Leadership & Management for service industries

This report analyzes leadership and management styles in the service industry, focusing on the TUI hotel. It examines classical management theories, leadership styles, and internal and external factors influencing management and culture. The report also explores future management and leadership skills needed in the service sector.

Leadership & Management for
service industries

Table of Contents
INTRODUCTION...........................................................................................................................1
LO1..................................................................................................................................................1
P1 Two different classical management theories and its application in TUI hotel.....................1
P2 Evaluating the role of leader and different leadership styles..................................................3
M1&D1 of the current management and leadership styles in relation to current practices.........4
LO2..................................................................................................................................................4
P3 Review the management and leadership styles within TUI....................................................4
P4 Internal and external factors that influence the management style and culture within
business........................................................................................................................................5
M2&D2........................................................................................................................................8
LO3 & LO4 .................................................................................................................................9
are enclosed in PPT......................................................................................................................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Leadership and management encourage the smooth functioning and management within
the organization. Leadership motivates the employees of the organization in order to deliver the
effective output which meets the actual goal of the organization. On the other, hand management
is the key to organize and control the action and strategies. This study will be based on the
application of effective leadership and management concepts within hospitality organization.
However, it will discover the cultural aspects and different leadership styles adopted by
both the industries. Moreover, this study will also provide internal and external factors that effect
the main objectives of the business in service sector.
LO1
P1 Two different classical management theories and its application in TUI hotel
Classical management theories are based on the fundamental principles which are
generally used by the managers in order to manage the organization (Haveman and Wetts, 2019).
Management theories are classified under three categories such as scientific management,
administrative principles and Bureaucratic theory. TUI hospitality industry apply Fredrick Taylor
scientific management theory in order to improve the productivity (Manz And et.al., 2015).
However, Management theory is used in Affinia hotel which ensures the systematic formation
which is aimed at improving the efficiency and economic effectiveness of the firm (Haveman
and Wetts, 2019). These two different management theories used by two different industries are
described below:
Frederick Winslow Taylor
In the principle of scientific management, Taylor has described the application of the
scientific method which helps in improving the productivity of the firm. In TUI industry,
managers use the scientific management theory which allows them to break down the production
into the series of small tasks (Jelinek, 2015). This results in increased productivity levels and
lower unit costs of organisation. Moreover, application of Frederick classical management theory
helps in improving the maximising the individual productivity thus improves the overall
performance of the TUI. As the overall production will be based on dividing task into small
series of work and will be helping in improving the quality of work. Being a line manager of the
company, Taylor Scientific management approach would consider to be the effective principle
which helps in sustainability and growth of TUI in the future.
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Scientific theory helps in increasing the productivity as by increasing the performance of
employees in the TUI organisation. This theory aims at doing work effectively and efficiently.
As workers are usually enjoy the work that is given to them. By providing training to employees
that will improve the productivity. It break down the each task into different parts so that they
cannot feel more burden and manage their all work effectively. It pays employees based on their
work i.e. on the basis of piece rate. Through all these practices followed by Taylor helps in
increasing the productivity.
Max Weber
According to the Bureaucratic theory of Max Weber, effective approach to management
is one of the great concern which ensures the systematic formation of organization and results in
effective and efficient performance of the business. This theory works on two essential elements
first elements enables the structuring of the organization into hierarchy system. And second
element can be helpful by clearly defining the rational decision making rules (Byrkjeflot, 2018).
Application of this theory helps in This theory is applied by the manager of the Affinia hotel
which states six main features which contribute towards the systematic management such factors
are as follows:
Specialization and division of labour helps the manager in dividing the tasks on the
basis of competencies and functional specialization of employees. This will be helpful in
regulating proper functionality within all division of company. Next factor is Hierarchical
authority which ensures the movement of order and responsibilities in a proper structure. If
there is correct movement then it will ensure that everyone in organisation is working within
framework. Rules and regulations is the third factor which allows the manager to implement
proper policies and regulations for the Affinia hotel in order to manage the consistency of tasks
(Koutroumanis and Dixon, 2018). This is very much important and essential to manage overall
work of company so that employees are working as per their given allocation of work. Technical
competency guidelines depicts that all the employees are mainly selected on the basis of their
skills and competencies which have been acquired training and development. Personnel
differences is one of the another factor which helps in building the strong relationship within
staff members. Career orientation helps to motivate the workforce which results in effective
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productivity of the firm. Application of this management theory within Affinia hotel helps the
managers in increased overall performance.
