This report discusses key management and leadership theories, styles, and strategies for the workplace. It explores the impact of COVID-19 on leadership and provides recommendations for effective leadership styles. The case of Ernst and Young is used as an example.
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Emergent Leadership Skills for the Workplace
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Contents INTRODUCTION...........................................................................................................................3 TASK...............................................................................................................................................3 Introduction about company........................................................................................................3 Key management and leadership theories/ models/ styles of management and leadership.........4 Current leadership strategy........................................................................................................12 Recommendations for leadership style......................................................................................15 CONCLUSION..............................................................................................................................16 REFERENCES..............................................................................................................................17
INTRODUCTION Leadership is activity to motivate the people to follow a particular defined task for the attaining of a purpose. In the context of business, it implies directing the employees and the colleagues action in such a way that follows them in attaining the defined goals or objectives. The leadership style withthe time requirement has also evolved. Similarly the managers or the leaders now have to evolve their skills related to the leadership style in accordance to the pandemic prevailed in the world. During the pandemic the working styles of the organisation has changed to very extent (Agodu, 2019). The leaders have to come up with the ways through which their organisation can continue their work and also meantime they could follow the pandemic rules in a proper manner. For reference purpose this report has taken an example of a company, Ernst and Young. Ernst and Young is an American company which is engaged in the business of providing the professional services to its client. The major or core service in which the company deals with were the audit, taxation, performing of financial audit and advisory services to the clients. The company was establish in the year 1989 with its headquarters in London. This report discusses about the theories, styles and methods related with the management and leadership available or practice. Apart from this the report also includes the current leadership practices which the organisation practice along with the recommendations for leader about their leadership styles after the impacts faced from the COVID-19. TASK Introduction about company The Ernst and Young is the multinational company which is originally based from America. The company is engaged in the business of providing the professional services to their clients. The services to which the company offers to their clients may includes the financial management services, the consultancy or advisory services, the services related to audit and so on. The company was establish in the 1989 and its headquarters is in London. E&Y comes under the category of big 4 companies. The company is so big and successful that it counts as one of the 4 major companies which are ruling the cooperate world. The company serves worldwide. The current chairman of the company is Carmine Di Sibio (Alloubani and et al., 2019). Getting
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into this company and working with this is something considered as a dream job or motive for many people. Key management and leadership theories/ models/ styles of management and leadership Leadership is defined as an activity in which a leader motivates the persons or the group of persons to follow a particular path. Developing a leadership quality in an individual is not an easy task. Some are born with these skills whereas some needs to develop this skill in themselves. There are various theories related to this concept i.e. leadership. These theories are as follows: Great man theory:This theory suggested that an individual who is a capable leader is born with that leadership qualities. The great man theory suggested that the leaders are only born. There is no way to develop the skills as they are inherent in an individual. According to this theory the great leaders are born not made. Trait theory:According to this theory, the leadership in a person is determined through the skills and traits are posses by him. These traits are matched or analysed in a leader. The leader skills or traits are determined through psychological traits by examining the height, weight, appearance and so on. Through demographic traits the traits of a leader is also analysed, some of the traits may includes education, gender, lifestyles, family background and etc. Through the analyses of these traits a leader get analysed and examined.In this trait theory, the people consider an individual a leader through the traits it has in himself. If a person or an individual does not have much trait regarding the leadership then the other people does not consider and accept him as a leader. Apart from this if the people see in an individual all the traits if leadership then they would be ready to consider him as a leader. The traits which states an individual a leader may includes the honesty, transparency, hard working, trust worthy, rational decision making, accountability and the like. These traits are very necessary to inculcate as a leader as it helps in gaining the support of the public. Contingency Theory:According to this theory, no particular type of leadership style is applicable or suitable at every situation. The style of leadership gets changed with the situation. Different situation calls for the different style of leadership. The contingency theory states that there is no a particular type of theory available which can be applicable to every situation. The type of leadership style applied in a particular situation or place totally depends upon the type of situation has prevailed at that particular moment. This is a type or style of theory which is
