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GREAT LAKES INSTITUTE OF MANAGEMENT

LEADERSHIP AND MANAGEMENT


SECTION 1 GROUP 11
NITISH SALIAN PRACHI GARG PHANI KIRAN RAKESH TRIPATHI SEBASTIAN DERIC
SUBMITTED TO: Prof.Isf.

FT12144 FT12147 FT12181 FT12150 FT12161

Irudayaraj

LEADERSHIP AND MANAGEMENT

2011

Contents
THE LEADER MANAGER STORY ............................................................................................................... 3 A LEADER VS A MANAGER: PERSONALITY AND TRAITS .......................................................................... 5 WHY SHOULD WE INVEST IN MANAGERS, WHY NOT JUST PICK LEADERS??? ....................................... 7 Why should a manager be a leader? ...................................................................................................... 8 Management Leadership Transition Model: ........................................................................................ 11 Developing a leadership-management profile ................................................................................. 11 Lesson 1: Be Proactive ...................................................................................................................... 12 Lesson 2: Begin with the end in mind ............................................................................................... 12 Lesson 3: Put first things first ............................................................................................................ 13 Lesson 4: Think win-win .................................................................................................................... 14 Lesson 5: Seek first to understand and then be understood............................................................ 15 Lessons 6: Motivate and nurture: ..................................................................................................... 15 Lesson 7: Sharpen the saw................................................................................................................ 15 The new age Manager Leadership/Management profile .................................................................. 17 REFERENCES .......................................................................................................................................... 19

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THE LEADER MANAGER STORY

Its a simple story of 5 men getting stuck on an island, among them a leader and a manager and three workers. The Leader on the very first day realizes that it was up to him to get the people out of the island while the manager was thinking short term as to how to best utilize the resources on the island to somehow help the group survive for as long as possible. Both noble thoughts and both critical and this is where the heart of the difference between a manager and a leader lies. The question is can we conclude that one is better or one is more important than the other?? It took the Leader three days of strategizing on the beach to finally come up with a idea of using an old log of wood and some roots to build together a raft strong enough for the five people to survive on the island. During these three days the manager was busy going around the island collecting firewood, food for the group, he was assigning jobs to the others and making use of whatever knowledge they had!! In simpler terms he was keeping the group alive. Finally when the group returned to civilization after a heroic escape using the leaders raft , people asked the group who came up with the idea to escape from the island using a raft. Naturally the group named the leader and rightly he got all the praise. The point is that while the manager was instrumental in the groups survival nobody would ever remember his contribution because all his hard work was concentrated on surviving on the island, the thought of escape the thought of getting out of the island never entered his mind, in other
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words he was satisfied in his short term goals while the Leader had the long term vision of escaping knowing that surviving was not the answer and someone had to think of a way to get out of the island. In the context of this story we will try and answer a few questions in this report. 1. What makes leaders different?? Are they born as leaders?? Are they formed by environment, situations or even made by the organization they come from?? 2. Why should managers try and become leaders?? 3. How can managers imbibe leadership qualities in themselves??

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A LEADER VS A MANAGER: PERSONALITY AND TRAITS


"Leaders manage and managers lead, but the two activities are not synonymous. Management functions can potentially provide leadership; leadership activities can contribute to managing. Nevertheless, some managers do not lead, and some leaders do not manage". This is Bernard Basss assessment in his 1,200 page opus, "Bass and Stogdills Handbook of Leadership" "There is a profound difference between management and leadership, and both are important. To manage means to bring about, to accomplish, to have charge of or responsibility for, to conduct. Leading is influencing, guiding in a direction, course, action, opinion. The distinction is crucial". One of Bennis most quoted phrases is, "Managers are people who do things right and leaders are people who do the right thing" . . . . . . . . . . . The manager administers; the leader innovates. The manager maintains; the leader develops. The manager accepts reality; the leader investigates it. The manager focuses on systems and structures; the leader focuses on people. The manager relies on control; the leader inspires trust. The manager has a short-range view; the leader has a long-range perspective. The manager asks how and when; the leader asks what and why. The manager has his or her eye always on the bottom line; the leader has his or her eye on the horizon. The manager imitates; the leader originates. The manager accepts the status quo; the leader challenges it. The manager is the classic good soldier; the leader is his or her own person.

