions. He also helped for development of education for needy people by founding Edmund Hillary collegiate.

Mahatma Gandhi for freeing his country from colonial power by using non violence.

Leaders with negatve impacts on the society

1. Saddam Hussein of Iraq is hated by his own countrymen for killing innocent people.

2. Islama Bin Laden for training young muslim boys as suicide bombers in the name of religion.