TABLE OF CONTENTS

TABLE OF CONTENTS ............................................................................................................. 1

1.0 Introduction ............................................................................................................................. 2
1.1 Background of Guinness Ghana Limited ............................................................................. 3
1.1.1 The Organizational Structure of the GGBL ................................................................. 4
1.1.2 Organizational Culture ................................................................................................... 5
2.0 Leadership and Leadership Concept .................................................................................... 6
2.1 Leadership Theories ............................................................................................................... 8
2.1.1 Great Man and Trait Theories ....................................................................................... 8
2.1.2 Behavioral Theories ....................................................................................................... 10
2.1.3 McGregor’s Theory X and Theory Y Managers ........................................................ 10
2.1.4 Managers that subscribe to Theory X hold that: ........................................................ 11
2.1.5 The Contingency or Situational School ....................................................................... 13
2.1.6 Fiedler’s Contingency Theory ...................................................................................... 13
3.0 Introduction to Management Theory.................................................................................. 14
3.1 Management Theories ...................................................................................................... 16
3.1.1 Scientific Management School ...................................................................................... 17
3.1.2 Behavioral School........................................................................................................... 18
3.1.3 Current Developments in Management Theory ......................................................... 20
4.0 Management as Practice....................................................................................................... 21
5.0 Conclusion ............................................................................................................................. 24
6.0 References .............................................................................................................................. 26

1|Page
1.0 Introduction

The focus of this report is to critically evaluate the leadership theory and its usefulness in the

context of Ghana Guinness Brewery Company Limited. The report details a number of “schools

of thought” starting with “great man” opinion on ‘heroic leaders”, to “trait theories”, “behaviorist

theories”, “situational leadership”, and “contingency theory” as well as transformational and

transactional leadership theory. All these theories proffer some understanding into a successful

leader’s quality. The reportscontinue with leadership models and competency frameworks. These

present a range of leadership and management frameworks currently being used in organizations.

The theories define the necessary qualities needed of persons in position of leadership and as

well help in the process of leadership development in the organization. The method chose for the

reports is critical review of literature. The report made use of articles from numerous online

database like ScienceDirect, Google Scholar, Sage, Psych Infor among others. Relevant

leadership searches were made using keywords like leadership theory, approaches to leadership

theory, management and leadership theory, necessary leadership theory for an organization

among others. These articles, books, journals, and research papers were critically examined as

well as analyzed to establish methods used by various scholars to develop leadership. Relevant

information needed for this study was also sort through brochures, newpapers, and the website of

the organization, Ghana Guinness Brewery Limited (GGBL). The report further proceeds to

discuss the organization under study. This includes the organization in general, the culture of the

management the organization in general, the organizational structure. The main report looks into

the discussion of the critical organizational theories. This is followed by the application of the

discussed theories in the context of the organization. Evaluation and commentary is done to

2|Page
identify the necessary gabs identify in the discussion of the theories, and conclusion made to

summarize the report.

1.1 Background of Guinness Ghana Limited

Guinness Ghana limited was incorporated in August 1960 in Ghana as a private company. This

purpose of the company is to produce and sell Guinness Foreign Extra Stout. The company in

2004 acquire majority shares in Ghana Breweries Limited (GBL) which is a subsidiary of

Heineken.

After the acquiring the majority stake, the company change its to Guinness Ghana Breweries

Limited (GGLB). The company inspire to be “Ghana’s Most Celebrated Business”. The

company intend to “make every adult Ghanaian an adorer of at least one of its brands”. The

company in their bid to live to their name as the most celebrated company in Ghana, thecompany

provide good times as well as unimaginable drinking experience to their consumer on every

occasions to remain the first choice brands every Ghanaian.

To remain the first choice of all their customers, the company believes in building amazing

relationship that would bring out the best in their employees and partners. They also believe in

giving the communities they operate in an enriching value. The majority of Guinness’s share is

owned by Diageo Public Liability Company. The company owns 51% of the total shares. Others

shareholders are Heineken and Social Security and National Insurance Trust (SSNIT). The

Social Security and National Insurance Trust (SSNIT) owns 29% and the rest 20% by Heineken.

3|Page
Guinness Ghana Brewery Limited have their two production house in Kumasi specifically Kaasi

and Accra. (Source: GGBL Annual Report and Financial Statements, 2008, P.7 and Appendix II)

In their quest to maintain their superiority the company proceed to establish new and separate

identity with powerful growth volume. With their powerful growth volume, the company sees

the future as chance to move the operation and business ahead of their competitors to avoid

competition. The company owns majority of 75% of the beer market in Ghana. The company

also faced stiff competition from Accra Brewery Limited, SAB-Miller as their majority

shareholder.