P2 Evaluating the role of leader and different leadership styles
Leaders and their leadership skills play the important role in the growth of the TUI
organization. Leadership refers to the process of influencing the behaviour of the workforce
within the organization in order to achieve the main objectives of the firm. The role of the leader
is to integrate the individual efforts of the team members with the organizational goals. They will
be acting as motivator within overall team so that each employee is making their separate efforts
in achieving the goal. The leader acts as a role model for all the team members and inspires them
to achieve the main goals in order to build the effective team of TUI tour and travelling industry
(Jelinek, 2015).
Autocratic leadership style totally controls the all the decisions and allows little involvement of
the team members. Leaders of TUI are generally engaged themselves in such leadership style
when they have to take the situational and quick decisions. Democratic takes a more balanced
approach for accomplishing the tasks, application of Participative or democratic leadership styles
includes the team members in making various decisions. It basically involves the participation of
all the workers. It helps in increasing the motivation and satisfaction among employees and thus
maximised productivity.
Transactional leadership style allows the leaders of the Service sector industry in giving the
control of some amount of their income. It encourages team members in delivering the higher
productivity in desire to get such monitory benefits (Manz And et.al., 2015). However,
Transactional leaders could practice management by exception which allows the leaders to take
corrective actions regarding the team if the objectives are not met.
TUI follows the democratic style of leadership in the organisation. As this leadership
style helps in enhancing decision making process for the organization. As all the employees are
taken part in this process. As employees are participative in this leadership style. By following
this leadership style in TUI decision making process employees are also taken effective part in
decision making. This leadership style enhances more ideas from the employees. So in TUI this
leadership style is followed that will will in getting more ideas from the employees.
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M1&D1 of the current management and leadership styles in relation to current practices
Leadership is one of the important factor which motivates the workforce of the company
in order to meet the main objectives of the firm. Organization culture is defined as values, beliefs
and various ways in which employees of the firm interacts with each other. According to handy's
culture model, TUI service sector industry follows task culture within their service sector
industry. Charles Handy's four types of cultural model is categorised as Power, role, task and
person. Power culture focus on the authorities and power of the individual to take the decision
which mainly impacts on the performance of the employees. However, Effective leadership style
within the organization helps in influencing the positive culture at workplace. Role culture is
depends on the role which takes place due to the functional specification of the individual within
enterprise. Task culture is completely based on the tasks of the organization in which task is
divide according to skills of individuals. Mix culture is being used in TUI which allow the
manager to focus on task, role and person culture as it motivates those individuals who puts more
efforts then others. TUI do not uses the power culture within the organization because it use of
the power may sometimes let the employees feel demotivated.
In addition to this, current management of TUI follows hierarchical structure along with
the task culture within the enterprise. TUI generally uses mixed leadership style according to the
different situations of the business. Application of the participative leadership style allow the
employees to participate in the decision making (Nallusamy, 2016). Democratic style allows the
teams members of TUI in communicating the ideas in making decisions.
LO2
P3 Review the management and leadership styles within TUI
The management and leadership is one of the great factor that take the company towards
the growth and sustainable environment. According to the strategies of the TUI service industry
which assists the firm to develop the establish new technology. It is very important to implement
technology within the industry in effective and efficient way. It influences the working style and
business environment within the enterprise so managers and leader need to appreciate its
workforce for the adoption of newly developed strategies (Jelinek, 2015). There are Four types
of cultures described by the Handy's model of culture such as Role, task, person and power.
Organization with the role cultures are based on rules. People who follows this type of culture
are highly controlled. On the other hand, Task culture is formed while the teams in an
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organizations are formed to address the specific problem. Person culture focus towards the
individuals within the organization. And power culture is depends on the few individuals who
holds the power and influence their decisions throughout the organization. However, TUI
formulates the task and Role culture within the organization.
For instance, Line manager of the TUI has decided to change the technology of the firm
so they need to effectively implement such strategies within the business in order to increase the
profitability of the firm and sustainable development of the industry.
In this situation, the role of the leaders is to inspire the team members to adopt such changes
within TUI. Here the leader may apply various situational approaches in order to take the
decision regarding different duties and responsibilities of the employees. The leaders play the
role of motivator and effective leader who leads the path of its team member and provide various
solutions to adopt such changes. This helps in retention of the employees and thus satisfied
workforce is responsible for the production of the efficient and effective productivity. Leader
creates a vision for the company. They can bring changes in the organisation. As different
leaders is having different qualities. They are taking risk before starting their role in the
organisation. They think for long term goals and are highly motivated.
