PROJECT REPORT ON

LEADERSHIP MANAGEMENT

SUBMITTED BY

SUMIT CHOWDHURY

ROLL NO: S-310

BACHELOR OF MANAGEMENT STUDIES SEMESTER-V

ACADEMIC YEAR 2012-13

PROJECT GUIDE

Prof. DIVYA KANCHAN

KHAR EDUCATION SOCIETY‘S COLLEGE OF COMMERCE AND

ECONOMICS
KHAR WEST
MUMBAI-400052
 Page |2

DECLARATION

I, SUMIT CHOWDHURY of KHAR EDUCATION SOCIETY‘S COLLEGE OF

COMMERCE AND ECONOMICS of TYBMS [Semester V] hereby declare that I
have completed my project, titled ‗Leadership management‘ in the Academic Year
2012-2013.

The information submitted herein is true and original to the best of my knowledge.

_____________________

Signature of Student
[SUMIT CHOWDHURY]
 Page |3

ACKNOWLEDGEMENT

To list who all helped me is difficult because they are so numerous and the depth is
so enormous.

I would like to acknowledge the following as being idealistic channel and fresh
dimension in the completion of this project.

I take this opportunity to thank the University of Mumbai for giving me chance to
do this project.
.
I take this opportunity to thank our coordinator Mrs. Shivangi bhatt, for her moral
support and guidance.

I would also like to express my sincere gratitude towards my project guide MS.
Divya kanchan whose guidance and care made the project successful.

I would like to thank my college library, for having provided various reference
books and magazines related to my project.

Lastly, I would like to thank each and every person who directly or indirectly
helped me in the completion of the project, especially my parents and my peers
who supported me throughout my project.
 Page |4

INDEX
Sr no. TOPIC Page
no.
1. INTRODUCTION OF LEADERSHIP 7-39
I Managers or leaders 10
II Leadership theories and approach 11
III Leadership styles 13
IV Blake Mounton managerial grid 29
V Leadership qualities 35
2. Leading by example 36
GREAT LEADERS 40-52
I Adolf Hitler 40
II Ratan Tata 43
III Dhirajlal Hirachand Ambani 47
IV Steve Jobs 50
3. LEADERSHIP STARTS WITH YOU,NOT THEM 53-64
I Emotional Intelligence 53
II 10 Common Leadership And Management Mistakes 59
III Situational Factors 63
4. LEADERSHIP AND EMPOWERMENT 65-71
I Training 65
II Mentoring 66
III Coaching 69
5. MOTIVATION AT WORK, MOTIVATION AND
LEADERSHIP 72
 Page |5

6. TYPES OF LEADERSHIP 75-85

I Strategic Leadership 75

II Ethical Leadership 81

8. CONCLUSION 86
9. BIBLOGRAPHY 87
 Page |6

EXECUTIVE SUMMARY

Leadership is a part of all us at home, in business, and our community. What

was extremely beneficial to me was that reading through the various theories, and
case studies, I was able to identify with many of these examples and situations. It
had enriched me with an insight about myself.

It is that very awareness of both my personal and other people's behaviors that
makes leadership possible. I am the first to admit that learning about leadership
management does not automatically make one a good leader, but they give a
tremendous insight and the possibility to become a better one.

My own view is that ―Leadership is a process to change or create something from

what otherwise would be chaos‖. It must be highly flexible and demands
awareness, skills, and sensitivity. It is highly dependent on situations. Leadership is
being human. They are all equally eye opening for everyone in the organization.
 Page |7

LEADERSHIP MANAGEMENT

What is leadership?

"Leaders are people who do the right thing; managers are people who do things
right."
– Professor Warren G. Bennis
"Leadership is the art of getting someone else to do something you want done
because he wants to do it."
– Dwight D. Eisenhower
The word "leadership" can bring to mind a variety of images. For example:
 An army officer, charging forward to meet the enemy.
 An explorer, cutting a path through the jungle for the rest of his party to
follow.
 An executive, developing her company's strategy to remain ahead of the
competition.
 Page |8

Leaders help themselves and others to do the right things. They set direction, build
an inspiring vision, and create something new. Leadership is about mapping out
where you need to go to "win" as a team or an organization. Leadership is
dynamic, vibrant, and inspiring. Yet, while leaders set the direction, they must also
use management skills to guide their team to the right destination in a smooth and
efficient way.

In this article, we'll focus on the process of leadership. In particular, we'll discuss
the "transformational leadership" model, first proposed by James Macgregor
Burns. This model highlights visionary thinking and bringing about change,
instead of management processes that are only designed to maintain current
performance.

It‘s the ability to influence a group toward the achievement of goals Leadership
Management is a function of knowing yourself, having a vision that is well
communicated, building trust among colleagues and taking effective action to
realize your own leadership potential, Leadership Management is about building
teams and communicating so that everyone works together. The importance of
leadership is a key ingredient to successful businesses and championship teams.
Teams that have this synergy tend to be the ones on top.

A leader is someone you trust and is knowledgeable, but not all knowing; speaks
with purpose, but listens well; sets the example and lives the corporate values
everyone is expected to follow.
 Page |9

Why Is Leadership Management Important?

 Leadership is about building teams and communicating so that everyone

works together. The importance of leadership is a key ingredient to
successful businesses and championship teams.
 Teams that have this synergy tend to be the ones on top.
 Effective leadership helps our nation through times of peril
 It makes a business organization successful.
 It enables a not-for-profit organization to fulfill its mission. Without
leadership, organizations move too slowly, stagnate and lose their way

―Leadership is the ability to achieve great personal and organizational results through
others using positive interpersonal relationships.”
 P a g e | 10

MANAGER OR LEADER???

We hereby kill the word ―manager.‖ Burn it, rip it up, stab it, it is done. It is
heavily stigmatized as ―second-class citizen‖ compared to the idealized ―leader.
―Frankly, we simply do not need it. ―Leader‖ will do. It is a big lie that ―managers‖
and ―leaders‖ are different things. Managers deal with the present. Leaders deal
with the future. I am sure you have heard things like this before
I actually found the list below saying that:
A manager takes care of where you are; a leader takes you to a new place.

A manager deals with complexity; a leader deals with uncertainty.

A manager is concerned with finding the facts; a leader makes decisions.

A manager is concerned with doing things right; a leader is concerned with doing
the right things.

A manager‘s critical concern is efficiency; a leader focuses on effectiveness.

A manager creates policies; a leader establishes principles.

A manager finds answers and solutions; a leader formulates the questions and
identifies the problems.

Hopefully, you see the humor and absurdity in these statements. In reality,
managers and leaders are the same thing. However, there are many bad leaders!
 P a g e | 11

Stop thinking about “manager” versus “leader,” and start thinking about what it
means to be a “great leader.”

LEADERSHIP THEORIES APPROACHES

Theoretical based: Theories always provided basis for the understanding of

different concepts. Let‘s discuss first the basic approaches/theories which will help
us to understand the other approaches and theories directly related to leaderships.

Theory X and Theory Y

Understanding team member motivation:

What motivates employees to go to work each morning? Many people get great
satisfaction from their work and take great pride in it; others may view it as a
burden, and simply work to survive.
This question of motivation has been studied by management theorists and social
psychologists for decades, in attempts to identify successful approaches to
management.

Understanding the Theories:

Your management style is strongly influenced by your beliefs and assumptions
about what motivates members of your team: If you believe that team members
dislike work, you will tend towards an authoritarian style of management; On the
 P a g e | 12

other hand, if you assume that employees take pride in doing a good job, you will
tend to adopt a more participative style.

Theory X
Theory X assumes that employees are naturally unmotivated and dislike working,
and this encourages an authoritarian style of management. According to this view,
management must actively intervene to get things done. This style of management
assumes that workers:
 Dislike working.
 Avoid responsibility and need to be directed.
 Have to be controlled, forced, and threatened to deliver what's needed.
 Need to be supervised at every step, with controls put in place.
 Need to be enticed to produce results; otherwise they have no ambition or
incentive to work.
X-Type organizations tend to be top heavy, with managers and supervisors
required at every step to control workers. There is little delegation of authority and
control remains firmly centralized.
McGregor recognized that X-Type workers are in fact usually the minority, and yet
in mass organizations, such as large scale production environment, X Theory
management may be required and can be unavoidable.

Theory Y
Theory Y expounds a participative style of management that is de-centralized. It
assumes that employees are happy to work, are self-motivated and creative, and
enjoy working with greater responsibility. It assumes that workers:
 Take responsibility and are motivated to fulfill the goals they are given.
 Seek and accept responsibility and do not need much direction.
 P a g e | 13

 Consider work as a natural part of life and solve work problems

imaginatively.

This more participative management style tends to be more widely applicable. In

Y-Type organizations, people at lower levels of the organization are involved in
decision making and have more responsibility.

Leadership Styles and Theories

Using the Right One for the Situation
From Mahatma Gandhi to Winston Churchill to Martin Luther King, there are as
many leadership styles as there are leaders. Fortunately, businesspeople and
psychologists have developed useful and simple ways to describe the main styles
of leadership, and these can help aspiring leaders understand which styles they
should use.
So, whether you manage a team at work, captain a sports team, or lead a major
corporation, which approach is best?
With this in mind, there are many different frameworks that have shaped our
current understanding of leadership, and many of these have their place, just as
long as they're used appropriately.
 P a g e | 14

Leadership Theories
Researchers have developed a number of leadership theories over the years. These
fall into four main groups:
1. Behavioral theories – What does a good leader do?
Behavioral theories focus on how leaders behave. Do they dictate what needs to be
done and expect cooperation? Or do they involve the team in decisions to
encourage acceptance and support?

In the 1930s, Kurt Lewin developed a leadership framework based on a leader's

decision-making behavior. Lewin argued that there are three types of leaders:

1. Autocratic leaders Make decisions without consulting their teams. This is

considered appropriate when decisions genuinely need to be taken quickly,
when there's no need for input, and when team agreement isn't necessary for
a successful outcome.
2. Democratic leaders allow the team to provide input before making a
decision, although the degree of input can vary from leader to leader. This
type of style is important when team agreement matters, but it can be quite
difficult to manage when there are lots of different perspectives and ideas.
3. Laissez-faire leaders don‘t interfere; they allow people within the team to
make many of the decisions. This works well when the team is highly
capable and motivated, and when it doesn't need close monitoring or
supervision. However, this style can arise because the leader is lazy or
distracted, and, here, this approach can fail.