applied by majority of the contemporary leaders as the result which this leadership provides does not provide by any other theory about leadership (Bashir and Khalil, 2017). Situational theory:This theory is similar to contingency theory. In this type of theory it is assumed that there is no particular theory or style of leadership which is perfect for every situation. Different situation calls out for different type ofleadership style.In the situational theory the leader changes his style of leadership practice according to the situation. He is not very much stick towards a particular kind of leadership style but changes his leadership style very frequent. His leadership style is with accordance to the need of situation. Here the methods which are used to motivate the employees are very much strict as the manager lays a strict activities or consequences if the employee fails to fulfils the performance standard. The situational theory is very active and adopted by majority of leaders now a days as they feel that with the changing time and situation the style of leadership also needs some change. Behavioural theory:This theory puts the major focus upon the specific type of behaviour of a leader instead of the traits and skills. Here the behaviour which an individual carries defines his leadership. The type of behaviour a leader shows in a particular situation gives a gimps that whether he is capable to lead the group or not. According to this theory to be a good leader an individual needs to be good on 3 ground and i.e. technical, human and conceptual skills. There are various models of leadership, some of these model or types may include: Transactional skills:In this type of skills the leader majorly focuses upon the success of the task. And he does that by showcasing the rewards and punishment the employees or the team members will get if they will not perform their work up to the mark. In the transactional leadership style, the leader becomes very harsh with his team members as he only cares about the goal to get achieved. Transformational leadership style:In the transformational leadership style, the leader involve into a discussion with his team members about the areas where they might need a change and the ways to bring it the work place. They also discuss about their goals and objectives, mission and about any issue or problem regarding work (Crews, 2019). Here the whole group work as one and the decisions are made after proper discussion about the topic. Democratic leadership style:In this type of leadership style, the leader takes any decision whether small or big after consulting the associated team members. Here all the decisions are taken only after the undertaking all the ideas and opinions of the involved people in that. Also
the final policies or operations are settled down through the democratic pole. Here the employees are treated with fairness and equal opportunity is provided to them. Autocratic leadership style:The autocratic leadership style in a leadership style in which all the decision are taken by the top level management people only. There is no consultation or idea gets consider from the middle or lower level of people. All the planing are done and performed only by the top level of management people and they does not take any suggestion from below level of people as they just impose the decisions upon them. Management theories are related with the concept of managing the resources of the organisation in such a way that it they all comprehensively contributes to the success of the organisation. There are various theories about the concept of management and some of them are as follows: Scientific management theory:In this theory the scientific laws and theories where applied to the management. Scientific management theory concept was introduced by Fredrick Taylor (Durmus and Kirca, 2020). Here all the operational activities and functional activities are not performed on the trial and error method. All these operations are performed through the proper analyses of that task or the method. The proper timings about the human resource, slack timings, operational timings and so on where get analysed by the organisation. This will help them in providing the effective and efficient working in their activities. System management Approach:In this type of theory, it is assumed that an organisation is the combination of many systems as the human body is. These system have the different tasks or the work to performed. All these systems are aligned in a manner through which the sync can be created among these various systems in such a way that the comprehensive objective or goal could get achieved. These different systems are group in various departments. These departments arehumanresourcedepartment,financedepartment,marketingdepartment,operational department and much more. All these departments have the different functions or objectives to achieve. Contingency management Theory:According to this theory there is no particular management theory as the business environment as changing very fast. The organisations has to cope up with these changing environment therefore to cope up with these contemporary business changes, the organisation has to bring up these changes in their structure and systems (Durmus and Kirca, 2020). Therefore for implementing the same in the business contingency management theory is
