Leadership and Management for Service Industries Solution Assignment (Doc)

LEADERSHIP AND
MANAGEMENT FOR
SERVICE INDUSTRIES

Table of Contents
INTRODUCTION...........................................................................................................................3
First part-..........................................................................................................................................3
Various classical management theories and apply in TUI.....................................................3
Leadership and management styles in TUI............................................................................5
TUI leadership and management styles links with theories...................................................6
Role of TUI leader and different leadership styles.................................................................6
TUI management and leadership styles related to organizational culture and structure........8
Second part-.....................................................................................................................................8
External and internal factors that influence structure in TUI and management styles...........8
Democratic management style changed and influenced by external and internal factors in TUI
..............................................................................................................................................10
Current digital technology advancement, further leadership and management skills required
by TUI manager....................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Leadership and management style is beneficial for service industry, leadership refer to
setting the new vision or direction for group of peoples that they must follow and management
directs or controls resources and peoples in the team according to values or principles that have
been established (Law, Buhalis and Cobanoglu, 2014). Both in very essential in business
structure and used in order to managed work or performance of workers. The present study is
based on TUI as one of the UK tour operators, they serve its quality services and provide
package holiday to consumers including all the necessary facilities. This study explains several
classical-management-theories which applied in TUI and leadership and management styles in
company. Current leadership and management styles links with classical-management theories
and justifies role of leader and various leadership styles. Management and leadership styles in
organization in relation to organizational culture and structure and explains external and internal
factors that effect management styles and company structures. Furthermore, it classified specific
management styles changed and influence by external and internal factors in company and
advancement of current digital technology and leadership and management skills required in TUI
manager in context of it.
Overview of TUI-
TUI is one of the leading and most famous tour operator in UK and subsidiary of TUI
group. It was owned in 1998, by Thomas Corporation of Canada and build their headquarter in
England, Luton. In 1997, organization is founded as part of Thomas travel group, following
business acquisition of four tour operators, Luxitours, Skytours, Riviera and airline Britannia
airways by Roy Thomson. Clarkson's travel group is the key competitors of TUI in UK, they try
to become the lead player in rapidly and new expanding United Kingdom package holiday
market. With the help of effective leadership and management styles company make the best
strategies in context of re-launched and re- branded business which is essential for business
growth and success.
First part-
Various classical management theories and apply in TUI
Classical management theory is based on belief and trust that employees only have
economic and physical needs (The Classical Management Theory, 2019). It does not take into

account job satisfaction or social needs but instead exponent the specialization of labour,
centralized decision-making, leadership and profit maximization. Taylor's scientific management
approach and system approach is the two types of classical management theories, designed to
streamline operations, enhance bottom line and increase productivity.
Taylor's scientific management theory-
Scientific management is the approach or theory of management that synthesizes and
analyse workflows. Its objective is developing and improving economic efficiency, especially
workers productivity (4 Important Principles of Scientific Management, 2018). It is based upon
following 4 principles, 1- Science, not rule of thumb- According to this principal staff does not
need to stuck in set routines with old methods or techniques of doing work, they should
constantly experiment and try something new to create or develop different techniques which
make the work much easier, quicker and simpler. 2- Harmony, not discord- it is one of the
second principle of Taylor's scientific management theory, as per this rule management must
create healthy and good working environment in company in which management and individual
consider each other indispensable. For example, this Theory is applied in TUI which is
beneficial for their business and help to sustain for longer term period. According to this
approach, if organization management efforts to create the best atmosphere at workplace, they
can be able to increase productivity of staff and provide great job satisfaction to them. 3-
Cooperation, not individualism- accordant to this principle, all activities and functions done by
various peoples must be carried on with the spirit of mutual cooperation. Thus, if TUI manager
adopt this management theory in its working styles, they can be able to work effectively. All the
staff members and manager should work jointly and collaboratively which is essential for growth
in market. 4- Development of all person to prosperity and greatest efficiency- this is the last
principle of this management theory, it says that training and development is must at workplace
as it helps to develop and improve employees skills and efficiency than before. If TUI manager
provide training to their staff, they can improve workers knowledge and abilities.
Systems approach-
System approach is considered in management theory and one of the old concept stands
on assumption that breaking down of the complex construct into easy or simple to understand
units support in better understanding of complexity (Wesley, Jackson and Lee, 2017). TUI
manager apply this theory in its style which is beneficial for them as it permit company and staff