Similar to Lewin's model, the Blake-Mouton Managerial Grid helps you decide
how best to lead, depending on your concern for people versus your concern for
 P a g e | 15

production. The model describes five different leadership styles: impoverished,

country club, team leader, produces or perishes, or middle of the road. The
descriptions of these will help you understand your own leadership habits and
adapt them to meet your team's needs.
Clearly, then, how leaders behave impacts on their effectiveness. Researchers have
realized, though, that many of these leadership behaviors are appropriate at
different times. So, the best leaders are those who can use many different
behavioral styles and use the right style for each situation.

2. Contingency theories – How does the situation influence good leadership?

The realization that there isn't one correct type of leader led to theories that the best
leadership style is contingent on, or depends on, the situation. These theories try to
predict which leadership style is best in which circumstance. When a decision is
needed fast, which style is preferred? When the leader needs the full support of the
team, is there a better way to lead? Should a leader be more people oriented or task
oriented? These are all examples of questions that contingency leadership theories
try to address. A popular contingency-based framework is the Hersey-Blanchard
Situational Leadership Theory, which links leadership style with the maturity of
individual members of the leader's team. It‘s also contains the following theories:

The Fiedler Model: This is the first comprehensive contingency model for
leadership. Effective group performance depends on the proper match between the
leader‘s style of interaction and the degree to which the situation gives control and
influence to the leader. Fiedler developed an instrument, the Least-Preferred Co-
worker (LPC) questionnaire that measures the leader‘s behavioral orientation
either task oriented or relationship oriented. He isolated three situational criteria:
leader-member relations, task structure, and position power that can be
 P a g e | 16

manipulated to create the proper match with the behavioral orientation of the
leader.

This contingency leadership model is an outgrowth of trait theory. Fiedler,

however, attempted to isolate situations, relating his personality measure to his
situational classification, and then predicting leadership effectiveness. Fiedler
believed that an individual‘s basic leadership style is a key factor. The LPC
questionnaire contains 16 contrasting adjectives, asks the respondent to think of all
the co-workers he or she has ever had, and rates that person on a scale of 1 to 8 for
each set of contrasting adjectives. What you say about others tells more about you.

If the least-preferred co-worker was described in positive terms (a high LPC

score), then the respondent was primarily interested in good personal relations with
co-workers. If the least-preferred co-worker is seen in relatively unfavorable terms,
the respondent is primarily interested in productivity and thus would be labeled
task oriented. Fiedler argued that leadership style is innate to a person—you can‘t
change your style. It is necessary to match the leader with the situation based on
three criteria.
Leader-member relations-the degree of confidence, trust, and respect
subordinates have in their leader.
Task-structure- The degree to which the job assignments of subordinates are
structured or unstructured.
Position power- The degree of influence a leader has over power variables such as
hiring firing, discipline, promotions, and salary increases.
 P a g e | 17

The next step is to evaluate the situation in terms of these three contingency
variables. The better the leader-member relations, the more highly structured the
job, and the stronger the position power, the more control or influence the leader
has. Fiedler concluded that task-oriented leaders perform best in situations that are
very favorable or very unfavorable to them.

A moderately favorable situation, however, is best handled through relationship-

oriented leadership.

Situational Leadership Theory:

Paul Hersey and Kenneth Blanchard developed the leadership model. Which is
Called situational leadership; it shows how a leader should adjust leadership style
to reflect what followers need. Successful leadership is contingent on the
follower‘s level of readiness.

Why focus on the followers? And what do they mean by the term readiness?
This emphasis reflects the reality that it is the followers who accept or reject the
leader. Regardless of what the leader does, effectiveness depends on the actions of
his or her followers.

The term ―readiness‖ refers to the extent that people have the ability and the
willingness to accomplish a specific task.
• Hersey and Blanchard identify four specific behaviors.

- Follower: unable and unwilling

– Leader: needs to give clear and specific directions (Selling).
 P a g e | 18

-Follower: unable but willing

–Leader: needs to display high task orientation and high relationship orientation.
(Telling)
- Follower: able but unwilling
Leader: needs to use a supportive and participative style. (Participating)
-Follower: both able and willing
Leader: a lenient approach will work. (Delegating)

The most effective behavior depends on a follower‘s ability and motivations.

• If a follower is unable and unwilling, the leader needs to display high task
orientation.
• At the other end of the readiness spectrum, if followers are able and willing, the
leader doesn‘t need to do much.
• Situational leadership has an intuitive appeal it acknowledges the importance of
followers and builds on the idea that leaders can compensate for the lack of ability
and motivation of their followers.
• Research efforts to test and support the theory have generally been mixed.

Path-Goal Theory:
1. One of the most respected approaches to leadership is path-goal theory.
2. Developed by Robert House, a contingency model of leadership that extracts
key elements from the Ohio State leadership research and the expectancy theory of
motivation.
3. The essence of the theory: the leader‘s job is to assist followers in attaining their
goals and to ensure that their goals are compatible with the overall objectives of
the group or organization.
 P a g e | 19

4. A leader‘s behavior is acceptable to employees to the degree that they view it as

an immediate source of satisfaction or as a means of future satisfaction.
5. A leader‘s behavior is motivational to the degree that it
a) makes employee need-satisfaction contingent on effective performance.
b) Provides the coaching, guidance, support, and reward necessary for effective
performance.
6. House identified four leadership behaviors;
a) The directive leader tells employees what is expected of them, schedules work,
and gives specific guidance as to how to accomplish tasks. It parallels initiating
structure.
b) The supportive leader is friendly and shows concern for the needs of
employees. It is essentially synonymous with the dimension of consideration.
c) The participative leader consults with employees and uses their suggestions
before making a decision.
d) The achievement-oriented leader sets challenging goals and expects
employees to perform at their highest levels.
7. In contrast to Fiedler, House assumes that leaders are flexible.
a) Path-goal theory implies that the same leader can display any or all leadership
styles, depending on the situation.
8. Path-goal theory proposes two classes of contingency variables:;
a) Those in the environment that are outside the control of the employee (task
structure, the formal authority system, and the work group).
1) Environmental factors determine leader behavior required if employee outcomes
are to be maximized.
b) Those that are part of the personal characteristics of the employee (locus of
control, experience, and perceived ability).
 P a g e | 20

Personal characteristics determine how the environment and leader behavior are
interpreted.
c) The theory proposes that leader behavior will be ineffective when it is redundant
to sources of environmental structure or incongruent with subordinate
characteristics.

9. Research to validate path-goal predictions is encouraging, although not all is

found positive.

The majority of the evidence supports the logic underlying the theory.
Path-Goal Leadership Model
Employee
Contingencies
Environmental
Contingencies

Leader Behaviors
• Directive

• Supportive
• Participative
• Achievement oriented

Leader Effectiveness
• Motivated employees

• Satisfied employees
• Leader acceptance
 P a g e | 21

3. Trait theories – What type of person makes a good leader?

Trait theories argue that leaders share a number of common personality traits and
characteristics, and that leadership emerges from these traits. Early trait theories
promoted the idea that leadership is an innate, instinctive quality that you either
have or don't have. Thankfully, we've moved on from this approach, and we're
learning more about what we can do as individuals to develop leadership qualities
within ourselves and others.

What's more, traits are external behaviors that emerge from things going on within
the leader's mind – and it's these internal beliefs and processes that are important
for effective leadership.

Trait theory does, however, help us identify some qualities that are helpful when
leading others and, together, these emerge as a generalized leadership style.
Examples include empathy, assertiveness, good decision-making, and likability

4. Power and influence theories – What is the source of the leader's power?
Power and influence theories of leadership take an entirely different approach.
They're based on the different ways in which leaders use power and influence to
get things done, and the leadership styles that emerge as a result. Perhaps the most
well-known of these theories is French and Raven's Five Forms of Power. This
model distinguishes between using your position to exert power, and using your
personal attributes to be powerful.
 P a g e | 22

An Up-to-Date Understanding of Leadership

Within all of these theories, frameworks, and approaches to leadership, there's an
underlying message that leaders need to have a variety of factors working in their
favor. Effective leadership is not simply based on a set of attributes, behaviors, or
influences. You must have a wide range of abilities and approaches that you can
draw upon.
Having said this, however, there's one leadership style that is appropriate in very
many corporate situations – that of Transformational Leadership. A leader using
this style:
 Has integrity.
 Sets clear goals.
 Clearly communicates a vision.
 Sets a good example.

 Expects the best from the team.

 Encourages.
 Supports.
 Recognizes good work and people.
 Provides stimulating work.
 Helps people see beyond their self-interests and focus more on team
interests and needs.

 Inspires.
In short, transformational leaders are exceptionally motivating, and they're trusted.
When your team trusts you, and is really "fired up" by the way you lead, you can
achieve great things!
 P a g e | 23

Having said that Transformational Leadership suits very many circumstances in

business, we need to remember that there may be situations where it's not the best
style. This is why it's worth knowing about the other styles shown below so that
you have a greater chance of finding the right combination for the situation you
find yourself in.

Popular Leadership Styles

The leadership theories and styles discussed so far fit within formal theoretical
frameworks. However, many more terms are used to describe leadership styles,
even if these don't fit within a particular system
1. Autocratic leadership:
The classical approach .Manager retains as much power and decision making
authority as possible. Does not consult staff, nor allowed to give any input,
Staff expected to obey orders without receiving any explanations. Structured set
of rewards and punishments, greatly criticized during the past 30 years .Gen X
staff highly resistant
Autocratic leaders:
Rely on threats and punishment to influence staff.
Do not trust staff.
Do not allow for employee input.

Sometimes the most effective style to use

When:
• New, untrained staff do not know which tasks to perform or which
procedures to follow.
• Effective supervision provided only through detailed orders and instructions.
 P a g e | 24

• Staffs do not respond to any other leadership style.

• Limited time in which to make a decision.
• A manager‘s power challenged by staff.
• Work needs to be coordinated with another department or organization.

When it should not be used:

• Staff become tense, fearful, or resentful
• Staff expect their opinions heard
• Staff depend on their manager to make all their decisions
• Low staff morale, high turnover and absenteeism and work stoppage

2. Bureaucratic leadership:
It manages ―by the book‖ everything done according to procedure or policy. If
not covered by the book referred to the next level above. A police officer not a
leader enforces the rules.

