Leadership Styles and Their Impact on Organizational Culture and Diversity Management

This study examines the range of leadership styles, models, and theories used in H&M, a multinational clothing retail company, and evaluates their impact on organizational culture and diversity management. It discusses the different leadership styles, such as autocratic, democratic, coaching, and laissez-faire, and explains leadership theories, including contingency theory, situational theory, great man theory, and trait theory. The study also highlights the importance of effective leadership in enhancing employee skills, promoting accountability, and driving productivity. Overall, it emphasizes the crucial role of leadership in shaping organizational culture and managing diversity.

LEADERSHIP
STYLES
1

Table of Contents
INTRODUCTION...........................................................................................................................3
This study is based on H&M which is the multinational clothing retail company and specialise in
the fast fashion clothing for men, women and children. And this study includes various
leadership styles, models and theories used in the organisation for the effective working and their
impact on the organisational culture and diversities........................................................................3
MAIN BODY...................................................................................................................................3
LO1..................................................................................................................................................3
Evaluate the range of leadership styles..................................................................................3
Understanding of leadership model........................................................................................4
Explain Leadership theories...................................................................................................5
LO2..................................................................................................................................................6
Impact of leadership on organisational culture and diversity management...........................6
CONCLUSION.....................................................................................................................8
REFERENCES................................................................................................................................8
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INTRODUCTION
Leadership refers to the both research area and practical skills that encompasses the
ability and skills of an individual or group within the organisation. That leads to influence the
work force to perform with the full potential in order to attain the goals and objectives.
Leadership is also describing as the art of motivating the people or group to act towards the
common goal in order to achieve them in a effective manner. It is associated with the essentials
that are needed to being able and prepared to inspire others to act as according to leader wants
them to act. It is based on the ideas that are to be effectively communicated to the team which
engage them to work with interest and with full potential(Alonso‐Almeida, Perramon and Bagur‐
Femenias, 2017). And that will results into the effective outcomes. That provides growth to the
organisation as well as to the employees in various areas as effective leader always work to
provide the better outcomes for the organisation and also to improve the employees in their weak
areas. That helps the overall to grow professionally as well personally.
This study is based on H&M which is the multinational clothing retail company and
specialise in the fast fashion clothing for men, women and children. And this study includes
various leadership styles, models and theories used in the organisation for the effective working
and their impact on the organisational culture and diversities.
MAIN BODY
LO1
Evaluate the range of leadership styles
Leadership styles refer to the structure that a leaders and managers follow to direct their
tem towards the desired goals and objectives.
Autocratic style: this style follows the rule of “do as I say”. This style is characterized by the
individual control over the decision making and on the working of the whole team. And also
includes a little input from the other group members. Autocratic leaders typically make choices
and decision based on their judgements and ideas and rarely accept others advice. This benefits
H&M in the good control over the team. Facilitates decision making without interruption and
results in the effective team. But it is useful in certain situations only(Cope and Murray, 2017.)
(Lonati, 2020).
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Democratic style: in this style leaders are likely to ask “what do you think”. They share
information and idea to the employees and involve them into the decision making that affects
their work responsibilities. They seek for the employee’s opinion before approval, with the
implementation of this H&M can enforce the trust and promote team spirit and corporation from
team members. This style facilitates the creative and help employees to get developed in their
weak area.
Coaching style: this style tend to have a “considered this approach” a lenders in this
approaches direct and coaches the employees to use the particular approach in a effective
manner. Leaders use this approach to unlock and enhance the potentials of the employees. With
the execution of the H&M can enhance their employee’s skills, abilities and potential to get the
productive outcome.
Laissez- free style: this style is opposite to all the above leadership styles as in this leader may
appear to trust the employees in the work they do. it is beneficial to give people opportunities to
spread their wings and to enhance their knowledge and ability. But this is totally a lack of
direction can also results in the wrong results. This is only be used by the leaders when there is a
highly skilled and experienced employee who are self-started and motivated towards the goals
and objectives(Pietsch and Tulowitzki, 2017). With this H&M can enjoy the skilled and
experience workforce that are able to take the right and effective decisions.