Both a manager and a leader may know the business well. But the leader must know it better and in a different way. S/he must grasp the essential facts and the underlying forces that determine the past and present trends in the business, so that s/he can generate a vision and a strategy to bring about its future. One telling sign of a good leader is an honest attitude towards the facts, towards objective truth. A subjective leader obscures the facts for the sake of narrow self-interest, partisan interest or prejudice. Effective leaders continually ask questions, probing all levels of the organization for information, testing their own perceptions, and rechecking the facts. They talk to their constituents. They want to know what is working and what is not. They keep an open mind for serendipity to bring them the knowledge they need to know what is true. An important source of information for this sort of leader is knowledge of the failures and mistakes that are being made in their organization. Leaders investigate reality, taking in the pertinent factors and analyzing them carefully. On this basis they produce visions, concepts, plans, and programs. Managers adopt the truth from others and implement it without probing for the facts that reveal reality.
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There is profound difference a chasm between leaders and managers. A good manager does things right. A leader does the right things. Doing the right things implies a goal, a direction, an objective, a vision, a dream, a path, a reach. Management is... Coping with complexity Planning and Budgeting Organizing and Staffing Controlling and Problem Solving Effective Action Leadership is.... Coping with and promoting change Setting a Direction Aligning People Motivating and Inspiring People Meaningful Action

Both are necessary and important. Managers are people who do things right and leaders are people who do the right thing. The difference may be summarized as activities of vision and judgment effectiveness versus activities of mastering routines efficiency. The chart below indicates key words that further make the distinction between the two functions: The most dramatic differences between leaders and managers are found at the extremes: poor leaders are despots, while poor managers are bureaucrats in the worst sense of the word. Whilst leadership is a human process and management is a process of resource sallocation, both have their place and managers must also perform as leaders. All first-class managers turn out to have quite a lot of leadership ability.

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WHY SHOULD WE INVEST IN MANAGERS, WHY NOT JUST PICK LEADERS???


You can either believe that all leaders are born leaders or you can believe that most leaders are made into leaders. If you believe that leaders are born then there is no point in continuing this argument because then all the leaders have been decided upon and only have to be chosen to lead. But consider this if you ask a hundred leaders if they thought they were born with leadership qualities, less than ten would actually agree. Babies are born, some babies are born with traits of leadership, but all babies have to develop those traits and possibly even learn them. The point that we are trying to make is who are these other 90 leaders who have become leaders without being born as one. So if 90% of your leaders are not natural leaders and have to be made into leaders, what are the kind of people you would try and transform into leaders and the obvious answer is managers. Manager has many skills superimposing with leaders and most importantly having worked under a leader he probably knows what a leader does that he fails to do. So if people from the not born leaders were to become leaders in the future it is best that most of them are managers who are good at their technical skills and have learnt to develop their Emotional Intelligence to become better managers. We are moving from an age where it was difficult to find leaders to lead into an age where every talented person thinks he is fit for leadership. In future it will be important, not so much to get leaders to come on to the limelight but even more important to find the right leaders among the multitudes who think they have the talent.

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Why should a manager be a leader?


This section concentrates on the importance of a manager to be a leader too in the todays world. As we have been witnessing, competition among the businesses has increased manifold in this decade. Only the companies which innovative regularly and come up with novel products and services will survive and the rest would perish in the long term. So this requires all the managers in the company at various levels i.e. mid and junior levels to be creative, innovative and motivating apart from being a typical manager. So thus comes the concept of having a balance between right and left brain i.e. a being both a leader and a manager simultaneously.