When it is most effective:

• Staff performing routine tasks over and over
• Staff needs to understand certain standards or procedures.
• Safety or security training conducted
• Staff performing tasks that require handling cash

When it is ineffective:
• Work habits form that is hard to break, especially if they are no longer
useful.
• Staffs lose their interest in their jobs and in their co-workers.
• Staff do only what is expected of them and no more.
 P a g e | 25

3. Charismatic leadership
A charismatic leadership style can seem similar to transformational leadership,
because these leaders inspire lots of enthusiasm in their teams and are very
energetic in driving others forward. However, charismatic leaders can tend to
believe more in themselves than in their teams, and this creates a risk that a project,
or even an entire organization, might collapse if the leader leaves. In the eyes of
the followers, success is directly connected to the presence of the charismatic
leader. As such, charismatic leadership carries great responsibility, and it needs a
long-term commitment from the leader.
4. Democratic leadership or participative leadership
Although democratic leaders make the final decisions, they invite other members
of the team to contribute to the decision-making process. Also known as
participative style it encourages staff to be a part of the decision making. Keeps
staff informed about everything that affects their work and shares decision making
and problem solving responsibilities

A coach who has the final decision, but gathers information from staff before
making a decision. Produce high quality and high quantity work for long periods of
time. Staff likes the trust they receive and respond with cooperation, team spirit,
and high morale

It also develops plans to help staff evaluate their own performance. It allows staff
to establish goals. Encourages staff to grow on the job and be promoted.
Recognizes and encourages achievement
 P a g e | 26

When most effective:

It wants to keep staff informed about matters that affect them.
 Wants staff to share in decision-making and problem-solving duties.
 Wants to provide opportunities for staff to develop a high sense of personal
growth and job satisfaction.
 A large or complex problem that requires lots of input to solve.
 Changes must be made or problems solved that affect staff.
 Want to encourage team building and participation.

Democratic leadership should not be used when …

 Not enough time to get everyone‘s input.
 Easier and more cost-effective for the manager to make the decision.
 Can‘t afford mistakes.
 Manager feels threatened by this type of leadership.
 Staff safety is a critical concern.

5. Laissez-faire leadership
This French phrase means "leave it be," and it's used to describe leaders who leave
their team members to work on their own. Also known as the ―hands-off¨ style
.The manager provides little or no direction and gives staff as much freedom as
possible. All authority or power given to the staff and they determine goals, make
decisions, and resolve problems on their own

An effective style to use …

Staff highly skilled, experienced, and educated staff has pride in their work and the
drive to do it successfully on their own Outside experts, such as staff specialists or
consultants used Staff‘s trustworthy and experience.
 P a g e | 27

Should not be used:

Staff feels insecure at the unavailability of a manager.
The manager cannot provide regular feedback to staff on how well they are doing.
Managers are unable to thank staff for their good work.
The manager doesn‘t understand his or her responsibilities and hoping the staff
covers for him or her.

6. People-oriented leadership or relations-oriented leadership

This is the opposite of task-oriented leadership. With people-oriented leadership,
leaders are totally focused on organizing, supporting, and developing the people in
their teams. It's a participative style, and it tends to encourage good teamwork and
creative collaboration. In practice, most leaders use both task-oriented and people-
oriented styles of leadership.

7. Servant leadership
This term, created by Robert Greenleaf in the 1970s, describes a leader who is
often not formally recognized as such. When someone, at any level within an
organization, leads simply by meeting the needs of the team, he or she is described
as a "servant leader."
In many ways, servant leadership is a form of democratic leadership, because the
whole team tends to be involved in decision making.
Supporters of the servant leadership model suggest that it's an important way to
move ahead in a world where values are increasingly important, and where servant
leaders achieve power on the basis of their values and ideals. Others believe that in
competitive leadership situations, people who practice servant leadership can find
themselves left behind by leaders using other leadership styles.
 P a g e | 28

8. Task-Oriented leadership
Highly task-oriented leaders focus only on getting the job done, and they can be
quite autocratic. They actively define the work and the roles required, put
structures in place, plan, organize, and monitor. However, because task-oriented
leaders don't tend to think much about the well-being of their teams, this approach
can suffer many of the flaws of autocratic leadership, with difficulties in
motivating and retaining staff.

9. Transactional leadership
This style of leadership starts with the idea that team members agree to obey their
leader totally when they accept a job. The "transaction" is usually the organization
paying the team members in return for their effort and compliance. The leader has
a right to "punish" team members if their work doesn't meet the pre-determined
standard.

Team members can do little to improve their job satisfaction under transactional
leadership. The leader could give team members some control of their
income/reward by using incentives that encourage even higher standards or greater
productivity. Alternatively, a transactional leader could practice "management by
exception" – rather than rewarding better work, the leader could take corrective
action if the required standards are not met.

Transactional leadership is really a type of management, not a true leadership style,

because the focus is on short-term tasks. It has serious limitations for knowledge-
based or creative work; however it can be effective in other situations.
 P a g e | 29

10. Transformational leadership

As we discussed earlier, people with this leadership style are true leaders who
inspire their teams constantly with a shared vision of the future. While this leader's
enthusiasm is often passed onto the team, he or she can need to be supported by
"detail people." That's why, in many organizations, both transactional and
transformational leadership are needed. The transactional leaders (or managers)
ensure that routine work is done reliably, while the transformational leaders look
after initiatives that add new value.

Blake Mouton Managerial Grid

Balancing Task- and People-Oriented Leadership

When a boss puts you in charge of organizing the company Christmas party, what
do you do first? Do you develop a time line and start assigning tasks or do you
think about who would prefer to do what and try to schedule around their needs?
When the planning starts to fall behind schedule, what is your first reaction? Do
you chase everyone to get back on track, or do you ease off a bit recognizing that
everyone is busy just doing his/her job, let alone the extra tasks you‘ve assigned?
The answers to these types of questions can reveal a great deal about personal
leadership style. Some leaders are very task-oriented; they simply want to get
things done. Others are very people-oriented; they want people to be happy. And
others are a combination of the two. If you prefer to lead by setting and enforcing
tight schedules, you tend to be more production-oriented (or task-oriented). If you
make people your priority and try to accommodate employee needs, then you‘re
more people-oriented.
 P a g e | 30

Neither preference is right or wrong, just as no one type of leadership style is best
for all situations. However, it's useful to understand what your natural leadership
tendencies are, so that you can then begin working on developing skills that you
may be missing.
A popular framework for thinking about a leader‘s ‗task versus person‘ orientation
was developed by Robert Blake and Jane Mouton in the early 1960s. Called the
Managerial Grid, or Leadership Grid, it plots the degree of task-centeredness
versus person-centeredness and identifies five combinations as distinct leadership
styles. Understanding the Model

The Managerial Grid is based on two behavioral dimensions:

 Concern for People – This is the degree to which a leader considers the
needs of team members, their interests, and areas of personal development
when deciding how best to accomplish a task.
 Concern for Production – This is the degree to which a leader emphasizes
concrete objectives, organizational efficiency and high productivity when
deciding how best to accomplish a task.
Using the axis to plot leadership ‗concerns for production‘ versus ‗concerns for
people‘, Blake and Mouton defined the following five leadership styles:
 P a g e | 31

Country Club Leadership – High People/Low Production

This style of leader is most concerned about the needs and feelings of members of
his/her team. These people operate under the assumption that as long as team
members are happy and secure then they will work hard. What tends to result is a
work environment that is very relaxed and fun but where production suffers due to
lack of direction and control.
Produce or Perish Leadership – High Production/Low People
Also known as Authoritarian or Compliance Leaders, people in this category
believe that employees are simply a means to an end. Employee needs are always
secondary to the need for efficient and productive workplaces. This type of leader
is very autocratic, has strict work rules, policies, and procedures, and views
punishment as the most effective means to motivate employees.
 P a g e | 32

Impoverished Leadership – Low Production/Low People

This leader is mostly ineffective. He/she has neither a high regard for creating
systems for getting the job done, nor for creating a work environment that is
satisfying and motivating. The result is a place of disorganization, dissatisfaction
and disharmony.
Middle-of-the-Road Leadership – Medium Production/Medium People
This style seems to be a balance of the two competing concerns. It may at first
appear to be an ideal compromise. Therein lays the problem, though: When you
compromise, you necessarily give away a bit of each concern so that neither
production nor people needs are fully met. Leaders who use this style settle for
average performance and often believe that this is the most anyone can expect.
Team Leadership – High Production/High People
According to the Blake Mouton model, this is the pinnacle of managerial style.
These leaders stress production needs and the needs of the people equally highly.
The premise here is that employees are involved in understanding organizational
purpose and determining production needs. When employees are committed to,
and have a stake in the organization‘s success, their needs and production needs
coincide. This creates a team environment based on trust and respect, which leads
to high satisfaction and motivation and, as a result, high production.
Applying the Blake Mouton Managerial Grid:
Being aware of the various approaches is the first step in understanding and
improving how well you perform as a manager. It is important to understand how
you currently operate, so that you can then identify ways of becoming competent
in both realms.
 P a g e | 33

Step One: Identify your leadership style

 Think of some recent situations where you were the leader.
 For each of these situations, place yourself in the grid according to where
you believe you fit.

Step Two: Identify areas of improvement and develop your leadership skills
 Look at your current leadership method and critically analyze its
effectiveness.
 Look at ways you can improve. Are you settling for ‗middle of the road‘
because it is easier than reaching for more?
 Identify ways to get the skills you need to reach the Team Leadership
position. These may include involving others in problem solving or
improving how you communicate with them, if you feel you are too task-
oriented. Or it may mean becoming clearer about scheduling or monitoring
project progress if you tend to focus too much on people.
 Continually monitor your performance and watch for situations when you
slip back into bad old habits.

Step Three: Put the Grid in Context

It is important to recognize that the Team Leadership style isn‘t always the
most effective approach in every situation. While the benefits of democratic and
participative management are universally accepted, there are times that call for
more attention in one area than another.
If your company is in the midst of a merger or some other significant change, it
is often acceptable to place a higher emphasis on people than on production.
Likewise, when faced with an economic hardship or physical risk, people concerns
 P a g e | 34

may be placed on the back burner, for the short-term at least, to achieve high
productivity and efficiency.

Theories of leadership have moved on a certain amount since the Blake Mouton
Grid was originally proposed.
And in many situations, the "Team Leader" as an ideal has moved to the ideal of
the "Transformational Leader": Someone who, according to leadership researcher
Bernard Bass:
 Is a model of integrity and fairness?

 Sets clear goals.

 Have high expectations.
 Encourages.

 Provides support and recognition.

 Stirs people's emotions.
 Gets people to look beyond their self-interest.
 Inspires people to reach for the improbable.

So use Blake Mouton as a helpful model, but don't treat it as an "eternal truth".
 P a g e | 35

LEADERSHIP QUALITIES:

1. Humility: It is often found in the most effective leaders, including Pope John

Paul II and Abraham Lincoln.

2. Integrity: Leaders in different industries and cultures can and do spar over the
rules, but integrity is the bedrock characteristic of straight dealing. If you lose your
integrity, you lose everything.

3. Decisiveness: A leader's ability to step up and make decisions, even if it's

deciding only when consensus has been reached and it's time to act.