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applicable properly. A leader needs to be very much quick in identification of change which needs to bring up in the internal factors of environment due to the changes in the external business environment. Theory X and Theory Y:These are the theory which is adopted by the managers to make their employees work. According to this theory, the employees who are lazy and are in the category of non performing personnel, the theory X is applied to them to make these people work. The manager uses the “carrot and stick” method to make these employees work. In this method the consequences are shown to the employees if they fail to achieved the task or performance. Where as in theory Y, the employees who are very motivated and active towards there work lies in this category (Elrehail, and et al., 2018). To motivate further to these employees a proper rewards system is offered to them. The rewards may include financial increase, increase in status, promotion, bonus and much more.In this theory the managers handle the employees with regard to the attitude they have towards their work. If the employee is very motivated towards the work then the theory Y is applied towardsthem. This theory helps in motivating the employees in their desired way. These employees are so enthusiastic and full of zeal for their work that they takethe initiativesandprovide creativeand innovativeideasto theorganisation.These employees are the ones who give more productivity to the organisation and the organisation also cannot afford to lose them. Apart from this the productivity level of employees who comes in the category of Theory X, is very low. They does not provide much ideas or creative opinions to the people or organisation. Also they are no that much motivated towards the work and take the task very carelessly. There are various management styles is also available for the organisation. Some of these styles may include: Autocratic style:In the autocratic style of management the top to down approach gets followed by the organisation. In this approach the organisation's top level management takes all the decisions and then they communicate to the middle level of management people and these middle level of management people convey the decisions to the lower level of management people. Here all the decisions are taken by the top level management people only without any consultation of below level of management people. In this the lower level people only has to follow the decisions which are made by the top level people (Hamzat and et al., 2020). The fair
and equal treatment of the people are also not provided to the employees and the growth provided to them is also slow. Democratic management style:In the democratic management style, the organisation exercises the democratic rule in the organisation. All the decisions are made after the proper consultation of employees are people related to the topic. Here the equal treatment is given to all the employees along with the equal opportunities. This is the best form of management style which an organisation can follow by reviewing the today's business environment. Merit:Through this management style, the motivation level of the employees get increased which is beneficial for the organisation itself. The equality will get establish in the system which help in attracting and retaining the talented employees to the organisation only. Participative management styles:In this participative management style the employees or the staff members are access to all the information and data. This enables the transparency and clarity about the business operations. This will help the employees in putting their ideas and view points in the information which can help them in bringing the new and innovative way in performing the task (Kalsoom, Khan, and Zubair, 2018). Merits:With this type of management style, the employees feel valued and very motivated that their organisation gives value to them and they more builds up a strong connection with the organisation. Demerits:The decision making process is very slow in this type of management style. Here there is a risk for the organisation in leaking the information or data which is important to them outside the organisation. Applied model/theory of leadership and engagement. In this world there are various option in every thing whether it be product or it be goods or services. Like wise as discussed above there are also various type of leadership theory and leadership style as well as management theory and management style. Not every theory or every style can be applied by they management or by the leader, all this depend on the situation that they are in and it also depends on the type of resources that they are currently having. In the case of Ernst and Young as they are one of the top four companies in the world their leadership style and the leadership theory should also be the best and that should also be the one that can be
modified in times of trouble. For this they have chosen contingency type of leadership theory (Liao and et al., 2017). Contingency theory – as there is nothing permanent in the life and there is always a risk of uncertainty, so Ernst and Young have chosen the contingency theory of leadership as according to this type the leadership style can be changed according to the situation . This type of they gives flexibility to the leaders as they can modify their styles according to the required situation and according to the resources available. What this theory suggest is that there is no universal style that can be applied to every situation. So Ernst and Young have chosen this type of leadership theory. Being one of the top audit company in the world they always have various situation which requires the modification in the leadership style and traits like during the Covid pandemic everything changed and everyone suffered a lot financially. For this they have to modify their style and because of that they have choose the contingency type of leadership