Sir Martin Sorrell once said: I cant remember which is which, whether its left brain or right brain: but one is quantitative and one is qualitative and getting the balance between the two is critically important. In 1950s Physician Roger Sperry discovered that the right half of the brain was responsible for creative ways of thinking. As a result of Sperrys Nobel Prize-winning work we learned that the left hemisphere reasoned sequentially, excelled at analysis and handled words. The right hemisphere reasoned holistically, recognised patterns and interpreted emotions and non-verbal expressions. So what has all this got to do with leadership and management? In Daniel Pinks thought provoking book A Whole New Mind , he describes how left brain thinking was dominant in the organisations since the industrial revolution. Pink argues that by making everything so analytical and logical, we run the risk of becoming victims of our own success. In the future the value to an organisation comes from the people who balance both right and left brains.
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Sir Martin Sorrell, the Chief Executive of WPP, made a similar point when he said: Intangible differentiations are becoming more and more important as technological transfer is easier and as people can copy things much more effectively. A tool called Hermann Brain Dominance Instrument is used to measure peoples preferences for different styles of thinking. The results provide a clear picture on which part of the brain is more dominant and hence which thinking style is more prominent in a person. When the results are aggregated for large groups of people in commercial organisations, they tend to be relatively balanced with slight left-brain dominance; 52% left and 48% right. However for senior management people the results tend to be a bit left brain dominant (60% left brain and 40% right brain). The modern view of a manager is no longer that of a decisive, competent, tough talking, know it all manager. The conceptive and imaginative brain will play a more visible role as compared to the directive and disciplined mind in the managers of the future. As Kotter says, where leadership is about knowing what to do, management is about knowing how to do it. Both skills are crucial and necessary. The organisations need to look out for people who possess both skills. Now lets see what all qualities a manager has to concentrate on and develop in order to become a perfect leader manager. Listening and communicating effectively: We know that communication is very important for anyone to survive and grow in any organisation. Also most managers possess good communication skills but the lacking skill is the intention to listen. This aspect differentiates a leader from a manager. Most often we see managers employing a top down approach in communication where they just order the things and expect their subordinates to follow. This creates dissent among the team members and hence the team cannot perform at its best. So a manager should try to develop good listening skills and try to empathize with all the team members as and when required. Remaining calm under pressure: This is one of the most important leadership traits that a manager should develop. We often see managers crumbling under pressure in critical situations. This also reduces the teams morale and affects the whole teams performance. The best example that we can think of is Mahendra Singh Dhoni. He is one of the most successful captains of Indian cricket team and this is because of his ability to handle pressure and maintain cool under high pressure and demanding situations. Taking responsibility for their actions: If we look for the common qualities in great leaders the one thing that stands out is the way a leader handles his/her group. A leader completely identifies himself with his team and takes whole responsibility for all the actions. We would like to explain this particular aspect with an example. When one of Mr.Abdul Kalams project, for which he is the lead, in ISRO failed then he immediately convened a press conference and took the complete bottom line responsibility for the failure of the
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project. But when the same project succeeded the next year he let one of his senior team mates to convene the press meeting and made him announce the victory to the world. This example clearly explains how a perfect leader should be. So an aspiring leader manager has to develop this crucial skill. Being comfortable outside their area of expertise: We know a typical manager possess good technical and conceptual skills in one particular domain. But in this competitive era it is not sufficient and to be successful an aspiring leader manager should have the basic knowledge in all the areas that he gets involved in on a day to day basis. This gives him the ability to provide direction to his team members when they are confronted with a complex problem. Here giving the exact solution is not the requirement but a leader manager should be able to guide them in the right direction. Being able to convince others: The new age manager is no longer confined only to his team. Now he is supposed to interact with various stakeholders and get the things done at a right time. So convincing others positively is the most important quality that the new age manager needs to develop. Being comfortable reflecting on their strengths and weaknesses: A famous adage says One who does not know himself cannot know anything. A manager who is unaware of his weaknesses cannot connect positively with his team members and also he tends to be aggressive when criticised. So before successfully leading a team one should know himself completely i.e. his strengths and weaknesses. It helps him to handle complex situations wisely and he will be in a position to lead and guide other people. Being able to adapt: As we all know, Change is the only constant. This perfectly applies to the todays world. The extent of innovation and the pace with which technologies are advancing have crossed the imaginable borders. So the yesteryear manager who is comfortable in one particular domain and is quite inflexible to change can no longer survive. The new age leader manager has to embrace change and should be able to adapt in the minimum time possible to survive in the cut throat competition.

