Keys To Managing People Business Essay


As per this author in Evaluation of Human Resource Management inbetween 1900 to 1940, welfare management was concentrated and developed, after that Personal management has developed, finally 1980 afterwards Human resource management has started and fully established worldwide. (Biswanath ghose 2000, Human resource Development and Management.Page: 169.) "Leadership is a social process whereby one individual influences a group of others without the use or threat of violence."

Leadership: According to George Jerry the will to do is triggered by leadership and lukewarm desires for achievement are transformed into burning passion for successful achievement by the skilful use of leadership.

According to Drucker "Leadership is the lifting of mans visions to higher sights

The raising of man's performance to a higher standard. The building of mans personality beyond its normal limitations.

According to Keith Davis "Leadership is the ability to persuade others to seek defined objectives enthusiastically. It is the human factor which binds a group together and motivates it towards goals.

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The central theme running through most of the definitions is that leadership is a process of influencing individual and group activities to set a goal or to achieve a goal.

Types of Leadership:

Traditional Leadership - Based on birth or heredity .Example: Kings and Queens

Charismatic Leadership - Based on personality. Ex: Bill Clinton

Situational Leadership - Based on the right person for the situation. Example:

Appointed Leader - has bureaucratic authority with a rational or legal basis

Functional Leadership - Leader like behaviour

Importance of Leadership: Good leadership is always essential. Leadership to government as well as any organization that shape the way we live work and play. Leadership is an important and prime factor for making an organization successful."Leadership transforms potential into reality"

Better leaders develop better employees and the two together develop better products.

Team work is essential for realising organisational goals

Nature of Leadership: Leadership is viewed as a role and refers to either the attributes or the behaviour of the person executing that role.

1.Leadership presuppose follows: Leadership does not exist in a vacuum. It envisages the existences of followers. There can be no leader without followers.

Example: Alexander Selkirk in a deserted island though he was the monarch of all he surveyed, cannot be called a leader because he had no followers. The leader exercise authority over the group and such authority is willingly accepted by the followers. Where authority is imposed over the group without voluntary acceptance of such authority, it results in domination not leadership of the group. Leadership cannot be conferred, it must be earned.

2. Assumption of responsibility: The leader must accept full responsibility in all situations. A leader cannot escape from the responsibilities of his position or the consequence of his lead. The leader has to initiate the responsibility and accept all of his responsibility and results.

3. Exemplary conduct: A leader shows the way being in the forefront and asks his men to follow him. He should be role model to all of his followers. The leader being in the forefront must set an example for his men by his conduct. His behaviour must serve as a lesion to them and inspire them as well.

4. Understanding feeling and Problems: The leader is looked upon as friend, philosopher and guide by his followers. The leader must try for the satisfaction of the social and personal needs of his followers. Followers expect the leader to recognise their individual difficulties and to take every possible measure for their well being.

5. Community of interests: There must be community of interests between the leaders and his followers. If the leader strives for one and his man work a different purpose, leadership becomes ineffective. Leadership it is the capacity if influencing people to strive willingly for mutual objectives.

6. Objectivity in relations: Leadership depends on maintaining objectivity in relations through fair-play and justice in all affairs of the organization.

7. Specific situation: Leadership is achieved not in the abstract but in the interaction of the leader with the members of his group in a specified environment.

Qualities of Leadership: Tead has suggested a list of ten qualities which are essential for effective leadership. These are as follows

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Physical and nervous energy required for a job

Emotional stability: A leader must act with self-confidence, avoid anger and crabbiness and deal with his subordinates with understanding.

Objectivity: Preventing him from becoming emotionally involved.

Motivation: Must be able to motivate others to get the work done.

Empathy: Enabling him to look at things objectively and from others view point

Knowledge of Human relations: Requiring an understanding of human behaviour

Communication skills: Must be able to talk and write clearly and forcefully.

Teaching ability: Which inspires and develops his subordinates?

Technical mastery: Required for giving necessary guidance to subordinates

Social skills: Enabling him to understand people their preferences and weakness and making him an approachable person. Recognising that there is no cause-and-effect relationship between observed traits & successful leadership.