4. Take risk: Leaders have the courage to act in situations where results aren‘t
assured. They‘re willing to risk failure.

5. Emotional resonance: This is the ability to grasp what motivates others and use
it to inspire them into action.

6. Build Teams: Leaders create productive teams that draw the best from people.
They effectively coach teams in collaboration, consensus building, and conflict
resolution.

7. Conviction: All leaders everywhere believe in what they're doing.

8. Dedication: Dedication means spending whatever time and energy on a task is

required to get the job done, rather than giving it whatever time you have available.
 P a g e | 36

9. Magnanimity: A magnanimous person gives credit where it is due. It also

means being gracious in defeat and allowing others who are defeated to retain their
dignity.

10. Openness: Openness means being able to listen to ideas that are outside one's
current mental models, being able to suspend judgment until after one has heard
someone else's ideas.

Leading by Example

Making sure you "walk the talk

There's the boss who tells everyone to stay late, and then leaves promptly at
5:00pm to go golfing. There's the supervisor who criticizes everyone for spending
time on the Internet, but is discovered buying groceries online in the middle of the
afternoon.
Do you know any of these people?
There's hardly anything worse for company morale than leaders who practice the
"Do as I say, not as I do" philosophy. When this happens, you can almost see the
loss of enthusiasm and goodwill among the staff. It's like watching the air go out of
a balloon and cynicism and disappointment usually take its place.
No matter what the situation is, double standards witnessing people say one thing
and then doing another always feel like betrayals. They can be very destructive. If
this ever happened to you, you can probably remember that sense of
disappointment and letdown.
If you're in a leadership position, then you know that you have a responsibility to
your team. They look to you for guidance and strength; that's part of what being a
leader is. And a big part of your responsibility is to lead them with your own
 P a g e | 37

actions. So why it is so important to lead by example; and what happens when you
don't?

Why It Matters
There's an old saying about the difference between a manager and a leader:
"Managers do things right. Leaders do the right things." (It's best to be both a
manager and a leader they're just different processes.)
As a leader, part of your job is to inspire the people around you to push them and,
in turn, the company to greatness. To do this, you must show them the way by
doing it yourself.
Stop and think about the inspiring people who have changed the world with their
examples. Consider what Mahatma Gandhi accomplished through his actions: He
spent most of his adult life living what he preached to others. He was committed to
nonviolent resistance to protest injustice, and people followed in his footsteps. He
led them, and India, to independence – because his life proved, by example, that it
could be done.
Although Gandhi's situation is very different from yours, the principle is the same.
When you lead by example, you create a picture of what's possible. People can
look at you and say, "Well, if he can do it, I can do it." When you lead by example,
you make it easy for others to follow you.

When You Don't Lead by Example

We've seen just how powerful it can be to lead by example. But what happens
when you don't follow this rule? How does your team feel when you tell them to
do one thing, and then you do the exact opposite? As we said earlier, if this ever
happened to you, then it shouldn't be hard to remember how angry and
disappointed we are.
 P a g e | 38

When leaders don't "practice what they preach," it can be almost impossible for a
team to work together successfully. How can anyone trust a leader who talks about
one thing, but does another? Consider what might have happened if Gandhi had,
even one time, been in a physical fight with his opposition. His important message
of nonviolent protest would probably have been much harder to believe after that.
His followers would have looked at him with suspicion and distrust. The chances
of them getting into physical arguments or committing acts of violence probably
would have increased dramatically.
Do you think that Alexander the great's soldiers would have fought so hard for him
if he had sat on top of a hill, safe from the battle? He would have been just another
average general in our history books, instead of the example of a successful leader
that we know today.
And so it is with your team. If you say one thing and do another, they likely won't
follow you enthusiastically. Why should they? Everything you tell them after that
may meet with suspicion and doubt. They may not trust that you're doing the right
thing, or that you know what you're talking about. They may no longer believe in
you.
Good leaders push their people forward with excitement, inspiration, trust, and
vision. If you lead a team that doesn't trust you, productivity will drop. Enthusiasm
may disappear. The vision you're trying so hard to make happen may lose its
appeal, all because your team doesn't trust you anymore.
Good leadership takes strength of character and a firm commitment to do the right
thing, at the right time, for the right reason. This means doing what you say, when
you say it. If your team can't trust you, you'll probably never lead them to
greatness.
 P a g e | 39

Leading and living by example isn't as hard as it might sound. It's really the easiest
path. If your team knows that you'll also do whatever you expect from them, they'll
likely work hard to help you achieve your goal. Mahatma Gandhi and Alexander
the Great helped change the world because they lived by example – and, as a
result, they accomplished great things.

Apply This to Your Life

 If you ask a co-worker to do something, make sure you'd be willing to do it
yourself.
 If you implement new rules for the office, then follow those rules just as
closely as you expect everyone else to follow them. For example, if the new
rule is "no personal calls at work," then don't talk to your spouse at work.
You'll be seen as dishonest, and your staff may become angry and start
disobeying you.
 Look closely at your own behavior. If you criticize people for interrupting,
but you constantly do it yourself, you need to fix this. Yes, you want people
to pay attention to one another and listen to all viewpoints, so demonstrate
this yourself.
 P a g e | 40

GREAT LEADERS
ADOLF HITLER

The Great Leader –Adolf Hitler

A review of the life of the great leader Adolf Hitler will be reviewed in the paper.
The review will also include Hitler‘s rise to power and in the end the paper will
review the fall of Adolf Hitler. The readings of the history will show that Hitler
was man with great God gifted qualities and he used these qualities during his
lifetime. The name of Hitler has become a notable name in the history because he
had made many contributions for his country during his power. He was a man with
a broad vision and always believed in his decisions. Adolf Hitler had a very strict
background during the days of his childhood; his father looked him after because
his mother died of cancer. His father was a man of discipline and he taught these
strict rules to Hitler as well.
His personality was a summation of various daring qualities and he used all his
qualities in his leadership activities. He was an excellent orator, daring soldier and
a great leader. The name and contributions of Hitler will be remembered whenever
the history will be reviewed.
 P a g e | 41

A Man With Daring Qualities

The biography of the leader Adolf Hitler shows that he was a man of daring
qualities. Hitler always believed in himself and his plans. The life and experiences
of Hitler proved that Hitler was a man of daring qualities. Hitler did what he
wanted to do. The life of Hitler depicts that he believed in the concept that one
should fight until the last breath.

These daring qualities of Hitler made him famous amongst the other leaders in
those times. He knew the methodology to derive the best solution in a problem.
Hitler proved his abilities by commanding many other soldiers under him. He
possessed a great insight; it was this insight that made him observe the upcoming
dangers. Hitler used to analyze the situations and then he made plans in order to
remain safe and sound.

Hitler knew what could be done to solve a problem. He used to decide the
appropriateness and the reliability of his decision. After satisfying himself he
implemented his decisions, which eventually proved successful and advantageous.
Hitler‘s daring qualities made him strong whenever he was faced with an enemy.
He was always ready to fight the enemies for the sake of his country.
 P a g e | 42

An Organized Man
The second most important aspect of the personality of Adolf Hitler was that he
was a very organized man .He did what he wanted to do but in a very organized
and planned manner. He made rules and disciplines for himself as well as for the
others who were under his command. These rules were implemented in an
organized manner. Certainly, this organized form of working made his plans
succeed. After reading the experiences of Hitler in his biography it will be
observed that he made his orders whenever they were needed. These orders were
made by him according to the situations. He trained his soldiers as such that they
were always ready and alert for the orders of Hitler. As soon as they were ordered
they implemented the plans. This shows that he was an n organized man. Hitler‘s
organized way of working polished his plans and when these plans were really
implemented than they proved successful. Hitler developed these qualities by
observing his father, as he was also a very strict man .He used to observe his father
and this observation made him act like his father.
 P a g e | 43

RATAN TATA

Ratan Naval Tata (Born on Dec. 28, 1937 in Mumbai) is the present chairman of
the TATA group, India‘s largest conglomerate founded by Jamshedji Tata and
consolidated and expanded by later generations of his family.

EARLY LIFE AND EDUCATION

 Ratan Tata born to Naval Tata and Soonoo Commisariat in the Tata family,
a prominent family belonging to the Parsi community. Ratan is the great-
grandson of Tata group founder Jamshedji Tata.
 After his parents separated in 1944, he was brought up by his grandmother
Lady Navajbai and did his schooling in Mumbai from Campion School.
Later, he enrolled in Cornell University, where he earned a B.S
in architecture with structural engineering in 1962, and has also completed
the Advanced Management Program at Harvard Business School.
 P a g e | 44

CAREER
=>In 1971, Ratan Tata was appointed the director in-charge of the nation radio
and electronics company Ltd. (Nelco), a company that was in dire financial
difficulty.
=>Ratan Tata suggested that company should invest in developing high
technology products, rather than in consumer electronics. J.R.D. was reluctant
due to the historical financial performance of Nelco which had never even paid
regular dividends.

 Further Nelco had 2% market share in consumer electronics market and a

loss margin of 40% of sales when Ratan Tata took over. Nonetheless
J.R.D. followed Ratan‘s suggestions.
 In 1981 Ratan Tata was named director of Tata industries; the group‘s
other holding company, where he became responsible for transforming it
into the group‘s strategy think-tank and a promoter of new ventures in
high technology businesses.
 In 1991 he took over as group chairman from J.R.D. Tata, pushing out the
old guard and ushering in younger managers. Since then, he has been
instrumental in reshaping the fortunes of the Tata groups, which today has
the largest market capitalization of any business house on the Indian stock
market.
 Under Ratan Tata‘s guidance, Tata Consultancy services (TCS) went
public and Tata motors were listed on the New York stock exchange. Tata
motors introduced his brain child, the Tata Indica.
 On January 31, 2007, under chairmanship of Ratan Tata, Tata sons
successfully acquired Corus groups, an anglo-dutch steel and aluminum
producer. With the acquisition, Ratan Tata became a celebrated
 P a g e | 45

personality in Indian business culture. The merger created the fifth largest
steel producing entity in the world.
 On March 26, 2008, Tata motors under Ratan Tata, bought Jaguar and
land Rover from Ford motor company for $2.3 billion.

TATA NANO CAR 2008

Ratan Tata‘s dream was to manufacture a car costing Rupees 1 lakhs (US
$2000). He realized his dream by launching Nano in New Delhi auto expo on
January 10, 2008. Three models of the Tata Nano were announced and Ratan
Tata delivered on his commitment to developing a car costing only Rupees. 1
Lakh, adding that a ―promise is a promise ―referring to his earlier promise to
deliver this car at the said cost.

