Global Leadership and Organisational Behaviour: Theories, Functions, Sources, and Influencing Aspects

GLOBAL LEADERSHIP
AND ORGANIZATIONAL
BEHAVIOUR

TABLE OF CONTENTS
INTRODUCTION..........................................................................................................................3
MAIN BODY..................................................................................................................................3
Transactional leadership theories.............................................................................................3
Transformational theory...........................................................................................................4
Charismatic theory...................................................................................................................5
Function of leaders......................................................................................................................5
Sources of leadership...................................................................................................................7
Aspects that influence leadership................................................................................................8
RECOMMENDATION............................................................................................................9
CONCLUSION.............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Leadership refers to the quality of leading people and guiding toward aching
organizational goal. It gives assistance in motivating the employees of the organization. Good
leadership skills develop good plans of action for the organization (Oc, 2018). It performs the
function of directing people who is working within organization.
Organizational behaviour is concern with study which indicates how people behave and
perform the function within the organization. It determines the impact of individual people’s
behaviour on working environment and presentation of the organization.
This report will examine various theories of leadership with the support of Unilever
Company of UK. The company leading the largest retail market since 1929. It is multinational
company who deliver around 80 plus brands in the domestic as well as international market
(Gardner and et.al., 2020). Furthermore, this present report highlights in what leadership
Strategies Company is using for the growth of organization. Along with this also identify
sources of leadership as well as different characteristic that influence leadership efficiency.
MAIN BODY
Leadership theories
Leadership theories are sets of principles which clarify how a person can develop
individual quality. It will give support to the working people of the organization to achieve the
aims and objectives of the organization (Leithwood, Harris and Hopkins, 2020). It provides path
to the people to become leader in context of achieving the objectives organizational as well as
individual.
Similarly, the leaders of Unilever Company adopt various theories of leadership in different
situations which are explained below.
Transactional leadership theories
By the views of (AbuAlRub and Nasrallah, 2017) Transactional Leadership or
Transactional Management is a theory of Management that deals with organizing, supervising
and performing. It is included in the General Leadership Theory of Full Range Leadership
Model. This Managerial Theory was born in the wake of Industrial Revolution. It is seen as a
source of advantage in competitiveness. Reward and Punishments are a common element of the
Transactional Approach of Leadership. The transactional leader provides motivation to the
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executives in the form of rewards whereas if any problem persists in the project, the executive
may have a negative impact through the punishment given. In transactional leadership, there is a
possibility that the employee can get demotivated very quickly. According to Marlow's
Hierarchy of needs, only the lower or basic levels of satisfaction can be achieved through
transactional leadership (Crosby and Bryson, 2018). Therefore, the transactional approach of
leadership is only used when the goals that are to be achieved are short-term in nature.
In a company like Unilever, this style of leadership can be followed when the goals are
short-term and needs to be fulfilled quickly.
Transformational theory
In the Transformational Theory of Leadership, the leader endeavour to create a
modification which will help in the growth as well as success of organization through
encouraging, motivating and inspiring the employee. As the transactional theory of leadership,
the transformational theory is also included in the General Leadership Theory of Full Range
Leadership Model (Hughes and et.al., 2018). The concept of Transformational leadership was
firstly innovated by James V. Downton, then the idea was formulated in a precise manner by
leadership expert James MacGregor Burns, who also present the term Transformational
Leadership. this theory, the executives get motivated through the leader’s behaviour and in
return aspires to perform beyond their capabilities (Eva and et.al., 2019). The prime source of
motivation for the team is their leader. This leadership approach helps in achieving goals which
are long-term in nature.
Transformational leaders have four behaviours, which are also called the four I’s. They are:
 Inspirational Motivation: Where the leader inspires his team to work beyond their
perceived capabilities and creates a vision.
 Idealized Influence: Where the leader or the transactional leader acts as a role model for
all employees or executives.
 Intellectual Stimulation: Where leader challenges the employees to work innovatively,
creating a new strategy and working more efficiently and effectively through it.
 Individualized Consideration: Where the leader considers and develops each and every
aspect of the employee, which in turn satisfies the needs of the employees.