1.1.1 The Organizational Structure of the GGBL

Managing Director

Director of
Director of Sales Director of Director
strategy &
Supply Finance
Route to
Consumer

Legal
Communicat
Corporate Human Counsel
ion Dir. Market
Relation Resource and
Spirit & Director
Director Director Company
ConsumerM
Secretary
KT
4|Page
Source: GGBL Website

The company managed by the Executive committee, which is led by the managing director with

the guidance from the board members. The managing director takes care of all day to day

activities of the company. Ohers members of the organogram includes director of strategy and to

consumer, sales director, director in-charge of supply and finance director.

The rest are the communication director spirit and consumer market, corporate relation director,

human resource director, legal counsel and company secretary and market director. The

responsibility and roles of the directors and management are guided and defined by the

company’s organizational framework and strong governance system. The board of GGBL

ensures adherence to the company’s internal control measures and procedures and abeyance of

the rules and regulations of the company. The meeting and contractual agreement of the

company is guided by the legal framework of the company.

Guinness Ghana Brewery Limited had a permanent staff strength of 620. The company also has a

total of 150 as their contract staff. The company considers leadership development and their role

as a major issue as they believed it is a major influence on the company’s performance as well

their employees.

1.1.2 Organizational Culture

Guinness Ghana brewery practices open and collaborative culture where workers interact with

one another irrespective of your job position. The corporate culture of Guinness Ghana brewery

limited creates and maintains a learning environment that provides the basis for knowledge

5|Page
sharing through cross functional task execution. The sense of culture evokes curiosity, adventure

and fun among employees. There is a unique working environment that ensures employees

upgrade in knowledge and skills at regular intervals.

2.0 Leadership and Leadership Concept

Leadership and the concept of leadership continues to be one of the most salient part of

organizational context. For the past five decades, the term “leadership” has been one of the most

researched subject. Most of this studies concentrate on the leadership quality, the leader’s

ability, the effectiveness as well as the leadership theories. Adlam (2003) opined that, the

concept of leadership is a very complex. This statement by Adlam (2003) has proven to be true

as various approaches and used to provide detailed explanation to leadership and its

effectiveness. As a result, the term leadership has been explained from distinct sources. Some of

these sources of definition are defined and discuss below.

The traditional understanding of the term the leadership concept as enticing compliance,

reference as well as cooperation. According to Anderson,Ford and Hamilton(1998) indicated

that, leadership is when the leader uses his power to control his followers in order to get their

cooperation. Furthermore, the perspective of the old leadership is founded on the role of the

leader to formulate goals and objective and making sure this set goals and objectives are

accomplished effectively. Mcswain (2010), also “defines leadership as a capacity, which implies

that, the capacity of a leader is to listen and observe, and to use their expertise as a starting point

to encourage dialogue between all levels of decision-making, to establish processes and

6|Page
transparency in decision making, and to articulate their own values and visions clearly but not to

impose them”.

Also, Schermerhorn, Hunt and Osborn (2000) “define leadership as a case of interpersonal

influence that get individuals, or groups of people to do what the leader wants to be done”. This

shows that the focus of the leaders is what they desire from the people. As a result, the input of

the follower is not needed nor encouraged in what is supposed to be done.

Nevertheless, Maxwell (1999) possess a distinct on the leadership definition. He opined that the

focus of the leader is supposed to be the impact they have on their followers rather than what the

leader expect to get from his/her followers. Therefore, in order to establish a relationship that

increase and promote productivity, the leaders must encourage their followers contribute and

have a say in the activities of the organization.

In recent times the leadership focus has been moved to non-bureaucracy from bureaucracy. The

bureaucracy aspect of the leadership is when the leader directs and make decision to be

implemented by others or followers. Also, the non-bureaucracy is where the leadership lays

much emphasis on inclusion, motivation and empowerment of their followers to contribute in

making decision for the organization. For instance, Jaques and Clement (1991) define

“leadership as a process in which an individual sets direction for other people and carries them

along in that direction with competence and productivity”. This definition also lays emphasis on

a change that brings contribute positively to the groups, the environment as well as the

organization.

7|Page
This two approaches of leadership concepts, even though disagree in terms of definition, both

seems to agree that leadership is not practice in vacuum. They both opined that leadership is a

process between two people, where the leaders sort to influence and impact on the behavior of

the follower of the other person.