Understanding of leadership model
Leadership is defined as the guidelines that suggest the specific behaviour which is to be
use in specific environment or situation. This is associated with the requirement of the specific
leadership behaviour that provides the best outcomes to the organisation.
Four framework approach: this approach suggest four types of frame that suggest leader
to operate in one of this categories which is can be appropriate at one time and other it would not
be. These categories can be effective or ineffective depending on the different situations. Types
of frame are discussed below:
Structural framework: the structural leaders are associated and focus on the structure, strategy,
environment, implementation, experimentation and adaption of the changes in the form of
working. A leader in this framework is used to analyse and design the effective strategies and
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structure in to maintain the working process with the perfection and also finds the solutions of
the problems(Sethibe and Steyn, 2017).
Human resource framework: this framework focus and believe on the human resource
and communicate to them, involving them into the decision making and provides liberty to work
according to their way, increase participation, share information with the employees in order to
motivate them and to increase their potential to perform the task.
Political framework: in this framework leader clarifies that what employees want and what
they get. This is associated with the delegation of power, roles and responsibilities in order to
make better linkage between the shareholders and to make the effective procedure of working in
the organisation. In this leadership style is coalition and work for the team building but can be
manipulated sometimes.
Symbolic framework: this framework is worked when leader view organisation as a stage
or a theatre where they have tp play certain roles and have to give impression. It is associated
with the symbols that are to be use to capture attention, frame experiences and develop and
communicate vision to the whole team.
Explain Leadership theories
There are numerous studies that have been focused on the leadership that give rise to the
several theories. And this theories are the school of thoughts that put by the various philosophers,
researchers and cognitive experts to explain the traits and behaviour that help individual to
enhance and cultivate their leadership abilities.
 Contingency theory: This theory is described that only not only one leadership style is
be applicable to the all types of situation. It recognizes that there may be variables that
influence the situation to handle well. A leader must choose the right alternative among
the leadership style that fix best in the situation. With the perspective of this researchers
white and hodgson sates that “effective leadership is about striking the right balance
between needs, context and behaviour.” The effective leader not only has the right traits
but also has the ability to assess the needs and requirement of the followers, analyze the
situation and act according to the certain situations(Tortorella, and. et. al, 2018) . Situational theory: this theory is stresses that there is a situational variables available and
did not consider any one leadership better than the others. This consists of the
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combination of two factors that are leadership style and maturity level of the team
members. As per this theory different situation demands for the different leadership style
to direct the team and decision making. Leader need to act by judging the situation which
their team is facing. Great man theory of leadership: this is refers to the one of the earliest leadership
theories and based on the assumption that leaders are born rather then made. According
to this theory leader is capable of leading the team and has the personality trait of a good
leaders such as confident, intelligent and communication skills etc. that makes them apart
from others. It also emphasized that leadership is something that an individual is either
posses or not. It is not something that can be learn this results in discouraging to the
individuals who wants to learn the skills and abilities to be a leader. Trait theory of leadership: this theory is also assumes that leader is born with the traits
that make them more suitable for the role of leader in the organisation. This focus on the
certain qualities like intelligence, accountability, sense of responsibility and creativity
that is used in to the manage the team in a effective manner that provides the productive
outcomes.
LO2
Impact of leadership on organisational culture and diversity management
Leaders have a vital impact on the culture and diversity management. Leaders set the direction,
priorities work, manage, lead the team and delegate the duties and responsibilities. Strong and
effective leaders provide a sense of vision, purpose, mentorship, inspiration to the employees
those they lead(Zhao, Hwang and Lee, 2016). Today’s diverse work force is reshaping as now
they focus on to achieve personal and professional success in which leaders also pays major role
as they are the one who provides the proper guidelines and direction and also focus to enhance
the one’s skills and abilities. That provides growth to both organisations as well as to the
individual.