Functions of Leaders: H.Hicks & C.Gullet has given a list of functions of a leader as follows

1. Arbitrate, 2.Suggesting 3.Supplying objectives 4. Catalysing 5.Providing security

6. Representing 7.Inspiring 8.Praising

Styles of Leadership:

Autocratic - The leader sets his own objectives, allocates tasks and insists on obedience.

Democratic - The leader encourages discussion and participation in decision making and consults widely. The approach is the "sold" to them rather than imposed because having contributed to it the people will (presumably) be more committed to it.

Laissez -Faire - leaves much of the initiative to the subordinates and is "hands off" in approach.

Theories of Leadership:

The trait theory: What traits or characteristics make a person as a leader . The earliest trait theories concluded that leaders were born not made. The Trait Theory - This assumes that all good or successful leaders have similar personality traits which enable them to be what they are. This is the "Born Leader" view.

The Situation Theory - The assumption is that the situation will cause an appropriate leader to emerge. "Cometh the hour, cometh the man."

The Eclectic Theory - A combination of other theories, including the two above.

Style Theory - Has leader like behaviour.

The "greatman" theory of leadership : A person was born either with or without the necessary traits for leadership. Eventually the greatman theory gave way to a more realistic trait approach to leadership. It was accepted that leadership traits are not completely inborn but can be acquired through learning and experience.

Trait approach to leadership studies was quite popular between 1930 and 1950.

Ordway Tead and chester Barnard are prominent trait theorist. who have pointed out a list of leadership traits or qualities which are essential for effective leadership.

Traits of Leadership

Keith Davis pointed out four major traits which seem to have an impact on successful organisational leadership.

Intelligence: The leader has higher intelligence than average intelligence of his followers.

Social maturity and Breadth: Leaders tend to be emotionally stable and mature and to have broad interests and activities. They have an assured respectful , self-concept.

Inner motivation and Achievement drives: Leaders have relatively intense motivational drives of the achievement type. They strive for intrinsic rather than extrinsic rewards.

Human relations attitudes: A successful leader recognize the worth and dignity of his followers and is able to empathize with them. A leader should possess consideration and be employee-centred.Subsequent development in management has indicated the limitations of the trait theory. This theory overlooks the influences of situational factors on leadership. Different situations would require different leadership qualities for success. Skills required in a leader are determined to a large extent by the situation in which he is to exercise. It points out these major defects.

Alvin Gouldner has started that i) There are no common traits of leadership. ii) Comparative importance of different traits has not been indicated. Iii)Traits needed for acquiring leadership are differentiated from those which are necessary for maintaining it and iv) It has failed to recognise the influence of situational factors in leadership.

Above referencs: Biswanath Ghose.Human resource development and management. 2000.

Above referencs: Biswanath Ghose.Human resource development and management. 2000. page: 180

Ohio Leadership studies.

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In 1945 the Bureau of Business Research at Ohio state University initiated studies on leadership. These studies sought to identify independent dimensions of leader behaviour.

These studies identified two independent leadership dimensions called initiating structure and consideration which meant more or less the same thing as task behaviour and relationship behaviour of a leader.

Considerations refers to the extent to which a leader is likely to have job relationships which are characterized by mutual trust, respect for subordinates, ideas and regard for their feeling. He shows concern for his followers comfort, well being, status and satisfaction. A leader characterized as high in consideration could be described as one who helps subordinates in their personal problems is friendly and approachable and treats all subordinates as equals.

As per ohio state state studies suggested that the high relationship style(High in initiating structure as well as in consideration) generally results in positive outcomes but there are exceptions which indicates that situational factors should be integrated in to the theory.


Dr.Lawrence. "Business administration for students and managers.

In his classic text "The practice of Management" some six decades ago peter Drucker charged management with three functions.

Economic performance

Managing managers

Managing workers at site

"Man alone of all resources available to man can grow and develop" he stated and it implies the consideration of human beings as a resource managers and workers together represent the human resources and workers together represent the Human resources of an organisation.

Human resources management (HRM) deals with the human aspect of managing enterprises and employees relations with their firms and companies

Or organizations. Its basic and essential purpose is to ensure that the employees of a company, i.e Its human resources are used in such a way that the employer obtains the greatest possible benefit from their abilities and the employees obtain both material abd psychological rewards from their work.