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Management Leadership Transition Model:

As shown in the above diagram a typical manager has to go through the transforming phase to become the new age Leader Manager. The transforming phase could be long as a manger has to develop all the essential qualities that we mentioned above. Also by interacting with or working closely with a leader can reduce the duration of this transforming phase as the learning curve would be steeper in this case.

Developing a leadership-management profile


Until now we described the characteristics of a leader and that of a manager. Managing and leading are two different ways of organizing people. The manager uses a formal, rational method whilst the leader uses passion and stirs emotions. In the new economy, where value comes increasingly from the knowledge of people, and where workers are no longer undifferentiated cogs in an industrial machine, management and leadership are not easily separated. People look to their managers, not just to assign them a task, but also to define for them a purpose. And managers must organize workers, not just to maximize efficiency, but also to nurture skills, develop talent and inspire results. The first thing is to change the approach of working. A leader always thinks, What is good for the organization and the manager usually thinks about What is good for the team? A manger must consciously try and put the organization goals in front of team goals. The reason amanager needs to do this is to maximize the performance of the organization, the ultimate goal.

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This section covers the transformation of manager into a leader-manager or developing the Leadership-Management profile. In order to develop this profile, we have selected 7 lessons that we thought a manager needs to practice in order to imbibe leadership traits in himself/herself.

Lesson 1: Be Proactive
A leader is always proactively thinking. We are told, in business, that we should be proactive, and broadly what that means is to focus our efforts and attention on the longterm and to think in terms of the long-term consequences of our actions.On the contrary, John Kotter would relate a manager as being reactive.Reactive people are those who have resigned to the truth that whatever they do in the present can have no effect on their circumstances. And interestingly, for reactive people, it really is a truth, for whatever we believe in our heart affects our thoughts, words and actions. The things we are concerned about could be described as our Circle of Concern. There are things we can really do something about, that can be described as our Circle of Influence. In our story, the leader spent 2 days sitting on the beach devising a plan, while the manager and his troop went about their tasks of finding food and shelter and surviving with the available resources on the island. It is very evident that the leader here had taken a proactive stand by looking beyond the short-term needs. The manager on the other hand, had taken a reactive approach by working in the constrained environment, planning and executing day-to-day tasks so as to help the group survive.

Lesson 2: Begin with the end in mind


There are 3 major aspects of our personal and business management. First is leadershipwhat do I want to accomplish? Second is management how best can I accomplish it? According to Peter Drucker, Management is doing things right; Leadership is doing the right things. A starting point in beginning with the end in mind is to develop a personal mission statement, philosophy or credo. It will help you focus on what you want to be (character),do (contributions and achievements) and on the values and principles upon which your being and doing are based. The personal mission statement gives us a changeless core from which we can deal with external change. From our story, we could see that the leader had a clear mission statement and that was to get everyone off the island safely. He set his goal and planned every move towards his final goal. The manager on the other hand was planning and completing short-term goals. Both of them are beneficial in their own ways, but the future manager should be able set longterm goals that aligns with the organization goals and short term goals which is team/department specific.

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Lesson 3: Put first things first


Habit 1- I am a programmer. Habit 2 Write the program. Habit 3- Execute the program. Habit 3 is personal management, the exercise of independent will to create a life congruent with your values, goals and mission. A matrix can be made of the characteristics of activities, classifying them as urgent or not urgent, important or not important.