Help employees fully understand their roles: sometime there is a disconnection between
the organisational roles and day-to-day realities of the people who work there. In which leader
help them in to connect the dots between the objectives and the duties and roles which are
assigned to them. It starts from looking towards the company’s value and vision and help each
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employees in their roles and for that they also need to know about how the work they do that
positively impact the broader mission of the company.
Help co-workers in to develop their skills: leaders work with the employees to enhance
their working knowledge and skills of their field, broaden their abilities and talent. And also add
new challenges and responsibilities to the work which they are already doing. It also associated
with the cross training in the different departments with that they face new challenges and
renewed sense of connection with the large company.
Reinforce accountability and process ownership : leader is the one who can work in a
variety of ways to reinforce the accountability and process ownership in the organisation, as they
identify and sometimes know that which matrices are worth measuring and discussing with
employees(Yusuf, 2016). which are the best benchmarks and goals that is need to pursue for the
further working. With all this when leader enforce accountability at a work place then they
reinforce the same at every where.
Look beyond productivity: the idea of leadership is exist or begin when an organisation
needs a people with vision who can get the things done in a effective and efficient more than the
other employees. one of the most important role of the leaders is to encourage the results while
encouraging the employees skills, ability and talent and with providing them motivation so that
they can having a fun and found interest while doing the work. Exercising all this together results
in increment in the productivity and profitability of the organisation.
H&M is the multinational clothing retailer and has the brand recognition across the world that
means it has an effective team and leaders that manages and leads the team to work towards the
organisational goals and objectives. it is important to use the suitable leadership style to manage
the team in proper manner for this H&M use the democratic and laissez free style in which they
involves the participation of the each team in the decision making process and also considered
opinion before any approval. Leaders have the trust on their employees as they have highly
skilled and experienced workforce. To led the organisation on track and for the success of the
organisation leaders and their style are the essential part for the company(Urick, 2016).
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CONCLUSION
From the above analysis it has been concluded that there are various types of leadership
styles and models that help in to motivate the workforce as well as direct them to act towards the
achieving desired goals and objectives. Effective leadership within organisation increase the
efficiency and produced the effective outputs. Furthermore it includes the impact of leadership
styles and models on the organisational culture and diversities. That provides the track and
success to the organisation.
REFERENCES
Books and Journals
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Alonso‐Almeida, M.D.M., Perramon, J. and Bagur‐Femenias, L., 2017. Leadership styles and
corporate social responsibility management: Analysis from a gender
perspective. Business Ethics: A European Review. 26(2). pp.147-161.
Cope, V. and Murray, M., 2017. Leadership styles in nursing. Nursing Standard. 31(43).
Lonati, S., 2020. What explains cultural differences in leadership styles? On the agricultural
origins of participative and directive leadership. The Leadership Quarterly, 31(2),
p.101305.
Pietsch, M. and Tulowitzki, P., 2017. Disentangling school leadership and its ties to instructional
practices–an empirical comparison of various leadership styles. School Effectiveness and
School Improvement. 28(4). pp.629-649.
Sethibe, T. and Steyn, R., 2017. The impact of leadership styles and the components of
leadership styles on innovative behaviour. International Journal of Innovation
Management. 21(02). p.1750015.
Tortorella, and. et. al., 2018. Lean manufacturing implementation: leadership styles and
contextual variables. International Journal of Operations & Production Management.
Urick, A., 2016. Examining US principal perception of multiple leadership styles used to
practice shared instructional leadership. Journal of Educational Administration.
Yusuf, A.F., 2016. Influence of principals’ leadership styles on students academic achievement
in secondary schools. Journal of innovative research in management and
humanities. 3(1).
Zhao, X., Hwang, B.G. and Lee, H.N., 2016. Identifying critical leadership styles of project
managers for green building projects. International Journal of Construction
Management. 16(2). pp.150-160.
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