Definition: Nick boulter et al (2005) People and Competencies page:27

Leadership: Clarity and focus are two of the greatest change elements. You also need leaders who can make the link between where you want to go and peoples commitment to get there. In other words leaders who have the ability to build a motivated workforce.

Competencies are situational: The definition of competencies states that behaviour is a function of the person and the situation in which they find themselves.

There are any number of situations that definition the challenges and demands of a leader in the organization. Being successful means matching the situation and the required behaviour. The wild card is this match is the person's own competencies. Peoples own characterics can help them match their behaviour to the situation or make it difficult for them to do what should be done in particular circumstances.

Different times and circumstances create a different set of situations.

People who are successful in one venue may have grave difficulty in another. Several Hay / MCBER studies have revealed these key differences. They indicate that although there are common or generic leadership competencies that are necessary for good performance in a variety of cultural geographical and business situations, they are not sufficient to predict outstanding performance. But when these generic competencies are combined with unique competencies derived from particular situations and culture these competencies predict outstanding performance much more accurately.

Geographic competencies: what are the common or generic competencies that are found in executives around the world?

Global executives have in common three basic sets of competencies.

1)Competencies for sharpening the focus for their organisations.

2)Competencies for building commitment.

3)Competencies for driving success.

Although these competencies seem to be sequential in reality they occur simultaneously and in parallel as executives handle different situations.

Evaluation: Sandra Merwin(1992) Significant ways for measuring and improving training 11.

Some people have to take efficient training in order to maintain them as a leader. It can be possibly by taking the training in the following ways

1. Organizational Development

2. Supervisor skills

3. Leadership skills

4. Communication

5. Stress and productivity

6. Decision making

7. Assertiveness training

8. Negotiating skills

9. Management skills

10. Time management.

After learning this by education or by appropriate training they may act as a leader but some people born with inborn characters, these inborn characters never fail under any circumstances.

Paul M Connolly (2005) Employee opinion questionnaires. pages: 43.

People leave job to escape bad managers more often than for any other reason. The manager, subordinate relationship, which are often at the heart of workplace problems.

Lack of these managers' two skills (Interpersonal skills and the organization skills) can lead to symptoms such as the following

Employees who feel blocked by the manager from career growth.

Intradepartmental conflict that is evident

Issues with diversity and fairness

Employees who are unclear about the method, timing or effectiveness of performance evaluation and feel uninformed about expectations or the outcome of their work.

Employee apathy, alienation or mistrustfulness

Employee who report a lack of feedback and recognition.

A manager's lack of organizational skills can lead to symptoms such as the following.

Employee confusion over job definitions, goals and objectives.

Conflicts between managers and employees on a wide variety of topics.

People who feed unsupported by a manager and are unable or unwilling to support their manager.

Discussion and confusion over work tasks due to dates and responsibilities

People who express a lack of confidence in the manager's commitment

Performance and productivity that a below standards

Complaints of overwork or inefficient use of employee time

B.R.Madan et al. Human resource Development .A value based approach

The importance of man in management. Page: 76.

"Human relations as the crucial enabler of organisable efficiency and the emergences of concept like Total quality of People (TQP) and Total care management (TCM) etc are the clear indicators of the increasing awareness regarding the importance of human resource organization. The results of a recent survey of campus recruiters conducted by XLRI, reveal that 83% recruiters look for HRD skills in fresh M.B.A's .The individual organization Interrelationship model presented in this paper clarifies that organizational effectiness is the total effect of the effectiveness of the individuals who make the organization. This model also represents the important role of an individual's values, acquired from his / her family, education, and society in general.

My arguement: so this author says individuality and leadership skill is brought by education as well as from their genetic also, both are act for main criteria for leadership.

As per this author "Human values are different from mere "values which are permanent and eternal values which are essentially unarguable and self evident. The values are the inner feelings towards existing norms in the society as reflected in attitudes and behaviour. These are manifested in every natural activity and hence are ultimately in reality.

Principles of Leadership:

Stephen R.covey, management author described the term aptly "Principles are not practices, principles are not values. Principles are the territory, values are maps. When we value correct principles we have truth. This author also charted out the set of eight principles as the " Habit of Effectiveness" as given below.


Integrity and honesty

Human dignity


Quality and Excellence


Patience and Encouragement

Values play a more important role than skills and attitudes in achieving overall effectiveness.

