Leadership and Management in Service Industries

This document discusses the different classical management theories and leadership styles in the context of service industries. It also reviews the management and leadership styles in a specific service sector organization. The internal and external factors that influence management styles and structures in a selected service industry organization are also investigated.

Unit 5 - Leadership and
Management for Service
Industries

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK1 ............................................................................................................................................3
P1 Assess different classical management theories and apply these in a service industry
context....................................................................................................................................3
P2 Explain the role of the leader and different leadership styles in a service sector industry
context....................................................................................................................................4
P3 Review the management and leadership styles in a specific service sector organisation. 6
TASK2 ............................................................................................................................................7
P4 Investigate the internal and external factors that influence management styles and
structures in a selected service industry organisation.............................................................7
TASK 3............................................................................................................................................9
P5 Assess current management and leadership ‘hard and soft’ skills providing evidence from
a specific service sector examples..........................................................................................9
P6 Discuss future management and leadership skills required by the service sector and how
these can be achieved...........................................................................................................11
P7 Compare and contrast different service industry organisations change management systems
and leadership in implementing change ..............................................................................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................15

INTRODUCTION
Leadership is the techniques through which employees get motivation in order to achieve
organisational goals and objectives effectively. In other words , the leader is the in charge and
convince the people to meet the daily goals (Augustyn 2019). The great leader inspire the
individual to moves towards the action and help them to fulfil the task in the given time frame.
There are different kinds of roles which are provided by the leader of the firm such as making
decision, providing aims and clear vision for the company. This report is based upon the Centre
parcs UK as they are the short break holiday company which operates in London and Ireland.
The company have the headquarter which is located in the New Ollerton United kingdom. This
report covers aspect about the leadership and different types of classical theories. However roles
and responsibility plays an vital role in developing effective leader in the organisation which
leads towards expansion and growth. This is important for the company to analyses current as
well future trends on order to provide quality services to the consumer.
TASK1
P1 Assess different classical management theories and apply these in a service industry
context
Management is the method through which the organisation manage as well as control
different resources as well as firm assets effectively (Field and Brown 2019). The different
classical theories help company to provide proper structure and vision on which employees
can perform their activities. Beside this management practise are useful for developing plan
which improve the capabilities of individual and help in achieving the goal in future. For the
company like Centre parcs UK it become essentials for the management to make use of
various theories as it help in developing the culture and positive environment for the
company where employees can bring out the best outcomes in a well define manner.
Talent management: It is define as an anticipation of needed human capital within
the organisation and plan to meed those needs and requirements. It is a science generally
used by business organisations in order to enhance their business values and make it
possible to the management team that they can accomplish their organisational goals and
objectives. Talent management is considered as a procedure where managers find, train,

develop and keep staff members who is capable enough to meet the needs and wants of an
organisation in an effective manner and within given time frame.
However the classical management theories are describe as the management theories
which is mainly used in mid of 19 th century for improving the society culture. This
management theories help in developing efficient way through which waste are reduce and
assist in brining out the best quality services for the company. Classical theories of
management are based upon the belief of the individual and as they belong different
backgrounds (Augustyn, Elshaer and Akamavi, 2019). Along with this theory describe
about the culture as well as social needs within the firm. Classical theory have three main
aspect which include scientific management, administrative theory and Bureaucracy. All
these theories are explained briefly down below:
Administrative Theory: This theory was develop by the Henry Fayol who was the
mining engineer. He figure out the various principles for defining the each and every
individual task effectively so that efficiency can be achievable in the limited time frame
(Chang and et. al., 2019). This administrative theory have five major elements for the
organisation which include coordinating, controlling ,commanding for the organisation. The
fourteen principles include division of work, authority and responsibility, discipline, unity
of direction, subordination of interest, remuneration, order, centralization, scalar chain,
equity, stability of tenure, initiative, esprit de corps and many more.
Bureaucracy Theory: This the one of the oldest and traditional theory which is
helpful in regulating as well as formulating the various polices and rules which are helpful
in expansion and growth of the firm (Chatha 2019). This theory was introduced by Max
Weber in the year 1920. This theory provide the detail structure as well as hierarchy in the
organisation for smooth functioning of the company. Bureaucracy theory, help employees to
follow strict polices as well as rules as it help in minimizing the waste and improve the
working performance of the individual.
Scientific Management Theory: The scientific management was given the engineer
F.W. Taylor in the year 1915. This management theory describe about the different tools
and techniques to improve the quality of the productivity as well enhance the performance
of the individual so that firm can achieve high its desire goals in well define manner.

