Application of Leadership Theories

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TITLE

Critically evaluate the application of leadership theories to a leader in an organisational

context (e.g. a company of your choice) and management theories to a contemporary

organisation

Submitted by

Tine Woji

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TABLE OF CONTENT

Contents
1.0 INTRODUCTION.....................................................................................................................................4
1.2 BACKGROUND ON FAMILY HEALTH INTERNATIONAL (FHI 360)............................................................5
2.0 MANAGEMENT THEORIES.....................................................................................................................6
2.1 Classical Management Theories............................................................................................................6
Table 1: Analysis of Classical Management Theories (Adapted from Cole and Kelly, 2016).................8
2.1.1. APPLICATION OF CLASSICAL MANAGEMENT APPROACHES TO FAMILY HEALTH INTERNATIONAL
(FHI 360)..................................................................................................................................................9
2.2. HUMAN RELATION APPROACH...........................................................................................................10
2.2.1 APPLICATION OF HUMAN RELATIONS APPROACHES TO FAMILY HEALTH INTERNATIONAL (FHI
360).......................................................................................................................................................11
2.3 SOCIAL PSYCHOLOGICAL SCHOOL OF MOTIVATION............................................................................12
Figure 1: Abraham Maslow’s Hierarchy of Needs (Source: A Maslow, KJ Lewis - Salenger Incorporated,
1987 - researchhistory.org)...................................................................................................................12
2.3.1 APPLICATION OF SOCIAL PSYCHOLOGICAL APPROACH TO FAMILY HEALTH INTERNATIONAL (FHI
360).......................................................................................................................................................13
3.0 TRANSFORMATIONAL LEADERSHIP - AN ANALYSIS OF THEORY AND APPLICATION OF
TRANSFORMATIONAL LEADERSHIP TO DORA NKEM AKUNYILI, DIRECTOR GENERAL NATIONAL AGENCY
FOR FOODS AND DRUGS ADMINISTRATION AND CONTROL (NAFDAC) IN NIGERIA, 2001 – 2008............16
3.1 INTRODUCTION...................................................................................................................................16
3.1.1 A BACKGROUND OF DORA AKUNYILI............................................................................................16
3.2 TRANSACTIONAL LEADERSHIP.............................................................................................................18
3.3 TRANSFORMATIONAL LEADERSHIP.....................................................................................................19
4.0 CONCLUSION.......................................................................................................................................22
REFERENCES..............................................................................................................................................23

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1.0 INTRODUCTION

This course on management and leadership theories focus on presenting, reviewing

and critiquing the various leadership and management theories as highlighted by

various researchers and authors. These theories include those from the founding

fathers of management theories. This include Frederick Taylor and Henri Fayol; these

theories were born out of their work as practicing managers and Max Weber who was a

social scientist. Following the early theorist came other social scientist who derived their

school of thought from human behavior and social psychological school. Now we have

the modern school of thought, such as Mintzberg (1975) emerging with more focus on

strategic perspective of management, this is a built up from previous work of the early

theorist.

The classical management theory consists of three school of thoughts, which includes

the Scientific management theory by Frederick W. Taylor (1856 – 1915), Administrative

theory by Henri Fayol (1841 - 1925) and the Bureaucracy theory by Max Weber (1864 –

1924). Then we have the human approach, the systems approach and the modern

approach to leadership and management.

This report aims to review and analyze these leadership and management theories and

talk about their applications to a contemporary organization. The method adopted is the

critical evaluation of the theoretical foundations of the subjects. This was done through

literature review of appropriate literature, examine how they have progressed, the

fundamental concepts and factors and their application to a real-life organizational case.

The contemporary organization in this case will be Family Health International (FHI 360)

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an international nonprofit organization. This study will also take a critical look at the

transformational leadership theory and apply this in practice to the life of the renowned

Mrs. Dora Nkem Akunyili, the Director General of the National Agency for Drugs

Administration and Control (NAFDAC) in Nigeria for the period 2001 – 2008. This choice

was made based on access to enough materials to study and review her work.

