Leadership and Management for Service Industries

This assignment explores the role of leadership and management in service industries, focusing on Cosmos Tours Ltd. It discusses classical management theories, different leadership styles, internal and external factors influencing management style, and current and future leadership skills. The assignment also compares and contrasts change management systems and leadership in implementing change in different service industry organizations.

Leadership and
management for service
industries
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Table of Contents
INTRODUCTION...........................................................................................................................3
LO1..................................................................................................................................................3
P1. Classical Management Theories.......................................................................................3
P2. Roles of Leader and different leadership styles...............................................................5
P3.Review of management and leadership styles...................................................................7
LO2..................................................................................................................................................8
P4. Internal and external factors influencing management style............................................8
LO3..................................................................................................................................................9
P5. Current Hard and Soft skills of leadership and management...........................................9
P6. Future management and leadership skills......................................................................11
LO4................................................................................................................................................12
P7. Compare and contrast between different service industry organisations’ change
management systems and leadership in implementing change............................................12
CONCLUSION..............................................................................................................................14
REFRENCES.................................................................................................................................15
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3

INTRODUCTION
Leadership is basically the art of motivating and influencing a group of individuals or
people in a common direction for achievement of a specific goal or target. On the other hand,
management is basically a process of getting people together and integrated to accomplish a
desired goal and objectives through properly coordinating and integrating all possible and
available resources efficiently and effectively (Ruohonen, 2017). Thus, both management and
leadership are essential for an organisation to effectively manage and coordinate the talent and
creativity in organisations through creating efficient and healthy work atmosphere and also
ensure smooth flow of operations for attaining desired objectives.
To understand the role of leadership and management in service industry this, assignment
is based on Cosmos Tours Ltd which is a travel and tourism organisation having its headquarter
in London, England, UK (Cosmos, 2019). Cosmos offered the most affordable travel packages
to the world’s most captivating place like the breath-taking fjords of Scandinavia, to Paris, the
City of Light, the awe-inspiring Canadian Rockies, the mysterious Machu Picchu in , etc. Beside
this Cosmos also provide beneficial, convenience, and peace of mind of escorted travel, along
with ample free time to explore beautiful destination and longer stays in key cities to provide an
immerse in the local culture. In this project a brief review about classical management theories
and leadership styles is included. Along with this, different internal and external factors that
influence different management styles and structure are also included. Beside this, current
management and leadership hard and soft skill along with future management skills are also
described in this report. At last, a comparison and contrast is made between change taken place
in leadership and management styles while implementing a change.
LO1
P1. Classical Management Theories
Management theories tend to stipulate certain guiding principles which provide direction
to managers so that they can carry out their roles and responsibilities in relation to management
of staff members as well as resources, in an effective manner. Such theories provide help or a
system to workers to align their work with the business objectives and actualise means to
accomplish the ideal objectives. Class management theory is a category pertaining to
management that has its focal point on maximisation of output. It is the most established
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administrative theory which centres on operations and making of norms to expand generation of
output through stipulation of rewards, better pay and other perks to high performing workers for
inspiring them or to improving the delivery of their performance. The numerous types of
classical management theories which can be embraced by Cosmos Tours Limited to
appropriately manage the human resources as well as their talents are given as follows:-
Scientific management theory- This theory is proposed by the renowned scientist named
Fredrick Taylor and its fundamental point is to improve financial effectiveness and efficiency.
Therefore the principle focal point of this administration theory is upon limiting waste and
diminishing activity time to build the output delivered by a firm. This hypothesis accentuates on
collaboration and advancement of every single worker to flourish amidst rival firms as well as to
accomplish the objectives on time therefore, Cosmos Tours Limited can utilize this hypothesis to
upgrade the creativity as well as skills of its company representatives. Utilization of an enhanced
and more extensive scientific strategy could be done to draw in more clients through provision of
better contentment opportunities (Millar, Lockett and Mahon, 2016). This is taken into use by the
managers with a view to stipulate incentives, thereby, encouraging the staff members in a
manner such that they get facilitated to deliver an enhanced level of output. Thus also motivates
employees of Cosmos to have better skills and importance is also given to talent management
through having a more practical way of recruitment and selection of talented employees.
