Leadership and Management Theories in Dangote Cement Group

Running Head: LEADERSHIP AND MANAGEMENT THEORIES
Leadership and Management Theories
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Table of Contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................4
Overview of the Company.......................................................................................................4
The theories of Leadership in Management............................................................................7
Leadership in The Dangote Cement Group...........................................................................10
Leadership qualities required for business expansion...........................................................12
Why participative leadership is important.............................................................................14
Implementing participative leadership in Dangote Cement..................................................17
A collaboration between employees and the management: -................................................19
Evaluating the probable outcomes.........................................................................................20
Conclusion.....................................................................................................................................21
Reference.......................................................................................................................................22

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Introduction
According to some of the scholars, leadership is all about creating and establishing a way
for the people to contribute in making the objectives come to reality. An ideal leader drives the
followers towards action and supports them to realize their capabilities so that they can
accomplish their goals. It is quite often that in the larger companies, leaders are appointed to
motivate the employees and raise them as the upholders of the company, while in the smaller
companies, the managers play the role themselves (Anderson and Sun 2017). A clear
understanding of the leadership theories can help an organization to develop leadership skills in
their leaders usually via trainings or recognize the potential leader during the hiring session.
Through the past decades the leadership theories have been the center of attraction for various
studies. The theories are mainly categorized by the aspect of leadership it intends to define the
most such as the Great Man Theory, Contingency Theory, Trait Theory, Transactional Theory,
Behavioral Theory and the Transformational Theories. Around the mid -19th century, the Great
Man Theory evolved. The Great Man Theory suggests that the leadership traits are intrinsic.
It further says that the Great leaders are born and not made. It considers those leaders as
great who are destined to be great leaders. The Trait theory on the other hand states that, people
either acquire or are born with certain traits or qualities that will transform them into great
leaders in future (Patel et al. 2014). The behavioral theory asks to focus on the behaviors of the
leaders which effects the behaviors of the followers too. In short, it claims opposing the Great
Man theory that leaders are made and not born. The contingency theory on the other hand
supports the trait theory and argues that the leadership is based on the situations and there is no
single way of leading in every situation. The transactional theory is better known as the exchange

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leadership theory because through it, a transaction occurs between the followers and the leader. It
supports a mutual beneficial relationship.
The transformational leadership theories state that establishing relationship with other
people increases the percentage of faith and responsibility. In this type of leadership, the leaders
inspire the followers with the charismatic nature and activities. This leadership style enables the
followers to have a deep sense of belongingness with the organization. The present report will
focus on the critical evaluation of the development of leadership and management in the Dangote
Group. The Dangote group is an international conglomerate based in Nigeria. The group was
founded by Aliko Dangote in 1981 and the company has grown up to having 30,000 people
associated with it causing it to generate an excess of US$ 4.1 billion by the year 2017. The
company principally deals in products like Cement, Sugar, Flour, Salt, Steel, Oil and Gas. The
company has recently decided to innovate and expand to the Asian countries as well as in the
European subcontinents. The new CEO Joseph Makoju of the Dangote Cement which is a part of
the Dangote Group is focusing and investing on the expansion policies for better outcomes. The
present report will analyze and evaluate the leadership that is currently being practiced in the
company putting it in a particular framework. The report will further describe the
appropriateness of the leadership traits and propose a theory more suitable to the organizational
context.

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Discussion
Overview of the Company
The Dangote Group is a private Conglomerate founded in the year 1981 holding the
hands of Aliko Dangote. It is considered to be the largest conglomerate specifically in West
Africa and one of the largest companies in the entire continent of Africa. The company began as
a trading body which used to import sugar, rice, cement fish and other useful commodity goods
to be distributed in the Nigerian market. The group expanded since the 1990s to the production
of cements to be distributed across the countries of Africa. The group owns almost 18
subsidiaries which operate in ten countries around Africa (Dangotecement.com 2018). The
Dangote Cement is one of the most effective subsidiary among all the other subsidiaries. It is
listed in the Nigerian Stock Exchange too that has occupied 205 of the total capitalization of the
Stock Exchange. The headquarter of the Dangote Group is situated in Lagos, Nigeria. The
Dangote Cement was founded in the year 1992 and actively engaged in the manufacturing,
preparing, importing, packaging and distributing the cement and other related products across the
countries of Africa.

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The Dangote Cement already has three plants and looks forward for establishing plants in
other 13 African countries along with countries in other continents. The company is recently
investing millions of dollars on building the manufacturing plants and terminals. It also has a
plan to expand in Nepal. According to Businesslive.co (2018), the richest man of Africa known
as Aliko Dangote, the owner of the Dangote Group is planning to accumulate $500 million for
expansion. The new CEO of the Dangote Cement, Mr. Joseph Makoju is apparently the most
initiative leader in terms of expanding the business and has already earmarked almost $350
million for the capital projects in the year 2018. It has been foreseen by the CEO that this
expansion would open new ways of opportunities for the company so that it can increase the
brand familiarity in other countries and receive the competitive edge over the market rival in the
contemporary rivals.