1.2 BACKGROUND ON FAMILY HEALTH INTERNATIONAL (FHI 360)

Family Health International (FHI 360) is an international nonprofit organization that

started off in the University of North Carolina in 1971 directing research work in family

planning methods. It has spanned over four decades, growing and seeking innovative

ways to address human development challenges. In 1990, the FHI Foundation was

established, funded by proceeds from two for-profit companies spun off from FHI 360.

Family Health International and Educational Development came together to create FHI

360 in 2011, which expanded the organization’s capabilities to different development

areas. These includes health, education, nutrition, environment, economic development,

civil society, gender equality, youth, research and technology.

FHI 360 has a culture of excellence to meet the various emerging human development

issues. The core values of FHI 360 includes innovation, mutual respect, passion,

accountability, commitment and teamwork. This culture has made the organization to

stand out and receive funding from various international donors and local sponsors.

These international donors include the Global Fund to Fight AIDS, Tuberculosis and

Malaria (GFATM), the United Nations (UN) and the USAID Presidential Emergency

Funds for AIDS Relief (PEPFAR). The organization is highly projectized, for instance,

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the Nigeria country office currently has 10 different projects focusing on various

development issues including humanitarian, education, economic and healthcare.

The aim of the organization is to ensure it can be trusted by its donors to keeps using

innovative ways in a dynamic development world to ensure services are provided to the

right people, as captured in their slogan “the science of saving lives”. It currently has

over 4,000 professionals serving in more than 60 countries including all the U.S. states

and territories.

The organizational structure is hierarchical with the executive management team

reporting to the Board of Directors. However, each country office has its own executive

management team that reports to the Regional Directors at the headquarters. The

headquarters maintains support to the country offices by ensuring that departments in

the country office are mirrored at headquarters and can receive the required capacity

support at any given time. FHI 360 has ensured that 95% of its personnel in country or

regional offices are from the country or region in which the work. This is to minimize

tension and ensure an integration between the culture of the environment and the

organizational culture. (https://www.fhi360.org)

2.0 MANAGEMENT THEORIES

2.1 Classical Management Theories

As mentioned earlier, there are three earliest contributors to management theories,

referred to as the classical management theories. These are Max Weber, Henri Fayol

and Frederick Winslow Taylor. Each of these theorists outlined certain basic principles

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of management. However, there were some areas of connection between the three

theories. The three theories are as listed below;

- F.W. Taylor - Scientific Management Theory

- Henri fayol - Administrative Theory

- Max Weber - Bureaucracy Theory

According to Cole, 2004, these early theorists focused on the structure of work and

organization, much attention was not paid to human behavior, motivation and the

culture of the organization. Henri Fayol focused on the structure of work at the shop

floor level, while Taylor and Weber focused on structure of work at the organizational

level.

It is worthy of note to take into cognizance that there were areas of overlap between the

three early management theories. Fayol (1916) and Weber (1978) both had

organizational view to their perspectives (Cole and Kelly, 2016). Also, in reviewing some

of the 14 management principles of Fayol, you recognize that they are reflective of the

description of bureaucracy by Weber. Some of these functions include division of work,

authority, unity of command, scalar chain and equity. Though Fayol had a softer view to

organizational management by taking into cognizance the human factor, where he

incorporated “Esprit de corps” in his 14 management principles.

Taylor (1911), Fayol (1916) and Weber (1978) all had an overlap in terms of ‘division of

labour’, ‘hierarchy’ and ‘standardization’. For Taylor standardization was focused at the

shop floor level to minimize waste in human efforts and this also applied to hierarchy,

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where management was to take responsibility for develop and train workers on what to

do and how. Fayol (1916) agrees to standardization at the organizational level to train

and equip managers, this agrees with Weber’s view of standardization at the

organizational level.

Table 1: Analysis of Classical Management Theories (Adapted from Cole and


Kelly, 2016)

TAYLOR (1911) FAYOL (1916) WEBER (1978)


 Down-top approach.  Top – down approach.  Hierarchy of authority

 The “science of work”,  Management process - Authority should be

management to decide and principles for the linked to position

work methods. entire organization (rational-legal

 The focus was efficiency (Managerial approach) authority)

and productivity, reduce  The focus was a  Organizations should

the waste in human efforts systematic way to be governed by rules

“one right way to do the train/equip managers. and policies

job” (standardization at the (standardization) articulated and

lower level) verified in writing.


