Leadership and Management for TUI Assignment

Leadership and Management
for Service Industry

Table of Contents
INTRODUCTION...........................................................................................................................1
a) Different classical management theories............................................................................1
b) Review the management and leadership styles for TUI.....................................................2
c) Evaluate how TUI's current management and leadership style link with theories.............3
d) Role of leader in TUI.........................................................................................................4
e) Conclusion..........................................................................................................................5
f) Analysis of internal and external factor which influence the management style...............5
g) Critically analysis how specific management styles influence and change internal and
external factor.........................................................................................................................7
h) Describing how future leadership skills required by TUI manager...................................7
I) Current management and leadership hard and soft skills...................................................8
j) Critical evaluation of how the response to advancement in digital technology..................9
k) Change management systems of different service organizations. .................................10
l) Impact of change management on management and leadership skills.............................12
CONCLUSION..............................................................................................................................13
References......................................................................................................................................14

INTRODUCTION
Leadership is that process which can direct and guide the people which helps to attain the
specific goals of a firm, on the other side, management mainly includes the activity of setting
methods and then coordinate the efforts of their employees. The report main aim is to provide the
importance of management and leadership style in the context of digital technology. The report
is based upon the case study of TUI Group which is a German Travel and Tourism company
which is the largest leisure, travel and tourist company in world and it also owns travel agencies,
hotels, airlines.
Report will cover different management theories and then describe the role of leader and
different leadership styles in service sector. Further, report will investigate the internal and
external factor which also influence management style and structure of TUI. Further, study will
also assess the current management and leadership skills and then describe future management
and leadership skills which is required by the service sector.
a) Different classical management theories
Classical Management Theory: The theory mainly based on the belief that the
employees only have physical and economic need. The theory also state that a firm is consider as
a machine, but human being are different components or a part of that machine. This theory is
completely based upon the accounting model and it also lays emphasis on detecting errors and
correct them (Haveman and Wetts, 2019). But on the other side, the theory is not adopted by TUI
because it mainly concern with the amount of output as compared to human being. The theory
also assume that employees are quite stable, in term of change in an organization.
Administrative Management Theory: It is another type of classical management theory
and it is also based upon concept of departmentalization in which different activities are
performed for achieving the common purpose of a firm which should be identified and classified
into different groups. The theory is stated by Henri Fayol and the focus is on how the
management of a firm is structured and how well the employees of the firm are attaining the
aims as well (Nicotera, 2019). The theory is mainly based upon the two such that business
management and general management, further it also based upon the 14 principles which help
management to understand their roles and responsibilities. Therefore, it can be applied by TUI.
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Bureaucratic Management Theory: The theory is adopted by the Max Weber who
believed that the theory is most efficient way that help to set an organization, administration. But
the theory is based upon the traditional structure such that everyone is treated equal and they
describe the division of labour in cleared way. As the organization structure of TUI is hierarchy
which means that it has different level of authority who understand their roles and responsibility.
Such that TUI also adopt the principles of bureaucratic to mange the business structure in more
efficient way (Mol, Birkinshaw and Foss, 2019). Such as TUI should acquire formal rules and
regulations in order to govern the organisation.
b) Review the management and leadership styles for TUI
Management and leadership Style: It has been analysed that the best management style
is one which is flexible, adaptive and appropriate for any situation and it is quite true because
various situation call for different kinds of leadership. Therefore, TUI uses two management and
leadership style that helps to run the business smoothly.
Transactional style:It is one of the straightforward leadership style which is mainly focus
on the work as well as process so that effective results are attained. It has been analysed that
leaders of TUI mainly follow this style because it helps to provide positive environment of the
company and raise the performance of employees (Baltaci and Balcı, 2017). For example, the
leader of TUI provides incentives to their employees when they perform outstanding work. It is
so because it helps to motivate the employees and also help to produce the consistent results as
well.
Democratic Management style: It is also known as participative leadership style which is
followed by the leader of TUI in which they take helps to each member of a group in order to
take decision. Through this style, everyone is given an opportunity to participate and share their
ideas which helps to retain the employees. But on the other side, the leader is only who is
responsible for taking any decision and also inspire them to contribute their best for the welfare
of a business (Shafritz, Ott and Jang, 2015). The biggest advantages of using this style into the
workplace is such that it helps to raise high productivity and more ideas and provide creative
solutions which helps to lead a business towards the success.
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