Administrative management theory- This hypothesis is created by Henri Fayol to
discover a reasonable method to design a business entity. This theory is taken into use by
company to execute a formalized managerial structure within the confines of company in order
to specifically lay down the roles and accountabilities of all staff members in order to lessen the
chances of perplexity or clashes. Thus, this provides positive operating environment to workers
to improve their efficiency at workplace (Albeanu and Hunter, 2017). This hypothesis can be
executed by top management of Cosmos Tours Limited for making the staff members more
disciplined through stipulation of proper direction and data about their job role and obligation in
accomplishment of corporate goal. This will likewise stipulate a correspondence channel among
manager and company representatives, thus decreasing the chances of disarray and clashes,
consequently giving inspiration to workers to upgrade their effectiveness, competence as well as
aptitudes. Therefore, lead to better management of talent in its organisation through proper
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administration and providing timely training to enhance and sharpen the skills of employees of
Cosmos.
Bureaucracy Theory- This being one of the most crucial classic management theories is
based on a premise that systematic deliberate development of a business association must take
place as this guarantees maximisation of organisational productivity as well as financial viability.
This administration hypothesis gives a perfect model to top management within the organization
by way of emphasizing upon force of corporate structure. Bureaucracy theory can be undertaken
by Cosmos Tours Limited with a view to center upon formal power frameworks as well as to
foster unity and maximisation of output within the organisation (Kim and Stepchenkova, 2018).
This theory serves as a base for scalability and energizes specialization and innovativeness in
workers through appropriately recognising their job responsibilities and authority. It boosts the
moral of staff members and thereby energizes their imagination and abilities. They are provided
with job security as this tends to inflate their productivity level and acts as a motivating factor for
them to exploit their potential for realisation of goals of Cosmos Tours Limited. The job security
provided through this theory is useful in motivating employees of Cosmos to have better
creativity and innovations thus, lead to effective management of talent in company.
P2. Roles of Leader and different leadership styles
Leaders are the individuals who are having responsibility for providing regular guidance
and motivation to employees or a group of people so that their efforts can be directed towards
achievement of a common goal and objective (Sipe, 2018). In Cosmos tour ltd, leaders ensures
that all employees remain motivated towards their work and perform their task with great
efficiency. The main roles played by leaders of Cosmos tour ltd for ensuring smooth flow of
operations within the organisation are provided below:
Strategist- this is an imperative role of leaders as they are the one who are having the
responsibility of developing and designing most suitable strategy for whole oargnstions so that
the desired objectives can be reached. In Cosmos tour ltd effective strategies are formulated by
their leaders which provide a framework and guidance to employees for accomplishment of task.
Motivator- as a motivator the leaders of Cosmos tour ltd are playing a crucial role in
motivating and directing its employees and manpower towards achievement and fulfilment of
desired needs and objectives which is necessary to enhance the productivity and efficiency of
workforce.
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Communicator- it is also a key role played by leaders for establishing effectible
communication within the organisation (Jain, Duggal and Ansari, 2019). For Cosmos tour ltd, its
leaders has developed an effective mode and channels of communication to ensure the proper
exchange of information and opinion among different team members, colleagues and employees
so that chances of confusion and conflicts can be minimized.
Beside these important role use of various leadership styles are also made by leaders for
understanding the behaviour and attitude of its employees so that best efforts can be made to
motivate them for timely achievement of targets. Some of these leadership styles that can be
adopted by Cosmos tour ltd for influencing and motivating its employees as per the prevailing
situations are provided below:
 Democratic Leadership– This is a leadership style that is commonly known as
participative leadership style in which involvement and participation of all team members
and other employees are included in decision making process. Use of this leadership style
is made by Cosmos tour ltd to encourage and motivate its employees for achieving targets
through making proper discussion with them and due importance is provided to their
perspective and viewpoint while making any decision (
Annarelli and Nonino, 2016). It creates a feeling of self belief and develops intrinsic
motivation in employees of Cosmos tour ltd which enhance and improve their
performance.
 Autocratic Leadership- this is a leadership style in which decision making power is
centralised and belongs to top authority only thus, improve the efficiency of decision. No
prior discussion or conversation is made with subordinates, employees and other
colleagues before reaching at any decision. Use of autocratic leadership style is mainly
made by Cosmos tour ltd at the times of some adverse or negative situation when there is
urgent need of making some specific decisions and there is no time for discuss with
employees. Thus, autocratic leadership style is useful in increasing the speed of decision
making process therefore use of this style is made to handle difficult situation, but it can
lead to reduction in the motivation level of employees as they have to follow the orders of
their senor without any participation in conversation and debates.
