Good Leadership Demands Deep Human Abilities Business Essays

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Chapter one


Leadership is a process of influencing people in right direction. In the organization leadership also give the direction to the business and make a profitable. It enables not for profit organization successful and give a goal to the business. Leadership is not only necessary in the business it also requires in the human's life like. Leaders set a direction for the people not even in the business even in our daily life. We can realize the importance of the leadership by voting for our favorite leader. Without a leadership a group of people can divert into arguments and conflicts because we watch everything in different way and every person thought is different from each other but leaders comes with solution and provide us right direction to move forward . Leadership is ability communicate something in significant way. It convinces people to towards a goal. Taking a leadership means a person is taking a responsibility of several things a leader must have a view of future organization and its member. Leadership is also means making commitment to the mission and the people you lead because leader are responsible for its team and mission no one else either responsible as much as leader . Leader needs to assume a risk of loss and failure. There are various kinds of leader as we mean we do require a leader in every field. One leader is running a country calls president or prime minister. One of the people who is operating any function of the company or department so he is leader of that particular department or a function. Leader is a person who is running an organization and setting targets for business and giving a direction to an organization. A husband is a leader of his house and he have to look and maintain his house tasks. if he successfully complete targets of his house his house became grooming and begin developing otherwise he terribly fails in his life . Likewise leaders of the organization are doing their work in good manner and organization is getting profit so they are successful if they fails to accomplish their target organization will lose its credibility starts going towards loss. Every function of the organization is mainly depending on its leadership. Leader is person who deals with everything of the organization. He deals with management, making decision, deals with output and input function of the organization. The leaders mainly deals with making decision managers are bound to act on decision and they are also used to implement the decision or orders in the organization. The absence of leadership is equally dramatic in it effect without a leadership organization move to slowly and stagnantly in its speed and lose their way to go . A businessman knows the importance of leadership in the business because he knows that leaders can influence a weak plan in successful and how a weak leader can destroy a good plan. A business leader provide a direction and guideline to the business. in the current regime we have a good examples of good leadership like a Bill Gates he is a successful leader of Microsoft and worlds leading provider of software for personal computers and laptops . Microsoft is became worlds famous company of the world because leadership of bill gates he is world successful business leader . on the other hand leadership ruin even for the good and profitable business . A weak leader who cannot deserve the place of leading people or leading business can be very harmful for the business like British petroleum chairman McClatchy who do not realize the actual value of oil spill in gulf of Mexico and take a BP down from a huge earning .


Literature review

Leadership Theories

Leadership Style

Authors views on leadership )

A leadership is process by which a person influence other to accomplish it more an objectives and direct the organization in the way that makes it more cohesive and coherent, leadership is a name of influencing thoughts behavior and attitudes of other people in the right direction and show a path to their followers . (North houses 2007: P3) A leader should have ability to move forward with his/her followers and shape up the ideas for the business.

(2009) The Leadership is ability of an individual to influence people to move in direction he specifies to achieve and set objectives leaders provide direction for the people and give them clear way to go. Absence of leadership is dramatic in its effects without leadership people can be indulge in conflicts and disputes . A leader is a person who can change the idea, behavior of his staff and the control of his management for development of the business.

According to Warren Bennie(1960) some authotarian leaders did not realize that they are working properly or not they are just greed of their position and at the end of the day they prove a shameful for the business . leadership is not just a post it's a thought of the people . We have lot of examples of the past leadership who defeat crucially like Hitler, Churchill. According to Roman Catholic Diocese of Rochester ( 1896) The process of influencing the behavior of the other people to toward group goals in a way that fully respect their freedom" Leader should have clear vision about what needs to be accomplish and what are their strategy to achieve the target and goals . if leaders fails in their mission means that they ruin the whole community or the followers . According to John C Maxwell () Leadership is influence nothing more than else leadership can not to awarded assigned and appointed it's a thought of a person who influences the people. It must be earned by self. The idea of the leadership and management is same leaders provide direction for the people and managers maintain the direction which leaders assign

There are eight theories of leadership .

Great Man theory by Thomas Carlyle this defines that a true leaders born leaders not made. the born when world required them some of them related to low class families and get a chance of leading . No one teach skill of leadership to them. They provide the right path to the world . Muslims prophet Mohammad (PBUH) provide right path to their nation and still people are following and act upon their advices. Like that Christian prophet Jesus help a nation when nation was in need of the hour .this is the same case is in the business leadership gives the direction to the business and management and give developed rapidly.

