Leadership Is Being Number One Business Essay


Leadership in globalization is not declared and is not built in self-positioning categories. Leadership in globalization is won in rigid and competitive struggle.

"The process of globalization over the past decade has created unprecedented opportunities for global companies in trade, investment, services, and production. The fact that the rapid pace of growth of economic opportunity has not corresponded with the growth of leadership in business ethics and a sense of corporate responsibility has potentially threatening consequences for the reputation of free market economies and businesses. Public concern is accelerated by a wider use of electronic communications that is changing the nature of politics as much as that of business operations. The leadership of a few progressive companies, the rise in consciousness of corporate responsibility as an essential feature to sustain global capitalism, and emerging evidence of partnership initiatives which hold the key to equitable development, are all encouraging pointers towards progress" (Davies: 2003)

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The most important skills which are required to change the world are skills of leadership. It became abundantly clear after we tried to adapt to the escalating changes occurring both in our society as a whole, and on workplaces within the previous century. Effective leadership is one of the keys to our future success and survival.

Leaders, as well as products, have own cycle of life. It is inexpedient, that the role of a leader was executed by one person throughout the whole period of work of an informal group or a team. In some situations it is completely not obligatory to have an active leader focused on the performance of the task. There are leadership substitutes - characteristics of an individual, the task or the organization, allowing achieving good results for a lack of leadership.

Such a model is not effective in the twenty-first century. It loses if compared with the other models in which the accent is put on a subtle art of belief. The subtle art of management of relations is the purpose with the help of which it is possible to create the future possibilities.

Modern leaders understand that it is necessary to share a part of control to receive results, in other words, they act as instructors, not as bosses. Instead of considering leadership as a synonym to dictatorship, leadership is more subtle art connected with human aspects of activity. The barrier between leadership and management actively breaks.

Effective leaders possess an accurately structured system of the ideas based on knowledge and the system of values which is formulated by the leader in such a manner which can completely and without difficulties be perceived by followers. Moreover, training of new leaders in such organizations becomes a part of a corporate culture "the leadership engine" turns on.

Leadership is a process to direct the behavior of other people in order to achieve overall aims. Leadership is an influence on people in order to achieve results, showing thus standards and quality of work above the usual level.

Being the element of social interactions, leadership is a difficult activity including:

1. The process of influence;

2. Participants - both leaders, and followers;

3. The number of possible results - not only goal achievement, but also adherence of people to these purposes, an interaction improvement in a team and a change of a corporate culture.

Leadership is necessary for building a team from a group of people, their transformation into a force which is a steady competitive advantage. Leaders know how to force people to work together; how to motivate them to show the best results. Leaders also know how to balance individual aspirations of participants of a team for the purpose of synergy - the result which much more exceeds the sum of the individual contributions. Leaders direct the participants of a team to coordinate the aspiration to the achievement of the best individual results by common efforts of a team.

"In leadership, loners are losers. Leaders who cling to the old idea of know-all-tell-all leadership style can't move their organizations forward in this modern time. Leadership used to be one-man command-and-control practice--but no more. The challenges of modern organisations are vast and more complex than leaders can handle solo. Leadership authority, influence and roles must be shared with subordinates down the hierarchical lines; or change efforts will suffer serious limitations" (Kumuyi: 2007).

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Effective leadership and management and the system of successful motivation is an administrative ability to define the correct purposes for the personnel, for the purpose of he achievement of a definite result of work; the acceptance of the responsibility to realize the put goals. In the twenty first century a leader - a motivational leader - is capable to conduct and motivate others. A motivational leader understands that people are a source of progress and innovations, and thus they are a key of success in the twenty first century.

Modern Leadership Models

The concept of attributive leadership

The given concept is based on the theory of attribution, explaining relationship of cause and effect between what occurred and what people consider the reason of the occured. The attributive approach to leadership recognizes that the conclusions of the leader as well as the behavior of followers are caused by the reaction of the leader to the behavior of the former. Observing the work of the subordinates, the leader receives the information about how it is carried out. Depending on it he makes conclusions about the behavior of each worker and chooses the style of behavior in order to react adequately to the behavior of the subordinate.

The considered approach assumes that knowledge of the reasons which have created this or that situation strengthens a leadership understanding the ability to predict the reaction of people to a situation. The concepts and models developed on this basis try to answer a question why people behave in this or that way. In most cases the leader has no possibility to observe the work of the subordinate directly.

Within the limits of the given approach the leader mainly performs work of the information processor. He conducts a search of the informational prompts helping him to answer a question why this or that occurs. The explanation of the reasons found thus directs his leader behavior. The definition by the leader of the reasons of subordinate's behavior is based on three components: personality, work, an organizational environment or circumstances.

In search of the reasons the leader tries to receive three various types of information about behavior of the subordinate, difference degree, sequence and uniqueness degree.