2.1 Leadership Theories

The effectiveness of leadership is described using the various leadership models. The paradigm

of leadership has metamorphosed over the previous decades;

it has changed over time to new perspectivesform the initial traditional leadership era.

Schermerhorn et al (2000) and Hoy and Miskel (2001) designed and put character, behavioural

and contingency or situational models under traditional leadership perspectives, and

transformational and charismaticleadership paradigms under the new perspectives of leadership.

The pinpoint of all leadership theories is to ascertain and evaluate the effectiveness of

organizational operations.

2.1.1 Great Man and Trait Theories

The theory of Great Man is usual based on the assumption that leaders areinnately born with,

leadership skills that are mostly unexplainable, which makes other folks to perceive them as

exceptional heroes. Also, the great man theory holds that the authority of leadership is rooted in

their righteousness of the leader. Followers elevate based on the phenomenon qualities that their

leaders have. This make the followers not be skeptical about the adjudications their leaders.

Trait theories are built on the theories of the great man. The basis of organizational performance

and effectiveness is the prudential understanding of the holistic concept of leadership as

8|Page
perceived by the Trait theories. Similar to the theories of the great man, the perspective and

opinion of the Trait theories assumes that leaders born with characteristics set them apart from

others and as well make them great. In the quest to know about the secret of great leadership,

Ralph Stogdill reviews numerous research articles on leadership, with the assumption to be some

great leaders must be born with exceptional traits. Findings gathered by Sashkin and Sashkin

(2003) depict that Ralph Stogdill found out the following characteristics of previous leaders;

assertive, intelligent, creative, responsible,outgoing,heavier andtaller than average people.

However, the gaps that exist in traits of previous leadership practices could not serve substantial

remedies to the study observed, due to the statistically insignificant list found. Thus,

RalphStogdill (in Sashkin and Sashkin 2003) stated that the combination of characteristics does

not necessarily makes one a leader since situations determine the impact of traits. Before

perceiving and attributing an individual as a great leader the characteristics and dynamism of the

situation at hand must be holistically considered. The research findings of Ralph Stogdill and

other scholars concluded that the effectiveness of a unique leadership can be associated to some

traits that the leader possesses. This is not the same as first trait assumption which holds that

leaders are not made but rather born. As much as there is no trait list that provides guarantees for

leadership effectiveness, many characteristics have been identified quite recently to have

contribute greatly to the success of leadership as it emphasizes the situation and traits

collectively. Hoy and Miskel (2001) make known of some traits that are linked currently with

leadership effectiveness and these traits are; stress tolerance, self-confidence,emotional maturity

and integrity.

9|Page
2.1.2 Behavioral Theories

The findings of the research work on the trait theories were inconclusive. Amongst other

variables or things, traits were difficult to measure. For example, are traits such asdiligence,

honesty,loyalty, or integrity measured? There is the need to find another model or approach in

the leadership study.

The behavioral theories gained prominence after the publication of the classic book in 1960 titled

“The Human Side of Enterprise” by the Douglas McGregor. The works of Douglas McGregor

were influence by his background and profession as a consultant, teacher and researcher; his

works were regarded as “cutting edge’ master piece. All the major behavioral theories were

influenced by him, which put a précised focus on human relationships, along with performance

and output. The perspective of both the behavioral leadership and trait leadership holds that, the

fundamental of organizational performance is leadership.In contrast, the behaviorof leaders

rather than personal characteristics of leaders is the main focus. According to Hersey and

Blanchard (1988) the University of Michiganinitiated this approach in their report.

Leaders that are employee-centered are very sensitive to their followers. He empathized with his

subordinates so as to create pleasant and conducive working environment for them.However, a

leader who is production-centered or a highstructure initiating leader focuses on the completion

of the task at hand (Schermerhorn et al (2000)). McGregor‟s Theory X and Theory Y Managers

and Blake and Mouton'sleadership grid were the behavioral types of leadership examined.

2.1.3 McGregor’s Theory X and Theory Y Managers

The assumptions and perceptions of the leader about the nature of human influence his or her

leadership style and strategies according to McGregor (1960).

10 | P a g e
The two sets of contradicting assumptions hold by managers in the industry was summarized by

McGregor due to his consultancy experience. The fundamental nature of people was the basis on

which he created the two profiles of attitude. These attitudes profiles were named as Theory X

and Theory Y. McGregor (1960) stated that most leaders to some extend subscribe and

accordingly behave to either theory X or Theory Y.