According to Robert II smith This theory explains that some people born with some traits or qualities which they find God gifted in them. By these special traits they serve the nation and bring a change in the attitude and behavior of the people. With these qualities they control the management. Some people could not find these traits in them and claim a leader themselves. By these traits they attract their followers.

Contingency theory this theory of contingency leadership explains that leadership is not only a task oriented job this is more than that. A leader should have ability to tackle with the entire situation even in the emergency or anxiety on that time if leadership prove a fickle and be always ready to deal with emergency and take some measure for the future. Every person could not have all the qualities. Leaders always want a support from their team members without the support of leadership is useless . this style of leadership give a good impact on management if leadership will prove a strong and authentic so its management will automatically will done its in proper manner (Fred Fiedler , 1922)

Situational leadership Theory by Hersey-Blanchard This leadership theory is explain that how leaders in their work leadership requires a good qualities all the time a man who claim himself a leader should analyze himself that he can be do this job or not situational leadership theory is deal with the action of the leaders that what kind of measure or action leader had taken to deal with the situation leader should always be able to deal with every situation . Sometime leader should teach the person in different way and another way another time. Whole leadership is based on the communication that how a leader can communicate with his/followers this is very strong command in the leader hand.

Behavioral Leadership Theory

This leadership theory explains that how leaders behave on the entire situation. the inherent behavior of the leader can be ruin the whole plan . Leader should be coherent and deals with situation in good way all the time. This is a scientific theory which related to leader's behavior other theories related to the traits of leaders. Leaders should always be lenient with their behavior. Being a good leader you should understand the basic requirements of the subordinate or the people who those who are following you . In the multi cultural environment ever person have his own needs but there are some basic necessities are same . Fred Fiedler

Participative leadership theory

This theory of participative leadership explains the best leadership styles this theory also known as democratic leadership style. in this style of leaders are take part with the employees . in this competitive business world this type of leadership is very essential if the leader would share the work with its employees so he will get a good outcome from employees . in this leadership style employee also take a part in the decision making which makes employees performance Fred Fiedler

According to James Macgregor Burns (1978) management theory is also known as transactional theory this theory focus on the role of supervision and who is a leader and what a leader does this also explain a personal characteristics of the leaders . in this theory leaders and follower help each other to move forward. This kind of leadership bring change in the people to achieve the challenging targets and goals. According to Mary Uhl-Bien (2006) this form of leadership has been primarily reviwed through two different method: the perspective that focuses on the Individual's traits and internal processes to examine how he or she engages with others; and a relational process perspective which focuses on the social meetings themselves and how this make a network of leaders and followers. This theory also explain both perspectives into a more socially dynamic, less hierarchical, and collective approach to the generation and functioning of leadership.

Leadership styles

There are few leadership styles which tells us how leaders act and how leader behave in different situations:

Autocratic style

According to Lawrence j autocratic leadership style is an old fashioned style. it exist as long as leadership have hold on their followers and still implemented by various leaders in the rest of the world . the reason for this style is it control the team in better way. It also releases the stress of the leader by total hold on team leader get the good performance from the employee. Autocratic leadership is extreme type of leadership in this style of leadership leaders take the complete power over their employees and followers they have the command. team members got little bit chances to give suggestion but they cannot implement leaders have full command to implement or reject even it is in favour of the organisation . This leadership is still effective because it takes the control of the organisation.

Berucratic leadership style

According to Max Weber (1947) the bureaucratic leadership style focus on the normative rules and adhering to lines of authority. Leaders impose strict discipline and demand a high level of work performance. Leaders gain the power through office and no electoral opinion. They impose their rules and followers are bound to obey rules they cannot denied because leaders have the power to impose the rule. This kind of leadership give the stress to employees and not successful in the business envoiurment.

According to Barnard m Bass (2008) Laissez-faire leadership has the scales of Management and exemption. In this leadership style, the leader uses Management passively, which is only connected when targets not been met or a problem occur. The laissez-faire leader with a reflexive behaviour would not interfere until problems become serious. The laissez faire leader waits to take action until mistakes are brought to his or her attention. Laissez-faire behaviours are ones that delay decisions and give up responsibility. This type of leaders offers no feedback or support to the follower. Laissez-faire leadership believe that .Followers are basically motivated and should be left alone to complete their job.