Management functions
 More acceptance of
include planning, organizing, Principles:
responsibilities by
commanding, coordination
management (Hierarchy)  Division of labour
and control
o Establish rules of among

how work was to 14 principles of management participants.

be done (not exhaustive (Division of  Hierarchy of office

o Train & develop work; Authority; Discipline;  General rules that

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workers govern
Unity of command; Unity of
o Cooperate with performance
direction; subordination of
workers to ensure  Separation of
individual interest to general
work was done personal life from
interest; Remuneration;
according to rules work life
Centralization; Scalar chain;
o Equal division of  Equal treatment of
order; Equity; Stability of
work between employees
tenure of personnel; Initiative
mgt. and workers
and Esprit de corp)
 Separation of ‘planning’

and ‘execution’ roles.

Source: Cole. G. A. and Kelly, P. (2016) ‘Management Theory and Practice’ (8th Edition), Cengage

2.1.1. APPLICATION OF CLASSICAL MANAGEMENT APPROACHES TO FAMILY


HEALTH INTERNATIONAL (FHI 360)

Family Health International is an international nonprofit organization with several

country offices across 60 countries and with over 4000 staff. Though it is not into

production and is not a profit-making organization, it leans towards the administrative

management and bureaucracy theory. As stated, it is not about an organization deciding

to be bureaucratic, particularly for large organizations, but the question is – how much

of the bureaucracy is entertained by the organization (Cole and Kelly, 2016). FHI 360

operates a hierarchical system, where every project has a Project Director and all

Project Directors reports to the Country Director at the national level. The Country

Directors will report to their Regional Directors and these Regional Directors are

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responsible to report to the Board of the organization. There is a compliance

department at the Country office level and the headquarter level, this department is to

ensure that operations are conducted in line with the organizational policies, rules and

procedures. Where there are contractual agreements with the donors, this must also be

adhered to by the organization.

FHI 360 has more recently leaned towards the Total Quality Leadership Accountability

(TQLA) approach. The fulcrum of TQLA is to optimize efficiencies, build synergies and

ensure accountability in a project management environment (FHI 360 TQLA factsheet,

November 2019). Total quality management idea is seen as one of the descendants of

Taylorism (Cole and Kelly, 2016 – pg.32-33).

2.2. HUMAN RELATION APPROACH

The Human relation approach looks on the “content theories” of motivation. This

focuses on what motivates human behaviours in the workplace in terms of needs,

drivers or triggers.

The human relations theory started with the Hawthorne experiment also known as the

Elton Mayo’s Hawthorne effect. This experiment was to understand the driving factors to

employee motivation; hence it was solely focused on the workers and their behaviour

rather than the work itself. The experiment was carried out in 4 different stages, starting

with the basics of lighting effect (environment), to employees working in groups and

being supervised. These experiments were conducted with consultation of the

employees.

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The conclusion of this experiment showed the following (Mayo, 1933);

- Money was not the only the influencing factor for motivation, the social needs of

staff was equally a key driver of motivation. Humans want to have that sense of

belonging to a group even in a work environment.

- Supportive supervision by management was also a key driver of staff motivation

as it enhances their performance and improves productivity.

2.2.1 APPLICATION OF HUMAN RELATIONS APPROACHES TO FAMILY HEALTH


INTERNATIONAL (FHI 360)

The human relations approach is applicable in the Family Health International setting.

The organization operates various projects that consist of groups/teams working on the

same projects. Within these project teams, there are smaller teams consisting of staff

working in the same thematic area, such as operations or monitoring and evaluation.

Teams can galvanize together by carrying out some social activities together within the

work environment. This includes activities like celebrating birthdays around a cake and

some drinks. Supervisors in the organization maintain an “open door” policy, where their

direct reports can work into their offices at any time to seek clarification or support

regarding a task.