Table 2.1: McGregor’s Theory X and Theory Y Managers

2.1.4 Managers that subscribe to Theory X hold that:

• The average person possesses an inherent trait that makes him or her dislike work and will

possibly like to avoid it.

• Due to the inherent trait mentioned above, most subordinates need to be directed, persuaded,

controlled and coerced with punishment to make them put out their maximum effort in achieving

organizational goals objectives.

• The average person being desires to be guided, prefer to refrain from responsibility, relatively

has little ambition and security is their paramount concern.

Theory Y managers assume that:

• The physical and mental effort used in work is naturallysimilar to a play or rest, giving proper

conditions, an average human being, learns to accept as well as seek for responsibility.

• Objectives to which people are dedicated and committed, they exhibit self-controlled and self-

directed traits in achieving the ultimate.

11 | P a g e
Relatively, the degree to which imagination of high level, creativity, and ingenuity in the

remedies of the problems of the organization is broadly distributed to the society at large, and the

recent industrial life breeds the underutilization of intellectual capacities of the average person.

An autocratic leadership style would be preferred by a leader who holds an assumption of the

theory X, whereas a leader holding assumptions of Theory Y would adopt a more of a

participative leadership style. The assumption that the attitude of the leader towards the nature of

human has a great influence on how he or she behaves is the real worth of McGregor’s work.

There is a much attention given to the relationship that exists between the subordinate’s

performance result and the very expectations of the leader. A widely accepted finding shows that

if the expectations of the manager are high, there is likelihood that the productivity would be

poor. The behavior of leadership is determined by the beliefs and manager’s assumptions about

an individual nature of life according to this theory.

Some component of Ghanaian culture serves a good ground for a Theory X leadership behavior

to be immensely practice. These components include paramount respect for elderly folks,

dictatorial political culture and extreme propensity against respect for authority. Moreover,

certain pessimistic traits common among Ghanaian workers deserves an application of Theory X

behavior leadership for the manager to achieve expected result. Some examples of negative

attitudes exhibit by workers include lack of dedication and commitment towards work, private

gains due to office abuse, fence sitting, lethargy andlaziness and poor time management.

Nonetheless,a leadership behavior of Theory X might not be applicable to the entire working

force of Guinness Ghana brewery limited. Well educated and highly skilled workers who are

enthusiastic to leadership Theory Y behavior would refuse a manager that applies close

supervision and coercion.

12 | P a g e
Theory Y assumption managers uses participative leadership style which provides a management

of consultation, welfare of employees well looked at, recognition of worker’s ability and

employee’s involvement in the process of decision making. In an organization where leadership

behavior is commonly Theory Y, major emphasis is placed on employee’s inclusion in the

decision making process, standards of performance, anenvironment of goal orientation coupled

with less directions. The recruiting of high achieving and creative employees, individual effort

recognition, and regnant decentralization are the norms of such organizations. A reputable

company like Guinness Ghana brewery limited adopts the Theory Y leadership behavior which

leads to the recruitment of well-educated and highly skilled employees into their staff.

Moreover, the ability of working staffs to persuade management bodies due to the presence of

vibrant trade unions to involve them in decisions making, propel managers to subscribe to

Theory Y behavior of leadership.

2.1.5 The Contingency or Situational School

The behavioural theories might help managers to develop a unique behavior of leadership but it

provides scantyguidance about the components of leadershipeffectiveness in various situations.

Indeed, researchers believe that no singular leadership style is right all situations. Instead,

contingency theories show a particular style to be deployed depending on contingent factors such

as the circumstance, the task, the environmental variables, the organization, and the people. This

school of thought was rooted by the following major theory of leadership.

2.1.6 Fiedler’s Contingency Theory

The situational variable influences the personality and behavior of a leader according to Fiedler

(1967) and he was the first to come about this leadership theory. Fiedler (1967) holds that there

exist no peculiar way for managers to lead. Every manager requires different style of leadership

13 | P a g e
that can correspond with a given situation. The situational factors would adequately determine

the effective remedies a manager should apply. In an environment where the activities are

repetitive, a directive style of leadership may help achieve best performance result. Nonetheless

in a more dynamic environment, a manager needs to adopt a participative leadership style.

Fiedler viewed three different situations that could explain the conditions of task management:

(i) A leader -member relations: does the members and leaders get along very well?

(ii) Structure of the task: Is it a highly structuredjob, fairly unstructured, or somewhere in

between?

(iii) Positional power: what is the degree of managers possessed authority?