“The true objective of setting these criteria was never meant to be merely to
use them as an assessment for an award, but more importantly, to utilize
them for an institutionalized approach to derive performance and attain
higher levels of efficiency in everything that a corporate entity does”.
- Mr. Ratan Tata

LEADERSHIP

 Leadership is the ability to influence a group toward the achievement of

goals.
 Leadership is fundamentally the ability to form and mold the attitudes and
behavior of other individuals, whether in formal or informal situation.
 Leadership is a process of influencing other individuals to mobilize and
direct their efforts towards certain goals, and to accomplish these goals
through them.
 P a g e | 46

 Ratan Tata faced the challenge with a quiet determination, in his style.
 His modern mind grasp of detail and breadth of vision were the key
drivers in revitalizing the group and taking it into the 21 st century.
 In just a few years, Ratan Tata modernized a century-old diversified
business house and transformed a sprawling domestic empire into a
cohesive global entity.
 A true leader is one who creates more leaders, and Ratan Tata has
empowered a whole new generation of bright engineers, managers and
executives. He knows it is they who will turn challenging ideas into new
success stories for his group
 The quality and depth of management in Tata‘s today gives the group
stability and resilience.
 P a g e | 47

DHIRAJLAL HIRACHAND AMBANI

INTRODUCTION:
=>Born on December 28, 1932 in Chorwad, Gujarat.
=>Dhirubhai started off as a small time worker with Arab merchants in the
1950s
=>Moved to Mumbai in 1958 to start his own business in spices.

=>He moved into textiles and opened his mill near Ahmedabad.

9 great management lessons from Dhirubhai Ambani

Dhirubhaism No 1: Roll up your sleeves and help.

Sense of ‗do it yourself‘
He does not wait for infrastructure to be created to support his operations. He
goes out and builds it himself; be it a power plant for his petrochemical
enterprise or a canal to bring water from large distances for his cooling plant.
 P a g e | 48

Dhirubhaism No 2: Be a safety net for your team.

There used to be a time when our agency Mudra was the target of some
extremely vicious propaganda by our peers, he gently asked ―M‖ if They needed
any help in combating it knowledge that he knew and cared for what his team
was going through, and that he was there for them if needed they needed him,
worked wonders for confidence “He gave courage which we never knew we
had”

Dhirubhaism No 3: The silent benefactor.

When he helped someone, he never ever breathed a word about it to anyone else
"Expect the unexpected" just might have been coined for him

Dhirubhaism No 4: Dream big, but dream with your eyes opens.

It's difficult but not impossible!" Whenever a task seemed too big to be
accomplished, he would reply: ―No is no answer!" Not only did he dream big,
he taught all of us to do so too. His favorite phrase "dream with your eyes open

Dhirubhaism No 5: Leave the professional alone!

Management techniques of him is different the simplest strategies are often the
hardest to adopt. “Let professionals do the work” This technique enforced
responsibility among his team “Produce your best."

Dhirubhaism No 6: Change your orbit, constantly!

This is no miracle. When you change orbits, you will create friction. The good
news is that your enemies from your previous orbit will never be able to reach
 P a g e | 49

you in your new one. By the time resentment builds up in your new orbit, you
should move to the next level. And so on “Changing orbits is the key to our
progress as a nation”

Dhirubhaism No 7: The arm-around-the-shoulder leader

It was Dhirubhai's very own signature style Arm around the shoulder -With that
one simple gesture; he managed to achieve many things. This tendency that he
had, to draw people towards him, manifested itself in countless ways. “That did
much more than words in letting me know that I belonged, that I had his
trust, and that I had him on my side”

Dhirubhaism No 8: The Dhirubhai‟s theory of Supply creating Demand

He was neither an MBA nor an economist. But yet he took traditional market
theory and stood it on its head. And succeeded when everyone in India would
build capacities only after a careful study of market, he went full steam ahead
and created giants of manufacturing plants with unbelievable capacities.

Dhirubhaism No 9: Money is not a product by itself, it is a by-product, so

don't chase it
He did not breathe a word about profits, nor about becoming the richest it is not a
product something that you don't set out to produce. It is the spin off when you
create something larger.
 P a g e | 50

STEVE JOBS

Steve Jobs is the Chairman and CEO of Apple Computers Inc. and arguably one of
the world‘s most successful businessmen today.

He founded Apple in the 1970s, got chased out by his own board of directors, but
returned eventually as Apple‘s CEO. Since then, he has revolutionized the IT
industry with his creations like the MacBook, the iPod and the iPhone.

Since his return, he has brought Apple Computers Inc. from a fledgling company
to a global force to be reckoned with.

A Quick History

Steve Jobs was born in San Francisco in February 24, 1955. He was an adopted son
of the Jobs couple from California.

Jobs attended Homestead High School in California and often went to the after
school lectures by Hewlett-Packard Company. It was there that he met his eventual
partner, Steve Wozniak.

Jobs would have his early beginnings working at Atari as a technician building
circuit boards. In 1976, he would start the company Apple Inc. with Steve with
funding from a millionaire investor.

In 1984, he developed the Macintosh, which was the first small computer with a
graphic interface in its time. It had promise to revolutionize the whole PC industry.
 P a g e | 51

However, bad business decision and internal strife with his CEO would eventually
cause Jobs to leave his own company.

He went on to start two other companies; NeXT and Pixar. Pixar would be
acquired by the Disney Company and neXT would be acquired by his own Apple
Computers Inc.

With the acquisition, he returned to Apple Computers Inc. in 1996 as

interim CEO. From that time on, the rise of Apple Computers began
again as the iMac would be developed.

The famous iPod and iPhone would later be developed and it would
revolutionize the whole hand phone and MP3 player industry. Under
his leadership, Apple Computers Inc. became a force to be reckoned with.

In 2009, Jobs would have a personal net worth of $5.1 billion. However due to the
need for a liver transplant, Jobs took a break from his work since January 2009.

Awards and Honors

1. Most Powerful Person in Business by Fortune Magazine in 2007

2. National Medal of Technology in 1985
3.Samuel S. Beard Award in 1987

Steve Jobs Leadership Qualities:

A rebel: Jobs was never satisfied with the status quo. He wasn‘t afraid to disagree
with people nor did he shy away from conflict

An optimist: Never willing to succumb to defeat, Jobs always saw the future and
reached for it. Even when fired from Apple in 1985, he was able to forge new
pathways and envision fresh possibilities.

A dreamer: Not many CEOs can be credited with such a creative and imaginative
spirit. Steve Jobs was never inclined to do things the same as everyone else.

An enabler: Apple employees have often noted that Jobs was not only creative,
but he allowed them to be creative. Jobs enabled, empowered and equipped his
people to dream and think for themselves
 P a g e | 52

An adapter: One of Jobs‘ most remarkable qualities was his ability to shift quickly
with and adapt to the changing world around him. Cultural shifts were not
something to be feared, they were opportunities to move in new directions.

A philanthropist: When Jobs was accused of being stingy with his money earlier
this year, the rock star Bono shot back in the New York Times.
 P a g e | 53

EMOTIONAL INTELLIGENCE

Emotional Intelligence (often referred to as EQ) refers to your ability to successfully assess and
manage your Emotions and others‘ emotions. This set of skills is considered equal in importance
to IQ by most experts.
In a leadership role, where interpersonal issues are so vital, EQ is a highly valuable skill
commodity! Emotions have a very strong influence over the outcomes of every situation. Both
positive and negative emotions spread rapidly through groups at work, just like a virus.
“The people with the strongest ability to make an emotional impact are those in positions
of leadership!”

Strong EQ allows you to take advantage of this reality in order to boost morale and productivity.
Someone with high EQ perceives emotions accurately in others, feels empathy, tends to be more
open and agreeable, and is less likely to engage in problem behaviors.

Emotional intelligence (EI) is the ability to understand and manage both your own emotions,
and those of the people around you. People with a high degree of emotional intelligence usually
know what they're feeling, what this means, and how their emotions can affect other people.
For leaders, having emotional intelligence is essential for success. After all, who is more likely
to succeed – a leader who shouts at his team when he's under stress, or a leader who stay in
control, and calmly assesses the situation?
 P a g e | 54

According to Daniel Goleman, an American psychologist who helped make the idea of EI
popular, there are five main elements of emotional intelligence:
1. Self-awareness.
2. Self-regulation.
3. Motivation.
4. Empathy.
5. Social skills.
The more that you, as a leader, manage each of these areas, the higher your emotional
intelligence. So, let's look at each element in more detail and examine how you can grow as a
leader.

Emotional Intelligence in Leadership

1. Self-awareness
If you're self-aware, you always know how you feel. And you know how your emotions, and
your actions, can affect the people around you. Being self-aware when you're in a leadership
position also means having a clear picture of your strengths and weaknesses. And it means
having humility.
So, what can you do to improve your self-awareness?
 Keep a journal – Journals help improve your self-awareness. If you spend just a few
minutes each day writing down your thoughts, this can move you to a higher degree of
self-awareness.
 Slow down – When you experience anger or other strong emotions slow down to
examine why. Remember, no matter what the situation, you can always choose how you
react to it.
 P a g e | 55

2. Self-regulation
Leaders who regulate themselves effectively rarely verbally attack others, make rushed or
emotional decisions, stereotype people, or compromise their values. Self-regulation is all about
staying in control. This element of emotional intelligence, according to Goleman, also covers a
leader's flexibility and commitment to personal accountability.
So, how can you improve your ability to self-regulate?
 Know your values – Do you have a clear idea of where you absolutely will not
compromise? Do you know what values are most important to you? Spend some time
examining your "code of ethics." If you know what's most important to you, then you
probably won't have to think twice when you face a moral or ethical decision – you'll
make the right choice.
 Hold yourself accountable – If you tend to blame others when something goes wrong,
stop. Make a commitment to admit to your mistakes and face the consequences, whatever
they are. You'll probably sleep better at night, and you'll quickly earn the respect of those
around you.
 Practice being calm – The next time you're in a challenging situation, be very aware of
how you act. Do you relieve your stress by shouting at someone else? Practice deep-
breathing exercises to calm yourself. Also, try to write down all of the negative things
you want to say, and then rip it up and throw it away. Expressing these emotions on paper
(and not showing them to anyone!) is better than speaking them aloud to your team.
What's more, this helps you challenge your reactions to make sure that they are fair!
 P a g e | 56

3. Motivation

Self-motivated leaders consistently work toward their goals. And they have extremely high
standards for the quality of their work.
How can you improve your motivation?
 Re-examine why you're doing this – It's easy to forget what you really love about your
career. So, take some time to remember why you wanted this job. If you're unhappy in
your role and you're struggling to remember why you wanted it, try the Five
Whys technique to find the root of the problem. Starting at the root often helps you look
at your situation in a new way. And make sure that your goal statements are fresh and
energizing.
 Know where you stand – Determine how motivated you are to lead. Leadership
Motivation Assessment can help you see clearly how motivated you are in your
leadership role. If you need to increase your motivation to lead, and it then directs you to
resources that can help.
 Be hopeful and find something good – Motivated leaders are usually optimistic, no
matter what they face. Adopting this mindset might take practice, but it's well worth the
effort. Every time you face a challenge, or even a failure, try to find at least one good
thing about the situation. It might be something small, like a new contact, or something
with long-term effects, like an important lesson learned. But there's almost always
something positive – you just have to look for it.
4. Empathy

For leaders, having empathy is critical to managing a successful team or organization. Leaders
with empathy have the ability to put themselves in someone else's situation. They help develop
 P a g e | 57

the people on their team, challenge others who are acting unfairly, give constructive feedback,
and listen to those who need it.