The annual performance assessment is one of the supportive process that the

organization encourages most be a continuous process. As stated in the employee

handbook, “Supervisors are expected to conduct performance discussions throughout

the year with employees” (FHI 360 Employee handbook, 2018).

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These processes have improved working relationship within the organization and

motivates staff to see that their teams are achieving their set targets and deliverables.

2.3 SOCIAL PSYCHOLOGICAL SCHOOL OF MOTIVATION

This body of scientists recognized that people have not only physical and social needs

but also have a desire for self-actualization.

In this school of thought we will look at Abraham Maslow’s hierarchy of needs. This

theory is premised on the thought that people have varying needs that tend to motivate

them (Maslow, 1943). He stated that people are motivated to meet their basic or lower

level needs before they pursue higher level needs. Figure 1 shows Maslow’s hierarchy

of needs, the bottom of the pyramid refers to the basic needs of human, while the top

refers to self-actualization. To meet the higher-level needs, you will need to first meet

the lower level needs. If you have need for physiological needs, there is no way you are

going to be able to or willing to pursue the need for safety and security, until your

physiological needs are met.

Figure 1: Abraham Maslow’s Hierarchy of Needs (Source: A Maslow, KJ Lewis -


Salenger Incorporated, 1987 - researchhistory.org)

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At the organizational level, the organization will have to keep looking at avenues where

they can support their staff to ensure that their needs are being met. By doing this,

organization can support staff to attain move towards attaining self-actualisation, it will

also motivate the staff to be more productive at their jobs and ensure the organization is

achieving its own set out goals.

According to Maslow (1943) “Even if all these needs are satisfied, we may still often (if

not always) expect that a new discontent and restlessness will soon develop, unless the

individual is doing what he is fitted for.” This statement was in reference to self-

actualisation by individuals. Individuals will remain at a place where they feel

dissatisfied until they are able to be all that they want to be in life.

2.3.1 APPLICATION OF SOCIAL PSYCHOLOGICAL APPROACH TO FAMILY


HEALTH INTERNATIONAL (FHI 360)

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FHI 360 continues to provide her staff with all the necessary support and enabling

environment to ensure that staff are supported to meet their needs, especially the lower

level of needs. Staff are remunerated according to their qualifications, experience and

technical expertise in their areas of specialization. Every staff get an annual

performance increase of not more than 5% of their basic salary, this is based on their

performance appraisal scores from their supervisors.

The organization has a security unit manned by trained security personnel. They are

responsible for ensuring that staff get security advisory to be able to keep safe during

security challenges, adequate security checks are in place before visitors can access

office buildings.

In the FHI 360 Nigeria Country office, provision is made for staff to be able to socialize,

either during their lunch breaks or after office hours. There is a restaurant within the

building, a creche for nursing mothers and a tennis table for those who would love to

play games.

At the higher level of needs, the organization make plans for staff development through

trainings. Sometimes the organization host online training sites and employees can join

by paying for their course fees but at a subsidized rate for groups. However, depending

on the agreement signed by various projects and the donors involved, trainings can be

fully sponsored by the organization. According to the FHI 360 National Employee

handbook (2018), “FHI 360 may allow employees to adjust work hours in order to

participate in trainings”.

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FHI 360 is one organization who prides herself with the fact that returning former

employees. Veteran staff who secure new jobs and are moving on are usually

celebrated by the organization and encouraged to return whenever there are openings

in the organization. This is captured in the handbook as “Re-hiring former employees”.

The contemporary school think more of adapting structures and changing behaviours of

people rather than the rational model by old thinkers.

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3.0 TRANSFORMATIONAL LEADERSHIP - AN ANALYSIS OF THEORY AND
APPLICATION OF TRANSFORMATIONAL LEADERSHIP TO DORA NKEM
AKUNYILI, DIRECTOR GENERAL NATIONAL AGENCY FOR FOODS AND
DRUGS ADMINISTRATION AND CONTROL (NAFDAC) IN NIGERIA, 2001 –
2008

3.1 INTRODUCTION

This section will critically review transformational leadership theory, and analyse the

theory in order to look at its application to Dora Nkem Akunyili, the renowned Director

General of NAFDAC for the period between 2001 - 2008. Comments will be made

showing the fit between theory and practice.