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 Transformational leadership style- it is considered one of the most desirable leadership
style as it facilitate a thriving work culture properly associated with effective
communication in teams but a certain level of strategic vision and intellectual stimulation
is needed to initiate a change in and betterment in overall organization. The main focus of
transformational leadership style is on setting a higher level of goals with strict deadlines
and also includes working in unison to accomplish these goals on time (Chaston, 2017).
Thus use of this leadership style can be Cosmos tour ltd to set challenging goals for
effectively motivating creativity and efficient management of talent within its
organizations.
 Laissez-faire leadership style- The meaning of laissez-faire is ‘let them do’ thus, the
main focus of this leadership style is on motivating employees foe self development and
become independent in their work. In this kind of leadership style leaders delegate a
large part of responsibility to its team members and let them do their work by their own
with minimum or no interference so that a feeling of self confidence and independence
can be developed. Thus, use of Laissez-faire leadership style will provide the maximum
scope for innovation and flexibility in Cosmos tour ltd thus lead to effective management
of talent and creativity within the organisation.
P3.Review of management and leadership styles
In respect of a business organisations leadership and management styles are mainly
associated and concerned with directing and coordinating efforts of workers and team members
with a strategy and effective plan to meet company’s or overall organisational needs and targets.
Thus, they play a important role in managing and controlling all the task of an organisation
which is necessary for achievement of targets and success (Chiarini and Vagnoni, 2016). Cosmos
tour ltd is a travel and tourism firm which is having it’s headquarter in London, England. This
organisation provide escorted holidays and tour packages in UK and across different regions of
world like USA, Europe, Africa, Hawaii, etc. Thus, proper management and leadership styles are
adopted by its mangers and leaders to properly coordinate efforts of all its employees and direct
them towards achievement of a specific target and goal.
Mainly use of democratic leadership style is made by Cosmos tour ltd to allow proper
participation of its employees and other staff and workers in decision making process so that a
mutual decision can be adopted and implemented for success of oargnstions. Democratic
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leadership style lead to increases in creativity and innovation as opinion and view point of all
employees are taken which enhance the motivation and performance of workforce (Lin, Wu and
Ling, 2017). Proper channels of communications are also established between senior and
subordinates thus, effective flow of information can be taken. Beside this use of autocratic
leadership style is also made by leaders of Cosmos ltd to handle some difficult and adverse
situation when urgent decision making is necessary to solve or handle the problem.
Further, use of some management styles is also made by mangers of Cosmos tour ltd for
effectively coordinating and organising efforts of its workforce. Some of these management
styles that can be used by Cosmos tour ltd for effectively managing its manpower and employees
are described below:
Consultative management style- this a management style under which instead of allowing
full participation only consultation is made with employees before making any decision. Proper
consulting channels are implemented by Cosmos tour ltd so that consultation can be made easily
with employees and other colleague (Hewison and Holden, 2016). For proper execution and
adoption of this management style, effective listening and consulting skills are required in
manager. Use of consultative management style build a feeling of empowerment and loyalty in
employees as orders are not forcefully implemented or affixed on them instead they are consult
by managers before taking decisions. This feeling of loyalty and empowerment improve
performance of employees of Cosmos tour ltd, thus lead to achievement of targets and goals.
Participative management style- under this management style employees are permitted to
take effective participation in decision making process. Use of participative management style
can be made by Cosmos tour ltd through allowing proper involvement of employees in decision
making which will increase the efficiency of decision (Dong, Gao and Ma, 2018). Use of this
management style also improves the moral of employees through developing self belief and
confidence in them as they are also a treated as an important part of decision making process.
This self confidence is helpful in increasing efficiency and productivity of employees which will
yield better results for Cosmos tour ltd. Participative management style also lead to better
communication between managers and workforce which makes it easy to properly align all the
activities and also coordinate the efforts within the organisation.
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LO2
P4. Internal and external factors influencing management style
Businesses operate within the confines of dynamic business environment. Thus, it
becomes important for a firm to analyse the internal as well as external factors present in
business environment that may have an impact over the management style undertaken by a
company. In this regard, the internal and external factors along with their impact on selection of
management style are given as follows:-
Internal Factors
Employees: It has been acknowledged that workforce has a significant influence on the
management style adopted by a firm like Cosmos Tours Limited as their behaviour and conduct
is dependent on the instructions provided to them (Shafique, Ahmad and Kalyar, 2019).
