Issues facing leadership and management style

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In Shanghai Inn , the human resource manager states that his leadership activities and style is based on the trust and internal effective communication between the Human resource manager and its co-workers . The manager states there should be high level of trust between the employees in the firm . The manager states that when trust is developed between the employees in the firm , this will leads to the development of new ideas and will be accepted among the employees . When there is high level of internal communication , the employees will feel free to share their ideas because the employees will feel them as a part of the organization . In Shanghai Inn, the HR Manger believes that the one of the critical role of the leader is to encourage their employees to learn more things which will contribute to their organizational performance . The Human Resource Management states that the concept of the leadership posses an important role in the development of a good working environment and atmosphere . In Shanghai Inn, the management believes that a good working environment will enable the employees for develop innovative ideas which will contribute to the competency of the firm in the market . Even after all this positive issues , there is some negative issues associated with the leadership and management styles of Shanghai Inn . The firm does not conduct any activities for the development of leadership skills for the middle managers . Because of that , middle managers does not possess an unique leadership style which creates negative issues among the middle and low level of the management and organization . The different management styles really confuses the employees in the low level management and this will influence the organizational performance and productivity .

Issue 2 : Job Design and Job Satisfaction -

Job Satisfaction is considered as the one of the most essential in the firm , which contributes to the employee productivity and organizational performance . Shanghai Inn views that job satisfaction is a pleasurable level that results from the appraisal of ones job where the employee will be willing to contribute his full potential to attain the organizational success . To make an employee satisfied on the Job , there are various factors that has to be considered . The firm conducts some training programs to develop the employee skills and knowledge , which will contribute to the organizational success . Shanghai Inn conducts performance assessments and on the basis of that feedback and employee appraisals will be done . This will motivates the employee for delivering maximum potential which will contribute for organizational success . While considering Job Design , it deals with the way how the job is structured by the organization . In the Shanghai Inn , the concept of

the Job Rotation was highly practiced , where the employees will send through different roles of the organization . This will enable the employees to be flexible and will allow the management to imply the staffs according to the various emergencies . Shanghai Inn believes that their job design process has a major role in determining the productivity levels of the firm where through job design , the firm offers non monetary rewards such as opportunity to learn and contribute , Flexible hours , recognition in the firm and Independence & Autonomy . In the process of Job Satisfaction , there are various other concepts such as Job enlargement , Job rotation and Job simplification .

Issue 3 : Work Psychology and Motivation -

Work Psychology deals with the process of implementing the concepts of psychology to the employee workforce which will contribute to the development of the human resources . The concept of the work psychology states that , by effective application of psychology in the work place which will enable the

management to understand the employees mind . The concept of the Work Psychology is not highly practiced in Shanghai Inn , but the management implements the psychological concept in the recruitment process . In the recruitment process , Shanghai Inn implements Psychometric Testing where the employee will be subjected to Psychometric tests . Through this , the potential of the candidates will be effectively analyzed . Also , the firms implements psychological concepts in the coaching of the employees , which will enable the organization to ensure their sustainability . " Employee motivation can be explained as both intrinsic factors that drive actions and extrinsic factors that serve as encouragement to actions " , (Locke & Latham, 2004) Motivation is also considered as one of the most essential component which will make the employee to work towards the organizational goals . In Shanghai Inn, the management had given high level of importance for the concept of Motivation where the employee's are highly rewarded for their outgoing performances . To motivate the employees , Shanghai Inn had developed effective reward management systems which will enable the management to recognize and reward the employees who had delivered their maximum potential for the organizational success .


b) Leadership and Management Styles :

According to ( Amabile , 1989 ) , " A leader should posses the ability to develop and establish effective team creativity " . A successful leader should has the ability to balance the freedom of employee and responsibilities , where they should supports and encourages the employee's activities , should support the employees in the development of new innovative ideas . Also a leader should give feedback to the employee's which will enable the employees to develop their skills . Leadership is considered as one of the essential component in determining the firms performance . According to ( Dubrin , 2004 ) , Leaders and leadership can directly influence the organizational performance .

Source : Price , 2004

Various researches had showed that both the Leadership and Management are not same concept . As ( Taffinder , 2006 ) , To attain organizational success , the firms has a higher demand of both Managers and Leaders . Management is the concept hat deals with the processes such as planning , organizing , directing and controlling . In the other hand , leadership is considered as an essential part of the manager's job where the manager also has to manage various other tasks . Leadership is considered as the concept that deals with the interpersonal aspects of manager's work such as change , inspiration , motivation and influence where the management deals with the administrative parts , ( Dubrin , 2004 ) . In one hand , Management is important to firm which will keep the firms action on the right track where the leadership is one of the most essential component to inspire and motivate the employees of the firm to adapt to constantly changing business atmosphere . One of the considerable feature associated with the great leaders are that they can challenge , inspire and motivate other peoples to follow them , ( Taffinder , 2006 ) . " Leadership style could be seen as the "consistent patterns of behavior which you exhibit, as perceived by others, when you are attempting to influence the activities of people" (Hersey & Blanchard, 1981, p. 34) . Some of the major leadership styles are

Charismatic Leadership .

Participative Leadership

Situational Leadership .

Transactional Leadership .

Transformational Leadership .

Job Design and Job Satisfaction :

Job Satisfaction is considered as one of the complex process which is highly difficult to measure objectively . According to ( Locke , 1976 ) , " Job Satisfaction can be considered as a pleasurable or positive emotional state resulting from the appraisals of one's job or job experiences ". The Job satisfaction can be influenced by wide range of factors such as Individual , Social , Organizational and Cultural issues . As ( Mullins , 2007 ) , " This factors includes the concepts such as Pay , Promotions , recognition , benefits and other working conditions " . Some of the major events of the Job Satisfaction are Work , Benefits and working conditions . As ( Herzberg , 1959 ) , " The Job Contents or the work itself has the ability to be a motivator where the job is varied or routine , creative or boring , easy or tough will contribute to the job satisfaction .