Quadrant I activities are urgent and important- called problems or immediate concerns. Focusing on Quadrant I activities resulting in it getting bigger and bigger until it dominates you. Quadrant III activities are urgent and not important, often misclassified as Quadrant I. Quadrant IV is the escape Quadrant activities that are not urgent and not important. Leaders stay out of Quadrants III and IV because they arent important. They shrink Quadrant I down to size by spending more time in Quadrant II. Quadrant II activities are important, but not urgent. Working on this Quadrant is the heart of personal time management. The activities in this quadrant are of high impact, when done regularly would make a tremendous difference in the organizations processes and systems. Initially, the time for Quadrant II activities must come from Quadrants III and IV. Quadrant I cannot be excluded, but by consciously working in the Quadrant II, the time spent on Quadrant 1 is reduced.
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1) Prioritize 2) Organize around priorities 3) Discipline How will you enhance your time spent in Quadrant II? Effective delegation. It is the single most powerful high-leverage activity; it enables one to devote your energies to high-level activities in addition to enabling personal growth for individuals and organizations. There are 2 types of delegation: i) Gofer delegation: this requires dictating not only what to do, but how to do it. The supervisor then must function as a boss, checking on the progress on the task delegated.

ii)

Supervision of efforts: this approach focuses on results instead of methods. People are able to choose the method to achieve the results. It requires a clear, up-front mutual understanding of and commitment to expectations of desired results, guidelines, resources, accountability and consequences.

Lesson 4: Think win-win


Win/win is one of six possible philosophies of human interaction. 1. Win-win people can seek mutual benefit in all human interactions. Principle based behavior. 2. Win-lose- the competitive paradigm: one wins the other loses. This is authoritarian leadership. 3. Lose-win the individual seeks strength from popularity based on acceptance. The leadership style is permissiveness. 4. Lose-lose- when people become obsessed with making the other person lose, even at their own expense. 5. Win focusing solely on getting what one wants, regardless of the needs of others. 6. Win-win or No deal Either a mutual solution is found or agree to disagree. Win-win is the only viable alternative. There are five dimensions of the Win-win model: i) ii) Character is the foundation of win-win. There must be integrity in order to establish trust in the relationship and to define a win in terms of values. Relationships are the focus on win-win. Relationships are the key to turning the situation around.

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iii)

iv)

Performance agreements give definition and direction to Win-win. They shift the paradigm of production from vertical (Superior- Subordinate) to horizontal (Partnership/Team). Reward system is a key element in a win-win model.

A leader always has a win-win model in mind, be it with the middle management, with customers, suppliers, stockholders or the society at large. In our story, the leader worked on a win-win for the entire team. It allowed the entire team to get off the island.

Lesson 5: Seek first to understand and then be understood


We often prescribe before making a proper diagnosis when communicating. We should first take the time to deeply understand the problems presented to us and only then make our action plan. To practice this, we need to: i) ii) iii) Listen empathetically Diagnose before your prescribe Synergize

In our story, the leader took the similar approach, by fully understanding the situation. For the whole of 2 days, the leader analyzed his environment and surroundings and then made his plans. In contrary, the manager in the story did not spend much time understanding the situation.

Lessons 6: Motivate and nurture:


The word motivation is often defined as "getting someone moving." Motivation theory breaks down these forces into internal or intrinsic motivation, and external or extrinsic motivation. If you're in a leadership role, then it's important to understand how employees are motivated, and what you can do as a leader to keep them motivated. Motivation comes from within, and is a driving passion that exists inside a person. The most a leader can do is to create an environment where motivation thrives. Understanding the nuances of motivation is an essential trait for anyone in a leadership role. When followers feel they are being supported, and they have the ability to remain in control of their workplace, they stay motivated. Leaders can foster this feeling by allowing employees to take on added responsibility and accountability for making decisions.