Therefore centre parcs UK management must use all the classical theories as it help in
understand the changing environment and make polices for the betterment (Chatha, 2019).
P2 Explain the role of the leader and different leadership styles in a service sector industry
context.
Leaders are the individual personality who are responsible for the motivating as well
as influencing the people for achieving the desire goals and objective of the company. So
this become important for the company like Center Parcs to provide effective leaders as it
help employees to show them guidance regarding their job roles and improve their skills
which are beneficial for the company in offering product and services to the consumers. The
effective leaders have the quality like initiative and risk taker which make organisation great
in terms of productivity and performance. Here are some major roles which must be posses
by the leaders are mentioned down below in detail manner.
Role of leader
Representative of the organisation: The leader is the representative and face of the
company . It become the prime duty of the leader to attain the various seminars, conferences
and general meetings held in the organisation (Kerse 2019). Leader have the responsibility
to motivate employees and show them the right path for growth and expansion of the
company.
Create vision: The prime role of the leader has provide the vision for the company
as it help employees as well as organisation to act upon the vision and work hard to achieve
in the given time frame. Leaders should delegate the authority to the subordinates as it help
in making quick decision effectively.
Coach: This is known vital aspect for the leaders as they are individual who are
responsible for guiding the employees in the right directions. As they have the prime duty
to coach employees whenever they are wrong as this techniques help in improving the skills
of the employees .
Different leadership styles
There are various kind of leadership style which are essential for motivating and
enhancing the employees capabilities in order to perform better in the organisation. The
leadership style provide platform for leaders to act and provide assistance to the employees

(Choo, van Dun and Wilderom, 2019). Here are some different leadership style which are
useful which are explained down below:
Democratic or Participative leadership: This kind of leadership style the
employees plays an important role in making decision as well as in business activities of
company. In the context of Center Parcs this kind of leadership style must be used as it help
in making quality ans save time of the organisation. Along with this it help in bringing the
sense of responsibility in the minds of customers where employees also improve their skills
of making decision effectively (Field and Brown, 2019). It allow lower level workers
authority to make decision such as introducing new ideas to offer better services to the
consumers. The democratic leadership style fulfil the main objective of talent management
as it help in providing organised leadership approach. Further more, it is a type of leadership
style which assist in developing a sense of responsibility so that employees will be able to
enhance their decision making skills.
Autocratic Leadership style: This leadership style in directly inverse from the
democratic leadership style. In autocratic the leaders have the essential role to play in
organisation ans have major responsibility which have to be fulfil by the firm. Center Parcs
leader have the responsibility to maintain the discipline and have power such as changing
the working shifts of the employees and introduce new polices to betterment of the
organisation (Schermerhorn 2019). This kind leadership style are not often successful and
company should avoid as employees as essentials assets for the company. Talent
management help in assisting the leader to make effective decision of the betterment of the
organisation. Along with this it help in providing the sustainable business model for the
company. Therefore, it has been analysed that it is one of the most effective style of
leadership which assist in accomplishing organisational goals and objectives in an
appropriate manner.
Laissez Fair or hands off Leadership style: Here it is totally opposite to the
autocratic leadership style as it mainly focuses on delegating the authority to different team
members in the organisation with little or no guidances. Center parcs the leader have
provide limited power to the various departments so leaders can get time to focus on other
important project. Managers of Center parcs should adopt this leadership as it help in high
productivity and improve the skills of the employees. In the case of talent management the