According to William M Pride, Robert j Hughes , Jack R Kapoor (2009) The democratic leadership style is a very wide and mutual style of running a team. Ideas move freely between the group and are debate openly. . The democratic leadership style means simplify the conversation, inspiring people to share their ideas, and then combined all the available information into the best possible decision. The democratic leader must also be able to commune that decision back to the group to bring unity the plan is chosen. Democratic leadership style can carry the best out of an practiced and professional team. It takes advantage on their skills and talents by letting them share their views, rather than simply expecting them to obey.

Theory X

Theory X assumes that the average person:

·Hate work and try to avoid it.

· Has no objectives, wants no blame, and would rather obey than principle.

· is egoistic and therefore does not care about organizational goals.

· Struggle for change.

According to McGregor (1960) argues that a satisfied need no longer motivates. Under Theory X the firm depend on money and benefits to satisfy workforce Lower desires, and once those desires are fulfilled the source of motivation is lost. Theory X Management styles in fact obstruct the satisfaction of upper-level needs. As a result, the only way that staff can adopt to satisfy their higher level needs in their work is by looking more compensation, so it is quite oblivious that they will focus on economic rewards. money may not be the most effective way for self-satisfaction, According to Theory X, people use work to satisfy their minor needs, and strive for to satisfy their higher needs in their free time.

Theory Y

The higher-level needs of high regard and fulfilment are continues needs in that they are not be fully satisfied. As such, it is these higher-level needs within which workforce can best be motivated.

Theory Y makes the following general assumptions:

· Work can be as ordinary as play and rest.

· People will be self motivated to meet their work targets if they are devoted to them.

· employees are committed to their objectives if rewards are in position that report higher needs such as self-fulfilment.

· Under these conditions, people will look for responsibility.

· Most people can tackle the responsibility because creativity and originality is common in the people.

Under these rules, there is an opportunity to line up personal goals with organizational goals by using the employee's own hunt for inner peace as the motivator. McGregor stressed that Theory Y management does not indicate a soft approach. McGregor recognized that some people may not have get the level of development .Conclude by Theory Y and therefore may need full controls that can be relaxed as the employee develops.Explaining and understanding the nature of good leadership is most likely easier than practising it. Good management requires hidden human qualities, elsewhere conventional thought of authority.

In the modern age good leaders are an energizing force, helping people and organizations to execute and develop, which implies that a complex alignment be achieved - of people's needs, and the goals of the organization. Effective leadership does not essentially demanded great technical or intellectual capacity. These characteristics might help, but they are not vital. Good leadership in the modern age more importantly requires thought and action which characterise and relate to humanity.

Leadership is mainly concerned with people. Of course leadership decisions and actions relating to all type of other things, but leadership is unique assessed to some more part since of its exclusive accountability for nation . The followers of the leader in whatever situation leadership is seen to function. Many capabilities in life are a problem of getting skills and knowledge and then implement them in a consistent way. Leadership is quite diverse. Good leadership require responsive strengths and behavioural characteristics which can tie deeply on a leader's rational and spiritual reserves.

The leadership role is a predictable reflection of people's requirements and trials in modern life. Leadership is therefore a insightful concept, with gradually complex consequences, driven by an increasingly compound and fast-changing world. Leadership and management are commonly seen as the same thing, which they are not. Leadership is also misunderstood to mean directing and instructing people and making important decisions on behalf of an organization.


Management is a collective science which bedding planning, coordinating, regulating, supervising and managing resources, while leadership is the assistant and encouragement to manage people. Management is the process of planning, commanding, directing and controlling people. Leadership is the skill and art of giving direction to followers. Managers manage, but leaders lead. Managerial power and leadership skills are needed by managers and leaders in various fractions to control, direct and lead others.Fayol (1916) said "to manage is to forecast and plan, to organise, to command, to coordinate and to control." Larders and managers plan, organise and control people.

Cole (1996) said "leadership is something more than just personality or accident or appointment. It is intimately linked with behaviour. It is essentially a human process at work in organisations". According to Chiu and Stembridge, (1998) A manager has more directorial abilities than leadership skills, and a leader has more leadership skills than managerial abilities. Some people consider a manager is the same as a leader because they do the same jobs. There is a ordinary distinction in how they achieve results. These methods in use by managers and superior have taken such importance and seriousness in management scholars works that they are now distinguished. Effective leaders and managers vary their leadership skills and professional abilities to the development level of the people they are managing.

According to Stiles (2009) "to think there is one best way in managing human resources is simplistic and wrong". "There is no one best way or unique approach to managing people" (Office of the Auditor General of Canada, 2006). Either as a leader or as a manger, one should allow team members to work together for better results. According to Mather (2009), "the key thing I have learned from my time in Government is that when we work together, we achieve better results."