Therefore, it can be stated that the management style to be adopted within the respective firm is
based on the behavioural characteristics of workforce within Cosmos.
Capital: The supervisor devises an activity plan for its workers subsequent to
investigating the accessibility of money in company and measure of funds required to finance
such tasks. Henceforth the administration style inside Cosmos Tours Limited is chosen in the
wake of availability of cash within the company.
External factors
Technological up-gradation: Constant progressions occur in technologies encouraging
the firm to concoct remarkable and creative offerings at market. This will in general have a huge
impact upon the choice and adoption of management style (Clarke and Higgs, 2016). This owes
to the fact that if Cosmos Tours limited needs to bring new innovation, at that point the
administrator needs to change the style so as to get assistance from workforce.
Customers: These are considered as the rulers of market as they have the ability to
impact upon a company’s operations. The administration style inside Cosmos Tours Limited is
chosen subsequent to considering the necessities and desires of clients as the benefit of this
element relies on their satisfaction.
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LO3
P5. Current Hard and Soft skills of leadership and management
Soft skills are also known as peoples kills or interpersonal skills which are less measurable
and harder to quantify, but are vital for management and leadership thus, necessary to possess by
them. Soft skills are the one which reflect the attributes and behaviour of a manger or leaders and
makes them different and more effective than other peoples. On the other hand, hard skills are
technical skills which are essentially required for performing any task or job thus, these skills are
teachable (5 Essential Soft Skills for Managers, 2019). The soft and hard skills possessed or
found in management and leadership of Cosmos tour ltd are described below:
Soft skills
Communication- this skill is considered most important and essential skill for a
management and leadership as it the main aim of both mangers and leaders to direct and
coordinated the efforts of all employees and all activities in oargnstions which cannot be
achieved without effective communication (Shih, Chen and Chao, 2019). Mangers and leaders
have to communicate and interact with lots of people likes its workforce, shareholders, directors,
partners, and all other related parties thus, they must have good communication skills to properly
transfer their view and perspective to convince and influence other people. Management and
leadership of Cosmos tour ltd are having effective communication skills which creates a bridge
between top authority and workforce and ensure proper transfer of all relevant information
within the oargnstions. This soft skill of management and leaderships has reduced the chances of
chaos and conflicts in Cosmos tour ltd thus, lead to timely achievement of goals. Proper
communication also creates a healthy and positive atmosphere which leads to retention of
employees thus, maintain talent in oargnstions for a longer period of time.
Team building skills- both management and leadership are related with leading and
directing employees to achieve a specific goal which is not possible without proper collaboration
and coordination of efforts of employees. Thus, team bonding and healthy relationship among
employees and other staff is necessary which is only possible through team building skills of
managers and leaders (Mehrmanesh 2018). Management and leadership of Cosmos tour ltd are
having desired team bonding skills which makes them capable of addressing and handling
interpersonal problems and issues arising in the organisation. Thus, team bonding skills improve
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the performances of teams and whole organisation trough aligning the workforce and efforts of
all staff around a specific goal.
Time management skills- these are yet another important hard skill of management and
leadership which lead to better discipline in the organisations and it also ensure achievement of
targets and goals within the specific time limit thus, enhance the efficiency and performance of
employees and organisation. Time management skill is possessed by management and leadership
of Cosmos tour ltd which makes them more punctual and discipline towards their work thus,
motivates its employees also to become punctual and dedicated towards their work so that targets
can be achieved n time (Baporikar, 2017). Different time management tools like WBS and Gantt
chart are also used by management and leadership of Cosmos so that work can be properly
schedule and distributed among employees to create a sense of clarity in their minds which will
lead to improvement in performance and productivity of employees of Cosmos tour ltd.
Current Hard Skills
Marketing skills- these skills are very important and crucial for a mangers and leaders to
keep their business successful and at a good position in the market. Marketing skills makes a
leaders and management able to properly analysis the different factors of business environment
and market which is necessary for formulation of strategy and policies for growth of
organisations (Hyland and Ferebee, 2017). Marketing skills of management and leadership of
Cosmos tour ltd makes them aware abut current opportunity and threat so that best possible
efforts can be made to motivate the employees for grabbing the opportunity and for effectively
handling the threats.
P6. Future management and leadership skills
Future leadership skills
The leader within Cosmos Tours Limited can leverage skills like decision making, time
management and collaborative working with a view to make sure that orderly conduct prevail in
the boundaries of an enterprise (Edger, 2016). Also, these skills provide assistance in timely
accomplishment of goals as well as objectives of a corporation. By capitalising upon such skills,
leader of Cosmos Tours Limited can facilitate the development of healthy relation with staff
members and ensure their retention for a long period of time.