company usually help in providing better opportunities for the employees which help in
making organisation decision effectively (Hassi, 2019). With the help of this style of
leadership managers will be able to motivate their staff members on a regular basis which
helps them in order to enhance their performance in an effective manner.
P3 Review the management and leadership styles in a specific service sector organisation
Management should be effective as it leads towards the expansion and growth. Along
with this it help in developing various techniques which improve the performance of Center
parcs employees in a well define manner. Center parcs are mainly known for providing high
quality services with affordable prices. Management can be define as the method of
controlling and directing the day to day activities of the organisation irrespective of its
nature, type and structure. Beside the management could be better by implementing new
leadership style as it improve the culture of the company which leads towards expansion and
growth (Kerse, 2019).
In the case of Center parcs UK it become essential for the company to use Laissez
Fair or democratic leadership style as it help in developing positive environment in the
organisation and also improve the critical thinking ability of employees which help in taking
decision effectively. However this help in management in minimizing the waste of resources
and useful steps are taken on time which enhance the brand image in the minds of
customers. This allow superiors and subordinates to work together for achieving the desire
goal effectively (Kim and Toya, 2019).
The various advantages of Laissez faire leadership style
 This allow team member to maximize their own individual leadership style . When
the employees are capable of taking decision on their own which leads towards
expansion and growth. This help management of Center Parcs to develop sustainable
business model for organisation and individual are capable of accomplish the
assignment with the little supervision. The leader can also take hands off approach to
be successful.
 Along with this it create the sense of independence in the organisation where
employees get authority to make decision regarding the work. There are some
employees who wants to work independently and figure out the solution of the
problem on their own (Luu, 2019).

TASK2
P4 Investigate the internal and external factors that influence management styles and
structures in a selected service industry organisation
The factor directly effect the working environment of the organisation and also
influence the internal as well as external activities done in the company. For the organisation
like Center parcs this is essentials for manager to take effective measure and control internal
as well as external environment which help in reducing the threat present in the market
(Choo and Wilderom 2019). On the other hand the organisation use various kinds of
management tools such as this training and development , audits and implementing new
rules. There are different external factor which include change in political and government
policies which effect the production of the company. So it should be at at most priority of
the manager to ensure that all the employees follow rules and regulation to avoid the risk
and uncertainty present in the market. There are some important factors which are useful in
developing new model to implement the techniques which are explained down below:
Internal factors:
This are the factor which organisation exhibits for identifying the strengths as well as
weakness of the company and improve those factor which are helpful in development and
growth (Ma and Lace, 2019). These factor are totally controlled and managed by the
manager and it is easy to make changes whenever required. The different internal factor
which are mentioned down below in detail manner.
Owners and shareholders: They are the individual who have the main motive to
earn money by investing in the company. The shareholders are also known as the silent
partners which are the owner but do not take active participation in making polices and
taking decisions (Wilderom 2019). The owners are the persons who own the major stakes in
the organisation and are active partners which implement new policies for improving the
operations activities of the company in order to provide better services to the customers. In
the present context of owners and shareholders, it has been analysed that democratic style of
leadership need to be used by the management team of Center parcs. This is because they
are the one who are highly associated with the profitability as well as performance of

organisation. If autocratic leadership style is going to be followed by the management team
then shareholders and owner feel demotivated and does not participate effectively within the
company.
Employees: They are consider as the valuable assets for the company. They provide
major contribution for making profit and expansion. The manager of Center parcs must
ensure that employees are motivated as it help in achieving the desire goals and objective in
a well define manner. Manager have the prime responsibility to appreciate and provide
monetary benefits as it help in building healthy relationship with the consumers. In
reference to employees, it is required by the management team to adopt participative style of
leadership as it will assist them in order to perform their task more effectively and
efficiently. Along with this by using Laissez Fair leadership style, employees will be able to
take decisions on their own and feel satisfied and motivated.
Value system: This is consider as the most important internal system which are
useful in achieving the mission and objective of the company. The value system of business
also determine the behaviour towards its employees, customers and society at large. Center
parcs, leaders should ensure there must be ethics and value system as it help employees to
work effectively and also reduce the chaos in the organisation (Manoharan and Singal,
2019). In order to maintain the value system in an effective manner within the organisation
it is required to follow autocratic style of leadership as it will assist each and every staff
members in order to follow pre define structure develop by the management team itself. It
also help in reducing conflicts and disputes arise within the organisation so that employees
will be able to get their work done in an effective manner.
External factors:
The external factors are those factor which can not be managed and control by the
organisation . These kind of factor are usually regulate by the government bodies which
have direct effect on the activities of the organisation. There are various elements which
influence the business activities such as economical, social and political as well as location
also effect the performance of the company. Center Parcs management team must ensure
that organisation should follow all the rules and regulation in order to avoid risk and
uncertainty present in the market.