In general any good leader will follow this six values in the organizations for the success of the team work, so the leader has to maintain and focus this six values. These are key ethics in organization for sustained effectiveness

1. Synergy

2. Harmony

3. Cooperation

4. Integrity

5. Care.

6. Simplicity

Gary Dessler.2004. Management, Principles and practices for tomorrow's leader.

Leadership: According to him leadership mean influencing others to work willingly toward achieving the objectives. It is distinctly behavioural and interpersonal facet of what mangers do.

What makes some people more effective as leaders than others?

Effective leadership reflects a balance of 1) Trait 2) Leadership styles or behaviours or 3) Combined in a way that's right for the situation.

Leadership in other words, reflects who we are in terms of traits and skills and how we behave our leadership style in particular situations.

The three main scientific approaches to studying leadership have been to focus on the leader's traits & skills on his behaviour or on how the situation influences what type of leaders is best.

Traits: The unchanging characteristics of a person that predisposes someone to act in a particular way.

Example of Trait: Adaptable situations, alert to social environment, ambitious, achievement Oriented, assertive, cooperative, Decisive, Dependable, Dominant (Power motivation), Dependable, Energetic, persistent, self confident, tolerate of stress willing to assume responsibilities.

Skills: The ability to do something in an effective way.

Example: Clever (Intelligent) conceptually skilled, creative, diplomatic and tactful, fluent in speaking, knowledge about the task and work, organisation and administration skill, persuasive

Leadership and its relationship with the concept of employee motivation.

As per Biswanath Ghose ( Human Resources Development and Managment) page 169.

Leadership: Leadership is a means of directing. It is the ability to influence a group towards the achievement of goals. It is the human factor that helps a group identify

Where it is going and then motivates it towards its goals, without leadership an organization would be any confusion of people and machine.

Most management writers agree that leadership is the process of influencing the activities of an individual or a group in efforts towards goal achievement in a given situation. Ken Blanchard et al. The 3 keys to empowerment.

Effective leadership is necessary in the organisation for the following reasons.

1. Motivating employees

2. Building up morale

3. Creating confidence.

The above said three points are make the employee in the appropriate way in an organization. The motivation, morale and confidence are the factors will help the employee to become as a leader.

Situational Leadership: Leadership as an influence process. Any time you try to influence the behaviour of someone else to accomplish the goals of an organization. One goal of empowerment is that people will eventually become self reliant achievers. Rather than waiting to be told what to do they will anticipate what needs to be done and take appropriate action on their own.

Moden writers hold that successful leadership depends on appropriate behaviours skills & actions not personal traits. The leader use three different types of skills 1) Technical skills 2) Human skills 3) Conceptual skills

1) Technical skills: Technical skills dealing with things. Technical skill is a person's knowledge and ability in any kind of technique. Ex: Skills acquired by engineers or accountants.

At the operating level these skills are very important, but for the top managers with leadership responsibilities, their technical skills are least important.

2) Human skills: Human skills deal with human. Human skill is the ability to work effectively with people and to build team work. This is a very important point of leadership behaviour.

3) Conceptual skills: Conceptual skills deal with ideas. Conceptual skill is the ability to think in the terms of models, frameworks and broad relationships such as long range plans. This skills is very important for people with managerial responsibilities.

James R. Evans. Total quality Management, organization, and strategy.

1)Empowerment: Empowerment means giving someone power granting the authority to do whatever is necessary to satisfy customers, and trusting employees to make the right choices without waiting for management approval.

By empowering employees, organizations drive decision making down to its lowest possible level. Empowerment allows organizations to flatten their organizational structure. Many companies have found that giving people throughout the organization the power to make a difference contributes greatly to providing quality products and services to their customers.

Example: Motorola sales representatives have the authority to replace defective products up to six year after purchase, a decision that used to require top management approval.

Empowerment has even played a role in such business successes as the ford Taurus

One survey found that more than 40 % percent of the largest U.S corporations are moderate to high users of employee involvement practices such as empowerment.

2) Reward system: Reward system can trigger the employee towards achievement, ultimately an organization can achieve the target through the employee efforts.

Example: Pay for skills, in which employees pay increases as they learn new job relevant skills and profit sharing, in which employees receive bonuses related to the profit of their organization.