The relationship oriented or task oriented nature of managers is used in their rating.

In a good leader-member relationship situation where the tasks are structured in the presence of

either strong or weak positional power, a task oriented manager performs better relatively. Also,

they strive well in a situation where the power of position is strong but the task is unstructured.

In addition, the presence of moderate to poor member-leader relationship associated with tasks

that are unstructured triggers good manager performance. In all other circumstances, managers

that are relationship oriented do better.

3.0 Introduction to Management Theory

Management is a paradox or phenomenon which is very ambiguous in nature. Most of the

literature on traditional management involves planning, organization, administration, monitoring,

control, and short-term horizon of organizations (Mintzberg 1973; Morgan 1986; Taylor1911).

14 | P a g e
The soft elements that are associated with motivation, participation, vision, inspiration and value

creation in the long-term horizon is the concerned of other literature. Other underlying different

definitions reflected by the latter are usually classified as leadership (Bass1994; Conger 2000;

Kotter 1999; Rost 1991; Yukl 1989). A need for flexible managerial elements can be expected to

increase in importance so as to keep pace with increasing trends in globalization and rapid

changes in development of technology (Kotter 1999). The significance of leadership as a

motivating factor has imminently gained increasing momentum because it is almost practically

impossible for management to holistically monitor and control peculiar and processes that are

knowledge-intensive in any discipline (Bass 1994; Conger 2000; Kotter 1999; Rost 1991).

In furtherance of this there is a degree of trend to employ the term leadership in various aspects

of managerial functions. Thus, as much of earlier research has demonstrated, the discussion of

leadership as opposed to management has been partly substituted by a focus towards different

kinds of leadership (Bass 1994; Egri 2000; Ekvall 1994; Gabris 1998). However, the exact tasks

that were previously covered by the terminology “management” did not disappear. Some

functions reviewed in the literature as different kinds of leadership are adequately categorized as

practices of traditional management.

Irrespective of any tacit rhetoric, a proposition of roles has become apparent on a very

substantive level at various times, and it is assumed to be more prevalent and future dominant.

The vitality of different roles across leadership and management research has been discussed in

distinct situations (Denison 1995; Hooijberg 1996; Mintzberg 1973; Quinn 1988). The general

discussion of managerial roles substantively replaces the inherent debate of management

concepts as opposed to leadership framework (Bass 1994; Ekvall 1991). Previously, for than a

15 | P a g e
century, the term leadership has been utilized in the context of organizational operations. It is

derived from a Latin word and it means “to pull”, “to guide” or “to lead” (Rost 1991).

Psychologists (Bass 1994; Fiedler 1972) and business scholars (Kotter 1999), and several others

researched of the concept of leadership.

The paper highlights various phenomenon leadership theoretical approaches. This serves to

illustrate the developing research path throughout the 20th century. In addition of this, the link

between management and leadership would completely ascertain the remaining part of this

paper. Contributions about different managerial roles are launched in a model that gives

opportunity to consider three different broader dimensions in terms of production, change, and

employee centered.

Moreover, the potential for even more dimensions will be briefly discussed. In the other part of

the paper the propositions will be touched, followed by an addressed of the major implications

for managers and future research.

3.1 Management Theories

Contemporary management theories used by many organization and their management gives

account and aid understand the never ending nature of the current organizational certain. In order

to appreciate the theories in the context of the organization, relevant theories like “The Scientific

Management School” which is made up of the motion study ofLillian Gilbreth and Frederick W.

Taylor’s work; “the Classical Organizational Theory School” which also comprises of the study

of Henri Fayol’s administration view, as well as the bureaucracy idealized by Max Weber. The

16 | P a g e
rest are “Behavioral School” made up of Elton Mayo and associates;“the Management Science

School”which is elaborated in the section; and the latest management theories which comprises

of the theory of chaos, the System Approach, the Contingency and Situational Approach, and the

Approach of Team Building.

3.1.1 Scientific Management School

This theory is referred to as scientific management by Frederick Taylor. He begun the modern

era of management. Frederick Taylorin the later part of 19th centuries decried the “awkward,

inefficient, or ill-directed movements of menas national loss”. Taylor regularly tried replaced

management with present observations that leads to the practice of “the one best” by

overthrowing management “by rule of thumb”. Frederick Taylor opined that “the one best

practice” is training of workers systematically instead of allowing them to be discretionary in

carrying out their task.