theory. Everything has its own strengths and weakness in case of contingency theory their strengths are as follows : dynamic nature – what this theory suggest is that the there is no universal style of leadership that can be applied in each and every situation. So what this theory suggest is that the leader should be able to change the policy according to the needs of the task at a given situation. Help employees grow – as the leadership style are changed with the situation this will pave way for the employees to grow themselves. As because of this they will be able to participate and can give ideas (Nguyen and Hooi, 2020). Weakness complex- as the nature of business is very dynamic and complex in nature so it always carries risk with it. When the leadership style changes the ideas and process also changes that can create more complex situation than helping it. Follows instincts – according to this theory the leaders can change its style according to the situation. But the drawback in this is that while changing the style they follow their instinct and sometime there are chances where their instincts aren't up to mark which will lead the company to suffer losses leadership style that the leader adopts is having a very high impact on the organisation and on the employees. Ernst and Young have chosen the transformational leadership style. According to his
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leadership style the leader also consults its teammates while making any changes. They discuss about the areas in which they need to change their ways of doing it and how can they change it. They also discuss about the goals and the objectives of the teams and the organisation. They think and take action as one, whatever they do they do it after a proper discussion and in that discuss their is smooth flow of ideas. This smooth flow of ideas will also help them in finding the faults in the plan and in rectifying the faults by taking corrective measures. This type of leadership will help them in knowing their weakness and it will also help them in having creative ideas. This type of leadership style will increase the morale of the employees and with this they will be able to work better and can show their full potential. Ernst and Young being a financial company needs full support of their employees so that they can work and provide their services to the customer whole heartedly (Nguyen and Hooi, 2020). This leadership style is also having its own strength and weakness. Strength open minded discussion – this type of leadership style is very honest as the employees are free to express their views about the plan and about the management. In this type of style there is honesty and it is very open as the employees are also part taking in this discussion. Effective leadership – this type of leadership style is very effective as the morale of the employees also boosts up. If the employees are happy they will also be working with their full potential, which will help the company to yield better result, Weakness risky – there are some decisions that are only meant for the management to take as this decisions are very delicate for the company and this type of leadership style will not be able to withstand while making these type of decisions. Leaves something – this type of leadership is very good for having the employees opinion on the task but there are various side which get lost while looking in the bigger picture which will result in having some Gap in the plans and in the decisions. Management theories are the one which provides a clear picture of the concept of management to manage their resources and the management should be in such a way that they should make use of these resources in a effective and efficient manner so as to sustain them for the future. Management theory that they should use is the contingency management theory and as these
theorysuggestthattheenvironmentofthebusinessarechangingveryrapidlyandthe management all over the world are facing various problem due to this. What this theory suggest is that they the management of Ernst and Young should also cope up with the change in the environment. For coping up with the change they have to make changes from time to time and they also have to see and analyse various changes for this a leader neds to be very quick in its decision making and in its analysis as it can cost a company like Ernst and Young loses worth billions. Ernst and Young should adopt to this strategy when there is a need or their environment is changing very fast. This type of management theory is also having its own strength and weakness. Strength dynamic – as this type of management theory states that the management should be able to make changes in their decision with the change in the business nature. This will help them in increasing their profit. Assist organisational activities – this type of management theory helps io formulating and designing organisational structure with the help of planning. Weakness complex – this type of management theory is complex in nature because they change from time to time and situation to situation. Unpredictable in nature – this type of theory unpredictable in nature as they are required to change from time to time and from situation to situation. Management style is the one that the management of the company adopts so that they can mange their resources effectively and efficiently and that they can also motivate their employees to work harder. In case with Ernst and Young they follow the participative management style, according to this type of leadership the management gives their employees and their staff members access to all the information. With the help of these Ernst and Young can have transparency in their working. They can adopt this management style when they are in between the crisis like the employee strike or when the employees have lost their faith in the company. Ernst and Young being one of the top four companies in the world should also keep their employees motivated from time to time so that they can make full utilization of their employees. This will help the employees to put more and more creative ideas so that they can contribute in