If you want to earn the respect and loyalty of your team, then show them you care by being
empathic. How can you improve your empathy?
 Put yourself in someone else's position – It's easy to support your own point of view.
After all, it's yours! But take the time to look at situations from other people's
perspectives.
 Pay attention to body language – Perhaps when you listen to someone, you cross your
arms, move your feet back and forth, or bite your lip. This body language tells others how
you really feel about a situation, and the message you're giving isn't positive! Learning to
read body language can be a real asset when you're in a leadership role because you'll be
better able to determine how someone truly feels. And this gives you the opportunity to
respond appropriately.
 Respond to feelings – You ask your assistant to work late – again. And although he
agrees, you can hear the disappointment in his voice. So, respond by addressing his
feelings. Tell him you appreciate how willing he is to work extra hours, and that you're
just as frustrated about working late. If possible, figure out a way for future late nights to
be less of an issue (for example, give him Monday mornings off).

5. Social skills
Leaders who do well in this element of emotional intelligence are great communicators. They're
just as open to hearing bad news as good news, and they're experts at getting their team to
support them and be excited about a new mission or project.
Leaders who have good social skills are also good at managing change and resolving conflicts
diplomatically. They're rarely satisfied with leaving things as they are, but they're also not
 P a g e | 58

willing to make everyone else do the work. They set the example with their own behavior.
So, how can you improve your leadership by building social skills?
 Learn conflict resolution – Leaders must know how to resolve conflicts between their
team members, customers, or vendors. Learning conflict resolution skills is vital if you
want to succeed.
 Improve your communication skills – How well do you communicate?
 Learn how to praise others – As a leader; you can inspire the loyalty of your team
simply by giving praise when it's earned. Learning how to effectively praise others is a
fine art, but well worth the effort.
Thanks to the many challenges and opportunities that arise when working with others, leaders
must have a solid understanding of how their emotions and actions affect the people around
them. The better a leader relates to and works with others, the more successful he or she will be.
Take the time to work on self-awareness, self-regulation, motivation, empathy, and social skills.
Working on this will help you excel in the future!
 P a g e | 59

10 Common Leadership and Management Mistakes

Experience is the name every one gives to their mistakes

-Oscar Wilde
It's often said that mistakes provide great learning opportunities. However, it's much better not
to make mistakes in the first place! If you can learn about these here, rather than through
experience, you'll save yourself a lot of trouble!

1. Lack of Feedback
Sarah is a talented sales representative, but she has a habit of answering the phone in an
unprofessional manner. Her boss is aware of this, but he's waiting for her performance review to
tell her where she's going wrong. Unfortunately, until she's been alerted to the problem, she'll
continue putting off potential customers.
According to 1,400 executives polled by The Ken Blanchard Companies, failing to provide
feedback is the most common mistake that leaders make. When you don't provide prompt
feedback to your people, you're depriving them of the opportunity to improve their performance.
To avoid this mistake, learn how to provide regular feedback to your team.

2. Not Making Time for Your Team

When you're a manager or leader, it's easy to get so wrapped up in your own workload that you
don't make yourself available to your team. Yes, you have projects that you need to deliver. But
your people must come first – without you being available when they need you, your people
won't know what to do, and they won't have the support and guidance that they need to meet
their objectives. Avoid this mistake by blocking out time in your schedule specifically for your
people, and by learning how to listen actively to your team. Develop your emotional
intelligence so that you can be more aware of your team and their needs, and have a regular time
 P a g e | 60

when "your door is always open", so that your people know when they can get your help. Once
you're in a leadership or management role, your team should always come first - this is, at heart,
what good leadership is all about!

3. Being Too "Hands-Off"

One of your team has just completed an important project. The problem is that he misunderstood
the project's specification, and you didn't stay in touch with him as he was working on it. Now,
he's completed the project in the wrong way, and you're faced with explaining this to an angry
client. Many leaders want to avoid micromanagement. But going to the opposite extreme (with a
hand-offs management style) isn't a good idea either you need to get the balance right.

4. Being Too Friendly

Most of us want to be seen as friendly and approachable to people in our team. After all, people
are happier working for a manager that they get on with. However, you'll sometimes have to
make tough decisions regarding people in your team, and some people will be tempted to take
advantage of your relationship if you're too friendly with them. This doesn't mean that you can't
socialize with your people. But, you do need to get the balance right between being a friend and
being the boss.

5. Failing to Define Goals

When your people don't have clear goals, they muddle through their day. They can't be
productive if they have no idea what they're working for, or what their work means. They also
can't prioritize their workload effectively, meaning that projects and tasks get completed in the
wrong order. Avoid this mistake by learning how to set SMART goals for your team. Use
a Team Charter to specify where your team is going, and detail the resources it can draw upon.
Also, use principles from Management by Objectives to align your team's goals of the mission
 P a g e | 61

of the organization.

6. Misunderstanding Motivation
Do you know what truly motivates your team? Here's a hint: chances are, it's not just money!
Many leaders make the mistake of assuming that their team is only working for monetary
reward. However, it's unlikely that this will be the only thing that motivates them.
For example, people seeking a greater work/life balance might be motivated by telecommuting
days or flexible working. Others will be motivated by factors such as achievement, extra
responsibility, praise, or a sense of camaraderie.

7. Hurrying Recruitment

When your team has a large workload, it's important to have a full team. But filling a vacant role
too quickly can be a disastrous mistake. Hurrying recruitment can lead to recruiting the wrong
people for your team: people who are uncooperative, ineffective or unproductive. They might
also require additional training, and slow down others on your team. With the wrong person,
you'll have wasted valuable time and resources if things don't work out and they leave. What's
worse, other team members will be stressed and frustrated by having to "carry" the under-
performer? You can avoid this mistake by learning how to recruit effectively, and by being
particularly picky about the people you bring into your team.

8. Not "Walking the Walk"

If you make personal telephone calls during work time, or speak negatively about your CEO,
can you expect people on your team not to do this too? Probably not!
As a leader, you need to be a role model for your team. This means that if they need to stay late,
you should also stay late to help them. Or, if your organization has a rule that no one eats at their
desk, then set the example and head to the break room every day for lunch. The same goes for
 P a g e | 62

your attitude if you're negative some of the time, you can't expect your people not to be
negative. So remember, your team is watching you all the time. If you want to shape their
behavior, start with your own. They'll follow suit.

9. Not Delegating
Some managers don't delegate, because they feel that no-one apart from themselves can do key
jobs properly. This can cause huge problems as work bottlenecks around them, and as they
become stressed and burned out. Delegation does take a lot of effort up-front, and it can be hard
to trust your team to do the work correctly. But unless you delegate tasks, you're never going to
have time to focus on the "broader-view" that most leaders and managers are responsible for.
What's more, you'll fail to develop your people so that they can take the pressure off you.

10. Misunderstanding Your Role

Once you become a leader or manager, your responsibilities are very different from those you
had before. However, it's easy to forget that your job has changed, and that you now have to use
a different set of skills to be effective. This leads to you not doing what you've been hired to do
leading and managing. Make sure that you learn these skills – you'll fail if you try to rely on
technical skills alone, however good they are! We all make mistakes, and there are some
mistakes that leaders and managers make in particular. These include, not giving good feedback,
being too "hands-off," not delegating effectively, and misunderstanding your role.
It's true that making a mistake can be a learning opportunity. But, taking the time to learn how to
recognize and avoid common mistakes can help you become productive and successful, and
highly respected by your team.
 P a g e | 63

SITUATIONAL FACTORS:

We understand that leadership is a process and not a position. Three components playing
important role in this process are leader, followers and situation. Situation is the environment
or circumstances in which an individual performs. Following are the factors that can influence
the situation;

Task Type: the nature of the work or assignment can also effect the employees

Structure of organization: The organization structure always depend on the size of the
organization. If the structure will be more rigid, more complexities faced by the employees

Stress: Stress in the environment and intensity under which team, organization, or leaders are
working also play important role in leadership process and also situation itself.

Environment: The environment itself effect on the situation prevails in the organization. The
micro (internal factors) and the macro (external factors) always keep on changing, so that this is
big challenge for the leaders to keep the close eyes on changing environment and make
decisions accordingly.
 P a g e | 64

Situational factors influence the leadership process:

Size of the organization:

Size of the organization varies organization to organization and its operations and activities in
which organization involve. An organization‘s size demands certain types of leadership skills
which help to provide right direction. Following two type of leadership, we can see in the
organization.

Leaders of small organizations: can be in the form of salespeople, marketing manager and
production managers. These leaders organize the system, assign the task, coach the team and
evaluate the system. The small organizations have a flexible system and flatter structure. The
approach of the small organization is more entrepreneurs.

Leaders of large organizations: In the large organization, the main focus will be on to create
public image and future investment plans. The system of the large organization will be more
procedural and structure of the large organization will also be more rigid and more complex
because of its operations.
 P a g e | 65

LEADERSHIP AND EMPOWERMENT

What is Empowerment?
Empowerments is the process of enabling or authorizing an individual to think, behave, take
action, and
control work and decision making in autonomous ways. It is the state of feeling self-
empowered to take
control of one's own destiny. OR Some empowerment does exist and, when accompanied by
accountability and appropriate guidance, it can lead to increased employee and customer
satisfaction.
TRAINING,COACHING AND MENTORING .
TRAINING and SEMINARS
Training was addressed earlier in response to an ability related performance problem.
“You must give the right people the right training, at the right time, from the right
resource,
And then ensure transfer of learning back to the workplace” Training is also a common
and useful tool for building new skills. For either soft-side or hard-side training, one of the
first issues you face is whether to use internal talent or external talent.
Using internal talent to deliver training offers:
Familiarity with the business: If they are in the business, they have deep knowledge about
how concepts addressed in training apply to the work learners actually do every day.
Content control: Topically, what you want is delivered. Internal resources make it easier to
align training with the organization‘s mission, vision, and objectives
Cost control: High-quality internal resources typically cost less compared to high-quality
 P a g e | 66

external resources. Using external talent to deliver training offers:

Fresh perspectives: External resources do not say, ―It can‘t be done,‖ or ―That will not work
because‖ They are wonderfully naïve about your inner workings and thus see and stimulate
new perspectives.
No fear of sacred cows: As opposed to internal resources who may censor, the external
resource is blissfully unaware of any sacred cows. Further, if identified, they are more willing
to talk about them, which is rare with internal trainers.
Skills not possessed by internal candidates: You can go to the market and find anything
you do not have internally. External experts provide instant bench strength.
Access to best practices: Though there are other sources (e.g., books, conferences), using
outside talent is often a great vehicle for learning best practices for both the hard-side and
soft-side issues.