Frederick Tayloragain indicated that the best practice is to evenly shared the workload in the

organization into two, between the management and the workers. With this he said the

management take the role of science as well as instruction, while the workers perform the role of

a labor. In this case each of the group performed their suited role in the organization.

The “concept of breaking into subtask from complex task and operationalizing the subtask was

one of the strongest legacy of Frederick Taylor. However, the theories of Frederick Taylor were

not without criticizing as many scholars both contemporary and historically say the theories

dehumanizes workers.

17 | P a g e
From the stand point of economic Taylorism was very successfully. The application of the

method of Taylor produces major productivity improvement. For instance, the “shovel work” of

Taylor is seen great improvement as it slashed down the number of workers to 140 from 500 to

shovel at Bethlehem.

The four great theories proponed by Frederick Taylor are, the need to replace “rub-of-thumb”

methods with a development of “scientific of work”. This theory says that rewards should be

linked optimum goal attainment and the measurement of work performance by output and

without these would result in no earning. Taylor’s second theory says that all workers or the

organization must be trained to be good at a particular task. Also, Taylor proposed a scientific

theory that is “science of work” which seek to bring the best out of workers by scientifically

selecting and training people. The theory of Frederick Taylor is the proposal for equal division of

responsibility among management and workers.

Together with Fredrick Taylor is the motion study of Gilbreth. Gilbreth proposes that each

member of the organization should be concern of carrying out their own activity or

responsibility. He further says that each worker must be prepared for the next higher level. He

also encourages training of future successors.

3.1.2 Behavioral School

Elton Mayo is the main scholar associated with this category. In the early 1920s, a western

electric company in the USA carried out an experiment work which became the origin of human

relations behavior movement.

18 | P a g e
The assumption that science shows that there is only one way to achieve maximum productivity

through a control experiment is disproved by Elton mayo and his associate scholars. The

Hawthorne research work tries to evaluate the effects of lighting on the productivity of workers.

After these experiments failed to show clear existing correlation between productivity and the

level of light, other factors were studied. Whilst Mayo was working with a women group, he

considered the following factors which include no free meals, rest breaks, more hours in the

workplace and no rest breaks. Each of these changes results in the increase of productivity.

A record of productivity was set when the women were place back under their initial working

conditions.

Five “solid” things were highly approved during the experiment. Firstly, the condition of the

working environment and positive attitudes basically provides job satisfaction than economics.

Secondly, it resisted Taylorism and focus much on self-interest workers and rewards based on

monetary value is of paramount interest. Thirdly, experiments on the large scale concerning

employees numbered over 20,000 illustrated highly positive result. For example, enhancing the

working environments, giving thank you expressions and encouragement is preferred to coercive

managers and supervisors. Fourthly, there is the need to have informal groups in an organization

since one cannot downplay the influences of peer groups. Finally, it excoriates ‘rabble

hypotheses’ that society is a multitude of individuals that are unorganized in a calculated manner

to safeguard his or her interest.

These findings prove adequately that the social creation and dynamics of an organization where a

significant variable force is either against or for higher productivity. This result is a relevant

19 | P a g e
yardstick that would help push organizations to champion the course of employee’s participation,

interactive and collaborative working environment, and paying much attention to group

cohesiveness at workplace. In the nutshell, the impacts of Taylor’s model led to the creation of

the engineering industry, personnel departments and quality control. The relation of human

movement impacted greatly on the doings of the organization. There is apparently a

contemporary concept of “social systems”, “teamwork”, and organizational “group dynamics”,

all derived from Mayo’s mid-1920s classical work.

3.1.3 Current Developments in Management Theory

The current management theories proponed are the “Systems Approach”, “the theory of

Contingency or situational, as well as the “theory of Team Building”.

The management of organizational understanding and science has been greatly affected by the

system theory. The theory of system talks about the collection of several part for an overall goal

accomplishment. In system approach if one of the several part is taken out or remove, there is a

change in the system. If one part of the system is removed, the nature of the system is changed as

well. The organizational system can have inputs like resources like money, raw material, people

technology among others, with process like planning followed by organizing with motivation as

well as controlling and outputs such as service or products and outcomes like productivity,

enhancement of quality life. There is a feedback sharing among all the four parts of the systems.

The contingency or situational theory says that when decision is made by management, there

should be a consideration for all the organization current position or situation as they act on the

vital part of the situation at hand. For instance, if the sales or marketing officer of GGBL is

20 | P a g e
leading his/her team to the market, the leader is required to be more facilitative and participative

leader than autocratic.