(Wickramasinghe, 2007) Leadership and managerial characters are normally determined by the status and not person's specification. Leadership and managerial roles can be used to achieve people based on the tasks ahead. Leadership and managerial positions have been used alternatively for leaders and managers because the two perform closely the same tasks management of people through different channels, the two ways of managing people can be learnt and some people have to be supervise by means of skills from leadership and management at the same time.

According to Cole (1998) "the crux of every management job lies in the job-holder's capacity to obtain the commitment of people to the objectives of the organisation, which is another way of saying 'to exercise appropriate leadership'". Management idea appears before leadership theory.

Leadership is a relationship in which one person influences the behaviours of followers. It is getting others to follow and getting group to do tasks willingly without coercion.

The difference between a manager and a leader is so small that one may not simply identify them. In organisations, most leaders progress after being managers.

Objectives of Research

As a requirement of PGDBM the objective of my study is Impact of leadership on people management its positive and negative effects. In my dissertation the basic aim and objective are

Importance of leadership on organizing performance

Effect of leadership on people management

Leadership theories , Models , Styles

Research Methodology


Primary Research

Primary research elaborate getting unique data directly about the product and market. Primary research data is data that did not present before. It is plan to answer exact questions of interest to the business - for example:

What proportion of customers believes the level of customer service given by the business is rated high or excellent?

What do customers consider of a new version of a popular invention?

To gather primary data a business must carry out field research. The main means of field research are:

Face-to-face interviews - interviewers ask people on the street or on their doorstep a series of questions.

Telephone conference - alike questions to face-to-face interviews, while often shorter.

Online surveys - using email or the Internet. This is a gradually well liked way of obtaining primary data and much less expensive than face-to-face or telephone interviews.

Questionnaires - sent in the post a customer feedback form sent to people who have in recent time bought a product or service

In most cases it is not possible to inquire all existing or potential customers the questions that the business request answering. So primary research compels use of surveys and sampling to achieve valid results.

The main advantages of primary research and data are:

Up to date.

Specific to the purpose - asks the questions the business wants answers to.

Gather data which no other business will have approach to.

In the case of online surveys and telephone interviews, the data can be gained relatively fastly .

The main disadvantages of primary research are that it:

Can be complex to collect or take a long time to collect.

Is expensive to collect.

May provide miss-leading results if the sample is not large enough or chosen with care; or if the questionnaire questions are not worded correctly.

Secondary Research

Most broadly used process for gathering data is through secondary data collection, genreally called secondary research. This process involves collecting data from either the creator or a distributor or books journals magazines and more other means. In other words, accessing information already gathered

Most of times this method of finding information from third-party sources such as marketing research reports, company websites, magazine articles, and other sources. But in real any information before gathered from sources external to the promoter or from internal sources, such as approaching material from previous market research passed out by the marketer's organization, old sales reports, accounting records and many others, comes under the heading of secondary research.

Ease to approach - the main benefit of secondary research is that we can easily approach by internet, journals , books, magazine and many more sources we can utilize to approach secondary information . secondary research is one of the best method to collect data and data which we collect after using secondary research is correct and useful because it pass through with different opinions critics

Low Cost to Acquire - Researchers are frequently attracted to secondary data because getting this data is much less costly than if the researchers had to carry out the research themselves.

· Research Question - Secondary research is often used previously to wider scale initial research to help explain what is to be learned .

· Answer Research Question - secondary data collection is regularly used to help set the stage for primary research. In the sequence of doing so researchers may find that the accurate data they were looking for is available via secondary sources.

Time Saving - secondary research is time saving research because data which we collect is exact and argusive rather than survey because in surveys and other means we use to collect data is not exact different people have different thinking .

· Problems in Conducting Primary Research - The inventors of secondary research often provide details on how the data was collected.

Quality of Researcher - Secondary Research conducted using primary methods are mainly monitored by the marketer. As a result, the quality of secondary research should be analyzed carefully since the background of the data may be debateable. Organizations depending on secondary data as an key component in their decision-making must take additional steps to evaluate the justify and reliability of the information by critically evaluating how the data was collected examined and presented.

Not Given to Researcher's Needs - Secondary data is often not explain in a form that correctly meets the marketer's needs.

Incomplete Information - Many times a researcher discover that research that appears promising is in fact a though published by the research This often happen when a small part of a study is uncovered .

Not Timely - Care must be practised in depending on secondary data that may have been collected well in the past. Out-of-date statistics may offer little importance specifically for companies competing in fast changing markets.