MENTORING
A mentoring relationship is a strategic skill-building relationship focused on long-term career
development within the organization and/or vocation. Mentoring is about providing advice,
insight, and potential access to new network contacts. Your mentor can be a member of your
organization or not, with similar implications as discussed with regard to internal versus
external trainers.
Mentoring programs at work often pair a junior person with a senior person so the less
experienced employee might learn about career paths, career strategies, organizational
history, and other institutional knowledge. Another key goal is to enlarge the junior
employee‘s professional network.
 P a g e | 67

To maximize their effectiveness, mentoring programs should:

Be organic and voluntary. Contrived relationships are not terribly useful. The best
mentoring relationships are established naturally, not assigned by mandate.
Be supported. Some nominal amount of time and money should be allocated to allow the
mentor and mentee to meet. Further, though mandates are not ideal, leadership must espouse
the value of establishing mentor relationships – and make themselves available as mentors.
Involve people not directly linked. Though it is possible your boss could be your mentor, it is
not ideal. The required confidentiality and freedom to speak about career-related issues
suggests that the mentee should not directly report to the mentor.
Be time bound. Some agree with this, some do not. The idea is that finite time provides an
incentive to act constructively and proactively. It also allows a socially acceptable end to the
relationship if needed. Having said that if you are lucky enough to find a really good mentor,
hang on to them!

Here are a few things to keep in mind about mentors.

They should:
• Avoid self-biased assumptions. Recall that this is when you think they think like you think
about an issue – or that they really should think like you think. Just because you love golf
does not mean your mentee must love golf.
• Listen. If you want to actually help them, listen more than you talk. As a result, you will
learn more about them and be better positioned to offer useful advice and counsel.
• Tell it like it is. Assuming confidentiality is in place; call it like you see it. Try not to
sugarcoat the feedback you provide. Be positive – but honest.
• Be vetted. For formal mentoring programs, there needs to be some honest consideration
given to who serves as a mentor. Just because someone wishes to be a mentor does not mean
 P a g e | 68

they should be a mentor. In an advisory capacity, some people can do more harm than good.

Similarly, there are a few things to keep in mind about mentees.

They should:
• Be respectful of the mentor‟s time. Remember, if they are worth being your mentor, they
are extremely busy people. Be on time!
• Show honest gratitude. No need to, ―kiss butt,‖ but do make a genuine statement about
how much you appreciate their support and assistance.
• Look for ways to help in return. They might need your assistance on a project, access to a
member of your network, etc. Look for the possibilities.
• Stay in touch. A good mentor will want to know how you grow and develop. Keep them in
the loop as your career progresses. In addition, you will remain someone they may think of as
professional opportunities arise.
 P a g e | 69

COACHING
A coaching relationship is a tactical skill-building relationship focused on short-term
performance improvement.
Like mentors, coaches can be a part of your organization or not. Aside from the short-term
versus long-term difference, coaching differs from mentoring in that a mentor is typically
significantly removed in the hierarchy from the mentee whereas a coach is often directly
connected to the person being coached. It could be one‘s direct supervisor or a close peer.
Whereas a mentor might discuss long-term career moves, a coach is focused on short-term
accomplishments.
The targets can be hard or soft skills, but the focus is on creating goals over one or two
performance periods (not years) targeted at a very specific set of skills. In addition, coaches
must:
Communicate often. The closer hierarchical relationship of a coach (versus a mentor) and
the shorter-term nature of the goals to be achieved necessitate frequent communication.
Ask great questions. Coaches often have the desire to quickly offer advice. While that can
be useful, when time allows, it is best to begin with great questions.
Ideally, a coach guides the person being coached towards finding answers on their own.
Make the relationship mutual. One excellent way to help the recipient engage the coaching
process is for the coach to not only offer help and guidance, but to solicit professional
feedback for themselves as well when appropriate.
Make goals very focused. Goals should be very finite, specified, concrete, and measureable.
You are essentially trying to help the person form new habits. Goals have the greatest effect
when they focus on specific behaviors. All coaching relationships are unique. Depending on
the nature of the two people involved and the nature of the particular performance context,
the specific goals pursued will vary.
 P a g e | 70

As you try to judge yourself as a coach and the role of coaching within the performance
culture where you work, keep in mind:
• Not everyone wants to be coached. Some people resent coaching. The reasons vary. Do
not begin the coaching dialogue seeking to understand how to coach a particular person.
Begin by seeking to understand whether they truly wish to be coached.
• Not everyone is coachable. Some people do not have a personality conducive to a
coaching (or mentoring) relationship. They simply learn better and more comfortably via
alternative mechanisms.
Of course, anyone who does not value performance improvement is not a good candidate for
coaching.

Characteristics of Good Coach:

Positive: Your job is not correcting mistakes, finding fault, and assessing blame instead, your
function is achieving productivity goals by coaching your CSR to peak performance
Supportive: Your job as coach is to get workers what they need to do their job well
including tools, time instruction, and answers to questions and protection from outside
interference.
Goal oriented: Base your assignments on clear definable goals .Tie specific task to those
goals communicate those goals to the people who actually have to do the work
Focused: Effective communication is specific and focused .You are far more likely to get
action if that CSR levels your risk focused on resolving issue at hand.
Observant: Being observant means more than just keeping your eyes and ears open,
You need to be aware of what isn‘t said as well as what is. If you are paying attention, you
won‘t have to wait for somebody to tell you about a problem
 P a g e | 71

Communication Skills for Effective Coaching:

1.Soften the „You‟d or change the into ―I‖ to avoid sounding pushy
Instead of ‗You‘ll have to‘, say ‗Could you ‗Or ‗Would you be able to‘
2. Focus on the solution, not the problem. Instead of ‗The customer insists on speaking to
the supervisor‘, say ‗We will see what you could do in that situation‘
3Turn cants into cans Instead of ‗We can‘t do that until next week‘, say…
‗We‘ll be able to do that next week‘.
4. Take responsibility don‘t lay blame .Instead if ‗It‘s not my fault‘, say ‗Here‘s what I can
do to fix that‘.
5. Say what do you want, not what you don‘t want. Instead of ‗Don‘t drive too fast‘, say
‗Drive carefully‘
6. Focus on the future, not the past. Instead of ―I‘ve told you before not to, say ‗From now
on‖
7. Share information rather than argue or accuse. Instead of ‗No, you‘re wrong‘, say ‗I see it
like this‘
 P a g e | 72

MOTIVATION AT WORK MOTIVATION AND

LEADERSHIP

Work motivation explains why employees behave as they do. Four prominent theories about
work motivation need theory, expectancy theory, equity theory, and organizational
justice theory provide complementary approaches to understanding and managing
motivation in organizations.

Similarly Abraham Maslow‟s hierarchy of needs also help us to understand the employees
work behavior. Each theory answers different questions about the motivational process.
Work motivation can be defined as the psychological forces within a person that determine
the direction of a person‘s behavior in an organization, a person‘s level of effort, and a
person‘s level of persistence in the face of obstacles.

Three Approaches to Motivation:

Individual Differences Approach: Treats motivation as a characteristic of the individual.
Job & Organization Approach: Emphasizes the design of jobs and the general
organizational environment.
Managerial Approach: Focuses on behaviors of managers, in particular, their use of goals
and rewards.
 P a g e | 73

Needs Theories of Motivation:

Basic idea: Individuals have needs that, when unsatisfied, will result in motivation. Different
theories already discussed in chapter number 21 can also explain this phenomenon.
Maslow‟s Hierarchy of Needs: Abraham Maslow‘s hierarchy of needs is the most well-
known theory of motivation. He hypothesized that within every human being there exists a
hierarchy of five needs
Motivation-Hygiene theory: Proposed by psychologist Frederick Herzberg when he
investigated the question, ―What do people want from their jobs?‖ He asked people to
describe, in detail, situations in which they felt exceptionally good or bad about their jobs.
Alderfer‟s ERG theory: Clayton Alderfer‘s existence-relatedness-growth (ERG) theory
builds on some of Maslow‘s thinking but reduces the number of universal needs from five to
three and is more flexible on movement between levels.
McClelland‟s Theory of Needs: The theory focuses on three needs: achievement, power,
and affiliation. Need for achievement: The drive to excel, to achieve in relation to a set of
standards, to strive to succeed

What Factors Diminish Motivation in the Workplace?

Meaningless tasks , Red tape ,Lack of clear goals ,Failure to set priorities ,Distractions ,Over
commitment Information overload ,No positive feedback ,Lack of autonomy , Lack of
recognition, Absence of humor, Micromanagement ,Failure to delegate ,Bureaucratic hurdles
,Interpersonal conflict ,Lack of accountability.
 P a g e | 74

What are Some of the Results of Poor Motivation in the Workplace?

Laziness ,Failure ,Poor quality Resistance, Avoidance, Tardiness, Burnout Demoralization,
Frustration, Conflict, Lack of meaning, Absence of pride ,Resentment, Turnover,
Detachment, Discouragement, Negative organizational culture .

Causes of Motivational Problems:

_ Belief that effort will not result in performance.
_ Belief that performance will not result in rewards.
_ Encourage risk taking
_ Foster ownership
_ Goal-directed efforts
 P a g e | 75

TYPES OF LEADERSHIP
STRATEGIC LEADERSHIP

Strategic Leadership is the ability to anticipate and envision the future, maintain flexibility,
think strategically, and initiate changes that will create a competitive advantage for the
organization in the future.
―Without a strategy the organization is like a ship without a rudder, going around in circles.‖
Joel Ross and Michael Kami. Strategy is the essential of all business games. Even in real life
without strategy and plan one cannot be successful. Leader, manager, business man and even
individual need to do strategic planning and develop strategies in the changing environment.