The method will include an analysis and review of the previous contemporary work done

by different theorists and authors. This section will also look at the background of Dora

Akunyili, particularly her childhood, culture and experiences. This is with a view to

understand how these might have impacted her values as a leader.

3.1.1 A BACKGROUND OF DORA AKUNYILI

Dora Akinyili was born into a wealthy home on July 14, 1954 in Makurdi, a city in

northern Nigeria, to Chief Paul Young Edemobi & Mrs Grace Udemehie Edemobi. She

had 2 other siblings and due to her outstanding performance academically, her father

exempted her from doing any house chores, which resulted to sibling rivalry. Hence, the

dad was convinced to send her to the village. In 1963, as a 9year old child she was sent

off to Isuofia, a village in the Eastern part of Nigeria to live with her maternal

grandmother, devoid of any social amenities. She experienced culture shock, from a

child growing up in affluence and doing no house chores to doing all the domestic

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chores, which included going to the village stream to fetch water, fetching firewood from

the forest and trekking about a mile to get to school. It was a busy life, because rest in

the village was regarded as laziness.

One of the drivers for studying so hard was to ensure that she leaves the village as

soon as possible. If her performance was good, she would gain admission to a higher

institution of learning. In 1967, she completed and passed her first school leaving

certificate with a distinction. Afterwards, the civil war broke out in Nigeria between 1967

– 1970, she was joined in the village by her parents and siblings.

However, because she was determined to succeed in her academic pursuit, she

continued to walk to school many miles away, even in the face of the war. She

continued until the school was attacked and the family needed to relocate to a place of

safety. At some point, she and her siblings were involved in unpaid child labour.

Against all odds, she was able to resume school after the war and graduated from high

school in 1973 with a distinction, earning a government scholarship. After her university

education, she worked briefly in a hospital before proceeding for undergraduate studies.

However, she was offered a direct PhD in University of Nigeria, Nsukka (UNN)on a full

scholarship.

After her PhD she started teaching in UNN with the ultimate ambition of becoming a

professor, not knowing that God had other plans for her. With her interest in helping

others, she decided to build a hospital for the poor people in her husband’s village. This

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feat she was able to achieve with support from the men and women of the village. In

achieving this, her journey of several political appointments started.

In line with her values of zero tolerance for corruption, during one of such public

appointments, she was provided funds for an operation in the UK. However, on getting

there she was told there was no need for the operation. Hence, she returned the money

on her return to the country. She was celebrated for this and this gesture was what

opened the opportunity for her to be called by the then President Olusegun Obasanjo to

serve as the Director General of the National Agency for Drugs Administration and

Control (NAFDAC)

According to Akunyili, the hardship she suffered in the village only made her more

resolute and able to adjust to any situation. Growing up in the village also made her to

imbibe zero tolerance for corruption as it was a taboo in her culture to steal or engage in

any form of embezzling of community funds. This affected not only the culprit, but their

lineage forever. (adapted from Akunyili, 2011)

3.2 TRANSACTIONAL LEADERSHIP

Max Weber (1947) first recognized and studied leadership that went beyond social

exchange to a more charismatic outlook. In Weber’s view, transformation leaders are

the leaders that would bring about social change. Downton (1973) agrees that

transactional leadership is about social exchange and emphasized this was done to fulfil

a mutual agreement between the leader and the follower. He also distinguished

between positive and negative transactions, which is rewards for achieving agreed

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outcomes and punishment or consequences for non-achievement or defiance from the

required outcomes.

This was further expanded by Burns (1978) who stipulated two types of leadership, the

transactional and transformational leadership. He highlighted that transactional

leadership focuses on social exchange. Where leaders motivate followers to conduct

certain activities or achieve targets in exchange for rewards or incentives.