In this situation manager play the role of director and organiser who make all the
resources available for their team members. Also, manager need to organise trainings and
development program for the developing the skills and knowledge regarding the advanced
technology within business (Shek And et.al., 2017). Understand regarding the application of the
technology would help in producing the efficient output In TUI industry. Managers creates goals
for the company. They stick to one work for longer duration of time. As managers copy the
leadership style from other leaders. Managers helps in minimizing risk and control problems in
the company.
P4 Internal and external factors that influence the management style and culture within business
Organization is a comprehensive unit which consists of various different types of
operations and functions within TUI tour and travel organization. So there are internal as well as
external factors which influence the management style and culture which creates the negative as
well as positive environment at workplace. The company has a complete control over internal
factors however overcoming the internal factors leads to the successful business development.
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Internal factors are comprised of those impacts which success and main approach of operations
within business. Some internal influences are :
Financial sources is one of the most popular internal impact as less financial capabilities restrict
the opportunities to bring more changes while more financial capabilities provoke manager to
innovate new things within business. It provides more opportunities for manager to bring
changes within firm and this also help the leader in managing the team affectively. Management
style within the TUI organization gets influenced by the lack of findings, investment and sources
of income (vom Brocke, Zelt and Schmiedel, 2016). So it influences the main objectives of the
company. This factor influences the leadership style as if there is no proper availability of
sources in the organisation will affect the budget of the company and thus leader cannot be able
to manage the team performance and their productivity. It will also affect Extroverted
Management style as if there is shortage of financial sources managers can not take decision
regarding the funds that are available in the company. It may restrict the managers to bring
innovation within the company and thus it affects the sustainability and growth of the firm.
Value of employees is also essential internal business factor as it helps in developing the
satisfied workforce. Motivated staff members will produce the effective and efficient business
results. So in order to eliminate this internal factor, manager need to fulfil employee needs by
introducing Incentive policies and providing rewards and recognitions for their good work and
this result in positive culture and effective management of business. This factor mainly effect the
environment of the workplace and therefore dissatisfaction among employees may effect the
managers to manage the activities within the organization. Lack of motivation influence the
leadership style within the TUI organization as they cannot be able to encourage the team
members to improve the overall performance. And hence this Influence the negative influence of
the Management style within TUI.
Relationship among staff members promotes better work culture at organization and encourage
them in better operations of the firm. Effective communication between the staff members leads
to positive work culture which eliminates the problem of misunderstandings and ambiguity
within staff members ( Leadership and Management, 2017). It helps in influencing the positive
environment at workplace and therefore it helps the leaders in influencing best democratic and
participative leadership style which motivates the team members. This allows the managers to
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influence the Democratic management style which helps them in encouraging the employees for
maximised productivity.
Company values, policies and work ambiance is also considered as one of the important
internal factor which influences the culture and management styles within the organization.
Policies and procedures within the business also plays the important role for the motivation
among the workforce. Strict company policies may impose huge work pressure on employees
which lowers the satisfaction of employees and thus influence negative culture which may leads
to ineffective management style ( Manz, And et.al., 2015). Thus it influence the Negative
leadership style in which leaders are not able to improve the team performance.
External Factors
External factors composed of all outside factors that impacts the operations of business. It
includes the competition, social, legal, technological, political and economic environment within
the enterprise. External factors which impacts on the management and culture of the organization
are as follows:
Social factors leads to the change in perception and trend of the market due to which consumers
purchasing power varies. In TUI travel and tourism industry, consumers seek to explore different
places so destination and route of the trip may change which leads to decreased sales of the
company. This external factor is totally dependent on the needs and requirements of customers.
In this situation management style need to focused as managers need to promote the trainings for
the continues development and growth of individual. This influence the Positive Leadership style
as employees are encouraged for the improved skills and productivity.
Technological factors may impact on the efficiency of operations. It helps the company in
employing the technology which allow the manager in increasing online sales. This is one of the
great external environment which influences the management and culture of the TUI
organization. This factor may influence the Democratic Leadership styles and also help the
manager to influence the Strategic management style.
Political factors are the one of the external factor which may derives the business performance
as change in the employment law, legal procedure and taxes may derives the political influences
within organization (Leadership and Management, 2017). This factor may influence the
managers to adopt the Political management style which influence the staff to understand legal
procedures. Also, it helps in influencing Transformational leadership style within TUI.
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Legal factors are related with the legislation and legal policies which may influence the cost of
production. Change in the government rules and regulation such as changes in taxes and duties
may impact on the cost of goods and thus it creates negative culture and influences the
management style of TUI service industry.