Change in law: The change in state, local and federal change have the direct impact
on the business (Matsuki and Nakamura, 2019). In the case of Center parcs the government
of UK is stable and the polices which are made are in the favour of the company. For the
organisation like Center parcs it is essential for the company to implement different laws
which improve the efficiency of delivering product and services to the consumers. If we
talked about external environment, modifications in law might affect the performance of
overall organisation. Therefore, managers need to adopt participative leadership style so that
each and every staff members perform their task according to the changing environment.
Change in trends and technology: Nowadays business are changing rapidly with
the help of new technology. There are different types trends which are changed according
needs and wants of the customers. So it become essentials factor for the hospitality company
like Center parcs to indulge in new technology as it guarantee about facilitating the quality
services to the consumers. By this customer can book tickets , pre plan the trip and cancel as
per the requirements . All these services are been possible by the technology which have
been immersed in recent years. For this, managers need to adopt autocratic leadership style
as it helps in attaining organisational goals and objectives in an effective manner.
Social factor: This are the factor which usually reflects the personality and
background of the customers as well as of employees (Ma 2019). Center parcs managers
have the prime responsibility to examine the social factor of the customers as it help
organisation to connect easily and provide them better services as per their requirements.
Proper research must be done to understand the background to which help in offering better
services to the customer. In this context management team of the company need to adopt
Laissez Fair leadership style, then the goals and objectives will be accomplished effectively
and in within stipulated time frame.
TASK 3
P5 Assess current management and leadership ‘hard and soft’ skills providing evidence
from a specific service sector examples
The skills are the ability to carry out the task with determine the result which are
often useful for the company in making effective decision. Skill are mainly divided into two
category as hard skills and soft skills (Field and Brown 2019). Hence this are important for
top level management to provide effective skills training to the employees as they have to

deal with different clients. This skill are very essentials in hospitality sector as its shows the
quality and level of service provided by the company. Here types of skills which are
explained down below:
Hard skills:
These are the part of skills which are require for the job and this are acquire through
the formal education and also with training programmes. For the organisation like Center
parcs it is essential for the company to hire employees who have hard skills as it help in
providing the better services to consumers (Milovancevic, Gracanac and Kitic, 2019). These
are some different kinds of hard skills which are explained briefly down below:
Marketing: This is the ability to convince to purchase the product as well as services
provided by the company. For the manager of the company it is essential for the
organisation to provide training to the employees as they improve there interpersonal skills
in order to achieve the target.
Network structures and security: The company data have become priceless and
and if data is leaked it may cause million of dollars to the organisation. Hence the Center
parcs should have efficient network security system as well as IT professionals to safeguard
the clients information.
Soft skills:
These are the skills which are classified as the personality traits or habit . The
hospitality sector requires these kinds of skills rather than other industry (Luu 2019). These
soft skills include various elements such as communication skills which is essential for the
company as they have to directly deals with the customers. Here are some soft skills which
are given below in detail manner.
Communication : Effective communication skills are helpful in developing more
and more customers and it also leads towards making healthy relationship with the
customers for the long run. For the company like Center parcs it is essential for the manager
to provide extra training for the employees in aspect of how to greet customers . As this help
in creating goodwill as well as brand image in the minds of customers.
Creativity: Creativity is broader term, which include various kinds of skills such as
soft and hard skills. The employees who are more creative are likely to succeed in the
future. They finds the new ways to perform their task effectively which help organisation for