The process of the definition of the reasons happened by the leader is influenced by attributive regulators or hindrances deforming his perception and forcing the leader to be inconsistent in his behavior. The more the behavior of the subordinate is seen by the leader as the result of his personal characteristics, the more leader assigns responsibility for the results on the subordinate. In this case separate characteristics of the subordinate's personality become attributive hindrances.

The given model of attributive leadership has essential differences from the traditional models which are unduly descriptive and, the main thing, not answering the question "why".

The concept of charismatic leadership

There are two opposite positions of the leader's image. One denies in general any influence of the leader on organizational efficiency, and another leads to the leader charisma and attempts of the followers to attribute magic and divine qualities to the leader. Charisma is the form of influence on others by means of the personal appeal causing support and recognition of the leadership that provides the power over followers to the owner of charisma. As the source of leadership power charisma concerns the power of an example connected with ability of the head to influence subordinates owing to the personal qualities and style of management. Charisma offers the advantages for the head to make the impact on subordinates more effectively. Some people define charisma as a set of specific leader qualities. The former is the basis of the concept of charismatic leadership which is, as a matter of fact, continuation of the concept of attributive leadership based on the combination of qualities and behavior of the leader.

Models of charismatic leadership differ by the quantity of stages of charisma development and relations with the followers. It is considered that at the beginning it is necessary to develop sensitivity to the problem detection. Then it is necessary to develop the vision of the idealized ways of the decision of this problem.

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The research of practice of the business organizations has shown that in a usual situation charismatic leadership is not always required for the achievement of good results in business. More often it is suiatable for those cases when the followers strongly ideologize the desires and ways of their performance. In many respects it explains the presence of charisma at the leaders in politics, religion and military operations. The importance of charismatic leadership for business increases as the radical changes happen in connection with criticality of a situation. However, in these circumstances there is the other concept of leadership: the concept of the leader - of the transformer or the leader - the reformer.

The concept of transformative leadership

The concept of transformative or reformative leadership has a lot in common with charismatic leadership. The leader - reformer motivates followers by the increase of level of their consciousness in perception of importance and value of an object in view, granting possibility to combine personal interests with an overall aim and to create a trusty atmosphere and belief of the followers in the necessity of self-development. The leader-reformer is a converter, instead of a savior; he shows creativity, instead of magic; his background consists of realities, instead of myths, he leads the followers from result to result, instead of from promise to promise, focuses people on work, instead of on dividends; his purpose is not to change the world, but to change himself in the world through development.

The model of reformative or transformative leadership assumes presence of certain behavior, suitable for the creative solution of a problem in a crisis situation at the leader and his followers.

"Leadership facilitates the accomplishment of the work and develops the employee; non-leadership accomplishes the work at the expense of the employee. A leader inspires the employee to do his/her best to accomplish the tasks at hand; a non-leader drives or pushes the employee along. A leader assumes the obligations and consequences of the role; a non-leader will pass blame to others. A leader serves while leading. He shows the employee how to do the job. A leader has the skill to awaken emotional as well as rational powers of the followers. A non-leader instills fear in the followers by threats and coercion. A leader knows that positive influence comes from dedication and not knowledge alone" (Garner: 2002).

Management of changes is the basic function of a leader. A leader is necessary where changes should occur.

Attributes of the leader are internal, personal qualities which are components of effective leadership. These attributes include a wide spectrum of characteristics, such as a system of values, character, motives, habits, characteristic features, competence spheres, style, behavior and abilities.

The role, problem, responsibility and power source of a leader:

• Role of a leader - to create followers;

• Problem of a leader - to make constructive and necessary changes;

• Responsibility of a leader - to make changes which will; correspond to long-term objectives of all players;

• Power source of a leader - a trust which is built on the base of sincere service to the followers.

The researches show that 2/3 of the basic knowledge and the abilities which are necessary today for an effective leader concern the sphere of the emotional competence. Great leaders set people in motion by means of emotions. Being a leader, you should direct emotions of a team. If you operate emotions positively, people start to show their best abilities. You inspire people, cause a resonance in them, and they start to work excitedly, showing the first-rate qualities. To force the emotional factor to work, you should possess high emotional competence, defining your ability to operate both own emotions, and emotions of other people.

Effective leadership and management and the system of successful motivation is an administrative ability to define the correct purposes for the personnel, for the purpose of achievement a definite result of work; the acceptance of the responsibility to realize the put goals. In the twenty-first century the leader - the motivational leader is capable to conduct and motivate others. The leader of motivation understands that people are a source of progress and innovations, and thus they are a key of success in the twenty first century.

The key values of the modern leader are:

• Purposefulness;

• Honesty and trust;

• Responsibility for development of employees and results of a team.

The set of these values at leaders draws people and allows them to achieve outstanding results. When the leader is effective he will learn to reveal basic desires and requirements of the personnel, he can operate properly and motivate the personnel to effective work.