Economic is one of the biggest external factor as it includes market fluctuations based on
politics, terrorism attacks, wars and currency devaluation. This impacts on the overall efficiency
of the business to meet its main objectives and thus it influence the culture and management style
at workplace. In this situation managers need to adopt the Administrative management style
which influence the team members to follow the rules and process over performance. Also
Leaders influence the Cross cultural Leadership style which allows the employees in employing
more Employees and it influence the employees to work in different environment.
As there are different digital and innovative creations that influence the management
styles. As changes in the technology will affect the working of the TUI organisation. Innovation
also impact its working as if TUI is adopting old technology then it will impact its operation as
consumers are not using its products or services as it is not up to the mark.
M2&D2
Current leadership management style used within TUI derives the effective performance
of the organization along with the increased productivity. However, current strategies are
inefficient and cannot match the operation management with its other competitive brands so they
need to develop autocratic leadership style which allows the leader of TUI in making quick and
situational decisions (Haveman and Wetts, 2019). Effective management styles also need to
include professional development and trainings which helps in developing the skills and
knowledge among employees. It will increase the efficiency and effectiveness within hospitality
management industry.
Change management processes in organization helps in improving the overall business
strategies and working style within hospitality industry. Technological improvement within TUI
derive the efficient business performance and helps in improving technical skills among
employees. However, effective leadership styles will help in motivating the workforce and result
in long term retention of loyal employees.
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LO3
P6 Future management and leadership skills acquired by the service sector
Management and leadership skills required by the service sector in the future are as follows:
Creativity
:- TUI have to acquire the creativity skill so that the business can adapt the changes easily.
Manager have to bring new ideas into the business so that it can lead to enhancement of the
business. The manager have to think creatively in the business and innovate something new in
the company. Innovative ideas leads to the success of the company.
Decision-making:- Manager has the skill to take decision for the company. If manager is not
able to take decision for the company then there will be no need of the manager in the company.
Decision making is the first priority of every manager to take for the company.
Motivation
:-Manager have to inspire the workers to do work in the company. Leaders must have to learn
that motivation is required for all the employees. If the employees are motivated they will do
efficient work for the company. Motivation also plays an important role for the manager to run
the company.
Trustworthiness
:- Employees feel comfortable in coming to the manager. It is important for the manager to build
trust among the employees for future course of action. This will help in building good relation
with the managers of the company.
All the above leadership skills can be achieved by the manager of the TUI company by
developing the capabilities through reflective practice such as personal professional development
planning.
Soft skills plays an important part in the hospitality sector because in this sector the employees
have to deal with the customer face to face and for that communication skills is necessary for the
employees. It is the main aspect of creating the overall customer experience. Soft skills helps in
improving the professional growth of the industry.
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LO4
are enclosed in PPT
CONCLUSION
From the above study, it can be concluded that management styles and leadership styles
affect the operations of the business. Also, the study has justified the application of classical
management theories which helps in managing the team members and effective performance of
the business. Various leadership styles has been also examined which increases the productivity
within service sector.
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REFERENCES
Books and Journals
Haveman, H.A. and Wetts, R., 2019. Organizational theory: From classical sociology to the
1970s. Sociology Compass.13(3). p.e12627.
Jelinek, M., 2015. Management, Classical Theory. Wiley Encyclopedia of Management, pp.1-2.
Koutroumanis, D.A. and Dixon, D.P., 2018. leadership paradigms, generational differences and
cultural norms and their effects on service quality in the restaurant industry. journal of
business & Entrepreneurship. 29(2).
Manz, C.C. And et.al., 2015. Serving one another: are shared and self‐leadership the keys to
service sustainability?. Journal of Organizational Behavior. 36(4). pp.607-612.
Nallusamy, S., 2016. A proposed model for sustaining quality assurance using TQM practices in
small and medium scale industries. In International Journal of Engineering Research in
Africa (Vol. 22, pp. 184-190). Trans Tech Publications.
Shek, D.T. And et.al., 2017. Service leadership under the service economy. In Global and
culturally diverse leaders and leadership: New dimensions and challenges for business,
education and society (pp. 143-161). Emerald Publishing Limited.
vom Brocke, J., Zelt, S. and Schmiedel, T., 2016. On the role of context in business process
management. International Journal of Information Management. 36(3). pp.486-495.
Byrkjeflot, H., 2018. The Impact and Interpretation of Weber’s Bureaucratic Ideal Type in
Organisation Theory and Public Administration. In Bureaucracy and Society in
Transition: Comparative Perspectives (pp. 13-35). Emerald Publishing Limited.
Online
Leadership and Management. 2017. [Online]. Available
through:<https://www.open.edu/openlearn/money-business/leadership-management/
management-perspective-and-practice/content-section-3.5.2>
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