The theory of team building emphasizes on the best practices, quality circles and continuous

advancement or improvement. This theory hinges on teamwork reliance. The theory also talks

about management consensus which is to involve in the decision making level.

4.0 Management as Practice

Just like any other practice, managing is an act of doing things in the reality of circumstances.

Managing is believed to been an art.

As difficult as it may seem, with the knowledge management can be at their best in all cases.

This is what is happing at GGBL. The knowledge of the people assembled at GGBL establishes

the science. Nevertheless, the “science underlying managing is crude and inexact”. This is

sometimes the situation at GGBL, the circumstances handled by managers at the company is

excessively difficult. In spite of all this complex situation the knowledge of the management is

essential in the managerial practice. It is often said that managers who fail to mange without

management science are bound to fail in most cases as they put their trust to luck.

The governance structure and system of GGBL required strict adherence to the lay down rules,

procedures as well regulation set out in the legal framework of the company. With this the

management members are expected to exhibit professionalism in all their dealings.

21 | P a g e
Guinness Ghana Brewery Limited believes in harnessing positively for good of the company.

The company believes in motivating their employees to be at their outmost best, organizing

workshops, training in modern technology to enhance their performance. This action of GGBL

agrees with Frederick Taylor’s theory of “science of work” which seeks to bring the best out of

every worker by systematically training them.

Guinness Ghana Brewery Limited enhanced their performance by job sharing and allocation of

specific responsibilities. This is evident in the demarcation of various department into smaller

unit to under stake various task. The company also equally shares jobs among its employees and

the management on occasions. The happens when there is national assignment. This also agrees

with the theory of Frederick Taylor on the proposal of equal division of responsibility among

management and workers. This helps the company to adequately serve its numerous consumer in

order to remain the customer’s choice.

The system approach is also practiced by GGCL, they believed that the company will be able to

achieve it aims and be at their production best when all systems are working effectively.

Guinness Ghana Brewery Limited over the years has been noted for their huge investment in

human capital, improvement in their process of production to bring the best outcome in their

production. Then company have hired the best resourced hands, ranging from their board of

directors to their managing director through to the least person in the organization. They believe

that planning is one of the surest way of achieving greatness. This they do my putting together

competent team of great minds to go through their business environment to monitor and bring

out the best way on planning to continue controlling the market in the wake of stiff completion.

22 | P a g e
The act of understanding the emotions and feelings of the worker of GGBL is one of their major

motivation for their workers to give out their best in their line on duty and in the organization.

The company understands that, the worker spends more time in the office than they do in their

homes, hence, the need to make the environment stress free and acceptable to all workers no

matter their job schedules. This actions of GGBL is in tangent with the theory proposed by Elton

Mayo which suggest that the condition of the working environment and positive attitudes

basically provides job satisfaction than economics. This theory also disagrees with the proposal

made by Frederick Taylor, which believes the best motivation to improve job performance is

reward and loss of earning.

There is also an exhibition of behavior of job-centeredness by the managers of GGBL. This is

done to get their workers deliver their task. The transactional leader tries to entice his worker to

give out their best.

A reputable company like Guinness Ghana brewery limited adopts the Theory Y leadership

behavior which leads to the recruitment of well-educated and highly skilled employees into their

staff.

Moreover, the ability of working staffs to persuade management bodies due to the presence of

vibrant trade unions to involve them in decisions making, propel managers to subscribe to

Theory Y behavior of leadership.

The GGBL’s leadership practice seems to agree with the position of (Bass and Avolio, 2000 &

Mester, et al., 2003contract staffs to be at their best. The reward system is dependent on the

23 | P a g e
contract staffs complying and carrying roles assigned by their superior. on the followers carrying

out the roles and assignments as defined by the leader.

5.0 Conclusion

The conclusion of this report is rested in the practice exhibited by the management in the

performance of their roles as critically evaluate in the report. Management as the process to

designed and maintain the business environment for the sole aim of accomplishing set goals and

objectives. The functions of management include planning and organizing. The rest are leading,

staffing, as well as controlling at the level of the organization, managing is a very serious and

important activity. Nevertheless, the skills needed at the managerial level varies.

Though managers in sometimes now made several advancements in acquiring their roles and

position, many of them still have a some few task to catch up with to effectively deliver. It can

be noticed that at least all the managers at GGBL desires to make surplus as well as being

productive in desirable ration in output and input within a certain time frame at the same time

achieving quality. have made progress in obtaining responsible positions, they still have a long

way to go. They try to be effective in their production using less small resource to achieve set

target and objective efficiently.