Not Exclusive Information - In most occasion secondary research is not conducted specifically for one company. it is accessible to many either for free or for a fee. As a result, there is hardly data gained by those who find the research.

Finding Analysis

Explaining and accepting the type of good leadership is most likely easier than practising it. Good leadership demands deep human abilities, beyond straight ideas of authority. In the present age skilful leaders are an enabling force, serving people and organizations to achieve and develop, which implies that a complex alignment be achieved - of people's desires and the goals of the organization. The conventional concept of a leader being the controlling chief at the top of a hierarchy is nowadays a very imperfect admiration of what actual leadership must be. Effective leadership does not essentially require great scientific or intellectual dimension. These qualities might help, but they are not vital.

Good leadership in the present age requires attitudes and behaviours which illustrate and connect with morality. Good leaders are obeyed largely because people believe and trust them, rather than the skills they retain.

Management is generally about procedures.

Leadership is particularly about behaviour.

Management rely mainly on concrete considerable abilities such as effective planning; the use of organizational systems; and the use of suitable communications approaches. Leadership contains many management skills, but commonly as a secondary function of true leadership. Leadership instead depend most powerfully on less physical and less countable things like trust, motivational attitude, decision-making, and interpersonal character. These are not procedures or expertise or even essentially the result of knowledge. They are features of mankind, and are entitled largely by the leader's character and especially his/her impassive reserves.

Some people are take birth more naturally to leadership than others. Most people don't pursue to be a leader, but several more people are capable to lead, in one means or another and in one situation or another. People who wish to be a leader can grow leadership ability. Leadership is not the limited preserve of the prosperous and educated. Leadership is a concern of personal view and believing toughly in a source or aim, whatever it is.

Leadership always comes in people life, and this is no bad thing. Humanity tends to be age group representative. There is no real problem to people who seek to enhance leaders if leadership is contacted with proper honesty. Anyone can be a leader if he/she is rightly determined to a particular reason. And many advantages of valuable leadership, like confidence and personality, continue to develop from knowledge in the leadership function. Even initially modest leaders can become great ones, and sometimes the greatest ones.

Leadership can be acted with different styles. Some leaders have one style, which is right for specific situations and wrong for others. Some leaders can use different leadership styles for different situations. Flexibility of style is a gradually significant aspect of leadership, because the world is progressively complex and self motivated.

Directors, managers, staff, customers, suppliers, stakeholders, etc., need strong philosophical rules on which to ground their expectations, results and actions. In a wide organization like the BBC, leadership will be very convincing at the best of times due to reasons of size, diversity, political and public interest. Having a contradictory philosophy affectedly expansion these difficulties for everyone, not least the leader, because the structure of indication is confusing.

For leadership to work well, people (employees and interested outsiders) must be able to connect their expectations, aims and activities to a basic purpose or philosophy of the organization. This foundational philosophy should provide vital reference points for employees' decisions and actions - an increasingly significant factor in modern 'empowered' organizations. Seeing a clear philosophy and purpose is also essential for staff, customers and outsiders in assessing crucial organizational characteristics such as integrity, ethics, fairness, quality and performance. A clear philosophy is vital to the 'psychological contract' - whether stated or unstated (almost always unstated) - on which people (employees, customers or observers) tend to judge their relationships and transactions.

The BBC is an example (it's not the only one) of an organization which has a confusing organizational philosophy. At times it is inherently conflicting. For example: Who are its owners? Who are its customers? What are its priorities and obligations? Are its commercial operations a means to an end, or an end in themselves? Is its main aim to provide commercial mainstream entertainment, or non-commercial education and information? Is it a public service, or is it a commercial provider? Will it one day be privatised in part or whole? If so will this threaten me or benefit me? As an employee am I sharing in something, or being exploited? As a customer (if the description is apt) am I also an owner? Or am I funding somebody else's gravy train? What are the organization's obligations to the state and to government?

Given such uncertainties, not only is there a very unclear basic philosophy and purpose, but also, it's very difficult to achieve consistency for leadership messages to staff and customers. Also, how can staff and customers align their efforts and expectations with such confusing aims and principles?

The BBC is just an example. There are many organizations, large and small, with conflicting and confusing fundamental aims. The lesson is that philosophy - or underpinning purpose - is the foundation on which leadership (for strategy, management, motivation, everything) is built. If the foundation is not solid and viable, and is not totally congruent with what follows, then everything built onto it is prone to wobble, and at times can fall over completely.