May be sincere expressions of appreciation by supervisors a picture in the company newsletter, or an evening of celebration upon a major accomplishment may be tremendous value to employees who have seldom received any recognition at all in the past.

3) Recognition: Special recognition and sometimes rewards can be monetary or nonmonetary, formal or informal, individual or group. These recognition may be as a trips or promotional gift or costly cloths, time off or special company sponsored award or events Or having feast with top executives. This special recognition will boost up the mind of employee that will create more productivity. Finally the company is getting benefitted. But the reward and recognition should trigger the behaviour of employee towards customer satisfaction.

Through organization recognition the employee will understand, his or her superior and management values their efforts. The company has to highlight the employees' performance by proper recognition that too through well dissemination.

Example: A conference board study found that combination of cash and noncash recognition works better and gives more productivity from clerical workers.


Arun Monappa and Mirza Saiyadain. 2008 Personal management.Page.19.

Work motivation. Some people perform the same type of job more efficiently than others. Some find it more rewarding and interesting than others and some enjoy it more than others. At any given point of time people vary in the extent to which they are willing to direct their energies to the attainment of goals due to differences in motivation,

Definition of Motivation: Motivation is mainly psychological. It refers to those forces operating within an individual which impel him to act or not to act in a certain way. Motivation may be defined as propensity or the level of desire of an individual to behave in a certain manner at a certain time and a certain situation. Being motivated means that a particular behaviour has to follow.

Any organization cannot force the employee to do more job or cannot trigger them without proper explanation and approach. The employees have to get motivated by team leader. This motivation will attain the goal of the organization. But the same time employee will not motivation for nothing, the employee has to get any benefit in the way of monetary (Bonus and incentives) or designation promotion. Ultimately the employee has to get benefitted by end of the day. This mode is positively encouraging the employees.

4) Compensation: In the organisation always the employees should be treated in good way against their performance in order to motivate them towards the company's goal. So the objectives of a good compensation system should be to attract, retain, and under any circumstances organisation should not demotivate employees. All employees are subject to provide wide work related competencies. For example many companies focus compensation to company's production's, administration and service track records, unit performance, team success, or individual performance and achievement.

Ex: Kaiser Aluminium Company follows this way of compensation. Such performance-based compensation incentives led to an 80 % improvement in productivity and 70 % decrease in poor quality costs over five years.

5) Work environment: Big reputed companies provide many opportunities to enhance the quality of working life. They are providing personal and career counselling, career development and employability services, recreational or cultural activities, day care, special leave for family occasions or community services, flexible work hours and extended health care for retirees. For example Johnson & Johnson, Blue Ash providing luxuries exercise rooms. All of these opportunities contribute to creating a more productive, safer and enjoyable in work environment. This work environment makes happy to their respective employee.

6) Performance Appraisal system: It can support differential reward and payment systems it can motivate people by showing them how they are doing. It increases the motivation and improve the performance of the employee. An organization can always maintain the employees performance record through that, annually they will evaluate the employees performance, if necessary they can categorizes the employee, based on that they will motivate the employee to perform well in future. For example: The employee's Personality , Behaviour, Performance Goal achievement, these can be measure both quantatively and qualitatively

7) Training and Development: An organization will find out the employees strength and weakness through Appraisal system. Based on the appraisal score company can provide the training and development to the particular employee. Through this training programme company can enhance the employee's productivity. So ultimately company can get benefit. Training offers firms the ability to increase their competitiveness, profitability and productivity.

Training for labour, trade and professional organisations in negotiation skills can improve the rewards and benefits for their members.

For individuals training and academic and vocational or professional qualifications offer the chance to further their careers, improve their earning potential and remain active in the employment market.

There are an almost infinite number of types of training but some examples are:

Health & Safety


Communication Skills

Problem Solving Skills

Team Working

Decision Making skills

Interpersonal Skills

Management and Leadership Skills

8) Reorganization or engineering: Reorganization or Reengineering is also one of the criteria in HR is a step supporting employee and business for bringing in dynamism in the HR process. It helps employees and organisation enhancing productivity and reducing unnecessary cost. Reorganization and reengineering without creativity and innovation is no good. Exploiting technology is a must in into the entire process. Without technology it is off dated and may not attract participation.