Dora Akunyili, the Director General of NAFDAC can be said to have exhibited some of

the traits of transactional leadership. When she assumed office in 2001, one of the

restructuring strategies she set-up was a reward system for hard work, dedication and

transparency (Akunyili, 2011). This reward was not necessary in monetary terms, but

this was as basic as a letter of recommendation signed by the Director General of the

agency. Staff were also exposed to relevant trainings; these were not just local trainings

but international trainings. This was an outstanding reward and motivating factor

because in the local context attending an international training exposes the staff to a

broader context and you earn respect both internally and externally from your peers and

colleagues.

3.3 TRANSFORMATIONAL LEADERSHIP

According to Bass and Riggio (2006), transformational leadership could be referred to

as an expansion of transactional leadership. Though, transactional leadership is

focused on the transaction or social exchange, transformational leadership is about

inspiring followers to commit to a shared vision that is far bigger than themselves, which

could be referred to as shift from personal to corporate identity. This can be achieved

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through mentoring and coaching, to support and encourage followers to attain some

level of self-actualisation. This most times will challenge followers to be innovative and

do beyond and above what they thought they could do. Burns (1978) supports this view

by stating that transforming leaders can support followers to understand ethical issues

and their implications, so they can go beyond personal interest to corporate interest.

Akunyili on assumption of duty in 2001, her first focus was “people”, she wanted to

ensure that she had the right team that will support her to reposition the agency. She

adopted the participatory style by consulting with staff to agree on how best to

reposition the organization. Some of the key actions adopted included:

- Activities in NAFDAC to be conducted in a professional and businesslike manner,

hence, the team will see themselves as being in the business of safeguarding

public health.

- Adopt the mindset of having a special call, and indeed a life-saving mission.

- Stop all fraudulent practices and corruption in any form.

- Everyone must be involved to stop counterfeit drugs, tainted food products and

other regulatory lapses.

(Akunyili, 2011)

Bass and Riggio (2006) were proponents of charisma as a component of

transformational leadership. According to House (1977), charismatic leaders challenge

the ‘status quo’ by believing and setting high expectations for themselves and by so

doing they can become role models to their followers. Hence, whatever demands they

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make on their followers, the followers are willing to emulate them and achieve

outstanding performance.

Bass (1985) referred to charisma as the emotional element of leadership. He supports

the argument of House, that charismatic leaders can get their followers to be strongly

attached to them emotionally.

Akunyili was able to change the “status quo” of the National Agency for Food and Drugs

Administration and Control (NAFDAC) as an organization with a culture of bribery and

corruption to that of integrity. After seven years (2001 – 2008) of assuming the position

of the Director General of NAFDAC, the organization was able to gain public trust and

confidence again, both locally and internationally. Within this period, regulatory

authorities and international bodies from around the world came to Nigeria on study

tours to NAFDAC to learn from their experiences and strategies in the fight against

counterfeit medicines and other substandard health sensitive products (Akunyili, 2011).

According to a study carried out by WHO and the Department for International

Development (DFID) in 2005/2006, counterfeit drugs in circulation in Nigeria dropped

from an average of over 41% in 2001 to 16.7% in 2006. They also found that drugs

unregistered by NAFDAC stood at 19% in 2006 as against 68% recorded in 2002 (cited

from Akunyili, 2011)

These achievements were achieved through setting high expectation for herself and the

team. According to Akunyili (2011), after assuming the position of Director General in

April 2001, for the next six months she and her team of Directors worked every day

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including weekends to deal with a mirage of pending issues. This continued until she

had a nervous breakdown in November 2001, and she was forced to stop working

during the weekends. Key among her restructuring mantra was leadership by example,

she always practiced what she expected of her staff.

4.0 CONCLUSION

In this report, we were able to review and look critically at some key management

theories, this included the classical management theories, the behavioural and the

social psychological approaches. These theories were critique against the current

management practices. Worthy of note is that though these early theories spanning

from the 20th century and during the industrial revolutionary period, they are still very

applicable to our current organizational structures and human behaviour studies.

The transformational leadership theory stands out among other leadership theories. As

stated by Weber (1947), transformational leadership can bring about social change.

This precisely is what happened in the case of Dora Akunliyi, she completely

transformed NAFDAC during her 8-year term and was able to regain the confidence of

the public, both locally and internationally.

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