Lesson 7: Sharpen the saw


One must work proactively to renew the 4 dimensions of your nature physical, spiritual, mental and social skills. The Physical Dimension is the foundation on which the other dimensions can be worked. As the leader of a team, you need to show the

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The spiritual dimension Spiritual dimension is your center, your commitment to your value system. It draws upon the sources that inspire and uplift you and tie you to timeless truths of humanity. The mental dimension Its important that a manager continuously enhances and sharpens his/her mental skills. Reading, writing, organizing and planning are the core around which a manager needs to continuously improve on and there is no exception to this. The Social/Emotional Dimension - Our emotional life is primarily developed out of and manifested in our relationships with others. Renewing our social/emotional dimensions requires focus and exercise in our interactions with others. This self-renewal must include balanced renewal in all four dimensions physical, spiritual, mental and social/emotional. Neglecting any one area negatively impacts the rest.Peter Drucker was one of the first to recognize this truth, as he was to recognize so many other management truths. He identified the emergence of the knowledge worker, and the profound differences that would cause in the way business was organized.

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The new age Manager Leadership/Management profile


There is a popular phrase that Leadership cannot be taught in a classroom. It comes only with experience and by consciously implementing the above lessons in every situation. Transforming into a great leader is a process and the transition time varies from individual to individual. Transition is the reorientation and renewal process that you go through when you encounter a change. Like any transition, this one must go through three predictable phases: i) First, the manager must let goof the old ways of doing and being. Managers who cant do that may occupy a new position, but theyll be holding on to the ways of doing things that were appropriate to their old position. Second, the manager must get though a confusing in-between time (the neutral zone) when things arent the old way any more, but havent become an identifiable and comfortable new way yet either. Then, third, the manager must become the new persona leaderthat the new situation demands.

ii)

iii)

Based on John Kotters model of leading and managing, he suggests that managers follow a similar technique.
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i) ii) iii) iv) v) vi)

Identify 3 areas for change. Develop an action plan. Choose the right people to give a regular feedback. Share your plans, set date to review. Follow up every 3 months. Evaluate the change.

Being a good manager is like putting a jigsaw puzzle together. The first time you try to fit the pieces together; it takes a while to get everything to fit smoothly. The second time you attempt to make the pieces fit, you are a little more familiar with the pattern. Each time after that, it becomes more and more natural to easily match everything together and have it all turn out right. All of these techniques combined together make a great manager for the future. If each of these characteristics is developed, you will become a great leader and a great manager.

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REFERENCES

http://www.rctaylor.com/images/Great_Leaders_Are_Made_Not_Born.pdf http://www.see.ed.ac.uk/~gerard/MENG/ME96/Documents/Intro/leader.html http://guides.wsj.com/management/developing-a-leadership-style/what-is-the-differencebetween-management-and-leadership/ http://www.money-zine.com/Career-Development/Leadership-Skill/Motivation-Theoryand-Leadership/ http://www.selfgrowth.com/articles/Hopkins11.html http://www.extensor.co.uk/articles/leadership_brain/leadership_brain.html http://hbr.org/product/what-leaders-really-do-harvard-business-review/an/R0111F-PDFENG http://www.techrepublic.com/blog/10things/10-early-signs-that-someone-will-make-agreat-leader/349 http://www.leadershipsolutions.co.nz/downloads/manager-leader.pdf http://www.guidedinsights.com/uploads/Leader_or_Manager_Bolton.pdf http://www.futurevisions.org/ldr_mgr.htm http://coach4growth.com/leadership-skills/leadership-vs-management-what-are-thecharacteristics-of-a-leader-and-a-manager http://wealth.moneycontrol.com/authorarticle.php?id=2211 http://www.newsweek.com/2008/01/12/leaders-for-a-new-age.html "Bass and Stogdills Handbook of Leadership pg 383 "Learning to Lead: A Workbook on Becoming a Leader", pg. 9.

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