that information with creativity and innovation which will help the company (Novo, Landis and Haley, 2017). Their strength and weakness are also there. Strength gives value to the employees – this type of management leadership is providing their employees value as they are being provided withal, the type of information and the data that is available of the company. It show as that the company value their employees. Strong connection – when the company shows that they are valuing their employees then the employees also tends to feel more motivated and they will also work better , which will create a strong connection between the employee and the management. Weakness slow process – when adopting this type of management style the process of decision making in the company also tends to slow down due to which their process and their task also slows down. Leak of the information – when there is transparency in the company, this shows that the employees are given freedom of having the access to all the delicate information. This will ultimately result in the leak of some confidential and delicate information, which can result the company to suffer heavy losses. maintaining harmony in the organisation. It has two folds, the first one revolves around identification of individual motivations in a team by using active monitoring techniques and the second fold revolves around using them as monitory or non-monitory incentives to motivate the workforce in moving towards the goals of the organisation. A good leadership should always prioritise the workforce needs and wants to make sure that they are not getting exploited and at the same time should push the workforce beyond their comfort zone to make sure that they are growing. Current leadership strategy There are various leadership strategies which are present for an individual to practice. An individual has the choice to choose among these various leadership skills. Among these varieties the transformational leadership skill has been used by the people most. The transformational leadership is that where a leader with the employees or the teams take the both major and minor decisions. As with the changing times, the leadership styles are also changing. Gone the time where the employer gives decision to the employee without taking a single opinion from them
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and the employees has to follow them all religiously. Transformational leadership stands upon the notion that all the decisions or changes must be taken after taking the consultation from the employees. In the case with E & Y, the transformational leadership is mostly used bythe company. The company runs at a global market where bringing the change is mere need. There is a need for the company to cope up with the external and internal market. To bring the changes and to handle the employees in an effective way, there is a need to adopt the transformational leadership style. The leadership style is the solution for solving the contemporary issues which a leader might face. According to the article part presented above, the leadership style of the leaders of E & Y company majorly focuses upon sustainability development. Sustainability development is the concept which focuses upon the long term development. The long term development in the organisation can be meet through fulfilling the requirements of all the factors or the parties which are associated with the organisation. Here the sustainability development can be brought through the developing the goals and objectives of employees, the suppliers, clients, directors, shareholders and all. The organisation follows all the development factors which are applicable
and must in this transformative age. The company believes that this present age is full of fast transformation in many regards. This may include the transformative change with respect to technology used, the changes regarding the requirements of clients, the changes in the rules and regulations of the government with respect to the changes performed with the operational activities. Theyhave build or adopt the leadership style in which the development of all these people stated above takes place. According to the article presented above, it gets cleared that in organisation it was following the de facto leadership style. In this type of leadership style, the people behaves like leaders without having the official authority. They exercise the leadership authority upon the people without holding any prior legal and lawful position in the organisation. This leadership later started creating the problem for the organisational working only. This had created the confusions among the people or employees in performing the work. This had also led to misunderstandings, conflicts, mis- communication, decrease in productivity and much more. Later to cope up with these problems the company must bring up the new style of leadership which can eliminate all the issues the company faced in with the leadership style of de facto. The de facto leadership style was proved to an effective style for a particular period of time but as the time has changed and the business requirements has also changed there was a need to bring up a new leadership style. But through de facto leadership styles, more confidence and creativity skill development in the leaders. The leaders got empowered as they personally get involved in the task and forms all the planning to achieve the stated task or goal. Later after when the organisation has faced the leadership challenge with the change in time and pattern, they found out that there is no style of leadership which can be that effective as the leadership which focused upon the sustainability development. Here all the leadership activities and the programs are done with a view to obtain the long-term development of all the people who are associatedwiththeorganisation.Hereallthecontributionperformedbythepeopleget recognised and the leaders try to fulfil the objectives and the goals which these people have with the organisation. The leader’s idea is to retain these people by taking care of the interest of these people. For example, an employee comes with a motive to develop a certain skill in him or with a motive to work in a particular field of work therefore it is the mere responsibility of the leader to take care about the interest of these people and tries to fulfil them. Therefore, by analysing and reviewing the need of the organisation, the transformational leadership was adopted by the CEO of E & Y. He also made sure that he empowers the