to take full benefits of any element within its system, manager and workers should work together
and solve any issues at workplace that helps to create a positive working environment around
workplace effectively.
In other words system theory treats company as system, that either open or closed, but
most approaches treat firm as the open system.
Leadership and management styles in TUI
Management style is the method used by manager in managing the TUI or group of
workers. TUI is UK tour operator, they provide package holiday to its customers with the help of
effective team members and skilled persons. Manager of company take all the decision in
context of providing services or products to peoples. They offer all staff the best opportunity to
engage and take participation in decision-making procedure. It enhances work abilities and
productivity, which is useful and beneficial for business progress (Zach, 2016). Organization
used Democratic management styles and follow up all the stages under it in order to create good
environment and retain the most eligible employees with them for long. Communication go from
both company manager down to workers and from staff up to manager. It is one of the best and
suitable management styles which has been followed by TUI, with the help of this style firm
handle competitive environment situation. Manager collaborate with its employees and take
decision together in context of business success. In simple words, democratic style works in
competitive business environment in which manager must take complex decision and made that
have variety of outcomes. With the help of employee engagement in decision taking procedure
manager get the different outcomes and creative idea, that help to over come complex situation
and make them able to grab competitive benefits.
Leadership style is approach and manner of providing direction, motivating peoples and
implementing plans. It defined as capability to influence workers to get task done, it reflects an
effect relationship behaviour staff and leader in the specific situation with common intention to
complete company end results (Ling, Lin and Wu, 2016). TUI adopt and follow supportive
leadership style, leaders of company with this style delegate tasks to workers and provide staff
with skills required to accomplish task. Organization leader work through issues and problems
with its staff and provide high degree of coaching and attention to them in order to increase job
satisfaction. Supportive leadership style leaders tend to compassion and respectful to its workers,
they understand their problems and work in context of solving issues.

TUI leadership and management styles links with theories
TUI operate their business in England and Luton and many other nations effectively with
the support and contribution of effective leader and manager along with different management
and leadership styles. Appropriate Management and leadership styles is helpful and beneficial
for business as well as help to increase financial performance (Gomberg, 2017). Democratic
management styles is used by organization manager which is links with Frederick Taylor
scientific management theory based on styles of working. According to scientific management
theory employee engagement is most essential part in business growth which helps to grow more
and more and help to achieve organizational goals and business objectives. This theory describe
interrelation of workers with manager, person with management styles apply several techniques
based on situation to create positive work environment which assure employees to the best
possible use of material and human resources in carrying out particular activity. Similar to
scientific management theory, democratic management styles also drive towards employees
satisfaction and developing of creative work environment.
On the other side system approach is also related to supportive leadership style based on
similar working abilities and performance. System leader can be able to solve issues at work
place effectively with the help of appropriate leadership styles like, supportive leadership style.
For example, in competitive environment many tour operators used digital technology as
marketing tool in order to attract peoples and increase probability. It forced on TUI management
and effect on staff performance and leaders as well as manager styles (Valente, Dredge and
Lohmann, 2015). According to this situation marketing department manager also used digital
technology and make plans for implementing it in organizational structure which is beneficial for
overall business. Manager create training program for all existing and new workers in order to
improve and enhance skills and knowledge. Many employees do not have suitable skills used
work with digital technologies, at this moment leaders with supportive leadership styles motivate
peoples and inspire all of them to work hard. They provide training and appropriate guidance to
employees just to make them more comfortable, it assures management that work has been
accomplished on time effectively.
Role of TUI leader and different leadership styles
Leader is the influencer who motivate, inspire and get the best our of its workers, a
person who is responsible to lead and foundation great leadership is belief and trust (Role of a

Leader, 2016). TUI run their business along with skilled and appropriate team leaders, they play
essential role in organization. There are the following roles of leader in company:
Visionary-
Leader play role as visionary player, they create a picture of where they are heading and
what strategies have been applied in context of enhance abilities of workers (Khorasani and
Almasifard, 2017). They have clear structure of how to achieve organizational goals and why it
matters to TUI and its team members.
Motivator-
Leader of TUI play role as motivator, they try to motivate all the staff members in order
to increase productivity as well as job satisfaction. They push workers to perform much better
and to work hard at achieving their professional and personal goals.
Decision maker-
Role of leader in company is to take appropriate and effective decision related to
organization as well as employee well fare. They must take decision based on situational analysis
which is beneficial for business as well as themselves.
Team player-
Leader role in TUI is to work with its team members as team player, they should
contribute in process of accomplished tasks on time.
As a guide-
Role of leader in firm is to provide correct guidance to its workers and build goods
relationship with them in order to create positive work atmosphere. They must be play role as
friend or guide both in which sharing opinions, feeling and desire with employees.
Different leadership style-
Autocratic leadership style-
This types of leadership style is focusing on boss, if TUI leader adopt autocratic
leadership styles they can be able to take all the decisions individually without consulting with
others in management.
Strategic leadership style-
Strategic leadership style is one of the styles that include leader who is usually head of
TUI. Leader of company with this leadership styles able to fills the gab between need for new
things and need for usefulness by providing the prescriptive set of characteristics.