According to Hertzberg's Hygiene factor theory , the factor can be satisfier , where it can be dissatisfier

also . Various other researchers also showed that there is very less relation between the Pay level and Job Satisfaction , ( Spector , 1997 ) . As ( Mullins , 2002 ) , Negative issues associated in ensuring job satisfaction and unhappiness on the work will leads to problems . In the current scenario , the firms are trying to improve and develop employee satisfaction by implementing new approaches of Leadership and Management programs . According to ( Armstrong , 2006 ) , Job Design has a major role in the making the job attractive to the employees . The concept of Job Design is a combination of concepts such as Job Rotation , Job Enlargement and Job Enrichment . To retain the employees in the organization and to develop the Job satisfaction , Job design has a major role .

Work Psychology and Motivation :

According to ( Armstrong , 2006 ) , " The implementation of psychological concept to the human resource management of the firms was one of the most innovative process in the modern HR " . The work psychology deals with all the aspects of the human resources such as Recruitment and Selection , Training , Coaching and Development , Performance Management , Personnel Management , Reward Management and Retention . By implementing Work Psychology in the firms , it will enable the management to understand the employee attitudes deeply and for the development of an effective relationship between the firm and employees . The concept of Work Psychology is highly related to the Motivational Factor of the employees which will enable the employees to deliver outstanding performance which can contribute to the organizational productivity and performance .

Fig 1 .2 : Maslow's hierarchy of needs (Maslow, 1943)

According to ( Locke and Latham , 2004 ) , " Employee motivation can be explained as both intrinsic factors that drive actions and extrinsic factors that serve as encouragement to actions " . The motivated employees are termed as Intrinsic Motivators , who are the individuals those love to do their activities with a passion whether its a hobby or work related assignment . As ( Locke & Latham , 2004 ) , the concept of employee motivation will influence three aspects of individual's actions such as Direction , Intensity and Duration ". One of the another theory related with the motivation of the employee is Maslow's Hierarchy of Motivation which argue that the motivation is process of satisfying the five basic human needs . The five basic needs stated in the Maslow's motivational theory are Physiological needs , Safety Needs , Social Needs , Esteem Needs and Self Actualization needs . The theory states that if this basic needs are satisfied , it will consequently develops the employee attitude towards the organization which will enable the organization to attain organizational success .

Solutions to the Issues :

: Leadership and Management Style :

The concept of Leadership and Management style was effective in Shanghai Inn , which effectively managed the employees and their behavioral issues . One of the negative issue associated with the leadership and management style of the Shanghai Inn is that the middle managers of the firm does not possess an unique leadership style which leads to misunderstandings among the low level of the management . To solve this issue , the researcher recommends to conduct leadership training program

for the middle managers where the mission , vision and culture of the firm should be properly understood to the managers and supervisors . This will enable the managers and supervisors to perform in unique style which will eliminate the misunderstandings , that can contribute positively to the organizational success and performance, ( Dessler, 2000 ) . In the other hand , the researcher found out that in Shanghai Inn , there is shortage of leaders , but plenty of managers . The researcher recommends the firm to develop leaders more than managers, because leaders are the one who can inspire the employee's in tougher situations and to take on the challenges . Because of all this factors , the researcher recommends that Shanghai Inn should develop and implement effective leadership training programs .

: Job Design and Job Satisfaction :

In Shanghai Inn , the process of Job Satisfaction and Job Design is highly encouraged , where the firm believes that both this concepts contribute heavily to the competitive advantage of the firm . As both the concepts are highly related , where effective job design has a major role in ensuring job satisfaction . In shanghai inn , one negative issue that the researcher noted was about the training

and development of the employee . According to ( Price , 2004 ) , Training and development has an effective role in the job satisfaction because training enables the employee to perform the job better .

In Shanghai Inn , the management does not conduct constant training programs to low level management ( employees ) who can contribute to the organizational performance . Also , the firm does not implements the concept of Job Enrichment, which is one of the key factor in the Job design . Hence , the researcher recommends Shanghai Inn to conduct constant training programs which will enable the employees to perform their job better and will ensure Job satisfaction . Also the researcher recommends the management to implement the concept of Job Enrichment to the process of job design .

: Work Psychology and Motivation :

In Shanghai Inn , the management implements the concept of the " Work Psychology " in their human resource operations to ensure the maximum potential of their human resources . The researcher noticed that there is some negative issues associated with the Motivational Policies of the firm . Shanghai Inn tries to motivate the employees by offering financial rewards such as Extra Pay , Gift Coupons and other cash prices . But various theories proved that offering high amount of rewards will negatively influence the employee and organizational performance, ( Storey , 2001 ) . As the researcher , the solution for this issue is to review the firms reward management systems and firm should focus on providing rewards such as recognition , appraisals on the basis of employee performance .


From this detailed study , researcher understood the importance of the organizational behavior and human resource management policies of the Shanghai Inn . The role of the leadership and management in the organizational success was effectively proved in this study , Especially in this competitive scenario , the firms need effective leaders who can inspire the employees and to motivate the employee's to take on the challenges . Even both the leadership styles and management styles are different , they both plays an effective role in determining the organizational success. In the current scenario , there is a higher level demand for the job satisfaction and job design because various researches has proved that a satisfied employee can only deliver his maximum potential to the organizational growth . Especially , more than developing a job position , job design will also assists the firm to retain some of their best employees . The firms should understand the importance and relationship between the work psychology and motivation , a structure should be developed in the organization which will incorporates all this factors , that can contribute to the organizational sustainability and success .