The Three Big Strategic Questions everybody needs

to ask before thinking/planning a strategy are:
=>Where are we now?
=>Where do we want to go?
=>How do we get there?
 P a g e | 76

What is Strategy?
A Team‘s strategy consists of the set of competitive moves they are employing to manage the
team/objectives of the team/organization.
Strategy is Team‘s “game plan” to
• Conduct operations
• Compete successfully
• Achieve Team objectives

Strategic Management:
The set of decisions and actions used to formulate and implement specific strategies that will
achieve a competitively superior fit between the organization and its environment so as to
achieve organization goals.

Business Strategy Levels:

Corporate-level strategy asks, ―What business are we in?‖
Business-level strategy asks, ―How do we compete?‖
Functional-level strategy asks, ―How do we support the business-level strategy?‖

Strategic Planning:
A Basic Planning Model consists of following steps.
=>Missions and Goals
=>External Analysis - Opportunities and Threats
=>Internal Analysis - Strengths and Weaknesses
=>Selection of Appropriate Strategies
=>Implementation of Strategies
About Mission Statement we have already discussed during previous chapters.
 P a g e | 77

Next two stages/steps are SWOT analysis. After Analysis, one needs to select appropriate
strategy and finally implement it.

Examples of SWOT Elements:

Strengths: Favorable location, talented workers, state-of-the-art equipment
Weaknesses: Unfavorable location, outdated equipment, limited capital
Opportunities: Culturally diverse customer base, changes in technology, deregulation
Threats: Ecommerce, declining market, new competitors

Sample Strategies
Depending on the nature of business, analysis and priorities, organization may choose any
strategy. Few examples are given below.
=>Cost leadership.
=>Focus.
=>High quality.
=>Strategic alliances.
=>Growth through acquisition.
=>High speed and first-mover strategy.
=>Product and global diversification.
=>Sticking to core competencies.
=>Brand leadership.
=>Creating demand by solving problems.
=>Conducting business on the Internet.
 P a g e | 78

Strategic Leadership:
Strategic Leadership involves: The ability to anticipate, envision, maintain flexibility and
empower others to create strategic change. This includes vision and mission.
Vision:
An attractive, ideal future that is credible yet not readily available. Links the present to the
future. Energizes people and garners commitment ,gives meaning to work Establishes a standard
of excellence and integrity

Common Themes of Vision:

Vision has broad appeal
Vision deals with change
Vision encourages faith and hope
Vision reflects high ideals
Vision defines the destination and the journey

Mission:
The organization‘s core broad purpose and reason for existence
Strategy
Strategy is Team‘s “game plan” to
• Conduct operations
• Compete successfully
• Achieve Team objectives
 P a g e | 79

Strategy Formulation and Implementation

Strategy Formulation :
The integrating knowledge of the environment, vision, and mission with the core
competence in such a way as to achieve synergy and create customer value.

Strategy Implementation:
Putting strategy into action by adjusting various parts of the organization and directing
resources to accomplish strategic goals.

Strategic Leadership: Requires the Managerial Ability to:

Anticipate and envision
Maintain flexibility
Empower others to create strategic change as necessary
Strategic Leadership is Multi-functional work that involves working through others

Effective strategic leaders:

=>Manage the Team‘s operations effectively.
=>Sustain high performance over time.
=>Make better decisions than their competitors.
=>Make straight, courageous, practical decisions.
=>Understand how their decisions affect the internal systems in use by the team/organization.
=>Solicit feedback from peers, superiors and team members about their decisions and visions.
=>Determining Strategic Direction.
=>Determining strategic direction involves developing a long-term vision of the Team‘s
strategic intent.
 P a g e | 80

•Five to ten years into the future philosophy with goals the image and character the Team seeks
ideal long-term

Vision has two parts:

Core ideology
• Envisioned future
=>A charismatic leader can help achieve strategic intent.
It is important not to lose sight of the strengths of the organization/team when making changes
required by a new strategic direction.
=>Leaders must structure the team effectively to help achieve the vision.
 P a g e | 81

ETHICAL LEADERSHIP
“Doing right things”
We've seen some high profile ethical failures in the press in recent years. The devastation caused
by accounting fraud at MCI WorldCom and Enron will not soon is forgotten. And CEOs of
several other well-known companies have been charged with bribery and corruption.

This highlights the extent to which it can be difficult for leaders to determine what's right and
wrong. Some make the wrong choices – and end up in the courts, or in the news.
What we rarely see, however, are stories about the numerous companies that are managed by
ethical leaders. While standards seem to keep falling in some corporations, other leaders "raise
the bar" and inspire their teams to do the same. These leaders do the right thing, at the right
time, for the right reasons. They put their ethics before the bottom line – and as a result, they
have dedicated teams that would do almost anything for them.
So how do they do it? And how can you do it as well? We'll show you how to define your own
ethical standards – and start putting those standards into practice.

Define Your Organization's Values

To lead your team with character and integrity, you must set an example. You're the leader,
remember? Your team looks to you. To begin, you must know your own values as well as your
organization's values.
For example, the global technology giant 3M is well known for its company values. Why?
Because the entire team – from top executives all the way down to the mailroom – live and
breathe the principles of honesty and integrity every day. 3M communicates clearly that it wants
its staff to do things like keep promises, have personal accountability, and respect others in the
workforce. Every leader in the company knows this, so they work by these rules. And as a
 P a g e | 82

result, everyone else follows.

Hopefully, your company has clear rules about how it wants team members to act. As a leader,
it's up to you to know these rules and codes of conduct – and to make sure you enforce them.
Your personal values are also important. If the company's written rules don't say that you must
be fair to everyone, but this value is important to you – then, of course, you're going to do it.

Good leaders follow their personal values as well as organizational values.

Ask yourself these questions:
 What standards of behavior are really important to my company?
 What specific values do I admire in certain leaders? Do I identify with those values?

 Would I still live by those values, even if they put me at a competitive disadvantage?

Set the Tone

Now that you know your company's core values, you can begin to set the tone and create the
right environment for your team and your organization. Again, leading by example is the best
way to do this.

It's what you do, not what you say, that demonstrates to your team what you care about. So, if
your company values honesty above all else, then make sure you demonstrate that by being
honest with everyone around you. If your company values free speech, then make sure you
allow your team to communicate their ideas openly.

Next, establish consequences for team members who don't follow corporate values. If you allow
someone to come in late continuously without making up the hours, that won't set a good
example for the rest of the team. You need good consequences as well. Set up some kind of
 P a g e | 83

reward system for team members who consistently act according to the company values.
Storytelling is a great way to reinforce and communicate these values. If you know of team
members or even clients who acted ethically in difficult situations, then tell their stories. This
shows your staff that they can do it as well. To learn more, see the Mind Tools article on the art
of business storytelling.

By getting your team interested in ethical conduct, you communicate how important these
values are to both you and your organization.

Recognize Ethical Dilemmas

Here's the scenario: You're in a meeting with other top executives, and you realize that one of
your colleagues has changed the numbers in his report.
As you listen, you realize that he's exaggerating how well his team is doing on a major project.
Instead of saying that his team will finish in eight weeks, which he previously told you, he's
promising to be done in only five weeks.

And instead of saying that the project will help increase company earnings by 4%, which he also
told you earlier, he's promising a 12% increase. What do you do? He's a close colleague and a
personal friend. On the other hand, he's overstating how well his team is doing. Do you support
him, or do you tell the truth to the other executives?
We're often faced with tough choices like this in the workplace. Most of the time, however,
ethical dilemmas aren't this obvious, and they can be hidden in ways that are hard to uncover.
So, how do you recognize these dilemmas?
 P a g e | 84

Identify "trigger" situations – Certain situations seem to attract ethical dilemmas. Some of
these are areas like purchasing, hiring, firing, promoting, and calculating bonuses.
=>There can also be other unexpected situations. You could make a mistake will you admit it
to your boss, or try to cover it up? Or you could discover that a colleague is acting unethically
do you protect the person or tell someone?
=>By recognizing when these situations might occur, you can make the right decisions when
and if something actually happens.

Prepare in advance – Imagine yourself in the situations we just mentioned. What would you
do if you knew one of your colleagues was about to be fired, but you weren't legally allowed
to tell her? Putting yourself in these imaginary situations can help you work through your
feelings and decide what you would do if the situation became real. In real life, you may have
only seconds to reach a decision. Of course, you won't be able to imagine every possible
ethical dilemma you might face, but this exercise WILL help you get to know your values,
and it can prepare you for the decisions you may have to make.
 Listen to your "inner voice" – Your conscience often tells you that something isn't
right, even if this is just a feeling of uneasiness with something. If you face a situation
that makes you uncomfortable, or goes against one of your core values or beliefs, then
make sure that you stop and think things rationally.

 Reevaluate your decision before you act – If you're in a difficult situation and you
aren't sure what to do, make a decision. But before you act on that decision, ask yourself
how you would feel if your actions were in the company newsletter or on the evening
news for everyone to see. Would you be proud of what you did? If not, then reconsider
your decision.
 P a g e | 85

When in Doubt...!!
At times, you'll make a decision but still wonder if you did the right thing. You may be
uncomfortable, but these situations can teach you to trust yourself and your instincts. If you
calm your anxiety and look logically at the situation, your instincts will often guide you in the
right direction.

Ethical living and leading takes courage and conviction. It means doing the right thing, even
when the right thing isn't popular or easy. But when you make decisions based on your core
values, then you tell the world that you can't be bought and you lead your team by example.
Once you identify your company's core values as well as your own, you can start to set the tone
with your team and your organization. Actions always speak louder than words, so make sure
you do as you would wish others to do.
 P a g e | 86

Conclusion

• Leadership is about skills not birthright. While some traits help, the truth is most

of your leadership success will be explained by hard work and your mastery of the
skills described in this book.

• The cumulative effect. Stop looking for home runs and remember that leadership
success is best defined as the cumulative effect of many small things done
correctly over time.

• Marathon not a sprint. Do not attempt to master all of this overnight. Get it right a
piece at a time and assume a good pace, but one that you can maintain. You want
to finish the marathon.

• Keep the conversation alive. You personally have the power to not only continue
your professional development, but that of others as well. Keep these topics alive
and actively considered by your leadership team.
 P a g e | 87

BIBLOGRAPHY

Website:
 http://www.mindtools.com/pages/main/newMN_TCS.htm

 http://www.leadership-with-you.com/steve-jobs-leadership.html

 http://blogs.hbr.org/krishnamurthy/2008/06/bill-gates-entrepreneur-manage.html

 http://www.zainbooks.com/books/management/leadership-and-team-
management_1_introduction-organization-the-stage-for-leadership.html

 http://www.drdewett.com/

Books:

 Reforms 2020-The Indian express magazine

 The Little Black Book-Todd Dewett, Ph.D.