the smooth function. The Center parcs should provide platform to the employees to show
their talent as in result it provide better services to end users (Nguyen, Melewar and
Hemsley-Brown, 2019).
P6 Discuss future management and leadership skills required by the service sector and how
these can be achieved.
Leadership and management skills must be effective in the organisation as they are
consider as the pillar for running the organisation. Beside this, management should ensure
that all employees should posses all the skills which are useful for the company to maintain
and demand and the supply. For the hospitality sector like Center parcs , skills plays an vital
role in building and provide quality services to end user (Schermerhorn and et. al., 2019).
The consumer have high expectation regarding the service so firm should be prepare to meet
the expectation of the consumer in well define manner. Here are some leadership as well as
management skill few of them are discussed below:
Inspire others: This is the most difficult job for any leader in the organisation to
persuade the employees for completing their task in limited time frame. The leaders as well
as manager of the Center parcs must ensure to motivate and encourage the employees in
order to perform better in the organisation. The competition have become tuff so in this case
leaders should provide monitory benefits for achieving the aims and objective of the
company.
Relationship building: This is consider as the most important future leadership
skills as it become essentials nowadays to have healthy relationship with the customers. This
can be achieve by the leaders making collaborative team of the employees and make sure
that they work together in order to achieve the common goal (Ward, 2019). For the
organisation like Center parcs the managers are responsible for making effective
relationship with the customers by providing better services and also taking feedback from
the customers.
Ability to teach and mentor: These are the skills which are differentiate the leaders
from the other competencies. As ability to tech and mentor the employees help in improving
the particular skills and also help in performing better in the future. Hence this is the prime
responsibility to teach and guide the employees so that common goal can be achieved in a

well define manner. The leaders must effectively teach colleagues or show them the path
how to grow and expand their careers efficaciously.
How these skills can be achieved through talent management strategies are describe
below:
Talent management is known as unified the strategy which are usually design to help the
organisation to make the best possible use of their human resource as well as capital in well
define manner (Matsuki and Nakamura 2019). This management skills help Center parcs to
provide vision and mission to make sure that maximum return should be done creating talent in
the organisation. This also encourage the commitment and motivation for doing the work in
given time frame. On the practical level talent management are used by taking quality as well as
quantity tool in order to improve the rate of investment for the company. Center Parcs
management should implement talent management software which include tracking the training
the needs, appraisals, career progression and other key focal points. Here are some strategies
through which this skills can be achieved:
Translate goals into human assets: This is important for the managers as well as leaders
to measure each and every individual goal and their performance so that proper decision can be
taken. The leaders and top level management should decide how the goals can be achieved by
employees in well define manner. In the present scenario of Center parcs the manager should
develop new roles and delegate the work to the different department as small works are easily
manage and target can be achieved effectively.
Improve the culture: This is important for the organisation to have effective culture as it
help in smooth functioning as well as help increasing the working performance of the company
(Milovancevic and Kitic 2019). In the context Center parcs it is important to positive cultural
as it ease the employees to fit the culture easily. It is the prime responsibility for the develop
the healthy environment for the employees as it help in developing for the company image
in a positive manner.
P7 Compare and contrast different service industry organisations change management
systems and leadership in implementing change
The change management is known as the systematic approach in order to deal with
the transition and transformation of the organisation technologies and goals (Chang 2019).
The main objective behind the change management is to implement various kind of

strategies for making the change, controlling and helping the employees to adopt the change.
Such kind of method are useful in develop the effective mechanisms for offering better
services to the consumers. For the organisation like Center parcs there are several factor
which consist in hospitality sector as they must be changed according to the time as well as
of trends . For understanding this in effective way Center parcs UK who operates into
hospitality sectors is compared with Travelodge who perform within Travel and tourism
sector. Comparison are as follows in the detail manner:
Basis Center parcs Travelodge
Change management system It is essentials for the company
to adopt the changes as the
customer needs and wants are
changing day by day(Ward
2019). This happen because
there are various rivals present
in the market and end users
have different option to choose
from. The currently the firm is
using the Lewin change model
which mainly have three steps
such as freezing, unfreezing
and refreezing.
For the company like
Travelodge the management
should do proper research
regarding the changing current
as well as future trends of the
customers. This help
organisation to take effective
measures to offer better quality
services.
Leadership style in
implementing change
The important factor is
choosing the leadership style
which help organisation to
improve the working
environment. In the context
Center parcs the firm is using
Laissez fair leadership style as
it provide power to the
employees to take decision.
In the case of Travelodge the
firm is using democratic
leadership style which provide
freedom to employees in
performing business activities
effectively.

CONCLUSION
As per the above mentioned report it has been analysed that leadership and management
is very important part of organisation. They are consider as the important assets and help making
effective polices for the company which help in making profit and revenue for the company.
Along with this, firm has used Laissez fair leadership style as it is help organisation to delegate
the authority to the employees. Beside this there are various functions of management and
leadership that lead to increase ability and capabilities of employees so that they work in
effective and efficient manner.

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