Future management skills
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The manager within Cosmos Tours Limited can leverage the skills like delegation as well
as critical thinking to ensure success for the company. Delegation skills provide assistance to
manager in keeping the important duties to themselves and passing on the rest to subordinates
with authority. Besides this, critical thinking allows an individual to think from a logical point of
view and thereby take into account the positives as well as negatives of a situation.
LO4
P7. Compare and contrast between different service industry organisations’ change management
systems and leadership in implementing change
Proper implementation and execution of a change within a business organisation is always
challenging and comlex as it require proper support form workforce. Thus, use of effective
management system and leadership theory is necessary for that purpose (Luu, 2019). Before
brining any change in organisations leaders and manger should analysis the possible benefit and
drawbacks of change and these impacts of change must be properly communicated with
employees so that they can be easily motivated for effective execution of change. To understand
the effect of change on management system and leadership theory a comparison and contrast is
made between Cosmos tour ltd and Trailfinders. Both these organisations are tour and travel firm
of UK having their headquarter in England, UK. As being hospitality organisations, both are
making some changes in their marketing strategy thus, more customers can be attracted. Below a
table is provided to compare and contrast the changes that are made by these organisations in
their management and leadership style for better execution and implementation of change.
Basis Cosmos tour ltd Trailfinders
Management
system
For execution of any change in the
marketing strategy or any other
organisational change it is essential to
make significant modification in the
management system theory or system
(Cosmos, 2019). For achieving the
objectives of change effectively Cosmos
tour ltd is making use of scientific
management theory which will provide a
Trailfinders is making use of
administrative management
theory for implementation of
change and modification in its
marketing strategy
(Trailfinders, 2019). This
theory has provided 14
principal use of which can be
made by manager of
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more practical, logical and scientific
approach for implementation of change
also ensure reduction in wastage of
resources through eliminating trial and
error approach. Use of scientific
management theory lead to an effective
planning, organising and controlling
strategy which is useful in improving
performance and productivity of
employees for timely achievement of
target and goal (Ruohonen, 2017).
Trailfinders for effective
execution of change. The
principles which form a part of
administrative management
theory are Division of Work,
Authority and Responsibility,
Discipline, Unity of
Command, Subordination of
Individual Interest,
Remuneration, Centralization,
Scalar Chain, Order, Equity,
Stability of Tenure of
Personnel, Initiative, Esprit de
Corps. All these principal
ensure effective management
of employees and also
establish coordination between
them for better execution of
change.
Leadership style
Cosmos tour ltd is making use of
democratic leadership style as it provides
better participation opportunities to staff
and other employees. It ensure that
decisions regarding any change or
modification will be made by after proper
discussion with employees which provide
better motivation to them for execution
and implementation of change.
Democratic leadership style also ensures
proper communication among employees
Use of Autocratic leadership
style is made by Trailfinders as
it lead to fast decision making
press thus, lead to
accomplishment of task and
change on time as views and
opinion of employees are not
taken. This lead to an
atmosphere of more discipline
in organisation thus, change
can be implemented in short
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and leaders thus, facilitates easy transfer
of all relevant information which lead to
better execution of change.
period of time. But Autocratic
leadership style can create
dissatisfaction among
employees as their
participation is not allowed
(Millar, Lockett and Mahon,
2016).
CONCLUSION
On the basis of above discussion included in this report, it can be said that leadership as
well as management can be regarded as the 2 pillars upon which the overall working of a
business entity is based. This serves as the basis for the level of performance which is delivered
by employees at workplace. In addition to this, it has been acknowledged that there are a number
of classical management theories that can be adopted by the manager of an enterprise so as to
encourage workforce and facilitate them to give maximum output. Further, it is recognised that
there are a range of external as well as internal factors which pose impact over the management
style adopted by company.
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Baporikar, N., 2017. Learner centred approach for global leadership in management education.
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Online:
5 Essential Soft Skills for Managers. 2019. [Online]. Available
through<https://www.goskills.com/Soft-Skills/Articles/Soft-skills-for-managers >
Cosmos. 2019. [Online]. Available through< https://www.cosmos.co.uk/ >
Trailfinders. 2019. [Online]. Available through<https://www.trailfinders.com/>
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