Transformational leadership style-
This leadership style is all about initiating change in group of peoples, organization,
others and oneself (Marcinkevičiūtė and Žukovskis, 2016). Leader of TUI with transformation
leadership styles motivate employees effectively to do more than they usually intended. They set
more typically and challenging expectations achieve the higher performance.
TUI management and leadership styles related to organizational culture and structure
TUI organization implement democratic management style in business structure, manager
with this management style managed overall work performance of employees effectively. TUI
does not have the wider organizational structure, which is easy for manager to managed and well
organized with democratic management style.
On the other hand leader with supportive leadership style create health and creative work
culture at workplace which is useful and beneficial for business. According to this style leader
must try hard to solve any issues in workplace among workers in order to develop positive work
culture and enhance productivity than before.
Second part-
External and internal factors that influence structure in TUI and management styles
Internal and external factors affect organization structure and management styles and also
make difficulties as to managed it (Almazari, 2014). There are the following external elements:
Managing diverse talent is external factor-
TUI hire people belongs to different culture and religions that impact on management
style. Within organizational structure, management face many issues for managing diverse
talent. All people speak different languages, follow different norms and principles which is not
possible for managing in large company. Managing diverse workers in workplace presents the
set of unique challenges for management and its team members. Before managing diverse talent
in company management need to check and understand workers backgrounds and how their
beliefs and behaviour affect their decision taking within the diverse environment.
Weather change-
Climate change situation significantly influence management styles of manager and
abilities of company as to manage transportation of both finished goods and resources. TUI
deliver services and products according to final date, due to change in climate manager styles

affected the most in which they need to try something new way or create plans to deliver final
goods on delivery date.
Health and safety laws-
It is created after witnessing horrible situations that workers were forced to work in
directly and during industrial revolution. According to Health and Safety Act 1974, TUI
management need to change its current working structure in context of employee safety and
security. Manager must implement all the essential equipment used in any critical situation for
example, fire extinguisher in fire incident.
Digital and innovation creations-
Technology advancement is also considered as one of the external factor that influence
management styles and its functions within TUI. Due to different digital technology creation and
innovation, company marketing department face many issues as it impact on promotional
strategies of business the most. Digital creation means making rapid modification by using
digital technology to enhance services, goods and processes and traditional models.
Internal factors-
Internal relationships
Internal relationships of TUI impact on their management styles and structures the most.
Employees capabilities and productivity matters a lot within TUI company, due to lack of
communication and poor connection between management and workers staff abilities get
affected the most. Without good internal relationships people cannot be able to accomplish task
on time which decrease profitability of business and it also impact on its large organizational
structure(Keskes, 2014). lack of internal communication directly impact upon company
performance as well as its financial performance.
Culture of business and workers engagement-
Business culture and employees engagement influence company structure and
management styles. Without positive culture within TUI, staff can not be able to serve its
services and it also decrease their productivity rather than before. But on the other side, if
organization encourage workers to take part in decision making and engage them in overall
procedure of taking decision is beneficial.

Democratic management style changed and influenced by external and internal factors in TUI
Democratic management style influenced by internal factors such as poor employees
skills, lack of talented labour and lack of funds. Digital technology is one of the external
technology factor that affect and forced to change current working styles according to new one.
Thus, democratic manager must work in term of increasing productivity and profitability, they
should create development and training program for workers in order to increase their knowledge
and improve abilities rather than before which is essential for growth of business as well as
career growth of all employees working since for so long in TUI. Democratic manager should
conduct market research and determine the benefits of digital technology before implementing in
business structure.
With the help of PPD planning manager and leaders within TUI developed their
capabilities easily and effectively which help to grow their personal and professional career.
Soft skill is very essential for hospitality businesses as it help to provide better services and
create positive environment around workplace.
Current digital technology advancement, further leadership and management skills required by
TUI manager
Digital technologies is electronic systems, tools and devices that generate, process or
store data. Advancement of digital technology is very beneficial for TUI in which they gather
more information based on work. For example, Flight tracking devices is one of the best
advanced technology used in travel industry in order to track time and date of flight (Bietz and
Acosta-Cazaubon, Voll, Inc., 2016). With the help of this techniques' organization can be able to
provide appropriate information to its consumers. Flight tracking technology is activity by
concerned or enthusiasts citizens, it includes airport activity as well. TUI can used this
technology to know whether the flight safely landed or whether each and everything goes
according to schedule in package holiday, in simple words flight tracking is interactive system.
Management skills-
Panning and communication is the best management skills required by manager in TUI
while implement new technology within organizational structure.
Leadership skills-
Motivation and Decision making also required by Manager of TUI in order to motivate
workers and trained them for using new technology effectively.

Hard and soft skills for general manager-
Communication, patience, team work, problem solving abilities and flexibility is
considered as hard skills of manager. Work ethics and interpersonal skills are the two types of
soft skills for general manager in TUI.
Hard and soft skills for leaders-
Empowerment, decision making and effective communication are the soft skills of a
leader. On the other hand, technical skills, strategic planning and system analysis is hard skills of
leader.
CONCLUSION
From above, it has been concluded that TUI applies different types of classical
management theories such as Taylor's scientific management theory and Systems approach
which is beneficial for overall business. With the help of democratic management style and
supportive leadership style TUI can be able to serve its best and retain appropriate and skilled
peoples with them. Due to some external factors as well as internal ones company structure and
management styles influenced a lot, manager take correct decision in context of improving
situation. Furthermore, interactive system is kind of computer program characteristics by
important amounts of interaction between computer and human. TUI must used flight tracking
device or system which is beneficial for them. Manager must adopt and improve their skills and
include the new ones like planning, motivating, communication etc. in order to work with new
technology.

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