Managing as a practice can classify an art; when there is organized knowledge about

management it can be termed as science. To develop a theory on management one needs to

develop techniques and principles concept. There exist a lot of theories concerning management,

each and every theory add something significant to what manager does. However, each model or

approach has its own merits and demerits. Systematically, the process theory of management

highlights on individual “schools” and integrate all of them. Finally, the firm practices a system

24 | P a g e
that is open and operates and interacts with the surrounding environment. External environment

and claimants inputs, external factors, the system of communication, transformation process , a

method to reenergize the system and outputs all add up to the management system approach. It is

obvious that a manager who diligently converts theory to practical of reality achieves higher

productivity than a trial and error management approach manager.

25 | P a g e
6.0 References

Bass, B.M. and Avolio, B.J. (1994), Improving Orgainizational Effectiveness through

Tranformational Leadership, Thousand Oaks, CA: Sage Publication.

Bass, B.M. 1985. Leadership and performance beyond expectations. New York: Free Press.

Bass, B. M. 1990. Handbook of Leadership. Theory, Research & Managerial Applications. New

York: The Free Press. Bass, B. M.; Avolio, B. J. 1994. Improving Organizational Effectiveness

through transformational Leadership: Sage.

Bass, B.M.; Avolio, B.J.; Jung, D.I. 1999. “Re-examining the components of transformational

and transactional Leadership using the Multifactor Leadership Questionnaire.” Journal of

Occupational and Organizational Psychology, 72:441-462.

Conger, J. A. 2000. Overbevis dem. Copenhagen: Egmont Wangel A/S.

Denison, D. R.; Hooijberg, R.; Quinn, R. E. 1995. “Paradox and Performance: Toward a Theory

of Behavioral Complexity in Managerial Leadership.” Organization Science, pp. 524-540.

Egri, C. P.; Herman, S. 2000. “Leadership in the North American Environmental Sector: Values,

Leadership Styles, and Contexts of Environmental Leaders and Their Organizations.” Academy

of Management Journal,43:571-604.

Ekvall, G., Arvonen, J. 1991. “Change-centered Leadership: An Extension of The Two-

Dimensional Model.” Scandinavian Journal of Management, 7:17-26.

Ekvall, G.; Arvonen, J. 1994. “Leadership profiles, situation and effectiveness.” Creativity and

Innovation Management, 3:139-161.

Fiedler, F.E. (1967), A Theory of Leadership Effectiveness, New York: McGraw-Hill.

Fiedler, F.E. (1987), Situational Theory: A theory of leadership effectiveness, New Jersey:

Prentice Hall.

26 | P a g e
Fiedler, F.E. and House, R.J. (1988), Leadership Theory and Research, A Report of Progress –

International Review of Industrial and Organizational Psychology.

Gabris, G.T.; Maclin, S.A. 1998. “The Leadership Enigma: toward a model of organizational

optimism.” Journal of Management History, 4:334-349.

Guinness Ghana Breweries Ltd, Annual Report and Financial Statements, 2008, P.7 and

Appendix II

Holy, W.K. and Miskel, C.G. (2001), Educational Administration: Theory, Research and

Practice. 6th edition, New York: McGraw-Hill.

Hooijberg, R. 1996. “A multidirectional Approach toward Leadership: An Extension of the

Concept of Behavioral Complexity.” Human Relations, 49:917-946.

Kotter, J.P. 1999. On What Leaders Really Do. President and Fellows of Harvard College.

Mintzberg, H. 1973. The Nature of Managerial Work. New York: Harper & Row.

Maxwell, J.C. (1999), The 21 Indispensable Qualities of a Leader: Becoming the Person Others

will want to Follow, Tennessee: Thomas Nelson Publishers.

McGregor, D. (1960), The Human Side of Enterprise, New York: McGraw Hill.

Rost, Joseph C. 1991. Leadership For the Twenty-First Century. Westport Connecticut, London:

Praeger.

Shcermerhorn, K.R., Hunt, J.G. and Osborn, R.N. (2000), Organizational Behaviour, 7th edition,

New York: John Wiley & Sons Inc.

Sashkin, M. and Sashkin, M. (2003), Leadership That Matters, San Francisco: Berrettkoehler

Publishers Inc.

Taylor, F.W. 1911. The Principles of Scientific Management. New York: Harper.

27 | P a g e
Yukl, G.A. 1989. “Managerial Leadership: A Review of Theory and Research.” Journal of

Management, 15:251-289.

28 | P a g e