employees in transforming the same leadership style to the other management people so to increase the productivity level (Oberer and Erkollar, 2018). Through the transformational leadership style, the leaders take the opinions of the employees and involve them in making any kind of decision. Through this they also empower the employees in a way that they feel valuable and empowered in the organisation. The leaders give the full importance to the employees and take their opinions and the suggestions into account before taking any kind of decision. In this type of leadership, the leaders transfer its style of operational activities after involving the all the employee’s suggestions. Whereas it concerns to my leadership style, I have adopted more leadership style of autocratic in which I majorly give the decisions to employees without taking their suggestions. This brought me more demotivation in terms of employee motivation level and the level of retaining the employees. I felt that adopting this leadership style was not beneficial for me. The CEO of E&Y has taught me the more about the need to change my style of influencing the people. Recommendations for leadership style In order to ensure an efficient management, the leadership needs to be well informed and experienced. The biggest strength is an organisation is it's workforce and in order maintain harmonywithintheorganisation,theleadsoftheorganisationshouldworkflawlessly. Leadership is the tool which synchronises all the individual efforts and move them the common organisation goals. It is a single thread that goes through all the operations and departments is any organisation. The organisation plans on recruiting a workforce where there is enrichment of diversity. When everyone comes from a different background they have seen different solutions to similar problems and therefore it enhances the overall creativity in the decision making process of any organisation (Oberer and Erkollar, 2018). But with diversity comes the chances of miscommunication, misinterpretation of information along with disputes and the leadership of the organisation should be well experienced to handle the same. A good leadership is responsible for motivating all the employees to move towards the common goal of an organisation. Everyone in a team have different variants that pushes them and it bis the responsibility of a leader to identify those motivations and use them in order to push the team towards its goals. This methodology is termed as performance appraisal and it can be used by leadership of any organisation when it comes to maintaining harmony in the organisation. It have two folds, the
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first one revolves around identification of individual motivations in a team by using active monitoring techniques and the second fold revolves around using them as monitory or non monitory incentives to motivate the workforce in moving towards the goals of the organisation. A good leadership should always prioritise the workforce needs and wants making sure that they are not getting exploited and at the same time should push the workforce beyond their comfort zone in order to make sure that they are growing. CONCLUSION Form the above report it is conclude that Ernst and Young being one of the top four companies all over the world is having various types of leadership and management theory and style and they have to chose between them in various type of situation. They should use the contingency theory of leadership and the contingency theory of management, this will help them, in having changes in their management and leadership style according to the needs of the task or at the required situation his will also help them in coping up with the changes and this swill help them in making quick decision. Although it is good but this type of theory is complex and this type of theory also cannot be predicted. It is also concluded that although they are using various types of leadership and the management styles which helped them in having good and motivated employee all the way long till now bust as the time is changing they also have to change their type of leadership and management style. For that they should use the transformational type of leadership style and the participative style of management style and this type of style will motivate the employees but this will also give the company a hard time as their secrets will all get leaked out. To ensure an efficient management, the leadership needs to be well informed and experienced. The biggest strength is an organisation is its workforce and in order maintain harmony within the organisation, the leads of the organisation should work flawlessly. Leadership is the tool which synchronises all the individual efforts and move them the common organisation goals. It is a single thread that goes through all the operations and departments is any organisation. The organisation plans on recruiting a workforce where there is enrichment of diversity. When everyone comes from a different background, they have seen different solutions to similar
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